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Military

Union Calendar No. 301

105th CONGRESS

2d Session

H. R. 3616

[Report No. 105-532]

A BILL

To authorize appropriations for fiscal year 1999 for military activities of the Department of Defense, to prescribe military personnel strengths for fiscal year 1999, and for other purposes.


May 12, 1998

Reported with amendments, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed

HR 3616 RH

Union Calendar No. 301

105th CONGRESS

2d Session

H. R. 3616

[Report No. 105-532]

To authorize appropriations for fiscal year 1999 for military activities of the Department of Defense, to prescribe military personnel strengths for fiscal year 1999, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

APRIL 1, 1998

Mr. SPENCE (for himself and Mr. SKELTON) (both by request) introduced the following bill; which was referred to the Committee on National Security

May 12, 1998

Reported with amendments, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed

[Strike out all after the enacting clause and insert the part printed in italic]

[For text of introduced bill, see copy of bill as introduced on April 1, 1998]


A BILL

To authorize appropriations for fiscal year 1999 for military activities of the Department of Defense, to prescribe military personnel strengths for fiscal year 1999, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the `National Defense Authorization Act for Fiscal Year 1999'.

SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.

    (a) DIVISIONS- This Act is organized into three divisions as follows:
      (1) Division A--Department of Defense Authorizations.
      (2) Division B--Military Construction Authorizations.
      (3) Division C--Department of Energy National Security Authorizations and Other Authorizations.
    (b) TABLE OF CONTENTS- The table of contents for this Act is as follows:
      Sec. 1. Short title.
      Sec. 2. Organization of Act into divisions; table of contents.
      Sec. 3. Congressional defense committees defined.

DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

TITLE I--PROCUREMENT

Subtitle A--Authorization of Appropriations

      Sec. 101. Army.
      Sec. 102. Navy and Marine Corps.
      Sec. 103. Air Force.
      Sec. 104. Defense-wide activities.
      Sec. 105. Reserve components.
      Sec. 106. Defense Inspector General.
      Sec. 107. Chemical Demilitarization Program.
      Sec. 108. Defense health programs.
      Sec. 109. Defense Export Loan Guarantee Program.

Subtitle B--Army Programs

      Sec. 111. Multiyear procurement authority for Longbow Hellfire missile program.
      Sec. 112. M1A2 System Enhancement Program Step 1 Program.

Subtitle C--Navy Programs

      Sec. 121. Multiyear procurement authority for the Department of the Navy.

Subtitle D--Other Matters

      Sec. 141. Funding, transfer, and management of the Assembled Chemical Weapons Assessment Program.

TITLE II--RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

Subtitle A--Authorization of Appropriations

      Sec. 201. Authorization of appropriations.
      Sec. 202. Amount for basic and applied research.

Subtitle B--Program Requirements, Restrictions, and Limitations

      Sec. 211. Management responsibility for Navy mine countermeasures programs.
      Sec. 212. Future aircraft carrier transition technologies.
      Sec. 213. Manufacturing technology program.

Subtitle C--Ballistic Missile Defense

      Sec. 231. National Missile Defense policy.
      Sec. 232. Limitation on funding for the Medium Extended Air Defense System.
      Sec. 233. Limitation on funding for cooperative ballistic missile defense programs.
      Sec. 234. Limitation on funding for counterproliferation support.
      Sec. 235. Ballistic Missile Defense program elements.

TITLE III--OPERATION AND MAINTENANCE

Subtitle A--Authorization of Appropriations

      Sec. 301. Operation and maintenance funding.
      Sec. 302. Working capital funds.
      Sec. 303. Armed Forces Retirement Home.
      Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
      Sec. 305. Refurbishment of M1-A1 tanks.
      Sec. 306. Operation of prepositioned fleet, National Training Center, Fort Irwin, California.
      Sec. 307. Relocation of USS WISCONSIN.
      Sec. 308. Fisher House Trust Funds.

Subtitle B--Information Technology Issues

      Sec. 311. Additional information technology responsibilities of Chief Information Officers.
      Sec. 312. Defense-wide electronic mall system for supply purchases.
      Sec. 313. Protection of funding provided for certain information technology and national security programs.
      Sec. 314. Priority funding to ensure year 2000 compliance of mission critical information technology and national security systems.
      Sec. 315. Evaluation of year 2000 compliance as part of training exercises programs.

Subtitle C--Environmental Provisions

      Sec. 321. Authorization to pay negotiated settlement for environmental cleanup at former Department of Defense sites in Canada.
      Sec. 322. Removal of underground storage tanks.

Subtitle D--Defense Infrastructure Support Improvement

      Sec. 331. Reporting and study requirements before change of commercial and industrial type functions to contractor performance.
      Sec. 332. Clarification of requirement to maintain Government-owned and Government-operated core logistics capability.
      Sec. 333. Oversight of development and implementation of automated identification technology.
      Sec. 334. Conditions on expansion of functions performed under prime vendor contracts.
      Sec. 335. Clarification of definition of depot-level maintenance and repair.
      Sec. 336. Clarification of commercial item exception to requirements regarding core logistics capabilities.
      Sec. 337. Development of plan for establishment of core logistics capabilities for maintenance and repair of C-17 aircraft.
      Sec. 338. Contractor-operated civil engineering supply stores program.
      Sec. 339. Report on savings and effect of personnel reductions in Army Materiel Command.

Subtitle E--Commissaries and Nonappropriated Fund Instrumentalities

      Sec. 341. Continuation of management and funding of Defense Commissary Agency through the Office of the Secretary of Defense.
      Sec. 342. Expansion of current eligibility of Reserves for commissary benefits.
      Sec. 343. Repeal of requirement for Air Force to sell tobacco products to enlisted personnel.
      Sec. 344. Restrictions on patron access to, and purchases in, overseas commissaries and exchange stores.
      Sec. 345. Extension of demonstration project for uniform funding of morale, welfare, and recreation activities.
      Sec. 346. Prohibition on consolidation or other organizational changes of Department of Defense retail systems.
      Sec. 347. Authorized use of appropriated funds for relocation of Navy Exchange Service Command.
      Sec. 348. Evaluation of merit of selling malt beverages and wine in commissary stores as exchange system merchandise.

Subtitle F--Other Matters

      Sec. 361. Eligibility requirements for attendance at Department of Defense domestic dependent elementary and secondary schools.
      Sec. 362. Specific emphasis of program to investigate fraud, waste, and abuse within Department of Defense.
      Sec. 363. Revision of inspection requirements relating to Armed Forces Retirement Home.
      Sec. 364. Assistance to local educational agencies that benefit dependents of members of the Armed Forces and Department of Defense civilian employees.
      Sec. 365. Strategic plan for expansion of distance learning initiatives.
      Sec. 366. Public availability of operating agreements between military installations and financial institutions.
      Sec. 367. Department of Defense readiness reporting system.
      Sec. 368. Travel by Reservists on carriers under contract with General Services Administration.

Subtitle G--Demonstration of Commercial-Type Practices To Improve Quality of Personal Property Shipments

      Sec. 381. Demonstration program required.
      Sec. 382. Goals of demonstration program.
      Sec. 383. Program participants.
      Sec. 384. Test plan.
      Sec. 385. Other methods of personal property shipping.
      Sec. 386. Duration of demonstration program.
      Sec. 387. Evaluation of demonstration program.

TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

Subtitle A--Active Forces

      Sec. 401. End strengths for active forces.
      Sec. 402. Revision in permanent end strength levels.
      Sec. 403. Date for submission of annual manpower requirements report.
      Sec. 404. Extension of authority for Chairman of the Joint Chiefs of Staff to designate up to 12 general and flag officer positions to be excluded from general and flag officer grade limitations.

Subtitle B--Reserve Forces

      Sec. 411. End strengths for Selected Reserve.
      Sec. 412. End strengths for Reserves on active duty in support of the Reserves.
      Sec. 413. End strengths for military technicians (dual status).
      Sec. 414. Increase in number of members in certain grades authorized to serve on active duty in support of the Reserves.

Subtitle C--Authorization of Appropriations

      Sec. 421. Authorization of appropriations for military personnel.

TITLE V--MILITARY PERSONNEL POLICY

Subtitle A--Officer Personnel Policy

      Sec. 501. Codification of eligibility of retired officers and former officers for consideration by special selection boards.
      Sec. 502. Communication to promotion boards by officers under consideration.
      Sec. 503. Procedures for separation of regular officers for substandard performance of duty or certain other reasons.
      Sec. 504. Posthumous commissions and warrants.
      Sec. 505. Tenure of Chief of the Air Force Nurse Corps.

Subtitle B--Reserve Component Matters

      Sec. 511. Composition of selective early retirement boards of Reserve general and flag officers of the Navy and Marine Corps.
      Sec. 512. Active status service requirement for promotion consideration for Army and Air Force Reserve component brigadier generals.
      Sec. 513. Revision to educational requirement for promotion of Reserve officers.

Subtitle C--Military Education and Training

      Sec. 521. Requirements relating to recruit basic training.
      Sec. 522. After-hours privacy for recruits during basic training.
      Sec. 523. Extension of reporting dates for Commission on Military Training and Gender Related Issues.
      Sec. 524. Improved oversight of innovative readiness training.

Subtitle D--Decorations, Awards, and Commendations

      Sec. 531. Study of new decorations for injury or death in line of duty.
      Sec. 532. Waiver of time limitations for award of certain decorations to specified persons.
      Sec. 533. Commendation of the Navy and Marine Corps personnel who served in the United States Navy Asiatic Fleet from 1910-1942.
      Sec. 534. Appreciation for service during World War I and World War II by members of the Navy assigned on board merchant ships as the Naval Armed Guard Service.
      Sec. 535. Sense of Congress regarding the heroism, sacrifice, and service of the military forces of South Vietnam and other nations in connection with the United States Armed Forces during the Vietnam conflict.
      Sec. 536. Sense of Congress regarding the heroism, sacrifice, and service of former South Vietnamese commandos in connection with United States Armed Forces during the Vietnam conflict.

Subtitle E--Administration of Agencies Responsible for Review and Correction of Military Records

      Sec. 541. Personnel freeze.
      Sec. 542. Professional staff.
      Sec. 543. Ex parte communications.
      Sec. 544. Timeliness standards.

Subtitle F--Other Matters

      Sec. 551. One-year extension of certain force drawdown transition authorities relating to personnel management and benefits.
      Sec. 552. Leave without pay for academy cadets and midshipmen.
      Sec. 553. Provision for recovery, care, and disposition of the remains of all medically retired members.
      Sec. 554. Continued eligibility under Voluntary Separation Incentive program for members who involuntarily lose membership in a reserve component.
      Sec. 555. Definition of financial institution for direct deposit of pay.
      Sec. 556. Increase in maximum amount for College Fund program.
      Sec. 557. Central Identification Laboratory, Hawaii.
      Sec. 558. Honor guard details at funerals of veterans.
      Sec. 559. Applicability to all persons in chain of command of policy requiring exemplary conduct by commanding officers and others in authority in the Armed Forces.
      Sec. 560. Report on prisoners transferred from United States Disciplinary Barracks, Fort Leavenworth, Kansas, to Federal Bureau of Prisons.
      Sec. 561. Report on process for selection of members for service on courts-martial.
      Sec. 562. Study of revising the term of service of members of the United States Court of Appeals for the Armed Forces.
      Sec. 563. Status of cadets at the Merchant Marine Academy.

TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

Subtitle A--Pay and Allowances

      Sec. 601. Increase in basic pay for fiscal year 1999.
      Sec. 602. Basic allowance for housing outside the United States.
      Sec. 603. Basic allowance for subsistence for Reserves.

Subtitle B--Bonuses and Special and Incentive Pays

      Sec. 611. One-year extension of certain bonuses and special pay authorities for reserve forces.
      Sec. 612. One-year extension of certain bonuses and special pay authorities for nurse officer candidates, registered nurses, and nurse anesthetists.
      Sec. 613. One-year extension of authorities relating to payment of other bonuses and special pays.
      Sec. 614. Aviation career incentive pay and aviation officer retention bonus.
      Sec. 615. Special pay for diving duty.
      Sec. 616. Selective reenlistment bonus eligibility for Reserve members performing active Guard and Reserve duty.
      Sec. 617. Removal of ten percent restriction on selective reenlistment bonuses.
      Sec. 618. Increase in maximum amount of Army enlistment bonus.
      Sec. 619. Equitable treatment of Reserves eligible for special pay for duty subject to hostile fire or imminent danger.

Subtitle C--Travel and Transportation Allowances

      Sec. 631. Exception to maximum weight allowance for baggage and household effects.
      Sec. 632. Travel and transportation allowances for travel performed by members in connection with rest and recuperative leave from overseas stations.
      Sec. 633. Storage of baggage of certain dependents.

Subtitle D--Retired Pay, Survivor Benefits, and Related Matters

      Sec. 641. Effective date of former spouse survivor benefit coverage.

Subtitle E--Other Matters

      Sec. 651. Deletion of Canal Zone from definition of United States possessions for purposes of pay and allowances.
      Sec. 652. Accounting of advance payments.
      Sec. 653. Reimbursement of rental vehicle costs when motor vehicle transported at Government expense is late.
      Sec. 654. Education loan repayment program for certain health profession officers serving in Selected Reserve.

TITLE VII--HEALTH CARE PROVISIONS

Subtitle A--Health Care Services

      Sec. 701. Expansion of dependent eligibility under retiree dental program.
      Sec. 702. Plan for provision of health care for military retirees and their dependents comparable to health care provided under TRICARE Prime.
      Sec. 703. Plan for redesign of military pharmacy system.
      Sec. 704. Transitional authority to provide continued health care coverage for certain persons unaware of loss of CHAMPUS eligibility.

Subtitle B--TRICARE Program

      Sec. 711. Payment of claims for provision of health care under the TRICARE program for which a third party may be liable.
      Sec. 712. Procedures regarding enrollment in TRICARE Prime.

Subtitle C--Other Matters

      Sec. 721. Inflation adjustment of premium amounts for dependents dental program.
      Sec. 722. System for tracking data and measuring performance in meeting TRICARE access standards.
      Sec. 723. Air Force research, development, training, and education on exposure to chemical, biological, and radiological hazards.
      Sec. 724. Authorization to establish a Level 1 Trauma Training Center.
      Sec. 725. Report on implementation of enrollment-based capitation for funding for military medical treatment facilities.

TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED MATTERS

      Sec. 801. Limitation on procurement of ammunition and components.
      Sec. 802. Acquisition Corps eligibility.
      Sec. 803. Amendments relating to procurement from firms in industrial base for production of small arms.

TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

      Sec. 901. Further reductions in defense acquisition workforce.
      Sec. 902. Limitation on operation and support funds for the Office of the Secretary of Defense.
      Sec. 903. Revision to defense directive relating to management headquarters and headquarters support activities.
      Sec. 904. Under Secretary of Defense for Policy to have responsibility with respect to export control activities of the Department of Defense.
      Sec. 905. Independent task force on transformation and Department of Defense organization.
      Sec. 906. Improved accounting for defense contract services.
      Sec. 907. Repeal of requirement relating to assignment of tactical airlift mission to reserve components.
      Sec. 908. Repeal of certain requirements relating to Inspector General investigations of reprisal complaints.
      Sec. 909. Consultation with Commandant of the Marine Corps regarding Marine Corps aviation.

TITLE X--GENERAL PROVISIONS

Subtitle A--Financial Matters

      Sec. 1001. Transfer authority.
      Sec. 1002. Incorporation of classified annex.
      Sec. 1003. Outlay limitations.

Subtitle B--Naval Vessels and Shipyards

      Sec. 1011. Revision to requirement for continued listing of two Iowa-class battleships on the Naval Vessel Register.
      Sec. 1012. Transfer of USS NEW JERSEY.
      Sec. 1013. Long-term charter of three vessels in support of submarine rescue, escort, and towing.
      Sec. 1014. Transfer of obsolete Army tugboat.
      Sec. 1015. Long-term charter contracts for acquisition of auxiliary vessels for the Department of Defense.

Subtitle C--Matters Relating to Counter Drug Activities

      Sec. 1021. Department of Defense support for counter-drug activities.
      Sec. 1022. Support for counter-drug operation Caper Focus.

Subtitle D--Miscellaneous Report Requirements and Repeals

      Sec. 1031. Annual report on resources allocated to support and mission activities.

Subtitle E--Other Matters

      Sec. 1041. Clarification of land conveyance authority, Armed Forces Retirement Home, District of Columbia.
      Sec. 1042. Content of notice required to be provided garnishees before garnishment of pay or benefits.
      Sec. 1043. Training of special operations forces with friendly foreign forces.

TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL

      Sec. 1101. Authority for release to Coast Guard of drug test results of civil service mariners of the Military Sealift Command.
      Sec. 1102. Limitations on back pay awards.
      Sec. 1103. Restoration of annual leave accumulated by civilian employees at installations in the Republic of Panama to be closed pursuant to the Panama Canal Treaty of 1977.
      Sec. 1104. Repeal of program providing preference for employment of military spouses in military child care facilities.
      Sec. 1105. Elimination of retained pay as basis for determining locality-based adjustments.
      Sec. 1106. Observance of certain holidays at duty posts outside the United States.

TITLE XII--MATTERS RELATING TO OTHER NATIONS

      Sec. 1201. Limitation on funds for peacekeeping in the Republic of Bosnia and Herzegovina.
      Sec. 1202. Reports on the mission of United States forces in Republic of Bosnia and Herzegovina.
      Sec. 1203. Report on military capabilities of an expanded NATO alliance.
      Sec. 1204. One-year extension of counterproliferation authorities for support of United Nations Special Commission on Iraq.
      Sec. 1205. Repeal of landmine moratorium.

TITLE XIII--COOPERATIVE THREAT REDUCTION WITH STATES OF FORMER SOVIET UNION

      Sec. 1301. Specification of Cooperative Threat Reduction programs and funds.
      Sec. 1302. Funding allocations.
      Sec. 1303. Prohibition on use of funds for specified purposes.
      Sec. 1304. Limitation on use of funds for chemical weapons destruction facility.
      Sec. 1305. Limitation on obligation of funds for a specified period.
      Sec. 1306. Requirement to submit breakdown of amounts requested by project category.
      Sec. 1307. Limitation on use of funds until completion of fiscal year 1998 requirements.
      Sec. 1308. Report on biological weapons programs in Russia.
      Sec. 1309. Limitation on use of funds for biological weapons proliferation prevention activities in Russia.
      Sec. 1310. Limitation on use of certain funds for strategic arms elimination in Russia or Ukraine.
      Sec. 1311. Availability of funds.

DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

      Sec. 2001. Short title.

TITLE XXI--ARMY

      Sec. 2101. Authorized Army construction and land acquisition projects.
      Sec. 2102. Family housing.
      Sec. 2103. Improvements to military family housing units.
      Sec. 2104. Authorization of appropriations, Army.
      Sec. 2105. Increase in fiscal year 1998 authorization for military construction projects at Fort Drum, New York, and Fort Sill, Oklahoma.

TITLE XXII--NAVY

      Sec. 2201. Authorized Navy construction and land acquisition projects.
      Sec. 2202. Family housing.
      Sec. 2203. Improvements to military family housing units.
      Sec. 2204. Authorization of appropriations, Navy.
      Sec. 2205. Authorization to accept road construction project, Marine Corps Base, Camp Lejeune, North Carolina.

TITLE XXIII--AIR FORCE

      Sec. 2301. Authorized Air Force construction and land acquisition projects.
      Sec. 2302. Family housing.
      Sec. 2303. Improvements to military family housing units.
      Sec. 2304. Authorization of appropriations, Air Force.

TITLE XXIV--DEFENSE AGENCIES

      Sec. 2401. Authorized Defense Agencies construction and land acquisition projects.
      Sec. 2402. Improvements to military family housing units.
      Sec. 2403. Energy conservation projects.
      Sec. 2404. Authorization of appropriations, Defense Agencies.
      Sec. 2405. Increase in fiscal year 1995 authorization for military construction projects at Pine Bluff Arsenal, Arkansas, and Umatilla Army Depot, Oregon.
      Sec. 2406. Increase in fiscal year 1990 authorization for military construction project at Portsmouth Naval Hospital, Virginia.

TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT PROGRAM

      Sec. 2501. Authorized NATO construction and land acquisition projects.
      Sec. 2502. Authorization of appropriations, NATO.

TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

      Sec. 2601. Authorized Guard and Reserve construction and land acquisition projects.
      Sec. 2602. Army Reserve construction project, Salt Lake City, Utah.

TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

      Sec. 2701. Expiration of authorizations and amounts required to be specified by law.
      Sec. 2702. Extension of authorizations of certain fiscal year 1996 projects.
      Sec. 2703. Extension of authorization of fiscal year 1995 project.
      Sec. 2704. Effective date.

TITLE XXVIII--GENERAL PROVISIONS

Subtitle A--Military Construction Program and Military Family Housing Changes

      Sec. 2801. Definition of ancillary supporting facilities under the alternative authority for acquisition and improvement of military housing.

Subtitle B--Real Property and Facilities Administration

      Sec. 2811. Restoration of Department of Defense lands used by another Federal agency.
      Sec. 2812. Outdoor recreation development on military installations for disabled veterans, military dependents with disabilities, and other persons with disabilities.
      Sec. 2813. Report on use of utility system conveyance authority.

Subtitle C--Defense Base Closure and Realignment

      Sec. 2821. Payment of stipulated penalties assessed under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 in connection with McClellan Air Force Base, California.
      Sec. 2822. Elimination of waiver authority regarding prohibition against certain conveyances of property at Naval Station, Long Beach, California.

Subtitle D--Land Conveyances

Part I--Army Conveyances

      Sec. 2831. Land conveyance, Army Reserve Center, Massena, New York.
      Sec. 2832. Land conveyance, Army Reserve Center, Ogdensburg, New York.
      Sec. 2833. Land conveyance, Army Reserve Center, Jamestown, Ohio.
      Sec. 2834. Land conveyance, Stewart Army Sub-Post, New Windsor, New York.
      Sec. 2835. Land conveyance, Indiana Army Ammunition Plant, Charlestown, Indiana.
      Sec. 2836. Land conveyance, Volunteer Army Ammunition Plant, Chattanooga, Tennessee.
      Sec. 2837. Release of reversionary interest of United States in former Redstone Army Arsenal property conveyed to Alabama Space Science Exhibit Commission.

Part II--Navy Conveyances

      Sec. 2841. Easement, Marine Corps Base, Camp Pendleton, California.
      Sec. 2842. Land conveyance, Naval Reserve Readiness Center, Portland, Maine.

Part III--Air Force Conveyances

      Sec. 2851. Land conveyance, Lake Charles Air Force Station, Louisiana.
      Sec. 2852. Land conveyance, Air Force housing facility, La Junta, Colorado.

Subtitle E--Other Matters

      Sec. 2861. Repeal of prohibition on joint use of Gray Army Airfield, Fort Hood, Texas, with civil aviation.
      Sec. 2862. Designation of building containing Navy and Marine Corps Reserve Center, Augusta, Georgia.
      Sec. 2863. Expansion of Arlington National Cemetery.
      Sec. 2864. Reporting requirements under demonstration project for purchase of fire, security, police, public works, and utility services from local government agencies.

DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND OTHER AUTHORIZATIONS

TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

Subtitle A--National Security Programs Authorizations

      Sec. 3101. Weapons activities.
      Sec. 3102. Defense environmental restoration and waste management.
      Sec. 3103. Other defense activities.
      Sec. 3104. Defense nuclear waste disposal.

Subtitle B--Recurring General Provisions

      Sec. 3121. Reprogramming.
      Sec. 3122. Limits on general plant projects.
      Sec. 3123. Limits on construction projects.
      Sec. 3124. Fund transfer authority.
      Sec. 3125. Authority for conceptual and construction design.
      Sec. 3126. Authority for emergency planning, design, and construction activities.
      Sec. 3127. Funds available for all national security programs of the Department of Energy.
      Sec. 3128. Availability of funds.
      Sec. 3129. Transfers of defense environmental management funds.

Subtitle C--Program Authorizations, Restrictions, and Limitations

      Sec. 3131. Prohibition on Federal loan guarantees for defense environmental management privatization projects.
      Sec. 3132. Extension of funding prohibition relating to international cooperative stockpile stewardship.
      Sec. 3133. Use of certain funds for missile defense technology development.
      Sec. 3134. Selection of technology for tritium production.
      Sec. 3135. Limitation on use of certain funds at Hanford Site.

Subtitle D--Other Matters

      Sec. 3151. Termination of worker and community transition assistance.
      Sec. 3152. Requirement for plan to modify employment system used by Department of Energy in defense environmental management programs.
      Sec. 3153. Report on stockpile stewardship criteria.

TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

      Sec. 3201. Authorization.

TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

      Sec. 3301. Definitions.
      Sec. 3302. Authorized uses of stockpile funds.

TITLE XXXIV--NAVAL PETROLEUM RESERVES

      Sec. 3401. Definitions.
      Sec. 3402. Authorization of appropriations.
      Sec. 3403. Price requirement on sale of certain petroleum during fiscal year 1999.
      Sec. 3404. Disposal of Naval Petroleum Reserve Numbered 2.
      Sec. 3405. Disposal of Naval Petroleum Reserve Numbered 3.
      Sec. 3406. Disposal of Oil Shale Reserve Numbered 2.
      Sec. 3407. Administration.

TITLE XXXV--PANAMA CANAL COMMISSION

      Sec. 3501. Short title; references to Panama Canal Act of 1979.
      Sec. 3502. Authorization of expenditures.
      Sec. 3503. Purchase of vehicles.
      Sec. 3504. Expenditures only in accordance with treaties.
      Sec. 3505. Donations to the Commission.
      Sec. 3506. Sunset of United States overseas benefits just before transfer.
      Sec. 3507. Central Examining Office.
      Sec. 3508. Liability for vessel accidents.
      Sec. 3509. Panama Canal Board of Contract Appeals.
      Sec. 3510. Technical amendments.

TITLE XXXVI--MARITIME ADMINISTRATION

      Sec. 3601. Authorization of appropriations for fiscal year 1999.
      Sec. 3602. Conveyance of NDRF vessel M/V BAYAMON.
      Sec. 3603. Conveyance of NDRF vessels BENJAMIN ISHERWOOD and HENRY ECKFORD.
      Sec. 3604. Clearinghouse for maritime information.
      Sec. 3605. Conveyance of NDRF vessel ex-USS LORAIN COUNTY.

SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

    For purposes of this Act, the term `congressional defense committees' means--
      (1) the Committee on Armed Services and the Committee on Appropriations of the Senate; and
      (2) the Committee on National Security and the Committee on Appropriations of the House of Representatives.

DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

TITLE I--PROCUREMENT

Subtitle A--Authorization of Appropriations

SEC. 101. ARMY.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for procurement for the Army as follows:
      (1) For aircraft, $1,420,759,000.
      (2) For missiles, $1,232,285,000.
      (3) For weapons and tracked combat vehicles, $1,507,638,000.
      (4) For ammunition, $1,053,455,000.
      (5) For other procurement, $3,136,918,000.

SEC. 102. NAVY AND MARINE CORPS.

    (a) NAVY- Funds are hereby authorized to be appropriated for fiscal year 1999 for procurement for the Navy as follows:
      (1) For aircraft, $7,420,847,000.
      (2) For weapons, including missiles and torpedoes, $1,192,195,000.
      (3) For shipbuilding and conversion, $5,992,361,000.
      (4) For other procurement, $3,969,507,000.
    (b) MARINE CORPS- Funds are hereby authorized to be appropriated for fiscal year 1999 for procurement for the Marine Corps in the amount of $691,868,000.
    (c) NAVY AND MARINE CORPS AMMUNITION- Funds are hereby authorized to be appropriated for procurement of ammunition for the Navy and the Marine Corps in the amount of $451,968,000.

SEC. 103. AIR FORCE.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for procurement for the Air Force as follows:
      (1) For aircraft, $8,219,077,000.
      (2) For missiles, $2,234,668,000.
      (3) For ammunition, $383,627,000.
      (4) For other procurement, $7,046,372,000.

SEC. 104. DEFENSE-WIDE ACTIVITIES.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for Defense-wide procurement in the amount of $1,962,866,000.

SEC. 105. RESERVE COMPONENTS.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for procurement of aircraft, vehicles, communications equipment, and other equipment for the reserve components of the Armed Forces as follows:
      (1) For the Army National Guard, $50,000,000.
      (2) For the Air National Guard, $50,000,000.
      (3) For the Army Reserve, $50,000,000.
      (4) For the Naval Reserve, $50,000,000.
      (5) For the Air Force Reserve, $50,000,000.
      (6) For the Marine Corps Reserve, $50,000,000.

SEC. 106. DEFENSE INSPECTOR GENERAL.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for procurement for the Inspector General of the Department of Defense in the amount of $1,300,000.

SEC. 107. CHEMICAL DEMILITARIZATION PROGRAM.

    There is hereby authorized to be appropriated for fiscal year 1999 the amount of $834,000,000 for--
      (1) the destruction of lethal chemical agents and munitions in accordance with section 1412 of the Department of Defense Authorization Act, 1986 (50 U.S.C. 1521); and
      (2) the destruction of chemical warfare materiel of the United States that is not covered by section 1412 of such Act.

SEC. 108. DEFENSE HEALTH PROGRAMS.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for the Department of Defense for procurement for carrying out health care programs, projects, and activities of the Department of Defense in the total amount of $402,387,000.

SEC. 109. DEFENSE EXPORT LOAN GUARANTEE PROGRAM.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for the Department of Defense for carrying out the Defense Export Loan Guarantee Program under section 2540 of title 10, United States Code, in the total amount of $1,250,000.

Subtitle B--Army Programs

SEC. 111. MULTIYEAR PROCUREMENT AUTHORITY FOR LONGBOW HELLFIRE MISSILE PROGRAM.

    Beginning with the fiscal year 1999 program year, the Secretary of the Army may, in accordance with section 2306b of title 10, United States Code, enter into a multiyear procurement contract for procurement of the AGM-114 Longbow Hellfire missile.

SEC. 112. M1A2 SYSTEM ENHANCEMENT PROGRAM STEP 1 PROGRAM.

    Of the funds authorized to be appropriated for the Army in section 101 for weapons and tracked combat vehicles, $20,300,000 shall be available only for the Step 1 program for the M1A2 System Enhancement Program.

Subtitle C--Navy Programs

SEC. 121. MULTIYEAR PROCUREMENT AUTHORITY FOR THE DEPARTMENT OF THE NAVY.

    (a) AUTHORITY FOR SPECIFIED NAVY AIRCRAFT PROGRAMS- Beginning with the fiscal year 1999 program year, the Secretary of the Navy may, in accordance with section 2306b of title 10, United States Code, enter into a multiyear procurement contract for procurement for the following programs:
      (1) The AV-8B aircraft program.
      (2) The T-45TS aircraft program.
      (3) The E-2C aircraft program.
    (b) AUTHORITY FOR MARINE CORPS MEDIUM TACTICAL VEHICLE REPLACEMENT- Beginning with the fiscal year 1999 program year, the Secretary of the Navy may, in accordance with section 2306b of title 10, United States Code, enter into a multiyear procurement contract to procure the Marine Corps Medium Tactical Vehicle Replacement.

Subtitle D--Other Matters

SEC. 141. FUNDING, TRANSFER, AND MANAGEMENT OF THE ASSEMBLED CHEMICAL WEAPONS ASSESSMENT PROGRAM.

    (a) FUNDING- Of the amount authorized to be appropriated in section 107, $12,600,000 shall be available for the Assembled Chemical Weapons Assessment Program (in this section referred to as the `Program').
    (b) TRANSFER OF PROGRAM RESPONSIBILITY- (1) The Under Secretary of Defense for Acquisition and Technology and the Secretary of the Army shall jointly submit to Congress, not later than December 1, 1998, a plan for the transfer of oversight of the Program from the Under Secretary to the Secretary.
    (2) Oversight of the Program shall be transferred pursuant to the plan submitted under paragraph (1) not later than 60 days after the date of the submission of the notice required under section 152(f)(2) of the National Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 214; 50 U.S.C. 1521(f)(2)).
    (c) PLAN FOR PILOT PROGRAM- If the Secretary of Defense proceeds with a pilot program under section 152(f) of the National Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 214; 50 U.S.C. 1521(f)), the Secretary shall prepare a plan for the pilot program and shall submit to Congress a report on such plan (including information on the cost of, and schedule for, implementing the pilot program).
    (d) MANAGEMENT OF PROGRAM- The Program shall be managed independently of the baseline incineration program until the pilot program is completed.
    (e) DEFINITION- In this section, the term `Assembled Chemical Weapons Assessment Program' means the program established in section 152(e) of the National Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 214; 50 U.S.C. 1521), and section 8065 of the Department of Defense Appropriations Act, 1997 (as contained in section 101 of Public Law 104-208; 110 Stat. 3009-101), for identifying and demonstrating alternatives to the baseline incineration process for the demilitarization of assembled chemical munitions.

TITLE II--RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

Subtitle A--Authorization of Appropriations

SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for the use of the Department of Defense for research, development, test, and evaluation as follows:
      (1) For the Army, $4,791,997,000.
      (2) For the Navy, $8,377,059,000.
      (3) For the Air Force, $13,785,401,000.
      (4) For Defense-wide activities, $9,283,515,000, of which--
        (A) $251,106,000 is authorized for the activities of the Director, Test and Evaluation; and
        (B) $29,245,000 is authorized for the Director of Operational Test and Evaluation.

SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.

    (a) FISCAL YEAR 1999- Of the amounts authorized to be appropriated by section 201, $3,078,251,000 shall be available for basic research and applied research projects.
    (b) BASIC RESEARCH AND APPLIED RESEARCH DEFINED- For purposes of this section, the term `basic research and applied research' means work funded in program elements for defense research and development under Department of Defense category 6.1 or 6.2.

Subtitle B--Program Requirements, Restrictions, and Limitations

SEC. 211. MANAGEMENT RESPONSIBILITY FOR NAVY MINE COUNTERMEASURES PROGRAMS.

    Section 216(a) of the National Defense Authorization Act for Fiscal Years 1992 and 1993 (Public Law 102-190; 105 Stat. 1317, as amended) is amended by striking out `through 1999' and inserting in lieu thereof `through 2003'.

SEC. 212. FUTURE AIRCRAFT CARRIER TRANSITION TECHNOLOGIES.

    Of the funds authorized to be appropriated under section 201(2) for Carrier System Development (program element 0603512N), $50,000,000 shall be available for research, development, test, evaluation, and insertion into the CVN-77 nuclear aircraft carrier program of technologies designed to transition to, demonstrate enhanced capabilities for, or mitigate cost and technical risks of, the CV(X) aircraft carrier program.

SEC. 213. MANUFACTURING TECHNOLOGY PROGRAM.

    (a) REQUIREMENTS RELATING TO COMPETITION- Section 2525(d)(1) of title 10, United States Code, is amended--
      (1) by inserting `(A)' after `(1)'; and
      (2) by adding at the end the following new subparagraph:
    `(B) For each grant awarded and each contract, cooperative agreement, or other transaction entered into on a cost-share basis under the program, the ratio of contract recipient cost to Government cost shall be determined by competitive procedures. For a project for which the Government receives an offer from only one offeror, the contracting officer shall negotiate the ratio of contract recipient cost to Government cost that represents the best value to the Government.'.
    (b) REQUIREMENTS RELATING TO COST SHARE WAIVERS- Section 2525(d)(2) of such title is amended--
      (1) by redesignating subparagraphs (A), (B), and (C) as clauses (i), (ii), and (iii), respectively;
      (2) by inserting `(A)' after `(2)'; and
      (3) by adding at the end the following new subparagraphs:
    `(B) For any grant awarded or contract, cooperative agreement, or other transaction entered into on a basis other than a cost-sharing basis because of a determination made under subparagraph (A), the transaction file for the project concerned must document the rationale for the determination.
    `(C) The Secretary of Defense may delegate the authority to make determinations under subparagraph (A) only to the Under Secretary of Defense for Acquisition and Technology or a service acquisition executive, as appropriate.'.
    (c) COST SHARE GOAL- Section 2525(d) of such title is amended--
      (1) by striking out paragraph (4); and
      (2) in paragraph (3)--
        (A) by striking out `At least' and inserting in lieu thereof `As a goal, at least';
        (B) by striking out `shall' and inserting in lieu thereof `should'; and
        (C) by adding at the end the following: `The Secretary of Defense, in coordination with the Secretaries of the military departments and upon recommendation of the Under Secretary of Defense for Acquisition and Technology, shall establish annual objectives to meet such goal.'.
    (d) ADDITIONAL INFORMATION TO BE INCLUDED IN FIVE-YEAR PLAN- Section 2525(e)(1) of such title is amended--
      (1) by striking `and' at the end of subparagraph (A);
      (2) by striking the period at the end of subparagraph (B) and inserting `; and'; and
      (3) by inserting at the end the following new subparagraph:
      `(C) the extent of cost sharing in the manufacturing technology program by companies in the private sector, weapons system program offices and other defense program offices, Federal agencies other than the Department of Defense, nonprofit institutions and universities, and other sources.'.

Subtitle C--Ballistic Missile Defense

SEC. 231. NATIONAL MISSILE DEFENSE POLICY.

    (a) FINDINGS- Congress makes the following findings:
      (1) Threats posed by ballistic missiles and weapons of mass destruction to the national territory of the United States continue to grow as the trend in ballistic missile proliferation and development is toward longer range and increasingly sophisticated missiles.
      (2) Russian and Chinese sources continue to proliferate missile and other advanced technologies.
      (3) North Korea is developing the Taepo-Dong 2 missile, which would have a range sufficient to strike Alaska and Hawaii, and other countries hostile to the United States, including Iran, Libya, and Iraq, have demonstrated an interest in acquiring or developing ballistic missiles capable of reaching the United States.
      (4) Russia's increased reliance on nuclear forces to compensate for the decline of its conventional forces and uncertainty regarding command and control of those nuclear forces increase the possibility of an accidental or unauthorized launch of Russian ballistic missiles.
      (5) The United States could be deterred from effectively promoting or protecting its national interests around the world if any State or territory of the United States is vulnerable to long-range ballistic missiles deployed by nations hostile to the United States.
    (b) SENSE OF CONGRESS CONCERNING NATIONAL MISSILE DEFENSE POLICY- It is the sense of Congress that--
      (1) any national missile defense system deployed by the United States must provide effective defense against limited, accidental, or unauthorized ballistic missile attack for all 50 States; and
      (2) the territories of the United States should be afforded effective protection against ballistic missile attack.

SEC. 232. LIMITATION ON FUNDING FOR THE MEDIUM EXTENDED AIR DEFENSE SYSTEM.

    None of the funds appropriated for fiscal year 1999 for the Ballistic Missile Defense Organization may be obligated for the Medium Extended Air Defense System (MEADS) until the Secretary of Defense certifies to Congress that the future-years defense plan includes sufficient programmed funding for that system to complete the design and development phase. If the Secretary does not submit such a certification by January 1, 1999, then (effective as of that date) the funds appropriated for fiscal year 1999 for the Ballistic Missile Defense Organization that are allocated for the MEADS program shall be available to support modification of the Patriot Advanced Capability-3, Configuration 3, so as to support the requirement for mobile theater missile defense to be met by the MEADS system.

SEC. 233. LIMITATION ON FUNDING FOR COOPERATIVE BALLISTIC MISSILE DEFENSE PROGRAMS.

    Of the funds appropriated for fiscal year 1999 for the Russian-American Observational Satellite (RAMOS) program, $5,000,000 may not be obligated until the Secretary of Defense certifies to Congress that the Department of Defense has received detailed information concerning the nature, extent, and military implications of the transfer of ballistic missile technology from Russian sources to Iran.

SEC. 234. LIMITATION ON FUNDING FOR COUNTERPROLIFERATION SUPPORT.

    None of the funds appropriated for fiscal year 1999 for counterproliferation support in Program Element 63160BR may be obligated until the Secretary of Defense submits to Congress the report required by section 234 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1664; 50 U.S.C. 2367) to be submitted not later than January 30, 1998.

SEC. 235. BALLISTIC MISSILE DEFENSE PROGRAM ELEMENTS.

    (a) BMD PROGRAM ELEMENTS- (1) Chapter 9 of title 10, United States Code, is amended by inserting after section 222 the following new section:

`Sec. 223. Ballistic missile defense programs

    `(a) PROGRAM ELEMENTS SPECIFIED- In the budget justification materials submitted to Congress in support of the Department of Defense budget for any fiscal year (as submitted with the budget of the President under section 1105(a) of title 31), the amount requested for activities of the Ballistic Missile Defense Organization shall be set forth in accordance with the following program elements:
      `(1) The Patriot system.
      `(2) The Navy Area system.
      `(3) The Theater High-Altitude Area Defense system.
      `(4) The Navy Theater Wide system.
      `(5) The Medium Extended Air Defense System.
      `(6) Joint Theater Missile Defense.
      `(7) National Missile Defense.
      `(8) Support Technologies.
      `(9) Family of Systems Engineering and Integration.
      `(10) Ballistic Missile Defense Technical Operations.
      `(11) Threat and Countermeasures.
      `(12) International Cooperative Programs.
    `(b) TREATMENT OF MAJOR DEFENSE ACQUISITION PROGRAMS- Amounts requested for Theater Missile Defense and National Missile Defense major defense acquisition programs shall be specified in individual, dedicated program elements, and amounts appropriated for those programs shall be available only for Ballistic Missile Defense activities.
    `(c) MANAGEMENT AND SUPPORT- The amount requested for each program element specified in subsection (a) shall include requests for the amounts necessary for the management and support of the programs, projects, and activities contained in that program element.'.
    (2) The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 222 the following new item:
      `223. Ballistic missile defense programs.'.
    (b) REPEAL OF SUPERSEDED PROVISION- Section 251 of the National Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 10 U.S.C. 221 note) is repealed.

TITLE III--OPERATION AND MAINTENANCE

Subtitle A--Authorization of Appropriations

SEC. 301. OPERATION AND MAINTENANCE FUNDING.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for the use of the Armed Forces and other activities and agencies of the Department of Defense for expenses, not otherwise provided for, for operation and maintenance, in amounts as follows:
      (1) For the Army, $16,339,700,000.
      (2) For the Navy, $21,839,328,000.
      (3) For the Marine Corps, $2,539,703,000.
      (4) For the Air Force, $18,816,108,000.
      (5) For Defense-wide activities, $10,354,216,000.
      (6) For the Army Reserve, $1,197,622,000.
      (7) For the Naval Reserve, $948,639,000.
      (8) For the Marine Corps Reserve, $116,993,000.
      (9) For the Air Force Reserve, $1,747,696,000.
      (10) For the Army National Guard, $2,464,815,000.
      (11) For the Air National Guard, $3,096,933,000.
      (12) For the Defense Inspector General, $130,764,000.
      (13) For the United States Court of Appeals for the Armed Forces, $7,324,000.
      (14) For Environmental Restoration, Army, $377,640,000.
      (15) For Environmental Restoration, Navy, $281,600,000.
      (16) For Environmental Restoration, Air Force, $379,100,000.
      (17) For Environmental Restoration, Defense-wide, $26,091,000.
      (18) For Environmental Restoration, Formerly Used Defense Sites, $195,000,000.
      (19) For Overseas Humanitarian, Disaster, and Civic Aid programs, $47,311,000.
      (20) For Drug Interdiction and Counter-drug Activities, Defense-wide, $727,582,000.
      (21) For the Kaho'olawe Island Conveyance, Remediation, and Environmental Restoration Trust Fund, $15,000,000.
      (22) For Defense Health Program, $9,663,035,000.
      (23) Former Soviet Union Threat Reduction programs, $417,400,000.
      (24) For Overseas Contingency Operations Transfer Fund, $746,900,000.

SEC. 302. WORKING CAPITAL FUNDS.

    Funds are hereby authorized to be appropriated for fiscal year 1999 for the use of the Armed Forces and other activities and agencies of the Department of Defense for providing capital for working capital and revolving funds in amounts as follows:
      (1) For the Defense Working Capital Funds, $1,076,571,000.
      (2) For the National Defense Sealift Fund, $669,566,000.

SEC. 303. ARMED FORCES RETIREMENT HOME.

    There is hereby authorized to be appropriated for fiscal year 1999 from the Armed Forces Retirement Home Trust Fund the sum of $70,745,000 for the operation of the Armed Forces Retirement Home, including the United States Soldiers' and Airmen's Home and the Naval Home.

SEC. 304. TRANSFER FROM NATIONAL DEFENSE STOCKPILE TRANSACTION FUND.

    (a) TRANSFER AUTHORITY- To the extent provided in appropriations Acts, not more than $150,000,000 is authorized to be transferred from the National Defense Stockpile Transaction Fund to operation and maintenance accounts for fiscal year 1999 in amounts as follows:
      (1) For the Army, $50,000,000.
      (2) For the Navy, $50,000,000.
      (3) For the Air Force, $50,000,000.
    (b) TREATMENT OF TRANSFERS- Amounts transferred under this section--
      (1) shall be merged with, and be available for the same purposes and the same period as, the amounts in the accounts to which transferred; and
      (2) may not be expended for an item that has been denied authorization of appropriations by Congress.
    (c) RELATIONSHIP TO OTHER TRANSFER AUTHORITY- The transfer authority provided in this section is in addition to the transfer authority provided in section 1001.

SEC. 305. REFURBISHMENT OF M1-A1 TANKS.

    Of the amount authorized to be appropriated pursuant to section 301(1) for operation and maintenance for the Army, $31,000,000 shall be available only for the refurbishment of up to 70 M1-A1 tanks under the AIM-XXI program.

SEC. 306. OPERATION OF PREPOSITIONED FLEET, NATIONAL TRAINING CENTER, FORT IRWIN, CALIFORNIA.

    Of the amount authorized to be appropriated pursuant to section 301(1) for operation and maintenance for the Army, $60,200,000 shall be available only to pay costs associated with the operation of the prepositioned fleet of equipment during training rotations at the National Training Center, Fort Irwin, California.

SEC. 307. RELOCATION OF USS WISCONSIN.

    Of the amount authorized to be appropriated pursuant to section 301(2) for operation and maintenance for the Navy, $6,000,000 may be available for the purpose of relocating the USS WISCONSIN, which is currently in a reserve status at the Norfolk Naval Shipyard, Virginia, to a suitable location in order to increase available berthing space at the shipyard.

SEC. 308. FISHER HOUSE TRUST FUNDS.

    Funds are hereby authorized to be appropriated for fiscal year 1999, out of funds in Fisher House Trust Funds not otherwise appropriated, for the operation of Fisher houses described in section 2221(d) of title 10, United States Code, as follows:
      (1) From the Fisher House Trust Fund, Department of the Army, $250,000 for Fisher houses that are located in proximity to medical treatment facilities of the Army.
      (2) From the Fisher House Trust Fund, Department of the Navy, $150,000 for Fisher houses that are located in proximity to medical treatment facilities of the Navy.
      (3) From the Fisher House Trust Fund, Department of the Air Force, $150,000 for Fisher houses that are located in proximity to medical treatment facilities of the Air Force.

Subtitle B--Information Technology Issues

SEC. 311. ADDITIONAL INFORMATION TECHNOLOGY RESPONSIBILITIES OF CHIEF INFORMATION OFFICERS.

    (a) IN GENERAL- (1) Chapter 131 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 2223. Information technology: additional responsibilities of Chief Information Officers

    `(a) ADDITIONAL RESPONSIBILITIES- In addition to the responsibilities provided for in chapter 35 of title 44 and in section 5125 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1425)--
      `(1) the Chief Information Officer of the Department of Defense, with respect to the elements of the Department of Defense other than the military departments, shall--
        `(A) review and provide recommendations to the Secretary of Defense on Department of Defense budget requests for information technology and national security systems;
        `(B) ensure the interoperability of information technology and national security systems throughout the Department of Defense; and
        `(C) ensure that information technology and national security systems standards that will apply throughout the Department of Defense are prescribed; and
      `(2) the Chief Information Officer of each military department, with respect to the military department concerned, shall--
        `(A) review budget requests for all information technology and national security systems;
        `(B) ensure that information technology and national security systems are in compliance with standards of the Government and the Department of Defense;
        `(C) ensure that information technology and national security systems are interoperable with other relevant information technology and national security systems of the Government and the Department of Defense;
        `(D) provide for the elimination of duplicate information technology and national security systems within and between the military departments and Defense Agencies; and
        `(E) coordinate with the Joint Staff with respect to information technology and national security systems.
    `(b) DEFINITIONS- In this section:
      `(1) The term `Chief Information Officer' means the senior official designated by the Secretary of Defense or a Secretary of a military department pursuant to section 3506 of title 44.
      `(2) The term `information technology' has the meaning given that term by section 5002 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
      `(3) The term `national security system' has the meaning given that term by section 5142 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1452).'.
    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `2223. Information technology: additional responsibilities of Chief Information Officers.'.
    (b) EFFECTIVE DATE- Section 2223 of title 10, United States Code, as added by subsection (a), shall take effect on October 1, 1998.

SEC. 312. DEFENSE-WIDE ELECTRONIC MALL SYSTEM FOR SUPPLY PURCHASES.

    (a) ELECTRONIC MALL SYSTEM- In this section, the term `electronic mall system' means an electronic system for displaying, ordering, and purchasing supplies and materiel available from sources within the Department of Defense and from the private sector.
    (b) DEVELOPMENT AND MANAGEMENT- Using existing systems and technology available in the Department of Defense, the Defense Logistics Agency shall develop a single, defense-wide electronic mall system. The Defense Logistics Agency shall be responsible for the management of the resulting electronic mall system. The Secretary of each military department and the head of each Defense Agency shall provide to the Defense Logistics Agency the necessary and requested data to support the development and operation of the electronic mall system.
    (c) IMPLEMENTATION DATE- The electronic mall system shall be operational and available throughout the Department of Defense not later than June 1, 1999. After that date, a military department or Defense Agency (other than the Defense Logistics Agency) may not develop or operate an electronic mall system.

SEC. 313. PROTECTION OF FUNDING PROVIDED FOR CERTAIN INFORMATION TECHNOLOGY AND NATIONAL SECURITY PROGRAMS.

    (a) USE FOR SPECIFIED PURPOSES- Of the amounts authorized to be appropriated to the Department of Defense for fiscal years 1999, 2000, and 2001 for information technology and national security programs of the Department of Defense, not less than the amount specified in subsection (b) shall be available for each such fiscal year for the purposes of the information technology and national security programs described in such subsection, unless an alternative use of the funds is specifically approved by a law enacted after the date of the enactment of the law originally authorizing the funds.
    (b) COVERED PROGRAMS AND AMOUNTS- The information technology and national security programs referred to in subsection (a), and the amounts to be available for each program, are the following:
      (1) The Force XXI program of the Army, $360,000,000.
      (2) The Information Technology for the 21st Century programs of the Navy, $472,000,000.
      (3) The Communications Infrastructure programs of the Air Force, $228,500,000.
      (4) The Telecom and Computing Infrastructure programs of the Marine Corps, $93,000,000.
    (c) DEFINITIONS- In this section:
      (1) The term `information technology' has the meaning given that term in section 5002 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
      (2) The term `national security system' has the meaning given that term in section 5142 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1452).

SEC. 314. PRIORITY FUNDING TO ENSURE YEAR 2000 COMPLIANCE OF MISSION CRITICAL INFORMATION TECHNOLOGY AND NATIONAL SECURITY SYSTEMS.

    (a) FUNDS FOR COMPLETION OF YEAR 2000 CONVERSION- (1) Of the amounts authorized to be appropriated pursuant to this Act for information technology and national security systems of the Department of Defense designated as mission critical, not more than 25 percent may be used to fund activities unrelated to ensuring that the awareness, assessment, and renovation phases of year 2000 conversion for such information technology and national security systems are completed.
    (2) Of the amounts authorized to be appropriated pursuant to this Act for information technology and national security systems of the Department of Defense (other than information technology and national security systems covered by paragraph (1)), not less than $1,000,000,000 shall be available only for transfer to support activities to ensure that the awareness, assessment, renovation, and validation phases of year 2000 conversion for information technology and national security systems covered by paragraph (1) are completed.
    (b) EXCEPTIONS- (1) This section does not apply to or affect funding for information technology and national security programs identified in section 313(b).
    (2) The Secretary of Defense may authorize expenditures in excess of the 25 percent limitation specified in subsection (a)(1) if the Secretary determines that additional expenditures are required to prevent the failure of the information technology or national security system and provides prior notice to Congress of the reasons for the additional expenditures.
    (c) TERMINATION- (1) On the date on which the Secretary of Defense determines that the year 2000 renovation phase has been completed for a particular information technology or national security system covered by paragraph (1) of subsection (a), such paragraph shall cease to apply to that information technology or national security system.
    (2) Paragraph (2) of such subsection shall cease to apply on the date on which the Secretary of Defense determines that all of the information technology and national security systems covered by paragraph (1) of such subsection are fully funded through the validation phase of year 2000 conversion, have an established contingency plan, and have completed a point of origin to point of execution evaluation.
    (d) COMPTROLLER GENERAL REVIEW- Not later than January 30, 1999, the Comptroller General shall submit to Congress a briefing containing the following:
      (1) Separate lists of each information technology and national security system of the Department of Defense covered by subsection (a)(1) for which the renovation phase of year 2000 conversion is not completed by December 30, 1998.
      (2) A evaluation of the effect of subsection (a) on the year 2000 conversion success rate.
      (3) A list of each information technology and national security system covered by subsection (a)(1) that will not achieve year 2000 compliance by September 30, 1999.
      (4) An explanation of how the military departments, the Joint Chiefs of Staff, and Defense Agencies are applying the definition of mission critical.
      (5) Recommendations regarding the manner in which funding could best be allocated to achieve year 2000 compliance for the greatest number of information technology and national security systems covered by subsection (a)(1).
    (e) DEFINITIONS- In this section:
      (1) The term `information technology' has the meaning given that term in section 5002 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
      (2) The term `national security system' has the meaning given that term in section 5142 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1452).
      (3) The term `mission critical' means an information technology or national security system of the Department of Defense identified as mission critical in the table prepared by the Joint Chiefs of Staff entitled `Mission Critical Systems (All Services/Agencies)', dated March 20, 1998, or in the table printed by the Defense Integrated Support Tool entitled `Year 2000 Information on Mission Critical Systems', dated March 19, 1998.
      (4) The terms `awareness', `assessment', `renovation', and `validation' have the meanings given the terms in the Department of Defense `Year 2000 Management Plan', version 1.0, released in April 1997.

SEC. 315. EVALUATION OF YEAR 2000 COMPLIANCE AS PART OF TRAINING EXERCISES PROGRAMS.

    (a) REPORT ON EVALUATION PLAN- Not later than December 15, 1998, the Secretary of Defense shall submit to Congress a report containing a plan to include a simulated year 2000 as part of the military exercises described in subsection (b) in order to evaluate, in an operational environment, the extent to which information technology and national security systems involved in the exercises will successfully operate, including the ability of the systems to access and transmit information from point of origin to point of termination, during the actual year 2000.
    (b) COVERED MILITARY EXERCISES- A military exercise referred to in subsection (a) is a military exercise conducted by the Department of Defense, during the period beginning on January 1, 1999, and ending on September 30, 1999--
      (1) under the training exercises program known as the `CJCS Exercise Program';
      (2) at the Naval Strike and Air Warfare Center, the Army National Training Center, or the Air Force Air Warfare Center; or
      (3) as part of Naval Carrier Group fleet training or Marine Corps Expeditionary Unit training.
    (c) ELEMENTS OF REPORT- The report under subsection (a) shall include the following:
      (1) A list of all military exercises described in subsection (b) to be conducted during the period specified in such subsection.
      (2) A description of the manner in which the year 2000 will be simulated for information technology and national security systems involved in each military exercise.
      (3) The duration of the year 2000 simulation in each military exercise.
      (4) The methodology to be used in turning over the information technology and national security systems to the year 2000 in order to best identify those systems that fail to operate reliably during the military exercise.
      (5) A list of the information technology and national security systems excluded from the plan under subsection (d)(1), including how the military exercise will utilize an excluded system's year 2000 contingency plan.
      (6) A list of the exercises and information technology and national security systems excluded from the plan under subsection (d)(2), and a description of the effect that continued year 2000 noncompliance of the systems would have on military readiness.
    (d) EXCLUSIONS- (1) Subsection (a) shall not apply to an information technology or national security system if the Secretary of Defense determines that the system will be incapable of performing reliably during the year 2000 simulation portion of the military exercise. In the case of each excluded system, the system may not be used during the period of the year 2000 simulation. Instead, the excluded system shall be replaced by the year 2000 contingency plan for the system.
    (2) If the mission of a military exercise will be seriously hampered by the number of information technology and national security systems covered by paragraph (1), the Secretary of Defense may exclude the entire exercise from the requirements of subsection (a).
    (3) Subsection (a) shall not apply to an information technology or national security system with cryptological applications.
    (4) If the decision to exclude a military exercise or information technology or national security system is made under paragraph (1) or (2) after the date of the submission of the report required by subsection (a), the Secretary of Defense shall notify Congress of the exclusion not later than two weeks before commencing the military exercise. The notification shall include the information required under paragraph (5) or (6) of subsection (c), depending on whether the exclusion covers the entire exercise or particular information technology and national security systems.
    (e) COMPTROLLER GENERAL REVIEW- Not later than January 30, 1999, the Comptroller General shall review the report and plan submitted under subsection (a) and submit to Congress a briefing evaluating the methodology to be used under the plan to simulate the year 2000, describing the potential information that will be collected as a result of implementation of the plan, and describing the impact that the plan will have on military readiness.
    (f) DEFINITIONS- In this section:
      (1) The term `information technology' has the meaning given that term in section 5002 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
      (2) The term `national security system' has the meaning given that term in section 5142 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1452).

Subtitle C--Environmental Provisions

SEC. 321. AUTHORIZATION TO PAY NEGOTIATED SETTLEMENT FOR ENVIRONMENTAL CLEANUP AT FORMER DEPARTMENT OF DEFENSE SITES IN CANADA.

    (a) AUTHORIZATION- To the extent provided in appropriations Acts, the Secretary of Defense may pay an amount to the Government of Canada of not more than $100,000,000 (in fiscal year 1996 constant dollars), for purposes of implementing the October 1996 negotiated settlement between the United States and Canada relating to environmental cleanup at various sites in Canada that were formerly used by the Department of Defense.
    (b) METHOD OF PAYMENT- The amount authorized by subsection (a) shall be paid in 10 annual payments, with the first payment made from amounts appropriated for fiscal year 1998.
    (c) FISCAL YEAR 1998 PAYMENT- The payment under this section for fiscal year 1998 shall be made from amounts appropriated pursuant to section 301(5) of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1669).
    (d) FISCAL YEAR 1999 PAYMENT- The payment under this section for fiscal year 1999 shall be made from amounts appropriated pursuant to section 301(5).
    (e) LIMITATION- The authorization provided in this section shall not be construed as setting a precedent for payment under a treaty of an environmental claim made by another nation, unless the Senate has given its consent to the ratification of the treaty.

SEC. 322. REMOVAL OF UNDERGROUND STORAGE TANKS.

    Of the amount authorized to be appropriated pursuant to section 301(18) (relating to environmental restoration of formerly used defense sites), the Secretary of the Army may use not more than $150,000 for the removal of underground storage tanks at the Authorities Allied Industrial Park, Macon, Georgia.

Subtitle D--Defense Infrastructure Support Improvement

SEC. 331. REPORTING AND STUDY REQUIREMENTS BEFORE CHANGE OF COMMERCIAL AND INDUSTRIAL TYPE FUNCTIONS TO CONTRACTOR PERFORMANCE.

    (a) IN GENERAL- Section 2461 of title 10, United States Code, is amended--
      (1) by redesignating subsection (c) as subsection (h) and transferring such subsection to appear after subsection (g); and
      (2) by striking out subsections (a) and (b) and inserting in lieu thereof the following new subsections:
    `(a) REPORTING AND STUDY REQUIREMENTS AS PRECONDITION TO CHANGE IN PERFORMANCE- A commercial or industrial type function of the Department of Defense that, as of October 1, 1980, was being performed by Department of Defense civilian employees may not be changed to performance by a private contractor or changed to procurement through a private contractor until the Secretary of Defense fully complies with the reporting and study requirements specified in subsections (b) and (c).
    `(b) NOTIFICATION AND ELEMENTS OF STUDY- (1) Before commencing to study a commercial or industrial type function described in subsection (a) for possible change to performance by a private contractor or possible change to procurement through a private contractor, the Secretary of Defense shall submit to Congress a report containing the following:
      `(A) The function to be studied for possible change.
      `(B) The location at which the function is performed by Department of Defense civilian employees.
      `(C) The number of civilian employee positions potentially affected.
      `(D) The anticipated length and cost of the study.
      `(E) A certification that the performance of the commercial or industrial type function by civilian employees of the Department of Defense is not precluded due to any constraint or limitation in terms of man years, end strengths, full-time equivalent positions, or maximum number of employees.
    `(2) The responsibility of the Secretary of Defense to submit the report required under paragraph (1) may be delegated only to senior acquisition executives or higher officials for the military departments and the Defense Agencies.
    `(3) The study of a commercial or industrial type function for possible change in performance shall include the following:
      `(A) A comparison of the cost of performance of the function by Department of Defense civilian employees and by private contractor to demonstrate whether change to performance by a private contractor or change to procurement through a private contractor will result in savings to the Government over the life of the contract, including in the comparison--
        `(i) the amount estimated by the Secretary of Defense (based on bids received) to be the amount of a contract for performance of the function by a private contractor;
        `(ii) the cost to the Government of Department of Defense civilian employees performing the function; and
        `(iii) the costs and expenditures which the Government would incur (in addition to the amount of the contract) because of the award of such a contract.
      `(B) An examination of the potential economic effect of performance of the function by a private contractor--
        `(i) on employees who would be affected by such a change in performance; and
        `(ii) on the local community and the Government, if more than 75 employees perform the function.
      `(C) An examination of the effect of performance of the function by a private contractor on the military mission of the function.
    `(4) If the commercial or industrial type function at issue involves a working-capital fund in the Department of Defense and the study concerns the possible procurement by a requisitioning agency of services or supplies from a private contractor instead of the working-capital fund, in lieu of the comparison required by paragraph (3), the study shall include a comparison of the sources of the services or supplies to determine which source is more cost-effective for the requisitioning agency.
    `(5) An individual or entity at a facility where a commercial or industrial type function is studied for possible change in performance may raise an objection to the study on the grounds that the report required under paragraph (1) as a precondition for the study does not contain the certification required by subparagraph (E) of such paragraph. The objection may be raised at any time during the course of the study, shall be in writing, and shall be submitted to the Secretary of Defense. If the Secretary determines that the certification was omitted, the commercial or industrial type function covered by the study may not be the subject of request for proposal or award of a contract until a certification is made that fully complies with paragraph (1)(E) and the other requirements of this section are satisfied.
    `(c) NOTIFICATION OF DECISION- (1) If, as a result of the completion of a study under subsection (b)(3), a decision is made to change the commercial or industrial type function that was the subject of the study to performance by a private contractor or to procurement through a private contractor, the Secretary of Defense shall submit to Congress a report describing that decision. The report shall--
      `(A) indicate that the study under subsection (b)(3) has been completed;
      `(B) certify that the Government calculation for the cost of performance of the function by Department of Defense civilian employees is based on an estimate of the most efficient and cost effective organization for performance of the function by Department of Defense civilian employees;
      `(C) certify that the comparison required by subsection (b)(3)(A) (or alternatively by subsection (b)(4)) as part of the study demonstrates that the performance of the function by a private contractor or procurement of the function through a private contractor will result in savings to the Government over the life of the contract;
      `(D) certify that the entire comparison is available for examination; and
      `(E) contain a timetable for completing change of the function to contractor performance.
    `(2) The actual change of the function to contractor performance may not begin until after the submission of the report required by this subsection.'.
    (b) CONFORMING AMENDMENTS- (1) Subsections (e)(2) and (f)(1) of such section are amended by striking out `converted' and inserting in lieu thereof `changed'.
    (2) Subsection (f)(2) of such section is amended by striking out `conversion' and inserting in lieu thereof `change'.
    (c) EFFECTIVE DATE- The amendments made by this section shall take effect on the date of the enactment of this Act but shall not apply with respect to conversion of a function of the Department of Defense to performance by a private contractor concerning which the Secretary of Defense provided to Congress, before the date of the enactment of this Act, a notification under paragraph (1) of section 2461(a) of title 10, United States Code, as in effect on the day before the date of the enactment of this Act.

SEC. 332. CLARIFICATION OF REQUIREMENT TO MAINTAIN GOVERNMENT-OWNED AND GOVERNMENT-OPERATED CORE LOGISTICS CAPABILITY.

    Section 2464 of title 10, United States Code, is amended by adding at the end the following new subsection:
    `(c) RULE OF CONSTRUCTION- The requirement under subsection (a) that the Department of Defense maintain a core logistics capability that is Government-owned and Government-operated is not satisfied when a core logistics workload is converted to contractor performance even though the actual performance of the workload will be carried out in a Government-owned, Government-operated facility of the Department of Defense as a subcontractor of the private contractor. Nothing in section 2474 of this title or section 337 of the National Defense Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2717) authorizes the use of subcontracts as a means to provide workloads to Government-owned, Government-operated facilities of the Department of Defense in order to satisfy paragraph (4) of subsection (a).'.

SEC. 333. OVERSIGHT OF DEVELOPMENT AND IMPLEMENTATION OF AUTOMATED IDENTIFICATION TECHNOLOGY.

    (a) SMARTCARD PROGRAM DEFINED- In this section, the term `smartcard program' means an automated identification technology program, including any pilot program, employing one or more of the following technologies:
      (1) Magnetic stripe.
      (2) Bar codes, both linear and two-dimensional (including matrix symbologies).
      (3) Smartcard.
      (4) Optical memory.
      (5) Personal computer memory card international association carriers.
      (6) Other established or emerging automated identification technologies, including biometrics and radio frequency identification.
    (b) OVERSIGHT RESPONSIBILITY- (1) The Smartcard Technology Office established in the Defense Human Resources Field Activity of the Department of Defense shall be responsible for--
      (A) overseeing the development and implementation of all smartcard programs in the Department; and
      (B) coordinating smartcard programs with the Joint Staff, the Secretaries of the military departments, and the directors of the Defense Agencies.
    (2) After the date of the enactment of this Act, funds appropriated for the Department of Defense may not be obligated for a smartcard program unless the program is reviewed and approved by the Smartcard Technology Office. The review and approval before that date of a smartcard program by the Office is sufficient to satisfy the requirements of this paragraph.
    (c) TYPES OF OVERSIGHT- As part of its oversight responsibilities, the Smartcard Technology Office shall establish standards designed--
      (1) to ensure the compatibility and interoperability of smartcard programs in the Department of Defense; and
      (2) to identify and terminate redundant, unfeasible, or uneconomical smartcard programs.

SEC. 334. CONDITIONS ON EXPANSION OF FUNCTIONS PERFORMED UNDER PRIME VENDOR CONTRACTS.

    (a) PRIME VENDOR CONTRACT DEFINED- For purposes of this section, the term `prime vendor contract' means an innovative contract that gives a defense contractor the responsibility to manage, store, and distribute inventory, manage and provide services, or manage and perform research, on behalf of the Department of Defense on a frequent, regular basis, for users within the Department on request. The term includes contracts commonly referred to as prime vendor support contracts, flexible sustainment contracts, and direct vendor delivery contracts.
    (b) CONDITIONS ON EXPANDED USE- If the Secretary of Defense or the Secretary of a military department proposes to enter into a prime vendor contract for a hardware system, including the performance or management of depot-level maintenance and repair (as defined in section 2460 of title 10, United States Code) or logistics management responsibilities, the Secretary may not enter into the prime vendor contract until the end of the 60-day period beginning on the date on which the Secretary submits to Congress a report, specific to that proposal, that--
      (1) describes the competitive procedures to be used to award the prime vendor contract;
      (2) evaluates the effect of the prime vendor contract on working-capital funds in the Department of Defense; and
      (3) contains a cost/benefit analysis that demonstrates that use of the prime vendor contract will result in savings to the Government over the life of the contract.
    (c) COMPTROLLER GENERAL REVIEW- During the waiting period provided in subsection (b) for a proposed prime vendor contract, the Comptroller General shall review the report submitted under subsection (b) with respect to that contract and submit to Congress a report regarding--
      (1) whether the cost savings to the Government identified in the report submitted under subsection (b) are achievable; and
      (2) whether use of a prime vendor contract will comply with the requirements of chapter 146 of title 10, United States Code, applicable to depot-level maintenance and repair.
    (d) RELATIONSHIP TO OTHER LAWS- Nothing in this section shall be construed to exempt a prime vendor contract
from the requirements of section 2461 of title 10, United States Code, or any other provision of chapter 146 of such title.

SEC. 335. CLARIFICATION OF DEFINITION OF DEPOT-LEVEL MAINTENANCE AND REPAIR.

    Section 2460(a) of title 10, United States Code, is amended by inserting before the period at the end of the first sentence the following: `or the location at which the maintenance or repair is performed'.

SEC. 336. CLARIFICATION OF COMMERCIAL ITEM EXCEPTION TO REQUIREMENTS REGARDING CORE LOGISTICS CAPABILITIES.

    Section 2464(a)(5) of title 10, United States Code, is amended--
      (1) by inserting `(A)' after `(5)';
      (2) by adding at the end of subparagraph (A), as so designated, the following: `The determination of whether a modification is minor shall be based on a comparison of only the critical systems of the version sold in the commercial marketplace and the version purchased by the Government, and a modification may not be considered to be minor unless at least 90 percent of the total content by component value remains identical.'; and
      (3) by adding at the end the following new subparagraph:
    `(B) In this paragraph, the term `substantial quantities' means, with respect to determining whether an item is a commercial item, that purchases and leases of the item to the general public constitute the majority of all transactions involving the item at the time the exception under paragraph (3) is proposed to be exercised.'.

SEC. 337. DEVELOPMENT OF PLAN FOR ESTABLISHMENT OF CORE LOGISTICS CAPABILITIES FOR MAINTENANCE AND REPAIR OF C-17 AIRCRAFT.

    (a) FINDINGS- Congress finds the following:
      (1) The C-17 aircraft, which is replacing the C-141 aircraft, will serve as the cornerstone of heavy airlift capability of the Armed Forces.
      (2) The C-17 aircraft achieved initial operational capability in January 1995 and will complete the significant fourth year of its operational capability in January 1999.
      (3) As provided in section 2464(a)(3) of title 10, United States Code, the C-17 aircraft is a weapon system that is `necessary to enable the armed forces to fulfill the strategic and contingency plans prepared by the Chairman of the Joint Chiefs of Staff'.
      (4) The depot-level maintenance and repair of such a weapon system must be performed at Government-owned, Government-operated facilities of the Department of Defense in order to maintain the core logistics capabilities of the Department of Defense, as required under such section 2464.
      (5) The sole-source contract entered into in January 1998 regarding the depot-level maintenance and repair of C-17 aircraft and related tasks, known as the Interim Contract for the C-17 Flexible Sustainment Program, does not meet the requirements of law.
    (b) PLAN REQUIRED- Not later than March 1, 1999, the Secretary of the Air Force shall submit to Congress a plan for the establishment of the core logistics capabilities for the C-17 aircraft consistent with the requirements of section 2464 of title 10, United States Code.
    (c) EFFECT ON EXISTING CONTRACT- After March 1, 1999, the Secretary of the Air Force may not extend the Interim Contract for the C-17 Flexible Sustainment Program until after the end of the 60-day period beginning on the date the plan required by subsection (b) is received by Congress.
    (d) COMPTROLLER GENERAL REVIEW- During the period specified in subsection (c), the Comptroller General shall review the plan required under subsection (b) and submit to Congress a report evaluating the merits of the plan.

SEC. 338. CONTRACTOR-OPERATED CIVIL ENGINEERING SUPPLY STORES PROGRAM.

    (a) DEFINITIONS- In this section:
      (1) The term `contractor-operated civil engineering supply store' means a Government-owned facility that, as of the date of the enactment of this Act, is operated by a contractor under the contractor-operated civil engineering supply store (COCESS) program of the Department of the Air Force for the purpose of--
        (A) maintaining inventories of civil engineering supplies on behalf of a military department; and
        (B) furnishing such supplies to the department as needed.
      (2) The term `civil engineering supplies' means parts and supplies needed for the repair and maintenance of military installations.
    (b) FINDINGS- Congress finds the following:
      (1) In 1970, the Strategic Air Command of the Air Force began to use contractor-operated civil engineering supply stores to improve the efficiency and effectiveness of materials management and relieve the
Air Force from having to maintain large inventories of civil engineering supplies.
      (2) Contractor-operated civil engineering supply stores are designed to support the civil engineering and public works efforts of the Armed Forces through the provision of quality civil engineering supplies at competitive prices and within a reasonable period of time.
      (3) Through the use of a contractor-operated civil engineering supply store, a guaranteed inventory level of civil engineering supplies is maintained at a military installation, which ensures that urgently needed civil engineering supplies are available on site.
      (4) The contractor operating the contractor-operated civil engineering supply store is an independent business organization whose customer is a military department and the Armed Forces and who is subject to all the rules of private business and the regulations of the Government.
      (5) The use of contractor-operated civil engineering supply stores ensures the best price and best buy for the Government.
      (6) Ninety-five percent of the cost savings realized through the use of contractor-operated civil engineering supply stores is due to savings in the cost of actually procuring supplies.
      (7) In the past 30 years, private contractors have never lost a cost comparison conducted pursuant to the criteria set forth in Office of Management and Budget Circular A-76 for the provision of civil engineering supplies to the Government.
    (c) CONDITIONS ON MULTI-FUNCTION CONTRACTS- A civil engineering supplies function that is performed, as of the date of the enactment of this Act, by a contractor-operated civil engineering supply store may not be combined with another supply function or any service function, including any base operating support function, for purposes of competition or contracting, until--
      (1) the Secretary of Defense submits to Congress a report--
        (A) notifying Congress of the proposed combined competition or contract; and
        (B) explaining why a combined competition or contract is the best method by which to achieve cost savings and efficiencies to the Government; and
      (2) the Comptroller General reviews the report and submits to Congress a briefing regarding whether the cost savings and efficiencies identified in the report are achievable.
    (d) RELATIONSHIP TO OTHER LAWS- If a civil engineering supplies function covered by subsection (c) is proposed for combination with a supply or service function that is subject to the study and reporting requirements of section 2461 of title 10, United States Code, the Secretary of Defense may include the report required under subsection (c) as part of the report under such section.

SEC. 339. REPORT ON SAVINGS AND EFFECT OF PERSONNEL REDUCTIONS IN ARMY MATERIEL COMMAND.

    (a) REPORT REQUIRED- Not later than March 31, 1999, the Comptroller General shall submit to the congressional defense committees a report concerning--
      (1) the effect that the proposed personnel reductions in the Army Materiel Command will have on workload and readiness if implemented; and
      (2) the likelihood that the cost savings projected to occur from such reductions will actually be achieved.
    (b) DELAY IN IMPLEMENTATION OF REDUCTIONS PENDING REPORT- During the period specified in subsection (c), the Secretary of Defense and the Secretary of the Army may not commence personnel reductions based on the guidelines contained in the May 1997 report of the Quadrennial Defense Review (including the National Defense Panel) prepared pursuant to subtitle B of title IX of the National Defense Authorization Act for Fiscal Year 1997 (Public Law 104-201; 10 U.S.C. 111 note) at any Army Material Command facility that provides depot-level maintenance and repair or at any Army Arsenal.
    (c) DURATION OF DELAY- Subsection (b) applies only during the period beginning on the date of the enactment of this Act and ending on the earlier of the following:
      (1) March 31, 1999.
      (2) The date on which the report required by subsection (a) is submitted.

Subtitle E--Commissaries and Nonappropriated Fund Instrumentalities

SEC. 341. CONTINUATION OF MANAGEMENT AND FUNDING OF DEFENSE COMMISSARY AGENCY THROUGH THE OFFICE OF THE SECRETARY OF DEFENSE.

    Section 192 of title 10, United States Code, is amended by adding at the end the following new subsection:
    `(d) SPECIAL RULE FOR DEFENSE COMMISSARY AGENCY- Notwithstanding the results of the periodic review required under subsection (c) with regard to the Defense Commissary Agency, the Secretary of Defense may not transfer to the Secretary of a military department the responsibility to manage and fund the provision of services and supplies provided by the Defense Commissary Agency unless the transfer of the management and funding responsibility is specifically authorized by a law enacted after the date of the enactment of the National Defense Authorization Act for Fiscal Year 1999.'.

SEC. 342. EXPANSION OF CURRENT ELIGIBILITY OF RESERVES FOR COMMISSARY BENEFITS.

    (a) DAYS OF ELIGIBILITY FOR READY RESERVE MEMBERS WITH 50 CREDITABLE POINTS- Section 1063 of title 10, United States Code, is amended--
      (1) by striking out subsection (b); and
      (2) in subsection (a)--
        (A) by striking out `(1)';
        (B) by striking out `12 days of eligibility' and inserting in lieu thereof `24 days of eligibility'; and
        (C) by striking out `(2) Paragraph (1)' and inserting in lieu thereof `(b) EFFECT OF COMPENSATION OR TYPE OF DUTY- Subsection (a)'.
    (b) DAYS OF ELIGIBILITY FOR RESERVE RETIREES UNDER AGE 60- Section 1064 of such title is amended by
striking out `for 12 days each calendar year' and inserting in lieu thereof `for 24 days each calendar year'.
    (c) ELIGIBILITY OF MEMBERS OF NATIONAL GUARD SERVING IN FEDERALLY DECLARED DISASTER- Chapter 54 of such title is amended by inserting after section 1063 the following new section:

`Sec. 1063a. Use of commissary stores and MWR retail facilities: members of National Guard serving in federally declared disaster

    `(a) ELIGIBILITY OF MEMBERS- A member of the National Guard who, although not in Federal service, is called or ordered to duty in response to a federally declared disaster shall be permitted to use commissary stores and MWR retail facilities during the period of such duty on the same basis as members of the armed forces on active duty.
    `(b) ELIGIBILITY OF DEPENDENTS- A dependent of a member of the National Guard who is permitted under subsection (a) to use commissary stores and MWR retail facilities shall be permitted to use such stores and facilities, during the same period as the member, on the same basis as dependents of members of the armed forces on active duty.
    `(c) DEFINITIONS- In this section:
      `(1) FEDERALLY DECLARED DISASTER- The term `federally declared disaster' means a disaster or other situation for which a Presidential declaration of major disaster is issued under section 401 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170).
      `(2) MWR RETAIL FACILITIES- The term `MWR retail facilities' means exchange stores and other revenue-generating facilities operated by nonappropriated fund activities of the Department of Defense for the morale, welfare, and recreation of members of the armed forces.'.
    (d) SECTION HEADINGS- (1) The heading of section 1063 of such title is amended to read as follows:

`Sec. 1063. Use of commissary stores: members of Ready Reserve with at least 50 creditable points'.

    (2) The heading of section 1064 of such title is amended to read as follows:

`Sec. 1064. Use of commissary stores: persons qualified for retired pay under chapter 1223 but under age 60'.

    (e) CLERICAL AMENDMENT- The table of sections at the beginning of chapter 54 of such title is amended by striking out the items relating to sections 1063 and 1064 and inserting in lieu thereof the following items:
      `1063. Use of commissary stores: members of Ready Reserve with at least 50 creditable points.
      `1063a. Use of commissary stores and MWR retail facilities: members of National Guard serving in federally declared disaster.
      `1064. Use of commissary stores: persons qualified for retired pay under chapter 1223 but under age 60.'.

SEC. 343. REPEAL OF REQUIREMENT FOR AIR FORCE TO SELL TOBACCO PRODUCTS TO ENLISTED PERSONNEL.

    (a) REPEAL- Section 9623 of title 10, United States Code, is repealed.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of chapter 939 of such title is amended by striking out the item relating to section 9623.

SEC. 344. RESTRICTIONS ON PATRON ACCESS TO, AND PURCHASES IN, OVERSEAS COMMISSARIES AND EXCHANGE STORES.

    (a) AUTHORITY TO IMPOSE RESTRICTIONS; LIMITATIONS ON AUTHORITY- Chapter 147 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 2491. Overseas commissary and exchange stores: access and purchase restrictions

    `(a) GENERAL AUTHORITY- The Secretary of Defense may establish restrictions on the ability of eligible patrons of commissary and exchange stores located outside of the United States to purchase certain merchandise items (or the quantity of certain merchandise items) otherwise included within an authorized merchandise category if the Secretary determines that such restrictions are necessary to prevent the resale of such merchandise in violation of host nation laws or treaty obligations of the United States. In establishing a quantity or other restriction, the Secretary shall ensure that the restriction is consistent with the purpose of the overseas commissary and exchange system to provide reasonable access for eligible patrons to purchase merchandise items made in the United States.
    `(b) CONTROLLED ITEM LISTS- For each location outside the United States that is served by the commissary system or the exchange system, the Secretary of Defense may maintain a list of controlled merchandise items, except that, after the date of the enactment of the National Defense Authorization Act for Fiscal Year 1999, the Secretary may not change the list to add a merchandise item unless, before making the change, the Secretary submits to Congress a notice of the proposed addition and the reasons for the addition of the item.
    `(c) SPECIAL RULES FOR KOREA- (1) The Secretary of Defense may not prohibit a dependent who resides in Korea, is at least 21 years of age, and is otherwise eligible to use the commissary and exchange system, from purchasing alcoholic beverages through the commissary and exchange system. Quantity restrictions on the purchase of alcoholic beverages may be imposed, and any such restriction
may be enforced through the use of an issued ration control device, but a dependent may not be required to sign for any purchase. A quantity restriction on malt beverages may not restrict purchases to fewer than eight cases, of 24-units per case, per month. Daily or weekly restrictions on malt beverage purchases may not be imposed. The purchase of malt beverages may be recorded on a ration control device, but eligible patrons may not be required to sign for any purchase.
    `(2) A dependent residing in Korea who is at least 18 years of age and otherwise eligible to use the commissary and exchange system may purchase tobacco products on the same basis as other eligible patrons of the commissary and exchange system.
    `(3) Eligible patrons of the commissary and exchange system who are traveling through a military air terminal in Korea shall be authorized to the purchase sundry items, including tobacco products, on a temporary basis during the normal operating hours of commissary and exchange stores operated in connection with the terminal.
    `(4) In applying restrictions to dependents of members of the armed forces, the Secretary of Defense may not differentiate between a dependent whose movement to Korea was authorized at the expense of the United States under section 406 of title 37 and other dependents residing in Korea.
    `(d) REPORTING REQUIREMENTS- The Secretary of Defense shall submit to Congress an annual report describing the host nation laws and the treaty obligations of the United States, and the conditions within host nations, that necessitate the use of quantity or other restrictions on purchases in commissary and exchange stores located outside the United States.'.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `2491. Overseas commissary and exchange stores: access and purchase restrictions.'.

SEC. 345. EXTENSION OF DEMONSTRATION PROJECT FOR UNIFORM FUNDING OF MORALE, WELFARE, AND RECREATION ACTIVITIES.

    Section 335 of the National Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 10 U.S.C. 2241 note) is amended--
      (1) in subsection (c), by striking out `not later than September 30, 1998' and inserting in lieu thereof `on September 30, 1999'; and
      (2) in subsection (e)(2), by striking out `a final report on the results' and inserting in lieu thereof `an additional report on the progress'.

SEC. 346. PROHIBITION ON CONSOLIDATION OR OTHER ORGANIZATIONAL CHANGES OF DEPARTMENT OF DEFENSE RETAIL SYSTEMS.

    (a) DEFENSE RETAIL SYSTEMS DEFINED- For purposes of this section, the term `defense retail systems' means the defense commissary system and exchange stores and other revenue-generating facilities operated by nonappropriated fund activities of the Department of Defense for the morale, welfare, and recreation of members of the Armed Forces.
    (b) PROHIBITION- The operation and administration of the defense retail systems may not be consolidated or otherwise changed, and a study or review may not be commenced regarding the need for or merits of such a consolidation or change, unless the consolidation, change, study, or review is specifically authorized by a law enacted after the date of the enactment of this Act.
    (c) EFFECT ON EXISTING STUDY- Nothing in this section shall be construed to prohibit the study of defense retail systems, known as the `Joint Exchange Due Diligence Study', which is underway on the date of the enactment of this Act pursuant to a contract awarded by the Department of the Navy on April 21, 1998, except that any recommendation contained in the completed study regarding the operation or administration of the defense retail systems may not be implemented unless implementation of the recommendation is specifically authorized by a law enacted after the date of the enactment of this Act.

SEC. 347. AUTHORIZED USE OF APPROPRIATED FUNDS FOR RELOCATION OF NAVY EXCHANGE SERVICE COMMAND.

    The Navy Exchange Service Command is not required to reimburse the United States for appropriated funds allotted to the Navy Exchange Service Command during fiscal years 1994, 1995, and 1996 to cover costs incurred by the Navy Exchange Service Command to relocate to Virginia Beach, Virginia, and to lease headquarters space in Virginia Beach.

SEC. 348. EVALUATION OF MERIT OF SELLING MALT BEVERAGES AND WINE IN COMMISSARY STORES AS EXCHANGE SYSTEM MERCHANDISE.

    (a) PATRON SURVEY- (1) The Secretary of Defense shall enter into a contract with a commercial survey firm to conduct a survey of eligible patrons of the commissary store system to determine patron interest in having commissary stores sell malt beverages and wine as exchange store merchandise.
    (2) The survey shall be conducted at not less than three military installations in the United States of each of the Armed Forces (other than the Coast Guard).
    (3) The survey shall be completed, and the results submitted to the Secretary of Defense, not later than November 30, 1998.
    (b) DEMONSTRATION PROJECT- (1) After consideration of the survey results, the Secretary of Defense may conduct a demonstration project at seven military installations in the United States (two Army installations, two Air Force installations, two Navy installations, and one Marine Corps installation) to evaluate the merit of selling malt beverages and wine in commissary stores as exchange store merchandise. Under the demonstration project, the Secretary may sell malt beverages and wine in commissary stores as exchange store merchandise notwithstanding the general requirement that merchandise sold in, at, or by commissary stores be commissary store inventory.
    (2) The demonstration project may only be conducted in States where it is legal to sell malt beverages and wine in grocery stores.
    (3) Not later than February 1, 1999, the Secretary of Defense shall determine whether to conduct the demonstration project. Any such demonstration project shall be completed not later than September 30, 2000.
    (c) REPORT- (1) If the Secretary of Defense conducts a demonstration project under subsection (b), the Secretary shall submit to Congress a report describing the results of the demonstration project. The report shall include a description of patron views, the impact on commissary sales, the impact on exchange sales, and the impact, if any, on dividends for morale, welfare, and recreation activities.
    (2) The report shall be submitted not later than March 1, 2000.
    (d) LIMITATION- Nothing in this section shall be construed to authorize the sale of malt beverages and wine in commissary stores as commissary store inventory.

Subtitle F--Other Matters

SEC. 361. ELIGIBILITY REQUIREMENTS FOR ATTENDANCE AT DEPARTMENT OF DEFENSE DOMESTIC DEPENDENT ELEMENTARY AND SECONDARY SCHOOLS.

    (a) DEPENDENTS OF MEMBERS RESIDING IN CERTAIN AREAS- Subsection (a) of section 2164 of title 10, United States Code, is amended--
      (1) by inserting `(1)' before `If';
      (2) by designating the second sentence as paragraph (2); and
      (3) by adding at the end of paragraph (2) (as so designated) the following new sentence: `If a member of the armed forces is assigned to a remote location or is assigned to an unaccompanied tour of duty, a dependent of the member who resides, on or off a military installation, in a territory, commonwealth, or possession of the United States, as authorized by the member's orders, may be enrolled in an educational program provided by the Secretary under this subsection.'.
    (b) WAIVER OF FIVE-YEAR ATTENDANCE LIMITATION- Subsection (c)(2) of such section is amended by striking out subparagraph (B) and inserting in lieu thereof the following new subparagraph:
    `(B) At the discretion of the Secretary, a dependent referred to in subparagraph (A) may be enrolled in the program for more than five consecutive school years if the dependent is otherwise qualified for enrollment, space is available in the program, and the Secretary will be reimbursed for the services provided. Any such extension shall cover only one school year at a time.'.

SEC. 362. SPECIFIC EMPHASIS OF PROGRAM TO INVESTIGATE FRAUD, WASTE, AND ABUSE WITHIN DEPARTMENT OF DEFENSE.

    Section 392 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 10 U.S.C. 113 note) is amended by inserting before the period the following: `and any fraud, waste, and abuse occurring in connection with overpayments made to vendors by the Department of Defense, including overpayments identified under section 354 of the National Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 10 U.S.C. 2461 note)'.

SEC. 363. REVISION OF INSPECTION REQUIREMENTS RELATING TO ARMED FORCES RETIREMENT HOME.

    Section 1518 of the Armed Forces Retirement Home Act of 1991 (24 U.S.C. 418) is amended to read as follows:

`SEC. 1518. INSPECTION OF RETIREMENT HOME.

    `(a) PERIODIC INSPECTION- The Inspector Generals of the military departments shall conduct, at three-year intervals, an inspection of the Retirement Home and the records of the Retirement Home. Each inspection under this subsection shall be performed by a single Inspector General on an alternating basis.
    `(b) REPORT- The Inspector General of a military department who performs an inspection of the Retirement Home under subsection (a) shall submit to the Retirement Home Board, the Secretary of Defense, and Congress a report describing the results of the inspection and containing such recommendations as the Inspector General considers appropriate.'.

SEC. 364. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT BENEFIT DEPENDENTS OF MEMBERS OF THE ARMED FORCES AND DEPARTMENT OF DEFENSE CIVILIAN EMPLOYEES.

    (a) CONTINUATION OF DEPARTMENT OF DEFENSE PROGRAM FOR FISCAL YEAR 1999- Of the amount authorized to be appropriated pursuant to section 301(5) for operation and maintenance for Defense-wide activities--
      (1) $30,000,000 shall be available only for the purpose of providing educational agencies assistance (as defined in subsection (d)(1)) to local educational agencies; and
      (2) $5,000,000 shall be available only for the purpose of making educational agencies payments (as defined in subsection (d)(2)) to local educational agencies.
    (b) NOTIFICATION- Not later than June 30, 1999, the Secretary of Defense shall--
      (1) notify each local educational agency that is eligible for educational agencies assistance for fiscal year 1999 of that agency's eligibility for such assistance and the amount of such assistance for which that agency is eligible; and
      (2) notify each local educational agency that is eligible for an educational agencies payment for fiscal year 1999 of that agency's eligibility for such payment and the amount of the payment for which that agency is eligible.
    (c) DISBURSEMENT OF FUNDS- The Secretary of Defense shall disburse funds made available under paragraphs (1) and (2) of subsection (a) not later than 30 days after the date on which notification to the eligible local educational agencies is provided pursuant to subsection (b).
    (d) DEFINITIONS- In this section:
      (1) The term `educational agencies assistance' means assistance authorized under section 386(b) of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102-484; 20 U.S.C. 7703 note).
      (2) The term `educational agencies payments' means payments authorized under section 386(d) of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102-484; 20 U.S.C. 7703 note).
      (3) The term `local educational agency' has the meaning given that term in section 8013(9) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7713(9)).

SEC. 365. STRATEGIC PLAN FOR EXPANSION OF DISTANCE LEARNING INITIATIVES.

    (a) DEVELOPMENT OF PLAN- The Secretary of Defense shall develop a strategic plan for guiding and expanding distance learning initiatives in the Department of Defense. The strategic plan shall cover the five-year period beginning on October 1, 1999.
    (b) ELEMENTS OF PLAN- The strategic plan required by this section shall contain at a minimum the following elements:
      (1) Measurable goals and objectives, including outcome-related performance indicators, for developing distance learning initiatives in the Department that would be consistent with the principles of the Government Performance and Results Act of 1993 (section 306 of title 5 and sections 1115 through 1119, 9703, and 9704 of title 31).
      (2) A description of the manner in which distance learning initiatives will be developed and managed in the Department.
      (3) An estimate of the costs and benefits associated with developing and maintaining an infrastructure in the Department to support distance learning initiatives and a statement of planned expenditures for investments necessary to build and maintain the infrastructure.
      (4) A description of mechanisms that will be used to oversee the development and coordination of distance learning initiatives in the Department.
    (c) CONSIDERATION OF CURRENT EFFORT- In developing the strategic plan required by this section, the Secretary of Defense may recognize the collaborative distance learning effort of the Department of Defense and other Federal agencies and private industry (known as the Advanced Distribution Learning initiative), but the strategic plan shall be specific to the goals and objectives of the Department.
    (d) SUBMISSION OF PLAN- Not later than March 1, 1999, the Secretary of Defense shall submit to Congress the completed strategic plan required by this section.

SEC. 366. PUBLIC AVAILABILITY OF OPERATING AGREEMENTS BETWEEN MILITARY INSTALLATIONS AND FINANCIAL INSTITUTIONS.

    With respect to an agreement between the commander of a military installation in the United States (or the designee of an installation commander) and a financial institution that permits, allows, or otherwise authorizes the provision of financial services by the financial institution on the military installation, nothing in the terms or nature of such an agreement shall be construed to exempt the agreement from the provisions of sections 552 and 552a of title 5, United States Code.

SEC. 367. DEPARTMENT OF DEFENSE READINESS REPORTING SYSTEM.

    (a) ESTABLISHMENT OF SYSTEM- (1) Chapter 2 of title 10, United States Code, is amended by inserting after section 116 the following new section:

`Sec. 117. Readiness reporting system: establishment; reporting to congressional committees

    `(a) REQUIRED READINESS REPORTING SYSTEM- The Secretary of Defense shall establish a comprehensive readiness reporting system for the Department of Defense. The readiness reporting system shall measure in an objective, accurate, and timely manner the capability of the armed forces to carry out--
      `(1) the National Security Strategy prescribed by the President in the most recent annual national security strategy report under section 108 of the National Security Act of 1947 (50 U.S.C. 404a);
      `(2) the defense planning guidance provided by the Secretary of Defense pursuant to section 113(g) of this title; and
      `(3) the National Military Strategy prescribed by the Chairman of the Joint Chiefs of Staff.
    `(b) READINESS REPORTING SYSTEM CHARACTERISTICS- In establishing the readiness reporting system, the Secretary shall ensure--
      `(1) that the readiness reporting system is applied uniformly throughout the Department of Defense;
      `(2) that information in the readiness reporting system is continually updated, with any change in the overall readiness status of a unit, of an element of the training establishment, or an element of defense infrastructure that is required to be reported as part of the readiness reporting system shall be reported within 24 hours of the event necessitating the change in readiness status; and
      `(3) that sufficient resources are provided to establish and maintain the system so as to allow reporting of changes in readiness status as required by this section.
    `(c) CAPABILITIES- The readiness reporting system shall have the capability to do the following:
      `(1) Measure the capability of units (both as elements of their respective armed force and as elements of joint forces) to conduct their assigned wartime missions.
      `(2) Measure the capability of training establishments to provide trained and ready forces for wartime missions.
      `(3) Measure the capability of defense installations and facilities and other elements of Department of Defense infrastructure, both in the United States and abroad, to provide appropriate support to forces in the conduct of their wartime missions.
      `(4) Measure critical warfighting deficiencies in unit capability, training establishments, and defense infrastructure.
      `(5) Measure the level of current risk based upon the readiness reporting system relative to the capability of forces to carry out their wartime missions.
      `(6) Measure such other factors relating to readiness as the Secretary prescribes.
    `(d) PERIODIC JOINT READINESS REVIEW- The Chairman of the Joint Chiefs of Staff shall periodically, and not less frequently than monthly, conduct a joint readiness review. The Chairman shall incorporate into each such review the current information derived from the readiness reporting system and shall assess the capability of the armed forces to execute their wartime missions based upon their posture at the time of the review. The Chairman shall submit to the Secretary of Defense the results of each review, including the deficiencies in readiness identified during that review.
    `(e) SUBMISSION TO CONGRESSIONAL COMMITTEES- The Secretary shall each month submit to the Committee on Armed Services and the Committee on Appropriations of the Senate and the Committee on National Security and the Committee on Appropriations of the House of Representatives a report in writing containing the complete results of each review under subsection (d) during the preceding month, including the current information derived from the readiness reporting system. Each such report shall be submitted in unclassified form and may, as the Secretary determines necessary, also be submitted in classified form.
    `(f) REGULATIONS- The Secretary shall prescribe regulations to carry out this section. In those regulations, the Secretary shall prescribe the units that are subject to reporting in the readiness reporting system, what type of equipment is subject to such reporting, and the elements of the training establishment and of defense infrastructure that are subject to such reporting.'.
    (2) The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 116 the following new item:
      `117. Readiness reporting system: establishment; reporting to congressional committees.'.
    (b) IMPLEMENTATION- The Secretary of Defense shall establish and implement the readiness reporting system required by section 117 of title 10, United States Code, as added by subsection (a), so as to ensure that the capabilities required by subsection (c) of that section are attained not later than July 1, 1999.
    (c) IMPLEMENTATION PLAN- Not later than March 1, 1999, the Secretary of Defense shall submit to Congress a report setting forth the Secretary's plan for implementation of section 117 of title 10, United States Code, as added by subsection (a).
    (d) REPEAL OF QUARTERLY READINESS REPORT REQUIREMENT- Effective July 1, 1999, or the date on which the first report of the Secretary of Defense is submitted under section 117(d) of title 10, United States Code, as added by subsection (a), whichever is later--
      (1) section 482 of title 10, United States Code, is repealed; and
      (2) the table of sections at the beginning of chapter 23 of such title is amended by striking out the item relating to that section.

SEC. 368. TRAVEL BY RESERVISTS ON CARRIERS UNDER CONTRACT WITH GENERAL SERVICES ADMINISTRATION.

    (a) RESERVE USE OF FEDERAL SUPPLY TRANSPORTATION- Chapter 1217 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 12603. Travel: use of carriers under contract with General Services Administration

    `A member of a reserve component who requires transportation in order to perform inactive duty training may use a carrier under contract with the General Services Administration to provide the transportation. The transportation shall be provided by the carrier in the same manner as transportation is provided to members of the armed forces and civilian employees who are traveling at Government expense, except that the Reserve is responsible for the cost of the travel at the contract rate. The Secretary concerned may require the Reserve to use a Government approved travel card to ensure that the transportation is procured for the purpose of performing inactive duty training.'.
    (b) CLERICAL AMENDMENT- The table of sections for such chapter is amended by adding at the end the following new item:
      `12603. Travel: use of carriers under contract with General Services Administration.'.

Subtitle G--Demonstration of Commercial-Type Practices To Improve Quality of Personal Property Shipments

SEC. 381. DEMONSTRATION PROGRAM REQUIRED.

    (a) IN GENERAL- The Secretary of Defense shall conduct a demonstration program, to be known as the `Commercial-Like Activities for Superior Quality Demonstration Program', pursuant to this subtitle to test commercial-style practices to improve the quality of personal property shipments within the Department of Defense.
    (b) DEFINITIONS- In this subtitle:
      (1) The term `CLASS Demonstration Program' means the Commercial-Like Activities for Superior Quality Demonstration Program required by subsection (a).
      (2) The term `affiliated' means an entity that is owned and controlled by another entity or an independently owned entity whose day-to-day business operations are controlled by another entity.
      (3) The term `best value CLASS score' means a weighted score that reflects an eligible provider's past performance rating score and the schedules of charges for services provided.
      (4) The term `broker' means an entity, described in section 13102(2) of title 49, United States Code, that conducts operations on behalf of the Military Traffic Management Command and possesses appropriate authority from the Department of Transportation or an appropriate State regulatory agency to arrange for the transportation of personal property in interstate, intrastate, or foreign commerce.
      (5) The term `freight forwarder' means an entity that provides the services described in section 13102(8) of title 49, United States Code, in interstate, intrastate, or foreign commerce and possesses the authority to provide such services from the Department of Transportation or an appropriate State regulatory agency.
      (6) The term `motor carrier' means an entity that uses motor vehicles to transport personal property in interstate, intrastate, or foreign commerce and possesses the authority to provide such services from the Department of Transportation or an appropriate State regulatory agency.
      (7) The term `motor vehicles' has the meaning given such term in section 13102(14) of title 49, United States Code.
      (8) The term `move management services provider' means an entity that provides certain services in connection with the shipment of the household goods of a member of the Armed Forces, such as arranging, coordinating, and monitoring the shipment.
      (9) The term `test plan' means the plan prepared under section 384 for the conduct of the CLASS Demonstration Program.

SEC. 382. GOALS OF DEMONSTRATION PROGRAM.

    The goals of the CLASS Demonstration Program are to--
      (1) adopt commercial-style practices to improve the quality of Department of Defense personal property shipments within the United States and to foreign locations;
      (2) adopt simplified acquisition procedures for the selection of contractors qualified to provide various types of personal property shipping services and for the award of individual orders to such contractors;
      (3) assure ready access of the Department of Defense to a sufficient number of qualified providers of personal property shipping to permit timely shipments during periods of high demand for such services;
      (4) assure maximum practicable opportunities for small business concerns to participate as prime contractors rather than subcontractors;
      (5) empower Installation Transportation Officers to assure that the personal property shipping needs of individual members of the Armed Forces are met in a timely manner by quality contractors who minimize opportunities for damage; and
      (6) provide for the expedited resolution of claims for damaged or lost property through direct settlement negotiations between the service provider and the member of the Armed Forces who sustains the loss, with commercial-like arbitration available to the member with the assistance of the military department concerned.

SEC. 383. PROGRAM PARTICIPANTS.

    (a) ELIGIBLE SERVICE PROVIDERS- (1) Any motor carrier, freight forwarder, or broker regularly providing personal property shipping services that is approved by the Military Traffic Management Command to provide such services to the Department of Defense is eligible to participate in the CLASS Demonstration Program. A motor carrier providing domestic personal property shipping services shall not be precluded from providing such services to international destinations through an affiliated freight forwarder.
    (2) If a motor carrier is affiliated with another motor carrier or freight forwarder that also seeks qualification to participate in the CLASS Demonstration Program, the affiliate must demonstrate that it also conducts independent regular motor carrier operations using motor vehicles or independent freight forwarding services described in subparagraph (A), (B), or (C) of section 13102(8) of title 49, United States Code. If a freight forwarder is affiliated with another freight forwarder or motor carrier that also seeks qualification to participate in the program, the affiliate must demonstrate that it also conducts regular independent operations.
    (b) MOVE MANAGEMENT SERVICES PROVIDERS- The test plan may provide for the participation of a broker providing move management services. A move management service provider shall be compensated for providing such services solely by the Department of Defense. The test plan shall prohibit a move management services provider from obtaining a commission (or similar type of payment however denominated) from a motor carrier or freight forwarder providing the personal property shipping services.
    (c) DEMONSTRATION PROGRAM PARTICIPANTS- Eligible service providers shall be offered participation in the CLASS Demonstration Program on the basis of their best value CLASS score. Each eligible service provider's best value CLASS score shall be computed in a manner that assigns 70 percent of the weighted average to the provider's past performance rating and 30 percent to the provider's offered prices.

SEC. 384. TEST PLAN.

    (a) IN GENERAL- The CLASS Demonstration Program shall be conducted pursuant to a test plan.
    (b) COMPONENTS OF THE TEST PLAN- In addition to such other matters as the Secretary of Defense considers appropriate, the test plan shall include the following components:
      (1) RATING PAST PERFORMANCE- A past performance rating score shall be developed for each eligible service provider based on--
        (A) evaluations from service members who have received personal property shipping services during a specified six-month rating period prior to the commencement of the CLASS Demonstration Program; or
        (B) a rating of comparable personal property shipping services provided to non-Department of Defense customers during the same rating period, if an eligible provider did not make a sufficient number of military personal property shipments during the rating period to be assigned a rating pursuant to subparagraph (A).
      (2) PARTICIPATION BY QUALITY SERVICE PROVIDERS- A minimum best value CLASS score shall be established for participation in the CLASS Demonstration Program. In establishing the minimum score for participation, consideration shall be given to assuring access to sufficient numbers of service providers to meet the needs of members of the Armed Forces during periods of high demand for such personal property shipping services.
      (3) SIMPLIFIED ACQUISITION PROCEDURES- The CLASS Demonstration Program shall make use of simplified acquisition procedures similar to those provided in section 2304(g)(1)(A) of title 10, United States Code.
      (4) PRICING- The test plan shall specify pricing policies to be met by the CLASS Demonstration Program participants. The pricing policies shall reflect the following:
        (A) Domestic pricing shall be based on the contemporary Household Goods Carriers Commercial Tariff 400-M, or subsequent reissues thereof, applicable to commercial domestic shipments with discounts and adjustments for States outside the continental United States.
        (B) So-called single factor rates for international shipments.
        (C) Full value protection for a shipment based on the actual cash value of the contents of the shipment with liability limited on a per pound basis as well as a total-value basis.
      (5) ALLOCATION OF ORDERS- Orders to provide personal property shipping services shall be allocated by the appropriate Installation Transportation Officer taking into consideration--
        (A) the service provider's best value CLASS score;
        (B) maximum practicable utilization of small business service providers;
        (C) exceptional performance of a CLASS Demonstration Program participant; and
        (D) other criteria necessary to advance the goals of the CLASS Demonstration Program, except that carrier selection by a member of the Armed Forces using the CLASS Demonstration Program shall be honored if the selection does not conflict with subparagraph (A) or (B) and the need to maintain adequate capacity.
      (6) PERFORMANCE EVALUATION DURING THE TERM OF THE DEMONSTRATION PROGRAM- The CLASS Demonstration Program shall provide for procedures for evaluation of the Demonstration Program participants by the members of the Armed Forces furnished personal property shipping services and by Installation Transportation Officers. To the maximum extent practicable, such evaluations shall be objective and quantifiable. The program participant shall be accorded the opportunity to review and make comment on a performance evaluation provided by an individual in a manner that will not deter candid evaluations by the individual. The results of this evaluation may be used in developing future best value CLASS scores.
      (7) MODERN CUSTOMER SERVICE TECHNIQUES- The CLASS Demonstration Program shall maximize the testing of modern customer service techniques, such as in-transit tracking of shipments and service member communication with the service provider by means of toll-free telephone numbers.
      (8) DIRECT CLAIMS SETTLEMENT TECHNIQUES- The CLASS Demonstration Program shall provide for settlement of claims for personal property lost or damaged directly with the firm providing the services. The procedures shall provide for--
        (A) acknowledgment of a claim by the service provider within 30 days of receipt;
        (B) provision of a settlement offer within 120 days;
        (C) filing of a claim within nine months, with appropriate extensions for extenuating circumstances relating to war or national emergency that impair the ability of a member of the Armed Forces to file a timely claim; and
        (D) referring of an unsettled claim by the member of the Armed Forces to a designated claims officer for assistance in resolving the claim or seeking commercial-like arbitration of the claim, or both, if considered appropriate by the claims officer.
      (9) CRITERIA FOR EVALUATION OF THE OVERALL DEMONSTRATION PROGRAM- The CLASS Demonstration Program shall include the development of criteria to evaluate the overall performance and effectiveness of the CLASS demonstration program.
    (c) DEVELOPMENT IN COLLABORATION WITH INDUSTRY- In developing the test plan, the Secretary of Defense shall maximize collaboration with representatives of associations that represent all segments of the affected industries. Special efforts shall be made to actively involve those associations that represent small business providers of personal property shipping services.
    (d) OPPORTUNITY FOR PUBLIC COMMENT ON PROPOSED TEST PLAN- Notice of the availability of the test plan shall be published in the Federal Register and given by other means likely to result in the notification of eligible service providers and associations that represent them. Copies of the proposed test plan may be made available in a printable electronic format. The public shall be afforded 60 days to comment on the proposed test plan.

SEC. 385. OTHER METHODS OF PERSONAL PROPERTY SHIPPING.

    The CLASS Demonstration Program shall not impair the access of a member of the Armed Forces to the shipment of personal property through the programs known as the Do-It-Yourself Program or the Direct Procurement Method Program.

SEC. 386. DURATION OF DEMONSTRATION PROGRAM.

    The CLASS Demonstration Program shall commence on the first day of the fiscal year quarter after the issuance of the test plan in final form and terminate on the last day of the fiscal year quarter after eight fiscal year quarters of operation. The CLASS Demonstration Program shall take the place of the re-engineering pilot solicitation of the Military Traffic Management Command identified as DAMTO1-97-R-3001.

SEC. 387. EVALUATION OF DEMONSTRATION PROGRAM.

    (a) IN GENERAL- The Secretary of Defense shall provide for the evaluation the CLASS Demonstration Program throughout the term of the program pursuant to the evaluation criteria included in the test plan.
    (b) INTERIM REPORTS- The Secretary of Defense shall issue such interim reports relating to the implementation of the CLASS Demonstration Program as may be appropriate.
    (c) FINAL REPORT- The Secretary of Defense shall issue a final report on the CLASS Demonstration Program within 180 days before the termination date of the program. The report may include recommendations for further implementation of the CLASS Demonstration Program.
    (d) CONGRESSIONAL RECIPIENTS- The reports required by this section shall be furnished to the congressional defense committees and the Committee on Small Business of the Senate and the House of Representatives.
    (e) PUBLIC AVAILABILITY- The Secretary of Defense shall provide public notice of the availability of copies of the reports submitted to the congressional recipients through a notice in the Federal Register and such other means as may be appropriate. Copies of the reports may be made available in a printable electronic format or in a printed form.

TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

Subtitle A--Active Forces

SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

    The Armed Forces are authorized strengths for active duty personnel as of September 30, 1999, as follows:
      (1) The Army, 484,800.
      (2) The Navy, 376,423.
      (3) The Marine Corps, 173,922.
      (4) The Air Force, 371,577.

SEC. 402. REVISION IN PERMANENT END STRENGTH LEVELS.

    (a) REVISED END STRENGTH FLOORS- Subsection (b) of section 691 of title 10, United States Code, is amended--
      (1) in paragraph (1), by striking out `495,000' and inserting in lieu thereof `484,800';
      (1) in paragraph (2), by striking out `390,802' and inserting in lieu thereof `376,423'; and
      (2) in paragraph (3), by striking out `174,000' and inserting in lieu thereof `173,922'.
    (b) REVISION TO FLEXIBILITY AUTHORITY FOR THE ARMY- Subsection (e) of such section is amended by striking out `or, in the case of the Army, by not more than 1.5 percent'.
    (c) EFFECTIVE DATE- The amendments made by this section shall take effect on October 1, 1998.

SEC. 403. DATE FOR SUBMISSION OF ANNUAL MANPOWER REQUIREMENTS REPORT.

    Section 115a(a) of title 10, United States Code, is amended--
      (1) by striking out `, not later than February 15 of each fiscal year,' in the first sentence; and
      (2) by striking out `The report shall be in writing and' in the second sentence and inserting in lieu thereof `The report shall be submitted each year not later than 30 days after the date on which the budget for the next fiscal year is transmitted to Congress pursuant to section 1105 of title 31, shall be in writing, and'.

SEC. 404. EXTENSION OF AUTHORITY FOR CHAIRMAN OF THE JOINT CHIEFS OF STAFF TO DESIGNATE UP TO 12 GENERAL AND FLAG OFFICER POSITIONS TO BE EXCLUDED FROM GENERAL AND FLAG OFFICER GRADE LIMITATIONS.

    Section 526(b)(2) of title 10, United States Code, is amended by striking out `October 1, 1998' and inserting in lieu thereof `October 1, 2001'.

Subtitle B--Reserve Forces

SEC. 411. END STRENGTHS FOR SELECTED RESERVE.

    (a) IN GENERAL- The Armed Forces are authorized strengths for Selected Reserve personnel of the reserve components as of September 30, 1999, as follows:
      (1) The Army National Guard of the United States, 357,000.
      (2) The Army Reserve, 209,000.
      (3) The Naval Reserve, 90,843.
      (4) The Marine Corps Reserve, 40,018.
      (5) The Air National Guard of the United States, 106,991.
      (6) The Air Force Reserve, 74,242.
      (7) The Coast Guard Reserve, 8,000.
    (b) ADJUSTMENTS- The end strengths prescribed by subsection (a) for the Selected Reserve of any reserve component shall be proportionately reduced by--
      (1) the total authorized strength of units organized to serve as units of the Selected Reserve of such component which are on active duty (other than for training) at the end of the fiscal year, and
      (2) the total number of individual members not in units organized to serve as units of the Selected Reserve of such component who are on active duty (other than for training or for unsatisfactory participation in training) without their consent at the end of the fiscal year.
    Whenever such units or such individual members are released from active duty during any fiscal year, the end strength prescribed for such fiscal year for the Selected Reserve of such reserve component shall be proportionately increased by the total authorized strengths of such units and by the total number of such individual members.

SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE DUTY IN SUPPORT OF THE RESERVES.

    Within the end strengths prescribed in section 411(a), the reserve components of the Armed Forces are authorized, as of September 30, 1999, the following number of Reserves to be serving on full-time active duty or full-time duty, in the case of members of the National Guard, for the purpose of organizing, administering, recruiting, instructing, or training the reserve components:
      (1) The Army National Guard of the United States, 21,763.
      (2) The Army Reserve, 12,804.
      (3) The Naval Reserve, 15,590.
      (4) The Marine Corps Reserve, 2,362.
      (5) The Air National Guard of the United States, 10,930.
      (6) The Air Force Reserve, 991.

SEC. 413. END STRENGTHS FOR MILITARY TECHNICIANS (DUAL STATUS).

    The minimum number of military technicians (dual status) as of the last day of fiscal year 1999 for the reserve components of the Army and the Air Force (notwithstanding section 129 of title 10, United States Code) shall be the following:
      (1) For the Army Reserve, 5,395.
      (2) For the Army National Guard of the United States, 23,125.
      (3) For the Air Force Reserve, 9,761.
      (4) For the Air National Guard of the United States, 22,408.

SEC. 414. INCREASE IN NUMBER OF MEMBERS IN CERTAIN GRADES AUTHORIZED TO SERVE ON ACTIVE DUTY IN SUPPORT OF THE RESERVES.

    (a) OFFICERS- The table in section 12011(a) of title 10, United States Code, is amended to read as follows:

`Grade                                     Army  Navy Air Force Marine Corps

Major or Lieutenant Commander    3,219 1,071       776          140
Lieutenant Colonel or Commander  1,524   520       672           90
Colonel or Navy Captain            438   188       274         30'.

    (b) SENIOR ENLISTED MEMBERS- The table in section 12012(a) of such title is amended to read as follows:

`Grade        Army Navy Air Force Marine Corps

E-9   623  202       388           20
E-8 2,585  429       979         94'.

    (c) EFFECTIVE DATE- The amendments made by this section shall take efffect on October 1, 1998.

Subtitle C--Authorization of Appropriations

SEC. 421. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY PERSONNEL.

    There is hereby authorized to be appropriated to the Department of Defense for military personnel for fiscal year 1999 a total of $70,697,086,000. The authorization in the preceding sentence supersedes any other authorization of appropriations (definite or indefinite) for such purpose for fiscal year 1999.

TITLE V--MILITARY PERSONNEL POLICY

Subtitle A--Officer Personnel Policy

SEC. 501. CODIFICATION OF ELIGIBILITY OF RETIRED OFFICERS AND FORMER OFFICERS FOR CONSIDERATION BY SPECIAL SELECTION BOARDS.

    (a) PERSONS NOT CONSIDERED BY PROMOTION BOARDS DUE TO ADMINISTRATIVE ERROR- Subsection (a) of section 628 of title 10, United States Code, is amended--
      (1) by striking out paragraph (1) and inserting in lieu thereof the following:
    `(a) PERSONS NOT CONSIDERED BY PROMOTION BOARDS DUE TO ADMINISTRATIVE ERROR- (1) If the Secretary of the military department concerned determines that because of administrative error a person who should have been considered for selection for promotion by a promotion board was not so considered, the Secretary shall convene a special selection board under this subsection to determine whether that person (whether or not then on active duty) should be recommended for promotion.';
      (2) in paragraph (2), by striking out `the officer as his record' in the first sentence and inserting in lieu thereof `the person whose name was referred to it for consideration as that record'; and
      (3) in paragraph (3), by striking out `an officer in a grade' and all that follows through `the officer' and inserting in lieu thereof `a person whose name was referred to it for consideration for selection for appointment to a grade other than a general officer or flag officer grade, the person'.
    (b) PERSONS CONSIDERED BY PROMOTION BOARDS IN UNFAIR MANNER- Subsection (b) of such section is amended--
      (1) by striking out paragraph (1) and inserting in lieu thereof the following:
    `(b) PERSONS CONSIDERED BY PROMOTION BOARDS IN UNFAIR MANNER- (1) If the Secretary of the military department concerned determines, in the case of a person who was considered for selection for promotion by a promotion board but was not selected, that there was material unfairness with respect to that person, the Secretary may convene a special selection board under this subsection to determine whether that person (whether or not then on active duty) should be recommended for promotion. In order to determine that there was material unfairness, the Secretary must determine that--
      `(A) the action of the promotion board that considered the person was contrary to law or involved material error of fact or material administrative error; or
      `(B) the board did not have before it for its consideration material information.';
      (2) in paragraph (2), by striking out `the officer as his record' in the first sentence and inserting in lieu thereof `the person whose name was referred to it for consideration as that record'; and
      (3) in paragraph (3)--
        (A) by striking out `an officer' and inserting in lieu thereof `a person'; and
        (B) by striking out `the officer' and inserting in lieu thereof `the person'.
    (c) CONFORMING AMENDMENTS- (1) Subsection (c) of such section is amended--
      (A) by inserting `REPORTS OF BOARDS- ' after `(c)';
      (B) by striking out `officer' both places it appears in paragraph (1) and inserting in lieu thereof `person'; and
      (C) in paragraph (2), by adding the following new sentence at the end: `However, in the case of a board convened under this section to consider a warrant officer or former warrant officer, the provisions of sections 576(d) and 576(f) of this title (rather than
the provisions of section 617(b) and 618 of this title) apply to the report and proceedings of the board in the same manner as they apply to the report and proceedings of a selection board convened under section 573 of this title.'.
    (2) Subsection (d)(1) of such section is amended--
      (A) by inserting `APPOINTMENT OF PERSONS SELECTED BY BOARDS- ' after `(d)';
      (B) by striking out `an officer' and inserting in lieu thereof `a person';
      (C) by striking out `such officer' and inserting in lieu thereof `that person';
      (D) by striking out `the next higher grade' the second place it appears and inserting in lieu thereof `that grade';
      (E) by adding at the end the following: `However, in the case of a board convened under this section to consider a warrant officer or former warrant officer, if the report of that board, as approved by the Secretary concerned, recommends that warrant officer or former warrant officer for promotion to the next higher grade, that person shall, as soon as practicable, be appointed to the next higher grade in accordance with provisions of section 578(c) of this title (rather than subsections (b), (c), and (d) of section 624 of this title).'.
    (3) Subsection (d)(2) of such section is amended--
      (A) by striking out `An officer who is promoted' and inserting in lieu thereof `A person who is appointed';
      (B) by striking out `such promotion' and inserting in lieu thereof `that appointment'; and
      (C) by adding at the end the following new sentence: `In the case of a person who is not on the active-duty list when appointed to the next higher grade, placement of that person on the active-duty list pursuant to the preceding sentence shall be only for purposes of determination of eligibility of that person for consideration for promotion by any subsequent special selection board under this section.'.
    (d) APPLICABILITY TO DECEASED PERSONS- Subsection (e) of such section is amended to read as follows:
    `(e) DECEASED PERSONS- If a person whose name is being considered for referral to a special selection board under this section dies before the completion of proceedings under this section with respect to that person, this section shall be applied to that person posthumously.'.
    (e) RECODIFICATION OF ADMINISTRATIVE MATTERS- Such section is further amended by adding at the end the following::
    `(f) CONVENING OF BOARDS- A board convened under this section--
      `(1) shall be convened under regulations prescribed by the Secretary of Defense;
      `(2) shall be composed in accordance with section 612 of this title or, in the case of board to consider a warrant officer or former warrant officer, in accordance with section 573 of this title and regulations prescribed by the Secretary of the military department concerned; and
      `(3) shall be subject to the provisions of section 613 of this title.
    `(g) PROMOTION BOARD DEFINED- In this section, the term `promotion board' means a selection board convened by the Secretary of a military department under section 573(a) or 611(a) of this title.'.
    (f) RATIFICATION OF CODIFIED PRACTICE- The consideration by a special selection board convened under section 628 of title 10, United States Code, before the date of the enactment of this Act of a person who, at the time of consideration, was a retired officer or former officer of the Armed Forces (including a deceased retired or former officer) is hereby ratified.

SEC. 502. COMMUNICATION TO PROMOTION BOARDS BY OFFICERS UNDER CONSIDERATION.

    Section 614(b) of title 10, United States Code, is amended by striking out `his case' and inserting in lieu thereof `enhancing his case for selection for promotion'.

SEC. 503. PROCEDURES FOR SEPARATION OF REGULAR OFFICERS FOR SUBSTANDARD PERFORMANCE OF DUTY OR CERTAIN OTHER REASONS.

    (a) ELIMINATION OF REQUIREMENT FOR A BOARD OF REVIEW- Section 1182(c) of title 10, United States Code, is amended by striking out `it shall send the record of its proceedings to a board of review convened under section 1183 of this title' and inserting in lieu thereof `it shall report that determination to the Secretary concerned';
    (b) REPEAL OF BOARD OF REVIEW- (1) Section 1183 of such title is repealed.
    (2) The table of sections at the beginning of chapter 60 of such title is amended by striking out the item relating to section 1183.
    (c) CONFORMING AMENDMENTS- (1) Section 1184 of such title is amended by striking out `board of review convened under section 1183 of this title' and inserting in lieu thereof `board of inquiry convened under section 1182 of this title'.
    (2) The heading of such section and the item relating to such section in the table of sections at the beginning of chapter 60 of such title are amended by striking out the last two words.
    (d) ELIMINATION OF 30-DAY NOTICE REQUIREMENT- Section 1185(a)(1) of such title is amended by striking out `, at least 30 days before the hearing of his case by a board of inquiry,'.

SEC. 504. POSTHUMOUS COMMISSIONS AND WARRANTS.

    Section 1521 of title 10, United States Code, is amended--
      (1) by inserting `(whether before or after the member's death)' in subsection (a)(3) after `approved by the Secretary concerned'; and
      (2) by adding at the end of subsection (b) the following new sentence: `In the case of a member to whom subsection (a)(3) applies who dies before approval by the Secretary concerned of the appointment or promotion, the commission shall issue as of the date of death.'.

SEC. 505. TENURE OF CHIEF OF THE AIR FORCE NURSE CORPS.

    Section 8069(b) of title 10, United States Code, is amended by striking out `, but not for more than three years, and may not be reappointed to the same position' in the last sentence.

Subtitle B--Reserve Component Matters

SEC. 511. COMPOSITION OF SELECTIVE EARLY RETIREMENT BOARDS OF RESERVE GENERAL AND FLAG OFFICERS OF THE NAVY AND MARINE CORPS.

    Section 14705(b) of title 10, United States Code, is amended to read as follows:
    `(b) BOARDS- (1) If the Secretary of the Navy determines that consideration of officers for early retirement under this section is necessary, the Secretary shall convene a continuation board under section 14101(b) of this title to recommend an appropriate number of officers for early retirement.
    `(2) In the case of such a board convened to consider officers in the grade of rear admiral or major general--
      `(A) the Secretary may appoint the board without regard to section 14102(b) of this title; and
      `(B) each member of the board must be serving in a grade higher than the grade of rear admiral or major general.'.

SEC. 512. ACTIVE STATUS SERVICE REQUIREMENT FOR PROMOTION CONSIDERATION FOR ARMY AND AIR FORCE RESERVE COMPONENT BRIGADIER GENERALS.

    Section 14301 of title 10, United States Code, is amended by adding at the end the following new subsection:
    `(g) A reserve component brigadier general of the Army or the Air Force who is in an inactive status is eligible (notwithstanding subsection (a)) for consideration for promotion to major general by a promotion board convened under section 14101(a) of this title if the officer--
      `(1) has been in an inactive status for less than one year as of the date of the convening of the promotion board; and
      `(2) had continuously served for at least one year on the reserve active status list or the active duty list (or a combination of both) immediately before the officer's most recent transfer to an inactive status.'.

SEC. 513. REVISION TO EDUCATIONAL REQUIREMENT FOR PROMOTION OF RESERVE OFFICERS.

    (a) EXTENSION FOR ARMY OCS GRADUATES- Section 12205(b)(4) of title 10, United States Code, is amended by inserting after `October 1, 1995' the following: `, or in the case of an officer commissioned through the Army Officer Candidate School, October 1, 2000'.
    (b) EFFECTIVE DATE- The amendment made by subsection (a) shall take effect as of October 1, 1995.

Subtitle C--Military Education and Training

SEC. 521. REQUIREMENTS RELATING TO RECRUIT BASIC TRAINING.

    (a) ARMY- (1) Chapter 401 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 4319. Recruit basic training: separate platoons and separate housing for male and female recruits

    `(a) SEPARATE PLATOONS- The Secretary of the Army shall require that during basic training--
      `(1) male recruits shall be assigned to platoons consisting only of male recruits; and
      `(2) female recruits shall be assigned to platoons consisting only of female recruits.
    `(b) SEPARATE HOUSING FACILITIES- The Secretary of the Army shall require that during basic training male and female
recruits be housed in separate barracks or other troop housing facilities.
    `(c) INTERIM AUTHORITY FOR HOUSING RECRUITS ON SEPARATE FLOORS- (1) If the Secretary of the Army determines that it is not feasible, during some or all of the period beginning on April 15, 1999, and ending on October 1, 2001, to comply with subsection (b) at any particular installation at which basic training is conducted because facilities at that installation are insufficient for such purpose, the Secretary may grant a waiver of subsection (b) with respect to that installation. Any such waiver may not be in effect after October 1, 2001, and may only be in effect while the facilities at that installation are insufficient for the purposes of compliance with subsection (b).
    `(2) If the Secretary grants a waiver under paragraph (1) with respect to an installation, the Secretary shall require that male and female recruits in basic training at that installation during any period that the waiver is in effect not be housed on the same floor of a barracks or other troop housing facility.
    `(d) BASIC TRAINING DEFINED- In this section, the term `basic training' means the initial entry training program of the Army that constitutes the basic training of new recruits.'.
    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `4319. Recruit basic training: separate platoons and separate housing for male and female recruits.'.
    (3) The Secretary of the Army shall implement section 4319 of title 10, United States Code, as added by paragraph (1), as rapidly as feasible and shall ensure that the provisions of that section are applied to all recruit basic training classes beginning not later than the first such class that enters basic training on or after April 15, 1999.
    (b) NAVY AND MARINE CORPS- (1) Part III of subtitle C of title 10, United States Code, is amended by inserting after chapter 601 the following new chapter:

`CHAPTER 602--TRAINING GENERALLY

      `Sec.
      `6931. Recruit basic training: separate small units and separate housing for male and female recruits.

`Sec. 6931. Recruit basic training: separate small units and separate housing for male and female recruits

    `(a) SEPARATE SMALL UNIT ORGANIZATION- The Secretary of the Navy shall require that during basic training--
      `(1) male recruits in the Navy shall be assigned to divisions, and male recruits in the Marine Corps shall be assigned to platoons, consisting only of male recruits; and
      `(2) female recruits in the Navy shall be assigned to divisions, and female recruits in the Marine Corps shall be assigned to platoons, consisting only of female recruits.
    `(b) SEPARATE HOUSING- The Secretary of the Navy shall require that during basic training male and female recruits be housed in separate barracks or other troop housing facilities.
    `(c) INTERIM AUTHORITY FOR HOUSING RECRUITS ON SEPARATE FLOORS- (1) If the Secretary of the Navy determines that it is not feasible, during some or all of the period beginning on April 15, 1999, and ending on October 1, 2001, to comply with subsection (b) at any particular installation at which basic training is conducted because facilities at that installation are insufficient for that purpose, the Secretary may grant a waiver of subsection (b) with respect to that installation. Any such waiver may not be in effect after October 1, 2001, and may only be in effect while the facilities at that installation are insufficient for the purposes of compliance with subsection (b).
    `(2) If the Secretary grants a waiver under paragraph (1) with respect to an installation, the Secretary shall require that male and female recruits in basic training at that installation during any period that the waiver is in effect not be housed on the same floor of a barracks or other troop housing facility.
    `(d) BASIC TRAINING DEFINED- In this section, the term `basic training' means the initial entry training programs of the Navy and Marine Corps that constitute the basic training of new recruits.'.
    (2) The tables of chapters at the beginning of subtitle C, and at the beginning of part III of subtitle C, of such title are amended by inserting after the item relating to chapter 601 the following new item:
6931'.
    (3) The Secretary of the Navy shall implement section 6931 of title 10, United States Code, as added by paragraph (1), as rapidly as feasible and shall ensure that the provisions of that section are applied to all recruit basic training classes beginning not later than the first such class that enters basic training on or after April 15, 1999.
    (c) AIR FORCE- (1) Chapter 901 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 9319. Recruit basic training: separate flights and separate housing for male and female recruits

    `(a) SEPARATE FLIGHTS- The Secretary of the Air Force shall require that during basic training--
      `(1) male recruits shall be assigned to flights consisting only of male recruits; and
      `(2) female recruits shall be assigned to flights consisting only of female recruits.
    `(b) SEPARATE HOUSING- The Secretary of the Air Force shall require that during basic training male and female recruits be housed in separate dormitories or other troop housing facilities.
    `(c) INTERIM AUTHORITY FOR HOUSING RECRUITS ON SEPARATE FLOORS- (1) If the Secretary of the Air Force determines that it is not feasible, during some or all of the period beginning on April 15, 1999, and ending on October 1, 2001, to comply with subsection (b) at any particular installation at which basic training is conducted because facilities at that installation are insufficient for such purpose, the Secretary may grant a waiver of subsection (b) with respect to that installation. Any such waiver may not be in effect after October 1, 2001, and may only be in effect while the facilities at that installation are insufficient for the purposes of compliance with subsection (b).
    `(2) If the Secretary grants a waiver under paragraph (1) with respect to an installation, the Secretary shall require that male and female recruits in basic training at that installation during any period that the waiver is in effect not be housed on the same floor of a dormitory or other troop housing facility.
    `(d) BASIC TRAINING DEFINED- In this section, the term `basic training' means the initial entry training program of the Air Force that constitutes the basic training of new recruits.'.
    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `9319. Recruit basic training: separate flights and separate housing for male and female recruits.'.
    (3) The Secretary of the Air Force shall implement section 9319 of title 10, United States Code, as added by paragraph (1), as rapidly as feasible and shall ensure that the provisions of that section are applied to all recruit basic training classes beginning not later than the first such class that enters basic training on or after April 15, 1999.

SEC. 522. AFTER-HOURS PRIVACY FOR RECRUITS DURING BASIC TRAINING.

    (a) PURPOSE- The purpose of this section is to ensure that military recruits are provided some degree of privacy during basic training when in their barracks after completion of the normal training day.
    (b) ARMY- (1) Chapter 401 of title 10, United States Code, is amended by adding after section 4319, as added by section 521(a)(1), the following new section:

`Sec. 4320. Recruit basic training: privacy

    `The Secretary of the Army shall require that access by drill sergeants and other training personnel to a barracks floor on which recruits are housed during basic training shall be limited after the end of the training day, other than in the case of an emergency or other exigent circumstance, to drill sergeants and other training personnel who are of the same sex as the recruits housed on that floor.'.
    (2) The table of sections at the beginning of such chapter is amended by adding after the item relating to section 4319, as added by section 521(a)(2), the following new item:
      `4320. Recruit basic training: privacy.'.
    (3) The Secretary of the Army shall implement section 4320 of title 10, United States Code, as added by paragraph (1), as rapidly as feasible and shall ensure that the provisions of that section are applied to all recruit basic training classes beginning not later than the first such class that enters basic training on or after April 15, 1999.
    (c) NAVY- (1) Chapter 602 of title 10, United States Code, as added by section 521(b)(1), is amended by adding at the end the following new section:

`Sec. 6932. Recruit basic training: privacy

    `The Secretary of the Navy shall require that access by recruit division commanders and other training personnel to a barracks floor on which Navy recruits are housed during basic training shall be limited after the end of the training day, other than in the case of an emergency or other exigent circumstance, to recruit division commanders and other training personnel who are of the same sex as the recruits housed on that floor.'.
    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `6932. Recruit basic training: privacy.'.
    (3) The Secretary of the Navy shall implement section 6932 of title 10, United States Code, as added by paragraph (1), as rapidly as feasible and shall ensure that the provisions of that section are applied to all recruit basic training classes beginning not later than the first such class that enters basic training on or after April 15, 1999.
    (d) AIR FORCE- (1) Chapter 901 of title 10, United States Code, is amended by adding after section 9319, as added by section 521(c)(1), the following new section:

`Sec. 9320. Recruit basic training: privacy

    `The Secretary of the Air Force shall require that access by drill sergeants and other training personnel to a dormitory floor on which recruits are housed during basic training shall be limited after the end of the training day, other than in the case of an emergency or other exigent circumstance, to drill sergeants and other training personnel who are of the same sex as the recruits housed on that floor.'.
    (2) The table of sections at the beginning of such chapter is amended by adding after the item relating to section 9312, as added by section 521(c)(2), the following new item:
      `9320. Recruit basic training: privacy.'.
    (3) The Secretary of the Air Force shall implement section 9320 of title 10, United States Code, as added by paragraph (1), as rapidly as feasible and shall ensure that the provisions of that section are applied to all recruit basic training classes beginning not later than the first such class that enters basic training on or after April 15, 1999.

SEC. 523. EXTENSION OF REPORTING DATES FOR COMMISSION ON MILITARY TRAINING AND GENDER-RELATED ISSUES.

    (a) FIRST REPORT- Subsection (e)(1) of section 562 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1754) is amended by striking out `April 15, 1998' and inserting in lieu thereof `October 15, 1998'.
    (b) FINAL REPORT- Subsection (e)(2) of such section is amended by striking out `September 16, 1998' and inserting in lieu thereof `March 15, 1999'.

SEC. 524. IMPROVED OVERSIGHT OF INNOVATIVE READINESS TRAINING.

    (a) IN GENERAL- Section 2012 of title 10, United States Code, is amended by adding at the end the following new subsection:
    `(j) OVERSIGHT AND COST ACCOUNTING- The Secretary of Defense shall establish a program to improve the oversight and cost accounting of training projects conducted in accordance with this section. The program shall include measures to accomplish the following:
      `(1) Ensure that each project that is proposed to be conducted in accordance with this section (regardless of whether additional funding from the Secretary of Defense is sought) is requested in writing, reviewed for full compliance with this section, and approved in advance of initiation by the Secretary of the military department concerned and, in the case of a project that seeks additional funding from the Secretary of Defense, by the Secretary of Defense.
      `(2) Ensure that each project that is conducted in accordance with this section is required to provide, within a specified period following completion of the project, an after-action report to the Secretary of Defense.
      `(3) Require that each application for a project to be conducted in accordance with this section include an analysis and certification that the proposed project would not result in a significant increase in the cost of training (as determined in accordance with procedures prescribed by the Secretary of Defense).
      `(4) Determine the total program cost for each project, including both those costs that are borne by the military departments from their own accounts and those costs that are borne by defense-wide accounts.
      `(5) Provide for oversight of project execution to ensure that a training project under this section is carried out in accordance with the proposal for that project as approved.'.
    (b) IMPLEMENTATION- The Secretary of Defense may not initiate any project under section 2012 of title 10, United States Code, after October 1, 1998, until the program required by subsection (i) of that section (as added by subsection (a)) has been established.

Subtitle D--Decorations, Awards, and Commendations

SEC. 531. STUDY OF NEW DECORATIONS FOR INJURY OR DEATH IN LINE OF DUTY.

    (a) DETERMINATION OF CRITERIA FOR NEW DECORATION- (1) The Secretary of Defense shall determine the appropriate name, policy, award criteria, and design for two possible new decorations.
    (2) The first such decoration would, if implemented, be awarded to members of the Armed Forces who, while serving under competent authority in any capacity with the Armed Forces, are killed or injured in the line of duty as a result of noncombat circumstances occurring--
      (A) as a result of an international terrorist attack against the United States or a foreign nation friendly to the United States;
      (B) while engaged in, training for, or traveling to or from a peacetime or contingency operation; or
      (C) while engaged in, training for, or traveling to or from service outside the territory of the United States as part of a peacekeeping force.
    (3) The second such decoration would, if implemented, be awarded to civilian nationals of the United States who, while serving under competent authority in any capacity with the Armed Forces, are killed or injured in the line of duty under circumstances which, if they were members of the Armed Forces, would qualify them for award of the Purple Heart or the medal described in paragraph (2).
    (b) LIMITATION ON IMPLEMENTATION- Any such decoration may only be implemented as provided by a law enacted after the date of the enactment of this Act.
    (c) RECOMMENDATION TO CONGRESS- Not later than July 31, 1999, the Secretary shall submit to Congress a legislative proposal that would, if enacted, establish the new decorations developed pursuant to subsection (a). The Secretary shall include with that proposal the Secretary's recommendation concerning the need for, and propriety of, each of the decorations.
    (d) COORDINATION- The Secretary shall carry out this section in coordination with the Secretaries of the military departments and the Secretary of Transportation with regard to the Coast Guard.

SEC. 532. WAIVER OF TIME LIMITATIONS FOR AWARD OF CERTAIN DECORATIONS TO SPECIFIED PERSONS.

    (a) WAIVER OF TIME LIMITATION- Any limitation established by law or policy for the time within which a recommendation for the award of a military decoration or award must be submitted shall not apply in the case of awards of decorations described in subsection (b), the award of each such decoration having been determined by the Secretary of the military department concerned to be warranted in accordance with section 1130 of title 10, United States Code.
    (b) DISTINGUISHED FLYING CROSS- Subsection (a) applies to awards of the Distinguished Flying Cross for service during World War II or Korea (including multiple awards to the same individual) in the case of each individual concerning whom the Secretary of the Navy (or an officer of the Navy acting on behalf of the Secretary) submitted to the Committee on National Security of the House of Representatives and the Committee on Armed Services of the Senate, before the date of the enactment of this Act, a notice as provided in section 1130(b) of title 10, United States Code, that the award of the Distinguished Flying Cross to that individual is warranted and that a waiver of time restrictions prescribed by law for recommendation for such award is recommended.

SEC. 533. COMMENDATION OF THE NAVY AND MARINE CORPS PERSONNEL WHO SERVED IN THE UNITED STATES NAVY ASIATIC FLEET FROM 1910-1942.

    (a) FINDINGS- Congress makes the following findings:
      (1) The United States established the Asiatic Fleet of the Navy in 1910 to protect American nationals, policies, and possessions in the Far East.
      (2) The sailors and Marines of the Asiatic Fleet ensured the safety of United States citizens and foreign nationals, and provided humanitarian assistance in that region during the Chinese civil war, the Yangtze Flood of 1931, and the outbreak of Sino-Japanese hostilities.
      (3) In 1940, due to deteriorating political relations and increasing tensions between the United States and Japan, a reinforced Asiatic Fleet began concentrating on the defense of the Philippines and engaged in extensive training to ensure maximum operational readiness for any eventuality.
      (4) Following the declaration of war against Japan in December 1941, the warships, submarines, and aircraft of the Asiatic Fleet singly or in task forces courageously fought many battles against a superior Japanese armada.
      (5) The Asiatic Fleet directly suffered the loss of 22 vessels, 1,826 men killed or missing in action, and 518 men captured and imprisoned under the worst of conditions, with many of them dying while held as prisoners of war.
    (b) CONGRESSIONAL COMMENDATION- Congress--
      (1) commends the Navy and Marine Corps personnel who served in the Asiatic Fleet of the United States Navy between 1910 and 1942; and
      (2) honors those who gave their lives in the line of duty while serving in the Asiatic Fleet.

SEC. 534. APPRECIATION FOR SERVICE DURING WORLD WAR I AND WORLD WAR II BY MEMBERS OF THE NAVY ASSIGNED ON BOARD MERCHANT SHIPS AS THE NAVAL ARMED GUARD SERVICE.

    (a) FINDINGS- Congress makes the following findings:
      (1) The Navy established a special force during both World War I and World War II, known as the Naval Armed Guard Service, to protect merchant ships of the United States from enemy attack by stationing members of the Navy and weapons on board those ships.
      (2) Members of the Naval Armed Guard Service served on 6,236 merchant ships during World War II, of which 710 were sunk by enemy action.
      (3) Over 144,900 members of the Navy served in the Naval Armed Guard Service during World War II as officers, gun crewmen, signalmen, and radiomen, of whom 1,810 were killed in action.
      (4) The efforts of the members of the Naval Armed Guard Service played a significant role in the safe passage of United States merchant ships to their destinations in the Soviet Union and various locations in western Europe and the Pacific Theater.
      (5) The efforts of the members of the Navy who served in the Naval Armed Guard Service have been largely overlooked due to the rapid disbanding of the service after World War II and lack of adequate records.
      (6) Recognition of the service of the naval personnel who served in the Naval Armed Guard Service is highly warranted and long overdue.
    (b) SENSE OF CONGRESS- Congress expresses its appreciation, and the appreciation of the American people, for the dedicated service performed during World War I and World War II by members of the Navy assigned as gun crews on board merchant ships as part of the Naval Armed Guard Service.

SEC. 535. SENSE OF CONGRESS REGARDING THE HEROISM, SACRIFICE, AND SERVICE OF THE MILITARY FORCES OF SOUTH VIETNAM AND OTHER NATIONS IN CONNECTION WITH THE UNITED STATES ARMED FORCES DURING THE VIETNAM CONFLICT.

    (a) FINDINGS- Congress finds the following:
      (1) South Vietnam, Australia, South Korea, Thailand, New Zealand, and the Philippines contributed military forces, together with the United States, during military operations conducted in Southeast Asia during the Vietnam conflict.
      (2) The contributions of the combat forces from these nations continued through long years of armed conflict.
      (3) As a result, in addition to the United States casualties exceeding 210,000, this willingness to participate in the Vietnam conflict resulted in the death, and wounding of more than 1,000,000 military personnel from South Vietnam and 16,000 from other allied nations.
      (4) The service of the Vietnamese and other allied nations was repeatedly marked by exceptional heroism and sacrifice, with particularly noteworthy contributions being made by the Vietnamese airborne, commando, infantry and ranger units, the Republic of Korea marines, the Capital and White Horse divisions, the Royal Thai Army Black Panther Division, the Royal Australian Regiment, the New Zealand `V' force, and the 1st Philippine Civic Action Group.
    (b) SENSE OF CONGRESS- Congress recognizes and honors the members and former members of the military forces of South Vietnam, the Republic of Korea, Thailand, Australia, New Zealand, and the Philippines for their heroism, sacrifice and service in connection with United States Armed Forces during the Vietnam conflict.

SEC. 536. SENSE OF CONGRESS REGARDING THE HEROISM, SACRIFICE, AND SERVICE OF FORMER SOUTH VIETNAMESE COMMANDOS IN CONNECTION WITH UNITED STATES ARMED FORCES DURING THE VIETNAM CONFLICT.

    (a) FINDINGS- Congress finds the following:
      (1) South Vietnamese commandos were recruited by the United States as part of OPLAN 34A or its predecessor or OPLAN 35 from 1961 to 1970.
      (2) The commandos conducted covert operations in North Vietnam during the Vietnam conflict.
      (3) Many of the commandos were captured and imprisoned by North Vietnamese forces, some for as long as 20 years.
      (4) The commandos served and fought proudly during the Vietnam conflict.
      (5) Many of the commandos lost their lives serving in operations conducted by the United States during the Vietnam conflict.
      (6) Many of the Vietnamese commandos now reside in the United States.
    (b) SENSE OF CONGRESS--Congress recognizes and honors the former South Vietnamese commandos for their heroism, sacrifice, and service in connection with United States armed forces during the Vietnam conflict.

Subtitle E--Administration of Agencies Responsible for Review and Correction of Military Records

SEC. 541. PERSONNEL FREEZE.

    (a) LIMITATION- During fiscal years 1999, 2000, and 2001, the Secretary of a military department may not carry out any reduction in the number of military and civilian personnel assigned to duty with the service review agency for that military department below the baseline number for that agency until--
      (1) the Secretary submits to Congress a report that describes the reduction proposed to be made, provides the Secretary's rationale for that reduction, and specifies the number of such personnel that would be assigned to duty with that agency after the reduction; and
      (2) a period of 90 days has elapsed after the date on which such report is submitted.
    (b) BASELINE NUMBER- The baseline number for a service review agency under this section is--
      (1) for purposes of the first report with respect to a service review agency under this section, the number of military and civilian personnel assigned to duty with that agency as of October 1, 1997; and
      (2) for purposes of any subsequent report with respect to a service review agency under this section, the number of such personnel specified in the most recent report with respect to that agency under this section.
    (c) SERVICE REVIEW AGENCY DEFINED- In this section, the term `service review agency' means--
      (1) with respect to the Department of the Army, the Army Review Boards Agency;
      (2) with respect to the Department of the Navy, the Board for Correction of Naval Records; and
      (3) with respect to the Department of the Air Force, the Air Force Review Boards Agency.

SEC. 542. PROFESSIONAL STAFF.

    (a) IN GENERAL- (1) Chapter 79 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 1555. Professional staff

    `(a) The Secretary of each military department shall assign to the staff of the service review agency of that military department at least one attorney and at least one physician. Such assignments shall be made on a permanent, full-time basis and may be made from members of the armed forces or civilian employees.
    `(b) Personnel assigned pursuant to subsection (a)--
      `(1) shall work under the supervision of the director or executive director (as the case may be) of the service review agency; and
      `(2) shall be assigned duties as advisers to the director or executive director or other staff members on legal and medical matters, respectively, that are being considered by the agency.
    `(c) In this section, the term `service review agency' means--
      `(1) with respect to the Department of the Army, the Army Review Boards Agency;
      `(2) with respect to the Department of the Navy, the Board for Correction of Naval Records; and
      `(3) with respect to the Department of the Air Force, the Air Force Review Boards Agency.'.
    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `1555. Professional staff.'.
    (b) EFFECTIVE DATE- Section 1555 of title 10, United States Code, as added by subsection (a), shall take effect 180 days after the date of the enactment of this Act.

SEC. 543. EX PARTE COMMUNICATIONS.

    (a) IN GENERAL- (1) Chapter 79 of title 10, United States Code, is amended by adding after section 1555, as added by section 542(a)(1), the following new section:

`Sec. 1556. Ex parte communications prohibited

    `(a) IN GENERAL- The Secretary of each military department shall ensure that an applicant seeking corrective action by the Army Review Boards Agency, the Air Force Review Boards Agency, or the Board for Correction of Naval Records, as the case may be, is provided a copy of all correspondence and communications (including summaries of verbal communications) to or from the agency or board, or a member of the staff of the agency or board, with an entity or person outside the agency or board that pertain directly to the applicant's case or have a material effect on the applicant's case.
    `(b) EXCEPTIONS- Subsection (a) does not apply to the following:
      `(1) Classified information.
      `(2) Information the release of which is otherwise prohibited by law or regulation.
      `(3) Any record previously provided to the applicant or known to be possessed by the applicant.
      `(4) Any correspondence that is purely administrative in nature.
      `(5) Any military record that is (or may be) provided to the applicant by the Secretary of the military department or other source.'.
    (2) The table of sections at the beginning of such chapter is amended by adding after the item relating to 1555, as added by section 542(a)(2), the following new item:
      `1556. Ex parte communications prohibited.'.
    (b) EFFECTIVE DATE- Section 1556 of title 10, United States Code, as added by subsection (a), shall apply with respect to correspondence and communications made 60 days or more after the date of the enactment of this Act.

SEC. 544. TIMELINESS STANDARDS.

    (a) IN GENERAL- Chapter 79 of title 10, United States Code, is amended by adding after section 1556, as added by section 543(a)(1), the following new section:

`Sec. 1557. Timeliness standards for disposition of cases before Corrections Boards

    `(a) TEN-MONTH CLEARANCE PERCENTAGE- Of the cases accepted for consideration by a Corrections Board during a period specified in the following table, the percentage on which final action must be completed within 10 months of receipt (other than for those cases considered suitable for administrative correction) is as follows:

The percentage on which final

`For cases accepted

action must be completed

during--

within 10 months of receipt

is--

the period of fiscal years 2001 and 2002

50

the period of fiscal years 2003 and 2004

60

the period of fiscal years 2005, 2006, and 2007

70

the period of fiscal years 2008, 2009, and 2010

80

the period of any fiscal year after fiscal year 2010

90.

    `(b) CLEARANCE DEADLINE FOR ALL CASES- Effective October 1, 2002, final action on all cases accepted for consideration by a Corrections Board (other than those cases considered suitable for administrative correction) shall be completed within 18 months of receipt.
    `(c) WAIVER AUTHORITY- The Secretary of the military department concerned may exclude an individual case from the timeliness standards prescribed in subsections (a) and (b) if the Secretary determines that the case warrants a longer period of consideration. The authority of the Secretary of a military department under this subsection may not be delegated.
    `(d) REPORTS ON FAILURE TO MEET TIMELINESS STANDARDS- The Secretary of the military department concerned shall submit to the Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives a report not later than June 1 following any fiscal year during which the Corrections Board of that Secretary's military department was unable to meet the timeliness standards in subsections (a) and (b). The report shall specify the reasons why the standard could not be met and the corrective actions initiated to ensure compliance in the future. The report shall also specify the number of waivers granted under subsection (c) during that fiscal year.
    `(e) CORRECTIONS BOARD DEFINED- In this section, the term `Corrections Board' means--
      `(1) with respect to the Department of the Army, the Army Board for Correction of Military Records;
      `(2) with respect to the Department of the Navy, the Board for Correction of Naval Records; and
      `(3) with respect to the Department of the Air Force, the Air Force Board for Correction of Military Records.'.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of such chapter is amended by adding after
the item relating to section 1556, as added by section 543(a)(2), the following new item:
      `1557. Timeliness standards for disposition of cases before Corrections Boards.'.

Subtitle F--Other Matters

SEC. 551. ONE-YEAR EXTENSION OF CERTAIN FORCE DRAWDOWN TRANSITION AUTHORITIES RELATING TO PERSONNEL MANAGEMENT AND BENEFITS.

    (a) EARLY RETIREMENT AUTHORITY FOR ACTIVE DUTY MEMBERS- Section 4403(i) of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102-484; 10 U.S.C. 1293 note) is amended by striking out `October 1, 1999' and inserting in lieu thereof `October 1, 2000'.
    (b) SSB AND VSI- Sections 1174a(h) and 1175(d)(3) of title 10, United States Code, are amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (c) SELECTIVE EARLY RETIREMENT BOARDS- Section 638a(a) of such title is amended by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'.
    (d) TIME-IN-GRADE REQUIREMENT FOR RETENTION OF GRADE UPON VOLUNTARY RETIREMENT- Section 1370(a)(2)(A) of such title is amended by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'.
    (e) LENGTH OF COMMISSIONED SERVICE FOR VOLUNTARY RETIREMENT AS AN OFFICER- Sections 3911(b), 6323(a)(2), and 8911(b) of such title are amended by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'.
    (f) RETIREMENT OF CERTAIN LIMITED DUTY OFFICERS OF THE NAVY AND MARINE CORPS- (1) Sections 633 and 634 of such title are amended by striking out `October 1, 1999' in the last sentence and inserting in lieu thereof `October 1, 2000'.
    (2) Section 6383 of such title is amended--
      (A) in subsection (a)(5), by striking out `October 1, 1999' and inserting in lieu thereof `October 1, 2000'; and
      (B) in subsection (k), by striking out `October 1, 1999' in the last sentence and inserting in lieu thereof `October 1, 2000'.
    (g) TRAVEL AND TRANSPORTATION ALLOWANCES AND STORAGE OF BAGGAGE AND HOUSEHOLD EFFECTS FOR CERTAIN MEMBERS BEING INVOLUNTARILY SEPARATED- Sections 404(c)(1)(C), 404(f)(2)(B)(v), 406(a)(2)(B)(v), and 406(g)(1)(C) of title 37, United States Code, and section 503(c) of the National Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 37 U.S.C. 406 note) are amended by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'.
    (h) EDUCATIONAL LEAVE RELATING TO CONTINUING PUBLIC AND COMMUNITY SERVICE- Section 4463(f) of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102-484; 10 U.S.C. 1143a note) is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (i) TRANSITIONAL HEALTH, COMMISSARY, AND FAMILY HOUSING BENEFITS-
      (1) HEALTH CARE- Section 1145 of title 10, United States Code, is amended--
        (A) in subsections (a)(1) and (c)(1), by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'; and
        (B) in subsection (e), by striking out `during the five-year period beginning on October 1, 1994' and inserting in lieu thereof `during the period beginning on October 1, 1994, and ending on September 30, 2000'.
      (2) COMMISSARY AND EXCHANGE BENEFITS- Section 1146 of such title is amended--
        (A) by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'; and
        (B) by striking out `during the five-year period beginning on October 1, 1994' and inserting in lieu thereof `during the period beginning on October 1, 1994, and ending on September 30, 2000'.
      (3) USE OF MILITARY HOUSING- Section 1147(a) of such title is amended--
        (A) in paragraph (1), by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'; and
        (B) in paragraph (2), by striking out `during the five-year period beginning on October 1, 1994' and inserting in lieu thereof `during the period beginning on October 1, 1994, and ending on September 30, 2000'.
    (j) ENROLLMENT OF DEPENDENTS IN DEFENSE DEPENDENTS' EDUCATION SYSTEM- Section 1407(c)(1) of the Defense Dependents' Education Act of 1978 (20 U.S.C. 926(c)(1)) is amended by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'.
    (k) FORCE REDUCTION TRANSITION PERIOD DEFINITION- Section 4411 of the National Defense Authorization Act for Fiscal Year 1993 (10 U.S.C. 12681 note) is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (l) TEMPORARY SPECIAL AUTHORITY FOR FORCE REDUCTION PERIOD RETIREMENTS- Section 4416(b)(1) of the National Defense Authorization Act for Fiscal Year 1993 (10 U.S.C. 12681 note) is amended by striking out `October 1, 1999' and inserting in lieu thereof `October 1, 2000'.
    (m) RETIRED PAY FOR NON-REGULAR SERVICE- (1) Section 12731(f) of title 10, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (2) Section 12731a of such title is amended in subsections (a)(1)(B) and (b), by striking out `October 1, 1999' and inserting in lieu thereof `October 1, 2000'.
    (n) AFFILIATION WITH GUARD AND RESERVE UNITS; WAIVER OF CERTAIN LIMITATIONS- Section 1150(a) of such title is amended by striking out `during the nine-year period beginning on October 1, 1990' and inserting in lieu thereof `during the period beginning on October 1, 1990, and ending on September 30, 2000'.
    (o) RESERVE MONTGOMERY GI BILL- Section 16133(b)(1)(B) of such title is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.

SEC. 552. LEAVE WITHOUT PAY FOR ACADEMY CADETS AND MIDSHIPMEN.

    (a) AUTHORITY FOR LEAVE WITHOUT PAY- Section 702 of title 10, United States Code, is amended by adding at the end the following new subsection:
    `(c)(1) The Secretary concerned may place an academy cadet or midshipman on involuntary leave without pay if, under regulations prescribed by the Secretary concerned, the Superintendent of the Academy at which the cadet or midshipman is admitted--
      `(A) has recommended that the cadet or midshipman be dismissed or discharged;
      `(B) has directed the cadet or midshipman return to the Academy to repeat an academic semester or year;
      `(C) has otherwise recommended to the Secretary for good cause that the cadet or midshipman be placed on involuntary leave without pay.
    `(2) In this subsection, the term `academy cadet or midshipman' means--
      `(A) a cadet of the United States Military Academy;
      `(B) a midshipman of the United States Naval Academy;
      `(C) a cadet of the United States Air Force Academy; or
      `(D) a cadet of the United States Coast Guard Academy.'.
    (b) EFFECTIVE DATE- Subsection (c) of section 702 of title 10, United States Code, as added by subsection (a), shall apply with respect to academy cadets and midshipmen (as defined in that subsection) who are placed on involuntary leave after the date of the enactment of this Act.

SEC. 553. PROVISION FOR RECOVERY, CARE, AND DISPOSITION OF THE REMAINS OF ALL MEDICALLY RETIRED MEMBERS.

    (a) IN GENERAL- Section 1481(a) of title 10, United States Code, is amended--
      (1) in paragraph (1), by striking out `, or member of an armed force without component,'; and
      (2) in paragraph (7)--
        (A) by striking out `United States'; and
        (B) by striking out `for a period of more than 30 days,'.
    (b) EFFECTIVE DATE- The amendments made by subsection (a)(2) apply with respect to persons dying on or after the date of the enactment of this Act.

SEC. 554. CONTINUED ELIGIBILITY UNDER VOLUNTARY SEPARATION INCENTIVE PROGRAM FOR MEMBERS WHO INVOLUNTARILY LOSE MEMBERSHIP IN A RESERVE COMPONENT.

    (a) CONTINUED ELIGIBILITY- Section 1175(a) of title 10, United States Code, is amended by inserting before the period at the end `, or for the period described in section 1175(e)(1) of this section if the member becomes ineligible for retention in an active or inactive status in a reserve component because of age, years of service, failure to select for promotion, or medical disqualification, so long as such ineligibility does not result from deliberate action on the part of the member with the intent to avoid retention in an active or inactive status in a reserve component.'.
    (b) EFFECTIVE DATE- The amendment made by subsection (a) applies with respect to any person provided a voluntary separation incentive under section 1175 of title 10, United States Code (whether before, on, or after the date of the enactment of this Act).

SEC. 555. DEFINITION OF FINANCIAL INSTITUTION FOR DIRECT DEPOSIT OF PAY.

    (a) SERVICEMEMBERS REIMBURSEMENT FOR EXPENSES DUE TO GOVERNMENT ERROR- Paragraph (1) of section 1053(d) of title 10, United States Code, is amended to read as follows:
      `(1) The term `financial institution' means a bank, savings and loan association, or similar institution or a credit union chartered by the United States or a State.'.
    (b) CIVILIAN EMPLOYEES REIMBURSEMENT FOR EXPENSES DUE TO GOVERNMENT ERROR- Paragraph (1) of section 1594(d) of such title is amended to read as follows:
      `(1) The term `financial institution' means a bank, savings and loan association, or similar institution or a credit union chartered by the United States or a State.'.

SEC. 556. INCREASE IN MAXIMUM AMOUNT FOR COLLEGE FUND PROGRAM.

    (a) INCREASE IN MAXIMUM RATE FOR ACTIVE COMPONENT MONTGOMERY GI BILL KICKER- Section 3015(d) of title 38, United States Code, is amended--
      (1) by inserting `, at the time the individual first becomes a member of the Armed Forces,' after `Secretary of Defense, may'; and
      (2) by striking out `$400' and all that follows through `that date' and inserting in lieu thereof `$950 per month'.
    (b) EFFECTIVE DATE- The amendment made by subsection (a) shall take effect on October 1, 1999, and shall apply with respect to individuals who first become members of the Armed Forces on or after that date.

SEC. 557. CENTRAL IDENTIFICATION LABORATORY, HAWAII.

    (a) SENSE OF CONGRESS- It is the sense of Congress that the Central Identification Laboratory, Hawaii, of the Department of the Army is an important element of the Department of Defense and is critical to the full accounting of members of the Armed Forces who have been classified as POW/MIAs or are otherwise unaccounted for.
    (b) REQUIRED STAFFING LEVEL- The Secretary of Defense shall provide sufficient personnel to fill all authorized personnel positions of the Central Identification Laboratory, Hawaii, Department of the Army. Those personnel shall be drawn from members of the Army, Navy, Air Force, and Marine Corps and from civilian personnel, as appropriate, considering the proportion of POW/MIAs from each service.
    (c) JOINT MANNING PLAN- The Secretary of Defense shall develop and implement, not later than March 31, 2000, a joint manning plan to ensure the appropriate participation of the four services in the staffing of the Central Identification Laboratory, Hawaii, as required by subsection (b).
    (d) LIMITATION ON REDUCTIONS- The Secretary of the Army may not carry out any personnel reductions (in authorized or assigned personnel) at the Central Identification Laboratory, Hawaii, until the joint manning plan required by subsection (c) is implemented.

SEC. 558. HONOR GUARD DETAILS AT FUNERALS OF VETERANS.

    (a) IN GENERAL- (1) Chapter 75 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 1491. Honor guard details at funerals of veterans

    `(a) AVAILABILITY- The Secretary of a military department shall, upon request, provide an honor guard detail (or ensure that an honor guard detail is provided) for the funeral of any veteran.
    `(b) COMPOSITION OF HONOR GUARD DETAILS- The Secretary of each military department shall ensure that an honor guard detail for the funeral of a veteran consists of not less than three persons and (unless a bugler is part of the detail) has the capability to play a recorded version of Taps.
    `(c) PERSONS FORMING HONOR GUARDS- An honor guard detail may consist of members of the armed forces or members of veterans organizations or other organizations approved for purposes of this section under regulations prescribed by the Secretary of Defense. The Secretary of a military department may provide transportation, or reimbursement for transportation, and expenses for a person who participates in an honor guard detail under this section and is not a member of the armed forces or an employee of the United States.
    `(d) REGULATIONS- The Secretary of Defense shall by regulation establish a system for selection of units of the armed forces and other organizations to provide honor guard details. The system shall place an emphasis on balancing the funeral detail workload among the units and organizations providing honor guard details in an equitable manner as they are able to respond to requests for such details in terms of geographic proximity and available resources. The Secretary shall provide in such regulations that the armed force in which a veteran served shall not be considered to be a factor when selecting the military unit or other organization to provide an honor guard detail for the funeral of the veteran.
    `(e) ANNUAL REPORT- The Secretary of Defense shall submit to the Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives a report not later than January 31 of each year beginning with 2001 and ending with 2005 on the experience of the Department of Defense under this section. Each such report shall provide data on the number of funerals supported under this section, cost for that support, shown by manpower and other cost factors, and the number and costs of funerals supported by each participating organization. The data in the report shall be presented in a standard format, regardless of military department or other organization.
    `(f) VETERAN DEFINED- In this section, the term `veteran' has the meaning given that term in section 101(2) of title 38.'.
    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `1491. Honor guard details at funerals of veterans.'.
    (b) TREATMENT OF PERFORMANCE OF HONOR GUARD FUNCTIONS BY RESERVES- (1) Chapter 1215 of title 10,
United States Code, is amended by adding at the end the following new section:

`Sec. 12552. Funeral honor guard functions: prohibition of treatment as drill or training

    `Performance by a Reserve of honor guard functions at the funeral of a veteran may not be considered to be a period of drill or training otherwise required.'.
    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `12552. Funeral honor guard functions: prohibition of treatment as drill or training.'.
    (c) REPEAL OF LIMITATION ON AVAILABILITY OF FUNDS FOR HONOR GUARD FUNCTIONS BY NATIONAL GUARD- Section 114 of title 32, United States Code, is amended--
      (1) by striking out `(a)'; and
      (2) by striking out subsection (b).
    (d) APPLICABILITY- The amendments made by this section shall apply to burials of veterans that occur on or after October 1, 1999.
    (e) STUDY- The Secretary of Defense, in coordination with the Secretary of Veterans Affairs, shall study alternative means for the provision of honor guard details at funerals of veterans. Not later than March 31, 1999, the Secretary shall submit to the Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives a report setting forth the results of the study and the Secretary's views and recommendations.
    (f) CONSULTATION WITH VETERANS SERVICE ORGANIZATIONS- Before prescribing the initial regulations under section 1491 of title 10, United States Code, as added by subsection (a), the Secretary of Defense shall consult with veterans service organizations to determine the views of those organizations regarding methods for providing honor guard details at funerals for veterans, suggestions for organizing the system to provide those details, and estimates of the resources that those organizations could provide for honor guard details for veterans.

SEC. 559. APPLICABILITY TO ALL PERSONS IN CHAIN OF COMMAND OF POLICY REQUIRING EXEMPLARY CONDUCT BY COMMANDING OFFICERS AND OTHERS IN AUTHORITY IN THE ARMED FORCES.

    (a) IN GENERAL- (1) Chapter 3 of title 10, United States Code, is amended by inserting after section 121 the following new section:

`Sec. 121a. Requirement of exemplary conduct by civilians in chain of command

    `The President, as Commander in Chief, and the Secretary of Defense are required (in the same manner that commanding officers and others in authority in the Armed Forces are required)--
      `(1) to show in themselves a good example of virtue, honor, and patriotism and to subordinate themselves to those ideals;
      `(2) to be vigilant in inspecting the conduct of all persons who are placed under their command;
      `(3) to guard against and to put an end to all dissolute and immoral practices and to correct, according to the laws and regulations of the armed forces, all persons who are guilty of them; and
      `(4) to take all necessary and proper measures, under the laws, regulations, and customs of the armed forces, to promote and safeguard the morale, the physical well-being, and the general welfare of the officers and enlisted persons under their command or charge.'.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 121 the following new item:
      `121a. Requirement of exemplary conduct by civilians in chain of command.'.

SEC. 560. REPORT ON PRISONERS TRANSFERRED FROM UNITED STATES DISCIPLINARY BARRACKS, FORT LEAVENWORTH, KANSAS, TO FEDERAL BUREAU OF PRISONS.

    (a) REPORT- Not later than 90 days after the date of the enactment of this Act, the Secretary of Defense shall submit to Congress a report, to be prepared by the General Counsel of the Department of Defense, concerning the decision of the Secretary of the Army in 1994 to transfer approximately 500 prisoners from the United States Disciplinary Barracks, Fort Leavenworth, Kansas, to the Federal Bureau of Prisons.
    (b) MATTERS TO BE INCLUDED- The Secretary shall include in the report the following:
      (1) A description of the basis for the selection of prisoners to be transferred, particularly in light of the fact that many of the prisoners transferred are minimum or medium security prisoners, who are considered to have the best chance for rehabilitation, and whether the transfer of those prisoners indicates a change in Department of Defense policy regarding the rehabilitation of military prisoners.
      (2) A comparison of the historical recidivism rates of prisoners released from the United States Disciplinary Barracks and the Federal Bureau of Prisons, together with a description of any plans of the
Army to track the parole and recidivism rates of prisoners transferred to the Federal Bureau of Prisons and whether it has tracked those factors for previous transferees.
      (3) A description of the projected future flow of prisoners into the new United States Disciplinary Barracks being constructed at Fort Leavenworth, Kansas, and whether the Secretary of the Army plans to automatically send new prisoners to the Federal Bureau of Prisons without serving at the United States Disciplinary Barracks if that Barracks is at capacity and whether the Memorandum of Understanding between the Federal Bureau of Prisons and the Army covers that possibility.
      (4) A description of the cost of incarcerating a prisoner in the Federal Bureau of Prisons compared to the United States Disciplinary Barracks and the assessment of the Secretary as to the extent to which the transfer of prisoners to the Federal Bureau of Prisons by the Secretary of the Army is made in order to shift a budgetary burden.
    (c) MONITORING- During fiscal years 1999 through 2003, the Secretary of the Army shall track the parole and recidivism rates of prisoners transferred from the United States Disciplinary Barracks, Fort Leavenworth, Kansas, to the Federal Bureau of Prisons.

SEC. 561. REPORT ON PROCESS FOR SELECTION OF MEMBERS FOR SERVICE ON COURTS-MARTIAL.

    (a) REPORT REQUIRED- Not later than April 15, 1999, the Secretary of Defense shall submit to Congress a report on the method of selection of members of the Armed Forces to serve on courts-martial.
    (b) MATTERS TO BE CONSIDERED- In preparing the report, the Secretary shall--
      (1) direct the Secretaries of the military departments to develop a plan for random selection of members of courts-martial , subject to the provisions relating to service on courts-martial specified in section 825(d)(2) of title 10, United States Code (article 25(d)(2) of the Uniform Code of Military Justice), as a possible replacement for the current system of selection by the convening authority; and
      (2) obtain the views of the members of the committee referred to in section 946 of such title (known as the `Code Committee').

SEC. 562. STUDY OF REVISING THE TERM OF SERVICE OF MEMBERS OF THE UNITED STATES COURT OF APPEALS FOR THE ARMED FORCES.

    Not later than April 15, 1999, the Secretary of Defense shall submit to Congress a report on the desirability of revising the term of appointment of judges of the United States Court of Appeals for the Armed Forces so that the term of a judge on that court is for a period of 15 years or until the judge attains the age of 65, whichever is later. In preparing the report, the Secretary shall obtain the view of the members of the committee referred to in section 946 of title 10, United States Code, (known as the `Code Committee').

SEC. 563. STATUS OF CADETS AT THE MERCHANT MARINE ACADEMY.

    (a) STATUS OF CADETS- Any citizen of the United States appointed as a cadet at the United States Merchant Marine Academy shall be considered to be a member of the United States Naval Reserve.
    (b) ELIGIBILITY- The Secretary of Defense shall provide that cadets of the United States Merchant Marine Academy shall be issued an identification card (referred to as a `military ID card') and shall be entitled to all rights and privileges in accordance with the same eligibility criteria as apply to other members of the Ready Reserve of the reserve components of the Armed Forces.
    (c) COORDINATION WITH SECRETARY OF TRANSPORTATION- The Secretary of Defense shall carry out this section in coordination with the Secretary of Transportation.

TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

Subtitle A--Pay and Allowances

SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 1999.

    (a) WAIVER OF SECTION 1009 ADJUSTMENT- Except as provided in subsection (b), the adjustment, to become effective during fiscal year 1999, required by section 1009 of title 37, United States Code, in the rate of monthly basic pay authorized members of the uniformed services by section 203(a) of such title shall not be made.
    (b) INCREASE IN BASIC PAY- Effective on January 1, 1999, the rates of basic pay of members of the uniformed services shall be increased by the greater of--
      (1) 3.6 percent; or
      (2) the percentage increase determined under subsection (c) of section 1009 of title 37, United States Code, by which the monthly basic pay of members would be adjusted under subsection (a) of that section on that date in the absence of subsection (a) of this section.

SEC. 602. BASIC ALLOWANCE FOR HOUSING OUTSIDE THE UNITED STATES.

    (a) PAYMENT OF CERTAIN EXPENSES RELATED TO OVERSEAS HOUSING- Section 403(c) of title 37, United States Code, is amended by adding at the end the following new paragraph:
    `(3)(A) In the case of a member of the uniformed services authorized to receive an allowance under paragraph (1), the Secretary concerned may make a lump-sum payment to the member for required deposits and advance rent, and for expenses relating thereto, that are--
      `(i) incurred by the member in occupying private housing outside of the United States; and
      `(ii) authorized or approved under regulations prescribed by the Secretary concerned.
    `(B) Expenses for which a member may be reimbursed under this paragraph may include losses relating to housing that are sustained by the member as a result of fluctuations in the relative value of the currencies of the United States and the foreign country in which the housing is located.
    `(C) The Secretary concerned shall recoup the full amount of any deposit or advance rent payments made by the Secretary under subparagraph (A), including any gain resulting from currency fluctuations between the time of payment and the time of recoupment.'.
    (b) CONFORMING AMENDMENT- Section 405 of title 37, United States Code, is amended by striking out subsection (c).
    (c) RETROACTIVE APPLICATION- The reimbursement authority provided by section 403(c)(3)(B) of title 37, United States Code, as added by subsection (a), applies with respect to losses relating to housing that are sustained, on or after July 1, 1997, by a member of the uniformed services as a result of fluctuations in the relative value of the currencies of the United States and the foreign country in which the housing is located.

SEC. 603. BASIC ALLOWANCE FOR SUBSISTENCE FOR RESERVES.

    (a) IN GENERAL- Section 402 of title 37, United States Code, is amended--
      (1) by redesignating subsections (e) and (f) as subsections (f) and (g), respectively; and
      (2) by inserting after subsection (d) the following new subsection:
    `(e) SPECIAL RULE FOR CERTAIN ENLISTED RESERVE MEMBERS- Unless entitled to basic pay under section 204 of this title, an enlisted member of a reserve component may receive, at the discretion of the Secretary concerned, rations in kind, or a part thereof, when the member's instruction or duty periods, as described in section 206(a) of this title, total at least eight hours in a calendar day. The Secretary concerned may provide an enlisted member who could be provided rations in kind under the preceding sentence with a commutation when rations in kind are not available.'.
    (b) APPLICATION DURING TRANSITIONAL PERIOD- Section 602(d)(1) of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 37 U.S.C. 402 note) is amended by adding at the end the following new subparagraph:
        `(D) SPECIAL RULE FOR CERTAIN ENLISTED RESERVE MEMBERS- Unless entitled to basic pay under section 204 of title 37, United States Code, an enlisted member of a reserve component (as defined in section 101(24) of such title) may receive, at the discretion of the Secretary concerned (as defined in section 101(5) of such title), rations in kind, or a part thereof, when the member's instruction or duty periods (as described in section 206(a) of such title) total at least eight hours in a calendar day. The Secretary concerned may provide an enlisted member who could be provided rations in kind under the preceding sentence with a commutation when rations in kind are not available.'.

Subtitle B--Bonuses and Special and Incentive Pays

SEC. 611. ONE-YEAR EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY AUTHORITIES FOR RESERVE FORCES.

    (a) SPECIAL PAY FOR HEALTH PROFESSIONALS IN CRITICALLY SHORT WARTIME SPECIALTIES- Section 302g(f) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (b) SELECTED RESERVE REENLISTMENT BONUS- Section 308b(f) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (c) SELECTED RESERVE ENLISTMENT BONUS- Section 308c(e) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (d) SPECIAL PAY FOR ENLISTED MEMBERS ASSIGNED TO CERTAIN HIGH PRIORITY UNITS- Section 308d(c) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (e) SELECTED RESERVE AFFILIATION BONUS- Section 308e(e) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (f) READY RESERVE ENLISTMENT AND REENLISTMENT BONUS- Section 308h(g) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (g) PRIOR SERVICE ENLISTMENT BONUS- Section 308i(f) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (h) REPAYMENT OF EDUCATION LOANS FOR CERTAIN HEALTH PROFESSIONALS WHO SERVE IN THE SELECTED RESERVE- Section 16302(d) of title 10, United States Code, is amended by striking out `October 1, 1999' and inserting in lieu thereof `October 1, 2000'.

SEC. 612. ONE-YEAR EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY AUTHORITIES FOR NURSE OFFICER CANDIDATES, REGISTERED NURSES, AND NURSE ANESTHETISTS.

    (a) NURSE OFFICER CANDIDATE ACCESSION PROGRAM- Section 2130a(a)(1) of title 10, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (b) ACCESSION BONUS FOR REGISTERED NURSES- Section 302d(a)(1) of title 37, United States Code, is
amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (c) INCENTIVE SPECIAL PAY FOR NURSE ANESTHETISTS- Section 302e(a)(1) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.

SEC. 613. ONE-YEAR EXTENSION OF AUTHORITIES RELATING TO PAYMENT OF OTHER BONUSES AND SPECIAL PAYS.

    (a) AVIATION OFFICER RETENTION BONUS- Section 301b(a) of title 37, United States Code, is amended by striking out `September 30, 1999,' and inserting in lieu thereof `September 30, 2000,'.
    (b) REENLISTMENT BONUS FOR ACTIVE MEMBERS- Section 308(g) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (c) ENLISTMENT BONUSES FOR MEMBERS WITH CRITICAL SKILLS- Sections 308a(c) and 308f(c) of title 37, United States Code, are each amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (d) SPECIAL PAY FOR NUCLEAR QUALIFIED OFFICERS EXTENDING PERIOD OF ACTIVE SERVICE- Section 312(e) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (e) NUCLEAR CAREER ACCESSION BONUS- Section 312b(c) of title 37, United States Code, is amended by striking out `September 30, 1999' and inserting in lieu thereof `September 30, 2000'.
    (f) NUCLEAR CAREER ANNUAL INCENTIVE BONUS- Section 312c(d) of title 37, United States Code, is amended by striking out `October 1, 1999' and inserting in lieu thereof `October 1, 2000'.

SEC. 614. AVIATION CAREER INCENTIVE PAY AND AVIATION OFFICER RETENTION BONUS.

    (a) DEFINITION OF AVIATION SERVICE- (1) Section 301a(a)(6) of title 37, United States Code, is amended--
      (A) by redesignating subparagraphs (A), (B), and (C) as subparagraphs (B), (C), and (D), respectively; and
      (B) by inserting before subparagraph (B) (as so redesignated) the following new subparagraph:
      `(A) The term `aviation service' means service performed by an officer (except a flight surgeon or other medical officer) while holding an aeronautical rating or designation or while in training to receive an aeronautical rating or designation.'.
    (2) Section 301b(j) of such title is amended by striking out paragraph (1) and inserting in lieu thereof the following new paragraph:
      `(1) The term `aviation service' means service performed by an officer (except a flight surgeon or other medical officer) while holding an aeronautical rating or designation or while in training to receive an aeronautical rating or designation.'.
    (b) AMOUNT OF INCENTIVE PAY- Subsection (b) of section 301a of such title is amended to read as follows:
    `(b)(1) A member who satisfies the requirements described in subsection (a) is entitled to monthly incentive pay as follows:
`Years of aviation service (including

Monthly

flight training) as an officer:

rate

2 or less

--$125

Over 2

--$156

Over 3

--$188

Over 4

--$206

Over 6

--$650

Over 14

--$840

Over 22

--$585

Over 23

--$495

Over 24

--$385

Over 25

--$250

    `(2) An officer in a pay grade above O-6 is entitled, until the officer completes 25 years of aviation service, to be paid at the rates set forth in the table in paragraph (1), except that--
      `(A) an officer in pay grade O-7 may not be paid at a rate greater than $200 a month; and
      `(B) an officer in pay grade O-8 or above may not be paid at a rate greater than $206 a month.
    `(3) For a warrant officer with over 22, 23, 24, or 25 years of aviation service who is qualified under subsection (a), the rate prescribed in the table in paragraph (1) for officers with over 14 years of aviation service shall continue to apply to the warrant officer.'.
    (c) REFERENCES TO AVIATION SERVICE- (1) Section 301a of such title is further amended--
      (A) in subsection (a)(4)--
        (i) by striking out `22 years of the officer's service as an officer' and inserting in lieu thereof `22 years of aviation service of the officer'; and
        (ii) by striking out `25 years of service as an officer (as computed under section 205 of this title)' and inserting in lieu thereof `25 years of aviation service'; and
      (B) in subsection (d), by striking out `subsection (b)(1) or (2), as the case may be, for the performance of that duty by a member of corresponding years of aviation or officer service, as appropriate,' and inserting in lieu thereof `subsection (b) for the performance of that duty by a member with corresponding years of aviation service'.
    (2) Section 301b(b)(5) of such title is amended by striking out `active duty' and inserting in lieu thereof `aviation service'.
    (d) CONFORMING AMENDMENT- Section 615 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1787) is repealed.

SEC. 615. SPECIAL PAY FOR DIVING DUTY.

    Section 304(a) of title 37, United States Code, is amended--
      (1) by inserting `or' at the end of paragraph (1);
      (2) in paragraph (2), by striking out `by frequent and regular dives; and' and inserting in lieu thereof a period; and
      (3) by striking out paragraph (3).

SEC. 616. SELECTIVE REENLISTMENT BONUS ELIGIBILITY FOR RESERVE MEMBERS PERFORMING ACTIVE GUARD AND RESERVE DUTY.

    Section 308(a)(1)(D) of title 37, United States Code, is amended to read as follows:
      `(D) reenlists or voluntarily extends the member's enlistment for a period of at least three years in a regular component, or in a reserve component if the member is performing active Guard and Reserve duty (as defined in section 101(d)(6) of title 10), of the service concerned;'.

SEC. 617. REMOVAL OF TEN PERCENT RESTRICTION ON SELECTIVE REENLISTMENT BONUSES.

    Section 308(b) of title 37, United States Code, is amended--
      (1) by striking out `(1)' after `(b)'; and
      (2) by striking out paragraph (2).

SEC. 618. INCREASE IN MAXIMUM AMOUNT OF ARMY ENLISTMENT BONUS.

    Section 308f(a) of title 37, United States Code, is amended by striking out `$4,000' and inserting in lieu thereof `$6,000'.

SEC. 619. EQUITABLE TREATMENT OF RESERVES ELIGIBLE FOR SPECIAL PAY FOR DUTY SUBJECT TO HOSTILE FIRE OR IMMINENT DANGER.

    Section 310(b) of title 37, United States Code, is amended--
      (1) by inserting `(1)' after `(b)'; and
      (2) by adding at the end the following new paragraph:
    `(2) A member of a reserve component who is eligible for special pay under this section for a month shall receive the full amount authorized in subsection (a) for that month regardless of the number of days during that month on which the member satisfies the eligibility criteria specified in such subsection.'.

Subtitle C--Travel and Transportation Allowances

SEC. 631. EXCEPTION TO MAXIMUM WEIGHT ALLOWANCE FOR BAGGAGE AND HOUSEHOLD EFFECTS.

    Section 406(b)(1)(D) of title 37, United States Code, is amended in the second sentence by inserting before the period the following: `, unless the additional weight allowance in excess of such maximum is intended to permit the shipping of consumables that cannot be reasonably obtained at the new station of the member'.

SEC. 632. TRAVEL AND TRANSPORTATION ALLOWANCES FOR TRAVEL PERFORMED BY MEMBERS IN CONNECTION WITH REST AND RECUPERATIVE LEAVE FROM OVERSEAS STATIONS.

    (a) PROVISION OF TRANSPORTATION- Section 411c of title 37, United States Code, is amended by striking out subsection (b) and inserting in lieu thereof the following new subsection:
    `(b) When the transportation authorized by subsection (a) is provided by the Secretary concerned, the Secretary may use Government or commercial carriers. The Secretary concerned may limit the amount of payments made to members under subsection (a).'.
    (b) CLERICAL AMENDMENTS- (1) The heading of such section is amended to read as follows:

`Sec. 411c. Travel and transportation allowances: travel performed in connection with rest and recuperative leave from certain stations in foreign countries'.

    (2) The item relating to such section in the table of sections at the beginning of chapter 7 of such title is amended to read as follows:
      `411c. Travel and transportation allowances: travel performed in connection with rest and recuperative leave from certain stations in foreign countries.'.

SEC. 633. STORAGE OF BAGGAGE OF CERTAIN DEPENDENTS.

    Section 430(b) of title 37, United States Code, is amended--
      (1) by inserting `(1)' after `(b)'; and
      (2) by adding at the end the following new paragraph:
    `(2) At the option of the member, in lieu of the transportation of baggage of a dependent child under paragraph (1) from the dependent's school in the continental United States, the Secretary concerned may pay or reimburse the member for costs incurred to store the baggage at or in the vicinity of the school during the dependent's annual trip between the school and the member's duty station. The amount of the payment or reimbursement may not exceed the cost that the Government would incur to transport the baggage.'.

Subtitle D--Retired Pay, Survivor Benefits, and Related Matters

SEC. 641. EFFECTIVE DATE OF FORMER SPOUSE SURVIVOR BENEFIT COVERAGE.

    (a) COORDINATION OF PROVISIONS- Section 1448(b)(3)(C) of title 10, United States Code, is amended by inserting after `the Secretary concerned' in the second sentence the following: `, except that, in the case of an election made by a person described in section 1450(f)(3)(B) of this title, such an election is effective on the first day of the first month which begins after the date of the court order or filing involved (in the same manner as provided under section 1450(f)(3)(D) of this title)'.
    (b) EFFECTIVE DATE- The amendment made by subsection (a) shall apply to elections under section 1448(b)(3) of title 10, United States Code, that are received by the Secretary concerned on or after the date of the enactment of this Act.

Subtitle E--Other Matters

SEC. 651. DELETION OF CANAL ZONE FROM DEFINITION OF UNITED STATES POSSESSIONS FOR PURPOSES OF PAY AND ALLOWANCES.

    Section 101(2) of title 37, United States Code, is amended by striking `the Canal Zone,'.

SEC. 652. ACCOUNTING OF ADVANCE PAYMENTS.

    Section 1006(e) of title 37, United States Code, is amended--
      (1) by inserting `(1)' after `(e)'; and
      (2) by adding at the end the following new paragraph:
    `(2) Obligations and expenditures incurred for an advance payment under this section may not be included in any determination of amounts available for obligation or expenditure except in the fiscal year in which the advance payment is ultimately earned and such obligations and expenditures shall be accounted for only in such fiscal year.'.

SEC. 653. REIMBURSEMENT OF RENTAL VEHICLE COSTS WHEN MOTOR VEHICLE TRANSPORTED AT GOVERNMENT EXPENSE IS LATE.

    (a) TRANSPORTATION IN CONNECTION WITH CHANGE OF PERMANENT STATION- Section 2634 of title 10, United States Code, is amended--
      (1) by redesignating subsection (g) as subsection (h); and
      (2) by inserting after subsection (f) the following new subsection:
    `(g) If a motor vehicle of a member (or a dependent of the member) that is transported at the expense of the United States under this section does not arrive at the authorized destination of the vehicle by the designated delivery date, the Secretary concerned shall reimburse the member for expenses incurred after that date to rent a motor vehicle for the member's use, or for the use of the dependent for whom the delayed vehicle was transported. However, the amount reimbursed shall not exceed $30 per day, and the rental period for which reimbursement may be provided shall expire after seven days or on the date on which the delayed vehicle finally arrives at the authorized destination (whichever occurs first).'.
    (b) TRANSPORTATION IN CONNECTION WITH OTHER MOVES- Section 406(h) of title 37, United States Code, is amended by adding at the end the following new paragraph:
    `(3) If a motor vehicle of a member (or a dependent of the member) that is transported at the expense of the United States under this subsection does not arrive at the authorized destination of the vehicle by the designated delivery date, the Secretary concerned shall reimburse the member for expenses incurred after that date to rent a motor vehicle for the dependent's use. However, the amount reimbursed shall not exceed $30 per day, and the rental period for which reimbursement may be provided shall expire after seven days or on the date on which the delayed vehicle finally arrives at the authorized destination (whichever occurs first).'.
    (c) TRANSPORTATION IN CONNECTION WITH DEPARTURE ALLOWANCES FOR DEPENDENTS- Section 405a(b) of title 37, United States Code, is amended--
      (1) by inserting `(1)' after `(b)'; and
      (2) by adding at the end the following new paragraph:
    `(2) If a motor vehicle of a member (or a dependent of the member) that is transported at the expense of the United States under paragraph (1) does not arrive at the authorized destination of the vehicle by the designated delivery date, the Secretary concerned shall reimburse the member for expenses incurred after that date to rent a motor vehicle for the dependent's use. However, the amount reimbursed shall not exceed $30 per day, and the rental period for which reimbursement may be provided shall expire after seven days or on the date on which the delayed vehicle finally arrives at the authorized destination (whichever occurs first).'.
    (d) TRANSPORTATION IN CONNECTION WITH EFFECTS OF MISSING PERSONS- Section 554 of title 37, United States Code, is amended--
      (1) by redesignating subsection (i) as subsection (j); and
      (2) by inserting after subsection (h) the following new subsection:
    `(i) If a motor vehicle of a member (or a dependent of the member) that is transported at the expense of the United States under this section does not arrive at the authorized destination of the vehicle by the designated delivery date, the Secretary concerned shall reimburse the dependent for expenses incurred after that date to rent a motor vehicle for the dependent's use. However, the amount reimbursed shall not exceed $30 per day, and the rental period for which reimbursement may be provided shall expire after seven days or on the date on which the delayed vehicle finally arrives at the authorized destination (whichever occurs first).'.
    (e) APPLICATION OF AMENDMENTS- Reimbursement for motor vehicle rental expenses may not be provided under the amendments made by this section until after the date on which the Secretary of Defense submits to Congress a report certifying that the Department of Defense has in place and operational a system to recover the cost to the Department of providing such reimbursement from commercial carriers that are responsible for the delay in the delivery of the motor vehicles of members of the Armed Forces and their dependents. The amendments shall apply with respect to rental expenses described in such amendments that are incurred on or after the date of the submission of the report.

SEC. 654. EDUCATION LOAN REPAYMENT PROGRAM FOR CERTAIN HEALTH PROFESSION OFFICERS SERVING IN SELECTED RESERVE.

    (a) LOAN REPAYMENT AMOUNTS- Section 16302(c) of title 10, United States Code, is amended--
      (1) in paragraph (2), by striking out `$3,000' and inserting in lieu thereof `$10,000'; and
      (2) in paragraph (3), by striking out `$20,000' and inserting in lieu thereof `$50,000'.
    (b) EFFECTIVE DATE- The amendments made by subsection (a) shall take effect on October 1, 1998.

TITLE VII--HEALTH CARE PROVISIONS

Subtitle A--Health Care Services

SEC. 701. EXPANSION OF DEPENDENT ELIGIBILITY UNDER RETIREE DENTAL PROGRAM.

    (a) IN GENERAL- Subsection (b) of section 1076c of title 10, United States Code, is amended--
      (1) by redesignating paragraph (4) as paragraph (5); and
      (2) by inserting after paragraph (3) the following new paragraph:
      `(4) Eligible dependents of a member described in paragraph (1) or (2) who is not enrolled in the plan and who--
        `(A) is enrolled under section 1705 of title 38 to receive dental care from the Secretary of Veterans Affairs;
        `(B) is enrolled in a dental plan that--
          `(i) is available to the member as a result of employment by the member that is separate from the military service of the member; and
          `(ii) is not available to dependents of the member as a result of such separate employment by the member; or
        `(C) is prevented by a medical or dental condition from being able to obtain benefits under the plan.'.
    (b) CONFORMING AMENDMENT- Subsection (f)(3) of such section is amended by striking out `(b)(4)' and inserting in lieu thereof `(b)(5)'.

SEC. 702. PLAN FOR PROVISION OF HEALTH CARE FOR MILITARY RETIREES AND THEIR DEPENDENTS COMPARABLE TO HEALTH CARE PROVIDED UNDER TRICARE PRIME.

    (a) REQUIREMENT TO SUBMIT PLAN- (1) The Secretary of Defense shall submit to Congress--
      (A) a plan under which the Secretary would guarantee access, for covered beneficiaries described in subsection (b), to health care that is comparable to the health care provided to covered beneficiaries under chapter 55 of title 10, United States Code, under TRICARE Prime (as defined in subsection (d) of section 1097a of such title (as added by section 712)); and
      (B) a legislative proposal and cost estimate for implementing the plan.
    (2) The plan required under paragraph (1)(A) shall provide for guaranteed access to such health care for such covered beneficiaries by October 1, 2001.
    (b) COVERED BENEFICIARIES- A covered beneficiary under this subsection is an individual who is a covered beneficiary under chapter 55 of title 10, United States Code, who--
      (1) is a member or former member of the Armed Forces entitled to retired pay under such title; or
      (2) is a dependent (as that term is defined in section 1072(2) of such chapter) of such a member.
    (c) DEADLINE FOR SUBMISSION- The Secretary shall submit the plan required by subsection (a) not later than March 1, 1999.

SEC. 703. PLAN FOR REDESIGN OF MILITARY PHARMACY SYSTEM.

    (a) PLAN REQUIRED- The Secretary of Defense shall submit to Congress a plan that would provide for a system-wide redesign of the military and contractor retail and mail-order pharmacy system of the Department of Defense by incorporating `best business practices' of the private sector. The Secretary shall work with contractors of TRICARE retail pharmacy and national mail-order pharmacy programs to develop a plan for the redesign of the pharmacy system that--
      (1) may include a plan for an incentive-based formulary for military medical treatment facilities and contractors of TRICARE retail pharmacies and the national mail-order pharmacy; and
      (2) shall include a plan for each of the following:
        (A) A uniform formulary for such facilities and contractors.
        (B) A centralized database that integrates the patient databases of pharmacies of military medical treatment facilities and contractor retail and mail-order programs to implement automated prospective drug utilization review systems.
        (C) A system-wide drug benefit for covered beneficiaries under chapter 55 of title 10, United States Code, who are entitled to hospital insurance benefits under part A of title XVIII of the Social Security Act (42 U.S.C. 1395c et seq.).
    (b) SUBMISSION OF PLAN- The Secretary shall submit the plan required under subsection (a) not later than March 1, 1999.
    (c) SUSPENSION OF IMPLEMENTATION OF PROGRAM- The Secretary shall suspend any plan to establish a national retail pharmacy program for the Department of Defense until--
      (1) the plan required under subsection (a) is submitted; and
      (2) the Secretary implements cost-saving reforms with respect to the military and contractor retail and mail order pharmacy system.

SEC. 704. TRANSITIONAL AUTHORITY TO PROVIDE CONTINUED HEALTH CARE COVERAGE FOR CERTAIN PERSONS UNAWARE OF LOSS OF CHAMPUS ELIGIBILITY.

    (a) TRANSITIONAL COVERAGE- The administering Secretaries may continue eligibility of a person described in subsection (b) for health care coverage under the Civilian Health and Medical Program of the Uniformed Services based on a determination that such continuation is appropriate to assure health care coverage for any such person who may have been unaware of the loss of eligibility to receive health benefits under that program.
    (b) PERSONS ELIGIBLE- A person shall be eligible for transitional health care coverage under subsection (a) if the person--
      (1) is a person described in paragraph (1) of subsection (d) of section 1086 of title 10, United States Code;
      (2) in the absence of such paragraph, would be eligible for health benefits under such section; and
      (3) satisfies the criteria specified in subparagraphs (A) and (B) of paragraph (2) of such subsection.
    (c) EXTENT OF TRANSITIONAL AUTHORITY- The authority to continue eligibility under this section shall apply with respect to health care services provided between October 1, 1998, and July 1, 1999.
    (d) DEFINITION- In this section, the term `administering Secretaries' has the meaning given that term in section 1072(3) of title 10, United States Code.

Subtitle B--TRICARE Program

SEC. 711. PAYMENT OF CLAIMS FOR PROVISION OF HEALTH CARE UNDER THE TRICARE PROGRAM FOR WHICH A THIRD PARTY MAY BE LIABLE.

    (a) IN GENERAL- (1) Chapter 55 of title 10, United States Code, is amended by inserting after section 1095a the following new section:

`Sec. 1095b. TRICARE program: contractor payment of certain claims

    `(a) PAYMENT OF CLAIMS- (1) The Secretary of Defense may authorize a contractor under the TRICARE program to pay a claim described in paragraph (2) before seeking to recover from a third-party payer the costs incurred by the contractor to provide health care services that are the basis of the claim to a beneficiary under such program.
    `(2) A claim under this paragraph is a claim--
      `(A) that is submitted to the contractor by a provider under the TRICARE program for payment for services for health care provided to a covered beneficiary; and
      `(B) that is identified by the contractor as a claim for which a third-party payer may be liable.
    `(b) RECOVERY FROM THIRD-PARTY PAYERS- A contractor for the provision of health care services under the TRICARE program that pays a claim described in subsection (a)(2) shall have the right to collect from the third-party payer the costs incurred by such contractor on behalf of the covered beneficiary. The contractor shall have the same right to collect such costs under this subsection as the right of the United States to collect costs under section 1095 of this title.
    `(c) DEFINITION OF THIRD-PARTY PAYER- In this section, the term `third-party payer' has the meaning given that term in section 1095(h) of this title, except that such term excludes primary medical insurers.'.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 1095a the following new item:
      `1095b. TRICARE program: contractor payment of certain claims.'.

SEC. 712. PROCEDURES REGARDING ENROLLMENT IN TRICARE PRIME.

    (a) IN GENERAL- (1) Chapter 55 of title 10, United States Code, is amended by inserting after section 1097 the following new section:

`Sec. 1097a. Enrollment in TRICARE Prime: procedures

    `(a) AUTOMATIC ENROLLMENT OF CERTAIN DEPENDENTS- The Secretary of Defense shall establish procedures under which dependents of members of the armed forces on active duty who reside in the catchment area of a military medical treatment facility shall be automatically enrolled in TRICARE Prime at the military medical treatment facility. The Secretary shall provide notice in writing to the member regarding such enrollment.
    `(b) AUTOMATIC CONTINUATION OF ENROLLMENT- The Secretary of Defense shall establish procedures under which enrollment of covered beneficiaries in TRICARE Prime shall automatically continue until such time as the covered beneficiary elects to disenroll or is no longer eligible for enrollment.
    `(c) OPTION FOR RETIREES TO DEDUCT FEE FROM PAY- The Secretary of Defense shall establish procedures under which a retired member of the armed forces may elect to have any fees payable by the member for enrollment in TRICARE Prime withheld from the retired pay of the member (if pay is available to the member).
    `(d) DEFINITION OF TRICARE PRIME- In this section, the term `TRICARE Prime' means the managed care option of the TRICARE program known as TRICARE Prime.'.
    (2) The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 1097 the following new item:
      `1097a. Enrollment in TRICARE Prime: procedures.'.
    (b) DEADLINE FOR IMPLEMENTATION- The Secretary of Defense shall establish the procedures required under section 1097a of title 10, United States Code, as added by subsection (a), not later than April 1, 1999.

Subtitle C--Other Matters

SEC. 721. INFLATION ADJUSTMENT OF PREMIUM AMOUNTS FOR DEPENDENTS DENTAL PROGRAM.

    Section 1076a(b)(2) of title 10, United States Code, is amended by inserting after `$20 per month' the following: `(in 1993 dollars, as adjusted for inflation in each year thereafter)'.

SEC. 722. SYSTEM FOR TRACKING DATA AND MEASURING PERFORMANCE IN MEETING TRICARE ACCESS STANDARDS.

    (a) REQUIREMENT TO ESTABLISH SYSTEM- (1) The Secretary of Defense shall establish a system--
      (A) to track data regarding access of covered beneficiaries under chapter 55 of title 10, United States Code, to primary health care under the TRICARE program; and
      (B) to measure performance in increasing such access against the primary care access standards established by the Secretary under the TRICARE program.
    (2) In implementing the system described in paragraph (1), the Secretary shall collect data on the timeliness of appointments and precise waiting times for appointments in order to measure performance in meeting the primary care access standards established under the TRICARE program.
    (b) DEADLINE FOR ESTABLISHMENT- The Secretary shall establish the system described in subsection (a) not later than April 1, 1999.

SEC. 723. AIR FORCE RESEARCH, DEVELOPMENT, TRAINING, AND EDUCATION ON EXPOSURE TO CHEMICAL, BIOLOGICAL, AND RADIOLOGICAL HAZARDS.

    (a) IN GENERAL- The Secretary of the Air Force is hereby authorized to--
      (1) conduct research on the health-related, environmental, and ecological effects of exposure to chemical, biological, and radiological hazards;
      (2) develop new risk-assessment methods and instruments with respect to exposure to such hazards, including more accurate risk assessment tools to support the Air Force Enhanced Site Specific Risk Assessment; and
      (3) educate and train researchers with respect to exposure to such hazards.
    (b) ACTIVITIES TO BE CONDUCTED- Research and development conducted under subsection (a) includes--
      (1) development of equipment to monitor soil and ground water contamination and the impact of such contamination on the biosystem chain;
      (2) implementation of a cross-sectional epidemiological study of exposure to jet fuel; and
      (3) implementation of a health-risk assessment regarding exposure to jet fuel.

SEC. 724. AUTHORIZATION TO ESTABLISH A LEVEL 1 TRAUMA TRAINING CENTER.

    The Secretary of the Army is hereby authorized to establish a Level 1 Trauma Training Center (as designated by the American College of Surgeons) in order to provide the Army with a trauma center capable of training forward surgical teams.

SEC. 725. REPORT ON IMPLEMENTATION OF ENROLLMENT-BASED CAPITATION FOR FUNDING FOR MILITARY MEDICAL TREATMENT FACILITIES.

    (a) REPORT REQUIRED- The Secretary of Defense shall submit to Congress a report on the potential impact of using an enrollment-based capitation methodology to allocate funds for military medical treatment facilities. The report shall address the following:
      (1) A description of the plans of the Secretary to implement an enrollment-based capitation methodology for military medical treatment facilities and with respect to contracts for the delivery of health care under the TRICARE program.
      (2) The justifications for implementing an enrollment-based capitation methodology without first conducting a demonstration project for implementation of such methodology.
      (3) The impact that implementation of an enrollment based capitation methodology would have on the provision of space-available care at military medical treatment facilities, particularly in the case of care for--
        (A) military retirees entitled who are entitled to hospital insurance benefits under part A of title XVIII of the Social Security Act (42 U.S.C. 1395c et seq.); and
        (B) covered beneficiaries under chapter 55 of title 10, United States Code, who reside outside the catchment area of a military medical treatment facility.
      (4) The impact that implementation of an enrollment-based capitation methodology would have with respect to the pharmacy benefits provided at military medical treatment facilities, given that the enrollment-based capitation methodology would fund military medical treatment facilities based on the number of members at such facilities enrolled in TRICARE Prime, but all covered beneficiaries may fill prescriptions at military medical treatment facility pharmacies.
      (5) An explanation of how additional funding will be provided for a military medical treatment facility if an enrollment-based capitation methodology is implemented to ensure that space-available care and pharmacy coverage can be provided to covered beneficiaries who are not enrolled at the military medical treatment facility, and the amount of funding that will be available.
      (6) An explanation of how implementation of an enrollment-based capitation methodology would impact the provision of uniform benefits under TRICARE Prime, and how the Secretary would ensure, if such methodology were implemented, that the provision of health care under TRICARE Prime would not be bifurcated between the provision of such care at military medical treatment facilities and the provision of such care from civilian providers.
    (b) DEADLINE FOR SUBMISSION- The Secretary shall submit the report required by subsection (a) not later than March 1, 1999.

TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED MATTERS

SEC. 801. LIMITATION ON PROCUREMENT OF AMMUNITION AND COMPONENTS.

    (a) LIMITATION- Section 2534(a) of title 10, United States Code, is amended by adding at the end the following new paragraph:
      `(6) AMMUNITION- Ammunition or ammunition components.'.
    (b) EFFECTIVE DATE- Paragraph (6) of section 2534(a) of title 10, United States Code, as added by subsection (a), shall apply with respect to contracts entered into after September 30, 1998.

SEC. 802. ACQUISITION CORPS ELIGIBILITY.

    Section 1732(c) of title 10, United States Code, is amended by adding at the end the following new paragraph:
    `(3) The requirement of subsection (b)(1)(A) shall not apply to an employee who served in an Acquisition Corps in a position within grade GS-13 or above of the General Schedule and who is placed in another position which is in a grade lower than GS-13 of the General Schedule, or whose position is reduced in grade to a grade lower than GS-13 of the General Schedule, as a result of reduction-in-force procedures, the realignment or closure of a military installation, or another reason other than for cause.'.

SEC. 803. AMENDMENTS RELATING TO PROCUREMENT FROM FIRMS IN INDUSTRIAL BASE FOR PRODUCTION OF SMALL ARMS.

    (a) REQUIREMENT TO LIMIT PROCUREMENTS TO CERTAIN SOURCES- Subsection (a) of section 2473 of title 10, United States Code, is amended--
      (1) in the heading, by striking out the first word and inserting in lieu thereof `REQUIREMENT'; and
      (2) by striking out `To the extent that the Secretary of Defense determines necessary to preserve the small arms production industrial base, the Secretary may' and inserting in lieu thereof `In order to preserve the small arms production industrial base, the Secretary of Defense shall'.
    (b) ADDITIONAL COVERED PROPERTY AND SERVICES- Subsection (b) of such section is amended--
      (1) by redesignating paragraphs (1) and (2) as paragraphs (2) and (3), respectively;
      (2) by inserting before paragraph (2), as so redesignated, the following new paragraph:
      `(1) Small arms end items.';
      (3) in paragraph (2), as so redesignated, by inserting before the period the following: `, if those parts are manufactured under a contract with the Department of Defense to produce the end item'; and
      (4) by adding after paragraph (3) the following new paragraph:
      `(4) Repair parts consisting of barrels, receivers, and bolts for small arms, whether or not the small arms are in production under a contract with the Department of Defense at the time of production of such repair parts.'.
    (c) RELATIONSHIP TO OTHER PROVISIONS OF LAW- Such section is further amended by adding at the end the following new subsection:
    `(d) RELATIONSHIP TO OTHER PROVISIONS- (1) If a procurement under subsection (a) is a procurement of a commercial item, the Secretary may, notwithstanding section 2306(b)(1)(B) of this title, require the submission of certified cost or pricing data under section 2306(a) of this title.
    `(2) Subsection (a) is a requirement for purposes of section 2304(c)(5) of this title.'.

TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

SEC. 901. FURTHER REDUCTIONS IN DEFENSE ACQUISITION WORKFORCE.

    (a) REDUCTION IN DEFENSE ACQUISITION WORKFORCE- Chapter 87 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 1765. Limitation on number of personnel

    `(a) LIMITATION- Effective October 1, 2001, the number of defense acquisition personnel may not exceed the baseline number reduced by 70,000.
    `(b) PHASED REDUCTION- The number of defense acquisition personnel--
      `(1) as of October 1, 1999, may not exceed the baseline number reduced by 25,000; and
      `(2) as of October 1, 2000, may not exceed the baseline number reduced by 50,000.
    `(c) BASELINE NUMBER- For purposes of this section, the baseline number is the total number of defense acquisition personnel as of October 1, 1998.
    `(d) DEFENSE ACQUISITION PERSONNEL DEFINED- In this section, the term `defense acquisition personnel' means military and civilian personnel (other than civilian personnel who are employed at a maintenance depot) who are assigned to, or employed in, acquisition organizations of the Department of Defense (as specified in Department of Defense Instruction numbered 5000.58 dated January 14, 1992).'.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of subchapter V of such chapter is amended by adding at the end the following new item:
      `1765. Limitation on number of personnel.'.

SEC. 902. LIMITATION ON OPERATION AND SUPPORT FUNDS FOR THE OFFICE OF THE SECRETARY OF DEFENSE.

    Of the amount available for fiscal year 1999 for operation and support activities of the Office of the Secretary of Defense, not more than 90 percent may be obligated until each of the following reports has been submitted:
      (1) The report required to be submitted to the congressional defense committees by section 904(b) of the National Defense Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2619).
      (2) The reports required to be submitted to Congress by sections 911(b) and 911(c) of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1858, 1859).

SEC. 903. REVISION TO DEFENSE DIRECTIVE RELATING TO MANAGEMENT HEADQUARTERS AND HEADQUARTERS SUPPORT ACTIVITIES.

    Not later than October 1, 1999, the Secretary of Defense shall issue a revision to Department of Defense Directive 5100.73, entitled `Department of Defense Management Headquarters and Headquarters Support Activities', so as to incorporate in that directive the following:
      (1) A threshold specified by command (or other organizational element) such that any headquarters activity below the threshold is not considered for the purpose of the directive to be a management headquarters or headquarters support activity.
      (2) A definition of the term `management headquarters and headquarters support activities' that (A) is based upon function (rather than organization), and (B) includes any activity (other than an operational activity) that reports directly to such an activity.
      (3) Uniform application of those definitions throughout the Department of Defense.

SEC. 904. UNDER SECRETARY OF DEFENSE FOR POLICY TO HAVE RESPONSIBILITY WITH RESPECT TO EXPORT CONTROL ACTIVITIES OF THE DEPARTMENT OF DEFENSE.

    (a) FUNCTIONS OF THE UNDER SECRETARY- Section 134(b)(1) of title 10, United States Code, is amended by adding at the end the following new sentence: `The Under Secretary shall have responsibility for overall supervision of activities of the Department of Defense relating to export controls.'.
    (b) IMPLEMENTATION REPORT- Not later than 30 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives a report on the plans of the Secretary for the implementation of the amendment made by subsection (a). The report shall include--
      (1) a description of any organizational changes within the Department of Defense to be made in order to implement that amendment; and
      (2) a description of the role of the Chairman of the Joint Chiefs of Staff with respect to export control activities of the Department following the implementation of the amendment made by subsection (a) and how that role compares to the practice in effect before such implementation.
    (c) EFFECTIVE DATE- The amendment made by subsection (a) shall be implemented not later than 45 days after the date of the enactment of this Act.

SEC. 905. INDEPENDENT TASK FORCE ON TRANSFORMATION AND DEPARTMENT OF DEFENSE ORGANIZATION.

    (a) FINDINGS- Congress finds the following:
      (1) The post-Cold War era is marked by geopolitical uncertainty and by accelerating technological change, particularly with regard to information technologies.
      (2) The combination of that geopolitical uncertainty and accelerating technological change portends a transformation in the conduct of war, particularly in ways that are likely to increase the effectiveness of joint force operations.
      (3) The Department of Defense must be organized appropriately in order to fully exploit the opportunities offered by, and to meet the challenges posed by, this anticipated transformation in the conduct of war.
      (4) The basic organization of the Department of Defense was established by the National Security Act of 1947 and the 1949 amendments to that Act.
      (5) The Goldwater-Nichols Department of Defense Reorganization Act of 1986 (Public Law 99-433) dramatically improved the capability of the Department of Defense to carry out operations involving joint forces, but did not address adequately issues pertaining to the development of joint forces.
      (6) In the future, the ability to achieve improved operations of joint forces, particularly under rapidly changing technological conditions, will depend on improved force development for joint forces.
    (b) INDEPENDENT TASK FORCE ON TRANSFORMATION AND DEPARTMENT OF DEFENSE ORGANIZATION- The Secretary of Defense shall establish a task force of the Defense Science Board to examine the current organization of the Department of Defense with regard to the appropriateness of that organization for preparing for a transformation in the conduct of war. The task force shall be established not later than November 1, 1998.
    (c) DUTIES OF THE TASK FORCE- The task force shall assess, and shall make recommendations for the appropriate organization of, the Office of the Secretary of Defense, the Joint Chiefs of Staff, the individual Armed Forces, and the executive parts of the military departments for the purpose of preparing the Department of Defense for a transformation in the conduct of war. In making those assessments and developing those recommendations, the task force shall review the following:
      (1) The general organization of the Department of Defense, including whether responsibility and authority for issues relating to a transformation in the conduct of war are appropriately allocated, especially among the Office of the Secretary of Defense, the Joint Chiefs of Staff, and the individual Armed Forces.
      (2) The joint requirements process and the requirements processes for each of the Armed Forces, including the establishment of measures of effectiveness and methods for resource allocation.
      (3) The process and organizations responsible for doctrinal development, including the appropriate relationship between joint force and service doctrine and doctrinal development organizations.
      (4) The current programs and organizations under the Office of the Secretary of Defense, the Joint Chiefs of Staff and the Armed Forces devoted to innovation and experimentation related to a transformation in the conduct of war, including the appropriateness of--
        (A) conducting joint field tests;
        (B) establishing a separate unified command as a joint forces command to serve, as its sole function, as the trainer, provider, and developer of forces for joint operations;
        (C) establishing a Joint Concept Development Center to monitor exercises and develop measures of effectiveness, analytical concepts, models, and simulations appropriate for understanding the transformation in the conduct of war;
        (D) establishing a Joint Battle Laboratory headquarters to conduct joint experimentation and to integrate the similar efforts of the Armed Forces; and
        (E) establishing an Assistant Secretary of Defense for transformation in the conduct of war.
      (5) Joint training establishments and training establishments of the Armed Forces, including those devoted to professional military education, and the appropriateness of establishing national training centers.
      (6) Other issues relating to a transformation in the conduct of war that the Secretary considers appropriate.
    (d) REPORT- The task force shall submit to the Secretary of Defense a report containing its assessments and
recommendations not later than February 1, 1999. The Secretary shall submit the report to the Committee on National Security of the House of Representatives and the Committee on Armed Services of the Senate not later than March 1, 1999, together with the recommendations and comments of the Secretary of Defense.

SEC. 906. IMPROVED ACCOUNTING FOR DEFENSE CONTRACT SERVICES.

    (a) IN GENERAL- (1) Chapter 131 of title 10, United States Code, is amended by inserting after section 2211 the following new section:

`Sec. 2212. Obligations for contract services: reporting in budget object classes

    `(a) LIMITATION ON REPORTING IN MISCELLANEOUS SERVICES OBJECT CLASS- The Secretary of Defense shall ensure that, in reporting to the Office of Management and Budget (pursuant to OMB Circular A-11 (relating to preparation and submission of budget estimates)) obligations of the Department of Defense for any period of time for contract services, no more than 15 percent of the total amount of obligations so reported is reported in the miscellaneous services object class.
    `(b) DEFINITION OF REPORTING CATEGORIES FOR ADVISORY AND ASSISTANCE SERVICES- In carrying out section 1105(g) of title 31 for the Department of Defense (and in determining what services are to be reported to the Office of Management and Budget in the advisory and assistance services object class), the Secretary of Defense shall apply to the terms used for the definition of `advisory and assistance services' in paragraph (2)(A) of that section the following meanings:
      `(1) MANAGEMENT AND PROFESSIONAL SUPPORT SERVICES- The term `management and professional support services' (used in clause (i) of section 1105(g)(2)(A) of title 31) means services that provide engineering or technical support, assistance, advice, or training for the efficient and effective management and operation of organizations, activities, or systems. Those services--
        `(A) are closely related to the basic responsibilities and mission of the using organization; and
        `(B) include efforts that support or contribute to improved organization or program management, logistics management, project monitoring and reporting, data collection, budgeting, accounting, auditing, and administrative or technical support for conferences and training programs.
      `(2) STUDIES, ANALYSES, AND EVALUATIONS- The term `studies, analyses, and evaluations' (used in clause (ii) of section 1105(g)(2)(A) of title 31) means services that provide organized, analytic assessments to understand or evaluate complex issues to improve policy development, decisionmaking, management, or administration and that result in documents containing data or leading to conclusions or recommendations. Those services may include databases, models, methodologies, and related software created in support of a study, analysis, or evaluation.
      `(3) ENGINEERING AND TECHNICAL SERVICES- The term `engineering and technical services' (used in clause (iii) of section 1105(g)(2)(A) of title 31) means services that take the form of advice, assistance, training, or hands-on training necessary to maintain and operate fielded weapon systems, equipment, and components (including software when applicable) at design or required levels of effectiveness.
    `(c) PROPER CLASSIFICATION OF ADVISORY AND ASSISTANCE SERVICES- Before the submission to the Office of Management and Budget of the proposed Department of Defense budget for inclusion in the President's budget for a fiscal year pursuant to section 1105 of title 31, the Secretary of Defense, acting through the Under Secretary of Defense (Comptroller), shall review all Department of Defense services expected to be performed as contract services during the fiscal year for which that budget is to be submitted in order to ensure that those services that are advisory and assistance services (as defined in accordance with subsection (b)) are in fact properly classified, in accordance with that subsection, in the advisory and assistance services object class.
    `(d) INFORMATION ON SERVICE CONTRACTS- In carrying out the annual review under subsection (c) of Department of Defense services expected to be performed as contract services during the next fiscal year, the Secretary (acting through the Under Secretary (Comptroller)) shall conduct an assessment of the total non-Federal effort that resulted from the performance of all contracts for such services during the preceding fiscal year and the total non-Federal effort that resulted, or that is expected to result, from the performance of all contracts for such services during the current fiscal year and the next fiscal year. The assessment shall include determination of the following for each such year:
      `(1) The amount expended or expected to be expended for non-Federal contract services, shown for the Department of Defense as a whole and displayed
by contract services object class for each DOD organization.
      `(2) The amount expended or expected to be expended for contract services competed under OMB Circular A-76 or a similar process, shown for the Department of Defense as a whole and displayed by contract services object class for each DOD organization.
      `(3) The number of private sector workyears performed or expected to be performed in connection with the performance of non-Federal contract services, shown for the Department of Defense as a whole and displayed by contract services object class for each DOD organization.
      `(4) Any other information that the Secretary (acting through the Under Secretary) determines to be relevant and of value.
    `(e) REPORT TO CONGRESS- The Secretary shall submit to Congress each year, not later than 30 days after the date on which the budget for the next fiscal year is submitted pursuant to section 1105 of title 31, a report containing the information derived from the assessment under subsection (d).
    `(f) ASSESSMENT BY COMPTROLLER GENERAL- (1) The Comptroller General shall conduct a review of the report of the Secretary of Defense under subsection (e) each year and shall--
      `(A) assess the methodology used by the Secretary in obtaining the information submitted to Congress in that report; and
      `(B) assess the information submitted to Congress in that report.
    `(2) Not later than 120 days after the date on which the Secretary submits to Congress the report required under subsection (e) for any year, the Comptroller General shall submit to Congress the Comptroller General's report containing the results of the review for that year under paragraph (1).
    `(g) DEFINITIONS- In this section:
      `(1) The term `contract services' means all services that are reported to the Office of Management and Budget pursuant to OMB Circular A-11 (relating to preparation and submission of budget estimates) in budget object classes that are designated in the Object Class 25 series.
      `(2) The term `advisory and assistance services object class' means those contract services constituting the budget object class that is denominated `Advisory and Assistance Service and designated (as the date of the enactment of this section) as Object Class 25.1 (or any similar object class established after the date of the enactment of this section for the reporting of obligations for advisory and assistance contract services).
      `(3) The term `miscellaneous services object class' means those contract services constituting the budget object class that is denominated `Other Services (services not otherwise specified in the 25 series)' and designated (as the date of the enactment of this section) as Object Class 25.2 (or any similar object class established after the date of the enactment of this section for the reporting of obligations for miscellaneous or unspecified contract services).
      `(4) The term `DOD organization' means--
        `(A) the Office of the Secretary of Defense;
        `(B) each military department;
        `(C) the Joint Chiefs of Staff and the unified and specified commands;
        `(D) each Defense Agency; and
        `(E) each Department of Defense Field Activity.
      `(5) The term `private sector workyear' means an amount of labor equivalent to the total number of hours of labor that an individual employed on a full-time equivalent basis by the Federal Government performs in a given year.'.
    (2) The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 2211 the following new item:
      `2212. Obligations for contract services: reporting in budget object classes.'.
    (b) TRANSITION- For the budget for fiscal year 2000, and the reporting of information to the Office of Management and Budget in connection with the preparation of that budget, section 2212 of title 10, United States Code, as added by subsection (a), shall be applied by substituting `30 percent' in subsection (a) for `15 percent'.
    (c) INITIAL CLASSIFICATION OF ADVISORY AND ASSISTANCE SERVICES- Not later than February 1, 1999, the Secretary of Defense, acting through the Under Secretary of Defense (Comptroller), shall review all Department of Defense services performed or expected to be performed as contract services during fiscal year 1999 in order to ensure that those services that are advisory and assistance services (as defined in accordance with subsection (b) of section 2212 of title 10, United States Code, as added by subsection (a)) are in fact properly classified, in accordance with that subsection, in the advisory and assistance services object class (as defined in subsection (g)(2) of that section).
    (d) FISCAL YEAR 1999 REDUCTION- The total amount that may be obligated by the Secretary of Defense for contracted advisory and assistance services from amounts appropriated for fiscal year 1999 is the amount programmed for those services resulting from the review referred to in subsection (c) reduced by $500,000,000.

SEC. 907. REPEAL OF REQUIREMENT RELATING TO ASSIGNMENT OF TACTICAL AIRLIFT MISSION TO RESERVE COMPONENTS.

    Section 1438 of the National Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1689), as amended by section 1023 of the National Defense Authorization Act for Fiscal Years 1992 and 1993 (Public Law 102-190; 105 Stat. 1460), is repealed.

SEC. 908. REPEAL OF CERTAIN REQUIREMENTS RELATING TO INSPECTOR GENERAL INVESTIGATIONS OF REPRISAL COMPLAINTS.

    (a) REPEAL OF REQUIREMENT OF NOTICE THAT INVESTIGATION WILL TAKE MORE THAN 90 DAYS- Subsection (e) of section 1034 of title 10, United States Code, is amended--
      (1) by striking out paragraph (3);
      (2) by redesignating paragraph (4) as paragraph (3).
    (b) REPEAL OF REQUIREMENT FOR POST-DISPOSITION INTERVIEW WITH COMPLAINANT- Such section is further amended by striking out subsection (h).

SEC. 909. CONSULTATION WITH COMMANDANT OF THE MARINE CORPS REGARDING MARINE CORPS AVIATION.

    (a) IN GENERAL- Chapter 503 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 5026. Consultation with Commandant of the Marine Corps regarding Marine Corps aviation

    `The Secretary of the Navy shall require that the views of the Commandant of the Marine Corps be obtained before a milestone decision or other major decision is made by an element of the Department of the Navy outside the Marine Corps in a procurement matter, a research, development, test, and evaluation matter, or a depot-level maintenance matter that concerns Marine Corps aviation.'.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `5026. Consultation with Commandant of the Marine Corps regarding Marine Corps aviation.'.

TITLE X--GENERAL PROVISIONS

Subtitle A--Financial Matters

SEC. 1001. TRANSFER AUTHORITY.

    (a) AUTHORITY TO TRANSFER AUTHORIZATIONS- (1) Upon determination by the Secretary of Defense that such action is necessary in the national interest, the Secretary may transfer amounts of authorizations made available to the Department of Defense in this division for fiscal year 1999 between any such authorizations for that fiscal year (or any subdivisions thereof). Amounts of authorizations so transferred shall be merged with and be available for the same purposes as the authorization to which transferred.
    (2) The total amount of authorizations that the Secretary of Defense may transfer under the authority of this section may not exceed $2,000,000,000.
    (b) LIMITATIONS- The authority provided by this section to transfer authorizations--
      (1) may only be used to provide authority for items that have a higher priority than the items from which authority is transferred; and
      (2) may not be used to provide authority for an item that has been denied authorization by Congress.
    (c) EFFECT ON AUTHORIZATION AMOUNTS- A transfer made from one account to another under the authority of this section shall be deemed to increase the amount authorized for the account to which the amount is transferred by an amount equal to the amount transferred.
    (d) NOTICE TO CONGRESS- The Secretary shall promptly notify Congress of each transfer made under subsection (a).

SEC. 1002. INCORPORATION OF CLASSIFIED ANNEX.

    (a) STATUS OF CLASSIFIED ANNEX- The Classified Annex prepared by the Committee on National Security of the House of Representatives to accompany H.R. 3616 of the One Hundred Fifth Congress and transmitted to the President is hereby incorporated into this Act.
    (b) CONSTRUCTION WITH OTHER PROVISIONS OF ACT- The amounts specified in the Classified Annex are not in addition to amounts authorized to be appropriated by other provisions of this Act.
    (c) LIMITATION ON USE OF FUNDS- Funds appropriated pursuant to an authorization contained in this Act that are made available for a program, project, or activity referred to in the Classified Annex may only be expended for such program, project, or activity in accordance with such terms, conditions, limitations, restrictions, and requirements as are set out for that program, project, or activity in the Classified Annex.
    (d) DISTRIBUTION OF CLASSIFIED ANNEX- The President shall provide for appropriate distribution of the Classified Annex, or of appropriate portions of the annex, within the executive branch of the Government.

SEC. 1003. OUTLAY LIMITATIONS.

    (a) DEPARTMENT OF DEFENSE- The Secretary of Defense shall ensure that outlays of the Department of Defense during fiscal year 1999 from amounts appropriated or otherwise available to the Department of Defense for military functions of the Department of Defense (including military construction and military family housing) do not exceed $252,650,000,000.
    (b) DEPARTMENT OF ENERGY- The Secretary of Energy shall ensure that outlays of the Department of Energy during fiscal year 1999 from amounts appropriated or otherwise made available to the Department of Energy for national security programs of that Department do not exceed $11,772,000,000.

Subtitle B--Naval Vessels and Shipyards

SEC. 1011. REVISION TO REQUIREMENT FOR CONTINUED LISTING OF TWO IOWA-CLASS BATTLESHIPS ON THE NAVAL VESSEL REGISTER.

    In carrying out section 1011 of the National Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 421), the Secretary of the Navy shall list on the Naval Vessel Register, and maintain on that register, the following two Iowa-class battleships: the USS IOWA (BB-61) and the USS WISCONSIN (BB-64).

SEC. 1012. TRANSFER OF USS NEW JERSEY.

    The Secretary of the Navy shall strike the USS NEW JERSEY (BB-62) from the Naval Vessel Register and shall transfer that vessel to a non-for-profit entity in accordance with section 7306 of title 10, United States Code. The Secretary shall require as a condition of the transfer of that vessel that the transferee locate the vessel in the State of New Jersey.

SEC. 1013. LONG-TERM CHARTER OF THREE VESSELS IN SUPPORT OF SUBMARINE RESCUE, ESCORT, AND TOWING.

    The Secretary of the Navy may enter into contracts in accordance with section 2401 of title 10, United States Code, for the charter through September 30, 2003, of the following vessels:
      (1) The CAROLYN CHOUEST (United States official number D102057).
      (2) The KELLIE CHOUEST (United States official number D1038519).
      (3) The DOLORES CHOUEST (United States official number D600288).

SEC. 1014. TRANSFER OF OBSOLETE ARMY TUGBOAT.

    In carrying out section 1023 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1876), the Secretary of the Army may substitute the obsolete, decommissioned tugboat Attleboro (LT-1977) for the tugboat Normandy (LT-1971) as one of the two obsolete tugboats authorized to be transferred by the Secretary under that section.

SEC. 1015. LONG-TERM CHARTER CONTRACTS FOR ACQUISITION OF AUXILIARY VESSELS FOR THE DEPARTMENT OF DEFENSE.

    (a) PROGRAM AUTHORIZATION- Chapter 631 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 7233. Auxiliary vessels: authority for long-term charter contracts

    `(a) AUTHORIZED CONTRACTS- After September 30, 1998, the Secretary of the Navy, subject to subsection (b), may enter into a contract for the long-term lease or charter of a newly built surface vessel, under which the contractor agrees to provide a crew for the vessel for the term of the long-term lease or charter, for any of the following:
      `(1) The combat logistics force of the Navy.
      `(2) The strategic sealift program of the Navy.
      `(3) Other auxiliary support vessels for the Department of Defense.
    `(b) CONTRACTS REQUIRED TO BE AUTHORIZED BY LAW- A contract may be entered into under this section with respect to specific vessels only if the Secretary is specifically authorized by law to enter into such a contract with respect to those vessels.
    `(c) FUNDS FOR CONTRACT PAYMENTS- The Secretary may make payments for contracts entered into under this section using funds available for obligation during the fiscal year for which the payments are required to be made. Any such contract shall provide that the United States will not be required to make a payment under the contract (other than a termination payment, if required) before October 1, 2000.
    `(d) TERM OF CONTRACT- In this section, the term `long-term lease or charter' means a lease, charter, service contract, or conditional sale agreement with respect to a vessel the term of which (including any option period) is for a period of 20 years or more.
    `(e) OPTION TO BUY- A contract entered into under the authority of this section may contain options for the United States to purchase one or more of the vessels covered by the contract at any time during, or at the end of, the contract period (including any option period) upon payment of an amount not in excess of the unamortized portion of the cost of the vessels plus amounts incurred in connection with the termination of the financing arrangements associated with the vessels.
    `(f) DOMESTIC CONSTRUCTION- The Secretary shall require in any contract entered into under this section that each vessel to which the contract applies--
      `(1) shall have been constructed in a shipyard within the United States; and
      `(2) upon delivery, shall be documented under the laws of the United States.
    `(g) VESSEL CREWING- The Secretary shall require in any contract entered into under this section that the crew of any vessel to which the contract applies be comprised of private sector commercial mariners.
    `(h) DOMESTIC CONSTRUCTION REQUIREMENT FOR CERTAIN LEASES OF VESSELS- (1) Notwithstanding section 2400 or 2401a of this title or any other provision of law, the Secretary of Defense may not enter into a contract for the lease or charter of a vessel described in paragraph (2) for a contract period in excess of 17 months (inclusive of any option periods) unless the vessel is constructed in a shipyard in the United States.
    `(2) Paragraph (1) applies to vessels of the following types:
      `(A) Auxiliary support vessel.
      `(B) Strategic sealift vessel.
      `(C) Tank vessel.
      `(D) Combat logistics force vessel.
    `(i) CONTINGENT WAIVER OF OTHER PROVISIONS OF LAW- A contract authorized by this section may be entered into without regard to section 2401 or 2401a of this title if the Secretary of Defense makes the following findings with respect to that contract:
      `(1) The need for the vessels or services to be provided under the contract is expected to remain substantially unchanged during the contemplated contract or option period.
      `(2) There is a reasonable expectation that throughout the contemplated contract or option period the Secretary of the Navy (or, if the contract is for services to be provided to, and funded by, another military department, the Secretary of that military department) will request funding for the contract at the level required to avoid contract cancellation.
      `(3) The use of such contract or the exercise of such option is in the interest of the national defense.
    `(j) SOURCE OF FUNDS FOR TERMINATION LIABILITY- If a contract entered into under this section is terminated, the costs of such termination may be paid from--
      `(1) amounts originally made available for performance of the contract;
      `(2) amounts currently available for operation and maintenance of the type of vessels or services concerned and not otherwise obligated; or
      `(3) funds appropriated for those costs.'.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `7233. Auxiliary vessels: authority for long-term charter contracts.'.

Subtitle C--Matters Relating to Counter Drug Activities

SEC. 1021. DEPARTMENT OF DEFENSE SUPPORT FOR COUNTER-DRUG ACTIVITIES.

    (a) CONTINUATION OF AUTHORITY- Subsection (a) of section 1004 of the National Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 10 U.S.C. 374 note) is amended by striking out `through 1999' and inserting in lieu thereof `through 2000'.
    (b) TYPES OF SUPPORT- Subsection (b)(4) of such section is amended by inserting before the period at the end the following: `conducted by the Department of Defense or a Federal, State, or local law enforcement agency, or a foreign law enforcement agency in the case of counter-drug activities outside the United States'.
    (c) UNSPECIFIED MINOR MILITARY CONSTRUCTION PROJECTS- Such section is further amended by adding at the end the following new section:
    `(h) UNSPECIFIED MINOR MILITARY CONSTRUCTION PROJECTS- Section 2805 of title 10, United States Code, shall apply with respect to any unspecified minor military construction project carried out using the authority provided under this section.'.

SEC. 1022. SUPPORT FOR COUNTER-DRUG OPERATION CAPER FOCUS.

    (a) SUPPORT REQUIRED- During fiscal year 1999, the Secretary of Defense shall make available such surface vessels of the Navy and maritime patrol aircraft and crews of the Navy as may be necessary to conduct the final phase of the counter-drug operation known as Caper Focus, which targets the maritime movement of cocaine on vessels in the eastern Pacific Ocean.
    (b) FISCAL YEAR 1999 FUNDING- Of the amount authorized to be appropriated pursuant to section 301(20) for drug interdiction and counter-drug activities, $24,400,000 shall be available only for the purpose of conducting the counter-drug operation known as Caper Focus.

Subtitle D--Miscellaneous Report Requirements and Repeals

SEC. 1031. ANNUAL REPORT ON RESOURCES ALLOCATED TO SUPPORT AND MISSION ACTIVITIES.

    Section 113 of title 10, United States Code, is amended by adding at the end the following new subsection:
    `(l) The Secretary shall include in the annual report to Congress under subsection (c) the following:
      `(1) A comparison of the amounts provided in the defense budget for support and for mission activities for each of the preceding five years.
      `(2) A comparison of the number of military and civilian personnel, shown by major occupational category, assigned to support positions and to mission positions for each of the preceding five years.
      `(3) An accounting, shown by service and by major occupational category, of the number of military and civilian personnel assigned to support positions during each of the preceding five years.
      `(4) A listing of the number of military and civilian personnel assigned to management headquarters and headquarters support activities as a percentage of military end-strength for each of the preceding 10 years.'.

Subtitle E--Other Matters

SEC. 1041. CLARIFICATION OF LAND CONVEYANCE AUTHORITY, ARMED FORCES RETIREMENT HOME, DISTRICT OF COLUMBIA.

    (a) SALE REQUIRED- Subsection (a) of section 1053 of the National Defense Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2650) is amended--
      (1) by striking out `, by sale or otherwise,'; and
      (2) by adding at the end the following new sentence: `The conveyance of the real property shall be made by sale to the highest bidder, except that the purchase price may not be less than the fair market value of the parcel.'.
    (b) CONFORMING AMENDMENT- Subsection (b)(1) of such section is amended by striking out `the disposal' and inserting in lieu thereof `the sale'.

SEC. 1042. CONTENT OF NOTICE REQUIRED TO BE PROVIDED GARNISHEES BEFORE GARNISHMENT OF PAY OR BENEFITS.

    (a) AUTHORIZATION OF ALTERNATIVE TO PROVIDING COPY OF NOTICE OR SERVICE RECEIVED BY THE SECRETARY- (1) Whenever the Secretary of Defense (acting through the DOD section 459 agent) provides a section 459 notice to an individual, the Secretary may include as part of that notice the information specified in subsection (c) in lieu of sending with that notice a copy (otherwise required pursuant to the parenthetical phrase in section 459(c)(2)(A) of the Social Security Act) of the notice or service received by the DOD section 459 agent with respect to that individual's child support or alimony payment obligations.
    (2) Whenever the Secretary of Defense (acting through the DOD section 5520a agent) provides a section 5520a notice to an individual, the Secretary may include as part of that notice the information specified in subsection (c) in lieu of sending with that notice a copy (otherwise required pursuant to the second parenthetical phrase in section
5520a(c) of the title 5, United States Code) of the legal process received by the DOD section 5520a agent with respect to that individual.
    (b) DEFINITIONS- For purposes of this section:
      (1) DOD SECTION 459 AGENT- The term `DOD section 459 agent' means the agent or agents designated by the Secretary of Defense under subsection (c)(1)(A) of section 459 of the Social Security Act (42 U.S.C. 659) to receive orders and accept service of process in matters related to child support or alimony.
      (2) SECTION 459 NOTICE- The term `section 459 notice' means, with respect to the Department of Defense, the notice required by subsection (c)(2)(A) of section 459 of the Social Security Act (42 U.S.C. 659) to be sent to an individual in writing upon the receipt by the DOD section 459 agent of notice or service with respect to the individual's child support or alimony payment obligations.
      (3) DOD SECTION 5520A AGENT- The term `DOD section 5520a agent' means a person who is designated by law or regulation to accept service of process to which the Department of Defense is subject under section 5520a of title 5, United States Code (including the regulations promulgated under subsection (k) of that section).
      (4) SECTION 5520A NOTICE- The term `section 5520a notice' means, with respect to the Department of Defense, the notice required by subsection (c) of section 5520a of title 5, United States Code, to be sent in writing to an employee (or, pursuant to the regulations promulgated under subsection (k) of that section, to a member of the Armed Forces) upon the receipt by the DOD section 5520a agent of legal process covered by that section.
    (c) ALTERNATIVE REQUIREMENTS- The information referred to in subsection (a) that is to be included as part of a section 459 notice or section 5520a notice sent to an individual (in lieu of sending with that notice a copy of the notice or service received by the DOD section 459 agent or the DOD section 5520a agent) is the following:
      (1) A description of the pertinent court order, notice to withhold, or other order, process, or interrogatory received by the DOD section 459 agent or the DOD section 5520a agent.
      (2) The identity of the court or judicial forum involved and (in the case of a notice or process concerning the ordering of a support or alimony obligation) the case number, the amount of the obligation, and the name of the beneficiary.
      (3) Information on how the individual may obtain from the Department of Defense a copy of the notice, service, or legal process, including an address and telephone number that the individual may be contact for the purpose of obtaining such a copy.
    (d) REPORT- Not later than April 1, 2001, the Secretary shall submit to Congress a report describing the experience of the Department of Defense under the authority provided by this section. The report shall include the following:
      (1) The number of section 459 notices provided by the DOD section 459 agent during the period the authority provided by this section was in effect.
      (2) The number of individuals who requested the DOD section 459 agent to provide to them a copy of the actual notice or service.
      (3) Any complaint the Secretary received by reason of not having provided the actual notice or service in the section 459 notice.
      (4) The number of section 5520a notices provided by the DOD section 5520a agent during the period the authority provided by this section was in effect.
      (5) The number of individuals who requested the DOD section 5520a agent to provide to them a copy of the actual legal process.
      (6) Any complaint the Secretary received by reason of not having provided the actual legal process in the section 5520a notice.

SEC. 1043. TRAINING OF SPECIAL OPERATIONS FORCES WITH FRIENDLY FOREIGN FORCES.

    (a) TRAINING EXPENSES FOR WHICH PAYMENT MAY BE MADE- Subsection (a)(1) of section 2011 of title 10, United States Code, is amended by striking out `and other security forces'.
    (b) PURPOSE OF TRAINING- Subsection (b) of such section is amended by striking out `primary'.
    (c) REGULATIONS- Subsection (c) of such section is amended by inserting after the first sentence the following new sentence: `The regulations shall require that training activities may be carried out under this section only with the prior approval of the Secretary of Defense.'.
    (d) ELEMENTS OF ANNUAL REPORT- Subsection (e) of such section is amended by adding at the end the following new paragraphs:
      `(5) A summary of the expenditures under this section resulting from the training for which expenses were paid under this section.
      `(6) A discussion of the unique military training benefit to United States special operations forces derived from the training activities for which expenses were paid under this section.'.

TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL

SEC. 1101. AUTHORITY FOR RELEASE TO COAST GUARD OF DRUG TEST RESULTS OF CIVIL SERVICE MARINERS OF THE MILITARY SEALIFT COMMAND.

    (a) IN GENERAL- Chapter 643 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 7479. Civil service mariners of Military Sealift Command: release of drug test results to Coast Guard

    `(a) RELEASE OF DRUG TEST RESULTS TO COAST GUARD- The Secretary of the Navy may release to the Commandant of the Coast Guard the results of a drug test of any employee of the Department of the Navy who is employed in any capacity on board a vessel of the Military Sealift Command. Any such release shall be in accordance with the standards and procedures applicable to the disclosure and reporting to the Coast Guard of drug tests results and drug test records of individuals employed on vessels documented under the laws of the United States.
    `(b) WAIVER- The results of a drug test of an employee may be released under subsection (a) without the prior written consent of the employee that is otherwise required under section 503(e) of the Supplemental Appropriations Act, 1987 (5 U.S.C. 7301 note).'.
    (b) CLERICAL AMENDMENT- The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `7479. Civil service mariners of Military Sealift Command: release of drug test results to Coast Guard.'.

SEC. 1102. LIMITATIONS ON BACK PAY AWARDS.

    (a) In General- Section 5596(b) of title 5, United States Code, is amended--
      (1) by redesignating paragraph (4) as paragraph (5); and
      (2) by inserting after paragraph (3) the following new paragraph:
    `(4) The pay, allowances, or differentials granted under this section for the period for which an unjustified or unwarranted personnel action was in effect shall not exceed that authorized by the applicable law, rule, regulations, or collective bargaining agreement under which the unjustified or unwarranted personnel action is found, except that in no case may pay, allowances, or differentials be granted under this section for a period beginning more than 6 years before the date of the filing of a timely appeal or, absent such filing, the date of the administrative determination.'.
    (b) CONFORMING AMENDMENT- Section 7121 of title 5, United States Code, is amended by adding at the end the following new subsection:
    `(h) Settlements and awards under this chapter shall be subject to the limitations in section 5596(b)(4) of this title.'.

SEC. 1103. RESTORATION OF ANNUAL LEAVE ACCUMULATED BY CIVILIAN EMPLOYEES AT INSTALLATIONS IN THE REPUBLIC OF PANAMA TO BE CLOSED PURSUANT TO THE PANAMA CANAL TREATY OF 1977.

    Section 6304(d)(3)(A) of title 5, United States Code, is amended by inserting `the closure of an installation of the Department of Defense in the Republic of Panama in accordance with the Panama Canal Treaty of 1977,' after `2687 note) during any period,'.

SEC. 1104. REPEAL OF PROGRAM PROVIDING PREFERENCE FOR EMPLOYMENT OF MILITARY SPOUSES IN MILITARY CHILD CARE FACILITIES.

    Section 1792 of title 10, United States Code, is amended--
      (1) by striking out subsection (d); and
      (2) by redesignating subsection (e) as subsection (d).

SEC. 1105. ELIMINATION OF RETAINED PAY AS BASIS FOR DETERMINING LOCALITY-BASED ADJUSTMENTS.

    Section 5302(8)(B) of title 5, United States Code, is amended by inserting `(except a rate retained under subsection (a)(2) of that section)' after `section 5363'.

SEC. 1106. OBSERVANCE OF CERTAIN HOLIDAYS AT DUTY POSTS OUTSIDE THE UNITED STATES.

    Section 6103(b) of title 5, United States Code, is amended by inserting after paragraph (2) the following new paragraph:
      `(3) Instead of a holiday that is designated under subsection (a) to occur on a Monday, for an employee at a duty post outside the United States whose basic workweek is other than Monday through Friday, and for whom Monday is a regularly scheduled workday, the legal public holiday is the first workday of the workweek in which the Monday designated for the observance of such holiday under subsection (a) occurs.'.

TITLE XII--MATTERS RELATING TO OTHER NATIONS

SEC. 1201. LIMITATION ON FUNDS FOR PEACEKEEPING IN THE REPUBLIC OF BOSNIA AND HERZEGOVINA.

    (a) LIMITATION- The Secretary of Defense may not expend from funds appropriated to the Department of Defense for fiscal year 1999 more than $1,858,600,000 for the purpose of providing for United States participation in Bosnia peacekeeping operations.
    (b) EMERGENCY EXCEPTION- The Secretary may increase the amount under subsection (a) by not more than $100,000,000 for the sole purpose of safeguarding United States forces in the event of hostilities, imminent hostilities, or other grave danger to their well-being. Such an increase may become effective only upon submission by the Secretary to Congress of a certification that such grave danger exists and that such additional funds are required to meet immediate security threats.
    (c) REPORT- Not later than April 1, 1999, the Secretary of Defense shall submit to Congress a report with respect to United States participation in Bosnia peacekeeping operations. The report shall provide a detailed projection of any additional funding that will be required by the Department of Defense to meet mission requirements for such operations for the remainder of fiscal year 1999.
    (d) PRESIDENTIAL AUTHORITY- Nothing in this section shall be deemed to restrict the authority of the President under the Constitution to protect the lives of United States citizens.
    (e) BOSNIA PEACEKEEPING OPERATIONS- For purposes of subsection (a), the term `Bosnia peacekeeping operations' means the operation designated as Operation Joint Force, the operation designated as Operation Joint Endeavor, and any other operation under which United States military forces participate in peacekeeping or peace enforcement activities in the Republic of Bosnia and Herzegovina and any activity that is directly related to the support of any such operation.

SEC. 1202. REPORTS ON THE MISSION OF UNITED STATES FORCES IN REPUBLIC OF BOSNIA AND HERZEGOVINA.

    (a) FINDINGS- Congress finds the following:
      (1) In section 1202(1) of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1929; approved November 18, 1997), it was stated to be the sense of Congress that United States ground combat forces should not participate in a follow-on force in the Republic of Bosnia and Herzegovina after June 1998.
      (2) On December 16, 1997, the President announced his support for the continued deployment of United States ground combat forces in the Republic of Bosnia and Herzegovina after June 30, 1998, as part of a multinational peacekeeping force led by the North Atlantic Treaty Organization (NATO).
      (3) The President's decision to extend the presence of United States ground combat forces in the Republic of Bosnia and Herzegovina has changed the mission of those forces in a fundamental manner.
      (4) The President has in effect committed United States ground combat forces in the Republic of Bosnia and Herzegovina to providing a secure environment for complete implementation of the civilian provisions of the Dayton Accords.
      (5) The Administration has not specified how long such an achievement will take and, therefore, the mission of United States ground combat forces in the Republic of Bosnia and Herzegovina is of indefinite duration.
    (b) ANNUAL PRESIDENTIAL REPORT- (1) The President shall submit to Congress an annual report on the presence of United States ground combat forces in the Republic of Bosnia and Herzegovina. Each such report shall include the following:
      (A) The President's assessment of progress toward the full implementation of the civilian goals of the Dayton Accord, as specified in subsection (c).
      (B) The expected duration of the deployment of United States ground combat forces in the Republic of Bosnia and Herzegovina in support of implementation of those goals.
      (C) The percentage of those goals that have been completed as of the date of the report, the percentage that are expected to be completed within the next reporting period, and the expected time for completion of the remaining tasks.
    (2) The first report under this subsection shall be submitted not later than 90 days after the date of the enactment of this Act, and subsequent reports shall be submitted at yearly intervals thereafter. The requirement to submit an annual report under this subsection terminates upon the withdrawal of all United States ground combat forces from the Republic of Bosnia and Herzegovina.
    (c) BASIS FOR ASSESSMENT OF PROGRESS- For purposes of subsection (b)(1)(A), the President shall assess whether progress is being made toward implementation of the civilian goals of the Dayton Accords based upon assessment of the following goals and associated matters:
      (1) Accomplishment of military stability, as measured by--
        (A) the maintenance of the cease-fire between the former warring parties;
        (B) the continued cantonment of heavy weapons and the observance of arms limitations;
        (C) the disbanding of special police;
        (D) the termination of covert support to the Srpska Demokratska Stranka party by the Federal Republic of Yugoslavia; and
        (E) similar measures.
      (2) Police and judicial reform, as measured by--
        (A) the restructuring and ethnic integration of local police;
        (B) completion of human rights training by local police forces;
        (C) the demonstrated ability of local police to deal effectively and impartially with civil disturbances and disorder;
        (D) the implementation of an effective judicial reform program; and
        (E) similar measures.
      (3) Creation and implementation of effective national institutions untainted by ethnic separatism, as measured by--
        (A) the dissolution of previously outlawed institutions;
        (B) a functioning customs service with national control over customs revenues;
        (C) transparency in national budgets and disbursements; and
        (D) similar measures.
      (4) Media reform, as measured by--
        (A) the divestiture of control of broadcast networks from the control of political parties;
        (B) opposition party access to media;
        (C) the availability of alternative and independent media throughout the Republic of Bosnia and Herzegovina; and
        (D) similar measures.
      (5) Democratization and reform of the electoral process, as measured by--
        (A) transparent functioning of local, entity, and national governments;
        (B) acceptance of binding arbitration for the implementation of results in contested local elections;
        (C) modification of electoral laws to meet international and Organization for Security and Cooperation in Europe (OSCE) standards;
        (D) the free and fair conduct of the September 1998 national elections and subsequent elections; and
        (E) similar measures.
      (6) Return of refugees, as measured by--
        (A) compliance of entity property laws with the Dayton Accords;
        (B) participation by entity governments in orderly cross-ethnic returns;
        (C) protection by local police of returnees;
        (D) acceptance of substantial numbers of returned refugees in major cities; and
        (E) similar measures.
      (7) Resolution of the status of Brcko, as measured by--
        (A) the implementation of local election results;
        (B) the functioning of an ethnically integrated police force;
        (C) ethnic reintegration of Brcko and the surrounding region; and
        (D) similar measures.
      (8) Compliance of persons indicted for war crimes by the International Tribunal for the Former Yugoslavia, as measured by--
        (A) the termination of political, military, and media control by war criminals;
        (B) the assistance of local authorities in apprehension of indictees;
        (C) the cooperation of entity justice establishments in cooperating with the Tribunal; and
        (D) similar measures.
      (9) The ability of international organizations to carry out their functions within the Republic of Bosnia and Herzegovina without military support, as measured by--
        (A) the ability of local authorities to carry out demining programs;
        (B) the ability of the Office of the High Representative to enforce inter-entity agreements without accompanying military shows of force; and
        (C) similar measures.
      (10) Economic reconstruction and recovery, as measured by--
        (A) local currency circulating freely and its use in official transactions;
        (B) an agreement reached on a permanent national currency in use in all entities;
        (C) the creation of privatization laws consistent with the Dayton Accords;
        (D) government control over sources of revenue;
        (E) substantial repair and functioning of major infrastructure elements;
        (F) an in-place International Monetary Fund program; and
        (G) similar measures.
    (d) SECRETARY OF DEFENSE REPORT- (1) Not later than December 15, 1998, the Secretary of Defense shall submit to the congressional defense committees a report on the effects of military operations in the Republic of Bosnia and Herzegovina and the Balkans region on the capabilities of United States military forces and, in particular, on the capability of United States military forces to conduct successfully two nearly simultaneous major theater wars as specified in current Defense Planning Guidance and in accordance with the deployment timelines called for in the war plans of the commanders of unified combatant commands.
    (2) Whenever the number of United States ground combat forces in the Republic of Bosnia and Herzegovina increases or decreases by 10 percent or more compared to the number of such forces as of the most recent previous report under this subsection, the Secretary shall submit an additional report as specified in paragraph (1). Any such additional report shall be submitted within 30 days of the date on which the requirement to submit the report becomes effective under the preceding sentence.
    (3) The Secretary shall include in each report under this subsection information with respect to the effects of military operations in the Republic of Bosnia and Herzegovina and the Balkans region on the capabilities of United States military forces to conduct successfully two nearly simultaneous major theater wars as specified in current Defense Planning Guidance and in accordance with the deployment timelines called for in the war plans of the commanders of unified combatant commands. Such information shall include information on the effects of those operations upon anticipated deployment plans for major theater wars in Southwest Asia or on the Korean peninsula including the following:
      (A) Deficiencies or delays in deployment of strategic lift, logistics support and infrastructure, ammunition (including precision guided munitions) support forces, intelligence assets, follow-on forces used for planned counteroffensives, and similar forces.
      (B) Additional planned reserve component mobilization, including specific units to be ordered to active duty and required dates for activation of presidential call-up authority.
      (C) Specific plans and timelines for redeployment of United States forces from the Republic of Bosnia and Herzegovina, the Balkans region, or supporting forces in the region, to both the first and second major theater war.
      (D) Preventative actions or deployments involving United States forces in the Republic of Bosnia and Herzegovina and the Balkans region that would be taken in the event of a single theater war to deter the outbreak of a second theater war.
      (E) Specific plans and timelines to replace forces deployed to the Republic of Bosnia and Herzegovina, the Balkans region, or the surrounding region to maintain United States military presence.
      (F) An assessment, undertaken in consultation with the Chairman of the Joint Chiefs of Staff and the commanders of the unified combatant commands, of the level of increased risk to successful conduct of the major theater wars and the maintenance of security and stability in the Republic of Bosnia and Herzegovina and the Balkans region, by the requirement to redeploy forces from Bosnia and the Balkans in the event of a major theater war.
    (e) DEFINITION OF DAYTON ACCORDS- For purposes of this section, the term `Dayton Accords' means the General Framework Agreement for Peace in Bosnia and Herzegovina, initialed by the parties in Dayton, Ohio, on November 21, 1995, and signed in Paris on December 14, 1995.

SEC. 1203. REPORT ON MILITARY CAPABILITIES OF AN EXPANDED NATO ALLIANCE.

    (a) REPORT- The Secretary of Defense shall prepare a report, in both classified and unclassified form, on the planned future military capabilities of the North Atlantic Treaty Organization (NATO) in light of the proposed inclusion of Poland, the Czech Republic, and Hungary in the NATO alliance. The report shall set forth--
      (1) the tactical, operational, and strategic issues that would be raised by the inclusion of Poland, the Czech Republic, and Hungary in the NATO alliance;
      (2) the required improvements to common alliance military assets that would result from the inclusion of those nations in the alliance;
      (3) the planned improvements to national capabilities of current NATO members that would be required by reason of the inclusion of those nations in the alliance;
      (4) the planned improvements to national capabilities of the military forces of those candidate member nations; and
      (5) the additional requirements that would be imposed on the United States by NATO expansion.
    (b) MATTERS TO BE INCLUDED- The report shall include the following:
      (1) An assessment of the tactical and operational capabilities of the military forces of each of the candidate member nations.
      (2) An assessment of the capability of each candidate member nation to provide logistical, command and control, and other vital infrastructure required for alliance defense (as specified in Article V of the NATO Charter), including a description in general terms of alliance plans for reinforcing each candidate member nation during a crisis or war and detailing means for deploying both United States and other NATO forces from current member states and from the continental United States or other United States bases worldwide and, in particular, describing plans for ground reinforcement of Hungary.
      (3) An assessment of the ability of current and candidate alliance members to deploy and sustain combat forces in alliance defense missions conducted in the territory of any of the candidate member nations, as specified in Article V of the NATO Charter.
      (4) A description of projected defense programs through 2009 (shown on an annual basis and cumulatively) of each current and candidate alliance member nation, including planned investments in capabilities relevant to Article V alliance defense and potential alliance contingency operations and showing both planned national efforts as well as planned alliance common efforts and describing any disparities in investments by current or candidate alliance member nations.
      (5) A detailed comparison and description of any disparities in scope, methodology, assessments of common alliance or national responsibilities, or any other factor related to alliance capabilities between (A) the report on alliance expansion costs prepared by the Department of Defense (in the report submitted to Congress in February 1998 entitled `Report to the Congress on the Military Requirements and Costs of NATO Enlargement'), and (B) the report on alliance expansion costs prepared by NATO collectively and referred to as the `NATO estimate', issued at Brussels in November 1997.
      (6) Any other factor that, in the judgment of the Secretary of Defense, bears upon the strategic, operational, or tactical military capabilities of an expanded NATO alliance.
    (c) SUBMISSION OF REPORT- The report shall be submitted to Congress not later than March 15, 1999.

SEC. 1204. ONE-YEAR EXTENSION OF COUNTERPROLIFERATION AUTHORITIES FOR SUPPORT OF UNITED NATIONS SPECIAL COMMISSION ON IRAQ.

    (a) AMOUNT AUTHORIZED FOR FISCAL YEAR 1999- The total amount of assistance for fiscal year 1999 provided by the Secretary of Defense under section 1505 of the Weapons of Mass Destruction Control Act of 1992 (22 U.S.C. 5859a) that is provided in the form of funds, including funds used for activities of the Department of Defense in support of the United Nations Special Commission on Iraq, may not exceed $15,000,000.
    (b) EXTENSION OF AUTHORITY TO PROVIDE ASSISTANCE- Subsection (f) of section 1505 of the Weapons of Mass Destruction Control Act of 1992 (22 U.S.C. 5859a) is amended by striking out `1998' and inserting in lieu thereof `1999'.

SEC. 1205. REPEAL OF LANDMINE MORATORIUM.

    Section 580 of the Foreign Operations Appropriations Act, 1996 (Public Law 104-107; 110 Sat 751), is repealed.

TITLE XIII--COOPERATIVE THREAT REDUCTION WITH STATES OF FORMER SOVIET UNION

SEC. 1301. SPECIFICATION OF COOPERATIVE THREAT REDUCTION PROGRAMS AND FUNDS.

    (a) SPECIFICATION OF CTR PROGRAMS- For purposes of section 301 and other provisions of this Act, Cooperative Threat Reduction programs are the programs specified in subsection (b) of section 406 of title 10, United States Code (as added by section 1305).
    (b) FISCAL YEAR 1999 COOPERATIVE THREAT REDUCTION FUNDS DEFINED- As used in this title, the term `fiscal year 1999 Cooperative Threat Reduction funds' means the funds appropriated pursuant to the authorization of appropriations in section 301 for Cooperative Threat Reduction programs.

SEC. 1302. FUNDING ALLOCATIONS.

    (a) IN GENERAL- Of the fiscal year 1999 Cooperative Threat Reduction funds, not more than the following amounts may be obligated for the purposes specified:
      (1) Except as provided in paragraph (11), for strategic offensive arms elimination in Russia, $142,400,000.
      (2) Except as provided in paragraph (11), for strategic nuclear arms elimination in Ukraine, $47,500,000.
      (3) For activities to support warhead dismantlement processing in Russia, $9,400,000.
      (4) For activities associated with chemical weapons destruction in Russia, $35,000,000.
      (5) For weapons transportation security in Russia, $10,300,000.
      (6) For planning, design, and construction of a storage facility for Russian fissile material, $60,900,000.
      (7) For weapons storage security in Russia, $41,700,000.
      (8) For development of a cooperative program with the Government of Russia to eliminate the production of weapons grade plutonium at Russian reactors, $29,800,000.
      (9) For biological weapons proliferation prevention activities in Russia, $2,000,000.
      (10) For activities designated as Other Assessments/Administrative Support $7,000,000.
      (11) For strategic arms elimination in Russia or Ukraine, $31,400,000.
    (b) LIMITED AUTHORITY TO VARY INDIVIDUAL AMOUNTS- (1) If the Secretary of Defense determines that it is necessary to do so in the national interest, the Secretary may, subject to paragraphs (2) and (3), obligate amounts for the purposes stated in any of the paragraphs of subsection (a) in excess of the amount specified for those purposes in that paragraph. However, the total amount obligated for the purposes stated in the paragraphs in subsection (a) may not by reason of the use of the authority provided in the preceding sentence exceed the sum of the amounts specified in those paragraphs.
    (2) An obligation for the purposes stated in any of the paragraphs in subsection (a) in excess of the amount specified in that paragraph may be made using the authority provided in paragraph (1) only after--
      (A) the Secretary submits to Congress notification of the intent to do so together with a complete discussion of the justification for doing so; and
      (B) 15 days have elapsed following the date of the notification.
    (3) The Secretary may not, under the authority provided in paragraph (1), obligate amounts appropriated for the purposes stated in any of paragraphs (3) through (10) of subsection (a) in excess of 115 percent of the amount stated in those paragraphs.

SEC. 1303. PROHIBITION ON USE OF FUNDS FOR SPECIFIED PURPOSES.

    (a) IN GENERAL- No fiscal year 1999 Cooperative Threat Reduction funds, and no funds appropriated for Cooperative Threat Reduction programs for any prior fiscal year and remaining available for obligation, may be obligated or expended for any of the following purposes:
      (1) Conducting with Russia any peacekeeping exercise or other peacekeeping-related activity.
      (2) Provision of housing.
      (3) Provision of assistance to promote environmental restoration.
      (4) Provision of assistance to promote job retraining.
      (5) Programs other than the programs specified in subsection (b) of section 406 of title 10, United States Code (as added by section 1305).
    (b) LIMITATION WITH RESPECT TO DEFENSE CONVERSION ASSISTANCE- None of the funds appropriated pursuant to this Act may be obligated or expended for the provision of assistance to Russia or any other state of the former Soviet Union to promote defense conversion.

SEC. 1304. LIMITATION ON USE OF FUNDS FOR CHEMICAL WEAPONS DESTRUCTION FACILITY.

    No fiscal year 1999 Cooperative Threat Reduction funds authorized to be obligated in section 1302(a)(4) for activities associated with chemical weapons destruction in Russia, and no funds appropriated for Cooperative Threat Reduction programs for any prior fiscal year and remaining available for obligation, may be used for construction of a chemical weapons destruction facility.

SEC. 1305. LIMITATION ON OBLIGATION OF FUNDS FOR A SPECIFIED PERIOD.

    (a) IN GENERAL- (1) Chapter 20 of title 10, United States Code, is amended by adding at the end the following new section:

`Sec. 406. Use of Cooperative Threat Reduction program funds: limitation

    `(a) IN GENERAL- In carrying out Cooperative Threat Reduction programs during any fiscal year, the Secretary of Defense may use funds appropriated for those programs only to the extent that those funds were appropriated for that fiscal year or for either of the 2 preceding fiscal years.
    `(b) DEFINITION OF COOPERATIVE THREAT REDUCTION PROGRAMS- In this section, the term `Cooperative Threat Reduction programs' means the following programs with respect to states of the former Soviet Union:
      `(1) Programs to facilitate the elimination, and the safe and secure transportation and storage, of nuclear, chemical, and other weapons of mass destruction and their delivery vehicles.
      `(2) Programs to facilitate the safe and secure storage of fissile materials derived from the elimination of nuclear weapons.
      `(3) Programs to prevent the proliferation of weapons of mass destruction, components, and technology and expertise related to such weapons.
      `(4) Programs to expand military-to-military and defense contacts.'.
    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
      `406. Use of Cooperative Threat Reduction program funds: limitation.'.
    (b) EFFECTIVE DATE- The limitation described in section 406 of title 10, United States Code, as added by subsection (a), shall apply with respect to fiscal years beginning with fiscal year 1999.

SEC. 1306. REQUIREMENT TO SUBMIT BREAKDOWN OF AMOUNTS REQUESTED BY PROJECT CATEGORY.

    The Secretary of Defense shall submit to Congress on an annual basis, not later than 30 days after the date that the President submits to Congress the budget of the United States Government for the following fiscal year--
      (1) a breakdown, with respect to the appropriations requested for Cooperative Threat Reduction programs for the fiscal year after the fiscal year in which the breakdown is submitted, of the amounts requested for each project category under each Cooperative Threat Reduction program element; and
      (2) a breakdown, with respect to appropriations for Cooperative Threat Reduction programs for the fiscal year in which the breakdown is submitted, of the amounts obligated or expended, or planned to be obligated or expended, for each project category under each Cooperative Threat Reduction program element.

SEC. 1307. LIMITATION ON USE OF FUNDS UNTIL COMPLETION OF FISCAL YEAR 1998 REQUIREMENTS.

    (a) USE OF FUNDS FOR PROGRAMS RELATED TO START II TREATY- No fiscal year 1999 Cooperative Threat Reduction funds may be obligated or expended for strategic offensive arms elimination projects in Russia related to the START II Treaty (as defined in section 1302(f) of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1948)) until 30 days after the date on which the Secretary of Defense submits to Congress the certification described in section 1404 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1960).
    (b) USE OF FUNDS FOR CHEMICAL WEAPONS DESTRUCTION FACILITY- No fiscal year 1999 Cooperative Threat Reduction funds may be obligated or expended for activities relating to a chemical weapons destruction facility until 15 days after the date that is the later of the dates described in section 1405 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1960).
    (c) USE OF FUNDS FOR DESTRUCTION OF CHEMICAL WEAPONS- No funds authorized to be appropriated under this or any other Act for fiscal year 1999 for Cooperative Threat Reduction programs may be obligated or expended for chemical weapons destruction activities until the President submits to Congress the written certification described in section 1406(b) of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1961).
    (d) USE OF FUNDS FOR STORAGE FACILITY FOR RUSSIAN FISSILE MATERIAL- No fiscal year 1999 Cooperative Threat Reduction funds may be obligated or expended for planning, design, or construction of a storage facility for Russian fissile material until 15 days after the date that is the later of the dates described in section 1407 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1962).
    (e) USE OF FUNDS FOR WEAPONS STORAGE SECURITY- No fiscal year 1999 Cooperative Threat Reduction funds intended for weapons storage security activities in Russia may be obligated or expended until 15 days after the date that the Secretary of Defense submits to Congress the report on the status of negotiations between the United States and Russia described in section 1408 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1962).

SEC. 1308. REPORT ON BIOLOGICAL WEAPONS PROGRAMS IN RUSSIA.

    (a) REPORT- Not later than December 31, 1998, the Secretary of Defense shall submit to the congressional defense committees a report, in classified and unclassified forms, containing--
      (1) an assessment of the extent of compliance by Russia with international agreements relating to the control of biological weapons; and
      (2) a detailed evaluation of the potential political and military costs and benefits of collaborative biological pathogen research efforts by the United States and Russia.
    (b) CONTENT OF REPORT- The report required under subsection (a) shall include the following:
      (1) An evaluation of the extent of the control and oversight by the Government of Russia over the military and civilian-military biological warfare programs formerly controlled or overseen by states of the former Soviet Union.
      (2) The extent and scope of continued biological warfare research, development, testing, and production in Russia, including the sites where such activity is occurring and the types of activity being conducted.
      (3) An assessment of compliance by Russia with the terms of the Biological Weapons Convention.
      (4) An identification and assessment of the measures taken by Russia to comply with the obligations assumed under the Joint Statement on Biological Weapons, agreed to by the United States, the United Kingdom, and Russia on September 14, 1992.
      (5) A description of the extent to which Russia has permitted individuals from the United States or other countries to visit military and nonmilitary biological research, development, testing, and production sites in order to resolve ambiguities regarding activities at such sites.
      (6) A description of the information provided by Russia about its biological weapons dismantlement efforts to date.
      (7) An assessment of the accuracy and comprehensiveness of declarations by Russia regarding its biological weapons activities.
      (8) An identification of collaborative biological research projects carried out by the United States and Russia for which Cooperative Threat Reduction funds have been used.
      (9) An evaluation of the political and military utility of prior, existing, and prospective cooperative biological pathogen research programs carried out between the United States and Russia, and an assessment of the impact of such programs on increasing Russian military transparency with respect to biological weapons activities.
      (10) An assessment of the political and military utility of the long-term collaborative program advocated by the National Academy of Sciences in its October 27, 1997 report, `Controlling Dangerous Pathogens: A Blueprint for U.S.-Russian Cooperation'.

SEC. 1309. LIMITATION ON USE OF FUNDS FOR BIOLOGICAL WEAPONS PROLIFERATION PREVENTION ACTIVITIES IN RUSSIA.

    No fiscal year 1999 Cooperative Threat Reduction funds may be obligated or expended for biological weapons proliferation prevention activities in Russia until 15 days after the date that is the later of the following:
      (1) The date on which the Secretary of Defense submits to Congress a certification that no Cooperative Threat Reduction funds provided for cooperative research activities at biological research institutes in Russia have been used--
        (A) to support activities that have resulted in the development of a new strain of anthrax; or
        (B) for any purpose inconsistent with the objectives of providing such assistance.
      (2) The date on which the Secretary submits to the congressional defense committees notification that the United States has examined and tested the new strain of anthrax reportedly developed at the State Research Center for Applied Microbiology in Obolensk, Russia.

SEC. 1310. LIMITATION ON USE OF CERTAIN FUNDS FOR STRATEGIC ARMS ELIMINATION IN RUSSIA OR UKRAINE.

    No fiscal year 1999 Cooperative Threat Reduction funds authorized to be obligated in section 1302(a)(11) for strategic arms elimination in Russia or Ukraine may be obligated or expended until 30 days after the date that the
Secretary of Defense submits to the congressional defense committees notification on how the Secretary plans to use such funds.

SEC. 1311. AVAILABILITY OF FUNDS.

    Funds appropriated pursuant to the authorization of appropriations in section 301 for Cooperative Threat Reduction programs shall be available for obligation for three fiscal years.

DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

SEC. 2001. SHORT TITLE.

    This division may be cited as the `Military Construction Authorization Act for Fiscal Year 1999'.

TITLE XXI--ARMY

SEC. 2101. AUTHORIZED ARMY CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    (a) INSIDE THE UNITED STATES- Using amounts appropriated pursuant to the authorization of appropriations in section 2104(a)(1), the Secretary of the Army may acquire real property and carry out military construction projects for the installations and locations inside the United States, and in the amounts, set forth in the following table:
Army: Inside the United States

State                     Installation or location                                   Amount

Alabama          Anniston Army Depot                                    $3,550,000
                 Fort Rucker                                            $4,300,000
                 Redstone Arsenal                                       $1,550,000
California       Fort Irwin                                            $14,800,000
Georgia          Fort Benning                                          $28,600,000
Hawaii           Schofield Barracks                                    $67,500,000
Illinois         Rock Island Arsenal                                    $5,300,000
Indiana          Crane Army Ammunition Activity                         $7,100,000
Kansas           Fort Riley                                             $3,600,000
Kentucky         Blue Grass Army Depot                                  $5,300,000
                 Fort Campbell                                         $41,000,000
                 Fort Knox                                             $23,000,000
Louisiana        Fort Polk                                              $8,300,000
Maryland         Fort Detrick                                           $3,550,000
Missouri         Fort Leonard Wood                                     $28,200,000
New Jersey       Fort Monmouth                                          $7,600,000
                 Picatinny Arsenal                                      $8,400,000
New York         Fort Drum                                              $4,650,000
                 United States Military Academy, West Point            $85,000,000
North Carolina   Fort Bragg                                            $95,900,000
Oklahoma         Fort Sill                                             $13,800,000
                 McAlester Army Ammunition Plant                       $10,800,000
Texas            Fort Bliss                                             $4,100,000
                 Fort Hood                                             $32,500,000
                 Fort Sam Houston                                      $21,800,000
Utah             Tooele Army Depot                                      $3,900,000
Virginia         National Ground Intelligence Center, Charlottesville  $46,200,000
                 Fort Eustis                                           $36,531,000
Washington       Fort Lewis                                            $18,200,000
CONUS Classified Classified Location                                    $4,600,000
                     Total                                            $639,631,000

    (b) OUTSIDE THE UNITED STATES- Using amounts appropriated pursuant to the authorization of appropriations in section 2104(a)(2), the Secretary of the Army may acquire real property and carry out military construction projects for the locations outside the United States, and in the amounts, set forth in the following table:
Army: Outside the United States

Country            Installation or location       Amount

Belgium   80th Area Support Group    $6,300,000
Germany   Schweinfurt               $18,000,000
          Wurzburg                   $4,250,000
Korea     Camp Casey                $13,400,000
          Camp Castle               $18,226,000
          Camp Humphreys             $8,500,000
          Camp Stanley               $5,800,000
Kwajalein Kwajalein Atoll           $48,600,000
              Total                $123,076,000

SEC. 2102. FAMILY HOUSING.

    (a) CONSTRUCTION AND ACQUISITION- Using amounts appropriated pursuant to the authorization of appropriations in section 2104(a)(5)(A), the Secretary of the Army may construct or acquire family housing units (including land acquisition) at the installations, for the purposes, and in the amounts set forth in the following table:
Army: Family Housing

State                   Installation orlocation Purpose        Amount

Alabama        Redstone Arsenal        118 Units $14,000,000
Hawaii         Schofield Barracks      64 Units  $14,700,000
North Carolina Fort Bragg              170 Units $19,800,000
Texas          Fort Hood               154 Units $21,600,000
Virginia       Fort Lee                80 Units  $13,000,000
                                       Total     $83,100,000

    (b) PLANNING AND DESIGN- Using amounts appropriated pursuant to the authorization of appropriations in section 2104(a)(5)(A), the Secretary of the Army may carry out architectural and engineering services and construction design activities with respect to the construction or improvement of family housing units in an amount not to exceed $6,350,000.

SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

    Subject to section 2825 of title 10, United States Code, and using amounts appropriated pursuant to the authorization of appropriations in section 2104(a)(5)(A), the Secretary of the Army may improve existing military family housing units in an amount not to exceed $37,429,000.

SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

    (a) IN GENERAL- Funds are hereby authorized to be appropriated for fiscal years beginning after September 30, 1998, for military construction, land acquisition, and military family housing functions of the Department of the Army in the total amount of $2,010,036,000 as follows:
      (1) For military construction projects inside the United States authorized by section 2101(a), $535,631,000.
      (2) For military construction projects outside the United States authorized by section 2101(b), $87,076,000.
      (3) For unspecified minor construction projects authorized by section 2805 of title 10, United States Code, $5,000,000.
      (4) For architectural and engineering services and construction design under section 2807 of title 10, United States Code, $63,792,000.
      (5) For military family housing functions:
        (A) For construction and acquisition, planning and design, and improvement of military family housing and facilities, $126,879,000.
        (B) For support of military family housing (including the functions described in section 2833 of title 10, United States Code), $1,097,697,000.
      (6) For the Homeowners Assistance Program as authorized by section 2832 of title 10, United States Code, $7,500,000.
      (7) For the construction of the missile software engineering annex, phase II, Redstone Arsenal, Alabama, authorized by section 2101(a) of the Military Construction Authorization Act for Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 1966), $13,600,000.
      (8) For the construction of a disciplinary barracks, phase II, Fort Leavenworth, Kansas, authorized by section 2101(a) of the Military Construction Authorization Act for Fiscal Year 1998, $29,000,000.
      (9) For the construction of the whole barracks complex renewal, Fort Sill, Oklahoma, authorized by section 2101(a) of the Military Construction Authorization Act for Fiscal Year 1998, $20,500,000.
      (10) For rail yard expansion at Fort Carson, Colorado, authorized by section 2101(a) of the Military Construction Authorization Act for Fiscal Year 1998, $23,000,000.
      (11) For the construction of an aerial gunnery range at Fort Drum, New York, authorized by section 2101(a) of the Military Construction Authorization Act for Fiscal Year 1998, $9,000,000.
    (b) LIMITATION ON TOTAL COST OF CONSTRUCTION PROJECTS- Notwithstanding the cost variations authorized by section 2853 of title 10, United States Code, and any other cost variation authorized by law, the total cost of all projects carried out under section 2101 of this Act may not exceed--
      (1) the total amount authorized to be appropriated under paragraphs (1) and (2) of subsection (a);
      (2) $16,000,000 (the balance of the amount authorized under section 2101(a) for the construction of a multipurpose digital training range at Fort Knox, Kentucky);
      (3) $15,000,000 (the balance of the amount authorized under section 2101(a) for the construction of a railhead facility at Fort Hood, Texas);
      (4) $73,000,000 (the balance of the amount authorized under section 2101(a) for the construction of a cadet development center at the United States Military Academy, West Point, New York); and
      (5) $36,000,000 (the balance of the amount authorized under section 2101(b) for the construction of a powerplant on Roi Namur Island at Kwajalein Atoll, Kwajalein).
    (c) ADJUSTMENTS- The total amount authorized to be appropriated pursuant to paragraphs (1) through (11) of subsection (a) is the sum of the amounts authorized to be appropriated in such paragraphs, reduced by--
      (1) $2,639,000, which represents the combination of project savings in military family housing construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes; and
      (2) $6,000,000, which represents the combination of project savings in military construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes.

SEC. 2105. INCREASE IN FISCAL YEAR 1998 AUTHORIZATION FOR MILITARY CONSTRUCTION PROJECTS AT FORT DRUM, NEW YORK, AND FORT SILL, OKLAHOMA.

    (a) INCREASE- The table in section 2101(a) of the Military Construction Authorization Act for Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 1967) is amended--
      (1) in the item relating to Fort Drum, New York, by striking out `$24,400,000' in the amount column and inserting in lieu thereof `$24,900,000';
      (2) in the item relating to Fort Sill, Oklahoma, by striking out `$25,000,000' in the amount column and inserting in lieu thereof `$28,500,000'; and
      (3) by striking out the amount identified as the total in the amount column and inserting in lieu thereof `$602,750,000'.
    (b) CONFORMING AMENDMENT- Section 2104 of that Act (111 Stat. 1968) is amended--
      (1) in subsection (a)--
        (A) in the matter preceding paragraph (1), by striking out `$2,010,466,000' and inserting in lieu thereof `$2,013,966,000'; and
        (B) in paragraph (1), by striking out `$435,350,000' and inserting in lieu thereof `$438,850,000'; and
      (2) in subsection (b)(8), by striking out `$8,500,000' and inserting in lieu thereof `$9,000,000'.

TITLE XXII--NAVY

SEC. 2201. AUTHORIZED NAVY CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    (a) INSIDE THE UNITED STATES- Using amounts appropriated pursuant to the authorization of appropriations in section 2204(a)(1), the Secretary of the Navy may acquire real property and carry out military construction projects for the installations and locations inside the United States, and in the amounts, set forth in the following table:
Navy: Inside the United States

State                         Installation or location                                                                     Amount

Arizona              Marine Corps Air Station, Yuma                                                          $11,010,000
                     Naval Observatory Detachment, Flagstaff                                                    $990,000
California           Marine Corps Air Station, Miramar                                                       $29,570,000
                     Marine Corps Base, Camp Pendleton                                                       $40,430,000
                     Naval Air Station, Lemoore                                                              $20,640,000
                     Naval Air Warfare Center Weapons Division, China Lake                                   $10,140,000
                     Naval Facility, San Clemente Island                                                      $8,350,000
                     Naval Submarine Base, San Diego                                                         $11,400,000
District of Columbia Naval District, Washington                                                                 $790,000
Florida              Naval Air Station, Key West                                                              $3,730,000
                     Naval Air Station, Jacksonville                                                          $1,500,000
                     Naval Air Station, Whiting Field                                                         $1,400,000
                     Naval Station, Mayport                                                                   $6,163,000
Georgia              Marine Corps Logistics Base, Albany                                                      $2,800,000
                     Naval Submarine Base, Kings Bay                                                          $2,550,000
Hawaii               Fleet and Industrial Supply Center, Pearl Harbor                                         $9,730,000
                     Marine Corps Air Station, Kaneohe Bay                                                   $27,410,000
                     Naval Communications & Telecommunications Area Master Station Eastern Pacific, Wahiawa   $1,970,000
                     Naval Shipyard, Pearl Harbor                                                            $11,400,000
                     Naval Station, Pearl Harbor                                                             $18,180,000
                     Naval Submarine Base, Pearl Harbor                                                       $8,060,000
                     Navy Public Works Center, Pearl Harbor                                                  $28,967,000
Illinois             Naval Training Center, Great Lakes                                                      $20,280,000
Indiana              Naval Surface Warfare Center, Crane                                                     $11,110,000
Maryland             Naval Surface Warfare Center, Indian Head Division, Indian Head                         $13,270,000
Mississippi          Naval Air Station, Meridian                                                              $3,280,000
                     Naval Construction Battalion Center Gulfport                                            $10,670,000
North Carolina       Marine Corps Air Station, Cherry Point                                                   $6,040,000
                     Marine Corps Base, Camp LeJeune                                                         $14,600,000
Pennsylvania         Naval Surface Warfare Center Ship Systems Engineering Station, Philadelphia              $2,410,000
Rhode Island         Naval Education and Training Center, Newport                                             $5,630,000
                     Naval Undersea Warfare Center Division, Newport                                          $9,140,000
South Carolina       Marine Corps Air Station, Beaufort                                                       $1,770,000
                     Marine Corps Reserve Detachment Parris Island                                           $15,990,000
                     Naval Weapons Station, Charleston                                                        $9,737,000
Texas                Naval Station, Ingleside                                                                $12,200,000
Virginia             Fleet and Industrial Supply Center, Norfolk (Craney Island)                              $1,770,000
                     Fleet Training Center, Norfolk                                                           $5,700,000
                     Naval Air Station, Oceana                                                                $6,400,000
                     Naval Shipyard, Norfolk, Portsmouth                                                      $6,180,000
                     Naval Station, Norfolk                                                                  $45,530,000
                     Naval Surface Warfare Center, Dahlgren                                                  $15,680,000
                     Tactical Training Group Atlantic, Dam Neck                                               $2,430,000
Washington           Naval Shipyard, Puget Sound                                                              $4,300,000
                     Strategic Weapons Facility Pacific, Bremerton                                            $2,750,000
                         Total                                                                              $484,047,000

    (b) OUTSIDE THE UNITED STATES- Using amounts appropriated pursuant to the authorization of appropriations in section 2204(a)(2), the Secretary of the Navy may acquire real property and carry out military construction projects for the installations and locations outside the United States, and in the amounts, set forth in the following table:
Navy: Outside the United States

Country                 Installation or location                              Amount

Greece         Naval Support Activity, Souda Bay                 $5,260,000
Guam           Naval Activities, Guam                           $10,310,000
Italy          Naval Support Activity, Naples                   $18,270,000
United Kingdom Joint Maritime Communications Center, St. Mawgan  $2,010,000
                   Total                                        $35,850,000

SEC. 2202. FAMILY HOUSING.

    (a) CONSTRUCTION AND ACQUISITION- Using amounts appropriated pursuant to the authorization of appropriations in section 2204(a)(5)(A), the Secretary of the Navy may construct or acquire family housing units (including land acquisition) at the installations, for the purposes, and in the amounts set forth in the following table:
Navy: Family Housing

State               Installation or location               Purpose        Amount

California Naval Air Station, Lemoore             162 Units $30,379,000
Hawaii     Navy Public Works Center, Pearl Harbor 150 Units $29,125,000
                                                  Total     $59,504,000

    (b) PLANNING AND DESIGN- Using amounts appropriated pursuant to the authorization of appropriations in section 2204(a)(5)(A), the Secretary of the Navy may carry out architectural and engineering services and construction design activities with respect to the construction or improvement of military family housing units in an amount not to exceed $15,618,000.

SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

    Subject to section 2825 of title 10, United States Code, and using amounts appropriated pursuant to the authorization of appropriations in section 2204(a)(5)(A), the Secretary of the Navy may improve existing military family housing units in an amount not to exceed $221,991,000.

SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

    (a) IN GENERAL- Funds are hereby authorized to be appropriated for fiscal years beginning after September 30, 1998, for military construction, land acquisition, and military family housing functions of the Department of the Navy in the total amount of $1,776,726,000 as follows:
      (1) For military construction projects inside the United States authorized by section 2201(a), $470,547,000.
      (2) For military construction projects outside the United States authorized by section 2201(b), $35,850,000.
      (3) For unspecified minor construction projects authorized by section 2805 of title 10, United States Code, $8,900,000.
      (4) For architectural and engineering services and construction design under section 2807 of title 10, United States Code, $60,346,000.
      (5) For military family housing functions:
        (A) For construction and acquisition, planning and design, and improvement of military family housing and facilities, $297,113,000.
        (B) For support of military housing (including functions described in section 2833 of title 10, United States Code), $915,293,000.
    (b) LIMITATION ON TOTAL COST OF CONSTRUCTION PROJECTS- Notwithstanding the cost variations authorized by section 2853 of title 10, United States Code, and any other cost variation authorized by law, the total cost of all projects carried out under section 2201 of this Act may not exceed--
      (1) the total amount authorized to be appropriated under paragraphs (1) and (2) of subsection (a); and
      (2) $13,500,000 (the balance of the amount authorized under section 2202(a) for the construction of a berthing pier at Naval Station, Norfolk, Virginia.
    (c) ADJUSTMENT- The total amount authorized to be appropriated pursuant to paragraphs (1) through (5) of subsection (a) is the sum of the amounts authorized to be appropriated in such paragraphs, reduced by--
      (1) $6,323,000 which represents the combination of project savings in military family housing construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes; and
      (2) $5,000,000 which represents the combination of project savings in military construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes.

SEC. 2205. AUTHORIZATION TO ACCEPT ROAD CONSTRUCTION PROJECT, MARINE CORPS BASE, CAMP LEJEUNE, NORTH CAROLINA.

    The Secretary of the Navy may accept from the State of North Carolina, a road construction project valued at approximately $2,000,000, which is to be constructed at Marine Corps Base, Camp Lejeune, North Carolina, in accordance with plans and specifications acceptable to the Secretary of the Navy.

TITLE XXIII--AIR FORCE

SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    (a) INSIDE THE UNITED STATES- Using amounts appropriated pursuant to the authorization of appropriations in section 2304(a)(1), the Secretary of the Air Force may acquire real property and carry out military construction projects for the installations and locations inside the United States, and in the amounts, set forth in the following table:
Air Force: Inside the United States

State                         Installation or location                           Amount

Alabama              Maxwell Air Force Base                        $19,398,000
Alaska               Eielson Air Force Base                         $4,352,000
Arizona              Luke Air Force Base                            $3,400,000
California           Edwards Air Force Base                        $10,361,000
                     Travis Air Force Base                          $4,250,000
                     Vandenberg Air Force Base                     $18,709,000
Colorado             Falcon Air Force Station                       $9,601,000
                     United States Air Force Academy                $4,413,000
District of Columbia Bolling Air Force Base                         $2,948,000
Florida              Eglin Air Force Base                          $20,437,000
                     Eglin Auxiliary Field 9                        $3,837,000
                     MacDill Air Force Base                         $9,808,000
                     Tyndall Air Force Base                         $3,600,000
Georgia              Robins Air Force Base                         $11,894,000
Hawaii               Hickam Air Force Base                          $5,890,000
Idaho                Mountain Home Air Force Base                  $16,397,000
Kansas               McConnell Air Force Base                       $4,450,000
Maryland             Andrews Air Force Base                         $4,448,000
Mississippi          Keesler Air Force Base                        $35,526,000
Nevada               Indian Springs Air Force Auxiliary Air Field  $15,013,000
                     Nellis Air Force Base                          $6,378,000
New Jersey           McGuire Air Force Base                         $6,044,000
New Mexico           Holloman Air Force Base                       $11,100,000
                     Kirtland Air Force Base                        $1,774,000
North Carolina       Seymour Johnson Air Force Base                 $6,100,000
North Dakota         Grand Forks Air Force Base                     $2,686,000
Ohio                 Wright-Patterson Air Force Base               $22,000,000
Oklahoma             Altus Air Force Base                           $5,300,000
                     Tinker Air Force Base                         $25,385,000
                     Vance Air Force Base                           $6,223,000
South Carolina       Charleston Air Force Base                     $24,330,000
South Dakota         Ellsworth Air Force Base                       $6,500,000
Tennessee            Arnold Air Force Base                         $11,600,000
Texas                Brooks Air Force Base                          $7,000,000
                     Dyess Air Force Base                           $3,350,000
                     Lackland Air Force Base                       $14,930,000
                     Laughlin Air Force Base                        $7,315,000
                     Randolph Air Force Base                        $3,166,000
Washington           Fairchild Air Force Base                      $13,820,000
                     McChord Air Force Base                        $51,847,000
                        Total                                     $445,580,000

    (b) OUTSIDE THE UNITED STATES- Using amounts appropriated pursuant to the authorization of appropriations in section 2304(a)(2), the Secretary of the Air Force may acquire real property and carry out military construction projects for the installations and locations outside the United States, and in the amounts, set forth in the following table:
Air Force: Outside the United States

Country                 Installation or location         Amount

Germany        Spangdahlem Air Base        $13,967,000
Korea          Kunsan Air Base              $5,958,000
               Osan Air Base                $7,496,000
Turkey         Incirlik Air Base            $2,949,000
United Kingdom Royal Air Force, Lakenheath $15,838,000
               Royal Air Force, Mildenhall $24,960,000
                  Total                    $71,168,000

SEC. 2302. FAMILY HOUSING.

    (a) CONSTRUCTION AND ACQUISITION- Using amounts appropriated pursuant to the authorization of appropriations in section 2304(a)(5)(A), the Secretary of the Air Force may construct or acquire family housing units (including land acquisition) at the installations, for the purposes, and in the amounts set forth in the following table:
Air Force: Family Housing

State               Installation or location        Purpose                  Amount

Alabama    Maxwell Air Force Base          143 Units           $16,300,000
Alaska     Eielson Air Force Base          46 Units            $12,932,000
California Edwards Air Force Base          48 Units            $12,580,000
           Vandenberg Air Force Base       95 Units            $18,499,000
Delaware   Dover Air Force Base            55 Units             $8,998,000
Florida    MacDill Air Force Base          48 Units             $7,609,000
           Patrick Air Force Base          46 Units             $9,692,000
           Tyndall Air Force Base          122 Units           $14,500,000
Nebraska   Offutt Air Force Base           Ancillary Facility     $870,000
           Offutt Air Force Base           Ancillary Facility     $900,000
           Offutt Air Force Base           90 Units            $12,212,000
Nevada     Nellis Air Force Base           60 Units            $10,550,000
New Mexico Kirtland Air Force Base         37 Units             $6,400,000
Ohio       Wright-Patterson Air Force Base 40 Units             $5,600,000
Texas      Dyess Air Force Base            64 Units             $9,415,000
           Sheppard Air Force Base         65 Units             $7,000,000
Washington Fairchild Air Force Base        Ancillary Facility   $1,692,000
           Fairchild Air Force Base        14 Units             $2,300,000
                                             Total            $158,049,000

    (b) PLANNING AND DESIGN- Using amounts appropriated pursuant to the authorization of appropriations in section 2304(a)(5)(A), the Secretary of the Air Force may carry out architectural and engineering services and construction design activities with respect to the construction or improvement of military family housing units in an amount not to exceed $11,342,000.

SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

    Subject to section 2825 of title 10, United States Code, and using amounts appropriated pursuant to the authorization of appropriations in section 2304(a)(5)(A), the Secretary of the Air Force may improve existing military family housing units in an amount not to exceed $81,778,000.

SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

    (a) IN GENERAL- Funds are hereby authorized to be appropriated for fiscal years beginning after September 30, 1998, for military construction, land acquisition, and military family housing functions of the Department of the Air Force in the total amount of $1,577,264,000 as follows:
      (1) For military construction projects inside the United States authorized by section 2301(a), $445,580,000.
      (2) For military construction projects outside the United States authorized by section 2301(b), $71,168,000.
      (3) For unspecified minor construction projects authorized by section 2805 of title 10, United States Code, $7,135,000.
      (4) For architectural and engineering services and construction design under section 2807 of title 10, United States Code, $37,592,000.
      (5) For military housing functions:
        (A) For construction and acquisition, planning and design, and improvement of military family housing and facilities, $251,169,000.
        (B) For support of military family housing (including the functions described in section 2833 of title 10, United States Code), $785,204,000.
    (b) LIMITATION ON TOTAL COST OF CONSTRUCTION PROJECTS- Notwithstanding the cost variations authorized by section 2853 of title 10, United States Code, and any other cost variation authorized by law, the total cost of all projects carried out under section 2301 of this Act may not exceed the total amount authorized to be appropriated under paragraphs (1) and (2) of subsection (a).
    (c) ADJUSTMENT- The total amount authorized to be appropriated pursuant to paragraphs (1) through (5) of subsection (a) is the sum of the amounts authorized to be appropriated in such paragraphs, reduced by--
      (1) $9,584,000 which represents the combination of project savings in military family housing construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes; and
      (2) $11,000,000 which represents the combination of project savings in military construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes.

TITLE XXIV--DEFENSE AGENCIES

SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    (a) INSIDE THE UNITED STATES- Using amounts appropriated pursuant to the authorization of appropriations in section 2404(a)(1), the Secretary of Defense may acquire real property and carry out military construction projects for the installations and locations inside the United States, and in the amounts, set forth in the following table:
Defense Agencies: Inside the United States

Agency                                     Installation or location                                               Amount

Chemical Demilitarization         Aberdeen Proving Ground, Maryland                                $186,350,000
                                  Newport Army Depot, Indiana                                      $191,550,000
Defense Logistics Agency          Defense Fuel Support Point, Fort Sill, Oklahoma                    $3,500,000
                                  Defense Fuel Support Point, Jacksonville Annex, Mayport, Florida  $11,020,000
                                  Defense Fuel Support Point, Jacksonville, Florida                 $11,000,000
                                  Defense General Supply Center, Richmond (DLA), Virginia           $10,500,000
                                  Defense Fuels Supply Center, Camp Shelby, Mississippi              $5,300,000
                                  Defense Fuels Supply Center, Elmendorf Air Force Base, Alaska     $19,500,000
                                  Defense Fuels Supply Center, Pope Air Force Base, North Carolina   $4,100,000
                                  Various Locations                                                  $1,300,000
Defense Medical Facilities Office Barksdale Air Force Base, Louisiana                                $3,450,000
                                  Beale Air Force Base, California                                   $3,500,000
                                  Carlisle Barracks, Pennsylvania                                    $4,678,000
                                  Cheatham Annex, Virginia                                          $11,300,000
                                  Edwards Air Force Base, California                                 $6,000,000
                                  Elgin Air Force Base, Florida                                      $9,200,000
                                  Fort Bragg, North Carolina                                         $6,500,000
                                  Fort Hood, Texas                                                  $14,100,000
                                  Fort Stewart/Hunter Army Air Field, Georgia                       $10,400,000
                                  Grand Forks Air Force Base, North Dakota                           $5,600,000
                                  Holloman Air Force Base, New Mexico                                $1,300,000
                                  Keesler Air Force Base, Mississippi                                  $700,000
                                  Marine Corps Air Station, Camp Pendleton, California..             $6,300,000
                                  McChord Air Force Base, Washington                                $20,000,000
                                  Moody Air Force Base, Georgia                                     $11,000,000
                                  Naval Air Station, Pensacola, Florida                             $25,400,000
                                  Naval Hospital, Bremerton, Washington                             $28,000,000
                                  Naval Hospital, Great Lakes, Illinois                              $7,100,000
                                  Naval Station, San Diego, California                               $1,350,000
                                  Naval Submarine Base, Bangor, Washington                           $5,700,000
                                  Travis Air Force Base, California                                  $1,700,000
Defense Education Activity        Marine Corps Base, Camp LeJeune, North Carolina                   $16,900,000
                                  United States Military Academy, West Point, New York               $2,840,000
National Security Agency          Fort Meade, Maryland                                                 $668,000
Special Operations Command        Elgin Auxiliary Field 3, Florida                                   $7,310,000
                                  Elgin Auxiliary Field 9, Florida                                   $2,400,000
                                  Fort Campbell, Kentucky                                           $15,000,000
                                  MacDill Air Force Base, Florida                                    $8,400,000
                                  Naval Amphibious Base, Coronado, California                        $3,600,000
                                  Stennis Space Center, Mississippi                                  $5,500,000
                                      Total                                                        $690,016,000

    (b) OUTSIDE THE UNITED STATES- Using amounts appropriated pursuant to the authorization of appropriations in section 2404(a)(2), the Secretary of Defense may acquire real property and carry out military construction projects for the installations and locations outside the United States, and in the amounts, set forth in the following table:
Defense Agencies: Outside the United States

Agency                                          Installation or location                         Amount

Ballistic Missile Defense Organization Kwajalein Atoll, Kwajalein                   $4,600,000
Defense Logistics Agency               Lajes Field, Azores, Portugal                $7,700,000
Defense Medical Facilities Office      Naval Air Station, Sigonella, Italy          $5,300,000
                                       Royal Air Force, Lakenheath, United Kingdom $10,800,000
Defense Education Activity             Fort Buchanan, Puerto Rico                   $8,805,000
                                       Naval Activities, Guam                      $13,100,000
Special Operations Command             Naval Station, Roosevelt Roads, Puerto Rico  $9,600,000
                                           Total                                   $59,905,000

SEC. 2402. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

    Subject to section 2825 of title 10, United States Code, and using amounts appropriated pursuant to the authorization of appropriation in section 2404(a)(11)(A), the Secretary of Defense may improve existing military family housing units in an amount not to exceed $345,000.

SEC. 2403. ENERGY CONSERVATION PROJECTS.

    Using amounts appropriated pursuant to the authorization of appropriations in section 2404(a)(9), the Secretary of Defense may carry out energy conservation projects under section 2865 of title 10, United States Code.

SEC. 2404. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

    (a) IN GENERAL- Funds are hereby authorized to be appropriated for fiscal years beginning after September 30, 1998, for military construction, land acquisition, and military family housing functions of the Department of Defense (other than the military departments), in the total amount of $2,386,023,000 as follows:
      (1) For military construction projects inside the United States authorized by section 2401(a), $369,966,000.
      (2) For military construction projects outside the United States authorized by section 2401(a), $59,905,000.
      (3) For construction of the Ammunition Demilitarization Facility, Pine Bluff Arsenal, Arkansas authorized by section 2401 of the Military Construction Authorization Act for Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat. 3040), as amended by section 2407 of the Military Construction Authorization Act for Fiscal Year 1996 (division B of Public Law 104-106; 110 Stat. 539), section 2408 of the Military Construction Authorization Act for Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 1982), and section 2405 of this Act, $16,500,000.
      (4) For construction of the Ammunition Demilitarization Facility, Umatilla Army Depot, Oregon, authorized by section 2401 of the Military Construction Authorization Act for Fiscal Year 1995, as amended by section 2407 of the Military Construction Authorization Act for Fiscal Year 1996, section 2408 of the Military Construction Authorization Act for Fiscal Year 1998, and section 2405 of this Act, $50,950,000.
      (5) For military construction projects at Portsmouth Naval Hospital, Virginia, hospital replacement, authorized by section 2401(a) of the Military Construction Authorization Act for Fiscal Years 1990 and 1991 (division B of Public Law 101-189; 106 Stat. 1640), as amended by section 2406 of this Act, $17,954,000.
      (6) For unspecified minor construction projects under section 2805 of title 10, United States Code, $16,094,000.
      (7) For contingency construction projects of the Secretary of Defense under section 2804 of title 10, United States Code, $4,890,000.
      (8) For architectural and engineering services and construction design under section 2807 of title 10, United States Code, $39,866,000.
      (9) For energy conservation projects authorized by section 2404, $46,950,000.
      (10) For base closure and realignment activities as authorized by the Defense Base Closure and Realignment Act of 1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note), $1,730,704,000.
      (11) For military family housing functions:
        (A) For improvement of military family housing and facilities, $345,000.
        (B) For support of military housing (including functions described in section 2833 of title 10, United States Code), $36,899,000 of which not more than $31,139,000 may be obligated or expended for the leasing of military family housing units worldwide.
        (C) For credit to the Department of Defense Family Housing Improvement Fund established by section 2883(a)(1) of title 10, United States Code, $7,000,000.
    (b) LIMITATION OF TOTAL COST OF CONSTRUCTION PROJECTS- Notwithstanding the cost variation authorized by section 2853 of title 10, United States Code, and any other cost variations authorized by law, the total cost of all projects carried out under section 2401 of this Act may not exceed--
      (1) the total amount authorized to be appropriated under paragraphs (1) and (2) of subsection (a);
      (2) $162,050,000 (the balance of the amount authorized under section 2401(a) for the construction of the Ammunition Demilitarization Facility at Newport Army Depot, Indiana); and
      (3) $158,000,000 (the balance of the amount authorized under section 2401(a) for the construction of the Ammunition Demilitarization Facility at Aberdeen Proving Ground, Maryland).
    (c) ADJUSTMENT- The total amount authorized to be appropriated pursuant to paragraphs (1) through (11) of subsection (a) is the sum of the amounts authorized to be appropriated in such paragraphs, reduced by $12,000,000, which represents the combination of project savings in military construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes.

SEC. 2405. INCREASE IN FISCAL YEAR 1995 AUTHORIZATION FOR MILITARY CONSTRUCTION PROJECTS AT PINE BLUFF ARSENAL, ARKANSAS, AND UMATILLA ARMY DEPOT, OREGON.

    The table in section 2401 of the Military Construction Authorization Act for Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat. 3040), as amended by section 2407 of the Military Construction Authorization Act for Fiscal Year 1996 (division B of Public Law 104-106; 110 Stat. 539) and section 2408 of the Military Construction Authorization Act for Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 1982), under the agency heading relating to Chemical Weapons and Munitions Destruction, is amended--
      (1) in the item relating to Pine Bluff Arsenal, Arkansas, by striking out $134,000,000' in the amount column and inserting in lieu thereof `$154,400,000'; and
      (2) in the item relating to Umatilla Army Depot, Oregon, by striking out `$187,000,000' in the amount column and inserting in lieu thereof `$193,377,000'.

SEC. 2406. INCREASE IN FISCAL YEAR 1990 AUTHORIZATION FOR MILITARY CONSTRUCTION PROJECT AT PORTSMOUTH NAVAL HOSPITAL, VIRGINIA.

    (a) INCREASE- The table in section 2401(a) of the Military Construction Authorization Act for Fiscal Years 1990 and 1991 (division B of Public Law 100-189; 103 Stat. 1640) is amended in the item relating to Portsmouth Naval Hospital, Virginia, by striking out `$330,000,000' and inserting in lieu thereof `$351,354,000'.
    (b) CONFORMING AMENDMENT- Section 2405(b)(2) of that Act (103 Stat. 1642) is amended by striking out `$321,500,000' and inserting in lieu thereof `$342,854,000'.

TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT PROGRAM

SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    The Secretary of Defense may make contributions for the North Atlantic Treaty Organization Security Investment program as provided in section 2806 of title 10, United States Code, in an amount not to exceed the sum of the amount authorized to be appropriated for this purpose in section 2502 and the amount collected from the North Atlantic Treaty Organization as a result of construction previously financed by the United States.

SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.

    Funds are hereby authorized to be appropriated for fiscal years beginning after September 30, 1998, for contributions by the Secretary of Defense under section 2806 of title 10, United States Code, for the share of the United States of the cost of projects for the North Atlantic Treaty Organization Security Investment program authorized by section 2501, in the amount of $169,000,000.

TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    (a) AUTHORIZATION OF APPROPRIATIONS- There are authorized to be appropriated for fiscal years beginning after September 30, 1998, for the costs of acquisition, architectural and engineering services, and construction of facilities for the Guard and Reserve Forces, and for contributions therefor, under chapter 1803 of title 10, United States Code (including the cost of acquisition of land for those facilities), the following amounts:
      (1) For the Department of the Army--
        (A) for the Army National Guard of the United States, $70,338,000; and
        (B) for the Army Reserve, $84,608,000.
      (2) For the Department of the Navy, for the Naval and Marine Corps Reserve, $33,721,000.
      (3) For the Department of the Air Force--
        (A) for the Air National Guard of the United States, $97,701,000; and
        (B) for the Air Force Reserve, $35,371,000.
    (b) ADJUSTMENT- (1) The amount authorized to be appropriated pursuant to subsection (a)(1)(A) is reduced by $2,000,000, which represents the combination of project savings in military construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes.
    (2) The amount authorized to be appropriated pursuant to subsection (a)(3)(A) is reduced by $4,000,000, which represents the combination of project savings in military construction resulting from favorable bids, reduced overhead costs, and cancellations due to force structure changes.

SEC. 2602. ARMY RESERVE CONSTRUCTION PROJECT, SALT LAKE CITY, UTAH.

    (a) COST SHARE REQUIREMENT- With regard to the military construction project for the Army Reserve concerning construction of a reserve center and organizational maintenance shop at an appropriate site in, or in the vicinity of, Salt Lake City, Utah, to be carried out using funds appropriated pursuant to the authorization of appropriations in section 2601(a)(1)(B), the Secretary of the Army shall enter into an agreement with the State of Utah under which the State agrees to provide financial or in-kind contributions in connection with the project.
    (b) REPEAL OF SUPERSEDED AUTHORITY- (1) Section 2603 of the Military Construction Authorization Act for Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 1983) is repealed.
    (2) Section 2601(a)(1)(B) of such Act is amended by striking out `$66,267,000' and inserting in lieu thereof `$53,553,000'.

TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED TO BE SPECIFIED BY LAW.

    (a) EXPIRATION OF AUTHORIZATIONS AFTER THREE YEARS- Except as provided in subsection (b), all authorizations contained in titles XXI through XXVI for military construction projects, land acquisition, family housing projects and facilities, and contributions to the North Atlantic Treaty Organization Security Investment program (and authorizations of appropriations therefor) shall expire on the later of--
      (1) October 1, 2001; or
      (2) the date of enactment of an Act authorizing funds for military construction for fiscal year 2002.
    (b) EXCEPTION- Subsection (a) shall not apply to authorizations for military construction projects, land acquisition, family housing projects and facilities, and contributions to the North Atlantic Treaty Organization Security Investment program (and authorizations of appropriations
therefor), for which appropriated funds have been obligated before the later of--
      (1) October 1, 2001; or
      (2) the date of enactment of an Act authorizing funds for fiscal year 2002 for military construction projects, land acquisition, family housing projects and facilities, or contributions to the North Atlantic Treaty Organization Security Investment program.

SEC. 2702. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1996 PROJECTS.

    (a) EXTENSIONS- Notwithstanding section 2701 of the Military Construction Authorization Act for Fiscal Year 1996 (division B of Public Law 104-106; 110 Stat. 541), authorizations for the projects set forth in the tables in subsection (b), as provided in sections 2201, 2302, or 2601 of that Act, shall remain in effect until October 1, 1999, or the date of enactment of an Act authorizing funds for military construction for fiscal year 2000, whichever is later.
    (b) TABLES- The tables referred to in subsection (a) are as follows:
Navy: Extension of 1996 Project Authorization

State                Installation or location      Project          Amount

Puerto Rico Naval Station Roosevelt Roads Housing Office $710,000

Air Force: Extension of 1996 Project Authorization

State          Installation or location Project                        Amount

Texas Lackland Air Force Base  Family Housing (67  units) $6,200,000

Army National Guard: Extension of 1996 Project Authorization

State                Installation or location Project                                  Amount

Mississippi Camp Shelby              Multipurpose Range Complex (Phase I) $5,000,000

SEC. 2703. EXTENSION OF AUTHORIZATION OF FISCAL YEAR 1995 PROJECT.

    (a) EXTENSION- Notwithstanding section 2701 of the Military Construction Authorization Act for Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat. 3046), the authorization for the project set forth in the table in subsection (b), as provided in section 2201 of that Act and extended by section 2702 of the Military Construction Authorization Act for Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 1985), shall remain in effect until October 1, 1999, or the date of enactment of an Act authorizing funds for military construction for fiscal year 2000, whichever is later.
    (b) TABLE- The table referred to in subsection (a) is as follows:
Navy: Extension of 1995 Project Authorization

State             Installation or location                 Project                                  Amount

Maryland Indian Head Naval Surface Warfare Center Denitrification/Acid Mixing Facility $6,400,000

SEC. 2704. EFFECTIVE DATE.

    Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI shall take effect on the later of--
      (1) October 1, 1998; or
      (2) the date of enactment of this Act.

TITLE XXVIII--GENERAL PROVISIONS

Subtitle A--Military Construction Program and Military Family Housing Changes

SEC. 2801. DEFINITION OF ANCILLARY SUPPORTING FACILITIES UNDER THE ALTERNATIVE AUTHORITY FOR ACQUISITION AND IMPROVEMENT OF MILITARY HOUSING.

    Section 2871(1) of title 10, United States Code, is amended by inserting after `including' the following: `facilities to provide or support elementary or secondary education,'.

Subtitle B--Real Property and Facilities Administration

SEC. 2811. RESTORATION OF DEPARTMENT OF DEFENSE LANDS USED BY ANOTHER FEDERAL AGENCY.

    (a) INCLUSION OF RESTORATION AS CONTRACT TERM- Section 2691 of title 10, United States Code, is amended by adding at the end the following new subsection:
    `(c) As a condition of any lease, permit, license, or other grant of access entered into by the Secretary of a military department with another Federal agency authorizing the other agency to use lands under the control of the Secretary, the Secretary may require the other agency to agree to remove any improvements and to take any other action necessary in the judgment of the Secretary to restore the land used by the agency to the condition the land was in before its use by the agency. In lieu of performing the work itself, the Federal agency may elect, with the consent of the Secretary, to reimburse the Secretary for the costs incurred by the military department to perform the removal and restoration work.'.
    (b) CLERICAL AMENDMENTS- (1) The heading of such section is amended to read as follows:

`Sec. 2691. Restoration of land used by permit or lease'.

    (2) The table of sections at the beginning of chapter 159 of title 10, United States Code, is amended by striking the item relating to section 2691 and inserting in lieu thereof the following new item:
      `2691. Restoration of land used by permit or lease.'.

SEC. 2812. OUTDOOR RECREATION DEVELOPMENT ON MILITARY INSTALLATIONS FOR DISABLED VETERANS, MILITARY DEPENDENTS WITH DISABILITIES, AND OTHER PERSONS WITH DISABILITIES.

    (a) ACCESS ENHANCEMENT- Section 103 of the Sikes Act (16 U.S.C. 670c) is amended by adding at the end the following new subsections:
    `(b) ACCESS FOR DISABLED VETERANS, MILITARY DEPENDENTS WITH DISABILITIES, AND OTHER PERSONS WITH DISABILITIES- (1) In developing facilities and conducting programs for public outdoor recreation at military installations, consistent with the primary military mission of the installations, the Secretary of Defense shall ensure, to the maximum extent practicable, that outdoor recreation opportunities (including fishing, hunting, trapping, wildlife viewing, boating, and camping) made available to the public also provide equal access for persons described in paragraph (2) when topographic, vegetative, and water resources allow equal access without substantial modification to the natural environment.
    `(2) Persons referred to in paragraph (1) are disabled veterans, military dependents with disabilities, and other persons with disabilities.
    `(3) The Secretary of Defense shall carry out this subsection in consultation with the Secretary of Veterans Affairs, national service, military, and veterans organizations, and sporting organizations in the private sector that participate in outdoor recreation projects for persons described in paragraph (2).
    `(c) ACCEPTANCE OF DONATIONS- In connection with the facilities and programs for public outdoor recreation at military installations, in particular the requirement under subsection (b) to provide equal access for persons described in paragraph (2) of such subsection, the Secretary of Defense may accept--
      `(1) the voluntary services of individuals and organizations; and
      `(2) donations of money or property, whether real, personal, mixed, tangible, or intangible.
    `(d) TREATMENT OF VOLUNTEERS- A volunteer under subsection (c) shall not be considered to be a Federal employee and shall not be subject to the provisions of law relating to Federal employment, including those relating to hours of work, rates of compensation, leave, unemployment compensation, and Federal employee benefits, except that--
      `(1) for the purposes of the tort claims provisions of chapter 171 of title 28, United States Code, the volunteer shall be considered to be a Federal employee; and
      `(2) for the purposes of subchapter I of chapter 81 of title 5, United States Code, relating to compensation to Federal employees for work injuries, the volunteer shall be considered to be an employee, as defined in section 8101(1)(B) of title 5, United States Code, and the provisions of such subchapter shall apply.'.
    (b) CONFORMING AMENDMENT- Such section is further amended by striking out `SEC. 103.' and inserting in lieu thereof the following:

`SEC. 103. PROGRAM FOR PUBLIC OUTDOOR RECREATION.

    `(a) PROGRAM AUTHORIZED- '.

SEC. 2813. REPORT ON USE OF UTILITY SYSTEM CONVEYANCE AUTHORITY.

    (a) REPORT REQUIRED- Not later than March 1, 1999, the Secretary of each military department shall submit to Congress a report containing--
      (1) the criteria to be used by the Secretary to select utility systems, and related real property, under the jurisdiction of the Secretary for conveyance to a municipal, private, regional, district, or cooperative utility company or other entity under the authority of section 2688 of title 10, United States Code; and
      (2) a description of the manner in which the Secretary will ensure that any such conveyance does not adversely affect the national security of the United States.
    (b) LIST OF LIKELY SYSTEMS FOR CONVEYANCE- The report submitted by the Secretary of a military department under subsection (a) shall also contain a list of the utility systems, including the locations of the utility systems, that, as of the date of the submission of the report, the Secretary considers are likely to be conveyed under the authority of section 2688 of title 10, United States Code.

Subtitle C--Defense Base Closure and Realignment

SEC. 2821. PAYMENT OF STIPULATED PENALTIES ASSESSED UNDER THE COMPREHENSIVE ENVIRONMENTAL RESPONSE, COMPENSATION, AND LIABILITY ACT OF 1980 IN CONNECTION WITH MCCLELLAN AIR FORCE BASE, CALIFORNIA.

    (a) SOURCE OF PAYMENT- Notwithstanding subsection (b) of section 2906(a) of the Defense Base Closure and Realignment Act of 1990 (part A of Title XXIX of Public Law 101-510; 10 U.S.C. 2687 note), the Secretary of Defense may use amounts in the Department of Defense Base Closure Account 1990 established under subsection (a) of such section to pay stipulated penalties assessed under the Comprehensive Environmental Response Compensation
and Liability Act (42 U.S.C. 9601 et seq.) against McClellan Air Force Base, California.
    (b) AMOUNT OF PAYMENT- The amount expended under the authority of subsection (a) may not exceed $15,000.

SEC. 2822. ELIMINATION OF WAIVER AUTHORITY REGARDING PROHIBITION AGAINST CERTAIN CONVEYANCES OF PROPERTY AT NAVAL STATION, LONG BEACH, CALIFORNIA.

    Section 2826 of the Military Construction Authorization Act for Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 2001) is amended by striking out subsection (e).

Subtitle D--Land Conveyances

PART I--ARMY CONVEYANCES

SEC. 2831. LAND CONVEYANCE, ARMY RESERVE CENTER, MASSENA, NEW YORK.

    (a) CONVEYANCE AUTHORIZED- The Secretary of the Army may convey, without consideration, to the Village of Massena, New York (in this section referred to as the `Village'), all right, title, and interest of the United States in and to a parcel of real property (including improvements thereon) consisting of the Army Reserve Center in Massena, New York, for the purpose of permitting the Village to develop the parcel for public benefit, including the development of municipal office space.
    (b) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the real property to be conveyed under subsection (a) shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the Village.
    (c) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.

SEC. 2832. LAND CONVEYANCE, ARMY RESERVE CENTER, OGDENSBURG, NEW YORK.

    (a) CONVEYANCE AUTHORIZED- The Secretary of the Army may convey, without consideration, to the City of Ogdensburg, New York (in this section referred to as the `City'), all right, title, and interest of the United States in and to a parcel of real property (including improvements thereon) consisting of the Army Reserve Center in Ogdensburg, New York, for the purpose of permitting the City to develop the parcel for public benefit, including the development of municipal office space.
    (b) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the real property to be conveyed under subsection (a) shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the City.
    (c) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.

SEC. 2833. LAND CONVEYANCE, ARMY RESERVE CENTER, JAMESTOWN, OHIO.

    (a) CONVEYANCE AUTHORIZED- The Secretary of the Army may convey, without consideration, to the Greeneview Local School District of Jamestown, Ohio, all right, title, and interest of the United States in and to a parcel of excess Federal real property, including improvements thereon, that is located at 5693 Plymouth Road in Jamestown, Ohio, and contains an Army Reserve Center.
    (b) PURPOSE OF CONVEYANCE- The purpose of the conveyance under subsection (a) is to permit the Greeneview Local School District to retain and use the conveyed property for the benefit of the students of Greeneview schools.
    (c) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the real property to be conveyed under subsection (a) shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the Greeneview Local School District.
    (d) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.

SEC. 2834. LAND CONVEYANCE, STEWART ARMY SUB-POST, NEW WINDSOR, NEW YORK.

    (a) CONVEYANCE AUTHORIZED- The Secretary of the Army may convey, without consideration, to the Town of New Windsor, New York (in this section referred to as the `Town'), all right, title, and interest of the United States in and to a parcel of real property, including any improvements thereon, consisting of approximately 291 acres at the Stewart Army Sub-Post in New Windsor, New York.
    (b) EXCLUSION- The real property to be conveyed under subsection (a) does not include any portion of the approximately 89.2-acre parcel at Stewart Army Sub-Post that is proposed for transfer to the jurisdiction and control of the Marine Corps or the approximately 22-acre parcel at Stewart Army Sub-Post that is proposed for transfer to the jurisdiction and control of the Army Reserve.
    (c) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the real property to be conveyed
under subsection (a) shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the Town.
    (d) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.

SEC. 2835. LAND CONVEYANCE, INDIANA ARMY AMMUNITION PLANT, CHARLESTOWN, INDIANA.

    (a) CONVEYANCE AUTHORIZED- The Secretary of the Army may convey to the Indiana Army Ammunition Plant Reuse Authority (in this section referred to as the `Reuse Authority') all right, title, and interest of the United States in and to a parcel of real property, including improvements thereon, consisting of approximately 4660 acres located at the Indiana Army Ammunition Plant, Charlestown, Indiana, for the purpose of developing the parcel as an industrial park to replace all or part of the economic activity lost at the inactivated plant.
    (b) CONSIDERATION- Except as provided in subsection (d), as consideration for the conveyance under subsection (a), the Reuse Authority shall pay to the Secretary an amount equal to the fair market value of the conveyed property as of the time of the conveyance, determined by the Secretary in accordance with Federal appraisal standards and procedures.
    (c) TIME FOR PAYMENT- The consideration required under subsection (b) shall be paid by the Reuse Authority at the end of the 10-year period beginning on the date on which the conveyance under subsection (a) is completed.
    (d) EFFECT OF RECONVEYANCE OR LEASE- (1) If, during the 10-year period specified in subsection (c), the Reuse Authority reconveys all or any part of the property conveyed under subsection (a), the Reuse Authority shall pay to the United States an amount equal to the fair market value of the reconveyed property as of the time of the reconveyance, excluding the value of any improvements made to the property by the Reuse Authority, determined by the Secretary in accordance with Federal appraisal standards and procedures.
    (2) The Secretary may treat a lease of the property within such 10-year period as a reconveyance if the Secretary determines that the lease is being used to avoid application of paragraph (1).
    (e) DEPOSIT OF PROCEEDS- The Secretary shall deposit any proceeds received under subsection (b) or (d) in the special account established pursuant to section 204(h)(2) of the Federal Property and Administrative Services Act of 1949 (40 U.S.C. 485(h)(2)).
    (f) ADMINISTRATIVE EXPENSES- In connection with the conveyance under subsection (a), the Secretary may accept amounts provided by the Reuse Authority or other persons to cover administrative expenses incurred by the Secretary in making the conveyance. Amounts received under this subsection for administrative expenses shall be credited to the appropriation, fund, or account from which the expenses were paid and shall be available, to the extent provided in appropriation Acts, for the same purposes and subject to the same limitations as other funds in such appropriation, fund, or account.
    (g) DESCRIPTION OF PROPERTY- The property to be conveyed under subsection (a) includes the administrative area of the Indiana Army Ammunition Plant as well as open space in the southern end of the plant. The exact acreage and legal description of the property to be conveyed shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the Reuse Authority.
    (h) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.
    (i) ADDITIONAL CONVEYANCE FOR RECREATIONAL PURPOSES- Section 2858(a) of the National Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 571), as amended by section 2838 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2006), is further amended by adding at the end the following new paragraph:
    `(3) The Secretary may also convey to the State, without consideration, another parcel of real property at the Indiana Army Ammunition Plant consisting of approximately 2,000 acres of additional riverfront property in order to connect the parcel conveyed under paragraph (2) with the parcels of Charlestown State Park conveyed to the State under paragraph (1) and title II of the Defense Authorization Amendments and Base Closure and Realignment Act (Public Law 100-526; 10 U.S.C. 2687 note).'.

SEC. 2836. LAND CONVEYANCE, VOLUNTEER ARMY AMMUNITION PLANT, CHATTANOOGA, TENNESSEE.

    (a) CONVEYANCE AUTHORIZED- The Secretary of the Army may convey to Hamilton County, Tennessee (in this section referred to as the `County'), all right, title, and interest of the United States in and to a parcel of real property, including improvements thereon, consisting of approximately 1033 acres located at the Volunteer Army Ammunition Plant, Chattanooga, Tennessee, for the purpose of
developing the parcel as an industrial park to replace all or part of the economic activity lost at the inactivated plant.
    (b) CONSIDERATION- Except as provided in subsection (d), as consideration for the conveyance under subsection (a), the County shall pay to the Secretary an amount equal to the fair market value of the conveyed property as of the time of the conveyance, determined by the Secretary in accordance with Federal appraisal standards and procedures.
    (c) TIME FOR PAYMENT- The consideration required under subsection (b) shall be paid by the County at the end of the 10-year period beginning on the date on which the conveyance under subsection (a) is completed.
    (d) EFFECT OF RECONVEYANCE OR LEASE- (1) If, during the 10-year period specified in subsection (c), the County reconveys all or any part of the property conveyed under subsection (a), the County shall pay to the United States an amount equal to the fair market value of the reconveyed property as of the time of the reconveyance, excluding the value of any improvements made to the property by the County, determined by the Secretary in accordance with Federal appraisal standards and procedures.
    (2) The Secretary may treat a lease of the property within such 10-year period as a reconveyance if the Secretary determines that the lease is being used to avoid application of paragraph (1).
    (e) DEPOSIT OF PROCEEDS- The Secretary shall deposit any proceeds received under subsection (b) or (d) in the special account established pursuant to section 204(h)(2) of the Federal Property and Administrative Services Act of 1949 (40 U.S.C. 485(h)(2)).
    (f) EFFECT ON EXISTING LEASES- The conveyance of the real property under subsection (a) shall not affect the terms or length of any contract entered into by the Secretary before the date of the enactment of this Act with regard to the property to be conveyed.
    (g) ADMINISTRATIVE EXPENSES- In connection with the conveyance under subsection (a), the Secretary may accept amounts provided by the County or other persons to cover administrative expenses incurred by the Secretary in making the conveyance. Amounts received under this subsection for administrative expenses shall be credited to the appropriation, fund, or account from which the expenses were paid and shall be available, to the extent provided in appropriation Acts, for the same purposes and subject to the same limitations as other funds in such appropriation, fund, or account.
    (h) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the property to be conveyed under subsection (a) shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the County.
    (i) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.

SEC. 2837. RELEASE OF REVERSIONARY INTEREST OF UNITED STATES IN FORMER REDSTONE ARMY ARSENAL PROPERTY CONVEYED TO ALABAMA SPACE SCIENCE EXHIBIT COMMISSION.

    (a) RELEASE AUTHORIZED- The Secretary of the Army may release, without consideration and to such extent as the Secretary considers appropriate to protect the interests of the United States, the reversionary interests of the United States in the real property described in subsection (b), which were retained by the United States when the property was conveyed to the Alabama Space Science Exhibit Commission, an agency of the State of Alabama. The release shall be executed in the manner provided in this section.
    (b) DESCRIPTION OF PROPERTY- The real property referred to in this section is the real property conveyed to the Alabama Space Science Exhibit Commission under the authority of the following provisions of law:
      (1) The first section of Public Law 90-276 (82 Stat. 68).
      (2) Section 813 of the Military Construction Authorization Act, 1980 (Public Law 96-125; 93 Stat. 952).
      (3) Section 813 of the Military Construction Authorization Act, 1984 (Public Law 98-115; 97 Stat. 790).
    (c) RELEASE, WAIVER, OR CONVEYANCE OF OTHER RIGHTS, TERMS, AND CONDITIONS- As part of the release under subsection (a), the Secretary may release, waive, or convey, without consideration and to such extent as the Secretary considers appropriate to protect the interests of the United States--
      (1) any and all other rights retained by the United States in and to the real property described in subsection (b) when the property was conveyed to the Alabama Space Science Exhibit Commission; and
      (2) any and all terms and conditions and restrictions on the use of the real property imposed as part of the conveyances described in subsection (b).
    (d) CONDITIONS ON RELEASE, WAIVER, OR CONVEYANCE- (1) The Secretary may execute the release under
subsection (a) or a release, waiver, or conveyance under subsection (c) only after--
      (A) the Secretary approves of the master plan prepared by the Alabama Space Science Exhibit Commission, as such plan may exist or be revised from time to time, for development of the real property described in subsection (b); and
      (2) the installation commander at Redstone Arsenal, Alabama, certifies to the Secretary that the release, waiver, or conveyance is consistent with the master plan.
    (2) A new facility or structure may not be constructed on the real property described in subsection (b) unless the facility or structure is included in the master plan, which has been approved and certified as provided in paragraph (1).
    (e) INSTRUMENT OF RELEASE, WAIVER, OR CONVEYANCE- In making a release, waiver, or conveyance authorized by this section, the Secretary shall execute and file in the appropriate office or offices a deed of release, amended deed, or other appropriate instrument effectuating the release, waiver, or conveyance.
    (f) EFFECT OF RELEASE- Except as provided in subsection (g), upon release of any reversionary interest under this section, the right, title and interest of the Alabama Space Science Exhibit Commission in and to the real property described in subsection (b) shall, to the extent of the release, no longer be subject to the conditions prescribed in the provisions of law specified in such subsection. Except as provided in subsection (g), the Alabama Space Science Exhibit Commission may use the real property for any such purpose or purposes as it considers appropriate consistent with the master plan approved and certified as provided in subsection (d), and the real property may be conveyed by the Alabama Space Science Exhibit Commission without restriction and unencumbered by any claims or rights of the United States with respect to the property, subject to such rights, terms, and conditions of the United States previously imposed on the real property and not conveyed or released by the Secretary under subsection (c).
    (g) EXCEPTIONS- (1) Conveyance of the drainage and utility easement reserved to the United States pursuant to section 813(b)(3) of the Military Construction Authorization Act, 1984 (Public Law 98-115; 97 Stat. 791), is not authorized under this section.
    (2) In no event may title to any portion of the real property described in subsection (b) be conveyed by the Alabama Space Science Exhibit Commission or any future deed holder of the real property to any person other than an agency, instrumentality, political subdivision, municipal corporation, or public corporation of the State of Alabama, and the land use of such conveyed property may not be changed without the approval of the Secretary.

PART II--NAVY CONVEYANCES

SEC. 2841. EASEMENT, MARINE CORPS BASE, CAMP PENDLETON, CALIFORNIA.

    (a) EASEMENT AUTHORIZED- The Secretary of the Navy may grant an easement, in perpetuity, to the Foothill/Eastern Transportation Corridor Agency (in this section referred to as the `Agency') over a parcel of real property at Marine Corps Base, Camp Pendleton, California, consisting of approximately 340 acres to permit the Recipient of the easement to construct, operate, and maintain a restricted access highway. The area covered by the easement shall include slopes and all necessary incidents thereto.
    (b) CONSIDERATION- As consideration for the conveyance of the easement under subsection (a), the Agency shall pay to the United States an amount equal to the fair market value of the easement, as determined by an independent appraisal satisfactory to the Secretary and paid for by the Agency.
    (c) USE OF PROCEEDS- In such amounts as are provided in advance in appropriation Acts, the Secretary shall use the funds paid by the Agency under subsection (b) to carry out one or more of the following programs at Camp Pendleton:
      (1) Enhancement of access from Red, White, and Green Beach under the I-5 interstate highway and railroad crossings to inland areas.
      (2) Improvement of roads and bridge structures in the range and training area.
      (3) Realignment of Basilone Road.
    (d) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the easement to be conveyed under subsection (a) shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the Agency.
    (e) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the easement under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.

SEC. 2842. LAND CONVEYANCE, NAVAL RESERVE READINESS CENTER, PORTLAND, MAINE.

    (a) CONVEYANCE AUTHORIZED- The Secretary of the Navy may convey to the Gulf of Maine Aquarium Development Corporation, Portland, Maine (in this section referred to as the `Corporation'), all right, title, and interest of the United States in and to a parcel of real property, including improvements thereon and any appurtenant interest in submerged lands thereon, consisting of approximately 3.72 acres in Portland, Maine, which is the site of the Naval Reserve Readiness Center, Portland, Maine.
    (b) PURPOSE- The purpose of the conveyance under subsection (a) is to facilitate economic development in accordance with the plan of the Corporation for the construction of an aquarium and marine research facility in Portland, Maine.
    (c) CONSIDERATION- (1) As consideration for the conveyance authorized by subsection (a), the Corporation shall provide for such facilities as the Secretary determines appropriate for the Naval Reserve to replace the facilities conveyed under that subsection.
    (2) To provide the replacement facilities, the Corporation may--
      (A) convey to the United States a parcel of real property determined by the Secretary to be an appropriate location for the facilities and design and construct the facilities on the conveyed parcel; or
      (B) design and construct the facilities on such parcel of real property under the jurisdiction of the Secretary as the Secretary shall specify.
    (3) The Secretary shall select the form in which the consideration under paragraph (2) will be provided.
    (d) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the real property to be conveyed under subsection (a), and of the real property, if any, to be conveyed under subsection (c), shall be determined by surveys satisfactory to the Secretary. The cost of the surveys shall be borne by the Corporation.
    (e) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interest of the United States.

PART III--AIR FORCE CONVEYANCES

SEC. 2851. LAND CONVEYANCE, LAKE CHARLES AIR FORCE STATION, LOUISIANA.

    (a) CONVEYANCES AUTHORIZED- The Secretary of the Air Force may convey, without consideration, to McNeese State University of Louisiana (in this section referred to as the `University') all right, title, and interest of the United States in and to a parcel of real property (including improvements thereon) consisting of approximately 4.38 at Lake Charles Air Force Station, Louisiana, for the purpose of permitting the University to use the parcel for educational purposes and agricultural research.
    (b) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the real property to be conveyed under subsection (a) shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the University.
    (c) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.

SEC. 2852. LAND CONVEYANCE, AIR FORCE HOUSING FACILITY, LA JUNTA, COLORADO.

    (a) CONVEYANCE REQUIRED- The Secretary of the Air Force may convey, without consideration, to the City of La Junta, Colorado (in this section referred to as the `City'), all right, title, and interest of the United States in and to the unused Air Force housing facility, consisting of approximately 28 acres and improvements thereon, located within the southern most boundary of the City.
    (b) PURPOSE OF CONVEYANCE- The purpose of the conveyance under subsection (a) is to permit the city to develop the conveyed property for housing and educational purposes.
    (c) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the property to be conveyed under subsection (a) shall be determined by a survey satisfactory to the Secretary. The cost of the survey shall be borne by the City.
    (d) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States.

Subtitle E--Other Matters

SEC. 2861. REPEAL OF PROHIBITION ON JOINT USE OF GRAY ARMY AIRFIELD, FORT HOOD, TEXAS, WITH CIVIL AVIATION.

    Section 319 of the National Defense Authorization Act for Fiscal Year 1987 (Public Law 99-661; 100 Stat. 3855) is repealed.

SEC. 2862. DESIGNATION OF BUILDING CONTAINING NAVY AND MARINE CORPS RESERVE CENTER, AUGUSTA, GEORGIA.

    The building containing the Navy and Marine Corps Reserve Center located at 2869 Central Avenue in Augusta, Georgia, shall be known and designated as the `A. James Dyess Building'.

SEC. 2863. EXPANSION OF ARLINGTON NATIONAL CEMETERY.

    (a) LAND TRANSFER, NAVY ANNEX, ARLINGTON, VIRGINIA-
      (1) IN GENERAL- The Secretary of Defense shall provide for the transfer to the Secretary of the Army of administrative jurisdiction over the following parcels of land situated in Arlington, Virginia:
        (A) Certain lands which comprise approximately 26 acres bounded by Columbia Pike to the south and east, Oak Street to the west, and the boundary wall of Arlington National Cemetery to the north including Southgate Road.
        (B) Certain lands which comprise approximately 8 acres bounded by Shirley Memorial Boulevard (Interstate 395) to the south, property of the Virginia Department of Transportation to the west, Columbia Pike to the north, and Joyce Street to the east.
        (C) Certain lands which comprise approximately 2.5 acres bounded by Shirley Memorial Boulevard (Interstate 395) to the south, Joyce Street to the west, Columbia Pike to the north, and the cloverleaf interchange of Route 100 and Columbia Pike to the east.
      (2) USE OF LAND- The Secretary of the Army shall incorporate the parcels of land transferred under paragraph (1) into Arlington National Cemetery.
      (3) REMEDIATION OF LAND FOR CEMETERY USE- Before the transfer of administrative jurisdiction over the parcels of land under paragraph (1), the Secretary of Defense shall provide for the removal of any improvements on the parcels of land and, in consultation with the Superintendent of Arlington National Cemetery, the preparation of the land for use for interment of remains of individuals in Arlington National Cemetery.
      (4) REPORT- Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to Congress a report explaining in detail the measures required to prepare the land for use as a part of Arlington National Cemetery.
      (5) DEADLINE- The Secretary of Defense shall complete the transfer of administrative jurisdiction over the parcels of land under this subsection not later than the earlier of--
        (A) January 1, 2010; or
        (B) the date when those parcels are no longer required (as determined by the Secretary) for use as temporary office space due to the renovation of the Pentagon.
    (b) MODIFICATION OF BOUNDARY OF ARLINGTON NATIONAL CEMETERY- .
      (1) IN GENERAL- The Secretary of the Army shall modify the boundary of Arlington National Cemetery to include the following parcels of land situated in Fort Myer, Arlington, Virginia:
        (A) Certain lands which comprise approximately 5 acres bounded by the Fort Myer Post Traditional Chapel to the southwest, McNair Road to the northwest, the Vehicle Maintenance Complex to the northeast, and the masonry wall of Arlington National Cemetery to the southeast.
        (B) Certain lands which comprise approximately 3 acres bounded by the Vehicle Maintenance Complex to the southwest, Jackson Avenue to the northwest, the water pumping station to the northeast, and the masonry wall of Arlington National Cemetery to the southeast.
      (2) REPORT- Not later than 180 days after the date of the enactment of this Act, the Secretary of the Army shall submit to Congress a report describing additional parcels of land located in Fort Myer, Arlington, Virginia, that may be suitable for use to expand Arlington National Cemetery.
      (3) SURVEY- The Secretary of the Army may determine the exact acreage and legal description of the parcels of land described in paragraph (1) by a survey.

SEC. 2864. REPORTING REQUIREMENTS UNDER DEMONSTRATION PROJECT FOR PURCHASE OF FIRE, SECURITY, POLICE, PUBLIC WORKS, AND UTILITY SERVICES FROM LOCAL GOVERNMENT AGENCIES.

    Section 816(b) of the National Defense Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2820) is amended by striking out `and 1998' and inserting in lieu thereof `through 2000'.

DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND OTHER AUTHORIZATIONS

TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

Subtitle A--National Security Programs Authorizations

SEC. 3101. WEAPONS ACTIVITIES.

    (a) IN GENERAL- Funds are hereby authorized to be appropriated to the Department of Energy for fiscal year 1999 for weapons activities in carrying out programs necessary for national security in the amount of $4,142,100,000, to be allocated as follows:
      (1) STOCKPILE STEWARDSHIP- Funds are hereby authorized to be appropriated to the Department of Energy for fiscal year 1999 for stockpile stewardship in carrying out weapons activities necessary for national security programs in the amount of $2,138,375,000, to be allocated as follows:
        (A) For core stockpile stewardship, $1,591,375,000, to be allocated as follows:
          (i) For operation and maintenance, $1,475,832,000.
          (ii) For plant projects (including maintenance, restoration, planning, construction, acquisition, modification of facilities, and the continuation of projects authorized in prior years, and land acquisition related thereto), $115,543,000, to be allocated as follows:
            Project 99-D-102, rehabilitation of maintenance facility, Lawrence Livermore National Laboratory, Livermore, California, $6,500,000.
            Project 99-D-103, isotope sciences facility, Lawrence Livermore National
Laboratory, Livermore, California, $4,000,000.
            Project 99-D-104, protection of real property (roof reconstruction, Phase II), Lawrence Livermore National Laboratory, Livermore, California, $7,300,000.
            Project 99-D-105, central health physics calibration facility, Los Alamos National Laboratory, Los Alamos, New Mexico, $3,900,000.
            Project 99-D-106, model validation and system certification test center, Sandia National Laboratories, Albuquerque, New Mexico, $1,600,000.
            Project 99-D-107, joint computational engineering laboratory, Sandia National Laboratories, Albuquerque, New Mexico, $1,800,000.
            Project 99-D-108, renovate existing roadways, Nevada Test Site, Nevada, $2,000,000.
            Project 97-D-102, dual-axis radiographic hydrotest facility, Los Alamos National Laboratory, Los Alamos, New Mexico, $36,000,000.
            Project 96-D-102, stockpile stewardship facilities revitalization, Phase VI, various locations, $20,423,000.
            Project 96-D-103, ATLAS, Los Alamos National Laboratory, Los Alamos, New Mexico, $6,400,000.
            Project 96-D-104, processing and environmental technology laboratory, Sandia National Laboratories, Albuquerque, New Mexico, $18,920,000.
            Project 96-D-105, contained firing facility addition, Lawrence Livermore National Laboratory, Livermore, California, $6,700,000.
        (B) For inertial fusion, $498,000,000, to be allocated as follows:
          (i) For operation and maintenance, $213,800,000.
          (ii) For the following plant project (including maintenance, restoration, planning, construction, acquisition, and modification of facilities, and land acquisition related thereto), $284,200,000, to be allocated as follows:
            Project 96-D-111, national ignition facility, Lawrence Livermore National Laboratory, Livermore, California, $284,200,000.
        (C) For technology partnership and education, $49,000,000, to be allocated as follows:
          (i) For technology partnership, $40,000,000.
          (ii) For education, $9,000,000.
      (2) STOCKPILE MANAGEMENT- Funds are hereby authorized to be appropriated to the Department of Energy for fiscal year 1999 for stockpile management in carrying out weapons activities necessary for national security programs in the amount of $2,134,625,000, to be allocated as follows:
        (A) For operation and maintenance, $2,019,303,000.
        (B) For plant projects (including maintenance, restoration, planning, construction, acquisition, modification of facilities, and the continuation of projects authorized in prior years, and land acquisition related thereto), $115,322,000, to be allocated as follows:
          Project 99-D-122, rapid reactivation, various locations, $11,200,000.
          Project 99-D-123, replace mechanical utility systems Y-12, Oak Ridge, Tennessee, $1,900,000.
          Project 99-D-125, replace boilers and controls, Kansas City Plant, Kansas City, Missouri, $1,000,000.
          Project 99-D-127, stockpile management restructuring initiative, Kansas City Plant, Kansas City, Missouri, $13,700,000.
          Project 99-D-128, stockpile management restructuring initiative, Pantex consolidation, Amarillo, Texas, $1,108,000.
          Project 99-D-132, stockpile management restructuring initiative, nuclear material safeguards and security upgrades project, Los Alamos National Laboratory, Los Alamos, New Mexico, $9,700,000.
          Project 98-D-123, stockpile management restructuring initiative, tritium factory modernization and consolidation, Savannah River Site, Aiken, South Carolina, $27,500,000.
          Project 98-D-124, stockpile management restructuring initiative, Y-12 Plant consolidation, Oak Ridge, Tennessee, $10,700,000.
          Project 97-D-122, nuclear materials storage facility renovation, Los Alamos National Laboratory, Los Alamos, New Mexico, $9,164,000.
          Project 97-D-123, structural upgrades, Kansas City Plant, Kansas City, Missouri, $6,400,000.
          Project 96-D-122, sewage treatment quality upgrade (STQU), Pantex Plant, Amarillo, Texas, $3,700,000.
          Project 95-D-102, chemistry and metallurgy research (CMR) upgrades project, Los Alamos National Laboratory, Los Alamos, New Mexico, $16,000,000.
          Project 93-D-122, life safety upgrades, Y-12 Plant, Oak Ridge, Tennessee, $3,250,000.
      (3) PROGRAM DIRECTION- Funds are hereby authorized to be appropriated to the Department of Energy for fiscal year 1999 for program direction in carrying out weapons activities necessary for national security programs in the amount of $240,000,000.
    (b) ADJUSTMENTS-
      (1) CONSTRUCTION- The total amount authorized to be appropriated pursuant to paragraphs (1)(A)(ii), (1)(B)(ii), and (2)(B) of subsection (a) is the sum of the amounts authorized to be appropriated in those paragraphs, reduced by the sum of $30,000,000.
      (2) NON-CONSTRUCTION- The total amount authorized to be appropriated pursuant to paragraphs (1)(A)(i), (1)(B)(i), (1)(C), (2)(A), and (3) of subsection (a) is the sum of the amounts authorized to be appropriated in those paragraphs, reduced by the sum of $340,900,000, to be derived from use of prior year balances.

SEC. 3102. DEFENSE ENVIRONMENTAL RESTORATION AND WASTE MANAGEMENT.

    (a) IN GENERAL- Funds are hereby authorized to be appropriated to the Department of Energy for fiscal year 1999 for environmental restoration and waste management in carrying out programs necessary for national security in the amount of $5,706,650,000, to be allocated as follows:
      (1) CLOSURE PROJECTS- For closure projects carried out in accordance with section 3143 of the National Defense Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2836; 42 U.S.C. 7274n) in the amount of $1,046,240,000.
      (2) PRIVATIZATION- For privatization projects in carrying out environmental restoration and waste management activities necessary for national security programs in the amount of $286,857,000.
      (3) SITE PROJECT AND COMPLETION- For site project and completion in carrying out environmental restoration and waste management activities necessary for national security programs in the amount of $1,085,253,000, to be allocated as follows:
        (A) For operation and maintenance, $886,090,000.
        (B) For plant projects (including maintenance, restoration, planning, construction, acquisition, modification of facilities, and the continuation of projects authorized in prior years, and land acquisition related thereto), $199,163,000, to be allocated as follows:
          Project 99-D-402, tank farm support services, F&H areas, Savannah River Site, Aiken, South Carolina, $2,745,000.
          Project 99-D-404, health physics instrumentation laboratory, Idaho National Engineering Laboratory, Idaho, $950,000.
          Project 98-D-401, H-tank farm storm water systems upgrade, Savannah River Site, Aiken, South Carolina, $3,120,000.
          Project 98-D-453, plutonium stabilization and handling system for plutonium finishing plant, Richland, Washington, $26,814,000.
          Project 98-D-700, road rehabilitation, Idaho National Engineering Laboratory, Idaho, $7,710,000.
          Project 97-D-450, Actinide packaging and storage facility, Savannah River Site, Aiken, South Carolina, $79,184,000.
          Project 97-D-470, environmental monitoring laboratory, Savannah River Site, Aiken, South Carolina, $7,000,000.
          Project 96-D-406, spent nuclear fuels canister storage and stabilization facility, Richland, Washington, $38,680,000.
          Project 96-D-408, waste management upgrades, Kansas City Plant, Kansas City,
Missouri, and Savannah River Site, Aiken, South Carolina, $4,512,000.
          Project 96-D-464, electrical and utility systems upgrade, Idaho Chemical Processing Plant, Idaho National Engineering Laboratory, Idaho, $11,544,000.
          Project 96-D-471, chlorofluorocarbon heating, ventilation, and air conditioning and chiller retrofit, Savannah River Site, Aiken, South Carolina, $8,000,000.
          Project 95-D-456, security facilities consolidation, Idaho Chemical Processing Plant, Idaho National Engineering Laboratory, Idaho, $485,000.
          Project 92-D-140, F&H canyon exhaust upgrades, Savannah River Site, Aiken, South Carolina, $3,667,000.
          Project 86-D-103, decontamination and waste treatment facility, Lawrence Livermore National Laboratory, Livermore, California, $4,752,000.
      (4) POST-2006 COMPLETION- For post-2006 project completion in carrying out environmental restoration and waste management activities necessary for national security programs in the amount of $2,765,451,000, to be allocated as follows:
        (A) For operation and maintenance, $2,684,195,000.
        (B) For plant projects (including maintenance, restoration, planning, construction, acquisition, modification of facilities, and the continuation of projects authorized in prior years, and land acquisition related thereto), $81,256,000, to be allocated as follows:
          Project 99-D-403, privatization phase I infrastructure support, Richland, Washington, $14,800,000.
          Project 97-D-402, tank farm restoration and safe operations, Richland, Washington, $22,723,000.
          Project 96-D-408, waste management upgrades, Richland, Washington, $171,000.
          Project 94-D-407, initial tank retrieval systems, Richland, Washington, $32,860,000.
          Project 93-D-187, high-level waste removal from filled waste tanks, Savannah River Site, Aiken, South Carolina, $10,702,000.
      (5) SCIENCE AND TECHNOLOGY- For science and technology in carrying out environmental restoration and waste management activities necessary for national security programs in the amount of $270,750,000.
      (6) PROGRAM DIRECTION- For program direction in carrying out environmental restoration and waste management activities necessary for national security programs in the amount of $346,199,000.
    (b) ADJUSTMENT- The total amount authorized to be appropriated pursuant to paragraphs (1), (3)(A), (4)(A), (5), and (6) of subsection (a) is the sum of the amounts authorized to be appropriated in those paragraphs, reduced by the sum of $94,100,000, to be derived from use of prior year balances.

SEC. 3103. OTHER DEFENSE ACTIVITIES.

    (a) IN GENERAL- Funds are hereby authorized to be appropriated to the Department of Energy for fiscal year 1999 for other defense activities in carrying out programs necessary for national security in the amount of $1,720,760,000, to be allocated as follows:
      (1) NONPROLIFERATION AND NATIONAL SECURITY- For nonproliferation and national security, $693,900,000, to be allocated as follows:
        (A) For verification and control technology, $500,500,000, to be allocated as follows:
          (i) For nonproliferation and verification research and development, $210,000,000.
          (ii) For arms control, $256,900,000.
          (iii) For intelligence, $33,600,000.
        (B) For nuclear safeguards and security, $53,200,000.
        (C) For security investigations, $30,000,000.
        (D) For emergency management, $21,300,000.
        (E) For program direction, $88,900,000.
      (2) WORKER AND COMMUNITY TRANSITION ASSISTANCE- For worker and community transition assistance, $45,000,000, to be allocated as follows:
        (A) For worker and community transition, $41,000,000.
        (B) For program direction, $4,000,000.
      (3) FISSILE MATERIALS CONTROL AND DISPOSITION- For fissile materials control and disposition, $168,960,000, to be allocated as follows:
        (A) For operation and maintenance, $111,372,000.
        (B) For program direction, $4,588,000.
        (C) For plant projects (including maintenance, restoration, planning, construction, acquisition, modification of facilities, and the continuation of projects authorized in prior years, and land acquisition related thereto), $53,000,000, to be allocated as follows:
          Project 99-D-141, pit disassembly and conversion facility, various locations, $25,000,000.
          Project 99-D-143, mixed oxide fuel fabrication facility, various locations, $28,000,000.
      (4) ENVIRONMENT, SAFETY, AND HEALTH- For environment, safety, and health, defense, $94,000,000, to be allocated as follows:
        (A) For the Office of Environment, Safety, and Health (Defense), $89,231,000.
        (B) For program direction, $4,769,000.
      (5) OFFICE OF HEARINGS AND APPEALS- For the Office of Hearings and Appeals, $2,400,000.
      (6) INTERNATIONAL NUCLEAR SAFETY- For international nuclear safety, $35,000,000.
      (7) NAVAL REACTORS- For naval reactors, $681,500,000, to be allocated as follows:
        (A) For naval reactors development, $661,400,000, to be allocated as follows:
          (i) For operation and maintenance, $639,600,000.
          (ii) For plant projects (including maintenance, restoration, planning, construction, acquisition, modification of facilities, and the continuation of projects authorized in prior years, and land acquisition related thereto), $21,800,000, to be allocated as follows:
            GPN-101 general plant projects, various locations, $9,000,000.
            Project 98-D-200, site laboratory/facility upgrade, various locations, $7,000,000.
            Project 90-N-102, expended core facility dry cell project, Naval Reactors Facility, Idaho, $5,800,000.
        (B) For program direction, $20,100,000.
    (b) ADJUSTMENT- The total amount authorized to be appropriated pursuant to this section is the sum of the amounts authorized to be appropriated in paragraphs (1) through (7) of subsection (a) reduced by the sum of $20,000,000.

SEC. 3104. DEFENSE NUCLEAR WASTE DISPOSAL.

    Funds are hereby authorized to be appropriated to the Department of Energy for fiscal year 1999 for payment to the Nuclear Waste Fund established in section 302(c) of the Nuclear Waste Policy Act of 1982 (42 U.S.C. 10222(c)) in the amount of $190,000,000.

Subtitle B--Recurring General Provisions

SEC. 3121. REPROGRAMMING.

    (a) IN GENERAL- Until the Secretary of Energy submits to the congressional defense committees the report referred to in subsection (b) and a period of 30 days has elapsed after the date on which such committees receive the report, the Secretary may not use amounts appropriated pursuant to this title for any program--
      (1) in amounts that exceed, in a fiscal year--
        (A) 110 percent of the amount authorized for that program by this title; or
        (B) $1,000,000 more than the amount authorized for that program by this title; or
      (2) which has not been presented to, or requested of, Congress.
    (b) REPORT- (1) The report referred to in subsection (a) is a report containing a full and complete statement of the action proposed to be taken and the facts and circumstances relied upon in support of such proposed action.
    (2) In the computation of the 30-day period under subsection (a), there shall be excluded any day on which either House of Congress is not in session because of an adjournment of more than 3 days to a day certain.
    (c) LIMITATIONS- (1) In no event may the total amount of funds obligated pursuant to this title exceed the total amount authorized to be appropriated by this title.
    (2) Funds appropriated pursuant to this title may not be used for an item for which Congress has specifically denied funds.

SEC. 3122. LIMITS ON GENERAL PLANT PROJECTS.

    (a) IN GENERAL- The Secretary of Energy may carry out any construction project under the general plant projects authorized by this title if the total estimated cost of the construction project does not exceed $5,000,000.
    (b) REPORT TO CONGRESS- If, at any time during the construction of any general plant project authorized by this title, the estimated cost of the project is revised because of unforeseen cost variations and the revised cost of the project exceeds $5,000,000, the Secretary shall immediately furnish a complete report to the congressional defense committees explaining the reasons for the cost variation.

SEC. 3123. LIMITS ON CONSTRUCTION PROJECTS.

    (a) IN GENERAL- (1) Except as provided in paragraph (2), construction on a construction project may not be started or additional obligations incurred in connection with the project above the total estimated cost, whenever the current estimated cost of the construction project, which is authorized by section 3101, 3102, or 3103, or which is in support of national security programs of the Department of Energy and was authorized by any previous Act, exceeds by more than 25 percent the higher of--
      (A) the amount authorized for the project; or
      (B) the amount of the total estimated cost for the project as shown in the most recent budget justification data submitted to Congress.
    (2) An action described in paragraph (1) may be taken if--
      (A) the Secretary of Energy has submitted to the congressional defense committees a report on the actions and the circumstances making such action necessary; and
      (B) a period of 30 days has elapsed after the date on which the report is received by the committees.
    (3) In the computation of the 30-day period under paragraph (2), there shall be excluded any day on which either House of Congress is not in session because of an adjournment of more than 3 days to a day certain.
    (b) EXCEPTION- Subsection (a) shall not apply to any construction project which has a current estimated cost of less than $5,000,000.

SEC. 3124. FUND TRANSFER AUTHORITY.

    (a) TRANSFER TO OTHER FEDERAL AGENCIES- The Secretary of Energy may transfer funds authorized to be appropriated to the Department of Energy pursuant to this title to other Federal agencies for the performance of work for which the funds were authorized. Funds so transferred may be merged with and be available for the same purposes and for the same period as the authorizations of the Federal agency to which the amounts are transferred.
    (b) TRANSFER WITHIN DEPARTMENT OF ENERGY- (1) Subject to paragraph (2), the Secretary of Energy may transfer funds authorized to be appropriated to the Department of Energy pursuant to this title between any such authorizations. Amounts of authorizations so transferred may be merged with and be available for the same purposes and for the same period as the authorization to which the amounts are transferred.
    (2) Not more than five percent of any such authorization may be transferred between authorizations under paragraph (1). No such authorization may be increased or decreased by more than five percent by a transfer under such paragraph.
    (c) LIMITATION- The authority provided by this section to transfer authorizations--
      (1) may only be used to provide funds for items relating to activities necessary for national security programs that have a higher priority than the items from which the funds are transferred; and
      (2) may not be used to provide funds for an item for which Congress has specifically denied funds.
    (d) NOTICE TO CONGRESS- The Secretary of Energy shall promptly notify the Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives of any transfer of funds to or from authorizations under this title.

SEC. 3125. AUTHORITY FOR CONCEPTUAL AND CONSTRUCTION DESIGN.

    (a) REQUIREMENT FOR CONCEPTUAL DESIGN- (1) Subject to paragraph (2) and except as provided in paragraph (3), before submitting to Congress a request for funds for a construction project that is in support of a national security program of the Department of Energy, the Secretary of Energy shall complete a conceptual design for that project.
    (2) If the estimated cost of completing a conceptual design for a construction project exceeds $3,000,000, the Secretary shall submit to Congress a request for funds for the conceptual design before submitting a request for funds for the construction project.
    (3) The requirement in paragraph (1) does not apply to a request for funds--
      (A) for a construction project the total estimated cost of which is less than $5,000,000; or
      (B) for emergency planning, design, and construction activities under section 3126.
    (b) AUTHORITY FOR CONSTRUCTION DESIGN- (1) Within the amounts authorized by this title, the Secretary of Energy may carry out construction design (including architectural and engineering services) in connection with any proposed construction project if the total estimated cost for such design does not exceed $600,000.
    (2) If the total estimated cost for construction design in connection with any construction project exceeds $600,000, funds for such design must be specifically authorized by law.

SEC. 3126. AUTHORITY FOR EMERGENCY PLANNING, DESIGN, AND CONSTRUCTION ACTIVITIES.

    (a) AUTHORITY- The Secretary of Energy may use any funds available to the Department of Energy pursuant to an authorization in this title, including those funds authorized to be appropriated for advance planning and construction design under sections 3101, 3102, and 3103, to perform planning, design, and construction activities for any Department of Energy national security program construction project that, as determined by the Secretary, must proceed expeditiously in order to protect public health and safety, to meet the needs of national defense, or to protect property.
    (b) LIMITATION- The Secretary may not exercise the authority under subsection (a) in the case of any construction project until the Secretary has submitted to the congressional defense committees a report on the activities that the Secretary intends to carry out under this section and the circumstances making such activities necessary.
    (c) SPECIFIC AUTHORITY- The requirement of section 3125(b)(2) does not apply to emergency planning, design, and construction activities conducted under this section.

SEC. 3127. FUNDS AVAILABLE FOR ALL NATIONAL SECURITY PROGRAMS OF THE DEPARTMENT OF ENERGY.

    Subject to the provisions of appropriations Acts and section 3121, amounts appropriated pursuant to this title for management and support activities and for general plant projects are available for use, when necessary, in connection with all national security programs of the Department of Energy.

SEC. 3128. AVAILABILITY OF FUNDS.

    (a) IN GENERAL- Except as provided in subsection (b), when so specified in an appropriations Act, amounts appropriated for operation and maintenance or for plant projects may remain available until expended.
    (b) EXCEPTION FOR PROGRAM DIRECTION FUNDS- Amounts appropriated for program direction pursuant to an authorization of appropriations in subtitle A shall remain available to be expended only until the end of fiscal year 2000.

SEC. 3129. TRANSFERS OF DEFENSE ENVIRONMENTAL MANAGEMENT FUNDS.

    (a) TRANSFER AUTHORITY FOR DEFENSE ENVIRONMENTAL MANAGEMENT FUNDS- The Secretary of Energy shall provide the manager of each field office of the Department of Energy with the authority to transfer defense environmental management funds from a program or project under the jurisdiction of the office to another such program or project.
    (b) LIMITATIONS- (1) Only one transfer may be made to or from any program or project under subsection (a) in a fiscal year.
    (2) The amount transferred to or from a program or project under subsection (a) may not exceed $5,000,000 in a fiscal year.
    (3) A transfer may not be carried out by a manager of a field office under subsection (a) unless the manager determines that the transfer is necessary to address a risk to health, safety, or the environment or to assure the most efficient use of defense environmental management funds at the field office.
    (4) Funds transferred pursuant to subsection (a) may not be used for an item for which Congress has specifically denied funds or for a new program or project that has not been authorized by Congress.
    (c) EXEMPTION FROM REPROGRAMMING REQUIREMENTS- The requirements of section 3121 shall not apply to transfers of funds pursuant to subsection (a).
    (d) NOTIFICATION- The Secretary, acting through the Assistant Secretary of Energy for Environmental Management, shall notify Congress of any transfer of funds pursuant to subsection (a) not later than 30 days after such transfer occurs.
    (e) DEFINITIONS- In this section:
      (1) The term `program or project' means, with respect to a field office of the Department of Energy, any of the following:
        (A) A project listed in paragraph (3) or (4) of section 3102.
        (B) A program referred to in paragraph (3), (4), or (5) of section 3102.
        (C) A project or program not described in subparagraph (A) or (B) that is for environmental restoration or waste management activities necessary for national security programs of the Department, that is being carried out by the office, and for which defense environmental management funds have been authorized and appropriated before the date of enactment of this Act.
      (2) The term `defense environmental management funds' means funds appropriated to the Department of Energy pursuant to an authorization for carrying out environmental restoration and waste management activities necessary for national security programs.
    (f) DURATION OF AUTHORITY- The managers of the field offices of the Department may exercise the authority provided under subsection (a) during the period beginning on October 1, 1998, and ending on September 30, 1999.

Subtitle C--Program Authorizations, Restrictions, and Limitations

SEC. 3131. PROHIBITION ON FEDERAL LOAN GUARANTEES FOR DEFENSE ENVIRONMENTAL MANAGEMENT PRIVATIZATION PROJECTS.

    Section 3132 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2034) is amended by adding at the end the following new subsection:
    `(g) PROHIBITION ON LOAN GUARANTEES- The Secretary of Energy may not guarantee any loan made by a private sector entity to a contractor to pay for any costs (including costs described in subsection (a)(3)) borne by the contractor to carry out a contract entered into under this section.'.

SEC. 3132. EXTENSION OF FUNDING PROHIBITION RELATING TO INTERNATIONAL COOPERATIVE STOCKPILE STEWARDSHIP.

    Section 3133(a) of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2036) is amended by striking out `for fiscal year 1998' and inserting in lieu thereof `for any fiscal year'.

SEC. 3133. USE OF CERTAIN FUNDS FOR MISSILE DEFENSE TECHNOLOGY DEVELOPMENT.

    Of the funds authorized to be appropriated pursuant to section 3101, the Secretary of Energy shall make available not less than $60,000,000 for the purpose of developing, demonstrating, and testing hit-to-kill interceptor vehicles for theater missile defense systems. The Secretary shall carry out this section in cooperation with the Ballistic Missile Defense Organization of the Department of Defense.

SEC. 3134. SELECTION OF TECHNOLOGY FOR TRITIUM PRODUCTION.

    (a) SELECTION OF TECHNOLOGY- (1) Subject to paragraph (2), the Secretary of Energy shall select a primary technology for the production of tritium not later than December 31, 1999.
    (2) The Secretary may not select a primary technology for the production of tritium until the date that is the later of the following:
      (A) The date occurring 30 days after the completion of the test program at the Watts Bar Nuclear Station, Tennessee.
      (B) The date on which the report required by subsection (b) is submitted.
    (b) REPORT- The Secretary of Energy shall submit to Congress a report on the results of the test program at the Watts Bar Nuclear Station. The report shall include--
      (1) data on any leakage of tritium from the test rods;
      (2) the amount of tritium produced during the test; and
      (3) any other technical findings resulting from the test.

SEC. 3135. LIMITATION ON USE OF CERTAIN FUNDS AT HANFORD SITE.

    (a) LIMITATION- (1) None of the funds described in subsection (b) may be used unless the Secretary of Energy certifies to Congress not later than 90 days after the date of the enactment of this Act that the Department of Energy does not intend to pay overhead costs that exceed more than 33 percent of total contract costs during fiscal year 1999 for the Project Hanford Management Contractors (at the Hanford Site, Richland, Washington), including the prime contractor and subcontractors at any tier (including Enterprise Company contractors).
    (2) For purposes of paragraph (1), overhead costs include--
      (A) indirect overhead costs, which include all activities whose costs are spread across other accounts of the contractor or site;
      (B) support service overhead costs, which include activities or services for which programs pay per unit used;
      (C) all fee, awards, and other profit on indirect and support service overhead costs, or fees that are not attributable to performance on a single project;
      (D) any portion of Enterprise Company costs for which there is no competitive bid and which, under the prior contract, had been an indirect or service function; and
      (E) all computer service and information management costs that had previously been reported in indirect overhead or service center pool accounts.
    (b) FUNDS- The funds referred to in subsection (a) are the following:
      (1) $12,000,000 for reactor decontamination and decommissioning, as authorized to be appropriated by section 3102 and allocated under subsection (a)(4)(A).
      (2) $18,000,000 for single-shell tank drainage, as authorized to be appropriated by section 3102 and allocated under subsection (a)(4)(A).
    (c) USE OF SAVINGS- The expected savings during fiscal year 1999 from compliance with subsection (a) shall be used at the Hanford Site for ensuring full compliance with the Hanford Federal Facility Agreement and Consent Order and recommendations of the Defense Nuclear Facilities Safety Board.
    (d) SENSE OF CONGRESS- It is the sense of Congress that--
      (1) overhead costs for contractors performing environmental cleanup work at defense nuclear facilities are out of control;
      (2) some of the increase in overhead costs can be attributed to unnecessary regulation by the Department of Energy; and
      (3) the Department of Energy should take whatever actions possible to minimize any increased costs of contractor overhead that are attributable to unnecessary regulation by the Department.

Subtitle D--Other Matters

SEC. 3151. TERMINATION OF WORKER AND COMMUNITY TRANSITION ASSISTANCE.

    (a) PROHIBITION- No funds may be used by the Secretary of Energy after September 30, 2000, to provide worker or community transition assistance with respect to defense nuclear facilities, including assistance provided under section 3161 of the National Defense Authorization Act for Fiscal Year 1993 (42 U.S.C. 7274h).
    (b) REPEAL- Effective October 1, 2000, section 3161 of the National Defense Authorization Act for Fiscal Year 1993 (42 U.S.C. 7274h) is repealed.
    (c) STUDY BY THE GENERAL ACCOUNTING OFFICE-
      (1) STUDY REQUIREMENT- The Comptroller General shall conduct a study on the effects of workforce restructuring plans for defense nuclear facilities developed pursuant to section 3161 of the National Defense Authorization Act for Fiscal Year 1993 (42 U.S.C. 7274h).
      (2) MATTERS COVERED BY STUDY- The study shall cover the four-year period preceding the date of the enactment of this Act and shall include the following:
        (A) An analysis of the number of jobs created by any employee retraining, education, and reemployment assistance and any community impact assistance provided in each workforce restructuring plan developed pursuant to section 3161 of the National Defense Authorization Act for Fiscal Year 1993.
        (B) An analysis of other benefits provided pursuant to such plans, including any assistance provided to community reuse organizations.
        (C) A description of the funds expended, and the funds obligated but not expended, pursuant to such plans as of the date of the report.
        (D) A description of the criteria used since October 23, 1992, in providing assistance pursuant to such plans.
        (E) A comparison of any similar benefits provided--
          (i) pursuant to such a plan to employees whose employment at the defense nuclear facility covered by the plan is terminated; and
          (ii) to employees whose employment at a facility where more than 50 percent of the revenues are derived from contracts with the Department of Defense has been terminated as a result of cancellation, termination, or completion of contracts with the Department of Defense and the employees whose employment is terminated constitute more than 15 percent of the employees at that facility.
        (F) A comparison of--
          (i) involuntary separation benefits provided to employees of Department of Energy contractors and subcontractors under such plans; and
          (ii) involuntary separation benefits provided to employees of the Federal Government.
        (G) A comparison of costs to the Federal Government (including costs of involuntary separation benefits) for--
          (i) involuntary separations of employees of Department of Energy contractors and subcontractors; and
          (ii) involuntary separations of employees of contractors and subcontractors of other Federal Government departments and agencies.
        (H) A description of the length of service and hiring dates of employees of Department of Energy contractors and subcontractors provided benefits under such plans in the two-year period preceding the date of the enactment of this Act.
      (3) REPORT ON STUDY- The Comptroller General shall submit a report to Congress on the results of the study not later than March 31, 1999.
      (4) DEFINITION- In this section, the term `defense nuclear facility' has the meaning provided the term `Department of Energy defense nuclear facility' in section 3163 of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102-484; 42 U.S.C. 7274j).
    (d) EFFECT ON USEC PRIVATIZATION ACT- (1) Section 3110(a)(5) of the USEC Privatization Act (Public Law 104-134; 110 Stat. 1321-341; 42 U.S.C. 2297h-8(a)(5)) is amended by adding at the end the following: `With respect to such section 3161, the Secretary shall, on and after the effective date of the repeal of such section, provide assistance to any such employee in accordance with the terms of such section as in effect on the day before the effective date of its repeal.'.
    (2) After the effective date of the repeal of section 3161 of the National Defense Authorization Act for Fiscal Year 1993 (42 U.S.C. 7274h), no funds appropriated to the Department of Energy for atomic energy defense activities may be used to provide assistance under that section (by reason of the amendment made by paragraph (1)) to the adversely affected employees described in section 3110(a)(5) of the USEC Privatization Act (Public Law 104-134; 110 Stat. 1321-341; 42 U.S.C. 2297h-8(a)(5)).

SEC. 3152. REQUIREMENT FOR PLAN TO MODIFY EMPLOYMENT SYSTEM USED BY DEPARTMENT OF ENERGY IN DEFENSE ENVIRONMENTAL MANAGEMENT PROGRAMS.

    (a) PLAN REQUIREMENT- (1) The Secretary of Energy shall develop a plan to modify the Federal employment system used within the defense environmental management programs of the Department of Energy to allow for workforce restructuring in those programs.
    (2) The plan shall address strategies to recruit and hire--
      (A) individuals with a high degree of scientific and technical competence in the areas of nuclear and toxic waste remediation and environmental restoration; and
      (B) individuals with the necessary skills to manage large construction and environmental remediation projects.
    (3) The plan shall include an identification of the provisions of Federal law that would need to be changed to allow the Secretary of Energy to restructure the Department of Energy defense environmental management workforce to hire individuals described in paragraph (2), while staying within any numerical limitations required by law (including section 3161 of Public Law 103-337 (42 U.S.C. 7231 note)) on employment of such individuals.
    (b) REPORT- The Secretary shall submit to Congress a report on the plan developed under subsection (a).
    (c) LIMITATION ON USE OF CERTAIN FUNDS- The Secretary of Energy may not use more than 75 percent of the funds available to the Secretary pursuant to the authorization of appropriations in section 3102(a)(6) (relating to program direction) until the Secretary submits the report required by subsection (b).

SEC. 3153. REPORT ON STOCKPILE STEWARDSHIP CRITERIA.

    (a) REQUIREMENT FOR CRITERIA- The Secretary of Energy shall develop clear and specific criteria for judging whether the science-based tools being used by the Department of Energy for determining the safety and reliability of the nuclear weapons stockpile are performing in a manner that will provide an adequate degree of certainty that the stockpile is safe and reliable.
    (b) REPORT- Not later than March 1, 1999, the Secretary of Energy shall submit to the Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives a report on the efforts by the Department of Energy to develop the criteria required by subsection (a). The report shall include--
      (1) a description of the information needed to determine that the nuclear weapons stockpile is safe and reliable and the relationship of the science-based tools to the collection of that information; and
      (2) a description of the criteria required by subsection (a) to the extent they have been defined as of the date of the submission of the report.

TITLE XXXII-DEFENSE NUCLEAR FACILITIES SAFETY BOARD

SEC. 3201. AUTHORIZATION.

    There are authorized to be appropriated for fiscal year 1999, $17,500,000 for the operation of the Defense Nuclear Facilities Safety Board under chapter 21 of the Atomic Energy Act of 1954 (42 U.S.C. 2286 et seq.).

TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

SEC. 3301. DEFINITIONS.

    In this title:
      (1) The term `National Defense Stockpile' means the stockpile provided for in section 4 of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98c).
      (2) The term `National Defense Stockpile Transaction Fund' means the fund in the Treasury of the United States established under section 9(a) of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98h(a)).

SEC. 3302. AUTHORIZED USES OF STOCKPILE FUNDS.

    (a) OBLIGATION OF STOCKPILE FUNDS- During fiscal year 1999, the National Defense Stockpile Manager may obligate up to $82,647,000 of the funds in the National Defense Stockpile Transaction Fund for the authorized uses of such funds under section 9(b)(2) of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98h(b)(2)).
    (b) ADDITIONAL OBLIGATIONS- The National Defense Stockpile Manager may obligate amounts in excess of the amount specified in subsection (a) if the National Defense Stockpile Manager notifies Congress that extraordinary or emergency conditions necessitate the additional obligations. The National Defense Stockpile Manager may make the additional obligations described in the notification after the end of the 45-day period beginning on the date Congress receives the notification.
    (c) LIMITATIONS- The authorities provided by this section shall be subject to such limitations as may be provided in appropriations Acts.

TITLE XXXIV--NAVAL PETROLEUM RESERVES

SEC. 3401. DEFINITIONS.

    In this title:
      (1) The term `naval petroleum reserves' has the meaning given the term in section 7420(2) of title 10, United States Code.
      (2) The term `Naval Petroleum Reserve Numbered 2' means the naval petroleum reserve, commonly referred to as the Buena Vista unit, that is located in Kern County, California, and was established by Executive order of the President, dated December 13, 1912.
      (3) The term `Naval Petroleum Reserve Numbered 3' means the naval petroleum reserve, commonly referred to as the Teapot Dome unit, that is located in the State of Wyoming and was established by Executive order of the President, dated April 30, 1915.
      (4) The term `Oil Shale Reserve Numbered 2' means the naval petroleum reserve that is located in the State of Utah and was established by Executive order of the President, dated December 6, 1916.
      (5) The term `antitrust laws' means has the meaning given the term in section 1(a) of the Clayton Act (15 U.S.C. 12(a)), except that the term also includes--
        (A) the Act of June 19, 1936 (15 U.S.C. 13 et seq.; commonly known as the Robinson-Patman Act); and
        (B) section 5 of the Federal Trade Commission Act (15 U.S.C. 45), to the extent that such section applies to unfair methods of competition.
      (6) The term `general land laws' includes the Mineral Leasing Act (30 U.S.C. 181 et seq.) and the Materials Act of 1947 (30 U.S.C. 601 et seq.), but excludes the Mining Law of 1872 (30 U.S.C. 22 et seq.).
      (7) The term `petroleum' has the meaning given the term in section 7420(3) of title 10, United States Code.

SEC. 3402. AUTHORIZATION OF APPROPRIATIONS.

    (a) AUTHORIZATION OF APPROPRIATIONS- There are hereby authorized to be appropriated to the Secretary of Energy $22,500,000 for fiscal year 1999 for the purpose of carrying out--
      (1) activities under chapter 641 of title 10, United States Code, relating to the naval petroleum reserves;
      (2) closeout activities at Naval Petroleum Reserve Numbered 1 upon the sale of that reserve under subtitle B of title XXXIV of the National Defense Authorization Act for fiscal year 1996 (Public Law 104-106; 10 U.S.C. 7420 note); and
      (3) activities under this title relating to the disposition of Naval Petroleum Reserve Numbered 2, Naval Petroleum Reserve Numbered 3, and Oil Shale Reserve Numbered 2.
    (b) AVAILABILITY OF APPROPRIATIONS- Funds appropriated pursuant to the authorization of appropriations in subsection (a) shall remain available until expended.

SEC. 3403. PRICE REQUIREMENT ON SALE OF CERTAIN PETROLEUM DURING FISCAL YEAR 1999.

    Notwithstanding section 7430(b)(2) of title 10, United States Code, during fiscal year 1999, any sale of any part of the United States share of petroleum produced from Naval Petroleum Reserve Numbered 2 or Naval Petroleum Reserve Numbered 3, shall be made at a price not less than 90 percent of the current sales price, as estimated by the Secretary of Energy, of comparable petroleum in the same area.

SEC. 3404. DISPOSAL OF NAVAL PETROLEUM RESERVE NUMBERED 2.

    (a) DISPOSAL OF FORD CITY LOTS- (1) Subject to section 3407, the Secretary of Energy shall dispose of that portion of Naval Petroleum Reserve Numbered 2 located within the town lots in Ford City, California, as generally depicted on the map of Naval Petroleum Reserve Numbered 2 that accompanies the report of the Secretary entitled `Report and Recommendations on the Management and Disposition of the Naval Petroleum and Oil Shale Reserves (Excluding Elk Hills)', dated March 1997.
    (2) The Secretary of Energy may carry out the disposal of that portion of Naval Petroleum Reserve Numbered 2 described in paragraph (1) by competitive sale or lease consistent with commercial practices, by transfer to another Federal agency or a public or private entity, or by any other means. Any competitive sale or lease under this subsection shall provide for the disposal of all right, title, and interest of the United States in the property to be conveyed. The Secretary of Energy may use the authority provided by the Act of June 14, 1926 (43 U.S.C. 869 et seq.; commonly known as the Recreation and Public Purposes Act), in the same manner and to the same extent as the Secretary of the Interior, to dispose of that portion of Naval Petroleum Reserve Numbered 2 described in paragraph (1).
    (3) The Secretary of Energy may extend to a purchaser or other transferee of property under this subsection such indemnities and warranties as the Secretary considers reasonable and necessary to protect the purchaser or transferee from claims arising from the ownership of the property by the United States or the administration of the property by the Secretary of Energy.
    (b) EVENTUAL TRANSFER OF ADMINISTRATIVE JURISDICTION- (1) The Secretary of Energy shall continue to
administer Naval Petroleum Reserve Numbered 2 (other than the portion of the reserve subject to disposal under subsection (a)) in accordance with chapter 641 of title 10, United States Code, until such time as the Secretary makes a determination to abandon oil and gas operations in Naval Petroleum Reserve Numbered 2 in accordance with commercial operating practices.
    (2) After oil and gas operations are abandoned in Naval Petroleum Reserve Numbered 2 under paragraph (1), the Secretary of Energy shall transfer to the Secretary of the Interior administrative jurisdiction and control over all public domain lands included within Naval Petroleum Reserve Numbered 2 (other than the portion of the reserve subject to disposal under subsection (a)) for management in accordance with the general land laws.
    (c) RELATIONSHIP TO ANTITRUST LAWS- This section does not modify, impair, or supersede the operation of the antitrust laws.

SEC. 3405. DISPOSAL OF NAVAL PETROLEUM RESERVE NUMBERED 3.

    (a) CONTINUED ADMINISTRATION PENDING TERMINATION OF OPERATIONS- The Secretary of Energy shall continue to administer Naval Petroleum Reserve Numbered 3 in accordance with chapter 641 of title 10, United States Code, until such time as the Secretary makes a determination to abandon oil and gas operations in Naval Petroleum Reserve Numbered 3 in accordance with commercial operating practices.
    (b) DISPOSAL AUTHORITY- (1) After oil and gas operations are abandoned in Naval Petroleum Reserve Numbered 3, the Secretary of Energy may dispose of, subject to section 3407, the reserve by sale, lease, transfer, or other means. Any sale or lease shall provide for the disposal of all right, title, and interest of the United States in the property to be conveyed and shall be conducted in accordance with competitive procedures consistent with commercial practices, as established by the Secretary of Energy.
    (2) The Secretary of Energy may extend to a purchaser or other transferee of property under this subsection such indemnities and warranties as the Secretary considers reasonable and necessary to protect the purchaser or transferee from claims arising from the ownership of the property by the United States or the administration of the property by the Secretary of Energy.
    (c) RELATIONSHIP TO ANTITRUST LAWS- This section does not modify, impair, or supersede the operation of the antitrust laws.

SEC. 3406. DISPOSAL OF OIL SHALE RESERVE NUMBERED 2.

    (a) TRANSFER OF ADMINISTRATIVE JURISDICTION- Subject to section 3407, effective September 30, 1999, the Secretary of Energy shall transfer to the Secretary of the Interior administrative jurisdiction and control over all public domain lands included within Oil Shale Reserve Numbered 2 for management in accordance with the general land laws.
    (b) RELATIONSHIP TO INDIAN RESERVATION- The transfer of administrative jurisdiction under this section does not affect any interest, right, or obligation respecting the Uintah and Ouray Indian Reservation located in Oil Shale Reserve Numbered 2.

SEC. 3407. ADMINISTRATION.

    (a) CONTRACT AUTHORITY- Using the authority provided by section 303(c)(7) of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 253(c)(7)), the Secretary of Energy and the Secretary of the Interior may separately enter into contracts for the acquisition of such services as the Secretary considers necessary to carry out the requirements of this title, except that the notification required under subparagraph (B) of such section for each such contract shall be submitted to Congress not less than seven days before the award of the contract.
    (b) PROTECTION OF EXISTING RIGHTS- At the discretion of the Secretary of Energy, the disposal of property under this title shall be subject to any contract related to the United States ownership interest in the property in effect at the time of disposal, including any lease agreement pertaining to the United States interest in Naval Petroleum Reserve Numbered 2.
    (c) DEPOSIT OF RECEIPTS- Notwithstanding any other law, all monies received by the United States from the disposal of property under this title or under section 7439 of title 10, United States Code, including monies received from a lease entered into under this title or such section, shall be deposited in the general fund of the Treasury.
    (d) TREATMENT OF ROYALTIES- Any petroleum accruing to the United States as royalty from any lease of lands transferred under this title or under section 7439 of title 10, United States Code, shall be delivered to the United States, or shall be paid for in money, as the Secretary of the Interior may elect.
    (e) ELEMENTS OF LEASE- A lease under this title may provide for the exploration for, and development and production of, petroleum, other than petroleum in the form of oil shale.
    (f) RELATIONSHIP TO CURRENT LAW- Except as otherwise provided in this title, chapter 641 of title 10, United States Code, does not apply to the disposal of property under this title and ceases to apply to property in Naval Petroleum Reserve Numbered 2, Naval Petroleum Reserve
Numbered 3, and Oil Shale Reserve Numbered 2, upon the final disposal of the property.

TITLE XXXV--PANAMA CANAL COMMISSION

SEC. 3501. SHORT TITLE; REFERENCES TO PANAMA CANAL ACT OF 1979.

    (a) SHORT TITLE- This title may be cited as the `Panama Canal Commission Authorization Act for Fiscal Year 1999'.
    (b) REFERENCES TO PANAMA CANAL ACT OF 1979- Except as otherwise expressly provided, whenever in this title an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Panama Canal Act of 1979 (22 U.S.C. 3601 et seq.).

SEC. 3502. AUTHORIZATION OF EXPENDITURES.

    (a) IN GENERAL- Subject to subsection (b), the Panama Canal Commission is authorized to use amounts in the Panama Canal Revolving Fund to make such expenditures within the limits of funds and borrowing authority available to it in accordance with law, and to make such contracts and commitments, as may be necessary under the Panama Canal Act of 1979 (22 U.S.C. 3601 et seq.) for the operation, maintenance, improvement, and administration of the Panama Canal for fiscal year 1999.
    (b) LIMITATIONS- For fiscal year 1999, the Panama Canal Commission may expend from funds in the Panama Canal Revolving Fund not more than $90,000 for official reception and representation expenses, of which--
      (1) not more than $28,000 may be used for official reception and representation expenses of the Supervisory Board of the Commission;
      (2) not more than $14,000 may be used for official reception and representation expenses of the Secretary of the Commission; and
      (3) not more than $48,000 may be used for official reception and representation expenses of the Administrator of the Commission.

SEC. 3503. PURCHASE OF VEHICLES.

    Notwithstanding any other provision of law, the funds available to the Commission shall be available for the purchase and transportation to the Republic of Panama of passenger motor vehicles built in the United States, the purchase price of which shall not exceed $23,000 per vehicle.

SEC. 3504. EXPENDITURES ONLY IN ACCORDANCE WITH TREATIES.

    Expenditures authorized under this title may be made only in accordance with the Panama Canal Treaties of 1977 and any law of the United States implementing those treaties.

SEC. 3505. DONATIONS TO THE COMMISSION.

    Section 1102b (22 U.S.C. 3612b) is amended by adding at the end the following new subsection:
    `(f)(1) The Commission may seek and accept donations of funds, property, and services from individuals, foundations, corporations, and other private and public entities for the purpose of carrying out its promotional activities.
    `(2) The Commission shall establish written guidelines setting forth the criteria to be used in determining whether the acceptance of funds, property, or services authorized by paragraph (1) would reflect unfavorably upon the ability of the Commission (or any employee of the Commission) to carry out its responsibilities or official duties in a fair and objective manner or would compromise the integrity or the appearance of the integrity of its programs or of any official in those programs.'.

SEC. 3506. SUNSET OF UNITED STATES OVERSEAS BENEFITS JUST BEFORE TRANSFER.

    (a) REPEALS- Effective 11:59 p.m. (Eastern Standard Time), December 30, 1999, the following provisions are repealed and any right or condition of employment provided for in, or arising from, those provisions is terminated: sections 1206 (22 U.S.C. 3646), 1207 (22 U.S.C. 3647), 1217(a) (22 U.S.C. 3657(a)), and 1224(11) (22 U.S.C. 3664(11)), subparagraphs (A), (B), (F), (G), and (H) of section 1231(a)(2) (22 U.S.C. 3671(a)(2)) and section 1321(e) (22 U.S.C. 3731(e)).
    (b) SAVINGS PROVISION FOR BASIC PAY- Notwithstanding subsection (a), benefits based on basic pay, as listed in paragraphs (1), (2), (3), (5), and (6) of section 1218 of the Panama Canal Act of 1979, shall be paid as if sections 1217(a) and 1231(a)(2) (A) and (B) of that Act had been repealed effective 12:00 p.m., December 31, 1999. The exception under the preceding sentence shall not apply to any pay for hours of work performed on December 31, 1999.
    (c) NONAPPLICABILITY TO AGENCIES IN PANAMA OTHER THAN PANAMA CANAL COMMISSION- Section 1212(b)(3) (22 U.S.C. 3652(b)(3)) is amended by striking out `the Panama Canal Transition Facilitation Act of 1997' and inserting in lieu thereof `the Panama Canal Transition Facilitation Act of 1997 (subtitle B of title XXXV of Public Law 105-85; 110 Stat. 2062), or the Panama Canal Commission Authorization Act for Fiscal Year 1999'.

SEC. 3507. CENTRAL EXAMINING OFFICE.

    Section 1223 (22 U.S.C. 3663) is repealed.

SEC. 3508. LIABILITY FOR VESSEL ACCIDENTS.

    (a) COMMISSION LIABILITY SUBJECT TO CLAIMANT INSURANCE- (1) Section 1411(a) (22 U.S.C. 3771(a)) is amended by inserting `to section 1419(b) of this Act and' after `Subject' in the first sentence.
    (2) Section 1412 (22 U.S.C. 3772) is amended by striking out `The Commission' in the first sentence and inserting in lieu thereof `Subject to section 1419(b) of this Act, the Commission'.
    (3) Section 1416 (22 U.S.C. 3776) is amended by striking out `A claimant' in the first sentence and inserting in lieu thereof `Subject to section 1419(b) of this Act, a claimant'.
    (b) LIMITATION ON LIABILITY- Section 1419 (22 U.S.C. 3779) is amended by designating the text as subsection (a) and by adding at the end the following:
    `(b) The Commission may not consider or pay any claim under section 1411 or 1412 of this Act, nor may an action for damages lie thereon, unless the claimant is covered by one or more valid policies of insurance totalling at least $1,000,000 against the injuries specified in those sections. The Commission's liability on any such claim shall be limited to damages in excess of all amounts recovered or recoverable by the claimant from its insurers. The Commission may not consider or pay any claim by an insurer or subrogee of a claimant under section 1411 or 1412 of this Act.'.

SEC. 3509. PANAMA CANAL BOARD OF CONTRACT APPEALS.

    (a) ESTABLISHMENT AND PAY OF BOARD- Section 3102(a) (22 U.S.C. 3862(a)) is amended--
      (1) in paragraph (1), by striking out `shall' in the first sentence and inserting in lieu thereof `may'; and
      (2) by adding at the end the following new paragraph:
    `(3) Compensation for members of the Board of Contract Appeals shall be established by the Commission's supervisory board, except that such compensation may not be reduced during a member's term of office from the level established at the time of the appointment.'.
    (b) DEADLINE FOR COMMENCEMENT OF BOARD- Section 3102(e) (22 U.S.C. 3862(e)) is amended by striking out `, but not later than January 1, 1999'.

SEC. 3510. TECHNICAL AMENDMENTS.

    (a) PANAMA CANAL ACT OF 1979- The Panama Canal Act of 1979 is amended as follows:
      (1) Section 1202(c) (22 U.S.C. 3642(c)) is amended--
        (A) by striking out `the day before the date of the enactment of the Panama Canal Transition Facilitation Act of 1997' and inserting in lieu thereof `November 17, 1997,';
        (B) by striking out `on or after that date'; and
        (C) by striking out `the day before the date of enactment' and inserting in lieu thereof `that date'.
      (2) Section 1212(b)(3) (22 U.S.C. 3652(b)(3)) is amended by inserting `the' after `by the head of'.
      (3) Section 1313 (22 U.S.C. 3723) is amended by striking out `subsection (d)' in each of subsections (a), (b), and (d) and inserting in lieu thereof `subsection (c)'.
      (4) Sections 1411(a) and 1412 (22 U.S.C. 3771(a), 3772) are amended by striking out `the date of the enactment of the Panama Canal Transition Facilitation Act of 1997' and inserting in lieu thereof `by November 18, 1998'.
    (b) PUBLIC LAW 104-201- Effective as of September 23, 1996, and as if included therein as enacted, section 3548(b)(3) of the Panama Canal Act Amendments of 1996 (subtitle B of title XXXV of Public Law 104-201; 110 Stat. 2869) is amended by striking out `section' in both items of quoted matter and inserting in lieu thereof `sections'.

TITLE XXXVI--MARITIME ADMINISTRATION

SEC. 3601. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEAR 1999.

    Funds are hereby authorized to be appropriated for fiscal year 1999, to be available without fiscal year limitation if so provided in appropriations Act, for the use of the Department of Transportation for the Maritime Administration as follows:
      (1) For expenses necessary for operations and training activities, $70,553,000.
      (2) For expenses under the loan guarantee program authorized by title XI of the Merchant Marine Act, 1936 (46 U.S.C. App. 1271 et seq.), $20,000,000 of which--
        (A) $16,000,000 is for the cost (as defined in section 502(5) of the Federal Credit Reform Act of 1990 (2 U.S.C. 661a(5))) of loan guarantees under the program; and
        (B) $4,000,000 is for administrative expenses related to loan guarantee commitments under the program.

SEC. 3602. CONVEYANCE OF NDRF VESSEL M/V BAYAMON.

    (a) AUTHORITY TO CONVEY- The Secretary of Transportation may convey all right, title, and interest of the United States Government in and to the vessel M/V BAYAMON (United States official number 530007) to the Trade Fair Ship Company, a corporation established under the laws of the State of Deleware and having its principal offices located in New York, New York (in this section referred to as the `recipient'), for use as floating trade exposition to showcase United States technology, industrial products, and services.
    (b) TERMS OF CONVEYANCE-
      (1) DELIVERY OF VESSEL- In carrying out subsection (a), the Secretary shall deliver the vessel--
        (A) at the place where the vessel is located on the date of conveyance;
        (B) in its condition on that date; and
        (C) at no cost to the United States Government.
      (2) REQUIRED CONDITIONS- The Secretary may not convey a vessel under this section unless--
        (A) the recipient pays consideration equal to the domestic fair market value of the vessel as determined by the Secretary;
        (B) the recipient agrees that any repair, restoration, or reconstruction work for the vessel will be performed in the United States;
        (C) the recipient agrees to hold the Government harmless for any claims arising from exposure to hazardous material, including asbestos and polychlorinated biphenyls, after the conveyance of the vessel, except for claims arising before the date of the conveyance or from use of the vessel by the Government after that date; and
        (D) the recipient provides sufficient evidence to the Secretary that it has adequate financial resources in the form of cash, liquid assets, or a written loan commitment to complete the reconstruction of the vessel.
      (3) ADDITIONAL TERMS- The Secretary may require such additional terms in connection with the conveyance authorized by this section as the Secretary considers appropriate.
    (c) PROCEEDS- Any amounts received by the United States as proceeds from the sale of the M/V BAYAMON shall be deposited in the Vessel Operations Revolving Fund established by the Act of June 2, 1951 (chapter 121; 46 App. U.S.C. 1241a).

SEC. 3603. CONVEYANCE OF NDRF VESSELS BENJAMIN ISHERWOOD AND HENRY ECKFORD.

    (a) AUTHORITY TO CONVEY- The Secretary of Transportation may convey all right, title, and interest of the United States Government in and to the vessels BENJAMIN ISHERWOOD (TAO-191) and HENRY ECKFORD (TAO-192) to a purchaser for the purpose of reconstruction of those vessels for sale or charter.
    (b) TERMS OF CONVEYANCE-
      (1) DELIVERY OF VESSEL- In carrying out subsection (a), the Secretary shall deliver the vessel--
        (A) at the place where the vessel is located on the date of the conveyance;
        (B) in its condition on that date; and
        (C) at no cost to the United States Government.
      (2) REQUIRED CONDITIONS- The Secretary may not convey a vessel under this section unless--
        (A) the recipient pays consideration equal to the domestic fair market value of the vessel, as determined by the Secretary;
        (B) the recipient agrees to sell or charter the vessel to a member nation of the North Atlantic Treaty Organization for use as an oiler;
        (C) the recipient provides sufficient evidence to the Secretary that it has adequate financial resources in the form of cash, liquid assets, or a written loan commitment to complete the reconstruction of the vessel;
        (D) the recipient agrees that any repair, restoration, or reconstruction work for the vessel will be performed in the United States; and
        (E) the recipient agrees to hold the Government harmless for any claims arising from defects in the vessel or from exposure to hazardous material, including asbestos and polychlorinated biphenyls, after the conveyance of the vessel, except for claims arising before the date of the conveyance or from use of the vessel by the Government after that date.
      (3) ADDITIONAL TERMS- The Secretary may require such additional terms in connection with a conveyance authorized by this section as the Secretary considers appropriate.
    (c) PROCEEDS- Any amounts received by the United States as proceeds from the sale of a vessel under this section shall be deposited in the Vessel Operations Revolving Fund established by the Act of June 2, 1951 (chapter 121; 46 App. U.S.C. 1241a).
    (d) DURATION OF AUTHORITY- The authority of the Secretary under this section may only be exercised during the one-year period beginning on the date of the enactment of this Act.

SEC. 3604. CLEARINGHOUSE FOR MARITIME INFORMATION.

    Of the amount authorized to be appropriated pursuant to section 3601(1) for operations of the Maritime Administration, $75,000 shall be available for the establishment at a State Maritime Academy of a clearinghouse for maritime information that makes that information publicly available, including by use of the Internet.

SEC. 3605. CONVEYANCE OF NDRF VESSEL EX-USS LORAIN COUNTY.

    (a) AUTHORITY TO CONVEY- The Secretary of Transportation may convey all right, title, and interest of the Federal Government in and to the vessel ex-USS LORAIN COUNTY (LST-1177) to the Ohio War Memorial, Inc., located in Sandusky, Ohio (in this section referred to as the `recipient'), for use as a memorial to Ohio veterans.
    (b) TERMS OF CONVEYANCE-
      (1) DELIVERY OF VESSEL- In carrying out subsection (a), the Secretary shall deliver the vessel--
        (A) at the place where the vessel is located on the date of conveyance;
        (B) in its condition on that date; and
        (C) at no cost to the Federal Government.
      (2) REQUIRED CONDITIONS- The Secretary may not convey a vessel under this section unless--
        (A) the recipient agrees to hold the Government harmless for any claims arising from exposure to hazardous material, including asbestos and polychlorinated biphenyls, after conveyance of the vessel, except for claims arising before the date of the conveyance or from use of the vessel by the Government after that date; and
        (B) the recipient has available, for use to restore the vessel, in the form of cash, liquid assets, or a written loan commitment, financial resources of at least $100,000.
      (3) ADDITIONAL TERMS- The Secretary may require such additional terms in connection with the conveyance authorized by this section as the Secretary considers appropriate.
    (c) OTHER UNNEEDED EQUIPMENT- The Secretary may convey to the recipient of the vessel conveyed under this section any unneeded equipment from other vessels in the National Defense Reserve Fleet, for use to restore the vessel conveyed under this section to museum quality.
Amend the title so as to read: `A bill to authorize appropriations for fiscal year 1999 for military activities of the Department of Defense, for military construction, and for defense activities of the Department of Energy, to prescribe personnel strengths for such fiscal year for the Armed Forces, and for other purposes.'.

END



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