UNITED24 - Make a charitable donation in support of Ukraine!

Military

                                  75 251                                 
                            107 th Congress                             
                                 Report                                 
                                                                             
                        HOUSE OF REPRESENTATIVES                        
                              1st Session                               
                                107 207                                 
                   MILITARY CONSTRUCTION APPROPRIATIONS BILL, 2002             
  September 20, 2001.--Committed to the Committee of the Whole House on  
 the State of the Union and ordered to be printed                        
  Mr. Hobson , from the Committee on Appropriations, submitted the       
 following                                                               
                                  REPORT                                 
                         [To accompany H.R. 2904]                        
      The Committee on Appropriations submits the following report in      
   explanation of the accompanying bill making appropriations for military 
   construction, family housing, and base realignments and closures for the
   Department of Defense for the fiscal year ending September 30, 2002.    
                               CONTENTS                                 
         Purpose of the Bill                                              2
   Conformance With Authorization Bill                                     
        2                                                                       
   Summary of Committee Recommendation                                     
        3                                                                       
   Items of Special Interest                                               
        6                                                                       
   Military Housing                                                        
        6                                                                       
   Historic Properties                                                     
        7                                                                       
   Overseas Military Construction                                          
        7                                                                       
   Building to Private Sector Standards                                    
        8                                                                       
   Contingency Funding                                                     
        9                                                                       
   Sustainment, Restoration and Modernization                              
        9                                                                       
   Fiscal Year 2002 Barracks Request                                       
        9                                                                       
   Child Development Centers                                               
        11                                                                      
   Hospital and Medical Facilities                                         
        12                                                                      
Military Construction:                                                  
          Army                                                          
        13                                                                      
          Navy                                                          
        13                                                                      
          Air Force                                                     
        14                                                                      
          Defense-wide                                                  
        14                                                                      
          Army National Guard                                           
        15                                                                      
          Air National Guard                                            
        16                                                                      
          Army Reserve                                                  
        16                                                                      
          Naval Reserve                                                 
        17                                                                      
          Air Force Reserve                                             
        17                                                                      
   NATO Security Investment Program                                        
        17                                                                      
   Family Housing Overview                                                 
        18                                                                      
Family Housing:                                                         
          Army                                                          
        20                                                                      
          Navy                                                          
        21                                                                      
          Air Force                                                     
        22                                                                      
          Defense-wide                                                  
        22                                                                      
   Department of Defense Family Housing Improvement Fund                   
        23                                                                      
   Homeowners Assistance Fund, Defense                                     
        23                                                                      
   Base Realignment and Closure                                            
        24                                                                      
   General Provisions                                                      
        25                                                                      
   Changes in Application of Existing Law                                  
        27                                                                      
   Definition of Program, Project and Activity                             
        28                                                                      
   Appropriations Not Authorized by Law                                    
        28                                                                      
   Transfer of Funds                                                       
        29                                                                      
   Rescission of Funds                                                     
        29                                                                      
   Constitutional Authority                                                
        29                                                                      
   Comparisons With Budget Resolution                                      
        29                                                                      
   Five-Year Projection of Outlays                                         
        30                                                                      
   Financial Assistance to State and Local Governments                     
        30                                                                      
   Statement of General Performance Goals and Objectives                   
        30                                                                      
   Full Committee Votes                                                    
        30                                                                      
   State List                                                              
        30                                                                      
   Comparative Statement of New Budget Authority                           
                                    PURPOSE OF THE BILL                           
      The Military Construction Appropriation Bill provides funding for    
   planning, design, construction, alteration, and improvement of military 
   facilities worldwide, both for active and reserve forces. Additionally, 
   the bill appropriates amounts for construction, alteration, improvement,
   operation, and maintenance of military family housing, and for payments 
   against past housing mortgage indebtedness. The bill provides funds for 
   the U.S. share of the NATO Security Investment Program (NSIP). Finally, 
   the bill provides funds to implement base realignments and closures     
   (BRAC) and impact assistance in communities where BRACs cause property  
   values to decrease.                                                     
                            CONFORMANCE WITH AUTHORIZATION BILL                   
      On August 1, 2001, the House Armed Services Committee marked up H.R. 
   2586, the National Defense Authorization Act for fiscal year 2002. At   
   this time, conference action on the legislation has not occurred;       
   therefore, projects in this bill are approved subject to authorization. 
                            SUMMARY OF COMMITTEE RECOMMENDATION                   
      The Committee recommends $10,500,000,000 in new budget (obligational)
   authority for the Department of Defense, Military Construction          
   Appropriation Bill. This recommendation is $528,688,000 above the       
   President's request and $1,563,502,000 above the fiscal year 2001       
   appropriation. The following table summarizes the amounts recommended in
   the bill compared to amounts appropriated in fiscal year 2001.          
[Graphic Image Not Available]
[Graphic Image Not Available]
                          TERRORIST ATTACKS OF SEPTEMBER 11, 2001                 
      The Committee fully supports the President, Departments, and agencies
   in all their efforts to recover from and respond to the terrorist       
   attacks of September 11, 2001, on the United States. The Committee is   
   committed to working with the Defense Department to ensure necessary    
   resources are available for reconstructing the Pentagon and improving   
   the anti-terrorism and force protection measures of defense facilities  
   at home and abroad.                                                     
                                 ITEMS OF SPECIAL INTEREST                        
      For the most part, the President's budget request is a great         
   improvement over past requests. The request increases the military      
   construction budget by $1,034,814,000, or 11 percent, above the fiscal  
   year 2001 enacted level of $8,936,498,000; decreases the current        
   facility replacement rate of 192 years to 101 years, and maintains the  
   goals of improving barracks and base housing by 2008 and 2010           
   respectively.                                                           
      However, military installations face other challenges not addressed  
   by the request. For example, according to the Installations Readiness   
   Report (IRR), 69% of Department of Defense (DoD) facilities continue to 
   be rated C 3 (deficiencies that prevent performing some missions) or C 4
   (major facility deficiencies that preclude accomplishing the mission    
   satisfactorily). Likewise, while the new replacement rate is better     
   under this budget, it falls short of the Department's goal of 67 years, 
   and even further than commercially-acceptable rates. Finally, the budget
   fails to implement a consistent, comprehensive strategy for maintaining 
   and recapitalizing facilities so that mission performance and quality of
   life for troops and their families are not compromised. To ameliorate   
   these problems, DoD should consider the pros and cons of implementing an
   aggressive asset management program that provides for effective and     
   routine maintenance, as well as for adequate recapitalization of        
   facilities, and determine whether it could be effectively implemented on
   military installations.                                                 
                                      MILITARY HOUSING                            
      The Committee is pleased with the Administration's commitment to     
   execute the Military Housing Privatization Initiative. However, once    
   again, this budget fails to address several issues associated with the  
   initiative. First, budget scoring of the alternative authorities is     
   inconsistent and is not always based on sound financial principles. DoD 
   is directed to work with Office of Management and Budget (OMB) to       
   compare the current scoring methodology with similar federal housing    
   programs, and to report the findings to the appropriate Congressional   
   committees by March 15, 2002. This exercise should be helpful to OMB    
   when it reexamines the scoring matrix for this program.                 
      Second, because most privatization contracts are fifty years in      
   length, the Committee believes that monitoring and enforcing contractual
   obligations will be paramount to program success. Each service should   
   begin to develop capacity in this area. Similarly, because the          
   initiative involves complex and complicated real estate transactions    
   dissimilar to the traditional military housing program, each service    
   should develop expertise in this area.                                  
      Finally, in the fiscal year 2001 appropriation bill, the Committee   
   directed each service to submit a Family Housing Master Plan no later   
   than July 1, 2001. Currently, only the Army's plan has been received by 
   the Committee. The information contained in these plans is vital because
   it enables the Committee to understand how each service intends to meet 
   the goal of eliminating all inadequate housing by fiscal year 2010.     
   Therefore, the Committee urges the Navy and Air Force to submit their   
   plans on time in the future.                                            
                                    HISTORIC PROPERTIES                           
      As noted in the past, the Committee is concerned with the inordinate 
   expenditures associated with improving and maintaining historically     
   significant properties. The National Historic Preservation Act of 1966  
   requires the Department to manage those units listed on the National    
   Historic Register, as well as any units that meet the criteria of being 
   potentially eligible for listing, in a way that preserves their historic
   significance and integrity. In the future, these costs will grow as the 
   number of properties eligible for listing on the Register grows. In the 
   next five years alone, the Department will have approximately 38,000    
   structures that reach 50 years of age.                                  
      To reduce the costs associated with maintaining historic properties, 
   the Department should pursue innovative funding sources and operating   
   methods. Several examples were discussed during the Historic Properties 
   hearing on March 15, 2001, such as expanded gift acceptance authority,  
   leasing to third parties like the Park Service, and demolition where    
   appropriate.                                                            
      During the hearing, the General Accounting Office (GAO) reported that
   inventory control systems available to the services are inaccurate. The 
   Committee recommends the services work with the Office of the Deputy    
   Under Secretary of Defense (Installations and Environment) to develop   
   better inventory controls and a plan that addresses the increasing      
   number of aging structures. Furthermore, the Committee directs the      
   Department to conduct a seminar on working with State Historic          
   Preservation Offices. Finally, the Committee directs the Department to  
   pursue a cooperative agreement with the National Trust for Historic     
   Preservation for Cold War era housing, such as Capehart, Wherry and     
   Lustron homes, that is similar to the 1986 programmatic memorandum of   
   agreement on World War II wooden buildings.                             
                               OVERSEAS MILITARY CONSTRUCTION                     
      This year, the Committee held several hearings about the condition of
   overseas military installations and facilities. The Commanders-in-Chief 
   of the European, Pacific, and Korean Commands provided testimony.       
   General Joseph Ralston, Admiral Dennis Blair, and General Thomas        
   Schwartz testified their top two spending priorities were military      
   construction and real property maintenance, and the Committee commends  
   them for their leadership.                                              
      Despite being unable to include a substantial increase in overseas   
   construction projects, the Committee would like to highlight several    
   items of interest. First, the European Command priorities of better     
   housing and vehicle maintenance facilities are duly warranted. Further, 
   the Committee commends General Ralston and his staff for their efforts  
   to close and consolidate bases scattered throughout Europe and to find  
   alternative funding sources. The Committee believes the Command would   
   benefit from a consolidated European master plan, and encourages DoD and
   General Ralston to consider the feasibility of developing a master plan 
   and report the findings to the Committee.                               
      Admiral Blair testified that as the Pacific Command becomes more     
   strategically important, its installations would require substantial    
   upgrades, particularly in the area of technology. In addition, he       
   emphasized the need to improve the living conditions throughout the     
   Command, particularly in Korea, in order to retain highly trained troops
   and staff.                                                              
      General Schwartz concurred with Admiral Blair, testifying that some  
   of the worst housing and working conditions in the Pacific Command are  
   in Korea. To ameliorate the conditions, General Schwartz has developed a
   Land Partnership Plan that consolidates many existing camps and         
   relocates troops to more suitable areas. The Committee commends him for 
   his efforts and will review the plan when the Quadrenniel Defense Review
   (QDR), which will discuss force structure requirements in Korea, is     
   submitted to Congress.                                                  
      Finally, the Committee notes that the Korean Special Measures        
   Agreement (SMA) will be re-negotiated in the near future. DoD is        
   encouraged to aggressively pursue additional host nation funding        
   consistent with the overall congressional goal of seventy-five percent  
   contained in the 1998 Defense Authorization bill.                       
                                    ENERGY EFFICIENCIES                           
      The Committee encourages energy efficiency and the maximum use of    
   energy produced from noncarbon and renewable sources at military        
   installations. The Committee is aware that the Department of Defense is 
   mandated to comply with Executive Order 13123 (``Greening the Government
   Through Efficient Energy Management'') to meet energy management        
   requirements, reduce greenhouse gases, and expand the use of renewable  
   sources.                                                                
      To assist DOD in complying with the Executive Order, and to build    
   upon the effort to expand the use of noncarbon and renewable sources,   
   the Committee directs that not later than January 1, 2003, the Secretary
   of Defense shall submit to Congress a plan to achieve at military       
   installations the goals specified in sections 201, 202, and 203 of      
   Executive Order 13123 (64 Fed. Reg. 30851; 42 U.S.C. 8251 note),        
   relating to greenhouse gases reduction goals and energy efficiency      
   improvement goals, by maximizing the use of (1) energy efficiency       
   products and services and (2) energy produced from noncarbon and        
   renewable sources.                                                      
                            BUILDING TO PRIVATE SECTOR STANDARDS                  
      Section 2803 of the National Defense Authorization Act, 2001 (Public 
   Law 106 398) repealed the military family housing square footage        
   limitations included in Section 2826 of title 10, United States Code.   
   These limitations were in place for many years and were inconsistent    
   with housing constructed in the private sector.                         
      Waiving these limitations should create incentives for the military  
   departments to replace large, inefficient housing units with more energy
   efficient and appropriately sized homes to meet the needs of military   
   families. For instance, some General and Flag Officer Quarters (GFOQs)  
   exceed 5,000 square feet because they were built for other purposes many
   decades ago. Because many of these homes are approaching 50 years of    
   age, the minimum age for inclusion on the National Historic Preservation
   list, they would require special handling for maintenance and repair    
   requirements. As a result, the costs to maintain and improve these homes
   generally exceed the costs for new homes built in the private sector.   
      The Committee directs the Department to replace larger, inefficient  
   housing units with housing built to private sector standards wherever   
   feasible. Building to local private sector standards could save the     
   Department the added cost and burden of maintaining historic homes.     
   Furthermore, when executing projects included in the fiscal year 2002   
   appropriation, the Committee expects the Department to construct housing
   to community standards rather than to the standards previously included 
   in Section 2826 of title 10, United States Code.                        
                                    CONTINGENCY FUNDING                           
      Most construction projects include a five percent reserve account to 
   offset any unexpected project costs, called contingency costs. Last     
   year, the Department did not include contingency costs in their budget  
   request in an attempt to reduce the overall budget request. This year,  
   however, the Department has requested funds sufficient to cover these   
   costs for every project, and the Committee commends them for taking this
   action.                                                                 
                        SUSTAINMENT, RESTORATION, AND MODERNIZATION               
      The Department is directed to continue describing on form 1390, the  
   backlog of Sustainment, Restoration, and Modernization needs at         
   installations with future construction projects. For troop housing      
   requests, the form 1391 should describe any Sustainment, Restoration,   
   and Modernization conducted in the past two years, and future           
   requirements for unaccompanied housing at that installation.            
   Additionally, the forms should include English equivalent measurements  
   for projects presented in metric measurement. Finally, the rules for    
   funding repairs of facilities under the Operation and Maintenance       
   account are described below:                                            
       Components of the facility may be repaired by replacement, and such 
   replacement can be up to current standards or codes.                    
       Interior arrangements and restorations may be included as repair,   
   but additions, new facilities, and functional conversions must be       
   performed as military construction projects.                            
       Such projects may be done concurrently with repair projects, as long
   as the final conjunctively funded project is a complete and usable      
   facility.                                                               
       The appropriate service secretary shall notify the appropriate      
   Committees 21 days prior to carrying out any repair project with an     
   estimated cost in excess of $7,500,000.                                 
                             FISCAL YEAR 2002 BARRACKS REQUEST                    
      The Committee recommends appropriating $1,200,525,000 to construct or
   modernize 15,466 barracks spaces in fiscal year 2002. This              
   recommendation is $35,090,000 above the request, and $391,325,000 above 
   the amount enacted in fiscal year 2001. This recommendation also        
   constructs or renovates an additional 1,854 barracks spaces, and        
   maintains the departmental goal of eliminating all inadequate barracks  
   by 2008.                                                                
      The following troop housing construction projects are recommended for
   fiscal year 2002:                                                       
                    FISCAL YEAR 2002 TROOP HOUSING PROJECTS                    
Location                          Request      Recommended  
Army:                         $45,000,000      $45,000,000  
                          ---------------  ---------------  
Subtotal, Army                524,000,000      542,700,000  
                          ===============  ===============  
Navy/Marine Corps:             21,200,000       21,200,000  
                          ---------------  ---------------  
Subtotal, Navy                448,935,000      456,265,000  
                          ===============  ===============  
Air Force:                     11,800,000       11,800,000  
                          ---------------  ---------------  
Subtotal, Air Force           192,500,000      192,500,000  
                          ===============  ===============  
Navy Reserve:                           0        9,060,000  
                          ---------------  ---------------  
Subtotal, Navy Reserve                  0        9,060,000  
                          ===============  ===============  
Total                       1,165,435,000    1,200,525,000  
                                 CHILD DEVELOPMENT CENTERS                        
      The Committee recommends $42,660,000 for child development centers.  
   This is $17,200,000 above the budget request, and $466,000 below last   
   year's enacted level.                                                   
      Child Development Centers (CDCs) remain critically important for     
   military families, especially single parents, dual-income families, and 
   spouses left behind during deployments, and the Committee commends the  
   individual services on the quality of care CDCs provide. However, the   
   Committee remains concerned with the limited number of spaces and hours 
   available at these centers, and encourages the service components to    
   expand service and increase hours where demand warrants it, and to      
   provide acceptable alternatives where it does not.                      
      The following child development center projects are provided for     
   fiscal year 2002:                                                       
                   FISCAL YEAR 2002 CHILD DEVELOPMENT CENTERS                  
Location                    Request    Recommended  
Army:                    $6,800,000     $6,800,000  
                       ------------  -------------  
Subtotal, Army           19,400,000     25,900,000  
                       ============  =============  
Navy/Marine Corps:        6,060,000      6,060,000  
                       ------------  -------------  
Subtotal, Navy            6,060,000      6,060,000  
                       ============  =============  
Air Force:                        0      6,200,000  
                       ------------  -------------  
Subtotal, Air Force               0     10,700,000  
                       ============  =============  
Total                    25,460,000     42,660,000  
                              HOSPITAL AND MEDICAL FACILITIES                     
      Consistent with the budget request, the Committee recommends         
   appropriating $198,826,000 for hospitals and medical facilities. The    
   request includes $193,300,000 for 22 projects, and $5,526,000 for       
   unspecified minor construction. The recommended appropriation is        
   $57,589,000 above last year's enacted level.                            
      The Committee recognizes and commends the Army's application of      
   population-based planning and industry-based facility assessments in    
   their development of medical and other facility infrastructure repair   
   and recapitalization requirements. The Committee is interested in how   
   DoD interprets and further develops requirements into rational,         
   life-cycle based investments to support the Defense Health Program.     
   Using the GAO findings in Report NS/IAD 99 100 that outline the needs of
   DoD infrastructure, the Department is directed to provide to the        
   appropriate Committees a strategy for medical facility and installation 
   asset management and funding by May 15, 2002.                           
      The following hospital and medical facilities are recommended for    
   fiscal year 2002:                                                       
Location                                        Project Title                                         Request    Recommended  
Alaska-Fort Wainwright                          Hospital Replacement (Phase III)                  $18,500,000    $18,500,000  
California-Camp Pendleton Marine Corps Base     Fleet Hospital Support Facilities                   3,150,000      3,150,000  
California-Camp Pendleton Marine Corps Base     Replace Medical/Dental Clinic (Horno)               4,300,000      4,300,000  
California-Camp Pendleton Marine Corps Base     Replace Medical/Dental Clinic (Las Flores)          3,800,000      3,800,000  
California-Camp Pendleton Marine Corps Base     Replace Medical/Dental Clinic (Las Pulgas)          4,050,000      4,050,000  
California-Twentynine Palms                     Hospital LDRP Conversion                            1,600,000      1,600,000  
Colorado-Schriever AFB                          Medical/Dental Clinic                               4,000,000      4,000,000  
Florida-Hurlburt Field                          Add/Alter Medical/Dental Clinic                     8,800,000      8,800,000  
Florida-Mayport Naval Station                   Replace Medical/Dental Clinic                      24,000,000     24,000,000  
Georgia-Albany Marine Corps Logistics Base      Replace Medical/Dental Clinic                       5,800,000      5,800,000  
Georgia-Fort Stewart                            Consolidated Troop Medical Clinic                  11,000,000     11,000,000  
Maryland-Andrews AFB                            Add/Alter Medical/Dental Clinic                     7,300,000      7,300,000  
Maryland-Andrews AFB                            Branch Medical/Dental Clinic Relocation             2,950,000      2,950,000  
New Mexico-Holloman AFB                         Medical Clinic Alteration                           5,700,000      5,700,000  
Texas-Dyess AFB                                 Medical Treatment Facility Alteration               3,300,000      3,300,000  
Texas-Fort Hood                                 Add/Alter Hospital                                 12,200,000     12,200,000  
Virginia-Norfolk                                Add/Alter Branch Medical Clinic                    21,000,000     21,000,000  
Washington-Whidbey Island Naval Air Station     Water Survival Facility                             6,600,000      6,600,000  
Wyoming-F. E. Warren AFB                        Medical Clinic Alteration                           2,700,000      2,700,000  
Germany-Heidelberg                              Hospital Addition/Clinic Alteration                28,000,000     28,000,000  
Greenland-Thule AB                              Composite Medical Facility Replacement             10,800,000     10,800,000  
Portugal-Lajes Field                            Dental Clinic Replacement                           3,750,000      3,750,000  
Various                                         Unspecified Minor Construction                      5,526,000      5,526,000  
                                                ---------------------------------------------  --------------  -------------  
Total                                                                                             198,826,000    198,826,000  
                                MILITARY CONSTRUCTION, ARMY                       
                                                                   
     xlFiscal year 2001:                                                
       Appropriation                                      $907,243,000  
       Miscellaneous Appropriation (P.L. 106 554)           26,941,000  
       Supplemental Appropriation (P.L. 107 20)              9,144,000  
        Total                                              943,328,000  
     Fiscal year 2002 estimate                           1,760,541,000  
     Committee recommendation in the bill                1,702,934,000  
     xlComparison with:                                                 
       Fiscal year 2001 appropriation                     +759,606,000  
       Fiscal year 2002 estimate                           -57,607,000  
      The Committee recommends a total of $1,702,934,000 for Military      
   Construction, Army, for fiscal year 2002. This is a decrease of         
   $57,607,000 below the budget request and an increase of $759,606,000    
   above the fiscal year 2001 appropriation.                               
      The budget request proposes, as it has for several years, that       
   chemical demilitarization projects be appropriated in this account.     
   However, the Committee recommends that the request of $172,500,000 be   
   appropriated in the ``Military Construction, Defense-wide'' account, in 
   order to better track expenses, and to avoid distorting the size of the 
   Army's military construction program.                                   
       Pennsylvania-Tobyhanna Army Depot: Training and Conference Center.  
   --Of the additional amount provided for planning and design within this 
   account, the Committee directs that not less than $225,000 be made      
   available to design this facility.                                      
       Worldwide Classified-Classified Location: Classified Project. --The 
   Military Construction Appropriations Act, 2000 (Public Law 106 52)      
   appropriated $36,400,0000 for a classified project at a classified      
   location. This project has been cancelled. As a result, the Committee   
   rescinds $36,400,000 from the ``Military Construction, Army'' account.  
                                MILITARY CONSTRUCTION, NAVY                       
                                                                 
     xlFiscal year 2001:                                              
       Appropriation                                    $926,224,000  
       Supplemental Appropriation (P.L. 107 20)            3,187,000  
        Total                                            929,411,000  
     Fiscal year 2002 estimate                         1,071,408,000  
     Committee recommendation in the bill              1,134,660,000  
     xlComparison with:                                               
       Fiscal year 2001 appropriation                   +205,249,000  
       Fiscal year 2002 estimate                         +63,252,000  
      The Committee recommends a total of $1,134,660,000 for Military      
   Construction, Navy, for fiscal year 2002. This is an increase of        
   $63,252,000 above the budget request and an increase of $205,249,000    
   above the fiscal year 2001 appropriation. The Committee rescinds        
   $19,588,000 of unobligated planning and design funds from this account. 
   These funds will be used to offset unfunded Navy BRAC requirements.     
       California-Monterey Naval Postgraduate School: Replacement of       
   Spanagel Hall. --The Committee is aware that a new academic facility is 
   needed at the Naval Postgraduate School. Spanagel Hall is almost 50     
   years old and is costly to maintain. Furthermore, the facility suffers  
   from substandard classrooms and laboratories incapable of supporting    
   today's advanced technologies. A new facility is critical to the        
   continued success of graduate education for the Navy. Therefore, the    
   Committee encourages the Navy to make this project a priority and       
   program the requirement within the Future Years Defense Plan.           
       Mississippi-Meridian NAS: Airfield Lighting. --The Committee is     
   aware that the existing airfield electrical distribution system at the  
   Meridian Naval Air Station (NAS) is 40 years old and impedes flight     
   operations. In addition, the current lighting system in place at        
   Meridian NAS does not meet Naval Air Systems Command criteria.          
   Therefore, the Committee encourages the Navy to make this project a     
   priority within the Future Years Defense Plan.                          
       Washington-Keyport Naval Undersea Warfare Center .--The Committee   
   understands that a Center for Integrated Undersea Warfare (USW) Systems 
   Dependability is needed at the Keyport Naval Undersea Warfare Center to 
   integrate all range communications and worldwide communication links for
   the Northwest Range Complex and ensure access to the Complex for all    
   fleet and Navy customers. Consequently, the Committee encourages the    
   Navy to make this project a priority within the Future Years Defense    
   Program.                                                                
       Japan-Camp Schwab: 3rd Marine Expeditionary Force Training Facility.
   --With the additional funds provided for Unspecified Minor Construction,
   the Committee directs the Navy to execute a project in the amount of    
   $1,490,000 to provide this facility.                                    
                              MILITARY CONSTRUCTION, AIR FORCE                    
                                                                   
     xlFiscal year 2001:                                                
       Appropriation                                      $868,294,000  
       Miscellaneous Appropriation (P.L. 106 554)           11,974,000  
       Supplemental Appropriation (P.L. 107 20)              5,065,000  
        Total                                              885,333,000  
     Fiscal year 2002 estimate                           1,068,250,000  
     Committee recommendation in the bill                1,185,220,000  
     xlComparison with:                                                 
       Fiscal year 2001 appropriation                     +299,887,000  
       Fiscal year 2002 estimate                          +116,970,000  
      The Committee recommends a total of $1,185,220,000 for Military      
   Construction, Air Force, for fiscal year 2002. This is an increase of   
   $116,970,000 above the budget request and an increase of $299,887,000   
   above the fiscal year 2001 appropriation.                               
       Delaware-Dover Air Force Base. --The Committee recognizes that an   
   Occupational Safety and Health Administration (OSHA) compliant fire     
   station and a modern control tower at Dover Air Force Base are vital to 
   the mission capability of our armed services. Funding for these projects
   will increase safety, efficiency, and effectiveness of Dover Air Force  
   Base. The Committee considers these projects as top priorities, and     
   encourages the Air Force to include this project in the Future Years    
   Defense Plan.                                                           
                            MILITARY CONSTRUCTION, DEFENSE-WIDE                   
                                                                
     xlFiscal year 2001:                                             
       Appropriation                                   $812,839,000  
       Supplemental Appropriation (P.L. 107 20)         -14,376,000  
        Total                                           798,463,000  
     Fiscal year 2002 estimate                          694,558,000  
     Committee recommendation in the bill               852,808,000  
     xlComparison with:                                              
       Fiscal year 2001 appropriation                   +54,345,000  
       Fiscal year 2002 estimate                       +158,250,000  
      The Committee recommends a total of $852,808,000 for Military        
   Construction, Defense-wide, for fiscal year 2002. This is an increase of
   $158,250,000 above the budget request and an increase of $54,345,000    
   above the fiscal year 2001 level.                                       
       Aruba-Forward Operating Location. --Division B, Title III, Chapter 3
   of the Military Construction Appropriations Act, 2001 (Public Law 106   
   246) appropriated a total of $10,250,000 to construct a Forward         
   Operating Location in Aruba. This requirement is no longer needed.      
   Therefore, the Committee rescinds $10,250,000 from the ``Military       
   Construction, Defense-wide'' account.                                   
       Chemical Demilitarization. --The 1986 National Defense Authorization
   Act (Public Law 99 145) authorized the Chemical Demilitarization program
   for the purpose of destroying all U.S. stockpiled chemical agents and   
   weapons by April 29, 2007. In 1991, Congress expanded the law to include
   the destruction of chemical warfare material not part of the stockpile, 
   such as buried munitions and former weapons production facilities. The  
   Department of the Army is the agent responsible for program management  
   and oversight. As requested by the President, the Committee recommends  
   appropriating $172,500,000 for chemical demilitarization projects, which
   is $2,900,000 below the amount appropriated in fiscal year 2001. The    
   following chart displays the fiscal year 2002 funding increments:       
State       Installation                     Project                                                   Request    Recommended  
Arkansas    Pine Bluff Arsenal               Ammunition Demilitarization Facility (Phase VI)       $26,000,000    $26,000,000  
Colorado    Pueblo Depot                     Ammunition Demilitarization Facility (Phase III)       11,000,000     11,000,000  
Indiana     Newport Army Ammunition Plant    Ammunition Demilitarization Facility (Phase IV)        66,000,000     66,000,000  
Kentucky    Blue Grass Army Depot            Ammunition Demilitarization Facility (Phase II)         3,000,000      3,000,000  
Maryland    Aberdeen Proving Ground          Ammunition Demilitarization Facility (Phase IV)        66,500,000     66,500,000  
                                                                                                 -------------  -------------  
Total                                                                                              172,500,000    172,500,000  
                         MILITARY CONSTRUCTION, ARMY NATIONAL GUARD               
                                                                  
     xlFiscal year 2001:                                               
       Appropriation                                     $281,097,000  
       Miscellaneous Appropriation (P.L. 106 554)           4,490,000  
        Total                                             285,587,000  
     Fiscal year 2002 estimate                            267,389,000  
     Committee recommendation in the bill                 313,348,000  
     xlComparison with:                                                
       Fiscal year 2001 appropriation                     +27,761,000  
       Fiscal year 2002 estimate                          +45,959,000  
      The Committee recommends a total of $313,348,000 for Military        
   Construction, Army National Guard, for fiscal year 2002. This is an     
   increase of $45,959,000 above the budget request and an increase of     
   $27,761,000 above the fiscal year 2001 appropriation.                   
       Arkansas-Warren: Readiness Center. --The Committee is aware that a  
   new armory is needed to accommodate various classrooms, offices and     
   utility-related rooms for the 3rd Battalion 153 Infantry in Warren,     
   Arkansas. The Committee encourages the Army National Guard to make this 
   project a priority within the Future Years Defense Plan.                
       Michigan-Shiawassee County: Readiness Center. --The Committee       
   understands that a readiness center in Shiawassee County, Michigan would
   alleviate the problems currently associated with soldiers assigned to an
   overcrowded, substandard, and aged facility in nearby Owosso. Therefore,
   the Committee encourages the Army National Guard to make this project a 
   priority within the Future Years Defense Plan.                          
                         MILITARY CONSTRUCTION, AIR NATIONAL GUARD                
                                                                
     xlFiscal year 2001:                                             
       Appropriation                                   $203,381,000  
       Supplemental Appropriation (P.L. 107 20)           6,700,000  
        Total                                           210,081,000  
     Fiscal year 2002 estimate                          149,072,000  
     Committee recommendation in the bill               198,803,000  
     xlComparison with:                                              
       Fiscal year 2001 appropriation                   -11,278,000  
       Fiscal year 2002 estimate                        +49,731,000  
      The Committee recommends a total of $198,803,000 for Military        
   Construction, Air National Guard, for fiscal year 2002. This is an      
   increase of $49,731,000 above the budget request and a decrease of      
   $11,278,000 below the fiscal year 2001 appropriation.                   
       Montana-Malmstrom AFB: Training and Mobility Storage Facility. --The
   Committee understands that a training and mobility storage facility is  
   needed for the Montana Air National Guard's 219th Red Horse team for    
   storage of mobility equipment, cargo preparation and processing,        
   equipment maintenance, and an indoor team training area. Consequently,  
   the Committee encourages the Air National Guard to make this project a  
   priority within the Future Years Defense Plan.                          
       South Carolina-McEntire Air National Guard Station: Joint           
   Headquarters. --Of the additional amount provided for planning and      
   design in this account, the Committee directs that not less than        
   $1,331,000 be made available to design this facility.                   
       Delaware-New Castle County Airport .--The Committee recognizes that 
   an upgraded parking apron/taxiway for the Air National Guard at New     
   Castle County Airport is vital to the mission capability of our armed   
   services. Funding for this project will increase safety, efficiency, and
   effectiveness of the Air National Guard at New Castle County Airport.   
   The Committee considers this project a top priority, and encourages the 
   Air National Guard to include the project in the Future Years Defense   
   Plan.                                                                   
                            MILITARY CONSTRUCTION, ARMY RESERVE                   
                                                          
     Fiscal year 2001 appropriation              $108,499,000  
     Fiscal year 2002 estimate                    111,404,000  
     Committee recommendation in the bill         167,769,000  
     xlComparison with:                                        
       Fiscal year 2001 appropriation             +59,270,000  
       Fiscal year 2002 estimate                  +56,365,000  
      The Committee recommends a total of $167,769,000 for Military        
   Construction, Army Reserve, for fiscal year 2002. This is an increase of
   $56,365,000 above the budget request and an increase of $59,270,000     
   above the fiscal year 2001 appropriation.                               
       Pennsylvania-Johnstown: Security Improvements. --With the additional
   funds provided for Unspecified Minor Construction, the Committee directs
   the Army Reserve to execute a project in the amount of $500,000 to      
   improve security at this location.                                      
                            MILITARY CONSTRUCTION, NAVAL RESERVE                  
                                                         
     Fiscal year 2001 appropriation              $61,931,000  
     Fiscal year 2002 estimate                    33,641,000  
     Committee recommendation in the bill         61,426,000  
     xlComparison with:                                       
       Fiscal year 2001 appropriation               -505,000  
       Fiscal year 2002 estimate                 +27,785,000  
      The Committee recommends a total of $61,426,000 for Military         
   Construction, Naval Reserve, for fiscal year 2002. This is an increase  
   of $27,785,000 above the budget request and a decrease of $505,000 below
   the fiscal year 2001 appropriation. The Committee rescinds $925,000 of  
   unobligated planning and design funds from this account. These funds    
   will be used to offset unfunded Navy BRAC requirements.                 
       Louisiana-New Orleans Joint Reserve Base: Joint Reserve Center and  
   Runway Extension. --The Committee recommends $10,000,000 for the second 
   phase of the Joint Reserve Center at the New Orleans Joint Reserve Base 
   (JRB). This joint use center will include the Army Reserve and other    
   reserve components. As stated in the House Report accompanying the      
   fiscal year 2001 Military Construction Appropriations Bill (Report 106  
   614), this multi-service center can dramatically increase deployment,   
   mobilization, and training capabilities. In addition to this project,   
   the Department of the Navy is encouraged to complete design of the      
   4,000-foot runway extension project at the New Orleans JRB and make the 
   project a priority within the Future Years Defense Plan.                
                          MILITARY CONSTRUCTION, AIR FORCE RESERVE                
                                                         
     Fiscal year 2001 appropriation              $36,510,000  
     Fiscal year 2002 estimate                    53,732,000  
     Committee recommendation in the bill         81,882,000  
     xlComparison with:                                       
       Fiscal year 2001 appropriation            +45,372,000  
       Fiscal year 2002 estimate                 +28,150,000  
      The Committee recommends a total of $81,882,000 for Military         
   Construction, Air Force Reserve, for fiscal year 2002. This is an       
   increase of $28,150,000 above the budget request and an increase of     
   $45,372,000 above the fiscal year 2001 appropriation.                   
       C 17 Facilities. --Of the additional amount provided for planning   
   and design within this account, the Committee directs that no less than 
   $3,000,000 be made available for planning and site assessments of March 
   AFB and Wright-Patterson AFB in order to provide long-term support for C
   17 aircraft within Air Force Reserve Command operations.                
               NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT PROGRAM     
                                                          
     Fiscal year 2001 appropriation              $171,622,000  
     Fiscal year 2002 estimate                    162,600,000  
     Committee recommendation in the bill         162,600,000  
     xlComparison with:                                        
       Fiscal year 2001 appropriation              -9,022,000  
       Fiscal year 2002 estimate                            0  
      The NATO Security Investment Program (NSIP) is paid for with annual  
   contributions by NATO member countries. The program finances the costs  
   of construction needed to support the roles of the major NATO commands. 
   The investments cover facilities such as airfields, fuel pipelines and  
   storage, harbors, communications and information systems, radar and     
   navigational aids, and military headquarters. The U.S. share of the NSIP
   for fiscal year 2002 is $199,000,000, or roughly 25% of the total NSIP  
   program amount of $802,000,000.                                         
      Consistent with the budget request, the Committee recommends         
   $162,600,000 for the NSIP, which is a decrease of $9,022,000 below the  
   appropriation for fiscal year 2001. To offset the total U.S. share of   
   the program, $11,000,000 from projected savings from recoupments of     
   pre-financed projects, and $25,000,000 from prior year obligations, are 
   available for expenditure.                                              
      In each year since 1997, the U.S. has been forced to temporarily     
   block authorization of projects due to shortfalls in U.S. obligation    
   authority. The Committee is concerned that the U.S. has been placed in  
   this position, and has been assured by DoD that the total U.S. program  
   share of $199,000,000 is sufficient to preclude similar action in the   
   future. Nevertheless, the Committee intends to monitor the program, and 
   directs DoD to notify the Committee within 30 days after taking such    
   action.                                                                 
                                  FAMILY HOUSING OVERVIEW                         
      Historically, housing for military personnel and their families has  
   been a low priority for DoD. Consequently, the inventory is old and in  
   most cases is substandard. Currently, DoD estimates that 180,000 of the 
   300,000 military family housing units it owns and operates are          
   substandard, and that it would cost more than $16 billion to improve or 
   replace them.                                                           
      In testimony before this subcommittee on March 8, 2001, senior       
   enlisted service members stated that housing was one of the most        
   important factors soldiers, sailors, airmen, and Marines consider when  
   deciding whether to remain on active duty or to leave the service.      
   Military spouses who testified before the subcommittee echoed these     
   statements.                                                             
      To ameliorate the costs associated with providing decent housing,    
   Congress authorized the Military Housing Privatization Initiative. The  
   initiative's intent is to create more housing quickly, to attract       
   private capital, and to make the private sector responsible for         
   providing routine maintenance for the term of the contract. Whether the 
   initiative has been successful is still unclear.                        
                                  COMMITTEE RECOMMENDATION                        
      The Committee recommends funding of $1,165,309,000 for family housing
   construction for fiscal year 2002, an increase of $50,880,000 above the 
   budget request, and $261,224,000 above the fiscal year 2001             
   appropriation. The following chart provides a service component breakout
   of the current family housing deficit, both in units and in cost of new 
   construction, replacement, and improvements:                            
                         DEFICITS (CURRENT PROJECTIONS)                        
                             [Dollars in thousands]                            
                   New construction    Replacement    Improvement    Grand total  
Army:                         1,368          3,724         26,769         31,861  
Navy:                        15,600          5,569         18,801         39,970  
Marine Corps:                 9,449          8,501          7,805         25,755  
Air Force:                    6,000         26,300         32,900         65,200  
Total DOD:                   32,417         44,094         86,275        162,786  
      The fiscal year 2002 request for operation and maintenance totals    
   $2,939,969,000. The operations and maintenance accounts provide for     
   annual family housing expenditures for maintenance and repair,          
   furnishings, management, services, utilities, leasing, interest,        
   mortgage insurance, and miscellaneous expenses. The Committee recommends
   a total of $2,908,409,000 for fiscal year 2002 which is $31,560,000     
   below the President's request and $154,876,000 above the fiscal year    
   2001 appropriation.                                                     
                                     UTILITY ESTIMATES                            
      The Committee includes a total reduction of $30,000,000 to the       
   following appropriations because current utility rates are more         
   favorable than the Department predicted when it submitted its fiscal    
   year 2002 budget request:                                               
                                                                                     
     Family Housing Operations and Maintenance, Army                        -$11,000,000  
     Family Housing Operations and Maintenance, Navy and Marine Corps         -8,000,000  
     Family Housing Operations and Maintenance, Air Force                    -11,000,000  
                                                                     --------------  
        Total                                                               -$30,000,000  
                                  FOREIGN CURRENCY SAVINGS                        
      Once again, the Committee directs that savings from foreign currency 
   re-estimates be used to maintain existing family housing units. The     
   Comptroller is directed to report to the Committee on how these savings 
   are allocated by December 1, 2002. Likewise, only 10% of funds made     
   available to the construction account and operation and maintenance     
   accounts may be transferred between the accounts. Such transfers must be
   reported to the Committee within thirty days of such action.            
                               LEASING REPORTING REQUIREMENT                      
      The Committee continues the reporting requirement for both domestic  
   and foreign leases. For domestic leases (not funded by the Defense      
   Family Housing Improvement Fund), the Department is directed to report  
   quarterly on the details of all new or renewal domestic leases entered  
   into during the previous quarter which exceed $12,000 per unit per year,
   including certification that less expensive housing was not available   
   for lease. For foreign leases, the Department is directed to: perform an
   economic analysis on all new leases or lease/contract agreements where  
   more than 25 units are involved; report the details of new or renewal   
   lease that exceeds $20,000 per year (as adjusted for foreign currency   
   fluctuation from October 1, 1987, but not adjusted for inflation) 21    
   days prior to entering into such an agreement; and base leasing         
   decisions on the economic analysis.                                     
                                   REPROGRAMMING CRITERIA                         
      The reprogramming criteria that apply to military construction       
   projects (25 percent of the funded amount or $2,000,000, whichever is   
   less) also apply to new housing construction projects and improvement   
   projects over $2,000,000.                                               
                             FAMILY HOUSING CONSTRUCTION, ARMY                    
                                                          
     Fiscal year 2001 appropriation              $235,437,000  
     Fiscal year 2002 estimate                    291,542,000  
     Committee recommendation in the bill         294,042,000  
     xlComparison with:                                        
       Fiscal year 2001 appropriation             +58,605,000  
       Fiscal year 2002 estimate                   +2,500,000  
      The Committee recommends a total of $294,042,000 for Family Housing  
   Construction, Army, for fiscal year 2002. This appropriation is an      
   increase of $2,500,000 above the budget request, and an increase of     
   $58,605,000 above the fiscal year 2001 appropriation. The appropriation 
   includes $61,700,000 to construct new family housing units, $220,750,000
   to improve existing units, and $11,592,000 for planning and design.     
       California-Presidio of Monterey: Residential Communities Initiative.
   --The military family housing at the Presidio of Monterey is scheduled  
   for privatization under the Residential Communities Initiative (RCI)    
   program in fiscal year 2002. The scope of the planned project is 1,675  
   housing units. The National Defense Authorization Act for fiscal year   
   2000 (Public Law 106 65) included a provision, which expanded the types 
   of entities eligible to participate in the Military Housing             
   Privatization Initiative (MHPI) to include a State or local government, 
   or a housing authority of a State or local government. Therefore, the   
   Committee expects that governmental entities, specifically local housing
   authorities, shall have standing to submit proposals and compete fairly 
   for the privatization of military family housing at the Presidio of     
   Monterey in California.                                                 
                      FAMILY HOUSING OPERATIONS AND MAINTENANCE, ARMY             
                                                                 
     xlFiscal year 2001:                                              
       Appropriation                                    $949,655,000  
       Supplemental Appropriation (P.L. 107 20)           26,480,000  
        Total                                            976,135,000  
     Fiscal year 2002 estimate                         1,108,991,000  
     Committee recommendation in the bill              1,096,431,000  
     xlComparison with:                                               
       Fiscal year 2001 total appropriation             +120,296,000  
       Fiscal year 2002 estimate                         -12,560,000  
      The Committee recommends a total of $1,096,431,000 for Family Housing
   Operations and Maintenance, Army, for fiscal year 2002. This            
   appropriation is a decrease of $12,560,000 below the budget request, and
   an increase of $120,296,000 above the fiscal year 2001 appropriation.   
       Maintenance and Repair: General Quarters. --The Committee defers    
   $1,560,000 from the maintenance and repair account until further        
   justification is provided for two general officer quarters projects.    
   Specifically, the Committee defers $1,200,000 for the maintenance and   
   repair of Quarters 3 at Fort McNair in Washington, DC; and $360,000 for 
   the maintenance and repair of Quarters 1000 at Camp Zama in Japan.      
                     FAMILY HOUSING CONSTRUCTION, NAVY AND MARINE CORPS           
                                                            
     Fiscal year 2001 appropriation                $417,235,000  
     Fiscal year 2002 estimate                      304,400,000  
     Committee recommendation in the bill           334,780,000  
     xlComparison with:                                          
       Fiscal year 2001 total appropriation         -82,455,000  
       Fiscal year 2002 estimate                    +30,380,000  
      The Committee recommends a total of $334,780,000 for Family Housing, 
   Navy and Marine Corps, for fiscal year 2002. This is an increase of     
   $30,380,000 above the budget request, and a decrease of $82,455,000     
   below the fiscal year 2001 appropriation. The appropriation includes    
   $124,847,000 to construct new family housing units, $203,434,000 to     
   improve existing units, and $6,499,000 for planning and design.         
       Construction Improvements. --Of the amount provided for construction
   improvements, the Secretary of the Navy is directed to execute the      
   following projects: $11,840,000 for whole-site revitalization (69 units)
   at Barking Sands Pacific Missile Range Facility in Hawaii, $6,940,000   
   for whole house revitalization (124 units) at Westover Air Reserve Base 
   in Massachusetts, and $1,600,000 to renovate Quarters 1 and Quarters 3  
   at 8th and I Marine Barracks in Washington, DC.                         
       Washington, DC--8th and I Marine Barracks: Historic Residences.     
   --The Committee notes the Secretary of the Navy is authorized to use    
   funds received pursuant to section 2601 of title 10, United States Code,
   for the construction, improvement, repair, and maintenance of historic  
   residences located at the 8th and I Marine barracks. The Committee      
   directs the Secretary of the Navy to use funds received pursuant to this
   authority to offset the total cost of all construction improvement      
   projects at 8th and I Marine Barracks included in the fiscal year 2002  
   appropriation.                                                          
              FAMILY HOUSING OPERATIONS AND MAINTENANCE, NAVY AND MARINE CORPS    
                                                                
     xlFiscal year 2001:                                             
       Appropriation                                   $879,625,000  
       Supplemental Appropriation (P.L. 107 20)          20,300,000  
        Total                                           899,925,000  
     Fiscal year 2002 estimate                          918,095,000  
     Committee recommendation in the bill               910,095,000  
     xlComparison with:                                              
       Fiscal year 2001 total appropriation             +10,170,000  
       Fiscal year 2002 estimate                         -8,000,000  
      The Committee recommends a total of $910,095,000 for Family Housing  
   Operations and Maintenance, Navy and Marine Corps, for fiscal year 2002.
   This appropriation is a decrease of $8,000,000 below the budget request,
   and an increase of $10,170,000 above the fiscal year 2001 appropriation.
                           FAMILY HOUSING CONSTRUCTION, AIR FORCE                 
                                                          
     Fiscal year 2001 appropriation              $251,413,000  
     Fiscal year 2002 estimate                    518,237,000  
     Committee recommendation in the bill         536,237,000  
     xlComparison with:                                        
       Fiscal year 2001 appropriation            +284,824,000  
       Fiscal year 2002 estimate                  +18,000,000  
      The Committee recommends a total of $536,237,000 for Family Housing  
   Construction, Air Force, for fiscal year 2002. This appropriation is an 
   increase of $18,000,000 above the budget request, and an increase of    
   $284,824,000 above the fiscal year 2001 appropriation. The appropriation
   includes $140,800,000 to construct new family housing units,            
   $370,879,000 to improve existing units, and $24,558,000 for planning and
   design.                                                                 
       Construction Improvements. --Of the amount provided for construction
   improvements, the Secretary of the Air Force is directed to execute the 
   following project: $18,000,000 for Whole Neighborhood Revitalization    
   (164 units) at Whiteman Air Force Base in Missouri.                     
                    FAMILY HOUSING OPERATIONS AND MAINTENANCE, AIR FORCE          
                                                               
     xlFiscal year 2001:                                            
       Appropriation                                  $819,061,000  
       Supplemental Appropriation (P.L. 107 20)         13,625,000  
        Total                                          832,686,000  
     Fiscal year 2002 estimate                         869,121,000  
     Committee recommendation in the bill              858,121,000  
     Comparison with:                                               
       Fiscal year 2001 total appropriation            +25,435,000  
       Fiscal year 2002 estimate                       -11,000,000  
      The Committee recommends a total of $858,121,000 for Family Housing  
   Operations and Maintenance, Air Force, for fiscal year 2002. This       
   appropriation is a decrease of $11,000,000 below the budget request, and
   an increase of $25,435,000 above the fiscal year 2001 appropriation.    
                                FAMILY HOUSING, DEFENSE-WIDE                      
                                                        
     Fiscal year 2001 appropriation             $44,787,000  
     Fiscal year 2002 estimate                   44,012,000  
     Committee recommendation in the bill        44,012,000  
     xlComparison with:                                      
       Fiscal year 2001 appropriation              -775,000  
       Fiscal year 2002 estimate                          0  
      Consistent with the budget request, the Committee recommends         
   $44,012,000 for Family Housing, Defense-wide, for fiscal year 2002. This
   amount is a decrease of $775,000 below the appropriation for fiscal year
   2001. Of this amount $250,000 is for construction, $43,762,000 is for   
   operations and maintenance.                                             
                   DEPARTMENT OF DEFENSE FAMILY HOUSING IMPROVEMENT FUND          
                                                       
     Fiscal year 2001 appropriation                      0  
     Fiscal year 2002 estimate                  $2,000,000  
     Committee recommendation in the bill        2,000,000  
     xlComparison with:                                     
       Fiscal year 2001 appropriation           +2,000,000  
       Fiscal year 2002 estimate                         0  
      The Family Housing Improvement Fund is used to build or renovate     
   family housing by mixing or matching various authorities in the         
   authorization, and by utilizing private capital and expertise to the    
   maximum extent possible. The fund, administered as a single account     
   without fiscal year limitations, contains appropriated and transferred  
   funds from family housing construction accounts. The total value in     
   budget authority of all contracts and investments undertaken may not    
   exceed $850,000,000. Proceeds from investments, leases, and conveyances 
   are deposited into this fund, and any use of the fund is subject to     
   annual appropriations. The authority to utilize the alternative         
   authorities is due to expire on December 31, 2004; however, the         
   Committee supports the House Armed Services Committee proposal to make  
   the authorities permanent.                                              
      Consistent with the budget request, the Committee recommends         
   $2,000,000 for the Department of Defense Family Housing Improvement Fund
   for fiscal year 2002, which is $2,000,000 above the fiscal year 2001    
   appropriation. The Department is directed to continue providing         
   quarterly status reports on each privatization project.                 
                            HOMEOWNERS ASSISTANCE FUND, DEFENSE                   
                                                        
     Fiscal year 2001 appropriation                       0  
     Fiscal year 2002 estimate                  $10,119,000  
     Committee recommendation in the bill        10,119,000  
     xlComparison with:                                      
       Fiscal year 2001 appropriation           +10,119,000  
       Fiscal year 2002 estimate                          0  
      The Homeowners Assistance Fund is a non-expiring revolving fund which
   provides assistance to homeowners. The fund was established in          
   recognition that base closure and reduction actions cause adverse       
   economic impacts on local communities. Service members may access the   
   fund when military installations are closed or operations are reduced,  
   and the value of their home diminishes accordingly. The fund receives   
   funding from several sources: appropriations, borrowing authority,      
   reimbursable authority, prior fiscal year unobligated balances, revenue 
   from sale of acquired properties, and recovery of prior year            
   obligations.                                                            
      Consistent with the budget request, the Committee appropriates       
   $10,119,000 for the Homeowners Assistance Fund for fiscal year 2002,    
   which is $10,119,000 above the appropriation for fiscal year 2001.      
      Total Fund requirements for fiscal year 2002 are estimated to be     
   $31,615,000. Additional amounts will be derived from transfers from the 
   Base Realignment and Closure account, revenue from sales of acquired    
   property, and prior year unobligated balances.                          
                            BASE REALIGNMENT AND CLOSURE ACCOUNT                  
                                                                 
     xlFiscal year 2001:                                              
       Appropriation                                  $1,022,115,000  
       Supplemental Appropriation (P.L. 107 20)            9,000,000  
        Total                                          1,031,115,000  
     Fiscal year 2002 estimate                          $532,200,000  
     Committee recommendation in the bill                552,713,000  
     xlComparison with:                                               
       Fiscal year 2001 appropriation                   -478,402,000  
       Fiscal year 2002 estimate                          20,513,000  
      The Defense Authorization Amendments and Base Closure and Realignment
   Act of 1988 (Public Law 100 526) and the Defense Base Closure and       
   Realignment Act of 1990 (Public Law 101 510) enacted legislation that   
   instituted four base realignment and closure (BRAC) rounds between 1988 
   and 1995 for the purposes of reducing excess military bases and         
   infrastructure. The BRAC rounds closed 97 of 495 major domestic         
   installations, realigned several other facilities, and are estimated to 
   save $15.5 billion through fiscal year 2001. BRAC legislation requires  
   DoD to fund the environmental restoration and caretaker costs for       
   facilities closed in previous BRAC rounds.                              
      The Committee is recommending $552,713,000 for the Base Realignment  
   and Closure Account for fiscal year 2002, which is $478,402,000 below   
   the amount appropriated in fiscal year 2001, and $20,513,000 above the  
   President's request. The additional amount is for previously unfunded   
   cleanup requirements at Navy BRAC sites. Of the total amount provided,  
   $544,983,000 is for environmental restoration and caretaker costs of    
   facilities closed under previous rounds of BRAC. Also included in the   
   appropriation is $7,730,000 that will be transferred during execution to
   the Homeowner's Assistance Program to provide assistance to military    
   personnel and civilian homeowners affected by base closures.            
      The Congress has appropriated, to date, a net total of               
   $21,141,854,000 for the BRAC program from fiscal years 1990 through     
   2001. Within this total, the Department has allocated $6,868,497,000 for
   activities associated with environmental restoration.                   
      The Committee, in appropriating such funds, has provided the         
   Department with the flexibility to allocate funds by service component, 
   by functions and by base. Recognizing the complexities of providing for 
   environmental restoration of properties, the Committee has provided     
   flexibility to allow the Office of the Secretary of Defense to monitor  
   program execution to redistribute unobligated balances as appropriate to
   avoid delays, and to effect timely execution of environmental cleanup   
   responsibilities.                                                       
       California-Fort Ord: Affordable Housing. --There are circumstances  
   under which local reuse authorities stand to generate substantial       
   revenues from the conveyance of closed or realigned bases and the       
   facilities on the installation. In those instances, it is appropriate   
   for the authority to work cooperatively with the services, and state and
   local governments, to ensure that those revenues are directed towards   
   public purposes.                                                        
      For example, in Monterey County, California, the local base reuse    
   authority stands to generate substantial revenues from the conveyance of
   Fort Ord by developing new homes on open land as well as retrofitting   
   existing homes on the base, for which the authority paid nothing, and   
   selling this housing at prices that reflect the market rates in the     
   area. Though the plan of the reuse authority is well-intentioned, the   
   area suffers from a serious shortage of housing that is affordable for  
   lower and middle-income families. The median home price in the area is  
   $400,000, which is simply unaffordable to working families making 60 or 
   80 percent of area median income.                                       
      Clearly, it is in the best interests of the local reuse authority and
   government to find ways to make affordable homes available for hard     
   working families, particularly when the property is being conveyed at no
   cost to the community. There are many housing programs--private and     
   public--that undertake multi-income projects with little effort and     
   minimal effects on profit margins. The reuse authority in Monterey      
   County is urged to consider including such a program in its overall     
   reuse plan. In addition, the authority is urged to increase the amount  
   of affordable housing at the former Fort Ord.                           
       California-Fort Ord: Hazardous Waste from Building Removal. --The   
   Committee is concerned about the environmental challenges associated    
   with the base closure re-use issues at the former Fort Ord in California
   and the disposal of lead-based paint (LBP), asbestos, and               
   Polychlorinated Biphenyls (PCBs) that will be generated during building 
   removal. Accordingly, the Army shall develop, demonstrate, and validate 
   innovative technologies to specifically address the remediation of LBP, 
   asbestos, and PCBs generated from the 12th Street Corridor building     
   removal at Fort Ord. These technologies may include, but are not        
   necessarily limited to, thermochemical conversion processes. A          
   successful technology solution from this effort will also be beneficial 
   for other closed or realigned defense installations facing similar      
   challenges.                                                             
      The Department of the Army shall work with the Fort Ord Reuse        
   Authority in its efforts to advance the 12th Street Corridor Project and
   report on the progress of these technology efforts as part of the       
   mandated Environmental Quality Technology Report to Congress until this 
   project is completed, at which time a final report specifically focused 
   on this initiative will be provided to Congress which should make       
   suggestions for further building removal activities.                    
                                     GENERAL PROVISIONS                           
      The Administration proposed eliminating several general provisions   
   enacted in P.L. 106 246: sections 111, 113, 119, 121, 122, 124, 125, and
   128 139. The Committee recommends retaining every provision except for  
   sections 128 139. Additionally, the Administration proposed a new       
   provision that allowed the transfer of up to $67,000,000 among any      
   accounts in the bill. The Committee did not include this provision.     
   General Provisions included in the bill are as follows:                 
      Section 101 of the General Provisions limits DoD from spending funds 
   appropriated in this Act for payments under a cost-plus-a-fixed-fee     
   contract for construction where cost estimates exceed $25,000. An       
   exception for Alaska is provided.                                       
      Section 102 of the General Provisions permits the hire of passenger  
   motor vehicles.                                                         
      Section 103 of the General Provisions permits funds to be expended on
   the construction of defense access roads under certain circumstances.   
      Section 104 of the General Provisions prohibits construction of new  
   bases inside the continental United States without a specific           
   appropriation.                                                          
      Section 105 of the General Provisions limits the use of funds for    
   purchase of land or land easements that exceed 100% of value.           
      Section 106 of the General Provisions prohibits the use of funds to  
   acquire land, prepare sites, or install utilities for family housing    
   except housing for which funds have been appropriated.                  
      Section 107 of the General Provisions limits the use of minor        
   construction funds to be transferred or relocated from one installation 
   to another.                                                             
      Section 108 of the General Provisions prohibits the procurement of   
   steel unless American producers, fabricators, and manufacturers have    
   been allowed to compete.                                                
      Section 109 of the General Provisions limits appropriations from     
   being used to pay real property taxes in foreign nations.               
      Section 110 of the General Provisions prohibits construction of new  
   bases overseas without prior notification.                              
      Section 111 of the General Provisions establishes a preference for   
   American architectural and engineering services where the services are  
   in Japan, NATO member countries, and the Arabian Gulf.                  
      Section 112 of the General Provisions establishes a preference for   
   American contractors for military construction in the United States     
   territories and possessions in the Pacific and on Kwajalein Atoll, or in
   the Arabian Gulf, except bids by Marshallese contractors for military   
   construction on Kwajalein Atoll.                                        
      Section 113 of the General Provisions requires the Secretary of      
   Defense to give prior notice to Congress of military exercises where    
   construction costs exceed $100,000.                                     
      Section 114 of the General Provisions limits obligations to no more  
   than 20% during the last two months of the fiscal year.                 
      Section 115 of the General Provisions permits DoD to make available  
   funds appropriated in prior years for new projects authorized during the
   current session of Congress.                                            
      Section 116 of the General Provisions permits the use of expired or  
   lapsed funds to pay the cost of supervision for any project being       
   completed with lapsed funds.                                            
      Section 117 of the General Provisions permits obligation of funds    
   from more than one fiscal year to execute a construction project,       
   provided that the total obligation for such project is consistent with  
   the total amount appropriated for the project.                          
      Section 118 of the General Provisions allows expired funds to be     
   transferred to the ``Foreign Currency Fluctuations, Construction,       
   Defense'' account.                                                      
      Section 119 of the General Provisions requires the Secretary of      
   Defense to report annually on actions taken during the current fiscal   
   year to encourage other member nations of the NATO, Japan, Korea, and   
   United States allies in the Arabian Gulf to assume a greater share of   
   defense costs.                                                          
      Section 120 of the General Provisions authorizes the transfer of     
   proceeds from ``Base Realignment and Closure Account, Part I'' to the   
   continuing Base Realignment and Closure accounts.                       
      Section 121 of the General Provisions prohibits the availability of  
   funds to any entity that violates the Buy American Act.                 
      Section 122 of the General Provisions states the Sense of the        
   Congress notifying recipients of equipment or products authorized to be 
   purchased with financial assistance provided in this Act to purchase    
   American-made equipment and products.                                   
      Section 123 of the General Provisions permits the transfer of funds  
   from Family Housing, Construction accounts to the DOD Family Housing    
   Improvement Fund.                                                       
      Section 124 of the General Provisions limits the obligation of funds 
   for Partnership for Peace Programs.                                     
      Section 125 of the General Provisions requires the Secretary of      
   Defense to notify congressional defense committees of all family housing
   privatization solicitations and agreement which contain any clause      
   providing consideration for base realignment and closure, force         
   reductions, and extended deployments.                                   
      Section 126 of the General Provisions provides transfer authority to 
   the Homeowners Assistance Program.                                      
      Section 127 of the General Provisions requires that appropriations   
   from this Act be the sole source of all operation and maintenance for   
   flag and general officer quarter houses and limits the repair on these  
   quarters to $25,000 per year.                                           
      Section 128 of the General Provisions requires the Army, Navy, Marine
   Corps, and Air Force to submit a Family Housing Master Plan to the      
   appropriate committees of Congress by July 1, 2002.                     
      Section 129 of the General Provisions authorizes additional funds for
   a project at Masirah Island Airfield in Oman.                           
                        HOUSE OF REPRESENTATIVES REPORT REQUIREMENTS              
      The following items are included in accordance with various          
   requirements of the rules of the House of Representatives.              
                           CHANGES IN APPLICATION OF EXISTING LAW                 
      Pursuant to clause 3(f)(1) of rule XIII of the Rules of the House of 
   Representatives, the following statements are submitted describing the  
   effect of provisions in the accompanying bill that directly or          
   indirectly change the application of existing law.                      
      Language is included in various parts of the bill to continue        
   on-going activities that require annual authorization or additional     
   legislation, which to date has not been enacted.                        
      The bill includes a number of provisions which place limitations on  
   the use of funds in the bill or change existing limitations and which   
   might, under some circumstances, be construed as changing the           
   application of existing law.                                            
      Language is included that enables various appropriations to remain   
   available for more than one year for some programs for which the basic  
   authority legislation does not presently authorize such extended        
   availability.                                                           
      Language is included under Military Construction, Defense-wide, which
   permits the Secretary of Defense to transfer funds to other accounts for
   military construction or family housing.                                
      Language is included under Base Realignment and Closure Account, Part
   IV, limiting the amount of funds that shall be available solely for     
   environmental restoration.                                              
      Language is included under the General Provisions authorizing        
   additional funds for a project at Masirah Island Airfield in Oman.      
                        DEFINITION OF PROGRAM, PROJECT AND ACTIVITY               
      For the purposes of the Balanced Budget and Emergency Deficit Control
   Act of 1985 (Public Law 99 177) as amended by the Balanced Budget and   
   Emergency Deficit Control Reaffirmation Act of 1987 (Public Law 100     
   119), and by the Budget Enforcement Act of 1990 (Public Law 101 508),   
   the following information provides the definitions of the terms         
   ``program, project and activity'' for appropriations contained in the   
   Military Construction Appropriations Act. The term ``program, project,  
   and activity'' shall include the most specific level of budget items,   
   identified in the Military Construction Appropriations Act, 2002, the   
   accompanying House and Senate reports, and the conference report of the 
   joint explanatory statement of the managers of the committee of         
   conference.                                                             
      In carrying out any sequestrations, the Department of Defense (DoD)  
   and related agencies shall carry forth the sequestration order in a     
   manner that would not adversely affect or alter Congressional policies  
   and priorities established for the DoD and the related agencies, and no 
   program, project, and activity should be eliminated or reduced to a     
   level of funding that would adversely affect DoD ability to effectively 
   continue any program, project, and activity.                            
                            APPROPRIATIONS NOT AUTHORIZED BY LAW                  
      Pursuant to clause 3(f)(1) of rule XIII of the Rules of the House of 
   Representatives, the following table lists the appropriations in the    
   accompanying bill which are not authorized by law:                      
                                                                                       [Dollars in thousands]                                                                                       
Agency/Program                                                           Last year of authorization     Authorization level     Appropriations in last year of authorization    Appropriations in this bill  
Military Construction, Army                                                                    2001                $943,328                                         $943,328                     $1,702,934  
Military Construction, Navy                                                                    2001                 929,411                                          929,411                      1,134,660  
Military Construction, Air Force                                                               2001                 885,333                                          885,333                      1,185,220  
Military Construction, Defense-wide                                                            2001                 798,463                                          798,463                        852,808  
Military Construction, Army National Guard                                                     2001                 285,587                                          285,587                        313,348  
Military Construction, Air National Guard                                                      2001                 210,081                                          210,081                        198,803  
Military Construction, Army Reserve                                                            2001                 108,499                                          108,499                        167,769  
Military Construction, Naval Reserve                                                           2001                  61,931                                           61,931                         61,426  
Military Construction, Air Force Reserve                                                       2001                  36,510                                           36,510                         81,882  
North Atlantic Treaty Organization Security Investment Program                                 2001                 171,622                                          171,622                        162,600  
Family Housing, Construction, Army                                                             2001                 235,437                                          235,437                        294,042  
Family Housing, Operation and Maintenance,  Army                                               2001                 976,135                                          976,135                      1,096,431  
Family Housing, Construction, Navy and Marine Corps                                            2001                 417,235                                          417,235                        334,780  
Family Housing, Operation and  Maintenance, Navy and Marine Corps                              2001                 899,925                                          899,925                        910,095  
Family Housing, Construction, Air Force                                                        2001                 251,413                                          251,413                        536,237  
Family Housing, Operation and Maintenance, Air Force                                           2001                 832,686                                          832,686                        858,121  
Family Housing, Defense-wide                                                                   2001                  44,787                                           44,787                         44,012  
Department of Defense Family Housing Improvement Fund                                          2001                       0                                                0                          2,000  
Homeowners Assistance Fund, Defense                                                            2001                       0                                                0                         10,119  
Base Realignment and Closure                                                                   2001               1,031,115                                        1,031,115                        552,713  
                                     TRANSFER OF FUNDS                            
      Pursuant to clause 3(f)(2) of rule XIII of the Rules of the House of 
   Representatives, a statement is required describing the transfer of     
   funds provided in the accompanying bill. Sections 115, 118, 120, 123,   
   126, and 129 of the General Provisions, and language included under     
   ``Military Construction, Defense-wide'' provide certain transfer        
   authority.                                                              
                                    RESCISSION OF FUNDS                           
      In compliance with clause 3(f)(2) of rule XIII of the Rules of the   
   House of Representatives, the Committee recommends rescissions of:      
  Military Construction, Army--$36,400,000                                
  Military Construction, Navy--$19,588,000                                
  Military Construction, Naval Reserve--$925,000                          
  Military Construction, Defense-Wide--$10,250,000                        
                                  CONSTITUTIONAL AUTHORITY                        
      Clause 3(d)(1) of rule XIII of the Rules of the House of             
   Representatives states that:                                            
                     Each report of a committee on a bill or joint      
          resolution of a public character shall include a statement    
          citing the specific powers granted to the Congress in the     
          Constitution to enact the law proposed by the bill or joint   
          resolution.                                                   
      The Committee on Appropriations bases its authority to report this   
   legislation from Clause 7 of Section 9 of Article I of the Constitution 
   of the United States of America which states:                           
                     No money shall be drawn from the Treasury but in   
          consequence of Appropriations made by law * * *               
      Appropriations contained in this bill are made pursuant to this      
   specific power granted by the Constitution.                             
                             COMPARISONS WITH BUDGET RESOLUTION                   
      Clause 3(c)(2) of rule XIII of the Rules of the House of             
   Representatives requires an explanation of compliance with section      
   308(a)(1)(A) of the Congressional Budget and Impoundment Control Act of 
   1974 (Public Law 93 344), as amended, which requires that the report    
   accompanying a bill providing new budget authority contain a statement  
   detailing how that authority compares with the reports submitted under  
   section 302 of the Act for the most recently agreed to concurrent       
   resolution on the budget for the fiscal year from the Committee's       
   section of 302(a) allocation.                                           
                            [In millions of dollars]                           
                         302(b) allocation                     This bill              
                     Budget authority     Outlays     Budget authority     Outlays  
Discretionary                 $10,500      $9,203              $10,500      $9,202  
Mandatory                                                                           
                              FIVE-YEAR PROJECTION OF OUTLAYS                     
      In compliance with section 308(a)(1)(B) of the Congressional Budget  
   and Impoundment Control Act of 1974 (Public Law 93 344), as amended, the
   following table contains five-year projections associated with the      
   budget authority provided in the accompanying bill:                     
          [In thousands of dollars]                                               
          Budget authority, fiscal year 2002                $10,500,000
    Outlays:                                                                
                                         2,690,000
                                         4,042,000
                                         2,337,000
                                         785,000
                                         598,000
      The bill will not affect the levels of revenues, tax expenditures,   
   direct loan obligations, or primary loan guarantee commitments under    
   existing law.                                                           
                    FINANCIAL ASSISTANCE TO STATE AND LOCAL GOVERNMENTS           
      In accordance with section 308(a)(1)(C) of the Congressional Budget  
   and Impoundment Control Act of 1974 (Public Law 93 344), as amended, the
   financial assistance to State and local governments is as follows:      
          [In millions of dollars]                                                
          New budget authority           0
          Fiscal year 2000 outlays resulting therefrom                0
                   STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES          
      Pursuant to clause 3(c)(4) of rule XIII of the Rules of the House of 
   Representatives, the following is a statement of general performance    
   goals and objectives for which this measure authorizes funding:         
      The Committee on Appropriations considers program performance,       
   including a program's success in developing and attaining               
   outcome-related goals and objectives, in developing funding             
   recommendations.                                                        
                                    FULL COMMITTEE VOTES                          
      Pursuant to the provisions of clause 3(b) of rule XIII of the House  
   of Representatives, the results of each roll call vote on an amendment  
   or on the motion to report, together with the names of those voting for 
   and those voting against, are printed below:                            
   There were no recorded votes.                                           
                                         STATE LIST                               
      The following is a complete listing, by State and country, of the    
   Committee's recommendations for military construction and family housing
   projects:                                                               
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
[Graphic Image Not Available]
                                                                        



NEWSLETTER
Join the GlobalSecurity.org mailing list