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104th Congress            HOUSE OF REPRESENTATIVES             Report
  2d Session                                                   104-724
_______________________________________________________________________
        NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 1997        
                               ----------                              
                           CONFERENCE REPORT
                              to accompany
                               H.R. 3230
<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>
                 July 30, 1996.--Ordered to be printed
         NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 1997
104th Congress            HOUSE OF REPRESENTATIVES            Report
  2d Session                                                  104-724
_______________________________________________________________________
                     NATIONAL DEFENSE AUTHORIZATION
                        ACT FOR FISCAL YEAR 1997
                               __________
                           CONFERENCE REPORT
                              to accompany
                               H.R. 3230
<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>
                 July 30, 1996.--Ordered to be printed
                            C O N T E N T S
                              ----------                              
                                                                   Page
  DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS...............   470
  Title I--Procurement...........................................   470
    Funding Explanations.........................................   471
    Items of Special Interest....................................   568
    Legislative Provisions Adopted...............................   569
        Subtitle A--Authorization of Appropriations..............   569
        Subtitle B--Army Programs................................   572
        Subtitle C--Navy Programs................................   573
        Subtitle D--Air Force Programs...........................   577
        Subtitle E--Other Matters................................   578
    Legislative Provisions Not Adopted...........................   579
  Title II--Research, Development, Test, and Evaluation..........   580
    Funding Explanations.........................................   581
    Items of Special Interest....................................   661
    Legislative Provisions Adopted...............................   667
        Subtitle A--Authorization of Appropriations..............   667
        Subtitle B--Program Requirements, Restrictions, and 
          Limitations............................................   669
        Subtitle C--Ballistic Missile Defense Programs...........   678
        Subtitle D--Other Matters................................   680
        Subtitle E--National Oceanographic Partnership Program...   682
    Legislative Provisions Not Adopted...........................   683
  Title III--Operation and Maintenance...........................   690
    Funding Explanations.........................................   691
    Items of Special Interest....................................   718
    Legislative Provisions Adopted...............................   720
        Subtitle A--Authorization of Appropriations..............   720
        Subtitle B--Depot-Level Activities.......................   721
        Subtitle C--Environmental Provisions.....................   721
        Subtitle D--Commissaries and Nonappropriated Fund........   727
        Subtitle E--Performance of Functions by Private-Sector 
          Sources................................................   728
        Subtitle F--Other Matters................................   728
    Legislative Provisions Not Adopted...........................   732
  Title IV--Military Personnel Authorizations....................   735
    Items of Special Interest....................................   735
    Legislative Provisions Adopted...............................   736
        Subtitle A--Active Forces................................   736
        Subtitle B--Reserve Forces...............................   737
  Title V--Military Personnel Policy.............................   739
    Items of Special Interest....................................   739
    Legislative Provisions Adopted...............................   740
        Subtitle A--Officer Personnel Policy.....................   740
        Subtitle B--Enlisted Personnel Policy....................   742
        Subtitle C--Activation and Recall........................   743
        Subtitle D--Reserve Component Retirement.................   743
        Subtitle E--Other Reserve Component Matters..............   744
        Subtitle F--Officer Education Programs...................   746
        Subtitle G--Decorations and Awards.......................   748
        Subtitle H--Other Matters................................   748
        Subtitle I--Commissioned Corps of the Public Health 
          Service................................................   750
    Legislative Provisions Not Adopted...........................   751
  Title VI--Compensation and Other Personnel Benefits............   752
    Legislative Provisions Adopted...............................   752
        Subtitle A--Pay and Allowances...........................   752
        Subtitle B--Bonuses and Special and Incentive Pays.......   754
        Subtitle C--Travel and Transportation Allowances.........   755
        Subtitle D--Retired Pay, Survivor Benefits, and Related 
          Matters................................................   756
        Subtitle E--Other Matters................................   758
    Legislative Provisions Not Adopted...........................   759
  Title VII--Health Care Provisions..............................   760
    Items of Special Interest....................................   760
    Legislative Provisions Adopted...............................   760
        Subtitle A--Health Care Services.........................   760
        Subtitle B--TRICARE Program..............................   762
        Subtitle C--Uniformed Services Treatment Facilities......   763
        Subtitle D--Other Changes to Existing Laws Regarding 
          Health Care Management.................................   764
        Subtitle E--Other Matters................................   765
    Legislative Provisions Not Adopted...........................   767
  Title VIII--Acquisition Policy, Acquisition Management, and 
  Related Matters................................................   768
    Legislative Provisions Adopted...............................   768
        Subtitle A--Acquisition Management.......................   768
        Subtitle B--Other Matters................................   771
    Legislative Provisions Not Adopted...........................   775
  Title IX--Department of Defense Organizaiton and Management....   776
    Legislative Provisions Adopted...............................   776
        Subtitle A--General Matters..............................   776
        Subtitle B--Force Structure Review.......................   779
  Title X--General Provisions....................................   781
    Legislative Provisions Adopted...............................   781
        Subtitle A--Financial Matters............................   781
        Subtitle B--Naval Vessels and Shipyards..................   783
        Subtitle C--Counter-Drug Activities......................   785
        Subtitle D--Reports and Studies..........................   788
        Subtitle E--Management of Armed Forces Retirement Home...   790
        Subtitle F--Other Matters................................   791
    Legislative Provisions Not Adopted...........................   798
  Title XI--National Imagery and Mapping Agency..................   802
    Legislative Provisions Adopted...............................   804
        Subtitle A--Establishment of Agency......................   804
        Subtitle B--Reserve Component Accessibility..............   806
        Subtitle C--Reserve Forces Sustainment...................   806
  Title XIII--Arms Control and Related Matters...................   808
    Items of Special Interest....................................   808
    Legislative Provisions Adopted...............................   810
        Subtitle A--Arms Control, Counterproliferations 
          Activities, and Related Matters........................   810
        Subtitle B--Commission to Assess the Ballistic Missile 
          Threat to the United States............................   815
    Legislative Provisions Not Adopted...........................   816
  Title XIV--Defense Against Weapons of Mass Destruction.........   816
  Title XV--Cooperative Threat Reduction with States of Former 
  Soviet Union...................................................   821
  Title XVI--Department of Defense Civilian Personnel............   821
    Legislative Provisions Adopted...............................   821
        Subtitle A--Miscellaneous Matters Relating to Personnel 
          Management, Pay, and Allowances........................   821
        Subtitle B--Department of Defense Intelligence Personnel 
          Policy.................................................   825
    Legislative Provisions Adopted...............................   825
  Title XVII--Federal Employee Travel Reform.....................   826
  Title XVIII--Federal Charter for the Fleet Reserve Association.   827
  DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS...............   827
  Title XXI--Army................................................   857
    Items of Special Interest....................................   857
    Legislative Provisions Adopted...............................   857
    Legislative Provisions Not Adopted...........................   857
  Title XXII--Navy...............................................   858
    Items of Special Interest....................................   858
    Legislative Provisions Adopted...............................   858
    Legislative Provisions Not Adopted...........................   858
  Title XXIII--Air Force.........................................   859
    Items of Special Interest....................................   859
    Legislative Provisions Adopted...............................   859
  Title XXIV--Defense Agencies...................................   859
    Legislative Provisions Adopted...............................   860
  Title XXV--North Atlantic Treaty Organization Security 
  Investment Program.............................................   860
  Title XXVI--Guard and Reserve Forces Facilities................   860
    Legislative Provisions Adopted...............................   860
    Legislative Provisions Not Adopted...........................   861
  Title XXVII--Expiration and Extension of Authorizations........   861
    Legislative Provisions Adopted...............................   861
    Legislative Provisions Not Adopted...........................   862
  Title XXVIII--General Provisions...............................   862
    Legislative Provisions Adopted...............................   862
        Subtitle A--Military Construction Program and Military 
          Family.................................................   862
        Subtitle B--Defense Base Closure and Realignment.........   863
        Subtitle C--Land Conveyances.............................   865
            Part I--Army Conveyances.............................   865
            Part II--Navy Conveyances............................   867
            Part III--Air Force Conveyances......................   869
            Part IV--Other Conveyances...........................   870
        Subtitle D--Other Matters................................   871
    Legislative Provisions Not Adopted...........................   873
  Title XXIX--Military Land Withdrawals..........................   873
    Legislative Provisions Adopted...............................   874
        Subtitle A--For Carson--Pinon Canyon Military Lands 
          Withdrawal.............................................   874
        Subtitle B--El Centro Naval Air Facility Ranges 
          Withdrawal.............................................   875
  DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY 
  AUTHORIZATIONS AND OTHER AUTHORIZATIONS........................   876
  Title XXXI--Department of Energy National Security Programs....   876
    Legislative Provisions Adopted...............................   892
        Subtitle A--National Security Programs Authorizations....   892
        Subtitle B--Recurring General Provisions.................   898
        Subtitle C--Program Authorizations, Restrictions, and 
          Limitations............................................   900
        Subtitle D--Other Maters.................................   909
        Subtitle E--Defense Nuclear Environmental Cleanup and 
          Management.............................................   913
        Subtitle F--Waste Isolation Pilot Plant Land Withdrawal 
          Act Amendments.........................................   914
    Legislative Provisions Not Adopted...........................   915
  Title XXXII--Defense Nuclear Facilities Safety Board...........   916
    Legislative Provisions Adopted...............................   916
  Title XXXIII--National Defense Stockpile.......................   916
    Legislative Provisions Adopted...............................   916
        Subtitle A--Authorization of Disposals and Use of Funds..   916
        Subtitle B--Programmatic Change..........................   917
    Legislative Provisions Not Adopted...........................   917
  Title XXXIV--Naval Petroleum Reserves..........................   918
    Legislative Provisions Adopted...............................   918
  Title XXXV--Panama Canal Commission............................   918
    Legislative Provisions Adopted...............................   918
104th Congress          HOUSE OF REPRESENTATIVES                Report
  2d Session                                                    104-724
_______________________________________________________________________
        NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 1997
                                _______
                 July 30, 1996.--Ordered to be printed
_______________________________________________________________________
  Mr. Spence, from the committee of conference, submitted the following
                           CONFERENCE REPORT
                        [To accompany H.R. 3230]
      The committee of conference on the disagreeing votes of 
the two Houses on the amendments of the Senate to the bill 
(H.R. 3230) to authorize appropriations for fiscal year 1997 
for military activities of the Department of Defense, for 
military construction, and for defense activities of the 
Department of Energy, to prescribe personnel strengths for such 
fiscal year for the Armed Forces, and for other purposes, 
having met, after full and free conference, have agreed to 
recommend and do recommend to their respective Houses as 
follows:
      That the House recede from its disagreement to the 
amendment of the Senate to the text of the bill and agree to 
the same with an amendment as follows:
      In lieu of the matter proposed to be inserted by the 
Senate amendment, insert the following:
SECTION 1. SHORT TITLE.
    This Act may be cited as the ``National Defense 
Authorization Act for Fiscal Year 1997''.
SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.
    (a) Divisions.--This Act is organized into three divisions 
as follows:
            (1) Division A--Department of Defense 
        Authorizations.
            (2) Division B--Military Construction 
        Authorizations.
            (3) Division C--Department of Energy National 
        Security Authorizations and Other Authorizations.
    (b) Table of Contents.--The table of contents for this Act 
is as follows:
Sec. 1. Short title.
Sec. 2. Organization of Act into divisions; table of contents.
Sec. 3. Congressional defense committees defined.
            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS
                          TITLE I--PROCUREMENT
               Subtitle A--Authorization of Appropriations
Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Reserve components.
Sec. 106. Defense Inspector General.
Sec. 107. Chemical Demilitarization Program.
Sec. 108. Defense health programs.
                        Subtitle B--Army Programs
Sec. 111. Repeal of limitation on procurement of Armed Kiowa Warrior 
          helicopters.
Sec. 112. Multiyear procurement authority for Army programs.
Sec. 113. Bradley TOW 2 Test Program sets.
                        Subtitle C--Navy Programs
Sec. 121. Nuclear attack submarine programs.
Sec. 122. Arleigh Burke class destroyer program.
Sec. 123. EA-6B aircraft reactive jammer program.
Sec. 124. T-39N trainer aircraft for the Navy.
Sec. 125. Penguin missile program.
                     Subtitle D--Air Force Programs
Sec. 131. Repeal of limitation on procurement of F-15E aircraft.
Sec. 132. Modification to multiyear procurement authority for C-17 
          aircraft program.
                        Subtitle E--Other Matters
Sec. 141. Assessments of modernization priorities of the reserve 
          components.
Sec. 142. Destruction of existing stockpile of lethal chemical agents 
          and munitions.
Sec. 143. Extension of authority to carry out Armament Retooling and 
          Manufacturing Support Initiative.
          TITLE II--RESEARCH, DEVELOPMENT, TEST, AND EVALUATION
               Subtitle A--Authorization of Appropriations
Sec. 201. Authorization of appropriations.
Sec. 202. Amount for basic and applied research.
Sec. 203. Dual-use technology programs.
Sec. 204. Defense Special Weapons Agency.
     Subtitle B--Program Requirements, Restrictions, and Limitations
Sec. 211. Space launch modernization.
Sec. 212. Space-Based Infrared System program.
Sec. 213. Clementine 2 micro-satellite development program.
Sec. 214. Live-fire survivability testing of V-22 Osprey aircraft.
Sec. 215. Live-fire survivability testing of F-22 aircraft.
Sec. 216. Limitation on funding for F-16 tactical manned reconnaissance 
          aircraft.
Sec. 217. Cost analysis of F-22 aircraft program.
Sec. 218. F-22 aircraft program reports.
Sec. 219. Cost-benefit analysis of F/A-18E/F aircraft program.
Sec. 220. Joint Advanced Strike Technology (JAST) program.
Sec. 221. Unmanned aerial vehicles.
Sec. 222. High altitude endurance unmanned aerial reconnaissance system.
Sec. 223. Cyclone class patrol craft self-defense.
Sec. 224. One-year extension of deadline for delivery of Enhanced Fiber 
          Optic Guided Missile (EFOG-M) system.
Sec. 225. Hydra-70 rocket product improvement program.
Sec. 226. Federally funded research and development centers.
Sec. 227. Demilitarization of conventional munitions, rockets, and 
          explosives.
Sec. 228. Research activities of the Defense Advanced Research Projects 
          Agency relating to chemical and biological warfare defense 
          technology.
Sec. 229. Certification of capability of United States to prevent 
          illegal importation of nuclear, biological, or chemical 
          weapons.
Sec. 230. Nonlethal weapons and technologies programs.
Sec. 231. Counterproliferation support program.
             Subtitle C--Ballistic Missile Defense Programs
Sec. 241. Funding for ballistic missile defense programs for fiscal year 
          1997.
Sec. 242. Certification of capability of United States to defend against 
          single ballistic missile.
Sec. 243. Report on ballistic missile defense and proliferation.
Sec. 244. Revision to annual report on ballistic missile defense 
          program.
Sec. 245. Report on Air Force National Missile Defense Plan.
Sec. 246. Capability of National Missile Defense system.
Sec. 247. Actions to limit adverse effects on private sector employment 
          of establishment of National Missile Defense Joint Program 
          Office.
Sec. 248. ABM Treaty defined.
                        Subtitle D--Other Matters
Sec. 261. Maintenance and repair at Air Force installations.
Sec. 262. Report relating to Small Business Innovation Research Program.
Sec. 263. Amendment to University Research Initiative Support program.
Sec. 264. Amendments to Defense Experimental Program To Stimulate 
          Competitive Research.
Sec. 265. Elimination of report on the use of competitive procedures for 
          the award of certain contracts to colleges and universities.
Sec. 266. Pilot program for transfer of defense technology information 
          to private industry.
Sec. 267. Research under transactions other than contracts and grants.
Sec. 268. Desalting technologies.
Sec. 269. Evaluation of digital video network equipment used in Olympic 
          games.
Sec. 270. Annual joint warfighting science and technology plan.
         Subtitle E--National Oceanographic Partnership Program
Sec. 281. Findings.
Sec. 282. National Oceanographic Partnership Program.
                  TITLE III--OPERATION AND MAINTENANCE
               Subtitle A--Authorization of Appropriations
Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
Sec. 305. Civil Air Patrol Corporation.
Sec. 306. Availability of additional funds for antiterrorism activities.
Sec. 307. Nonlethal weapons capabilities.
Sec. 308. SR-71 contingency reconnaissance force.
                   Subtitle B--Depot-Level Activities
Sec. 311. Extension of authority for aviation depots and naval shipyards 
          to engage in defense-related production and services.
Sec. 312. Test programs for modernization-through-spares.
                  Subtitle C--Environmental Provisions
Sec. 321. Defense contractors covered by requirement for reports on 
          contractor reimbursement costs for response actions.
Sec. 322. Establishment of separate environmental restoration accounts 
          for each military department.
Sec. 323. Payment of stipulated penalties assessed under CERCLA.
Sec. 324. Shipboard solid waste control.
Sec. 325. Authority to develop and implement land use plans for defense 
          environmental restoration program.
Sec. 326. Pilot program to test alternative technology for limiting air 
          emissions during shipyard blasting and coating operations.
Sec. 327. Agreements for services of other agencies in support of 
          environmental technology certification.
Sec. 328. Repeal of redundant notification and consultation requirements 
          regarding remedial investigations and feasibility studies at 
          certain installations to be closed under the base closure 
          laws.
Sec. 329. Authority for agreements with Indian tribes for services under 
          environmental restoration program.
Sec. 330. Authority to withhold listing of Federal facilities on 
          National Priorities List.
Sec. 331. Clarification of meaning of uncontaminated property for 
          purposes of transfer by the United States.
Sec. 332. Conservation and cultural activities.
Sec. 333. Navy program to monitor ecological effects of organotin.
Sec. 334. Authority to transfer contaminated Federal property before 
          completion of required response actions.
   Subtitle D--Commissaries and Nonappropriated Fund Instrumentalities
Sec. 341. Contracts with other agencies to provide or obtain goods and 
          services to promote efficient operation and management of 
          exchanges and morale, welfare, and recreation activities.
Sec. 342. Noncompetitive procurement of brand-name commercial items for 
          resale in commissary stores.
Sec. 343. Prohibition of sale or rental of sexually explicit material.
     Subtitle E--Performance of Functions by Private-Sector Sources
Sec. 351. Extension of requirement for competitive procurement of 
          printing and duplication services.
Sec. 352. Reporting requirements under demonstration project for 
          purchase of fire, security, police, public works, and utility 
          services from local government agencies.
                        Subtitle F--Other Matters
Sec. 361. Authority for use of appropriated funds for recruiting 
          functions.
Sec. 362. Training of members of the uniformed services at non-
          government facilities.
Sec. 363. Requirement for preparation of plan for improved operation of 
          working-capital funds and effect of failure to produce an 
          approved plan.
Sec. 364. Increase in capital asset threshold under Defense Business 
          Operations Fund.
Sec. 365. Expansion of authority to donate unusable food.
Sec. 366. Assistance to committees involved in inauguration of the 
          President.
Sec. 367. Department of Defense support for sporting events.
Sec. 368. Storage of motor vehicle in lieu of transportation.
Sec. 369. Security protections at Department of Defense facilities in 
          National Capital Region.
Sec. 370. Administration of midshipmen's store and other naval academy 
          support activities as nonappropriated fund instrumentality.
Sec. 371. Reimbursement under agreement for instruction of civilian 
          students at Foreign Language Institute of the Defense Language 
          Institute.
Sec. 372. Assistance to local educational agencies that benefit 
          dependents of members of the Armed Forces and Department of 
          Defense civilian employees.
Sec. 373. Renovation of building for Defense Finance and Accounting 
          Service Center, Fort Benjamin Harrison, Indiana.
Sec. 374. Food donation pilot program at service academies.
Sec. 375. Authority of Air National Guard to provide certain services at 
          Lincoln Municipal Airport, Lincoln, Nebraska.
Sec. 376. Technical amendment regarding Impact Aid program.
               TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS
                        Subtitle A--Active Forces
Sec. 401. End strengths for active forces.
Sec. 402. Permanent end strength levels to support two major regional 
          contingencies.
Sec. 403. Authorized strengths for commissioned officers on active duty 
          in grades of major, lieutenant colonel, and colonel and navy 
          grades of lieutenant commander, commander, and captain.
Sec. 404. Extension of requirement for recommendations regarding 
          appointments to joint 4-star officer positions.
Sec. 405. Increase in authorized number of general officers on active 
          duty in the Marine Corps.
                       Subtitle B--Reserve Forces
Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for reserves on active duty in support of the 
          Reserves.
Sec. 413. End strengths for military technicians.
Sec. 414. Assurance of continued assignment of military personnel to 
          serve in Selective Service System.
               Subtitle C--Authorization of Appropriations
Sec. 421. Authorization of appropriations for military personnel.
                   TITLE V--MILITARY PERSONNEL POLICY
                  Subtitle A--Officer Personnel Policy
Sec. 501. Grade of Chief of Naval Research.
Sec. 502. Chief and assistant chief of Army Nurse Corps and Air Force 
          Nurse Corps.
Sec. 503. Navy spot promotion authority for certain lieutenants with 
          critical skills.
Sec. 504. Time for award of degrees by unaccredited educational 
          institutions for graduates to be considered educationally 
          qualified for appointment as Reserve officers in grade O-3.
Sec. 505. Exception to baccalaureate degree requirement for appointment 
          in the Naval Reserve in grades above O-2.
Sec. 506. Chief warrant officer promotions.
Sec. 507. Service credit for senior ROTC cadets and midshipmen in 
          simultaneous membership program.
Sec. 508. Continuation on active status for certain Reserve officers of 
          the Air Force.
Sec. 509. Reports on response to recommendations concerning improvements 
          to Department of Defense joint manpower process.
Sec. 510. Frequency of reports to Congress on joint officer management 
          policies.
                  Subtitle B--Enlisted Personnel Policy
Sec. 511. Career service reenlistments for members with at least 10 
          years of service.
Sec. 512. Authority to extend period for entry on active duty under the 
          delayed entry program.
                    Subtitle C--Activation and Recall
Sec. 521. Limitations on recall of retired members to active duty.
Sec. 522. Clarification of definition of active status.
Sec. 523. Limitation of requirement for physical examinations of members 
          of National Guard called into Federal service.
                Subtitle D--Reserve Component Retirement
Sec. 531. Increase in annual limit on days of inactive duty training 
          creditable toward reserve retirement.
Sec. 532. Retirement of reserve enlisted members who qualify for active 
          duty retirement after administrative reduction in enlisted 
          grade.
Sec. 533. Authority for a Reserve on active duty to waive retirement 
          sanctuary.
Sec. 534. Eligibility of Reserves for disability retirement.
               Subtitle E--Other Reserve Component Matters
Sec. 541. Training for Reserves on active duty in support of the 
          Reserves.
Sec. 542. Eligibility for enrollment in Ready Reserve mobilization 
          income insurance program.
Sec. 543. Reserve credit for participation in Health Professions 
          Scholarship and Financial Assistance Program.
Sec. 544. Amendments to Reserve Officer Personnel Management Act 
          provisions.
Sec. 545. Report on number of advisers in active component support of 
          Reserves pilot program.
Sec. 546. Sense of Congress and report regarding reemployment rights for 
          mobilized reservists employed in foreign countries.
Sec. 547. Payment of premiums under Mobilization Income Insurance 
          Program.
                 Subtitle F--Officer Education Programs
Sec. 551. Oversight and management of Senior Reserve Officers' Training 
          Corps program.
Sec. 552. Prohibition on reorganization of Army ROTC cadet command or 
          termination of senior ROTC units pending report on ROTC.
Sec. 553. Pilot program to test expansion of ROTC program to include 
          graduate students.
Sec. 554. Demonstration project for instruction and support of Army ROTC 
          units by members of the Army Reserve and National Guard.
Sec. 555. Extension of maximum age for appointment as a cadet or 
          midshipman in the Senior Reserve Officers' Training Corps and 
          the service academies.
Sec. 556. Expansion of eligibility for education benefits to include 
          certain Reserve Officers' Training Corps (ROTC) participants.
Sec. 557. Comptroller General report on cost and policy implications of 
          permitting up to five percent of service academy graduates to 
          be assigned directly to Reserve duty upon graduation.
                   Subtitle G--Decorations and Awards
Sec. 561. Authority for award of Medal of Honor to certain African 
          American soldiers who served during World War II.
Sec. 562. Waiver of time limitations for award of certain decorations to 
          specified persons.
Sec. 563. Replacement of certain American Theater Campaign Ribbons.
                        Subtitle H--Other Matters
Sec. 571. Hate crimes in the military.
Sec. 572. Disability coverage for members granted excess leave for 
          educational or emergency purposes.
Sec. 573. Clarification of authority of a reserve judge advocate to act 
          as a military notary public when not in a duty status.
Sec. 574. Panel on jurisdiction of courts-martial for the National Guard 
          when not in Federal service.
Sec. 575. Authority to expand law enforcement placement program to 
          include firefighters.
Sec. 576. Improvements to program to assist separated military and 
          civilian personnel to obtain employment as teachers or 
          teachers' aides.
Sec. 577. Retirement at grade to which selected for promotion when a 
          physical disability is found at any physical examination.
Sec. 578. Revisions to missing persons authorities.
       Subtitle I--Commissioned Corps of the Public Health Service
Sec. 581. Applicability to Public Health Service of prohibition on 
          crediting cadet or midshipmen service at the service 
          academies.
Sec. 582. Exception to strength limitations for Public Health Service 
          officers assigned to the Department of Defense.
Sec. 583. Authority to provide legal assistance to Public Health Service 
          officers.
           TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS
                     Subtitle A--Pay and Allowances
Sec. 601. Military pay raise for fiscal year 1997.
Sec. 602. Adjustment of rate of cadet and midshipman pay.
Sec. 603. Pay of senior noncommissioned officers while hospitalized.
Sec. 604. Availability of basic allowance for quarters for certain 
          members without dependents who serve on sea duty.
Sec. 605. Uniform applicability of discretion to deny an election not to 
          occupy Government quarters.
Sec. 606. Establishment of minimum monthly amount of variable housing 
          allowance for high housing cost areas.
Sec. 607. Family separation allowance for members separated by military 
          orders from spouses who are members.
Sec. 608. Waiver of time limitations for claim for pay and allowances.
           Subtitle B--Bonuses and Special and Incentive Pays
Sec. 611. One-year extension of certain bonuses and special pay 
          authorities for reserve forces.
Sec. 612. One-year extension of certain bonuses and special pay 
          authorities for nurse officer candidates, registered nurses, 
          and nurse anesthetists.
Sec. 613. One-year extension of authorities relating to payment of other 
          bonuses and special pays.
Sec. 614. Special pay for certain Public Health Service officers.
Sec. 615. Special incentives to recruit and retain dental officers.
Sec. 616. Foreign language proficiency pay for Public Health Service and 
          National Oceanic and Atmospheric Administration officers.
            Subtitle C--Travel and Transportation Allowances
Sec. 621. Allowance in connection with shipping motor vehicle at 
          Government expense.
Sec. 622. Dislocation allowance at a rate equal to two and one-half 
          months basic allowance for quarters.
Sec. 623. Allowance for travel performed in connection with leave 
          between consecutive overseas tours.
Sec. 624. Funding for transportation of household effects of Public 
          Health Service officers.
     Subtitle D--Retired Pay, Survivor Benefits, and Related Matters
Sec. 631. Effective date for military retiree cost-of-living adjustment 
          for fiscal year 1998.
Sec. 632. Clarification of initial computation of retiree COLAs after 
          retirement.
Sec. 633. Suspension of payment of retired pay of members who are absent 
          from the United States to avoid prosecution.
Sec. 634. Nonsubstantive restatement of Survivor Benefit Plan statute.
Sec. 635. Increases in Survivor Benefit Plan contributions to be 
          effective concurrently with payment of retired pay cost-of-
          living increases.
Sec. 636. Amendments to the Uniformed Services Former Spouses' 
          Protection Act.
Sec. 637. Prevention of circumvention of court order by waiver of 
          retired pay to enhance civil service retirement annuity.
Sec. 638. Administration of benefits for so-called minimum income 
          widows.
                        Subtitle E--Other Matters
Sec. 651. Discretionary allotment of pay, including retired or retainer 
          pay.
Sec. 652. Reimbursement for adoption expenses incurred in adoptions 
          through private placements.
Sec. 653. Waiver of recoupment of amounts withheld for tax purposes from 
          certain separation pay.
Sec. 654. Technical correction clarifying limitation on furnishing 
          clothing or allowances for enlisted National Guard 
          technicians.
Sec. 655. Technical correction to prior authority for payment of back 
          pay to certain persons.
Sec. 656. Compensation for persons awarded prisoner of war medal who did 
          not previously receive compensation as a prisoner of war.
Sec. 657. Payments to certain persons captured and interned by North 
          Vietnam.
                    TITLE VII--HEALTH CARE PROVISIONS
                    Subtitle A--Health Care Services
Sec. 701. Preventive health care screening for colon and prostate 
          cancer.
Sec. 702. Implementation of requirement for Selected Reserve dental 
          insurance plan.
Sec. 703. Dental insurance plan for military retirees and unremarried 
          surviving spouses and certain other dependents of military 
          retirees.
Sec. 704. Plan for health care coverage for children with medical 
          conditions caused by parental exposure to chemical munitions 
          while serving as members of the Armed Forces.
                       Subtitle B--TRICARE Program
Sec. 711. CHAMPUS payment limits for TRICARE prime enrollees.
Sec. 712. Improved information exchange between military treatment 
          facilities and TRICARE program contractors.
Sec. 713. Plans for medicare subvention demonstration programs.
           Subtitle C--Uniformed Services Treatment Facilities
Sec. 721. Definitions.
Sec. 722. Inclusion of designated providers in uniformed services health 
          care delivery system.
Sec. 723. Provision of uniform benefit by designated providers.
Sec. 724. Enrollment of covered beneficiaries.
Sec. 725. Application of CHAMPUS payment rules.
Sec. 726. Payments for services.
Sec. 727. Repeal of superseded authorities.
    Subtitle D--Other Changes to Existing Laws Regarding Health Care 
                               Management
Sec. 731. Authority to waive CHAMPUS exclusion regarding nonmedically 
          necessary treatment in connection with certain clinical 
          trials.
Sec. 732. Exception to maximum allowable payments to individual health-
          care providers under CHAMPUS.
Sec. 733. Codification of annual authority to credit CHAMPUS refunds to 
          current year appropriation.
Sec. 734. Exceptions to requirements regarding obtaining 
          nonavailability-of-health-care statements.
Sec. 735. Enhancement of third-party collection and secondary payer 
          authorities under CHAMPUS.
                        Subtitle E--Other Matters
Sec. 741. Alternatives to active duty service obligation under Armed 
          Forces Health Professions Scholarship and Financial Assistance 
          program and Uniformed Services University of the Health 
          Sciences.
Sec. 742. External peer review for defense health program extramural 
          medical research involving human subjects.
Sec. 743. Independent research regarding Gulf War syndrome.
Sec. 744. Comptroller General review of health care activities of 
          Department of Defense relating to Gulf War illnesses.
Sec. 745. Report regarding specialized treatment facility program.
Sec. 746. Study of means of ensuring uniformity in provision of medical 
          and dental care for members of reserve components.
Sec. 747. Sense of Congress regarding tax treatment of Armed Forces 
          Health Professions Scholarship and Financial Assistance 
          program.
  TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED 
                                 MATTERS
                   Subtitle A--Acquisition Management
Sec. 801. Procurement technical assistance programs.
Sec. 802. Extension of pilot mentor-protege program.
Sec. 803. Authority to waive certain requirements for defense 
          acquisition pilot programs.
Sec. 804. Modification of authority to carry out certain prototype 
          projects.
Sec. 805. Increase in threshold amounts for major systems.
Sec. 806. Revisions in information required to be included in selected 
          acquisition reports.
Sec. 807. Increase in simplified acquisition threshold for humanitarian 
          or peacekeeping operations.
Sec. 808. Expansion of audit reciprocity among Federal agencies to 
          include post-award audits.
Sec. 809. Excessive compensation of certain contractor personnel.
Sec. 810. Exception to prohibition on procurement of foreign goods.
                        Subtitle B--Other Matters
Sec. 821. Prohibition on release of contractor proposals under Freedom 
          of Information Act.
Sec. 822. Amendments relating to reports on procurement regulatory 
          activity.
Sec. 823. Amendment of multiyear limitation on contracts for inspection, 
          maintenance, and repair.
Sec. 824. Streamlined notice requirements to contractors and employees 
          regarding termination or substantial reduction in contracts 
          under major defense programs.
Sec. 825. Repeal of notice requirements for substantially or seriously 
          affected parties in downsizing efforts.
Sec. 826. Study of effectiveness of defense mergers.
Sec. 827. Annual report relating to Buy American Act.
Sec. 828. Foreign environmental technology.
Sec. 829. Assessment of national defense technology and industrial base 
          and dependency of base on supplies available only from foreign 
          countries.
Sec. 830. Expansion of report on implementation of automated information 
          systems to include additional matters regarding information 
          resources management.
Sec. 831. Year 2000 software conversion.
Sec. 832. Procurement from firms in industrial base for production of 
          small arms.
Sec. 833. Cable television franchise agreements.
       TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT
                       Subtitle A--General Matters
Sec. 901. Repeal of previously enacted reduction in number of statutory 
          positions in Office of the Secretary of Defense.
Sec. 902. Additional required reduction in defense acquisition 
          workforce.
Sec. 903. Reduction of personnel assigned to Office of the Secretary of 
          Defense.
Sec. 904. Report on military department headquarters staffs.
Sec. 905. Matters to be considered in next assessment of current 
          missions, responsibilities, and force structure of the unified 
          combatant commands.
Sec. 906. Transfer of authority to control transportation systems in 
          time of war.
Sec. 907. Codification of requirements relating to continued operation 
          of the Uniformed Services University of the Health Sciences.
Sec. 908. Joint Requirements Oversight Council.
Sec. 909. Membership of the Ammunition Storage Board.
Sec. 910. Removal of Secretary of the Army from membership on the 
          Foreign Trade Zone Board.
Sec. 911. Composition of aircraft accident investigation boards.
Sec. 912. Mission of the White House Communications Agency.
                   Subtitle B--Force Structure Review
Sec. 921. Short title.
Sec. 922. Findings.
Sec. 923. Quadrennial Defense Review.
Sec. 924. National Defense Panel.
Sec. 925. Postponement of deadlines.
Sec. 926. Definitions.
                       TITLE X--GENERAL PROVISIONS
                      Subtitle A--Financial Matters
Sec. 1001. Transfer authority.
Sec. 1002. Incorporation of classified annex.
Sec. 1003. Authority for obligation of certain unauthorized fiscal year 
          1996 defense appropriations.
Sec. 1004. Authorization of prior emergency supplemental appropriations 
          for fiscal year 1996.
Sec. 1005. Format for budget requests for Navy/Marine Corps and Air 
          Force ammunition accounts.
Sec. 1006. Format for annual budget requests for Defense Airborne 
          Reconnaissance Program.
Sec. 1007. Limitation on use of Department of Defense funds transferred 
          to the Coast Guard.
Sec. 1008. Fisher House Trust Fund for the Department of the Navy.
Sec. 1009. Designation and liability of disbursing and certifying 
          officials for the Coast Guard.
Sec. 1010. Authority to suspend or terminate collection actions against 
          deceased members of the Coast Guard.
Sec. 1011. Department of Defense disbursing official check cashing and 
          exchange transactions.
                 Subtitle B--Naval Vessels and Shipyards
Sec. 1021. Repeal of requirement for continuous applicability of 
          contracts for phased maintenance of AE class ships.
Sec. 1022. Funding for second and third maritime prepositioning ships 
          out of National Defense Sealift Fund.
Sec. 1023. Transfer of certain obsolete tugboats of the Navy.
Sec. 1024. Transfer of U.S.S. Drum to city of Vallejo, California.
Sec. 1025. Sense of Congress concerning USS LCS 102 (LSSL 102).
                   Subtitle C--Counter-Drug Activities
Sec. 1031. Authority to provide additional support for counter-drug 
          activities of Mexico.
Sec. 1032. Availability of funds for certain drug interdiction and 
          counter-drug activities.
Sec. 1033. Transfer of excess personal property to support law 
          enforcement activities.
Sec. 1034. Sale by Federal departments or agencies of chemicals used to 
          manufacture controlled substances.
                     Subtitle D--Reports and Studies
Sec. 1041. Annual report on Operation Provide Comfort and Operation 
          Enhanced Southern Watch.
Sec. 1042. Annual report on emerging operational concepts.
Sec. 1043. Report on Department of Defense military child care programs.
Sec. 1044. Report on Department of Defense military youth programs.
Sec. 1045.  Quarterly reports regarding coproduction agreements.
Sec. 1046.  Report on witness interview procedures for Department of 
          Defense criminal investigations.
Sec. 1047.  Report on military readiness requirements of the Armed 
          Forces.
Sec. 1048.  Report on NATO enlargement.
         Subtitle E--Management of Armed Forces Retirement Home
Sec. 1051. Retirement Home Boards of Directors.
Sec. 1052. Acceptance of uncompensated services.
Sec. 1053. Disposal of tract of real property in the District of 
          Columbia.
                        Subtitle F--Other Matters
Sec. 1061. Policy on protection of national information infrastructure 
          against strategic attack.
Sec. 1062. Information systems security program.
Sec. 1063. Authority to accept services from foreign governments and 
          international organizations for defense purposes.
Sec. 1064. Prohibition on collection and release of detailed satellite 
          imagery relating to Israel.
Sec. 1065. George C. Marshall European Center for Strategic Security 
          Studies.
Sec. 1066. Authority to award to civilian participants in the defense of 
          Pearl Harbor the Congressional Medal previously authorized 
          only for military participants in the defense of Pearl Harbor.
Sec. 1067. Assimilative crimes authority for traffic offenses on 
          military installations.
Sec. 1068. Uniform Code of Military Justice amendments.
Sec. 1069. Punishment of interstate stalking.
Sec. 1070. Participation of members, dependents, and other persons in 
          crime prevention efforts at installations.
Sec. 1071. Display of State flags at installations and facilities of the 
          Department of Defense.
Sec. 1072. Treatment of excess operational support airlift aircraft.
Sec. 1073. Correction to statutory references to certain Department of 
          Defense organizations.
Sec. 1074. Technical and clerical amendments.
Sec. 1075. Modification to third-party liability to United States for 
          tortious infliction of injury or disease on members of the 
          uniformed services.
Sec. 1076. Chemical Stockpile Emergency Preparedness Program.
Sec. 1077. Exemption from requirements applicable to savings 
          associations for certain savings institutions serving military 
          personnel.
Sec. 1078. Improvements to National Security Education Program.
Sec. 1079. Aviation and vessel war risk insurance.
Sec. 1080. Designation of memorial as National D-Day Memorial.
Sec. 1081. Sense of Congress regarding semiconductor trade agreement 
          between United States and Japan.
Sec. 1082. Agreements for exchange of defense personnel between the 
          United States and foreign countries.
Sec. 1083. Sense of Senate regarding Bosnia and Herzegovina.
Sec. 1084. Defense burdensharing.
              TITLE XI--NATIONAL IMAGERY AND MAPPING AGENCY
Sec. 1101. Short title.
Sec. 1102. Findings.
Sec. 1103. Role of Director of Central Intelligence in appointment and 
          evaluation of certain intelligence officials.
                   Subtitle A--Establishment of Agency
Sec. 1111. Establishment.
Sec. 1112. Missions and authority.
Sec. 1113. Transfers of personnel and assets.
Sec. 1114. Compatibility with authority under the National Security Act 
          of 1947.
Sec. 1115. Creditable civilian service for career conditional employees 
          of the Defense Mapping Agency.
Sec. 1116. Saving provisions.
Sec. 1117. Definitions.
Sec. 1118. Authorization of appropriations.
          Subtitle B--Conforming Amendments and Effective Dates
Sec. 1121. Redesignation and repeals.
Sec. 1122. Reference amendments.
Sec. 1123. Headings and clerical amendments.
Sec. 1124. Effective date.
                TITLE XII--RESERVE FORCES REVITALIZATION
Sec. 1201. Short title.
Sec. 1202. Purpose.
                 Subtitle A--Reserve Component Structure
Sec. 1211. Reserve component commands.
Sec. 1212. Reserve component chiefs.
Sec. 1213. Review of active duty and reserve general and flag officer 
          authorizations.
Sec. 1214. Guard and reserve technicians.
               Subtitle B--Reserve Component Accessibility
Sec. 1231. Report to Congress on measures to improve National Guard and 
          reserve ability to respond to emergencies.
Sec. 1232. Report to Congress concerning tax incentives for employers of 
          members of reserve components.
Sec. 1233. Report to Congress concerning income insurance program for 
          activated reservists.
Sec. 1234. Report to Congress concerning small business loans for 
          members released from reserve service during contingency 
          operations.
                 Subtitle C--Reserve Forces Sustainment
Sec. 1251. Report concerning tax deductibility of nonreimbursable 
          expenses.
Sec. 1252. Authority to pay transient housing charges for members 
          performing active duty for training.
Sec. 1253. Sense of Congress concerning quarters allowance during 
          service on active duty for training.
Sec. 1254. Sense of Congress concerning military leave policy.
Sec. 1255. Reserve Forces Policy Board.
Sec. 1256. Report on parity of benefits for active duty service and 
          reserve service.
Sec. 1257. Information on proposed funding for the Guard and Reserve 
          components in future-years defense programs.
              TITLE XIII--ARMS CONTROL AND RELATED MATTERS
 Subtitle A--Arms Control, Counterproliferation Activities, and Related 
                                 Matters
Sec. 1301. Extension of counterproliferation authorities.
Sec. 1302. Limitation on retirement or dismantlement of strategic 
          nuclear delivery systems.
Sec. 1303. Strengthening certain sanctions against nuclear proliferation 
          activities.
Sec. 1304. Authority to pay certain expenses relating to humanitarian 
          and civic assistance for clearance of landmines.
Sec. 1305. Report on military capabilities of People's Republic of 
          China.
Sec. 1306. Presidential report regarding weapons proliferation and 
          policies of the People's Republic of China.
Sec. 1307. United States-People's Republic of China Joint Defense 
          Conversion Commission.
Sec. 1308. Sense of Congress concerning export controls.
Sec. 1309. Counterproliferation Program Review Committee.
Sec. 1310. Sense of Congress concerning assisting other countries to 
          improve security of fissile material.
Sec. 1311. Review by Director of Central Intelligence of National 
          Intelligence Estimate 95-19.
  Subtitle B--Commission to Assess the Ballistic Missile Threat to the 
                              United States
Sec. 1321. Establishment of Commission.
Sec. 1322. Duties of Commission.
Sec. 1323. Report.
Sec. 1324. Powers.
Sec. 1325. Commission procedures.
Sec. 1326. Personnel matters.
Sec. 1327. Miscellaneous administrative provisions.
Sec. 1328. Funding.
Sec. 1329. Termination of the Commission.
         TITLE XIV--DEFENSE AGAINST WEAPONS OF MASS DESTRUCTION
Sec. 1401. Short title.
Sec. 1402. Findings.
Sec. 1403. Definitions.
                    Subtitle A--Domestic Preparedness
Sec. 1411. Response to threats of terrorist use of weapons of mass 
          destruction.
Sec. 1412. Emergency response assistance program.
Sec. 1413. Nuclear, chemical, and biological emergency response.
Sec. 1414. Chemical-biological emergency response team.
Sec. 1415. Testing of preparedness for emergencies involving nuclear, 
          radiological, chemical, and biological weapons.
Sec. 1416. Military assistance to civilian law enforcement officials in 
          emergency situations involving biological or chemical weapons.
Sec. 1417. Rapid response information system.
  Subtitle B--Interdiction of Weapons of Mass Destruction and Related 
                                Materials
Sec. 1421. Procurement of detection equipment United States border 
          security.
Sec. 1422. Extension of coverage of International Emergency Economic 
          Powers Act.
Sec. 1423. Sense of Congress concerning criminal penalties.
Sec. 1424. International border security.
 Subtitle C--Control and Disposition of Weapons of Mass Destruction and 
             Related Materials Threatening the United States
Sec. 1431. Coverage of weapons-usable fissile materials in Cooperative 
          Threat Reduction programs on elimination or transportation of 
          nuclear weapons.
Sec. 1432. Elimination of plutonium production.
     Subtitle D--Coordination of Policy and Countermeasures Against 
              Proliferation of Weapons of Mass Destruction
Sec. 1441. National Coordinator on Nonproliferation.
Sec. 1442. National Security Council Committee on Nonproliferation.
Sec. 1443. Comprehensive preparedness program.
Sec. 1444. Termination.
                        Subtitle E--Miscellaneous
Sec. 1451. Sense of Congress concerning contracting policy.
Sec. 1452. Transfers of allocations among Cooperative Threat Reduction 
          programs.
Sec. 1453. Sense of Congress concerning assistance to states of former 
          Soviet Union.
Sec. 1454. Purchase of low-enriched uranium derived from Russian highly 
          enriched uranium.
Sec. 1455. Sense of Congress concerning purchase, packaging, and 
          transportation of fissile materials at risk of theft.
  TITLE XV--COOPERATIVE THREAT REDUCTION WITH STATES OF FORMER SOVIET 
                                  UNION
Sec. 1501. Specification of Cooperative Threat Reduction programs.
Sec. 1502. Fiscal year 1997 funding allocations.
Sec. 1503. Prohibition on use of funds for specified purposes.
Sec. 1504. Limitation on use of funds until specified reports are 
          submitted.
Sec. 1505. Availability of funds.
           TITLE XVI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL
Subtitle A--Miscellaneous Matters Relating to Personnel Management, Pay, 
                             and Allowances
Sec. 1601. Modification of requirement for conversion of military 
          positions to civilian positions.
Sec. 1602. Retention of civilian employee positions at military training 
          bases transferred to National Guard.
Sec. 1603. Clarification of applicability of certain management 
          constraints on major range and test facility base structure.
Sec. 1604. Travel expenses and health care for civilian employees of the 
          Department of Defense abroad.
Sec. 1605. Travel, transportation, and relocation allowances for certain 
          former nonappropriated fund employees.
Sec. 1606. Employment and salary practices applicable to Department of 
          Defense overseas teachers.
Sec. 1607. Employment and compensation of civilian faculty members at 
          certain Department of Defense schools.
Sec. 1608. Reimbursement of Department of Defense domestic dependent 
          school board members for certain expenses.
Sec. 1609. Modification of authority for civilian employees of 
          Department of Defense to participate voluntarily in reductions 
          in force.
Sec. 1610. Wage-board compensatory time off.
Sec. 1611. Liquidation of restored annual leave that remains unused upon 
          transfer of employee from installation being closed or 
          realigned.
Sec. 1612. Waiver of requirement for repayment of Voluntary Separation 
          Incentive pay by former Department of Defense employees 
          reemployed by the Government without pay.
Sec. 1613. Simplification of rules relating to the observance of certain 
          holidays.
Sec. 1614. Revision of certain travel management authorities.
Sec. 1615. Failure to comply with veterans' preference requirements to 
          be treated as a prohibited personnel practice.
Sec. 1616. Pilot programs for defense employees converted to contractor 
          employees due to privatization at closed military 
          installations.
     Subtitle B--Department of Defense Intelligence Personnel Policy
Sec. 1631. Short title.
Sec. 1632. Management of civilian intelligence personnel.
Sec. 1633. Repeal of superseded sections and clerical and conforming 
          amendments.
Sec. 1634. Other personnel management authorities.
Sec. 1635. Effective date.
               TITLE XVII--FEDERAL EMPLOYEE TRAVEL REFORM
Sec. 1701. Short title.
                     Subtitle A--Relocation Benefits
Sec. 1711. Allowance for seeking permanent residence quarters.
Sec. 1712. Temporary quarters subsistence expenses allowance.
Sec. 1713. Modification of residence transaction expenses allowance.
Sec. 1714. Authority to pay for property management services.
Sec. 1715. Authority to transport a privately owned motor vehicle within 
          the continental United States.
Sec. 1716. Authority to pay limited relocation allowances to an employee 
          who is performing an extended assignment.
Sec. 1717. Authority to pay a home marketing incentive.
Sec. 1718. Revision and reenactment of additional provisions relating to 
          relocation expenses.
                  Subtitle B--Miscellaneous Provisions
Sec. 1721. Repeal of the long-distance telephone call certification 
          requirement.
Sec. 1722. Transfer of authority to prescribe regulations.
Sec. 1723. Conforming and clerical amendments.
Sec. 1724. Assessment of cost savings.
Sec. 1725. Effective date and issuance of regulations.
     TITLE XVIII--FEDERAL CHARTER FOR THE FLEET RESERVE ASSOCIATION
Sec. 1801. Recognition and grant of Federal charter.
Sec. 1802. Powers.
Sec. 1803. Purposes.
Sec. 1804. Service of process.
Sec. 1805. Membership.
Sec. 1806. Board of directors.
Sec. 1807. Officers.
Sec. 1808. Restrictions.
Sec. 1809. Liability.
Sec. 1810. Maintenance and inspection of books and records.
Sec. 1811. Audit of financial transactions.
Sec. 1812. Annual report.
Sec. 1813. Reservation of right to alter, amend, or repeal charter.
Sec. 1814. Tax-exempt status required as condition of charter.
Sec. 1815. Termination.
Sec. 1816. Definition of State.
            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS
Sec. 2001. Short title.
                             TITLE XXI--ARMY
Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Land acquisition, National Ground Intelligence Center, 
          Charlottesville, Virginia.
                            TITLE XXII--NAVY
Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.
Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of appropriations, Navy.
Sec. 2205. Beach replenishment, Naval Air Station, North Island, 
          California.
                         TITLE XXIII--AIR FORCE
Sec. 2301. Authorized Air Force construction and land acquisition 
          projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.
Sec. 2305. Elimination of authority to carry out fiscal year 1995 
          project, Spangdahlem Air Force Base, Germany.
                      TITLE XXIV--DEFENSE AGENCIES
Sec. 2401. Authorized Defense Agencies construction and land acquisition 
          projects.
Sec. 2402. Military housing planning and design.
Sec. 2403. Improvements to military family housing units.
Sec. 2404. Military housing improvement program.
Sec. 2405. Energy conservation projects.
Sec. 2406. Authorization of appropriations, Defense Agencies.
Sec. 2407. Reduction in amounts authorized to be appropriated for fiscal 
          year 1996 Defense Agencies military construction, land 
          acquisition, and military family housing functions.
   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                 PROGRAM
Sec. 2501. Authorized NATO construction and land acquisition projects.
Sec. 2502. Authorization of appropriations, NATO.
             TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES
Sec. 2601. Authorized Guard and Reserve construction and land 
          acquisition projects.
Sec. 2602. Authorization and funding for construction and improvement of 
          Naval Reserve Centers.
Sec. 2603. Upgrade Air National Guard facilities, Bangor International 
          Airport, Maine.
         TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS
Sec. 2701. Expiration of authorizations and amounts required to be 
          specified by law.
Sec. 2702. Extension of authorizations of certain fiscal year 1994 
          projects.
Sec. 2703. Extension of authorizations of certain fiscal year 1993 
          projects.
Sec. 2704. Extension of authorizations of certain fiscal year 1992 
          projects.
Sec. 2705. Effective date.
                    TITLE XXVIII--GENERAL PROVISIONS
 Subtitle A--Military Construction Program and Military Family Housing 
                                 Changes
Sec. 2801. Increase in certain thresholds for unspecified minor 
          construction projects.
Sec. 2802. Redesignation of North Atlantic Treaty Organization 
          Infrastructure program.
Sec. 2803. Improvements to family housing units.
Sec. 2804. Availability of funds for planning, execution, and 
          administration of contracts for family housing and 
          unaccompanied housing.
            Subtitle B--Defense Base Closure and Realignment
Sec. 2811. Restoration of authority for certain intragovernment 
          transfers under 1988 base closure law.
Sec. 2812. Contracting for certain services at facilities remaining on 
          closed installations.
Sec. 2813. Authority to compensate owners of manufactured housing.
Sec. 2814. Additional purpose for which adjustment and diversification 
          assistance is authorized.
Sec. 2815. Payment of stipulated penalties assessed under CERCLA in 
          connection with Loring Air Force Base, Maine.
Sec. 2816. Plan for utilization, reutilization, or disposal of 
          Mississippi Army Ammunition Plant.
                      Subtitle C--Land Conveyances
                        Part I--Army Conveyances
Sec. 2821. Transfer of lands, Arlington National Cemetery, Arlington, 
          Virginia.
Sec. 2822. Land transfer, Fort Sill, Oklahoma.
Sec. 2823. Land conveyance, Army Reserve Center, Rushville, Indiana.
Sec. 2824. Land conveyance, Army Reserve Center, Anderson, South 
          Carolina.
Sec. 2825. Land conveyance, Army Reserve Center, Montpelier, Vermont.
Sec. 2826. Land conveyance, Crafts Brothers Reserve Training Center, 
          Manchester, New Hampshire.
Sec. 2827. Land conveyance, Pine Bluff Arsenal, Arkansas.
Sec. 2828. Reaffirmation of land conveyances, Fort Sheridan, Illinois.
                        Part II--Navy Conveyances
Sec. 2831. Land transfer, Potomac Annex, District of Columbia.
Sec. 2832. Land exchange, St. Helena Annex, Norfolk Naval Shipyard, 
          Virginia.
Sec. 2833. Land conveyance, Calverton Pine Barrens, Naval Weapons 
          Industrial Reserve Plant, Calverton, New York.
Sec. 2834. Land conveyance, former naval reserve facility, Lewes, 
          Delaware.
Sec. 2835. Modification of land conveyance authority, Naval Reserve 
          Center, Seattle, Washington.
Sec. 2836. Release of condition on reconveyance of transferred land, 
          Guam.
Sec. 2837. Lease to facilitate construction of reserve center, Naval Air 
          Station, Meridian, Mississippi.
                     Part III--Air Force Conveyances
Sec. 2841. Land conveyance, Radar Bomb Scoring Site, Belle Fourche, 
          South Dakota.
Sec. 2842. Conveyance of primate research complex and Air Force-owned 
          chimpanzees, Holloman Air Force Base, New Mexico.
                       Part IV--Other Conveyances
Sec. 2851. Land conveyance, Tatum Salt Dome Test Site, Mississippi.
Sec. 2852. Land conveyance, William Langer Jewel Bearing Plant, Rolla, 
          North Dakota.
Sec. 2853. Land conveyance, Air Force Plant No. 85, Columbus, Ohio.
Sec. 2854. Modification of boundaries of White Sands National Monument 
          and White Sands Missile Range.
                        Subtitle D--Other Matters
Sec. 2861. Authority to grant easements for rights-of-way.
Sec. 2862. Authority to enter into cooperative agreements for the 
          management of cultural resources on military installations.
Sec. 2863. Demonstration project for installation and operation of 
          electric power distribution system at Youngstown Air Reserve 
          Station, Ohio.
Sec. 2864. Renovation of the Pentagon reservation.
Sec. 2865. Plan for repairs and stabilization of the historic district 
          at the Forest Glen Annex of Walter Reed Medical Center, 
          Maryland.
Sec. 2866. Naming of range at Camp Shelby, Mississippi.
Sec. 2867. Designation of Michael O'Callaghan military hospital.
Sec. 2868. Naming of building at the Uniformed Services University of 
          the Health Sciences.
                  TITLE XXIX--MILITARY LAND WITHDRAWALS
     Subtitle A--Fort Carson-Pinon Canyon Military Lands Withdrawal
Sec. 2901. Short title.
Sec. 2902. Withdrawal and reservation of lands at Fort Carson Military 
          Reservation.
Sec. 2903. Withdrawal and reservation of lands at Pinon Canyon Maneuver 
          Site.
Sec. 2904. Maps and legal descriptions.
Sec. 2905. Management of withdrawn lands.
Sec. 2906. Management of withdrawn and acquired mineral resources.
Sec. 2907. Hunting, fishing, and trapping.
Sec. 2908. Termination of withdrawal and reservation.
Sec. 2909. Determination of presence of contamination and effect of 
          contamination.
Sec. 2910. Delegation.
Sec. 2911. Hold harmless.
Sec. 2912. Amendment to Military Lands Withdrawal Act of 1986.
Sec. 2913. Authorization of appropriations.
       Subtitle B--El Centro Naval Air Facility Ranges Withdrawal
Sec. 2921. Short title and definitions.
Sec. 2922. Withdrawal and reservation of lands for El Centro.
Sec. 2923. Maps and legal descriptions.
Sec. 2924. Management of withdrawn lands.
Sec. 2925. Duration of withdrawal and reservation.
Sec. 2926. Continuation of ongoing decontamination activities.
Sec. 2927. Requirements for extension.
Sec. 2928. Early relinquishment of withdrawal.
Sec. 2929. Delegation of authority.
Sec. 2930. Hunting, fishing, and trapping.
Sec. 2931. Hold harmless.
 DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND 
                          OTHER AUTHORIZATIONS
       TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS
          Subtitle A--National Security Programs Authorizations
Sec. 3101. Weapons activities.
Sec. 3102. Environmental restoration and waste management.
Sec. 3103. Defense fixed asset acquisition/privatization.
Sec. 3104. Other defense activities.
Sec. 3105. Defense nuclear waste disposal.
                Subtitle B--Recurring General Provisions
Sec. 3121. Reprogramming.
Sec. 3122. Limits on general plant projects.
Sec. 3123. Limits on construction projects.
Sec. 3124. Fund transfer authority.
Sec. 3125. Authority for conceptual and construction design.
Sec. 3126. Authority for emergency planning, design, and construction 
          activities.
Sec. 3127. Funds available for all national security programs of the 
          Department of Energy.
Sec. 3128. Availability of funds.
    Subtitle C--Program Authorizations, Restrictions, and Limitations
Sec. 3131. Stockpile stewardship program.
Sec. 3132. Manufacturing infrastructure for nuclear weapons stockpile.
Sec. 3133. Tritium production.
Sec. 3134. Modernization and consolidation of tritium recycling 
          facilities.
Sec. 3135. Production of high explosives.
Sec. 3136. Limitation on use of funds for certain research and 
          development purposes.
Sec. 3137. Prohibition on funding nuclear weapons activities with 
          People's Republic of China.
Sec. 3138. International cooperative stockpile stewardship programs.
Sec. 3139. Temporary authority relating to transfers of defense 
          environmental management funds.
Sec. 3140. Management structure for nuclear weapons production 
          facilities and nuclear weapons laboratories.
Sec. 3141. Accelerated schedule for isolating high-level nuclear waste 
          at the defense waste processing facility, Savannah River Site.
Sec. 3142. Processing and treatment of high-level nuclear waste and 
          spent nuclear fuel rods.
Sec. 3143. Projects to accelerate closure activities at defense nuclear 
          facilities.
Sec. 3144. Payment of costs of operation and maintenance of 
          infrastructure at Nevada Test Site.
                        Subtitle D--Other Matters
Sec. 3151. Report on plutonium pit production and remanufacturing plans.
Sec. 3152. Amendments relating to baseline environmental management 
          reports.
Sec. 3153. Requirement to develop future use plans for environmental 
          management program.
Sec. 3154. Report on Department of Energy liability at Department 
          superfund sites.
Sec. 3155. Requirement for annual five-year budget for the national 
          security programs of the Department of Energy.
Sec. 3156. Requirements for Department of Energy weapons activities 
          budgets for fiscal years after fiscal year 1997.
Sec. 3157. Repeal of requirement relating to accounting procedures for 
          Department of Energy funds.
Sec. 3158. Update of report on nuclear test readiness postures.
Sec. 3159. Reports on critical difficulties at nuclear weapons 
          laboratories and nuclear weapons production plants.
Sec. 3160. Extension of applicability of notice-and-wait requirement 
          regarding proposed cooperation agreements.
Sec. 3161. Sense of Senate relating to redesignation of defense 
          environmental restoration and waste management program.
Sec. 3162. Commission on maintaining United States nuclear weapons 
          expertise.
Sec. 3163. Sense of Congress regarding reliability and safety of 
          remaining nuclear forces.
Sec. 3164. Study on worker protection at the Mound facility.
Sec. 3165. Fiscal year 1998 funding for Greenville Road Improvement 
          Project, Livermore, California.
Sec. 3166. Fellowship program for development of skills critical to 
          Department of Energy nuclear weapons complex.
    Subtitle E--Defense Nuclear Environmental Cleanup and Management
Sec. 3171. Purpose.
Sec. 3172. Applicability.
Sec. 3173. Site manager.
Sec. 3174. Department of Energy orders.
Sec. 3175. Deployment of technology for remediation of defense nuclear 
          waste.
Sec. 3176. Performance-based contracting.
Sec. 3177. Designation of covered facilities as environmental cleanup 
          demonstration areas.
Sec. 3178. Definitions.
Sec. 3179. Termination.
Sec. 3180. Report.
 Subtitle F--Waste Isolation Pilot Plant Land Withdrawal Act Amendments
Sec. 3181. Short title.
Sec. 3182. Definitions.
Sec. 3183. Management plan.
Sec. 3184. Repeal of test phase and retrieval plans.
Sec. 3185. Test phase activities.
Sec. 3186. Disposal operations.
Sec. 3187. Environmental Protection Agency disposal regulations.
Sec. 3188. Compliance with environmental laws and regulations.
Sec. 3189. Sense of Congress on commencement of emplacement of 
          transuranic waste.
Sec. 3190. Decommissioning of WIPP.
Sec. 3191. Authorizations for economic assistance and miscellaneous 
          payments.
          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD
Sec. 3201. Authorization.
                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE
         Subtitle A--Authorization of Disposals and Use of Funds
Sec. 3301. Definitions.
Sec. 3302. Authorized uses of stockpile funds.
Sec. 3303. Disposal of certain materials in National Defense Stockpile.
                     Subtitle B--Programmatic Change
Sec. 3311. Biennial report on stockpile requirements.
Sec. 3312. Notification requirements.
Sec. 3313. Importation of strategic and critical materials.
                  TITLE XXXIV--NAVAL PETROLEUM RESERVES
Sec. 3401. Authorization of appropriations.
Sec. 3402. Price requirement on sale of certain petroleum during fiscal 
          year 1997.
                   TITLE XXXV--PANAMA CANAL COMMISSION
               Subtitle A--Authorization of Appropriations
Sec. 3501. Short title.
Sec. 3502. Authorization of expenditures.
Sec. 3503. Purchase of vehicles.
Sec. 3504. Expenditures only in accordance with treaties.
           Subtitle B--Amendments to Panama Canal Act of 1979
Sec. 3521. Short title; references.
Sec. 3522. Definitions and recommendation for legislation.
Sec. 3523. Administrator.
Sec. 3524. Deputy Administrator and Chief Engineer.
Sec. 3525. Office of Ombudsman.
Sec. 3526. Appointment and compensation; duties.
Sec. 3527. Applicability of certain benefits.
Sec. 3528. Travel and transportation.
Sec. 3529. Clarification of definition of agency.
Sec. 3530. Panama Canal Employment System; merit and other employment 
          requirements.
Sec. 3531. Employment standards.
Sec. 3532. Repeal of obsolete provision regarding interim application of 
          Canal Zone Merit System.
Sec. 3533. Repeal of provision relating to recruitment and retention 
          remuneration.
Sec. 3534. Benefits based on basic pay.
Sec. 3535. Vesting of general administrative authority of commission.
Sec. 3536. Applicability of certain laws.
Sec. 3537. Repeal of provision relating to transferred or reemployed 
          employees.
Sec. 3538. Administration of special disability benefits.
Sec. 3539. Panama Canal Revolving Fund.
Sec. 3540. Printing.
Sec. 3541. Accounting policies.
Sec. 3542. Interagency services; reimbursements.
Sec. 3543. Postal service.
Sec. 3544. Investigation of accidents or injury giving rise to claim.
Sec. 3545. Operations regulations.
Sec. 3546. Miscellaneous repeals.
Sec. 3547. Exemption from Metric Conversion Act of 1975.
Sec. 3548. Conforming and clerical amendments.
Sec. 3549. Repeal of Panama Canal Code.
SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.
    For purposes of this Act, the term ``congressional defense 
committees'' means--
            (1) the Committee on Armed Services and the 
        Committee on Appropriations of the Senate; and
            (2) the Committee on National Security and the 
        Committee on Appropriations of the House of 
        Representatives.
            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS
                          TITLE I--PROCUREMENT
                          TITLE I--PROCUREMENT
               Subtitle A--Authorization of Appropriations
Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Reserve components.
Sec. 106. Defense Inspector General.
Sec. 107. Chemical Demilitarization Program.
Sec. 108. Defense health programs.
                        Subtitle B--Army Programs
Sec. 111. Repeal of limitation on procurement of Armed Kiowa Warrior 
          helicopters.
Sec. 112. Multiyear procurement authority for Army programs.
Sec. 113. Bradley TOW 2 Test Program sets.
                        Subtitle C--Navy Programs
Sec. 121. Nuclear attack submarine programs.
Sec. 122. Arleigh Burke class destroyer program.
Sec. 123. EA-6B aircraft reactive jammer program.
Sec. 124. T-39N trainer aircraft for the Navy.
Sec. 125. Penguin missile program.
                     Subtitle D--Air Force Programs
Sec. 131. Repeal of limitation on procurement of F-15E aircraft.
Sec. 132. Modification to multiyear procurement authority for C-17 
          aircraft program.
                        Subtitle E--Other Matters
Sec. 141. Assessments of modernization priorities of the reserve 
          components.
Sec. 142. Destruction of existing stockpile of lethal chemical agents 
          and munitions.
Sec. 143. Extension of authority to carry out Armament Retooling and 
          Manufacturing Support Initiative.
              Subtitle A--Authorization of Appropriations
SEC. 142. DESTRUCTION OF EXISTING STOCKPILE OF LETHAL CHEMICAL AGENTS 
                    AND MUNITIONS.
    Section 152 of the National Defense Authorization Act for 
Fiscal Year 1996 (Public Law 104-106; 110 Stat. 214; 50 U.S.C. 
1521 note) is amended by adding at the end the following new 
subsections:
    ``(e) Assessment of Alternative Technologies for 
Demilitarization of Assembled Chemical Munitions.--(1) In 
addition to the assessment required by subsection (c), the 
Secretary of Defense shall conduct an assessment of the 
chemical demilitarization program for destruction of assembled 
chemical munitions and of the alternative demilitarization 
technologies and processes (other than incineration) that could 
be used for the destruction of the lethal chemical agents that 
are associated with these munitions, while ensuring maximum 
protection for the general public, the personnel involved in 
the demilitarization program, and the environment. The measures 
considered shall be limited to those that would minimize the 
risk to the public and reduce the total cost of the chemical 
agents and munitions destruction program. The assessment shall 
be conducted without regard to any limitation that would 
otherwise apply to the conduct of such assessment under any 
provision of law.
    ``(2) The assessment shall be conducted in coordination 
with the National Research Council.
    ``(3) Among the alternatives, the assessment shall include 
a determination of the cost of incineration of the current 
chemical munitions stockpile by building incinerators at each 
existing facility compared to the proposed cost of dismantling 
those same munitions, neutralizing them at each storage site 
(other than Tooele Army Depot or Johnston Atoll), and 
transporting the neutralized remains and all munitions parts to 
a treatment, storage, and disposal facility within the United 
States that has the necessary environmental permits to 
undertake incineration of the material.
    ``(4) Based on the results of the assessment, the Secretary 
shall develop appropriate recommendations for revision of the 
chemical demilitarization program.
    ``(5) Not later than December 31, 1997, the Secretary of 
Defense shall submit to Congress a report on the assessment 
conducted in accordance with paragraph (1) and any 
recommendations for revision of the chemical demilitarization 
program, including the continued development of alternative 
demilitarization technologies and processes other than 
incineration that could be used for the destruction of the 
lethal chemical agents that are associated with these assembled 
chemical munitions and the chemical munitions demilitarization 
sites for which the selected technologies should be developed.
    ``(f) Pilot Program for Demilitarization of Chemical Agents 
for Assembled Munitions.--(1) If the Secretary of Defense makes 
a decision to continue the development of an alternative 
demilitarization technology or process (other than 
incineration) that could be used for the destruction of the 
lethal chemical agents that are associated with assembled 
chemical munitions, $25,000,000 shall be available from the 
funds authorized to be appropriated in section 107 of the 
National Defense Authorization Act for Fiscal Year 1997 for the 
chemical agents and munitions destruction program, in order to 
initiate a pilot program using the selected alternative 
technology or process for the destruction of chemical agents 
that are stored at these sites.
    ``(2) Not less than 30 days before using funds to initiate 
the pilot program under paragraph (1), the Secretary shall 
submit notice in writing to Congress of the Secretary's intent 
to do so.
    ``(3) The pilot program shall be conducted at the selected 
chemical agent and munitions stockpile storage site for which 
the alternative technology or process is recommended.''.
         TITLE II--RESEARCH, DEVELOPMENT, TEST, AND EVALUATION
SEC. 204. DEFENSE SPECIAL WEAPONS AGENCY.
    There is hereby authorized to be appropriated for fiscal 
year 1997 the amount of $314,313,000 for the Defense Special 
Weapons Agency, of which--
            (1) $7,900,000 is for procurement;
            (2) $218,330,000 is for research, development, 
        test, and evaluation; and
            (3) $88,083,000 is for operations and maintenance.
    Subtitle B--Program Requirements, Restrictions, and Limitations
SEC. 211. SPACE LAUNCH MODERNIZATION.
    (a) Funding.--Funds appropriated pursuant to the 
authorization of appropriations in section 201(3) are 
authorized to be made available for space launch modernization 
for purposes and in amounts as follows:
            (1) For the Evolved Expendable Launch Vehicle 
        program, $44,457,000.
            (2) For a competitive reusable launch vehicle 
        program (program element 63401F), $25,000,000.
    (b) Limitations.--(1) Of the funds made available for the 
reusable launch vehicle program pursuant to subsection (a)(2), 
the total amount obligated for such purpose may not exceed the 
total amount allocated in the fiscal year 1997 current 
operating plan of the National Aeronautics and Space 
Administration for the Reusable Space Launch program of the 
National Aeronautics and Space Administration.
    (2) Of the funds made available for the Evolved Expendable 
Launch Vehicle program pursuant to subsection (a)(1), the total 
amount obligated for such purpose may not exceed $20,000,000 
until the Secretary of Defense certifies to Congress that the 
Secretary has made available for obligation the funds, if any, 
that are made available for the reusable launch vehicle program 
pursuant to subsection (a)(2).
    (c) Coordination of Engine Testing.--Not later than 90 days 
after the date of the enactment of this Act, the Secretary of 
Defense and the Administrator of the National Aeronautics and 
Space Administration shall submit to Congress a joint plan for 
coordinating and eliminating unnecessary duplication in the 
operations and planned improvements of rocket engine and rocket 
engine component test facilities managed by the Department of 
the Air Force and the National Aeronautics and Space 
Administration. The plan shall provide, to the extent 
practical, for the development of commonly funded and commonly 
operated facilities.
SEC. 212. SPACE-BASED INFRARED SYSTEM PROGRAM.
    (a) Funding.--Funds appropriated pursuant to the 
authorization of appropriations in section 201(3) are 
authorized to be made available for the Space-Based Infrared 
System program for purposes and in amounts as follows:
            (1) For Space Segment High, $173,290,000.
            (2) For Space Segment Low (the Space and Missile 
        Tracking System), $247,221,000.
            (3) For Cobra Brass, $6,930,000.
    (b) Limitation.--Not more than $100,000,000 of the funds 
authorized to be made available under subsection (a)(1) may be 
obligated or expended until the Secretary of Defense certifies 
to Congress that the Secretary has made available the funds 
authorized to be made available under subsection (a)(2) for the 
purpose of accelerating the deployment of the Space Segment Low 
(the Space and Missile Tracking System).
    (c) Program Management.--Before the submission of the 
President's budget for fiscal year 1998, the Secretary of 
Defense shall conduct a review of the appropriate management 
responsibilities for the Space and Missile Tracking System, 
including whether transferring such management responsibility 
from the Air Force to the Ballistic Missile Defense 
Organization would result in improved program efficiencies and 
support.
SEC. 213. CLEMENTINE 2 MICRO-SATELLITE DEVELOPMENT PROGRAM.
    (a) Amount for Program.--Of the amount authorized to be 
appropriated under section 201(3), $50,000,000 shall be 
available for the Clementine 2 micro-satellite near-Earth 
asteroid interception mission.
    (b) Limitation.--Of the funds authorized to be appropriated 
pursuant to this Act for the global positioning system (GPS) 
Block II F Satellite system, not more than $25,000,000 may be 
obligated until the Secretary of Defense certifies to Congress 
that--
            (1) funds appropriated for fiscal year 1996 for the 
        Clementine 2 Micro-Satellite development program have 
        been obligated in accordance with Public Law 104-106 
        and the Joint Explanatory Statement of the Committee of 
        Conference accompanying S. 1124 (House Report 104-450 
        (104th Congress, second session)); and
            (2) the Secretary has made available for obligation 
        the funds appropriated for fiscal year 1997 for the 
        purpose specified in subsection (a).
SEC. 216. LIMITATION ON FUNDING FOR F-16 TACTICAL MANNED RECONNAISSANCE 
                    AIRCRAFT.
    (a) Limitation.--Effective on the date of the enactment of 
this Act, not more than $50,000,000 (in fiscal year 1997 
constant dollars) may be obligated or expended for--
            (1) research, development, test, and evaluation 
        for, and acquisition and modification of, the F-16 
        tactical manned reconnaissance aircraft program; and
            (2) costs associated with the termination of such 
        program.
    (b) Exception.--The limitation in subsection (a) shall not 
apply to obligations required for improvements planned before 
the date of the enactment of this Act to incorporate the common 
data link into the F-16 tactical manned reconnaissance 
aircraft.
SEC. 221. UNMANNED AERIAL VEHICLES.
    (a) Procurement Funding Request.--The funding request for 
procurement for unmanned aerial vehicles for any fiscal year 
shall be set forth under the funding requests for the military 
departments in the budget of the Department of Defense.
    (b) Transfer of Program Management.--Program management for 
the Predator Unmanned Aerial Vehicle, and programmed funding 
for such vehicle for fiscal years 1998, 1999, 2000, 2001, and 
2002 (as set forth in the future-years defense program), shall 
be transferred to the Department of the Air Force, effective 
October 1, 1996, or the date of the enactment of this Act, 
whichever is later.
    (c) Prohibition on Providing Operating Capability from 
Naval Vessels.--No funds authorized to be appropriated by this 
Act may be obligated for purposes of providing the capability 
of the Predator Unmanned Aerial Vehicle to operate from naval 
vessels.
SEC. 222. HIGH ALTITUDE ENDURANCE UNMANNED AERIAL RECONNAISSANCE 
                    SYSTEM.
    Any concepts for an improved Tier III Minus (High Altitude 
Endurance Unmanned Aerial Reconnaissance) system, developed 
using funds authorized to be appropriated under this title, 
that would increase the unit flyaway cost for such system to an 
amount greater than the unit flyaway cost established in either 
of the original contracts for such system, may not be carried 
out under the original contracts, but must instead be carried 
out under another contract that is awarded using competitive 
procedures.
SEC. 226. FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTERS.
    (a) Centers Covered.--Funds authorized to be appropriated 
for the Department of Defense for fiscal year 1997 under 
section 201 may be obligated to procure work from a federally 
funded research and development center (in this section 
referred to as an ``FFRDC'') only in the case of a center named 
in the report required by subsection (b) and, in the case of 
such a center, only in an amount not in excess of the amount of 
the proposed funding level set forth for that center in such 
report.
    (b) Report on Allocations for Centers.--(1) Not later than 
30 days after the date of the enactment of this Act, the 
Secretary of Defense shall submit to the Committee on Armed 
Services of the Senate and the Committee on National Security 
of the House of Representatives a report containing--
            (A) the name of each FFRDC from which work is 
        proposed to be procured for the Department of Defense 
        for fiscal year 1997;
            (B) for each such center, the proposed funding 
        level and the estimated personnel level for fiscal year 
        1997; and
            (C) for each such center, an unambiguous definition 
        of the unique core competencies required to be 
        maintained for fiscal year 1997.
    (2) The total of the proposed funding levels set forth in 
the report for all FFRDCs may not exceed the amount set forth 
in subsection (d).
    (c) Limitation Pending Submission of Report.--Not more than 
15 percent of the funds authorized to be appropriated for the 
Department of Defense for fiscal year 1997 for FFRDCs under 
section 201 may be obligated to procure work from an FFRDC 
until the Secretary of Defense submits the report required by 
subsection (b).
    (d) Funding.--(1) Subject to paragraph (2), of the amounts 
authorized to be appropriated by section 201, not more than a 
total of $1,214,650,000 may be obligated to procure services 
from the FFRDCs named in the report required by subsection (b).
    (2) The limitation in paragraph (1) does not apply to funds 
obligated for the procurement of equipment for FFRDCs.
    (e) Authority To Waive Funding Limitation.--The Secretary 
of Defense may waive the limitation regarding the maximum 
funding amount that applies under subsection (a) to an FFRDC. 
Whenever the Secretary proposes to make such a waiver, the 
Secretary shall submit to the Committee on Armed Services of 
the Senate and the Committee on National Security of the House 
of Representatives notice of the proposed waiver and the 
reasons for the waiver. The waiver may then be made only after 
the end of the 60-day period that begins on the date on which 
the notice is submitted to those committees, unless the 
Secretary determines that it is essential to the national 
security that funds be obligated for work at that center in 
excess of that limitation before the end of such period and 
notifies those committees of that determination and the reasons 
for the determination.
SEC. 228. RESEARCH ACTIVITIES OF THE DEFENSE ADVANCED RESEARCH PROJECTS 
                    AGENCY RELATING TO CHEMICAL AND BIOLOGICAL WARFARE 
                    DEFENSE TECHNOLOGY.
    (a) Authority.--Section 1701(c) of the National Defense 
Authorization Act for Fiscal Year 1994 (Public Law 103-160; 107 
Stat. 1853; 50 U.S.C. 1522) is amended--
            (1) by inserting ``(1)'' before ``The Secretary''; 
        and
            (2) by adding at the end the following new 
        paragraph:
    ``(2) The Director of the Defense Advanced Research 
Projects Agency may conduct a program of basic and applied 
research and advanced technology development on chemical and 
biological warfare defense technologies and systems. In 
conducting such program, the Director shall seek to avoid 
unnecessary duplication of the activities under the program 
with chemical and biological warfare defense activities of the 
military departments and defense agencies and shall coordinate 
the activities under the program with those of the military 
departments and defense agencies.''.
    (b) Funding.--Section 1701(d) of such Act is amended--
            (1) in paragraph (1), by striking out ``military 
        departments'' and inserting in lieu thereof 
        ``Department of Defense'';
            (2) in paragraph (2), by inserting after ``requests 
        for the program'' in the first sentence the following: 
        ``(other than for activities under the program 
        conducted by the Defense Advanced Research Projects 
        Agency under subsection (c)(2))'';
            (3) by redesignating paragraph (3) as paragraph 
        (4); and
            (4) by inserting after paragraph (2) the following 
        new paragraph (3):
    ``(3) The program conducted by the Defense Advanced 
Research Projects Agency under subsection (c)(2) shall be set 
forth as a separate program element in the budget of that 
agency.''.
SEC. 229. CERTIFICATION OF CAPABILITY OF UNITED STATES TO PREVENT 
                    ILLEGAL IMPORTATION OF NUCLEAR, BIOLOGICAL, AND 
                    CHEMICAL WEAPONS.
    Not later than 15 days after the date of the enactment of 
this Act, the President shall submit to Congress a 
certification in writing stating specifically whether or not 
the United States has the capability (as of the date of the 
certification) to prevent the illegal importation of nuclear, 
biological, and chemical weapons into the United States and its 
possessions.
SEC. 231. COUNTERPROLIFERATION SUPPORT PROGRAM.
    (a) Funding.--Of the funds authorized to be appropriated to 
the Department of Defense under section 201(4), $186,200,000 
shall be available for the Counterproliferation Support 
Program, of which $75,000,000 shall be available for a tactical 
antisatellite technologies program.
    (b) Additional Authority To Transfer Authorizations.--(1) 
In addition to the transfer authority provided in section 1001, 
upon determination by the Secretary of Defense that such action 
is necessary in the national interest, the Secretary may 
transfer amounts of authorizations made available to the 
Department of Defense in this division for fiscal year 1997 to 
counterproliferation programs, projects, and activities 
identified as areas for progress by the Counterproliferation 
Program Review Committee established by section 1605 of the 
National Defense Authorization Act for Fiscal Year 1994 (22 
U.S.C. 2751 note). Amounts of authorizations so transferred 
shall be merged with and be available for the same purposes as 
the authorization to which transferred.
    (2) The total amount of authorizations transferred under 
the authority of this subsection may not exceed $50,000,000.
    (3) The authority provided by this subsection to transfer 
authorizations--
            (A) may only be used to provide authority for items 
        that have a higher priority than the items from which 
        authority is transferred; and
            (B) may not be used to provide authority for an 
        item that has been denied authorization by Congress.
    (4) A transfer made from one account to another under the 
authority of this subsection shall be deemed to increase the 
amount authorized for the account to which the amount is 
transferred by an amount equal to the amount transferred.
    (5) The Secretary of Defense shall promptly notify Congress 
of transfers made under the authority of this subsection.
    (c) Limitation on Use of Funds for Technical Studies and 
Analyses Pending Release of Funds.--(1) None of the funds 
authorized to be appropriated to the Department of Defense for 
fiscal year 1997 for program element 605104D, relating to 
technical studies and analyses, may be obligated or expended 
until the funds referred to in paragraph (2) have been released 
to the program manager of the tactical anti-satellite 
technology program for implementation of that program.
    (2) The funds for release referred to in paragraph (1) are 
as follows:
            (A) Funds authorized to be appropriated by section 
        218(a) of the National Defense Authorization Act for 
        Fiscal Year 1996 (Public Law 104-106; 110 Stat. 222) 
        that are available for the program referred to in 
        paragraph (1).
            (B) Funds authorized to be appropriated to the 
        Department for fiscal year 1997 by this Act for the 
        Counterproliferation Support Program that are to be 
        made available for that program.
             Subtitle C--Ballistic Missile Defense Programs
SEC. 241. FUNDING FOR BALLISTIC MISSILE DEFENSE PROGRAMS FOR FISCAL 
                    YEAR 1997.
    (a) Program Amounts.--Of the amount appropriated pursuant 
to section 201(4), the following amounts may be obligated for 
the following systems managed by the Ballistic Missile Defense 
Organization:
            (1) For the Theater High Altitude Area Defense 
        (THAAD) System, $621,798,000.
            (2) For the Navy Upper Tier (Theater Wide) system, 
        $304,171,000.
            (3) For the National Missile Defense System, 
        $858,437,000.
            (4) For the Corps Surface-to-Air Missile (SAM)/
        Medium Extended Air Defense System (MEADS) sytem, 
        $56,200,000.
    (b) Limitation.--None of the funds appropriated or 
otherwise made available for the Department of Defense pursuant 
to this or any other Act may be obligated or expended by the 
Office of the Under Secretary of Defense for Acquisition and 
Technology for official representation activities, or related 
activities, until the Secretary of Defense certifies to 
Congress that--
            (1) the Secretary has made available for obligation 
        the funds provided under subsection (a) for the 
        purposes specified in that subsection and in the 
        amounts appropriated pursuant to that subsection; and
            (2) the Secretary has included the Navy Upper Tier 
        theater missile defense system in the theater missile 
        defense core program.
    (c) Limitations.--Not more than $15,000,000 of the amount 
available for the Corps SAM/MEADS program under subsection (a) 
may be obligated until the Secretary of Defense submits to the 
congressional defense committees the following:
            (1) An initial program estimate for the Corps SAM/
        MEADS program, including a tentative schedule of major 
        milestones and an estimate of the total program cost 
        through initial operational capability.
            (2) A report on the options associated with the use 
        of existing systems, technologies, and program 
        management mechanisms to satisfy the requirement for 
        the Corps surface-to-air missile, including an 
        assessment of cost and schedule implications in 
        relation to the program estimate submitted under 
        paragraph (1).
            (3) A certification that there will be no increase 
        in overall United States funding commitment to the 
        project definition and validation phase of the Corps 
        SAM/MEADS program as a result of the withdrawal of 
        France from participation in the program.
SEC. 242. CERTIFICATION OF CAPABILITY OF UNITED STATES TO DEFEND 
                    AGAINST SINGLE BALLISTIC MISSILE.
    Not later than 15 days after the date of the enactment of 
this Act, the President shall submit to Congress a 
certification in writing stating specifically whether or not 
the United States has the military capability (as of the time 
of the certification) to intercept and destroy a single 
ballistic missile launched at the territory of the United 
States.
SEC. 243. REPORT ON BALLISTIC MISSILE DEFENSE AND PROLIFERATION.
    The Secretary of Defense shall submit to Congress a report 
on ballistic missile defense and the proliferation of weapons 
of mass destruction, including nuclear, chemical, and 
biological weapons, and the missiles that can be used to 
deliver them. The report shall be submitted not later than 
December 31, 1996, and shall include the following:
            (1) An assessment of how United States theater 
        missile defenses contribute to United States efforts to 
        prevent proliferation, including an evaluation of the 
        specific effect United States theater missile defense 
        systems can have on dissuading other states from 
        acquiring ballistic missiles.
            (2) An assessment of how United States national 
        missile defenses contribute to United States efforts to 
        prevent proliferation.
            (3) An assessment of the effect of the lack of 
        national missile defenses on the desire of other states 
        to acquire ballistic missiles and an evaluation of the 
        types of missiles other states might seek to acquire as 
        a result.
            (4) A detailed review of the linkages between 
        missile defenses (both theater and national) and each 
        of the categories of counterproliferation activities 
        identified by the Secretary of Defense as part of the 
        Defense Counterproliferation Initiative announced by 
        the Secretary in December 1993.
            (5) A description of how theater and national 
        ballistic missile defenses can augment the 
        effectiveness of other counterproliferation tools.
SEC. 244. REVISION TO ANNUAL REPORT ON BALLISTIC MISSILE DEFENSE 
                    PROGRAM.
    Section 224(b) of the National Defense Authorization Act 
for Fiscal Years 1990 and 1991 (10 U.S.C. 2431 note) is 
amended--
            (1) by striking out paragraphs (3), (4), and (10);
            (2) by redesignating paragraphs (5) and (6) as 
        paragraphs (3) and (4), respectively;
            (3) by redesignating paragraph (7) as paragraph (5) 
        and in that paragraph by striking out ``of the Soviet 
        Union'' and ``for the Soviet Union'';
            (4) by redesignating paragraph (8) as paragraph 
        (6); and
            (5) by redesignating paragraph (9) as paragraph (7) 
        and in that paragraph--
                    (A) by striking out ``of the Soviet Union'' 
                in subparagraph (A);
                    (B) by striking out subparagraphs (C) 
                through (F); and
                    (C) by redesignating subparagraph (G) as 
                subparagraph (C).
SEC. 245. REPORT ON AIR FORCE NATIONAL MISSILE DEFENSE PLAN.
    Not later than 120 days after the date of the enactment of 
this Act, the Secretary of Defense shall submit to the 
Committee on Armed Services of the Senate and the Committee on 
National Security of the House of Representatives a report on 
the following matters regarding the National Missile Defense 
Plan of the Air Force:
            (1) The cost and operational effectiveness of a 
        system that could be developed pursuant to that plan.
            (2) The arms control implications of such a system.
            (3) The growth potential of such a system to meet 
        future threats.
            (4) The recommendations of the Secretary for 
        improvements to that plan.
SEC. 246. CAPABILITY OF NATIONAL MISSILE DEFENSE SYSTEM.
    The Secretary of Defense shall ensure that any National 
Missile Defense system deployed by the United States is capable 
of defeating the threat posed by the Taepo Dong II missile of 
North Korea.
SEC. 247. ACTIONS TO LIMIT ADVERSE EFFECTS ON PRIVATE SECTOR EMPLOYMENT 
                    OF ESTABLISHMENT OF NATIONAL MISSILE DEFENSE JOINT 
                    PROGRAM OFFICE.
    The Secretary of Defense shall take such actions as are 
necessary in connection with the establishment of the National 
Missile Defense Joint Program Office within the Ballistic 
Missile Defense Organization to ensure that the establishment 
of that office does not make it necessary for a Federal 
Government contractor to reduce significantly the number of 
persons employed by that contractor for supporting the national 
missile defense development program at any particular location 
outside the National Capital Region (as defined in section 
2674(f)(2) of title 10, United States Code).
SEC. 248. ABM TREATY DEFINED.
    For purposes of this subtitle, the term ``ABM Treaty'' 
means the Treaty Between the United States of America and the 
Union of Soviet Socialist Republics on the Limitation of Anti-
Ballistic Missile Systems, and signed at Moscow on May 26, 
1972, and includes the Protocols to that Treaty, signed at 
Moscow on July 3, 1974.
                  TITLE III--OPERATION AND MAINTENANCE
SEC. 308. SR-71 CONTINGENCY RECONNAISSANCE FORCE.
    Of the funds authorized to be appropriated by section 
301(4), $30,000,000 is authorized to be made available for the 
SR-71 contingency reconnaissance force.
  TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED 
                                MATTERS
                   Subtitle B--Force Structure Review
SEC. 921. SHORT TITLE.
    This subtitle may be cited as the ``Military Force 
Structure Review Act of 1996''.
SEC. 922. FINDINGS.
    Congress makes the following findings:
            (1) Since the collapse of the Soviet Union in 1991, 
        the United States has conducted two substantial 
        assessments of the force structure of the Armed Forces 
        necessary to meet United States defense requirements.
            (2) The assessment by the Bush Administration 
        (known as the ``Base Force'' assessment) and the 
        assessment by the Clinton Administration (known as the 
        ``Bottom-Up Review'') were intended to reassess the 
        force structure of the Armed Forces in light of the 
        changing realities of the post-Cold War world.
            (3) Both assessments served an important purpose in 
        focusing attention on the need to reevaluate the 
        military posture of the United States, but the pace of 
        global change necessitates a new, comprehensive 
        assessment of the defense strategy of the United States 
        and the force structure of the Armed Forces required to 
        meet the threats to the United States in the twenty-
        first century.
            (4) The Bottom-Up Review has been criticized on 
        several points, including--
                    (A) the assumptions underlying the strategy 
                of planning to fight and win two nearly 
                simultaneous major regional conflicts;
                    (B) the force levels recommended to carry 
                out that strategy; and
                    (C) the funding proposed for such 
                recommended force levels.
            (5) In response to the recommendations of the 
        Commission on Roles and Missions of the Armed Forces, 
        the Secretary of Defense endorsed the concept of 
        conducting a quadrennial review of the defense program 
        at the beginning of each newly elected Presidential 
        administration, and the Department intends to complete 
        the first such review in 1997.
            (6) The review is to involve a comprehensive 
        examination of defense strategy, the force structure of 
        the active, guard, and reserve components, force 
        modernization plans, infrastructure, and other elements 
        of the defense program and policies in order to 
        determine and express the defense strategy of the 
        United States and to establish a revised defense 
        program through the year 2005.
            (7) In order to ensure that the force structure of 
        the Armed Forces is adequate to meet the challenges to 
        the national security interests of the United States in 
        the twenty-first century, to assist the Secretary of 
        Defense in conducting the review referred to in 
        paragraph (5), and to assess the appropriate force 
        structure of the Armed Forces through the year 2010 and 
        beyond (if practicable), it is important to provide for 
        the conduct of an independent, nonpartisan review of 
        the force structure that is more comprehensive than 
        prior assessments of the force structure, extends 
        beyond the quadrennial defense review, and explores 
        innovative and forward-thinking ways of meeting such 
        challenges.
SEC. 923. QUADRENNIAL DEFENSE REVIEW.
    (a) Requirement in 1997.--The Secretary of Defense, in 
consultation with the Chairman of the Joint Chiefs of Staff, 
shall complete in 1997 a review of the defense program of the 
United States intended to satisfy the requirements for a 
Quadrennial Defense Review as identified in the recommendations 
of the Commission on Roles and Missions of the Armed Forces. 
The review shall include a comprehensive examination of the 
defense strategy, force structure, force modernization plans, 
infrastructure, budget plan, and other elements of the defense 
program and policies with a view toward determining and 
expressing the defense strategy of the United States and 
establishing a revised defense program through the year 2005.
    (b) Involvement of National Defense Panel.--(1) The 
Secretary shall apprise the National Defense Panel established 
under section 924, on an ongoing basis, of the work undertaken 
in the conduct of the review.
    (2) Not later than March 14, 1997, the Chairman of the 
National Defense Panel shall submit to the Secretary the 
Panel's assessment of work undertaken in the conduct of the 
review as of that date and shall include in the assessment the 
recommendations of the Panel for improvements to the review, 
including recommendations for additional matters to be covered 
in the review.
    (c) Assessments of Review.--Upon completion of the review, 
the Chairman of the Joint Chiefs of Staff and the Chairman of 
the National Defense Panel, on behalf of the Panel, shall each 
prepare and submit to the Secretary such chairman's assessment 
of the review in time for the inclusion of the assessment in 
its entirety in the report under subsection (d).
    (d) Report.--Not later than May 15, 1997, the Secretary 
shall submit to the Committee on Armed Services of the Senate 
and the Committee on National Security of the House of 
Representatives a comprehensive report on the review. The 
report shall include the following:
            (1) The results of the review, including a 
        comprehensive discussion of the defense strategy of the 
        United States and the force structure best suited to 
        implement that strategy.
            (2) The threats examined for purposes of the review 
        and the scenarios developed in the examination of such 
        threats.
            (3) The assumptions used in the review, including 
        assumptions relating to the cooperation of allies and 
        mission-sharing, levels of acceptable risk, warning 
        times, and intensity and duration of conflict.
            (4) The effect on the force structure of 
        preparations for and participation in peace operations 
        and military operations other than war.
            (5) The effect on the force structure of the 
        utilization by the Armed Forces of technologies 
        anticipated to be available by the year 2005, including 
        precision guided munitions, stealth, night vision, 
        digitization, and communications, and the changes in 
        doctrine and operational concepts that would result 
        from the utilization of such technologies.
            (6) The manpower and sustainment policies required 
        under the defense strategy to support engagement in 
        conflicts lasting more than 120 days.
            (7) The anticipated roles and missions of the 
        reserve components in the defense strategy and the 
        strength, capabilities, and equipment necessary to 
        assure that the reserve components can capably 
        discharge those roles and missions.
            (8) The appropriate ratio of combat forces to 
        support forces (commonly referred to as the ``tooth-to-
        tail'' ratio) under the defense strategy, including, in 
        particular, the appropriate number and size of 
        headquarter units and Defense Agencies for that 
        purpose.
            (9) The air-lift and sea-lift capabilities required 
        to support the defense strategy.
            (10) The forward presence, pre-positioning, and 
        other anticipatory deployments necessary under the 
        defense strategy for conflict deterrence and adequate 
        military response to anticipated conflicts.
            (11) The extent to which resources must be shifted 
        among two or more theaters under the defense strategy 
        in the event of conflict in such theaters.
            (12) The advisability of revisions to the Unified 
        Command Plan as a result of the defense strategy.
            (13) Any other matter the Secretary considers 
        appropriate.
SEC. 924. NATIONAL DEFENSE PANEL.
    (a) Establishment.--Not later than December 1, 1996, the 
Secretary of Defense shall establish a nonpartisan, independent 
panel to be known as the National Defense Panel (in this 
section referred to as the ``Panel''). The Panel shall have the 
duties set forth in this section.
    (b) Membership.--The Panel shall be composed of a chairman 
and eight other individuals appointed by the Secretary, in 
consultation with the chairman and ranking member of the 
Committee on Armed Services of the Senate and the chairman and 
ranking member of the Committee on National Security of the 
House of Representatives, from among individuals in the private 
sector who are recognized experts in matters relating to the 
national security of the United States.
    (c) Duties.--The Panel shall--
            (1) conduct and submit to the Secretary the 
        assessment of the review under section 923 that is 
        required by subsection (b)(2) of that section;
            (2) conduct and submit to the Secretary the 
        comprehensive assessment of the review that is required 
        by subsection (c) of that section upon completion of 
        the review; and
            (3) conduct the assessment of alternative force 
        structures for the Armed Forces required under 
        subsection (d).
    (d) Alternative Force Structure Assessment.--(1) The Panel 
shall submit to the Secretary an independent assessment of a 
variety of possible force structures of the Armed Forces 
through the year 2010 and beyond, including the force structure 
identified in the report on the review under section 923(d). 
The purpose of the assessment is to develop proposals for an 
``above the line'' force structure of the Armed Forces and to 
provide the Secretary and Congress recommendations regarding 
the optimal force structure to meet anticipated threats to the 
national security of the United States through the time covered 
by the assessment.
    (2) In conducting the assessment, the Panel shall examine a 
variety of potential threats (including near-term threats and 
long-term threats) to the national security interests of the 
United States, including the following:
            (A) Conventional threats across a spectrum of 
        conflicts.
            (B) The proliferation of weapons of mass 
        destruction and the means of delivering such weapons, 
        and the illicit transfer of technology relating to such 
        weapons.
            (C) The vulnerability of United States technology 
        to nontraditional threats, including information 
        warfare.
            (D) Domestic and international terrorism.
            (E) The emergence of a major potential adversary 
        having military capabilities similar to those of the 
        United States.
            (F) Any other significant threat, or combination of 
        threats, identified by the Panel.
    (3) For purposes of the assessment, the Panel shall develop 
a variety of scenarios requiring a military response by the 
United States, including the following:
            (A) Scenarios developed in light of the threats 
        examined under paragraph (2).
            (B) Scenarios developed in light of a continuum of 
        conflicts ranging from a conflict of lesser magnitude 
        than the conflict described in the Bottom-Up Review to 
        a conflict of greater magnitude than the conflict so 
        described.
    (4) As part of the assessment, the Panel shall also--
            (A) develop recommendations regarding a variety of 
        force structures for the Armed Forces that permit the 
        forward deployment of sufficient air, land, and sea-
        based forces to provide an effective deterrent to 
        conflict and to permit a military response by the 
        United States to the scenarios developed under 
        paragraph (3);
            (B) to the extent practicable, estimate the funding 
        required by fiscal year, in constant fiscal year 1997 
        dollars, to organize, equip, and support the forces 
        contemplated under the force structures assessed in the 
        assessment; and
            (C) comment on each of the matters also to be 
        included by the Secretary in the report required by 
        section 923(d).
    (e) Report.--(1) Not later than December 1, 1997, the Panel 
shall submit to the Secretary a report setting forth the 
activities and the findings and recommendations of the Panel 
under subsection (d), including any recommendations for 
legislation that the Panel considers appropriate.
    (2) Not later than December 15, 1997, the Secretary shall, 
after consultation with the Chairman of the Joint Chiefs of 
Staff, submit to the committees referred to in subsection (b) a 
copy of the report under paragraph (1), together with the 
Secretary's comments on the report.
    (f) Information From Federal Agencies.--The Panel may 
secure directly from the Department of Defense and any of its 
components and from any other Federal department and agency 
such information as the Panel considers necessary to carry out 
its duties under this section. The head of the department or 
agency concerned shall ensure that information requested by the 
Panel under this subsection is promptly provided.
    (g) Personnel Matters.--(1) Each member of the Panel shall 
be compensated at a rate equal to the daily equivalent of the 
annual rate of basic pay prescribed for level IV of the 
Executive Schedule under section 5315 of title 5, United States 
Code, for each day (including travel time) during which such 
member is engaged in the performance of the duties of the 
Panel.
    (2) The members of the Panel shall be allowed travel 
expenses, including per diem in lieu of subsistence, at rates 
authorized for employees of agencies under subchapter I of 
chapter 57 of title 5, United States Code, while away from 
their homes or regular places of business in the performance of 
services for the Panel.
    (3)(A) The chairman of the Panel may, without regard to the 
civil service laws and regulations, appoint and terminate an 
executive director, and a staff of not more than four 
additional individuals, if the Panel determines that an 
executive director and staff are necessary in order for the 
Panel to perform its duties effectively. The employment of an 
executive director shall be subject to confirmation by the 
Panel.
    (B) The chairman may fix the compensation of the executive 
director without regard to the provisions of chapter 51 and 
subchapter III of chapter 53 of title 5, United States Code, 
relating to classification of positions and General Schedule 
pay rates, except that the rate of pay for the executive 
director may not exceed the rate payable for level V of the 
Executive Schedule under section 5316 of such title.
    (4) Any Federal Government employee may be detailed to the 
Panel without reimbursement, and such detail shall be without 
interruption or loss of civil service status or privilege. The 
Secretary shall ensure that sufficient personnel are detailed 
to the Panel to enable the Panel to carry out its duties 
effectively.
    (5) To the maximum extent practicable, the members and 
employees of the Panel shall travel on military aircraft, 
military ships, military vehicles, or other military 
conveyances when travel is necessary in the performance of a 
duty of the Panel, except that no such aircraft, ship, vehicle, 
or other conveyance may be scheduled primarily for the 
transportation of any such member or employee when the cost of 
commercial transportation is less expensive.
    (h) Administrative Provisions.--(1) The Panel may use the 
United States mails and obtain printing and binding services in 
the same manner and under the same conditions as other 
departments and agencies of the Federal Government.
    (2) The Secretary shall furnish the Panel any 
administrative and support services requested by the Panel.
    (3) The Panel may accept, use, and dispose of gifts or 
donations of services or property.
    (i) Payment of Panel Expenses.--The compensation, travel 
expenses, and per diem allowances of members and employees of 
the Panel shall be paid out of funds available to the 
Department of Defense for the payment of compensation, travel 
allowances, and per diem allowances, respectively, of civilian 
employees of the Department. The other expenses of the Panel 
shall be paid out of funds available to the Department for the 
payment of similar expenses incurred by the Department.
    (j) Termination.--The Panel shall terminate 30 days after 
the date on which the Panel submits its report to the Secretary 
under subsection (e).
SEC. 925. POSTPONEMENT OF DEADLINES.
    If the Presidential election in 1996 results in the 
election of a new President, each deadline set forth in this 
subtitle shall be postponed by three months.
SEC. 926. DEFINITIONS.
    In this subtitle:
            (1) The term `` `above the line' force structure of 
        the Armed Forces'' means the force structure (including 
        numbers, strengths, and composition and major items of 
        equipment) for the Armed Forces at the following unit 
        levels:
                    (A) In the case of the Army, the division.
                    (B) In the case of the Navy, the battle 
                group.
                    (C) In the case of the Air Force, the wing.
                    (D) In the case of the Marine Corps, the 
                expeditionary force.
                    (E) In the case of special operations 
                forces of the Army, Navy, or Air Force, the 
                major operating unit.
                    (F) In the case of the strategic forces, 
                the ballistic missile submarine fleet, the 
                heavy bomber force, and the intercontinental 
                ballistic missile force.
            (2) The term ``Commission on Roles and Missions of 
        the Armed Forces'' means the Commission on Roles and 
        Missions of the Armed Forces established by subtitle E 
        of title IX of the National Defense Authorization Act 
        for Fiscal Year 1994 (Public Law 103-160; 107 Stat. 
        1738; 10 U.S.C. 111 note).
            (3) The term ``military operation other than war'' 
        means any operation other than war that requires the 
        utilization of the military capabilities of the Armed 
        Forces, including peace operations, humanitarian 
        assistance operations and activities, counter-terrorism 
        operations and activities, disaster relief activities, 
        and counter-drug operations and activities.
            (4) The term ``peace operations'' means military 
        operations in support of diplomatic efforts to reach 
        long-term political settlements of conflicts and 
        includes peacekeeping operations and peace enforcement 
        operations.
                      TITLE X--GENERAL PROVISIONS
                      Subtitle A--Financial Matters
Sec. 1002. Incorporation of classified annex.
                        Subtitle F--Other Matters
Sec. 1061. Policy on protection of national information infrastructure 
          against strategic attack.
Sec. 1062. Information systems security program.
Sec. 1064. Prohibition on collection and release of detailed satellite 
          imagery relating to Israel.
Sec. 1076. Chemical Stockpile Emergency Preparedness Program.
                     Subtitle A--Financial Matters
SEC. 1002. INCORPORATION OF CLASSIFIED ANNEX.
    (a) Status of Classified Annex.--The Classified Annex 
prepared by the committee of conference to accompany the 
conference report on the bill H.R. 3230 of the One Hundred 
Fourth Congress and transmitted to the President is hereby 
incorporated into this Act.
    (b) Construction With Other Provisions of Act.--The amounts 
specified in the Classified Annex are not in addition to 
amounts authorized to be appropriated by other provisions of 
this Act.
    (c) Limitation on Use of Funds.--Funds appropriated 
pursuant to an authorization contained in this Act that are 
made available for a program, project, or activity referred to 
in the Classified Annex may only be expended for such program, 
project, or activity in accordance with such terms, conditions, 
limitations, restrictions, and requirements as are set out for 
that program, project, or activity in the Classified Annex.
    (d) Distribution of Classified Annex.--The President shall 
provide for appropriate distribution of the Classified Annex, 
or of appropriate portions of the annex, within the executive 
branch of the Government.
                       Subtitle F--Other Matters
SEC. 1061. POLICY ON PROTECTION OF NATIONAL INFORMATION INFRASTRUCTURE 
                    AGAINST STRATEGIC ATTACK.
    (a) Report Requirement.--Not later than 180 days after the 
date of the enactment of this Act, the President shall submit 
to Congress a report setting forth a national policy on 
protecting the national information infrastructure against 
strategic attack.
    (b) Matters To Be Included.--The policy described in the 
report shall include the following:
            (1) Plans to meet essential Government and civilian 
        needs during a national security emergency associated 
        with a strategic attack on elements of the national 
        information infrastructure the functioning of which 
        depend on networked computer systems.
            (2) The identification of information 
        infrastructure functions that must be performed during 
        such an emergency.
            (3) The assignment of responsibilities to Federal 
        departments and agencies, and a description of the 
        roles of Government and industry, relating to 
        indications and warning of, assessment of, response to, 
        and reconstitution after, potential strategic attacks 
        on the elements of the national information 
        infrastructure described under paragraph (1).
    (c) Unresolved Issues.--The report shall also identify--
            (1) matters relating to the national policy 
        described in the report that, as of the submission of 
        the report, are in need of further study and 
        resolution, such as technology and funding shortfalls; 
        and
            (2) legal and regulatory considerations relating to 
        the national policy.
    (d) Update of Earlier Report.--The report shall include an 
update of the report required to be submitted to Congress 
pursuant to section 1053 of the National Defense Authorization 
Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 440).
SEC. 1062. INFORMATION SYSTEMS SECURITY PROGRAM.
    (a) Allocation.--Of the amounts appropriated for the 
Department of Defense for the Defense Information 
Infrastructure for each of fiscal years 1999 through 2002, the 
Secretary of Defense shall allocate to the information systems 
security program (program element 0303140K) amounts as follows:
            (1) For fiscal year 1999, 2.5 percent.
            (2) For fiscal year 2000, 3.0 percent.
            (3) For fiscal year 2001, 3.5 percent.
            (4) For fiscal year 2002, 4.0 percent.
    (b) Relationship to Other Amounts.--Amounts allocated under 
subsection (a) are in addition to amounts appropriated to the 
National Security Agency and the Defense Advanced Research 
Projects Agency for development of information security 
systems, acquisition of information security systems, and 
operation of information security systems.
    (c) Report.--Not later than November 15, 1997, the 
Secretary of Defense shall submit to the congressional defense 
committees and the congressional intelligence committees a 
report on information security activities of the Department of 
Defense. The report shall describe--
            (1) the objectives of the Secretary with respect to 
        information security and the strategy of the Secretary 
        (including the strategy with respect to funding) during 
        fiscal years 1999 through 2002 to achieve those 
        objectives;
            (2) how the Secretary intends to manage and 
        allocate the funds required by subsection (a) to be 
        allocated to the information systems security program; 
        and
            (3) if the Secretary determines that a funding plan 
        for the information systems security program for fiscal 
        years 1999 through 2002 other than that specified in 
        subsection (a) is appropriate, the alternative funding 
        plan proposed by the Secretary.
    (d) Defense Information Infrastructure.--For purposes of 
this section, the Defense Information Infrastructure is the web 
of communications networks, computers, software, databases, 
applications, data security services, and other capabilities 
that meets the information processing and transport needs of 
Department of Defense users.
SEC. 1064. PROHIBITION ON COLLECTION AND RELEASE OF DETAILED SATELLITE 
                    IMAGERY RELATING TO ISRAEL.
    (a) Collection and Dissemination.--A department or agency 
of the United States may issue a license for the collection or 
dissemination by a non-Federal entity of satellite imagery with 
respect to Israel only if such imagery is no more detailed or 
precise than satellite imagery of Israel that is available from 
commercial sources.
    (b) Declassification and Release.--A department or agency 
of the United States may declassify or otherwise release 
satellite imagery with respect to Israel only if such imagery 
is no more detailed or precise than satellite imagery of Israel 
that is available from commercial sources.
SEC. 1076. CHEMICAL STOCKPILE EMERGENCY PREPAREDNESS PROGRAM.
    (a) Report.--Not later than 120 days after the date of the 
enactment of this Act, the Secretary of the Army shall submit 
to the Committee on Armed Services of the Senate and the 
Committee on National Security of the House of Representatives 
a report assessing the implementation and success of the 
establishment of site-specific Integrated Product and Process 
Teams as a management tool for the Chemical Stockpile Emergency 
Preparedness Program.
    (b) Contingent Mandated Reforms.--If at the end of the 120-
day period beginning on the date of the enactment of this Act 
the Secretary of the Army and the Director of the Federal 
Emergency Management Agency have been unsuccessful in 
implementing a site-specific Integrated Product and Process 
Team with each of the affected States, the Secretary of the 
Army shall--
            (1) assume full control and responsibility for the 
        Chemical Stockpile Emergency Preparedness Program 
        (eliminating the role of the Director of the Federal 
        Emergency Management Agency as joint manager of the 
        program);
            (2) establish programmatic agreement with each of 
        the affected States regarding program requirements, 
        implementation schedules, training and exercise 
        requirements, and funding (to include direct grants for 
        program support);
            (3) clearly define the goals of the program; and
            (4) establish fiscal constraints for the program.
             TITLE XI--NATIONAL IMAGERY AND MAPPING AGENCY
Sec. 1101. Short title.
Sec. 1102. Findings.
Sec. 1103. Role of Director of Central Intelligence in appointment and 
          evaluation of certain intelligence officials.
                   Subtitle A--Establishment of Agency
Sec. 1111. Establishment.
Sec. 1112. Missions and authority.
Sec. 1113. Transfers of personnel and assets.
Sec. 1114. Compatibility with authority under the National Security Act 
          of 1947.
Sec. 1115. Creditable civilian service for career conditional employees 
          of the Defense Mapping Agency.
Sec. 1116. Saving provisions.
Sec. 1117. Definitions.
Sec. 1118. Authorization of appropriations.
          Subtitle B--Conforming Amendments and Effective Dates
Sec. 1121. Redesignation and repeals.
Sec. 1122. Reference amendments.
Sec. 1123. Headings and clerical amendments.
Sec. 1124. Effective date.
SEC. 1101. SHORT TITLE.
    This title may be cited as the ``National Imagery and 
Mapping Agency Act of 1996''.
SEC. 1102. FINDINGS.
    Congress makes the following findings:
            (1) There is a need within the Department of 
        Defense and the Intelligence Community of the United 
        States to provide a single agency focus for the growing 
        number and diverse types of customers for imagery and 
        geospatial information resources within the Government, 
        to ensure visibility and accountability for those 
        resources, and to harness, leverage, and focus rapid 
        technological developments to serve the imagery, 
        imagery intelligence, and geospatial information 
        customers.
            (2) There is a need for a single Government agency 
        to solicit and advocate the needs of that growing and 
        diverse pool of customers.
            (3) A single combat support agency dedicated to 
        imagery, imagery intelligence, and geospatial 
        information could act as a focal point for support of 
        all imagery intelligence and geospatial information 
        customers, including customers in the Department of 
        Defense, the Intelligence Community, and related 
        agencies outside of the Department of Defense.
            (4) Such an agency would best serve the needs of 
        the imagery, imagery intelligence, and geospatial 
        information customers if it were organized--
                    (A) to carry out its mission 
                responsibilities under the authority, 
                direction, and control of the Secretary of 
                Defense, with the advice of the Chairman of the 
                Joint Chiefs of Staff; and
                    (B) to carry out its responsibilities to 
                national intelligence customers in accordance 
                with policies and priorities established by the 
                Director of Central Intelligence.
SEC. 1103. ROLE OF DIRECTOR OF CENTRAL INTELLIGENCE IN APPOINTMENT AND 
                    EVALUATION OF CERTAIN INTELLIGENCE OFFICIALS.
    (a) In General.--Section 201 of title 10, United States 
Code, is amended to read as follows:
``Sec. 201. Certain intelligence officials: consultation and 
                    concurrence regarding appointments; evaluation of 
                    performance
    ``(a) Consultation Regarding Appointment.--Before 
submitting a recommendation to the President regarding the 
appointment of an individual to the position of Director of the 
Defense Intelligence Agency, the Secretary of Defense shall 
consult with the Director of Central Intelligence regarding the 
recommendation.
    ``(b) Concurrence in Appointment.--(1) Before submitting a 
recommendation to the President regarding the appointment of an 
individual to a position referred to in paragraph (2), the 
Secretary of Defense shall seek the concurrence of the Director 
of Central Intelligence in the recommendation. If the Director 
does not concur in the recommendation, the Secretary may make 
the recommendation to the President without the Director's 
concurrence, but shall include in the recommendation a 
statement that the Director does not concur in the 
recommendation.
    ``(2) Paragraph (1) applies to the following positions:
            ``(A) The Director of the National Security Agency.
            ``(B) The Director of the National Reconnaissance 
        Office.
            ``(C) The Director of the National Imagery and 
        Mapping Agency.''.
    ``(c) Performance Evaluations.--(1) The Director of Central 
Intelligence shall provide annually to the Secretary of 
Defense, for the Secretary's consideration, an evaluation of 
the performance of the individuals holding the positions 
referred to in paragraph (2) in fulfilling their respective 
responsibilities with regard to the National Foreign 
Intelligence Program.
    ``(2) The positions referred to in paragraph (1) are the 
following:
            ``(A) The Director of the National Security Agency.
            ``(B) The Director of the National Reconnaissance 
        Office.
            ``(C) The Director of the National Imagery and 
        Mapping Agency.''.
    (b) Clerical Amendment.--The item relating to section 201 
in the table of sections at the beginning of subchapter II of 
chapter 8 of such title is amended to read as follows:
``201. Certain intelligence officials: consultation and concurrence 
          regarding appointments; evaluation of performance.''.
                  Subtitle A--Establishment of Agency
SEC. 1111. ESTABLISHMENT.
    (a) Establishment.--There is hereby established in the 
Department of Defense a Defense Agency to be known as the 
National Imagery and Mapping Agency.
    (b) Transfer of Functions From Department of Defense 
Entities.--The missions and functions of the following elements 
of the Department of Defense are transferred to the National 
Imagery and Mapping Agency:
            (1) The Defense Mapping Agency.
            (2) The Central Imagery Office.
            (3) Other elements of the Department of Defense as 
        specified in the classified annex to this Act.
    (c) Transfer of Functions From Central Intelligence 
Agency.--The missions and functions of the following elements 
of the Central Intelligence Agency are transferred to the 
National Imagery and Mapping Agency:
            (1) The National Photographic Interpretation 
        Center.
            (2) Other elements of the Central Intelligence 
        Agency as specified in the classified annex to this 
        Act.
    (d) Preservation of Level and Quality of Imagery 
Intelligence Support to All-Source Analysis and Production.--In 
managing the establishment of the National Imagery and Mapping 
Agency, the Secretary of Defense, in consultation with the 
Director of Central Intelligence, shall ensure that imagery 
intelligence support provided to all-source analysis and 
production is in no way degraded or compromised.
SEC. 1112. MISSIONS AND AUTHORITY.
    (a) Agency Charter.--Part I of subtitle A of title 10, 
United States Code, is amended--
            (1) by redesignating chapter 22 as chapter 23; and
            (2) by inserting after chapter 21 the following new 
        chapter 22:
           ``CHAPTER 22--NATIONAL IMAGERY AND MAPPING AGENCY
``Subchapter                                                        Sec.
``I. Missions and Authority.......................................   441
``II. Maps, Charts, and Geodetic Products.........................   451
``III. Personnel Management.......................................   461
``IV. Definitions.................................................   467
                 ``SUBCHAPTER I--MISSIONS AND AUTHORITY
``Sec.
``441. Establishment.
``442. Missions.
``443. Imagery intelligence and geospatial information: support for 
          foreign countries.
``444. Support from Central Intelligence Agency.
``445. Protection of agency identifications and organizational 
          information.
``Sec. 441. Establishment
    ``(a) Establishment.--The National Imagery and Mapping 
Agency is a combat support agency of the Department of Defense 
and has significant national missions.
    ``(b) Director.--(1) The Director of the National Imagery 
and Mapping Agency is the head of the agency.
    ``(2) Upon a vacancy in the position of Director, the 
Secretary of Defense shall recommend to the President an 
individual for appointment to the position.
    ``(3) If an officer of the armed forces on active duty is 
appointed to the position of Director, the position shall be 
treated as having been designated by the President as a 
position of importance and responsibility for purposes of 
section 601 of this title and shall carry the grade of 
lieutenant general, or, in the case of an officer of the Navy, 
vice admiral.
    ``(c) Director of Central Intelligence Collection Tasking 
Authority.--Unless otherwise directed by the President, the 
Director of Central Intelligence shall have authority (except 
as otherwise agreed by the Director and the Secretary of 
Defense) to--
            ``(1) approve collection requirements levied on 
        national imagery collection assets;
            ``(2) determine priorities for such requirements; 
        and
            ``(3) resolve conflicts in such priorities.
    ``(d) Availability and Continued Improvement of Imagery 
Intelligence Support to All-Source Analysis and Production 
Function.--The Secretary of Defense, in consultation with the 
Director of Central Intelligence, shall take all necessary 
steps to ensure the full availability and continued improvement 
of imagery intelligence support for all-source analysis and 
production.
``Sec. 442. Missions
    ``(a) National Security Missions.--(1) The National Imagery 
and Mapping Agency shall, in support of the national security 
objectives of the United States, provide the following:
            ``(A) Imagery.
            ``(B) Imagery intelligence.
            ``(C) Geospatial information.
    ``(2) Imagery, intelligence, and information provided in 
carrying out paragraph (1) shall be timely, relevant, and 
accurate.
    ``(b) Navigation Information.--The National Imagery and 
Mapping Agency shall improve means of navigating vessels of the 
Navy and the merchant marine by providing, under the authority 
of the Secretary of Defense, accurate and inexpensive nautical 
charts, sailing directions, books on navigation, and manuals of 
instructions for the use of all vessels of the United States 
and of navigators generally.
    ``(c) Maps, Charts, Etc.--The National Imagery and Mapping 
Agency shall prepare and distribute maps, charts, books, and 
geodetic products as authorized under subchapter II of this 
chapter.
    ``(d) National Missions.--The National Imagery and Mapping 
Agency also has national missions as specified in section 
120(a) of the National Security Act of 1947.
    ``(e) Systems.--The National Imagery and Mapping Agency 
may, in furtherance of a mission of the Agency, design, 
develop, deploy, operate, and maintain systems related to the 
processing and dissemination of imagery intelligence and 
geospatial information that may be transferred to, accepted or 
used by, or used on behalf of--
            ``(1) the armed forces, including any combatant 
        command, component of a combatant command, joint task 
        force, or tactical unit; or
            ``(2) any other department or agency of the United 
        States.
``Sec. 443. Imagery intelligence and geospatial information: support 
                    for foreign countries
    ``(a) Use of Appropriated Funds.--The Director of the 
National Imagery and Mapping Agency may use appropriated funds 
available to the National Imagery and Mapping Agency to provide 
foreign countries with imagery intelligence and geospatial 
information support.
    ``(b) Use of Funds Other Than Appropriated Funds.--The 
Director may use funds other than appropriated funds to provide 
foreign countries with imagery intelligence and geospatial 
information support, notwithstanding provisions of law relating 
to the expenditure of funds of the United States, except that--
            ``(1) no such funds may be expended, in whole or in 
        part, by or for the benefit of the National Imagery and 
        Mapping Agency for a purpose for which Congress had 
        previously denied funds.
            ``(2) proceeds from the sale of imagery 
        intelligence or geospatial information items may be 
        used only to purchase replacement items similar to the 
        items that are sold; and
            ``(3) the authority provided by this subsection may 
        not be used to acquire items or services for the 
        principal benefit of the United States.
    ``(c) Accommodation Procurements.--The authority under this 
section may be exercised to conduct accommodation procurements 
on behalf of foreign countries.
    ``(d) Coordination With Director of Central Intelligence.--
The Director of the Agency shall coordinate with the Director 
of Central Intelligence any action under this section that 
involves imagery intelligence or intelligence products or 
involves providing support to an intelligence or security 
service of a foreign country.
``Sec. 444. Support from Central Intelligence Agency
    ``(a) Support Authorized.--The Director of Central 
Intelligence may provide support in accordance with this 
section to the Director of the National Imagery and Mapping 
Agency. The Director of the National Imagery and Mapping Agency 
may accept support provided under this section.
    ``(b) Administrative and Contract Services.--(1) In 
furtherance of the national intelligence effort, the Director 
of Central Intelligence may provide administrative and contract 
services to the National Imagery and Mapping Agency as if that 
agency were an organizational element of the Central 
Intelligence Agency.
    ``(2) Services provided under paragraph (1) may include the 
services of security police. For purposes of section 15 of the 
Central Intelligence Agency Act of 1949 (50 U.S.C. 403o), an 
installation of the National Imagery and Mapping Agency that is 
provided security police services under this section shall be 
considered an installation of the Central Intelligence Agency.
    ``(3) Support provided under this subsection shall be 
provided under terms and conditions agreed upon by the 
Secretary of Defense and the Director of Central Intelligence.
    ``(c) Detail of Personnel.--The Director of Central 
Intelligence may detail personnel of the Central Intelligence 
Agency indefinitely to the National Imagery and Mapping Agency 
without regard to any limitation on the duration of interagency 
details of Federal Government personnel.
    ``(d) Reimbursable or Nonreimbursable Support.--Support 
under this section may be provided and accepted on either a 
reimbursable basis or a nonreimbursable basis.
    ``(e) Authority To Transfer Funds.--(1) The Director of the 
National Imagery and Mapping Agency may transfer funds 
available for that agency to the Director of Central 
Intelligence for the Central Intelligence Agency.
    ``(2) The Director of Central Intelligence--
            ``(A) may accept funds transferred under paragraph 
        (1); and
            ``(B) shall expend such funds, in accordance with 
        the Central Intelligence Agency Act of 1949 (50 U.S.C. 
        403a et seq.), to provide administrative and contract 
        services or detail personnel to the National Imagery 
        and Mapping Agency under this section.
``Sec. 445. Protection of agency identifications and organizational 
                    information
    ``(a) Unauthorized Use of Agency Name, Initials, or Seal.--
(1) Except with the written permission of the Secretary of 
Defense, no person may knowingly use, in connection with any 
merchandise, retail product, impersonation, solicitation, or 
commercial activity in a manner reasonably calculated to convey 
the impression that such use is approved, endorsed, or 
authorized by the Secretary of Defense, any of the following:
            ``(A) The words `National Imagery and Mapping 
        Agency', the initials `NIMA', or the seal of the 
        National Imagery and Mapping Agency.
            ``(B) The words `Defense Mapping Agency', the 
        initials `DMA', or the seal of the Defense Mapping 
        Agency.
            ``(C) Any colorable imitation of such words, 
        initials, or seals.
    ``(2) Whenever it appears to the Attorney General that any 
person is engaged or about to engage in an act or practice 
which constitutes or will constitute conduct prohibited by 
paragraph (1), the Attorney General may initiate a civil 
proceeding in a district court of the United States to enjoin 
such act or practice. Such court shall proceed as soon as 
practicable to a hearing and determination of such action and 
may, at any time before such final determination, enter such 
restraining orders or prohibitions, or take such other action 
as is warranted, to prevent injury to the United States or to 
any person or class of persons for whose protection the action 
is brought.
          ``SUBCHAPTER II--MAPS, CHARTS, AND GEODETIC PRODUCTS
``Sec.
``451. Maps, charts, and books.
``452. Pilot charts.
``453. Prices of maps, charts, and navigational publications.
``454. Exchange of mapping, charting, and geodetic data with foreign 
          countries and international organizations
``455. Maps, charts, and geodetic data: public availability; exceptions.
``456. Civil actions barred.
                 ``SUBCHAPTER III--PERSONNEL MANAGEMENT
``Sec.
``461. Management rights.
``Sec. 461. Management rights
    ``(a) Scope.--If there is no obligation under the 
provisions of chapter 71 of title 5 for the head of an agency 
of the United States to consult or negotiate with a labor 
organization on a particular matter by reason of that matter 
being covered by a provision of law or a Governmentwide 
regulation, the Director of the National Imagery and Mapping 
Agency is not obligated to consult or negotiate with a labor 
organization on that matter even if that provision of law or 
regulation is inapplicable to the National Imagery and Mapping 
Agency.
    ``(b) Bargaining Units.--The National Imagery and Mapping 
Agency shall accord exclusive recognition to a labor 
organization under section 7111 of title 5 only for a 
bargaining unit that was recognized as appropriate for the 
Defense Mapping Agency on the day before the date on which 
employees and positions of the Defense Mapping Agency in that 
bargaining unit became employees and positions of the National 
Imagery and Mapping Agency under the National Imagery and 
Mapping Agency Act of 1996 (title XI of the National Defense 
Authorization Act for Fiscal Year 1997).
    ``(c) Termination of Bargaining Unit Coverage of Position 
Modified To Affect National Security Directly.--(1) If the 
Director of the National Imagery and Mapping Agency determines 
that the responsibilities of a position within a collective 
bargaining unit should be modified to include intelligence, 
counterintelligence, investigative, or security duties not 
previously assigned to that position and that the performance 
of the newly assigned duties directly affects the national 
security of the United States, then, upon such a modification 
of the responsibilities of that position, the position shall 
cease to be covered by the collective bargaining unit and the 
employee in that position shall cease to be entitled to 
representation by a labor organization accorded exclusive 
recognition for that collective bargaining unit.
    ``(2) A determination described in paragraph (1) that is 
made by the Director of the National Imagery and Mapping Agency 
may not be reviewed by the Federal Labor Relations Authority or 
any court of the United States.
                      ``SUBCHAPTER IV--DEFINITIONS
``Sec.
``467. Definitions.
``Sec. 467. Definitions
    ``In this chapter:
            ``(1) The term `function' means any duty, 
        obligation, responsibility, privilege, activity, or 
        program.
            ``(2)(A) The term `imagery' means, except as 
        provided in subparagraph (B), a likeness or 
        presentation of any natural or manmade feature or 
        related object or activity and the positional data 
        acquired at the same time the likeness or 
        representation was acquired, including--
                    ``(i) products produced by space-based 
                national intelligence reconnaissance systems; 
                and
                    ``(ii) likenesses or presentations produced 
                by satellites, airborne platforms, unmanned 
                aerial vehicles, or other similar means.
            ``(B) Such term does not include handheld or 
        clandestine photography taken by or on behalf of human 
        intelligence collection organizations.
            ``(3) The term `imagery intelligence' means the 
        technical, geographic, and intelligence information 
        derived through the interpretation or analysis of 
        imagery and collateral materials.
            ``(4) The term `geospatial information' means 
        information that identifies the geographic location and 
        characteristics of natural or constructed features and 
        boundaries on the earth and includes--
                    ``(A) statistical data and information 
                derived from, among other things, remote 
                sensing, mapping, and surveying technologies;
                    ``(B) mapping, charting, and geodetic data; 
                and
                    ``(C) geodetic products, as defined in 
                section 455(c) of this title.''.
    (b) Transfer of Defense Mapping Agency Provisions.--(1) 
Sections 2792, 2793, 2794, 2795, 2796, and 2798 of title 10, 
United States Code, are transferred to subchapter II of chapter 
22 of such title, as added by subsection (a), inserted in that 
sequence in such subchapter following the table of sections, 
and redesignated in accordance with the following table:
  Section                                                     Section as
  transferred                                               redesignated
  2792............................................................  451 
  2793............................................................  452 
  2794............................................................  453 
  2795............................................................  454 
  2796............................................................  455 
  2798............................................................  456.
    (2) Sections 451(1), 452, 453, 454, and 455 (in subsections 
(a) and (b)(1)(C)), and 456 of title 10, United States Code, as 
transferred and redesignated by paragraph (1), are amended by 
striking out ``Defense Mapping Agency'' each place it appears 
and inserting in lieu thereof ``National Imagery and Mapping 
Agency''.
    (c) Oversight of Agency as a Combat Support Agency.--
Section 193 of title 10, United States Code, is amended--
            (1) in subsection (d)--
                    (A) by striking out the caption and 
                inserting in lieu thereof ``Review of National 
                Security Agency and National Imagery and 
                Mapping Agency.--'';
                    (B) in paragraph (1)--
                            (i) by inserting ``and the National 
                        Imagery and Mapping Agency'' after 
                        ``the National Security Agency''; and
                            (ii) by striking out ``the Agency'' 
                        and inserting in lieu thereof ``that 
                        the agencies''; and
                    (C) in paragraph (2), by inserting ``and 
                the National Imagery and Mapping Agency'' after 
                ``the National Security Agency'';
            (2) in subsection (e)--
                    (A) by striking out ``DIA and NSA'' in the 
                caption and inserting in lieu thereof the 
                following: ``DIA, NSA, and NIMA''; and
                    (B) by striking out ``and the National 
                Security Agency'' and inserting in lieu thereof 
                ``, the National Security Agency, and the 
                National Imagery and Mapping Agency''; and
            (3) in subsection (f), by striking out paragraph 
        (4) and inserting in lieu thereof the following:
            ``(4) The National Imagery and Mapping Agency.''.
    (d) Consolidation and Standardization of Exemptions From 
Disclosure of Organizational and Personnel Information.--
Chapter 21 of title 10, United States Code, is amended by 
striking out sections 424 and 425 and inserting in lieu thereof 
the following:
``Sec. 424. Disclosure of organizational and personnel information: 
                    exemption for Defense Intelligence Agency, National 
                    Reconnaissance Office, and National Imagery and 
                    Mapping Agency
    ``(a) Exemption From Disclosure.--Except as required by the 
President or as provided in subsection (c), no provision of law 
shall be construed to require the disclosure of--
            ``(1) the organization or any function of an 
        organization of the Department of Defense named in 
        subsection (b); or
            ``(2) the number of persons employed by or assigned 
        or detailed to any such organization or the name, 
        official title, occupational series, grade, or salary 
        of any such person.
    ``(b) Covered Organizations.--This section applies to the 
following organizations of the Department of Defense:
            ``(1) The Defense Intelligence Agency.
            ``(2) The National Reconnaissance Office.
            ``(3) The National Imagery and Mapping Agency.
    ``(c) Provision of Information to Congress.--Subsection (a) 
does not apply with respect to the provision of information to 
Congress.''.
    (e) Special Printing Authority for Agency.--(1) Section 
207(a)(2)(B) of the Legislative Branch Appropriations Act, 1993 
(Public Law 102-392; 44 U.S.C. 501 note), is amended by 
inserting ``National Imagery and Mapping Agency,'' after 
``Defense Intelligence Agency,''.
    (2) Section 1336 of title 44, United States Code, is 
amended--
            (A) by striking out ``Secretary of the Navy'' and 
        inserting in lieu thereof ``Director of the National 
        Imagery and Mapping Agency''; and
            (B) by striking out ``United States Naval 
        Oceanographic Office'' and inserting in lieu thereof 
        ``National Imagery and Mapping Agency''.
SEC. 1113. TRANSFERS OF PERSONNEL AND ASSETS.
    (a) Personnel and Assets.--Subject to subsections (b) and 
(c), the personnel, assets, unobligated balances of 
appropriations and authorizations of appropriations, and, to 
the extent jointly determined appropriate by the Secretary of 
Defense and Director of Central Intelligence, obligated 
balances of appropriations and authorizations of appropriations 
employed, used, held, arising from, or available in connection 
with the missions and functions transferred under section 
1111(b) or section 1111(c) are transferred to the National 
Imagery and Mapping Agency. Transfers of appropriations from 
the Central Intelligence Agency under this subsection shall be 
made in accordance with section 1531 of title 31, United States 
Code.
    (b) Determination of CIA Positions To Be Transferred.--Not 
earlier than two years after the effective date of this 
subtitle, the Secretary of Defense and the Director of Central 
Intelligence shall determine which, if any, positions and 
personnel of the Central Intelligence Agency are to be 
transferred to the National Imagery and Mapping Agency. The 
positions to be transferred, and the employees serving in such 
positions, shall be transferred to the National Imagery and 
Mapping Agency under terms and conditions prescribed by the 
Secretary of Defense and the Director of Central Intelligence.
    (c) Rule for CIA Imagery Activities Only Partially 
Transferred.--If the National Photographic Interpretation 
Center of the Central Intelligence Agency or any imagery-
related activity of the Central Intelligence Agency authorized 
to be performed by the National Imagery and Mapping Agency is 
not completely transferred to the National Imagery and Mapping 
Agency, the Secretary of Defense and the Director of Central 
Intelligence shall--
            (1) jointly determine which, if any, contracts, 
        leases, property, and records employed, used, held, 
        arising from, available to, or otherwise relating to 
        such Center or activity is to be transferred to the 
        National Imagery and Intelligence Agency; and
            (2) provide by written agreement for the transfer 
        of such items.
SEC. 1114. COMPATIBILITY WITH AUTHORITY UNDER THE NATIONAL SECURITY ACT 
                    OF 1947.
    (a) Agency Functions.--Paragraph (2) of section 105(b) of 
the National Security Act of 1947 (50 U.S.C. 403-5(b)) is 
amended to read as follows:
            ``(2) through the National Imagery and Mapping 
        Agency (except as otherwise directed by the President 
        or the National Security Council), with appropriate 
        representation from the intelligence community, the 
        continued operation of an effective unified 
        organization within the Department of Defense--
                    ``(A) for carrying out tasking of imagery 
                collection;
                    ``(B) for the coordination of imagery 
                processing and exploitation activities;
                    ``(C) for ensuring the dissemination of 
                imagery in a timely manner to authorized 
                recipients; and
                    ``(D) notwithstanding any other provision 
                of law, for--
                            ``(i) prescribing technical 
                        architecture and standards related to 
                        imagery intelligence and geospatial 
                        information and ensuring compliance 
                        with such architecture and standards; 
                        and
                            ``(ii) developing and fielding 
                        systems of common concern related to 
                        imagery intelligence and geospatial 
                        information;''.
    (b) National Mission.--Title I of such Act (50 U.S.C. 402 
et seq.) is amended by adding at the end the following new 
section:
       ``national mission of national imagery and mapping agency
    ``Sec. 120. (a) In General.--In addition to the Department 
of Defense missions set forth in section 442 of title 10, 
United States Code, the National Imagery and Mapping Agency 
shall support the imagery requirements of the Department of 
State and other departments and agencies of the United States 
outside the Department of Defense.
    ``(b) Requirements and Priorities.--The Director of Central 
Intelligence shall establish requirements and priorities 
governing the collection of national intelligence by the 
National Imagery and Mapping Agency under subsection (a).
    ``(c) Correction of Deficiencies.--The Director of Central 
Intelligence shall develop and implement such programs and 
policies as the Director and the Secretary of Defense jointly 
determine necessary to review and correct deficiencies 
identified in the capabilities of the National Imagery and 
Mapping Agency to accomplish assigned national missions, 
including support to the all-source analysis and production 
process. The Director shall consult with the Secretary of 
Defense on the development and implementation of such programs 
and policies. The Secretary shall obtain the advice of the 
Chairman of the Joint Chiefs of Staff regarding the matters on 
which the Director and the Secretary are to consult under the 
preceding sentence.''.
    (c) Tasking of Imagery Assets.--Title I of such Act is 
further amended by adding at the end the following new section:
                     ``collection tasking authority
    ``Sec. 121. Unless otherwise directed by the President, the 
Director of Central Intelligence shall have authority (except 
as otherwise agreed by the Director and the Secretary of 
Defense) to--
            ``(1) approve collection requirements levied on 
        national imagery collection assets;
            ``(2) determine priorities for such requirements; 
        and
            ``(3) resolve conflicts in such priorities.''.
    (d) Clerical Amendment.--The table of contents in the first 
section of such Act is amended by inserting after the item 
relating to section 109 the following new items:
``Sec. 120. National mission of National Imagery and Mapping Agency.
``Sec. 121. Collection tasking authority.''.
SEC. 1115. CREDITABLE CIVILIAN SERVICE FOR CAREER CONDITIONAL EMPLOYEES 
                    OF THE DEFENSE MAPPING AGENCY.
    In the case of an employee of the National Imagery and 
Mapping Agency who, on the day before the effective date of 
this title, was an employee of the Defense Mapping Agency in a 
career-conditional status, the continuous service of that 
employee as an employee of the National Imagery and Mapping 
Agency on and after such date shall be considered creditable 
service for the purpose of any determination of the career 
status of the employee.
SEC. 1116. SAVING PROVISIONS.
    (a) Continuing Effect on Legal Documents.--All orders, 
determinations, rules, regulations, permits, agreements, 
international agreements, grants, contracts, leases, 
certificates, licenses, registrations, privileges, and other 
administrative actions--
            (1) which have been issued, made, granted, or 
        allowed to become effective by the President, any 
        Federal agency or official thereof, or by a court of 
        competent jurisdiction, in connection with any of the 
        functions which are transferred under this title or any 
        function that the National Imagery and Mapping Agency 
        is authorized to perform by law, and
            (2) which are in effect at the time this title 
        takes effect, or were final before the effective date 
        of this title and are to become effective on or after 
        the effective date of this title,
shall continue in effect according to their terms until 
modified, terminated, superseded, set aside, or revoked in 
accordance with law by the President, the Secretary of Defense, 
the Director of the National Imagery and Mapping Agency or 
other authorized official, a court of competent jurisdiction, 
or by operation of law.
    (b) Proceedings Not Affected.--This title and the 
amendments made by this title shall not affect any proceedings, 
including notices of proposed rulemaking, or any application 
for any license, permit, certificate, or financial assistance 
pending before an element of the Department of Defense or 
Central Intelligence Agency at the time this title takes 
effect, with respect to function of that element transferred by 
section 1122, but such proceedings and applications shall be 
continued. Orders shall be issued in such proceedings, appeals 
shall be taken therefrom, and payments shall be made pursuant 
to such orders, as if this title had not been enacted, and 
orders issued in any such proceedings shall continue in effect 
until modified, terminated, superseded, or revoked by a duly 
authorized official, by a court of competent jurisdiction, or 
by operation of law. Nothing in this section shall be deemed to 
prohibit the discontinuance or modification of any such 
proceeding under the same terms and conditions and to the same 
extent that such proceeding could have been discontinued or 
modified if this title had not been enacted.
SEC. 1117. DEFINITIONS.
    In this subtitle, the terms ``function'', ``imagery'', 
``imagery intelligence'', and ``geospatial information'' have 
the meanings given those terms in section 467 of title 10, 
United States Code, as added by section 1112.
SEC. 1118. AUTHORIZATION OF APPROPRIATIONS.
    Funds are authorized to be appropriated for the National 
Imagery and Mapping Agency for fiscal year 1997 in amounts and 
for purposes, and subject to the terms, conditions, 
limitations, restrictions, and requirements, that are set forth 
in the Classified Annex to this Act.
         Subtitle B--Conforming Amendments and Effective Dates
SEC. 1121. REDESIGNATION AND REPEALS.
    (a) Redesignation.--Chapter 23 of title 10, United States 
Code (as redesignated by section 1112(a)(1)) is amended by 
redesignating the sections in that chapter as sections 481 and 
482, respectively.
    (b) Repeal of Superseded Law.--Chapter 167 of such title, 
as amended by section 1112(b), is repealed.
SEC. 1122. REFERENCE AMENDMENTS.
    (a) Title 5, United States Code.--Title 5, United States 
Code, is amended as follows:
            (1) Central imagery office.--Sections 
        2302(a)(2)(C)(ii), 3132(a)(1)(B), 4301(1) (in clause 
        (ii)), 4701(a)(1)(B), 5102(a)(1) (in clause (xi)), 
        5342(a)(1)(L), 6339(a)(1)(E), and 
        7323(b)(2)(B)(i)(XIII) are amended by striking out 
        ``Central Imagery Office'' and inserting in lieu 
        thereof ``National Imagery and Mapping Agency''.
            (2) Director, central imagery office.--Section 
        6339(a)(2)(E) is amended by striking out ``Central 
        Imagery Office, the Director of the Central Imagery 
        Office'' and inserting in lieu thereof ``National 
        Imagery and Mapping Agency, the Director of the 
        National Imagery and Mapping Agency''.
    (b) Other Laws.--The following provisions of law are 
amended by striking out ``Central Imagery Office'' and 
inserting in lieu thereof ``National Imagery and Mapping 
Agency'':
            (1) National security act of 1947.--Section 3(4)(E) 
        of the National Security Act of 1947 (50 U.S.C. 
        401a(4)(E).
            (2) Ethics in government act of 1978.--Section 
        105(a) of the Ethics in Government Act of 1978 (Public 
        Law 95-521; 5 U.S.C. App. 4).
            (3) Employee polygraph protection act.--Section 
        7(b)(2)(A)(i) of the Employee Polygraph Protection Act 
        of 1988 (Public Law 100-347; 29 U.S.C. 
        2006(b)(2)(A)(i)).
    (c) Cross Reference.--Section 82 of title 14, United States 
Code, is amended by striking out ``chapter 167'' and inserting 
in lieu thereof ``subchapter II of chapter 22''.
SEC. 1123. HEADINGS AND CLERICAL AMENDMENTS.
    (a) Title 10, United States Code.--
            (1) The table of chapters at the beginning of 
        subtitle A of title 10, United States Code, is 
        amended--
                    (A) by striking out the item relating to 
                chapter 22 and inserting in lieu thereof the 
                following:
``22. National Imagery and Mapping Agency......................... 441  
``23. Miscellaneous Studies and Reports...........................471'';
                and
                    (B) by striking out the item relating to 
                chapter 167.
            (2) The table of chapters at the beginning of part 
        I of such subtitle is amended by striking out the item 
        relating to chapter 22 and inserting in lieu thereof 
        the following:
``22. National Imagery and Mapping Agency......................... 441  
``23. Miscellaneous Studies and Reports...........................471'';
            (3) The table of chapters at the beginning of part 
        IV of such subtitle is amended by striking out the item 
        relating to chapter 167.
            (4) The items in the table of sections at the 
        beginning of chapter 23 of title 10, United States Code 
        (as redesignated by section 1112(a)(1)), are revised so 
        as to reflect the redesignations made by section 
        1121(a).
    (b) Title 44, United States Code.--
            (1) The heading of section 1336 of title 44, United 
        States Code, is amended to read as follows:
``Sec. 1336. National Imagery and Mapping Agency: special 
                    publications''.
            (2) The item relating to that section in the tables 
        of sections at the beginning of chapter 13 of such 
        title is amended to read as follows:
``1336. National Imagery and Mapping Agency: special publications.''.
SEC. 1124. EFFECTIVE DATE.
    This title and the amendments made by this title shall take 
effect on October 1, 1996, or the date of the enactment of this 
Act, whichever is later.
              TITLE XIII--ARMS CONTROL AND RELATED MATTERS
 Subtitle A--Arms Control, Counterproliferation Activities, and Related 
                                 Matters
Sec. 1301. Extension of counterproliferation authorities.
Sec. 1302. Limitation on retirement or dismantlement of strategic 
          nuclear delivery systems.
Sec. 1303. Strengthening certain sanctions against nuclear proliferation 
          activities.
Sec. 1304. Authority to pay certain expenses relating to humanitarian 
          and civic assistance for clearance of landmines.
Sec. 1305. Report on military capabilities of People's Republic of 
          China.
Sec. 1306. Presidential report regarding weapons proliferation and 
          policies of the People's Republic of China.
Sec. 1307. United States-People's Republic of China Joint Defense 
          Conversion Commission.
Sec. 1308. Sense of Congress concerning export controls.
Sec. 1309. Counterproliferation Program Review Committee.
Sec. 1310. Sense of Congress concerning assisting other countries to 
          improve security of fissile material.
Sec. 1311. Review by Director of Central Intelligence of National 
          Intelligence Estimate 95-19.
  Subtitle B--Commission to Assess the Ballistic Missile Threat to the 
                              United States
Sec. 1321. Establishment of Commission.
Sec. 1322. Duties of Commission.
Sec. 1323. Report.
Sec. 1324. Powers.
Sec. 1325. Commission procedures.
Sec. 1326. Personnel matters.
Sec. 1327. Miscellaneous administrative provisions.
Sec. 1328. Funding.
Sec. 1329. Termination of the Commission.
Subtitle A--Arms Control, Counterproliferation Activities, and Related 
                                Matters
SEC. 1301. EXTENSION OF COUNTERPROLIFERATION AUTHORITIES.
    (a) One-Year Extension of Authority.--Section 1505 of the 
Weapons of Mass Destruction Control Act of 1992 (title XV of 
Public Law 102-484; 22 U.S.C. 5859a) is amended--
            (1) in subsection (d)(3), by striking out ``or'' 
        after ``fiscal year 1995,'' and by inserting ``, or 
        $15,000,000 for fiscal year 1997'' before the period at 
        the end; and
            (2) in subsection (f), by striking out ``1996'' and 
        inserting in lieu thereof ``1997''.
    (b) Funding Flexibility.--Subsection (d) of such section is 
further amended by adding at the end the following new 
paragraph:
    ``(4)(A) In the event of a significant unforeseen 
development related to the activities of the United Nations 
Special Commission on Iraq for which the Secretary of Defense 
determines that financial assistance under this section is 
required at a level which would result in the total amount of 
assistance provided under this section during the then-current 
fiscal year exceeding the amount specified with respect to that 
year under paragraph (3), the Secretary of Defense may provide 
such assistance notwithstanding the limitation with respect to 
that fiscal year under paragraph (3). Funds for such purpose 
may be derived from any funds available to the Department of 
Defense for that fiscal year.
    ``(B) Financial assistance may be provided under 
subparagraph (A) only after the Secretary of Defense provides 
notice in writing to the committees of Congress named in 
subsection (e)(2) of the significant unforeseen development and 
of the Secretary's intent to provide assistance in excess of 
the limitation for that fiscal year under paragraph (3). 
However, if the Secretary determines in any case that under the 
specific circumstances of that case advance notice is not 
possible, such notice shall be provided as soon as possible and 
not later than 15 days after the date on which the assistance 
is provided. Any notice under this subparagraph shall include a 
description of the development, the amount of assistance 
provided or to be provided, and the source of the funds for 
that assistance.''.
SEC. 1302. LIMITATION ON RETIREMENT OR DISMANTLEMENT OF STRATEGIC 
                    NUCLEAR DELIVERY SYSTEMS.
    (a) Funding Limitation.--Funds available to the Department 
of Defense may not be obligated or expended during fiscal year 
1997 for retiring or dismantling, or for preparing to retire or 
dismantle, any of the following strategic nuclear delivery 
systems:
            (1) B-52H bomber aircraft.
            (2) Trident ballistic missile submarines.
            (3) Minuteman III intercontinental ballistic 
        missiles.
            (4) Peacekeeper intercontinental ballistic 
        missiles.
    (b) Waiver Authority.--If the START II Treaty enters into 
force during fiscal year 1996 or fiscal year 1997, the 
Secretary of Defense may waive the application of the 
limitation under paragraphs (2), (3), and (4) of subsection (a) 
to Trident ballistic missile submarines, Minuteman III 
intercontinental ballistic missiles, and Peacekeeper 
intercontinental ballistic missiles, respectively, to the 
extent that the Secretary determines necessary in order to 
implement the treaty.
    (c) Funding Limitation on Early Deactivation.--(1) If the 
limitation under paragraphs (2), (3), and (4) of subsection (a) 
ceases to apply by reason of a waiver under subsection (b), 
funds available to the Department of Defense may nevertheless 
not be obligated or expended during fiscal year 1997 to 
implement any agreement or understanding to undertake 
substantial early deactivation of a strategic nuclear delivery 
system specified in subsection (b) until 30 days after the date 
on which the President submits to Congress a report concerning 
such actions.
    (2) For purposes of this subsection, a substantial early 
deactivation is an action during fiscal year 1997 to deactivate 
a substantial number of strategic nuclear delivery systems 
specified in subsection (b) by--
            (A) removing nuclear warheads from those systems; 
        or
            (B) taking other steps to remove those systems from 
        combat status.
    (3) A report under this subsection shall include the 
following:
            (A) The text of any understanding or agreement 
        between the United States and the Russian Federation 
        concerning substantial early deactivation of strategic 
        nuclear delivery systems under the START II Treaty.
            (B) The plan of the Department of Defense for 
        implementing the agreement.
            (C) An assessment of the Secretary of Defense of 
        the adequacy of the provisions contained in the 
        agreement for monitoring and verifying compliance of 
        Russia with the terms of the agreement.
            (D) A determination by the President as to whether 
        the deactivations to occur under the agreement will be 
        carried out in a symmetrical, reciprocal, or equivalent 
        manner.
            (E) An assessment by the President of the effect of 
        the proposed early deactivation on the stability of the 
        strategic balance and relative strategic nuclear 
        capabilities of the United States and the Russian 
        Federation at various stages during deactivation and 
        upon completion.
    (d) START II Treaty Defined.--For purposes of this section, 
the term ``START II Treaty'' means the Treaty Between the 
United States of America and the Russian Federation on Further 
Reduction and Limitation of Strategic Offensive Arms, signed at 
Moscow on January 3, 1993, including the following protocols 
and memorandum of understanding, all such documents being 
integral parts of and collectively referred to as the ``START 
II Treaty'' (contained in Treaty Document 103-1):
            (1) The Protocol on Procedures Governing 
        Elimination of Heavy ICBMs and on Procedures Governing 
        Conversion of Silo Launchers of Heavy ICBMs Relating to 
        the Treaty Between the United States of America and the 
        Russian Federation on Further Reduction and Limitation 
        of Strategic Offensive Arms (also known as the 
        ``Elimination and Conversion Protocol'').
            (2) The Protocol on Exhibitions and Inspections of 
        Heavy Bombers Relating to the Treaty Between the United 
        States and the Russian Federation on Further Reduction 
        and Limitation of Strategic Offensive Arms (also known 
        as the ``Exhibitions and Inspections Protocol'').
            (3) The Memorandum of Understanding on Warhead 
        Attribution and Heavy Bomber Data Relating to the 
        Treaty Between the United States of America and the 
        Russian Federation on Further Reduction and Limitation 
        of Strategic Offensive Arms (also known as the 
        ``Memorandum on Attribution'').
    (e) Retention of B-52H Aircraft on Active Status.--(1) The 
Secretary of the Air Force shall maintain in active status 
(including the performance of standard maintenance and 
upgrades) the current fleet of B-52H bomber aircraft.
    (2) For purposes of carrying out upgrades of B-52H bomber 
aircraft during fiscal year 1997, the Secretary shall treat the 
entire current fleet of such aircraft as aircraft expected to 
be maintained in active status during the six-year period 
beginning on October 1, 1996.
SEC. 1303. STRENGTHENING CERTAIN SANCTIONS AGAINST NUCLEAR 
                    PROLIFERATION ACTIVITIES.
    (a) Sanctions.--Section 2(b)(4) of the Export-Import Bank 
Act of 1945 (12 U.S.C. 635(b)(4)) is amended to read as 
follows:
            ``(4)(A) If the Secretary of State determines 
        that--
                    ``(i) any country that has agreed to 
                International Atomic Energy Agency nuclear 
                safeguards materially violates, abrogates, or 
                terminates, after October 26, 1977, such 
                safeguards;
                    ``(ii) any country that has entered into an 
                agreement for cooperation concerning the civil 
                use of nuclear energy with the United States 
                materially violates, abrogates, or terminates, 
                after October 26, 1977, any guarantee or other 
                undertaking to the United States made in such 
                agreement;
                    ``(iii) any country that is not a nuclear-
                weapon state detonates, after October 26, 1977, 
                a nuclear explosive device;
                    ``(iv) any country willfully aids or abets, 
                after June 29, 1994, any non-nuclear-weapon 
                state to acquire any such nuclear explosive 
                device or to acquire unsafeguarded special 
                nuclear material; or
                    ``(v) any person knowingly aids or abets, 
                after the date of enactment of the National 
                Defense Authorization Act for Fiscal Year 1997, 
                any non-nuclear-weapon state to acquire any 
                such nuclear explosive device or to acquire 
                unsafeguarded special nuclear material,
        then the Secretary of State shall submit a report to 
        the appropriate committees of the Congress and to the 
        Board of Directors of the Bank stating such 
        determination and identifying each country or person 
        the Secretary determines has so acted.
            ``(B)(i) If the Secretary of State makes a 
        determination under subparagraph (A)(v) with respect to 
        a foreign person, the Congress urges the Secretary to 
        initiate consultations immediately with the government 
        with primary jurisdiction over that person with respect 
        to the imposition of the prohibition contained in 
        subparagraph (C).
            ``(ii) In order that consultations with that 
        government may be pursued, the Board of Directors of 
        the Bank shall delay imposition of the prohibition 
        contained in subparagraph (C) for up to 90 days if the 
        Secretary of State requests the Board to make such 
        delay. Following these consultations, the prohibition 
        contained in subparagraph (C) shall apply immediately 
        unless the Secretary determines and certifies to the 
        Congress that that government has taken specific and 
        effective actions, including appropriate penalties, to 
        terminate the involvement of the foreign person in the 
        activities described in subparagraph (A)(v). The Board 
        of Directors of the Bank shall delay the imposition of 
        the prohibition contained in subparagraph (C) for up to 
        an additional 90 days if the Secretary requests the 
        Board to make such additional delay and if the 
        Secretary determines and certifies to the Congress that 
        that government is in the process of taking the actions 
        described in the preceding sentence.
            ``(iii) Not later than 90 days after making a 
        determination under subparagraph (A)(v), the Secretary 
        of State shall submit to the appropriate committees of 
        the Congress a report on the status of consultations 
        with the appropriate government under this 
        subparagraph, and the basis for any determination under 
        clause (ii) that such government has taken specific 
        corrective actions.
            ``(C) The Board of Directors of the Bank shall not 
        give approval to guarantee, insure, or extend credit, 
        or participate in the extension of credit in support of 
        United States exports to any country, or to or by any 
        person, identified in the report described in 
        subparagraph (A).
            ``(D) The prohibition in subparagraph (C) shall not 
        apply to approvals to guarantee, insure, or extend 
        credit, or participate in the extension of credit in 
        support of United States exports to a country with 
        respect to which a determination is made under clause 
        (i), (ii), (iii), or (iv) of subparagraph (A) regarding 
        any specific event described in such clause if the 
        President determines and certifies in writing to the 
        Congress not less than 45 days prior to the date of the 
        first approval following the determination that it is 
        in the national interest for the Bank to give such 
        approvals.
            ``(E) The prohibition in subparagraph (C) shall not 
        apply to approvals to guarantee, insure, or extend 
        credit, or participate in the extension of credit in 
        support of United States exports to or by a person with 
        respect to whom a determination is made under clause 
        (v) of subparagraph (A) regarding any specific event 
        described in such clause if--
                    ``(i) the Secretary of State determines and 
                certifies to the Congress that the appropriate 
                government has taken the corrective actions 
                described in subparagraph (B)(ii); or
                    ``(ii) the President determines and 
                certifies in writing to the Congress not less 
                than 45 days prior to the date of the first 
                approval following the determination that--
                            ``(I) reliable information 
                        indicates that--
                                    ``(aa) such person has 
                                ceased to aid or abet any non-
                                nuclear-weapon state to acquire 
                                any nuclear explosive device or 
                                to acquire unsafeguarded 
                                special nuclear material; and
                                    ``(bb) steps have been 
                                taken to ensure that the 
                                activities described in item 
                                (aa) will not resume; or
                            ``(II) the prohibition would have a 
                        serious adverse effect on vital United 
                        States interests.
            ``(F) For purposes of this paragraph:
                    ``(i) The term `country' has the meaning 
                given to `foreign state' in section 1603(a) of 
                title 28, United States Code.
                    ``(ii) The term `knowingly' is used within 
                the meaning of the term `knowing' in section 
                104(h)(3) of the Foreign Corrupt Practices Act 
                (15 U.S.C. 78dd-2(h)(3)).
                    ``(iii) The term `person' means a natural 
                person as well as a corporation, business 
                association, partnership, society, trust, any 
                other nongovernmental entity, organization, or 
                group, and any governmental entity operating as 
                a business enterprise, and any successor of any 
                such entity.
                    ``(iv) The term `nuclear-weapon state' has 
                the meaning given the term in Article IX(3) of 
                the Treaty on the Non-Proliferation of Nuclear 
                Weapons, signed at Washington, London, and 
                Moscow on July 1, 1968.
                    ``(v) The term `non-nuclear-weapon state' 
                has the meaning given the term in section 
                830(5) of the Nuclear Proliferation Prevention 
                Act of 1994 (Public Law 103-236; 108 Stat. 
                521).
                    ``(vi) The term `nuclear explosive device' 
                has the meaning given the term in section 
                830(4) of the Nuclear Proliferation Prevention 
                Act of 1994 (Public Law 103-236; 108 Stat. 
                521).
                    ``(vii) The term `unsafeguarded special 
                nuclear material' has the meaning given the 
                term in section 830(8) of the Nuclear 
                Proliferation Prevention Act of 1994.''.
    (b) Recommendations To Make Nonproliferation Laws More 
Effective.--Not later than 180 days after the date of the 
enactment of this Act, the President shall submit to the 
Congress his recommendations on ways to make the laws of the 
United States more effective in controlling and preventing the 
proliferation of weapons of mass destruction and missiles. The 
report shall identify all sources of Government funds used for 
such nonproliferation activities.
SEC. 1304. AUTHORITY TO PAY CERTAIN EXPENSES RELATING TO HUMANITARIAN 
                    AND CIVIC ASSISTANCE FOR CLEARANCE OF LANDMINES.
    (a) Authority To Pay Expenses.--Section 401(c) of title 10, 
United States Code, is amended--
            (1) by redesignating paragraph (2) as paragraph 
        (4); and
            (2) by inserting after paragraph (1) the following 
        new paragraphs:
    ``(2) Expenses covered by paragraph (1) include the 
following expenses incurred in providing assistance described 
in subsection (e)(5):
            ``(A) Travel, transportation, and subsistence 
        expenses of Department of Defense personnel providing 
        such assistance.
            ``(B) The cost of any equipment, services, or 
        supplies acquired for the purpose of carrying out or 
        supporting the activities described in subsection 
        (e)(5), including any nonlethal, individual, or small-
        team landmine clearing equipment or supplies that are 
        to be transferred or otherwise furnished to a foreign 
        country in furtherance of the provision of assistance 
        under this section.
    ``(3) The cost of equipment, services, and supplies 
provided in any fiscal year under paragraph (2)(B) may not 
exceed $5,000,000.''.
    (b) Coordination With Other Laws.--Section 401(b) of such 
title is amended--
            (1) by inserting ``(1)'' after ``(b)''; and
            (2) by adding at the end the following:
    ``(2) Any authority provided under any other provision of 
law to provide assistance that is described in subsection 
(e)(5) to a foreign country shall be carried out in accordance 
with, and subject to the limitations prescribed in, this 
section. Any such provision may be construed as superseding a 
provision of this section only if, and to the extent that, such 
provision specifically refers to this section and specifically 
identifies the provision of this section that is to be 
considered superseded or otherwise inapplicable under such 
provision.''.
SEC. 1305. REPORT ON MILITARY CAPABILITIES OF PEOPLE'S REPUBLIC OF 
                    CHINA.
    (a) Report.--The Secretary of Defense shall prepare a 
report, in both classified and unclassified form, on the future 
pattern of military modernization of the People's Republic of 
China. The report shall address both the probable course of 
military-technological development in the People's Liberation 
Army and the development of Chinese military strategy and 
operational concepts.
    (b) Matters To Be Included.--The report shall include 
analyses and forecasts of the following:
            (1) Trends that would lead the People's Republic of 
        China toward advanced intelligence, surveillance, and 
        reconnaissance capabilities, either through a 
        development program or by gaining access to commercial 
        or third-party systems with militarily significant 
        capabilities.
            (2) Efforts by the People's Republic of China to 
        develop highly accurate and low-observable ballistic 
        and cruise missiles, and the investments in 
        infrastructure that would allow for production of such 
        weapons in militarily significant quantities, 
        particularly in numbers sufficient to conduct attacks 
        capable of overwhelming projected defense capabilities 
        in the region.
            (3) Development by the People's Republic of China 
        of enhanced command and control networks, particularly 
        those capable of battle management that would include 
        long-range precision strikes.
            (4) Programs of the People's Republic of China 
        involving unmanned aerial vehicles, particularly those 
        with extended ranges or loitering times.
            (5) Exploitation by the People's Republic of China 
        of the Global Positioning System or other similar 
        systems, including commercial land surveillance 
        satellites, for significant military purposes, 
        including particularly for increasing the accuracy of 
        weapons or the situational awareness of operating 
        forces.
            (6) Development by the People's Republic of China 
        of capabilities for denial of sea control, such as 
        advanced sea mines or improved submarine capabilities.
            (7) Continued development by the People's Republic 
        of China of follow-on forces, particularly those 
        capable of rapid air or amphibious assault.
    (c) Submission of Report.--The report shall be submitted to 
Congress not later than February 1, 1997.
SEC. 1306. PRESIDENTIAL REPORT REGARDING WEAPONS PROLIFERATION AND 
                    POLICIES OF THE PEOPLE'S REPUBLIC OF CHINA.
    (a) Findings.--The Congress finds that--
            (1) the People's Republic of China acceded to the 
        Treaty on the Non-Proliferation of Nuclear Weapons 
        (hereafter in this section referred to as the ``NPT'') 
        on March 9, 1992;
            (2) the People's Republic of China is not a member 
        of the Nuclear Suppliers Group and remains the only 
        major nuclear supplier that continues to transfer 
        nuclear technology, equipment, and materials to 
        countries that have not agreed to the application of 
        safeguards of the International Atomic Energy Agency 
        (hereafter in this section referred to as the ``IAEA'') 
        over all of their nuclear materials;
            (3) on June 30, 1995, the United States and 29 
        other members of the Nuclear Suppliers Group notified 
        the Director General of the IAEA that the Government of 
        each respective country has decided that the controls 
        of that Group should not be defeated by the transfer of 
        component parts;
            (4) a state-owned entity in the People's Republic 
        of China, the China Nuclear Energy Industry 
        Corporation, has knowingly transferred specially 
        designed ring magnets to an unsafeguarded uranium 
        enrichment facility in the Islamic Republic of 
        Pakistan;
            (5) ring magnets are identified on the Trigger List 
        of the Nuclear Suppliers Group as a component of 
        magnetic suspension bearings which are to be exported 
        only to countries that have safeguards of the IAEA over 
        all of their nuclear materials;
            (6) these ring magnets could contribute 
        significantly to the ability of the Islamic Republic of 
        Pakistan to produce additional unsafeguarded enriched 
        uranium, a nuclear explosive material;
            (7) the Government of the People's Republic of 
        China has transferred nuclear equipment and technology 
        to the Islamic Republic of Iran, despite repeated 
        claims by the Government of the United States that the 
        Islamic Republic of Iran is engaged in clandestine 
        efforts to acquire a nuclear explosive device;
            (8) representatives of the Government of the 
        People's Republic of China have repeatedly assured the 
        Government of the United States that the People's 
        Republic of China would abide by the guidelines of the 
        Missile Technology Control Regime (hereafter in this 
        section referred to as the ``MTCR'');
            (9) the Government of China has transferred M-11 
        missiles to the Islamic Republic of Pakistan; and
            (10) the M-11 missile conforms to the definition of 
        a nuclear-capable missile under the MTCR.
    (b) Sense of the Congress.--It is the sense of the Congress 
that--
            (1) the assistance that the People's Republic of 
        China has provided to the Islamic Republic of Iran and 
        to the Islamic Republic of Pakistan could contribute to 
        the ability of such countries to manufacture nuclear 
        weapons;
            (2) the recent transfer by the People's Republic of 
        China of ring magnets to an unsafeguarded uranium 
        enrichment facility in the Islamic Republic of Pakistan 
        conflicts with China's obligations under Articles I and 
        III of the NPT, as well as the official 
        nonproliferation policies and assurances by the 
        People's Republic of China and the Islamic Republic of 
        Pakistan with respect to the nonproliferation of 
        nuclear weapons and nuclear-capable missiles;
            (3) the transfer of M-11 missiles from the People's 
        Republic of China to the Islamic Republic of Pakistan 
        is inconsistent with longstanding United States 
        Government interpretations of assurances from the 
        Government of the People's Republic of China with 
        respect to that country's intent to abide by the 
        guidelines of the MTCR;
            (4) violations by the People's Republic of China of 
        the standards and objectives of the MTCR and global 
        nuclear nonproliferation regimes have jeopardized the 
        credibility of the MTCR and such regimes;
            (5) the MTCR and global nuclear nonproliferation 
        regimes require collective international action to 
        impose costs against and to withhold benefits from any 
        country, including the People's Republic of China, that 
        engages in activities that are contrary to the 
        objectives of those regimes;
            (6) the President should explore with the 
        governments of other countries new opportunities for 
        collective action in response to activities of any 
        country, including the People's Republic of China, that 
        aid or abet the global proliferation of weapons of mass 
        destruction or their means of delivery; and
            (7) the President should communicate to the 
        Government of the People's Republic of China the sense 
        of the Congress that the stability and growth of future 
        relations between the people, the economies, and the 
        Governments of the United States and the People's 
        Republic of China will significantly depend upon 
        substantive evidence of cooperation by the Government 
        of the People's Republic of China in efforts to halt 
        the global proliferation of weapons of mass destruction 
        and their means of delivery.
    (c) Report.--Not later than 60 days after the date of the 
enactment of this Act, the President shall submit to the 
Congress a report, in both classified and unclassified form, 
concerning the transfer from the People's Republic of China to 
the Islamic Republic of Pakistan of technology, equipment, or 
materials important to the production of nuclear weapons and 
their means of delivery. The President shall include in the 
report the following:
            (1) The specific justification of the Secretary of 
        State for determining that there was not a sufficient 
        basis for imposing sanctions under section 2(b)(4) of 
        the Export-Import Bank Act of 1945, as amended by 
        section 825 of the Nuclear Proliferation Prevention Act 
        of 1994, by reason of the transfer of ring magnets and 
        other technology, equipment, or materials from the 
        People's Republic of China to the Islamic Republic of 
        Pakistan.
            (2) What commitment the United States Government is 
        seeking from the People's Republic of China to ensure 
        that the People's Republic of China establishes a fully 
        effective export control system that will prevent 
        transfers (such as the Pakistan sale) from taking place 
        in the future.
            (3) A description of the pledges, assurances, and 
        other commitments made by representatives of the 
        Governments of the People's Republic of China and the 
        Islamic Republic of Pakistan to the Government of the 
        United States since January 1, 1991, with respect to 
        the nonproliferation of nuclear weapons or nuclear-
        capable missiles, and an assessment of the record of 
        compliance with such undertakings.
            (4) Whether, in light of the recent assurances 
        provided by the People's Republic of China, the 
        President intends to make the certification and submit 
        the report required by section 902(a)(6)(B) of the 
        Foreign Relations Authorization Act, Fiscal Years 1990 
        and 1991 (22 U.S.C. 2151 note), and make the 
        certification and submit the report required by Public 
        Law 99-183, relating to the approval and implementation 
        of the agreement for nuclear cooperation between the 
        United States and the People's Republic of China, and, 
        if not, why not.
            (5) Whether the Secretary of State considers the 
        recent assurances and clarifications provided by the 
        People's Republic of China to have provided sufficient 
        information to allow the United States to determine 
        that the People's Republic of China is not in violation 
        of paragraph (2) of section 129 of the Atomic Energy 
        Act of 1954, as required by Public Law 99-183.
            (6) If the President is unable or unwilling to make 
        the certifications and reports referred to in paragraph 
        (4), a description of what the President considers to 
        be the significance of the clarifications and 
        assurances provided by the People's Republic of China 
        in the course of the recent discussions regarding the 
        transfer by the People's Republic of China of nuclear-
        weapon-related equipment to the Islamic Republic of 
        Pakistan.
            (7) A description of the laws, regulations, and 
        procedures currently used by the People's Republic of 
        China to regulate exports of nuclear technology, 
        equipment, or materials, including dual-use goods, and 
        an assessment of the effectiveness of such 
        arrangements.
            (8) A description of the current policies and 
        practices of other countries in response to the 
        transfer of nuclear and missile technology by the 
        People's Republic of China to the Islamic Republic of 
        Pakistan and the Islamic Republic of Iran.
SEC. 1307. UNITED STATES-PEOPLE'S REPUBLIC OF CHINA JOINT DEFENSE 
                    CONVERSION COMMISSION.
    None of the funds appropriated or otherwise available for 
the Department of Defense for fiscal year 1997 or any prior 
fiscal year may be obligated or expended for any activity 
associated with the United States-People's Republic of China 
Joint Defense Conversion Commission until 15 days after the 
date on which the first semiannual report required by section 
1343 of the National Defense Authorization Act for Fiscal Year 
1996 (Public Law 104-106; 110 Stat. 487) is received by 
Congress.
SEC. 1308. SENSE OF CONGRESS CONCERNING EXPORT CONTROLS.
    (a) Findings.--The Congress makes the following findings:
            (1) Export controls are a part of a comprehensive 
        response to national security threats. The export of a 
        United States commodity or technology should be 
        restricted in cases in which the export of the 
        commodity or technology would increase the threat to 
        the national security of the United States or would be 
        contrary to the nonproliferation goals or foreign 
        policy interests of the United States.
            (2) The export of certain commodities and 
        technology may adversely affect the national security 
        and foreign policy of the United States by making a 
        significant contribution to the military potential of 
        countries or by enhancing the capability of countries 
        to design, develop, test, produce, stockpile, or use 
        weapons of mass destruction and missile delivery 
        systems, and other significant military capabilities. 
        Therefore, the administration of export controls should 
        emphasize the control of these exports.
            (3) The acquisition of sensitive commodities and 
        technologies by those countries and end users whose 
        actions or policies run counter to United States 
        national security or foreign policy interests may 
        enhance the military capabilities of those countries, 
        particularly their ability to design, develop, test, 
        produce, stockpile, use, and deliver nuclear, chemical, 
        and biological weapons and missile delivery systems, 
        and other significant military capabilities. This 
        enhancement threatens the security of the United States 
        and its allies. The availability to countries and end 
        users of items that contribute to military capabilities 
        or the proliferation of weapons of mass destruction is 
        a fundamental concern of the United States and should 
        be eliminated through deterrence, negotiations, and 
        other appropriate means whenever possible.
            (4) The national security of the United States 
        depends not only on wise foreign policies and a strong 
        defense, but also a vibrant national economy. To be 
        truly effective, export controls should be applied 
        uniformly by all suppliers.
            (5) On November 8, 1995, the President continued 
        the national emergency declared in Executive Order No. 
        12938 of November 14, 1994, ``with respect to the 
        unusual and extraordinary threat to the national 
        security, foreign policy, and economy of the United 
        States posed by the proliferation of nuclear, 
        biological, and chemical weapons and the means of 
        delivering such weapons''.
            (6) A successor regime to COCOM (the Coordinating 
        Committee for Multilateral Export Controls) has not 
        been established. Currently, each nation is determining 
        independently which dual-use military items, if any, 
        will be controlled for export.
            (7) The United States should play a leading role in 
        promoting transparency and responsibility with regard 
        to the transfers of sensitive dual-use goods and 
        technologies.
    (b) Sense of Congress.--It is the sense of the Congress 
that--
            (1) establishing an international export control 
        regime, empowered to control exports of dual-use 
        technology, is critically important and should be a top 
        priority for the United States; and
            (2) the United States should strongly encourage its 
        allies and other friendly countries to--
                    (A) adopt export controls that are the same 
                or similar to the export controls imposed by 
                the United States on items on the Commerce 
                Control List;
                    (B) strengthen enforcement of their export 
                controls; and
                    (C) explore the use of unilateral export 
                controls where the possibility exists that an 
                export could contribute to the enhancement of 
                military capabilities or proliferation 
                described in paragraphs (3) and (5) of 
                subsection (a).
SEC. 1309. COUNTERPROLIFERATION PROGRAM REVIEW COMMITTEE.
    (a) Composition of the Committee.--Subsection (a) of 
section 1605 of the National Defense Authorization Act for 
Fiscal Year 1994 (22 U.S.C. 2751 note) is amended by adding at 
the end the following new paragraph:
    ``(5) The Assistant to the Secretary of Defense for Nuclear 
and Chemical and Biological Defense Programs shall serve as 
executive secretary to the committee.''.
    (b) Additional Purpose of the Committee.--Subsection 
(b)(1)(A) of such section is amended by inserting ``and 
efforts, including efforts to stem the proliferation of weapons 
of mass destruction and to negate paramilitary and terrorist 
threats involving weapons of mass destruction'' after 
``counterproliferation policy''.
    (c) Four-Year Extension of the Committee.--Subsection (f) 
of such section is amended by striking out ``September 30, 
1996'' and inserting in lieu thereof ``September 30, 2000''.
    (d) Reports on Counterproliferation Activities and 
Programs.--Section 1503 of the National Defense Authorization 
Act for Fiscal Year 1995 (22 U.S.C. 2751 note) is amended--
            (1) in subsection (a)--
                    (A) by striking out ``Report Required.--(1) 
                Not later than May 1, 1995 and May 1, 1996, the 
                Secretary'' and inserting in lieu thereof 
                ``Annual Report Required.--Not later than May 1 
                of each year, the Secretary''; and
                    (B) by striking out paragraph (2); and
            (2) by adding at the end the following new 
        subsections:
    ``(d) Review Committee Charter Defined.--For purposes of 
this section, the term `Review Committee charter' means section 
1605 of the National Defense Authorization Act for Fiscal Year 
1994 (22 U.S.C. 2751 note).
    ``(e) Termination of Requirement.--The final report 
required under subsection (a) is the report for the year 
following the year in which the Counterproliferation Program 
Review Committee established under the Review Committee Charter 
ceases to exist.''.
SEC. 1310. SENSE OF CONGRESS CONCERNING ASSISTING OTHER COUNTRIES TO 
                    IMPROVE SECURITY OF FISSILE MATERIAL.
    (a) Findings.--Congress finds the following:
            (1) With the end of the Cold War, the world is 
        faced with the need to manage the dismantling of vast 
        numbers of nuclear weapons and the disposition of the 
        fissile materials that they contain.
            (2) If recently agreed reductions in nuclear 
        weapons are fully implemented, tens of thousands of 
        nuclear weapons, containing a hundred tons or more of 
        plutonium and many hundreds of tons of highly enriched 
        uranium, will no longer be needed for military 
        purposes.
            (3) Plutonium and highly enriched uranium are the 
        essential ingredients of nuclear weapons.
            (4) Limits on access to plutonium and highly 
        enriched uranium are the primary technical barrier to 
        acquiring nuclear weapons capability in the world 
        today.
            (5) Several kilograms of plutonium, or several 
        times that amount of highly enriched uranium, are 
        sufficient to make a nuclear weapon.
            (6) Plutonium and highly enriched uranium will 
        continue to pose a potential threat for as long as they 
        exist.
            (7) Action is required to secure and account for 
        plutonium and highly enriched uranium.
            (8) It is in the national interest of the United 
        States to--
                    (A) minimize the risk that fissile 
                materials could be obtained by unauthorized 
                parties;
                    (B) minimize the risk that fissile 
                materials could be reintroduced into the 
                arsenals from which they came, halting or 
                reversing the arms reduction process; and
                    (C) strengthen the national and 
                international control mechanisms and incentives 
                designed to ensure continued arms reductions 
                and prevent the spread of nuclear weapons.
    (b) Sense of Congress.--In light of the findings contained 
in subsection (a), it is the sense of Congress that the United 
States has a national security interest in assisting other 
countries to improve the security of their stocks of fissile 
material.
SEC. 1311. REVIEW BY DIRECTOR OF CENTRAL INTELLIGENCE OF NATIONAL 
                    INTELLIGENCE ESTIMATE 95-19.
    (a) Review.--The Director of Central Intelligence shall 
conduct a review of the underlying assumptions and conclusions 
of the National Intelligence Estimate designated as NIE 95-19 
and entitled ``Emerging Missile Threats to North America During 
the Next 15 Years'', released by the Director in November 1995.
    (b) Methodology for Review.--The Director shall carry out 
the review under subsection (a) through a panel of independent, 
nongovernmental individuals with appropriate expertise and 
experience. Such a panel shall be convened by the Director not 
later than 45 days after the date of the enactment of this Act.
    (c) Report.--The Director shall submit the findings 
resulting from the review under subsection (a), together with 
any comments of the Director on the review and the findings, to 
Congress not later than three months after the appointment of 
the Commission under section 1321.
 Subtitle B--Commission To Assess the Ballistic Missile Threat to the 
                             United States
SEC. 1321. ESTABLISHMENT OF COMMISSION.
    (a) Establishment.--There is hereby established a 
commission to be known as the ``Commission to Assess the 
Ballistic Missile Threat to the United States'' (hereinafter in 
this subtitle referred to as the ``Commission'').
    (b) Composition.--The Commission shall be composed of nine 
members appointed by the Director of Central Intelligence. In 
selecting individuals for appointment to the Commission, the 
Director should consult with--
            (1) the Speaker of the House of Representatives 
        concerning the appointment of three of the members of 
        the Commission;
            (2) the majority leader of the Senate concerning 
        the appointment of three of the members of the 
        Commission; and
            (3) the minority leader of the House of 
        Representatives and the minority leader of the Senate 
        concerning the appointment of three of the members of 
        the Commission.
    (c) Qualifications.--Members of the Commission shall be 
appointed from among private United States citizens with 
knowledge and expertise in the political and military aspects 
of proliferation of ballistic missiles and the ballistic 
missile threat to the United States.
    (d) Chairman.--The Speaker of the House of Representatives, 
after consultation with the majority leader of the Senate and 
the minority leaders of the House of Representatives and the 
Senate, shall designate one of the members of the Commission to 
serve as chairman of the Commission.
    (e) Period of Appointment; Vacancies.--Members shall be 
appointed for the life of the Commission. Any vacancy in the 
Commission shall be filled in the same manner as the original 
appointment.
    (f) Security Clearances.--All members of the Commission 
shall hold appropriate security clearances.
    (g) Initial Organization Requirements.--(1) All 
appointments to the Commission shall be made not later than 45 
days after the date of the enactment of this Act.
    (2) The Commission shall convene its first meeting not 
later than 30 days after the date as of which all members of 
the Commission have been appointed, but not earlier than 
October 15, 1996.
SEC. 1322. DUTIES OF COMMISSION.
    (a) Review of Ballistic Missile Threat.--The Commission 
shall assess the nature and magnitude of the existing and 
emerging ballistic missile threat to the United States.
    (b) Cooperation From Government Officials.--In carrying out 
its duties, the Commission should receive the full and timely 
cooperation of the Secretary of Defense, the Director of 
Central Intelligence, and any other United States Government 
official responsible for providing the Commission with 
analyses, briefings, and other information necessary for the 
fulfillment of its responsibilities.
SEC. 1323. REPORT.
    The Commission shall, not later than six months after the 
date of its first meeting, submit to the Congress a report on 
its findings and conclusions.
SEC. 1324. POWERS.
    (a) Hearings.--The Commission or, at its direction, any 
panel or member of the Commission, may, for the purpose of 
carrying out the provisions of this subtitle, hold hearings, 
sit and act at times and places, take testimony, receive 
evidence, and administer oaths to the extent that the 
Commission or any panel or member considers advisable.
    (b) Information.--The Commission may secure directly from 
the Department of Defense, the Central Intelligence Agency, and 
any other Federal department or agency information that the 
Commission considers necessary to enable the Commission to 
carry out its responsibilities under this subtitle.
SEC. 1325. COMMISSION PROCEDURES.
    (a) Meetings.--The Commission shall meet at the call of the 
Chairman.
    (b) Quorum.--(1) Five members of the Commission shall 
constitute a quorum other than for the purpose of holding 
hearings.
    (2) The Commission shall act by resolution agreed to by a 
majority of the members of the Commission.
    (c) Commission.--The Commission may establish panels 
composed of less than full membership of the Commission for the 
purpose of carrying out the Commission's duties. The actions of 
each such panel shall be subject to the review and control of 
the Commission. Any findings and determinations made by such a 
panel shall not be considered the findings and determinations 
of the Commission unless approved by the Commission.
    (d) Authority of Individuals To Act for Commission.--Any 
member or agent of the Commission may, if authorized by the 
Commission, take any action which the Commission is authorized 
to take under this subtitle.
SEC. 1326. PERSONNEL MATTERS.
    (a) Pay of Members.--Members of the Commission shall serve 
without pay by reason of their work on the Commission.
    (b) Travel Expenses.--The members of the Commission shall 
be allowed travel expenses, including per diem in lieu of 
subsistence, at rates authorized for employees of agencies 
under subchapter I of chapter 57 of title 5, United States 
Code, while away from their homes or regular places of business 
in the performance of services for the Commission.
    (c) Staff.--(1) The chairman of the Commission may, without 
regard to the provisions of title 5, United States Code, 
governing appointments in the competitive service, appoint a 
staff director and such additional personnel as may be 
necessary to enable the Commission to perform its duties. The 
appointment of a staff director shall be subject to the 
approval of the Commission.
    (2) The chairman of the Commission may fix the pay of the 
staff director and other personnel without regard to the 
provisions of chapter 51 and subchapter III of chapter 53 of 
title 5, United States Code, relating to classification of 
positions and General Schedule pay rates, except that the rate 
of pay fixed under this paragraph for the staff director may 
not exceed the rate payable for level V of the Executive 
Schedule under section 5316 of such title and the rate of pay 
for other personnel may not exceed the maximum rate payable for 
grade GS-15 of the General Schedule.
    (d) Detail of Government Employees.--Upon request of the 
chairman of the Commission, the head of any Federal department 
or agency may detail, on a nonreimbursable basis, any personnel 
of that department or agency to the Commission to assist it in 
carrying out its duties.
    (e) Procurement of Temporary and Intermittent Services.--
The chairman of the Commission may procure temporary and 
intermittent services under section 3109(b) of title 5, United 
States Code, at rates for individuals which do not exceed the 
daily equivalent of the annual rate of basic pay payable for 
level V of the Executive Schedule under section 5316 of such 
title.
SEC. 1327. MISCELLANEOUS ADMINISTRATIVE PROVISIONS.
    (a) Postal and Printing Services.--The Commission may use 
the United States mails and obtain printing and binding 
services in the same manner and under the same conditions as 
other departments and agencies of the Federal Government.
    (b) Miscellaneous Administrative and Support Services.--The 
Director of Central Intelligence shall furnish the Commission, 
on a reimbursable basis, any administrative and support 
services requested by the Commission.
SEC. 1328. FUNDING.
    Funds for activities of the Commission shall be provided 
from amounts appropriated for the Department of Defense for 
operation and maintenance for Defense-wide activities for 
fiscal year 1997. Upon receipt of a written certification from 
the Chairman of the Commission specifying the funds required 
for the activities of the Commission, the Secretary of Defense 
shall promptly disburse to the Commission, from such amounts, 
the funds required by the Commission as stated in such 
certification.
SEC. 1329. TERMINATION OF THE COMMISSION.
    The Commission shall terminate 60 days after the date of 
the submission of its report under section 1323.
         TITLE XIV--DEFENSE AGAINST WEAPONS OF MASS DESTRUCTION
Sec. 1401. Short title.
Sec. 1402. Findings.
Sec. 1403. Definitions.
                    Subtitle A--Domestic Preparedness
Sec. 1411. Response to threats of terrorist use of weapons of mass 
          destruction.
Sec. 1412. Emergency response assistance program.
Sec. 1413. Nuclear, chemical, and biological emergency response.
Sec. 1414. Chemical-biological emergency response team.
Sec. 1415. Testing of preparedness for emergencies involving nuclear, 
          radiological, chemical, and biological weapons.
Sec. 1416. Military assistance to civilian law enforcement officials in 
          emergency situations involving biological or chemical weapons.
Sec. 1417. Rapid response information system.
  Subtitle B--Interdiction of Weapons of Mass Destruction and Related 
                                Materials
Sec. 1421. Procurement of detection equipment--United States border 
          security.
Sec. 1422. Extension of coverage of International Emergency Economic 
          Powers Act.
Sec. 1423. Sense of Congress concerning criminal penalties.
Sec. 1424. International border security.
 Subtitle C--Control and Disposition of Weapons of Mass Destruction and 
             Related Materials Threatening the United States
Sec. 1431. Coverage of weapons-usable fissile materials in Cooperative 
          Threat Reduction programs on elimination or transportation of 
          nuclear weapons.
Sec. 1432. Elimination of plutonium production.
     Subtitle D--Coordination of Policy and Countermeasures Against 
              Proliferation of Weapons of Mass Destruction
Sec. 1441. National Coordinator on Nonproliferation.
Sec. 1442. National Security Council Committee on Nonproliferation.
Sec. 1443. Comprehensive preparedness program.
Sec. 1444. Termination.
                        Subtitle E--Miscellaneous
Sec. 1451. Sense of Congress concerning contracting policy.
Sec. 1452. Transfers of allocations among Cooperative Threat Reduction 
          programs.
Sec. 1453. Sense of Congress concerning assistance to states of former 
          Soviet Union.
Sec. 1454. Purchase of low-enriched uranium derived from Russian highly 
          enriched uranium.
Sec. 1455. Sense of Congress concerning purchase, packaging, and 
          transportation of fissile materials at risk of theft.
SEC. 1401. SHORT TITLE.
    This title may be cited as the ``Defense Against Weapons of 
Mass Destruction Act of 1996''.
SEC. 1402. FINDINGS.
    Congress makes the following findings:
            (1) Weapons of mass destruction and related 
        materials and technologies are increasingly available 
        from worldwide sources. Technical information relating 
        to such weapons is readily available on the Internet, 
        and raw materials for chemical, biological, and 
        radiological weapons are widely available for 
        legitimate commercial purposes.
            (2) The former Soviet Union produced and maintained 
        a vast array of nuclear, biological, and chemical 
        weapons of mass destruction.
            (3) Many of the states of the former Soviet Union 
        retain the facilities, materials, and technologies 
        capable of producing additional quantities of weapons 
        of mass destruction.
            (4) The disintegration of the former Soviet Union 
        was accompanied by disruptions of command and control 
        systems, deficiencies in accountability for weapons, 
        weapons-related materials and technologies, economic 
        hardships, and significant gaps in border control among 
        the states of the former Soviet Union. The problems of 
        organized crime and corruption in the states of the 
        former Soviet Union increase the potential for 
        proliferation of nuclear, radiological, biological, and 
        chemical weapons and related materials.
            (5) The conditions described in paragraph (4) have 
        substantially increased the ability of potentially 
        hostile nations, terrorist groups, and individuals to 
        acquire weapons of mass destruction and related 
        materials and technologies from within the states of 
        the former Soviet Union and from unemployed scientists 
        who worked on those programs.
            (6) As a result of such conditions, the capability 
        of potentially hostile nations and terrorist groups to 
        acquire nuclear, radiological, biological, and chemical 
        weapons is greater than any time in history.
            (7) The President has identified North Korea, Iraq, 
        Iran, and Libya as hostile states which already possess 
        some weapons of mass destruction and are developing 
        others.
            (8) The acquisition or the development and use of 
        weapons of mass destruction is well within the 
        capability of many extremist and terrorist movements, 
        acting independently or as proxies for foreign states.
            (9) Foreign states can transfer weapons to or 
        otherwise aid extremist and terrorist movements 
        indirectly and with plausible deniability.
            (10) Terrorist groups have already conducted 
        chemical attacks against civilian targets in the United 
        States and Japan, and a radiological attack in Russia.
            (11) The potential for the national security of the 
        United States to be threatened by nuclear, 
        radiological, chemical, or biological terrorism must be 
        taken seriously.
            (12) There is a significant and growing threat of 
        attack by weapons of mass destruction on targets that 
        are not military targets in the usual sense of the 
        term.
            (13) Concomitantly, the threat posed to the 
        citizens of the United States by nuclear, radiological, 
        biological, and chemical weapons delivered by 
        unconventional means is significant and growing.
            (14) Mass terror may result from terrorist 
        incidents involving nuclear, radiological, biological, 
        or chemical materials.
            (15) Facilities required for production of 
        radiological, biological, and chemical weapons are much 
        smaller and harder to detect than nuclear weapons 
        facilities, and biological, and chemical weapons can be 
        deployed by alternative delivery means other than long-
        range ballistic missiles.
            (16) Covert or unconventional means of delivery of 
        nuclear, radiological, biological, and chemical weapons 
        include cargo ships, passenger aircraft, commercial and 
        private vehicles and vessels, and commercial cargo 
        shipments routed through multiple destinations.
            (17) Traditional arms control efforts assume large 
        state efforts with detectable manufacturing programs 
        and weapons production programs, but are ineffective in 
        monitoring and controlling smaller, though potentially 
        more dangerous, unconventional proliferation efforts.
            (18) Conventional counterproliferation efforts 
        would do little to detect or prevent the rapid 
        development of a capability to suddenly manufacture 
        several hundred chemical or biological weapons with 
        nothing but commercial supplies and equipment.
            (19) The United States lacks adequate planning and 
        countermeasures to address the threat of nuclear, 
        radiological, biological, and chemical terrorism.
            (20) The Department of Energy has established a 
        Nuclear Emergency Response Team which is available in 
        case of nuclear or radiological emergencies, but no 
        comparable units exist to deal with emergencies 
        involving biological, or chemical weapons or related 
        materials.
            (21) State and local emergency response personnel 
        are not adequately prepared or trained for incidents 
        involving nuclear, radiological, biological, or 
        chemical materials.
            (22) Exercises of the Federal, State, and local 
        response to nuclear, radiological, biological, or 
        chemical terrorism have revealed serious deficiencies 
        in preparedness and severe problems of coordination.
            (23) The development of, and allocation of 
        responsibilities for, effective countermeasures to 
        nuclear, radiological, biological, or chemical 
        terrorism in the United States requires well-
        coordinated participation of many Federal agencies, and 
        careful planning by the Federal Government and State 
        and local governments.
            (24) Training and exercises can significantly 
        improve the preparedness of State and local emergency 
        response personnel for emergencies involving nuclear, 
        radiological, biological, or chemical weapons or 
        related materials.
            (25) Sharing of the expertise and capabilities of 
        the Department of Defense, which traditionally has 
        provided assistance to Federal, State, and local 
        officials in neutralizing, dismantling, and disposing 
        of explosive ordnance, as well as radiological, 
        biological, and chemical materials, can be a vital 
        contribution to the development and deployment of 
        countermeasures against nuclear, biological, and 
        chemical weapons of mass destruction.
            (26) The United States lacks effective policy 
        coordination regarding the threat posed by the 
        proliferation of weapons of mass destruction.
SEC. 1403. DEFINITIONS.
    In this title:
            (1) The term ``weapon of mass destruction'' means 
        any weapon or device that is intended, or has the 
        capability, to cause death or serious bodily injury to 
        a significant number of people through the release, 
        dissemination, or impact of--
                    (A) toxic or poisonous chemicals or their 
                precursors;
                    (B) a disease organism; or
                    (C) radiation or radioactivity.
            (2) The term ``independent states of the former 
        Soviet Union'' has the meaning given that term in 
        section 3 of the FREEDOM Support Act (22 U.S.C. 5801).
            (3) The term ``highly enriched uranium'' means 
        uranium enriched to 20 percent or more in the isotope 
        U-235.
                   Subtitle A--Domestic Preparedness
SEC. 1411. RESPONSE TO THREATS OF TERRORIST USE OF WEAPONS OF MASS 
                    DESTRUCTION.
    (a) Enhanced Response Capability.--In light of the 
potential for terrorist use of weapons of mass destruction 
against the United States, the President shall take immediate 
action--
            (1) to enhance the capability of the Federal 
        Government to prevent and respond to terrorist 
        incidents involving weapons of mass destruction; and
            (2) to provide enhanced support to improve the 
        capabilities of State and local emergency response 
        agencies to prevent and respond to such incidents at 
        both the national and the local level.
    (b) Report Required.--Not later than January 31, 1997, the 
President shall transmit to Congress a report containing--
            (1) an assessment of the capabilities of the 
        Federal Government to prevent and respond to terrorist 
        incidents involving weapons of mass destruction and to 
        support State and local prevention and response 
        efforts;
            (2) requirements for improvements in those 
        capabilities; and
            (3) the measures that should be taken to achieve 
        such improvements, including additional resources and 
        legislative authorities that would be required.
SEC. 1412. EMERGENCY RESPONSE ASSISTANCE PROGRAM.
    (a) Program Required.--(1) The Secretary of Defense shall 
carry out a program to provide civilian personnel of Federal, 
State, and local agencies with training and expert advice 
regarding emergency responses to a use or threatened use of a 
weapon of mass destruction or related materials.
    (2) The President may designate the head of an agency other 
than the Department of Defense to assume the responsibility for 
carrying out the program on or after October 1, 1999, and 
relieve the Secretary of Defense of that responsibility upon 
the assumption of the responsibility by the designated 
official.
    (3) In this section, the official responsible for carrying 
out the program is referred to as the ``lead official''.
    (b) Coordination.--In carrying out the program, the lead 
official shall coordinate with each of the following officials 
who is not serving as the lead official:
            (1) The Director of the Federal Emergency 
        Management Agency.
            (2) The Secretary of Energy.
            (3) The Secretary of Defense.
            (4) The heads of any other Federal, State, and 
        local government agencies that have an expertise or 
        responsibilities relevant to emergency responses 
        described in subsection (a)(1).
    (c) Eligible Participants.--The civilian personnel eligible 
to receive assistance under the program are civilian personnel 
of Federal, State, and local agencies who have emergency 
preparedness responsibilities.
    (d) Involvement of Other Federal Agencies.--(1) The lead 
official may use personnel and capabilities of Federal agencies 
outside the agency of the lead official to provide training and 
expert advice under the program.
    (2)(A) Personnel used under paragraph (1) shall be 
personnel who have special skills relevant to the particular 
assistance that the personnel are to provide.
    (B) Capabilities used under paragraph (1) shall be 
capabilities that are especially relevant to the particular 
assistance for which the capabilities are used.
    (3) If the lead official is not the Secretary of Defense, 
and requests assistance from the Department of Defense that, in 
the judgment of the Secretary of Defense would affect military 
readiness or adversely affect national security, the Secretary 
of Defense may appeal the request for Department of Defense 
assistance by the lead official to the President.
    (e) Available Assistance.--Assistance available under this 
program shall include the following:
            (1) Training in the use, operation, and maintenance 
        of equipment for--
                    (A) detecting a chemical or biological 
                agent or nuclear radiation;
                    (B) monitoring the presence of such an 
                agent or radiation;
                    (C) protecting emergency personnel and the 
                public; and
                    (D) decontamination.
            (2) Establishment of a designated telephonic link 
        (commonly referred to as a ``hot line'') to a 
        designated source of relevant data and expert advice 
        for the use of State or local officials responding to 
        emergencies involving a weapon of mass destruction or 
        related materials.
            (3) Use of the National Guard and other reserve 
        components for purposes authorized under this section 
        that are specified by the lead official (with the 
        concurrence of the Secretary of Defense if the 
        Secretary is not the lead official).
            (4) Loan of appropriate equipment.
    (f) Limitations on Department of Defense Assistance to Law 
Enforcement Agencies.--Assistance provided by the Department of 
Defense to law enforcement agencies under this section shall be 
provided under the authority of, and subject to the 
restrictions provided in, chapter 18 of title 10, United States 
Code.
    (g) Administration of Department of Defense Assistance.--
The Secretary of Defense shall designate an official within the 
Department of Defense to serve as the executive agent of the 
Secretary for the coordination of the provision of Department 
of Defense assistance under this section.
    (h) Funding.--(1) Of the total amount authorized to be 
appropriated under section 301, $35,000,000 is available for 
the program required under this section.
    (2) Of the amount available for the program pursuant to 
paragraph (1), $10,500,000 is available for use by the 
Secretary of Defense to assist the Secretary of Health and 
Human Services in the establishment of metropolitan emergency 
medical response teams (commonly referred to as ``Metropolitan 
Medical Strike Force Teams'') to provide medical services that 
are necessary or potentially necessary by reason of a use or 
threatened use of a weapon of mass destruction.
    (3) The amount available for the program under paragraph 
(1) is in addition to any other amounts authorized to be 
appropriated for the program under section 301.
SEC. 1413. NUCLEAR, CHEMICAL, AND BIOLOGICAL EMERGENCY RESPONSE.
    (a) Department of Defense.--The Secretary of Defense shall 
designate an official within the Department of Defense as the 
executive agent for--
            (1) the coordination of Department of Defense 
        assistance to Federal, State, and local officials in 
        responding to threats involving biological or chemical 
        weapons or related materials or technologies, including 
        assistance in identifying, neutralizing, dismantling, 
        and disposing of biological and chemical weapons and 
        related materials and technologies; and
            (2) the coordination of Department of Defense 
        assistance to the Department of Energy in carrying out 
        that department's responsibilities under subsection 
        (b).
    (b) Department of Energy.--The Secretary of Energy shall 
designate an official within the Department of Energy as the 
executive agent for--
            (1) the coordination of Department of Energy 
        assistance to Federal, State, and local officials in 
        responding to threats involving nuclear, chemical, and 
        biological weapons or related materials or 
        technologies, including assistance in identifying, 
        neutralizing, dismantling, and disposing of nuclear 
        weapons and related materials and technologies; and
            (2) the coordination of Department of Energy 
        assistance to the Department of Defense in carrying out 
        that department's responsibilities under subsection 
        (a).
    (c) Funding.--Of the total amount authorized to be 
appropriated under section 301, $15,000,000 is available for 
providing assistance described in subsection (a).
SEC. 1414. CHEMICAL-BIOLOGICAL EMERGENCY RESPONSE TEAM.
    (a) Department of Defense Rapid Response Team.--The 
Secretary of Defense shall develop and maintain at least one 
domestic terrorism rapid response team composed of members of 
the Armed Forces and employees of the Department of Defense who 
are capable of aiding Federal, State, and local officials in 
the detection, neutralization, containment, dismantlement, and 
disposal of weapons of mass destruction containing chemical, 
biological, or related materials.
    (b) Addition to Federal Response Plan.--Not later than 
December 31, 1997, the Director of the Federal Emergency 
Management Agency shall develop and incorporate into existing 
Federal emergency response plans and programs prepared under 
section 611(b) of the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5196(b)) guidance on the 
use and deployment of the rapid response teams established 
under this section to respond to emergency involving weapons of 
mass destruction. The Director shall carry out this subsection 
in consultation with the Secretary of Defense and the heads of 
other Federal agencies involved with the emergency response 
plans.
SEC. 1415. TESTING OF PREPAREDNESS FOR EMERGENCIES INVOLVING NUCLEAR, 
                    RADIOLOGICAL, CHEMICAL, AND BIOLOGICAL WEAPONS.
    (a) Emergencies Involving Chemical or Biological Weapons.--
(1) The Secretary of Defense shall develop and carry out a 
program for testing and improving the responses of Federal, 
State, and local agencies to emergencies involving biological 
weapons and related materials and emergencies involving 
chemical weapons and related materials.
    (2) The program shall include exercises to be carried out 
during each of five successive fiscal years beginning with 
fiscal year 1997.
    (3) In developing and carrying out the program, the 
Secretary shall coordinate with the Director of the Federal 
Bureau of Investigation, the Director of the Federal Emergency 
Management Agency, the Secretary of Energy, and the heads of 
any other Federal, State, and local government agencies that 
have an expertise or responsibilities relevant to emergencies 
described in paragraph (1).
    (b) Emergencies Involving Nuclear and Radiological 
Weapons.--(1) The Secretary of Energy shall develop and carry 
out a program for testing and improving the responses of 
Federal, State, and local agencies to emergencies involving 
nuclear and radiological weapons and related materials.
    (2) The program shall include exercises to be carried out 
during each of five successive fiscal years beginning with 
fiscal year 1997.
    (3) In developing and carrying out the program, the 
Secretary shall coordinate with the Director of the Federal 
Bureau of Investigation, the Director of the Federal Emergency 
Management Agency, the Secretary of Defense, and the heads of 
any other Federal, State, and local government agencies that 
have an expertise or responsibilities relevant to emergencies 
described in paragraph (1).
    (c) Annual Revisions of Programs.--The official responsible 
for carrying out a program developed under subsection (a) or 
(b) shall revise the program not later than June 1 in each 
fiscal year covered by the program. The revisions shall include 
adjustments that the official determines necessary or 
appropriate on the basis of the lessons learned from the 
exercise or exercises carried out under the program in the 
fiscal year, including lessons learned regarding coordination 
problems and equipment deficiencies.
    (d) Option To Transfer Responsibility.--(1) The President 
may designate the head of an agency outside the Department of 
Defense to assume the responsibility for carrying out the 
program developed under subsection (a) beginning on or after 
October 1, 1999, and relieve the Secretary of Defense of that 
responsibility upon the assumption of the responsibility by the 
designated official.
    (2) The President may designate the head of an agency 
outside the Department of Energy to assume the responsibility 
for carrying out the program developed under subsection (b) 
beginning on or after October 1, 1999, and relieve the 
Secretary of Energy of that responsibility upon the assumption 
of the responsibility by the designated official.
    (e) Funding.--Of the total amount authorized to be 
appropriated under section 301, $15,000,000 is available for 
the development and execution of the programs required by this 
section, including the participation of State and local 
agencies in exercises carried out under the programs.
SEC. 1416. MILITARY ASSISTANCE TO CIVILIAN LAW ENFORCEMENT OFFICIALS IN 
                    EMERGENCY SITUATIONS INVOLVING BIOLOGICAL OR 
                    CHEMICAL WEAPONS.
    (a) Assistance Authorized.--(1) Chapter 18 of title 10, 
United States Code, is amended by adding at the end the 
following new section:
``Sec. 382. Emergency situations involving chemical or biological 
                    weapons of mass destruction
    ``(a) In General.--The Secretary of Defense, upon the 
request of the Attorney General, may provide assistance in 
support of Department of Justice activities relating to the 
enforcement of section 175 or 2332c of title 18 during an 
emergency situation involving a biological or chemical weapon 
of mass destruction. Department of Defense resources, including 
personnel of the Department of Defense, may be used to provide 
such assistance if--
            ``(1) the Secretary of Defense and the Attorney 
        General jointly determine that an emergency situation 
        exists; and
            ``(2) the Secretary of Defense determines that the 
        provision of such assistance will not adversely affect 
        the military preparedness of the United States.
    ``(b) Emergency Situations Covered.--In this section, the 
term `emergency situation involving a biological or chemical 
weapon of mass destruction' means a circumstance involving a 
biological or chemical weapon of mass destruction--
            ``(1) that poses a serious threat to the interests 
        of the United States; and
            ``(2) in which--
                    ``(A) civilian expertise and capabilities 
                are not readily available to provide the 
                required assistance to counter the threat 
                immediately posed by the weapon involved;
                    ``(B) special capabilities and expertise of 
                the Department of Defense are necessary and 
                critical to counter the threat posed by the 
                weapon involved; and
                    ``(C) enforcement of section 175 or 2332c 
                of title 18 would be seriously impaired if the 
                Department of Defense assistance were not 
                provided.
    ``(c) Forms of Assistance.--The assistance referred to in 
subsection (a) includes the operation of equipment (including 
equipment made available under section 372 of this title) to 
monitor, contain, disable, or dispose of the weapon involved or 
elements of the weapon.
    ``(d) Regulations.--(1) The Secretary of Defense and the 
Attorney General shall jointly prescribe regulations concerning 
the types of assistance that may be provided under this 
section. Such regulations shall also describe the actions that 
Department of Defense personnel may take in circumstances 
incident to the provision of assistance under this section.
    ``(2)(A) Except as provided in subparagraph (B), the 
regulations may not authorize the following actions:
            ``(i) Arrest.
            ``(ii) Any direct participation in conducting a 
        search for or seizure of evidence related to a 
        violation of section 175 or 2332c of title 18.
            ``(iii) Any direct participation in the collection 
        of intelligence for law enforcement purposes.
    ``(B) The regulations may authorize an action described in 
subparagraph (A) to be taken under the following conditions:
            ``(i) The action is considered necessary for the 
        immediate protection of human life, and civilian law 
        enforcement officials are not capable of taking the 
        action.
            ``(ii) The action is otherwise authorized under 
        subsection (c) or under otherwise applicable law.
    ``(e) Reimbursements.--The Secretary of Defense shall 
require reimbursement as a condition for providing assistance 
under this section to the extent required under section 377 of 
this title.
    ``(f) Delegations of Authority.--(1) Except to the extent 
otherwise provided by the Secretary of Defense, the Deputy 
Secretary of Defense may exercise the authority of the 
Secretary of Defense under this section. The Secretary of 
Defense may delegate the Secretary's authority under this 
section only to an Under Secretary of Defense or an Assistant 
Secretary of Defense and only if the Under Secretary or 
Assistant Secretary to whom delegated has been designated by 
the Secretary to act for, and to exercise the general powers 
of, the Secretary.
    ``(2) Except to the extent otherwise provided by the 
Attorney General, the Deputy Attorney General may exercise the 
authority of the Attorney General under this section. The 
Attorney General may delegate that authority only to the 
Associate Attorney General or an Assistant Attorney General and 
only if the Associate Attorney General or Assistant Attorney 
General to whom delegated has been designated by the Attorney 
General to act for, and to exercise the general powers of, the 
Attorney General.
    ``(g) Relationship to Other Authority.--Nothing in this 
section shall be construed to restrict any executive branch 
authority regarding use of members of the armed forces or 
equipment of the Department of Defense that was in effect 
before the date of the enactment of the National Defense 
Authorization Act for Fiscal Year 1997.''.
    (2) The table of sections at the beginning of such chapter 
is amended by adding at the end the following new item:
``382. Emergency situations involving chemical or biological weapons of 
          mass destruction.''.
    (b) Conforming Amendment to Condition for Providing 
Equipment and Facilities.--Section 372(b)(1) of title 10, 
United States Code, is amended by adding at the end the 
following new sentence: ``The requirement for a determination 
that an item is not reasonably available from another source 
does not apply to assistance provided under section 382 of this 
title pursuant to a request of the Attorney General for the 
assistance.''.
    (c) Conforming Amendments Relating to Authority To Request 
Assistance.--(1)(A) Chapter 10 of title 18, United States Code, 
is amended by inserting after section 175 the following new 
section:
``Sec. 175a. Requests for military assistance to enforce prohibition in 
                    certain emergencies
    ``The Attorney General may request the Secretary of Defense 
to provide assistance under section 382 of title 10 in support 
of Department of Justice activities relating to the enforcement 
of section 175 of this title in an emergency situation 
involving a biological weapon of mass destruction. The 
authority to make such a request may be exercised by another 
official of the Department of Justice in accordance with 
section 382(f)(2) of title 10.''.
    (B) The table of sections at the beginning of such chapter 
is amended by inserting after the item relating to section 175 
the following new item:
``175a. Requests for military assistance to enforce prohibition in 
          certain emergencies.''.
    (2)(A) The chapter 133B of title 18, United States Code, 
that relates to terrorism is amended by inserting after section 
2332c the following new section:
``Sec. 2332d. Requests for military assistance to enforce prohibition 
                    in certain emergencies
    ``The Attorney General may request the Secretary of Defense 
to provide assistance under section 382 of title 10 in support 
of Department of Justice activities relating to the enforcement 
of section 2332c of this title during an emergency situation 
involving a chemical weapon of mass destruction. The authority 
to make such a request may be exercised by another official of 
the Department of Justice in accordance with section 382(f)(2) 
of title 10.''.
    (B) The table of sections at the beginning of such chapter 
is amended by inserting after the item relating to section 
2332c the following new item:
``2332d. Requests for military assistance to enforce prohibition in 
          certain emergencies.''.
    (d) Civilian Expertise.--The President shall take 
reasonable measures to reduce the reliance of civilian law 
enforcement officials on Department of Defense resources to 
counter the threat posed by the use or potential use of 
biological and chemical weapons of mass destruction within the 
United States. The measures shall include--
            (1) actions to increase civilian law enforcement 
        expertise to counter such a threat; and
            (2) actions to improve coordination between 
        civilian law enforcement officials and other civilian 
        sources of expertise, within and outside the Federal 
        Government, to counter such a threat.
    (e) Reports.--The President shall submit to Congress the 
following reports:
            (1) Not later than 90 days after the date of the 
        enactment of this Act, a report describing the 
        respective policy functions and operational roles of 
        Federal agencies in countering the threat posed by the 
        use or potential use of biological and chemical weapons 
        of mass destruction within the United States.
            (2) Not later than one year after such date, a 
        report describing--
                    (A) the actions planned to be taken to 
                carry out subsection (d); and
                    (B) the costs of such actions.
            (3) Not later than three years after such date, a 
        report updating the information provided in the reports 
        submitted pursuant to paragraphs (1) and (2), including 
        the measures taken pursuant to subsection (d).
SEC. 1417. RAPID RESPONSE INFORMATION SYSTEM.
    (a) Inventory of Rapid Response Assets.--(1) The head of 
each Federal Response Plan agency shall develop and maintain an 
inventory of physical equipment and assets under the 
jurisdiction of that agency that could be made available to aid 
State and local officials in search and rescue and other 
disaster management and mitigation efforts associated with an 
emergency involving weapons of mass destruction. The agency 
head shall submit a copy of the inventory, and any updates of 
the inventory, to the Director of the Federal Emergency 
Management Agency for inclusion in the master inventory 
required under subsection (b).
    (2) Each inventory shall include a separate listing of any 
equipment that is excess to the needs of that agency and could 
be considered for disposal as excess or surplus property for 
use for response and training with regard to emergencies 
involving weapons of mass destruction.
    (b) Master Inventory.--The Director of the Federal 
Emergency Management Agency shall compile and maintain a 
comprehensive listing of all inventories prepared under 
subsection (a). The first such master list shall be completed 
not later than December 31, 1997, and shall be updated annually 
thereafter.
    (c) Addition to Federal Response Plan.--Not later than 
December 31, 1997, the Director of the Federal Emergency 
Management Agency shall develop and incorporate into existing 
Federal emergency response plans and programs prepared under 
section 611(b) of the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5196(b)) guidance on 
accessing and using the physical equipment and assets included 
in the master list developed under subsection to respond to 
emergencies involving weapons of mass destruction.
    (d) Database on Chemical and Biological Materials.--The 
Director of the Federal Emergency Management Agency, in 
consultation with the Secretary of Defense, shall prepare a 
database on chemical and biological agents and munitions 
characteristics and safety precautions for civilian use. The 
initial design and compilation of the database shall be 
completed not later than December 31, 1997.
    (e) Access to Inventory and Database.--The Director of the 
Federal Emergency Management Agency shall design and maintain a 
system to give Federal, State, and local officials access to 
the inventory listing and database maintained under this 
section in the event of an emergency involving weapons of mass 
destruction or to prepare and train to respond to such an 
emergency. The system shall include a secure but accessible 
emergency response hotline to access information and request 
assistance.
  Subtitle B--Interdiction of Weapons of Mass Destruction and Related 
                               Materials
SEC. 1421. PROCUREMENT OF DETECTION EQUIPMENT--UNITED STATES BORDER 
                    SECURITY.
    Of the amount authorized to be appropriated by section 301, 
$15,000,000 is available for the procurement of--
            (1) equipment capable of detecting the movement of 
        weapons of mass destruction and related materials into 
        the United States;
            (2) equipment capable of interdicting the movement 
        of weapons of mass destruction and related materials 
        into the United States; and
            (3) materials and technologies related to use of 
        equipment described in paragraph (1) or (2).
SEC. 1422. EXTENSION OF COVERAGE OF INTERNATIONAL EMERGENCY ECONOMIC 
                    POWERS ACT.
    Section 206 of the International Emergency Economic Powers 
Act (50 U.S.C. 1705) is amended--
            (1) in subsection (a), by inserting ``, or attempts 
        to violate,'' after ``violates''; and
            (2) in subsection (b), by inserting ``, or 
        willfully attempts to violate,'' after ``violates''.
SEC. 1423. SENSE OF CONGRESS CONCERNING CRIMINAL PENALTIES.
    (a) Sense of Congress Concerning Inadequacy of Sentencing 
Guidelines.--It is the sense of Congress that the sentencing 
guidelines prescribed by the United States Sentencing 
Commission for the offenses of importation, attempted 
importation, exportation, and attempted exportation of nuclear, 
biological, and chemical weapons materials constitute 
inadequate punishment for such offenses.
    (b) Urging of Revision to Guidelines.--Congress urges the 
United States Sentencing Commission to revise the relevant 
sentencing guidelines to provide for increased penalties for 
offenses relating to importation, attempted importation, 
exportation, and attempted exportation of nuclear, biological, 
or chemical weapons or related materials or technologies under 
the following provisions of law:
            (1) Section 11 of the Export Administration Act of 
        1979 (50 U.S.C. App. 2410).
            (2) Sections 38 and 40 the Arms Export Control Act 
        (22 U.S.C. 2778 and 2780).
            (3) The International Emergency Economic Powers Act 
        (50 U.S.C. 1701 et seq.).
            (4) Section 309(c) of the Nuclear Non-Proliferation 
        Act of 1978 (22 U.S.C. 2156a(c).
SEC. 1424. INTERNATIONAL BORDER SECURITY.
    (a) Secretary of Defense Responsibility.--The Secretary of 
Defense, in consultation and cooperation with the Commissioner 
of Customs, shall carry out programs for assisting customs 
officials and border guard officials in the independent states 
of the former Soviet Union, the Baltic states, and other 
countries of Eastern Europe in preventing unauthorized transfer 
and transportation of nuclear, biological, and chemical weapons 
and related materials. Training, expert advice, maintenance of 
equipment, loan of equipment, and audits may be provided under 
or in connection with the programs.
    (b) Funding.--Of the total amount authorized to be 
appropriated by section 301, $15,000,000 is available for 
carrying out the programs referred to in subsection (a).
    (c) Assistance to States of the Former Soviet Union.--
Assistance under programs referred to in subsection (a) may 
(notwithstanding any provision of law prohibiting the extension 
of foreign assistance to any of the newly independents state of 
the former Soviet Union) be extended to include an independent 
state of the former Soviet Union if the President certifies to 
Congress that it is in the national interest of the United 
States to extend assistance under this section to that state.
Subtitle C--Control and Disposition of Weapons of Mass Destruction and 
            Related Materials Threatening the United States
SEC. 1431. COVERAGE OF WEAPONS-USABLE FISSILE MATERIALS IN COOPERATIVE 
                    THREAT REDUCTION PROGRAMS ON ELIMINATION OR 
                    TRANSPORTATION OF NUCLEAR WEAPONS.
    Section 1201(b)(1) of the National Defense Authorization 
Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 469; 22 
U.S.C. 5955 note) is amended by inserting ``, fissile material 
suitable for use in nuclear weapons,'' after ``other weapons''.
SEC. 1432. ELIMINATION OF PLUTONIUM PRODUCTION.
    (a) Replacement Program.--The Secretary of Energy, in 
consultation with the Secretary of Defense, shall develop a 
cooperative program with the Government of Russia to eliminate 
the production of weapons grade plutonium by modifying or 
replacing the reactor cores at Tomsk-7 and Krasnoyarsk-26 with 
reactor cores that are less suitable for the production of 
weapons-grade plutonium.
    (b) Program Requirements.--(1) The program shall be 
designed to achieve completion of the modifications or 
replacements of the reactor cores within three years after the 
modification or replacement activities under the program are 
begun.
    (2) The plan for the program shall--
            (A) specify--
                    (i) successive steps for the modification 
                or replacement of the reactor cores; and
                    (ii) clearly defined milestones to be 
                achieved; and
            (B) include estimates of the costs of the program.
    (c) Submission of Program Plan to Congress.--Not later than 
180 days after the date of the enactment of this Act, the 
Secretary of Defense shall submit to Congress--
            (1) a plan for the program under subsection (a);
            (2) an estimate of the United States funding that 
        is necessary for carrying out the activities under the 
        program for each fiscal year covered by the program; 
        and
            (3) a comparison of the benefits of the program 
        with the benefits of other nonproliferation programs.
    Subtitle D--Coordination of Policy and Countermeasures Against 
              Proliferation of Weapons of Mass Destruction
SEC. 1441. NATIONAL COORDINATOR ON NONPROLIFERATION.
    (a) Designation of Position.--The President shall designate 
an individual to serve in the Executive Office of the President 
as the National Coordinator for Nonproliferation Matters.
    (b) Duties.--The Coordinator, under the direction of the 
National Security Council, shall advise and assist the 
President by--
            (1) advising the President on nonproliferation of 
        weapons of mass destruction, including issues related 
        to terrorism, arms control, and international organized 
        crime.
            (2) chairing the Committee on Nonproliferation 
        established under section 1342; and
            (3) taking such actions as are necessary to ensure 
        that there is appropriate emphasis in, cooperation on, 
        and coordination of, nonproliferation research efforts 
        of the United States, including activities of Federal 
        agencies as well as activities of contractors funded by 
        the Federal Government.
    (c) Allocation of Funds.--Of the total amount authorized to 
be appropriated under section 301, $2,000,000 is available to 
the Department of Defense for carrying out research referred to 
in subsection (b)(3).
SEC. 1442. NATIONAL SECURITY COUNCIL COMMITTEE ON NONPROLIFERATION.
    (a) Establishment.--The Committee on Nonproliferation (in 
this section referred to as the ``Committee'') is established 
as a committee of the National Security Council.
    (b) Membership.--(1) The Committee shall be composed of 
representatives of the following:
            (A) The Secretary of State.
            (B) The Secretary of Defense.
            (C) The Director of Central Intelligence.
            (D) The Attorney General.
            (E) The Secretary of Energy.
            (F) The Administrator of the Federal Emergency 
        Management Agency.
            (G) The Secretary of the Treasury.
            (H) The Secretary of Commerce.
            (I) Such other members as the President may 
        designate.
    (2) The National Coordinator for Nonproliferation Matters 
shall chair the Committee on Nonproliferation.
    (c) Responsibilities.--The Committee has the following 
responsibilities:
            (1) To review and coordinate Federal programs, 
        policies, and directives relating to the proliferation 
        of weapons of mass destruction and related materials 
        and technologies, including matters relating to 
        terrorism and international organized crime.
            (2) To make recommendations through the National 
        Security Council to the President regarding the 
        following:
                    (A) Integrated national policies for 
                countering the threats posed by weapons of mass 
                destruction.
                    (B) Options for integrating Federal agency 
                budgets for countering such threats.
                    (C) Means to ensure that the Federal, 
                State, and local governments have adequate 
                capabilities to manage crises involving 
                nuclear, radiological, biological, or chemical 
                weapons or related materials or technologies, 
                and to manage the consequences of a use of such 
                a weapon or related materials or technologies, 
                and that use of those capabilities is 
                coordinated.
                    (D) Means to ensure appropriate cooperation 
                on, and coordination of, the following:
                            (i) Preventing the smuggling of 
                        weapons of mass destruction and related 
                        materials and technologies.
                            (ii) Promoting domestic and 
                        international law enforcement efforts 
                        against proliferation-related efforts.
                            (iii) Countering the involvement of 
                        organized crime groups in 
                        proliferation-related activities.
                            (iv) Safeguarding weapons of mass 
                        destruction materials and related 
                        technologies.
                            (v) Improving coordination and 
                        cooperation among intelligence 
                        activities, law enforcement, and the 
                        Departments of Defense, State, 
                        Commerce, and Energy in support of 
                        nonproliferation and 
                        counterproliferation efforts.
                            (vi) Improving export controls over 
                        materials and technologies that can 
                        contribute to the acquisition of 
                        weapons of mass destruction.
                            (vii) Reducing proliferation of 
                        weapons of mass destruction and related 
                        materials and technologies.
SEC. 1443. COMPREHENSIVE PREPAREDNESS PROGRAM.
    (a) Program Required.--The President, acting through the 
Committee on Nonproliferation established under section 1442, 
shall develop a comprehensive program for carrying out this 
title.
    (b) Content of Program.--The program set forth in the 
report shall include specific plans as follows:
            (1) Plans for countering proliferation of weapons 
        of mass destruction and related materials and 
        technologies.
            (2) Plans for training and equipping Federal, 
        State, and local officials for managing a crisis 
        involving a use or threatened use of a weapon of mass 
        destruction, including the consequences of the use of 
        such a weapon.
            (3) Plans for providing for regular sharing of 
        information among intelligence, law enforcement, and 
        customs agencies.
            (4) Plans for training and equipping law 
        enforcement units, customs services, and border 
        security personnel to counter the smuggling of weapons 
        of mass destruction and related materials and 
        technologies.
            (5) Plans for establishing appropriate centers for 
        analyzing seized nuclear, radiological, biological, and 
        chemical weapons, and related materials and 
        technologies.
            (6) Plans for establishing in the United States 
        appropriate legal controls and authorities relating to 
        the exporting of nuclear, radiological, biological, and 
        chemical weapons, and related materials and 
        technologies.
            (7) Plans for encouraging and assisting governments 
        of foreign countries to implement and enforce laws that 
        set forth appropriate penalties for offenses regarding 
        the smuggling of weapons of mass destruction and 
        related materials and technologies.
            (8) Plans for building the confidence of the United 
        States and Russia in each other's controls over United 
        States and Russian nuclear weapons and fissile 
        materials, including plans for verifying the 
        dismantlement of nuclear weapons.
            (9) Plans for reducing United States and Russian 
        stockpiles of excess plutonium, reflecting--
                    (A) consideration of the desirability and 
                feasibility of a United States-Russian 
                agreement governing fissile material 
                disposition and the specific technologies and 
                approaches to be used for disposition of excess 
                plutonium; and
                    (B) an assessment of the options for United 
                States cooperation with Russia in the 
                disposition of Russian plutonium.
            (10) Plans for studying the merits and costs of 
        establishing a global network of means for detecting 
        and responding to terroristic or other criminal use of 
        biological agents against people or other forms of life 
        in the United States or any foreign country.
    (c) Report.--(1) At the same time that the President 
submits the budget for fiscal year 1998 to Congress pursuant to 
section 1105(a) of title 31, United States Code, the President 
shall submit to Congress a report that sets forth the 
comprehensive program developed under subsection (a).
    (2) The report shall include the following:
            (A) The specific plans for the program that are 
        required under subsection (b).
            (B) Estimates of the funds necessary, by agency or 
        department, for carrying out such plans in fiscal year 
        1998 and the following five fiscal years.
    (3) The report shall be in an unclassified form. If there 
is a classified version of the report, the President shall 
submit the classified version at the same time.
SEC. 1444. TERMINATION.
    After September 30, 1999, the President--
            (1) is not required to maintain a National 
        Coordinator for Nonproliferation Matters under section 
        1341; and
            (2) may terminate the Committee on Nonproliferation 
        established under section 1342.
                       Subtitle E--Miscellaneous
SEC. 1451. SENSE OF CONGRESS CONCERNING CONTRACTING POLICY.
    It is the sense of Congress that the Secretary of Defense, 
the Secretary of Energy, the Secretary of the Treasury, and the 
Secretary of State, to the extent authorized by law, should--
            (1) contract directly with suppliers in independent 
        states of the former Soviet Union when such action 
        would--
                    (A) result in significant savings of the 
                programs referred to in subtitle C; and
                    (B) substantially expedite completion of 
                the programs referred to in subtitle C; and
            (2) seek means to use innovative contracting 
        approaches to avoid delay and increase the 
        effectiveness of such programs and of the exercise of 
        such authorities.
SEC. 1452. TRANSFERS OF ALLOCATIONS AMONG COOPERATIVE THREAT REDUCTION 
                    PROGRAMS.
    Congress finds that--
            (1) the various Cooperative Threat Reduction 
        programs are being carried out at different rates in 
        the various countries covered by such programs; and
            (2) it is necessary to authorize transfers of 
        funding allocations among the various programs in order 
        to maximize the effectiveness of United States efforts 
        under such programs.
SEC. 1453. SENSE OF CONGRESS CONCERNING ASSISTANCE TO STATES OF FORMER 
                    SOVIET UNION.
    It is the sense of Congress that--
            (1) the Cooperative Threat Reduction programs and 
        other United States programs authorized in the National 
        Defense Authorization Act for Fiscal Years 1993 and 
        1994 should be expanded by offering assistance under 
        those programs to other independent states of the 
        former Soviet Union in addition to Russia, Ukraine, 
        Kazakstan, and Belarus; and
            (2) the President should offer assistance to 
        additional independent states of the former Soviet 
        Union in each case in which the participation of such 
        states would benefit national security interests of the 
        United States by improving border controls and 
        safeguards over materials and technology associated 
        with weapons of mass destruction.
SEC. 1454. PURCHASE OF LOW-ENRICHED URANIUM DERIVED FROM RUSSIAN HIGHLY 
                    ENRICHED URANIUM.
    (a) Sense of Congress.--It is the sense of Congress that 
the allies of the United States and other nations should 
participate in efforts to ensure that stockpiles of weapons-
grade nuclear material are reduced.
    (b) Actions by the Secretary of State.--Congress urges the 
Secretary of State to encourage, in consultation with the 
Secretary of Energy, other countries to purchase low-enriched 
uranium that is derived from highly enriched uranium extracted 
from Russian nuclear weapons.
SEC. 1455. SENSE OF CONGRESS CONCERNING PURCHASE, PACKAGING, AND 
                    TRANSPORTATION OF FISSILE MATERIALS AT RISK OF 
                    THEFT.
    It is the sense of Congress that--
            (1) the Secretary of Defense, the Secretary of 
        Energy, the Secretary of the Treasury, and the 
        Secretary of State should purchase, package, and 
        transport to secure locations weapons-grade nuclear 
        materials from a stockpile of such materials if such 
        officials determine that--
                    (A) there is a significant risk of theft of 
                such materials; and
                    (B) there is no reasonable and economically 
                feasible alternative for securing such 
                materials; and
            (2) if it is necessary to do so in order to secure 
        the materials, the materials should be imported into 
        the United States, subject to the laws and regulations 
        that are applicable to the importation of such 
        materials into the United States.
  TITLE XV--COOPERATIVE THREAT REDUCTION WITH STATES OF FORMER SOVIET 
                                 UNION
Sec. 1501. Specification of Cooperative Threat Reduction programs.
Sec. 1502. Fiscal year 1997 funding allocations.
Sec. 1503. Prohibition on use of funds for specified purposes.
Sec. 1504. Limitation on use of funds until specified reports are 
          submitted.
Sec. 1505. Availability of funds.
SEC. 1501. SPECIFICATION OF COOPERATIVE THREAT REDUCTION PROGRAMS.
    (a) In General.--For purposes of section 301 and other 
provisions of this Act, Cooperative Threat Reduction programs 
are the programs specified in subsection (b).
    (b) Specified Programs.--The programs referred to in 
subsection (a) are the following programs with respect to 
states of the former Soviet Union:
            (1) Programs to facilitate the elimination, and the 
        safe and secure transportation and storage, of nuclear, 
        chemical, and other weapons and their delivery 
        vehicles.
            (2) Programs to facilitate the safe and secure 
        storage of fissile materials derived from the 
        elimination of nuclear weapons.
            (3) Programs to prevent the proliferation of 
        weapons, weapons components, and weapons-related 
        technology and expertise.
            (4) Programs to expand military-to-military and 
        defense contacts.
SEC. 1502. FISCAL YEAR 1997 FUNDING ALLOCATIONS.
    (a) In General.--Of the amount appropriated pursuant to the 
authorization of appropriations in section 301 for Cooperative 
Threat Reduction programs, not more than the following amounts 
may be obligated for the purposes specified:
            (1) For planning and design of a chemical weapons 
        destruction facility in Russia, $78,500,000.
            (2) For elimination of strategic offensive arms in 
        Russia, $52,000,000.
            (3) For strategic nuclear arms elimination in 
        Ukraine, $47,000,000.
            (4) For planning and design of a storage facility 
        for Russian fissile material, $66,000,000.
            (5) For fissile material containers in Russia, 
        $38,500,000.
            (6) For weapons storage security in Russia, 
        $15,000,000.
            (7) For activities designated as Defense and 
        Military-to-Military Contacts in Russia, Ukraine, 
        Belarus, and Kazakhstan, $10,000,000.
            (8) For activities designated as Other Assessments/
        Administrative Support $20,900,000.
            (9) For materials protection, control, and 
        accounting assistance or for destruction of nuclear, 
        radiological, biological, or chemical weapons or 
        related materials at any site within the former Soviet 
        Union, $10,000,000.
            (10) For transfer to the Secretary of Energy to 
        develop a cooperative program with the Government of 
        Russia to eliminate the production of weapons grade 
        plutonium at Russian reactors, $10,000,000.
            (11) For dismantlement of biological and chemical 
        weapons facilities in the former Soviet Union, 
        $15,000,000.
            (12) For expanding military-to-military programs of 
        the United States that focus on countering the threat 
        of proliferation of weapons of mass destruction to 
        include the security forces of the independent states 
        of the former Soviet Union, particularly states in the 
        Caucasus region and Central Asia, $2,000,000.
    (b) Limited Authority To Vary Individual Amounts.--(1) If 
the Secretary of Defense determines that it is necessary to do 
so in the national interest, the Secretary may, subject to 
paragraph (2), obligate amounts for the purposes stated in any 
of the paragraphs of subsection (a) in excess of the amount 
specified for those purposes in that paragraph, but not in 
excess of 115 percent of that amount. However, the total amount 
obligated for the purposes stated in the paragraphs in 
subsection (a) may not by reason of the use of the authority 
provided in the preceding sentence exceed the sum of the 
amounts specified in those paragraphs.
    (2) An obligation for the purposes stated in any of the 
paragraphs in subsection (a) in excess of the amount specified 
in that paragraph may be made using the authority provided in 
paragraph (1) only after--
            (A) the Secretary submits to Congress a 
        notification of the intent to do so together with a 
        complete discussion of the justification for doing so; 
        and
            (B) 15 days have elapsed following the date of the 
        notification.
SEC. 1503. PROHIBITION ON USE OF FUNDS FOR SPECIFIED PURPOSES.
    (a) In General.--None of the funds appropriated pursuant to 
the authorization in section 301 for Cooperative Threat 
Reduction programs, or appropriated for such programs for any 
prior fiscal year and remaining available for obligation, may 
be obligated or expended for any of the following purposes:
            (1) Conducting with Russia any peacekeeping 
        exercise or other peacekeeping-related activity.
            (2) Provision of housing.
            (3) Provision of assistance to promote 
        environmental restoration.
            (4) Provision of assistance to promote job 
        retraining.
    (b) Limitation With Respect to Defense Conversion 
Assistance.--None of the funds appropriated to the Department 
of Defense for fiscal year 1997 may be obligated or expended 
for defense conversion.
SEC. 1504. LIMITATION ON USE OF FUNDS UNTIL SPECIFIED REPORTS ARE 
                    SUBMITTED.
    None of the funds appropriated pursuant to the 
authorization in section 301 for Cooperative Threat Reduction 
programs may be obligated or expended until 15 days after the 
date which is the latest of the following:
            (1) The date on which the President submits to 
        Congress the determinations required under subsection 
        (c) of section 211 of Public Law 102-228 (22 U.S.C. 
        2551 note) with respect to any certification 
        transmitted to Congress under subsection (b) of that 
        section before the date of the enactment of this Act.
            (2) The date on which the Secretary of Defense 
        submits to Congress the first report under section 
        1206(a) of the National Defense Authorization Act for 
        Fiscal Year 1996 (Public Law 104-106; 110 Stat. 471).
            (3) The date on which the Secretary of Defense 
        submits to Congress the report for fiscal year 1996 
        required under section 1205(c) of the National Defense 
        Authorization Act for Fiscal Year 1995 (Public Law 103-
        337; 108 Stat. 2883).
SEC. 1505. AVAILABILITY OF FUNDS.
    Funds appropriated pursuant to the authorization of 
appropriations in section 301 for Cooperative Threat Reduction 
programs shall be available for obligation for three fiscal 
years.
          TITLE XVI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL
     Subtitle B--Department of Defense Intelligence Personnel Policy
Sec. 1631. Short title.
Sec. 1632. Management of civilian intelligence personnel.
Sec. 1633. Repeal of superseded sections and clerical and conforming 
          amendments.
Sec. 1634. Other personnel management authorities.
Sec. 1635. Effective date.
    Subtitle B--Department of Defense Intelligence Personnel Policy
SEC. 1631. SHORT TITLE.
    This subtitle may be cited as the ``Department of Defense 
Civilian Intelligence Personnel Policy Act of 1996''.
SEC. 1632. MANAGEMENT OF CIVILIAN INTELLIGENCE PERSONNEL.
    (a) Consolidation and Standardization of Civilian Personnel 
Policy.--Chapter 83 of title 10, United States Code, is 
amended--
            (1) by redesignating section 1602 as section 1621 
        and transferring that section so as to appear after 
        section 1605;
            (2) by redesignating sections 1606 and 1608 as 
        section 1622 and 1623, respectively; and
            (3) by striking out the chapter heading, the table 
        of sections, and sections 1601, 1603, and 1604 and 
        inserting in lieu thereof the following:
         ``CHAPTER 83--CIVILIAN DEFENSE INTELLIGENCE EMPLOYEES
  ``Subchapter                                                      Sec.
``I. Defense-Wide Intelligence Personnel Policy...................  1601
``II. Defense Intelligence Agency Personnel.......................  1621
       ``SUBCHAPTER I--DEFENSE-WIDE INTELLIGENCE PERSONNEL POLICY
  ``Sec.
``1601. Civilian intelligence personnel: general authority to establish 
          excepted positions, appoint personnel, and fix rates of pay.
``1602. Basic pay.
``1603. Additional compensation, incentives, and allowances.
``1605. Benefits for certain employees assigned outside the United 
          States.
``1606. Defense Intelligence Senior Executive Service.
``1607. Intelligence Senior Level positions.
``1608. Time-limited appointments.
``1609. Termination of defense intelligence employees.
``1610. Reductions and other adjustments in force.
``1611. Postemployment assistance: certain terminated intelligence 
          employees.
``1612. Merit system principles and civil service protections: 
          applicability.
``1613. Miscellaneous provisions.
``1614. Definitions.
``Sec. 1601. Civilian intelligence personnel: general authority to 
                    establish excepted positions, appoint personnel, 
                    and fix rates of pay
    ``(a) General Authority.--The Secretary of Defense may--
            ``(1) establish, as positions in the excepted 
        service, such defense intelligence positions in the 
        intelligence components of the Department of Defense 
        and the military departments as the Secretary 
        determines necessary to carry out the intelligence 
        functions of those components and departments, 
        including--
                    ``(A) Intelligence Senior Level positions 
                designated under section 1607 of this title; 
                and
                    ``(B) positions in the Defense Intelligence 
                Senior Executive Service;
            ``(2) appoint individuals to those positions (after 
        taking into consideration the availability of 
        preference eligibles for appointment to those 
        positions); and
            ``(3) fix the compensation of such individuals for 
        service in those positions.
    ``(b) Construction With Other Laws.--The authority of the 
Secretary of Defense under subsection (a) applies without 
regard to the provisions of any other law relating to the 
appointment, number, classification, or compensation of 
employees.
``Sec. 1602. Basic pay
    ``(a) Authority To Fix Rates of Basic Pay.--The Secretary 
of Defense (subject to the provisions of this section) shall 
fix the rates of basic pay for positions established under 
section 1601 of this title in relation to the rates of basic 
pay provided in subpart D of part III of title 5 for positions 
subject to that subpart which have corresponding levels of 
duties and responsibilities.
    ``(b) Maximum Rates.--A rate of basic pay fixed under 
subsection (a) for a position established under section 1601 of 
this title may not (except as otherwise provided by law) 
exceed--
            ``(1) in the case of a Defense Intelligence Senior 
        Executive Service position, the maximum rate provided 
        in section 5382 of title 5;
            ``(2) in the case of an Intelligence Senior Level 
        position, the maximum rate provided in section 5382 of 
        title 5; and
            ``(3) in the case of any other position, the 
        maximum rate provided in section 5306(e) of title 5.
    ``(c) Prevailing Rate Systems.--The Secretary of Defense 
may, consistent with section 5341 of title 5, adopt such 
provisions of that title as provide for prevailing rate systems 
of basic pay and may apply those provisions to positions for 
civilian employees in or under which the Department of Defense 
may employ individuals described by section 5342(a)(2)(A) of 
that title.
``Sec. 1603. Additional compensation, incentives, and allowances
    ``(a) Additional Compensation Based on Title 5 
Authorities.--The Secretary of Defense may provide employees in 
defense intelligence positions compensation (in addition to 
basic pay), including benefits, incentives, and allowances, 
consistent with, and not in excess of the level authorized for, 
comparable positions authorized by title 5.
    ``(b) Allowances Based on Living Costs and Environment.--
(1) In addition to basic pay, employees in defense intelligence 
positions who are citizens or nationals of the United States 
and are stationed outside the continental United States or in 
Alaska may be paid an allowance, in accordance with regulations 
prescribed by the Secretary of Defense, while they are so 
stationed.
    ``(2) An allowance under this subsection shall be based 
on--
            ``(A) living costs substantially higher than in the 
        District of Columbia;
            ``(B) conditions of environment which (i) differ 
        substantially from conditions of environment in the 
        continental United States, and (ii) warrant an 
        allowance as a recruitment incentive; or
            ``(C) both of the factors specified in 
        subparagraphs (A) and (B).
    ``(3) An allowance under this subsection may not exceed the 
allowance authorized to be paid by section 5941(a) of title 5 
for employees whose rates of basic pay are fixed by statute.''.
    (b) Matters Other Than Pay and Benefits.--Such chapter is 
further amended by inserting after section 1605 the following 
new sections:
``Sec. 1606. Defense Intelligence Senior Executive Service
    ``(a) Establishment.--The Secretary of Defense may 
establish a Defense Intelligence Senior Executive Service for 
defense intelligence positions established pursuant to section 
1601(a) of this title that are equivalent to Senior Executive 
Service positions. The number of positions in the Defense 
Intelligence Senior Executive Service may not exceed 492.
    ``(b) Regulations Consistent With Title 5 Provisions.--The 
Secretary of Defense shall prescribe regulations for the 
Defense Intelligence Senior Executive Service which are 
consistent with the requirements set forth in sections 3131, 
3132(a)(2), 3396(c), 3592, 3595(a), 5384, and 6304 of title 5, 
subsections (a), (b), and (c) of section 7543 of such title 
(except that any hearing or appeal to which a member of the 
Defense Intelligence Senior Executive Service is entitled shall 
be held or decided pursuant to those regulations), and 
subchapter II of chapter 43 of such title. To the extent that 
the Secretary determines it practicable to apply to members of, 
or applicants for, the Defense Intelligence Senior Executive 
Service other provisions of title 5 that apply to members of, 
or applicants for, the Senior Executive Service, the Secretary 
shall also prescribe regulations to implement those provisions 
with respect to the Defense Intelligence Senior Executive 
Service.
    ``(c) Award of Rank to Members of the Defense Intelligence 
Senior Executive Service.--The President, based on the 
recommendations of the Secretary of Defense, may award a rank 
referred to in section 4507 of title 5 to members of the 
Defense Intelligence Senior Executive Service. The award of 
such rank shall be made in a manner consistent with the 
provisions of that section.
``Sec. 1607. Intelligence Senior Level positions
    ``(a) Designation of Positions.--The Secretary of Defense 
may designate as an Intelligence Senior Level position any 
defense intelligence position that, as determined by the 
Secretary--
            ``(1) is classifiable above grade GS-15 of the 
        General Schedule;
            ``(2) does not satisfy functional or program 
        management criteria for being designated a Defense 
        Intelligence Senior Executive Service position; and
            ``(3) has no more than minimal supervisory 
        responsibilities.
    ``(b) Regulations.--Subsection (a) shall be carried out in 
accordance with regulations prescribed by the Secretary of 
Defense.
``Sec. 1608. Time-limited appointments
    ``(a) Authority for Time-Limited Appointments.--The 
Secretary of Defense may by regulation authorize appointing 
officials to make time-limited appointments to defense 
intelligence positions specified in the regulations.
    ``(b) Review of Use of Authority.--The Secretary of Defense 
shall review each time-limited appointment in a defense 
intelligence position at the end of the first year of the 
period of the appointment and determine whether the appointment 
should be continued for the remainder of the period. The 
continuation of a time-limited appointment after the first year 
shall be subject to the approval of the Secretary.
    ``(c) Condition on Permanent Appointment to Defense 
Intelligence Senior Executive Service.--An employee serving in 
a defense intelligence position pursuant to a time-limited 
appointment is not eligible for a permanent appointment to a 
Defense Intelligence Senior Executive Service position 
(including a position in which the employee is serving) unless 
the employee is selected for the permanent appointment on a 
competitive basis.
    ``(d) Time-Limited Appointment Defined.--In this section, 
the term `time-limited appointment' means an appointment 
(subject to the condition in subsection (b)) for a period not 
to exceed two years.
``Sec. 1609. Termination of defense intelligence employees
    ``(a) Termination Authority.--Notwithstanding any other 
provision of law, the Secretary of Defense may terminate the 
employment of any employee in a defense intelligence position 
if the Secretary--
            ``(1) considers that action to be in the interests 
        of the United States; and
            ``(2) determines that the procedures prescribed in 
        other provisions of law that authorize the termination 
        of the employment of such employee cannot be invoked in 
        a manner consistent with the national security.
    ``(b) Finality.--A decision by the Secretary of Defense to 
terminate the employment of an employee under this section is 
final and may not be appealed or reviewed outside the 
Department of Defense.
    ``(c) Notification to Congressional Committees.--Whenever 
the Secretary of Defense terminates the employment of an 
employee under the authority of this section, the Secretary 
shall promptly notify the congressional oversight committees of 
such termination.
    ``(d) Preservation of Right To Seek Other Employment.--Any 
termination of employment under this section does not affect 
the right of the employee involved to seek or accept employment 
with any other department or agency of the United States if 
that employee is declared eligible for such employment by the 
Director of the Office of Personnel Management.
    ``(e) Limitation on Delegation.--The authority of the 
Secretary of Defense under this section may be delegated only 
to the Deputy Secretary of Defense, the head of an intelligence 
component of the Department of Defense (with respect to 
employees of that component), or the Secretary of a military 
department (with respect to employees of that department). An 
action to terminate employment of such an employee by any such 
official may be appealed to the Secretary of Defense.
``Sec. 1610. Reductions and other adjustments in force
    ``(a) In General.--The Secretary of Defense shall prescribe 
regulations for the separation of employees in defense 
intelligence positions, including members of the Defense 
Intelligence Senior Executive Service and employees in 
Intelligence Senior Level positions, during a reduction in 
force or other adjustment in force. The regulations shall apply 
to such a reduction in force or other adjustment in force 
notwithstanding sections 3501(b) and 3502 of title 5.
    ``(b) Matters To Be Given Effect.--The regulations shall 
give effect to the following:
            ``(1) Tenure of employment.
            ``(2) Military preference, subject to sections 
        3501(a)(3) and 3502(b) of title 5.
            ``(3) The veteran's preference under section 
        3502(b) of title 5.
            ``(4) Performance.
            ``(5) Length of service computed in accordance with 
        the second sentence of section 3502(a) of title 5.
    ``(c) Regulations Relating to Defense Intelligence SES.--
The regulations relating to removal from the Defense 
Intelligence Senior Executive Service in a reduction in force 
or other adjustment in force shall be consistent with section 
3595(a) of title 5.
    ``(d) Right of Appeal.--(1) The regulations shall provide a 
right of appeal regarding a personnel action under the 
regulations. The appeal shall be determined within the 
Department of Defense. An appeal determined at the highest 
level provided in the regulations shall be final and not 
subject to review outside the Department of Defense. A 
personnel action covered by the regulations is not subject to 
any other provision of law that provides appellate rights or 
procedures.
    ``(2) Notwithstanding paragraph (1), a preference eligible 
referred to in section 7511(a)(1)(B) of title 5 may elect to 
have an appeal of a personnel action taken against the 
preference eligible under the regulation determined by the 
Merit Systems Protection Board instead of having the appeal 
determined within the Department of Defense. Section 7701 of 
title 5 shall apply to any such appeal to the Merit Systems 
Protection Board.
    ``(e) Consultation With OPM.--Regulations under this 
section shall be prescribed in consultation with the Director 
of the Office of Personnel Management.''.
    (c) Transfer of Section 1599.--Subtitle A of title 10, 
United States Code, is amended by transferring section 1599 to 
chapter 83 of such title, inserting such section after section 
1610 (as added by subsection (b)), redesignating such section 
as section 1611, and in subsection (f) striking out ``means'' 
and all that follows and inserting in lieu thereof ``includes 
the National Reconnaissance Office and any intelligence 
component of a military department.''.
    (d) Additional Provisions.--Such chapter is further amended 
by inserting after section 1611 (as so transferred and 
redesignated) the following new sections:
``Sec. 1612. Merit system principles and civil service protections: 
                    applicability
    ``(a) Applicability of Merit System Principles.--Section 
2301 of title 5 shall apply to the exercise of authority under 
this subchapter (other than sections 1605 and 1611).
    ``(b) Civil Service Protections.--(1) If, in the case of a 
position established under authority other than section 
1601(a)(1) of this title that is reestablished as an excepted 
service position under that section, the provisions of law 
referred to in paragraph (2) applied to the person serving in 
that position immediately before the position is so 
reestablished and such provisions of law would not otherwise 
apply to the person while serving in the position as so 
reestablished, then such provisions of law shall, subject to 
paragraph (3), continue to apply to the person with respect to 
service in that position for as long as the person continues to 
serve in the position without a break in service.
    ``(2) The provisions of law referred to in paragraph (1) 
are the following provisions of title 5:
            ``(A) Section 2302, relating to prohibited 
        personnel practices.
            ``(B) Chapter 75, relating to adverse actions.
    ``(3)(A) Notwithstanding any provision of chapter 75 of 
title 5, an appeal of an adverse action by an individual 
employee covered by paragraph (1) shall be determined within 
the Department of Defense if the employee so elects.
    ``(B) The Secretary of Defense shall prescribe the 
procedures for initiating and determining appeals of adverse 
actions pursuant to elections made under subparagraph (A).
``Sec. 1613. Miscellaneous provisions
    ``(a) Collective Bargaining Agreements.--Nothing in 
sections 1601 through 1604 and 1606 through 1610 may be 
construed to impair the continued effectiveness of a collective 
bargaining agreement with respect to an agency or office that 
is a successor to an agency or office covered by the agreement 
before the succession.
    ``(b) Notice to Congress of Regulations.--The Secretary of 
Defense shall notify Congress of any regulations prescribed to 
carry out this subchapter (other than sections 1605 and 1611). 
Such notice shall be provided by submitting a copy of the 
regulations to the congressional oversight committees not less 
than 60 days before such regulations take effect.
``Sec. 1614. Definitions
    ``In this subchapter:
            ``(1) The term `defense intelligence position' 
        means a civilian position as an intelligence officer or 
        intelligence employee of an intelligence component of 
        the Department of Defense or of a military department.
            ``(2) The term `intelligence component of the 
        Department of Defense' means any of the following:
                    ``(A) The National Security Agency.
                    ``(B) The Defense Intelligence Agency.
                    ``(C) The National Imagery and Mapping 
                Agency.
                    ``(D) Any other component of the Department 
                of Defense that performs intelligence functions 
                and is designated by the Secretary of Defense 
                as an intelligence component of the Department 
                of Defense.
                    ``(E) Any successor to a component 
                specified in, or designated pursuant to, this 
                paragraph.
            ``(3) The term `congressional oversight committees' 
        means--
                    ``(A) the Committee on Armed Services and 
                the Select Committee on Intelligence of the 
                Senate; and
                    ``(B) the Committee on National Security 
                and the Permanent Select Committee on 
                Intelligence of the House of Representatives.
            ``(4) The term `excepted service' has the meaning 
        given such term in section 2103 of title 5.
            ``(5) The term `preference eligible' has the 
        meaning given such term in section 2108(3) of title 5.
            ``(6) The term `Senior Executive Service position' 
        has the meaning given such term in section 3132(a)(2) 
        of title 5.
            ``(7) The term `collective bargaining agreement' 
        has the meaning given such term in section 7103(8) of 
        title 5.''.
    (e) Designation of New Subchapter II.--Chapter 83 of such 
title is further amended by inserting after section 1614 (as 
added by subsection (d)) the following:
         ``SUBCHAPTER II--DEFENSE INTELLIGENCE AGENCY PERSONNEL
  ``Sec.
``1621. Defense Intelligence Agency merit pay system.
``1622. Uniform allowance: civilian employees.
``1623. Financial assistance to certain employees in acquisition of 
          critical skills.''.
SEC. 1633. REPEAL OF SUPERSEDED SECTIONS AND CLERICAL AND CONFORMING 
                    AMENDMENTS.
    (a) Repeal of Separate Military Department Authorities.--
Section 1590 of title 10, United States Code, is repealed.
    (b) Repeal of Separate National Security Agency 
Authorities.--The following provisions of law are repealed:
            (1) Sections 2 and 4 of the National Security 
        Agency Act of 1959 (50 U.S.C. 402 note).
            (2) Section 303 of the Internal Security Act of 
        1950 (50 U.S.C. 833).
    (c) Clerical Amendments.--Title 10, United States Code, is 
amended as follows:
            (1) The heading for section 1605 is amended to read 
        as follows:
``Sec. 1605. Benefits for certain employees assigned outside the United 
                    States''.
            (2) The table of sections at the beginning of 
        chapter 81 is amended by striking out the items 
        relating to sections 1590 and 1599.
            (3) The tables of chapters at the beginning of 
        subtitle A, and at the beginning of part II of subtitle 
        A, are amended by striking out the item relating to 
        chapter 83 and inserting in lieu thereof the following:
``83. Civilian Defense Intelligence Employees....................1601''.
    (d) Conforming Amendment.--Section 1621 of such title, as 
transferred and redesignated by section 1632(a)(1), is amended 
by striking out ``and Central Imagery Office''.
    (e) Cross Reference Amendments.--Chapter 81 of title 10, 
United States Code, is amended as follows:
            (1) Section 1593(a)(3) is amended by striking out 
        ``section 1606'' and inserting in lieu thereof 
        ``section 1622''.
            (2) Section 1596(c) is amended by striking out 
        ``section 1604(b)'' and inserting in lieu thereof 
        ``section 1602''.
SEC. 1634. OTHER PERSONNEL MANAGEMENT AUTHORITIES.
    (a) Applicability of Federal Labor-Management Relations 
System.--Section 7103(a)(3) of title 5, United States Code is 
amended--
            (1) by inserting ``or'' at the end of subparagraph 
        (F);
            (2) by striking out ``; or'' at the end of 
        subparagraph (G) and inserting in lieu thereof a 
        period; and
            (3) by striking out subparagraph (H).
    (b) Applicability of Authority and Procedures for Imposing 
Certain Adverse Actions.--Section 7511(b)(8) of such title is 
amended by striking out ``the National Security Agency'' and 
all that follows through ``title 10'' and inserting in lieu 
thereof ``an intelligence component of the Department of 
Defense (as defined in section 1614 of title 10), or an 
intelligence activity of a military department covered under 
subchapter I of chapter 83 of title 10''.
SEC. 1635. EFFECTIVE DATE.
    This subtitle and the amendments made by this subtitle 
shall take effect on October 1, 1996.
            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS
                            TITLE XXI--ARMY
Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Land acquisition, National Ground Intelligence Center, 
          Charlottesville, Virginia.
SEC. 2101. AUTHORIZED ARMY CONSTRUCTION AND LAND ACQUISITION PROJECTS.
    (a) Inside the United States.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2104(a)(1), and, in the case of the projects described in 
paragraphs (2) and (3) of section 2104(b), other amounts 
appropriated pursuant to authorizations enacted after this Act 
for the projects, the Secretary of the Army may acquire real 
property and carry out military construction projects for the 
installations and locations inside the United States, and in 
the amounts, set forth in the following table:
                     ARMY: INSIDE THE UNITED STATES                     
------------------------------------------------------------------------
            State               Installation or location       Total    
------------------------------------------------------------------------
Virginia..................... National Ground                          
                                Intelligence Center,                    
                                Charlottesville.........      $1,000,000
CONUS Classified.............  Classified Locations.....      $4,600,000
                                                         ---------------
                                 Total:.................    $447,250,000
------------------------------------------------------------------------
    (b) Outside the United States.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2104(a)(2), the Secretary of the Army may acquire real property 
and carry out military construction projects for the locations 
outside the United States, and in the amounts, set forth in the 
following table:
                     ARMY: OUTSIDE THE UNITED STATES                    
------------------------------------------------------------------------
                                     Installation or                    
            Country                      location              Total    
------------------------------------------------------------------------
Overseas Classified............  Classified Locations...     $64,000,000
                                                         ---------------
                                   Total:...............    $121,800,000
------------------------------------------------------------------------
SEC. 2105. LAND ACQUISITION, NATIONAL GROUND INTELLIGENCE CENTER, 
                    CHARLOTTESVILLE, VIRGINIA.
    (a) Acquisition Authorized.--Subject to subsection (b), the 
Secretary of the Army may acquire real property for the 
National Ground Intelligence Center, Charlottesville, Virginia.
    (b) Requirement Relating to Acquisition.--The Secretary may 
not acquire real property pursuant to the authorization in 
subsection (a) until the Secretary certifies to the 
congressional defense committees, based on the results of an 
assessment of property currently owned or operated by the 
Federal Government in the vicinity of Charlottesville, 
Virginia, that the acquisition of the property would provide 
the most cost-effective means of securing a location for the 
National Ground Intelligence Center that satisfies the mission 
requirements of the center.
    (c) Funding.--Of the amounts authorized to be appropriated 
by section 2104(a)(1), $1,000,000 shall be available for the 
acquisition of real property pursuant to the authorization in 
subsection (a).
                         TITLE XXIII--AIR FORCE
Sec. 2301.  Authorized Air Force construction and land acquisition 
          projects.
Sec. 2302.  Family housing.
Sec. 2303.  Improvements to military family housing units.
Sec. 2304.  Authorization of appropriations, Air Force.
Sec. 2305. Elimination of authority to carry out fiscal year 1995 
          project, Spangdahlem Air Force Base, Germany.
SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND ACQUISITION 
                    PROJECTS.
    (a) Inside the United States.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2304(a)(1), the Secretary of the Air Force may acquire real 
property and carry out military construction projects for the 
installations and locations inside the United States, and in 
the amounts, set forth in the following table:
                   AIR FORCE: INSIDE THE UNITED STATES                  
------------------------------------------------------------------------
                                     Installation or                    
             State                       location             Amount    
------------------------------------------------------------------------
California..................... Vandenberg Air Force         $3,290,000
                                  Base.                                 
Colorado.......................  Buckley Air National        $17,960,000
                                  Guard Base.                           
                                 Falcon Air Force             $2,095,000
                                  Station.                              
                                 Peterson Air Force Base     $20,720,000
                                                         ---------------
                                   Total:...............    $603,834,000
------------------------------------------------------------------------
    (b) Outside the United States.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2304(a)(2), the Secretary of the Air Force may acquire real 
property and carry out military construction projects for the 
installations and locations outside the United States, and in 
the amounts, set forth in the following table:
                  AIR FORCE: OUTSIDE THE UNITED STATES                  
------------------------------------------------------------------------
                                     Installation or                    
            Country                      location             Amount    
------------------------------------------------------------------------
Overseas Classified............  Classified Locations...     $18,395,000
                                                         ---------------
                                   Total:...............     $78,115,000
------------------------------------------------------------------------
                      TITLE XXIV--DEFENSE AGENCIES
SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND 
                    ACQUISITION PROJECTS.
               DEFENSE AGENCIES: INSIDE THE UNITED STATES               
------------------------------------------------------------------------
                                     Installation or                    
             Agency                      location             Amount    
------------------------------------------------------------------------
Defense Intelligence Agency....  Bolling Air Force Base,                
                                  District of Columbia..      $6,790,000
Special Operations Command.....  Fort Bragg, North                      
                                  Carolina..............     $14,000,000
                                 Fort Campbell, Kentucky      $4,200,000
                                 MacDill Air Force Base,                
                                  Florida...............      $9,600,000
                                 Naval Amphibious Base,                 
                                  Coronado, California..      $7,700,000
                                 Naval Station, Ford                    
                                  Island, Pearl Harbor,                 
                                  Hawaii................     $12,800,000
                                                         ---------------
                                   Total................    $525,454,000
------------------------------------------------------------------------
       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE
      The managers on the part of the House and the Senate at 
the conference on the disagreeing votes of the two Houses on 
the amendment of the Senate to the bill (H.R. 3230) to 
authorize appropriations for fiscal year 1997 for defense 
activities of the Department of Defense, for military 
construction, and for defense programs of the Department of 
Energy, to prescribe personnel strengths for such fiscal year 
for the Armed Forces, and for other purposes, submit the 
following joint statement to the House and the Senate in 
explanation of the effect of the action agreed upon by the 
managers and recommended in the accompanying conference report:
      The Senate amendment struck out all of the House bill 
after the enacting clause and inserted a substitute text.
      The House recedes from its disagreement to the amendment 
of the Senate with an amendment which is a substitute for the 
House bill and the Senate amendment. The differences between 
the House bill, the Senate amendment, and the substitute agreed 
to in conference are noted below, except for clerical 
corrections, conforming changes made necessary by agreements 
reached by the conferees, and minor drafting and clarifying 
changes.
                 Summary Statement of Conference Action
      The conferees recommend authorizations for the Department 
of Defense for procurement, research and development, test and 
evaluation, operation and maintenance, working capital funds, 
military construction and family housing, weapons programs of 
the Department of Energy, and civil defense that have a budget 
authority implication of $265.6 billion.
            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS
                          Title I--Procurement
Airborne Reconnaissance Low (ARL)
      The budget request included $24.7 million to procure the 
final ARL-M aircraft and mission equipment.
      The House bill would authorize an increase of $5.2 
million to complete the moving target indicator (MTI) upgrade.
      The Senate amendment would support the budget request.
      The Senate recedes.
      The conferees understand that the Army reprogrammed 
fiscal year 1996 funds that were authorized and appropriated 
for converting ARL-I and ARL-C aircraft to the ARL-M 
configuration. These funds were applied to incorporate an MTI 
radar into the ARL. Although the reprogramming action was 
within the scope of the Department's authority, the conferees 
are concerned with the Army's failure to notify the appropriate 
committees of what it considers a major shift of the funds. The 
conferees do, however, support the validated requirement for 
MTI on ARL, and are aware that funds have not been budgeted to 
complete the MTI purchase.
      Therefore, the conferees agree to authorize $29.9 million 
to provide the necessary funding to complete the ARL-I/-C 
conversion to ARL-M and complete the MTI radar upgrade. The 
conferees fully expect the Army to budget for completion of the 
ARL-I/-C conversion in future budget requests.
P-3 intelligence support
      The budget request included $17.6 million within the P-3 
aircraft modifications line to procure non-developmental, 
commercial off-the-shelf (COTS), roll-on/roll-off signals 
intelligence (SIGINT) sensors for use aboard P-3C aircraft.
      The House bill and Senate amendment would not authorize 
the $17.6 million included in the budget request for the 
procurement of COTS SIGINT sensors in fiscal year 1997.
      The conferees are concerned that the Navy has not 
developed a sound operational concept for employing the SIGINT 
capability that it proposes to add to the P-3C aircraft. Nor is 
it clear that the Navy's proposal relates well to the 
capability already provided by its existing fleet of EP-3 
aircraft. Important questions that should be answered to 
address the conferees' concerns include:
            (1) To what degree would P-3C aircraft equipped 
        with such a COTS SIGINT package be interoperable with 
        other SIGINT platforms? and
            (2) Are sufficient specially trained personnel 
        available to support both existing SIGINT systems and 
        this one as well?
P-3C modifications
      The budget request included $34.7 million for the P-3C 
anti-surface warfare improvement program (AIP). This amount 
would procure one P-3C AIP kit and additional training 
equipment, support equipment, and logistics support for the P-
3C AIP program.
      The Senate amendment would authorize an increase of $87.0 
million for the procurement of 11 additional P-3C AIP kits and 
associated equipment and support in order to maintain the 
acquisition schedule requested by the operational commanders in 
chief (CINCs) and to procure the kits at a more cost effective 
rate.
      The House bill would authorize the requested amount for 
P-3 modifications but would include a new procurement funding 
line for procurement of the lightweight environmentally sealed 
parachute assembly (LESPA) and authorize an increase of $3.8 
million for LESPA. A portion of this increase would be for 
support of the P-3C aircraft.
      The conferees agree to authorize an increase of $61.0 
million for the procurement of seven additional P-3C AIP kits 
and associated equipment and support. Reporting requirements 
for the P-3C AIP program associated with submission of the 
fiscal year 1998 budget request are contained in the Senate 
report (S. Rept. 104-267). The conferees also agree to 
authorize an increase of $2.8 million for LESPA procurement.
Joint tactical terminal
      The budget request included $2.4 million for procurement 
of the joint tactical terminal (JTT).
      The House bill would authorize an additional $11.0 
million for the immediate procurement of JTT terminals for 
AEGIS, amphibious, and flagship surface vessels. The report to 
accompany the House bill to authorize intelligence programs for 
fiscal year 1977 (H. Rept. 104-578, Part 1) expressed the view 
that there is an urgent need to expeditiously procure the 
functional intelligence support capability provided by the JTT 
for these ships as soon as possible in order to ensure 
interoperability between various intelligence producers and 
users.
      The Senate amendment would authorize the requested 
amount.
      The Senate recedes.
Challenge Athena
      The budget request included no funding for the Chief of 
Naval Operation's special project Challenge Athena. This budget 
decision was made despite a series of favorable reports by the 
Navy's operational commanders on the significant contributions 
that Challenge Athena has made to the success of their 
operational deployments.
      The Senate amendment would authorize an increase of $41.7 
million above the budget request for Challenge Athena, $14.7 
million for procurement and $27.0 million for operation of the 
system.
      The House bill would authorize the requested amount.
      The conferees agree to authorize a total increase of 
$28.7 million above the budget request for Challenge Athena, 
$14.7 million for procurement of Challenge Athena equipment, 
and $14.0 million for system operation.
Global broadcast service
      The budget request included $113.2 million for launch 
services for UHF follow-on (UFO) satellites 8, 9, and 10. These 
satellites will support UHF, EHF, and global broadcast service 
(GBS) communications. However, the budget request did not 
contain funding for the ground and sea-based equipment needed 
to implement the GBS capability.
      To ensure that the diverse requirements of the Navy's GBS 
are met in a complementary manner, the Senate amendment would 
authorize an increase of $50.0 million above the budget request 
as follows:
            (1) $39.0 million for the procurement and 
        installation of shipboard GBS satellite terminals;
            (2) $7.0 million for the procurement and 
        installation of shore GBS satellite terminals; and
            (3) $4.5 million to provide for launch services for 
        UFO satellites 8, 9, and 10.
      The House bill would authorize the requested amount.
      The conferees agree to authorize an increase of $10.3 
million for the procurement and installation of shipboard GBS 
satellite terminals.
Marine Corps Procurement
Overview
Intelligence upgrades
      The budget request included $26.4 million for procurement 
of intelligence support equipment for the Marine Corps.
      The House bill would authorize an increase of $5.8 
million for the procurement of additional intelligence support 
equipment.
      The Senate amendment would authorize an increase of $14.6 
million for the procurement of additional intelligence support 
equipment.
      The Senate recedes.
Tactical electronic reconnaissance processing and evaluation system
      The budget request included $1.0 million for procurement 
of support for the Marine Corps tactical electronic 
reconnaissance processing and evaluation system (TERPES), a 
system that is currently supporting joint operations in Bosnia.
      The House bill would authorize an increase of $1.1 
million to improve the interoperability of TERPES with the 
global command and control system (GCCS) and tactical air 
mission planning system (TAMPS).
      The Senate amendment would authorize the requested 
amount.
      The Senate recedes.
Overview
Joint Surveillance Target Attack Radar System (JSTARS)
      The budget request included $417.8 million for two E-8C 
aircraft, $111.1 million for advanced procurement for two E-8Cs 
in fiscal year 1998, and $30.2 million for initial spares. 
Trainers and support equipment were included in the 
procurement. Funding in the amount of $207.3 million for follow 
on development and testing was also requested in PE 64770F.
      The House bill would increase the requested amount by 
$225.0 million for one additional aircraft.
      The Senate amendment would increase the requested amount 
by $210.0 million for procurement and an additional $30.0 
million for initial spares.
      The conferees agree to increase the requested amount by 
$210.0 million for the acquisition of one additional JSTARS 
aircraft.
      The conferees note that the JSTARS platform and 
associated ground stations are currently contained in the Air 
Force and Army tactical intelligence and related activities 
(TIARA) budget aggregations. While the conferees realize there 
are direct intelligence applications of the JSTARS associated 
Ground Support Modules (GSM) and the follow on Common Ground 
Stations (CGS), they note that the JSTARS aircraft is a direct 
battle management and targeting system, not an intelligence 
system. The JSTARS moving target indicator (MTI) radar system 
provides critical data to the operational and intelligence 
communities, and so could be considered within the TIARA budget 
aggregation. Accordingly, the conferees agree the associated 
ground stations are direct multi-source intelligence support 
applications and may be appropriately considered part of the 
entire intelligence support architecture and continue to be 
funded within TIARA aggregation.
Satellite communications terminals
      The budget request contained $14.8 million for 
modification of in service aircraft.
      The House bill would authorize the budget request.
      The Senate amendment would increase the requested amount 
by $21.2 million for procurement of demand assigned multiple 
access (DAMA) ultra-high frequency (UHF) satellite 
communications airborne terminals.
      The conferees agree to authorize an additional $20.3 
million in aircraft procurement funding to begin procuring UHF 
airborne DAMA terminals. The conferees understand that 
additional funds will be required in the out years to complete 
this effort and expect the Air Force to program sufficient 
funding in future budget requests.
Defense Airborne Reconnaissance Program Procurement
      Procurement for the Defense Airborne Reconnaissance 
Program (DARP) is contained in a number of procurement lines, 
distributed among the individual services and the defense-wide 
procurement account.
      The budget request included:
            (1) $66.2 million in Aircraft Procurement, Air 
        Force (APAF) line 59;
            (2) $150.7 million in APAF, line 70; and
            (3) $168.9 million in Procurement, Defense-wide 
        (PDW), line 7.
      The House bill would provide an additional $210.3 million 
in APAF line 59, a reduction of $50.0 million in APAF line 70, 
and an addition of $80.0 million in PDW line 7.
      The Senate amendment would provide an addition of $182.2 
million to APAF line 59, authorize the budget request for APAF 
line 70, and provide an additional $8.0 million for PDW line 7.
      The budget request, details of the adjustments in the 
House bill and the Senate amendment, and the final conference 
agreement, are summarized in the table below:
          DEFENSE AIRBORNE RECONNAISSANCE PROCUREMENT PROGRAMS          
                         [Dollars in thousands]                         
------------------------------------------------------------------------
                                            Proposed change             
            Program              Budget  -------------------- Conference
                                 request    House    Senate    agreement
------------------------------------------------------------------------
Additional Rivet Joint                                                  
 aircraft.....................        --    39,300        --     39,300 
Rivet Joint mods..............    65,186    20,000        --     85,186 
Rivet Joint technology                                                  
 transfer.....................        --        --    20,000         -- 
Combat Sent mods..............     1,000     6,000        --      7,000 
RC-135 data links.............  ........        --     8,000         -- 
RC-135 re-engining............  ........   145,000   145,200    145,000 
SR-71 mods....................        --        --     9,000      9,000 
Subtotal--APAF 59.............    66,186   210,300   182,200    285,486 
Restore damaged U-2 aircraft..        --     5,000        --         -- 
Undistributed reduction.......        --  (50,000)        --   (50,000) 
Other.........................   150,742        --        --    150,742 
Subtotal--APAF 70.............   150,742  (45,000)        --    100,742 
Predator UAV..................    57,791    50,000        --    107,791 
Pioneer UAV...................    10,567    30,000        --     40,567 
Common automatic recovery                                               
 system.......................        --        --     8,000      8,000 
U-2 satellite communications..     2,023        --        --      2,023 
Common imagery ground/surface                                           
 system (CIGSS)...............    98,486        --        --     98,486 
                               -----------------------------------------
      Subtotal--PDW 7.........   168,867    80,000     8,000    256,867 
------------------------------------------------------------------------
      The conferees view with concern the lack of clarity in 
the display of DARP spending and have included provisions 
elsewhere in this bill requiring the Defense Airborne 
Reconnaissance Office (DARO) to provide improved budget 
presentations in future years.
                aircraft procurement, air force, line 59
      The conferees agree to an increase of $219.3 million 
above the budget request for the following purposes:
            (1) $39.3 million for an additional Rivet Joint 
        (RJ) aircraft;
            (2) $20.0 million for RJ modifications;
            (3) $6.0 million for Combat Sent modifications;
            (4) $145.0 million re-engining RC-135 aircraft; and
            (5) $9.0 million for SR-71 modifications.
Rivet Joint fleet modifications
      The conferees acknowledge the need for consistent level-
of-effort funding to improve these intelligence support 
aircraft in response to the rapid, and often unpredictable, 
improvements in threat technologies. Accordingly, the conferees 
expect the Department to provide funds for level-of-effort 
upgrades in future budget requests. While the conferees support 
upgrades based on platform-specific missions, they are 
skeptical of multi-functional type developmental upgrades and 
will closely monitor the Department's effort to coordinate 
service efforts and ensure compliance of such upgrades with the 
overall architecture.
Rivet Joint technology transfer
      The conferees encourage the Air Force to move forward 
with a near-term, cost effective program to transfer the 
mature, medium wave infrared sensor technology from the Cobra 
Ball aircraft to the Rivet Joint fleet. Such a program would 
offer the option of early deployment in support of theater 
missile defense improvements. This transfer could provide 
significant improvement to the Department's capabilities for 
long range surveillance, warning, rapid cueing for attack 
operations and predicting impact points.
                aircraft procurement, air force, line 70
      The conferees agree to a general reduction of $50.0 
million to the budget request.
                   procurement, defense-wide, line 7
Pioneer unmanned aerial vehicle (UAV)
      The budget request included $10.6 million attrition 
spares and unit support kits for the Pioneer UAV.
      The House bill would authorize an increase of $30.0 
million over the request to purchase attrition air vehicles and 
to replace aging and vanishing vendor items.
      The Senate amendment would authorize the request.
      The Department's decision to terminate the procurement of 
the Hunter UAV system has resulted in the Pioneer becoming the 
only UAV currently capable of meeting Navy and Marine Corps 
short range requirements. Consequently, the conferees agree to 
provide an increase of $30.0 million to fund initiatives 
necessary to ensure the continued effectiveness of the Pioneer 
UAV system.
Predator unmanned aerial vehicle (UAV)
      The budget request included $57.8 for Predator hardware 
and production support.
      The House bill would authorize an increase of $50.0 
million to procure an additional two Predator systems.
      The Senate amendment would authorize the budget request, 
and would separately provide a provision restricting the 
obligation of fiscal year 1997 funds.
      The Senate recedes.
      The conferees agree to recommend an additional $50.0 
million for the Predator UAV system. The conferees recognize 
the Predator UAV's importance as well as the need to field 
capable effective UAV systems in the near-term.
Common automatic recovery system (CARS)
      The conferees expect that this low cost system will help 
reduce mishaps and improve UAV operational effectiveness. 
Accordingly, the conferees agree to provide an additional $8.0 
million for integrating CARS into the tactical UAV (TUAV) and 
the Predator UAV systems as soon as practicable.
Peacekeeper sustainment
      The budget request included $8.3 million for procurement 
of missile replacement equipment, $72.8 million for procurement 
of Minuteman III modifications, and $44.6 million for 
procurement of spares and repair parts.
      The House bill recommended a net increase of $32.0 
million for Peacekeeper sustainment activities. This included 
an additional $3.4 million for missile replacement equipment, 
$5.3 million for Minuteman modifications, and $300,000 for 
replacement spares and repairs. In addition, the House bill 
recommends that, of the amounts authorized to be appropriated 
pursuant to Title III for Air Force operation and maintenance, 
$23.0 million be used for sustained Peacekeeper operations.
      The Senate amendment approved the budget request for 
Peacekeeper.
      The conferees agree to authorize the following for 
peacekeeper sustainment: (1) an additional $3.4 million for 
missile replacement equipment, a net increase of $500,000 in 
this program element; (2) an additional $5.3 million in 
Procurement Air Force (Minuteman modifications); (3) an 
additional $300,000 in Air Force Procurement for replacement 
spares and repairs; and (4) of the amounts authorized to be 
appropriated pursuant to Title III for Air Force operation and 
maintenance, $23.0 million for Peacekeeper operations.
Theater battle management command and control system procurement 
        (TBMCS)
      The budget request included $48.0 million for procurement 
of the theater battle management command and control system.
      The House bill would authorize the budget request.
      The Senate amendment would add $2.2 million to the 
program as part of a data link initiative to incorporate data 
links in various Air Force aircraft. The additional $2.2 
million would complete installation of data link related 
equipment in modular air operation centers.
      The Senate recedes.
      The conferees agree to authorize $48.0 million for the 
system.
Base information infrastructure
      The budget request included $125.7 million Air Force base 
information infrastructure.
      The House bill would reduce the authorization by $10.0 
million.
      The Senate amendment would authorize the budget request.
      The Senate recedes.
Overview
      The budget request for fiscal year 1997 contained an 
authorization of $1,841.2 million for Defense-wide Procurement 
in the Department of Defense. The House bill would authorize 
$1,890.2 million. The Senate amendment would authorize $1,908.0 
million. The conferees recommended an authorization of $2,008.3 
million. Unless noted explicitly in the statement of managers, 
all changes are made without prejudice.
<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>
C-130 aircraft modifications
      The budget request included $86.7 million for 
modifications to U.S. Special Operations Command (USSOCOM) C-
130 aircraft.
      The Senate amendment would authorize an increase of $23.8 
million for survivability and sustainment improvements to 
USSOCOM's fleet of AC-130U gunships and the MC-130H Combat 
Talon II aircraft.
      The House bill would authorize the requested amount.
      The conferees agree to authorize an increase of $17.9 
million for modifications to USSOCOM C-130 aircraft.
Advanced SEAL delivery system
      The budget request included no procurement funding for 
the advanced SEAL delivery system (ASDS) for the U.S. Special 
Operations Command.
      A changed interpretation of administrative procedures 
between preparation of the fiscal year 1996 and fiscal year 
1997 budget requests caused $4.4 million of advance procurement 
funding for the ASDS to be deleted from the fiscal year 1997 
budget request. The consequence of this reduction in funding 
would be a one year delay in fielding the ASDS system.
      To restore the ASDS program to its original schedule, the 
Senate amendment would authorize an increase of $4.4 million 
over the budget request for the procurement of long-lead steel 
and integrated control and display consoles needed for 
fabrication of the first production ASDS.
      The House bill would authorize the requested amount.
      The House recedes.
SCAMPI communications system
      The budget request contained no funding for procurement 
of the SCAMPI communications system for the U.S. Special 
Operations Command (USSOCOM).
      The Senate amendment would authorize an increase of $3.7 
million to complete hub relocation for USSOCOM's SCAMPI 
communications system.
      The House bill would authorize the requested amount.
      The Senate recedes.
                         legislative provisions
              Subtitle A--Authorization of Appropriations
                     legislative provisions adopted
Chemical agents and munitions destruction program (secs. 107 and 142)
      The budget request included $799.8 million for the 
defense chemical agents and munitions destruction program, 
including $477.9 million for operation and maintenance, $273.6 
million for procurement, and $48.3 million for research and 
development. Additionally, the budget request included $131.6 
million for military construction.
      The House bill contained a provision (sec. 107) that 
would authorize $804.8 million for the chemical agents and 
munitions destruction program, including $21.0 million for the 
alternative technology and approaches project, an increase of 
$5.0 million to the budget request.
      The Senate amendment contained a provision (sec. 107) 
that would authorize $802.8 million for the chemical agents and 
munitions destruction program, including an increase of $3.0 
million for research and development to expedite and accelerate 
the development and fielding of critical advanced sensors that 
are part of the Army's mobile munitions assessment system. A 
second provision (sec. 113) would require the Secretary of 
Defense to conduct a study on the cost of the baseline 
incineration of the chemical munitions stockpile versus the 
disposal of neutralized chemical munitions at a centrally 
located incinerator. A third provision (sec. 117) would provide 
$60.0 million for a pilot program to identify and demonstrate 
feasible alternatives to incineration for the demilitarization 
of assembled chemical munitions, establish an executive agent 
for the pilot program separate from the existing chemical 
weapon stockpile demilitarization program, require the 
Secretary of Defense to evaluate and report the results of the 
completed pilot program by December 31, 2000, and place limits 
on long lead contracting for the construction of chemical agent 
baseline program incinerators at any site in Kentucky or 
Colorado.
      The Senate recedes with an amendment.
      The conferees agree to a provision (sec. 107) that would 
authorize $759.8 million for the defense chemical agents and 
munitions destruction program, to include: $233.6 million for 
procurement; $477.9 million for operation and maintenance; and 
$48.3 million for research and development. Of the amount 
authorized $21.1 million shall be available for the alternative 
technologies and approaches project and $3.0 million shall be 
available to expedite and accelerate the development and 
fielding of critical advanced sensors that are part of the 
Army's mobile munitions assessment system.
      Further, the conferees agree to a provision (sec. 142) 
that would direct the Secretary of Defense to assess the 
current baseline incineration program for destruction of 
assembled chemical munitions and of alternative 
demilitarization technologies and processes other than 
incineration that could be used for the destruction of lethal 
chemical agents and munitions. Should the Secretary decide to 
conduct a pilot program for development and demonstration of an 
alternative technology or process other than incineration for 
the destruction of the lethal chemical agents that are 
associated with assembled munitions, the provision would 
authorize $25.0 million from funds authorized in fiscal year 
1997 for use by the Secretary for this purpose, and would 
require the Secretary to notify the Congress 30 days in 
advance, of his intention to use funds to initiate a pilot 
program. The provision would also require that the pilot 
program be conducted at the selected chemical agent and 
munitions stockpile storage site for which the alternative 
technology or process is recommended.
Progress in the chemical agents and munitions destruction program
      The conferees reiterate the concerns expressed in the 
statement of managers accompanying the National Defense 
Authorization Act for Fiscal Year 1996 (Public Law 104-106), 
that continued delays in the chemical agents and munitions 
destruction program would lead to increases in overall program 
cost and in risk to the public and the environment. The 
conferees believe that the program should proceed 
expeditiously, using those technologies that minimize risk to 
the public and the environment. The conferees support the 
recommendations of the National Research Council (NRC), that 
the Army continue its current baseline incineration program 
until such time as the evaluation of alternative technologies 
for demilitarization and destruction of the stockpile is 
concluded. The conferees note the progress that has been made 
in the program. More than 50 percent (2 million pounds of 
chemical agents) of the chemical agent and munitions stockpile 
on Johnston Atoll has been destroyed and full-scale 
demilitarization operations continue at that site. On June 26, 
1996, the State of Utah granted approval for the Army to begin 
chemical munitions destruction operations using the baseline 
incineration process at the Tooele Chemical Agent Disposal 
Facility in Tooele, Utah.
      The conferees have reviewed the ``Department of Defense's 
Interim Status Assessment for the Chemical Demilitarization 
Program,'' dated April 15, 1996, that was submitted to the 
Congress in response to section 152(c) of the National Defense 
Authorization Act for Fiscal Year 1996 (Public Law 104-106). 
Measures for potential reductions in the total cost of the 
chemical stockpile destruction program are under review within 
the Department of Defense. Although there is no evidence of 
immediate danger from stockpile, risk assessments from the 
programmatic environmental impact statement and the ongoing 
site-specific risk analysis updates continue to indicate that 
storage risk is much greater than the risks associated with 
executing the current chemical stockpile disposal program and 
that delay in the disposal effort will result in increased 
public risk. The Secretary of Defense is directed to submit to 
the Congress, with the Defense budget request for fiscal year 
1998, a final report on the assessment and recommendations for 
revision to the current baseline incineration program, 
including the use of alternative technologies, which could 
reduce program costs and increase public safety.
Alternative technologies
      The assessment discusses progress in the alternative 
technologies research and development program. Under this 
program, the Army, in coordination with the NRC, is evaluating 
five technologies for potential use at the bulk-only stockpile 
sites (Aberdeen Proving Ground, Maryland, and Newport Army 
Ammunition Depot, Indiana). The Army's evaluation and the NRC's 
recommendations will provide the basis for an October 1996 
decision by the Department of Defense on the continued 
development of an alternative chemical agent destruction 
process for the bulk-only storage sites. Should the Secretary 
of Defense decide to continue the development at an alternative 
technology for demilitarization of the chemical agents at the 
bulk-only chemical stockpile storage sites, the conferees agree 
that the Secretary should utilize current authority to 
reprogram funds to initiate a pilot program for this purpose.
      The conferees note that the Army's alternative 
technologies research and development program has been limited 
to consideration of alternative technologies for potential use 
at the bulk-only storage sites. The conferees believe that 
consideration should be given also to variants of the baseline 
program in which alternative technologies and processes are 
used for destruction of the chemical agent associated with 
assembled chemical munitions. The conferees have included a 
provision that would direct the Secretary of Defense, in 
coordination with the NRC, to conduct an assessment of such 
alternative technologies and processes and to report the 
results of the assessment to the Congress not later than 
December 31, 1997, together with any recommendations for 
revisions to the baseline program for destruction of assembled 
chemical munitions. Should the Secretary of Defense recommend 
the continued development of an alternative technology or 
process for destruction of the chemical agents associated with 
assembled chemical munitions, as mentioned earlier in this 
report, the conferees have included a provision which would 
make $25.0 million available from funds authorized in this Act 
to initiate a pilot program for this purpose. In order to 
minimize environmental permitting delays for a full-scale 
program which might use the alternative technology or process, 
the provision provides that the pilot program for development 
of the technology or process shall be conducted at the specific 
chemical agent and munitions stockpile storage for which the 
alternative technology or process is recommended.
Management of Chemical Agents and Munitions Destruction Program
      The conferees agree that the Department of Defense must 
provide for unified and integrated overall management of the 
chemical agents and munitions destruction program and the non-
stockpile agents and munitions destruction program. The 
conferees are concerned that a divided program under separate 
managers, would result in duplication of effort, increased 
costs, and reduced safety. Accordingly, the conferees continue 
to support the current management structure within the 
Department of Defense, with the Army as executive agent for the 
chemical agents and munitions destruction program, which 
includes the baseline incineration program, alternative 
technologies for the bulk-only stockpile sites, alternative 
technologies for the destruction of assembled chemical 
munitions, and the non-stockpile chemical agents and weapons 
destruction program. Additionally, the conferees appreciate the 
support and efforts of the National Research Council in 
conducting oversight of the chemical agents and munitions 
destruction program, and believe that it should continue to 
perform this function for the Department.
         Title II--Research, Development, Test, and Evaluation
Battle integration center
      The budget request included $2.9 million in PE 63308A for 
Army missile defense systems integration.
      The Senate amendment recommended an increase of $27.0 
million in PE 63308A for the Army's Battle Integration Center 
(BIC).
      The House bill did not include additional funds for BIC.
      The House recedes.
Tactical electronic support systems
      The budget request included $2.0 million for tactical 
electronic support systems.
      The House bill and the Senate amendment contained an 
increase of $2.0 million to fund integration of the work 
completed by the Defense Advanced Research Projects Agency that 
developed the first operational prototype of an intelligence 
fusion system known as the Integrated Battlespace Intelligence 
Server, or IBIS.
      The conferees agree to authorize $4.0 million for PE 
63745A to support technological transfer requirements.
Intelligence data support systems
      The budget request included the following amounts for 
intelligence support systems:
                          [Dollars in millions]                         
------------------------------------------------------------------------
               Program                     Program element       Funding
------------------------------------------------------------------------
All Source Analysis System (ASAS)....  PE 63745A..............       2.0
Joint Maritime Combat Information      PE 64231N..............      11.3
 System (JMCIS).                                                        
Intelligence Analysis System (IAS)...  PE 26313M..............       1.2
Combat Information System (CIS)......  PE 27431F..............       7.7
------------------------------------------------------------------------
      The House bill would authorize an additional $2.0 million 
for ASAS and an additional $1.0 million each for the IAS, 
JMCIS, and CIS in their appropriate program elements. The House 
bill would also authorize an increase of $1.0 million in PE 
1160405BB for the U.S. Special Operation Command's research, 
analysis and threat evaluation system (SOCRATES). These funds 
would be used for improvements in interoperability, improved 
data fusion, reduced operator work load, and reduced 
development costs.
      The Senate amendment would authorize the budget request 
for these programs.
      The conferees agree to authorize an increase of $2.0 
million in PE 63745A, $1.0 million in PE 64231N, $1.0 million 
in PE 26313M, and $1.0 million in PE 1160405BB as recommended 
in the report accompanying the House bill (H. Rept. 104-563).
High Energy Laser Systems Test Facility
      The budget request included $3.0 million in PE 65605A for 
the High Energy Laser Systems Test Facility (HELSTF).
      The Senate amendment would authorize an additional $21.7 
million in PE 65605A for the continued operation and upgrade of 
the facility.
      The House bill would authorize the budget request.
      The House recedes.
Missile/air defense product improvement program
      The budget request included $31.0 million for missile and 
air defense improvements.
      The House bill would authorize an increase of $20.0 
million to the budget request.
      The Senate amendment would authorize an increase of $55.0 
million in PE 23801A. Of this amount, $40.0 million would be to 
complete analysis on cruise missile enhancements to the Patriot 
PAC-1 missile and an additional $15.0 million for evaluation of 
the Starstreak missile.
      The conferees agree to authorize $71.0 million in PE 
23801A to complete the Patriot cruise missile seeker 
assessment. The Starstreak missile program is addressed 
elsewhere in this report.
Advanced gun systems technology program
      The budget request included $4.8 million in PE 62111N for 
applied research in advanced gun and projectile technologies in 
support of the naval surface fire support (NSFS) program.
      The House bill would authorize an increase of $2.8 
million to accelerate development of advanced miniaturized, 
gun-hardened global positioning system/inertial navigation 
(GPS/INS) guidance and control technology and development of 
advanced technologies for next-generation gun systems.
      The Senate amendment would authorize the budget request.
      The Senate recedes.
Rocket propulsion programs
      The House bill authorized an increase of $19.0 million 
for rocket propulsion technology programs in PE 62111N, PE 
63217N, PE 62601F, and PE 63302F.
      The Senate amendment contained no similar provision.
      The conferees agree to provide an increase of $19.0 
million as specified in the House report (H. Rept. 104-563).
Cooperative engagement capability
      The budget request included $164.5 million in PE 63755N 
and $9.9 million in PE 24152N for continued development of the 
Navy's cooperative engagement capability (CEC). Funding 
provided by the budget request would focus on the development 
of shipboard and airborne cooperative engagement systems (CES), 
initial operational test and evaluation of shipboard CES, and 
development of organic integrated logistic support for the CES.
      CEC is designed to enhance the warfighting capabilities 
of ships and aircraft by combining the data derived from 
various sensors into a single common representation that is 
available with the same positional accuracy to all 
participating ships. The Navy reports that a challenging cruise 
missile defense exercise, Mountain Top, which relied heavily on 
CEC position information, was held earlier this year in Hawaii. 
The exercise involved over-the-horizon detection, tracking, and 
engagement of a variety of difficult targets. The Navy 
currently projects that initial operational capability of the 
system will be achieved by September 1996. During testimony at 
this year's defense posture hearing, the Secretary of Defense 
singled out CEC as a program of high priority that he chose to 
accelerate because of its great potential for linking units 
from more than one service together and greatly increasing 
their warfighting ability.
      Despite relatively robust funding for CEC in this year's 
budget request, it contains no funding to pursue joint service 
integration efforts that were begun last year. Successful 
consummation of these efforts, in consonance with the Navy's 
baseline program, could greatly leverage the capability of the 
services to conduct joint operations and provide ballistic 
missile defense. Another area not addressed by the budget 
request, an issue raised in committee hearings this year, is 
reported interference between CEC and other data links 
currently in use in the fleet.
      The House bill would authorize an increase of $27.0 
million in PE 63755N for the CEC program and urge the continued 
acceleration and expansion of joint service integration 
efforts, including application to the Airborne Warning and 
Control Systems (AWACS) aircraft, Patriot and Theater High 
Altitude Area Defense (THAAD) missile systems, Marine Corps 
TPS-59 radar and the HAWK missile system.
      The Senate amendment would authorize an increase of $63.0 
million above the budget request for CEC in PE 63755N to permit 
continued pursuit of a number of promising efforts, including 
CEC integration with AWACS and national sensors, to accelerate 
development of an airborne capability for the system, and to 
address the issue of CEC interference with other fleet data 
links, particularly the link installed on the SH-60B.
      The conferees agree to an increase of $35.0 million in PE 
53755N for the CEC program and urge the continued acceleration 
and expansion of joint service integration efforts, including 
application to AWACS aircraft, Patriot and THAAD missile 
systems, Marine Corps TPS-59 radar and the HAWK missile system. 
The conferees also direct the Secretary of the Navy to prepare 
a detailed report, for submission no later than March 15, 1997, 
on:
            (1) progress made in resolving the issue of 
        spectrum interference as a result of the reallocation 
        under title VI of the Omnibus Reconciliation Act of 
        1993 of the spectrum in which CEC operates; and
            (2) steps that the Secretary has taken to address 
        and resolve harmful interference between CEC and other 
        fleet weapons systems and data links.
Naval surface fire support program
      The budget request included $42.2 million in PE 63795N 
for gun weapons system technology. Of this amount, $20.2 
million is for the continued development of a 5-inch extended 
range guided munition (ERGM) round. The Navy is developing this 
round to address a gap in its ability to provide accurate naval 
surface fire support (NSFS) during an amphibious assault at the 
ranges dictated by current requirements. Of the $20.2 million, 
no funds have been budgeted for risk mitigation in the 
development of a GPS/INS guidance unit for the projectile, the 
component judged to have the greatest technical risk.
      The House bill would not authorize an increase of $5.0 
million to the budget request to build on the Navy's guidance 
risk reduction program; accelerate development and 
qualification of micro-electro-mechanical systems (MEMS) -
based, low cost global positioning system/inertial navigation 
system (GPS/INS) guidance and control technology; and ensure 
the availability of that technology for the Navy's 5-inch ERGM 
production program and for other guided munitions, rocket, and 
missile programs.
      The Senate amendment would authorize an increase of $3.0 
million to the budget request in PE 63795N for risk mitigation 
in development of the 5-inch ERGM.
      The Senate recedes.
      The conferees agree to an increase of $5.0 million in PE 
63795N for risk mitigation in development of the Navy's 5-inch 
ERGM and acceleration of the development of MEMS-based GPS/INS 
guidance and control technology for the ERGM projectile. 
Consistent with direction provided in the National Defense 
Authorization Act for Fiscal Year 1996, the conferees also 
agree to authorize an increase of $0.4 million above the budget 
request to support the retention of two Iowa class battleships 
on the naval register in an inactive status until the Navy is 
able to replace their potential NSFS capability.
Joint Maritime Combat Information System (JMCIS)
      The budget request included $11.3 million in PE 64231N 
for the Navy tactical command system afloat (NTCS-A) component 
of the joint maritime command information system (JMCIS).
      The House bill would authorize an increase to the budget 
request of $14.5 million as follows:
            (1) an additional $1.0 million in PE 64231N to 
        explore and initiate efforts to improve 
        interoperability between JMCIS and the other service 
        intelligence support terminals;
            (2) an additional $2.0 million in PE 64231N for 
        proliferating the RADIANT MERCURY automated multi-level 
        security sanitizer;
            (3) an increase of $1.5 million in PE 64231N for 
        development of an integrated two-way Link 16 processing 
        capability for the JMCIS software; and
            (4) an additional $10.0 million in a new program 
        element, PE 64770N, for integrating a capability for 
        the U.S. Navy to receive, process, and utilize the 
        joint surveillance target attack radar system (JSTARS) 
        moving target indicator (MTI) synthetic aperture radar 
        (SAR) system data.
      The Senate amendment would authorize an additional $23.0 
million above the budget request to:
            (1) develop an integrated two-way Link 16 
        processing capability in JMCIS software;
            (2) incorporate the Air Force's contingency theater 
        automated planning system (CTAPS) into JMCIS;
            (3) develop an upgrade to permit data exchange 
        between JSTARS and the Navy's afloat planning system 
        (APS);
            (4) field the RADIANT MERCURY automated multi-level 
        security sanitizer; and
            (5) develop the tools and architecture that will 
        allow users to selectively request, filter, and process 
        supporting databases.
Of the $23.0 million, $19.5 million would be for research and 
development in PE 64231N and $3.5 million would be for 
procurement.
      The conferees agree to authorize an additional $13.0 
million above the budget request in PE 64231N as follows:
            (1) $1.0 million for coordinating JMCIS functional 
        capabilities with the other service intelligence 
        terminals;
            (2) $2.0 million for fielding RADIANT MERCURY;
            (3) $1.5 million for two-way Link 16; and
            (4) $8.5 million for receiving and exploiting the 
        JSTARS MTI capabilities.
      The conferees also agree to authorize an increase of $3.5 
million of procurement funding to accomplish these objectives.
CV-22 special operations tiltrotor aircraft
      The budget request included $576.8 million in PE 64262N 
for development of the V-22 tiltrotor aircraft to meet the 
medium lift amphibious/vertical lift needs of the Marine Corps 
(MV-22) and the special operations needs (CV-22) of the Special 
Operations Command (SOCOM). The Navy and the SOCOM acquisition 
executives reached agreement on a program that will develop an 
aircraft capable of meeting the SOCOM's needs for the CV-22. 
This program provides for remanufacture of a MV-22 test 
aircraft to CV-22 standards for test and evaluation, rather 
than providing a new aircraft off the production line.
      The House bill would authorize an additional $37.0 
million to procure a new aircraft to support testing and 
evaluation of the CV-22, notwithstanding the agreement between 
the Department of the Navy and SOCOM acquisition executives. 
The House report (H. Rept. 104-563) expressed the opinion that 
the remanufacturing alternative would represent a significant 
challenge for the program office to complete the CV-22 program 
with the desired capabilities by the date of the required 
special operations initial operational capability (IOC). The 
report expressed the opinion that the agreed plan would pose an 
unacceptable risk to CV-22 program. The report indicated that 
the House expected the Secretary of the Navy to include the 
total of $47.0 million required to complete the CV-22 test and 
evaluation aircraft in the Navy's budget requests for fiscal 
years 1998 and 1999.
      The Senate amendment would authorize an additional $20.0 
million for funding for risk mitigation during the first year 
of low rate initial production. The Senate report (S. Rept. 
104-267) noted that the program agreed upon by the Navy and 
SOCOM acquisition executives would be predicated on 
remanufacture of an MV-22 aircraft for CV-22 test and 
evaluation, and would represent compliance with all key 
performance parameters and most of the threshold requirements 
defined in the joint operational requirements document (JORD). 
The report noted that using a remanufactured MV-22 flight test 
article would represent an innovative, cost-effective solution 
to the problem of living within the program's resources. The 
report also noted that the remanufacturing approach represents 
a challenge for the program office to complete the CV-22 
program with the agreed-on capabilities on or before the 
required IOC in 2005. The report also noted that the Senate 
expected the joint program office to release aircraft number 
nine back to the contractor for remanufacture by August 1, 
1999. Should additional testing for the MV-22 program be 
necessary, the program manager would be required to develop and 
implement the necessary options to complete MV-22 testing 
without the use of aircraft number nine after August 1, 1999.
      The conferees understand that, notwithstanding the 
agreement that the SOCOM acquisition executive signed, the 
SOCOM would prefer to have a new, rather than a remanufactured 
aircraft to conduct CV-22 testing. The SOCOM has expressed 
concern that meeting the established IOC of having 15 aircraft 
available in fiscal year 2005 is at risk. The conferees also 
understand that the SOCOM has reservations about accepting an 
aircraft for the remanufacture program that could have upwards 
of 200 hours of flight time, based on previous experience with 
the MH-47 program.
      The conferees observe that there are some similarities 
and some differences between the schedules for the buying and 
remanufacturing approaches;
      (1) The schedule laid out by the Department indicates 
that the program preferred by the SOCOM would involve building 
an MV-22 aircraft that would later be converted to CV-22 
configuration. Building a CV-22 aircraft, when the CV-22 is 
itself in development, now would involve too much concurrency.
      (2) This MV-22 aircraft would be inducted into a CV-22 
conversion program at the same time that an existing test 
aircraft would enter a remanufacturing program to turn it into 
a CV-22 test aircraft. According to the current schedule, both 
programs would deliver a CV-22 aircraft for testing in May, 
2000.
      (2) Buying a new dedicated test aircraft would reduce 
schedule risk. Should something happen to one of the test 
aircraft during MV-22 testing, the whole testing program and 
making one of the test aircraft available for remanufacturing 
could be delayed.
      The conferees note that such schedule risk could be 
mitigated by the fact that this bill would add two production 
MV-22 aircraft that could be made available in lieu of 
providing a test aircraft for remanufacture. However, having an 
extra test aircraft available over the life of the MV/CV-22 
program would ease the problems of testing schedules.
      The conferees agree to provide an additional $37.0 
million, with $27.0 million for the new MV-22 aircraft that 
would be converted to CV-22 configuration later, and $10.0 
million provided only for mitigating technical risk in the 
overall V-22 program.
      The conferees have agreed to support the extra dedicated 
test aircraft because of SOCOM's view that this aircraft is the 
Command's number one unfunded priority. The conferees are 
willing to defer to the SOCOM in this case, with the 
understanding that the SOCOM will budget for the additional 
funds, beyond those now included in the program plan for 
remanufacture of an MV-22 to the CV-22 configuration, for: (1) 
the rest of the costs of the new aircraft; and (2) any CV-22-
unique risk mitigation effort that SOCOM views as important. 
The conferees expect that these funds would be transferred from 
SOCOM to the Navy acquisition executive during the years of 
execution.
Precision targeting and location system
      The budget request included $78.7 million in PE 64270N 
for electronic warfare engineering and manufacturing 
development.
      The House bill would authorize an additional $3.5 million 
for development and demonstration in a flyable prototype of 
currently available technology capable of rapid, precision 
location of sources of global positioning system collateral 
interference and intentional jamming in order to assess the 
technical feasibility and utility of such a targeting system on 
operational aircraft and unmanned aerial vehicles.
      The Senate amendment did not include a specific 
authorization for such a precision targeting and location 
system development and demonstration program.
      The Senate recedes.
Battle group passive horizon extension system--surface terminal
      The budget request included $1.9 million PE 64721N for 
continued research and development of the battle group passive 
horizon extension system--surface terminal (BGPHES-ST) 
capabilities.
      The House bill would authorize an increase of $1.0 
million in PE 64721N for procurement by the Navy of existing 
Air Force processing capabilities and algorithms for 
exploitation of the class of threats known as ``PROFORMA'' and 
integration of EPR-157 and EPR-208 capabilities in existing 
BGPHES-ST hardware.
      The Senate amendment would authorize the budget request.
      The Senate recedes.
Tactical electronic reconnaissance processing and evaluation system
      The budget request included $2.5 million in PE 26313M for 
upgrade to, and communications integration testing within, the 
tactical electronic reconnaissance processing and evaluation 
system (TERPES).
      The House bill would authorize an additional $855,000 to 
provide communication software upgrades to improve TERPES 
interoperability with the global command and control system 
(GCCS) and the tactical air mission planning system (TAMPS).
      The Senate amendment would authorize the budget request.
      The Senate recedes.
GEOSAT Follow-On
      The Senate amendment contained $20.0 million to begin 
development of a second GEOSAT Follow-On (GFO-2) altimetry 
satellite.
      The House bill did not include funding for GFO-2.
      Given the cost growth that has taken place in the GFO-1 
program, the conferees agree to authorize $15.0 million in PE 
35160N to commence work on GFO-2, subject to the following 
restrictions: (1) Of the $15.0 million authorized for GFO-2, 
the conferees agree to authorize the use of up to $10.0 million 
to compensate for cost growth in the GFO-1 program and to ready 
the satellite for launch; and (2) the conferees direct the 
Secretary of the Navy not to obligate or expend any of the 
funds on a GFO-2 program until the Secretary certifies to 
Congress that technical and cost issues associated with GFO-1 
have been satisfactorily resolved and the Secretary recommends 
proceeding with GFO-2.
High frequency active auroral research program
      The budget request included $121.1 million for Phillips 
Laboratory exploratory development (PE 62601F) and $54.1 
million for counterproliferation support (PE 63160D).
      The Senate amendment authorized an increase of $15.0 
million for the high frequency active auroral research program, 
with $7.5 million in PE 62601F and $7.5 million in PE 63160D.
      The House bill authorized the budget request.
      The House recedes.
Space architect
      The budget request included $15.0 million in PE 63855F 
for the Department of Defense Space Architect.
      The House bill recommended a reduction of $4.0 million 
from the request, to include any ``pass-through'' funding 
intended for the Office of the Secretary of Defense for which 
there was no request.
      The Senate amendment approved the budget request.
      The conferees agree to authorize $13.0 million in a new 
operational systems development program element, a reduction of 
$2.0 million. The conferees are following with interest the DOD 
Space Architect's on-going reviews of the appropriate military 
satellite communications architecture and the architecture for 
space control. The conferees expect to be kept apprised of 
progress during the conduct of these important reviews. The 
conferees also strongly urge the Architect to consult closely 
with the Commander-in-Chief, U.S. Space Command during these 
reviews. Finally, the conferees direct that, in the submission 
of the fiscal year 1998 budget request, funding for the Deputy 
Under Secretary of Defense for Space not be included along with 
funds for the Space Architect.
Nuclear weapons support
      The budget request included $4.8 million in PE 64222F for 
nuclear weapons support.
      The conferees are concerned about the backlog of 
requirements for nuclear weapons support for various systems 
and the impact this backlog can have upon U.S. confidence in 
the reliability of the nuclear weapons stockpile. Accordingly, 
the conferees recommend an increase of $1.0 million for 
activities of the Air Force's Nuclear Weapons Integration 
Office. The conferees direct the Secretary of the Air Force to 
include sufficient funds in the fiscal year 1998 budget request 
to eliminate this backlog.
Global positioning system
      The Senate amendment recommended an increase of $7.1 
million in PE 64480F to sustain the development and support a 
production rate of three Block IIF Global Positioning System 
(GPS) satellites per year, which will be required to maintain a 
full 24-satellite constellation. The Senate amendment also 
recommended an increase of $5.0 million in PE 35164F to 
accelerate activities necessary to ensure effective use of 
high-precision GPS signals by United States forces, and the 
means to deny access to those signals by hostile forces.
      The House bill recommended approval of the budget request 
for GPS.
      The conferees agree to authorize an increase of $7.1 
million in Missile Procurement, Air Force, to sustain the 
development and support a production rate of three Block IIF 
GPS satellites per year. The conferees also agree to authorize 
an increase of $5.0 million in PE 35164F to accelerate 
activities necessary to ensure effective use of high-precision 
GPS signals by United States forces, and the means to deny 
access to those signals by hostile forces.
Experimental evaluation of major innovative technologies (EEMIT)
      The budget request included $635.6 million for 
experimental evaluation of major innovative technologies 
(EEMIT) (PE 63226E).
      The House bill would authorize an increase of $38.4 
million in PE 63226E: $2.4 million for fuel cells; $5.0 million 
for telemedicine (PE 63002A); $10.0 million for cruise missile 
defense; $4.0 million for safety and survivability; $5.0 
million for digital battlefield medical x-ray technology; and 
$12.0 million for the passive millimeter wave camera.
      The Senate amendment would authorize an increase of $77.3 
million in PE 63226E: $50.0 million for cruise missile defense; 
$3.0 million for the large millimeter wave telescope; $10.0 
million for Crown Royal; $4.3 million for carbonate-based fuel 
cells; and $10.0 million for thermophotovoltaics.
      The conferees agree to a total authorization for EEMIT of 
$648.7 million in PE 63226E. The conferees agree to authorize 
$2.1 million for fuel cells; $8.0 million for the telemedicine 
project for disaster relief and emergency medical services 
(DREAMS); $10.0 million for thermophotovoltaics; $3.0 million 
for the large millimeter wave telescope; and of the funds 
available in the EEMIT line, $5.0 million may be used for the 
passive millimeter wave camera.
      The conferees agree to reduce the authorization by $5.0 
million for dynamic multiuse information fusion, and by $5.0 
million for the joint forward air combat control project.
Data review and analysis monitoring aid (DRAMA)
      The budget request included $13.8 million for the Defense 
Support Activities (PE 65798S).
      The Senate amendment would authorize an increase of $3.0 
million in PE 65798S for the continuation of the DRAMA program 
to reduce duplication in the defense supply system.
      The House bill would authorize the budget request.
      The House recedes.
Joint command, control, communications, and computers/intelligence, 
        surveillance, and reconnaissance
      The budget request included $2.9 million in PE 33149K for 
C4I for the Warrior, a new initiative that promotes the 
development and demonstration of joint and coalition command, 
control, communications, and computers/intelligence 
interoperability.
      The House bill would authorize an increase of $15.0 
million for development of improved capabilities for concept 
development, analysis, and evaluation of advanced technology 
and concepts for joint command, control communications, and 
computers/intelligence, surveillance, and reconnaissance, 
including $10.0 million for establishment of a battle 
laboratory and $5.0 million for development of advanced 
modeling and simulation.
      The Senate amendment would authorize the budget request.
      The House recedes.
Defense Airborne Reconnaissance Office (DARO) research and development
      The budget request included $438.6 million for research 
and development for the Defense Airborne Reconnaissance 
Program.
      The House bill would add a total of $90.5 million to the 
request. The Senate amendment would increase the request by 
$23.4 million. Details of the adjustments in the House bill and 
the Senate amendment, as well as the final conference 
agreement, are displayed in the table below:
                               DEFENSE AIRBORNE RECONNAISSANCE PROGRAM DEVELOPMENT                              
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                           Budget                                                     Conference
                Program                   request        Proposed House           Change Senate       agreement 
----------------------------------------------------------------------------------------------------------------
  Tactical UAV joint program--project                                                                           
 141:                                                                                                           
    Tactical UAV......................       51,449      (18,000)                (12,800)                 33,449
    Tactical control system...........        7,067  ......................  ......................        7,067
    Common systems development........        6,092  ......................  ......................        6,092
                                       -------------------------------------------------------------------------
      Subtotal--project 141...........       64,608      (18,000)                (12,800)                 46,608
                                       =========================================================================
  Airborne reconnaissance program--                                                                             
 project 525:                                                                                                   
    Advanced sensors..................       66,367       15,000             ......................       76,367
    Reconnaissance advanced technology       17,523        8,000             ......................       25,523
    Common data link..................       29,431  ......................       (6,500)                 22,931
    DARO operations...................          641  ......................  ......................          641
                                       -------------------------------------------------------------------------
      Subtotal--project 525...........      113,962       23,000                  (6,500)                125,462
                                       =========================================================================
  Endurance UAVs--project 527:                                                                                  
    Predator..........................        6,099  ......................  ......................        6,099
    High altitude endurance (HAE) UAV                                                                           
     common ground segment............       71,642  ......................  ......................       71,642
    Conventional HAE (Global Hawk)....       81,227  ......................  ......................       71,227
    Low observable HAE (Dark Star)....       17,426       28,500             ......................       45,926
                                       -------------------------------------------------------------------------
      Subtotal--project 527...........      176,394       28,500             ......................      194,894
                                       =========================================================================
  Manned reconnaissance program--                                                                               
 project 530:                                                                                                   
    U-2...............................        4,161       57,000                  42,700                  46,861
    U-2 support for precision guided                                                                            
     munitions........................       24,119  ......................  ......................       24,119
                                       -------------------------------------------------------------------------
      Subtotal--project 530...........       28,280       57,000                  42,700                  70,980
                                       =========================================================================
  Distributed common ground system                                                                              
 (DCGS)--project 531:                                                                                           
    Common imagery ground/surface                                                                               
     system (CIGSS)...................       47,780       11,000             ......................       47,780
    Airborne reconnaissance ground                                                                              
     SIGINT system (ARGSS)............        5,116  ......................  ......................        5,116
    DCGS interoperability.............        2,419  ......................  ......................        2,419
                                       -------------------------------------------------------------------------
      Subtotal--project 530...........       55,315       11,000             ......................       55,315
                                       =========================================================================
      Total PE 35154D.................      438,559       90,500                  23,400                 493,259
----------------------------------------------------------------------------------------------------------------
            TACTICAL UNMANNED AERIAL VEHICLES (PROJECT 141)
      The budget request for tactical unmanned aerial vehicles 
(project 141) included $64.6 million for fiscal year 1997.
      The House bill would reduce the budget request by $18.0 
million.
      The Senate amendment would reduce the budget request by 
$12.8 million.
      The conferees agree to recommend $46.6 million for the 
joint tactical unmanned aerial vehicle (JTUAV) program, a 
reduction of $18.0 million. The restructuring of the program 
and the creation of an advanced concept technology 
demonstration (ACTD) has resulted in excess unexpended funds 
from fiscal years 1995 and 1996. Accordingly, the conferees 
recommend a reduction of $18.0 million.
      The conferees note the rapidity with which the DARO has 
initiated the JTUAV program as an ACTD. The conferees are 
skeptical of the Department's stated intention to transition 
the JTUAV ACTD into an acquisition program before having any 
experience with even a limited demonstration of the program. It 
appears that the Department is using the ACTD program to 
circumvent acquisition requirements, rather than to demonstrate 
new technologies on a limited basis. Considering the 
Department's unimpressive record of UAV acquisitions, and 
continuing difficulties in fielding proposed sophisticated 
UAVs, the conferees urge caution. Not only has the Department 
had difficulties in fielding systems, but it continues to 
endure significant losses of existing UAVs to mechanical 
malfunction. The conferees intend to follow closely the JTUAV 
development to ensure DARO adheres to accepted acquisition 
principles and regulations, and its commitment to timely 
results.
      Finally, noting the continued difficulties experienced by 
the DARO in developing a suitable heavy fuel engine for its 
UAVs, the conferees encourage competition to the maximum extent 
possible in developing this capability.
             AIRBORNE RECONNAISSANCE PROGRAM (PROJECT 525)
Joint airborne signals intelligence (SIGINT) architecture (JASA)
      The budget request included $51.8 million within the 
$66.3 million contained in the advanced sensors line to 
continue the joint airborne SIGINT system (JASS) development, 
including continuing work on the JASS high band prototype 
(HBP).
      The House bill would authorize the request. The House 
report (H. Rept. 104-563) would prohibit the Department from 
obligating any funds for the HBP follow-on system, the JASS 
high band subsystem (HBSS), until the completion of flight 
testing and when the HBP had proven its utility.
      The Senate amendment would authorize the request without 
similar restrictions.
      The conferees agree to authorize the requested amount for 
HBP to continue airborne SIGINT functional developments, 
including the technical infrastructure upgrades necessary for 
aircraft to incorporate future developments. However, because 
the Department is scheduled to award the HBSS contract before 
the HBP flight testing has begun, the conferees direct that no 
funds be obligated to integrate and develop the HBSS until the 
Secretary of Defense certifies to the Congress that such 
concurrency provides an acceptable level of technical and 
schedule risks. The conferees also direct the Secretary to 
provide a complete cost and capability analysis of those 
elements of the HBP that will be used in the HBSS.
      The conferees remain concerned about the health and long-
term well-being of airborne SIGINT reconnaissance, because of 
the pressures to field sensor and system improvements to keep 
abreast of constantly evolving threats. The conferees believe 
the DARO should be managing the airborne SIGINT program in a 
manner that provides for needed upgrades while moving toward 
the objective JASA architecture.
Electro-optic camera framing technology
      The budget request contained $114.0 million for the 
airborne reconnaissance program (project 525), including $66.4 
million for advanced sensor development.
      The House report (H. Rept. 104-563) noted that several 
technologies show promise for providing precision point 
targeting and location data. The House bill would authorize an 
additional $15.0 million for the continued development and 
evolution of the electro-optic (EO) framing sensors with on-
chip forward motion compensation (FMC) technology, including:
            (1) $3.0 million for the operational insertion and 
        testing of a medium altitude wide area coverage ``step 
        frame'' sensor;
            (2) $2.2 million to develop enhanced data 
        compression algorithms;
            (3) $5.8 million to conduct a study of, and begin 
        development for, an EO framing infrared (IR) charge-
        coupled device with on-chip FMC; and
            (4) $4.0 million to support multi-spectral EO 
        framing technologies with on-chip FMC.
      The Senate amendment would authorize the budget request.
      The conferees agree to authorize $10.0 million for 
continued research and development of this capability, 
including:
            (1) $3.0 million for the medium altitude wide area 
        coverage step frame sensor;
            (2) $4.0 million for enhanced data compression 
        algorithms; and
            (3) $3.0 million for multi-spectral EO framing 
        technology development with on-chip FMC.
      The conferees are aware that the area of EO/IR framing 
technologies is dynamic, with several vendors offering 
approaches to solving reconnaissance mission needs. Therefore, 
the conferees encourage the DARO to avail itself of the 
benefits of this competitive marketplace in addressing the 
conferees' concerns.
Multi-function self-aligned gate technology
      The budget request included $114.0 million for the 
airborne reconnaissance program (project 525), including $17.5 
million for the reconnaissance advanced technology project.
      The House bill would provide an additional $8.0 million 
for the reconnaissance advanced technology project for multi-
function self-aligned gate (MSAG) technology.
      The Senate amendment would authorize the budget request.
      The conferees agree to provide an additional $8.0 million 
for MSAG as described in the House report (H. Rept. 104-563).
            endurance unmanned aerial vehicles (project 530)
Global Hawk
      The budget request included $81.2 million project 530 for 
the Global Hawk UAV ACTD, including $10.0 million for 
development of a signals intelligence payload.
      The House bill would prohibit the obligation of funds for 
the signals intelligence payload until the Global Hawk has been 
proven in flight demonstrations.
      The Senate amendment would authorize the budget request.
      The conferees agree to recommend a reduction of $10.0 
million to the budget request for the Global Hawk.
Dark Star
      The budget request included $17.4 million within project 
530 for the Dark Star UAV.
      The House bill would increase the budget request by $17.5 
million to upgrade electro-optical cameras, provide a 
redesigned synthetic aperture radar antenna, and provide a more 
robust aerial vehicle design.
      The first Dark Star vehicle crashed on its second test 
flight. Subsequent to this event and the passage of H.R. 3230, 
the Intelligence Authorization Bill recommended adding $22.0 
million to recover from the air vehicle crash.
      The Senate amendment would support the authorization in 
the budget request, but include a provision (sec. 216) on Dark 
Star described elsewhere in the statement of managers. The 
Senate recedes on the bill provision.
      The conferees agree on the importance of returning the 
Dark Star program to flight testing as soon as the program 
manager has extracted the necessary lessons from the recent 
crash. Realizing the potential of the Dark Star UAV to provide 
unique support to operational users, the conferees agree to 
authorize an additional $28.5 million for the Dark Star UAV, 
for the following purposes:
            (1) $22.0 million to complete the necessary 
        engineering and design efforts to recover from the 
        crash of the first air vehicle;
            (2) $3.5 million for integrating EO framing 
        technology with on-chip forward motion compensation 
        into the aircraft and associated ground processing 
        equipment; and
            (3) $3.0 million for long lead procurement for the 
        fifth air vehicle, which will replace the destroyed 
        aircraft.
              manned reconnaissance program (Project 530)
      The budget request for the manned reconnaissance program 
(project 530) was $28.3 million.
      The House bill would increase the budget request by $57.0 
million for projects as follows:
            (1) $10.0 million to improve and downsize the 
        Senior Year electro-optical system (SYERS) sensor to:
                    (a) enable the Air Force to fly the two 
                systems simultaneously on the U-2; and
                    (b) to improve SYERS geolocational 
                accuracies;
            (2) $7.0 million to support the ASARS improvement 
        program (AIP) to ensure this upgrade can be fielded by 
        fiscal year 1998;
            (3) $40.0 million, the remainder of recommended 
        additional funding, to upgrade Senior Ruby, Senior 
        Spear, and Senior Glass to a common configuration. 
        Specifically, the House report would direct the Air 
        Force to:
                    (a) upgrade the Senior Spear and Senior 
                Ruby sensors to the Senior Glass configuration; 
                and
                    (b) upgrade the existing Senior Glass 
                systems to an open architecture configuration 
                consistent with an architectural approach 
                approved by the Defense Cryptologic Program 
                manager.
      The House bill would also direct the Department to 
determine, and to program for, necessary future years level-of-
effort funding to continue evolutionary U-2 sensor upgrades.
      The Senate amendment would authorize an additional $32.7 
million to procure and integrate two additional Senior Glass 
payloads for the U-2 fleet. The Senate amendment would also 
provide an additional $10.0 million to repackage the SYERS 
sensor for simultaneous operation with other sensors, and to 
begin the effort to add geolocation, broad area coverage, and 
multi-spectral imaging capabilities.
      The conferees agree to recommend $70.9 million, or an 
increase of $42.7 million, to be applied as follows:
            (1) $32.7 million to procure and integrate 
        additional Senior Glass payloads;
            (2) $10.0 million to repackage the SYERS sensor for 
        simultaneous operation with other sensors, and to begin 
        the effort to improve capabilities for geolocation, 
        broad area coverage, and multi-spectral imaging.
      The conferees recognize that:
            (1) the DARO needs to develop and field systems 
        compliant with the joint airborne SIGINT architecture 
        (JASA);
            (2) the JASA effort is an important initiative for 
        providing future intelligence gathering capability; and
            (3) the Department needs to continue making 
        incremental upgrades to U-2 SIGINT capabilities to 
        maintain near-term capability, while the Department 
        completes JASA development.
             distributed common ground system (project 531)
      The budget request included $55.3 million in project 531, 
including $47.8 million for the common imagery ground/surface 
system (CIGSS).
      The House bill would authorize an additional $11.0 
million to modify core CIGSS components to ensure the program 
can achieve a common, interoperable baseline by fiscal year 
1998. The House report complimented the Department's technical 
solutions and management approach to migrating the various 
imagery ground stations to the CIGSS configuration and 
standards as outlined in the published handbook.
      The Senate amendment would support the budget request.
      The conferees agree to support the budget request of 
$55.3 million for project 531.
AC-130 aircraft enhancements, Special Operations Command
      The budget request included $83.9 million for tactical 
systems development for the U.S. Special Operations Command 
(SOCOM).
      The Senate amendment would authorize an increase of $5.8 
million in PE 1160404BB for enhancements to the SOCOM AC-130 
aircraft.
      The House bill would authorize the requested amount.
      The Senate recedes.
Advanced SEAL delivery system
      The budget request included $83.9 million in PE 1160404BB 
for special operations tactical development.
      In order to provide a significant improvement in the 
acoustic characteristics of the advanced SEAL delivery system 
(ASDS) before its procurement begins, the Senate amendment 
would authorize an increase of $2.8 million above the budget 
request in PE 1160404BB to provide quieter pumps and motors for 
the base design of the ASDS.
      The House bill would authorize the requested amount.
      The House recedes.
Rigid hull inflatable boat
      The budget request included $5.0 million for procurement 
of special warfare equipment, including $4.5 million for 
procurement of the Naval Special Warfare 10 meter Rigid Hull 
Inflatable Boat (RHIB).
      The House bill would authorize an increase of $2.75 
million in PE 1160404BB to complete development and operational 
testing of competing prototype RHIBs, a downselect decision to 
a single contractor, and other activities relative to a 
Milestone III decision for the RHIB in fiscal year 1997.
      The Senate amendment would authorize the budget request.
      The conferees agree to authorize the budget request.
      The conferees agree to authorize an increase of $4.5 
million in PE 1160404BB to complete development and operational 
testing of the RHIB as recommended in the House report (H. 
Rept. 104-563). The conferees further agree to a corresponding 
reduction in the amount authorized for procurement of special 
warfare equipment.
Ballistic missile defense funding and programmatic guidance
      The fiscal year 1997 budget request for the Ballistic 
Missile Defense Organization (BMDO) was $2.8 billion, including 
research, development, test, and evaluation (RDT&E), 
procurement, and military consideration.
      The House bill would authorize an increase of $724.8 
million for BMDO.
      The Senate amendment would authorize an increase of 
$855.9 million for BMDO.
      The conferees agree to authorize a total of $3,712.9 
million for BMDO, an increase of $914.2 million above the 
budget request. The conferees' recommended funding allocations 
are summarized in the following table. Additional programmatic 
and funding guidance are also provided below.
                         BMDO FUNDING ALLOCATION                        
                          [Millions of dollars]                         
------------------------------------------------------------------------
              Program                Request     Change   Recommendation
------------------------------------------------------------------------
Support Technology................      226.3     +147.5         373.8  
THAAD.............................      481.8     +140.0         621.8  
Hawk*.............................       19.4  .........          19.4  
TMD-BM/C3*........................       19.3  .........          19.3  
Navy Lower Tier**.................      310.7  .........         310.7  
Navy Upper Tier...................       58.2     +246.0         304.2  
Corps SAM.........................       56.2  .........          56.2  
BPI...............................  .........      +24.3          24.3  
NMD...............................      508.4     +350.0         858.4  
Joint TMD***......................      521.5       +6.4         527.9  
PAC-3**...........................      596.9  .........         596.9  
                                   -------------------------------------
    BMDO Total....................    2,798.7     +914.2       3,712.9  
------------------------------------------------------------------------
*Procurement only.                                                      
**Procurement and RDT&E.                                                
***RDT&E and Military Construction.                                     
                           support technology
      The budget request for BMDO's support technology programs 
(E 62173C/63173C) was $226.3 million. The conferees agree to 
authorize a net increase of $147.5 million for support 
technology.
      The conferees support BMDO's efforts in the area of wide 
bandgap electronics that are funded in the Innovative Science 
and Technology program (project 1651). The conferees agree to 
authorize an increase of $10.0 million in PE 62173C to 
facilitate a wide bandgap electronics program specifically 
targeting gallium nitride and silicon carbide as the major 
semiconductor technologies to be developed. The program should 
be affiliated with an academic institution involving a research 
and development facility for material growth, material 
characterization (including material surface behavior), and 
wide bandgap semiconductor device development.
      The conferees recommend an increase of $20.0 million in 
PE 63173C for United States-Russian cooperative BMD programs 
and activities, as specified in the House report (H. Rep. 104-
563).
      The conferees recommend an increase of $7.5 million in PE 
63173C for the Scorpius space launch technology demonstration 
program.
      The conferees strongly support BMDO's development of the 
Atmospheric Interceptor Technology (AIT) program and recommend 
an increase of $40.0 million in PE 63173C for the AIT program.
      The conferees continue to support development of the 
Space-Based Laser (SBL) program. SBL offers the potential for a 
high leverage system to deal with ballistic missiles of 
virtually all ranges. The conferees agree to authorize an 
increase of $70.0 million in PE 63173C to continue the SBL 
effort. The conferees believe that the Air Force should begin 
to take a much more active role in developing the SBL program. 
Specifically, the committee believes that the Air Force Space 
and Missile Systems Center should play a key role in designing 
a demonstrator spacecraft and providing detailed cost estimates 
for completion of such a demonstration program.
               theater high altitude area defense system
      The budget request included $481.8 million to complete 
Theater High Altitude Area Defense (THAAD) demonstration and 
validation (Dem/Val) and to begin engineering and manufacturing 
development (EMD). The conferees continue to support the 
development, production, and fielding of THAAD as a matter of 
highest priority. The conferees remain committed to fielding 
the THAAD system as quickly as technically feasible. The 
conferees agree to authorize an increase of $75.0 million in PE 
63861C and an increase of $65.0 million in PE 64861C, an 
overall increase of $140.0 million for the THADD program.
      The conferees also attach importance to the THAAD User 
Operational Evaluation (UOES) system. This system will provide 
valuable opportunities for training and testing. Most 
importantly, it will provide some limited operational 
capability in the event of a crisis. However, the conferees 
question the adequacy of a UOES capability based on 40 
interceptor missiles. The conferees believe that a total of 80 
missiles is more appropriate, and direct the Secretary of 
Defense to include funding to acquire these additional 40 UOES 
missiles in the fiscal year 1998 budget request.
      The administration's proposed program for THAAD does not 
include funding for a second EMD radar until very late in the 
program. The conferees believe that there are many compelling 
reasons to fund this radar earlier. Accordingly, the conferees 
direct the Secretary of Defense to proceed with acquisition of 
a second EMD radar in fiscal year 1997 and agree to authorize 
$65.0 million in long-lead funding for this purpose.
      The conferees strongly reject the idea that the THAAD 
development program should be delayed so as to allow a ``fly-
off'' between THAAD and the Navy Upper Tier system.
      The conferees understand that the Army plans to complete 
THAAD dem/val flight testing at the White Sands Missile Range 
and transition to flight testing at the Kwajalein Missile Range 
for the EMD phase. The conferees support this plan.
                     navy upper tier (theater wide)
      The budget request included $58.2 million for continued 
development of the Navy Upper Tier (Theater Wide) TMD system. 
This is a significant reduction from the $200.4 million 
authorized and appropriated in fiscal year 1996, and reflects 
the low priority that the administration attaches to this 
program. The conferees do not support the Department's 
recommendation to delay the development and deployment of the 
Navy Upper Tier system.
      The National Defense Authorization Act for Fiscal Year 
1996 mandates that the Navy Upper Tier system become the fourth 
``core'' TMD system and establishes accelerated milestones for 
this program. The conferees have not been made aware of any 
technical reasons why a Navy Upper Tier capability cannot be 
fielded on a much more aggressive schedule than proposed by the 
administration.
      The conferees continue to support the Navy Upper Tier 
system as a matter of priority. Sea-based upper tier TMD 
capability provides an important complement to ground-based 
systems, and each has unique attributes. Accordingly, the 
conferees recommend a net increase in PE 63868C of $246.0 
million to support an accelerated Navy Upper Tier program.
      The conferees are aware that BMDO has begun evaluating 
the key modifications required for the THAAD kill vehicle to be 
a candidate for the Navy Upper Tier mission. The conferees 
recommend the use of not more than $10.0 million to support 
this effort in fiscal year 1997 from the overall amount 
authorized for the Navy Upper Tier program, and not more than 
$10.0 million from the overall amount authorized for THAAD for 
this purpose.
      The conferees believe that the Navy, in conjunction with 
BMDO, should assess the potential that development of a new 
second stage motor for the Standard Missile could have for a 
range of missile defense applications. Accordingly, the 
conferees recommend the use of $10.0 million of the funds 
authorized for Navy Upper Tier to initiate this second stage 
motor development effort.
              corps sam/medium extended air defense system
      The budget request included $56.2 million for Corps 
surface-to-air missile (SAM)/Medium Extended Air Defense System 
(MEADS) program. The conferees endorse the MEADS program, which 
is required to defend forward-deployed troops, and approve the 
budget request, subject to limitation specified elsewhere in 
this report.
           united states-israel boost phase intercept program
      In the Statement of Managers accompanying the National 
Defense Authorization Act for Fiscal Year 1996, the conferees 
endorsed a cooperative program between the United States and 
Israel to develop a kinetic energy boost-phase intercept 
program based on an unmanned aerial vehicle (UAV). The 
conferees maintain their strong support for this concept. The 
budget request included $9.3 million in the Joint TMD program 
element (PE 63872C) to continue this effort. The conferees 
recommend that these funds be transferred to the BPI program 
element (PE 63870C) and that this amount be increased by $15.0 
million for a total authorization of $24.3 million.
      The conferees believe that the first step of this U.S.-
Israel BPI program should be a joint technology risk mitigation 
effort, aimed at reducing technological uncertainties. If this 
proves successful, it can be followed by an advanced technology 
demonstration to validate the technical feasibility of the 
concept and the major system elements. This would enable the 
United States and Israel to evaluate the potential for a joint 
acquisition program or one in which both countries continue to 
collaborate on separate but mutually reinforcing efforts.
                        national missile defense
      The budget request included $508.4 million for National 
Missile Defense (NMD). Based on information received from the 
Department of Defense, the conferees do not believe that the 
administration's proposed budget and program plan for NMD are 
adequate even to meet the stated purpose of its ``deployment 
readiness'' program. As acknowledged by the Director of BMDO in 
congressional testimony, the planned test program for the 
exoatmospheric kill vehicle (EKV) is inadequate to support a 
deployment decision within the framework of the ``3+3'' 
program. The administration's proposed NMD program consists of 
just five EKV flights: two in fiscal year 1997; two in fiscal 
year 1998; and one in fiscal year 1999. Under this plan, the 
NMD deployment decision supposedly could be made at the end of 
fiscal year 1999; however, such a decision would be based on a 
single integrated interceptor tests. Furthermore, the test 
booster would not represent an operational configuration.
      To support a lower risk and more robust NMD program, the 
conferees believe that additional EKV flight tests are 
required. Specifically, the conferees direct the Secretary of 
Defense to restructure the EKV program to support two flight 
tests in fiscal year 1997, three in fiscal year 1998, and four 
in fiscal year 1999. This requires the acquisition of 
additional kill vehicle and test booster hardware. 
Additionally, the conferees direct the Secretary to evaluate 
the advantages of upgrading the Payload Launch Vehicle (PLV) 
system to provide a more representative velocity regime and 
test environment for NMD system tests. To accomplish these 
objectives, and to ensure that other aspects of the NMD program 
are able to support an initial operational capacity (IOC) in 
fiscal year 2003 (which the administration's proposal 
supposedly protects), the conferees recommend an increase of 
$350.0 million in PE 63871C.
      The conferees commend the Under Secretary of Defense 
(Acquisition and Technology) for his recent decision to 
establish an NMD joint-service program office (JPO), and direct 
the Director of BMDO to ensure full participation by the Army, 
Navy, and Air Force in the JPO. In addition, the committee 
directs the Director of BMDO to ensure that the EKV and 
associated booster designs are compatible with the widest 
possible range of NMD system architectures and basing modes. 
The conferees direct that the Director of BMDO inform the 
Senate Committee on Armed Services and the House Committee on 
National Security of his plans in this regard not later than 
February 15, 1997.
      The conferees note that the prototype ground-based radar 
(GDR-P) is an important NMD system element, and the GBR-P is 
scheduled to begin testing at U.S. Army Kwajalein Atoll (USAKA) 
in 1998. This schedule must be maintained, or accelerated, in 
order to realize cost savings associated with leveraging the 
THAAD radar program and test schedule. Of the amounts 
authorized in PE 63871C, the conferees recommend $68.0 million 
for GBR-P in order to ensure that the radar is available for 
integrated system testing in fiscal year 1998.
      The conferees recognize the importance of the Midcourse 
Space Experiment (MSX) for collecting and analyzing background 
data of use to future midcourse sensors such as the Space 
Missile and Tracking System. The conferees are concerned, 
however, that BMDO has failed to budget funds to continue 
operations through the end of the expected lifetime of the 
satellite. Therefore, the conferees strongly urge the Director, 
BMDO to provide adequate funds in the fiscal year 1998 budget 
submission and over the Future Years Defense Plan (FYDP) for 
MSX satellite operations.
      The conferees understand the importance of an effective 
battle management/command, control, and communications (BM/C3) 
architecture to overall NMD system performance and reliability. 
In this regard, the conferees are aware of proposals to 
leverage existing TMD BM/C3 capabilities, including such 
capabilities being developed under the THAAD program, to 
support an NMD system. The committee therefore urges the 
Director, BMDO to study these proposals and inform the 
committee not later than February 15, 1997, of his views in 
this regard.
                      joint national test facility
      The budget request included $5.8 million for Joint 
National Test Facility (JNTF) modernization, split among 
program elements 63871C, 63872C, and 63173C. To adequately 
satisfy the complex missile defense integration requirements 
leading to successful joint tests, analysis, war gaming, CINC 
exercises, and acquisition support, the conferees recommend 
$15.0 million be made available for modernization, 
computational and wide area network capabilities in support of 
the Ballistic Missile Defense Network (BMDN) from within the 
program elements listed above.
                               management
      The budget request did not contain a separate program 
element for management.
      The House bill recommended a general reduction of $15.0 
million for management.
      The Senate did not recommend a reduction for management.
      The House recedes.
                     joint theater missile defense
      The budget request included $521.5 in BMDO's Joint TMD 
program element (formerly known as Other TMD). The committee 
recommends a net increase of $6.4 million in PE 63872C, 
including the following adjustments: (1) a transfer of $9.3 
million to the BPI program element for the U.S.-Israel Joint 
BPI program; (2) an increase of $3.7 million for the Arrow 
Deployability Project (ADP), for a total authorization of $35.0 
million to fully fund the U.S. share of the program envisioned 
in the recently completed Memorandum of Agreement between the 
United States and Israel; (3) an increase of $7.0 million for 
the Army's Advanced Research Center (ARC), for a total 
authorization of $15.0 million; and (4) an increase of $5.0 
million for BMDO to ensure that the Navy's Cooperative 
Engagement Capability is compatible with all of BMDO's core TMD 
programs.
Holloman high speed test track
      The budget request included $116.0 million for the 
Central Test and Evaluation investment development program (PE 
64940D).
      The Senate amendment would authorize an increase of $17.0 
million in PE 64940D for the joint high speed upgrade for the 
Holloman High Speed Test Track.
      The House recedes.
                       items of special interest
Chemical and biological defense program
      The budget request included a total of $505.0 million for 
the chemical-biological defense program, including $296.8 
million in research and development, test and evaluation and 
$208.2 million in procurement.
      The House bill would authorize an increase of $44.3 
million for research, development, test and evaluation, and an 
increase of $16.2 million in the operations and maintenance 
accounts ($13.2 million for Army and $3.0 million for the Air 
Force).
      The Senate bill would authorize the budget request.
      The conferees agree to provide an increase to the budget 
request of $16.2 million for shortfalls in operations and 
maintenance ($13.2 million in the Army account and $3.0 million 
in the Air Force account).
      The conferees remain concerned with findings contained in 
the March 1996 General Accounting Office (GAO) report on 
chemical and biological defense. While the GAO report notes 
improvement in the readiness of U.S. military forces to operate 
in a chemical or biological environment, the report also 
identifies continued deficiencies in the areas of chemical-
biological defense training; inadequacy of the biological 
vaccine stockpile; development and implementation of a DOD 
immunization policy; and adequacy of training and equipment for 
medical personnel. In this regard, the conferees express 
concern with the Department's management and oversight of the 
chemical and biological defense program.
      The conferees direct the Deputy Secretary of Defense to 
review and report back to the Congress on steps taken by the 
Department to correct deficiencies highlighted by the GAO 
report, to include a decision on the development and 
implementation of a DOD immunization policy. The conferees 
agree that it is essential that a decision be made on the 
vaccines to be stockpiled and on an immunization policy. 
Further the conferees agree that it is essential that medical 
personnel assigned to deploy with U.S. military forces to high 
threat areas have the necessary training and equipment to 
protect themselves against chemical or biological agents, and 
the necessary training and equipment to treat casualties in a 
chemically or biologically contaminated area.
                         legislative provisions
              Subtitle A--Authorization of Appropriations
                     legislative provisions adopted
Defense Special Weapons Agency (DSWA) formerly known as the Defense 
        Nuclear Agency (DNA) (sec. 204)
      The budget request included $314.3 million for the 
Defense Nuclear Agency (DNA).
      The Senate amendment contained provisions (secs. 109, 
203, and 303) that would authorize a $15.0 million increase to 
the budget request for the Defense Nuclear Agency (DNA) to 
increase the frequency of nuclear weapons incidents field 
training exercises ($3.0 million defense operations and 
maintenance); to establish a counter terrorism support program 
leveraging DNA capabilities developed during the Cold War, and 
to establish a nuclear weapons delivery sustainment program 
($12.0 million in research and development, PE 62715H).
      The House bill would reduce the budget request for DNA by 
$3.0 million. Additionally, it would deny $7.0 million 
requested for the Topaz International Program (project AX), and 
would make available $4.0 million to continue the counter 
terrorist explosives research program.
      The conferees agree to a provision that would authorize 
$314.3 million for DNA ($192.1 million in PE 62715H, $26.2 
million in PE 63711H, $88.1 million in operations and 
maintenance, and $7.9 million in procurement). Of the amount 
available in PE 62715H, the conferees agree that funds shall be 
available for the following activities/programs: $4.0 million 
for the continuation of the counter terrorism support program; 
$3.0 million for Deep Digger; and $12.0 million to establish a 
nuclear weapons delivery sustainment program.
      Included in the budget request for DNA was $7.0 million 
for the Topaz International program (project AX). The conferees 
have reviewed the assessment conducted by the National Research 
Council of this program. The conferees agree with a number of 
conclusions and recommendations reached by the NRC. Substantial 
amounts of money have been spent, both by the United States and 
Russia, to develop space nuclear power. Despite the 
identification of space reactor power as a potential enabler 
for future missions, no potential users of mission requirements 
have been identified.
      Accordingly, the conferees deny the budget request for 
the Topaz International Program (project AX). The conferees 
understand that of the funds authorized for this program for 
fiscal year 1996, $4.6 million remained unobligated and 
unexpended. The conferees recommend that $3.0 million be used 
to terminate the program. A substantial amount of money has 
been spent over the decades on various space nuclear reactor 
power technologies. To save this investment for potential 
future use, the conferees recommend that all information and 
technology related to the Topaz international program and the 
U.S. space nuclear reactor power technology program be 
deposited in a central repository.
    Subtitle B--Program Requirements, Restrictions, and Limitations
                     LEGISLATIVE PROVISIONS ADOPTED
Space launch modernization (sec. 211)
      The House bill contained a provision (sec. 211) that 
would: (1) authorize $50.0 million for a competitive reusable 
space launch vehicle (RLV) program; and (2) permit obligation 
of the authorized funds only to the extent that the current 
operating plan of the National Aeronautics and Space 
Administration (NASA) allocates at least an equal amount for 
the RLV program.
      The Senate amendment contained a provision (sec. 211) 
that would: (1) authorize $44.5 million for the Evolved 
Expendable Launch Vehicle program and $25.0 million for a 
competitive reusable launch vehicle technology program; (2) 
prohibit the use of DOD funds for RLV in an amount in excess of 
that dedicated to the program by NASA; and (3) prohibit the 
obligation of funds authorized for the Evolved Expendable 
Launch Vehicle (EELV) program in fiscal year 1997 until the 
Secretary of Defense certifies that funds authorized to be 
appropriated for RLV have been made available for obligation.
      The House recedes with an amendment that would: (1) 
authorize $44.5 million for the Evolved Expendable Launch 
Vehicle program and $25.0 million for a competitive reusable 
launch vehicle program; (2) permit obligation of the funds 
authorized for RLV only to the extent that the current 
operating plan of NASA allocates at least an equal amount for 
the RLV program; (3) limit the obligation of funds for EELV to 
$20.0 million until the Secretary of Defense makes available 
for obligation funds authorized for RLV; and (4) require the 
Secretary of Defense and the Administrator of the National 
Aeronautics and Space Administration to submit to Congress a 
joint plan for coordinating and eliminating unnecessary 
duplication in the operations and planned improvements of 
rocket engine test facilities managed by the Air Force and 
NASA.
Space-Based Infrared System program (sec. 212)
      The House bill contained a provision (sec. 219) that 
would authorize funds for the Space-Based Infrared System 
(SBIRS) program, prohibit the obligation of expenditure of 
funds until the Secretary of Defense issues a certification to 
Congress, and direct the Secretary to consider the appropriate 
management responsibilities for the Space and Missile Tracking 
System (SMTS) program.
      The Senate amendment contained a similar provisions (sec. 
213).
      The Senate recedes with an amendment that would authorize 
$427.4 million for the SBIRS program ($173.3 million for SBIRS 
Space Segment High, $247.2 million for SMTS, and $6.9 million 
for Cobra Brass), prohibit the obligation or expenditure of 
more than $100.0 million for SBIRS Space Segment High until the 
Secretary of Defense issues a certification to Congress, and 
direct the Secretary to consider the appropriate management 
responsibilities for the SMTS program.
      The conferees are disappointed by the Department of 
Defense's management of the SMTS program. The Department has 
yet to present the revised SMTS program baseline as required by 
section 216 of the National Defense Authorization Act for 
Fiscal Year 1996. Additionally, poor management practices on 
the part of the Air Force, the Office of the Secretary of 
Defense, and the contractor have forced delays in the SMTS 
program. The conferees are particularly disappointed by the 
Department of Defense's decision to recommend for rescission 
$51.0 million for fiscal year 1996 funds authorized and 
appropriated for SMTS acceleration and competition. Shortly 
after recommended these funds for rescission, the Department 
endorsed a plan for enhanced competition. The Department's 
handling of the fiscal year 1996 SMTS funding and its on-again, 
off-again approach to competition is not acceptable. The 
conferees direct the Secretary of Defense to promptly complete 
the program baseline specified in section 216 of the National 
Defense Authorization Act for Fiscal Year 1996, and to promptly 
release the additional funds authorized for SMTS for fiscal 
year 1997 for purposes of accelerating the program.
Clementine 2 micro-satellite development program (sec. 213)
      The Senate amendment contained a provision (sec. 215) 
that would authorize $50.0 million for the Clementine 2 mico-
satellite near-earth interception mission. The provision would 
also prohibit the obligation of any funds for the Global 
Positioning System (GPS) Block IIF satellite development 
program until the Secretary of Defense certifies to Congress 
that the fiscal year 1996 funds for Clementine 2 have been 
obligated and the fiscal year 1997 funds for Clementine 2 have 
been made available for obligation.
      The House bill contained no similar provision.
      The House recedes with an amendment that would authorize 
$50.0 million for the Clementine 2 micro-satellite near-earth 
asteroid mission and would prohibit the obligation of more than 
$25.0 million for GPS Block IIF until the Secretary of Defense 
certifies that fiscal year 1997 funds for Clementine 2 have 
been made available for obligation.
Unmanned aerial vehicles (sec. 221)
      The House bill contained a provision (sec. 217) that had 
five sections addressing unmanned aerial vehicle (UAV) 
programs. The sections would:
            (1) prohibit the Secretary of Defense from entering 
        into a contract for the Joint Tactical Unmanned Aerial 
        Vehicle project until 30 days after certification was 
        received by the Congressional defense committee of the 
        justification and affordability of various 
        reconnaissance programs;
            (2) require a clear depiction of reconnaissance 
        budget requests;
            (3) transfer management of the Predator program to 
        the Department of the Air Force;
            (4) prohibit the obligation of funds to operate 
        Predator UAV's from naval vessels; and
            (5) provide $10.0 million for advanced concepts 
        technology demonstrations of air-to-surface precision 
        guided munitions employment using a UAV and a non 
        developmental laser target designator.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment that would remove 
the following sections:
            (1) the prohibition on entering into contracts on 
        the Joint Unmanned Aerial Vehicle, and
            (2) authorization of $10.0 million for an ACTD of 
        air to surface precision guided munitions employment 
        using a UAV and a non developmental laser target 
        designator.
High altitude endurance unmanned aerial reconnaissance system (sec. 
        222)
      The House bill contained a provision (sec. 223) that 
would require that any funds authorized to be appropriated for 
an improved Tier III Minus High Altitude Endurance Unmanned 
Aerial Reconnaissance System that would increase the unit 
flyaway cost above the established contracted for amount be 
awarded through competitive acquisition procedures.
      The Senate amendment contained no similar provision.
      The Senate recedes.
Federally-funded research and development centers (sec. 226)
      The Senate amendment contained a provision (sec. 222) 
that would impose a combined ceiling on the funding that may be 
provided to both federally-funded research and development 
centers (FFRDCs) and university-affiliated research centers 
(UARCs) fiscal year 1997 at the same level as that imposed for 
fiscal year 1996.
      The House bill contained no similar provision.
      The House recedes with an amendment that would remove the 
UARCs from the ceiling and would limit the statutory funding 
ceiling for FFRDCs at the level reflected in projected 
expenditures for studies and analyses FFRDCs in the fiscal year 
1997 budget request. The conferees direct that funds expended 
by an FFRDC on recapitalization not be limited by the amount of 
the ceiling allocated to that FFRDC by the Department of 
Defense. The conferees direct that management of the FFRDCs be 
undertaken consistent with the direction in the House report 
(104-563) and Senate report (104-267).
      The conferees note the continued importance of 
maintaining within the FFRDC community an international trade 
and technology support capability as described in the Senate 
report (104-112) to accompany the National Defense 
Authorization Act for Fiscal Year 1996. The conferees urge the 
Under Secretary of Defense for Acquisition and Technology to 
ensure that this capability is continued at an appropriate 
FFRDC and that sufficient funding be allocated to maintain it 
at a robust level of effort.
Research activities of the Defense Advanced Research Projects Agency 
        relating to chemical and biological warfare defense technology 
        (sec. 228)
      The House bill contained a provision (sec. 215) that 
would amend provisions of Title XVII of the National Defense 
Authorization Act of Fiscal Year 1994 (Public Law 103-160) to 
clarify the role of the Defense Advanced Research Projects 
Agency in the Department of Defense's research and developments 
efforts related to chemical and biological warfare defense 
technologies.
      The Senate amendment contained no similar provision.
      The Senate recedes.
Certification of capability of United States to prevent illegal 
        importation of nuclear, biological, or chemical weapons (sec. 
        229)
      The House bill contained a provision (sec. 224) that 
would require the President to certify to the Congress whether 
or not the United States has the capability (as of the date of 
certification) to prevent the illegal importation of nuclear, 
biological, or chemical weapons into the United States and its 
possessions.
      The Senate amendment contained no similar provision.
      The Senate recedes.
      The Office of the Secretary of Defense report, titled 
``Proliferation: Threat and Defense'', dated April 1996, cites 
the growing threat posed by the proliferation of weapons of 
mass destruction and the spread of technology for their 
production. According to the report, one of the most volatile 
and frightening scenarios for U.S. defense planning would be 
based on a terrorist group that might attempt to smuggle 
nuclear, chemical, or biological weapons materials into the 
United States and attack U.S. domestic targets. The conferees 
believe that the capability of the United States to deal with 
the potential threat posed by the illegal importation of 
nuclear, biological, or chemical weapons into the United States 
should be acknowledged, so that U.S. citizens might understand 
the seriousness of the threat and that increased emphasis might 
be placed on meeting the threat.
Counterproliferation support program (secs. 231 and 1309)
      The Senate amendment contained a provision (sec. 221) 
that would authorize $176.2 million for the 
counterproliferation support program, a $82.5 million increase 
to the budget request. Of this increase, $75.0 million would be 
authorized for the tactical antisatellite technologies program, 
and $7.5 million would be authorized for the high frequency 
active auroral research program (HAARP). A second provision 
(sec. 230) would make available $3.0 million from the 
counterproliferation support program for a surgical strike 
vehicle to defeat hardened and deep underground structures.
      The House bill contained no similar provisions, but would 
authorize the budget request for the counterproliferation 
support program.
      The House recedes with an amendment that would authorize 
$186.2 million for the counterproliferation support program, a 
$92.5 million increase to the budget request. Of those funds, 
$75.0 million is authorized for the tactical antisatellite 
technologies program; $7.5 million is authorized for the high 
frequency active auroral research program (HAARP); $10.0 
million is authorized for a nonproliferation and 
counterproliferation research and development program to 
enhance efforts at interdicting and detecting nuclear, 
radiological, chemical and biological weapons and related 
materials; and $3.0 million would be available to the Air 
Combat Command for research and development of a near-term 
capability to defeat hardened and deeply buried targets, 
including tunnels and deeply buried facilities for the 
production and storage of chemical, biological and nuclear 
weapons and their delivery systems. Additionally, the conferees 
agree that $4.0 million from funds authorized for the Air Force 
operation and maintenance account be made available for U.S. 
Strategic Command (USSTRATCOM) mission planning and analysis.
      The conferees agree that funds authorized in this Act for 
the technical studies and analyses program (PE 605104D) may not 
be obligated until funds authorized for the tactical 
antisatellite technologies program in this Act and in the 
National Defense Authorization Act for Fiscal Year 1996 have 
been released for obligation by the executive agent.
Joint Committee for Review of Counterproliferation Program of the 
        United States
      The conferees agree to a provision (sec. 1309) that would 
extend the authority of the Joint Committee for Review of 
Counterproliferation Programs (CRCP) of the United States to 
September 30, 2000, and require annual reports to the 
congressional defense committees on the activities of the 
committee by May 1 of each year. The provision would also 
modify the composition of the committee by designating the 
Assistant to the Secretary of Defense for Nuclear, Chemical and 
Biological Defense as executive secretary for the committee.
             Subtitle C--Ballistic Missile Defense Programs
                     legislative provisions adopted
Funding for ballistic missile defense programs for fiscal year 1997 
        (sec. 241)
      The House bill contained a provision (sec. 231) that 
would authorize funding for ballistic missile defense research 
and development activities in fiscal year 1997.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment that would authorize 
the following amounts for the following programs:
            (1) $621.8 million for the Theater High Altitude 
        Area Defense System;
            (2) $304.2 for the Navy Upper Tier system;
            (3) $858.4 for National Missile Defense;
            (4) $56.2 for the Corps Surface-to-Air Missile 
        (SAM)/Medium Extended Air Defense (MEADS) program.
The amended provision would also include the following 
limitations: (1) a limitation on the use of funds for the 
Office of the Under Secretary of Defense for Acquisition and 
Technology for official representation until the Secretary of 
Defense certifies that the above specified funds have been made 
available for obligation and the Secretary has included the 
Navy Upper Tier system in the theater missile defense core 
program; and (2) a limitation on the obligation of more than 
$15.0 million for the Corps SAM program until the Secretary of 
Defense submits to Congress an initial program estimate, a 
report on Corps SAM alternatives, and a certification that 
there will be no increase in overall U.S. funding commitment as 
a result of the withdrawal of France from the project 
definition and validation phase of the program.
Certification of capability of United States to defend against single 
        ballistic missile (sec. 242)
      The House bill contained a provision (sec. 232) that 
would require the President to submit to the Congress a 
certification stating whether the United States has the 
military capability to intercept and destroy a single ballistic 
missile launched at the territory of the United States.
      The Senate amendment contained no similar provision.
      The Senate recedes.
Report on ballistic missile defense and proliferation (sec. 243)
      The House bill contained a provision (sec. 235) that 
would direct the Secretary of Defense to submit a report to 
Congress by December 31, 1996, on ballistic missile defense and 
proliferation.
      The Senate amendment contained no similar provision.
      The Senate recedes.
Revision to annual report on ballistic missile defense and 
        proliferation (sec. 244)
      The House bill contained a provision (sec. 236) that 
would update the requirement for the annual ballistic missile 
defense report to Congress.
      The Senate amendment contained a similar provision.
      The Senate recedes.
Report on Air Force National Missile Defense Plan (sec. 245)
      The Senate amendment contained a provision (sec. 238) 
that expressed the sense of the Senate that the Air Force 
National Missile Defense (NMD) plan is an important NMD option 
and is worthy of serious consideration. The provision would 
also require the Secretary of Defense to submit to Congress a 
report on the Air Force NMD plan not later than 120 days after 
enactment of this Act.
      The House bill contained no similar provision.
      The House recedes with an amendment that would omit the 
sense of the Senate language and require the report specified 
in the Senate provision.
Capability of National Missile Defense system (sec. 246)
      The House bill contained a provision (sec. 238) that 
would direct the Secretary of Defense to ensure that any 
national missile defense system deployed by the United States 
is capable of defeating the threat posed by the Taepo Dong II 
missile of North Korea.
      The Senate amendment contained no similar provision.
      The Senate recedes.
Actions to limit adverse effects on private sector employment of 
        establishment of National Missile Defense Joint Program Office 
        (sec. 247)
      The Senate amendment contained a provision (sec. 908) 
that would require the Director of the Ballistic Missile 
Defense Organization to take such actions as are necessary in 
connection with the establishment of the National Missile 
Defense (NMD) Joint Program Office to ensure that establishment 
of that office does not make it necessary for a Federal 
Government contractor to reduce the number of persons employed 
by the contractor for supporting the NMD program at any 
particular location outside the National Capitol Region.
      The House bill contained no similar provision.
      The House recedes with an amendment that would require 
the Director of the Ballistic Missile Defense Organization to 
take such actions as are necessary in connection with the 
establishment of the NMD Joint Program Office to ensure that 
establishment of that office does not make it necessary for a 
Federal Government contractor to significantly reduce the 
number of persons employed by the contractor for supporting the 
NMD program at any particular location outside the National 
Capitol Region.
ABM Treaty defined (sec. 248)
      The House bill contained a provision (sec. 237) that 
would define the Anti-Ballistic Missile Treaty.
      The Senate amendment contained a similar provision.
      The Senate recedes.
                       Subtitle D--Other Matters
                   LEGISLATIVE PROVISIONS NOT ADOPTED
Joint United States-Israeli Nautilus Laser/Theater High Energy Laser 
        program
      The House bill contained a sense of Congress provision 
(sec. 221) that would strongly support the Joint U.S.-Israeli 
Nautilus Laser/Theater High Energy Laser program and encourage 
the Secretary of Defense to request authorization to develop 
these programs as agreed to April 28, 1996, in the statement of 
intent signed by the Secretary of Defense and the Prime 
Minister of the State of Israel.
      The Senate amendment contained no similar provision.
      The House recedes.
      The conferees agree to authorize an additional $50.0 
million for a new program element to support the Nautilus/
Theater High Energy Laser program and the associated design 
verification testing. The conferees understand that the 
government of Israel is prepared to devote significant 
resources to this effort and the committee urges the 
administration to seek a rapid conclusion of a memorandum of 
agreement (MOA) on the THEL program with Israel. The conferees 
fully expect that additional funding to implement such an MOA 
will be included in future Army budget requests.
Policy on compliance with the ABM Treaty
      The House bill contained a provision (sec. 233) that 
would codify the ``demonstrated capabilities'' standard for 
assessing compliance of systems with the Anti-Ballistic Missile 
(ABM) Treaty, state certain prohibitions, and define an ABM-
qualifying flight test as a test against a ballistic missile 
with a range in excess of 3,500 kilometers and a velocity in 
excess of five kilometers per second.
      The Senate amendment contained a provision (sec. 239) 
that would extend by one year section 235 of the National 
Defense Authorization Act of Fiscal Year 1996 (Public Law 104-
106).
      The House and the Senate recede from their respective 
provisions.
      The conferees note that the President's National Security 
Advisor has stated that the Theater Missile Defense (TMD) 
Demarcation agreement, to which the United States has 
tentatively agreed, would modify the rights and obligations of 
the parties and, hence, constitute a substantive change to the 
ABM Treaty. The conferees acknowledge and reaffirm the 
constitutional principle that any substantive treaty change may 
be entered into only pursuant to the President's treaty making 
power under the Constitution. The conferees note that this 
constitutional principle is specifically codified with regard 
to the ABM Treaty in section 232 of the National Defense 
Authorization Act for Fiscal Year 1995 (Public Law 103-337).
      The conferees would take strong exception to any 
interpretation by the administration that section 235 of the 
National Defense Authorization Act for Fiscal Year 1996 ``pre-
authorizes'' implementation of the TMD Demarcation agreement. 
For example, because the agreement-in-principle does not apply 
the ``demonstrated capabilities standard'' to all TMD systems, 
it would not satisfy the standard specified in section 
235(b)(1). More importantly, section 235 does not supersede the 
constitutional requirement to submit a substantive change to 
the ABM Treaty to the Senate for advice and consent.
      In light of the fact that the President's National 
Security Advisor has confirmed that the draft TMD Demarcation 
agreement would constitute a substantive change to the ABM 
Treaty, the conferees agree that legislation requiring 
submission of the agreement for Senate advice and consent is 
not needed.
Requirement that multilateralization of the ABM Treaty be done only 
        through treaty-making power
      The House bill contained a provision (sec. 234) that 
would state that any addition of a new signatory party to the 
Anti-Ballistic Missile (ABM) Treaty (in addition to the United 
States and the Russian Federation) constitutes an amendment to 
the treaty that can only be agreed to by the United States 
through the treaty making power of the United States. This 
provision would prohibit the obligation or expenditure of funds 
during any fiscal year for the purpose of implementing or 
making binding upon the United States the participation of any 
additional nation as a party to the ABM Treaty, unless that 
nation is made a party to the treaty by an amendment to the 
Treaty that is made in the same manner as the manner by which a 
treaty is made.
      The Senate amendment contained a provision (sec. 231) 
that would express the sense of the Senate that during fiscal 
year 1997 the United States shall not be bound by any 
international agreement entered into by the President that 
would substantively modify the ABM Treaty, including any 
agreement that would add one or more countries as signatories 
to the Treaty or would otherwise convert the treaty from a 
bilateral Treaty to a multilateral treaty, unless the agreement 
is entered pursuant to the treaty making power of the President 
under the Constitution.
      The House and the Senate recede from their respective 
provisions.
      The conferees acknowledge and reaffirm the constitutional 
principle that any substantive change to a treaty may be 
entered into only pursuant to the President's treaty making 
power under the Constitution. The conferees note that, with 
regard to the ABM Treaty, this constitutional principle is 
specifically codified in section 232 of the National Defense 
Authorization Act for Fiscal Year 1995 (Public Law 103-337). In 
this regard, the accord on ABM Treaty succession, tentatively 
agreed to by the administration, would constitute a substantive 
change to the ABM Treaty, which may only be entered into 
pursuant to the treaty making power of the President under the 
Constitution. An explanation for this conclusion is presented 
below.
      First, the fundamental circumstances that provided the 
rationale for the ABM Treaty have changed. The ABM Treaty, more 
than any other arms control agreement, was a product of the 
bipolar Cold War confrontation between the United States and 
the Soviet Union. With the dissolution of the Soviet Union, the 
United States faces strategic and political circumstances that 
are vastly different than those that obtained in 1972.
      Second, by having the Soviet Union succeeded, for 
purposes of the ABM Treaty, by some but not all of the 
independent states of the former Soviet Union, each possessing 
sovereign rights under the Treaty, a succession agreement would 
change, limit, and extend certain rights and obligations 
previously possessed by the parties. This is virtually a text 
book definition of a treaty amendment. The rights of the United 
States would clearly be changed given the fact that the 
Standing Consultative Commission (SCC), the ABM Treaty's 
implementing body, would, for the first time, be comprised of 
several parties, all of whom would need to consent to changes, 
clarifications or amendments to the Treaty.
      As the administration stated in a May 3, 1996, letter: 
``Each party will participate in implementing the Treaty as a 
sovereign entity. This includes a full and equal voice in the 
SCC.'' When asked if the consent of all parties would be needed 
before the Treaty could be amended, clarified, or interpreted, 
the administration answered: ``Yes. The U.S. has insisted on a 
decision-making mechanism in the SCC under which legally 
binding obligations would be adopted by consensus.'' In effect, 
the SCC would be transformed into a corporate body in which up 
to a dozen affirmative votes would be required before the 
Treaty could be amended. In addition, some of the new treaty 
partners would only have partial rights. Of the former Soviet 
states, for example, only Russia would be entitled to deploy an 
operational ABM system.
      Third, the functional mechanics of the ABM Treaty will be 
changed through multilateralization. The ABM Treaty is based, 
in part, on a geographical description of the United States and 
the Soviet Union. For example, the Treaty states specifically 
that certain large phased array radars may only be located 
along the periphery of the national territory of the parties. 
In the case of the former Soviet Union, however, some radars 
are now located outside of Russia. The Skrunda radar in Latvia, 
for example, is on the territory of an independent country that 
has rejected membership in the ABM Treaty. Clearly, any 
agreement that addresses the successorship issue will also have 
to redefine these geographic aspects of the Treaty, which will 
constitute substantive amendments to the Treaty. In this 
regard, the Senate will be as interested to see which states do 
not accede to the ABM Treaty as it will be to see which 
countries do accede.
      Fourth, all succession agreements related to existing 
strategic arms control agreements have been addressed by the 
Senate through the constitutional advice and consent mechanism, 
with the exception of the Intermediate-Range Nuclear Forces 
Treaty, which was clearly identified as an exception to the 
rule at the time of succession.
      In the case of the Conventional Armed Forces in Europe 
(CFE) Treaty, the Senate specifically recognized the impending 
breakup of the Soviet Union and adopted provisions that were 
intended to take this into account during the ratification 
debate. The Senate was so concerned about this issue with 
regard to the CFE Treaty that it attached a condition to the 
resolution of ratification that specified procedures for adding 
new states parties and for evaluating the implications of the 
withdrawal of key newly independent states from the Treaty.
      In the case of the Strategic Arms Reductions Talks (START 
I) Treaty, the succession agreement, known as the Lisbon 
Protocol, was approved by a two-thirds vote of the Senate as 
part of the overall ratification process. As in the case of 
CFE, START I was surrounded by major succession issues that the 
Senate had to address in a formal manner. It is the view of the 
conferees that neither CFE nor START I would have been approved 
by the Senate but for the fact that the succession issues were 
thoroughly addressed as part of the ratification debate.
      Given the compelling case that the ABM Treaty succession 
agreement is a substantive change to the treaty, the conferees 
affirm that such agreement must be submitted to the Senate for 
advice and consent.
Department of Defense Space Architect
      The Senate amendment contained a provision (sec. 212) 
that would require the Secretary of Defense to include the 
kinetic energy tactical anti-satellite (ASAT) program in the 
space control architecture to be developed by the Department's 
new Space Architect. The provision would prohibit the use of 
fiscal year 1997 defense funds to support the Space Architect 
until the Secretary certifies that he will include the ASAT 
program in the space control architecture, that he has 
obligated fiscal year 1996 funds for the kinetic energy ASAT, 
and that he has made available for obligation fiscal year 1997 
funds appropriated for the kinetic energy ASAT, consistent with 
congressional guidance.
      The House contained no similar provision.
      The Senate recedes.
Tier III minus Unmanned Aerial Vehicle
      The Senate amendment contained a provision (sec. 216) 
that would prohibit the procurement of more than three air 
vehicles for the Tier III minus UAV program until flight 
testing is completed.
      The House bill contained no similar provision.
      The Senate recedes.
Defense airborne reconnaissance program
      The Senate amendment contained a provision (sec. 217) 
that would require the Secretary of Defense to submit a report 
comparing the Predator unmanned aerial vehicle (UAV) with the 
Dark Star (Tier III minus) UAV.
      The House bill did not contain a similar provision.
      The Senate recedes.
Funding for basic research in nuclear seismic monitoring
      The Senate amendment contained a provision (sec. 224) 
that would make available $6.5 million for basic research in 
nuclear seismic monitoring from funds requested for the Air 
Force for arms control implementation.
      The House bill contained no similar provision.
      The Senate recedes.
      The budget request included $26.7 million for arms 
control implementation in PE 35145F for research and 
development activities to prepare the United States for 
implementation of, and compliance with, nuclear testing 
treaties. Those activities include the development of a 
national and international data center, treaty implementation 
and technical support, and nuclear monitoring techniques. The 
conferees agree that, of those funds, $6.5 million shall be 
available for basic research in nuclear seismic monitoring.
National Polar-Orbiting Operational Environmental Satellite System
      The Senate amendment contained a provision (sec. 229) 
that would authorize $29.0 million for the National Polar-
Orbiting Operational Environmental Satellite System (NPOESS), a 
reduction of $5.0 million from the Department of Defense 
portion of the NPOESS budget request.
      The House bill contained no similar provision but 
recommended a reduction of $15.0 million.
      The Senate recedes.
      The conferees agree to authorize $29.0 million for 
NPOESS.
Funding for upper tier theater missile defense systems
      The Senate amendment contained a provision (sec. 232) 
that would authorize funds for the Theater High Altitude Area 
Defense (THAAD) system and the Navy Upper Tier theater missile 
defense (TMD) system. The provision would also prohibit the use 
of funds during fiscal year 1997 by the Undersecretary of 
Defense for Acquisition and Technology for official 
representation activities until the Secretary of Defense 
certifies to Congress that: (1) fiscal year 1997 funds for 
THAAD and Navy Upper Tier have been made available for 
obligation; and (2) the Navy Upper Tier system has been 
included in the core TMD program.
      The House bill contained no similar provision.
      The Senate recedes.
Scorpius space launch technology program
      The Senate amendment contained a provision (sec. 235) 
that would provide for the use of up to $7.5 million of funds 
authorized for the Ballistic Missile Defense Organization for 
the Scorpius space launch technology program.
      The House bill contained no similar provision.
      The Senate recedes.
Corps SAM/MEADS program
      The Senate amendment contained a provision (sec. 236) 
that would authorize $56.2 million for the Corps surface-to-
air/Medium Extended Air Defense System, and would require the 
Secretary of Defense to submit certain items prior to 
obligating more than $15.0 million in fiscal year 1997.
      The House bill contained no similar provision.
      The Senate recedes. Funding for Corps SAM/MEADS is 
discussed elsewhere in this report.
Annual report on threat of attack by ballistic missiles carrying 
        nuclear, chemical, or biological warheads
      The Senate amendment contained a provision (sec. 237) 
that would require an annual report on the threat of attack by 
ballistic missiles carrying weapons of mass destruction.
      The House bill contained no similar provision.
      The Senate recedes.
                  TITLE III--OPERATION AND MAINTENANCE
                         legislative provisions
              Subtitle A--Authorization of Appropriations
                     legislative provisions adopted
Availability of additional funds for Antiterrorism activities (sec. 
        306)
      The conferees agree to a provision authorizing an 
additional $14.0 million for use by the Secretary of Defense to 
fund emergency anti-terrorist activities of the Department of 
Defense. These funds are in addition to funds otherwise 
authorize to be appropriated in this Act for anti-terrorism, 
and are to be available for the Secretary of Defense to respond 
quickly to emergency anti-terrorism requirements that are 
identified by commanders of the unified combatant commands or 
commanders of joint task forces in response to a change in 
terrorist threat level.
      The conferees urge the Secretary of Defense to propose an 
emergency anti-terrorism program as part of the fiscal year 
1998 budget submission.
SR-71 (sec. 308)
      The House bill contained a provision (sec. 1040) that 
would prohibit the Secretary of Defense from carrying out any 
aerial reconnaissance program using the SR-71 aircraft.
      The Senate amendment contained a provision (sec. 306) 
that would provide $30.0 million in operations and maintenance 
funding for the SR-71 contingency reconnaissance force.
      The House recedes.
                       Subtitle F--Other Matters
                     legislative provisions adopted
Reimbursement under agreement for instruction of civilian students at 
        Foreign Language Institute of the Defense Language Institute 
        (sec. 371)
      The Senate amendment contained a provision (sec. 369) 
that would authorize the Secretary of the Army to determine the 
amount of reimbursement an educational institution would be 
required to pay in order to permit non-government students to 
receive instruction at the Defense Language Institute.
      The House bill contained no similar provision.
      The House recedes with an amendment that would ensure 
that the reimbursement rate would not be less than the rate 
paid by other governmental agencies, and would permit the 
Secretary of the Army to accept reimbursement in-kind as part 
of the reimbursement on a case-by-case basis.
                   legislative provisions not adopted
Oceanography
      The Senate amendment contained a provision (sec. 315) 
that would authorize an additional $6.2 million for 
oceanographic ship operations and data analysis for the U.S. 
Navy.
      The House bill contained no similar provision.
      The Senate recedes.
      The conferees recognize the importance of the 
oceanographic activities of the Navy and authorize an 
additional $6.2 million for this purpose in the operations and 
maintenance account.
Computer emergency response team
      The Senate amendment contained a provision (sec. 368) 
that would authorize $2.0 million to be used by the Software 
Engineering Institute for use by the Computer Emergency 
Response Team.
      The House bill contained no similar provision.
      The Senate recedes.
      The conferees support the important work of the Computer 
Emergency Response Team and have agreed to authorize an 
additional $2.0 million for this purpose in the operations and 
maintenance tables.
      Title IX--Department of Defense Organization and Management
                         legislative provisions
                   Subtitle B--Force Structure Review
                     LEGISLATIVE PROVISIONS ADOPTED
Force Structure Review (secs. 921-926)
      The Senate amendment contained a number of provisions 
(secs. 1091-1096) in subtitle G of title 10, referred to as the 
``Armed Forces Force Structure Review Act of 1996.'' This Act 
would require the Secretary of Defense, in consultation with 
the Chairman of the Joint Chiefs of Staff, to conduct a 
Quadrennial Defense Review (QDR) as recommended by the 
Commission on Roles and Missions of the Armed Forces. This 
review would be a complete re-examination of the defense 
strategy, force structure, force modernization plans, budget 
plans, infrastructure, and other elements of the defense 
program and policies with a view toward determining and 
expressing the defense strategy of the United States, and 
establishing a national defense program, as we enter the 21st 
Century.
      In carrying out this review, the Department would examine 
the potential near- and long-term threats to U.S. national 
security including:
            (a) the proliferation of weapons of mass 
        destruction and the means to deliver them;
            (b) conventional threats across a spectrum of 
        conflicts;
            (c) the vulnerability of our information systems 
        and other advanced technologies to non-traditional 
        threats;
            (d) domestic and international terrorism; and
            (e) the potential emergence of a major adversary.
      The Act would also create an independent, non-partisan 
panel of defense experts (to be known as the National Defense 
Panel) that would provide the Secretary of Defense and the 
Congress alternative recommendations regarding the optimal 
force structure required to meet the national security needs of 
the United States. This panel would be appointed by the 
Secretary of Defense after consultation with the Chairmen and 
Ranking Members of the Committee on Armed Services of the 
Senate and the Committee on National Security of the House of 
Representatives.
      The creation of the National Defense Panel is intended to 
help ensure the validity of the process by playing a very 
active role in reviewing and commenting on the QDR from the 
early stages of its development. The Panel is designed to 
provide the Congress, and the Secretary of Defense, with an 
independent review of the national security requirements of the 
United States, including the force structure necessary to meet 
those requirements. This will, hopefully, allow the Congress 
and the Secretary to consider alternative options when making 
decisions affecting the security of the United States.
      Upon completion of the QDR, the Act would require that 
the Chairman of the Joint Chiefs of Staff and the Chairman of 
the National Defense Panel prepare and submit to the Secretary 
of Defense, for inclusion in the Secretary's report to the 
Congress, their assessment of the QDR. The Secretary's report 
would also include a comprehensive discussion of the defense 
strategy of the United States, and the assumptions regarding 
the threats to our national security, mission sharing, levels 
of acceptable risk, warning times, and intensity and duration 
of the conflict. In addition, the report would address the 
effect on the force structure of preparations for, and 
participation in, peace operations and military operations 
other than war. It also would require a discussion of the 
effects which emerging technologies will have on the U.S. force 
structure and a number of other matters.
      The House bill contained no similar provision.
      The House recedes.
      The conferees believe this is an appropriate time to 
review the strategy and force structure necessary to protect 
the interests of the United States in any future conflict. The 
pace of global change requires that the United States reexamine 
its military capabilities with a view toward preparing the 
military services for the 21st century.
                      Title X--General Provisions
                         legislative provisions
                     Subtitle A--Financial Matters
                     legislative provisions adopted
Incorporation of classified annex (sec. 1002)
      The House bill contained a provision (sec. 1002) that 
would incorporate the classified annex prepared by the 
Committee on National Security into this Act.
      The Senate amendment contained no similar provision.
      The Senate recedes with a technical amendment providing 
that the classified annex prepared by the committee of 
conference is incorporated into this Act.
Defense airborne reconnaissance program (DARP) (sec. 1006)
      The House bill contained a provision (sec. 1006) that 
would require the Secretary of Defense to identify all DARP 
research and development (R&D) programs, projects, or 
activities, with a unique program element number and 
procurement line item number, respectively, for all future 
budget requests beginning with fiscal year 1998.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment.
      The conferees agree that the consolidated Defense 
Airborne Reconnaissance Office (DARO) budget request does not 
provide sufficient funding detail for the numerous DARO 
programs to enable the congressional defense committees to 
conduct necessary oversight. The major DARO programs currently 
consolidated in one R&D program element identification number 
and spread across three procurement line item identification 
numbers include: tactical unmanned aerial vehicles; endurance 
unmanned aerial vehicles; airborne reconnaissance systems; 
manned reconnaissance systems; and distributed common ground 
systems. The conferees therefore include a legislative 
provision that would require the Secretary of Defense to 
identify at least these major DARP R&D and procurement programs 
by unique program element identification number and procurement 
line item identification number, respectively, for all future 
budget requests beginning with the fiscal year 1998.
                  Subtitle C--Counter-Drug Activities
                     legislative provisions adopted
Overview
      The budget request for drug interdiction and other 
counterdrug activities of the Department of Defense totals 
$782.2 million. This includes the $642.7 million drug 
interdiction account, and $139.5 million in the military 
services' operating budgets for counterdrug operations. This 
compares with a total of $810.9 million for these activities 
during fiscal year 1996, including $679.4 million for the drug 
interdiction account and $131.5 million in the services's 
operating budgets.
      The conferees recommend an additional $153.8 million for 
the counterdrug initiatives of the Department of Defense. These 
increases, along with the budget request for counter-narcotics 
activities, are shown in the table below.
 Drug Interdiction & Counterdrug Activities--Operations and Maintenance
         [In thousands of dollars; may not add due to rounding]
Fiscal Year 1997 Drug and Counterdrug Request.................   782,200
    Source Nation Support.....................................   154,000
    Detection and Monitoring..................................   232,100
    Disruption of Drug Mafia Organizations....................    57,100
    Law Enforcement Agency....................................   255,000
    Demand Reduction..........................................    84,000
  Increases:
    Support for Military Counterdrug Units of Mexico..........     8,000
    Laser Strike..............................................     8,000
    Riverine Operations in South America......................     4,000
    Signal Intelligence Equipment for Southwest Border........     2,500
    Southwest Border Fence....................................     5,000
    Refurbish and Install TPS-70 Radar........................    15,000
    P-3B AEW Retrofit (2 a/c).................................    98,000
    Non-Intrusive Inspection Systems..........................     6,000
    Gulf States Counterdrug Initiative........................     2,800
    Multi-Jurisdictional Task Force...........................     1,000
    C-26 Upgrades.............................................     3,500
Recommendation................................................   936,000
      The increase in funding will enable the Department of 
Defense and the Federal Government to more rigorously pursue 
its counter-narcotics efforts including priority programs 
identified by the Office of National Drug Control Policy.
Mexico-Southwest Border Initiative
      The conferees recognize that a substantial quantity of 
the narcotics entering the United States from South America 
continues to come across the southwest border. Some reports put 
this quantity as high as 70 percent. The conferees urge the 
Department to increase its effort in working with the 
Government of Mexico to stem the flow of narcotics across this 
border and recommend an increase of $8.0 million in fiscal year 
1997 to be used for this purpose.
      The conferees are encouraged by the Department's 
intelligence gathering activities related to the prevention of 
drug-smuggling across the southwest border. The conferees 
recommend an increase of $2.5 million for the purchase of 
signal intelligence equipment to be used for communications 
intercept activities along the southwest border.
      The conferees continue to have an interest in 
facilitating support for the border fence project along the San 
Diego-Tijuana border area in Southern California. The conferees 
are aware of the efforts of JTF-6 and the California National 
Guard in sustaining an adequate level of support to enhance 
this barrier. The conferees endorse the decision to fund the 
effort to enhance the fence from within the immigration control 
budget. However, to ensure that the existing program to extend 
the length of fence coverage is not unnecessarily interrupted, 
the conferees recommend an additional $5.0 million for 
continued support of this national project.
      In addition, the conferees recommend an additional $6.0 
million for the purchase of non-intrusive inspection devices to 
be deployed at major ports of entry along the southwest border. 
This will help to ensure that the U.S. war on drugs in this 
region is provided with the most up to date detection 
equipment.
Caribbean and South American Initiative
      The conferees are aware that the Department's request is 
insufficient to provide full funding of Operation Laser Strike 
in fiscal year 1997. Laser Strike will build on the success of 
Operation Green Clover and involves a sustained level of U.S. 
detection, monitoring and tracking resources, as well as 
assessments and training, to support expanded interdiction and 
law enforcement efforts by nations of the source region. The 
conferees support this important operation and recommend an 
increase of $8.0 million in order to provide full funding.
      The conferees are also aware that drug traffickers are 
making greater use of the vast river network in the Andean 
region to transport processed cocaine and pre-cursor materials. 
Currently, the governments in the source nations are ill-
prepared to interdict drug trafficking on their rivers and 
waterways. Therefore, the conferees recommend an increase of 
$4.0 million for assistance to the governments of the source 
nations in their efforts to stem the flow of narcotics moving 
on these rivers.
      The conferees are encouraged by the level of success 
achieved by the Department in reducing the movement of 
narcotics by air. The conferees recommend an additional $15.0 
million for the installation of a TPS-70 radar which will 
assist the Department, and those cooperative governments of the 
source nations, in efforts to further reduce the amount of 
drugs that smugglers are moving with the use of aircraft. In 
addition, the conferees recommend an additional $98.0 million 
for the retrofitting of two P-3B aircraft with airborne radars 
which will provide the U.S. Customs Service with additional 
detection and monitoring capability.
Domestic Counter-Narcotics Initiative
      The conferees have learned that the number of OH-58D 
helicopters in the Army National Guard will be reduced 
dramatically under the Army's Aviation Restructure Initiative. 
These helicopters, with their forward looking infrared radar 
(FLIR), are particularly useful in the National Guard's 
detection of illicit marijuana fields. The conferees have been 
advised that the Department of Defense's Office of Drug 
Enforcement Policy and Support is reviewing this situation with 
a view towards the retention of additional OH-58D helicopters, 
as appropriate, within existing funding resources. The 
conferees support this initiative and direct that Office, in 
coordination with the Department of the Army and the National 
Guard Bureau, to ensure the allocation of additional 
helicopters to those states that have historically used these 
assets for the detection and destruction of illicit marijuana 
fields.
      The conferees are aware of a shortfall in funding for the 
National Guard C-26 aircraft photo reconnaissance and infrared 
surveillance upgrade program. Therefore, the conferees 
recommend an increase of $3.5 million to restore the number of 
aircraft involved in the C-26 photo reconnaissance upgrade 
program to its previous level.
      The conferees continue to support the Gulf States 
Counterdrug Initiative (GSCI) and are pleased to note that the 
budget request contains $3.2 million for this initiative. 
However, the conferees are concerned that this funding level 
does not adequately cover the required costs for the Regional 
Counterdrug Training Academy, integrating the state of Georgia 
into the program and other priority initiatives. Therefore, the 
committee recommends an increase of $2.8 million over the 
requested amount. The committee strongly believes that funds 
provided for this program should remain focused on training and 
improving command, control, communications, and computer 
capabilities.
      The conferees continue to support the efforts of the 
Multi-Jurisdiction Task Force to provide valuable counter-
narcotics training to our nation's state and local law 
enforcement agencies. The conferees recommend an additional 
$1.0 help in these efforts.
Legislative Provisions (secs. 1031-1032)
      In order to facilitate the Department's ability to carry 
out these initiatives, the conferees recommend two provisions. 
The first provision would authorize the transfer of both the 
non-intrusive inspection devices and 2 P-3B aircraft to the 
U.S. Customs Service. Prior to the obligation of funds for the 
P-3B aircraft, the Secretary would have to certify to Congress 
that the transfer of these aircraft to the U.S. Customs Service 
will significantly reduce the level of support that would 
otherwise be requested of the Department's E-3 AWACS aircraft.
      The conferees also include a provision from the Senate 
amendment (sec. 1031) that would grant the Secretary of Defense 
the authority to provide additional support for the counter-
drug activities of the Government of Mexico. This provision 
would authorize the Secretary to transfer non-lethal protective 
and utility personnel equipment, spare parts, and non-lethal 
specialized equipment, such as navigation equipment, 
communications equipment, and photo equipment, to Mexico. The 
conferees wish to make clear that the Secretary would only be 
authorized to transfer equipment specified by this provision 
and in no way could use this authority to transfer helicopters 
or other aircraft.
                       Subtitle F--Other Matters
                     LEGISLATIVE PROVISIONS ADOPTED
Policy on protection of national information infrastructure against 
        strategic attack (sec. 1061)
      The House bill contained a provision (sec. 1022) that 
would require the President to submit a report to Congress 
setting forth national policy on protecting the national 
information infrastructure. The provision would require a 
number of specific issues to be addressed in the report which 
would be required to be submitted no later than 180 days after 
the date of enactment of this Act.
      The Senate amendment contained no similar provision.
      The Senate recedes with a technical amendment.
Information systems security program (sec. 1062)
      The House bill contained a provision (sec. 1031) that 
would require the Secretary of Defense to allocate an 
increasing percentage of funds appropriated for the defense 
information infrastructure to security beginning in fiscal year 
1998.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment that would delay 
implementation of the percentage allocation formula until 
fiscal year 1999, and require a report in 1997 from the 
Secretary of Defense on the Department's information security 
objectives, strategy, and investment preferences. If the 
Secretary submits an investment plan that adequately addresses 
current and projected shortfalls and vulnerabilities of the 
information infrastructure, the conferees will reconsider the 
necessity of allowing this legislative provision to take 
effect.
Prohibition on collection and release of detailed satellite imagery 
        relating to Israel (sec. 1064)
      The Senate amendment contained a provision (sec. 1044) 
that would limit the collection and release of satellite 
imagery of Israel or other countries or geographical areas 
designated by the President.
      The House bill contained no similar provision.
      The House recedes with an amendment.
Chemical Stockpile Emergency Preparedness Program (sec. 1076)
      The House bill contained a provision (sec. 1045) that 
would require the Secretary of the Army to submit a report to 
Congress assessing the implementation and success of 
establishing site-specific integrated product and process teams 
as a management tool for the chemical stockpile emergency 
preparedness program (CSEPP).
      The Senate amendment contained no similar provision.
      The Senate recedes.
                   LEGISLATIVE PROVISION NOT ADOPTED
National Drug Intelligence Center
      The Senate amendment contained a provision (sec. 1032) 
that would prohibit the funding of the National Drug 
Intelligence Center by the Department of Defense. The Senate 
amendment also contained a provision (sec. 1033) that would 
require an investigation of the National Drug Intelligence 
Center by the Inspectors General of the Department of Defense, 
the Department of Justice, the Central Intelligence Agency, and 
the Comptroller General of the United States.
      The House bill contained no similar provisions.
      The Senate recedes.
Report on facilities used for testing launch vehicle engines
      The Senate amendment contained a provision (sec. 1056) 
that would require the Secretary of Defense, in consultation 
with the Administrator of the National Aeronautics and Space 
Administration, to provide a report to Congress on the 
facilities used for testing launch vehicle engines.
      The House bill contained no similar provision.
      The Senate recedes.
             Title XI--National Imagery and Mapping Agency
National Imagery and Mapping Agency (secs. 1101-1124)
      The Senate amendment contained provisions (secs. 911-934) 
that would establish a new organization known as the National 
Imagery and Mapping Agency (NIMA).
      The House bill contained no similar provision.
      The House recedes with an amendment that would: (1) 
address NIMA's support for the all-source analysis and 
production process; (2) address NIMA's personnel provisions in 
a consolidated Department of Defense Intelligence Personnel 
provision, discussed elsewhere in this report; and (3) 
establish a uniform standard (in a provision separate from the 
NIMA legislation) regarding the Secretary of Defense's 
recommendation to the President on the appointment of the 
Directors of NIMA, the National Security Agency, and the 
National Reconnaissance Office.
      The conferees expect that the creation of NIMA will 
enhance support to the all source analysis and production 
process. Because of the importance attached to the achievement 
of this goal, the conferees agree to highlight it as one of the 
key mission areas to be reviewed in the overall review of 
NIMA's performance of its assigned national missions.
      The conferees endorse the grant of authority recently 
given to the Director of the National Security Agency by the 
Deputy Secretary of Defense over research and development and 
urge the Secretary of Defense and the Director of Central 
Intelligence to grant to the Director of NIMA similar approval 
authority over tactical imagery programs and intelligence 
agency investment programs.
      NIMA will provide a single agency focus for imagery and 
geospatial information within the United States Government. 
NIMA would: (1) be the focal point for the growing and diverse 
number and types of customers of imagery and geospatial 
information; (2) ensure visibility and accountability for 
imagery and geospatial resources; (3) harness, leverage, and 
focus rapid technological developments to serve imagery, 
imagery intelligence, and geospatial information customers; and 
(4) identify and advocate customer needs for this growing and 
diverse customer pool. The term ``imagery'', as defined and 
used in this Act, includes products produced from space-based 
national intelligence reconnaissance systems, in accordance 
with Executive Order 12951 and any successor or superseding 
Orders.
      Although NIMA would carry out its mission 
responsibilities under the authority, direction, and control of 
the Secretary of Defense, with the advice of the Chairman of 
the Joint Chiefs of Staff, it would have a vital ``national'' 
mission to serve the imagery and geospatial information needs 
of consumers outside the Department of Defense. It would carry 
out its responsibilities to national intelligence customers in 
accordance with the policies and priorities of the Director of 
Central Intelligence (DCI). The Central Intelligence Agency 
(CIA) would have clear, affirmative authorization to provide 
administrative and contracting services to the NIMA to insure 
accomplishment of the national mission of the NIMA or the 
performance of intelligence community activities of common 
concern, notwithstanding provisions of law that would otherwise 
limit such an authorization. The CIA also would be permitted to 
provide security police services for NIMA facilities, 
notwithstanding any limitations on jurisdiction of such 
personnel contained in section 15 of the Central Intelligence 
Agency Act of 1949.
      NIMA would be established by bringing together various 
agencies and organizations already in existence within the 
Department of Defense and the Intelligence Community. 
Specifically, NIMA would be made up of: the Defense Mapping 
Agency; the Central Imagery Office; other elements of the 
Department of Defense identified in the classified annex to 
this Act; the National Photographic Interpretation Center of 
the CIA; and other elements of the CIA identified in the 
classified annex to this Act.
      NIMA would be responsible for imagery requirements 
management, exploitation, dissemination, and archiving. It 
would define and recommend policies on imagery and geospatial 
information, and coordinate requirements for an end-to-end 
architecture, integrated into the National and Defense 
Information Infrastructure, to satisfy customer needs and to 
ensure appropriate interoperability.
      NIMA would not be responsible for developing, procuring, 
or operating imagery collection systems, which are 
responsibilities currently held by the National Reconnaissance 
Office, the Defense Airborne Reconnaissance Office, and the 
intelligence elements of the military services. Nor would NIMA 
include or replace current organizations for tactical military 
exploitation and use of imagery products. In effect, NIMA would 
provide a coherent and uniform linkage between these two ends 
of the imagery spectrum.
      NIMA would not replace or diminish the current 
responsibilities of Federal civilian agencies for mapping, 
charting, and geodesy, or change their existing 
responsibilities for disaster or emergency response or civil 
imagery archives. Rather, NIMA would facilitate their access to 
critical national security information, when appropriate, and 
promote technology exchange through established interagency 
mechanisms, such as the Civil Applications Committee. The 
ability of all members of the intelligence community to obtain 
both imagery intelligence support regarding matters of common 
concern and support necessary for individual agency 
requirements would be maintained and expanded, as appropriate.
      The conferees believe that the legislative charter for 
NIMA contained in this Act strikes an appropriate balance 
between the needs of ``national'' intelligence and combat 
support. As a Combat Support Agency, NIMA must be under the 
clear authority, direction, and control of the Secretary of 
Defense. But the charter also provides for a clear and 
prominent role for the DCI to task imagery systems and exploit 
imagery products in support of the national mission. The 
committee notes that the Director of Central Intelligence 
strongly supports establishment of NIMA as a Combat Support 
Agency in Title 10, United States Code. The DCI has testified 
that his peacetime imagery tasking authorities are protected 
under this arrangement and that he does not believe that 
support to national customers will be in any way jeopardized. 
Except as otherwise provided in this Act, establishment of NIMA 
will not derogate from the existing authorities of the 
Secretary of Defense or the DCI.
      The conferees also note that the Commission on the Roles 
and Capabilities of the United States Intelligence Community 
strongly endorsed the establishment of NIMA as a combat support 
agency within the Department of Defense. The conferees share 
the Commission's conclusion that NIMA will significantly 
improve imagery support to both military operations and 
planning, as well as to national consumers of intelligence.
      The conferees note that limited collective bargaining 
would be permitted in NIMA. Collective bargaining units that 
were recognized by the Defense Mapping Agency at the time its 
employees and positions were transferred to NIMA would continue 
to represent the same categories of employees in the NIMA, 
although expansion of those units or the creation of new 
bargaining units in NIMA would be prohibited. Positions 
determined at any time to be engaged in intelligence, 
counterintelligence, investigative, or security work directly 
affecting national security would be excluded, at the 
discretion of the NIMA Director. Permitting continuation of 
limited collective bargaining in NIMA would not be intended to 
be a precedent affecting current or future employees or 
agencies of the Intelligence Community. It would be a one-time 
solution to a unique situation.
              Title XIII--Arms Control and Related Matters
                       items of special interest
Implementation of arms control agreements
      The budget request included $282.3 million in 
procurement, operation and maintenance, and research and 
development in the defense and military service accounts for 
the implementation of arms control agreements. The budget 
request for these accounts is based on anticipated dates of 
implementation of the various arms control agreements and 
treaties.
      The conferees agree to a $24.0 million reduction to the 
budget request due to changes in the anticipated dates of 
implementation of the various arms control agreements and 
treaties. The reductions are as follows: $14.0 million from the 
operation and maintenance account for the On-Site Inspection 
Agency (OSIA); $2.0 million from weapons procurement, Navy; 
$7.0 million from operation and maintenance, Army; and $1.0 
million from operation and maintenance, Air Force.
      The conferees agree that the Department of Defense shall 
keep the Congress informed on the status of the OSIA mission to 
implement Annex 1-B of the General Framework for Peace in 
Bosnia and Herzegovina Agreement (known as the Dayton 
Agreement), and any impact this mission may have on the ability 
of OSIA to conduct its other arms control inspection 
responsibilities.
      Additionally, the conferees reiterate the concerns that 
were expressed in the statement of managers in the conference 
report accompanying the National Defense Authorization Act for 
Fiscal Year 1996 (Public Law 104-106) with regard to limiting 
the expenditure of funds to provide reimbursement for arms 
control implementation inspection costs borne by the inspected 
party to a treaty or agreement. As expressed in the statement 
of managers, funds may only be expended if the Congress has 
been notified 30 days in advance of an agreement by the 
President to a policy or policy agreement, and that policy or 
policy agreement does not modify any obligation imposed by the 
arms control agreement. Currently, the Congress is aware of 
only two such policy agreements that would reimburse Belarus, 
Kazakhstan, and Ukraine for the costs of U.S. inspections 
conducted within those states. The conferees understand that 
those reimbursements occur on a six-month basis after the 
inspections have been conducted. Those policy agreements are 
with regard to the Intermediate-Range Nuclear Forces (INF) 
Treaty and the Strategic Arms Reduction Treaty (START), 
concluded in May 1994 and February 1995.
      Once again, the conferees express their concern that arms 
control consultative commissions are being used as a mechanism 
to make substantive changes or modifications to arms control 
treaties and agreements that should be brought to the Senate 
for its review and subsequent advice and consent. There may be 
very good reasons for changes in implementation of specific 
arms control treaties or agreements. However, if a change or 
modification to the treaty or agreement would result in a 
substantive change to the understanding under which the Senate 
provided its advice and consent prior to ratification, the 
Congress should be consulted about the recommended change or 
modification in advance of any agreement in the consultative 
commissions, and must provide its subsequent agreement to the 
change or modification.
      The conferees support the ratification and full 
implementation by all parties of the Chemical Weapons 
Convention (CWC), as negotiated. However, the conferees remain 
concerned that Russia continues to engage in chemical weapons 
activities inconsistent with the accord. In addition, Iran, a 
signatory to the convention, has been characterized by one U.S. 
official as having ``the most active chemical weapons program'' 
in the Third World. Further, a number of states that possess 
active chemical weapons programs, such as Libya, are not 
signatories to the accord. For example, the Secretary of 
Defense and the Director of Central Intelligence have confirmed 
that Libya is engaged in the construction of an underground 
chemical weapons facility carved into a mountain near Tarhunah. 
This extensive project demonstrates the Libyan commitment to 
the acquisition of a significant chemical weapons capability 
and raises questions about the ability of arms control 
agreements like the CWC to restrain the rogue regimes from 
acquiring these types of weapons of terror.
      With regard to the negotiations on a comprehensive test 
ban, many experts believe that a Comprehensive Test Ban Treaty 
(CTBT) is unlikely to be effectively verifiable. Countries 
intent on cheating could identify and implement evasive 
measures that would make it virtually impossible for U.S. 
sensors to detect low-yield tests. This thesis is given 
additional credibility by reports that the Russians may have 
recently conducted a nuclear test, in violation of their self-
imposed moratorium, at Novaya Zemlya.
      The conferees support the budget request for arms control 
implementation, which includes $26.7 million for research, 
development, test and evaluation of technologies to aid in the 
detection of nuclear tests. As discussed elsewhere in the 
statement of managers, the conferees recommend $6.5 million for 
basic research on seismic nuclear monitoring, which could be 
used to detect low-yield nuclear tests.
                                   FY 1997 ARMS CONTROL IMPLEMENTATION BUDGET                                   
----------------------------------------------------------------------------------------------------------------
                  Account                                  Program                Request     Recomm    Rec auth
----------------------------------------------------------------------------------------------------------------
WPN........................................  Arms control compliance...........     14.840     -2.000     12.840
OPAF.......................................  Spares & repairs..................      0.207      0.000      0.207
PDA........................................  OSIA..............................      3.286      0.000      3.286
RDT&E, AF..................................  Arms control implementation.......     26.786      0.000     26.786
RDT&E, DA..................................  Ver tech dem, DNA (603711)........     26.199      0.000     26.199
O&M, Army..................................  ..................................     37.255     -7.000     31.255
O&M, Navy..................................  ..................................     35.402      0.000     35.402
O&M, AF....................................  ..................................     29.331     -1.000     28.331
O&M, DA....................................  OSIA..............................    109.030    -14.000     95.030
                                                                                --------------------------------
      Total................................  ..................................    282.336    -24.000    258.336
----------------------------------------------------------------------------------------------------------------
                         LEGISLATIVE PROVISIONS
Subtitle A--Arms Control, Counterproliferation Activities, and Related 
                                Matters
                     LEGISLATIVE PROVISIONS ADOPTED
Extension of counterproliferation authorities (sec. 1301)
      The House bill contained a provision (sec. 1301) that 
would extend the authority of the Department of Defense to 
provide support to the United Nations Commission on Iraq 
(UNSCOM) through the end of fiscal year 1997.
      The Senate amendment contained a similar provision (sec. 
1043) that would extend the authority of the Department of 
Defense to provide support to UNSCOM through the end of fiscal 
year 1998.
      The Senate recedes with an amendment that would extend 
the authority of the Department of Defense to provide support 
to UNSCOM through the end of fiscal year 1997. Additionally, 
the conferees agree to a provision that would provide the 
Department with authority to exceed the levels authorized in 
fiscal year 1997 for DOD support to UNSCOM in the event of a 
significant unforeseen development. In that event, the 
Secretary of Defense would be required to notify the 
congressional defense committees in writing, prior to providing 
assistance that would exceed the levels authorized for DOD 
support. However, if the Secretary of Defense determines that 
prior notification of such action is not possible, he must 
notify the congressional defense committees of his actions no 
later than 15 days after the date the additional assistance was 
provided.
Limitation on retirement or dismantlement of strategic nuclear delivery 
        systems (sec. 1302)
      The House bill contained a provision (sec. 1302) that 
would prohibit the use of funds appropriated to the Department 
of Defense during fiscal year 1997 for retiring or dismantling 
any B-52H bombers, Trident ballistic missile submarines, 
Minuteman III intercontinental ballistic missiles (ICBMs), or 
Peacekeeper ICBMs.
      The Senate amendment contained a similar provision (sec. 
1062) that would prohibit the use of funds during fiscal year 
1997 for the retirement of B-52H bombers, Trident ballistic 
missile submarines, Minuteman III intercontinental ballistic 
missiles, or Peacekeeper intercontinental ballistic missiles, 
or preparing to retire or dismantle such systems. The provision 
would allow the Secretary of Defense to waive the funding 
restrictions on retiring or dismantling strategic nuclear 
delivery systems, other than for B-52H bombers, to the extent 
necessary to implement the START II Treaty.
      The House recedes with an amendment that would limit the 
obligation of funds during fiscal year 1997 for early 
deactivation of U.S. strategic nuclear delivery systems until 
30 days after the date on which the President submits to 
Congress a report concerning such actions. The conferees note 
that discussions have been held between the governments of the 
United States and the Russian Federation regarding an agreement 
on early deactivations of strategic nuclear weapons and/or 
strategic nuclear delivery systems, once the START II Treaty 
has entered into force. However, the conferees have not been 
given information about the substance of these discussions or 
negotiations.
      In order to retain 94 B-52H aircraft in an operational 
status (28 in attrition reserve), the conferees recommend an 
increase of $42.9 million in Operation and Maintenance, Air 
Force. Of the amounts available in Aircraft procurement, Air 
Force, $42.7 million shall be available for B-52H aircraft 
modifications. Of the amounts available in Military Personnel, 
Air Force, $3.3 million shall be available for support of the 
28 attrition reserve aircraft. In making these recommendations, 
the conferees do not intend to alter the Air Force's ongoing 
effort to consolidate B-52 squadrons. The conferees also do not 
intend to preclude long-range pre-planning, design, or 
evaluation efforts to allow the Navy and Air Force to be ready 
to execute various retirement and dismantlement options in an 
efficient manner.
Strengthening certain sanctions against nuclear proliferation 
        activities (sec. 1303)
      The Senate amendment contained a provision (sec. 1085) 
that would authorize the President to impose Export-Import Bank 
sanctions against specific persons or entities that knowingly 
aid or abet countries to acquire nuclear weapons, or nuclear 
materials for such weapons, by amending the Export-Import Bank 
Act of 1945 (12 U.S.C. 635(b)(4)).
      The House bill contained no similar provision.
      The House recedes with a technical and clarifying 
amendment.
      The global spread of nuclear weapons constitutes one of 
the gravest threats to the national security of the United 
States and that our friends and allies. The persistent and 
ever-changing nature of this threat, together with the numerous 
pathways available to countries to acquire these weapons, 
require both the Congress and the Executive Branch to ensure 
that the United States possesses tools, including necessary 
statutes, to combat this threat.
      Current law requires the denial of Export-Import Bank 
credits: to finance goods destined to countries that violate 
safeguards or a U.S. nuclear agreement, to any non-nuclear 
weapon state that has detonated a nuclear weapon or device, 
and, to any country that has willfully aided or abetted a non-
nuclear weapon state to acquire or develop a nuclear weapon.
      In 1996, a Chinese government-owned entity transferred 
sensitive uranium enrichment technology to Pakistan. This 
action raised the possibility that several billion dollars of 
Export-Import Bank-financed credits for U.S. exports to China 
would be denied. However, the specific entity, the China 
Nuclear Energy Industry Corporation (CNEIC), escaped sanctions 
under current law because the administration judged that 
current law, which prescribes sanctions only against a 
``country'' that willfully aids and abets proliferation, does 
not authorize sanctions against a person or entity, such as the 
CNEIC.
      The conferees agree that enabling the President to target 
sanctions against specific proliferators that are not countries 
will provide important additional options to the President and 
thereby strengthen the U.S. ability to use sanctions as a tool 
to discourage future business with enterprises that knowingly 
promote the global spread of nuclear weapons and materials.
Presidential report regarding weapons proliferation and policies of the 
        People's Republic of China (sec. 1306)
      The House bill contained a provision (sec. 1048) that 
would express the concerns of the Congress with regard to the 
transfer by China to Pakistan of sophisticated equipment 
important to the development of nuclear weapons in Pakistan, 
China's compliance with nuclear proliferation regimes, and the 
decision of the United States not to impose sanctions against 
China for its transfer of equipment to Pakistan. The provision 
would express the sense of the Congress that the President 
should not have decided that the evidence of China's actions 
was not sufficient to warrant sanctions. The provision would 
also require the President to report to Congress on the 
administration's response to China's transfer of equipment to 
Pakistan, on specific information related to the justification 
for the President's determination not to enforce sanctions 
against China, and on subsequent actions taken by the United 
States to enforce compliance with nonproliferation and export 
control regimes.
      The Senate had no similar provision.
      The Senate recedes with an amendment that would express 
congressional concerns regarding China's transfer of assistance 
to Iran and Pakistan that could contribute to the manufacture 
of nuclear weapons; transfer of nuclear weapons technology and 
assistance, as well as the transfer of M-11 missiles, to 
Pakistan; and China's compliance with proliferation regimes 
such as the nuclear Nonproliferation Treaty and the Missile 
Technology Control Regime (MTCR). The provision would also 
require the President to submit a report to Congress within 60 
days of enactment of this Act regarding the transfer of nuclear 
weapons technology and assistance, as well as their means of 
delivery, by China to Pakistan, subsequent actions taken by the 
President to express concern with China's compliance with 
nuclear proliferation regimes, and information related to the 
specific justification by the Secretary of State that there was 
no sufficient basis for imposing sanctions against China.
United States-People's Republic of China Joint Defense Conversion 
        Commission (sec. 1307)
      The House bill contained a provision (sec. 1306) that 
would prohibit obligation or expenditure of fiscal year 1997 
funds for activities associated with the United States-People's 
Republic of China Joint Defense Conversion Commission until 
Congress receives reports required by section 1343 of the 
National Defense Authorization Act for Fiscal Year 1996 (Public 
Law 104-106).
      The Senate amendment contained no similar provision.
      The Senate recedes.
Sense of the Congress concerning export controls (sec. 1308)
      The Senate amendment contained a provision (sec. 1046) 
that would express the sense of the Senate that an 
international export control regime is critically important; 
that agreement on an international export control regime should 
be a top priority of the United States; that the United States 
should encourage the adoption by friends and allies of a 
commodity control list similar to the U.S. list; that 
enforcement activities should be strengthened; and, that the 
United States should use unilateral controls.
      The House bill contained no similar provision.
      The House recedes with a technical and clarifying 
amendment.
      During the Cold War, the Coordinating Committee for 
Multilateral Export Controls (COCOM) regime assisted the North 
Atlantic Treaty Organization (NATO) in maintaining a 
qualitative military edge over the Warsaw Pact. However, in the 
post-Cold War era, while allies have a strong interest in 
coordinating exports, they have rejected efforts to implement 
restrictive procedures, such as those used in COCOM, to ensure 
the restriction of exports of militarily significant dual use 
technologies and commodities.
      Dual-use technologies and commodities are civilian items 
which have military application; they are not munitions. The 
United States controls the export of its dual use technologies 
and commodities for national security, foreign policy, and 
short supply purposes. The legislative framework that controls 
the exports of these dual use items is the Export 
Administrative Act (EAA).
      The world has changed dramatically since 1988 (the last 
time the Export Administration Act (EAA) was revised). COCOM 
coordinated NATO restrictions on exports of conventional 
weapons and related dual use goods to communists countries, but 
was disbanded in March 1994. To date, the administration's 
effort to negotiate an effective successor regime to COCOM, 
which would restrict exports to targeted countries (Iran, Iraq, 
Libya and North Korea) from former COCOM members and new 
members from neutral and eastern European countries, has 
failed.
      Additionally, the Export Administration Act (EAA) expired 
in August 1994 and new legislation has not been adopted by 
Congress. Currently, the President's authority to control the 
export of dual use technologies is exercised under Executive 
Order 12938. Executive Order 12938 declared a national 
emergency with respect to the threat posed to U.S. national 
security by the proliferation of weapons of mass destruction. 
Under this executive order the President can enforce most 
export controls on dual use technologies and commodities that 
would contribute to the proliferation of weapons of mass 
destruction. The executive order, however, does not provide 
full enforcement authority.
      The capability to build weapons of mass destruction 
(WMD), including nuclear, chemical and biological weapons, and 
missiles to deliver WMD, is spreading. Without adequate export 
controls on sensitive dual use technologies and commodities, 
their export could enable an adversary to design, develop, 
test, produce, stockpile or use weapons of mass destruction, 
missile delivery systems, and other significant military 
capabilities.
      The availability of sensitive military technologies to 
countries, without sufficient safeguards to ensure that these 
technologies cannot be transferred to a third country (which 
could be a rogue nation), remains a fundamental concern to the 
United States and should be eliminated through deterrence, 
negotiations, and other appropriate means.
      Export controls remain part of a comprehensive approach 
that effectively responds to U.S. national security interests. 
The United States should continue to work with its friends and 
allies to negotiate an agreement to restrict exports of dual 
use technologies and commodities to foreign countries that 
threaten U.S. national security, nonproliferation, or foreign 
policy interests.
Sense of Congress concerning assisting other countries to improve 
        security of fissile material (sec. 1310)
      The House bill contained a provision (sec. 1054) that 
would express the sense of Congress that it is in the national 
interest of the United States to take actions to assist other 
countries in securing and accounting for plutonium and highly 
enriched uranium from dismantled nuclear weapons.
      The Senate amendment contained no similar provision.
      The Senate recedes.
Review by Director of Central Intelligence of National Intelligence 
        Estimate 95-19 (sec. 1311)
      The House bill contained a provision (sec. 1308) that 
would direct the Director of Central Intelligence (DCI) to 
review the underlying assumptions and conclusions of the 
November, 1995, National Intelligence Estimate on ``Emerging 
Missile Threats to North America During the Next 15 Years,'' to 
convene a panel of independent, non-governmental experts, and 
to report the panel's findings to Congress, along with the 
DCI's comments.
      The Senate amendment contained no similar provision.
      The Senate recedes.
 Subtitle B--Commission to Assess the Ballistic Missile Threat to the 
                             United States
                     legislative provisions adopted
Commission to assess the ballistic missile threat to the United States 
        (secs. 1321-1329)
      The House bill contained provisions (secs. 1321-1329) 
that would establish a commission to be known as the 
``Commission to Assess the Ballistic Missile Threat to the 
United States.'' The commission's members would be private 
citizens with knowledge and expertise in the political and 
military aspects of proliferation of ballistic missiles and the 
ballistic missile threat to the United States, and would have 
access to the resources and information of the intelligence 
community necessary to carry out their responsibilities. The 
commission would consist of nine members appointed by the 
Director of Central Intelligence. Consistent with the 
consultative nature of the appointment process used by the 
Defense Base Closure and Realignment Commission (Public Law 
101-510), three members would be chosen in consultation with 
the Speaker of the House of Representatives, three members 
would be chosen in consultation with the Majority Leader of the 
Senate, and three members would be chosen in consultation with 
the minority leaders of the House and Senate.
      The Senate amendment contained no similar provision.
      The Senate recedes.
         TITLE XIV--DEFENSE AGAINST WEAPONS OF MASS DESTRUCTION
Cooperative threat reduction (CTR) program, domestic emergency 
        assistance programs and programs for the defense against 
        weapons of mass destruction (secs. 1401-1505)
      The House bill contained provisions (sec. 1101-1105) that 
would: authorize $302.9 million for the Cooperative Threat 
Reduction (CTR) program, a $25.0 million reduction to the 
budget request; would specify CTR programs; allocate fiscal 
year 1997 funding for the various CTR programs and activities; 
prohibit the use of CTR funds for specific purposes; prohibit 
the obligation of CTR funds until various reports are submitted 
to Congress; and make fiscal year 1997 CTR funds available for 
three fiscal years. Additionally, the House report (H. Rept. 
104-563) encouraged the Secretary of Defense to report to the 
Congress by September 30, 1996, an assessment of the 
advisability of the Department of Defense's establishing a 
program for enhancing the capability of the Department to 
assist law enforcement agencies in responding to terrorism or 
natural disasters involving chemical or biological agents and 
recommended an increase of $12.0 million in PE 65160D to 
preserve the option of initiating such a program in fiscal year 
1997.
      The Senate amendment would fully fund the budget request 
for CTR at $327.9 million. In addition, the Senate amendment 
contained provisions (secs. 1301-1356) that would increase the 
overall budget request for defense operation and maintenance by 
$150.0 million, and add $85.0 million to the budget request for 
the Department of Energy to establish a comprehensive program 
to improve U.S. capabilities to deal with the use, or 
threatened use, of weapons of mass destruction. In that regard, 
the amendment would expand the scope of the DOD CTR program and 
the DOE arms control and materials, protection, control and 
accountability programs to include additional activities, 
especially assistance to the independent states of the former 
Soviet Union. Of the $235.0 million budget increase for DOD and 
DOE, $80.0 million would be authorized for the establishment of 
a DOD and DOE domestic emergency assistance program; $59.0 
would be authorized for domestic and international border 
security assistance DOD CTR and DOE materials, protection, 
control and accountability activities would be increased by 
$94.0 million; and $2.0 million would be authorized for 
research activities of the proliferation coordinator.
      Additionally, the provision would provide the President 
with more specific authorities than exist under current law by 
authorizing the limited use of U.S. military forces to assist 
the Department of Justice in domestic emergency situations 
involving the terrorist use of WMD and by amending the 
International Emergency Economic Powers Act.
      The House recedes with an amendment to the Senate 
provisions.
      The Senate recedes with an amendment to the House 
provisions.
      Since the end of the Cold War, materials and technologies 
related to weapons of mass destruction--nuclear, radiological, 
chemical, and biological weapons--have become increasingly more 
available to rogue states, terrorist groups, and unstable 
individuals. Controls over nuclear materials in the former 
Soviet Union continue to require significant improvement. Easy 
access to dual-use materials and technologies to fabricate 
chemical and biological weapons make the proliferation of these 
weapons arguably the most urgent and serious threat the United 
States faces today.
      The United States government must improve and make 
comprehensive the way it addresses this threat. To this end, 
the conferees agree to a series of provisions that address all 
aspects of the threat of the proliferation of weapons of mass 
destruction. The conferees agree to recommend an additional 
$201.0 million to the budget to address this issue. These 
increased funds would: increase the budget request for the 
Cooperative Threat Reduction (CTR) program by $37.0 million; 
authorize a $10.0 million increase to the budget request for 
the counterproliferation support program; authorize $30.0 
million for U.S. and international border security activities; 
add $65.0 million for the establishment of a domestic emergency 
response program; and add $57.0 for DOE materials, protection, 
control and accountability.
Domestic Preparedness
      Enhancing the nation's ability to prevent, and, if 
necessary, to respond to a terrorist incident involving 
nuclear, radiological, chemical, or biological weapons or 
materials is the cornerstone of this program. The conferees 
note that an interagency group, composed of the Federal 
Response Plan signatory agencies led by the Federal Emergency 
Management Agency (FEMA) completed and forwarded to the 
President on July 1, 1996, a report titled ``Consequences 
Management for Nuclear, Biological, and Chemical (NBC) 
Terrorism.'' The report documents the inadequacy of the Federal 
Response Plan to deal with NBC terrorist incidents and makes 
specific recommendations regarding capability enhancements. The 
conferees agree to a provision (sec. 1411) that would require 
the President to take immediate action to enhance the 
capability of the Federal Government to respond to such 
incidents and to provide enhanced support to improve the 
capabilities of State and local emergency response and law 
enforcement agencies to respond to such incidents. The 
provision would further require the President to provide to the 
Congress by January 31, 1997, a report containing an assessment 
of such capabilities, improvements required, and measures that 
should be taken to achieve such improvements, including 
additional resources and legislative authority that might be 
necessary.
      The conferees agree to recommend $50.0 million for the 
establishment of a domestic emergency assistance program for 
the Department of Defense to immediately begin sharing its 
unique expertise, experience, and equipment in dealing with 
chemical and biological weapons and materials with local 
emergency first respondents (firemen, policemen, and medical 
workers).
      The conferees expect that the Secretary of Defense will 
work expeditiously with the Secretary of Health and Human 
Services in providing DOD resources and expertise to the Office 
of Emergency Preparedness for the formation of emergency 
medical teams that are trained and equipped to handle incidents 
involving weapons of mass destruction.
      The conferees agree to provide $15.0 million for DOD to 
conduct interagency exercises that will focus on testing and 
improving the U.S. Government's ability to respond to incidents 
involving weapons of mass destruction.
      The conferees have agreed to an additional provision 
(sec. 1414) that would require DOD to establish at least one 
Chemical-Biological Emergency Response Team for rapid response 
to domestic terrorism. The conferees expect that such teams 
would be similar in concept to the Nuclear Emergency Search 
Team and Accident Response Groups that are maintained by DOE 
for response to a nuclear incident. The conferees note in the 
joint DOD/DOE report to the Congress, ``Preparedness and 
Response to a Nuclear, Radiological, Biological, or Chemical 
Terrorist Attack,'' dated June 13, 1996, that the DOD is 
attempting to establish such a capability. The conferees note 
that many of the capabilities sought for such teams are already 
present in the Army's Technical Escort Unit, Edgewood Research, 
Development, and Engineering Center, and Chemical Defense and 
Infectious Disease Medical Research Institutes. The conferees 
also note the Counterproliferation Program Review Committee's 
``Report on Activities and Programs for Countering 
Proliferation'', dated May 1996, which states that U.S. Marine 
Forces, Atlantic was scheduled to activate a Department of the 
Navy/Marine Corps Chemical/Biological Incident Response Force 
on June 1, 1996, to respond to chemical and biological 
incidents (terrorist or otherwise) occurring on Naval 
installations and Department of State legations worldwide. The 
conferees understand that the unit has been activated and is 
now in training.
      In section 1416, the conferees agree to provide 
authority, very narrowly defined and carefully constructed, for 
the President and the Attorney General to request military 
support to local authorities in incidents involving chemical 
and biological weapons. This authority is in addition to the 
authorities otherwise provided in Chapter 18 of title 10, U.S. 
Code. The conferees agree that the use of the military in any 
emergency situation involving biological or chemical weapons or 
materials should be limited both in time and scope to dealing 
with the specific chemical or biological weapons-related 
incident.
      Finally, the conferees have included a provision (sec. 
1417) that would require Federal Response Plan agencies to 
develop and maintain an inventory of equipment and other assets 
that could be made available to aid State and local officials 
in search and rescue and other disaster management and 
mitigation efforts associated with an emergency involving 
weapons of mass destruction, and would require FEMA to maintain 
a comprehensive master list of the inventory. The provision 
would also require FEMA to establish a data base on chemical 
and biological agent and munitions characteristics and safety 
precautions and to develop a system to provide federal, State, 
and local officials access to the data base and to the master 
inventory.
Interdiction of weapons of mass destruction and related materials
      This section focuses attention on enhancing our efforts 
at interdicting and detecting nuclear, radiological, chemical, 
and biological weapons and related materials, the next step of 
protecting the United States against the threat posed by the 
proliferation of weapons of mass destruction. The conferees 
agree to recommend $15.0 million for the DOD to assist the U.S. 
Customs Service in interdicting these materials before they 
enter the United States.
      As mentioned above, the conferees also agree to an 
increase of $10.0 million to the DOD counterproliferation 
support program and an increase of $17.0 million to the DOE 
nonproliferation and verification research and development 
program to conduct research and development of technical means 
for detecting the presence, transportation, production, and use 
of weapons of mass destruction and related materials and 
technologies.
      Additionally, the conferees agree to provisions that 
would amend the International Emergency Economic Powers Act to 
provide penalties to cover attempts to import or export weapons 
of mass destruction and related materials, and would express 
the sense of the Congress that criminal penalties for 
proliferation-related activities should be increased.
      Finally, the conferees agree to recommend $15.0 million 
for DOD training and assistance to customs services and border 
guards in the former Soviet Union, the Baltic states, and 
Eastern Europe in detecting and interdicting the smuggling of 
weapons of mass destruction and related materials. This program 
is intended to be separate and distinct from the existing DOD/
FBI counterproliferation assistance program, which focuses 
largely on training law enforcement officials in the 
interdiction of these materials. The conferees believe that law 
enforcement and Customs agents, and border guards, must be 
familiar with proliferation issues if any counterproliferation 
effort is to be viable. While there may be some beneficial 
overlap between the DOD/FBI effort and the DOD/Customs program 
envisioned in this legislation, it is the view of the conferees 
that the most effective way to reach and establish productive 
relations is through expanding relations between analogous 
counterparts. The conferees expect the Secretary of Defense to 
make DOD equipment and related materials and technologies 
available to the Commissioner of Customs for use in detecting 
and interdicting the movement of weapons of mass destruction 
into the United States to the extent authorized under existing 
law. The Secretary of Defense and the U.S. Customs Commissioner 
shall provide to Congress a joint report on the scope and 
impact of this program and an inventory of items provided under 
this authority. This report should also include the extent to 
which it will interface with the DoD/FBI effort.
Control and disposition of weapons of mass destruction and related 
        materials threatening the United States
      With regard to the DOD budget request for the CTR program 
and the DOE budget request for materials, protection, control 
and accountability, the conferees agree to recommend authority 
for a variety of programs that focus on assisting the states of 
the former Soviet Union to better control and/or eliminate 
their stockpiles of weapons of mass destruction and related 
materials. Programs include: $15.0 million for DOE MPC&A 
activity; $10.0 million for DOD MPC&A activity; $10.0 million 
for a DOE program to develop technologies associated with 
improving the verification of nuclear warhead dismantlement; 
$15.0 million for DOD activities related to the dismantlement 
of chemical and biological weapons-related facilities; $9.0 
million for DOE's Lab-to-Lab program; and $6.0 million for DOE 
to work with the Russian government in enhancing the security 
of fissile material used for the propulsion of Russian military 
and civilian ships.
      It is the view of the conferees that both DOE and DOD 
should seek to expand these activities in the former Soviet 
Union beyond nuclear activities in Russia, Ukraine, Kazakhstan, 
and Belarus. While programs to date have appropriately focused 
on the most pressing strategic concerns, critical work remains 
to be done in combating the threat of proliferation at a 
variety of sites in the other states of the former Soviet Union 
where nuclear, chemical, and biological weapons-related 
materials and technologies continue to be vulnerable to 
proliferation.
      The conferees agree to transfer $10.0 million in DOD 
funds to DOE for activities related to the conversion of 
several Russian nuclear core reactors so they no longer produce 
weapons-grade plutonium. It is the view of the conferees that 
the Secretary of Defense should transfer these funds to the 
Secretary of Energy expeditiously so that the Department of 
Energy can continue to move forward on this program.
Coordination of policy and countermeasures against proliferation of 
        weapons of mass destruction
      The conferees agree that the nation's overall 
coordination of policy, efforts, and activities addressing the 
threat posed by the increasing availability of nuclear, 
chemical, and biological weapons, materials, and technology 
must be improved. The conferees agree to a provision that would 
direct the appointment by the President of a national 
coordinator on proliferation within the Executive Office of the 
President, to advise the President on nonproliferation and 
related issues regarding terrorism and international organized 
crime. The provision would establish a committee on 
nonproliferation, to be chaired by the coordinator, and 
composed of members of the Executive Branch who have 
responsibilities for crisis and consequence management, 
nonproliferation, and related issues. This committee will 
review and coordinate programs, policies, and directives 
related to the proliferation of weapons of mass destruction and 
the threat they pose to our national security. The conference 
agreement also requires the President, through the committee on 
nonproliferation, to submit a comprehensive report for carrying 
out this amendment.
  TITLE XV--COOPERATIVE THREAT REDUCTION WITH STATES OF FORMER SOVIET 
                                 UNION
          TITLE XVI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL
    Subtitle B--Department of Defense Intelligence Personnel Policy
                     legislative provisions adopted
Department of Defense intelligence personnel policy (secs. 1631-1635)
      The Senate amendment contained several provisions (sec. 
1131-1134) that would provide new personnel management 
authorities to the Secretary of Defense for managing the 
civilian personnel in the DOD intelligence community.
      These provisions would authorize the Secretary of Defense 
to: 1) establish Senior Executive Service (SES) positions in 
the intelligence community without regard to individual service 
or agency caps while retaining the overall DOD cap; 2) 
establish senior-level positions in the intelligence community 
to provide upward mobility for individuals whose career 
patterns and areas of expertise do not afford or require the 
management experience required of an SES; 3) establish term-
limited non-competitive positions for periods of up to two 
years to permit the rapid expansion or contraction of portions 
of the workforce to meet evolving needs; 4) terminate the 
employment of a member of the intelligence community in the 
interests of the United States; 5) adjust the size, quality and 
skill mix of the intelligence community workforce by allowing 
greater weight to be given to performance and skill than is 
currently possible under existing reduction-in-force rules.
      The Senate amendment also contained several provisions 
(secs. 921, 924, and 925) that would provide personnel 
management authorities to the Secretary of Defense for managing 
the civilian personnel in the National Imagery and Mapping 
Agency that are consistent with other authorities affecting the 
defense intelligence community.
      The House bill contained no similar provision.
      The House recedes with an amendment that would 
consolidate those provisions addressing the management of 
civilian personnel of the defense intelligence community 
including those assigned to the National Imagery and Mapping 
Agency.
      The conferees intend that the section concerning time-
limited appointments be used for non-competitive appointments 
to meet crisis or surge requirements. The conferees do not 
intend to limit the temporary limited appointment or ``not-to 
exceed'' authorities currently in effect.
                            Title XXI--Army
                            fiscal year 1997
                         legislative provisions
                     legislative provisions adopted
Land acquisition, National Ground Intelligence Center, Charlottesville, 
        Virginia (sec. 2105)
      The conferees include a provision that would authorize 
the Secretary of the Army to acquire real property for the 
National Ground Intelligence Center, Charlottesville, Virginia. 
The acquisition would be contingent upon the Secretary 
certifying to the congressional defense committees that the 
acquisition of the property would provide the most cost-
effective means of securing a location for the National Ground 
Intelligence Center.
 DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND 
                          OTHER AUTHORIZATIONS
      Title XXXI--Department of Energy National Security Programs
Overview
      The budget request for fiscal year 1977 contained an 
authorization of $11,049.5 million for the Department of Energy 
National Security Programs. The House bill would authorize 
$11,214.1 million. The Senate amendment would authorize 
$11,499.5 million. The conferees recommended an authorization 
of $11,399.5 million. Unless noted explicitly in the statement 
of managers, all changes are made without prejudice.
<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>
                         legislative provisions
         Subtitle A--National Security Programs Authorizations
                     legislative provisions adopted
Weapons Activities (sec. 3101)
      The House bill contained a provision (sec. 3101) that 
would authorize $3,935.0 million for Department of Energy (DOE) 
weapons activities.
      The Senate amendment contained a similar provision (sec. 
3101) that would authorize $3,949.0 million for Department of 
Energy weapons activities.
      The Senate recedes with an amendment that would authorize 
$3,918.0 million for weapons activities, an increase of $208.0 
million above the requested amount, for the following 
activities: $1,661.8 million for stockpile stewardship 
activities; $1,962.8 million for stockpile management 
activities; $313.4 million for program direction. The 
authorization includes an undistributed reduction of $20.0 
million to be offset by the availability of prior year funds 
that have not been obligated, or if obligated, have not been 
expended and would not be needed for the projects that were the 
basis for obligation.
      In balancing the stockpile stewardship and stockpile 
management programs, the conferees continue to be concerned 
that the Department is placing an undue reliance on the long-
term, unproven science-based stockpile stewardship program at 
the expense of modernizing the more traditional production, 
engineering, and surveillance approaches needed to maintain 
stockpile safety and reliability over the next ten to fifteen 
years. The conferees direct the Department to seek an 
appropriate balance between the two approaches to ensure that 
the United States can maintain the safety, effectiveness, and 
reliability of its nuclear stockpile.
      Of the amount made available for technology transfer and 
education, the conferees recommend $13.0 million for the 
American Textiles Partnership project.
      In the stockpile management program, the conferees 
believe that the United States must maintain viable weapons 
manufacturing capabilities and capacities to rebuild aging 
weapons and to retain the ability to reconstitute, if 
necessary, its nuclear forces, consistent with U.S. treaty 
obligations. In this regard, the conferees are concerned that 
the underlying rationale of the Department's Draft Programmatic 
Environmental Impact Statement for Stockpile Stewardship and 
Management could negatively impact production capabilities and 
capacities by needlessly downsizing the production plants (Y-
12, Pantex, Kansas City, and Savannah River Site) and stripping 
those facilities of unique skills and expertise. The conferees 
also raised additional concerns regarding the Department's 
phased approach to restore tritium production elsewhere in this 
bill.
      Of the amounts made available for stockpile management 
activities, the conferees authorize an additional $90.0 million 
for the four weapons production plants to begin a long-term 
modernization and upgrade programs; an additional $60.0 million 
for tritium production; an additional $5.0 million for a surety 
program to improve waste minimization efforts in the new 
stockpile management modernization program; an additional $6.0 
million for tritium recycling plant upgrades; and an additional 
$3.0 million for planning and construction of a tritium 
extraction facility.
      Weapons activities program direction is authorized at 
$313.4 million, a reduction of $21.0 million. The conferees 
direct that this decrease be used to continue reductions in 
Federal employee staffing, foreign and domestic travel, and 
non-technical support service contracts. The conferees direct 
that reductions to the Federal workforce at DOE headquarters 
and the non-technical contract support services workforce at 
DOE headquarters be balanced. Further, the conferees direct the 
Secretary of Energy to submit a report to Congress identifying 
the frequency, destination, and cost of foreign travel funded 
by the Department through grants, cooperative agreements, and 
subcontracts.
      The conferees note that the report required by section 
3160 of the National Defense Authorization Act for Fiscal year 
1996 has not been provided to the congressional defense 
committees. The conferees direct the Secretary to provide the 
required report not later than February 1, 1997. The conferees 
further require that the report include information relating to 
past instances in which safety or reliability issues in the 
stockpile have resulted in a requirement to conduct nuclear 
tests at yields above hydronuclear yields. The described data 
shall include the types of problems identified, the solutions 
to those problems, the type of nuclear test deemed necessary to 
assure the resolution of each problem, and the element of the 
stockpile stewardship program being undertaken as a substitute 
for testing that could provide the analytical capacity to 
understand, monitor, and make judgements regarding the impact 
such a problem or problems would have on the reliability of the 
stockpile. For each such instance, the report should indicate 
the methods that were available to address the identified 
problem which did not rely on nuclear testing, and the 
confidence the Department could have expected from those 
methods.
      The conferees direct the Secretary to update the Warhead 
Master Plan report required under Section 3153 of the National 
Defense Authorization Act for Fiscal Year 1996 (Public Law 104-
106) on a biennial basis and to inform the congressional 
defense committees of noteworthy changes in the plan.
Environmental restoration and waste management (sec. 3102)
      The House bill contained a provision (sec. 3102) that 
would authorize funds for Department of Energy (DOE) defense 
environmental restoration and waste management activities for 
fiscal year 1997 at $5,409.3 million, the level of the budget 
request.
      The Senate amendment contained a provision (sec. 3102) 
that would authorize $5,607.3 million for DOE defense 
environmental restoration and waste management activities for 
fiscal year 1997.
      The conferees agree to provide $5,509.3 for DOE defense 
environmental restoration and waste management activities for 
fiscal year 1997 for the following activities: $1,762.1 million 
for environmental restoration; $1,578.6 million for waste 
management; $1,291.2 million for nuclear material and facility 
stabilization; $411.5 million for program direction; $303.7 
million for technology development; $23.1 million for policy 
and management; $62.1 million for the environmental science 
program; $185.0 million for privatization; and $50.0 million 
for closure-acceleration activities. The conferees recommend 
approval of the Department's request for a reduction of $150.4 
million for prior year balances and an $8.0 million offset for 
the Savannah River Site Pension Refund.
      Of the funds authorized to be appropriated under section 
3102(b), the conferees recommend: an additional $15.0 million 
to accelerate Defense Waste Processing Facility operations and 
associated high-level waste treatment; an additional $20.0 
million for a one-time payment to the State of New Mexico 
pursuant to a provision contained elsewhere in this bill; and 
an additional $7.0 million for the Waste Isolation Pilot Plant 
to make preparations for receipt of waste shipments.
      Of the funds authorized to be appropriated under section 
3102(c), the conferees recommend an additional $43.0 million 
for nuclear material stabilization operations at the F- and H-
canyon facilities and an additional $15.0 million for the 
National Spent Nuclear Fuel Program.
      To provide additional resources for cleanup, the 
conferees recommend reducing the budget request for the office 
of policy and management (sec. 3102(f)) by $25.0 million. This 
reduction would result in an authorization for this subaccount 
that is comparable to that authorized and appropriated in 
fiscal year 1996. Approximately $4.0 to $7.0 million of this 
reduction would be derived by eliminating the requirement to 
submit to Congress, on an annual basis, the baseline 
environmental management report as required by the National 
Defense Authorization Act for Fiscal Year 1994 (Public Law 103-
360). The conferees recommend elsewhere in this title that the 
annual reporting requirement be converted to a biennial 
requirement.
      The conferees recommend a reduction to the budget request 
for program direction (sec. 3102(d)) of $35.0 million. The 
conferees direct that the Department absorb this funding 
reduction by reducing the number of Federal employees assigned 
to the Department's headquarters, by reducing administrative 
overhead and travel expenses at DOE headquarters, and by 
reducing non-technical contract support services at DOE 
headquarters. The conferees direct that reductions to the 
Federal workforce at DOE headquarters and the non-technical 
contract support services workforce at DOE headquarters be 
balanced. The conferees encourage the Department to examine 
options for moving programmatic functions that currently reside 
at DOE headquarters to Department field offices. Further, the 
conferees direct the Secretary of Energy to submit a report to 
the congressional defense committees identifying the frequency, 
destination, and cost of foreign and domestic travel funded by 
the Department through grants, cooperative agreements, and 
subcontracts.
      The conferees decline to accept the recommendation to 
create a separate budget account for the office of site 
operations. The conferees appreciate the role of this new 
office and have no objection to this activity being performed 
within the office of nuclear materials and facilities 
stabilization. The conferees recommend funding the construction 
projects associated with the office of site operations under 
the budget function for the office of nuclear materials and 
facilities stabilization. All of these projects have been 
funded in the past under the latter office's budget function.
      The conferees encourage the Department to continue 
implementation of a viable stakeholder involvement program, 
such as site specific advisory boards and other public 
participation initiatives, at a level of activity equivalent to 
that in fiscal year 1996. As with section 3153, in which the 
conferees establish a requirement to develop future use plans, 
the conferees believe strongly that public participation is 
critical to the development of public trust and acceptance of 
cleanup plans and programs, and that the public can be an 
effective partner in helping the Department accelerate cleanup 
schedules and thereby reduce long-term cleanup costs. The 
conferees, therefore, urge the Secretary to work to preserve 
resources for public participation in DOE cleanup activities.
      The conferees recommend the creation of a new initiative 
to be managed by the Assistant Secretary for Environmental 
Management to accelerate the closure of facilities or 
significantly reduce out year mortgage costs associated with 
management of radioactive and other hazardous materials. In 
doing so, the conferees direct that increased funding be 
applied to those sites in the field where actual remediation 
occurs. The conferees recommend that resources be applied to 
sites such as Rocky Flats, Hanford, Oak Ridge, Savannah River, 
and Idaho, where additional funding could be used to reduce 
life-cycle costs significantly through acceleration of existing 
activities, initiation of cost reducing deactivation and 
decommissioning activities, and the application of innovative 
cleanup technologies. Criteria for selection of projects under 
this closure acceleration program are contained elsewhere in 
this title.
      The conferees recommend funding to establish a 
privatization program for the treatment of high and low level 
wastes at the Hanford facility. The conferees direct that the 
Department provide a report to the congressional defense 
committees no later than December 31, 1996, on the projected 
cost savings, the extent of commercial competition and 
participation in this initiative, and a recommendation on 
changes that should be made to Federal procurement regulations 
to make the program more effective.
      The conferees encourage the Department to explore all 
available options, including alternative allocation processes, 
use of prior year balances, and other means, to ensure that 
fiscal year 1997 funding for the Hanford privatization program 
does not serve to slow the pace of cleanup at Hanford.
      The conferees are aware that the Department will soon 
select a new lead contractor for the Hanford facility. New 
contract provisions should result in cost savings at this site. 
The conferees strongly encourage the Department, to the maximum 
extent possible, to allocate those savings that result from the 
new management contract to the privatization program discussed 
earlier. This approach should help to diminish any potential 
negative budgetary impacts resulting from the creation of the 
privatization fund in fiscal year 1997 and should eliminate any 
negative impact on current cleanup activities at the Hanford 
facility. Creation of a privatization fund is not intended to 
interfere with or impede on-going critical stabilization, 
maintenance, and cleanup operations at this site.
      Finally, the conferees have been advised that a small 
number of current and former employees at the Hanford facility 
have failed to receive credit for the total years of service 
performed at this facility, because of changes in contractors 
on at least four occasions. While the four Hanford site pension 
plans have been consolidated into a single pension plan, 
apparently all of the service has not been included. The 
conferees direct that the Department examine this issue and 
provide a report to the congressional defense committees no 
later than December 31, 1996, with a recommendation on how to 
correct this problem or certifying that sufficient corrective 
action has been taken.
Defense fixed asset acquisition/privatization (sec. 3103)
      The House bill contained a provision (sec. 3103) that 
would authorize $182.0 million to establish a new asset 
acquisition and privatization program for the Department of 
Energy's national security assets.
      The Senate amendment contained no similar provision.
      The Senate recedes.
      The conferees recommend: $77.0 million for the advanced 
mixed waste treatment project, Idaho Falls, Idaho; $15.0 
million for the advanced mixed waste treatment project, Oak 
Ridge, Tennessee; $70.0 million for the transuranic waste 
treatment project, Oak Ridge, Tennessee; and $20.0 million for 
other projects. No outlays are anticipated in fiscal year 1997 
under this program. The conferees intend that pre-construction 
planning expenditures for each of these projects be funded from 
operating and maintenance funds authorized in section 3102 of 
this Act.
      The conferees recommend $7.0 million in pre-construction 
funding for the advanced mixed waste treatment project. The 
conferees believe this project is important to fulfilling the 
Department's agreement with the State of Idaho and the 
Department of the Navy with respect to the interim storage of 
Naval nuclear spent fuel in Idaho.
Other defense activities (sec. 3104)
      The budget request included $1.548 billion for Other 
Defense Activities of the Department of Energy (DOE) for the 
fiscal year 1997. The House bill contained a provision (sec. 
3104) that would authorize $1.493 billion for Other Defense 
Activities, a reduction of $55.0 million to the budget request.
      The Senate amendment contained a provision (sec. 3103) 
that would authorize $1.561 billion for the Other Defense 
Activities, an increase of $85.0 million to the budget request.
      The conferees agree to a provision that would authorize 
$1.590 billion for these activities.
Verification and control technology
      The conferees agree to authorize $513.3 million for 
verification and control technology, an increase of $57.0 
million to the budget request. Of the funds available in 
nonproliferation and verification research and development, the 
conferees agree that $10.0 million shall be available to 
accelerate the Department's forensic analytical program to 
develop capabilities to address the prevention, detection, 
interception, and attribution of international nuclear 
smuggling events. Additionally, $1.5 million shall be available 
for the conduct of a joint DOE-National Defense study on 
nuclear smuggling.
      The conferees agree to provide $17.0 million to carry out 
research and development of technical means for detecting the 
presence, transportation, production, and use of weapons of 
mass destruction and related technologies and materials. In 
addition, the conferees direct the Secretary of Energy to 
produce an annual evaluation of the expected powers and 
expected limits that define the extent to which science and 
technology can aid the nonproliferation effort. Additionally, 
the conferees agree to provide $10.0 million for continuing and 
expediting cooperative activities with the Government of Russia 
to develop: (1) technologies for improving verification of 
nuclear warhead dismantlement; (2) technologies for converting 
plutonium from weapons into forms that are better suited for 
long-term storage, to facilitate verification; and (3) 
technologies that promote openness in Russian production, 
storage, use, and final and interim disposition of weapons 
usable fissile material.
      With regard to arms control and control technology, the 
budget request included $181.2 million. The conferees agree to 
provide $246.2 million, an increase to the budget request of 
$65.0 million for materials, protection and control activities. 
Of these funds, the conferees agree to a $35.0 million increase 
to the budget request for the Industrial Partnering Program 
(IPP) and $7.9 million shall be available to complete the 
canning of spent fuel rods in North Korea, pursuant to the 
Agreed Framework, and to initiate post-canning technical 
activities.
      The conferees recommend an increase to the budget request 
of $9.0 million for Lab-to-Lab activities. It is the view of 
the conferees that DOE should seek to expand these activities 
in the former Soviet Union beyond nuclear activities in Russia, 
Ukraine, Kazakstan, and Belarus. While programs to date have 
appropriately focused on the most pressing, strategic concerns, 
critical work remains to be done in combating the threat of 
proliferation at a variety of sites in the other states of the 
former Soviet Union where nuclear, radiological, chemical, and 
biological weapons-related materials and technologies continue 
to be vulnerable to proliferation.
      In addition, the conferees agree to provide $6.0 million 
for DOE to carry out cooperative activities with the government 
of Russia to improve the security of highly enriched uranium 
that is used for propulsion of Russian military and civilian 
ships. The Secretary of Energy is directed to develop and 
periodically update a plan for such cooperative activities, and 
shall coordinate the development and updating of this plan with 
the Secretary of Defense, who shall involve the Joint Chiefs of 
Staff in the coordination.
Intelligence
      The conferees recommend an authorization of $35.2 million 
for the intelligence program, a $6.0 million increase to the 
budget request for fiscal year 1996 to expand 
counterintelligence activities at the nuclear weapons 
laboratories and at other high-risk facilities, and for 
expanded analysis of the Russian and Chinese nuclear weapons 
programs.
International Nuclear Safety
      In addition to the $6.0 million recommended by the 
conferees for core conversion activities at plutonium 
production reactors in Russia, the conferees agree that 
Department of Defense will transfer $10.0 million to DOE for 
the replacement of core reactors at Tomsk and Krasnoyarsk.
Naval Reactors
      The conferees recommend an additional $18.0 million for 
the naval reactors program to allow the prototype plant 
inactivation plan endorsed by the Department's Office of Naval 
Reactors to proceed.
Defense nuclear waste disposal (sec. 3105)
      The House bill contained a provision (sec. 3105) that 
would authorize $200.0 million for defense nuclear waste 
disposal activities of the Department for fiscal year 1997, the 
requested amount.
      The Senate amendment contained a similar provision (sec. 
3104).
      The Senate recedes.
                Subtitle B--Recurring General Provisions
                     Legislative Provisions Adopted
Reprogramming (sec. 3121)
      The House bill contained a provision (sec. 3121) that 
would prohibit the reprogramming of funds in excess of 110 
percent of the amount authorized for the program, or in excess 
of $1.0 million above the amount authorized for the program 
until the Secretary of Energy has notified the congressional 
defense committees and a period of 30 days has elapsed after 
the date on which the report is received. Should the Department 
demonstrate that it has improved its procedures for handling 
reprogramming requests, the committee would consider returning 
a more flexible reprogramming statute in the future.
      The Senate amendment contained an identical provision 
(sec. 3121).
      The conference agreement includes this provision.
Limits on general plant projects (sec. 3122)
      The House bill contained a provision (sec. 3122) that 
would limit the initiation of ``general plant projects'' if the 
current estimated cost for any project exceeded $2.0 million. 
If the Secretary of Energy found that the estimated cost of any 
project would exceed $2.0 million, the appropriate committees 
of Congress would have to be notified of the reasons for the 
cost variation.
      The Senate amendment contained a similar provision (sec. 
3122) that would limit the initiation of ``general plant 
projects'' if the current estimated cost of the project 
exceeded $5.0 million dollars. The Senate amendment further 
required the Secretary of Energy to conduct a study on the 
establishment of a permanent authorization formula for 
determining defense and civilian ``general plant projects'' 
limitations. Such a limitation would be adjusted periodically 
for inflation and other factors. The Senate provision would 
require the Secretary to report to Congress on the findings of 
the study not later than February 1, 1997.
      The Senate recedes with an amendment that would require 
the Secretary of Energy to conduct a study and report to 
Congress on a permanent formula for ``general plant projects'' 
not later than February 1, 1997.
Limits on construction projects (sec. 3123)
      The House bill contained a provision (sec. 3123) that 
would permit any construction project to be initiated and 
continued only if the estimated cost for the project does not 
exceed 125 percent of the higher of: (1) the amount authorized 
for the project; or (2) the most recent total estimated cost 
presented to the Congress as justification for such project. To 
exceed such limits, the Secretary of Energy must report in 
detail to the appropriate committees of Congress and the report 
must be before the committees for 30 legislative days. This 
provision would also specify that the 125 percent limitation 
would not apply to projects estimated to cost under $5.0 
million.
      The Senate amendment contained an identical provision 
(sec. 3123).
      The conference agreement includes this provision.
Fund transfer authority (sec. 3124)
      The House bill contained a provision (sec. 3124) that 
would permit the transfer of authorized funds to other agencies 
of the government for performance of work for which their funds 
were authorized. The provision would allow the transferred 
funds to be merged with the authorizations of the receiving 
agency. The provision would also establish a five percent limit 
for funds that may be transferred.
      The Senate amendment contained an identical provision 
(sec. 3124).
      The conference agreement includes this provision.
Authority for conceptual and construction design (sec. 3125)
      The House bill contained a provision (sec. 3125) that 
would limit the Secretary of Energy's authority to a request 
construction funding until the Secretary has certified a 
conceptual design. This limitation would apply to construction 
projects with a total estimated cost in excess of $2.0 million. 
The provision would provide an exception in the case of 
emergencies.
      The Senate amendment contained a similar provision (sec. 
3125) that would limit that Secretary's authority to 
construction projects with a total estimated cost in excess of 
$5.0 million. The Senate amendment would also require the 
Secretary to provide a report on each conceptual design 
completed under this paragraph.
      The House recedes with an amendment that would exempt 
construction project with a total estimated cost of less than 
$2.0 million.
Authority for emergency planning, design, and construction activities 
        (sec. 3126)
      The House bill contained a provision (sec. 3126) that 
would permit, in addition to any authorized advance planning 
and construction design, the Secretary of Energy to perform 
planning and design with available funds for any Department of 
Energy national security program construction project whenever 
the Secretary determines that the design must proceed 
expeditiously to protect the public health and safety, to meet 
the needs of national defense, or to protect property.
      The Senate amendment contained an identical provision 
(sec. 3126).
      The conference agreement includes this provision.
Funds available for all national security programs of the Department of 
        Energy (sec. 3127)
      The House bill contained a provision (sec. 3127) that 
would authorize amounts appropriated for management and support 
activities and for general plant projects to be made available 
for use, when necessary, in connection with all national 
security programs of the Department of Energy.
      The Senate amendment contained an identical provision 
(sec. 3127).
      The conference agreement includes this provision.
Availability of funds (sec. 3128)
      The House bill contained a provision (sec. 3128) that 
would authorize amounts appropriated for operating expenses or 
for plant and capital equipment to remain available until 
expended.
      The Senate amendment contained an identical provision 
(sec. 3128).
      The conference agreement includes this provision.
   Subtitle C--Program Authorizations, Restrictions, and Limitations
                     legislative provisions adopted
Stockpile Stewardship Program (sec. 3131)
      The House bill contained a provision (sec. 3131) that 
would authorize an additional $100.0 million for various 
stockpile stewardship activities.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment that would authorize 
an additional $85.0 million for stockpile stewardship and 
management activities.
      The conferees direct that a portion of the additional 
funds be used for enhanced surveillance of the nuclear weapons 
stockpile, dual revalidation of the warheads in the nuclear 
weapons stockpile, stockpile life extension programs, 
production capability assurance programs for critical non-
nuclear components, accelerating capability to produce 
prototype war reserve-quality plutonium pits, and conducting 
subcritical tests among other programs, as the Secretary shall 
determine.
      The conferees note the postponement of subcritical 
experiments at the Nevada Test Site. As a result, the conferees 
direct the Secretary to report to the Congress within ninety 
days of enactment of this Act on the reasons for the 
postponement of the experiments planned to be conducted in 
fiscal year 1996. As part of this report, the conferees direct 
that the Secretary set out the basis for the requirement to 
undertake subcritical tests to include the use of the tests to 
baseline aspects of an aging stockpile, the date at which those 
aspects might be expected to manifest themselves in the 
stockpile, how the subcritical tests will add to the baseline 
data on the reliability of the stockpile, and any other 
information relevant to the decision to undertake subcritical 
tests or to further postpone tests. Such a report should be 
submitted both in classified and unclassified form.
      Although the majority of additional funds authorized for 
stockpile stewardship would be spent at the nuclear weapons 
laboratories, the conferees strongly endorse and encourage a 
continued, close collaboration among the weapons laboratories 
and the production sites.
Manfacturing infrastructure for nuclear weapons stockpile (sec. 3132)
      The House bill contained a provision (sec. 3132) that 
would authorize an additional $125.0 million for the stockpile 
manufacturing infrastructure program at the four Department of 
Energy (DOE) weapons production plants (Savannah River Site, 
South Carolina; Pantex Plant, Texas; Kansas City Plant, 
Missouri; and Y-12 Plant, Tennessee) established in section 
3137 of the National Defense Authorization Act for Fiscal Year 
1996 (Public Law 104-106). The additional funds would be used 
to: establish and maintain the necessary capability and 
competencies fully to support the evaluation, surveillance, 
maintenance, repair, and dismantlement of the nuclear 
stockpile; provide flexibility to respond to new production 
requirements; maintain and improve the manufacturing technology 
necessary to support fully the stockpile; and achieve 
significant reductions in operating costs for the complex. This 
provision would also require the Secretary of Energy to submit 
a report to the congressional defense committees on obligations 
under the program.
      The Senate amendment contained a similar provision (sec. 
3133) that would require DOE to pursue modernization activities 
within the stockpile management program to assist in assuring 
near-term confidence in the nuclear stockpile.
      The House recedes with an amendment that would provide 
$90.0 million above the budget request to pursue a 
modernization initiative within the stockpile management 
program.
      The conferees find that the ``technology capability 
alone'' approach to the nuclear weapons infrastructure 
reconstitution requirement of the Nuclear Posture Review is 
insufficient to meet national security requirements. The 
conferees are troubled that the Department has not complied 
with congressional direction included in section 3137 of the 
National Defense Authorization Act for Fiscal Year 1996, and 
continue to believe that this directed initiative is not only 
prudent, but essential to maintaining nuclear weapons core 
competence in order to repair and refabricate weapons at a 
START I or START II stockpile level.
      The conferees agree that funds authorized under this 
section shall be divided approximately evenly among the four 
plants. Furthermore, the funds allocated for the Savannah River 
Site shall be used in part to: consolidate further the tritium 
capabilities, beginning in fiscal year 1997, a year earlier 
than the Department's current plans; accelerate the schedule 
for producing tritium; support a more robust and aggressive 
rapid reconstitution approach for plutonium pit manufacturing 
by initiating a pre-conceptual design study for a replacement 
pit fabrication facility; and increase core stockpile 
management operation and maintenance (O&M) activities. The 
funds allocated for the Y-12 Plant shall be used in part to: 
accelerate the consolidation of facilities to manufacture and 
disassemble secondaries; modernize production plant 
infrastructure elements required for long-term operations; and 
increase core stockpile management O&M activities. The funds 
allocated for the Pantex Plant shall be used in part for a 
consolidated pit packaging system and for increased core 
stockpile management O&M activities. The funds allocated for 
the Kansas City Plant shall be used in part to: upgrade current 
manufacturing technologies; replace aging processing equipment; 
invest in information systems upgrades to maintain 
compatibility with advancements at the DOE national 
laboratories; and increase core stockpile management O&M 
activities.
Tritium production (sec. 3133)
      The Senate amendment contained a provision (sec. 3131) 
that would authorize $160.0 million for tritium production, an 
increase of $60.0 million to the budget request. Increases 
would be used to accelerate the Department of Energy's phased 
approach to restore tritium production, including proceeding in 
parallel with site preparation for new tritium production 
facility.
      The House bill would authorize $100.0 million for tritium 
production (sec. 3101), the amount requested.
      The House recedes.
      The conferees note that the Department has established a 
tritium production program in response to congressional 
concerns about the lack of progress in this area. The conferees 
consider this program critical to maintaining the nation's 
nuclear deterrent capability.
      The conferees believe that the tritium production program 
must be accelerated to meet the requirements of the Nuclear 
Weapons Stockpile Memorandum, which identified a new tritium 
production date of 2005 if a reactor option is selected, or 
2007 if an accelerator option is chosen. The conferees continue 
to be concerned with the Department's failure to develop a 
technically sound data base sufficient to select a preferred 
option in fiscal year 1997, and its continuing underestimates 
of funding requirements in this area. On this basis, the 
conferees agree to recommend an increase of $50.0 million to 
the budget request for a total fiscal year 1997 program of 
$150.0 million.
      The conferees direct the Department to accelerate its 
phased approach to restoring the tritium production needs of 
the United States, including proceeding in parallel with site 
preparation for a new tritium production facility. The 
conferees recognize the need to enhance ongoing accelerator 
research and development and testing programs at the Los Alamos 
National Laboratory, in conjunction with Savannah River Site 
personnel. The conferees support these joint efforts and direct 
the Department to provide the congressional defense committees 
with a report on the planning and design of the accelerator.
      The conferees also direct the continued test and 
development of tritium targets for the light water reactor 
program option by the Idaho National Engineering Laboratory, 
and the initiation of planning for construction of a tritium 
extraction facility that would be located at the selected site 
identified in the Secretary's Record of Decision relating to 
tritium production.
      The conferees strongly support full consideration of all 
technically feasible tritium production options, including 
accelerator, existing commercial reactor, and multipurpose 
reactor options; among others.
Modernization and consolidation of tritium recycling facilities (sec. 
        3134)
      The House bill contained a provision (sec. 3132) that 
referred to modernization and consolidation of tritium 
recycling facilities.
      The Senate amendment contained a provision (sec. 3132) 
that would provide an additional $6.0 million to the budget 
request to upgrade existing tritium recycling plant facilities 
at the Savannah River Site.
      The House recedes with an amendment that would also 
direct the Secretary of Energy to modernize the Savannah River 
tritium extraction facility.
      The conferees direct that, of the amounts authorized to 
be appropriated in section 3101, $6.0 million shall be 
available for tritium recycling plant upgrades and $3.0 million 
shall be available for planning and designing a tritium 
extraction facility at the Savannah River Site.
Production of high explosives (sec. 3135)
      The House bill contained a provision (sec. 3133) that 
would direct that the manufacture and fabrication of high 
explosives and energetic materials for use a components in 
nuclear weapons systems be carried out at the Pantex Plant, 
Amarillo, Texas. The provision would also prohibit the 
expenditure of funds to move, or prepare to move, the 
manufacture and fabrication of high explosives and energetic 
materials for use as components in nuclear weapons systems from 
the Pantex Plant to any other Department of Energy (DOE) site 
or facility.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment that would prohibit 
the obligation of expenditure of fiscal year 1997 or prior year 
funds to move, or prepare to move, the manufacture and 
fabrication of high explosives and energetic materials for use 
as components in nuclear weapons systems from the Pantex Plant 
to any other site or facility.
      Nothing in this provision should be construed to limit 
ongoing research, development and testing activities involving 
high explosives and energetic materials at any Department of 
Energy national laboratory.
Limitation on use of funds for certain research and development 
        purposes (sec. 3136)
      The House bill contained a provision (sec. 3134) that 
would reduce beginning in fiscal year 1997 the funding 
percentage for Laboratory-Directed Research and Development 
(LDRD) activities to two percent. The House provision would 
prohibit expenditure of funds authorized for LDRD activities in 
fiscal year 1997 until 15 days after the Secretary of Energy 
issued a report on the manner in which such funds are planned 
to be used.
      The Senate amendment contained a provision (sec. 3134) 
that would limit the use of LDRD and technology transfer 
program funds appropriated or otherwise made available to the 
Department in fiscal year 1997 under Section 3101 of this Act 
to activities that support the national security mission of the 
Department. This provision extends the limits described in 
section 3141 of the National Defense Authorization Act for 
Fiscal Year 1996 for another year.
      The House recedes.
      The conferees believe that the scientific and engineering 
challenges embodied in the emerging stockpile stewardship and 
stockpile management programs are sufficient to sustain the 
preeminence of the laboratories in the areas of science and 
engineering.
      The conferees encourage the Department of Energy national 
laboratories to direct a significant portion of these funds to 
validating and implementing new technology for insertion in the 
Navy's submarine construction program for the four transition 
submarines to built between fiscal years 1998 and 2003. This 
effort should be a cooperative venture among the national 
laboratories, U.S. industry, and the Navy.
Prohibition on funding nuclear weapons activities with the People's 
        Republic of China (sec. 3137)
      The House bill contained a provision (sec. 3135) that 
would prohibit the obligation or expenditure of funds for any 
cooperative nuclear weapons technology programs, to include 
stockpile stewardship and safety programs with the People's 
Republic of China (PRC). The provision would also require the 
Department of Energy to report to Congress on past and planned 
discussions or activities between the United States and the 
PRC.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment making technical 
changes and changing the date on which the report shall be 
submitted.
      The conferees note that it is possible that United States 
national security interests might warrant cooperation on 
nuclear weapons use controls. The conferees request that the 
Secretary of Defense and the Secretary of Energy report on 
whether having authority to undertake cooperative programs with 
regard to use controls would be in the national security 
interest of the United States.
International cooperative stockpile stewardship programs (sec. 3138)
      The House bill contained a provision (sec. 3136) that 
would prohibit the use of fiscal year 1997 and prior year funds 
to conduct activities associated with international cooperative 
stockpile stewardship programs, with the exception of 
activities conducted with the United Kingdom and France.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment that would make 
clear that the prohibition contained in subsection (a) does not 
apply to activities carried out under the Cooperative Threat 
Reduction (CTR) program as defined in this Act.
Temporary authority relating to transfers of defense environmental 
        management funds (sec. 3139)
      The House bill contained a provision (sec. 3137) that 
would direct the Secretary of Energy to grant authority to a 
site manager to transfer up to $5.0 million between program 
functions within his jurisdiction or to transfer a similar sum 
between projects within his area of operation. A site manager 
would only be authorized to conduct such a transfer one time in 
a fiscal year to or from each program or project. The provision 
would establish a limited expansion of the Department's current 
reprogramming authority and would allow a site manager to 
transfer money based on a finding that the transfer is 
necessary to reduce a risk to health, safety, or the 
environment, or to assure the most efficient use of site 
environmental management funds.
      The Senate amendment contained no similar provision.
      The Senate recedes with an amendment that would direct 
the Secretary of Energy to report to Congress on the efficiency 
of the authority and whether the Secretary believes that the 
authority should be extended.
Management structure for nuclear weapons production facilities and 
        nuclear weapons laboratories (sec. 3140)
      The House bill contained a provision (sec. 3138) that 
would: impose a limitation on the delegation of authority; 
require consultations with area offices of the Department of 
Energy (DOE); require DOE area offices to report directly to 
DOE Headquarters; require the Secretary of Energy to provide a 
Defense Programs reorganization plan and report; and require 
establishment of a Defense Programs Management Council.
      The Senate amendment contained no similar provision.
      The Senate recedes.
Accelerated schedule for isolating high-level nuclear waste at the 
        Defense Waste Processing Facility, Savannah River Site (sec. 
        3141)
      The Senate amendment contained a provision (sec. 3135) 
that would require the Secretary of Energy to accelerate the 
schedule for the isolation of high-level nuclear waste in glass 
canisters at the Savannah River Site, if acceleration would 
result in long-term savings to the Federal Government and if it 
would accelerate the removal and isolation of waste from long-
term storage tanks at the site.
      The House bill contained no similar provision.
      The House recedes.
      The conferees believe that accelerating the treatment and 
stabilization of high-level wastes will significantly reduce 
out-year waste management costs and that the Department of 
Energy should not restrict canister production capability and 
capacity because of limited funds within the overall 
Environmental Management budget. Therefore, the conferees 
authorize an additional $15.0 million for the Department to 
maximize canister production at Savannah River if the 
aforementioned criteria are met.
Processing and treatment of high-level nuclear waste and spent nuclear 
        fuel rods (sec. 3142)
      The Senate amendment contained a provision (sec. 3136) 
that would authorize an additional $43.0 million above the 
budget request for the Department of Energy (DOE), for the F-
canyon and H-canyon facilities. The provision would also 
provide for the Implementation of the Department's plan to 
address the Defense Nuclear Facility Safety Board (DNFSB) 
Recommendation 94-1 concerning the processing of spent nuclear 
fuel rods and other nuclear material at the Savannah River 
Site. An additional $15.0 million above the budget request 
would be authorized for the DOE National Spent Fuel Program to 
support program planning, fuel characterization, transportation 
planning, waste acceptance criteria development, and technology 
development, that are necessary to move forward toward a 
permanent disposition of DOE-controlled spent fuel.
      The House bill contained no similar provision.
      The House recedes with an amendment that would require 
any funds made available under this section to the Idaho 
National Engineering Laboratory to be considered as partial 
fulfillment of the settlement agreement entered into by the 
United States with the State of Idaho on October 17, 1995.
      The conferees also incorporated portions of the Senate 
amendment relating to ``Plans for Activities to Process Nuclear 
Materials and Clean up Nuclear Waste at the Savannah River 
Site'' (Sec. 3154). This provision would require the Secretary 
of Energy to prepare a near-term plan for the treatment, 
packaging, and disposal of spent nuclear fuel located at or 
anticipated to be shipped to the Savannah River Site. Such a 
plan would address any requirements for upgrading and improving 
the F-canyon and H-canyon material processing facilities 
necessary to meet DNFSB recommendations. The provision would 
require the Secretary of Energy to prepare a multi-year 
utilization plan for the F-canyon and H-canyon material 
processing facilities.
      The multi-year program plan should address how the 
Department proposes to use these facilities for efficient 
management, stabilization, and disposition of nuclear materials 
such as surplus uranium and plutonium, domestic and foreign 
spent fuel, and any other nuclear materials requiring 
stabilization to be received at the Savannah River Site. The 
plan should provide options for chemical processing, reduction, 
and isolation of nuclear materials. The plan should also 
identify how the Department proposes to ensure that any 
fissionable materials that may be separated or purified in the 
canyons will not be used for nuclear weapons activities.
      The provision would further require the Secretary of 
Energy to continue operations and maintain a high state of 
readiness at the F-canyon and H-canyon facilities, as 
recommended by the DNFSB.
      The conferees understand that a strategic goal of the DOE 
Environmental Management (EM) program is to manage or eliminate 
urgent risks in the EM system. The conferees believe that DOE 
created an urgent risk situation with the fiscal year 1995 
consolidation decision regarding storage of DOE spent nuclear 
fuel rods at the Idaho National Engineering Laboratory (non-
aluminum clad) and at the Savannah River Site (aluminum clad). 
The National Defense Authorization Act for Fiscal Year 1996 
required the initiation of a specific program for the 
disposition of spent nuclear fuel rods. The conferees continue 
to be concerned with the Department's inadequate progress in 
establishing a credible program and with the under-utilization 
of the Department's resources. A clearly defined plan and 
commitment are necessary for the safe storage, processing, and 
ultimate disposition of these materials in a permanent 
repository.
      The conferees agree with the DNFSB that both F-canyon and 
H-canyon facilities at the Savannah River Site have an 
important future role.
Projects to accelerate closure activities at defense nuclear facilities 
        (sec. 3143)
      The House bill contained a provision (sec. 3102) to 
provide additional funding to Department of Energy field sites 
for the purpose of accelerating clean up and facility closure 
activities.
      The Senate amendment contained similar provisions in 
various sections.
      The conferees agree to a provision that would provide 
more detailed guidance to the Department on the criteria to be 
used in implementing projects to accelerate the closure or 
decommissioning of defense nuclear facilities. The conferees 
recommend the creation of a new initiative and authorize 
additional funding for closure acceleration projects at sites 
such as Rocky Flats, Hanford, Oak Ridge, Savannah River, and 
Idaho, where additional funding could be used to reduce life-
cycle costs significantly through the acceleration of existing 
activities, initiation of cost reducing deactivation and 
decommissioning activities, and the application of enhanced 
cleanup technologies.
      The conferees note that the National Defense 
Authorization Act for Fiscal Year 1996 (Public Law 104-106) 
required the Secretary of Energy to accelerate the schedule for 
remedial activities at sites where the accelerated schedule 
will achieve meaningful, long-term cost savings to the Federal 
Government and accelerate the release of land for local reuse. 
In reviewing the sites selected pursuant to the last year's 
program, the conferees are concerned that the additional 
funding provided was used on relatively small projects and that 
the long term impact on reducing life cycle costs throughout 
the defense nuclear complex will be minimal.
      It is for this reason that the conferees established 
additional criteria to assure that the projects selected will 
achieve significant long-term cost savings to the Federal 
Government. The conferees believe that taxpayers must see real 
progress if they are to continue to support large expenditures 
in environmental management funds that have increased five-fold 
in just seven years.
      To assure management discipline, the Secretary would be 
required to develop a plan that will: define clearly the 
delineated scope of work; demonstrate that, where required, 
regulatory agreements are in place with appropriate regulatory 
authorities that would allow for the successful completion of 
the project; and demonstrate support of State and local elected 
officials.
      Contracts for the performance of these projects should be 
performance and incentive based and not the traditional cost 
plus contracts. While the conferees believe that contractors 
should bear the risk for non-performance of activities within 
their control, it is important that provisions be made to 
include traditional commercial force majeure and risk sharing 
concepts. All projects selected under this program must be 
completed within 10 years.
      Finally, with respect to the selection of projects that 
meet the general eligibility requirements, the Secretary is 
required to select those projects that will result in the most 
significant long-term costs savings to the government and the 
most significant reduction of imminent risk. Multi-year 
contracting authority is granted to the Secretary to carry out 
projects selected under this section and funds appropriated 
would remain available until expended. The clear intent is to 
identify those projects that are capable of being accelerated 
using currently available technology and to reward those sites 
that are aggressively seeking closure or decommissioning of 
existing facilities. To encourage closure, the conferees have 
made it clear that the existing budget projections for sites 
are not to be reduced based on the award of funding under this 
section for cleanup and closure.
      The conferees have included language to the effect that 
nothing in this section is to be construed as modifying 
applicable statutory or regulatory environmental restoration 
requirements. The conferees have included initial funding for 
this program as a separate line item in section 3102 of this 
title.
Payment of costs of operation and maintenance of infrastructure at 
        Nevada Test Site (sec. 3144)
      The Senate amendment contained a provision (sec. 3138) 
that would permit the Department of Energy to defer charging 
the Department of Defense site overhead costs for work-for-
others activities carried out at the Nevada Test Site.
      The House bill contained no similar provision.
      The House recedes.
                       Subtitle D--Other Matters
                     legislative provisions adopted
Report on plutonium pit production and remanufacturing plans (sec. 
        3151)
      The House bill contained a provision (sec. 3142) that 
would require the Secretary to submit to the congressional 
defense committees a report on plans for achieving a capability 
to produce and remanufacture plutonium pits.
      The Senate amendment contained no similar provision.
      The Senate recedes.
Requirement for annual five-year budget for the national security 
        programs of the Department of Energy (sec. 3155)
      The Senate amendment contained a provision (sec. 3151) 
that would require the Secretary of Energy to submit an annual 
National Security Five-Year Budget Plan to the congressional 
defense committees. The plan would be submitted no later than 
the day on which the President's annual budget request is 
submitted to Congress.
      The House bill contained no similar provision.
      The House recedes.
      The Secretary shall obligate no more than ninety-five 
percent of the Department's annual appropriation for Atomic 
Energy Defense Activities until the plan is submitted to the 
congressional defense committees. The conferees direct the 
Secretary of Energy to submit the plan for fiscal years 1997-
2001 as soon as possible, but no later than September 30, 1996.
Requirements for Department of Energy weapons activities budgets for 
        fiscal years after fiscal year 1997 (sec. 3156)
      The Senate amendment contained a provision (sec. 3152) 
that would require the Department of Energy to relate the 
elements of its nuclear weapons program budget submission to 
the specific requirements of the Nuclear Weapons Stockpile 
Memorandum and the Nuclear Posture Review. In the context of 
that submission, the Secretary of Energy would be required to 
provide a long-term program plan, and a near-term program plan 
for the certification and stewardship of the nuclear stockpile.
      The House bill contained no similar provision.
      The House recedes.
Repeal of requirement relating to accounting procedures for Department 
        of Energy funds (sec. 3157)
      The Senate amendment contained a provision (sec. 3153) 
that would repeal section 3151 of the National Defense 
Authorization Act for Fiscal Year 1995. In 1994, at the time 
this provision was enacted, the Department of Energy did not 
have adequate control of uncosted and unobligated balances in a 
number of areas. In many instances, the Department could not 
identify the original fiscal year for which uncosted balances 
were appropriated.
      The House bill contained no similar provision.
      The House recedes.
      The conferees note that subsequent to the enactment of 
the National Defense Authorization Act for Fiscal Year 1995, 
the Department succeeded in significantly reducing its uncosted 
and unobligated balances. In addition, the Department has 
initiated a regular reporting methodology that allows the 
congressional defense committees to track unobligated and 
uncosted funds appropriated for national security activities. 
The conferees support the continued use of such reports as a 
cost effective substitute for section 3151.
Update of report on nuclear test readiness postures (sec. 3158)
      The Senate amendment contained a provision (sec. 3155) 
that would require an update of the Nuclear Test Readiness 
Posture Report required by the National Defense Authorization 
Act for Fiscal Year 1996. That report pertains to the readiness 
and maintenance of the requisite underground testing expertise 
at the Nevada Test Site and at the Nuclear Weapons 
Laboratories. The report would be due to the congressional 
defense committees no later than February 15, 1997.
      The House bill contained no similar provision.
      The House recedes with an amendment to change the due 
date of the report to June 1, 1997.
Reports on critical difficulties at nuclear weapons laboratories and 
        nuclear weapons production plants (sec. 3159)
      The Senate amendment contained a provision (sec. 3156) 
that would require the head of any nuclear weapons laboratory 
or nuclear weapons production plant to notify the Assistant 
Secretary for Defense Programs immediately if there is any 
difficulty associated with the nuclear weapons complex that 
would have a significant bearing on the confidence relating to 
the safety, surety, or reliability of a nuclear weapon within 
the nuclear stockpile. The provision would also require the 
Nuclear Weapons Council to notify Congress in the event that 
the Council become aware of any difficulties within the purview 
of the Council.
      The House bill contained no similar provision.
      The House recedes.
Extension of applicability of notice- and wait-required regarding 
        proposed cooperation agreements (sec. 3160)
      The Senate amendment contained a provision (sec. 3157) 
that would extend the date by which notice is to be made to 
Congress regarding the release of restricted data or formerly 
restricted data pursuant to a cooperative agreement with a 
foreign country by amending Section 3155(b) of the National 
Defense Authorization Act for Fiscal Year 1995.
      The House bill contained no similar provision.
      The House recedes with an amendment to extend until 
October 1, 1997, the authority of the Department of Energy and 
the Department of Defense to release data, as necessary, to 
further fissile material and other weapons material control and 
accountability program; to support atomic weapons control and 
accountability; to assist in treaty verification; and to assist 
in establishing a uniform international system of 
classification.
Sense of Senate relating to redesignation of Defense Environmental 
        Restoration and Waste Management Program (sec. 3161)
      The Senate amendment contained a provision (sec. 3158) 
that would express the sense of the Congress that the 
Department of Energy (DOE) redesignate the Defense 
Environmental Restoration and Waste Management Program (also 
known as the Environmental Management Program) as the Defense 
Nuclear Waste Management Program. The provision would further 
direct the Department of Energy to prepare and transmit to the 
congressional defense committees, no later than January 31, 
1997, a report that describes any difficulties or problems that 
arise as a result of the name change, including any related 
costs.
      The House bill contained no similar provision.
      The House recedes with an amendment that would change the 
provision to a sense of the Senate.
Commission on Maintaining United States Nuclear Weapons Expertise (sec. 
        3162)
      The Senate amendment contained a provision (sec. 3159) 
that would direct the Department of Energy to organize a high-
level commission to address problems associated with attracting 
a new generation of nuclear weapons experts to ensure the 
safety and reliability of the U.S. nuclear stockpile.
      The House bill contained no similar provision.
      The House recedes with an amendment that would authorize 
the Secretary of Energy to appoint two members to the 
commission and would require that all commission appointments 
be made no later than 60 days after the date of enactment of 
this section.
Sense of the Congress regarding reliability and safety of remaining 
        nuclear forces (sec. 3163)
      The Senate amendment contained a provision (sec. 3160) 
that would express concerns about maintaining confidence in the 
nuclear stockpile and our Nation's commitment to ensuring the 
safety, security, reliability, and performance of U.S. nuclear 
forces.
      The House bill contained no similar provision.
      The House recedes.
      The conferees remain concerned with the ability of the 
Department of Defense and the Department of Energy to maintain 
confidence in the safety and reliability of the strategic 
nuclear weapons stockpile in the absence of underground nuclear 
tests. As long as the United States continues to depend on a 
deterrent nuclear force, as articulated in the Nuclear Posture 
Review, it is necessary for both the Department of Defense and 
the Department of Energy to maintain the following: weapons 
production capabilities and capacities; adequate funding to 
maintain the remaining stockpile at a state of full readiness; 
ability to meet full fabrication and tritium production 
requirements; capabilities for tritium recycling and pit 
manufacturing; and, to replace underground nuclear testing, a 
successful science-based stockpile stewardship program.



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