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

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