(1) to the Inaugural Committee established under the first section of the Presidential Inaugural Ceremonies Act (36 U.S.C. 721); and (2) to the joint committee of the Senate and House of Representatives described in section 9 of that Act (36 U.S.C. 729). (b) TERMS OF ASSISTANCE.-Assistance under subsection (a) shall be loaned or provided in such manner as the Secretary of Defense determines to be appropriate and under such conditions as the Secretary may prescribe. (c) ADDITIONAL AUTHORITY.-The authority provided by subsection (a) is in addition to the authority provided by section 2543 of title 10, United States Code. PART B-LIMITATIONS SEC. 311. LIMITATION ON OBLIGATIONS AGAINST STOCK FUNDS. (a) LIMITATION.-(1) The Secretary of Defense may not incur obligations against the stock funds of the Department of Defense during fiscal year 1992 in an amount in excess of 80 percent of the sales from such stock funds during that fiscal year. (2) For purposes of determining the amount of obligations incurred against, and sales from, the stock funds during fiscal year 1992, the Secretary shall exclude obligations and sales for fuel, commissary and subsistence items, retail operations, repair of equipment, and the cost of operations. (b) EXCEPTION.-The Secretary of Defense may waive the limitation contained in subsection (a) if the Secretary determines that such waiver is critical to the national security of the United States. The Secretary shall immediately notify Congress of any such waiver and the reasons for such waiver. SEC. 312. REPEAL OF REQUIREMENT FOR AUTHORIZATION OF CIVILIAN PERSONNEL BY END STRENGTH. (a) IN GENERAL.-Section 115 of title 10, United States Code, is amended (1) in subsection (a), by striking out paragraph (4); and (2) in subsection (b)— (A) by inserting "or" at the end of paragraph (2); (B) by striking out "; or" at the end of paragraph (3) and inserting in lieu thereof a period; and (C) by striking out paragraph (4). (b) CONFORMING AMENDMENT.-Section 129(a) of such title is amended (1) by striking out "department, (2)" and inserting in lieu thereof "department and (2)"; and (2) by striking out ", and (3)" and all that follows through "fiscal year" in the first sentence. SEC. 313. LIMITATION RELATING TO CONSOLIDATION OF SUPPLY DEPOTS. (a) LIMITATION.-The Secretary of Defense may not proceed with the consolidation of supply depots under decision 902 of the Defense Management Review (or any successor of that decision) until the Secretary (1) completes an analysis of the results of the supply depot consolidations referred to in subsection (c); (2) makes a determination that an automatic data processing system in the Department of Defense for the consolidation of supply depots is developed and operational and meets the requirements of the military departments; and (3) submits to Congress a report describing the basis and results of the analysis under paragraph (1) and the determination under paragraph (2). (b) ELEMENTS OF ANALYSIS.-The analysis required by subsection (a)(1) shall include(1) a determination of the cost savings associated with the supply depot consolidations referred to in subsection (c); and (2) an assessment of the effect of those consolidations on the ability of the military departments to provide mission support. (a) PERCENTAGE LIMITATION.-(1) Section 2466 of title 10, United States Code, is amended to read as follows: "§ 2466. Limitations on the performance of depot-level maintenance of materiel "(a) PERCENTAGE LIMITATION.-Not less than 60 percent of the funds available for each fiscal year for depot-level maintenance of materiel managed for the Department of the Army and the Department of the Air Force shall be used for the performance of such depot-level maintenance by employees of the Department of Defense. "(b) PROHIBITION ON MANAGEMENT BY END STRENGTH.-The civilian employees of the Department of Defense involved in the depot-level maintenance of materiel may not be managed on the basis of any end-strength constraint or limitation on the number of such employees who may be employed on the last day of a fiscal year. Such employees shall be managed solely on the basis of the available workload and the funds made available for such depot-level maintenance. "(c) WAIVER OF LIMITATION.-The Secretary of the Army, with respect to the Department of the Army, and the Secretary of the Air Force, with respect to the Department of the Air Force, may waive the applicability of subsection (a) for a fiscal year, to a particular workload, or to a particular depot-level activity if the Secretary determines that the waiver is necessary for reasons of national security and notifies Congress regarding the reasons for the waiver. "(d) EXCEPTION.-Subsection (a) shall not apply with respect to the Sacramento Army Depot, Sacramento, California. "(e) REPORTS.-Not later than January 15, 1992, and January 15, 1993, the Secretary of the Army and the Secretary of the Air Force shall jointly submit to Congress a report describing the progress during the preceding fiscal year to achieve and maintain the percentage of depot-level maintenance required. to be performed by employees of the Department of Defense pursuant to subsection (a).". (2) The item relating to section 2466 of title 10, United States Code, in the table of sections at the beginning of chapter 146 of such title is amended to read as follows: "2466. Limitations on the performance of depot-level maintenance of materiel.". (3) The Secretary of the Army and the Secretary of the Air Force may not cancel a depot-level maintenance contract in effect on the date of the enactment of this Act in order to comply with the requirements of section 2466(a) of such title, as amended by subsection (a). (b) COMPETITION PILOT PROGRAM.—(1) During fiscal years 1992 and 1993, the Secretary of Defense shall conduct a pilot program under which competitive procedures are used to select entities to perform depot-level maintenance of materiel for the Department of the Army and the Department of the Air Force. Entities eligible for selection shall include depot-level activities of the Department of Defense. The program may not involve more than 10 percent of all depot-level maintenance of materiel that is not required to be performed by employees of the Department of Defense pursuant to the limitations contained in section 2466 of title 10, United States Code. (2) Section 922 of the National Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1627) is repealed. (c) REVIEW BY COMPTROLLER GENERAL.Not later than February 1, 1994, the Comptroller General shall submit to Congress an evaluation of all depot maintenance workloads of the Department of Defense, including Navy depot maintenance workloads, that are performed by an entity selected pursuant to competitive procedures. (d) REPORT BY SECRETARY OF DEFENSE.— Not later than December 1, 1993, the Secretary of Defense shall submit to Congress a report (1) containing a five-year strategy of the Department of Defense to use competitive procedures for the selection of entities to perform depot maintenance workloads; and (2) describing the cost savings anticipated through the use of those procedures. SEC. 315. TWO-YEAR EXTENSION OF AUTHORITY OF BASE COMMANDERS OVER CONTRACTING FOR COMMERCIAL ACTIVITIES. (a) EXTENSION.-Section 2468(f) of title 10, United States Code, is amended by striking "September 30, 1991" and inserting in lieu thereof "September 30, 1993". (b) EFFECTIVE DATE.-The amendment made by subsection (a) shall take effect as of September 30, 1991. SEC. 316. LIMITATIONS ON THE USE OF DEFENSE BUSINESS OPERATIONS FUND. (a) MANAGEMENT METHOD.-During the period beginning on the date of the enactment of this Act and ending on April 15, 1993, the Secretary of Defense may manage the performance of the working-capital funds and industrial, commercial, and support type activities described in subsection (b) through the use of a single Defense Business Operations Fund. Except for the funds and activities specified in subsection (b), no other functions, activities, funds, or accounts of the Department of Defense may be managed through the Defense Business Operations Fund. (b) FUNDS AND ACTIVITIES INCLUDED.-The funds and activities referred to in subsection (a) are (1) working-capital funds established under section 2208 of title 10, United States Code, and in existence on the date of the enactment of this Act; (2) those activities that, on the date of the enactment of this Act, are funded through the use of a working-capital fund established under that section; and (3) the Defense Finance and Accounting Service, the Defense Industrial Plant Equipment Center, the Defense Commissary Agency, the Defense Technical Information Service, and the Defense Reutilization and Marketing Service. SEC. 317. ACQUISITION OF INVENTORY. (a) LIMITATION.-Chapter 131 of title 10, United States Code, is amended by inserting after section 2212 the following new section: "§ 2213. Limitation on acquisition of excess supplies "(a) TWO-YEAR SUPPLY.-The Secretary of Defense may not incur any obligation against a stock fund of the Department of Defense for the acquisition of any item of supply if that acquisition is likely to result in an on-hand inventory (excluding war reserves) of that item of supply in excess of two years of operating stocks. "(b) EXCEPTIONS.-The head of a procuring activity may authorize the acquisition of an item of supply in excess of the limitation contained in subsection (a) if that activity head determines in writing "(1) that the acquisition is necessary to achieve an economical order quantity and will not result in an on-hand inventory (excluding war reserves) in excess of three years of operating stocks and that the need for the item is unlikely to decline during the period for which the acquisition is made; or "(2) that the acquisition is necessary for purposes of maintaining the industrial base. or for other reasons of national security.". (b) CLERICAL AMENDMENT.-The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 2212 the following new item: "2213. Limitation on acquisition of excess supplies.". PART C-ENVIRONMENTAL PROVISIONS SEC. 331. REIMBURSEMENT REQUIREMENT FOR CONTRACTORS HANDLING HAZARDOUS WASTES FROM DEFENSE FACILITIES. (a) REQUIREMENT.-(1) Chapter 160 of title 10, United States Code, is amended by adding at the end the following new section: "§ 2708. Contracts for handling hazardous waste from defense facilities "(a) REIMBURSEMENT REQUIREMENT.—(1) Each contract or subcontract to which this section applies shall provide that, upon receipt of hazardous wastes properly characterized pursuant to applicable laws and regulations, the contractor or subcontractor will reimburse the Federal Government for all liabilities incurred by, penalties assessed against, costs incurred by, and damages suffered by, the Government that are caused by "(A) the contractor's or subcontractor's breach of any term or provision of the contract or subcontract; and "(B) any negligent or willful act or omission of the contractor or subcontractor, or the employees of the contractor or subcontractor, in the performance of the contract or subcontract. "(2) Not later than 30 days after such a contract or subcontract is awarded, the contractor or subcontractor shall demonstrate that the contractor or subcontractor will reimburse the Federal Government as provided in paragraph (1). "(b) APPLICABILITY.-(1) Except as provided in paragraph (2), this section applies to all contracts entered into by the Secretary of Defense or the Secretary of a military department, and all subcontracts under such contracts, with an owner or operator of a hazardous waste treatment or disposal facility during fiscal year 1992 for the offsite treatment or disposal of hazardous wastes from a facility under the jurisdiction of the Secretary of Defense. "(2) This section does not apply to"(A) any contract or subcontract to perform remedial action or corrective action under the Defense Environmental Restoration Program, other programs or activities of the Department of Defense, or authorized State hazardous waste programs; "(B) any contract or subcontract under which the generation of the hazardous waste to be disposed of is incidental to the performance of the contract; or "(C) any contract or subcontract to dispose of ammunition or solid rocket motors. "(c) EXCEPTION TO REIMBURSEMENT REQUIREMENT.-Notwithstanding subsection (a), in the case of any contract to which this section applies, if the Secretary of Defense or the Secretary of the military department concerned determines that "(1) there is only one responsible offeror or there is no responsible offeror willing to provide the reimbursement required by subsection (a) for such contract; or "(2) failure to award the contract would place the facility concerned in violation of any requirement of the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.), then the contract may be awarded without including the reimbursement provision required by subsection (a). "(d) DEFINITIONS.-For purposes of this section: "(1) The term 'hazardous waste' has the meaning given that term by section 1004(5) of the Solid Waste Disposal Act (42 U.S.C. 6903(5)), except that such term also includes polychlorinated biphenyls. "(2) The term 'remedial action' has the meaning given that term by section 101(24) of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601(24)). "(3) The term 'corrective action' has the meaning given that term under section 3004(u) of the Solid Waste Disposal Act (42 U.S.C. 6924(u)). "(4) The term 'polychlorinated biphenyls' has the meaning given that term under section 6(e) of the Toxic Substances Control Act (15 U.S.C. 2605(e)). "(e) EFFECT ON LIABILITY.-Nothing in this section shall affect the liability of the Federal Government under any Federal or State law or under common law.". (2) The table of sections relating to chapter 160 of such title is amended by adding at the end the following new item: "2708. Contracts for handling hazardous waste from defense facilities.". (b) EFFECTIVE DATE.-Section 2708 of title 10, United States Code, shall apply with respect to contracts entered into after the expiration of the 60-day period beginning on the date of the enactment of this Act. SEC. 332. EXTENSION OF WASTE MINIMIZATION PROGRAM. Section 354 of the National Defense Authorization Act for Fiscal Years 1990 and 1991 (Public Law 101-189) is amended as follows: (1) Subsection (a) is amended by striking out "fiscal year 1992" and inserting in lieu thereof "fiscal years 1992, 1993, and 1994". (2) Subsection (b) is amended in the second sentence by striking out "fiscal year 1992" and inserting in lieu thereof "each of fiscal years 1992, 1993, and 1994". SEC. 333. PROHIBITION ON USE OF ENVIRONMENTAL RESTORATION FUNDS FOR PAYMENT OF FINES AND PENALTIES. None of the funds appropriated for fiscal year 1992 pursuant to the authorization for the Environmental Restoration, Defense account provided in section 301 may be used for the payment of fines or penalties unless the act or omission for which a fine or penalty is imposed arises out of activities funded by the account. SEC. 334. ENVIRONMENTAL RESTORATION REQUIREMENTS AT MILITARY INSTALLATIONS TO BE CLOSED. (a) REQUIREMENTS FOR INSTALLATIONS TO BE CLOSED UNDER 1989 BASE CLOSURE LIST.— (1) All draft final remedial investigations and feasibility studies related to environmental restoration activities at each military installation described in paragraph (2) shall be submitted to the Environmental Protection Agency not later than 24 months after the date of the enactment of this Act. (2) Paragraph (1) applies to each military installation (A) which is to be closed pursuant to title II of the Defense Authorization Amendments and Base Closure and Realignment Act (Public Law 100-526; 10 U.S.C. 2687 note); and (B) which is on the National Priorities List under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et seq.). (b) REQUIREMENTS FOR INSTALLATIONS TO BE CLOSED UNDER 1991 BASE CLOSURE LIST.— (1) All draft final remedial investigations and feasibility studies related to environmental restoration activities at each military installation described in paragraph (2) shall be submitted to the Environmental Protection Agency not later than 36 months after the date of the enactment of this Act. (2) Paragraph (1) applies to each military installation (A) which is to be closed pursuant to the Defense Base Closure and Realignment Act of 1990 (part A of title XXIX of Public Law 101-510) as a result of being recommended for closure in the report transmitted to Congress by the President pursuant to section 2903(e) of such Act on or before September 1, 1991, and (B) which is on the National Priorities List under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et seq.). (c) DEADLINE EXTENSION.-(1) Subject to paragraph (2), the Secretary of Defense, after consultation with the Administrator of the Environmental Protection Agency, may extend for a 6-month period the period of time in which the requirements of subsection (a) or (b) must be met with respect to a military installation covered by subsection (a) or (b) if, within the scope of the Federal Facility Agreement governing cleanup at the installation, any of the following conditions exists at the installation: (A) There are newly discovered sites or areas on the installation where a hazardous substance has been released, stored, or disposed of. For purposes of this subparagraph, the term "newly discovered" means discovered after the expiration of the 6-month period beginning on the date of enactment of this Act. (B) There are technical engineering difficulties in carrying out the investigations and studies. a (C) Expediting the investigations and studies would constitute substantial endangerment to the public health and the environment. (D) Adequate funds have not been appropriated to the Department of Defense, or adequate resources are not available to any party to the Federal Facility Agreement, to carry out or oversee the investigations and studies by the applicable deadline. (2)(A) An extension under paragraph (1) shall take effect if (i) the Secretary of Defense submits to Congress a notification containing a certification that, to the best of the Secretary's knowledge and belief, the requirements of subsection (a) or (b) cannot be met with respect to the military installation by the applicable deadline because one of the conditions set forth in paragraph (1) exists; and (ii) a period of 30 calendar days after receipt by Congress of such notice has elapsed. (B) In the computation of the 30-day period under subparagraph (A)(ii), there shall be excluded each day on which either House of Congress is not in session because of an adjournment of more than 3 calendar days to a day certain. (3) The Secretary may grant more than one 6-month extension for a military installation under paragraph (1), but each such extension is subject to paragraphs (1) and (2). (d) BUDGET ESTIMATE.-Each year the President shall include, in the budget submitted to Congress for a fiscal year (pursuant to section 1105 of title 31, United States Code), an estimate of the funding levels required for the Department of Defense to comply with this section during the fiscal year for which the budget is submitted. SEC. 335. PROHIBITION ON THE PURCHASE OF SURETY BONDS AND OTHER GUARANTIES FOR THE DEPARTMENT OF DEFENSE. No funds appropriated or otherwise made available to the Department of Defense for fiscal year 1992 or fiscal year 1993 may be obligated or expended for the purchase of surety bonds or other guaranties of financial re sponsibility in order to guarantee the performance of any direct function of the Department of Defense. SEC. 336. SURETY BONDS FOR DEFENSE ENVIRONMENTAL RESTORATION PROGRAM CONTRACTS. (a) IN GENERAL.-Section 2701 of title 10, United States Code, is amended by adding at the end the following: "(h) SURETY-CONTRACTOR RELATIONSHIP.Any surety which provides a bid, performance, or payment bond in connection with any direct Federal procurement for a response action contract under the Defense Environmental Restoration Program and begins activities to meet its obligations under such bond, shall, in connection with such activities or obligations, be entitled to any indemnification and the same standard of liability to which its principal was entitled under the contract or under any applicable law or regulation. "(i) SURETY BONDS.— "(1) APPLICABILITY OF MILLER ACT.-If under the Act of August 24, 1935 (40 U.S.C. 270a-270d), commonly referred to as the 'Miller Act', surety bonds are required for any direct Federal procurement of any response action contract under the Defense Environmental Restoration Program and are not waived pursuant to the Act of April 29, 1941 (40 U.S.C. 270e-270f), the surety bonds shall be issued in accordance with such Act of August 24, 1935. "(2) LIMITATION OF ACCRUAL OF RIGHTS OF ACTION UNDER BONDS.-If, under applicable Federal law, surety bonds are required for any direct Federal procurement of any response action contract under the Defense Environmental Restoration Program, no right of action shall accrue on the performance bond issued on such contract to or for the use of any person other than an obligee named in the bond. "(3) LIABILITY OF SURETIES UNDER BONDS.If, under applicable Federal law, surety bonds are required for any direct Federal procurement of any response action contract under the Defense Environmental Restoration Program, unless otherwise provided for by the Secretary in the bond, in the event of a default, the surety's liability on a performance bond shall be only for the cost of completion of the contract work in accordance with the plans and specifications of the contract less the balance of funds remaining to be paid under the contract, up to the penal sum of the bond. The surety shall in no event be liable on bonds to indemnify or compensate the obligee for loss or liability arising from personal injury or property damage whether or not caused by a breach of the bonded contract. "(4) NONPREEMPTION.-Nothing in this section shall be construed as preempting, limiting, superseding, affecting, applying to, or modifying any State laws, regulations, requirements, rules, practices, or procedures. Nothing in this section shall be construed as affecting, applying to, modifying, limiting, superseding, or preempting any rights, authorities, liabilities, demands, actions, causes of action, losses, judgment, claims, statutes of limitation, or obligations under Federal or State law, which do not arise on or under the bond. "(j) APPLICABILITY.-Subsections (h) and (i) shall not apply to bonds executed before the date of the enactment of the National Defense Authorization Act for Fiscal Years 1992 and 1993 or after December 31, 1992.". PART D-OTHER MATTERS SEC. 341. ANNUAL REPORT ON DEFENSE CAPABILITIES AND PROGRAMS OF THE ARMED FORCES. Section 113(i)(2) of title 10, United States Code, is amended (1) by redesignating subparagraphs (C) and (D) as subparagraphs (D) and (E), respectively; and (2) by inserting after subparagraph (B) the following new subparagraph: "(C) include a description of the means by which the Department of Defense will maintain the capability to reconstitute or expand the defense capabilities and programs of the armed forces of the United States on short notice to meet a resurgent or increased threat to the national security of the United States;". SEC. 342. COVERAGE OF CONTRACTS FOR EQUIP- (1) in paragraph (1), by inserting ", equipment," after "tools"; and (2) by adding at the end the following new paragraph: "(4) The operation of equipment.". SEC. 343. USE OF PROCEEDS FROM THE SALE OF CERTAIN LOST, ABANDONED, OR UNCLAIMED PERSONAL PROPERTY. (a) DEMONSTRATION PROJECT.-Notwithstanding section 2575(b) of title 10, United States Code, the Secretary of Defense shall conduct a demonstration project under which the proceeds from the sale under that section of lost, abandoned, or unclaimed property found on a military installation referred to in subsection (b) shall be credited to the operation and maintenance account of that installation and used (1) to reimburse the installation for any costs incurred by the installation to collect, transport, store, protect, or sell the property; and (2) if all such costs are reimbursed, to support morale, welfare, and recreation activities under the jurisdiction of the Armed Forces conducted for the comfort, pleasure, contentment, or physical or mental improvement of members of the Armed Forces at that installation. (b) COVERED MILITARY INSTALLATIONS.— Subsection (a) shall apply to Naval Base, Norfolk, Virginia, and Naval Air Station, Norfolk, Virginia. (c) RECOVERY OF PROCEEDS.-The owner (or the heirs, next of kin, or legal representative of the owner) of personal property the proceeds of which are credited to a military installation under subsection (a) may file a claim with the Secretary of Defense for the amount equal to the proceeds (less costs referred to in subsection (a)(1)). Amounts to pay the claim shall be drawn from the morale, welfare, and recreation account for the installation that received the proceeds. Unless the claim is filed with the Secretary of Defense within five years after the date of the disposal of the property, the claim may not be considered by a court or the Secretary of Defense. A claim may not be filed under section 2575(b) of title 10, United States Code, in the case of property covered by this section. (d) PERIOD OF DEMONSTRATION PROJECT.— The demonstration project required by subsection (a) shall— (1) terminate at the end of the one-year period beginning on the date of the enactment of this Act; and (2) apply with respect to the disposal during that period under section 2575 of title 10, United States Code, of property found on the military installations referred to in subsection (b). (e) REPORT.-Not later than 60 days after the end of the one-year period described in subsection (d), the Secretary of Defense shall submit a report to Congress describing the results of the demonstration project required by subsection (a). SEC. 344. USE OF PROCEEDS FROM THE TRANSFER OR DISPOSAL OF COMMISSARY STORE FACILITIES AND PROPERTY PURCHASED WITH NONAPPROPRIATED FUNDS. (a) BASE CLOSURES UNDER 1988 ACT.—(1) Section 204(b)(4) of the Defense Authorization Amendments and Base Closure and Realignment Act (title II of Public Law 100-526; 102 Stat. 2629; 10 U.S.C. 2687 note) is amended (A) by inserting "or (C)" after "subparagraph (B)" in subparagraph (A); and (B) by adding at the end the following new subparagraphs: "(C) In the case of the transfer or disposal under this subsection of any real property or facility that was acquired, constructed, or improved (in whole or in part) with funds described in subparagraph (D), a portion of the proceeds equal to the total amount of the funds so used shall be deposited in a reserve account established in the Treasury to be administered and used by the Secretary (in such an aggregate amount as is provided in advance in appropriation Acts) for the purpose of acquiring, constructing, or improving commissary stores and nonappropriated fund instrumentalities. "(D) The funds referred to in subparagraph (C) are funds received from "(i) the adjustment of, or surcharge on, selling prices at commissary stores fixed under section 2685 of title 10, United States Code (or a prior law to that effect); or "(ii) a nonappropriated fund instrumentality.". (2) Section 209 of that Act (102 Stat. 2634) is amended by adding at the end the following new paragraph: "(10) The term 'nonappropriated fund instrumentality' means an instrumentality of the United States under the jurisdiction of the Armed Forces (including the Army and Air Force Exchange Service, the Navy Resale and Services Support Office, and the Marine Corps exchanges) which is conducted for the comfort, pleasure, contentment, or physical or mental improvement of members of the Armed Forces.". (b) BASE CLOSURES UNDER 1990 ACT.—(1) Section 2906 of the Defense Base Closure and Realignment Act of 1990 (part A of title XXIX of Public Law 101-510; 104 Stat. 1815; 10 U.S.C. 2687 note) is amended (A) in subsection (a)(2)(C), by inserting "except as provided in subsection (d)," after "(C)"; and (B) by adding at the end the following new subsection: "(d) DISPOSAL OR TRANSFER OF COMMISSARY STORES AND PROPERTY PURCHASED WITH NONAPPROPRIATED FUNDS.-(1) In the case of the transfer or disposal under this part of any real property or facility that was acquired, constructed, or improved (in whole or in part) with funds described in paragraph (2), a portion of the proceeds equal to the total amount of the funds so used shall be deposited in the reserve account established under section 204(b)(4)(C) of the Defense Authorization Amendments and Base Closure and Realignment Act. The Secretary may use amounts in the account (in such an aggregate amount as is provided in advance in appropriation Acts) for the purpose of acquiring, constructing, or improving commissary stores and nonappropriated fund instrumentalities. "(2) The funds referred to in paragraph (1) are funds received from— "(A) the adjustment of, or surcharge on, selling prices at commissary stores fixed under section 2685 of title 10, United States Code; or "(B) a nonappropriated fund instrumentality. "(3) As used in this subsection, the term 'nonappropriated fund instrumentality' means an instrumentality of the United States under the jurisdiction of the Armed Forces (including the Army and Air Force Exchange Service, the Navy Resale and Services Support Office, and the Marine Corps exchanges) which is conducted for the comfort, pleasure, contentment, or physical or mental improvement of members of the Armed Forces.". (2) Section 2921 of the National Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1819; 10 U.S.C. 2687 note) is amended (A) in subsection (c)(1), by striking out "Any" in the second sentence and inserting in lieu thereof "Except as provided in subsection (d),"; and (B) by adding at the end the following new subsection: "(d) AMOUNTS CORRESPONDING TO THE VALUE OF PROPERTY PURCHASED WITH NONAPPROPRIATED FUNDS.-(1) In the case of a payment referred to in subsection (c)(1) for the residual value of real property or improvements at an overseas military facility, the portion of the payment that is equal to the value of the improvements carried out with nonappropriated funds shall be deposited in the reserve account established under section 204(b)(4)(C) of the Defense Authorization Amendments and Base Closure and Realignment Act. The Secretary may use amounts in the account (in such an aggregate amount as is provided in advance by appropriation Acts) for the purpose of acquiring, constructing, or improving commissary stores and nonappropriated fund instrumentalities. "(2) As used in this subsection: "(A) The term 'nonappropriated funds' means funds received from "(i) the adjustment of, or surcharge on, selling prices at commissary stores fixed under section 2685 of title 10, United States Code; or "(ii) a nonappropriated fund instrumentality. "(B) The term 'nonappropriated fund instrumentality' means an instrumentality of the United States under the jurisdiction of the Armed Forces (including the Army and Air Force Exchange Service, the Navy Resale and Services Support Office, and the Marine Corps exchanges) which is conducted for the comfort, pleasure, contentment, or physical or mental improvement of members of the Armed Forces.". (c) EFFECTIVE DATE.-The amendments made by this section shall apply with regard to the transfer or disposal of any real property or facility pursuant to title II of the Defense Authorization Amendments and Base Closure and Realignment Act or the Defense Base Closure and Realignment Act of 1990 occurring on or after the date of the enactment of this Act. SEC. 345. USE OF APPROPRIATED FUNDS FOR EXPENSES RELATING TO CERTAIN VOLUNTARY SERVICES. Section 1588(c) of title 10, United States Code, is amended by striking out "may only be made from nonappropriated funds" in the third sentence and inserting in lieu thereof "may be made from appropriated or nonappropriated funds". SEC. 346. TREATMENT OF SEVERANCE PAY FOR FOREIGN NATIONALS UNDER OVERSEAS MILITARY BANKING CONTRACTS. (a) WAIVER AUTHORITY.-Section 2324(e) of title 10, United States Code, is amended(1) by redesignating paragraph (2) as paragraph (3); and (2) by inserting after paragraph (1) the following new paragraph: "(2)(A) The Secretary may provide in a military banking contract that the provisions of paragraphs (1)(M) and (1)(N) shall not apply to costs incurred under the con tract by the contractor for payment of mandated foreign national severance pay. The Secretary may include such a provision in a military banking contract only if the Secretary determines, with respect to that contract, that the contractor has taken (or has established plans to take) appropriate actions within the contractor's control to minimize the amount and number of incidents of the payment of severance pay by the contractor to employees under the contract who are foreign nationals. "(B) In subparagraph (A): "(i) The term 'military banking contract' means a contract between the Secretary and a financial institution under which the financial institution operates a military banking facility outside the United States for use by members of the armed forces stationed or deployed outside the United States and other authorized personnel. "(ii) The term 'mandated foreign national severance pay' means severance pay paid by a contractor to a foreign national employee the payment of which by the contractor is required in order to comply with a law that is generally applicable to a significant number of businesses in the country in which the foreign national receiving the payment performed services under the contract. "(C) Subparagraph (A) does not apply to a contract with a financial institution that is owned or controlled by citizens or nationals of a foreign country, as determined by the head of the agency awarding the contract. Such a determination shall be made in accordance with the criteria set out in paragraph (1) of section 4(g) of title III of the Act of March 3, 1933 (41 U.S.C. 10b-1) (commonly referred to as the Buy American Act) and the policy guidance referred to in paragraph (2)(A) of that section.". (b) APPLICATION OF SECTION.-The amendments made by subsection (a) shall not apply with respect to a foreign national whose employment under a military banking contract (defined in section 2324(e)(2)(B) of title 10, United States Code, as added by subsection (a)) was terminated before the date of the enactment of this Act. SEC. 347. IMPROVEMENT OF INVENTORY MANAGEMENT POLICY AND PROCEDURE. (a) IMPROVEMENT IN INVENTORY MANAGEMENT POLICY.-Section 2458(a) of title 10, United States Code, is amended (1) by striking out "and" at the end of paragraph (1); (2) by striking out the period at the end of paragraph (2) and inserting in lieu thereof ""; and"; and (3) by adding at the end the following new paragraph: "(3) set forth a uniform system for the valuation of inventory items by the military departments and Defense Agencies.". (b) ANNUAL REPORT ON INVENTORY.-Section 2721 of such title is amended (1) by inserting "(a)" before "Under"; and (2) by adding at the end the following new subsection: "(b) The regulations prescribed pursuant to subsection (a) shall include a requirement that the records maintained under such subsection "(1) to the extent practicable, provide upto-date information on all items in the inventory of the Department of Defense; "(2) indicate whether the inventory of each item is sufficient or excessive in relation to the needs of the Department for that item; and "(3) permit the Secretary of Defense to include in the budget submitted to Congress under section 1105 of title 31 for each fiscal year, information relating to "(A) the amounts proposed for each appropriation account in such budget for inventory purchases of the Department of Defense; and "(B) the amounts obligated for such inventory purchases out of the corresponding appropriations account for the preceding fiscal year.". (c) IMPLEMENTATION.-The Secretary of Defense shall establish the uniform system of valuation described in section 2458(a)(3) of title 10, United States Code (as added by subsection (a)), and prescribe the regulations required by section 2721(b) of such title (as) added by subsection (b)), not later than 180 days after the date of the enactment of this Act. SEC. 348. PREVENTION OF THE TRANSPORTATION OF BROWN TREE SNAKES ON AIRCRAFT AND VESSELS OF THE DEPARTMENT OF DEFENSE. The Secretary of Defense shall take such action as may be necessary to prevent the inadvertent introduction of brown tree snakes from Guam to Hawaii in aircraft and vessels transporting personnel or cargo for the Department of Defense. In carrying out this section, the Secretary shall consider the use of sniffer or tracking dogs, snake traps, and other preventive processes or devices at aircraft and vessel loading facilities in Guam or Hawaii or at intermediate transit points for personnel or cargo transported between Guam and Hawaii. SEC. 349. DONATION OF CERTAIN SCRAP METAL TO THE MEMORIAL FUND FOR DISASTER RELIEF. (a) DONATION AUTHORIZED.-Notwithstanding any provision of the Federal Property and Administrative Services Act of 1941 (40 U.S.C. 471 et seq.) or any other provision of law, the Secretary of Defense may donate not more than 15 tons of cruise missile scrap generated by the INF Treaty destruction requirements and managed by the Defense Logistics Agency at the Davis-Monthan Air Force Base, Tucson, Arizona, to the Memorial Fund for Disaster Relief, a corporation incorporated under the laws of the State of Delaware. (b) INF TREATY DEFINED.-For purposes of this section, the term "INF Treaty" means the Treaty Between the United States and the Union of Soviet Socialist Republics on the Elimination of Their IntermediateRange and Shorter-Range Missiles, signed in Washington, D.C., on December 8, 1987. SEC. 350. MANAGEMENT OF MARITIME PREPOSITIONING SHIP PROGRAMS. (a) PRIMARY RESPONSIBILITY.-Subject to the authority, direction, and control of the Secretary of Defense, the Commandant of the Marine Corps shall have the primary responsibility within the Department of Defense for managing the maritime prepositioning ship programs of the Department of Defense during fiscal years 1993 and 1994. (b) CHANGE IN PERSON RESPONSIBLE.-The Secretary of Defense may give the primary responsibility referred to in subsection (a) to a person other than the Commandant of the Marine Corps with respect to a fiscal year if, not later than May 1 of the year in which that fiscal year begins, the Secretary certifies to the congressional defense committees that (1) the Navy's funding of maritime prepositioning ship programs is adequate to meet Marine Corps requirements for that fiscal year; and (2) the Navy's maritime prepositioning ship program meets the requirements of the combatant commands for that fiscal year. (c) CONSULTATION.-Before making a certification under subsection (b), the Secretary of Defense shall consult with the Commandant of the Marine Corps and the commanders of the combatant commands having responsibility for conducting or relying on mobility force operations. TITLE IV-MILITARY PERSONNEL AUTHORIZATIONS PART A-ACTIVE FORCES SEC. 401. END STRENGTHS FOR ACTIVE FORCES. (a) FISCAL YEAR 1992.-The Armed Forces are authorized strengths for active duty personnel as of September 30, 1992, as follows: (1) The Army, 660,200, of whom not more than 96,781 shall be commissioned officers. (2) The Navy, 551,400, of whom not more than 69,768 shall be commissioned officers. (3) The Marine Corps, 188,000 of whom not more than 19,180 shall be commissioned offi cers. (4) The Air Force, 486,800 of whom not more than 92,020 shall be commissioned officers. (b) FISCAL YEAR 1993.-The Armed Forces are authorized strengths for active duty personnel as of September 30, 1993, as follows: (1) The Army, 618,200 of whom not more than 90,768 shall be commissioned officers. (2) The Navy, 536,000, of whom not more than 67,607 shall be commissioned officers. (3) The Marine Corps, 182,200 of whom not more than 18,591 shall be commissioned officers. (4) The Air Force, 458,100 of whom not more than 86,594 shall be commissioned officers. SEC. 402. ASSESSMENT OF THE STRUCTURE AND MIX OF ACTIVE AND RESERVE FORCES. (a) REQUIREMENT FOR ASSESSMENT.-The Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report containing an assessment of a wide range of alternatives relating to the structure and mix of active and reserve forces appropriate for carrying out assigned missions in the mid- to late-1990s. (b) CONCEPT FOR ASSESSMENT.-(1) The assessment shall consist of two parts. (2)(A) The first part shall consist of a study conducted by a federally funded research and development center that is independent of the military departments. The study shall provide comprehensive analytical information about the matters set out in subsection (c). (B) The Secretary shall ensure that the study group established by the federally funded research and development center to conduct the study has full access to the Department of Defense information necessary for the conduct of the study, including information on the performance of active and reserve forces during Operations Desert Shield and Desert Storm. The study group shall examine all active and reserve component missions, with particular emphasis on missions carried out by land forces. (C) The study group shall be assisted by a panel of experts who, by reason of their background, experience, and knowledge, are particularly qualified in the areas covered by the study. (3) The second part of the assessment shall consist of an evaluation by the Secretary of Defense and the Chairman of the Joint Chiefs of Staff of the independent analysis, assumptions, findings, and recommendations of the study group under paragraph (1). The Secretary and the Chairman shall determine, on the basis of the evaluation, the mix or mixes of reserve and active forces included in the independent study that are considered acceptable to carry out expected future military missions. (c) MATTERS TO BE INCLUDED.—(1) The study conducted pursuant to subsection (b)(2) shall include the following: (A) An assessment of the existing policies and practices for implementing the Total Force Policy of the Department of Defense, including (i) the methodology used by the Department of Defense in assigning missions between the active and reserve components; and (ii) the methodology used by the Department of Defense to determine how force reductions are distributed within and between active and reserve components. (B) An assessment of the effectiveness of the Total Force Policy during the Persian Gulf conflict. (C) An assessment of a range of possible mixes of active and reserve forces, assuming a range of manning levels and declining funding levels. (D) An assessment of the costs associated with alternative active and reserve force mixes and structures. (2) In making the assessment referred to in paragraph (1)(C), the study group referred to in subsection (b)(2) shall— (A) for each active forces manning level considered in the range of possible mixes of active and reserve forces, consider the levels provided for the Selected Reserve in this Act for fiscal year 1993, levels significantly higher than those levels, and levels significantly lower than those levels; (B) for each mix of active and reserve forces, conduct an analysis of the ability of the resulting alternative base-forces to successfully prosecute a range of military operations and focus on the time that would be required to prepare such forces for combat, the cost of training and maintaining such forces in peacetime, and the sustainability of reserve recruiting and retention; and (C) in analyzing various active and reserve mix options, consider possible revisions in the missions assigned to some active and reserve units, possible changes in training practices, and possible changes in the organizational structure of active and reserve components. (d) COMMENCEMENT OF ASSESSMENT.-The assessment shall be initiated not later than 30 days after the date of the enactment of this Act. (e) REPORTS.-The study group referred to in subsection (b)(2) shall submit to the Secretary of Defense an interim report on the matters set out in subsection (c) not later than May 1, 1992, and a final report on such matters not later than December 1, 1992. The Secretary shall submit each such report to the committees within 15 days after receiving the report. The Secretary shall submit the evaluation required in subsection (b)(3) to such committees not later than February 15, 1993. (f) FUNDING.-Of the amount appropriated for fiscal year 1992 pursuant to title II and made available for federally funded research and development centers, not more than $2,000,000 shall be available for the conduct of the study under this section. PART B-RESERVE FORCES SEC. 411. END STRENGTHS FOR SELECTED RESERVE. (a) FISCAL YEAR 1992.-The Armed Forces are authorized strengths for Selected Reserve personnel of the reserve components as of September 30, 1992, as follows: (1) The Army National Guard of the United States, 440,000. (2) The Army Reserve, 308,000. (3) The Naval Reserve, 144,000. (4) The Marine Corps Reserve, 42,400. (5) The Air National Guard of the United States, 118,100. (6) The Air Force Reserve, 83,396. (7) The Coast Guard Reserve, 15,150. (b) FISCAL YEAR 1993.-The Armed Forces are authorized strengths for Selected Reserve personnel of the reserve components as of September 30, 1993, as follows: (1) The Army National Guard of the United States, 425,450. (2) The Army Reserve, 296,230. (3) The Naval Reserve, 141,545. (4) The Marine Corps Reserve, 42,230. (5) The Air National Guard of the United States, 119,400. (6) The Air Force Reserve, 82,400. (7) The Coast Guard Reserve, 15,150. (c) WAIVER AUTHORITY.-The Secretary of Defense may increase the end strength authorized by subsection (a) by not more than 2 percent. (d) ADJUSTMENTS.-The end strengths prescribed by subsection (a) for the Selected Reserve of any reserve component for any fiscal year shall be proportionately reduced by (1) the total authorized strength of units organized to serve as units of the Selected Reserve of such component which are on active duty (other than for training) at the end of the fiscal year, and (2) the total number of individual members not in units organized to serve as units of the Selected Reserve of such component who are on active duty (other than for training or for unsatisfactory participation in training) without their consent at the end of the fiscal year. Whenever such units or such individual members are released from active duty during any fiscal year, the end strength prescribed for such fiscal year for the Selected Reserve of such reserve component shall be proportionately increased by the total authorized strengths of such units and by the total number of such individual members. SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE DUTY IN SUPPORT OF THE RESERVES. (a) FISCAL YEAR 1992.-Within the end strengths prescribed in section 411(a), the reserve components of the Armed Forces are authorized, as of September 30, 1992, the following number of Reserves to be serving on full-time active duty or, in the case of members of the National Guard, full-time National Guard duty for the purpose of organizing, administering, recruiting, instructing, or training the reserve components: (1) The Army National Guard of the United States, 25,142. (2) The Army Reserve, 13,146. (5) The Air National Guard of the United States, 9,081. (6) The Air Force Reserve, 649. (b) FISCAL YEAR 1993.-Within the end strengths prescribed in section 411(b), the reserve components of the Armed Forces are authorized, as of September 30, 1993, the following number of Reserves to be serving on full-time active duty or, in the case of members of the National Guard, full-time National Guard duty for the purpose of organizing, administering, recruiting, instructing, or training the reserve components: (1) The Army National Guard of the United States, 24,860. (2) The Army Reserve, 12,862. (4) The Marine Corps Reserve, 2,282. (5) The Air National Guard of the United States, 9,081. (6) The Air Force Reserve, 636. SEC. 413. INCREASE IN NUMBER OF MEMBERS IN CERTAIN GRADES AUTHORIZED TO BE ON ACTIVE DUTY IN SUPPORT OF THE RESERVES. (a) SENIOR ENLISTED MEMBERS.-The table in section 517(b) of title 10, United States Code, is amended to read as follows: |