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Alcohol and
alcoholic
beverages.
10 USC 2488
note.

penetrator", "armor piercing (AP)", "armor piercing incendiary (API)", or "armor-piercing incendiary-tracer (API-T)", except to an entity performing demilitarization services for the Department of Defense under a contract that requires the entity to demonstrate to the satisfaction of the Department of Defense that armor piercing projectiles are either: (1) rendered incapable of reuse by the demilitarization process; or (2)

used to manufacture ammunition pursuant to a contract with the Department of Defense or the manufacture of ammunition for export pursuant to a License for Permanent Export of Unclassified Military Articles issued by the Department of State.

SEC. 8091. Notwithstanding any other provision of law, the Chief of the National Guard Bureau, or his designee, may waive payment of all or part of the consideration that otherwise would be required under 10 U.S.C. 2667, in the case of a lease of personal property for a period not in excess of 1 year to any organization specified in 32 U.S.C. 508(d), or any other youth, social, or fraternal non-profit organization as may be approved by the Chief of the National Guard Bureau, or his designee, on a case-by-case basis.

SEC. 8092. None of the funds appropriated by this Act shall be used for the support of any nonappropriated funds activity of the Department of Defense that procures malt beverages and wine with nonappropriated funds for resale (including such alcoholic beverages sold by the drink) on a military installation located in the United States unless such malt beverages and wine are procured within that State, or in the case of the District of Columbia, within the District of Columbia, in which the military installation is located: Provided, That in a case in which the military installation is located in more than one State, purchases may be made in any State in which the installation is located: Provided further, that such local procurement requirements for malt beverages and wine shall apply to all alcoholic beverages only for military installations in States which are not contiguous with another State: Provided further, That alcoholic beverages other than wine and malt beverages, in contiguous States and the District of Columbia shall be procured from the most competitive source, price and other factors considered.

SEC. 8093. During the current fiscal year and hereafter, under regulations prescribed by the Secretary of Defense, the Center of Excellence for Disaster Management and Humanitarian Assistance may also pay, or authorize payment for, the expenses of providing or facilitating education and training for appropriate military and civilian personnel of foreign countries in disaster management, peace operations, and humanitarian assistance.

SEC. 8094. (a) The Department of Defense is authorized to enter into agreements with the Department of Veterans Affairs and federally-funded health agencies providing services to Native Hawaiians for the purpose of establishing a partnership similar to the Alaska Federal Health Care Partnership, in order to maximize Federal resources in the provision of health care services by federally-funded health agencies, applying telemedicine technologies. For the purpose of this partnership, Native Hawaiians shall have the same status as other Native Americans who are eligible for the health care services provided by the Indian Health Service.

(b) The Department of Defense is authorized to develop a consultation policy, consistent with Executive Order No. 13084 (issued

Applicability

Regulations.

May 14, 1998), with Native Hawaiians for the purpose of assuring maximum Native Hawaiian participation in the direction and administration of governmental services so as to render those services more responsive to the needs of the Native Hawaiian community.

(c) For purposes of this section, the term “Native Hawaiian" means any individual who is a descendant of the aboriginal people who, prior to 1778, occupied and exercised sovereignty in the area that now comprises the State of Hawaii.

(INCLUDING TRANSFER OF FUNDS) SEC. 8095. Of the amounts appropriated in this Act under the heading “Research, Development, Test and Evaluation, DefenseWide", $136,000,000 shall be made available for the Arrow missile defense program: Provided, That of this amount, $66,000,000 shall be available for the purpose of continuing the Arrow System Improvement Program (ASIP), and $70,000,000 shall be available for the purpose of producing Arrow missile components in the United States and Arrow missile components and missiles in Israel to meet Israel's defense requirements, consistent with each nation's laws, regulations and procedures: Provided further, That funds made available under this provision for production of missiles and missile components may be transferred to appropriations available for the procurement of weapons and equipment, to be merged with and to be available for the same time period and the same purposes as the appropriation to which transferred: Provided further, That the transfer authority provided under this provision is in addition to any other transfer authority contained in this Act.

SEC. 8096. Funds available to the Department of Defense for the Global Positioning System during the current fiscal year may be used to fund civil requirements associated with the satellite and ground control segments of such system's modernization program.

(INCLUDING TRANSFER OF FUNDS) SEC. 8097. Of the amounts appropriated in this Act under the heading, “Operation and Maintenance, Defense-Wide”, $68,000,000 shall remain available until expended: Provided, That notwithstanding any other provision of law, the Secretary of Defense is authorized to transfer such funds to other activities of the Federal Government.

SEC. 8098. Section 8106 of the Department of Defense Appro- Applicability. priations Act, 1997 (titles I through VIII of the matter under 10 USC 113 note. subsection 101(b) of Public Law 104–208; 110 Stat. 3009–111; 10 U.S.C. 113 note) shall continue in effect to apply to disbursements that are made by the Department of Defense in fiscal year 2003.

SEC. 8099. In addition to amounts provided in this Act, $1,700,000 is hereby appropriated for “Defense Health Program”, to remain available for obligation until expended: Provided, That notwithstanding any other provision of law, these funds shall be available only for a grant to the Fisher House Foundation, Inc., only for the construction and furnishing of additional Fisher Houses to meet the needs of military family members when confronted with the illness or hospitalization of an eligible military beneficiary.

SEC. 8100. Notwithstanding any other provision of this Act, the total amount appropriated in this Act is hereby reduced by

$850,000,000, to reflect savings to be achieved from business process
reforms, management efficiencies, and procurement of administra-
tive and management support, to be distributed as follows:

Operation and Maintenance, Army", $26,000,000;
"Operation and Maintenance, Navy", $60,300,000;
"Operation and Maintenance, Marine Corps", $8,400,000;
"Operation and Maintenance, Air Force", $91,200,000;
"Operation and Maintenance, Defense-Wide", $199,000,000;

, $
“Operation and Maintenance, Army Reserve”, $5,900,000;

Operation and Maintenance, Marine Corps Reserve", $900,000;

"Operation and Maintenance, Air Force Reserve”, $1,000,000;

Operation and Maintenance, Army National Guard”, $4,300,000;

Operation and Maintenance, Air National Guard”, $2,600,000;

"Aircraft Procurement, Army", $3,700,000;
"Missile Procurement, Army", $1,100,000;

“Procurement of Weapons and Tracked Combat Vehicles, Army", $3,100,000;

Other Procurement, Army", $17,700,000;
"Aircraft Procurement, Navy", $22,800,000;
"Weapons Procurement, Navy", $4,800,000;

"Procurement of Ammunition, Navy and Marine Corps”, $1,000,000;

"Shipbuilding and Conversion, Navy", $15,700,000;
“Other Procurement, Navy", $7,200,000;
“Procurement, Marine Corps", $2,600,000;
"Aircraft Procurement, Air Force”, $9,700,000;
"Missile Procurement, Air Force", $6,200,000;
“Other Procurement, Air Force", $6,200,000;
"Procurement, Defense-Wide", $1,200,000;

“Research, Development, Test and Evaluation, Army”, $23,500,000;

“Research, Development, Test and Evaluation, Navy”, $55,700,000;

"Research, Development, Test and Evaluation, Air Force”, $66,200,000;

"Research, Development, Test and Evaluation, DefenseWide", $154,000,000;

“Operational Test and Evaluation, Defense”, $5,000,000;
"National Defense Sealift Fund”, $1,000,000;
“Defense Health Program", $12,000,000;

"Chemical Agents and Munitions Destruction, Army”, $20,000,000; and

"Drug Interdiction and Counter-Drug Activities, Defense", $10,000,000: Provided, That these reductions shall be applied proportionally to each budget activity, activity group and subactivity group and each program, project, and activity within each appropriation account: Provided further, That none of the funds provided in this Act may be used for consulting and advisory services for legislative affairs and legislative liaison functions.

Applicability

(INCLUDING TRANSFER OF FUNDS) SEC. 8101. Of the amounts appropriated in this Act under the heading “Shipbuilding and Conversion, Navy", $1,279,899,000 shall be available until September 30, 2003, to fund prior year shipbuilding cost increases: Provided, That upon enactment of this Act, the Secretary of the Navy shall transfer such funds to the following appropriations in the amounts specified: Provided further, That the amounts transferred shall be merged with and be available for the same purposes as the appropriations to which transferred:

To:

Under the heading, “Shipbuilding and Conversion, Navy, 1996/03":

LPD-17 Amphibious Transport Dock Ship Program, $300,681,000;

Under the heading, “Shipbuilding and Conversion, Navy, 1998/03":

DDG-51 Destroyer Program, $76,100,000;

New SSN, $190,882,000;
Under the heading, “Shipbuilding and Conversion,
Navy, 1999/03":

DDG-51 Destroyer Program, $93,736,000;

LPD-17 Amphibious Transport Dock Ship Program, $82,000,000;

New SSN, $135,800,000;
Under the heading, "Shipbuilding and Conversion,
Navy, 2000/03":

DDG-51 Destroyer Program, $51,724,000;

LPD-17 Amphibious Transport Dock Ship Program, $187,000,000;

Under the heading, “Shipbuilding and Conversion, Navy, 2001/03":

DDG-51 Destroyer Program, $63,976,000; and Under the heading, “Shipbuilding and Conversion, Navy, 2002/03":

DDG-51 Destroyer Program, $98,000,000. SEC. 8102. The Secretary of the Navy may settle, or compromise, and pay any and all admiralty claims under 10 U.S.C. 7622 arising out of the collision involving the U.S.S. GREENEVILLE and the EHIME MARU, in any amount and without regard to the monetary limitations in subsections (a) and (b) of that section: Provided, That such payments shall be made from funds available to the Department of the Navy for operation and maintenance.

SEC. 8103. The total amount appropriated in title II of this Act is hereby reduced by $97,000,000, to reflect savings attributable to improved supervision in determining appropriate purchases to be made using the Government purchase card, to be derived as follows:

"Operation and Maintenance, Army", $24,000,000;
"Operation and Maintenance, Navy", $29,000,000;
"Operation and Maintenance, Marine Corps", $3,000,000;
"Operation and Maintenance, Air Force", $27,000,000; and

“Operation and Maintenance, Defense-Wide”, $14,000,000. SEC. 8104. Funds provided for the current fiscal year or hereafter for Operation and maintenance for the Armed Forces may

–OCT. 23

Deadline.

Reports.
Deadline.

be used, notwithstanding any other provision of law, for the purchase of ultralightweight camouflage net systems as unit spares.

(INCLUDING TRANSFER OF FUNDS) SEC. 8105. During the current fiscal year and for fiscal years 2004 and 2005, notwithstanding any other provision of law, the Secretary of Defense may transfer not more than $20,000,000 of unobligated balances remaining in a Research, Development, Test and Evaluation, Army appropriation account during the last fiscal year before the account closes under section 1552 of title 31 United States Code, to a current Research, Development, Test and Evaluation, Army appropriation account to be used only for the continuation of the Venture Capital Fund demonstration, as originally approved in Section 8150 of Public Law 107-117, to pursue high payoff technology and innovations in science and technology: Provided, That any such transfer shall be made not later than July 31 of each year: Provided further, That funds so transferred shall be merged with and shall be available for the same purposes and for the same time period as the appropriation to which transferred: Provided further, That the transfer authority provided in this section is in addition to any other transfer authority available to the Department of Defense: Provided further, That no funds for programs, projects, or activities designated as special congressional interest items in DD Form 1414 shall be eligible for transfer under the authority of this section: Provided further, That any unobligated balances transferred under this authority may be restored to the original appropriation if required to cover unexpected upward adjustments: Provided further, That the Secretary of the Army shall provide an annual report to the House and Senate Appropriations Committees no later than 15 days prior to the annual transfer of funds under authority of this section describing the sources and amounts of funds proposed to be transfered, summarizing the projects funded under this demonstration program (including the name and location of project sponsors) to date, a description of the major program accomplishments to date, and an overall assessment of the benefits of this demonstration program compared to the goals expressed in the legislative history accompanying Section 8150 of Public Law 107-117.

SEC. 8106. Notwithstanding any other provision of law or regulation, the Secretary of Defense may exercise the provisions of 38 U.S.C. 7403(g) for occupations listed in 38 U.S.C. 7403(a)(2) as well as the following:

Pharmacists, Audiologists, and Dental Hygienists.

(A) The requirements of 38 U.S.C. 7403(g)(1)(A) shall apply.

(B) The limitations of 38 U.S.C. 7403(g)(1)(B) shall not apply. SEC. 8107. Funds appropriated by this Act, or made available by the transfer of funds in this Act, for intelligence activities are 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) during fiscal year 2003 until the enactment of the Intelligence Authorization Act for fiscal year 2003.

SEC. 8108. In addition to funds made available elsewhere in this Act $7,750,000 is hereby appropriated and shall remain available until expended to provide assistance, by grant or otherwise (such as, but not limited to, the provision of funds for repairs,

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