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109th Congress 
 1st Session                     SENATE                          Report
                                                                 109-69
_______________________________________________________________________

                                     

                                                       Calendar No. 102

 
        NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2006

                               ----------                              

                              R E P O R T

                         [to accompany S. 1042]

                                   on

AUTHORIZING APPROPRIATIONS FOR FISCAL YEAR 2006 FOR MILITARY ACTIVITIES 
   OF THE DEPARTMENT OF DEFENSE, FOR MILITARY CONSTRUCTION, AND FOR 
DEFENSE ACTIVITIES OF THE DEPARTMENT OF ENERGY, TO PRESCRIBE PERSONNEL 
  STRENGTHS FOR SUCH FISCAL YEAR FOR THE ARMED FORCES, AND FOR OTHER 
                                PURPOSES

                      COMMITTEE ON ARMED SERVICES
                          UNITED STATES SENATE




                  May 17, 2005.--Ordered to be printed


     (Star Print)
        NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2006

109th Congress 
 1st Session                     SENATE                          Report
                                                                 109-69
_______________________________________________________________________

                                     

                                                       Calendar No. 102


        NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2006

                               __________

                              R E P O R T

                         [to accompany S. 1042]

                                   on

AUTHORIZING APPROPRIATIONS FOR FISCAL YEAR 2006 FOR MILITARY ACTIVITIES 
   OF THE DEPARTMENT OF DEFENSE, FOR MILITARY CONSTRUCTION, AND FOR 
DEFENSE ACTIVITIES OF THE DEPARTMENT OF ENERGY, TO PRESCRIBE PERSONNEL 
  STRENGTHS FOR SUCH FISCAL YEAR FOR THE ARMED FORCES, AND FOR OTHER 
                                PURPOSES

                      COMMITTEE ON ARMED SERVICES

                          UNITED STATES SENATE




                  May 17, 2005.--Ordered to be printed
                      COMMITTEE ON ARMED SERVICES
                     (109th Congress, 1st Session)

                    JOHN WARNER, Virginia, Chairman
JOHN McCAIN, Arizona                 CARL LEVIN, Michigan
JAMES M. INHOFE, Oklahoma            EDWARD M. KENNEDY, Massachusetts
PAT ROBERTS, Kansas                  ROBERT C. BYRD, West Virginia
JEFF SESSIONS, Alabama               JOSEPH I. LIEBERMAN, Connecticut
SUSAN M. COLLINS, Maine              JACK REED, Rhode Island
JOHN ENSIGN, Nevada                  DANIEL K. AKAKA, Hawaii
JAMES M. TALENT, Missouri            BILL NELSON, Florida
SAXBY CHAMBLISS, Georgia             E. BENJAMIN NELSON, Nebraska
LINDSEY O. GRAHAM, South Carolina    MARK DAYTON, Minnesota
ELIZABETH DOLE, North Carolina       EVAN BAYH, Indiana
JOHN CORNYN, Texas                   HILLARY RODHAM CLINTON, New York
JOHN THUNE, South Dakota
                    Judith A. Ansley, Staff Director
             Richard D. DeBobes, Democratic Staff Director

                            C O N T E N T S

                              ----------                              
                                                                   Page
Purpose of the Bill..............................................     1
Committee overview and recommendations...........................     2
    Explanation of funding summary...............................     8
Division A--Department of Defense Authorizations.................    17
Title I--Procurement.............................................    17
    Subtitle A--Authorization of Appropriations..................    17
        Explanation of tables....................................    17
    Subtitle B--Army Programs....................................    19
        Multiyear procurement authority for AH-64D Apache attack 
          helicopter block II conversions (sec. 111).............    38
        Multiyear procurement authority for modernized target 
          acquisition designation/pilot night vision sensors for 
          AH-64D Apache attack helicopters (sec. 112)............    38
        Multiyear procurement authority for utility helicopters 
          (sec. 113).............................................    38
    Missile Procurement, Army....................................    39
        Advanced precision kill weapon system....................    39
    Weapons and Tracked Vehicles.................................    39
        Lightweight 155 millimeter Howitzer......................    39
    Army Ammunition..............................................    39
        M1028 120mm tank cartridge...............................    39
        Modern demolition initiator..............................    39
        Rapid wall breaching kit.................................    40
        Ammunition peculiar equipment outloading modules.........    40
        Provision of industrial facilities.......................    40
        Conventional ammunition demilitarization.................    40
    Other Procurement, Army......................................    41
        Movement tracking system.................................    41
        Night vision devices.....................................    42
        Modular causeway system..................................    42
    Subtitle C--Navy Programs....................................    42
        Prohibition on acquisition of next generation destroyer 
          (DD(X)) through a single naval shipyard (sec. 121).....    66
        Split funding authorization for CVN-78 aircraft carrier 
          (sec. 122).............................................    66
        LHA replacement (LHA(R)) ship (sec. 123).................    67
        Refueling and complex overhaul of the USS ``Carl Vinson'' 
          (sec. 124).............................................    67
    Navy Aircraft................................................    68
        C-40A procurement........................................    68
        Advanced targeting pods..................................    68
        Night targeting system upgrade...........................    68
        H-53 modifications.......................................    68
        SH-60 armed helicopter...................................    69
        EP-3 aircraft electronic attack..........................    69
        P-3 aircraft modifications...............................    69
    Navy Weapons.................................................    70
        AIM-9X captive air training missile......................    70
        Weapons industrial facilities............................    70
        Gun mount modifications..................................    70
    Navy and Marine Corps Ammunition.............................    70
        M795 155mm high explosive cartridge......................    70
        Time fuze blasting igniter...............................    70
    Shipbuilding.................................................    71
        DD(X) destroyer program..................................    71
        DDG-51 Arleigh Burke-class destroyer modernization 
          program................................................    71
    Other Procurement, Navy......................................    72
        High performance metal fiber brushes for shipboard motors 
          and generators.........................................    72
        Items less than 5.0 million..............................    72
        Littoral combat ship mission modules.....................    72
        Submarine acoustic modernization installation............    73
        Surface sonar dome window................................    73
        Surface electronic warfare improvement program...........    73
        Weapons range support equipment..........................    73
        Maritime domain awareness................................    73
        Rolling airframe missile launcher system.................    74
        NULKA anti-ship missile decoy............................    74
        Submarine training device modifications..................    74
        Command support equipment................................    74
        Navy medical automated information technology insertion..    75
    Marine Corps Procurement.....................................    75
        Modification kits........................................    75
        Rapid deploying interoperable shelter systems............    75
        United Stated Marine Corps continuity of operations......    76
    Subtitle D--Air Force Programs...............................    76
        Multiyear procurement authority for C-17 aircraft (sec. 
          131)...................................................    91
        Prohibition on retirement of KC-135E aircraft (sec. 132).    91
        Use of Tanker Replacement Transfer Fund for modernization 
          of aerial refueling tankers (sec. 133).................    91
        Prohibition on retirement of F-117 aircraft (sec. 134)...    92
        Prohibition on retirement of C-130E/H tactical airlift 
          aircraft (sec. 135)....................................    92
        Procurement of C-130J/KC-130J aircraft after fiscal year 
          2005 (sec. 136)........................................    92
        Aircraft for performance of aeromedical evacuations (sec. 
          137)...................................................    93
    Air Force Aircraft...........................................    93
        F-15E procurement........................................    93
        C-130J/KC-130 multiyear procurement restoration..........    94
        B-1 digital communication improvements...................    94
        C-5 aircraft avionics modernization program..............    95
        C-130E/H aircraft modifications..........................    95
        KC-135 global air traffic management.....................    95
        E-8C joint surveillance and target attack radar system 
          reengining.............................................    95
        Advanced targeting pods..................................    96
    Air Force Missiles...........................................    96
        Minuteman III mods for propulsion replacement program....    96
    Other Air Force Procurement..................................    96
        Halvorsen loader.........................................    96
        Distributed common ground system components..............    97
        Joint threat emitters....................................    97
    Subtitle E--Other Matters....................................    97
        Advanced SEAL Delivery System (sec. 151).................   104
    Defense-wide Programs........................................   105
        MH-47 infrared engine exhaust suppressor.................   105
        Time delayed firing device/sympathetic detonators........   106
        Multi-band inter/intra team radio........................   106
        Multi-band multi-mission radio...........................   106
        Joint threat warning system..............................   107
        Rucksack portable unmanned aerial vehicle................   107
        Military mail screening equipment........................   107
        Automatic Chemical Agent Detector and Alarm..............   108
    Items of Special Interest....................................   108
        Army multi-band inter/intra team radio system............   108
        Cooperative engagement capability........................   108
        F/A-22 aircraft..........................................   109
        Intra-theater airlift....................................   109
        Littoral combat ship.....................................   110
        Maritime prepositioning force, future....................   110
        Transmission enterprise program..........................   111
Title II--Research, Development, Test, and Evaluation............   113
        Explanation of tables....................................   113
    Subtitle A--Authorization of Appropriations..................   115
        Science and Technology...................................   115
    Subtitle B--Program Requirements, Restrictions, and 
      Limitations................................................   116
        Contract for the procurement of Future Combat System 
          (sec. 211).............................................   116
        Joint field experiment on stability and support 
          operations (sec. 212)..................................   116
    Subtitle C--Ballistic Missile Defense........................   117
        One-year extension of Comptroller General assessments of 
          ballistic missile defense programs (sec. 221)..........   117
        Fielding of Ballistic Missile Defense Capabilities (sec. 
          222)...................................................   117
        Plans for test and evaluation of operational capability 
          of the ballistic missile defense system (sec. 223).....   118
    Subtitle D--High-Performance Defense Manufacturing Technology 
      Research and Development...................................   118
        High performance defense manufacturing technology 
          research and development (sec. 230)....................   118
    Subtitle E--Other Matters....................................   119
        Expansion of eligibility for leadership of Department of 
          Defense Test Resource Management Center (sec. 241).....   119
        Technology transition (sec. 242).........................   119
        Prevention, mitigation, and treatment of blast injuries 
          (sec. 243).............................................   120
    Additional Matters of Interest...............................   121
        Army.....................................................   121
            Army basic research..................................   135
            Document exploitation................................   135
            Army university research.............................   135
            Advanced mine detection and blast mitigation.........   136
            Army small airship...................................   136
            Detection and neutralization of improved explosive 
              devices............................................   136
            Real-time laser threat warning development...........   137
            Army unmanned systems initiative.....................   137
            Technology enhancement for area protection...........   137
            Multifunctional robot platform.......................   137
            Combat vehicle and automotive technology.............   137
            Gun barrel coatings..................................   138
            Active coatings technology...........................   138
            Sonic rarefaction wave gun technology................   138
            Ultra wide band sensors..............................   138
            Army man-portable power..............................   139
            Flexible Display Initiative..........................   139
            Ultra wideband chipset...............................   139
            Biosecurity research for food safety.................   140
            Army medicine for mitigation and treatment of blast 
              injuries...........................................   140
            Bio-defense detection and treatment..................   141
            Posttraumatic stress disorder diagnostic tools.......   141
            Surgical safety system...............................   142
            Human operator performance research..................   142
            Wireless and digital medical improvements............   142
            Reconfigurable tooling systems.......................   142
            Rotorcraft system monitoring.........................   142
            Unmanned tactical combat vehicles....................   143
            Midrange Munition....................................   143
            Nanotechnology manufacturing.........................   143
            Abrams track improvement.............................   143
            Combat vehicle advanced development..................   144
            Coordinated training.................................   144
            Advanced simulated training..........................   144
            Explosive demilitarization...........................   144
            Alternative fuel supplies............................   145
            Stryker vehicle active protection system 
              demonstration......................................   145
            Advanced structures and composites...................   145
            Army command and control visualization system........   146
            Interactive modeling and simulation management.......   146
            Next generation interceptor materials................   146
            Long loiter sensor and communications platform.......   146
            Architecture Analysis Program........................   147
            Single Integrated Space Picture......................   147
            Casting Emission Reduction Program...................   147
            Advanced Army medical systems........................   148
            Joint tactical radio system..........................   148
            Tactical vehicle modifications.......................   149
            Future tactical truck system.........................   149
            Protected simulation and test link...................   150
            Unmanned aerial vehicle ice protection...............   150
            High performance computing research..................   150
            Retinal/iris multimodal biometrics technology for 
              secure identification..............................   150
            Army manufacturing technologies......................   151
        Navy.....................................................   151
            Navy university research.............................   163
            Navy science and technology outreach.................   163
            Free electron laser..................................   163
            Littoral and undersea security.......................   164
            Nanomagnetic materials...............................   164
            Polymeric aircraft components........................   164
            Small watercraft propulsion demonstrator.............   164
            Advanced combat headborne system.....................   164
            Critical area protection systems.....................   165
            SensorNet............................................   165
            Space research.......................................   165
            Automated video threat recognition...................   165
            Multifunctional composite structures.................   165
            Portable water bio-defense...........................   166
            Seabasing research...................................   166
            Gallium nitride radio frequency power................   166
            Integrated littoral sensor network...................   166
            Coordination and integration of unmanned system teams   166
            Information sharing for intelligence, surveillance 
              and reconnaissance.................................   167
            Force protection advanced technology.................   167
            Improved shipboard combat information center.........   168
            Warfighter sustainment advanced technology...........   168
            Navy persistent surveillance.........................   169
            Armored patrol vehicle...............................   169
            Laser integrated target engagement system............   169
            Water purification system............................   169
            Modeling and simulation for urban operations.........   170
            Surface Navy integrated undersea tactical technology.   170
            Shipboard system component development...............   170
            Improved surface vessel torpedo launcher.............   171
            Guided missile submarine conversion..................   171
            Advanced submarine system development................   171
            Regenerative filtration technology...................   172
            Marine Corps ground and supporting arms systems......   172
            Marine mammal detection and mitigation...............   174
            Navy logistics common operating picture..............   174
            Automatic radar periscope detection and 
              discrimination.....................................   174
            DD(X) destroyer integrated propulsion system.........   174
            Affordable towed array construction..................   175
            New Design SSN.......................................   175
            Submarine tactical warfare system....................   175
            Autonomous unmanned surface vessel...................   176
            NULKA anti-ship missile decoy development............   176
            Navy medical research................................   176
            Shared Reconnaissance Pod logistics support..........   177
            Marine Corps communications systems..................   177
            Marine Corps ground combat and supporting arms 
              systems............................................   178
            Battlefield management system........................   178
            RQ-8B Firescout vertical takeoff and landing unmanned 
              aerial vehicle.....................................   179
            Distributed common ground system--Navy...............   179
            National shipbuilding research program--advanced 
              shipbuilding enterprise............................   179
        Air Force................................................   180
            Air Force basic science..............................   194
            Secure, assured information sharing..................   194
            Blast resistant barriers.............................   194
            Air Force materials research.........................   194
            Nano-technologies for chemical and biological defense   195
            Hypersonics engine research and integration..........   195
            Space technology.....................................   195
            Adaptive optics research.............................   196
            Integrated spacecraft engineering tool...............   196
            Laser eye protection.................................   196
            Metals affordability initiative......................   197
            Aerospace propulsion and power technologies..........   197
            Versatile affordable advanced turbine engines........   197
            Ballistic missile technology.........................   197
            AC coupled interconnect..............................   198
            Energy cells for defense and intelligence 
              applications.......................................   198
            Radically Segmented launch vehicle...................   198
            Thin film amorphous solar arrays.....................   198
            High Accuracy Network Determination System...........   199
            Laser threat warning attack reporting................   199
            Enable network centric warfare.......................   199
            Military satellite communications....................   200
            Space Radar..........................................   200
            Tactical satellite demonstrations....................   201
            Robust nuclear earth penetrator......................   202
            Space control test capabilities......................   202
            FPS-16 radar mobilization and upgrade................   203
            Ballistic missile range safety technology............   203
            A-10 aircraft propulsion improvements................   203
            Information systems security research................   203
            Viper Strike munition for Predator...................   204
            S-band radar.........................................   204
            Space-Based Space Surveillance.......................   204
            Nano-materials manufacturing.........................   204
            Air Force support systems............................   205
            Personnel and pay information technology systems.....   205
        Defense-wide.............................................   206
            Focus center research program........................   220
            Superstructural particle evaluation..................   220
            Chemical and biological defense applied research.....   220
            Mustard gas antidote.................................   221
            Tactical technology..................................   221
            Human performance in hazardous environments..........   221
            Technology Support Working Group.....................   221
            Radiation detection technology.......................   222
            Ballistic missile defense reductions.................   222
            Massively parallel optical interconnects.............   223
            Missile technology...................................   223
            Anthrax and plague oral vaccine research and 
              development........................................   223
            Miniaturized RAMAN chemical identification system....   223
            Diminishing manufacturing sources....................   224
            Vehicle fuel cell program............................   224
            Advanced electronics.................................   224
            Small scale systems packaging........................   224
            Advanced ferrite antenna.............................   225
            Communications and control alert framework...........   225
            Flexible JP-8 military fuel certification............   225
            Prevention and detection of cyber threats............   225
            Simulation center upgrade............................   226
            Land warfare technology..............................   226
            Network centric warfare technology...................   226
            Sensor technology....................................   226
            Advanced tactical laser..............................   227
            Mark V patrol boat replacement craft prototype.......   227
            Special operations portable power source program.....   227
            Voice activated handheld translator..................   228
            Aegis ballistic missile defense......................   228
            Ground-based midcourse ballistic missile defense.....   229
            Miniaturized carbon monoxide oxidation technology....   229
            Airborne Infrared System.............................   230
            Kinetic Energy Interceptor...........................   230
            Military mail screening system development and 
              demonstration......................................   231
            UAV systems and operations validation program........   231
            Foreign supplier assessment center...................   231
            Operationally responsive space payloads..............   231
            Industrial preparedness..............................   232
            Special operations wireless management and control 
              project............................................   232
            Maritime unmanned aerial vehicle sensor..............   233
            Lightweight portable solar panels....................   233
    Items of Special Interest....................................   233
        Canopy hard-coats........................................   233
        CH-53X helicopter development............................   234
        Construction of Navy Research Vessels....................   234
        Department of Defense computer science research..........   235
        Unmanned aerial vehicles for resupply missions...........   235
Title III--Operation and Maintenance.............................   237
        Explanation of tables....................................   237
    Subtitle A--Authorization of Appropriations..................   275
    Subtitle B--Environmental Provisions.........................   275
        Elimination and simplification of certain items required 
          in the annual report on environmental quality programs 
          and other environmental activities (sec. 311)..........   275
        Payment of certain private cleanup costs in connection 
          with the Defense Environmental Restoration Program 
          (sec. 312).............................................   275
    Subtitle C--Other Matters....................................   276
        Aircraft carriers (sec. 321).............................   276
        Limitation on transition of funding for east coast 
          shipyards from funding through Navy working capital 
          fund to direct funding (sec. 322)......................   277
        Use of funds from National Defense Sealift Fund to 
          exercise purchase options on maritime prepositioning 
          ship vessels (sec. 323)................................   277
        Purchase and destruction of weapons overseas (sec. 324)..   278
        Increase in maximum contract amount for procurement of 
          supplies and services from exchange stores outside the 
          United States (sec. 325)...............................   278
        Extension of authority to provide logistics support and 
          services for weapon systems contractors (sec. 326).....   278
        Army training strategy (sec. 327)........................   279
        Limitations on financial management improvement and audit 
          initiatives within the Department of Defense (sec. 328)   279
        Study on use of ethanol fuel (sec. 329)..................   280
    Budget Items.................................................   281
        Other Defense Programs...................................   281
            Enhanced vision......................................   281
            Assembled Chemical Weapons Alternatives Program......   281
        Army.....................................................   282
            Advanced combat helmet with modular integrated 
              communications headset.............................   282
            Army training........................................   283
            Corrosion prevention and control.....................   284
            Facility sustainment, restoration, and modernization 
              for the Army.......................................   285
            Quadruple specialty containers.......................   285
            Department of Defense foreign language training......   285
            Army civilian intern program.........................   286
            Unattended ground sensors............................   286
            Information assurance vulnerability alert cell.......   286
            Aviation and missile life cycle management pilot 
              program............................................   286
            Army excess carryover................................   287
            Audits of Department of Defense financial statements.   287
            Civilian personnel pay in excess of requirements.....   288
            Defense Information System Network...................   288
            Working capital funds................................   288
        Navy.....................................................   289
            NULKA decoy cartridge................................   289
            Stainless steel sanitary spaces......................   289
            Manufacturing Technical Assistance and Production 
              Program............................................   289
            Electric start system................................   290
            Marine gas turbine photonic sensors..................   290
            Mark-45 gun system overhauls.........................   290
            Facility sustainment, restoration, and modernization 
              for the Navy.......................................   290
        Marine Corps.............................................   291
            Acclimate high performance undergarments.............   291
            Combat casualty care equipment upgrades..............   291
            Family of mountain cold weather clothing and 
              equipment..........................................   291
            Portable tent lighting...............................   291
            Ultra-light Camouflage Net System....................   291
            Supplemental communications and electrical utility 
              support to U.S. Marine Corps Network Operations 
              Center.............................................   292
        Air Force................................................   292
            Bomber deployable phase maintenance kits.............   292
            Robust Nuclear Earth Penetrator......................   292
            Joint protection enterprise network..................   292
            Joint task force north...............................   293
            Mobile consolidated command center...................   293
            Mobility Air Force depot maintenance.................   293
            Homeland Security/Homeland Defense Education 
              Consortium.........................................   294
        Defense-Wide.............................................   295
            Counseling and assistance to military families.......   295
            Increased support for child care for military 
              families...........................................   295
            Funding for Office of Economic Adjustment............   296
            Capital Security Cost Sharing........................   296
            Information assurance scholarship program............   296
            Increased funding for conservation buffer zones......   297
            Citizen-Soldier Support Program......................   297
            Parents as Teachers..................................   298
            Military to civilian conversions.....................   298
        Army Reserve.............................................   299
            Army Reserve components cold weather clothing........   299
        Air Force Reserve........................................   299
            Air Force Reserve mobility Air Force depot 
              maintenance........................................   299
        Army National Guard......................................   299
            Communicator Automated Emergency Notification System.   299
            Virtual battlefield system one.......................   299
            Chemical, Biological, Radiological, Nuclear and High 
              Yield Explosive Enhanced Response Force Package 
              Teams..............................................   300
        Air National Guard.......................................   301
            Air National Guard mobility Air Force depot 
              maintenance........................................   301
        Transfer Accounts........................................   301
            Funding for Formerly Used Defense Sites..............   301
    Item of Special Interest.....................................   301
        Defense Information System Network Access Transport 
          Services...............................................   301
        Test to improve the quality of agricultural produce 
          available in commissary stores.........................   302
Title IV--Military Personnel Authorizations......................   303
    Subtitle A--Active Forces....................................   303
        End strengths for active forces (sec. 401)...............   303
        Revision of permanent active duty end strength minimum 
          levels (sec. 402)......................................   304
    Subtitle B--Reserve Forces...................................   304
        End strengths for Selected Reserve (sec. 411)............   304
        End strengths for Reserves on active duty in support of 
          the Reserves (sec. 412)................................   305
        End strengths for military technicians (dual status) 
          (sec. 413).............................................   305
        Fiscal year 2006 limitations on non-dual status 
          technicians (sec. 414).................................   305
    Subtitle C--Authorizations of Appropriations.................   306
        Authorization of appropriations for military personnel 
          (sec. 421).............................................   306
        Armed Forces Retirement Home (sec. 422)..................   306
Title V--Military Personnel Policy...............................   309
    Subtitle A--Officer Personnel Policy.........................   309
        Exclusion of general and flag officers on leave pending 
          separation or retirement from computation of active 
          duty officers for general and flag officer distribution 
          and strength limitations (sec. 501)....................   309
        Expansion of joint duty assignments for Reserve component 
          general and flag officers (sec. 502)...................   309
        Deadline for receipt by promotion selection boards of 
          correspondence from eligible officers (sec. 503).......   309
        Furnishing to promotion selection boards of adverse 
          information on officers eligible for promotion to 
          certain senior grades (sec. 504).......................   310
        Grades of the Judge Advocates General (sec. 505).........   310
        Temporary extension of authority to reduce minimum length 
          of commissioned service for voluntary retirement as an 
          officer (sec. 506).....................................   310
        Modification of strength in grade limitations applicable 
          to Reserve flag officers in active status (sec. 507)...   311
        Uniform authority for deferment of separation of Reserve 
          general and flag officers for age (sec. 508)...........   311
    Subtitle B--Enlisted Personnel Policy........................   311
        Uniform citizenship or residency requirements for 
          enlistment in the Armed Forces (sec. 521)..............   311
    Subtitle C--Reserve Component Personnel Matters..............   312
        Requirements for physical examinations and medical and 
          dental readiness for members of the Selected Reserve 
          not on active duty (sec. 531)..........................   312
        Repeal of limitation on amount of financial assistance 
          under Reserve Officers' Training Corps scholarship 
          program (sec. 532).....................................   312
        Procedures for suspending financial assistance and 
          subsistence allowance for senior ROTC cadets and 
          midshipmen on the basis of health-related conditions 
          (sec. 533).............................................   312
        Increase in maximum number of Army Reserve and Army 
          National Guard cadets under Reserve Officers' Training 
          Corps (sec. 534).......................................   313
        Modification of educational assistance for Reserves 
          supporting contingency and other operations (sec. 535).   313
        Repeal of limitation on authority to redesignate the 
          Naval Reserve as the Navy Reserve (sec. 536)...........   313
        Performance by reserve component personnel of operational 
          test and evaluation and training relating to new 
          equipment (sec. 537)...................................   314
    Subtitle D--Military Justice and Related Matters.............   314
        Modification of periods of prosecution by courts-martial 
          for murder, rape, and child abuse (sec. 551)...........   314
        Establishment of offense of stalking (sec. 552)..........   315
        Clarification of authority of military legal assistance 
          counsel (sec. 553).....................................   315
        Administrative censures of members of the Armed Forces 
          (sec. 554).............................................   316
        Reports by officers and senior enlisted personnel of 
          matters relating to violations or alleged violations of 
          criminal law (sec. 555)................................   316
    Subtitle E--Military Service Academies.......................   317
        Authority to retain permanent military professors at the 
          Naval Academy after more than 30 years of service (sec. 
          561)...................................................   317
    Subtitle F--Administrative Matters...........................   317
        Clarification of leave accrual for members assigned to a 
          deployable ship or mobile unit or other duty (sec. 571)   317
        Limitation on conversion of military medical and dental 
          billets to civilian positions (sec. 572)...............   318
    Subtitle G--Defense Dependents Education Matters.............   318
        Expansion of authorized enrollment in Department of 
          Defense dependents schools overseas (sec. 581).........   318
        Assistance to local educational agencies with significant 
          enrollment increases in military dependent students due 
          to troop relocations, creation of new units, and 
          realignments under BRAC (sec. 582).....................   318
        Assistance to local educational agencies that benefit 
          dependents of members of the Armed Forces and 
          Department of Defense civilian employees (sec. 583)....   319
        Impact aid for children with severe disabilities (sec. 
          584)...................................................   319
    Subtitle H--Other Matters....................................   319
        Policy and procedures on casualty assistance to survivors 
          of military decedents (sec. 591).......................   319
        Modification and enhancement of mission and authorities 
          of the Naval Postgraduate School (sec. 592)............   320
        Expansion and enhancement of authority to present 
          recognition items for recruitment and retention 
          purposes (sec. 593)....................................   320
        Requirement for regulations on policies and procedures on 
          personal commercial solicitations on Department of 
          Defense installations (sec. 594).......................   321
        Federal assistance for State programs under the National 
          Guard Youth Challenge program (sec. 595)...............   322
        Items of Special Interest................................   322
            Air Force Future Total Force Planning................   322
            Opportunity for general or flag officer review of 
              involuntary administrative separation of victims of 
              sexual assault and protection against reprisals for 
              victim advocates...................................   323
            Premium conversion/flexible spending account options 
              for service members................................   323
            Western Governors University.........................   324
Title VI--Compensation and Other Personnel Benefits..............   325
    Subtitle A--Pay and Allowances...............................   325
        Eligibility for additional pay of permanent military 
          professors at United States Naval Academy with over 36 
          years of service (sec. 601)............................   325
        Enhanced authority for agency contributions for members 
          of the Armed Forces participating in the Thrift Savings 
          Plan (sec. 602)........................................   325
        Permanent authority for supplemental subsistence 
          allowance for low-income members with dependents (sec. 
          603)...................................................   325
        Modification of pay considered as saved pay upon 
          appointment of an enlisted member as an officer (sec. 
          604)...................................................   326
    Subtitle B--Bonuses and Special and Incentive Pays...........   326
        One-year extension of certain bonus and special pay 
          authorities for Reserve forces (sec. 611)..............   326
        One-year extension of certain bonus and special pay 
          authorities for certain health care professionals (sec. 
          612)...................................................   326
        One-year extension of special pay and bonus authorities 
          for nuclear officers (sec. 613)........................   326
        One-year extension of other bonus and special pay 
          authorities (sec. 614).................................   326
        Payment and repayment of assignment incentive pay (sec. 
          615)...................................................   327
        Increase in amount of selective reenlistment bonus for 
          certain senior supervisory nuclear qualified enlisted 
          personnel (sec. 616)...................................   327
        Consolidation and modification of bonuses for affiliation 
          or enlistment in the Selected Reserve (sec. 617).......   327
        Expansion and enhancement of special pay for enlisted 
          members of the Selected Reserve assigned to certain 
          high priority units (sec. 618).........................   328
        Retention incentive bonus for members of the Selected 
          Reserve qualified in a critical military skill or 
          specialty (sec. 619)...................................   328
        Termination of limitation on duration of payment of 
          imminent danger special pay during hospitalization 
          (sec. 620).............................................   328
        Authority for retroactive payment of imminent danger 
          special pay (sec. 621).................................   328
        Authority to pay foreign language proficiency pay to 
          members on active duty as a bonus (sec. 622)...........   329
        Incentive bonus for transfer between the Armed Forces 
          (sec. 623).............................................   329
    Subtitle C--Travel and Transportation Allowances.............   329
        Transportation of family members in connection with the 
          repatriation of service members or civilian employees 
          held captive (sec. 631)................................   329
    Subtitle D--Retired Pay and Survivor Benefits................   330
        Enhancement of death gratuity and life insurance benefits 
          for deaths from combat-related causes or causes 
          incurred in combat operations or areas (sec. 641)......   330
    Subtitle E--Other Matters....................................   330
        Payment of expenses of members of the Armed Forces to 
          obtain professional credentials (sec. 651).............   330
        Pilot program on contributions to Thrift Savings Plan for 
          initial enlistees in the Armed Forces (sec. 652).......   331
Title VII--Health Care...........................................   333
    Subtitle A--Benefits Matters.................................   333
        Clarification of eligibility of Reserve officers for 
          health care pending active duty following issuance of 
          orders to active duty (sec. 701).......................   333
        Limitation on deductible and copayment requirements for 
          nursing home residents under the pharmacy benefits 
          program (sec. 702).....................................   333
        Eligibility of surviving active duty spouses of deceased 
          members for enrollment as dependents in a TRICARE 
          dental plan (sec. 703).................................   333
        Increased period of continued TRICARE Prime coverage of 
          children of members of the uniformed services who die 
          while serving on active duty for a period of more than 
          30 days (sec. 704).....................................   333
    Subtitle B--Planning, Programming, and Management............   334
        TRICARE Standard coordinators in TRICARE regional offices 
          (sec. 711).............................................   334
        Report on delivery of health care benefits through 
          military health care system (sec. 712).................   334
        Comptroller General report on differential payments to 
          children's hospitals for health care for children 
          dependents under TRICARE (sec. 713)....................   335
        Repeal of requirement for Comptroller General reviews of 
          certain Department of Defense-Department of Veterans 
          Affairs projects on sharing of health care resources 
          (sec. 714).............................................   335
        Surveys on TRICARE standard (sec. 715)...................   335
        Modification of health care quality information and 
          technology enhancement report requirements (sec. 716)..   336
        Modification of authorities relating to patient care 
          reporting and management system (sec. 717).............   336
    Subtitle C--Other Matters....................................   336
        Report on adverse health events associated with use of 
          anti-malarial drugs (sec. 731).........................   336
        Pilot projects on early diagnosis and treatment of Post 
          Traumatic Stress Disorder and other mental health 
          conditions (sec. 732)..................................   336
    Items of Special Interest....................................   337
        Active-duty medical extension............................   337
        Comptroller General study of adequacy of TRICARE 
          reimbursement for obstetrical, gynecological, and 
          pediatric services.....................................   338
        Increased awareness for families of TRICARE mental health 
          benefits and the need for appropriate mental health 
          services for families overseas.........................   338
        Specialty health care services referrals and 
          authorizations.........................................   339
Title VIII--Acquisition Policy, Acquisition Management, and 
  Related Matters................................................   341
        Overview.................................................   341
    Subtitle A--Acquisition Policy and Management................   349
        Internal controls for procurements on behalf of the 
          Department of Defense (sec. 801).......................   349
        Contract Support Acquisition Centers (sec. 802)..........   349
        Authority to enter into acquisition and cross-servicing 
          agreements with regional organizations of which the 
          United States is not a member (sec. 803)...............   350
        Requirement for authorization for procurement of major 
          weapon systems as commercial items (sec. 804)..........   351
        Report on service surcharges for purchases made for 
          military departments through other Department of 
          Defense agencies (sec. 805)............................   351
        Review of defense acquisition structures (sec. 806)......   351
    Subtitle B--Defense Industrial Base Matters..................   352
        Clarification of exception from Buy American requirements 
          for procurement of perishable food for establishments 
          outside the United States (sec. 811)...................   352
        Conditional waiver of domestic source or content 
          requirements for certain countries with reciprocal 
          procurement agreements with the United States (sec. 
          812)...................................................   352
        Consistency with United States obligations under trade 
          agreements (sec. 813)..................................   353
        Identification of areas of research and development 
          effort for purposes of the Small Business Innovative 
          Research program (sec. 814)............................   353
    Subtitle C--Defense Contractor Matters.......................   353
        Requirements for defense contractors relating to certain 
          former Department of Defense officials (sec. 821)......   353
        Review of certain contractor ethics matters (sec. 822)...   354
        Contract fraud risk assessment (sec. 823)................   355
    Subtitle D--Defense Acquisition Workforce Matters............   356
        Availability of funds in Acquisition Workforce Training 
          Fund for defense acquisition workforce improvements 
          (sec. 831).............................................   356
        Limitation and reinvestment authority relating to 
          reduction of the defense acquisition and support 
          workforce (sec. 832)...................................   356
        Technical amendments relating to defense acquisition 
          workforce improvements (sec. 833)......................   356
    Subtitle E--Other Matters....................................   357
        Extension of contract goal for small disadvantaged 
          business and certain institutions of higher education 
          (sec. 841).............................................   357
        Codification and modification of limitation on 
          modification of military equipment within five years of 
          retirement or disposal (sec. 842)......................   357
        Clarification of rapid acquisition authority to respond 
          to combat emergencies (sec. 843).......................   357
        Modification of authority to carry out certain prototype 
          projects (sec. 844)....................................   357
        Extension of certain authorities on contracting with 
          employers of persons with disabilities (sec. 845)......   358
  Items of Special Interest......................................   358
        Commercial satellite bandwidth...........................   358
        Defense trade data.......................................   359
        Department of Defense anti-tamper program................   359
        Industrial base issues...................................   360
        Implementation of authority to enter energy savings 
          performance contracts..................................   360
        National technology and industrial base considerations...   361
Title IX--Department of Defense Organization and Management......   363
    Subtitle A--Duties and Functions of Department of Defense 
      Officers and Organizations.................................   363
        Directors of small business programs (sec. 901)..........   363
        Executive agent for acquisition of capabilities to defend 
          the homeland against missiles and other low-altitude 
          aircraft (sec. 902)....................................   363
    Subtitle B--Space Activities.................................   364
        Advisory committee on Department of Defense requirements 
          for space control (Sec. 911)...........................   364
    Subtitle C--Other Matters....................................   365
        Acceptance of gifts and donations for Department of 
          Defense regional centers for security studies (sec. 
          921)...................................................   365
        Operational files of the Defense Intelligence Agency 
          (sec. 922).............................................   365
        Prohibition on implementation of certain orders and 
          guidance on functions and duties of the General Council 
          and the Judge Advocate General of the Air Force (sec. 
          923)...................................................   365
Title X--General Provisions......................................   367
    Subtitle A--Financial Matters................................   367
        Transfer authority (sec. 1001)...........................   367
        Incorporation of classified annex (sec. 1002)............   367
        United States contribution to NATO common-funded budgets 
          in fiscal year 2006 (sec. 1003)........................   367
        Reduction in certain authorizations due to savings 
          relating to lower inflation (sec. 1004)................   367
        Authorization of supplemental appropriations for fiscal 
          year 2005 (sec. 1005)..................................   367
        Increase in fiscal year 2005 transfer authority (sec. 
          1006)..................................................   368
        Monthly disbursement to States of state income tax 
          voluntarily withheld from retired or retained pay (sec. 
          1007)..................................................   368
        Reestablishment of limitation on payment of facilities 
          charges assessed by Department of State (sec. 1008)....   368
    Subtitle B--Naval Vessels and Shipyards......................   368
        Transfer of battleship (sec. 1021).......................   368
        Conveyance of Navy Drydock, Jacksonville, Florida (sec. 
          1022)..................................................   369
    Subtitle C--Counterdrug Matters..............................   369
        Use of unmanned aerial vehicles for United States border 
          reconnaissance (sec. 1031).............................   369
        Use of counterdrug funds for certain counterterrorism 
          operations (sec. 1032).................................   370
        Support for counterdrug activities through bases of 
          operation and training facilities in Afghanistan (sec. 
          1033)..................................................   370
    Subtitle D--Reports and Studies..............................   371
        Modification of frequency of submittal of Joint 
          Warfighting Science and Technology Plan (sec. 1041)....   371
        Review and assessment of Defense Base Act insurance (sec. 
          1042)..................................................   371
        Comptroller General report on corrosion prevention and 
          mitigation programs of the Department of Defense (sec. 
          1043)..................................................   371
    Subtitle E--Technical Amendments.............................   372
        Technical amendments relating to certain provisions of 
          environmental defense laws (sec. 1051).................   372
    Subtitle F--Military Mail Matters............................   372
        Safe delivery of mail in the military mail system (sec. 
          1061)..................................................   372
        Delivery of mail addressed to any service member (sec. 
          1062)..................................................   374
    Subtitle G--Other Matters....................................   374
        Policy on role of military medical and behavioral science 
          personnel in interrogation of detainees (sec. 1071)....   374
        Clarification of authority to issue security regulations 
          and orders under Internal Security Act of 1950 (sec. 
          1072)..................................................   375
    Items of Special Interest....................................   375
        Strategic Seaports.......................................   375
Title XI--Department of Defense Civilian Personnel Policy........   377
        Extension of authority for voluntary separations in 
          reductions in force (sec. 1101)........................   377
        Compensatory time off for certain nonappropriated fund 
          employees (sec. 1102)..................................   377
        Extension of authority to pay severance payments in lump 
          sums (sec. 1103).......................................   377
        Continuation of Federal Employee Health Benefits program 
          eligibility (sec. 1104)................................   377
        Permanent and enhanced authority for Science, 
          Mathematics, and Research for Transformation (SMART) 
          defense education program (sec. 1105)..................   378
    Item of Special Interest.....................................   378
        Comptroller General Report on policy concerning 
          Department of Defense civilians deployed in support of 
          contingency operations.................................   378
Title XII--Matters Relating to Other Nations.....................   381
        Commanders' Emergency Response Program (sec. 1201).......   381
        Enhancement and expansion of authority to provide 
          humanitarian and civic assistance (sec. 1202)..........   381
        Modification of geographic limitation on payment of 
          personnel expenses under bilateral or regional 
          cooperation programs (sec. 1203).......................   382
        Payment of travel expenses of coalition liaison officers 
          (sec. 1204)............................................   382
Title XIII--Cooperative Threat Reduction with States of the 
  Former Soviet Union............................................   383
        Specification of Cooperative Threat Reduction programs 
          and funds (sec. 1301)..................................   383
        Funding allocations (sec. 1302)..........................   383
        Permanent waiver of restrictions on use of funds for 
          threat reduction in states of the former Soviet Union 
          (sec. 1303)............................................   383
        Modification of authority to use Cooperative Threat 
          Reduction funds outside the former Soviet Union (sec. 
          1304)..................................................   383
        Repeal of requirement for annual Comptroller General 
          assessment of annual Department of Defense report on 
          activities and assistance under Cooperative Threat 
          Reduction programs (sec. 1305).........................   384
Title XIV--Authorization for Supplemental Appropriations for 
  Iraq, Afghanistan, and the Global War on Terrorism.............   385
        Overview.................................................   385
        Summary table of authorization...........................   385
        Purpose (sec. 1401)......................................   392
        Designation as emergency amounts (sec. 1402).............   392
        Army procurement (sec. 1403).............................   392
        Navy and Marine Corps procurement (sec. 1404)............   393
        Air Force procurement (sec. 1405)........................   393
        Operation and Maintenance (sec. 1406)....................   393
        Defense Health Program (sec. 1407).......................   393
        Military personnel (sec. 1408)...........................   393
        Iraq Freedom Fund (sec. 1409)............................   393
        Transfer authority (sec. 1410)...........................   394
    Budget Items.................................................   394
        UH-60 Black Hawk helicopters.............................   394
        UH-60 Black Hawk helicopter modifications................   395
        M107 sniper rifle........................................   395
        Rapid fielding initiative................................   395
        Night vision enhancements................................   395
        Lightweight laser designation rangefinder................   396
        Mounted battle command on the move.......................   396
        UH-1Y helicopters........................................   397
        EA-6B ICAP III...........................................   397
        Low band transmitters for EA-6B aircraft.................   397
        CH-53E Helicopter Night Vision Systems...................   398
        Hellfire missiles........................................   398
        Small arms...............................................   398
        Pioneer tactical unmanned aerial vehicle.................   398
        Dual mode laser guided training bombs....................   399
        Small arms and landing party ammunition..................   399
        M80/M62 7.62mm cartridge.................................   399
        .50 caliber link armor piercing cartridge with tracer....   399
        M430 40mm high explosive dual purpose....................   400
        M830A1 120mm high explosive with tracer cartridge........   400
        XM1028 120mm tank cartridge..............................   400
        M72A7 66mm high explosive rocket.........................   400
        MK154 non-electric detonator.............................   400
        M762A1 electronic time fuze..............................   401
        M782 multi-option fuze for artillery.....................   401
        Explosive ordnance disposal equipment allowance for naval 
          coastal warfare units..................................   401
        Amphibious equipment allowance for naval coastal warfare 
          units..................................................   401
        Equipment and trainer for maritime interdiction 
          operations.............................................   402
        High mobility artillery rocket system....................   402
        AN/TPS-59(V3) radar system array rebuild.................   402
        Enhanced position location reporting system..............   403
        Explosive ordnance disposal equipment....................   403
        C-5 aircraft missile warning system upgrade..............   403
        C-17 aircraft infrared countermeasures...................   404
        Mobile approach control system...........................   404
        Body armor...............................................   404
        Expanded maritime interdiction operations training and 
          outfitting.............................................   405
        Small caliber weapons and mounts repair and replacement..   405
        Field medical equipment..................................   405
        M1A1 tank depot maintenance..............................   406
Division B--Military Construction Authorizations.................   407
        Explanation of funding tables............................   407
        Short title (sec. 2001)..................................   429
Title XXI--Army..................................................   431
        Summary..................................................   431
        Authorized Army construction and land acquisition 
          projects (sec. 2101)...................................   431
        Family housing (sec. 2102)...............................   431
        Improvements to military family housing units (sec. 2103)   431
        Authorization of appropriations, Army (sec. 2104)........   431
    Items of Special Interest....................................   432
        Report on permanent facilities for new Army units........   432
Title XXII--Navy.................................................   435
        Summary..................................................   435
        Authorized Navy construction and land acquisition 
          projects (sec. 2201)...................................   435
        Family housing (sec. 2202)...............................   435
        Improvements to military family housing units (sec. 2203)   436
        Authorization of appropriations, Navy (sec. 2204)........   436
        Modification of authority to carry out certain fiscal 
          year 2004 project (sec. 2205)..........................   436
        Modification of authority to carry out certain fiscal 
          year 2005 projects (sec. 2206).........................   436
        Hockmuth Hall, Marine Corps Base Quantico, Virginia......   436
Title XXIII--Air Force...........................................   437
        Summary..................................................   437
        Authorized Air Force construction and land acquisition 
          projects (sec. 2301)...................................   437
        Family housing (sec. 2302)...............................   438
        Improvements to military family housing units (sec. 2303)   438
        Authorization of appropriations, Air Force (sec. 2304)...   438
    Items of Special Interest....................................   438
        Planning and design, Air Force...........................   438
Title XXIV--Defense Agencies.....................................   439
        Summary..................................................   439
        Authorized defense agencies construction and land 
          acquisition projects (sec. 2401).......................   439
        Energy conservation projects (sec. 2402).................   439
        Authorization of appropriations, defense agencies (sec. 
          2403)..................................................   440
Title XXV--North Atlantic Treaty Organization Security Investment 
  Program........................................................   441
        Summary..................................................   441
        Authorized NATO construction and land acquisition 
          projects (sec. 2501)...................................   441
        Authorization of appropriations, NATO (sec. 2502)........   441
Title XXVI--Guard and Reserve Forces Facilities..................   443
        Summary..................................................   443
        Authorized Guard and Reserve construction and land 
          acquisition projects (sec. 2601).......................   443
    Items of Special Interest....................................   443
        Unspecified minor construction, Army National Guard......   443
        Unspecified minor construction, Air National Guard.......   443
        Planning and design, Army National Guard.................   443
Title XXVII--Expiration and Extension of Authorizations..........   445
        Expiration of authorizations and amounts required to be 
          specified by law (sec. 2701)...........................   445
        Extension of authorizations of certain fiscal year 2003 
          projects (sec. 2702)...................................   445
        Extension of authorizations of certain fiscal year 2002 
          projects (sec. 2703)...................................   445
        Effective date (sec. 2704)...............................   445
Title XXVIII--General Provisions.................................   447
    Subtitle A--Military Construction Program and Military Family   447
        Housing Changes..........................................   447
        Increase in thresholds for unspecified minor military 
          construction projects (sec. 2801)......................   447
        Modification of cost variation authority (sec. 2802).....   447
        Department of Defense housing funds (sec. 2803)..........   447
        Temporary authority to use minor military construction 
          authority for construction of child development centers 
          (sec. 2804)............................................   448
        Inapplicability to child development centers of 
          restriction on authority to acquire or construct 
          ancillary supporting facilities (sec. 2805)............   448
        Authority to carry out exchanges of facilities including 
          associated utilities, equipment, and furnishings (sec. 
          2806)..................................................   449
        Increase in number of family housing units in Korea 
          authorized for lease by the Army at maximum amount 
          (sec. 2807)............................................   449
    Subtitle B--Real Property and Facilities Administration......   449
        Authority to lease non-excess property of Department of 
          Defense field activities (sec. 2821)...................   449
        Modified criteria for agreements to limit encroachments 
          and other constraints on military training, testing and 
          operations (sec. 2822).................................   449
    Subtitle C--Land Conveyances.................................   450
        Part I--Army Conveyances.................................   450
        Land conveyance, Helena, Montana (sec. 2841).............   450
        Land conveyance, Army Reserve center, Bothell, Washington 
          (sec. 2842)............................................   450
        Part II--Air Force Conveyances...........................   451
        Acquisition of build-to-lease family housing at Eielson 
          Air Force Base, Alaska (sec. 2861).....................   451
    Subtitle D--Other Matters....................................   451
        Reorganization and technical improvement of codified laws 
          applicable to real property of the Department of 
          Defense (sec. 2881)....................................   451
        Report on application of force protection an anti-
          terrorism standards to leased facilities (sec. 2882)...   451
        Construction at Fort Buchanan, Puerto Rico, for Reserve 
          components (sec. 2883).................................   452
        Authority to use Papago Park Military Reservation, 
          Arizona, for general military purposes (sec. 2884).....   452
        One-year extension of Department of Defense laboratory 
          revitalization program (sec. 2885).....................   452
        Sense of Congress on establishment of Bakers Creek 
          memorial (sec. 2886)...................................   453
    Items of Special Interest....................................   453
        Report on host nation agreements for overseas 
          installations..........................................   453
        Training facilities for military operations in urban 
          terrain................................................   454
        Relocation of Reserve component military units at Lambert 
          International Airport, St. Louis, Missouri.............   454
Division C--Department of Energy National Security Authorizations 
  and Other Authorizations.......................................   457
Title XXXI--Department of Energy National Security Programs......   457
        Overview.................................................   457
    Subtitle A--National Security Programs Authorizations........   478
        National Nuclear Security Administration (sec. 3101).....   478
        Weapons activities.......................................   478
        Directed stockpile work..................................   478
        Campaigns................................................   478
        Readiness in the technical base..........................   478
        Secure transportation asset..............................   479
        Safeguards and security..................................   479
        Facilities and infrastructure............................   479
        Defense Nuclear Nonproliferation Program.................   480
        Naval Reactors...........................................   481
        Office of Administrator..................................   481
        Environmental Projects and Operations....................   481
        Reliable replacement warhead.............................   482
        Robust nuclear earth penetrator..........................   482
        Defense environmental management (sec. 3102).............   483
        Defense site acceleration completion.....................   483
        Defense environmental services...........................   483
        Other defense activities(sec. 3103)......................   484
        Security and Safety Performance Assurance................   484
        Environment, Safety and Health...........................   484
        Office of Legacy Management..............................   484
        Nuclear Energy...........................................   484
        Defense Related Administrative Support...................   485
        Office of Hearings and Appeals...........................   485
        Energy security and assurance............................   485
        Defense nuclear waste disposal (sec. 3104)...............   485
    Subtitle B--Other Matters....................................   485
        Report on compliance with design basis threat (sec. 3105)   485
        Cost estimate for Waste Treatment and Immobilization 
          Plant project, Hanford Site, Richland, Washington (sec. 
          3106)..................................................   486
        Report on international border security programs (sec. 
          3107)..................................................   486
    Items of Special Interest....................................   487
        National security implications of the Rare Isotope 
          Accelerator............................................   487
        Role of the Kansas City Plant............................   488
Title XXXII--Defense Nuclear Facilities Safety Board.............   489
        Authorization (sec. 3201)................................   489
        Title XXXIII--National Defense Stockpile.................   491
        Revisions to required receipt objectives for previously 
          authorized disposals from the National Defense 
          Stockpile (sec. 3301)..................................   491
Legislative Requirements.........................................   491
        Departmental Recommendations.............................   491
        Committee Action.........................................   491
        Congressional Budget Office Cost Estimate................   491
        Regulatory Impact........................................   491
        Changes in Existing Law..................................   491
                                                       Calendar No. 102
109th Congress                                                   Report
                                 SENATE
 1st Session                                                     109-69

======================================================================


AUTHORIZING APPROPRIATIONS FOR FISCAL YEAR 2006 FOR MILITARY ACTIVITIES 
   OF THE DEPARTMENT OF DEFENSE, FOR MILITARY CONSTRUCTION, AND FOR 
DEFENSE ACTIVITIES OF THE DEPARTMENT OF ENERGY, TO PRESCRIBE PERSONNEL 
  STRENGTHS FOR SUCH FISCAL YEAR FOR THE ARMED FORCES, AND FOR OTHER 
                                PURPOSES

                                _______
                                

                  May 17, 2005.--Ordered to be printed

                                _______
                                

    Mr. Warner, from the Committee on Armed Services, submitted the 
                               following

                              R E P O R T

                         [To accompany S. 1042]

    The Committee on Armed Services reports favorably an 
original bill to authorize appropriations during the fiscal 
year 2006 for military activities of the Department of Defense, 
for military construction, and for defense activities of the 
Department of Energy, to prescribe personnel strengths for such 
fiscal year for the Armed Forces, and for other purposes, and 
recommends that the bill do pass.

                          PURPOSE OF THE BILL

    This bill would:
          (1) authorize appropriations for (a) procurement, (b) 
        research, development, test and evaluation, (c) 
        operation and maintenance and the revolving and 
        management funds of the Department of Defense for 
        fiscal year 2006;
          (2) authorize the personnel end strengths for each 
        military active duty component of the Armed Forces for 
        fiscal year 2005;
          (3) authorize the personnel end strengths for the 
        Selected Reserve of each of the Reserve components of 
        the Armed Forces for fiscal year 2006;
          (4) impose certain reporting requirements;
          (5) impose certain limitations with regard to 
        specific procurement and research, development, test 
        and evaluation actions and manpower strengths; provide 
        certain additional legislative authority, and make 
        certain changes to existing law;
          (6) authorize appropriations for military 
        construction programs of the Department of Defense for 
        fiscal year 2006; and
          (7) authorize appropriations for national security 
        programs of the Department of Energy for fiscal year 
        2006.

Committee overview and recommendations

    The past three and one-half years have been a time of great 
successes and enormous challenges for the U.S. Armed Forces. 
The mission of the men and women in uniform to defend the 
nation has never been executed with better skill or dedication 
on the battlefield. The rapid successes of Operation Enduring 
Freedom in Afghanistan and Operation Iraqi Freedom have evolved 
into the hard work of counter-insurgency, reconstruction, and 
stability operations necessary to achieve peace and security in 
these troubled regions. Such important work brings new 
challenges associated with the extraordinarily high operational 
tempo on people and equipment, the technological challenges of 
countering asymmetric threats such as improvised explosive 
devices, the demands of transforming the Armed Forces for 
future threats, and the responsibility of the nation to 
properly care for those who volunteer to serve--Active, 
Reserve, National Guard, and retired--and their families.
    The National Defense Authorization Act for Fiscal Year 2006 
addresses these challenges. This bill is being considered by 
the committee at a time when the United States continues to 
lead a coalition of nations to defeat terrorism globally and to 
defend freedom and democracy. Hundreds of thousands of 
soldiers, sailors, airmen, Marines, and Coast Guardsmen--
Active, Reserve, and National Guard--countless civilians who 
support military, diplomatic, and humanitarian operations have 
served, and more are serving valiantly in Iraq, Afghanistan, 
and other locations to secure hard-won military successes and 
to preserve peace and freedom. Successful elections in Iraq and 
Afghanistan in the past year are testament to the yearning of 
the people of those nations for a voice in their own destiny, 
the willingness of the United States to assist, and the 
professionalism of the brave Americans who volunteer to serve 
in uniform. The U.S. Armed Forces, serving around the world, 
are truly the first line of defense in the security of the U.S. 
homeland.
    The committee is ever mindful of the risks members of the 
U.S. Armed Forces face every day, and of the many sacrifices 
made by the families and communities that support them. Our men 
and women in uniform have been asked to do much in the past 
year, and they have responded in the finest traditions of the 
generations of Americans that preceded them. Tragically, many 
members of the U.S. Armed Forces, as well as a number of 
civilian employees and contractors of the Department of Defense 
have been killed in service to their country, and many more 
have been wounded. On behalf of a grateful nation, the 
committee is committed to ensuring that those who have 
sacrificed so much will not be forgotten and will receive the 
care and support that they deserve. The American people are 
proud of their Armed Forces for what they have accomplished, 
for their selfless sacrifices, and for the manner in which they 
represent American values and the generosity of America.
    While recent successes have proven the value of past 
investment in the people and the equipment of the U.S. Armed 
Forces, there is no room for complacency. A recurring lesson of 
history is that national security threats are ever-changing and 
persistent. Victory and success must be accompanied by 
vigilance. Such vigilance takes the form of readiness of 
today's forces and preparation for future threats to the 
security of the United States, its interests, and its allies.
    Since the beginning of the 109th Congress, the Committee on 
Armed Services of the Senate has conducted 35 hearings and 
received numerous policy and operational briefings on the 
President's budget request for fiscal year 2006 and related 
defense issues. As a result of these deliberations, the 
committee identified seven priorities to guide its work on the 
National Defense Authorization Act for Fiscal Year 2006:
          (1) Provide our men and women in uniform with the 
        resources, training, technology, equipment, and 
        authorities they need to win the global war on 
        terrorism, with particular focus on supporting the 
        conduct of military operations in Iraq and Afghanistan.
          (2) Enhance the ability of the Department of Defense 
        to fulfill its homeland defense responsibilities by 
        providing the resources and authorities necessary for 
        the Department to assist in protecting our nation 
        against all current and anticipated forms of attack.
          (3) Provide the resources and authorities needed to 
        rapidly acquire the full range of force protection 
        capabilities for deployed forces.
          (4) Continue the committee's commitment to improve 
        the quality of life for those who serve--Active, 
        Reserve, National Guard, and retired--and their 
        families; enhance incentives to recruit and retain 
        those who volunteer to serve in the Armed Forces; 
        provide the best possible care and rehabilitation 
        services for those who bear the wounds of combat; and 
        ensure generous support for the survivors of those 
        military personnel killed in defense of our Nation.
          (5) Sustain the readiness of our Armed Forces to 
        conduct military operations against all current and 
        anticipated threats.
          (6) Support the Department's efforts to develop the 
        innovative, forward-looking capabilities necessary to 
        modernize and transform the Armed Forces to 
        successfully counter current and future threats, 
        particularly by enhancing our technology in areas such 
        as unmanned systems, personal protection systems, and 
        measures to counter improvised explosive devices.
          (7) Continue active committee oversight of Department 
        programs and operations, particularly in the areas of 
        acquisition reform and contract management, to ensure 
        proper stewardship of taxpayers' dollars.
    In order to fund these priorities, the committee recommends 
$441.6 billion in budget authority for defense programs for 
fiscal year 2006, an increase of $21.0 billion--or 3.1 percent 
in real terms--above the amount authorized by the Congress for 
fiscal year 2005. The committee's recommendations include: 
$78.2 billion in procurement funding, a $1.5 billion increase 
above the President's budget request; $69.8 billion in funding 
for research, development, test, and evaluation, a $0.4 million 
increase over the requested level; and $109.2 billion for 
military personnel, a $237 million increase over the requested 
level. The committee's recommendation also includes budget 
authority for $50.0 billion in emergency supplemental funding 
in fiscal year 2006 to cover costs of military operations in 
Iraq, Afghanistan, and the global war on terrorism.
    The committee's first priority was to provide the 
Department of Defense with the resources and authorities it 
needs to win the global war on terrorism. In these areas, the 
committee authorizes an increase of almost $600.0 million over 
the budget request. Funding highlights for ground forces 
include: $2.9 billion for new helicopters and helicopter 
modifications, in order to get needed lift and attack 
helicopters to troops in the field and $878.4 million to 
continue procuring the Stryker armored vehicles that are 
proving so valuable in military operations in Iraq. To improve 
the ability of special operations forces, a major component of 
the war on terror, the committee authorized an increase of 
$84.5 million above the President's budget request to 
accelerate the availability of important new capabilities. For 
naval forces, the committee authorized an increase of $336.7 
million to the Shipbuilding and Conversion, Navy, account for a 
total of $9.1 billion to accelerate development of the CVN-78 
aircraft carrier, the LHA(R) amphibious ship, and the second 
DD(X) destroyer of the class, as well as authorizing the four 
ships in the President's budget request. For air forces, the 
committee supported the President's budget request funding 
levels for major aircraft acquisition programs. The committee 
provided for the continued funding of the C-130J aircraft 
multiyear contract and added $37.7 million for the procurement 
of center wing box assemblies for C-130E/H aircraft to improve 
the availability of these important intra-theater lift assets.
    To enhance the Department's homeland defense capabilities, 
the committee added $48.8 million above the President's budget 
request including: an additional $19.8 million to provide 
expanded capabilities for the Weapons of Mass Destruction-Civil 
Support teams that provide the Department support to local and 
regional first responders in every State and territory of the 
United States and an additional $20.0 million for cybersecurity 
research. The committee also authorized an additional $60.0 
million for development and fielding of chemical and biological 
agent detection and protection technologies, that have 
application for both homeland defense and for protection of 
deployed forces. To protect America from missile threats, the 
committee authorized $8.8 billion for ballistic missile 
defense, and reemphasized the need to develop defenses against 
cruise missiles, unmanned aerial vehicles, and other low-
altitude air threats.
    To address the force protection needs of deployed U.S. 
forces, the committee authorized over $1.4 billion for various 
programs to protect personnel, vehicles, and installations, 
including: $344.2 million for up-armored HMMWV's and armor kits 
for other wheeled vehicles, an increase of $120.0 million above 
the requested amount; and an additional $500.0 million for 
research, development, and fielding of technologies to counter 
improvised explosive devices; and added $117.8 million for 
individual body armor. The committee is fully supportive of the 
Department of Defense efforts to improve the force protection 
capabilities available to deployed forces and will work closely 
with the Department of Defense and the military services to 
ensure that all requirements to improve force protection are 
fully funded.
    The committee is committed to continuing to improve the 
quality of life of the men and women in uniform--Active, 
Reserve, National Guard, and retired--and their families. The 
proposed bill would authorize a 3.1 percent across-the-board 
pay raise for all uniformed service personnel. The committee 
has increased the death gratuity payable to survivors of 
military decedents to $100,000 when the death occurs under 
combat-related conditions or in designated combat zones. 
Additionally, the committee authorized an increase in the 
maximum Servicemembers' Group Life Insurance benefit from 
$250,000 to $400,000.
    The committee has authorized full funding for the defense 
health program, and is committed to ensuring that there is no 
erosion in quality health care for all beneficiaries. To this 
end, the committee authorizes an additional $82.2 million to 
ensure the medical readiness of the Reserve components. The 
committee is pleased that the Department has taken steps to 
implement the full range of health care benefits for members of 
Reserve components and their families--both before and after 
deployment--that was authorized in the Ronald W. Reagan 
National Defense Authorization Act for 2005 (Public Law 108-
375).
    An important aspect of quality of life for service members 
are the benefits and services available to family members. The 
committee recognizes the tremendous dedication and sacrifices 
of military family members who share in every way in the 
successes, accomplishments, and hardships of the members of the 
Armed Forces. The committee supports all of the benefits for 
family members contained in the President's budget request and 
authorizes an increase of $70.0 million to further enhance 
support for military families, particularly with regard to 
additional child care services.
    The quality of combat medicine has improved dramatically 
since World War II, the Korean Conflict, and Vietnam. More 
service members now survive the initial wounds of war, and it 
is important that the best possible care and rehabilitative 
services are available for those wounded in combat. The bill 
would authorize various provisions that recognize the evolving 
nature of battlefield medicine, the long-term needs of 
seriously wounded survivors and combat veterans, and the social 
and fiscal support responsibilities of the nation to the 
survivors of those who make the ultimate sacrifice.
    The committee is concerned about the challenges of 
recruiting and retaining volunteers for the Active and Reserve 
component force in a wartime environment. In addition to the 
quality of life improvements already discussed, the committee 
has authorized a variety of incentives and bonuses for Active 
Duty and Reserve component personnel, and will continue to work 
closely with the Department of Defense and the military 
services to ensure that they have the resources and authorities 
they need to recruit and retain a high quality volunteer force.
    The committee recognizes that U.S. ground forces in 
general, and the U.S. Army in particular, have experienced a 
high operational tempo for an extended period. The bill 
recommended by the committee authorizes an increase in active-
duty end strength for the Army of 20,000 personnel in fiscal 
year 2006, for an end strength level of 522,400. The active-
duty end strength for the U.S. Marine Corps is maintained at 
178,000, equal to the end strength authorized for fiscal year 
2005, and 3,000 above the President's budget request. The bill 
supports the end strength levels of the other military services 
for both Active and Reserve components recommended by the 
President, and includes an increase of 85 National Guard 
personnel to man augmentation elements to the Weapons of Mass 
Destruction--Civil Support Teams. The committee supports the 
initiatives by the Army to reorganize their combat formations 
into modular brigade sized units to provide more combat 
formations and a more deployable, flexible force.
    The administration requested $12.1 billion for military 
construction and family housing, including $1.9 billion to 
initiate activities required to carry out the results of the 
2005 Base Realignment and Closure Commission recommendations. 
The committee recommendations include certain adjustments to 
provide prudent investment in overseas locations and increased 
investment in installations in the United States. Among the 
funding adjustments made by the committee are increases of over 
$120.0 million in critical unfunded projects identified by the 
military services, and an additional $187.0 million to fund 
improvements to facilities supporting National Guard and 
reserve forces needs.
    Over the past several years, the committee has worked with 
the Department to ensure that necessary modernization, 
transformation, and long-range research were maintained, even 
in times of high operational tempo. The committee continues its 
support for these transformational activities, authorizing $3.4 
billion for the Army's Future Combat System development; $115.4 
million for tactical UAV's that have proven so valuable in 
recent military operations; and $10.9 billion for defense 
science and technology programs, an increase of over $400.0 
million above the President's budget request, that are the 
foundation for future capabilities. The committee remains 
committed to the goals it set for the Department five years ago 
to have one-third of deep strike aircraft unmanned combat 
systems by the year 2010, and one-third of the ground combat 
vehicles unmanned by the year 2015.
    The committee takes its oversight responsibilities over the 
Department of Defense and defense related activities of the 
Department of Energy very seriously. The bill contains several 
provisions designed to improve management and oversight of 
Department of Defense acquisition programs. These provisions 
would increase the size and quality of the acquisition 
workforce, strengthen defense ethics programs, and reduce the 
risk of contract fraud. In addition, the bill would expand the 
authority of the Secretary of Defense to rapidly acquire 
capabilities to ensure that our deployed troops can quickly get 
needed equipment.
    The committee is particularly concerned about the state of 
the current shipbuilding program. The committee does not 
believe that the current or projected level of funding for 
shipbuilding is adequate to build the numbers of ships that 
will allow the Navy to perform its global missions or to 
sustain an increasingly fragile industrial base. The founding 
fathers were specific in the United States Constitution that it 
is the duty of Congress to ``maintain'' a Navy. They had the 
foresight to realize that a Navy cannot be quickly constituted, 
or reconstituted. That is as true today as it was over two 
centuries ago. If the United States is to remain a global 
power, it must have a global presence. As a maritime nation, 
that presence is often displayed in the form of naval ships, 
not only through ensuring open sea lines of communication and 
trade in international waters, but also through the inherently 
diplomatic mission of visiting foreign ports and ``showing the 
flag''.
    The Navy currently has only 288 ships in the fleet. This is 
the smallest number of ships in the Navy since before the start 
of the Second World War. It is true that these ships possess 
capabilities far greater than those of the past, but global 
presence demands sufficient numbers of ships as well as the 
capabilities possessed by those ships.
    Numerous officials have testified before this committee 
that shipbuilding must become a subject of national debate. 
They have testified that the Department of Defense, the 
Congress, and the shipbuilders need to engage in this debate. 
Low shipbuilding rates have resulted in increased costs for 
ships, as recently documented by the Government Accountability 
Office. These increased costs have translated into even lower 
shipbuilding rates. The committee believes this downward spiral 
needs to be reversed. To accomplish this, the committee 
believes that significantly higher funding is required in the 
shipbuilding budget. That funding must be stable, and some 
degree of flexibility is required in the funding mechanisms for 
shipbuilding to allow for efficient management while visibility 
remains to allow for sufficient oversight.
    The committee believes that the shipbuilding budget must be 
reviewed by the administration as a matter of the utmost 
urgency in the coming year. The committee recommends that the 
President consider establishing a special shipbuilding fund, 
which would be funded apart from the normal give and take 
within the Department of Defense budget process, to dedicate a 
sustained amount of funding for the construction of naval 
ships. The Congressional Budget Office estimates, based on 
testimony before the committee, that the amount of funding 
necessary to maintain a Navy of appropriate size and capability 
to deter any potential adversaries and meet U.S. global 
commitments is at least $15.0 billion a year, and that it needs 
to be sustained at that level for a period of 10 to 15 years.
    America has much to be thankful for in terms of the 
patriotic young Americans who volunteer to serve and who have 
individually and collectively performed with such 
professionalism and distinction in defense of the United 
States. The efforts of the U.S. Armed Forces have been 
remarkable, but they are not without cost--the loss of 
priceless lives that must be honored and remembered; the 
responsibility to care for the survivors and their families; 
the cost of ongoing operations and related refurbishment or 
replacement of heavily used equipment; and the responsibility 
to ensure that those who serve, and their families, receive the 
quality of life and benefits they have earned and deserve. As a 
nation at war against enemies who have attacked our homeland 
and who seek to impose the tyranny of their beliefs on others, 
Americans understand their responsibility to defeat the scourge 
of terrorism at any cost to ensure the security of America.
    The U.S. Armed Forces are the best trained, best equipped, 
and most experienced military force in the world today. To 
ensure the security of America, the excellence of this force 
must be sustained, modernized, and transformed. The committee 
believes that the National Defense Authorization Act for Fiscal 
Year 2006 prudently addresses the defense needs of the United 
States, recognizes the service and sacrifice of our men and 
women in uniform and their families, provides the resources 
needed to win the global war on terrorism, and makes the 
necessary investments to provide for the security of the nation 
in the future.

Explanation of funding summary

    The administration's budget request for the national 
defense function of the federal budget for fiscal year 2006 was 
$435.9 billion. According to the estimating procedures used by 
the Congressional Budget Office (CBO), the budget implication 
of the amount requested was $441.6 billion. The funding summary 
table that follows uses the budget authority as calculated by 
CBO.
    The following table summarizes both the direct 
authorizations and equivalent budget authority levels for 
fiscal year 2006 defense programs. The columns relating to the 
authorization request do not include funding for the following 
items: Concurrent Receipt Accrual Payments to the Military 
Retirement Fund; military construction authorizations provided 
in prior years; and other portions of the defense budget that 
are not within the jurisdiction of this committee, or that do 
not require an annual authorization.
    Funding for all programs in the national defense function 
is reflected in the columns related to the budget authority 
request and the total budget authority implication of the 
authorizations in this report.
    The committee recommends funding for national defense 
programs totaling $441.6 billion in budget authority. This 
funding level is consistent with the budget authority level of 
$441.6 billion for the national defense function recommended in 
the Concurrent Resolution on the Budget for Fiscal Year 2006 
(H. Con. Res. 95), which was adopted on April 28, 2005.


            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

Explanation of tables
    The following tables provide the program-level detailed 
guidance for the funding authorized in title I of this Act. The 
tables also display the funding requested by the administration 
in the fiscal year 2006 budget request for procurement 
programs, and indicate those programs for which the committee 
either increased or decreased the requested amounts. As in the 
past, the administration may not exceed the authorized amounts 
(as set forth in the tables or, if unchanged from the 
administration request, as set forth in budget justification 
documents of the Department of Defense), without a 
reprogramming action in accordance with established procedures. 
Unless noted in this report, funding changes to the budget 
request are made without prejudice.



                       Subtitle B--Army Programs



  Multiyear procurement authority for AH-64D Apache attack helicopter 
                    block II conversions (sec. 111)

    The committee recommends a provision that would provide 
authority to the Secretary of the Army to enter into a 
multiyear contract for AH-64 Apache attack helicopter Block II 
Conversions. The committee commends the Army for its commitment 
to Army aviation modernization by reinvesting the resources 
made available by the Comanche termination.
    This provision provides authorization for the third 
multiyear procurement for the conversion of AH-64A Apache 
helicopters to the ``D'' model Apache. Multiyear one delivered 
232 AH-64D helicopters from fiscal years 1996 through 2002 and 
a second multiyear will complete delivery of an additional 269 
AH-64D helicopters in fiscal year 2006. The committee 
understands that the Army will convert an additional 96 AH-64A 
helicopters with the multiyear procurement authority granted by 
this provision. Previous multiyear procurement contracts have 
yielded significant savings and the committee anticipates that 
a third multiyear will yield savings as well.

Multiyear procurement authority for modernized target acquisition 
        designation/pilot night vision sensors for AH-64D Apache attack 
        helicopters (sec. 112)
    The committee recommends a provision that would provide 
authority to the Secretary of the Army to enter into a 
multiyear procurement contract for the Modernized Target 
Acquisition Designation Sight/Pilot Night Vision Sensor (MTADS) 
for Apache helicopters. MTADS will be incorporated into and 
integrated into the program to convert AH-64A Apaches to the 
``D'' model Apache. MTADS provides a Second Generation Forward 
(SGF) Looking Infrared (FLIR) sensor suite for the Army's fleet 
of Apache aircraft. The SGF system enhances the Apache pilot's 
ability to engage targets during night operations and adverse 
weather conditions, improves reliability, and reduces 
operations and support costs.

Multiyear procurement authority for utility helicopters (sec. 113)
    The committee recommends a provision that would provide 
authority to the Secretary of the Army to enter into a 
multiyear contract for the procurement of UH-60M Black Hawk 
utility helicopters and, acting as the executive agent for the 
Department of the Navy, enter into a multiyear contract for the 
procurement of MH-60S Sea Hawk utility helicopters.
    The budget request included $505.7 million for the 
procurement of 41 UH-60M Black Hawk helicopters; $24.7 million 
for the advanced procurement of UH-60 Black Hawk helicopters; 
$453.4 million for the procurement of 26 MH-60S Sea Hawk 
helicopters; and $125.7 million for the advanced procurement of 
MH-60S Sea Hawk helicopters under a multiyear procurement 
program.
    The committee notes that based on a comparison of estimated 
prices for five single year contracts with the estimated price 
for one 5 year multiyear for the UH-60M airframe over fiscal 
years 2007-2011, there is a savings of approximately $304.2 
million. A similar analysis of the MH-60S airframe shows an 
estimated savings of $94.6 million. The committee also notes 
that the current UH-60M and MH-60S budget requests are based on 
a follow-on multiyear contract beginning in fiscal year 2007.
    The committee believes that the Congress should provide the 
Secretary of the Army with the authority to obtain these 
savings, and encourages the Secretary of Defense to review 
other current and planned helicopter programs for similar 
efficiencies through joint service multiyear procurements.

                       Missile Procurement, Army

Advanced precision kill weapon system
    The budget request included $34.1 million in Missile 
Procurement, Army (MPA), for the procurement of 600 Advanced 
Precision Kill Weapon Systems (APKWS). The committee 
understands the APKWS program was restructured on April 4, 
2005, because the contractor was under-performing in the areas 
of cost, schedule, and performance; and APKWS would not have 
met the defined user requirement. The committee recommends a 
decrease of $5.0 million in MPA to procure 135 fewer missiles, 
for a total authorization of $29.1 million.

                      Weapons and Tracked Vehicles

Lightweight 155 millimeter Howitzer
    The budget request included $46.8 million in Weapons and 
Tracked Combat Vehicles, Army (WTCV), for the Lightweight 155 
millimeter (LW-155) towed Howitzer, a joint U.S. Marine Corps 
(USMC)/Army program. In the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375), 
the Congress authorized a multiyear procurement contract as the 
program entered into a low rate initial production phase of the 
program. The Army requires additional LW-155s for the 7th 
Stryker Brigade Combat Team. This item is on the Chief of Staff 
of the Army's unfunded priorities list. The committee 
recommends an increase of $32.4 million in WTCV for additional 
LW-155s, for a total authorization of $79.2 million in WTCV.

                            Army Ammunition

M1028 120mm tank cartridge
    The budget request included $8.3 million in Procurement of 
Ammunition, Army (PAA), for the M1028 120mm tank cartridge. The 
committee notes the utility of the M1028 in improving the M1A1 
Main Battle Tank's urban warfare capability and improving tank 
survivability against massed assaulting infantry with hand held 
anti-tank and automatic weapons. The M1028 is currently funded 
to achieve 75 percent of the total war reserve requirement. The 
committee recommends an increase of $5.5 million in PAA for the 
M1028 to excel the acquisition of the M1028mm tank cartridge.

Modern demolition initiator
    The budget request included no funding in Procurement 
Ammunition, Army (PAA), for the modern demolition initiator 
(MDI). The committee notes that MDIs are non-electric 
detonators used to initiate munitions and explosives. The 
benefits of MDI include safety in the modern electronic battle 
space, high reliability, interoperability with existing fielded 
demolition systems, and lethality. The committee recommends an 
increase of $1.9 million in PAA for MDIs.

Rapid wall breaching kit
    The budget request included no funding in Procurement 
Ammunition, Army (PAA), for the rapid wall breaching kit. The 
committee notes that rapid wall breaching kits are one-man 
portable devices capable of creating man-sized holes in triple 
brick masonry or double reinforced concrete structural walls. 
The committee recommends an increase of $3.0 million in PAA for 
rapid wall breaching kits.

Ammunition peculiar equipment outloading modules
    The budget request included no funding for ammunition 
peculiar equipment outloading modules. The committee notes that 
a modern robotic-controlled strategic ammunition outloading 
module could be capable of supporting current readiness 
requirements while increasing ammunition plant safety, 
security, and capacity. Army officials report that a design 
exists for modernizing current outloading capabilities with 
robotic-controlled technologies at ammunition plants. The 
committee recommends an increase of $8.0 million in PAA for 
ammunition peculiar equipment outloading modules.

Provision of industrial facilities
    The budget request included $33.5 million in Procurement of 
Ammunition, Army (PAA), for the provision of industrial 
facilities, including the establishment, augmentation, and 
modernization of ammunition production capabilities. The 
committee notes that this represents an 18 percent reduction in 
this account from the funding level requested for fiscal year 
2005. Additional funding for the provision of industrial 
facilities has been identified on the Chief of Staff of the 
Army unfunded priorities list.
    The committee recommends an increase of $82.4 million in 
PAA for the provision of industrial facilities, as follows: 
$40.0 million to reduce the risk of production loss in acid 
concentration and nitrocellulose; $22.4 million for small-
caliber ammunition production facilities modernization; $10.0 
million to continue facility modernization initiated in fiscal 
year 2003 with environmentally sound insensitive-munitions (IM) 
manufacturing and precision load, assemble, and pack capability 
required to produce munitions with current and future IM type 
mix-cast-cure, melt-load and press-able explosive formulations; 
and $10.0 million to modernize HMX/RDX nitrate explosive 
formulation capabilities for use in U.S. precision guided 
weapons production.

Conventional ammunition demilitarization
    The budget request included $102.9 million in Procurement 
of Ammunition, Army (PAA), for conventional ammunition 
demilitarization, including $19.5 million for missile 
demilitarization. The committee is concerned with the 
resourcing of the Army's strategic plan for conventional 
ammunition disposal, including the resourcing of missile 
recycling. The committee notes that the missile recycling 
center (MRC) energetics processing module (EPM) is an important 
component of the Army's missile demilitarization plan. The 
committee recommends an increase of $10.0 million in PAA for 
the MRC EPM.
    The disposal of excess conventional ammunition is an 
integral phase of the life-cycle management of conventional 
ammunition. The Army 2004 report, ``Strategic Plan: 
Demilitarization FY2005-2011,'' outlines a series of goals and 
milestones to reduce the excess conventional ammunition 
stockpile to manageable levels in future years: 100,000 short 
tons for ammunition and 30,000 missiles. In fiscal year 2005, 
the excess conventional ammunition stockpile includes at least 
431,700 short tons of conventional ammunition and 77,566 
missiles.
    The committee notes that current projections indicate that 
the excess conventional ammunition disposal stockpile and the 
excess missile inventory are expected to continue to increase 
and exceed 546,000 short tons and 125,000 missiles, 
respectively, by fiscal year 2011. In addition, Army officials 
note that current projections for the growth rate of the excess 
stockpile do not include pending decisions related to the 
disposal of munitions in the War Reserve Stockpile, Allies-
Korea and disposal of conventional mines. Therefore, the 
projection of the excess conventional ammunition stockpile in 
2011 may be significantly understated.
    The committee believes that failing to identify accurately 
the magnitude of the excess conventional ammunition stockpile 
and failing to reduce the excess conventional ammunition 
stockpile will present problems, including impeding access to 
needed ammunition in support of ongoing contingency operations, 
and increased risk and costs related to the security and 
sustainment of excess conventional ammunition. Therefore, the 
committee directs the Secretary of the Army to review and 
update the strategic plan for disposal of excess conventional 
ammunition and to report to the committee any changes that 
result from that review. In addition, the committee urges the 
Department of Defense Comptroller to fund disposal of 
conventional ammunition demilitarization to attain manageable 
stockpile levels outlined in the Army's strategic plan to the 
maximum extent possible.

                        Other Procurement, Army

Movement tracking system
    The budget request included $207.1 million in Other 
Procurement, Army (OPA), for the Family of Heavy Tactical 
Vehicles, including $27.6 million for the Movement Tracking 
System (MTS). MTS provides commanders with the capability to 
communicate with and track the location of vehicles. The 
committee understands that the MTS has provided valuable 
communications and vehicle location information during 
Operation Iraqi Freedom. The committee notes that the Chief of 
Staff of the Army has identified additional funding for MTS 
devices for the 7th Stryker Brigade Combat Team on his unfunded 
priorities list. The committee recommends an increase of $1.6 
million in OPA for MTS, for a total authorization of $208.7 
million.

Night vision devices
    The budget request included $164.7 million in Other 
Procurement, Army (OPA), for night vision devices, including 
$76.9 million for the procurement of AN/PVS-14 night vision 
devices and $20.0 million for the procurement of enhanced night 
vision goggles (ENVG). These devices increase situational 
awareness, mobility, and lethality during low-light and 
nighttime operations. Additionally, the ENVG consists of a 
state-of-the-art, enhanced 3rd Generation image intensifier 
sensor, an uncooled long-wave infrared camera, and a miniature 
display to provide high resolution fused imagery to the 
individual soldier. Additional funding for these items is on 
the Chief of Staff of the Army's unfunded priorities list. The 
committee recommends an increase of $20.2 million in OPA, for 
additional night vision devices.

Modular causeway system
    The budget request included $2.0 million in Other 
Procurement, Army (OPA), for causeway systems. The modular 
causeway system (MCS) is an assemblage of interoperable and 
interchangeable components, which constitute the Army's primary 
means of augmenting existing port facilities or conducting 
joint logistics over the shore (JLOTS). JLOTS, in particular, 
will be significant as the concept of sea-basing matures. The 
committee recommends an increase of $15.0 million in OPA for 
the MCS.

                       Subtitle C--Navy Programs



Prohibition on acquisition of next generation destroyer (DD(X)) through 
        a single naval shipyard (sec. 121)
    The committee recommends a provision that would prohibit a 
winner take all acquisition strategy for the next generation 
destroyer (DD(X)) program. The provision would define a winner 
take all acquisition strategy, in relation to this program, as 
one which would procure, including design and construction, 
these destroyers through a single shipyard.
    In the Future Years Defense Program (FYDP) presented with 
the fiscal year 2005 budget request, construction of more than 
one DD(X) a year was to have started in fiscal year 2007. The 
FYDP presented with the fiscal year 2006 budget request 
indicates that only one DD(X) a year will be procured in each 
year from fiscal years 2007 through 2011. This reduced 
procurement profile represents at least the third significant 
change for the DD(X) program in recent years. Additionally, the 
Secretary of the Navy has recently delivered an interim long-
range plan for the construction of Naval vessels to Congress. 
This plan outlines a range of needed ships, with eight to 12 
DD(X) destroyers establishing the range for that ship.
    The committee is aware that the Navy has proposed a change 
in acquisition strategy for DD(X) due to the reduced 
procurement profile. The proposed change is to conduct a 
winner-take-all competition for the DD(X)-class of ships 
between the two shipyards which build surface combatants.
    The committee is concerned with the sharp decline projected 
in the number of ships in the Navy, the low number of major 
combatants scheduled for construction, and the negative 
consequences for the U. S. shipbuilding industrial base that 
could result if a winner-take-all strategy for DD(X) were 
pursued. The committee believes that there is an unacceptable 
risk if the shipbuilding industry sizes itself to where only 
one surface combatant a year is being built. The committee 
urges the Navy to plan to build more than one major surface 
combatant ship a year as soon as possible. If fewer DD(X) 
destroyers are required, then acceleration of the follow-on 
surface combatant, the CG(X), should be pursued.
    Elsewhere in this report, the committee recommends 
additional funding for advance procurement of the second DD(X) 
destroyer at the second shipyard.
Split funding authorization for CVN-78 aircraft carrier (sec. 122)
    The committee recommends a provision that would authorize 
the Secretary of the Navy to enter into a contract to fund the 
detail design and construction of the aircraft carrier 
designated CVN-78 with the Shipbuilding & Conversion, Navy 
(SCN) account, with funding split over fiscal years 2007, 2008, 
2009, and 2010.
    The budget request includes $564.9 million in SCN for the 
carrier replacement program, specifically for advance 
procurement of the CVN-78. The CVN-78 will be a new class of 
aircraft carrier, incorporating numerous new technologies. This 
budget request reflects the second one-year slip in the program 
in recent years. This slip would cause a delay in the delivery 
of the CVN-78 until fiscal year 2015, with the ship it is 
scheduled to replace, the USS Enterprise (CVN-65), scheduled to 
be decommissioned in fiscal year 2013. Additionally, this slip 
translates into a cost growth for CVN-78 of approximately 
$400.0 million, according to the Navy.
    The committee is concerned about this delay. The committee 
has been told there is no technical reason for the delay, but 
that the delay was driven by budget considerations. Both the 
Secretary of the Navy and the Chief of Naval operations 
testified that large capital assets such as aircraft carriers 
are difficult to fund under the traditional full-funding 
policy, and that more flexible methods of funding must be found 
and used. The program of record for CVN-78 has the detail 
design and construction funding split between two years. This 
provision would authorize that same funding to be split over 
four years, thereby allowing needed funding flexibility. The 
committee directs the Navy to provide an updated funding 
profile, fully funding the remaining costs of the ship from 
fiscal years 2007 through 2010, with delivery of the fiscal 
year 2007 budget request.
    The committee is aware that the program requires additional 
funding in fiscal year 2006 to avoid this one-year delay. 
Therefore, the committee recommends an increase of $86.7 
million in SCN for CVN-78.

LHA replacement (LHA(R)) ship (sec. 123)
    The committee recommends a provision that would authorize 
to be appropriated $325.4 million for design, advance 
procurement, and advance construction of the first LHA 
replacement (LHA(R)) ship, and would allow the Secretary of the 
Navy to enter into a contract for this purpose in fiscal year 
2006.
    The provision would also authorize the Secretary of the 
Navy to enter into a contract for the detail design and 
construction of the LHA(R) in fiscal year 2007, with funds 
authorized in fiscal years 2007 and 2008, subject to the 
availability of appropriations for LHA(R) in each of those 
fiscal years.
    The budget request included $150.4 million in Shipbuilding 
& Conversion, Navy (SCN), for the design, advance procurement, 
and advance construction of the LHA(R) amphibious assault ship. 
The LHA(R)-class will be the functional replacement for the 
LHA-1 class of amphibious assault ships, which is nearing the 
end of its service life. The Chief of Naval Operations has 
included additional funding for LHA(R) as the number one 
priority on his unfunded priorities list. The committee 
understands that additional funding would accelerate delivery 
of and reduce the acquisition cost of this ship, and recommends 
an increase of $175.0 million in SCN for the LHA(R).

Refueling and complex overhaul of the USS ``Carl Vinson'' (sec. 124)
    The committee recommends a provision that would authorize 
the Secretary of the Navy to enter into a contract in fiscal 
year 2006 for the nuclear refueling and complex overhaul of the 
USS Carl Vinson (CVN-70). The provision would authorize 
$1,493.6 million to be appropriated as the first increment in 
the incremental funding planned for this refueling. The 
provision would also stipulate that any obligation of the 
United States to make a payment under the contract after fiscal 
year 2006 is subject to the availability of appropriations for 
that purpose.

                             Navy Aircraft

C-40A procurement
    The budget request included $10.3 million in Aircraft 
Procurement, Navy (APN), for C-40A site activation, but 
included no funding for the procurement of C-40A aircraft.
    The C-40A replaces aging C-9 aircraft and provides improved 
time critical logistics support. Procurement of the C-40A is 
included on the Chief of Naval Operations' unfunded priorities 
list. The committee recommends an increase of $77.9 million in 
APN for the procurement of one C-40A aircraft.

Advanced targeting pods
    The budget request included $422.4 million in Aircraft 
Procurement, Navy (APN), for modifications to the F/A-18 
aircraft, but included no funding for LITENING advanced 
targeting pods (ATPs) for the F/A-18D aircraft. The LITENING 
ATP will supplement and replace the current targeting pod with 
a new system that provides increased combat effectiveness 
across several mission areas. The procurement of LITENING ATP 
is included on the Commandant of the Marine Corps' unfunded 
priorities list. The committee recommends an increase of $40.0 
million in APN for the procurement of 24 LITENING ATPs for the 
F/A-18D aircraft.

Night targeting system upgrade
    The budget request included $307.5 million in Aircraft 
Procurement, Navy (APN), for UH-1Y utility and AH-1Z attack 
helicopters, but no funding for the procurement of night 
targeting system (NTS) upgrades. The current AH-1W NTS uses 
Generation I Forward Looking Infrared (FLIR) and requires an 
upgrade to the Generation III FLIR, which would significantly 
improve the ability of the AH-1W helicopter to fight at night 
and during low visibility conditions as well as improve 
reliability by replacing obsolete parts. The committee notes 
that the Commandant of the Marine Corps has identified 
additional funding for NTS upgrades on his unfunded priorities 
list. The committee recommends an increase of $7.8 million in 
APN for the NTS upgrades, for a total authorization of $315.3 
million.

H-53 modifications
    The budget request included $14.9 million in Aircraft 
Procurement, Navy (APN), but no funding for engine air particle 
separators (EAPS) barrier filters nor for crash-attenuating 
crew chief seats for the H-53 series helicopter.
    The current H-53 EAPS suffers heavy wear and tear from 
preflight and maintenance requirements. The Navy is conducting 
a trade study to develop conceptual barrier filter alternatives 
for the H-53 series of helicopters. The committee notes that 
the results of this effort will require non-recurring 
engineering to incorporate a new EAPS barrier filter type 
separator into the H-53 series helicopters. The committee 
understands that new EAPS will result in lower maintenance 
costs and improved engine performance.
    The committee also understands that the procurement and 
installation of crash-attenuating seats for both pilots in the 
H-53 series helicopter is ongoing. However, the crew chief is 
not provided with a crash-attenuating seat. The committee notes 
the lack of crashworthy seats for crew chiefs exposes them to 
higher risk of injury or death in the event of a hard landing 
or crash. The Department of the Navy has programmed for the 
procurement of 222 crashworthy seats in fiscal year 2011. The 
committee believes that this safety issue needs to be addressed 
immediately.
    The committee notes that the Commandant of the Marine Corps 
has identified additional funding for H-53 EAPS barrier filters 
and crash-attenuation crew chief seats on his unfunded 
priorities list. The committee recommends an increase of $5.0 
million for non-recurring engineering for EAPS barrier filters 
and $6.5 million to procure 222 crash-attenuating crew chief 
seats, for a total authorization of $26.4 million in APN.

SH-60 armed helicopter

    The budget request included $12.4 million in Aircraft 
Procurement, Navy (APN), for modifications to the SH-60 
helicopter, including $7.6 million for kits to arm the 
helicopter. Navy helicopters, stationed aboard aircraft 
carriers and surface combatants, are being used to support 
operations in the global war on terror. These operations 
include armed reconnaissance, and additional funding for kits 
is included on the Chief of Naval Operations' unfunded 
priorities list. The committee recommends an increase of $7.6 
million in APN for the procurement of additional armed 
helicopter kits.

EP-3 aircraft electronic attack

    The budget request included $55.1 million in Aircraft 
Procurement, Navy (APN), for modifications to the EP-3 
aircraft. The EP-3 is a land-based, long-range aircraft, with 
electronic intercept devices for detection and tracking of 
enemy radars and communications. The EP-3 aircraft has been 
designated a high demand, low-density asset by the Joint Chiefs 
of Staff. Additional funding for USQ-146 communications 
electronic attack systems for the EP-3 aircraft has been 
requested on the Chief of Naval Operations' unfunded priorities 
list. The committee recommends an increase of $13.0 million in 
APN for the procurement of USQ-146 electronic attack systems 
for the EP-3 aircraft.

P-3 aircraft modifications

    The budget request included $163.3 million in Aircraft 
Procurement, Navy (APN), for modifications to the P-3 aircraft, 
including $11.9 million for the procurement and installation of 
anti-surface warfare improvement (AIP) program kits. AIP 
greatly expands the P-3 aircraft's capabilities to operate in 
the littorals with the addition of advanced technology sensors, 
expanded communications, upgraded weapon delivery capabilities, 
and improved operator situational awareness. The committee 
recommends an increase of $7.0 million in APN for the 
procurement and installation of additional AIP kits for the P-3 
aircraft.

                              Navy Weapons


AIM-9X captive air training missile

    The budget request included $37.9 million in Weapons 
Procurement, Navy (WPN), for the procurement of 165 AIM-9X 
Sidewinder short range air-to-air missiles, including $7.2 
million for the procurement of 44 AIM-9X captive air training 
missiles (CATM). The Sidewinder is the Navy and Marine Corps' 
primary short range air-to-air weapon, and the advanced 
capabilities of AIM-9X require a high level of aircrew 
proficiency. There is currently an inventory shortfall of AIM-
9X CATMs to support three F/A-18E/F squadrons, and the 
procurement of additional AIM-9X CATMs is included on the Chief 
of Naval Operations' and the Commandant of the Marine Corps' 
unfunded priorities lists. The committee recommends an increase 
of $7.6 million in WPN for the procurement of 46 additional 
AIM-9X CATMs.

Weapons industrial facilities

    The budget request included $4.1 million in Weapons 
Procurement, Navy (WPN), for various activities at government-
owned, contractor-operated weapons industrial facilities, but 
included no funding for facilities restoration at the Navy 
Industrial Reserve Ordnance Plant, Allegany Ballistics 
Laboratory (ABL). Some of these facilities have exceeded their 
useful life and deteriorated beyond safe operations. The 
committee recommends an increase of $20.0 million in WPN for 
the facilities restoration program at ABL.

Gun mount modifications

    The budget request included $84.1 million in Weapons 
Procurement, Navy (WPN), for modifications to gun mounts on 
naval ships, and included $1.3 million for modifications to 
upgrade MK45 gun mounts to the Mod 4 configuration on guided 
missile destroyers. The MK45 gun is also used on Navy cruisers, 
and the Navy has a program to modernize its cruisers using this 
gun. The committee recommends an increase of $14.0 million in 
WPN for upgrading cruiser MK45 gun mounts to the Mod 4 
configuration.

                    Navy and Marine Corps Ammunition


M795 155mm high explosive cartridge

    The budget request included $5.2 million in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the M795 155mm 
high-explosive cartridge. Additional funding for the M795 155mm 
high-explosive cartridge has been identified on the Commandant 
of the Marine Corps unfunded priorities list. The committee 
recommends an increase of $15.0 million in PANMC for the M795.

Time fuze blasting igniter

    The budget request included $770,000 in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the time fuze 
blasting igniter. The budget request will achieve 40 percent of 
the approved acquisition object (AAO) for this item. Additional 
funding for the time fuze blasting igniter has been identified 
on the Commandant of the Marine Corps unfunded priorities list. 
The committee recommends an increase of $5.0 million in PANMC 
for the time fuze blasting igniter.

                              Shipbuilding


DD(X) destroyer program

    The budget request included $716.0 million in Shipbuilding 
& Conversion, Navy (SCN), for advance procurement for the DD(X) 
destroyer program. Of this amount, $666.0 million is for 
advance procurement of the lead ship of the class, and $50.0 
million is for advance procurement of the second ship of the 
class. These advance procurement funds are required to procure 
material to maintain ship construction schedules and for 
transition to detail design efforts.
    In fiscal year 2005, $84.4 million was authorized and 
appropriated for the design and advance procurement 
requirements associated with construction of the second ship at 
an alternative second source shipyard. The committee recommends 
an increase of $50.0 million in SCN to be used only for advance 
procurement of the second ship of the DD(X) class at the second 
shipyard.

DDG-51 Arleigh Burke-class destroyer modernization program

    The budget request included no funding for the DDG-51 
Arleigh Burke-class destroyer modernization program. Section 
121 of the Ronald W. Reagan National Defense Authorization Act 
for Fiscal Year 2005 (Public Law 108-375) required the Navy to 
submit a report on this modernization program, and authorized 
and appropriated $50.0 million to initiate this program in 
fiscal year 2005. The report was delivered in March 2005, and 
shows the potential for significant reductions in the size of 
the crew through technology insertion. The plan outlined in the 
report is to implement the modernization initiatives on the 
last two ships of the class, DDG-111 and DDG-112, which will be 
delivered in fiscal year 2010, before beginning a backfit on 
the oldest ships of the class starting with DDG-51. The 
financial analysis shows that a life-cycle savings of $712.0 
million could be achieved if this plan is implemented, 
primarily due to reduced crew size, while also achieving the 
additional benefits of: (1) improved situational awareness; (2) 
increased survivability; (3) improved maintainability; (4) 
increased commonality; (5) eliminated obsolete parts; (6) 
improved training; and (7) improved quality of life.
    The committee believes this program requires continued 
funding in the near-term for the modernization effort, and 
recommends an increase of $25.0 million in Shipbuilding & 
Conversion, Navy, for the DDG-51 modernization program.

                        Other Procurement, Navy


High performance metal fiber brushes for shipboard motors and 
        generators

    The budget request included $19.9 million in Other 
Procurement, Navy (OPN), for submarine support equipment, but 
included no funding for high performance metal brushes for 
shipboard motors and generators. Metal fiber brushes have 
demonstrated the capability to significantly enhance 
performance and reduce maintenance costs for motors and 
generators. The committee recommends an increase of $4.5 
million in OPN for the continuing procurement of high 
performance metal fiber brushes.

Items less than $5.0 million

    The budget request included $134.0 million in Other 
Procurement, Navy (OPN), for shipboard equipment items of less 
than $5.0 million.
    The budget request included no funding for the advanced 
control monitoring system. This system will update older, 
analog style shipboard controls with modern software-based 
applications and sensors for enhanced control and observation 
of critical shipboard systems. The committee recommends an 
increase of $4.0 million in OPN for the advanced control 
monitoring system.
    The budget request included no funding for shaft 
lubricating pumps on the Landing Ship Dock 41/49 (LSD-41/49) 
class of amphibious ships. The current mechanical shaft seal 
pumps on these vessels are requiring maintenance at increasing 
costs. The committee is aware that the Navy could realize a 
return on investment within three years through the 
installation of canned lube pumps on three older LSD 41/49-
class ships and on a submarine tender. The committee recommends 
an increase of $4.0 million in OPN for the procurement and 
installation of canned lube pumps to replace the mechanical 
shaft seal pumps.
    The budget request included no funding for modifications to 
aircraft carrier elevators. The existing aircraft elevator 
stanchion and platform lockbar systems are subject to 
corrosion, binding, and component failure. Replacement of these 
components with modern control systems would enhance aircraft 
carrier operations while reducing maintenance and manpower 
costs. The committee recommends an increase of $5.7 million in 
OPN for a variety of aircraft carrier elevator modifications.
    The committee recommends a total increase of $13.7 million 
in OPN for shipboard equipment items of less than $5.0 million, 
for a total authorization of $147.7 million.

Littoral combat ship mission modules

    The budget request included $36.8 million in Other 
Procurement, Navy (OPN), for mission modules for the littoral 
combat ship (LCS). These mission modules will enable the LCS to 
operate in the littorals by providing capability in the mine 
warfare, small boat neutralization, and anti-submarine warfare 
missions.
    The budget request did not include funding for a spare 
engine for the first ship of the class, which will use the MT30 
marine gas turbine engine. If there were a main engine casualty 
after delivery of the ship, much valuable time would be lost in 
the testing and validation of its concept of operations without 
a spare engine. The committee recommends an increase of $8.6 
million in OPN for a spare MT30 marine gas turbine engine for 
the LCS.

Submarine acoustic modernization installation

    The budget request included $226.9 million in Other 
Procurement, Navy (OPN), for submarine acoustics, which funds 
all future upgrades of acoustic-rapid commercial, off-the-shelf 
insertion (A-RCI) equipment. A-RCI is a multi-phased, 
evolutionary development effort to maintain acoustic 
superiority for in-service submarines. Additional funding for 
installation of A-RCI has been requested on the Chief of Naval 
Operations' unfunded priorities list. The committee recommends 
an increase of $5.0 million in OPN for submarine acoustic 
modernization A-RCI installation.

Surface sonar dome window

    The budget request included $14.0 million in Other 
Procurement, Navy (OPN), for undersea warfare support 
equipment, including $1.1 million for surface ship sonar domes 
and windows. The Navy has been developing a new design sonar 
dome based on a newer composite material. The first sonar dome 
using these materials failed under the extreme pressure test. 
The causes for this failure have been identified and the design 
modified. The committee recommends an increase of $5.0 million 
in OPN for the surface sonar dome window.

Surface electronic warfare improvement program

    The budget request included $25.1 million in Other 
Procurement, Navy (OPN), for the procurement of AN/SLQ-32 
electronic warfare equipment for surface ships. The AN/SLQ-32 
consists of five configurations and performs the missions of 
early detection, analyses, threat warning, and protection from 
anti-ship missiles. The committee recommends an increase of 
$5.0 million in OPN to accelerate procurement of AN/SLQ-32 
equipment.

Weapons range support equipment

    The budget request included $46.6 million in Other 
Procurement, Navy (OPN) for the procurement of equipment to 
implement the Navy fleet training range instrumentation 
training plan, but included no funding for the continued 
procurement of the multi-spectral threat emitter (MTES) or the 
joint threat emitter (JTE).
    The proliferation of lethal surface to air missiles and 
anti-aircraft artillery presents a clear threat to the 
warfighter. Threat emitters replicate the electronic signatures 
of these threats on training ranges. The committee recommends 
an increase of $6.0 million for the procurement of MTES and an 
increase of $6.0 million for the procurement of JTE, a total 
increase of $12.0 million in OPN for weapons range support 
equipment.

Maritime domain awareness

    The budget request included $6.1 million in Other 
Procurement, Navy (OPN), for the naval fires control system. 
The committee is aware of the direction from the Secretary of 
Defense to prioritize efforts to develop a capability that 
would provide maritime domain awareness similar to that 
provided for air traffic awareness. The committee believes that 
integration of existing systems could be used to aid in 
achieving this capability. The integration of the distributed 
common ground system for the Navy with joint harbor operation 
centers would assist in providing fused data to establish a 
common operating picture of coastal areas for both the Navy and 
the Coast Guard. The committee recommends an increase of $5.0 
million in OPN to prototype this capability for evaluation of 
its contribution to establishing maritime domain awareness.

Rolling airframe missile launcher system

    The budget request included $17.5 million in Other 
Procurement, Navy (OPN), for the rolling airframe missile (RAM) 
launcher system, but included no funding for the continued 
integration of the RAM with the close-in weapons system, known 
as SeaRAM. The Navy had originally planned to equip its guided 
missile frigates with this capability to provide a layered 
self-defense for the ships. The committee does not agree with 
the decision to discontinue the procurement of SeaRAM for the 
frigates unless there is another more capable system to provide 
defense. The committee recommends an increase of $18.0 million 
in OPN to procure two SeaRAM systems for installation on guided 
missile frigates to evaluate its effectiveness.

NULKA anti-ship missile decoy

    The budget request included $40.4 million in Other 
Procurement, Navy (OPN), for the procurement of 12 NULKA anti-
ship missile decoy systems and 31 NULKA decoys. The NULKA decoy 
is a quick reaction offboard electronic countermeasure to 
defeat advanced radar homing anti-ship missiles.
    The committee is aware that the minimum sustaining rate for 
the production of NULKA decoys is 67 decoys a year, and that 
the procurement of additional NULKA decoys is requested on the 
Chief of Naval Operations' unfunded priorities list. Raising 
the procurement rate to the minimum sustaining rate would lower 
the unit cost from $450,000 to less than $250,000. The 
committee recommends an increase of $9.0 million in OPN for the 
procurement of 36 additional NULKA decoys.

Submarine training device modifications

    The budget request included $31.8 million in Other 
Procurement, Navy (OPN), for submarine training device 
modifications, but included no funding for logic-based software 
to expand the distribution and capability of performance 
support systems (PSSs). The Navy is beginning to use these 
electronic PSSs to enhance training opportunities for deployed 
forces. The committee recommends an increase of $4.0 million in 
OPN for integration of these PSSs across the fast attack 
submarine community.

Command support equipment

    The budget request included $60.8 million in Other 
Procurement, Navy (OPN), for command support equipment, but 
included no funding to procure man overboard indicator (MOBI) 
systems or to improve the electronic military personnel records 
system (EMPRS).
    The MOBI system provides devices, which are worn by sailors 
aboard ship, to allow rescue forces to respond quickly in the 
event a sailor falls overboard. The committee is aware that the 
Naval Safety Center has recommended to the Naval Sea Systems 
Command that MOBI systems should be deployed throughout the 
fleet. In the Ronald W. Reagan National Defense Authorization 
Act for Fiscal Year 2005, the Senate report accompanying S. 
2400 (S. Rept. 108-260) directed the Secretary of the Navy to 
submit a report to the congressional defense committees, with 
the submission of the fiscal year 2006 budget request, on plans 
to implement the Safety Center's recommendations. The committee 
has not yet received the report. The committee believes MOBI 
will not only save lives, but will also reduce the time spent 
searching for sailors who have fallen overboard. The committee 
recommends an increase of $9.1 million in OPN to procure 
additional MOBI systems.
    EMPRS is the Navy's personnel records management system 
that contains information on more than 3.8 million personnel. 
The committee recommends an increase of $6.5 million in OPN for 
EMPRS to improve data storage and enhance information 
technologies, for a total increase in OPN of $15.6 million for 
command support equipment.

Navy medical automated information technology insertion

    The budget request included $8.8 million in Other 
Procurement, Navy (OPN), for medical support equipment, which 
provides funding for the Fleet Hospital program whose mission 
is to provide comprehensive medical support to the fleet and 
fleet Marine forces engaged in combat operations. Automated 
information technology can be used to track medical materiel, 
surgical instruments, biomedical support equipment, and common 
support equipment for expeditionary medical forces consisting 
of deployable hospitals and hospital ships. The committee 
recommends an increase of $3.0 million in OPN for Navy medical 
automated information technology insertion.

                        Marine Corps Procurement


Modification kits

    The budget request included no funding in Procurement, 
Marine Corps (PMC), for weapons and weapon systems modification 
kits, but no funding for modification kits for the MK-19 
grenade machine gun. Since the fielding of the MK-19, various 
enhancements have been developed that greatly improve the 
operational reliability, readiness, safety, and maintainability 
of the MK-19 weapon system. The committee recommends an 
increase of $2.0 million in PMC for the procurement of MK-19 
modification kits, for a total authorization of $2.0 million in 
PMC.

Rapid deploying interoperable shelter systems

    The budget request included $952,000 in Procurement, Marine 
Corps (PMC), for unit operations centers, but no funding for 
the rapid deploying interoperable shelter system (RDISS). The 
core infrastructure component of the Marine Expeditionary Force 
(MEF) command operations center (COC) is the RDISS together 
with associated power generation and environmental control 
equipment. The RDISS provides a rapidly deployable, easily set 
up, and dependable shelter for the conduct of command and 
control in a high intensity combat environment. A MEF urgent 
universal needs statement requested the development of a 
mobile, rapidly deployable, highly integrated MEF and division-
level COC. The Marine Corps has procured COCs in fiscal year 
2005, but requires additional funding to procure and integrate 
RDISS in support of the COC. The committee recommends an 
increase of $4.8 million in PMC, for the RDISS and integration 
of RDISS into the COC, for a total authorization of $5.8 
million.

United Stated Marine Corps continuity of operations

    The budget request included $17.8 million in Procurement, 
Marine Corps (PMC), for communication/electronics 
infrastructure support, including $3.4 million for the United 
States Marine Corps (USMC) Continuity of Operations (COOP) 
Program. The USMC COOP provides an additional layer of defense 
for Marine Corps' tactical computer networks. The committee 
notes that the Commandant of the Marine Corps has identified 
additional funding for the USMC COOP on his unfunded priorities 
list. The committee believes that the Marine Corps must improve 
its ability to protect Marine Corps' networks by increasing 
computer network storage, improving network security, and 
reducing the number of legacy networks. The committee 
recommends an increase of $2.2 million in PMC, for the USMC 
COOP, for a total authorization of $20.2 million in PMC.

                     Subtitle D--Air Force Programs



Multiyear procurement authority for C-17 aircraft (sec. 131)

    The committee recommends a provision that would authorize 
the Secretary of the Air Force to exercise the option on the 
existing C-17 multiyear procurement contract for the 
procurement of up to 42 additional C-17 aircraft, in accordance 
with section 2306b of title 10, United States Code. The 
existing multiyear procurement was authorized by section 131 of 
the National Defense Authorization Act for Fiscal Year 2002 
(Public Law 107-107). The provision would require the Secretary 
of Defense, prior to the exercise of the contract option, to 
certify to the congressional defense committees that the 
procurement of these additional C-17 aircraft is consistent 
with the results of the Mobility Capabilities Study to be 
completed in fiscal year 2005.

Prohibition on retirement of KC-135E aircraft (sec. 132)

    The committee recommends a provision that would prohibit 
the Secretary of the Air Force from retiring any KC-135E aerial 
refueling aircraft in fiscal year 2006.
    Section 134(b) of the National Defense Authorization Act 
for Fiscal Year 2004 (Public Law 108-136) required that an 
analysis of alternatives (AOA) on meeting aerial refueling 
requirements be conducted and delivered to the congressional 
defense committees by March 1, 2004. In a letter to the 
congressional defense committees on February 24, 2004, the 
Acting Under Secretary of Defense for Acquisition, Technology 
and Logistics provided the guidance that will be used for the 
conduct of the AOA. On February 27, 2004, the Secretary of the 
Air Force sent a letter to the committee stating the AOA would 
be completed in fiscal year 2005.
    The budget request included a plan to retire 49 KC-135Es in 
fiscal year 2006. The committee believes it is premature to 
retire any KC-135Es until the AOA is completed and the 
Secretary of Defense has presented to the congressional defense 
committees a comprehensive plan for the recapitalization and 
modernization of the aerial refueling fleet.

Use of Tanker Replacement Transfer Fund for modernization of aerial 
        refueling tankers (sec. 133)

    The committee recommends a provision that would allow the 
use of funds in the Tanker Replacement Transfer Fund, which was 
established by section 8132 of the Department of Defense 
Appropriations Act for Fiscal Year 2005 (Public Law 108-287), 
for the modernization of existing aerial refueling tankers, if 
the modernization of such tankers is consistent with the 
results of the analysis of alternatives for meeting the aerial 
refueling requirements of the Air Force, as required by section 
134(b) of the National Defense Authorization Act for Fiscal 
Year 2004 (Public Law 108-136). The use of funds under this 
provision would be in addition to the use of funds for a tanker 
acquisition program. Activities that contribute to the 
modernization of existing aerial refueling tankers could 
include a variety of modifications and upgrades to KC-135E/R 
aircraft that are consistent with the analysis of alternatives 
for meeting the aerial refueling requirements of the Air Force.

Prohibition on retirement of F-117 aircraft (sec. 134)

    The committee recommends a provision that would prohibit 
the Air Force from retiring any F-117 aircraft in fiscal year 
2006. The committee budget request included a proposal to 
retire 10 F-117 aircraft. The F-117 remains the only stealthy 
tactical aircraft capable of delivering certain precision 
munitions currently in the inventory. The committee believes it 
is premature to retire any F-117 aircraft at this time.

Prohibition on retirement of C-130E/H tactical airlift aircraft (sec. 
        135)

    The committee recommends a provision that would prohibit 
the Secretary of the Air Force from retiring any C-130E/H 
tactical airlift aircraft in fiscal year 2006.
    The committee believes it would be premature to retire any 
C-130 aircraft until the results of the Mobility Capabilities 
Study, which is to be completed in fiscal year 2005, are known 
and intra-theater airlift requirements are determined.

Procurement of C-130J/KC-130J aircraft after fiscal year 2005 (sec. 
        136)

    The committee recommends a provision that would require the 
Secretary of the Air Force to procure any C-130J/KC-135 
aircraft after fiscal year 2005 through a negotiated contract 
under Part 15 of the Federal Acquisition Regulation (FAR), 
relating to the acquisition of items under a negotiated 
contract (48 C.F.R. 15.000 et seq.), including a multiyear 
contract for such aircraft continuing in force from a fiscal 
year before fiscal year 2006.
    The Air Force designated the C-130J aircraft as a 
commercial item in 1995 on the basis that the aircraft was a 
modification of commercial C-130 aircraft configurations that 
had been certified by the Federal Aviation Administration. 
Section 4(12) of the Office of Federal Procurement Policy Act 
(41 U.S.C. 403) defines commercial items to include modified 
commercial items, as long as the modifications are either 
``minor modifications'' or modifications of a type customarily 
available in the commercial marketplace. The Air Force 
designated the C-130J as a commercial item and determined that 
there would be a 95 percent commonality between the C-130J and 
the civilian commercial version of the plane and modifications 
from the commercial version would be minor.
    However, the Department of Defense Inspector General has 
reported that the C-130J included features not customarily 
available in the commercial marketplace, such as aerial 
delivery (cargo and paratroop), defensive systems, secure voice 
communication, station keeping, night vision, imaging, and 
satellite communication. The Director, Operational Test and 
Evaluation has found that the combat delivery variant of the C-
130J has more than 70 percent new development and system 
integration relative to commercial versions of the C-130.
    The committee believes that the Air Force original decision 
to procure the C-130J as a commercial item unnecessarily 
limited cost oversight by the government by denying the 
government access to certified cost or pricing data from the 
manufacturer. The committee believes that an agreement to 
change the terms and conditions of the existing C-130J contract 
from a commercial item contract to a standard defense contract 
is necessary to provide the government the oversight it needs 
to procure aircraft that are operationally effective and 
operationally suitable at a fair price.
    The committee notes that the Air Force has announced its 
intent to renegotiate this contract to a FAR Part 15 contract. 
This provision is intended to support that decision.

Aircraft for performance of aeromedical evacuations (sec. 137)

    The committee recommends a provision that would require the 
Secretary of the Air Force to procure aircraft for the purpose 
of providing aeromedical evacuation services to severely 
injured or ill personnel. The provision would require the 
aircraft to be capable of non-stop transatlantic flights, and 
be equipped with current aeromedical support facilities. The 
provision would ensure that the dedicated mission of the 
aircraft is aeromedical evacuation. The provision would 
authorize $200.0 million to be appropriated for the procurement 
of up to two fully-equipped aircraft to perform the aeromedical 
evacuation mission.
    Previously, the Air Force had dedicated C-9A aircraft for 
the aeromedical evacuation mission. The Air Force directed that 
all of these C-9A dedicated aeromedical evacuation aircraft be 
retired by 2004, and the last C-9A aeromedical evacuation 
mission in the continental United States was flown on August 
11, 2003.
    The committee has been informed by wounded military 
personnel that the use of organic cargo aircraft for medical 
evacuation has resulted in unnecessary suffering. The committee 
believes the large cargo and aerial refueling aircraft 
currently being used for aeromedical evacuation are not suited 
for the support of severely wounded or severely ill patients.
    The committee has been informed by health care providers 
that they have had difficulty controlling pain experienced by 
wounded patients during the course of extended flights. Many 
victims of multiple injuries require highly sophisticated 
electronic monitoring equipment, some of which is incompatible 
with the electrical power source of the transport aircraft.
    Increasingly the practice for victims of blast injury is to 
delay closure of major wounds until the patient arrives at a 
medical facility capable of providing tertiary care. Poor 
lighting, rapid changes in temperature, and differentials in 
atmospheric pressures are also of concern, particularly for 
those patients with traumatic head wounds. The committee 
believes that all of these concerns could be addressed by 
acquisition of dedicated aeromedical evacuation aircraft.
    The committee recommends an increase of $200.0 million in 
Aircraft Procurement, Air Force, for the procurement of up to 
two dedicated aeromedical evacuation aircraft.

                           Air Force Aircraft


F-15E procurement

    The budget request included no funding in Aircraft 
Procurement, Air Force (APAF), for the procurement of F-15E 
attrition reserve aircraft. The F-15E is a dual-role fighter 
designed to perform air-to-air and air-to-ground missions. The 
procurement of F-15E attrition reserve aircraft is included on 
the Air Force Chief of Staff's unfunded priorities list. The 
committee recommends an increase of $65.0 million in APAF for 
the procurement of F-15E aircraft.

C-130J/KC-130 multiyear procurement restoration

    The budget request included $99.0 million in Aircraft 
Procurement, Air Force (APAF), but included no funding to 
procure C-130J tactical airlift aircraft and no funding for 
advance procurement. The budget request included $1,092.7 
million in Aircraft Procurement, Navy (APN), for the 
procurement of 12 KC-130J aerial refueling aircraft, but 
included no funding for advance procurement. The budget request 
would terminate the C-130J multiyear procurement (MYP) contract 
that was authorized by the Bob Stump National Defense 
Authorization Act for Fiscal Year 2003 (Public Law 107-314). In 
a May 10, 2005, letter to the Chairman of the Committee on 
Armed Services of the Senate, the Secretary of Defense 
indicated his intent to reverse his decision to terminate the 
C-130J multiyear contract because of contract termination 
costs. Additionally, the Secretary informed the Chairman in 
this letter that a budget amendment for fiscal year 2006 would 
not be required to accomplish this goal.
    The committee does not agree that a budget amendment is not 
necessary. Since there is no new information from the 
Department of Defense on the funding profile and numbers of 
aircraft by variant for C-130Js in fiscal year 2006, the 
committee exercised its discretion concerning the proper mix of 
these aircraft. The committee recommends an increase of $645.0 
million in APAF for the procurement of nine C-130J tactical 
airlift aircraft, and $90.0 million in APAF for C-130J advance 
procurement. The committee also recommends a decrease of $781.0 
million in APN, leaving sufficient funds for the procurement of 
four KC-130J aerial refueling aircraft, and an increase of 
$46.0 million in APN for KC-130J advance procurement.

B-1 digital communication improvements

    The budget request included $13.5 million in Aircraft 
Procurement, Air Force (APAF), for post production support to 
the B-1 aircraft and $132.5 million in PE 64226F for B-1 
capability improvements, but included no funding for the 
procurement and installation of the B-1 digital communication 
improvement. The B-1 digital communication improvement program 
preserves critical combat capability by providing Demand 
Assigned Multiple Access (DAMA)-compliant satellite data access 
for responsive in-flight mission and target changes. The 
existing temporary Combat Track II (CTII) radios are not DAMA 
compliant and will lose satellite access after fiscal year 
2007. Procurement of the B-1 digital communication improvement 
is included on the Air Force Chief of Staff's unfunded 
priorities list. The committee recommends an increase of $18.0 
million in APAF and an increase of $8.0 million in PE 64226F 
for the procurement and installation of the B-1 digital 
communication improvement.

C-5 aircraft avionics modernization program

    The budget request included $71.1 million in Aircraft 
Procurement, Air Force (APAF), for modifications to the C-5 
aircraft, including $69.3 million to continue the C-5 avionics 
modernization program (AMP). AMP upgrades the C-5 cockpit, 
installs communications, navigation and safety/air traffic 
management equipment, and replaces unreliable cockpit avionics. 
To accelerate this program, the committee recommends an 
increase of $20.0 million in APAF for C-5 AMP.

C-130E/H aircraft modifications

    The budget request included $185.7 million in Aircraft 
Procurement, Air Force (APAF), for the procurement of aircraft 
modifications to the C-130, including $50.6 million for the 
procurement of Avionics Modernization Program (AMP) 
modifications and $7.1 million for the procurement and 
installation of one C-130 Center Wing Box (CWB) with expired 
service life.
    The AMP provides full Global Air Traffic Management and 
Navigation Safety compliant aircraft. The committee recommends 
an increase of $12.0 million in APAF for the procurement of AMP 
for C-130E/H aircraft.
    The CWB replacement increases the service life of the C-
130. The Air Force has recently removed from service 30 C-130Es 
with CWBs whose service life has expired. Procurement of CWBs 
is included on the Air Force Chief of Staff's unfunded 
priorities list. The committee recommends an increase of $37.7 
million in APAF for the procurement of CWBs for C-130E/H 
aircraft, for a total authorization of $235.4 million in APAF 
for the C-130E/H aircraft.

KC-135 global air traffic management

    The budget request included $88.8 million in Aircraft 
Procurement, Air Force (APAF), for modifications to the C-135 
and KC-135 aircraft, including $77.7 million for the 
procurement of Global Air Traffic Management (GATM) 
modifications. The GATM modification includes avionics 
upgrades, wiring interfaces, and associated preparation 
activities for added communications, navigation, and 
surveillance equipment needed for operations in oceanic 
airspace where there are reduced spacing requirements between 
aircraft. To accelerate this program, the committee recommends 
an increase of $10.0 million in APAF for the procurement of 
additional KC-135 GATM modifications.

E-8C joint surveillance and target attack radar system reengining

    The budget request included $15.5 million in Aircraft 
Procurement, Air Force (APAF), for the procurement of aircraft 
modifications to the E-8C aircraft, but included no funding for 
reengining the E-8C aircraft.
    The reengining of the E-8C would provide significant 
improvements in reliability and performance over current TF33-
102C engines and also reduce total life cycle costs. The 
reengining of the E-8C aircraft is included on the Air Force 
Chief of Staff's unfunded priorities list. The committee 
recommends an increase of $44.4 million in APAF for the 
procurement of non-recurring engineering activities required to 
initiate a reengining program to install JT8D engines on the E-
8C aircraft.

Advanced targeting pods

    The budget request included $644.2 million in Aircraft 
Procurement, Air Force (APAF), for the procurement of aircraft 
support equipment and facilities, including $40.8 million for 
the procurement of advanced targeting pods (ATPs). The ATP will 
supplement and replace the current targeting pod with a new 
system that provides increased combat effectiveness across 
several mission areas. The LITENING ATP is currently in use by 
the Active Duty, Air National Guard, and Air Force Reserve 
Command. The Combat Air Force is over 100 ATPs short of the 
requirement to equip legacy aircraft, and the procurement of 
additional ATPs is included on the Chief of Staff of the Air 
Force's unfunded priorities list. The committee recommends an 
increase of $96.6 million in APAF for the procurement of 66 
additional LITENING ATPs.

                           Air Force Missiles


Minuteman III mods for propulsion replacement program

    The budget request included $672.6 million in PE 11213F, 
Missile Procurement Air Force (MPAF), of which $289.7 million 
is for the Intercontinental Ballistic Missile propulsion 
replacement program. The committee notes that the Department of 
Defense's diversion of funds away from this program will result 
in procurement of fewer motors in fiscal year 2006, resulting 
in an inefficient rate of production with consequent cost 
increases. The committee further notes that this program is 
contained on the Chief of Staff of the Air Force's unfunded 
priorities list.
    The committee recommends an increase of $10.0 million in PE 
11213F for MPAF to be used for the propulsion replacement 
program for the Minuteman III ICBM force.

                      Other Air Force Procurement


Halvorsen loader

    The budget request included $16.3 million in Other 
Procurement, Air Force (OPAF), for the Halvorsen loader, a 
state- of-the-art handler for off/on loading aircraft cargo. 
Currently, 44 Halvorsen loaders are supporting Operation Iraqi 
Freedom, seven Halvorsen loaders are supporting Operation 
Enduring Freedom, and eight were used to support tsunami relief 
operations. Additional funding for Halvorsen loaders is on the 
Chief Staff of the Air Force's unfunded priorities list. The 
committee recommends an increase of $8.2 million in OPAF for 
the procurement of 12 Halvorsen loaders, for a total 
authorization of $24.5 million.
    The committee understands that the Future Years Defense 
Program calls for buying a total of 385 Halvorsen loaders. 
However, the Air Force could ultimately buy as many as 512 
Halvorsen loaders, if the Air Force were to decide to replace 
all of the existing 25,000 pound class (25K) loaders in the 
force. Given that the Halvorsen loader is more capable and more 
easily maintained than the 25K loaders it is replacing, the 
committee encourages the Air Force to review its procurement 
plans. If the Air Force were to decide to buy more Halvorsen 
loaders, the committee believes that the Air Force should 
investigate whether there might be significant savings 
achievable if the Air Force were to acquire those loaders under 
a multiyear procurement contract.

Distributed common ground system components

    The budget request included $1.5 million in Other 
Procurement, Air Force (OPAF), for Intelligence Communications 
Equipment, but did not include funding to continue fielding of 
the jumbo digital transit cased system (J-DTS) components of 
the distributed common ground system (DCGS).
    J-DTS is a component of the DCGS architecture that enables 
users in remote locations to receive imagery and other 
intelligence information from a variety of intelligence 
collection platforms, including Global Hawk, Predator, and U-2 
aircraft. In some cases, remote users are able to actually 
control the sensors on the intelligence platform. Fielding of 
J-DTS to additional Air Force intelligence squadrons will 
enable multiple units to participate in real-world intelligence 
operations on a daily basis; provide better training to more 
Air Force intelligence specialists; and reduce the high 
operational tempo on the limited number of intelligence 
squadrons currently equipped to receive intelligence 
information in remote locations.
    The committee recommends an increase of $12.5 million in 
OPAF, for Intelligence Communications Equipment, to field 
additional J-DTS equipment to Air Force intelligence squadrons.

Joint threat emitters

    The budget request included $36.1 million in Other 
Procurement, Air Force (OPAF), for combat training ranges, 
including $17.5 million for joint threat emitters. The joint 
threat emitter (JTE) system simulates electronic combat signals 
and is designed to provide realistic electronic warfare 
training for pilots and aircrew members. The JTE replaces 
older, maintenance intensive threat emitters, and is 
specifically designed to allow for ``spiral'' upgrades to 
ensure future threats are quickly integrated into the system. 
JTE has proven to be an effective training tool to prepare 
pilots for combat. Additional funding for JTE is included on 
the Air Force Chief of Staff's unfunded priorities list. The 
committee recommends an increase of $4.5 million in OPAF for 
the accelerated procurement of joint threat emitters.

                       Subtitle E--Other Matters



Advanced SEAL Delivery System (sec. 151)

    The committee recommends a provision that would limit the 
availability of funds for advance procurement of a pressure 
hull and other long lead items associated with building the 
second Advanced SEAL Delivery System (ASDS) until 30 days after 
the Secretary of Defense certifies to the congressional defense 
committees that the Under Secretary of Defense for Acquisition, 
Technology and Logistics has made a favorable Milestone C 
decision regarding the ASDS program.
    The ASDS is a miniature, combatant submarine being 
developed for the infiltration and exfiltration of naval 
special operations forces. Unlike current underwater delivery 
systems, ASDS would transport Navy SEALs over longer distances 
in a dry environment, enhancing the operators' ability to 
accomplish their mission once ashore.
    Significant technical and cost growth problems have plagued 
this program since its inception. For the past six years, the 
committee has expressed increasing concern about the cost of 
this system and the significant performance shortfalls the 
program has exhibited. At the urging of the committee, the 
Department of Defense designated ASDS as an Acquisition 
Category I program in 2003, and is exercising milestone 
decision authority to assess the future of this program.
    The first ASDS underwent an operational evaluation 
(OPEVAL), starting in April 2003, to determine the 
effectiveness and suitability of the boat for use in combat. 
The OPEVAL results were promising, but revealed significant 
performance shortfalls. As a result, the National Defense 
Authorization Act for Fiscal Year 2004 (Public Law 108-136) 
prohibited expenditure of advance procurement funds for items 
associated with the second ASDS until after a favorable 
Milestone C decision, and a detailed report from the Secretary 
of Defense. In the Fall of 2004, the Commander, U.S. Special 
Operations Command, in consultation with the Assistant 
Secretary of the Navy for Research, Development and 
Acquisition, conducted a major program review; requested a 
delay in the Milestone C review and related advance procurement 
until the first quarter of fiscal year 2006; indicated his 
desire and the willingness of the prime contractor to 
restructure the program to a firm, fixed-price contract for 
future boats; and established the requirement for an additional 
period of operational test and evaluation in the fourth quarter 
of fiscal year 2005, prior to a Milestone C decision.
    The ASDS program has achieved some progress over the past 
year in addressing remaining technical challenges associated 
with development. Most acoustical challenges have been 
addressed and a plan has been developed to address the 
remaining issues. Problems associated with the current battery 
technology have been mitigated, and a new, more promising 
lithium-ion battery technology will be installed on the boat in 
May 2005. Structural and maintenance challenges associated with 
the tail assembly of the ASDS appear to have been resolved with 
the redesign of the tail section.
    The requirement for an ASDS remains critical for our 
special operations forces. The Under Secretary of Defense for 
Acquisition, Technology, and Logistics will determine in the 
Milestone C review if the current ASDS program meets 
operational requirements, whether the ASDS program should 
continue, and what contractual adjustments are warranted.
    While encouraged by recent progress, the committee remains 
concerned about the technical challenges and cost growth that 
have occurred in the ASDS program. The Milestone C decision has 
been postponed until December 2005, following a final 
operational test and evaluation. The committee opposes the 
commitment of fiscal year 2006 advance procurement funding 
prior to a favorable Milestone C decision and a comprehensive 
report from the Secretary of Defense. The committee reiterates 
the requirement for the Secretary of Defense to notify the 
congressional defense committees of the results of the 
Milestone C decision on ASDS, and to include in his report: a 
detailed summary of the program's revised cost estimate and 
future cost estimates, as validated by the Cost Analysis and 
Improvement Group; a detailed acquisition strategy; and a plan 
to demonstrate realistic solutions to key technical and 
performance problems identified during testing and operations.
    The provision would also direct the Comptroller General to 
review the adequacy of the final operational test and 
evaluation plan developed by the Navy, review the results of 
the operational test, and update the March 2003 Comptroller 
General Report (GAO-03-442), ``Defense Acquisition, Advanced 
SEAL Delivery System Program Needs Increased Oversight.''
    The committee directs that no amount of the $71.7 million 
authorized to be appropriated for advance procurement of ASDS 
in fiscal year 2006 be obligated or expended until after a 
favorable Milestone C decision, as certified to the 
congressional defense committees in the required Secretary 
report.

                         Defense-wide Programs


MH-47 infrared engine exhaust suppressor

    The budget request included $129.7 million in Procurement, 
Defense-wide (PDW), for Special Operations Forces (SOF), Rotary 
Wing Upgrades, but did not include funding to complete fielding 
of infrared engine exhaust suppressor sets for U.S. Army MH-
47E/D (IES-47) special operations aircraft.
    The MH-47 Chinook aircraft has proven to be a critical 
workhorse in the global war on terrorism, providing heavy lift, 
even at high operating altitudes. While a durable system, the 
MH-47 is vulnerable to heat-seeking weapons. Installation of 
infrared exhaust suppressors significantly reduces this 
vulnerability. U.S. Special Operations Command (SOCOM) has a 
requirement for 61 IES-47 sets to equip all MH-47E/D aircraft, 
plus four spares for a total of 65 sets. Currently, 45 sets are 
scheduled for procurement, leaving 20 sets yet to be funded. 
Fully equipping the MH-47E/D fleet is the highest priority of 
the Commander, SOCOM, for additional funding.
    The committee recommends an increase of $7.7 million in 
PDW, for SOF, Rotary Wing Upgrades, to complete fielding of the 
20 remaining IES-47 sets.

Time delayed firing device/sympathetic detonators

    The budget request included $11.2 million in Procurement, 
Defense-wide (PDW), for Special Operations Forces (SOF), 
Ordnance Acquisition, including $1.4 million for time delayed 
firing device/sympathetic detonators (TDFD/SYDET), but did not 
include enough funding to fully replenish the inventory, 
particularly with regard to having sufficient munitions to 
train new operators.
    TDFD/SYDET is a time delayed detonating device that greatly 
enhances the capabilities and efficiency of SOF operators 
conducting offensive military operations. Sufficient supplies 
are required to ensure operators have the best possible 
detonators for actual missions and that the detonator is 
available to instructors training new SOF operators. TDFD/SYDET 
is one of the highest priorities of the Commander, U.S. Special 
Operations Command, for additional funding.
    The committee recommends an increase of $11.0 million in 
PDW, for SOF Ordnance Acquisition, to procure an additional 
5,500 TDFD/SYDET units for SOF operators and trainers.

Multi-band inter/intra team radio

    The budget request included $69.9 million in Procurement, 
Defense-wide (PDW), for Special Operations Forces (SOF), 
Communications Equipment and Electronics, but did not include 
funding to complete fielding of the multi-band inter/intra team 
radio (MBITR).
    The MBITR AN/PRC-148 radio system provides SOF teams the 
ability to communicate over a variety of frequencies utilizing 
a single handheld radio with embedded security. The MBITR 
replaces numerous fixed frequency radios and related batteries 
and replacement parts, resulting in a significant reduction in 
the combat load of SOF operators. Continued fielding of the 
MBITR radio system is one of the highest priorities of the 
Commander, U.S. Special Operations Command, for additional 
funding.
    The committee recommends an increase of $13.5 million in 
PDW, for SOF Communications Equipment and Electronics, to field 
an additional 1,131 MBITR radios to SOF operators.

Multi-band multi-mission radio

    The budget request included $69.9 million in Procurement, 
Defense-wide (PDW), for Special Operations Forces (SOF), 
Communications Equipment and Electronics, including $1.4 
million for the multi-band multi-mission radio (MBMMR) system, 
but did not include sufficient funding to enable fielding of 
this important communications capability to deploying SOF 
units.
    The MBMMR radio system provides voice and data capability 
over a variety of frequencies, and can operate in local or 
satellite communications modes. This radio enables SOF teams to 
utilize one radio to communicate with a variety of military and 
other organizations and replaces the variety of radios 
currently needed to accomplish required communications 
responsibilities. Continued fielding of the MBMMR radio system 
is one of the highest priorities of the Commander, U.S. Special 
Operations Command, for additional funding.
    The committee recommends an increase of $16.5 million in 
PDW, for SOF Communications Equipment and Electronics, to field 
an additional 500 MBMMR radios to SOF teams.

Joint threat warning system

    The budget request included $16.3 million in Procurement, 
Defense-wide (PDW), for Special Operations Forces (SOF), 
Intelligence Systems, to begin procurement of the Joint Threat 
Warning System (JTWS), but the amount requested will only equip 
a small portion of special operations forces with this much 
improved threat warning capability for ground, air, and 
maritime forces.
    The JTWS is a modular, lightweight ground signals 
intelligence system that can be mounted on a variety of SOF 
delivery platforms, providing threat warning, situational 
awareness, and enhanced force protection for SOF elements. JTWS 
is an evolutionary acquisition program that builds upon 
previous efforts to separately acquire similar warning systems 
for air, ground, and maritime applications. Accelerating the 
procurement of this capability is one of the highest priorities 
of the Commander, U.S. Special Operations Command, for 
additional funding.
    The committee recommends an increase of $12.0 million in 
PDW, for SOF Intelligence Systems, to procure additional 
ground, air, and maritime JTWS systems.

Rucksack portable unmanned aerial vehicle

    The budget request included $20.2 million in Procurement, 
Defense-wide (PDW), for Special Operations Forces (SOF), Small 
Arms and Weapons, for the rucksack portable unmanned aerial 
vehicle (RPUAV), but did not include enough funding to fully 
meet the operational needs of the Commander, U.S. Special 
Operations Command (SOCOM), for fiscal year 2006.
    The RPUAV is a man-portable unmanned aerial vehicle system 
that can be transported, launched, controlled, and recovered by 
a single SOF operator. The RPUAV provides small SOF teams with 
an important reconnaissance, surveillance, and target 
acquisition asset, and greatly enhances their situational 
awareness and force protection. The RPUAV is one of the highest 
priorities of the Commander, SOCOM, for additional funding.
    The committee recommends an increase of $3.3 million in 
PDW, for SOF, Small Arms and Weapons, to procure an additional 
19 RPUAV systems to meet fiscal year 2006 requirements.

Military mail screening equipment

    The budget request included $143.8 million in Procurement, 
Defense-wide (PDW), for the chemical/biological installation 
force protection program. The committee recommends an increase 
of $10.2 million in PDW for the chemical/biological 
installation force protection program, to begin the procurement 
and fielding of chemical and biological agent detection and 
sampling equipment to establish a robust capability to screen 
military mail at 62 sites (three mail transfer centers, three 
distribution centers outside the continental United States, and 
56 military post offices). This increase would also provide for 
augmentation of current laboratory analytical capability to 
provide the capacity necessary to process the increased volume 
of samples from the new sites. Additional analytical 
capability, supported by a robust quality assurance and quality 
control program, would maintain the current Chemical Biological 
Defense Program laboratory standard, which would ensure 
confidence in the sampling results from the additional sites.
    Elsewhere in this report, the committee recommends a 
provision that would require the Secretary of Defense to 
promptly develop and implement a plan to ensure that mail 
within the military mail system is safe for delivery, to 
include the screening of all mail in order to detect the 
presence of biological, chemical or radiological weapons, 
agents or pathogens, or explosive devices. The committee 
recommends authorizing additional funding for this purpose in 
fiscal year 2006 to ensure that resources are available to 
begin implementation of the plan as soon as possible.

Automatic Chemical Agent Detector and Alarm

    The budget request included $258.3 million in Procurement, 
Defense-Wide (PDW), for contamination avoidance equipment. The 
requested funding supports the procurement of chemical and 
biological detection, warning and reporting, and reconnaissance 
systems, such as the Automatic Chemical Agent Detector and 
Alarm (ACADA). The committee notes that a number of Active Duty 
Army and National Guard units are deployed worldwide in support 
of military operations. These units must have the best possible 
defense against chemical threats. The committee recommends an 
increase of $16.0 million in PDW to meet procurement shortfalls 
in fielding ACADA systems.

                       ITEMS OF SPECIAL INTEREST


Army multi-band inter/intra team radio system

    The committee is concerned with the limited industrial 
capacity to produce and deliver large quantities of hand-held, 
secure Type-1 multi-band inter/intra team radio systems (MBITR) 
required for Operations Iraqi Freedom and Enduring Freedom. 
Currently, the Army has only one source for the MBITR radio. 
The committee believes that a second source for the acquisition 
of MBITR radios would address existing shortfalls, accelerate 
fielding, and ensure an ongoing supply of these critical 
systems.
    The committee directs the Secretary of the Army to study 
the feasibility and the costs and benefits of providing for the 
participation of a second source in the production of MBITR 
radios. The Secretary will provide a report of this study to 
the congressional defense committees no later than March 1, 
2006.

Cooperative engagement capability

    In the statement of managers accompanying the Strom 
Thurmond National Defense Authorization Act for Fiscal Year 
1999 (Public Law 105-261), the conferees directed the Secretary 
of the Navy to report to the congressional defense committees 
at least quarterly on interoperability problems among 
cooperative engagement capability (CEC) and other combat 
direction systems. The report was also to contain planned 
solutions.
    The committee has recently received the 24th consecutive 
report on CEC and combat direction system interoperability. The 
committee is satisfied that the Navy is now well aware of the 
potential interoperability problems that this system was 
facing, and has developed plans and programs to manage the 
interoperability risks in the future. Therefore, the committee 
does not believe that the Secretary of the Navy should continue 
to report on the interoperability problems of CEC with combat 
direction systems.

F/A-22 aircraft

    The budget request included $3.2 billion in Aircraft 
Procurement, Air Force, for the procurement of 24 F/A-22 combat 
aircraft, and an increment of $65.5 million in PE 27138F to 
procure one dedicated test aircraft, for a total of 25 F/A-22 
Raptor aircraft.
    The committee has been notified of the results of the 
dedicated initial operational test and evaluation (DIOT&E;) that 
was conducted on the F/A-22. While the DIOT&E; report determined 
the F/A-22 aircraft to be operationally effective in the air 
supremacy mission, the committee is concerned that the aircraft 
was determined to be not operationally suitable. One 
discrepancy of particular concern is the inadequate ground 
cooling for avionics in high temperature conditions. The 
committee believes this discrepancy must be corrected before 
the F/A-22 aircraft design could be considered stable. The 
committee also notes that tests to demonstrate the limited air-
to-ground attack capability of the F/A-22 included in the 
current design were not conducted during the DIOT&E;, but are 
scheduled for follow-on testing beginning in July 2005.
    The committee notes that the situation with late delivery 
of F/A-22 aircraft addressed in previous years is improving, 
but the committee remains concerned that the program is still 
behind the original contract schedule.
    The committee will continue to closely monitor developments 
with the testing and production deliveries of the F/A-22 
aircraft.

Intra-theater airlift

    The Department of Defense has not yet briefed the 
congressional defense committees on the results of the Mobility 
Capabilities Study (MCS). The Secretary of Defense directed 
that this study be accomplished to update the results of the 
Mobility Requirements Study for Fiscal Year 2005 (MRS-05), 
which was completed in fiscal year 2001. This update is 
required to address the new National Military Strategy. One 
component of the MCS is expected to be a review of intra-
theater airlift capacity.
    The committee believes that decisions on the modernization 
and recapitalization of the fleet of intra-theater airlift 
aircraft should be based on the results of the MCS. The 
committee directs the Secretary to submit a report to the 
congressional defense committees no later than December 1, 
2005, that identifies the options available to meet any 
identified shortfalls in intra-theater airlift capacity. Before 
an option to start a new program to meet any intra-theater 
airlift shortfall is initiated, the committee directs the 
Secretary to ensure that an analysis of alternatives is 
conducted.

Littoral combat ship

    The Navy recently completed construction of the 
experimental littoral craft and has been authorized to procure 
one flight 0 littoral combat ship (LCS). Funding for the second 
flight 0 vessel from the second contractor team is included in 
the fiscal year 2006 budget request. These ships were intended 
to provide experience upon which the Navy would base decisions 
on how to proceed with acquisition of flight 1 LCS vessels, now 
scheduled to begin in fiscal year 2008.
    The original plan put forth by the Navy implied that the 
contracts for flight 1 vessels would be awarded competitively. 
The Navy now appears to be changing the acquisition approach to 
narrowing the selection of flight 1 proposals to a selection 
from between the two successful bidders for the flight 0 
program. The committee understands that this could be the most 
convenient approach from an administrative standpoint, but is 
concerned that this would discourage other potential contractor 
teams from continuing work to mature concepts and technologies 
for potential implementation on later LCS vessels.
    Therefore, the committee directs the Navy to report to the 
congressional defense committees at the same time as the 
submission of the fiscal year 2007 budget on its acquisition 
strategy for the flight 1 portion of the LCS program. That 
report should provide details on the testing and 
experimentation that the Navy intends to conduct prior to 
awarding the flight 1 contracts; the acquisition strategy for 
acquiring flight 1 vessels, including any reasons for having 
changed that strategy if it has changed; and the Navy's plans 
for transitioning technologies from other Navy research and 
development activities, with particular emphasis on 
technologies being developed in the DD(X) program that may be 
appropriate for applying to the LCS program.

Maritime prepositioning force, future

    The committee is concerned about whether the concept of sea 
basing is technically feasible and fiscally prudent. The 
committee is also concerned that the requirement for sea basing 
has not been refined beyond a concept of operations. The 
premise for the requirement for the sea base is that access to 
ports or bases ashore may be denied, or that sea basing will 
reduce vulnerabilities of large logistics bases ashore. The sea 
base concept is that a large ground force can be assembled at 
sea, delivered on the surface and the air to an area of 
conflict, and subsequently sustained from the sea base. The 
Navy is touting the centerpiece of the sea base as being the 
Maritime Prepositioning Force, Future (MPF(F)). The Mission 
Need Statement for MPF(F) was approved by the Joint 
Requirements Oversight Council in May 2001, yet the Department 
of Defense is still trying to define key performance 
parameters. The budget request included $66.3 million in PE 
48042N for the purpose of developing enabling technologies for 
MPF(F).
    Enabling technologies include landing platforms, ship-to-
ship cargo transfer, automated cargo handling, underway 
replenishment in heavy seas, and others. The committee believes 
it is important to ensure these technologies can actually 
support the movement of supplies and equipment in heavy seas, 
at a rate that will actually sustain a ground force engaged in 
combat, before the country makes large investments in MPF(F) 
ships.
    The Navy has made a number of proposals in this budget 
request. One is to build only one surface combatant and one 
submarine a year through the years included in the Future Years 
Defense Program (FYDP). Another is to delay the completion of 
the first ship of the new class of aircraft carrier, the CVN-
78, for the second time in two years. Finally, the Navy has 
proposed to reduce the force of active aircraft carriers from 
12 to 11. In testimony before the Subcommittee on Seapower of 
the Committee on Armed Services, one witness who represented 
the shipbuilding industry stated that the single most important 
factor in controlling costs of ships was to offer program 
stability. Constantly changing budgets, acquisition strategies, 
and procurement profiles are as disruptive to maintaining cost 
and schedule stability as constantly changing technical 
requirements. The Navy's shipbuilding budget is already 
underfunded, and the addition of a new platform could only make 
the situation worse.
    Section 1022(a)(1) of the Bob Stump National Defense 
Authorization Act for Fiscal Year 2003 (Public Law 107-314) 
requires the Secretary of Defense to report to the Committees 
on Armed Services of the Senate and the House of 
Representatives that funding is adequate to support a 30 year 
shipbuilding plan, with a discussion of the necessary naval 
vessel force structure to meet the National Security Strategy 
of the United States or the most recent Quadrennial Defense 
Review. The Navy has submitted an interim 30 year shipbuilding 
plan, which does not yet appear to be endorsed by the 
Department, and does not appear to be fully funded in the FYDP. 
In written testimony before the Subcommittee on Seapower of the 
Committee on Armed Services, a Congressional Research Service 
analyst describes this plan in the following way: ``The March 
2005 report does not present a 30 year shipbuilding plan. 
Instead, it presents a 30 year projection of potential Navy 
force levels from which potential annual shipbuilding rates can 
be only partially inferred.'' The force structures in the Navy 
plan are for either 260 ships or 325 ships, both of which 
include MPF(F) ships, which are intended to enable the sea 
basing concept. While the committee recommends authorization of 
the budget request for $66.3 million in PE 48042N for 
development of technologies for MPF(F), the committee believes 
that the Navy should not proceed to a shipbuilding program for 
MPF(F) before the requirements for MPF(F) are more refined, and 
that enabling technologies have demonstrated a high probability 
of achieving successful operations.

Transmission Enterprise Program

    The committee notes that the Army has taken action to 
implement the Transmission Enterprise Program (TEP), an effort 
to stabilize U.S. combat vehicle transmission production, while 
continuing to meet needs driven by the Iraq war. The committee 
further notes that the fiscal year 2006 budget request included 
no funding specifically dedicated to the TEP. The committee 
commends the Army for its efforts to implement the program and 
encourages the Army to continue funding the TEP in fiscal year 
2006.
         TITLE II--RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

Explanation of tables
    The following tables provide the program-level detailed 
guidance for the funding authorized in title II of this Act. 
The tables also display the funding requested by the 
administration in the fiscal year 2006 budget request for 
research, development, test and evaluation programs, and 
indicate those programs for which the committee either 
increased or decreased the requested amounts. As in the past, 
the administration may not exceed the authorized amounts (as 
set forth in the tables or, if unchanged from the 
administration request, as set forth in budget justification 
documents of the Department of Defense), without a 
reprogramming action in accordance with established procedures. 
Unless noted in this report, funding changes to the budget 
request are made without prejudice.


              Subtitle A--Authorization of Appropriations

Science and technology
    The committee notes the critical role that investments in 
defense science and technology (S&T;) and basic research play in 
developing the revolutionary military capabilities of the 
future. These programs also train the next generation of U.S. 
scientists, engineers, and technology entrepreneurs who will 
maintain complex weapons and defense systems and who will 
assist in solving future national security challenges. The 
committee remains concerned about the overall funding level for 
defense science and research. The committee notes that the 
fiscal year 2006 budget request for S&T; is below the previous 
year's requested level. If in any year from fiscal year 2001 to 
2009 the budget request for these research programs does not 
increase by 2 percent over inflation, the National Defense 
Authorization Act for Fiscal Year 2000 (Public Law 106-65) 
requires the Department of Defense to certify the impact of the 
S&T; budget on national security and to initiate a Defense 
Science Board study assessing the impact of the proposed budget 
on defense technology and the national defense.
    The committee notes that the recent National Research 
Council report entitled ``Assessment of Department of Defense 
Basic Research'' contained a number of findings and 
recommendations. The report found that ``in real terms the 
resources provided for Department of Defense basic research 
have declined substantially over the past decade.'' The report 
also found that there has been a recent deemphasis on 
``unfettered exploration'' in the basic research program, which 
``historically has been a critical enabler of the most 
important breakthroughs in military capabilities.'' The 
committee is troubled by the lack of support for real 
innovative work at the Department, which could have serious 
consequences for the development of necessary future military 
capabilities. Therefore, the committee recommends an increase 
of over $30.0 million in the Department's basic research 
accounts.
    The committee notes that the National Research Council 
report also made a number of recommendations to improve the 
execution of the basic research program. The committee directs 
the Secretary of Defense to provide a report to the 
congressional defense committees no later than March 1, 2006, 
which evaluates the National Research Council recommendations 
to improve the Department's basic research program, and details 
a plan and schedule for the implementation of appropriate 
recommendations.
    Finally, the committee has provided increases in the S&T; 
program to support specific focus areas in fiscal year 2006, 
including: close to $50.0 million for unmanned systems; 
approximately $63.0 million for power technology advances; 
nearly $116.0 million for force protection, transformational 
technologies, and training innovations; $42.0 million in 
manufacturing research and process technologies; over $105.0 
million to support counterterrorism efforts; and $68.0 million 
for combat casualty care and military medicine, including a 
targeted $40.0 million for prevention, mitigation, and 
treatment of blast injuries.

    Subtitle B--Program Requirements, Restrictions, and Limitations

Contract for the procurement of Future Combat System (sec. 211)
    The committee recommends a provision that would require the 
Secretary of the Army to ensure that the Future Combat System 
(FCS), including all projects and equipment that are a part of 
the FCS program, be developed and procured through a contract 
under the authority of Part 15 of the Federal Acquisition 
Regulation (FAR), relating to acquisition of items by 
negotiated contract (48 C.F.R. 15.000 et seq.) rather than 
through a contract under the authority of section 845 of the 
National Defense Authorization Act for Fiscal Year 2004 (Public 
Law 108-136, 10 U.S.C. 2371 note).
    The committee has expressed concern regarding the Army's 
use of an ``other transaction authority'' (OTA) contract 
vehicle to manage the FCS program. The committee does not 
believe that the $20.9 billion agreement entered between the 
Army and the Lead Systems Integrator for the FCS program is 
consistent with the language and intent of section 845 
authority. Section 845 authority is intended to be used for 
limited prototype projects, particularly those in which the 
Department of Defense seeks to engage nontraditional defense 
contractors that may be averse to the requirements imposed by a 
standard Department contract.
    The committee notes that the Army has announced its intent 
to renegotiate this contract to a FAR Part 15 contract. This 
provision is intended to support that decision.
Joint field experiment on stability and support operations (sec. 212)
    The committee recommends a provision that would require the 
Secretary of Defense to conduct a joint field experiment 
focused on the transition from major combat operations to 
stability and support operations required to restore security, 
provide for immediate humanitarian needs, and begin the 
reconstruction activities necessary to assist a host nation in 
achieving self-sufficiency. The committee expects that 
responsibility for the conduct of the joint field experiment 
would be delegated to the Commander, U.S. Joint Forces Command.
    Recent experience in Iraq and Afghanistan has highlighted 
the importance of planning and training U.S. personnel to 
prepare for the conduct and support of stability operations in 
post-conflict situations. The Defense Science Board 2004 Summer 
Study entitled ``Transition to and from Hostilities'' 
identified the challenges the United States will face in its 
future stabilization and reconstruction efforts, and offered 
recommendations for enhancing U.S. effectiveness across the 
spectrum of activities from peacetime through stabilization and 
reconstruction. These recommendations focused on management 
discipline and on building and maintaining certain fundamental 
capabilities, now lacking, that are critical to success in 
stability and support operations.
    In response to recent experience and the Defense Science 
Board study, the Secretary is taking steps to place greater 
emphasis on the stability operations mission in the Department 
of Defense planning and guidance so that the mission is fully 
integrated across all Department of Defense activities. The 
committee commends the initiative the Secretary has taken to 
date and urges him to continue to give this effort a high 
priority, to include sufficient resources, senior-level 
management attention, and outreach efforts to other agencies 
and departments of the U.S. Government who play important roles 
in stability and support activities.
    The committee notes the establishment within the Department 
of State of the Office of the Coordinator for Reconstruction 
and Stabilization whose mission is to lead, coordinate, and 
institutionalize U.S. Government civilian capacity to prevent 
or prepare for post-conflict situations; and to help stabilize 
and reconstruct societies in transition from conflict or civil 
strife, so these societies can reach a sustainable path toward 
peace, democracy, and a market economy. The committee commends 
the Department of Defense's active support of and cooperation 
with this new office in the Department of State, and urges the 
Department of Defense to continue to deepen its coordination 
with the Department of State on planning for and participating 
in post-conflict stability operations and reconstruction 
efforts.
    The committee believes that a joint field experiment will 
provide valuable insights for the Department of Defense as it 
endeavors to integrate stability and support operations into 
mainstream military operations and doctrine. The committee is 
concerned, however, that the Department of Defense is only one 
element of stability and support activities in the post-
conflict environment. The committee strongly urges the 
participation of other departments and agencies of the U.S. 
Government, as well as coalition partners, in both the conduct 
of the joint field experiment and the formulation of 
recommendations to ensure that a comprehensive U.S. Government 
and coalition approach to future stability and support 
activities is developed.
    The committee directs that costs associated with the 
conduct of this joint field experiment shall be paid from the 
amount authorized to be appropriated for joint experimentation, 
PE63727N, in fiscal year 2006.

                 Subtitle C--Ballistic Missile Defense

One-year extension of Comptroller General assessments of ballistic 
        missile defense programs (sec. 221)
    The committee recommends a provision that would extend 
until fiscal year 2007 the requirement for the Comptroller 
General to provide an assessment of the extent to which the 
Missile Defense Agency achieved the goals established for that 
fiscal year for each ballistic missile defense program of the 
Department of Defense. The provision would also modify the 
submittal date from February 15 to March 15 to provide 
additional time to complete this requirement.
Fielding of Ballistic Missile Defense Capabilities (sec. 222)
    The committee recommends a provision that would authorize 
the use of funds, authorized to be appropriated for fiscal year 
2006 or 2007 for research, development, test, and evaluation 
for the Missile Defense Agency, for the development and 
fielding of ballistic missile defense capabilities.
Plans for test and evaluation of operational capability of the 
        ballistic missile defense system (sec. 223)
    The committee recommends a provision that would direct the 
appropriate joint and service operational test and evaluation 
components of the Department of Defense, in coordination with 
the Missile Defense Agency, to prepare a plan to test, 
evaluate, and characterize the operational capability of block 
2006 and subsequent blocks of the ballistic missile defense 
system. Each plan prepared under this provision shall be 
appropriate for the level of technological maturity of the 
block to be tested, and shall be subject to the review and 
approval of the Director of Operational Test and Evaluation 
(DOT&E;). Additionally, DOT&E; shall provide a report at the 
conclusion of testing for each block of the ballistic missile 
defense system containing an assessment as to whether or not 
such testing was adequate to evaluate the operational 
capability of the block and a characterization as to the 
operational effectiveness, suitability, and survivability of 
the block capability, as appropriate for the level of 
technological maturity of the block to be tested.

Subtitle D--High-Performance Defense Manufacturing Technology Research 
                            and Development

High performance defense manufacturing technology research and 
        development (sec. 230)
    The committee recommends a set of provisions that would 
require the Under Secretary of Defense for Acquisition, 
Technology and Logistics to identify advanced manufacturing 
processes and techniques whose utilization would result in 
significant productivity and efficiency gains in the defense 
manufacturing base. The provision would direct the Under 
Secretary to pursue the development of innovative manufacturing 
processes and advanced technologies and to facilitate the 
creation of extended production enterprises, which leverage 
information technology and innovative organizational models.
    In addition, the provision would direct the Under Secretary 
to take appropriate actions, such as establishment of 
agreements with relevant Department of Defense components, 
including the Joint Defense Manufacturing Technology Panel, to 
accelerate transition of transformational processes and 
technologies from science and technology to the defense 
manufacturing base. The provision would also direct the Under 
Secretary to develop and implement a set of activities to 
continuously identify and utilize improvements in innovative 
manufacturing processes and to diffuse best practices to 
industry. This may include taking steps to identify incentives 
for adoption of manufacturing advances in the industrial base.
    Finally, to ensure that technology efforts in industry are 
well coordinated with future defense technology requirements, 
the Under Secretary may initiate one or more technology 
roadmapping exercises. These roadmaps would be developed 
jointly with industry, and would plan the development and 
adoption of manufacturing processes and technologies needed for 
future defense capabilities.

                       Subtitle E--Other Matters

Expansion of eligibility for leadership of Department of Defense Test 
        Resource Management Center (sec. 241)
    The committee recommends a provision that would eliminate 
the requirement that the director and the deputy director of 
the Defense Test Resource Management Center be selected by the 
Secretary of Defense from among current and former civilian and 
military employees of the Department of Defense. Under this 
provision, candidates should be chosen based on their 
experience with test and evaluation programs regardless of 
employment history with the Department.
Technology transition (sec. 242)
    The committee recommends a provision that would clarify the 
role of the Technology Transition Council, which was 
established in the Bob Stump National Defense Authorization Act 
for Fiscal Year 2003 (Public Law 107-314) to provide advice and 
assistance to the manager of the Technology Transition 
Initiative. The provision would stipulate the duty of the 
council to support the Undersecretary of Defense for 
Acquisition, Technology and Logistics in the development of 
policies to facilitate the rapid transition of technologies 
from the science and technology base into acquisition programs. 
The Council would provide advice and support to all technology 
transition efforts. The provision would require the Secretary 
of Defense, working through the Technology Transition Council, 
to submit a report to the congressional defense committees 
outlining a strategy for technology transition and detailing 
the impact of internal Department of Defense processes and 
regulations on technology transition efforts. The report would 
also make recommendations for improvement of technology 
transition and for elimination of any identified impediments. 
The report shall be submitted with the fiscal year 2007 budget 
request.
    The committee is concerned that the council has been 
focused on one transition program, and has not met at the 
principal-level frequently enough to provide advice and 
leadership on technology transition programs across the 
Department. The committee believes the council should meet at 
least semi-annually at the principal-level, if it is to 
adequately fulfill its mission.
    The budget for technology transition has grown by 23 
percent in the last four years. During this same time period, 
the Department created additional programs to rapidly field new 
capabilities and equipment. Test and evaluation has been 
accelerated to accommodate immediate needs. Taken together, 
these developments underscore the importance of an active, 
senior Technology Transition Council. Senior leadership 
attention should focus on ensuring success of these technology 
transition programs, identifying and overcoming barriers to 
utilization of the most innovative solutions and recommending 
any needed policy direction for the test and evaluation 
process.
Prevention, mitigation, and treatment of blast injuries (sec. 243)
    The committee recommends a provision that would require the 
Secretary of Defense to designate a senior official as the 
executive agent to coordinate and manage a joint service 
comprehensive blast injury prevention, mitigation, and 
treatment program. The provision would require review and 
assessment of a coordinated, department-wide research effort to 
include: blast characterization; modeling and simulation of 
safe stand-off distances; ``detect and defeat'' capabilities; 
and armor design and material testing for blast, ballistic, and 
fire protection. The provision would also require design of a 
comprehensive flexible armor system and support for emerging 
military medical technologies, devices, and treatments specific 
to blast injuries.
    The provision would require the executive agent to:
          (1) conduct studies of blast injury, with an emphasis 
        on traumatic brain injury;
          (2) develop improved clinical treatment and 
        diagnostic protocols;
          (3) develop integrated treatment approaches for 
        service members who suffer multiple injuries from 
        blast;
          (4) conduct three or more pilot projects to study the 
        incidence in returning soldiers of traumatic brain 
        injury;
          (5) develop protocols for medical tracking of members 
        for up to five years following blast injury; and
          (6) refine and improve educational interventions for 
        blast injury survivors and their families.
    It is the committee's intent that the Departments of 
Defense and Veterans Affairs' Head Injury Project at Walter 
Reed Army Medical Center lead clinical and diagnostic services 
required by this provision.
    The provision would also require: (1) the establishment of 
a training program for medical and non-medical personnel on the 
prevention, mitigation, and treatment of blast injuries 
intended to improve field and clinical training on early 
identification of blast injury; and (2) the expansion of 
treatment programs, including those at the Departments of 
Defense and Veterans Affairs' Brain Injury Center, intended to 
enhance the evaluation and care of members of the Armed Forces 
with consequence of blast injury, especially traumatic brain 
injury.
    The provision would further require the Secretary to submit 
a report to the congressional defense committees by February 
15, 2007. The report would include: (1) a description of 
Department of Defense activities and efforts to improve the 
prevention, mitigation, and treatment of blast injuries; (2) a 
consolidated budget presentation on these programs; (3) a 
description of capability gaps in addressing blast injuries; 
(4) an explanation of collaborative work with other agencies, 
departments, and governments; (5) a description of efforts to 
disseminate blast injury research and treatment efforts; and 
(6) an update on the development status of comprehensive 
personnel protection systems.
    The committee notes the change in historical patterns of 
wounding in the global war on terrorism due to the 
proliferation of blast weapons. High velocity gun shot wounds, 
once the predominant cause of military casualties, represent 
less than 10 percent of wounds today. Advances in military 
medicine, protective equipment, and highly successful training 
efforts have led to the highest survival rates in military 
history, making treatment and care, especially for new or 
poorly understood injuries, important.
    Over one-third of all U.S. injuries in Operation Iraqi 
Freedom and close to half of fatalities are the result of 
blasts. Multiple site injuries from blasts are common. Over 60 
percent of head and neck injuries are the result of blasts. The 
committee believes it is time to focus attention and resources 
on a coordinated approach to addressing the blast threat from 
the beginning--pre-detonation defeat--through the end--full 
understanding of blast injuries and appropriate diagnosis, 
treatment, and care.
    The committee recommends an increase of over $40.0 million 
in targeted research, development, test and evaluation program 
elements for accelerated work specific to confronting blast 
injury prevention, mitigation, and treatment challenges. The 
committee also recommends an increase of $20.0 million in the 
Defense Health Program to facilitate expansion of clinical 
trials, treatments, and studies required by this provision.

                     Additional Matters of Interest

                                  Army


Army basic research
    The budget request included $137.9 million in PE 61102A, 
for defense research sciences. The committee is concerned with 
the long term viability of the defense research program, 
especially those efforts geared at developing innovative 
solutions to address emerging and future challenges. Ongoing 
work in the areas of materials and composites for flexible 
armor, neuroscience, textiles with embedded sensors, efficient 
vehicle operations, and basic terrain analysis modeling and 
simulation are a few of the many research examples that 
contribute to meeting the needs of the warfighter. The 
committee recommends an increase of $12.5 million in PE 61102A 
for expansion of Army basic science, including $2.5 million for 
research in brain imaging deception detection; $2.0 million for 
moldable fabric armor to increase force protection options; 
$2.0 million for functionally integrated reactive surface 
technologies to develop protective, intelligent, and adaptive 
textiles; $2.0 million to enable transition of low temperature 
vehicle research; $3.0 million for desert terrain analysis 
research; and $1.0 million for advanced ground vehicle 
reliability research.
Document exploitation
    The budget request included no funding for Research, 
Development, Test, and Evaluation, Army, for Security Defense 
Research Sciences, in PE 61102A, for development of advanced 
document exploitation equipment.
    Portable, rugged document exploitation equipment is 
currently not widely available to military personnel operating 
in deployed, austere environments. The technology exists to 
develop lightweight equipment that can scan documents, quickly 
search for important information in native languages, and 
transmit potentially valuable documents back to exploitation 
facilities quickly, thus providing battlefield commanders with 
rapid exploitation of captured information. Recent experiences 
in Afghanistan and Iraq have demonstrated the value of such 
capabilities and the requirement for additional, improved 
capabilities.
    The committee recommends an increase of $5.0 million in PE 
61102A, to continue development, product improvement, and 
fielding of portable document exploitation systems.
Army university research
    The budget request included $82.0 million in PE 61104A, for 
university and industry research centers. Significant advances 
in materials technologies, materials processing, and secure 
communications require continued fundamental research to serve 
as the building blocks for Army future combat systems. The 
committee recommends an increase of $6.5 million in PE 61104A 
for university research, including $2.0 million for strategic 
defense systems manufacturing technology basic research; $2.5 
million for expanded continuation of the nanotubes optimized 
for lightweight exceptional strength composite project; $2.0 
million for integrated systems in sensing, imaging, and 
communications research to provide secure optical connections.
Advanced mine detection and blast mitigation
    The budget request included $17.6 million in PE 62105A, for 
materials technology. Army materials research efforts in blast 
resistant structures, composites, and the equipment to test 
them contribute to immediate and long term force protection 
needs. The committee recommends an increase of $5.0 million in 
PE 62105A for expansion of promising materials technology 
research, including $3.0 million for advanced mine detection 
and blast mitigation and $2.0 million for lightweight blast 
containment vessel development, improved computational 
simulation capabilities, and early testing of optimized vessel 
designs.
Army small airship
    The budget request included $32.1 million in PE 62120A, for 
sensors and electronic survivability. Asymmetric threats and 
unpredictable battlefields increase the importance of sensors 
in spotting and preventing hostile action and in targeting 
assets. An adaptive, modular, autonomous vehicle capable of 
operating in a variety of environments and performing various 
functions during a single mission should provide the warfighter 
with an important stand off tool.
    The committee recommends an increase of $3.0 million in PE 
62120A to provide focused attention on solving some of the 
technical challenges involved in autonomous control, 
adaptability between tethered and untethered flight, and load 
exchange for a small airship surveillance system.
Detection and neutralization of improved explosive devices
    The budget request included $32.1 million in PE 62120A, for 
sensors and electronics survivability and $49.5 million in PE 
62782N, for mine and expeditionary warfare applied research. 
The Department of Defense is pursuing a broad short and long 
term research effort to confront the threat posed by improvised 
explosive devices (IEDs). Substantial achievements made in the 
areas of sensors, jammers, and pre detonation devices support 
current operations. As efforts continue to move solutions to 
the field as quickly as possible, an additional avenue of 
exploration is underway to invent more comprehensive tools for 
IED neutralization. Many IEDs are remotely initiated using 
inexpensive commercial electronics. These control mechanisms 
may all be subject to a low level of electricity leakage, which 
could be detected at a considerable distance with special 
equipment.
    The committee supports the Department's efforts to explore 
alternative and imaginative approaches to combating the IED 
threat in the long-term. The committee recommends an increase 
of $2.0 million in PE 62120A to accelerate development of an 
innovative remote sensor monitoring technology designed to lead 
to a mobile test bed for advanced stand-off detection of 
explosives. The committee further recommends an increase of 
$3.0 million in PE 62782N for development of a field prototype 
detection and neutralization device.
Real-time laser threat warning development
    The budget request included $19.1 million in PE 62270A, for 
electronic warfare technology. The Army supports key goals in 
the area of battlespace survivability and acquisition of enemy 
targets under this account. The ability to detect heat seeking 
missiles and those guided by lasers with real-time location of 
the laser source and identification of the source 
characteristics would enhance missile countermeasure efforts. 
The committee recommends an increase in PE 62270A of $4.0 
million to continue development of a prototype to field test a 
high performance, low cost laser threat warning and missile 
countermeasure system utilizing MEMS-based beam steering 
technology.
Army unmanned systems initiative
    The budget request included $62.5 million in PE 62303A, for 
missile technology. As use of unmanned aerial vehicles 
increases, integration tools, testing processes, and training 
procedures must keep pace. The committee recommends an increase 
of $5.0 million in PE 62303A for an unmanned systems initiative 
and expanded testing of unmanned vehicles and teams of vehicles 
during long, autonomous flights. The program would also develop 
airspace management procedures for vehicles with different 
payloads, and would provide joint training for control of 
vehicle weapons assignments and on the use of communication 
protocols.
Technology enhancement for area protection
    The budget request included $62.5 million in PE 62303A for 
missile technology. The committee is aware that the Army has 
identified the enhanced area air defense system (EAADS) as the 
key element in defending against rockets, artillery and 
mortars, as well as unmanned aerial vehicles and cruise 
missiles. While the Army continues to develop radar elements to 
support EAADS, the committee is aware of the need to evolve the 
systems integration tools and technologies necessary to operate 
a comprehensive battlefield system to address the threat.
    The committee recommends an increase of $5.0 million in PE 
62303A for the enhanced area protection and survivability 
science and technology program to develop technologies to be 
integrated into force protection systems to support EAADS 
requirements, as well as near-term force protection for 
Operation Iraqi Freedom.
Multifunctional robot platform
    The budget request included $16.0 million in PE 62308A, for 
advanced concepts and simulations. Various robotic platforms 
with force protection applications under development by the 
Army show promise in addressing sniper, mortar, and rocket 
propelled grenade threats. The committee recommends an increase 
of $3.0 million in PE 62308A for rapid integration of optical 
technology and advanced acoustic detection and direction 
finding hardware into the robot enhanced detection outpost with 
lasers platform (RedOwl).
Combat vehicle and automotive technology
    The budget request included $64.9 million in PE 62601A, for 
combat vehicle and automotive technology. Component 
technologies explored under this account support the Army's 
current and future combat and tactical vehicle fleets. Present 
engine systems fail to provide adequate measurement and data 
retrieval necessary to increase engine efficiency, resulting in 
faster fuel burn rates.
    The committee recommends an increase of $3.5 million in PE 
62601A for development of advanced electric drives designed to 
result in easily replaceable, quiet, robust engines with 
greater power density and torque.
    The committee further recommends an increase of $6.0 
million in PE 62601A to address the needs of the Department of 
Defense for alternative fuels and fundamental research on 
robotic ground vehicles. Specifically, the committee recommends 
increases of $3.0 million for a defense transportation energy 
research project focused on military use of advanced fuels; and 
$3.0 million for unmanned vehicle control technologies to 
increase control, vision, and navigation systems in robotic 
ground vehicles.
Gun barrel coatings
    The budget request included $49.2 million in PE 62618A, for 
ballistics technology. Gun barrel wear accounts for nearly 80 
percent of annual armament costs. Hard ceramic coatings such as 
titanium nitride could increase the wear and the life of such 
armaments by as much as five to eight times over current 
processes, with a projected proportionate reduction in armament 
costs. The committee recommends an increase of $2.0 million in 
PE 62618A for the development of hard, wear-resistant coatings 
for the inside surfaces of gun barrels.
Active coatings technology
    The budget request included $37.8 million in PE 62624A, for 
weapons and munitions technology. Selected research in the 
areas of advanced, adaptable armor and coatings to protect 
personnel and equipment from ballistic and blast threats is 
approaching the testing phase. The committee recommends an 
increase of $3.5 million in PE 62624A for research and 
development of longer lasting, cost-effective coatings that 
adapt to conditions in real-time.
Sonic rarefaction wave gun technology
    The budget request included $37.8 million in PE 62624A, for 
weapons and munitions technology. The Army's plan to acquire 
lighter, faster, more expeditionary vehicles affects 
requirements for vehicle-mounted weapons systems. The committee 
recommends an increase of $2.5 million in PE 62624A for the 
rarefaction wave gun. This gun shows potential for 50 percent 
weight and heat reductions and 75 percent reduced recoil while 
at the same time maintaining current muzzle energy.
Ultra wideband sensors
    The budget request included $37.8 million in PE 62624A, for 
weapons and munitions technology. Today's military faces 
battlefields in neighborhoods, small towns, and cities as often 
as in open deserts, forests, or jungles. Advanced sensors and 
imaging resolution combined with unmanned platforms make 
possible extended visibility and situational awareness. One 
current challenge to achieving full battlespace awareness 
involves through-the-wall sight. The committee recommends an 
increase of $2.0 million in PE 62624A for advanced research on 
a hand-portable through-wall radar system.
Army man-portable power
    The budget request included $39.6 million in PE 62705A, for 
electronics and electronic devices. The Army needs battery 
systems to deliver reliable, lightweight, constant and, when 
needed, high surge power, especially for the dismounted 
soldier. The zinc air battery system has the potential to 
provide at least twice the energy density as other battery 
systems and up to 4 times or more the high discharge or 
constant power rate as common battery systems.
    The committee recommends an increase of $8.0 million in PE 
62705A for accelerated advances in man-portable power, 
including $3.0 million to develop prototype designs for the 
zinc air battery; $2.0 million for a portable solid oxide fuel 
cell power generation demonstrator capable of using JP-8 fuel; 
and $3.0 million for a hybrid advanced soldier power system 
that, when coupled with device-specific adapters, would power 
existing and legacy gear for 72-hour autonomous missions.
Flexible Display Initiative
    The budget request includes $39.6 million in PE 62705A, for 
electronics and electronic devices, including $5.0 million, for 
the Flexible Display Center. Equipment, materials, and 
technology on flexible displays and microelectronics facilitate 
creation of next generation communication products, which are 
key to the Army's transformation efforts. The Army's planned 
funding for flexible display research is insufficient for the 
manufacturing capability necessary to support the Army's stated 
goals for displays and does not include a tools and materials 
component. The competitively bid, peer-reviewed Flexible 
Display Initiative achieves a 62 percent industry cost share in 
leveraging the Army's research funding. The committee 
recommends an increase of $4.0 million in PE 62705A for the 
Flexible Display Initiative to undertake additional materials 
and manufacturing technology projects aimed at ensuring the 
Army meets flexible display goals in a timely manner.
Ultra wideband chipset
    The budget request included $21.8 million in PE 62782A, for 
command, control, and communications technology. The Army 
invested in ultra wideband radio technology with the potential 
to provide extremely covert communications platforms, 
situational awareness, and through-wall and ground penetrating 
radar. The developed technology, which is compatible with, but 
not dependent on current and future communication systems, 
requires transition funds for integration and pre-production 
prototyping. The committee recommends an increase of $2.0 
million in PE 62782A for transition of the ultra wideband radio 
frequency chipset to meet Army power consumption, range, and 
bit rate requirements.
Biosecurity research for food safety
    The budget request included $21.7 million in PE 62786A, for 
warfighter technology, but no funding for food security and 
safety monitoring capabilities. The Army must protect the U.S. 
military's food supply and associated supply chain 
infrastructures. Technologies to rapidly and reliably detect 
food contaminants would positively impact soldier health, 
performance, and effectiveness. The committee recommends an 
increase of $2.5 million in PE 62786A for development of 
methods and equipment to detect real-time biohazards in the 
food supply.
Army medicine for mitigation and treatment of blast injuries
    The budget request included $74.7 million in PE 62787A, for 
medical technology and $45.2 million in PE 63002A, for medical 
advanced technology. Care for uniformed personnel, including 
adaptation to changing wound patterns and long-term quality of 
life for injured combat veterans, are key priorities for the 
committee and are the focus of a Blast Injury Prevention, 
Mitigation, and Treatment Initiative under section 243 of this 
Act.
    The committee recommends a series of increases in PE 62787A 
and PE 63002A to advance emerging, life saving medical 
technologies and to accelerate testing, trials, and production 
of new devices and treatments. Specifically, the committee 
recommends project increases in PE 62787A totaling $9.8 million 
and in PE 63002A totaling $18.0 million for the following 
projects.
    Under PE 62787A, the committee recommends:
          (1) $2.6 million for a biofoam bleeding sealant for 
        battlefield trauma for further development of existing 
        protein hydrogel technology and acceleration of 
        approval to field the product to forward surgical 
        teams;
          (2) $1.2 million for non-linting silver antimicrobial 
        wound dressing technology that would combine infection 
        protection and fluid transport over a period of days 
        for use in forward locations or in the event that 
        medical care is not readily available;
          (3) $2.0 million for the hemorrhage control 
        (Chitosan) dressing, to support an Army unfunded need 
        to conduct research on internal application of the 
        bandage;
          (4) $1.0 million for warfighter face and eye injury 
        protection and a two-year accelerated development 
        process to test performance of a new composite face 
        shield; and
          (5) $3.0 million to augment Army work in 
        characterization of armor for blast, ballistic, and 
        fire protection.
    Under PE 63002A, the committee recommends:
          (1) $3.0 million for advanced tissue engineering 
        techniques to rapidly deploy replacement blood vessels 
        and other tissues, which have been demonstrated to form 
        new cell layers in a matter of hours, compared to days 
        or weeks under current treatments;
          (2) $2.0 million for advances in solider treatment 
        regeneration and the science of regenerative medicine 
        to explore novel approaches to restoration of 
        biological function after injury and the science of 
        tissue engineering, cellular therapies, bio-surgery, 
        and artificial and bio-hybrid organ devices to reduce 
        mortality and morbidity from battlefield injuries;
          (3) $4.0 million for acute care of blast effects and 
        head injuries including a focused effort on research 
        and data collection specific to blast injuries 
        involving concussions and persistent symptoms;
          (4) $3.0 million for accelerated research and 
        approval of forward use of recombinant activated factor 
        VII by medics at the point of injury to greatly 
        increase survival times prior to surgery;
          (5) $1.0 million for the advanced development of the 
        composite warfighter face and eye protection;
          (6) $2.0 million for applied emergency hypothermia 
        research to support innovative suspended animation and 
        delayed resuscitation treatment directed at saving 
        those severely injured in combat; and
          (7) $3.0 million for continued development of the 
        fibrogen bandage.
Bio-defense detection and treatment
    The budget request included $74.7 million in PE 62787A, for 
medical technology and $45.2 million in PE 63003A, for medical 
advanced technology. The Army needs easy-to-use devices to 
reliably detect the presence of bio-warfare agents. Upon 
detection and identification, the Army also requires new 
medicines to protect military personnel from biological agents. 
The committee recommends an increase of $3.0 million in PE 
62787A for accelerated research and development of a 
colorimetric biosensor device that would provide deployed units 
with a rapid, one-step, disposable bacterial pathogen detector.
    The committee further recommends an increase of $2.0 
million in PE 62787A for enhanced research on a bio-defense 
gene knockout technology designed to enable treatment and 
prevention regimes against bio-warfare agents. The proposed 
technology would improve current, single-agent defenses and 
would counter agents possessing drug resistant or other bio-
engineered features.
    Finally, the committee recommends an increase of $5.0 
million in PE 63002A for bio-defense medical technologies; $3.0 
million for expansion of research to apply alternative vaccine 
delivery technologies to combination treatments against 
anthrax, plague, toxic shock, and botulism; and $2.0 million 
for continued research and timely clinical trials on the 
surgical wound disinfection and biological agents project.
Posttraumatic stress disorder diagnostic tools
    The budget request included $74.7 million in PE 62787A, for 
medical technology. Accurate and timely diagnosis of 
posttraumatic stress disorder (PTSD) supports recovery and a 
higher quality of life for combat veterans. Additional basic 
research, early clinical trials, and development of predictive 
tools lead to accurate identification of PTSD conditions and 
would assist medical personnel in distinguishing posttraumatic 
stress from traumatic brain injuries. The committee recommends 
an increase of $1.0 million in PE 62787A for PTSD research.

Surgical safety system

    The budget request included $74.7 million in PE 62787A, for 
medical technology. One of many areas of exploration for 
improved combat medical care involves advanced information 
technologies for remote monitoring and improved patient 
management in deployed surgical environments. The committee 
recommends an increase of $2.0 million in PE 62787A for the 
surgical safety system to support goals of the Army's Operating 
Room of the Future concept.

Human operator performance research

    The budget request included $45.2 million in PE 63003A, for 
medical advanced technology. Soldiers confront numerous risk 
factors and toxic agents present in military environments. The 
committee recommends an increase of $3.0 million in PE 63003A 
for a program to assess, develop, and advance computer-based 
testing technologies. The resulting diagnostic capabilities 
would determine human reactions to proposed toxic agent 
treatments and countermeasures.

Wireless and digital medical improvements

    The budget request included $45.2 million in PE 63002A, for 
medical advanced technology, but no funding for acceleration of 
wireless capabilities and records digitization. The use of 
wireless networks and computerized medical files reduces time 
spent by military medical personnel in processing, accessing, 
and updating medical records. Development of a wireless, 
adaptable network would accelerate accurate and efficient 
patient care, reduce errors, and facilitate transfer of medical 
records.
    The committee recommends an increase in PE 63002A of $1.4 
million for a pilot program to implement use of wireless 
medical records at Walter Reed Medical Center. The committee 
further recommends increases of $1.0 million in PE 63002A for 
the untethered healthcare project and development of 
technologies to facilitate remote triage and improve casualty 
status and assessment and $2.0 million for expanded diagnosis 
through digital imaging recognition. This research will produce 
digitally accessible files to help attending physicians 
accelerate the diagnosis and treatment of service members in-
theater and in medical care facilities.

Reconfigurable tooling systems

    The budget request included $48.3 million in PE 63003A, for 
advanced aviation technology. Many Army aircraft and unmanned 
aerial vehicles contain components composed of fiber-reinforced 
materials. When these parts require repair, delays in 
maintenance and availability of replacements adversely affect 
readiness. The committee recommends an increase of $2.0 million 
in PE 63003A for completion of a portable, reconfigurable 
tooling system capable of creating the specific repair tools 
and aviation composite materials at the maintenance site.

Rotorcraft system monitoring

    The budget request included $48.3 million in PE 63003A, for 
aviation advanced technology. Helicopters play an important 
role in support, relief, and combat missions throughout the 
world. Timely improvement of maintenance techniques, 
procedures, and automatic optimized digital engine controls are 
critical to supporting the increased use of and reliance on 
these platforms. The committee recommends an increase of $5.5 
million in PE 63003A, including $1.5 million for integrated 
rotorcraft system monitoring and $4.0 million for the universal 
control-full authority digital engine control project.

Unmanned tactical combat vehicles

    The budget request included $48.2 million in PE 63003A, for 
aviation advanced technology and $82.5 million in PE 63114N, 
for power projection advanced technology, but no funding for a 
prototype unmanned combat aerial vehicle designed specifically 
for emergency rapid response. The committee is aware of the 
near-term requirement for a cost-effective, survivable, 
tactical unmanned combat aerial vehicle (UCAV) capable of 
reaching conflict areas in a timely manner, engaging and 
destroying targets of opportunity, providing overhead coverage 
at trouble spots, such as roadside ambushes, and operating 
without runways or launch mechanisms. The committee recommends 
an increase in PE 63003A of $7.9 million and in PE 63114N of 
$1.0 million to address this requirement through construction 
of two proof of principle Excalibur demonstrators.

Mid-range munition

    The budget request included $74.9 million in PE 63004A, for 
weapons and munitions advanced technology, including $10.0 
million for the mid-range munition. The committee recommends an 
increase of $6.0 million in PE 63004A to accelerate development 
of the mid-range munition to meet targeted prototyping, 
demonstration, and fielding time frames.

Nanotechnology manufacturing

    The budget request included $74.9 million in PE 63004A, for 
weapons and munitions advanced technology. Research efforts to 
produce composite structures and new materials constructed from 
the nano-scale for weapons, munitions, and fire control 
applications will require unique, efficient manufacturing 
processes. The committee recommends an increase of $3.0 million 
in PE 63004A for nanotechnology manufacturing.

Abrams track improvement

    The budget request included $142.9 million in PE 63005A, 
for combat vehicle and automotive advanced technology. The Army 
strives to reduce life cycle costs and maintenance requirements 
while increasing reliability for mission critical hardware such 
as the Abrams tank, even as operations in current theaters tax 
mechanical limits. The committee recommends an increase of $3.0 
million in PE 63005A for production and qualification testing 
of a new Abrams track, which could reduce life cycle costs by 
20 percent while increasing reliability, availability, and 
maintainability of the component and the equipment.

Combat vehicle advanced development

    The budget request included $142.9 million in PE 63005A, 
for combat vehicle and automotive advanced technology. The 
committee recommends an increase of $26.0 million in PE 63005A 
for the expanded development of automotive technologies in 
support of Army transformation goals for a lighter, more lethal 
force with heightened security and survivability. Specifically, 
the committee recommends increases of: $4.0 million for 
advanced thermal management; $2.0 million for a collaborative 
approach to a non-line-of-sight cannon and mortar; $3.0 million 
for a composite armored cab; $2.0 million for fastening and 
joining research; $2.0 million for power electronic systems 
research; $5.0 million for hydraulic hybrid vehicle technology; 
$2.0 million for next generation nontactical vehicle 
propulsion; $3.0 million for solid oxide fuel cell materials 
and manufacturing; and $3.0 million for an anti-ballistic 
windshield armor designed for rapid installation, better 
operator visibility, and higher levels of projectile 
protection.

Coordinated training

    The budget request included $6.8 million in PE 63007A, for 
manpower, personnel, and training advanced technology. The Army 
is working to ensure that the ``human component'' of 
warfighting keeps pace with the transformation in systems, 
weapons, equipment, and requirements. Development of more 
effective collective training methods, which include a 
standardized program to capture the latest lessons learned from 
current combat operations, would reduce the time required for 
training and practicing critical new skills. The committee 
recommends an increase of $3.0 million in PE 63007A for 
continued development of the battle command team training 
program and incorporation of realistic, relevant, and timely 
practice events for use by commanders and battle staff.

Advanced simulated training

    The budget request included $20.0 million in PE 63015A, for 
next generation training and simulation systems. The joint 
fires and effects training system typifies leading edge 
simulator technology currently in use. The committee commends 
the Army for its innovative approach to highly immersive and 
successful training and simulation environments. Realistic 
training has been credited in part with a reduction in casualty 
rates as troops preparing for deployment learn from those who 
are in theater or who are just returning.
    The committee recommends an increase of $3.5 million in PE 
63015A for development of additional, deployable modules for 
the joint fires and effects training system. The committee 
further recommends an increase of $3.5 million in PE 63015A for 
the final phase of the CAVE automatic virtual environment 
project to produce a fully self-sustaining visualization 
laboratory in support of environmental science research and 
military training for desert conditions.

Explosive demilitarization

    The budget request included $9.9 million in PE 63103A, for 
explosive demilitarization technology. The Army supports 
programs under this account to develop safe, efficient, 
environmentally-compliant technologies to enhance existing 
methods for munitions resource recovery, recycling, and 
treatment. The committee recommends an increase of $1.0 million 
in PE 63103A for development of a demilitarization approach 
that incorporates an innovative solid fuel feed technology with 
a modified reactor.

Alternative fuel supplies

    The budget request included $6.3 million in PE 63125A, for 
combating terrorism technology development. Adequate, reliable, 
and cost-efficient fuel supplies are important for military 
operations in changing environments with logistical supply 
chain challenges. Portable, alternative fuel systems continue 
to offer possible long-term solutions, if successfully 
configured to meet military requirements. The committee 
recommends an increase of $4.0 million in PE 63125A for 
continued development of advanced mobile microgrid fueler 
systems to demonstrate innovations in converting biomass to 
synthetic gas or synfuel. The advanced fueler system would 
complement the ongoing Army Advanced Mobile Microgrid program, 
and would provide a reduced logistical footprint when deployed 
and backup power in case of grid failure.

Stryker vehicle active protection system demonstration

    The budget request included $70.1 million in PE 63313A for 
missile and rocket advanced technology development, including 
$5.0 million for integration of the close-in active protection 
system (CIAPS) into the High Mobility Multipurpose Wheeled 
Vehicle (HMMWV), but no funding for CIAPS integration into a 
Stryker vehicle. In fiscal year 2005, the Army demonstrated 
that a prototype CIAPS mounted on a light armored vehicle could 
defeat rocket propelled grenades (RPGs). The committee supports 
any initiative that fields systems that provides additional 
force protection capabilities to our troops. HMMWVs and Stryker 
vehicles deployed to Operation Iraqi Freedom require RPG 
protection. The committee understands that the need and 
opportunity for integrating CIAPS technology on Stryker emerged 
after planning for the fiscal year budget request was 
completed. The committee recommends an increase of $12.0 
million in PE 63313A for a Stryker active protection system, 
for a total authorization of $82.1 million in PE 63313A.

Advanced structures and composites

    The budget request included $7.3 million in PE 63734A, for 
military engineering advanced technology. Early in a military 
deployment, the majority of military personnel live in soft 
shelters or tents. In current conflicts, nearly every position 
is vulnerable to attack. The Army is exploring lightweight, 
affordable, rapidly deployable, forward construction methods 
that provide ballistic protection. The committee recommends an 
increase of $3.0 million in PE 63734A to accelerate solutions 
that employ hybrid wood and advanced fiber material and 
structure systems to combine cost efficiency, ease of assembly, 
and ballistic protection.

Army command and control visualization system

    The budget request included $14.6 million in PE 63305A for 
Army system integration (non space), but no funding for 
interactive modeling and simulation management capabilities.
    The committee notes that effective modeling and simulation 
is necessary for the development of missile defense and other 
military capabilities. Next generation architectural solutions 
for command and control and situational awareness are now being 
developed. The committee recognizes that funding could be used 
to mature technology and continue to combine government 
furnished components and commercial, off-the-shelf products to 
support the warfighter from the classroom to the field.
    The committee recommends an increase of $3.0 million in PE 
63305A to support continued development of interactive modeling 
and simulation management capabilities of the Army Space and 
Missile Defense Command to support the warfighter.

Interactive modeling and simulation management

    The budget request included $14.6 million in PE 63305A for 
missile defense systems integration, but no funding for 
interactive modeling and simulation management capability.
    The committee notes that effective modeling and simulation 
is essential to the development of missile defense and other 
military capabilities. Likewise, a process to coordinate and 
manage activities related to the verification and validation of 
modeling and simulation tools is needed to support these 
capabilities.
    The committee recommends an increase of $2.0 million in PE 
63305A for development of technologies and processes to support 
verification and validation of modeling and simulation.

Next generation interceptor materials

    The budget request included $14.6 million in PE 63305A for 
Army missile defense system integration, but no funding for 
next generation interceptor (NGI) materials research.
    Next generation ballistic missile interceptors will be 
designed to intercept longer range and more complex threats. To 
intercept complex threats, lightweight and highly maneuverable 
kill vehicles are required. The NGI materials research program 
proposes developing both a lightweight composite missile 
launcher and an advanced composite kill vehicle airframe. The 
Department of the Army and the Missile Defense Agency has 
assessed this item to have high military value.
    The committee recommends an increase of $5.0 million in PE 
63305A for next generation interceptor materials research for 
development of lightweight composite missile launchers and 
advanced composite kill vehicle airframes.

Long loiter sensor and communications platform

    The budget request included $9.3 million in PE 63308A for 
Army missile defense system integration, but no funding for 
near-space long loiter sensor and communications.
    The Army currently maintains a fleet of unmanned aerial 
vehicles (UAVs) that utilize Air Force space-borne sensors and 
communications devices to provide direct surveillance and 
reconnaissance support to the warfighter in theater. The 
committee understands that a near-space long loiter craft able 
to continually view the entire theater of operations could 
provide significant operational cost savings by decreasing the 
numbers of UAVs and other sensors necessary for reconnaissance, 
surveillance, and blue force tracking.
    The committee recommends an increase of $5.0 million in PE 
63308A to refine the requirements, conduct concept evaluations, 
and develop integrated test beds to assess the capabilities of 
programs related to sensor payloads for near-space long 
loitering craft.

Architecture Analysis Program

    The budget request included $81.0 million in PE 63327A for 
air and missile defense system engineering, but no funding for 
the Air, Space, and Missile Defense Architecture Analysis 
Program (A3P).
    A3P is a modeling and simulation effort to assist in the 
systems analysis of air, space, and missile defense 
capabilities to provide an effective defense against cruise 
missiles, unmanned aerial vehicles, aircraft, rockets, 
artillery, and ballistic missiles of all ranges. The committee 
recognizes that these simulation capabilities are necessary to 
support air, space, and missile defense efforts across a broad 
spectrum of military operations from major theater wars to 
homeland security.
    The committee recommends an increase of $2.0 million in PE 
63327A for A3P to support air, space, and missile defense 
modeling and simulation.

Single Integrated Space Picture

    The budget request included $83.1 million in PE 63327A for 
Air and Missile Defense Systems Engineering, of which $15.0 
million is for the Single Integrated Space Picture (SISP) 
program.
    SISP is an initiative within the Combatant Commanders 
Integrated Command and Control System program to provide an 
integrated picture of space capabilities, threats, and 
operations. The committee notes that the Army Missile and Space 
initiative has included work to develop decision support 
software for use by space operators in support of joint 
operations center commanders. The software is designed to 
receive and integrate information from multiple sources, 
providing a consolidated picture to improve space situational 
awareness. The committee recommends an addition of $2.0 million 
in PE 63327A for the continued development, production, and 
field demonstration of this software.

Casting Emissions Reduction Program

    The budget request included $5.17 million in PE 63779A for 
environmental quality technology demonstration/validation, but 
no funding for the Casting Emissions Reduction Program (CERP). 
The CERP is validating advanced materials and processes for the 
reduction of hazardous emissions from foundry operations, 
advancing emission measurement methods for the Department of 
Defense and related industries, and is supporting lightweight 
metals technology transfer to fulfill military requirements. 
The committee recommends funding CERP to continue to improve 
manufacturing technologies used to produce casting materials 
such as aluminum and titanium to assist the Army in achieving 
its goal of becoming a lighter, more highly-mobile fighting 
force.
    The committee recommends an increase of $6.2 million in PE 
63779A for the CERP.

Advanced Army medical systems

    The budget request included $10.1 million in PE 63807A, for 
medical systems advanced development. The committee recommends 
an increase of $4.5 million in PE 63807A to accelerate 
deployment of medical treatments to mitigate blast injuries. 
Specifically, the committee recommends an increase of $1.0 
million for an Army requirement to pursue approval of the 
intravenous fluids warming system; $2.5 million to produce a 
safe, portable oxygen system for patients during evacuations; 
and $1.0 million to extend the shelf life of red blood cells by 
6 weeks.

Joint Tactical Radio System

    The budget request included a total of $923.7 million for 
the Joint Tactical Radio System (JTRS) development across the 
Department of Defense. JTRS is intended to provide seamless, 
real-time communications among warfighters--through voice, 
data, and video--within and across the services through 
software programmable radio technology. Service requirements 
are ``clustered'' so that similar requirements can be met with 
a single acquisition effort. The lead service for each 
acquisition effort serves as the cluster manager. The Army is 
the manager for JTRS clusters 1 and 5 radios; the Special 
Operations Command is the manager for cluster 2 radios; and the 
Navy and Air Force are the managers for cluster 3 and 4 radios, 
respectively. In March 2005, the Department restructured the 
JTRS program to include a new Joint Program Executive Office 
(PEO), which will coordinate JTRS development.
    The budget request included $156.7 million in PE 64280A, 
for JTRS waveform development and Program Management Office 
(PMO) activities; $393.1 million in PE 64805A, including $375.0 
million for JTRS cluster 1 and JTRS cluster 5 hardware 
development; and $23.5 million in PE 64201A for JTRS aviation 
hardware development and integration. This funding supports 
Army JTRS responsibilities as the Joint Program Management 
Office and clusters 1 and 5 manager.
    The committee has supported the JTRS program in the past 
and continues to believe that a software programmable radio is 
achievable despite the technical challenges associated thus far 
with JTRS program development. However, the committee is 
concerned about recent events regarding JTRS.
          a. The program faces a 30-month delay due to a JTRS 
        hardware redesign to meet National Security Agency 
        certification requirements.
          b. On January 14, 2005, the Deputy Under Secretary of 
        Defense for Acquisition, Technology and Logistics, 
        issued a partial ``stop work'' order to the JTRS 
        cluster 1 contractor so that the contractor could focus 
        the program on the early operational assessment of the 
        program's maturity and capabilities.
          c. On April 25, 2005, the JTRS cluster 1 contractor 
        was issued a ``show cause'' letter indicating the JTRS 
        program would be terminated in 30 days unless the 
        contractor could satisfactorily answer questions 
        regarding cost, performance, and schedule.
    The committee believes that the stop work and potential 
contract termination actions will require a significant amount 
of time for resolution and will require a JTRS program 
restructure or rebaseline. Therefore, the committee recommends 
a decrease of $39.4 million in PE 64280A for a total 
authorization of $117.3 million; a decrease of $193.9 million 
in PE 64805A for cluster 1 and cluster 5 radio development to 
reflect a ``stop work'' order; and a decrease of $75.0 million 
in PE 64805A for cluster 1 radio development, for a total 
authorization of $124.2 million for PE 64805A, including $106.1 
million for JTRS cluster 1 and JTRS cluster 5 hardware 
development.
    The Department of Defense Appropriations Act for Fiscal 
Year 2005 (Public Law 108-287) appropriated $111.5 million for 
the procurement of JTRS cluster 1 radios, originally intended 
to be procured under a low rate initial procurement contract 
for a first quarter fiscal year 2007 multi-service operational 
test and evaluation. Based on recent events, these fund cannot 
be executed as appropriated. The committee encourages the 
Department of Defense to request reprogramming of fiscal year 
2005 JTRS procurement funding into PE 64280A to continue 
development of the JTRS waveform and common operating 
environment and architecture so as not to affect the 
development and fielding of other JTRS clusters. The committee 
is concerned that the Department has not placed sufficient 
emphasis and funding on developing new antenna technologies and 
should make this a priority when the JTRS program is 
restructured.

Tactical vehicle modifications

    The budget request included no funding in PE 64642A, for 
light tactical wheeled vehicle development. The Army's current 
operation tempo demands that advances in lightweight materials, 
advanced load handling, intelligent control systems, ballistic 
protection systems, embedded diagnostics, and suspension 
systems be developed and spiraled into the field as soon as 
possible. The committee recommends an increase of $5.0 million 
in PE 64642A for the research and development of spiral 
technologies for the wheeled tactical vehicle fleet, for a 
total authorization of $5.0 million.

Future tactical truck system

    The budget request included $3.4 million in PE 64622A, for 
family of heavy tactical vehicle development, which conducts 
system development and demonstration of heavy tactical vehicles 
to support combat and combat support missions.
    The budget request included $1.0 million in PE 62601A, for 
the Future Tactical Truck System (FTTS). The committee 
understands that a key enabler of the Army's tactical wheeled 
vehicle strategy is the Expedited Modernization Initiative 
Procedure process, an initiative designed to identify and use 
industry's investments in advanced technologies. The EMIP 
process will be conducted in parallel with the FTTS Advanced 
Concept Technology Demonstration (ACTD) that will assess key 
technologies and emerging service sustainment concepts to help 
develop the requirements for Army and Marine Corps trucks of 
the future, as well as to identify advanced technologies that 
also address current tactical wheeled vehicle needs. The 
committee recommends an increase of $10.0 million in PE 64622A 
for the FTTS ACTD, for a total authorization of $13.4 million.

Protected simulation and test link

    The budget request included $288.8 million in PE 64869A for 
Patriot/MEADS combined aggregate program, but no funding for 
the protected simulation and test link (PSTL).
    The United States is currently engaged in a cooperative 
developmental effort with Germany and Italy to modernize the 
Patriot/MEADS missile defense system. Current United States 
technology protection rules dictate that simulation models 
associated with critical U.S. technology not be released to 
foreign partners. The committee notes that PSTL is a software 
application that will provide the capability for protected 
simulation models to interact with those models that can be 
shared with international partners, thereby facilitating the 
design and development of the Patriot/MEADS system as an 
international joint venture.
    The committee recommends an increase of $1.0 million in PE 
64869A for PSTL.

Unmanned aerial vehicle ice protection

    The budget request included $10.9 million in PE 64258A, for 
target systems development. As unmanned aerial vehicles (UAVs) 
fly further, longer, and higher, they confront some of the same 
challenges as manned aircraft. The committee supports programs 
designed to address current in-flight icing protection 
shortfalls with low-weight, low-cost, low-power options made 
specifically for installation on current and future UAV 
configurations. The committee recommends an increase of $3.0 
million in PE 64258A for fabrication and testing of a self-
activated, automatic deicing system for UAVs.

High performance computing research

    The budget request included $32.3 million in PE 65803A, for 
technical information activities. Use of computer simulation 
tools allows for the rapid analysis of alternative designs for 
armor, structures, specialized weapons, and aircraft 
components. Faster and more accurate modeling of potential 
structural improvements and composite material performance 
could lead to stronger and more flexible force protection 
systems for personnel and equipment. The committee recommends 
an increase of $6.0 million in PE 65803A for advances in high 
performance computing research and improved simulations to 
evaluate the blast resistance of structures and armor.

Retinal/iris multimodal biometrics technology for secure identification

    The budget request included $22.9 million in Research, 
Development, Test, and Evaluation, Army, in PE 33140A, for 
Information Systems Security Program, but included no funding 
for continued research on retinal/iris multimodal biometrics 
(RIMB) technology for secure identification.
    RIMB technology has shown promise as an enhanced form of 
secure identification to protect information systems from 
unauthorized users. The committee recommends an increase of 
$1.0 million in PE 33140A, for the continued development of 
RIMB technology, consistent with the short- and long-term 
technology development, deployment, and integration goals of 
the Department of Defense for biometric identification systems.

Army manufacturing technologies

    The budget request included $68.5 million in PE 78045A, for 
end-item industrial preparedness activities. As the Army 
continues to transform to a flexible, expeditionary force, 
logistical support for existing systems must be maintained and 
improved. Methods and processes designed to ensure sustained 
operational capability of weapons and support systems must move 
into the ``virtual'' world as many original parts and 
maintenance suppliers no longer exist. The Army can not afford 
to cope with manpower and time drains imposed by long 
logistical chains. The committee recommends an increase of $2.0 
million in PE 78045A, to support the virtual parts program, 
which will form a one-stop virtual engineering production 
environment to assist in ensuring the sustained operational 
capability of weapons and support systems.
    The committee further recommends an increase of $10.5 
million in PE 78045A, to accelerate packaging, processing, and 
manufacturing systems. Specific precision manufacturing 
requirements exist on turbine engines, which use advanced 
alloys and ceramic materials that conventional machine 
techniques and tools fail to process. The committee recommends 
an increase of $3.5 million for the super-pulse laser 
processing technology. The committee recommends an increase of 
$4.0 million for the manufacturing system demonstration, and 
$3.0 million for packaging and interconnection technology to 
reduce the weight and cost of electronic and optoelectric 
subsystems and for the adaptation of emerging technologies.
    And finally, the committee notes that the strength-weight 
ratio of titanium makes it an ideal material for use in Army 
manned ground vehicles. The committee recognizes that this 
material also poses challenges as it is difficult, time 
consuming, and expensive to process. The committee recommends 
an increase of $4.5 million in PE 78045A for accelerated 
development of an advanced modeling technology for titanium 
machining. Use of advanced software to simulate a virtual 
machining environment could enable increased processing speeds 
and deeper cuts, resulting in faster production of titanium 
parts to meet Army requirements for survivable manned ground 
vehicles.

                                  Navy



Navy university research

    The budget request included $75.9 million in PE 61103N, for 
university research initiatives. The committee is concerned 
with the low priority placed on long-term research on naval 
sciences by the Department of Defense. The development of 
faster, more efficient, and durable systems for the naval 
environment requires increases in targeted research on 
multifunctional advanced composites, innovative sensors 
technology, advanced engineered materials, and blast resistant 
composites. These research projects have the potential to 
address current threats by providing energy absorbing ship 
hulls, blast resistant grid and foam stiffened structures, and 
advanced remote sensing at higher resolutions. Additional basic 
science in the pursuit of breakthroughs at the intersection of 
engineering, computer science, and neuroscience shows promise 
in providing seamless control of unmanned systems.
    The committee recommends an increase of $8.0 million in PE 
61103N for university basic defense research, including $2.5 
million to accelerate exploration of multifunctional materials; 
$2.5 million for advanced remote sensing; $1.0 million for 
blast and impact resistant composites; and $2.0 million for 
neural engineering for human-machine interfaces.

Navy science and technology outreach

    The budget request included $15.5 million in PE 61152N, for 
In-House Laboratory Independent Research, which supports 
intramural Navy research and efforts to revitalize the 
workforce for key science and technology capabilities. As many 
future military systems continue to increase in technological 
complexity, a robust workforce with discipline-specific 
scientific skills and knowledge is necessary. The Navy's 
special needs in areas such as ocean sciences, advanced 
materials, and electronics will be met through the 
participation of current Navy laboratory personnel in training 
and mentoring the next generation of scientists and engineers. 
Training researchers and innovators is a long-term project 
requiring near-term attention.
    The committee recommends an increase in PE 61152N of $3.0 
million to support continuation of a pilot program--Naval 
Research Science and Technology for America's Readiness (N-
Star). N-Star leverages the resources and expertise available 
in Navy facilities to engage and mentor students who have 
science and engineering aptitude and interests.

Free electron laser

    The budget request included $94.4 million in PE 62114N, for 
power projection applied research, including $10.0 million for 
directed energy and the free electron laser. The committee 
recommends an increase of $5.0 million in PE 62114N for 
accelerated research and development of high power free 
electron laser (FEL) devices based on the successful 
demonstration of high power FELs using energy recovered from 
the super-conducting accelerator technology. The Navy 
identified free electron lasers as a possible future directed 
energy weapon for the defense of Navy assets.

Littoral and undersea security

    The budget request included $101.7 million in PE 62123N, 
for force protection applied research. Navy ships and 
infrastructure are vulnerable to attack from suicide divers and 
other asymmetric hazards. Existing systems to detect and defeat 
such threats require constant monitoring and fixed 
installations. Research programs exploring alternatives, such 
as high frequency passive acoustic arrays and special cameras 
and sensors, have the potential to provide automatically 
monitored, easily constructed, portable, and reliable systems. 
The committee recommends an increase of $4.3 million in PE 
62123N for exploration of undersea security options, including 
$2.0 million for development of a prototype real-time high 
frequency acoustic processor and $2.3 million for undersea 
perimeter security technologies.

Nanomagnetic materials

    The budget request included $101.7 million in PE 62123N, 
for force protection applied research. Future naval 
capabilities such as the electric warship require significant 
amounts of electric power for propulsion, on-board power 
consumption, and ship-based use of power by military aircraft. 
The Navy needs new technology solutions capable of meeting the 
demanding performance requirements of high power density 
machines and power electronics. Current electrical power 
systems use magnetic materials developed for lower power demand 
functions. The committee recommends an increase of $2.0 million 
in PE 62123N for development of nano-engineered materials with 
unprecedented magnetic properties, mechanical strength, and 
temperature capabilities.

Polymeric aircraft components

    The budget request included $101.7 million in PE 62123N, 
for force protection applied research. Polymeric aircraft 
components provide the Navy with an option for lower cost, 
lightweight aircraft. The committee recommends an increase of 
$2.0 million in PE 62123N to support the Navy's efforts to 
develop technologies for production of polymeric aircraft 
components.

Small watercraft propulsion demonstrator

    The budget request included $101.7 million in PE 62123N, 
for force protection applied research. The Navy requires a 
fast, unmanned watercraft to launch and recover unmanned 
underwater vehicles in hostile environments. The committee 
recommends an increase of $3.0 million in PE 62123N for 
research on and fabrication of a small watercraft propulsion 
demonstrator with a 60-knot retrieval capability.

Advanced combat headborne system

    The budget request included $37.6 million in PE 62131M, for 
Marine Corps landing force technology and $56.4 million in PE 
63640M, for Marine Corps advanced technology demonstrations. As 
part of an initiative in blast injury prevention, mitigation, 
and treatment, the committee recommends an increase of $1.0 
million in PE 62131M and $1.0 million in PE 63640M to meet a 
Marine Corps requirement to expand and accelerate the research 
and design of an advanced integrated combat headborne system. 
The redesigned system would improve form, fit, and function; 
and increase protection to the eye, face, neck, and head, while 
maintaining comfort, communications integration, and weight 
reduction.

Critical area protection systems

    The budget request included $57.7 million in PE 62235N, for 
common picture applied research. The committee recommends an 
increase of $2.0 million in PE 63235N for critical area 
protection systems for high resolution situational awareness to 
support antiterrorism and force protection missions. These 
systems could provide land-based antiterrorism and force 
protection units with persistent surveillance capabilities and 
a common operating picture.

SensorNet

    The budget request included $57.7 million in PE 62235N, for 
common picture applied research. The U.S. Government, the 
nation's laboratories, and industry are showing progress in 
developing and improving sensing capabilities. Full utilization 
of these capabilities requires communication and research on 
and development of a prototype information architecture for 
connection of sensors. The committee recommends an increase of 
$12.0 million in PE 62235N for continuation of SensorNet, a 
project to demonstrate sensor-linking within an installation 
and from facility to facility.

Space research

    The budget request included $57.7 million in PE 62235N, for 
common picture applied research. The committee recommends a 
reduction of $7.5 million in this account for a newly initiated 
program of space research as part of the Innovative Naval 
Prototype program. The committee believes that new space 
research efforts should be carefully coordinated with other 
space programs in the Department of Defense and should be 
consistent with the overall Department Space Science and 
Technology Strategy.

Automated video threat recognition

    The budget request included $82.8 million in PE 62236N, for 
warfighter sustainment applied research. The accelerated need 
for persistent surveillance in a variety of situations led the 
Navy to increase emphasis on alternatives to active radars. 
Video, as a passive sensor, could serve threat detection needs 
for naval facilities, ports, and other areas in which even the 
most alert human sentry may fail to identify every approaching 
danger. The committee recommends an increase in PE 62236N of 
$2.5 million for transition of a successfully completed Phase 
II Small Business Innovative Research program to develop an 
automated video surveillance threat recognition algorithm.

Multifunctional composite structures

    The budget request included $82.8 million in PE 62236N, for 
warfighter sustainment applied research. The Navy's increased 
interest in using advanced composites for ship construction is 
designed to produce components with reduced electronic and 
acoustic signatures and lower total ownership costs. Existing 
and developing composite material technologies present an 
opportunity to enhance seaframe speed, agility, safety, and 
tactical advantage. The committee recommends an increase of 
$3.5 million in PE 62236N for development of new systems and 
techniques for the rapid implementation of multifunctional 
composite structures.

Portable water bio-defense

    The budget request included $82.9 million in PE 62236N, for 
warfighter sustainment applied research. Current biological 
warfare detector technology applicable to water analysis is 
generally large, stationary, and time consuming. The committee 
recommends an increase of $3.0 million in PE 62236N for a 
rapid, portable, accurate detection capability for biological 
warfare agents in water.

Seabasing research

    The budget request included $82.9 million in PE 62236N, for 
warfighter sustainment applied research, including a new start 
of $13.9 million for seabasing research. The committee 
recommends a reduction of $5.0 million in this account for the 
newly initiated research program on seabasing technologies. The 
committee is concerned that this new program is not well 
defined to support seabasing concepts of operation, which are 
still under development by the Navy.

Gallium nitride radio frequency power

    The budget request included $47.3 million in PE 62271N, for 
radio frequency (RF) systems applied research. The Department 
of Defense requires enhanced RF power performance for a range 
of current and next generation systems, including surface naval 
radars, airborne communications systems, airborne radars, and 
electronics. Gallium nitride RF power has the potential to 
provide higher power density, higher temperature operation, and 
increased bandwidth, compared to current RF technologies. The 
committee recommends an increase of $2.0 million in PE 62271N 
for gallium nitride RF power technologies.

Integrated littoral sensor network

    The budget request included $71.5 million in PE 62435N, for 
force protection advanced technology, but no funding 
specifically for testing of a portable suite of sensors to 
counter water borne and other hazards in the littorals. 
Detection, characterization, and location of man-made and 
natural waterborne hazards and threats, including pathogens and 
toxins, is an immediate national security need. The committee 
recommends an increase in PE 62435N of $2.5 million for 
generation of a set of tools with portable sensors designed to 
improve accuracy and timeliness of short- and long-term 
detection of hazards in coastal waters and ports.

Coordination and integration of unmanned system teams

    The budget request included $49.5 million in PE 62782N, for 
mine and expeditionary warfare applied research. As unmanned 
systems continue to evolve and perform more dangerous and time 
consuming tasks on behalf of the warfighter, such systems must 
work individually, or in groups, in a manner that does not 
place an additional burden on the operator. Increased 
fundamental science and engineering focused on the tough 
problems of enabling autonomous cooperation within different 
groups of unmanned vehicles would ensure these tools reach 
expected potential as assets to the warfighter. The committee 
recommends an increase in PE 62782N of $3.0 million for work to 
integrate and coordinate teams of unmanned vehicles.

Information sharing for intelligence, surveillance and reconnaissance

    The budget request included $82.5 million in PE 63114N, for 
power projection advanced technology. The Navy possesses the 
technology to effectively target and destroy fixed assets using 
global position system guided weapons. This capability is 
limited by target concealment or motion. Real-time tracking, 
precision location, and in-flight command and control of 
weapons systems continue to pose problems.
    The committee recommends an increase of $3.0 million in PE 
63114N to accelerate research and development of a robust 
airborne and ground information processing architecture. The 
system would support multiple-source and simultaneous 
collection of data for aircraft on intelligence, surveillance, 
reconnaissance, targeting, and engagement (ISRTE) operations. 
The architecture would have the capacity to handle numerous and 
different electronic files such as large imagery files, 
geographical information, intelligence reports, and data 
received from multiple platforms and would advance an important 
aspect of the Navy intelligence, surveillance, and 
reconnaissance plan for engagement of mobile targets.

Force protection advanced technology

    The budget request included $71.5 million in PE 63123N for 
forced protection advanced technology. This program addresses 
applied research associated with providing the capability of 
platform and force protection technologies for all naval 
platforms.
    The budget request included no funding for wireless sensor 
technology for the intelligent monitoring of the health of 
shipboard equipment and machinery. This is a key component to 
reduce workloads, and it could be inserted into one of the 
programmed sea trials for newly delivered ships. The committee 
recommends an increase of $2.0 million in PE 63123N to develop, 
install, and support a number of intelligent component health 
monitoring systems in a sea trial.
    The budget request included no funding for development of a 
mobile manufacturing and repair cell. This cell would reduce 
operating and support costs while maintaining equipment 
readiness in theater. It could be deployed by ship and large 
ground vehicles, and would provide precision, on-demand 
manufacturing of critical parts. The committee recommends an 
increase of $5.0 million in PE 63123N for the development of a 
mobile manufacturing and repair cell.
    The budget request included no funding for the continued 
development of wide bandgap semiconductor substrate materials. 
These materials offer capability for higher power and higher 
frequency operation in high temperature environments across a 
broad spectrum of applications. The committee recommends an 
increase of $8.0 million in PE 63123N for the continued 
development of wide bandgap semiconductor substrate materials.
    The budget request included no funding for a small, light 
system for small arms acoustic and infrared flash detection and 
remote threat response to enemy small arms fire against our 
Marines. The committee recommends an increase of $3.9 million 
in PE 63123N to develop a prototype and test such a system.
    The budget request included no funding for the continued 
design and risk assessment and development of prototypes for 
high temperature superconducting (HTS) generators. The reduced 
size of HTS generators would increase flexibility in ship 
architecture, provide enhanced power density and transient 
response, and improve overall ship performance and 
survivability. The committee recommends an increase of $5.0 
million in PE 63123N for the continued development of HTS 
generators.
    The budget request included no funding for the continued 
development of a ship service fuel cell (SSFC). An advanced 
prototype fuel cell power system demonstrator has been 
developed. Additional performance characterization of the 
demonstrator is required, followed by endurance and latent 
defect testing at the DD(X) land-based engineering site. The 
committee recommends an increase of $6.0 million in PE 63123N 
for the continued development of a SSFC.
    The committee recommends a total authorization of $101.4 
million in PE 63123N for force protection advanced technology.

Improved shipboard combat information center

    The budget request included $60.6 million in PE 63235N, for 
common picture advanced technology. Command Information Center 
(CIC) duty officers receive large quantities of critical data, 
especially during combat operations. They must comprehend and 
process this information quickly. The committee recommends an 
increase of $4.0 million in PE 63235N for near-term development 
of an improved shipboard CIC and to demonstrate integration of 
emerging technologies in automation to improve operations for 
multiple current and future platform designs.

Warfighter sustainment advanced technology

    The budget request included $68.5 million in PE 63236N for 
the development of warfighter sustainment advanced technology, 
but included no funding for body armor development or for 
automated container and cargo handling systems.
    While protective vests have saved many lives, there is a 
requirement for flexible, lightweight, full body armor that 
will protect limbs as well. The committee recommends an 
increase of $3.0 million in PE 63236N for the development of 
full body protective apparel.
    The Navy and Marine Corps continue to develop a concept of 
operations for sea basing. One of the technical hurdles that 
must be achieved to turn this concept into reality is the 
transfer of cargo at sea, in varying sea states. There have 
been some subscale technologies tested as small business 
innovative research programs, but this needs to evolve to full-
scale testing of automated container and cargo handling 
systems. The committee recommends an increase of $4.0 million 
in PE 63236N for the development of automated container and 
cargo handling systems.
    The committee recommends a total authorization of $75.5 
million in PE 63236N.

Navy persistent surveillance

    The budget request included $70.1 million in PE 63271N, for 
radio frequency (RF) systems advanced development. Real-time 
precision target radar supports the Navy's time critical strike 
mission. The committee recommends an increase of $3.0 million 
in PE 63721N to fully configure the APY-6 radar to meet broad 
area maritime surveillance and other emerging unmanned aerial 
vehicle requirements.
    The Navy pursues electronic attack (EA) capabilities for a 
variety of missions with air, sea, and land applications. The 
Department of Defense Unmanned Aerial Vehicle Roadmap 
recommends development and operational assessment of an 
unmanned combat aerial vehicle capable of performing several 
missions including EA. To augment existing systems while 
extending the life of current low-density/high-demand 
electronic attack assets, the committee recommends an increase 
of $3.0 million in PE 63271N for an acceleration of joint 
unmanned aerial vehicle electronic attack capabilities.

Armored patrol vehicle

    The budget request included $56.4 million in PE 63640M, for 
Marine Corps advanced technology demonstrations. Additional 
research to capture emerging technologies in the areas of 
mobility, materials, power generation, propulsion, 
survivability, durability, signature reduction, and modularity 
will speed protection systems for an expanded class of 
vehicles. The committee recommends an increase of $3.0 million 
in PE 63640M for initial development of an armored patrol 
vehicle to address threats posed by blast, projectiles, and 
shock waves.

Laser integrated target engagement system

    The budget request included $56.4 million in PE 63640M, for 
Marine Corps advanced technology demonstrations. The committee 
recommends an increase of $5.2 million in PE 63640M for a 
Marine Corps unfunded requirement to modify the laser 
integrated target engagement system (LITES). The program would 
finance one prototype and laboratory testing of a Marine Corps 
version of the Air Force forward air controllers capability.

Water purification system

    The budget request included $56.4 million in PE 63640M, for 
Marine Corps advanced technology demonstrations. Air 
deliverable, high capacity water purification systems meet a 
critical need during all military missions. Research on high 
efficiency, compact technology will help alleviate the 
significant logistical burden of transporting water. The 
committee recommends an increase in PE 63640M of $7.0 million 
for final development and production of expeditionary warfare 
water purification systems.

Modeling and simulation for urban operations

    The budget request included $187.9 million in Research, 
Development, Test, and Evaluation, Navy, for Joint 
Experimentation, in PE 63727N, but did not include sufficient 
funding to continue development of the modeling and simulation 
for urban operations program. The committee notes that such a 
capability is of great importance to battlefield commanders 
facing complex urban environments such as that faced by U.S. 
Armed Forces in Fallujah, Iraq last year. Preliminary work has 
been initiated on such a capability with promising results, 
both for battlefield commanders and for defense and homeland 
security officials charged with planning for consequence 
management of potential terrorist attacks on the homeland. The 
modeling and simulation for urban operations program is the 
second highest priority of the Commander, U.S. Joint Forces 
Command, for additional funding.
    The committee recommends an increase of $9.9 million in PE 
63727N, to continue development of the modeling and simulation 
for urban operations program.

Surface Navy integrated undersea tactical technology

    The budget request included $122.1 million in PE 63502N for 
surface and shallow water mine countermeasures, but included no 
funding for the surface Navy integrated undersea tactical 
technology (SNIUTT) program. SNIUTT would provide surface ship 
mine countermeasures sonar operators with the simulated 
training necessary to recognize mine-like contacts. This 
concept was originally used by aviation mine countermeasures 
sonar operators, and SNIUTT would leverage this former program. 
The committee recommends an increase of $2.0 million in PE 
63502N for SNIUTT.

Shipboard system component development

    The budget request included $22.2 million in PE 63513N for 
shipboard system component development, including $9.2 million 
for the development of integrated power systems. The budget 
request included no funding specifically for either the 
amorphous metal permanent magnet generator (PMG) set or the 
high temperature superconductor alternating current (HTS-AC) 
synchronous marine propulsion motor.
    An amorphous metal PMG would reduce both weight and size 
when compared to conventional generator sets. Additional 
funding would upscale the current 30 kilowatt prototype to 750 
kilowatts. The committee recommends an increase of $1.5 million 
in PE 63513N for the amorphous metal PMG.
    A 36.5 megawatt HTS-AC synchronous marine propulsion 
prototype motor is being fabricated and tested. A follow-on 
effort can be initiated to modify the motor and power 
electronic drive system designs to meet the evolving 
specifications of the Navy's newest surface combatants. The 
committee recommends an increase of $8.0 million in PE 63513N 
for the continued development of the HTS-AC synchronous marine 
propulsion motor.
    The committee recommends a total authorization of $31.7 
million in PE 63513N.

Improved surface vessel torpedo launcher

    The budget request included $17.3 million in PE 63553N for 
anti-submarine warfare advanced development, but included no 
funding for the improved surface vessel torpedo launcher. This 
launcher would use an automotive airbag inflator launch concept 
in a new launcher, contoured into the deck of future ships. 
Additional funding would allow testing of the production model 
of the breech replacement version of the launcher. The 
committee recommends an increase of $4.5 million in PE 63553N 
for the advanced development of the improved surface vessel 
torpedo launcher.

Guided missile submarine conversion

    The budget request included $24.0 million in PE 63559N for 
design work for guided missile submarines (SSGN). Four former 
Ohio-class ballistic submarines are currently being converted 
into this new class of submarine, which will have the 
capability to provide covert striking power against targets 
ashore and to covertly deliver and support an expeditionary 
force on land.
    One of the most promising technologies for the SSGNs will 
be the ability to deploy unmanned undersea vehicles. To 
capitalize on the experimentation to demonstrate feasibility 
that has already been completed, additional funding is required 
to develop and experiment with the requisite stowage, launch, 
and recovery systems to gain understanding of ship integration 
technologies. The large displacement mission reconfigurable 
unmanned undersea vehicle (LD-MRUUV) would provide flexibility 
to deploy new payloads and sensors. The committee recommends an 
increase of $20.0 million in PE 63559N for integration of LD-
MRUUV into the SSGN as part of the conversion program.

Advanced submarine system development

    The budget request included $163.0 million in PE 63562N for 
advanced submarine system development. Of this amount, $50.0 
million is for the design of a future undersea superiority 
system alternative to the reduced submarine program to include 
consideration of new propulsion systems. The committee is aware 
that this effort was directed by the Department of Defense 
shortly before submission of the budget request, and that it 
was also directed that these funds not just be added to 
existing systems. No specific plans on the use of these funds 
have been provided to the committee.
    The committee has received a study on Fleet Platform 
Architecture that was prepared by the Office of Force 
Transformation in response to section 216 of the National 
Defense Authorization Act for Fiscal Year 2004 (Public Law 108-
136), and is aware that this study recommends investigating 
alternate propulsion systems for submarines.
    In written testimony before the Subcommittee on Seapower of 
the Committee on Armed Services, the Congressional Research 
Service addressed alternate propulsion systems for submarines. 
The air-independent propulsion equipped non-nuclear-powered 
submarine would offer increased low speed submerged endurance 
over the conventional diesel-electric, but comparable submerged 
endurance at high speed. The testimony concluded that these 
alternatives to nuclear-powered submarines are not well suited 
for submarine missions that require: (1) long, completely 
stealthy transits from home port to the theater of operation; 
(2) submerged periods in the theater of operation lasting more 
than two or three weeks; or (3) submerged periods in the 
theater of operation lasting more than a few hours or days that 
involve moving the submarine at something more than low speed. 
The committee is concerned with the reduced capabilities and 
lack of operational flexibility the submarine forces would 
possess with these new propulsion systems.
    The committee is also aware of and supports the ``Tango 
Bravo'' program, being conducted jointly by the Navy and the 
Defense Advanced Research Projects Agency (DARPA). The 
technologies being investigated in this program include 
shaftless propulsion and weapons external to the pressure hull, 
all of which could contribute to a smaller, less expensive 
nuclear-powered submarine with capabilities equivalent to those 
of the Virginia-class submarine.
    Numerous analyses have supported an attack submarine force 
of at least 55 boats. However, the Secretary of the Navy, in an 
interim report to Congress on the annual long-range plan for 
the construction of naval vessels, projects that the number of 
attack submarines required in the future will be between 37 and 
41 boats. The committee is concerned that this reduced number 
of submarines will fall short of the number required by the 
combatant commanders. The committee believes that funds at this 
time should be directed at the class of submarines currently in 
production, and that the production rate should be increased 
above that shown in the Future Years Defense Program as soon as 
possible.
    The committee recommends a decrease of $40.0 million in PE 
63562N, specifically in the future undersea superiority system 
project for development of propulsion alternatives, and that 
the remaining funding be used to complement the development of 
technologies being investigated in the Tango Bravo program by 
DARPA.

Regenerative filtration technology

    The budget request included $253.7 million in PE 63611M for 
the Expeditionary Fighting Vehicle (EFV), but no funding for 
regenerative filtration technology. Recent advances in nuclear, 
biological, and chemical filtration technology have brought 
about the development of regenerative systems that use 
canisters with chemical beds that can be used and cleaned while 
the vehicle is operating. Current technology requires filter 
replacement in a secure environment. In fiscal year 2005, the 
Marine Corps completed Phase I of the plan to develop a 
regenerative filtration system for the EFV, which will provide 
three units of the prototype system for testing. Phase II of 
this project consists of the completion of the system 
development and demonstration phase of the project. The 
committee recommends an increase of $8.5 million in PE 63611M 
for acceleration of Phase II of regenerative filtration 
technology development, for a total authorization of $262.2 
million.

Marine Corps ground and supporting arms systems

    The budget request included $500,000 in PE 63635M, for the 
development of the follow-on to shoulder-launched multi-purpose 
assault weapon (FOTS), but no funding for the development of 
non-lethal weapons nor a sniper detection system.
    The FOTS program will qualify and field an accurate, 
shoulder-fired, assault weapon designed to defeat a variety of 
ground targets on the battlefield, particularly in urban 
environments like those encountered by Marine Corps forces 
engaged in Operation Iraqi Freedom and Operation Enduring 
Freedom. FOTS will replace the Shoulder-Launched Multi-Purpose 
Assault Weapon, which has been in the Marine Corps inventory 
for over 20 years. The committee believes the Marine Corps 
needs to accelerate the development of this weapon system.
    Nonlethal weapon development includes research in support 
of clearing facilities with novel technology and nonlethal and 
scalable weaponization. These initiatives aim to minimize 
collateral damage to infrastructure and personnel, while 
neutralizing facilities and the threats that might be posed to 
these facilities and the personnel that occupy them. 
Additionally, an urban operations environmental laboratory will 
provide assessment and analysis of the affects of nonlethal 
technologies to ensure minimum environmental and collateral 
damage when used in urban activities. The committee believes 
that the Marine Corps must have a broad range of responses to 
contain and manage emerging threats before, during, and after 
conflict, and with minimum collateral damage. Therefore, the 
committee supports these initiatives.
    The Marine Corps requires a means to locate hostile fire to 
address survivability for forces in urban environments such as 
Iraq. No existing system can locate sources of sniper fire 
quickly and dependably. However, the committee believes that 
technology exists to develop a system that uses a thermal 
source-of-fire indicator to pinpoint the location from which a 
shot has been fired.
    The committee notes that the Commandant of the Marine Corps 
has identified additional funding for FOTS development, 
nonlethal weapon development, and a sniper detection system 
development on his unfunded priorities list.
    The committee recommends the following:
          (1) an increase of $14.0 for FOTS development;
          (2) an increase of $5.5 million for the nonlethal 
        weapons urban operations laboratory to expand the 
        assessment, analysis, neutralization, and development 
        of capabilities to ensure minimum environmental and 
        collateral damage with nontraditional and traditional 
        capabilities;
          (3) an increase of $2.9 million to conduct research 
        in support of clearing facilities with novel 
        technology;
          (4) an increase of $2.6 million for nonlethal 
        technology weaponization to conduct additional 
        research, education, and training to meet the goals of 
        modern nonlethal and scalable options for Marine Corps 
        forces deployed around the world; and
          (5) an increase of $7.4 million to develop an anti- 
        sniper infrared targeting system.
    The committee recommends a total authorization of $32.9 
million in PE 63635M.

Marine mammal detection and mitigation

    The budget request included $4.54 million in PE 63721N, for 
environmental protection. The committee notes that there 
continues to be intense interest in the issue of sonar and 
other sound impacts on marine mammals. Research of this type 
will increase the scientific body of knowledge necessary to 
maintain the combat training necessary for military readiness 
while also protecting marine mammals. Better systems to detect 
marine mammals will aid in development of systems and 
procedures to mitigate potential impacts. Data collected from 
such systems will also be invaluable in better understanding 
migration routes, population densities, and habits.
    The committee recommends an increase of $5.0 million in PE 
63721N for marine mammal detection and mitigation.

Navy logistics common operating picture

    The budget request included $51.2 million in PE 64231N for 
the Tactical Command System, but contained no funding for the 
Navy logistics common operating picture (LOGCOP). Navy LOGCOP 
is a logistics decision support and management tool based on 
predictive software technology that was developed under a Navy-
sponsored small business innovative research program. The 
committee recommends an increase of $2.0 million in PE 64231N 
for the development of Navy LOGCOP.

Automatic radar periscope detection and discrimination

    The budget request included $29.5 million in PE 64261N for 
acoustic search sensors, including $12.2 million for the 
automatic radar periscope detection and discrimination (ARPDD) 
project. ARPDD provides a fully automated periscope detection, 
classification, and tracking capability to reliably detect 
periscopes and masts in complex, cluttered environments. The 
committee recommends an increase of $3.0 million in PE 64621N 
to accelerate the ARPDD project.

DD(X) destroyer integrated propulsion system

    The budget request included $1,114.8 million in PE 64300N 
for DD(X) destroyer total ship systems engineering. The budget 
request included no funding for completing the development of 
the integrated power system for this ship, since final 
developmental testing of the integrated power system is 
expected to be completed in fiscal year 2005 prior to the 
ship's critical design review and the subsequent transition of 
funding to the Shipbuilding & Conversion, Navy account for 
detail design.
    In proof of concept tests prior to shipment to the Navy's 
land-based test facility, the primary propulsion motor planned 
for the integrated power system, the permanent magnet motor 
(PMM), experienced a failure. The failure was determined to be 
caused by insulation, resulting in damage to the stators of the 
motor. To maintain schedule to meet the ship critical design 
review, the Navy has decided to fall back to an alternate 
propulsion motor, the advanced induction motor (AIM), for 
demonstration at the land-based test facility. Use of the AIM 
would add 300 tons to the weight of the DD(X). Funding is not 
adequate to pursue both technologies.
    The committee believes that continued development of the 
PMM is warranted, if not for incorporation in the lead ship, 
for incorporation in following ships. The committee recommends 
an increase of $10.0 million in PE 64300N for continued 
development and testing of the PMM for the DD(X) destroyer.

Affordable towed array construction

    The budget request included $95.5 million in PE 64503N for 
submarine systems equipment development, but included no 
funding for the continued development of new, highly reliable, 
low cost fiber optic towed arrays. Funding is required to 
accelerate system performance verification testing, demonstrate 
array architectural flexibility, implement automated 
manufacturing equipment, and qualify commercial suppliers. The 
committee recommends an increase of $6.0 million in PE 64503N 
for the development of affordable towed array construction.

New Design SSN

    The budget request included $155.8 million in PE 64558N for 
the continuing development of the Virginia-class submarine. The 
development efforts in this program are to evaluate a broad 
range of system and technology alternatives to directly support 
and enhance the mission capability of this class of submarine.
    The budget request included no funding to develop the 
multi-mission module concept, with the focus to identify 
flexible payload concepts. The committee believes that the 
baseline Virginia-class design allows for integration of 
innovative payloads and sensors, which would enhance its 
capability. The committee recommends an increase of $30.0 
million in PE 63558N for multi-mission module development.
    The budget request included no funding to develop a large 
aperture bow array for the Virginia-class submarine. This array 
has the potential to allow for the rapid insertion and spiral 
development of future sensor technologies, increasing sonar 
performance at a lower cost than the current spherical array. 
The committee recommends an increase of $10.0 million in PE 
64558N for development of a large aperture bow array.
    The budget request included no funding to transition the 
small business innovative research programs for advanced 
processing builds and multipurpose processor rapid commercial, 
off-the shelf insertion. Transition of these efforts would lead 
to an infrastructure for the Virginia-class submarine that 
could support insertion of network-centric intelligence, 
surveillance, and reconnaissance. The committee recommends an 
increase of $4.0 million in PE 64558N for network-centric 
capability technology insertion.
    The committee recommends a total authorization of $199.8 
million in PE 64558N.

Submarine tactical warfare system

    The budget request included $40.7 million in PE 64562N for 
submarine tactical warfare systems development. This program 
develops commercial, off-the-shelf based software and hardware 
upgrades to integrate improved weapons and tactical control 
capabilities for all submarine classes.
    The budget request included no funding specifically for the 
insertion of common open architecture technology. Open 
architecture is key to enabling timely weapons system software 
upgrades. The committee recommends an increase of $3.5 million 
in PE 64562N for submarine common open architecture technology 
insertion.
    The budget request included no funding to initiate the 
development of the automated submarine command and control 
center. This development would reduce the number of personnel 
necessary for submarine attack center operations. The committee 
recommends an increase of $3.5 million in PE 64562N for 
development of the automated submarine command and control 
center.
    The committee recommends a total authorization of $47.7 
million in PE 64562N.

Autonomous unmanned surface vessel

    The budget request included $45.9 million in PE 64755N for 
detection and control for ship self-defense, but included no 
funding for the continued development of the autonomous 
unmanned surface vessel (AUSV), which is being developed as a 
concept demonstrator for potential anti-terrorism force 
protection missions and to protect harbors and coastal 
facilities. The committee recommends an increase of $5.2 
million in PE 64755N for the continued development of the AUSV.

NULKA anti-ship missile decoy development

    The budget request included $24.0 million in PE 64757N for 
development of soft kill technologies for ship self-defense and 
$1.0 million for the continuing development of the NULKA decoy. 
NULKA is an offboard, active decoy designed to counter a wide 
variety of present and future radar-guided anti-ship missiles. 
Continued development of NULKA is necessary to counter anti-
ship missiles that may migrate to other frequency bands or use 
dual mode seekers. The committee recommends an increase of $9.0 
million in PE 64757N for the continued development of the NULKA 
decoy.

Navy medical research

    The budget request included $7.2 million in PE 64771N, for 
medical development. The Department of Defense medical research 
continues to produce results in the form of vaccines and 
treatments to address the threat posed by biological weapons 
and naturally occurring illnesses in areas of military 
operation. Enhanced distribution techniques and more efficient 
delivery of treatments would further reduce logistical and 
personnel requirements, while increasing protection. The 
committee recommends an increase of $3.5 million in PE 64771N 
for non-invasive vectored vaccine research to explore a new 
approach to production of a consistent, highly immunogenic, and 
easily manufactured and administered vaccine.
    Research on methods to prevent and address severe blood 
loss due to combat injuries challenges both the Army and Navy 
medical communities. Various blood preservation developments 
combined with innovations in blood loss treatments and blood 
replacement therapies yield life saving advances. Additional 
work in these areas would reduce treatment side effects and 
prolong the viability of blood substitutes. The committee 
recommends an increase of $9.0 million in PE 64771N, including 
$3.0 million to facilitate hemostatic therapy trials; $2.0 
million for advanced research and development to improve the 
QuickClot treatment for internal use; and $4.0 million for 
evaluation of the safety and efficacy of a room and elevated 
temperature stable hemoglobin-based oxygen carrier.

Shared Reconnaissance Pod logistics support

    The budget request included $88.7 million in PE 24136N for 
F/A-18 improvements, but included no funding for Shared 
Reconnaissance Pod (SHARP) logistics support. The SHARP system 
is an electro-optical/infrared system that is capable of 
collecting long- and medium-range imagery and can record or 
data link the imagery to provide the combatant commander 
information with which to identify possible targets. The 
development of logistics support for 21 SHARP systems--
including interactive electronic technical manuals, completion 
of specific tasks associated with the Automated Maintenance 
Environment, and fleet aircrew and maintenance training 
curricula and maintenance training aids--are required for SHARP 
to achieve full operational capability. SHARP logistics support 
is included on the Chief of Naval Operations' unfunded 
priorities list. The committee recommends an increase of $3.2 
million in PE 24136N for SHARP logistics support.

Marine Corps communications systems

    The budget request included $237.1 million in PE 26313M, 
for communications systems development, including $18.3 million 
for the development of the ground/air task orientated radar (G/
ATOR) and $5.8 million for the development of the distributed 
common ground/surface system (DCGS). The budget request 
included no funding for the Critical Infrastructure Protection 
Center (CIPC).
    The G/ATOR program is a single material solution for the 
Multi-Role Radar System (MRRS) and Ground Weapons Locator Radar 
(GWLR) requirements that replaces and consolidates the 
capability of numerous legacy radars, including the AN/TPS-63 
air surveillance, AN/MPQ-62 force control, AN/TPS-73 air 
traffic control, and AN/UPS-3 air defense radar systems. 
Current radar performance does not meet operational forces' 
requirements. Additional funding for G/ATOR development is on 
the Commandant of the Marine Corps' unfunded priorities list. 
The committee recommends an increase of $3.5 million in PE 
26313M for G/ATOR.
    The DCGS is a collection of service systems that will 
contribute to joint and combined war fighter needs for 
intelligence, surveillance and reconnaissance support. The DCGS 
integrated backbone (DIB) is the architecture that will tie the 
services' DCGS systems together into one family of systems. The 
committee notes that the Marine Corps portion of the DCGS has 
not been integrated into the DIB. The committee recommends an 
increase of $4.8 million in PE 26313M to complete integration 
efforts.
    The mission of CIPC is to foster system security 
engineering solutions for critical infrastructure protection by 
integrating information operations, emergency management, and 
other critical infrastructure protection initiatives. The 
committee notes that the Marine Corps has an ongoing 
requirement to perform information systems security functions 
that could be addressed by the CIPC. The committee recommends 
an increase of $3.5 million in PE 26313M, for information 
system security development.
    The committee recommends a total authorization of $248.9 
million in PE 26313M.

Marine Corps ground combat and supporting arms systems

    The budget request included $48.4 million in PE 26623M for 
the development of Marine Corps ground combat and supporting 
arms systems, including $1.8 million for the Family of Raid and 
Reconnaissance equipment program and $7.1 million for the 
Expeditionary Fire Support System (EFSS), but no funding for 
the Light Armored Vehicle (LAV) Sense and Respond Support 
System.
    EFSS will be the primary indirect fire support system for 
the vertical assault element of the ship-to-objective maneuver 
force and is intended to fill the third ``leg'' of the Marine 
Corps' indirect fires triad, complementing longer-range systems 
such as the M777 155mm lightweight towed Howitzer and the High 
Mobility Artillery Rocket System. Munition development lags 
equipment development. Additional funding for EFSS is on the 
Commandant of the Marine Corps' unfunded priorities list. The 
committee recommends an increase of $11.0 million to modify 
existing munitions from the family of 120mm rifled mortar 
rounds for use with EFSS.
    The Family of Raid and Reconnaissance equipment program 
supports the research, development, and procurement actions for 
multiple airborne and specialized reconnaissance-related 
programs. Without a flexible multi-mission support platform, 
the Marine Corps cannot take full advantage of its recent 
investment in the Underwater Reconnaissance Capability (URC). 
URC consists of an advanced diver propulsion device, state-of-
the-art hydrographic mapping equipment, and other critical 
maritime reconnaissance equipment to include the Multi-Role 
Intermediate Support Craft (MRISC), a replacement for the 
outdated and inefficient Combat Rubber Raiding Craft. The 
Marine Corps is currently evaluating commercial, off-the-shelf 
variants and additional funding would accelerate that 
evaluation. The committee recommends an increase of $9.5 
million for the MRISC.
    For the last two years, the Marine Corps has been studying 
the creation of a Sense and Respond Support System to monitor 
overall system health of the LAV. The Marine Corps needs to 
develop the technology to embed a variety of sensors in metal 
parts of the LAV. Successful implementation of this technology 
will decrease maintenance ``down'' time, increase readiness, 
and be a better predictor of vehicle life throughout its life 
cycle. The committee recommends an increase of $4.0 million for 
development of a LAV SRSS.
    The committee recommends a total authorization of $72.9 
million in PE 26623M.

Battlefield management system

    The budget request included $10.5 million in PE 26624M, for 
the development of combat service support equipment, but no 
funding for the battlefield management system (BMS). The 
committee understands that the Marine Corps is currently 
exploring ways to improve situational awareness for Marine 
Corps armored ground vehicles and mechanized infantry at the 
platoon, company, and battalion level by providing target 
acquisition, fire coordination, sensor-to-shooter target 
management, mounted navigation, and instant dissemination of 
situational awareness information. The Marine Corps is ready to 
initiate Phase II of the program which will address Phase I 
technical issues of integrating BMS into the M1A1 Tank and the 
Amphibious Assault Vehicle. The committee recommends an 
increase of $1.5 million in PE 26624M for BMS development, for 
a total authorization of $12.0 million.

RQ-8B Firescout vertical takeoff and landing unmanned aerial vehicle

    The budget request included $77.6 million in PE 35204N for 
the development of tactical unmanned aerial vehicles, including 
$60.1 million for the development of the RQ-8B Firescout 
vertical takeoff and landing unmanned aerial vehicle (VTUAV). 
The Firescout VTUAV was designed to provide real-time 
intelligence, surveillance, and reconnaissance data to tactical 
users. A Firescout system is composed of three air vehicles, 
sensors, and control systems. The Firescout VTUAV will be 
common to the three modules to be incorporated on the Littoral 
Combat Ship (LCS). Additional funding for the Firescout VTUAV 
was included on the Chief of Naval Operations' unfunded 
priorities list to support the first LCS deliveries.
    The committee recommends an increase of $39.0 million in PE 
35204N to procure six additional Firescout air vehicles and 
sensor packages to support the completion of developmental and 
operational testing and integration with the first deliveries 
of LCS.

Distributed common ground system--Navy

    The budget request included $12.4 million in PE 35208N for 
development of the distributed common ground system for the 
Navy (DCGS-N), but included no funding for integration of the 
advanced field artillery tactical data system (AFATDS), which 
provides automated command and control for the firepower aboard 
Navy ships. The converged architecture enabled by DCGS-N 
provides unparalleled flexibility to the warfighter and rapid 
response capability against relocatable, time critical targets. 
Currently, fire control information must be manually 
transferred between DCGS-N and AFATDS. The committee recommends 
an increase of $3.2 million in PE 35208N for the integration of 
AFATDS into the DCGS-N architecture.

National shipbuilding research program--advanced shipbuilding 
        enterprise

    The budget request included no funding in PE 78730N for 
maritime technology. In recent years, funding provided by this 
line was used for the national shipbuilding research program--
advanced shipbuilding enterprise (NSRP-ASE). This enterprise is 
a collaborative effort between the Navy and industry, which has 
yielded new processes and techniques that reduce the cost of 
building and repairing ships. The program has already 
documented a positive return on investment.
    Section 242 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375) 
expressed the sense of the Congress that the Secretary of 
Defense should continue to fund this program at a sustaining 
level. With a shrinking industrial base for shipbuilding 
already driving higher costs, this type of initiative is 
essential to providing efficiencies. The committee believes it 
is shortsighted not to invest in improved processes that would 
reduce the cost of shipbuilding. The committee recommends an 
increase of $10.0 million in PE 78730N for the NSRP-ASE.

                               Air Force



Air Force basic science

    The budget request included $223.9 million in PE 61102F, 
for Air Force defense research sciences. Innovative work 
supported by the Air Force basic research accounts is key to 
ensuring that our military has future capabilities and 
equipment to meet emerging threats. Applications such as air 
combat systems and ground support optoelectronics have 
foundations in novel nanomaterials used for the development of 
optical devices which are, in turn, components of information 
processing systems. The ability to quickly, securely, and 
reliably process information enables information dominance, one 
of a number of broad defense objectives. The committee 
recommends an increase of $2.5 million in PE 61102F, for 
nanophotonic components, the building blocks of electronic 
materials in a number of aircraft, ship, and soldier systems.
    Air Force missions in the areas of reducing time to target 
and rapid response to global threats require basic and applied 
research on missile propulsion systems. Research on hypersonic 
engine designs have produced some early results over the last 
year. Design tools to predict and monitor performance of 
propulsion and control systems are needed, as are trained 
experts to move promising research forward. The committee 
recommends an increase of $4.0 million in PE 61102F to expand 
basic hypersonics research and to develop a strong academic 
program in hypersonics flow physics.

Secure, assured information sharing

    The budget request included $105.0 million in PE 61103F, 
for university research initiatives. Air Force university 
research supports defense related basic science in a wide range 
of scientific and engineering disciplines important to 
maintaining U.S. military technology superiority. One basic 
science pursuit of increasing significance involves 
investigation into information management in the ``need to 
know'' and ``need to share'' environments. The committee 
recommends an increase of $2.5 million in PE 61103F to expand 
research on novel approaches to information sharing 
requirements and to address policies, procedures, and 
technology to meet differing security protection levels and 
requirements.

Blast resistant barriers

    The budget request included $74.2 million in PE 62102F, for 
materials research. The committee supports research focused on 
the development of materials, composites, and structural 
designs to protect personnel and equipment from the threat of 
vehicle borne and other explosive device delivery methods. A 
variety of commercial and ``makeshift'' barricades currently 
provide protection to bases, facilities, and structures in the 
homeland and abroad. The committee recommends an increase of 
$4.0 million in PE 62102F for research and development of blast 
resistant barriers, including engineering of materials for 
different structural designs, testing, and establishment of 
blast barrier standards.

Air Force materials research

    The budget request included $74.2 million in PE 62102F, for 
materials research. The committee recommends an increase of 
$1.0 million in PE 62102F for nano-particle materials coating 
research. This research has the potential to develop advanced 
aeronautical coatings to improve the reliability and corrosion 
resistance of Air Force platforms.
    The Department of Defense has a need for improved, 
affordable aerospace structures. Composite materials offer the 
potential for cost and weight savings along with improved air 
and space vehicle performance. The committee recommends an 
increase of $2.0 million in PE 62102F for accelerated 
development of complex composite structures for manned and 
unmanned air vehicles.

Nano-technologies for chemical and biological defense

    The budget request included $79.4 million in PE 62202F, for 
human effectiveness applied research. Progress has been made in 
development of multiple-step processes for the detection, 
identification, and neutralization of single biological agents. 
A system capable of executing all three steps at once for a 
wide range of bio-agents, in different environments, would add 
value to existing capabilities. The committee recommends an 
increase of $1.0 million in PE 62202F to augment ongoing 
research on the use of pulsed power plasma produced nano-
particles to detect, identify, and defeat pathogens in a one-
step process.

Hypersonics engine research and integration

    The budget request included $107.5 million in PE 62203F, 
for aerospace propulsion, including $18.9 million for advanced 
aerospace propulsion technologies and hypersonic weapons and 
aircraft concepts. The committee notes that the X-43A 
successfully achieved Mach 9.8 during test flights last year, 
and believes that the joint Air Force and National Aeronautics 
and Space Administration (NASA) X-43 effort represents an 
important technology pathway to achieving a hypersonic 
operational capability.
    The committee recommends an increase of $12.0 million in PE 
62203F to support a more aggressive hypersonics scramjet 
research program, to facilitate additional ground testing of 
the X-43 engine, and to evaluate initial concepts for 
integration of engine and vehicle designs. The committee 
strongly encourages NASA and the Air Force to work jointly on 
this program and to support the multi-engine demonstrator in 
future budget requests.
    The committee notes that magnetohydrodynamics (MHD) may 
have applications when integrated with hypersonic vehicles now 
under development. The committee believes a better 
understanding of the advantages of the technology, the 
technical challenges to its use, and the potential for 
incorporation into hypersonic vehicle designs would be 
beneficial. The committee directs the Secretary of Defense, in 
coordination with the Administrator of the National Aeronautics 
and Space Administration, to provide a report to the 
congressional defense committees, by March 15, 2006, surveying 
both classified and unclassified MHD research conducted in the 
past and provide recommendations on whether military 
applications may be derived from MHD technology.

Space technology

    The budget request included $84.5 million in PE 62601F, for 
space technology. In response to Department of Defense 
guidance, the Air Force research community embarked on an 
effort to support the space dominance mission. Integration of 
multiple functions into single space structures capable of 
autonomous fabrication and assembly represents a key focus of 
investigation in this area. Nano-reinforced structural space 
systems and advanced multifunctional space structures show 
promise in facilitating major improvements in space structure 
utility and performance. The committee recommends an increase 
of $2.0 million in PE 62601F for expanded research in both of 
these structural areas and for examination of concepts for 
weight and cost reduction of space structural systems.
    The committee further recommends an increase of $6.0 
million in PE 62601F, including $3.0 million for the deployable 
space structures experiment, a general effort to lower the cost 
of spacecraft by instituting commonality and modularity in the 
construction of satellites; and $3.0 million for integrated 
control for autonomous space systems, a program focused on 
development of advanced satellite control and measurement 
technologies needed to operate Air Force space and airbreathing 
systems.

Adaptive optics research

    The budget request included $37.7 million in PE 62605F, for 
directed energy research. Advanced digital communications allow 
for high levels of data transfer and rapid processing of visual 
images in support of network centric warfare. The Air Force has 
been doing work with lasers to expand communications bandwidth 
and to increase digital communication capabilities. The 
committee recommends an increase of $3.0 million in PE 62605F 
to accelerate this work and to support adaptive optics research 
for laser communications systems.

Integrated spacecraft engineering tool

    The budget request included $60.9 million in PE 63401F for 
Advanced Spacecraft Technology, but no funding for the 
integrated spacecraft engineering tool (ISET).
    ISET would be used to build software models to enable 
satellite system designers, builders, and operators to 
accurately and reliably model and predict the performance of 
space systems. This would provide significant cost savings in 
the development and integration of future satellite systems and 
aid in the analysis of alternatives for prospective space 
systems.
    The committee recommends an increase of $3.0 million in PE 
63401F to develop, demonstrate, and validate an integrated 
spacecraft engineering tool--to support rapid prototyping, and 
to collaborate research, development, testing, and evaluation 
of advanced spacecraft and aerospace vehicles.

Laser eye protection

    The budget request included $36.7 million in PE 63112F, for 
advanced materials for weapon systems. The committee recommends 
an increase of $5.0 million in PE 63112F to address an Air 
Force requirement for laser eye protection.

Metals affordability initiative

    The budget request included $36.7 million in PE 63112F, for 
advanced materials for weapons systems. The committee 
recommends an increase of $2.0 million in PE 63112F for 
unfunded priority Air Force research on specialty aerospace 
metals as part of the Metals Affordability Initiative. This 
type of research could lead to cheaper and higher performance 
aerospace metals and alloys, which will contribute 
significantly to future military air and space capabilities.

Aerospace propulsion and power technologies

    The budget request included $77.3 million in PE 63216F, for 
aerospace propulsion and power technology. Traditional oil 
lubrication of propulsion and power systems carries operation 
and maintenance costs that could be avoided through the use of 
alternative technologies. The committee recommends an increase 
in PE 63216F of $3.0 million to advance the more electric gas 
turbine research to a technology readiness level for prototype 
development and testing. Application of this technology could 
improve performance, reliability, and cost-effectiveness of 
propulsion and power systems by replacing oil lubrication with 
magnetic and electrical components in gas turbine engines.
    The Air Force is pursuing research on reusable high-speed 
turbine engines for a hypersonic cruise missile. The Air Force 
Science and Technology unfunded priority list includes a 
request for additional research on a Mach 4+ turbine engine for 
rapid long-range strike and operational responsive space lift. 
The committee recommends an increase of $10.0 million in PE 
63216F for the advanced supersonics cruise missile, to meet the 
Air Force unfunded requirement in this area and to accelerate 
and expand ground demonstrations to include critical 
integration technologies such as the supersonic inlet, exhaust 
nozzle and afterburner subsystems.

Versatile affordable advanced turbine engines

    The budget request included $77.3 million in PE 63216F, for 
aerospace propulsion and power technologies. The Versatile 
Affordable Advanced Turbine Engine (VAATE) program is a joint 
program between the Departments of Defense and Energy, the 
National Aeronautics and Space Administration, and industry to 
develop, demonstrate, and transition advanced, multiuse turbine 
engine technologies. The committee recommends an increase of 
$2.5 million in PE 63216F to meet Air Force requirements for 
accelerated development of these technologies that could be key 
to the evolution of long-endurance, high efficiency engines for 
emerging unmanned aerial combat systems.

Ballistic missile technology

    The budget request included $60.9 million in PE 63401F for 
advanced spacecraft technology.
    The committee is aware of the need to develop common 
advanced guidance technology applicable to Air Force and Navy 
strategic ballistic missile systems and future space vehicles. 
These efforts support capabilities needed to fulfill validated 
requirements for land-based strategic deterrence and prompt 
global strike.
    The committee recommends an increase in $5.0 million in PE 
63401F for advanced technology demonstrations in guidance and 
control, flight computers, vehicle structures, and range safety 
technology.

AC coupled interconnect

    The budget request included $60.9 million in PE 63401F, for 
advanced spacecraft technology.
    The committee notes that the Air Force has been exploring 
ways for satellites to operate more effectively on the limited 
power offered by solar cells. AC coupled interconnect is a new 
technique that would provide for the connecting of electronic 
chips in computer and electronic equipment at more efficient 
rates. In 2004, a key demonstration of this technology resulted 
in chips communicating with each other at 6 GHz. Additional 
funding would produce a complete technology for connecting 
electronic chips for all fields of application, including 
satellites.
    The committee recommends an increase of $3.0 million in PE 
63401F for AC coupled interconnect development.

Energy cells for defense and intelligence applications

    The budget request included $60.9 million in PE 603401F, 
for advanced spacecraft technology, but no funding for the 
development of Beta Energy Cells (BEC).
    The committee understands that BEC can be used to charge 
batteries and super capacitors to greatly extend the 
operational life of critical military and intelligence systems.
    The committee recommends an increase of $3.0 million in PE 
603401F to complete the development phase of BEC research and 
make prototype products available to defense and intelligence 
users.

Radically Segmented Launch Vehicle

    The budget request included $61.0 in PE 63401F, for 
advanced spacecraft technology, but no funding for the 
Radically Segmented Launch Vehicle (RSLV)
    The RSLV program addresses a broad range of Department of 
Defense mission requirements for low-cost, routine, and 
responsive space launch. Program development and risk reduction 
for responsive space launch is currently performed under a 
joint Air Force, National Air and Space Administration, and 
Defense Advanced Research Project Agency program management 
arrangement. The committee is supportive of efforts to acquire 
an operationally responsive space capability to support the 
warfighter.
    The committee recommends an increase of $4.0 million in PE 
63401F to perform engineering development, prototype hardware 
fabrication, and ground testing of the RSLV for the purpose of 
mitigating technical risk and validating cost savings 
potential.

Thin film amorphous solar arrays

    The budget request included $60.9 million in PE 63401F, for 
advanced spacecraft technology, but no funding for thin film 
amorphous solar arrays.
    The committee is aware of the need to reduce the cost of 
satellite launches, which is driven to a large extent by the 
weight of satellite payloads. The committee believes research 
on thin film amorphous solar arrays has the potential to 
produce solar arrays that are significantly less expensive, 
lighter, and more efficient than current solar arrays.
    The committee recommends an increase of $10.0 million in PE 
63401F for thin film amorphous solar array research and 
development.

High Accuracy Network Determination System

    The budget request included $5.8 million in PE 63444F, for 
the Maui space surveillance system, but no funding for the High 
Accuracy Network Determination System (HANDS).
    The Air Force satellite control network maintains careful 
management of satellites that perform missions of crucial 
importance to national security, such as detecting ballistic 
missile launches against the United States as well as space 
launches and nuclear detonations. HANDS technology has the 
potential to increase the accuracy of the data gathered in 
support of this mission.
    The committee recommends an increase of $5.0 million in PE 
63444F to research, develop, and demonstrate capabilities of 
HANDS technology.

Laser threat warning attack reporting

    The budget request included $53.4 million in PE 63500F, for 
the multidisciplinary advanced development space program.
    The committee notes that U.S. space systems are becoming 
increasingly vulnerable to deliberate hostile or intrusive 
attacks from lasers deployed by foreign governments and 
terrorist groups. The purpose of the laser threat warning 
attack reporting (LTWAR) for space program is to develop 
electro-optical sensors capable of detecting such laser 
radiation incidents on space systems.
    The committee recommends an increase of $5.0 million in PE 
63500F to accelerate the LTWAR.

Enable network centric warfare

    The budget request included $30.1 million in Research, 
Development, Test, and Evaluation, Air Force, for Command, 
Control, Communications, and Intelligence Advanced Development, 
but included no funding for science and technology efforts to 
continue development and fielding of advanced capabilities that 
will facilitate the ability of air platforms to engage in 
airborne networking and improve their ability to participate in 
network centric operations.
    The enable network centric warfare program is an urgent 
need requirement that was identified by the Commander, U.S. 
Central Command (CENTCOM), after the fiscal year 2006 
President's budget request had been submitted. The concept of 
network centric warfare is being implemented within the 
Department of Defense, but challenges remain in developing the 
capabilities to fully enable airborne platforms to be 
integrated into network centric operations. This integration 
effort is expected to result in a reliable, secure, and assured 
network centric communications infrastructure for ground mobile 
and airborne platforms that will improve the ability of 
battlefield commanders to see the battlespace and coordinate 
the use of weapons systems.
    The committee recommends an increase of $3.2 million in PE 
63789F, to accelerate development and fielding of operational 
airborne networking equipment for network centric operations 
and more quickly meet the urgent need requirement of the 
Commander, U.S. CENTCOM.

Military satellite communications

    The budget request included $835.8 million in PE 63845F, 
for the Transformational Satellite Communications system (TSAT) 
and $665.3 million in PE 63430F, for the Advanced Extremely 
High Frequency (AEHF) system.
    The committee recognizes the increasing importance of 
communications to net-centric military operations and remains 
supportive of the TSAT effort to provide substantial increases 
in bandwidth to the military and intelligence user. The 
committee notes, however, that while TSAT has been an 
acquisition program since January 2004, only one of its seven 
critical technologies is mature, according to the Government 
Accountability Office's 2005 assessment of major weapon 
programs.
    The committee has been concerned that the technical risks 
in the program are very high given the state of critical 
technology development. In hearings before Congress in 2004 and 
2005, then- Under Secretary of the Air Force, Peter Teets, 
acknowledged that if the TSAT program were to experience 
unanticipated problems, the Air Force would adjust its strategy 
by taking ``acquisition off-ramps.'' These off-ramps or back-up 
technologies are associated with critical technologies from the 
Advanced Extremely High Frequency (AEHF) satellite program.
    Given the technological risks associated with TSAT, the 
committee recommends that the Air Force provide funding to the 
AEHF program for the development and procurement of a fourth 
AEHF satellite. The committee directs the Air Force to focus 
TSAT funding and development efforts primarily on those 
activities directly related to maturing critical technologies. 
Finally, the committee recommends that the Air Force consider 
incorporating available maturing TSAT technologies into the 
fourth AEHF satellite, if feasible. This approach is in 
accordance with the Department of Defense's updated space 
acquisition policy, which states that evolutionary acquisition 
is the preferred strategy for rapid acquisition of mature 
technology for the user. Procuring a fourth, incrementally 
enhanced AEHF satellite could serve to shorten the time in 
moving from AEHF to TSAT capabilities as well as reduce the 
overall risks in achieving TSAT capabilities.
    In accordance with these recommendations, the committee 
recommends a decrease of $200.0 million in PE 63845F for TSAT 
and an increase of $100.0 million in PE 63430F for AEHF.

Space radar

    The budget request included $225.8 million in PE 63858F, 
for space radar (SR).
    In the statement of managers accompanying the Ronald W. 
Reagan National Defense Authorization Act for Fiscal Year 2005 
(Public Law 108-375), the conferees expressed the view that 
while they were strongly supportive of radar satellites, the 
Air Force cost estimates for the notional space based radar 
(SBR) architecture, as presented in the fiscal year 2005 budget 
request, made the system potentially unaffordable. The 
conferees noted that affordability would be dependent on the 
development of a single radar satellite system to meet both 
military and intelligence community needs and the integration 
of the space-based radar into an architecture consisting of 
other intelligence, surveillance, and reconnaissance (ISR) 
capabilities. Consequently, the Department of Defense was 
directed to restructure the SBR effort to focus on continued 
technology maturation, architectural analysis, and system 
evolution.
    The committee believes that while the Air Force has taken 
steps to address congressional concerns, the restructured space 
radar (SR) program still lacks sufficient programmatic and cost 
definition. The committee welcomes realignment of the SR 
program budget to focus on early development and demonstration 
of ground infrastructure and ground capabilities that may have 
benefits beyond the space radar program. While the committee 
supports a demonstration project to help validate technology 
readiness and ascertain costs for the objective system, the 
committee questions the Air Force decision to pursue an on-
orbit demonstration as opposed to an earlier, less costly 
airborne experiment. Moreover, the inability of the Air Force 
to provide a firm cost estimate for the demonstration project 
illustrates the uncertainty of the approach. While the joint 
memorandum on the space radar program signed by the Secretary 
of Defense and the Director of Central Intelligence on January 
13, 2005, is a welcome sign, the lack of agreement on a 
specific cost share for the program is an indication that much 
has yet to be decided before Congress can provide its full 
support for this program. Finally, the committee notes that two 
important reports to Congress, addressing various options for 
the space-based radar architecture and key features of an ISR 
system-of-systems architecture, have yet to be completed and 
received by this committee--another indication that Department 
plans for space radar remain uncertain.
    The committee recommends a decrease of $75.0 million in PE 
63858F, and strongly urges the Department to consider an 
airborne demonstration in fiscal year 2006 or early fiscal year 
2007 to inform a Key Decision Point B decision for the 
objective Space Radar program as soon as possible. The 
committee directs the Secretary of Defense to provide a report 
to the congressional defense committees by January 15, 2006, on 
the Department's plan for the objective Space Radar program, 
including associated costs. Finally, the committee recommends 
that the Department seek solid commitments from the Director of 
National Intelligence regarding cost and requirements sharing 
for space radar before the fiscal year 2007 budget request 
submission.

Tactical satellite demonstrations

    The budget request included $23.5 million in PE 64855F for 
operationally responsive launch, but no funding for tactical 
satellite demonstrations.
    The U.S. space transportation policy of January 6, 2005, 
directs the government to demonstrate before 2010 an initial 
capability for operationally responsive access to and use of 
space to support national security requirements. The Air Force 
is pursuing a joint warfighting space concept to provide prompt 
space support for the warfighter by rapidly launching rockets 
with small, militarily useful satellites that would be 
controlled by the warfighter. The objective is to develop 
tactical satellites that could be stored and, when directed, 
launched and ready to support operations within a few days 
compared to the two-year lead time that is currently needed for 
satellite launches. The committee has been supportive of this 
concept as a way to improve space support to the warfighter and 
reduce the cost and development time for military space 
systems. The Air Force and other service partners have funded 
the first satellite experiment and most of the satellite work 
for the second joint warfighting space satellite, JWS-2, 
(otherwise known as TacSat-3) but no funds are currently 
budgeted for other important demonstration pieces, including 
the launch. The committee notes that the Chief of Staff of the 
Air Force's unfunded priorities list includes a $13.5 million 
request for this purpose.
    The committee recommends an increase of $10.0 million in PE 
64855F to fund the launch and range costs for JWS-2, and one 
year of satellite operations.

Robust nuclear earth penetrator

    The budget request included $15.2 million in PE 64222F for 
development of nuclear weapons support, including $1.0 million 
for the development of nuclear weapons and counterproliferation 
technologies to support joint Air Force and National Nuclear 
Security Administration efforts associated with logistics and 
aircraft integration for the Robust Nuclear Earth Penetrator 
(RNEP). The committee notes that the evaluation of RNEP 
feasibility by the Department of Energy is not scheduled to be 
completed prior to 2007. Therefore, the committee recommends a 
decrease of $1.0 million in PE 64222F for efforts associated 
with logistics and aircraft integration for the RNEP.

Space control test capabilities

    The budget request included $24.7 million in PE 64421F, for 
Air Force counterspace systems.
    The ``National Space Policy'' of September 1996 specifies 
that the United States will develop, operate, and maintain 
space control capabilities to ensure freedom of action in space 
and, if directed, deny such freedom of action to adversaries. 
The committee recognizes that continuing development by the 
Army Aviation and Missile Research, Development and Engineering 
Center of software applications used to integrate offensive and 
defensive space control systems into a single system-of-systems 
simulated testbed could contribute to near-term capabilities 
for space control and situational awareness.
    The committee recommends an increase of $6.0 million in PE 
64421F for continued test and development of command and 
control capabilities for ground-based space control assets.

FPS-16 radar mobilization and upgrade

    The budget request included $55.3 million in PE 64759F, for 
major test and evaluation investments. The committee recommends 
an increase of $5.0 million in PE 64759F for upgrade and 
mobilization of an additional fixed positioning system (FPS)-16 
radar. Updating the radar with fully digital electronics would 
increase reliability, decrease maintenance time and cost, and 
enhance radar performance and data products. Mobilization of 
the radar will facilitate flexibility and increase optimal 
tracking coverage.

Ballistic missile range safety technology

    The budget request included $13.8 million in PE 65860F for 
the rocket systems launch program, but no funding for ballistic 
missile range safety technology (BMRST).
    The committee is aware that BMRST is a global positioning 
system based launch range safety system that has the potential 
to provide significant technical and reliability advantages and 
cost savings over current radar systems. The committee notes 
that several launch ranges have requested BMRST systems for 
local range certification as well as down-range reentry 
support.
    The committee recommends an increase of $15.0 million in PE 
65860F to support expanded BMRST system capability, critical 
certification, and testing requirements.

A-10 aircraft propulsion improvements

    The budget request included $51.8 million in PE 27131F for 
the continued development of the A-10 aircraft; including $33.9 
million for A-10 propulsion improvements. The Air Force intends 
to operate this aircraft until fiscal year 2028; and aircrews 
have continued to rank propulsion as a major operational 
deficiency. The committee recommends an increase of $25.0 
million in PE 27131F to continue the propulsion modernization 
effort for the A-10 aircraft.

Information systems security research

    The budget request included $109.3 million in PE 33140F, 
for the information systems security program. A recent National 
Defense University report entitled ``Information Assurance: 
Trends in Vulnerabilities, Threats and Technologies'' noted 
that a series of internal and external studies and policy 
pronouncements from the Department of Defense over the last two 
decades contains a basic premise, that: ``the explosive changes 
in information technology would transform the future of 
military operations. The benefits of this change have been well 
documented but its potential vulnerabilities have been less 
commonly described--or addressed for corrective action.'' To 
augment the Department's work in developing solutions to 
information security vulnerabilities and to review associated 
legal and regulatory issues, the committee recommends an 
increase of $3.0 million in PE 33140F, including $2.0 million 
for infrastructure assurance and security research conducted in 
collaboration with the Air Intelligence Agency and $1.0 million 
for homeland defense threat information studies and analysis of 
the legal and regulatory challenges involved in cyber security.

Viper Strike munition for Predator

    The budget request included $61.0 million in Research, 
Development, Test, and Evaluation, Air Force, for Predator UAV, 
in PE 35219F, for the continued development of the Predator 
unmanned aerial vehicle system, but did not include additional 
funding for the development of the Viper Strike lightweight 
precision munition that can be integrated onto the Predator air 
frame. The Viper Strike precision munition represents a 
transformational capability, providing pinpoint accuracy 
against moving, stationary, and armored targets, even in low 
visibility environments. The Viper Strike is an important step 
forward in linking powerful sensors to precision munitions to 
allow the rapid engagement of high-value targets on the complex 
21st century battlefield. Funding would allow fielding of this 
important capability in the global war on terrorism to 
battlefield commanders in fiscal year 2006, while the Air Force 
establishes a program of record for future years.
    The committee recommends an increase of $5.0 million in PE 
35219F, for development and early fielding of 55 Viper Strike 
precision munitions.

S-band radar

    The budget request included $151.1 million in PE 35910F for 
spacetrack, but no funding for the S-band radar.
    The S-band sensor system detects and tracks all low-earth 
orbiting objects and is the only planned system capable of 
providing the information required for space situational 
awareness and space control. Air Force funding reductions to 
the space surveillance system, of which S-band radar is an 
important component, led to eliminating funding for S-band 
radar in the fiscal year 2006 budget request. The committee 
understands it is the intention of the Air Force to continue 
funding this program in fiscal years 2008 to 2011. The 
committee believes, therefore, that additional funding will 
accelerate deployment and mitigate additional system costs.
    The committee recommends an increase of $10.0 million in PE 
35910F for the S-band radar project.

Space-Based Space Surveillance

    The budget request included $151.1 million in PE 35910F, 
for spacetrack, of which $114.2 million is for the Space-Based 
Space Surveillance (SBSS) program.
    The SBSS is a sensor that will conduct deep space and low- 
earth orbit surveillance in support of U.S. space control and 
situational awareness requirements. The committee notes that 
funding cuts in fiscal year 2005 delayed the SBSS launch for 
one year from 2008 to 2009, causing a potential gap in space 
surveillance capabilities. Additional funding for SBSS was 
included in the Air Force Chief of Staff's unfunded priorities 
list.
    The committee recommends an increase of $15.0 million in PE 
35910F for SBSS to purchase long-lead hardware to support 
assembly, integration, and testing in fiscal year 2006.

Nano-materials manufacturing

    The budget request included $36.9 million in PE 78011F, for 
industrial preparedness. As research advances lead to robust 
composite material designs assembled from the nano-scale level, 
manufacturing processes must develop in parallel to expedite 
production and use of new structures. The committee recommends 
an increase in PE 78011F of $4.0 million for nano-materials 
manufacturing.

Air Force support systems

    The budget request included $10.3 million in PE 78611F, for 
support systems development. Fuel tank coatings require 
periodic inspection for adhesion and corrosion and may demand 
removal and reapplication. Current procedures are costly as 
well as hazardous to maintenance personnel. The committee 
recommends an increase of $2.9 million in PE 78611F to complete 
development of a semi- autonomous robot that would replace 
personnel in the dangerous work inside aircraft fuel tanks and 
would provide cost savings, particularly in the maintenance of 
legacy aircraft.
    The Department of Defense's pursuit of ``cradle to grave'' 
weapon systems management shows promise in improving supply 
chains and logistics. The committee recommends an increase of 
$3.0 million in PE 78611F for an aging aircraft logistics 
management integrated data environment. The integrated system 
would enable an ``as-is'' depiction of the C-5/C-17 weapons 
systems at any given point in time. Logistics and supply chain 
decision- making improvements support cost savings and 
increased levels of readiness.
    The committee further recommends an increase of $1.0 
million in PE 78611F for the aircraft systems and support 
infrastructure project and for research into five specific 
focus areas: structure and materials; avionics, electronics and 
software; information technology; environmental compliance; and 
depot industrial processes.

Personnel and pay information technology systems

    The committee understands that the Department of Defense 
plans to begin implementing its Defense Integrated Military 
Human Resources System (DIMHRS) for personnel and pay in fiscal 
year 2006. In development since 1998, this program is intended, 
in part, to address long-standing problems with military 
personnel pay. These problems have only been exacerbated in 
recent years by the call-up of numerous reservists and 
guardsman to serve in the ongoing global war on terrorism. The 
DIMHRS implementation plan for a single consolidated military 
personnel and pay system across the entire Department is a 
laudable goal, long overdue, and one which the committee 
supports.
    The first phase of the DIMHRS implementation begins in 
fiscal year 2006 with the Army, and is planned to continue 
through the end of fiscal year 2007. Additional phases, or 
``spirals,'' are still under development. However, the 
committee is concerned that the program is under funded by 
$49.0 million in fiscal year 2006.
    The committee has also been briefed on a separate effort 
planned within the Air Force to enhance their legacy personnel 
and pay system, called Personnel Service Delivery (PSD). This 
proposed system appears to duplicate many of the features and 
attributes of the DIMHRS system already under development. 
Additionally, the PSD program has not yet received 
certification from the Secretary of Defense, as required by 
section 332 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375). 
The budget request included $16.4 million in PE 91220F and 
$25.6 million in Operation and Maintenance, Air Force, for the 
Air Force's PSD effort.
    The committee is concerned that the Air Force is continuing 
to invest in efforts that duplicate DIMHRS. Therefore, the 
committee recommends a reduction in PE 91220F, of $16.4 
million; and a reduction in Operation and Maintenance, Air 
Force, of $25.6 million to eliminate funding for the PSD 
effort. The committee also recommends an increase in Operation 
and Maintenance, Defense-wide, of $49.0 million for the DIMHRS 
program.

                              Defense-wide



Focus center research program

    The budget request included no funding in PE 60111D8Z, for 
government/industry co-sponsorship of university research.
    The committee recommends an increase of $4.0 million in PE 
60111D8Z for a component of the focus center research program 
managed by the Director, Defense Research and Engineering. This 
partnership achieved successful transition of technologies to 
advance capabilities of weapons systems, radars, missile 
seekers, and information networks. The program also supports 
microelectronics research and training of future scientists and 
engineers.

Superstructural particle evaluation

    The budget request included $72.5 million in PE 61384BP, 
for chemical and biological defense basic research. Basic 
science challenges continue to plague efforts to develop 
comprehensive methods for countering threats posed by chemical 
and biological warfare agents. The committee commends the 
Department of Defense for supporting basic research to address 
both the chemical and biological threat, and recommends an 
increase of $1.85 million in PE 61384BP to accelerate promising 
work in superstructural particle evaluation and 
characterization with targeted reaction analysis (SPECTRA). 
This program would allow for testing of agents at the cellular 
level and the possible rapid development of a series of 
bioprotection substances. These protection methods could 
improve survivability and alleviate symptoms of exposure to 
chemical and biological warfare agents.

Chemical and biological defense applied research

    The budget request included $187.8 million in PE 62384BP, 
for chemical and biological defense applied research. The 
Department of Defense requires improved prediction models for 
timely monitoring of exposure to different chemical warfare 
agents and toxic industrial chemicals. The committee recommends 
an increase of $1.2 million in PE 62384BP for an automated man-
in-simulant-test (MIST) program to facilitate testing and 
development of a new generation of protective clothing. The new 
testing capability would allow for reliable reproduction of the 
same test and would lower test operating costs and shorten the 
time between tests.
    The Department requires a flexible analytical tool for bio-
defense to support force protection and intelligence and threat 
assessment activities. The committee recommends an increase of 
$5.0 million in PE 62384BP for continuing research into the 
development of multipurpose bio-defense immuno-arrays. The 
immuno-arrays would allow for rapid, inexpensive 
characterization of new and novel pathogens and expedited 
development of countermeasures to biological threats, thereby 
enhancing force protection and threat assessment capabilities.
    Current chemical and biological protective suits used by 
the military have deficiencies, including limited life; limited 
moisture vapor permeability; and the need for post-
contamination containment. The committee recommends an increase 
of $2.0 million in PE 62384BP for development and demonstration 
of self-decontaminating prototype chemical and biological 
protective suits, which would address some of these 
limitations.
    One of the objectives of the applied chemical and 
biological research program is to develop lightweight, 
effective, and fast agent detectors for widespread use. The 
committee recommends an increase of $2.0 million in PE 62384BP 
for research and development of a portable chemical/biological 
sensor system using quartz crystal microbalance technology. 
Such a system would have potential application for autonomous 
vehicles and individual soldiers.

Mustard gas antidote

    The budget request included $21.5 million in PE 62384BP, 
for medical chemical defense applied research. This program 
emphasizes the prevention of chemical casualties and addresses 
capability gaps in the area of prophylaxes for chemical warfare 
agents. The committee recommends an increase of $3.0 million in 
PE 62384BP for mustard gas antidote research. The committee 
commends the Department of Defense for current research focused 
on a mustard gas antidote using signal transduction inhibition 
antioxidant liposomes (STIMAL), and notes that STIMAL research 
has demonstrated the ability to substantially reduce or 
eliminate the effects of a range of chemical and biological 
weapons.

Tactical technology

    The budget request included $361.6 million in PE 62702E, 
for tactical technology. The committee recommends a decrease of 
$33.02 million in PE 62702E, including decreases of $6.8 
million in unjustified growth for two missile programs--agile 
interceptor and guided projectiles; $3.42 million from the 
riverine crawler underwater vehicle, which would duplicate 
similar unmanned systems already under development; and $4.8 
million from the newly initiated preconflict anticipation and 
shaping program, which does not contain sufficient 
justification.

Human performance in hazardous environments

    The budget request included $206.5 million in PE 62716BR, 
for weapons of mass destruction (WMD) defeat, but no funds for 
a central repository of information on human vulnerabilities 
to, and performance in, adverse environments which result from 
weapons' effects. Command authorities need information 
regarding immediate occupational health and environmental 
safety implications to protect forces conducting and supporting 
military operations. The committee recommends an increase of 
$1.0 million in PE 62716BR for demonstration and validation of 
emerging products, which would provide information on human 
performance in hazardous environments.

Technology Support Working Group

    The budget request included $55.3 million in PE 63122D8Z 
for combating terrorism technology support. The Technology 
Support Working Group (TSWG) manages efforts under this account 
that focus on interagency rapid prototyping research and 
development programs for combating terrorism technologies in 
response to user requirements.
    Current threats underscore the need to protect bridges, 
tunnels, oil pipelines, and other critical infrastructures 
against exposure to attack. Design engineers lack the basic 
structural response data for retrofit and new construction for 
many of these unique and important structures. The committee 
recommends an increase of $8.0 million for a defense against 
explosive effects program to close existing capability gaps, to 
develop infrastructure protection guidelines, and to validate 
and enhance existing and new analytical tools for use by armed 
services and homeland defense officials.
    Genetic engineering of bio-agents may provide a powerful 
countermeasure to bio-detection systems currently in use and in 
development, and may also increase vaccine and therapy defeat 
capabilities. The committee recommends an increase of $3.0 
million in PE 63122D8Z for the bio-engineered agent assessment 
tool, which has the potential to deliver a unique set of real-
time chemical and biological identification and analysis 
capabilities, to address the threat of biological terrorism 
which employs engineered agents.
    The committee recommends an increase of $2.0 million in PE 
63122D8Z for the development of fuel cell technologies for 
continuity of operations missions. Fuel cell technology has 
potential advantages over traditional backup power options as 
it could provide continuous, low maintenance, extended 
operation, and is useable in confined spaces.

Radiation detection technology

    The budget request included $6.6 million in PE 63160BR for 
proliferation prevention and defeat radiation detection 
technology. The committee recommends an increase of $3.0 
million in PE 63160BR for procuring glass scintillation fiber 
radiation detectors and developing new portable applications, 
including backpack detectors, panels for aircraft, and 
detectors included in clothing systems. The committee further 
recommends an increase of $1.0 million in PE 63160BR for the 
development of a state-of-the-art radiation portal monitor 
using High Purity Germanium technology that will surpass the 
performance and accuracy of portal monitors currently in use. 
The committee notes the importance of developing higher 
quality, more cost-effective nuclear radiation detectors to 
enhance our ability to detect and identify hazardous materials 
that pose a proliferation threat.

Ballistic missile defense reductions

    The budget request included $136.3 million in PE 63175C for 
ballistic missile defense technology; $455.2 million in PE 
63889C for ballistic missile defense products; $447.0 million 
in PE 63890C for ballistic missile defense systems core; and 
$345.0 million in PE 63891C for special programs--MDA. The 
committee notes that within each of these program elements 
there is funding specified for activities in fiscal year 2008 
and beyond that lack sufficient budget justification.
    The committee recommends a decrease of $25.0 million in PE 
63175C for ballistic missile defense technology; a decrease of 
$30.0 million in PE 63889C for ballistic missile defense 
products; a decrease of $30.0 million in PE 63890C for 
ballistic missile defense systems core; and a decrease of $50.0 
million in PE 63891C for special programs--MDA.

Massively parallel optical interconnects

    The budget request included $136.0 million in PE 63175C for 
ballistic missile defense technology.
    Massively parallel optical interconnects for micro-
satellite data communications is an advanced technology that 
would greatly increase the reliability and precision of 
satellite guidance for advanced tactical missiles. The 
committee is aware of the key role played by satellite guided-
precision munitions during Operation Iraqi Freedom, and 
supports efforts to improve upon this capability in a timely 
manner.
    The committee recommends an increase of $2.0 million in PE 
63175C to enable the technology associated with massively 
parallel optical interconnects to advance to the deployment 
stage.

Missile technology

    The budget request included $75.9 million in PE 63286E, for 
advanced aerospace systems. The committee recommends a decrease 
of $6.4 million in PE 63286E for the Long Gun program. The 
committee notes that this project duplicates the Navy's 
affordable weapon system effort, which is not yet part of long-
range Navy acquisition plans. There is no validated requirement 
for the effort and no funding programmed in the Navy budget to 
transition the technology.

Anthrax and plague oral vaccine research and development

    The budget request included $63.1 million in PE 63384BP, 
for advanced technology development specific to medical bio-
defense. The committee supports the Department of Defense's 
efforts under this account to develop and test safe and 
effective prophylaxes and therapies for pre- and post-exposure 
to biological threats and agents. The committee recommends an 
increase of $3.75 million in PE 63384BP for Phase I clinical 
trials and initial production of the oral anthrax plague 
vaccine. This effort parallels the Department's plague vaccine 
development program and may provide superior protection against 
pneumonic plague.

Miniaturized RAMAN chemical identification system

    The budget request included $164.5 million in PE 63384BP, 
for the chemical and biological defense advanced technology 
program. The ability to rapidly characterize substances such as 
explosives, chemical agents, toxic industrial chemicals, 
narcotics, and other hazardous materials under a variety of 
conditions poses difficult challenges. Combining real-time, 
reliable sensing and identification techniques into a hand-held 
device has been an even more complicated task.
    The committee recommends an increase of $4.0 million in PE 
63384BP for accelerated development of a small, lightweight 
chemical identification system, which uses the RAMAN 
spectroscopy technology. These additional resources are 
intended to ensure a power supply that lasts nearly twice as 
long as currently available, in a device that is under one 
quarter the weight but which maintains the substance 
identification speed of larger stationary machines.

Diminishing manufacturing sources

    The budget request included $22.4 million in PE 63712S, for 
general logistics research and development technology 
demonstrations. The military faces challenges in maintaining a 
supply of replacement and repair parts for legacy systems, a 
costly problem with readiness implications and no coordinated 
solution. The committee recommends an increase of $1.5 million 
in PE 63712S for continuation of a project designed to create a 
single repository of information for addressing the diminishing 
manufacturing source problem.
    The Department of Defense needs a capability to develop and 
evaluate methods and processes for manufacturing printed 
circuit boards with buried passive components and other 
advanced technologies relevant to warfighter needs. The 
committee recommends an increase of $3.0 million in PE 63712S 
for the embedded passives research and development test bed to 
enable advanced domestic capability in the military crucial 
technology area of electronic systems.
    The committee further recommends an increase of $3.0 
million in PE 63712S to support the manufacturing supply chain 
and for increased involvement of small- and medium-sized firms 
in meeting surge production requirements.

Vehicle fuel cell program

    The budget request included $22.4 million in PE 63712S, for 
general logistics research and development technology 
demonstrations. A recent Defense Logistics Agency (DLA) report 
entitled ``Potential Use of Hydrogen as a Defense Logistics 
Fuel'' noted that hydrogen power may offer benefits to the 
warfighter such as stealth and sustainment and could provide 
multiple potential sources of fuel. The committee recommends an 
increase of $7.0 million in PE 63712S for acceleration of the 
Department of Defense vehicle fuel cell program, particularly 
in development of a hydrogen logistics fuel for use in both 
tactical and nontactical military vehicles. Consistent with the 
recommendations made by DLA, the committee directs the 
Secretary of Defense to establish a Hydrogen Logistics 
Initiative to develop a comprehensive and integrated strategy 
and plan for the appropriate use of hydrogen and acquisition of 
hydrogen to meet Department requirements for the future.

Advanced electronics

    The budget request included $214.4 million in PE 63739E, 
for advanced electronics. The committee recommends a decrease 
of $10.0 million in PE 63739E, including decreases of $3.0 
million from the combat optical fiber technology program, which 
requires additional fundamental research prior to developmental 
work; $5.0 million from the networked microsystems program; and 
$2.0 million from the visible short wave infra-red photon 
counting project. These programs are new starts in fiscal year 
2006. The committee recommends spending levels more appropriate 
for the start-up year of such programs.

Small scale systems packaging

    The budget request included $214.4 million in PE 63739E, 
for advanced electronics technology. Small scale systems, 
devices and interconnections on the order of micro- and nano-
scale in size are becoming more frequent components in military 
systems. Research on individual components shows promise, but 
efforts at integration of small scale components systems are 
not keeping pace with advances in research. The committee 
recommends an increase of $2.0 million in PE 63739E to address 
challenges in packaging small scale components into systems.

Advanced ferrite antenna

    The budget request included $163.6 million in PE 63750D8Z, 
for advanced concept technology demonstrations. Use of the 
advanced ferrite antenna would allow replacement of large 
antennas and reduction of the antenna footprint. The committee 
recommends an increase of $2.0 million in PE 63750D8Z for 
crossed field radiation technology to test the advanced ferrite 
antenna to meet Navy and military standards.

Communications and control alert framework

    The budget request included $163.6 million in PE 63750D8Z, 
for advanced concept technology demonstrations. The Department 
of Defense's complex command and control structure poses 
management challenges critical to the successful prosecution of 
any single mission. Important collaborations with other 
agencies and governments create further complications. The 
layers of permission for sharing of information, combined with 
time-sensitive needs to disseminate data across networks and 
between operating domains, presents an ideal project for 
exploration by the advanced concepts technology demonstration 
process.
    The committee recommends an increase of $4.7 million in PE 
63750D8Z to bridge the gap between initial research on the 
command and control alert framework system and full 
accomplishment of design objectives for testing of a 
comprehensive, flexible data-sharing system. The alert system 
would allow local data managers to control information access 
and would enable participants to filter data streams and reduce 
information overload.

Flexible JP-8 military fuel certification

    The budget request included $163.6 million in PE 63750D8Z, 
for advanced concept technology demonstrations. The Department 
of Defense continues to support efforts aimed at near- and far-
term solutions for energy sources, particularly those for 
transportation. One such research program involves development 
of a clean jet fuel source. In support of efforts to examine 
new forms of energy and to meet the Department's clean fuel 
targets, the committee recommends an increase of $18.0 million 
in PE 63750D8Z for final certification of a flexible JP-8 
military fuel pilot program to facilitate transition to an 
advanced concept technology demonstration.

Prevention and detection of cyber threats

    The budget request included $189.8 million in PE 63755D8Z, 
for the high performance computing modernization program. The 
President's Information Technology Advisory Committee noted in 
a February 2005 report entitled ``Cyber Security: A Crisis of 
Prioritization'' that ``the information technology 
infrastructure of the United States, which is now vital for 
communication, commerce, and control of our physical 
infrastructure, is highly vulnerable to terrorist and criminal 
attacks.'' The Department of Defense uses networks to 
communicate with bases, research facilities, and other 
installations. These networks are vulnerable to a number of 
types of attack that could be used to break into communication 
lines and to substitute false information for authentic 
commands. The committee recommends an increase of $1.5 million 
in PE 63755D8Z to support increased research into addressing 
cyber-based emerging threats and growing challenges presented 
by various forms of computer-facilitated attack.

Simulation center upgrade

    The budget request included $189.8 million in PE 63755D8Z, 
for the high performance computing modernization program. The 
Department of Defense must possess the latest, state-of-the-art 
computing equipment and capabilities, particularly for the 
processing and storage of classified data. While the Department 
has requested funds to operate facilities charged with 
development, testing, and integration of strategic defense 
technologies and simulations, no funding is requested for 
equipment upgrades. The committee recommends an increase of 
$3.5 million in PE 63755D8Z for upgrades to the Space and 
Missile Defense Command simulation center to meet computational 
demands for end-to-end simulation, testing, and evaluation of 
advanced interceptors and sensors.

Land warfare technology

    The budget request included $139.1 million in PE 63764E, 
for land warfare technology. The committee recommends a 
decrease of $47.0 million in PE 63764E due to unjustified 
program growth and excessive funding levels for new starts. 
Specifically, the committee recommends decreases of $15.0 
million in the future combat systems support program, which 
would have increased by 66 percent in one year under the budget 
request; $6.0 million in the multi-modal missile program, for 
which $12.4 million was requested for a program in the concept 
stage; $6.0 million from a non-lethal weapons program new 
start, which should more closely follow the needs of the Joint 
Non-Lethal Weapons Directorate; and $6.0 million from the 
tactical urban operations program, to promote an effort more 
focused specifically on the particular needs of the urban 
warfighter.

Network centric warfare technology

    The budget request included $136.9 million in PE 63766E, 
for network centric warfare technology. The committee 
recommends a decrease of $3.0 million in PE 63766E from the 
multi-dimensional mobility robot program, a newly initiated 
program that duplicates other unmanned ground equipment 
development programs.

Sensor technology

    The budget request included $189.5 million in PE 63767E, 
for sensor technology. The committee recommends a decrease of 
$5.0 million in PE 63767E from the network centric sensing 
engagement programs, due to unjustified program growth and 
duplication of ongoing sensor integration work.

Advanced tactical laser

    The budget request included $61.8 million in Research, 
Development, Test, and Evaluation, Defense-wide, for Special 
Operations Advanced Technology Development, in PE 116407BB, for 
continuing development of the advanced tactical laser (ATL).
    The ATL Advanced Concepts Technology Demonstration is a 
long-standing effort to weaponize directed energy technology 
into an existing tactical platform. While a potentially 
promising concept, the program has faced formidable technical 
challenges and continues to encounter new challenges, 
especially in the area of power generation to satisfy the high 
energy requirements to power the weapon system. Proposed 
funding for the program has increased considerably in fiscal 
year 2006, and is inconsistent with the technical challenges 
remaining to be solved before the program can move forward.
    The committee recommends a decrease of $15.0 million in 
PE116407BB, while the goals of the program are realigned and 
remaining technical challenges associated with the advanced 
tactical laser program are addressed.

Mark V patrol boat replacement craft prototype

    The budget request included $104.3 million in Research, 
Development, Test, and Evaluation, Defense-wide, for Special 
Operations Advanced Technology Development, in PE 116402BB, but 
did not include funding to complete the development, testing, 
and evaluation of the Mark V patrol boat replacement craft 
prototype.
    The Mark V patrol boat is an important component of the 
Naval Special Warfare Command's overall special operations 
capabilities, but has proven to be very hard on the special 
operators who operate the boat or utilize it for insertion and 
extraction of special operations forces. The incidence of 
stress fractures and spinal injuries associated with the rough 
ride of a Mark V operating in medium to heavy seas has been 
very high. The Commander, U.S. Special Operations Command, has 
expressed concerns and initiated actions to improve the 
performance of the current Mark V through the introduction of 
shock-mitigating seats and to begin development of a 
replacement craft. A new design has been developed and a 
prototype craft incorporating composite technologies, shock-
mitigation techniques, and improved hull design is near 
completion. Additional funding is required to complete testing, 
and evaluation of the prototype craft.
    The committee recommends an increase of $1.5 million in PE 
116402BB, for final development, testing, and evaluation of the 
Mark V patrol boat replacement craft prototype.

Special operations portable power source program

    The budget request did not include funding for the 
development of solid oxide fuel cell systems for special 
operators. Such systems are designed to reduce the weight 
burden of batteries by a factor of 10. Current battery systems 
are large and heavy, burdening the logistical chain, and 
limiting operators and the flight ranges of their unmanned 
aerial vehicles.
    The committee recommends an increase of $5.0 million in 
Research, Development, Test, and Evaluation, Defense-wide, for 
Special Operations Advanced Technology Development, in PE 
116402BB, for the portable power source program.

Voice activated handheld translator

    The budget request did not include funding for the 
development of a voice activated handheld translator for 
special operations forces. This technology, deployed in 
Afghanistan in 2002, allows special operators to communicate 
with local populations when they do not speak the local 
language or have a reliable linguist with them. Research is 
required to refine, test, and demonstrate the translator 
capabilities, including two-way translation.
    The committee recommends an increase of $2.3 million in 
Research, Development, Test, and Evaluation, Defense-wide, for 
Special Operations Advanced Technology Development, in PE 
116408BB, for development of a voice activated handheld 
translator.

Aegis ballistic missile defense

    The budget request included $3.3 billion in PE 63882C for 
the ballistic missile defense midcourse defense segment, of 
which approximately $811.2 million is included for the Aegis 
ballistic missile defense (BMD) system.
    The Aegis BMD element is intended to provide U.S. surface 
combatants the capability to detect, track, intercept, and 
destroy short- to intermediate-range ballistic missiles in the 
ascent, midcourse, and terminal phases of flight. The committee 
notes that the Aegis BMD system has demonstrated capability 
through a rigorous test program that includes five out of six 
successful flight intercepts of short-range ballistic missiles 
between 2002 and 2005, with the last test conducted under 
operationally realistic conditions.
    Aegis BMD will provide missile defense protection for U.S. 
deployed forces, allies, and friends against the most imminent 
threats. The Commander, U.S. Pacific Command testified in March 
2005 before the Committee on Armed Services that: (1) the 
threat posed by ballistic missiles in his area of 
responsibility is growing; (2) a capability to protect our 
forces with an effective tiered system against ballistic 
missiles remains ``a key capability for the future and is a top 
priority for development;'' and (3) our production inventory of 
PAC-3s and SM-3 missiles ``must pace the increasing threat.''
    The committee recommends an increase of $75.0 million in PE 
63882C for improvements to the Aegis BMD system and to 
accelerate production of SM-3 missiles. The committee makes 
these recommendations in light of the successful Aegis BMD test 
program and mindful of the importance of keeping pace with the 
growing threat. The committee directs that these funds be used 
to: (1) purchase long-lead materials for the Aegis BMD signal 
processor to provide significant system discrimination 
capabilities against missiles with separating warheads; (2) 
purchase additional test equipment necessary to accelerate SM-3 
missile production rates; (3) provide long-lead funding for an 
additional 15 SM-3 missiles to begin delivery in fiscal year 
2007; (4) accelerate implementation of the engage-on-remote and 
launch-on-remote upgrades; and (5) accelerate integration of 
the two-color seeker for the SM-3 kill vehicle.

Ground-based midcourse ballistic missile defense

    The budget request included $3.3 billion in PE 63882C for 
the ballistic missile defense midcourse segment, of which 
approximately $2.3 billion is for the ground-based midcourse 
defense (GMD) segment to cover continued development, ground 
and flight testing, fielding, and support.
    Consistent with the National Missile Defense Act of 1999 
(Public Law 106-38), the committee continues to support 
fielding of the GMD element as part of the missile defense test 
bed and for use in an emergency. The committee notes that the 
Commander, U.S. Strategic Command, and the Department of 
Defense Director for Operational Test and Evaluation endorse 
this dual-use approach for continuing development and fielding 
of this important defensive capability.
    The committee is aware of the successful flight intercept 
tests achieved by the developmental prototype ground-based 
interceptor over the past five years. The committee is 
concerned, however, about the inability of the Missile Defense 
Agency (MDA) to complete two recent GMD flight tests, using the 
operationally configured interceptor, as well as the lengthy 
turnaround time for GMD tests. This seems to indicate, 
according to the acting Director for Operational Test and 
Evaluation, that ``there is a quality problem.'' The committee 
commends the Director of the MDA for establishing an 
Independent Review Team to assess recent test failures and to 
improve mission assurance. According to the preliminary 
findings of the review team, as recounted by the Director of 
MDA during an April 7, 2005, hearing of the Subcommittee on 
Strategic Forces of the Committee on Armed Services, MDA needs 
to pay greater attention to the test certification process and 
devote more resources to integrated ground testing.
    The committee recommends an increase of $100.0 million in 
PE 63882C specifically to enhance the testing program for the 
GMD element in accordance with the findings of the Independent 
Review Team. The committee directs that these funds be used 
toward purchases of additional ground test missile units, 
enhanced integrated ground test capabilities, more 
comprehensive component testing, and other items for GMD 
testing. The Director of the MDA is to provide a report to the 
congressional defense committees by January 15, 2006, 
indicating specifically how this increase will be allocated.

Miniaturized carbon monoxide oxidation technology

    The budget request included $100.8 million in PE 63884BP, 
for chemical and biological defense advanced technology 
demonstrations. Urban and other combat environments often 
produce situations in which warfighters confront fire and 
carbon monoxide (CO) threats such as in caves, bunkers, 
tunnels, burning oil wells, aircraft, vehicles, or structures 
and buildings. The Department of Defense currently lacks gas 
mask canisters or small escape devices that contain CO filters 
and protection. A small, lightweight, long-lasting CO removal 
technology would increase protection and utility of existing 
systems and would add value to new systems under development. 
The committee recommends an increase of $4.3 million in PE 
63884BP to complete testing, development, and evaluation of the 
Mini-COT technology to meet the Department of Defense's need 
for CO protection.

Airborne Infrared System

    The budget request included $529.8 million in PE 63884C for 
ballistic missile defense sensors, but no funding for the 
Airborne Infrared System (AIRS).
    AIRS is a system of infrared and visible sensors, a 
surveillance radar and adjunct data processing and storage that 
can track ballistic missiles and their warheads in all phases 
of flight. The committee believes that such a system, if and 
when deployed, could provide important test, operational, and 
technical intelligence capabilities in support of ballistic 
missile defense.
    The committee recommends an increase of $10.0 million in PE 
63884C for AIRS research and development. This increase will 
allow the Missile Defense Agency to proceed with final 
engineering development and ``in-line'' demonstrations of 
system connectivity, a closed loop fire control system, and 
prototype design for integration on manned or unmanned 
vehicles.

Kinetic Energy Interceptor

    The budget request included $229.7 million in PE 63886C for 
Ballistic Missile Defense System Interceptors, of which $218.7 
million is for Kinetic Energy Interceptor (KEI) block 2010/
2012.
    The committee notes that the KEI effort has been 
restructured to serve as risk mitigation for the Airborne Laser 
(ABL), which has been chosen as the primary boost-phase 
intercept program. Accordingly, the Missile Defense Agency 
(MDA) has reduced funding for KEI by approximately $883.0 
million in fiscal year 2006 and $5.0 billion over fiscal years 
2006-2009. MDA has built into the KEI program a one-year delay 
in first flight to fiscal year 2008 in order to focus efforts 
on demonstrating critical technologies and reducing development 
risks. This new flight test date coincides with the plans of 
the MDA for a lethal shoot down of a target missile with ABL. 
The committee understands that should ABL fail to demonstrate a 
lethal shoot down in fiscal year 2008, a decision could be made 
at that point to switch to KEI as the primary boost-phase 
interceptor.
    In light of the decision by the MDA to focus on ABL as the 
prime boost-phase defense system, the committee believes the 
funding request for KEI risk reduction efforts is excessive. 
The committee recommends a decrease of $50.0 million in PE 
63886C for KEI; and recommends that remaining funds be directed 
toward reducing high-risk technology challenges in the areas of 
booster thrust, differentiating between plume and missile hard 
body, and thrust vector control.

Military mail screening system development and demonstration

    The budget request included $280.9 million in PE 604384BP 
for chemical/biological defense system development and 
demonstration. The committee recommends an increase of $1.8 
million in PE 604384BP to validate system design and 
performance for fielded chemical agent detection and biological 
agent sampling systems to be used at military mail centers and 
post offices.
    Elsewhere in this report, the committee recommends a 
provision that would require the Secretary of Defense to 
promptly develop and implement a plan to ensure that mail 
within the military mail system is safe for delivery, to 
include the screening of all mail in order to detect the 
presence of biological, chemical or radiological weapons, 
agents or pathogens, or explosive devices. The committee 
recommends authorizing additional funding for this purpose in 
fiscal year 2006 to ensure that resources are available to 
begin implementation of the plan as soon as possible.

UAV systems and operations validation program

    The budget request included $128.8 million in PE 64940D8Z, 
for central test and evaluation investment development. Testing 
of unmanned aerial vehicles (UAVs) for autonomous control and 
safety in piloted airspace would allow for full operational use 
of these systems in evolving battlefields that require both 
manned and unmanned air support. The committee recommends an 
increase of $5.0 million in PE 64940D8Z for UAV systems and 
operations validation program to facilitate short- and long-
range flight testing of autonomous systems.

Foreign supplier assessment center

    The budget request included $35.7 million in Research, 
Development, Test, and Evaluation, Defense-wide, for foreign 
comparative testing, but did not include funding for the 
Foreign Supplier Assessment Center (FSAC) concept.
    The FSAC concept was established to assess potential 
foreign suppliers wanting to provide products and services, 
including components for weapon systems, automation hardware, 
and various forms of software to the Department of Defense. The 
FSAC is fulfilling a critical need to identify and categorize 
potential foreign suppliers; conduct tests and evaluation of 
products and services for appropriate security purposes; and 
develop recommendations and risk mitigation plans. However, the 
full requirement to assess foreign supplier of critical defense 
components will not be realized without significant additional 
investment.
    The committee recommends an increase of $10.0 million in PE 
65710D8Z, for the continued expansion and operation of the FSAC 
concept.

Operationally responsive space payloads

    The budget request included $19.9 million in PE 65799D8Z 
for the Office of Force Transformation in the Office of the 
Secretary of Defense.
    As noted in the Senate report accompanying S. 2400 (S. 
Rept. 108-260) of the National Defense Authorization Act for 
Fiscal Year 2005, the committee believes that acquisition of 
inexpensive launch vehicles and smaller satellites provide the 
promise of enhancing the effectiveness of U.S. military and 
intelligence space operations and mitigating some of the long-
standing development problems that have afflicted U.S. space 
programs over the past decade. In support of this effort, OFT 
has sponsored the development of experimental satellites 
intended to demonstrate the rapid design and fabrication of 
operationally useful satellite payloads.
    The committee notes that insufficient funding is requested 
for fiscal year 2006 to continue development of a modular, 
standard bus and complete the experimentation necessary to 
demonstrate tactical satellite capabilities. The committee 
recommends an increase of $20.0 million dollars in PE 65799D8Z 
for the development of operationally responsive payloads, to 
include funding for payloads, satellite busses, integration, 
command and control, and joint warfighter experimentation.
    Section 913 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375) 
directed the Secretary of Defense to create a separate, 
dedicated program element for operationally responsive national 
security payloads and buses. The committee notes that such a 
program element was not included in the fiscal year 2006 budget 
request, but has subsequently been created by the Department of 
Defense as PE 62001D8Z with the title: joint operational small 
satellites. The committee fully expects that the $20.0 million 
increase in PE 65799D8Z will be applied toward PE 62001D8Z for 
the funding of responsive satellites to provide direct support 
to the joint operational and tactical level warfighter.

Industrial preparedness

    The budget request included $18.2 million in PE 78011S, for 
industrial preparedness. The committee notes that the laser 
additive manufacturing process rapidly produced titanium wing 
pylons to replace aluminum parts, which experienced mechanical 
problems during sustained combat operations. The committee 
recommends an increase of $5.0 million in PE 78011S for 
application of the laser additive manufacturing process to 
repair parts and to produce new parts for other aerospace-grade 
components that face similar degradation. The current processes 
and materials used for production of these parts are time 
consuming, expensive, and require long-lead times, which may 
negatively impact readiness.
    The committee further recommends an increase of $1.5 
million in PE 78011S for research on improved manufacturing 
processes for defense-related technologies, including sensors, 
energy systems, and nanotechnology.

Special operations wireless management and control project

    The budget request included $33.2 million in Research, 
Development, Test, and Evaluation, Defense-wide, for Special 
Operations Intelligence Systems Development, in PE 116405BB, 
including $11.7 million for the Joint Threat Warning System 
(JTWS), but did not include funding to develop new capabilities 
for the JTWS in the evolving wireless communications 
environment.
    The special operations wireless management and control 
project will continue development of capabilities that can be 
integrated into the JTWS to provide special operations forces 
with tactical capabilities to maintain situational awareness of 
the wireless communications environment being used by potential 
adversaries. The JTWS is one of the highest priorities for the 
Commander, U.S. Special Operations Command, for additional 
funding.
    The committee recommends an increase of $2.5 million in PE 
116405BB, to continue development of a wireless management and 
control capability for the JTWS.

Maritime unmanned aerial vehicle sensor

    The budget request included $66.3 million in Research, 
Development, Test, and Evaluation, Defense-wide, for Special 
Operations Forces (SOF) Operational Enhancements, in PE 
116408BB, but did not include funding to develop new sensor 
capabilities for the maritime unmanned aerial vehicle (MUAV).
    An urgent requirement for a new signals intelligence sensor 
for the MUAV was validated after submission of the fiscal year 
2006 President's budget request. This sensor would provide a 
critical new capability for the MUAV and enhance the 
operational effectiveness of SOF. This MUAV is one of the 
highest priorities of the Commander, U.S. Special Operations 
Command, for additional funding.
    The committee recommends an increase of $4.9 million in PE 
116408BB, for the development of a MUAV sensor.

Lightweight portable solar panels

    The budget request did not include funding for lightweight 
portable solar panels. These flexible lightweight panels serve 
as portable chargers, converting sunlight to electricity to 
keep batteries constantly charged. This eliminates the need for 
operators to carry heavy battery packs during emergency and 
remote operations. The rugged folding panels are easy to carry 
and deploy, and they provide power even if damaged, or employed 
in partial shade.
    The committee recommends an increase of $2.5 million in 
Research, Development, Test, and Evaluation, Defense-wide, for 
Special Operations Forces Operational Enhancements, in PE 
116408BB, for lightweight solar panels.

                       Items of Special Interest


Canopy hard-coats

    The committee believes that industry has made a marked 
advancement in the development of canopy hard-coats that may 
significantly extend the life and reduce the cost of canopies 
used on naval aircraft. Therefore, the committee urges the 
Secretary of the Navy to accelerate the testing of new canopy 
hard-coats currently in development under the auspices of the 
Patuxent Naval Air Station Materials Laboratory. Furthermore, 
the committee directs the Secretary to evaluate these hard-
coats on canopies provided by Navy canopy suppliers.

CH-53X helicopter development

    The committee recognizes the essential contribution that 
heavy-lift assets make both in wartime and peacetime and is 
concerned by the intense usage of current assets in 
Afghanistan, the Horn of Africa, and Iraq. In 2003, an 
independent analysis of alternatives concluded that a program 
to remanufacture the existing aircraft would cause the Navy to 
shut down one-third of the Marine Corps heavy-lift squadrons 
for up to 5 years due to the number of aircraft that would be 
diverted from fleet squadrons to the remanufacturing program. 
The Navy decided to pursue a new production strategy in 
accordance with that recommendation.
    The Joint Requirements Oversight Council approved a CH-53X 
operational requirements document on December 9, 2004. Marine 
Corps witnesses testified before the Committee on Armed 
Services that the CH-53X is an urgent warfighting requirement, 
that all alternatives have been analyzed, and that there are no 
other suitable alternatives to new manufacture of the CH-53X.
    The committee supports the requirement for CH-53X new 
production program but has concerns regarding program execution 
and schedule. The Department of Defense Appropriations Act for 
Fiscal Year 2005 (Public Law 108-287) appropriated $102.3 
million for a risk reduction initiative in the CH-53X 
development program. Since March 18, 2005, the Assistant 
Secretary of the Navy for Research, Development, and 
Acquisition (ASN (RDA)) has released roughly $50.0 million of 
these funds. The ASN (RDA) is withholding the remaining funds 
until an independent review team can assess whether the funding 
in the Future Years Defense Program is sufficient to execute 
the CH-53X program.
    The committee supports this program. However, the committee 
is concerned that the Navy is not moving aggressively to 
execute risk reduction actions, thus potentially delaying the 
fielding of this critical system. The committee also 
appreciates the concerns expressed by the ASN (RDA) about 
program affordability. The committee, therefore, encourages the 
Navy to move expeditiously to resolve these concerns and to 
release the remaining $52.3 million in risk reduction funding 
so that the requested fiscal year 2006 program can be 
completed.

Construction of Navy Research Vessels

    The budget request included $356.9 million in PE 61153N, 
for defense research sciences, including $4.0 million for 
design of the next generation of ocean research vessels for the 
University National Ocean Laboratory (UNOLS) fleet. The 
academic research community uses UNOLS to conduct experiments 
and research for the Navy. The committee is concerned with the 
Navy's plans to fund the construction of academic research 
vessels in the basic science account in fiscal year 2007. While 
the ocean class research vessel, a key research tool, provides 
the Navy with a robust understanding of its battlespace, such 
diversion of research funds would adversely affect the goals of 
the innovative research account.
    The committee authorizes the $4.0 million requested in PE 
61153N for design of the new research vessel in fiscal year 
2006, but directs the Navy to request the planned $25.0 million 
in fiscal year 2007 for ship construction funds in the Navy 
Shipbuilding and Conversion account. The committee expects that 
the Navy will continue to use the Shipbuilding and Conversion 
account to provide for the recapitalization of ocean class 
research vessels in the Future Years Defense Program.

Department of Defense computer science research

    The committee is concerned that the Department of Defense 
is reducing its investment in long-term computer science 
research, without due consideration of the potential negative 
ramifications of such reductions on the development of next 
generation networking, information technology, and information 
assurance systems on which our military will depend in the 
future. The committee notes that the President's Information 
Technology Advisory Committee and the Defense Science Board 
have both released reports this year that call attention to the 
potential impacts of reduced funding on the part of the 
Department in fundamental computer science.
    The committee directs the Undersecretary of Defense for 
Acquisition, Logistics and Technology to carefully examine the 
long-term practical and policy implications of the Department's 
investment strategy for computing research and to provide the 
outcome of this review to the congressional defense committees 
with the fiscal year 2007 budget request. The review should 
include an explanation of the Department's role in the overall 
federal computing research portfolio and a review of the 
Department's structure and investment plan for these programs.

Unmanned aerial vehicles for resupply missions

    The committee notes that dedicated unmanned aerial vehicles 
for movement of equipment and supplies could support Army 
expeditionary forces while reducing logistics, procurement, and 
operational costs. The committee directs the Secretary of the 
Army to provide to the congressional defense committees by 
April 1, 2006, a report on the requirements, technical 
feasibility, and cost of integrating unmanned aerial vehicles 
for resupply into its future force unmanned aviation concepts.
                  TITLE III--OPERATION AND MAINTENANCE

Explanation of tables
    The following tables provide the program-level detailed 
guidance for the funding authorized in title III of this Act. 
The tables also display the funding requested by the 
administration in the fiscal year 2006 budget request for 
operation and maintenance programs, and indicate those programs 
for which the committee either increased or decreased the 
requested amounts. As in the past, the administration may not 
exceed the authorized amounts (as set forth in the tables or, 
if unchanged from the administration request, as set forth in 
budget justification documents of the Department of Defense), 
without a reprogramming action in accordance with established 
procedures. Unless noted in this report, funding changes to the 
budget request are made without prejudice.


              Subtitle A--Authorization of Appropriations

                  Subtitle B--Environmental Provisions

Elimination and simplification of certain items required in the annual 
        report on environmental quality programs and other 
        environmental activities (sec. 311)
    The committee recommends a provision that would modify 
section 2706 of title 10, United States Code, to eliminate and 
simplify portions of the annual report on environmental quality 
programs and other environmental activities. The recommended 
changes would remove the requirement to list planned or ongoing 
projects which exceed $1.5 million dollars. The reporting of 
fines and penalties against the Department of Defense would be 
simplified to a trend analysis and a list of all such fines or 
penalties that exceed $500,000. The recommended changes would 
also simplify the reporting of the amounts expended and 
expected to be expended for environmental activities overseas.
    The committee believes that these modifications will make 
the gathering and reporting of the data less burdensome and 
more efficient while still maintaining the necessary detail to 
ensure adequate oversight.
Payment of certain private cleanup costs in connection with the Defense 
        Environmental Restoration Program (sec. 312)
    The committee recommends a provision that would allow the 
Secretary of Defense to execute environmental restoration 
agreements with owners of covenant properties. Under section 
120(h) of the Comprehensive Environmental Response, 
Compensation, and Liability Act (CERCLA) of 1980, title 42, 
United States Code section 9620(h), the United States is 
required to provide a deed covenant guaranteeing it will 
perform remediation of contamination discovered after a 
property transfer. Therefore, the Department of Defense has 
permanent, irrevocable liability for cleanup of any 
contamination on former Department property that was unknown 
and discovered after the transfer. However, there is no current 
authority for the Department to pay a land owner their costs 
for undertaking remedial action on their own.
    Currently, when an owner discovers contamination on their 
covenant property, they must notify the service from which they 
purchased the covenant property. The services then respond to 
each covenant property in the order of risk and health-based 
prioritization. This leaves many landowners without an 
efficient remedy and the potential burden and cost of pursuing 
a remedy in court. The owner may be forced to choose this 
latter approach if they have already cleaned up the covenant 
property, and they are seeking to be reimbursed. This approach 
can be more expensive to U.S. taxpayers, since the covenant 
property owner may cleanup the site to standards beyond what is 
necessary or appropriate and then seek full reimbursement in 
the courts.
    The committee recognizes that potential land purchasers, 
such as developers, are becoming increasingly apprehensive 
about purchasing former Department property. This may threaten 
the successful transfer of the Department's inventory after the 
2005 Base Realignment and Closure round and frustrate economic 
redevelopment efforts. This provision would allow the 
Department to enter into agreements with the owners of covenant 
property. The covenant property owner can accept the agreement 
or not, at their discretion. The agreement would set out the 
process the landowner would follow if contamination is later 
found on the covenant property. The agreement would resolve 
such issues as: notice to the Federal Government, time limits 
to reply, cleanup standards to be used (although the agreement 
may not change the cleanup standards applicable to the site as 
established by law), and the reimbursement process.

                       Subtitle C--Other Matters

Aircraft carriers (sec. 321)
    The committee recommends a provision that would make $288.0 
million of Operation & Maintenance, Navy (OMN) from this or any 
other act, for fiscal years 2005 and 2006, available only for 
repair and maintenance to extend the life of the USS John F. 
Kennedy.
    The provision would also prohibit the Secretary of the Navy 
from reducing the number of active aircraft carriers in the 
Navy below 12 until the later of: (1) 180 days after the next 
Quadrennial Defense Review is delivered to Congress; or (2) the 
date on which the Secretary of Defense, in consultation with 
the Chairman of the Joint Chiefs of Staff, certifies to the 
congressional defense committees that such agreements have been 
entered into to provide port facilities for the permanent 
forward deployment of the number of aircraft carriers necessary 
in the Pacific Command (PACOM) area of responsibility (AOR) to 
fulfill PACOM roles and missions, including agreements for the 
forward deployment of a nuclear aircraft carrier after the 
retirement of the current two conventional aircraft carriers. 
The provision would also define an active aircraft carrier to 
include an aircraft carrier that is temporarily unavailable for 
worldwide deployment due to routine or scheduled maintenance.
    The committee is concerned that the Navy's decision to 
reduce the number of aircraft carriers from 12 to 11 was not 
based on careful and thorough analysis, but rather was budget-
driven. In testimony before the Committee on Armed Services in 
February 2005, the Chief of Naval Operations testified that 
when he first submitted the proposed Navy budget for fiscal 
year 2006, it included 12 aircraft carriers. Further, the last 
two Quadrennial Defense Reviews, in 1997 and 2001, both 
supported a force structure of 12 aircraft carriers. The 
reduction to 11 aircraft carriers was made after the Office of 
Management and Budget directed a budget cut for the Department 
of Defense.
    The committee is also aware of the importance of permanent 
forward deployment of at least one aircraft carrier in the 
PACOM AOR. The USS Kitty Hawk, permanently forward deployed in 
Yokosuka, Japan, is scheduled for retirement in fiscal year 
2008. The only other conventionally-powered aircraft carrier is 
the USS John F. Kennedy. The USS John F. Kennedy was scheduled 
to begin a complex overhaul (COH) maintenance period in fiscal 
year 2005, and funds for this COH were authorized and 
appropriated in fiscal year 2005 for this purpose. The ongoing 
Integrated Global Presence and Basing Strategy review might 
also expand the permanent forward deployment requirements for 
aircraft carriers, particularly in the PACOM AOR.
    The committee believes it is prudent for the USS John F. 
Kennedy to receive its COH and that 12 aircraft carriers remain 
in the U.S. Navy until such time as an in-depth analysis is 
conducted and forward-basing agreements are reached.
Limitation on transition of funding for east coast shipyards from 
        funding through Navy working capital fund to direct funding 
        (sec. 322)
    The committee recommends a provision that would limit the 
Secretary of the Navy from using direct funding for east coast 
Naval shipyards. The Navy would be required to continue funding 
these shipyards through the Navy Working Capital Fund until the 
later of 6 months after the congressional defense committees 
receive a complete report on the use of direct funding at the 
Puget Sound Naval Shipyard, or October 1, 2006.
    During fiscal year 2003, the Navy changed the way workload 
was budgeted and paid for at the Puget Sound Naval Shipyard, 
despite the committee's concerns, as outlined in the Senate 
report accompanying S. 1050 (S. Rpt. 108-46) of the National 
Defense Authorization Act for Fiscal Year 2004. The committee 
understands that the Navy intends to transition the east coast 
shipyards out of the Working Capital Fund and begin direct, or 
mission, funding in the near future. However, the effects of 
the transition of the Puget Sound Naval Shipyard out of the 
Navy's Working Capital Fund have not been adequately studied. 
While it appears that consolidating intermediate level and 
depot maintenance activities may have economic benefits, the 
Navy has not fully examined the Puget Sound pilot program.
    Before any action is taken with regard to changing funding 
for the east coast shipyards, the committee requires that the 
Secretary shall submit to the congressional defense committees 
a study describing the lessons learned and costs and benefits 
of transferring the Puget Sound Naval Shipyard to direct 
funding.
Use of funds from National Defense Sealift Fund to exercise purchase 
        options on maritime prepositioning ship vessels (sec. 323)
    The committee recommends a provision that would authorize 
the Secretary of Defense to obligate and expend any funds in 
the National Defense Sealift Fund to exercise options to 
purchase those three maritime prepositioning ships (MPS) whose 
current charters expire in calendar year 2009. This 
authorization is granted notwithstanding the provisions of 
section 2218(f)1 of title 10, United States Code.
    The budget request included $1,648.5 million for the 
National Defense Sealift Fund, including $749.8 million for the 
buyout of 13 MPS leases in fiscal year 2006.
    The committee notes that the time remaining on the leases 
of these 13 ships varies between four and six years, and does 
not see the urgency of buying out all of the leases at this 
time. The committee recommends buyouts of only those leases 
that expire in calendar year 2009, and recommends a decrease of 
$637.2 million from the National Defense Sealift Fund. The 
committee recommends an increase of $127.6 million in Operation 
and Maintenance, Navy, for the continued lease of the other 10 
MPS vessels.
Purchase and destruction of weapons overseas (sec. 324)
    The committee recommends a provision that would authorize 
the use of Department of Defense operation and maintenance 
funds to purchase weapons overseas from any person, foreign 
government, international organization, or other entity, for 
the purpose of protecting U.S. forces engaged in military 
operations overseas. The provision would permit the destruction 
of the purchased weapons. The provision would also require the 
Secretary of Defense to promptly notify the congressional 
defense committees of any use of this authority.
    This provision would clarify the authority of the 
Department to purchase weapons in foreign countries where U.S. 
Armed Forces are engaged in military operations, when such a 
program is undertaken for force protection purposes. Providing 
this authority would eliminate the need for the Department to 
use its ``emergency and extraordinary expense'' authority to 
fund such programs. The committee believes that providing clear 
statutory authority to the Department to conduct such programs 
is desirable, given the security environment in Afghanistan and 
Iraq and the need to respond promptly to similar threats 
elsewhere in prosecuting the global war on terrorism.
Increase in maximum contract amount for procurement of supplies and 
        services from exchange stores outside the United States (sec. 
        325)
    The committee recommends a provision that would increase 
from $50,000 to $100,000 the dollar limit for purchases by 
defense entities from military exchanges for goods and services 
outside the United States. This proposal would help ensure a 
readily available source of supplies for military entities, 
especially during times of emergency.
Extension of authority to provide logistics support and services for 
        weapon systems contractors (sec. 326)
    The committee recommends a provision that would extend by 3 
years the authority under section 365 of the Bob Stump National 
Defense Authorization Act for Fiscal Year 2003 (Public Law 107-
314) by which the Defense Logistics Agency could provide 
logistics support and services to a contractor in support of 
its performance on a contract for the construction, 
modification, or maintenance of a weapons system. The authority 
granted expires on September 30, 2007. Section 365 required the 
Secretary of Defense to issue regulations before the granted 
authority could be used; and these regulations currently are in 
the process of being finalized. Moving the expiration date to 
2010 would correspond to the original 5-year pilot period 
envisioned under section 365.
Army training strategy (sec. 327)
    In order to increase flexibility, responsiveness, 
jointness, and versatility, the Army is reorganizing the Active 
and Reserve component force structure into a brigade-based 
force. According to the Army, this initiative, referred to as 
``Modularity,'' will ensure land-force dominance across the 
full spectrum of contemporary and future operations. The Army 
anticipates completing reorganization of combat brigades by 
2007 and the reorganization of functional supporting brigades 
sometime thereafter.
    The committee notes, however, that the current unit 
training strategy and the resources that support that strategy 
continue to be division-based. For example, the current 
capacity of the combat training centers does not meet the 
planned requirements for a brigade-based force that will have 
at least 82 maneuver brigades and an additional number of 
functional supporting brigades to be determined by the Army.
    A clear unit training strategy, with well-defined goals and 
requirements, for the Modular force is essential in order to 
ensure Army readiness. Therefore, the committee recommends a 
provision that would direct the Secretary of the Army to 
develop and implement a training strategy for the Modular 
force. The provision would also require the Secretary to submit 
a report to the congressional defense committees not later than 
one year after the date of enactment of this Act on the 
requirements to be fulfilled in order to implement the Army's 
training strategy for the Modular force. The report shall 
include the following: (1) a discussion of the training 
strategy, including a description of performance goals and 
metrics; (2) a discussion and description of the training range 
requirements necessary to implement the training strategy; (3) 
a discussion and description of the training aids, devices, 
simulations, and simulators necessary to implement the training 
strategy; (4) a list of the funding requirements, itemized by 
fiscal year and specified in a format consistent with the 
Future Years Defense Program to accompany the President's 
budget, necessary to resource range requirements and necessary 
to provide training aids, devices, simulations, and simulators; 
(5) a schedule for the implementation of the training strategy; 
and (6) a discussion of the challenges that the Army 
anticipates in the implementation of the training strategy.
    Finally, the provision would direct the Comptroller General 
to monitor the implementation of the training strategy and to 
submit a report to the congressional defense committees not 
later than 18 months after the date of the enactment of this 
Act. The report shall contain an assessment of the progress of 
the Army to implement the training strategy.
Limitations on financial management improvement and audit initiatives 
        within the Department of Defense (sec. 328)
    The committee recommends a provision that would prohibit 
the Department of Defense from obligating or expending any 
funds for activities related to the Department's financial 
management improvement effort until the Secretary of Defense 
submits to the congressional defense committees an integrated 
and comprehensive financial management plan and a determination 
that each activity proposed to be funded would likely result in 
real and sustainable improvements in the Department's financial 
management systems and controls.
    The committee believes that the most effective way to fix 
the Department's financial management problems is to attack the 
problems at the root, by fixing the Department's business 
systems and processes so that they provide timely, reliable, 
and complete data for management purposes. Although senior 
Department officials have consistently agreed with this 
assessment, the Department has requested hundreds of millions 
of dollars to hire auditors, with the stated objective of 
achieving an auditable financial statement by fiscal year 
2007--long before the Department will be able to address the 
problems with its business systems and processes.
    By requiring that the Department pursue audit activities 
only in accordance with a comprehensive financial management 
improvement plan that coordinates such activities with needed 
systems improvements, the provision recommended by the 
committee would ensure that the Department first addresses the 
underlying problems with its systems and processes.
Study on use of ethanol fuel (sec. 329)
    The committee recommends a provision that would direct the 
Secretary of Defense to conduct a study on the use of ethanol 
fuel in the military services and defense agencies. The study 
shall include: an evaluation of the historical use of ethanol 
fuel by the military services and defense agencies, including 
the quantity of ethanol fuel procured by the Department of 
Defense for the services and defense agencies during the five-
year period ending on the date of the study; a forecast of 
ethanol fuel requirements for the military services and defense 
agencies for fiscal years 2007 through 2012; an assessment of 
the current and future commercial availability of ethanol fuel, 
to include production, storage, transportation, distribution, 
and commercial sale of such fuel; an assessment of the use by 
the military services and defense agencies of the ethanol fuel 
commercial infrastructure; a review of the actions of the 
Department to coordinate with State, local and private entities 
to support the expansion and use by the military services and 
defense agencies of public access alternative fuel refueling 
stations that are accessible to the public; and an assessment 
of the existing fueling infrastructure on military 
installations in the United States, including storage and 
distribution capabilities, which could be adapted or converted 
to the delivery of ethanol fuel use, the cost of such 
conversion, and the feasibility and advisability of such 
conversion. The provision would direct the Secretary to submit 
a report on the results of the study to the congressional 
defense committees not later than February 1, 2006.
    The committee notes that Department policy provides for the 
acquisition of alternative fuel vehicles, including ethanol 
fuel-capable vehicles. The committee also notes that ethanol 
fuel consumption by the military services and defense agencies 
increased by 25 percent from fiscal year 2003 to 2004. Despite 
this increase, the committee is concerned that there are a 
number of challenges that may be limiting the availability of 
ethanol fuel for the military services and defense agencies. As 
a result, the Department may not be fully achieving reductions 
in petroleum consumption with the 25,000 ethanol fuel-capable 
vehicles in the Department's inventory.

                              BUDGET ITEMS

                         Other Defense Programs

Enhanced vision
    The budget request included no funding in PE63115HP, for 
enhanced vision technology for the Defense Health Program. The 
committee is aware that the Surgeon General of the Air Force 
has a requirement for application of enhanced vision technology 
to provide improved visual capability to military pilots in the 
form of goggles or glasses. Enhanced vision technology has been 
shown to be capable of improving human vision capability beyond 
20/20, potentially to the theoretical limits of human vision.
    The committee recommends an increase of $5.0 million in 
PE63115HP for enhanced vision technology for the Defense Health 
Program. The committee expects that this increase will be used 
for extension of proven enhanced vision technology for military 
aero-space applications.
Assembled Chemical Weapons Alternatives Program
    The budget request included $33.0 million for the Assembled 
Chemical Weapons Alternatives (ACWA) Chemical Demilitarization 
research and development program. The committee recommends an 
increase of $20.0 million to accelerate work on the ACWA 
Chemical Demilitarization research and development program for 
the Pueblo Chemical Agent-Destruction Pilot Plant and the Blue 
Grass Chemical Agent-Destruction Pilot Plant.
    The committee is troubled by the inconsistent and 
frequently changing programmatic guidance that has been 
provided by the Under Secretary of Defense for Acquisition, 
Technology and Logistics to the Secretary of the Army and the 
program manager for the ACWA program over the last two years, 
resulting in cost increases and schedule delays. The committee 
notes its satisfaction with the April 15, 2005, memo from the 
Under Secretary of Defense for Acquisition, Technology and 
Logistics in which he directed the release of fiscal year 2005 
ACWA funds to the ACWA program manager. He also directed that 
the ACWA program manager determine expeditiously the most 
prudent design approach to maximize the opportunity to meet the 
Chemical Weapons Convention (CWC) extended 100% destruction 
deadline.
    The committee is dissatisfied with the Department of 
Defense's oversight and management of the entire chemical 
weapons demilitarization program. A series of reports by the 
Government Accountability Office have concluded that the 
program is not meeting its goals and objectives because of its 
bifurcated management, lack of a comprehensive strategy, and an 
inadequate funding stream.
    The committee is increasingly concerned that the budget 
request for the entire chemical demilitarization program does 
not provide sufficient funding to ensure that the United States 
will meet its treaty obligations under the CWC to completely 
destroy the U.S. chemical weapons stockpile by April 2012 at 
the latest. In addition, any delay in execution of this program 
unnecessarily prolongs the safety and environmental risks to 
local communities, and the possibility that a chemical weapons 
storage site could be the object of a terrorist attack or 
attempt to acquire chemical weapons.
    In light of these concerns, section 931 of the Ronald W. 
Reagan National Defense Authorization Act for Fiscal Year 2005 
(Public Law 108-375) directed the Under Secretary for 
Acquisition, Technology and Logistics and the Secretary of the 
Army to jointly prepare a strategic plan for future activities 
for destruction of the United States' stockpile of lethal 
chemical agents and munitions. The plan is to include realistic 
budgeting for stockpile destruction and related support 
programs; contingency planning for foreseeable or anticipated 
problems; and a management approach and associated actions that 
will address compliance with the obligations of the United 
States under the CWC and that take full advantage of 
opportunities to accelerate destruction of the stockpile. The 
committee notes that the plan, which was required to be 
submitted with the President's budget for fiscal year 2006, is 
overdue. The committee directs that the plan be provided 
expeditiously.
    The committee believes that, due to the international legal 
obligations the United States has assumed pursuant to the CWC, 
senior administration officials at the Department of Defense, 
the National Security Council, the Department of State, and the 
Office of Management and Budget must give this matter increased 
attention now, while there is still time to make the 
adjustments necessary to put the program back on track. In 
particular, this means ensuring that the President's future 
years budget requests include sufficient funding to accomplish 
the mission of destroying the chemical weapons stockpile safely 
and on schedule to meet the treaty timelines. The Congress has 
made clear its willingness to consider requests for increased 
funding necessary to meet this goal. At the same time, the 
committee expects the Department of Defense to improve 
management and oversight of the program.
    Finally, the committee notes that the support of local 
communities where the destruction activities are being, or will 
be, undertaken is essential to the Department of Defense's 
ability to achieve the 100% destruction of the U.S. chemical 
weapons stockpile by 2012. Therefore, the committee urges the 
Department to make every effort to consult with and take into 
account the views of local communities when making significant 
programmatic decisions that might impact those communities.

                                  Army

Advanced combat helmet with modular integrated communications headset
    The budget request included $1.9 billion in Operation and 
Maintenance, Army (OMA), for land forces operations support, 
including $750,000 for the advanced combat helmet with the 
modular integrated communications headset. The committee notes 
that the utility of the advanced combat helmet with modular 
integrated communications headset has been demonstrated under 
combat conditions and enhances the personal protection of the 
individual soldier. The Army has completed approximately 50 
percent of the approved acquisition object of the advanced 
combat helmet with modular integrated communications. The 
committee recommends an increase of $20.0 million in OMA for 
the advanced combat helmet with modular integrated 
communications headset.
Army training
    The budget request included $758.8M in Operation and 
Maintenance, Army (OMA), for training support systems. The 
committee notes that the Army is making every effort to 
maximize training at homestation prior to deployment in support 
of contingency operations. Therefore, the committee recommends 
an increase of $90.8 million in OMA for training support 
systems.
    Army officials note that the conversion to a brigade-based 
force while preparing for deployment in support of contingency 
operations has presented a number of challenges to training 
units in ensuring deployment preparedness. The Army has acted 
to ensure training readiness by capitalizing on resources 
available at both the combat training centers (CTCs) and 
homestations. In fiscal year 2005, for example, the Army 
increased the number of rotations at the CTCs by 20 percent and 
increased the size of each rotation by 30 percent.
    The committee notes, however, that the increases in 
rotations at the CTCs have had secondary effects. National 
Training Center instructors, for example, noted a decrease in 
the proficiency level of Third Infantry Division companies and 
platoons during their rotation, which the instructors 
attributed to limited training time at homestation. Two 
brigades of the 101st Air Assault Division, were required to 
advance their combat training schedules by 4 and 6 months, 
causing turbulence to planned homestation training in 
preparation for a CTC rotation. Officials at the Joint 
Readiness Training Center (JRTC) noted that the time staff was 
able to dedicate to planning and preparing final training 
events for Army units at JRTC had decreased by nearly 50 
percent. The newly-formed brigade of the 10th Mountain Division 
garrisoned at Fort Polk is limited from fully using training 
ranges at Fort Polk because of the increase in the number of 
visiting units using the ranges for JRTC rotations.
    The second approach to unit training implemented by the 
Army in 2005 was to complete unit training at homestation. In 
February 2005, the First Brigade Combat Team (1BCT) of the 82nd 
Airborne Division completed unit training at their homestation, 
Fort Bragg. As a result, the 1BCT was able to spend more time 
preparing for final training events and preparing equipment for 
deployment. The unit also was able to reapply approximately $10 
million, the cost to transport equipment to a combat training 
center, to high priority brigade requirements. Army leadership 
stated that the final training event at Fort Bragg equaled, and 
in many cases exceeded, the training experience at a CTC.
    The committee understands the challenges to unit training 
that the Army is addressing, including the impact of 
accommodating both implementation of a brigade-based 
organization and preparation for deployment. The committee 
believes that the Army will be better prepared to address these 
challenges if the following actions are taken. First, as 
addressed elsewhere in this report, the Army should develop and 
implement a training strategy for the brigade-based 
organization. Second, the Army should continue to fully 
maximize the limited amount of time and other resources 
available to units preparing for deployment, converting to 
brigade-based organization, or both, by completing training 
events at homestation to the maximum extent possible.
    To increase the availability of resources at homestation, 
the committee recommends an increase of $90.8 for training 
operations and training enablers, as follows: $73.7 for 
homestation range operations; $7.7 million for the virtual 
combat convoy trainer; $3.9 million for the battle command 
training capability; $3.0 million for cognitive air defense 
simulators; $1.0 million for grenade range improvements; and, 
$1.5 million for range fiber optic local area network (LAN) 
installation.
Corrosion prevention and control
    The budget request included $615.1 million in Operation and 
Maintenance, Army (OMA), for land forces systems readiness and 
$416.5 million in Operation and Maintenance, Marine Corps 
(OMMC), for field logistics support. The committee supports the 
efforts of the Army and the Marine Corps to sustain their 
robust and comprehensive corrosion control programs. The 
committee also notes the work of the Marine Corps to assemble 
and deploy Corrosion Assessment Teams (CAT) and to implement 
the advanced vapor corrosion inhibitor delivery system (AAD-
VCI). To date, the CATs, for example, have assessed, 
classified, and documented more than 23,000 pieces of ground 
combat equipment in five corrosion condition categories. The 
committee continues to support the efforts of both services to 
address corrosion in their vehicles and other equipment. 
Therefore, the committee recommends an increase of $8.0 million 
in OMA and $9.3 million in OMMC to support corrosion 
prevention, including $4.8 million for Marine Corps CATs; $2.0 
million for Marine Corps corrosion prevention and control 
programs; and $2.5 million for AAD-VCI.
    The committee believes that each of the military services 
may benefit from a review of the corrosion mitigation programs 
implemented by other military services. The committee notes, 
for example, that the Army National Guard has mitigated 
corrosion and subsequently achieved significant cost savings 
through the Controlled Humidity Preservation Program (CHP). The 
CHP is a tiered approach to corrosion prevention and is used 
for several weapon systems, including combat vehicles and 
missile systems. Army National Guard officials report 
investment returns ranging from four-to-one to as high as 
eleven-to-one on the various weapon systems. The committee 
believes that corrosion prevention and control programs with 
demonstrated utility, such as the CHP, could offer similar 
benefits for the other services. The committee urges the 
Department of Defense's senior designated official for 
corrosion policy to ensure that the services coordinate their 
prevention and control programs to avoid duplication of effort.
Facility sustainment, restoration, and modernization for the Army
    The budget request included $1,825.5 million in Operations 
and Maintenance, Army (OMA), Operating Forces, for Facility 
Sustainment, Restoration, and Modernization (FSRM). This 
account is used by the Army to fund critical maintenance, 
repairs, and renovations of military facilities and 
infrastructure. The amount in the budget request equates to 92 
percent of the total fiscal year 2006 FSRM requirement for the 
Army, 3 percent less than the budget goal established by the 
Department of Defense for this account.
    On April 5, 2005, the Government Accountability Office 
released an issue paper entitled ``Budget Justification Review: 
Operations and Maintenance Trends'' that reviewed the Army's 
execution of the FSRM account. Their analysis concluded that an 
average of 29 percent of the funds authorized by Congress in 
fiscal year 2003 and 2004 for this account were not obligated 
for their intended purpose, but rather transferred to other 
operations and maintenance accounts.
    The Army announced a goal on March 22, 2005, to obligate 
funds for FSRM at 90 percent of validated requirements. 
Therefore, the committee recommends a decrease of $33.8 million 
in OMA to meet the Army's goal of funding 90 percent of the 
requirements for the FSRM account. The committee directs the 
Army to request funding for the FSRM account in future year 
budgets at an amount intended to be obligated for the purpose 
authorized by Congress, and to discontinue the practice of 
transferring FSRM funding to other operations and maintenance 
accounts.
Quadruple specialty containers
    The budget request included $248.2 million in Operation and 
Maintenance, Army (OMA), for strategic mobilization. The 
committee notes that the Army deploys quadruple specialty 
containers (QUADCONS) at key power projection platforms for 
early deploying units. This equipment has been particularly 
well used in support of ongoing contingency operations. The 
committee recommends an increase of $6.0 million in OMA for 
QUADCONS.
Department of Defense foreign language training
    The budget request included $1.0 million for the Defense 
Language Institute in Operations and Maintenance, Army (OMA), 
specifically for satellite communications language training 
activities (SCOLA).
    SCOLA is a unique satellite-based language training 
activity that provides television programming in a variety of 
languages from around the world. Language students and seasoned 
linguists have found this augmentation of their normal language 
training to be very helpful. SCOLA also has an Internet-based 
streaming video capability that greatly increases the 
availability of this training medium to military and civilian 
linguists, virtually anywhere they can obtain an Internet 
connection. In addition, SCOLA is developing a digital archive 
that will allow users anywhere to review and sort language 
training information on demand. The development of these 
capabilities will make SCOLA training assistance much more 
widely available, but requires additional investment. The 
committee is concerned that even after three years of 
encouragement from the Congress, and in an operational 
environment where the value of language training is of great 
importance to the nation, the Department of Defense has not 
fully funded the innovative language training concepts that can 
help sustain and significantly improve the skills of military 
and civilian linguists in the Department.
    The committee recommends an increase of $6.0 million in 
OMA, for the Defense Language Institute, for funding of SCOLA 
related training activities.
Army civilian intern program
    The budget request included $l54.2 million in Operation and 
Maintenance, Army (OMA), for civilian education and training, 
including funding for the Army civilian intern program. The 
committee notes that the requested level of funding for the 
intern program represents an increase of $51.7 million over the 
fiscal year 2005 level. The committee believes that the Army 
has failed to provide justification for this increase. The 
committee recommends a decrease of $51.7 million in OMA for the 
intern program.
Unattended ground sensors
    The budget request included $919.8 million in Operation and 
Maintenance, Army (OMA), for Security Programs, including $1.7 
million for unattended ground sensors (UGS). The committee 
notes that the Army is fielding a new UGS as a quick reaction 
capability in support of Operation Iraqi Freedom for area and 
force protection. The UGS will serve as an intrusion detection 
system, as well as provide target classification, target 
recognition, target identification, and target dynamics, 
enhancing the security of U.S. ground forces and their ability 
to rapidly engage threat forces. The committee recommends an 
increase of $5.0 million in OMA, for UGS.
Information assurance vulnerability alert cell
    The budget request included $389.7 million in Operation and 
Maintenance, Army (OMA), for logistics support acitivies. The 
committee notes the importance of employing Army logistics 
systems, such as the Standard Army Management Information 
System, with security safeguards. The Information Assurance 
Vulnerability Alert (IAVA) Cell is designed to provide such 
safeguards, including information security analysis and 
response capabilities. The committee recommends an increase of 
$3.0 million in OMA for the IAVA Cell.
Aviation and missile life cycle management pilot program
    The budget request included $606.6 million in Operation and 
Maintenance, Army (OMA), for administration activities. The 
committee notes the utility of electronic business (e-business) 
portals in weapon systems product life cycle management. The 
program manager (PM) for Aviation Systems has successfully used 
the Army Aviation Fleet Logistics Management e-business portal 
for such purposes. The committee understands that extending 
life cycle management technologies to the end-user may further 
enhance management efficiencies. The committee notes that a 
complete assessment of the utility of extending life cycle 
management to the end-user has yet to be completed. Therefore, 
the committee recommends an increase of $3.0 million in OMA to 
extend life cycle management capabilities from PM Aviation 
Systems to the end-user and directs that these funds be used to 
conduct a pilot program only.
    In addition, the committee directs the Secretary of the 
Army to conduct a study on the effectiveness of the pilot 
program in supporting the goals of life cycle management for PM 
Aviation Systems. The committee directs the Secretary to report 
the results of the study to the congressional defense 
committees by March 31, 2006.
Army excess carryover
    The Army's working capital fund budget request included 
$3.1 billion in new orders and $1.0 billion in calculated depot 
maintenance carryover--the dollar value of depot maintenance 
work that has been ordered, but not yet completed at the end of 
a fiscal year. In June 2004, the Department of Defense's 
Comptroller provided the services new written guidance 
concerning calculation of carryover. The previous guidance was 
that a service could ``carryover'' no more than the equivalent 
of 3 months of workload from one fiscal year to the next. The 
new methodology for calculating carryover, in which the 
Government Accountability Office (GAO) participated, includes 
an analytically-based carryover standard based on actual 
expenditures. While the new method is more analytically sound, 
the committee is concerned with the Army's execution of the 
methodology.
    The Army continues to manage to an operation and 
maintenance expenditure rate 5 to 10 percentage points lower 
than the other services, allowing them to carryover 
significantly more workload at the end of a fiscal year. The 
committee recommends that, upon the completion of an ongoing 
study by the GAO on this discrepancy, the Department provide 
the services amended guidance concerning carryover 
calculations.
    The committee also recommends that the Department use one 
rate for all of the services.
    The committee is concerned that the Army's use of a 
different rate is not an effective cash management technique. 
By allocating funds to workload that will not be executable in 
fiscal year 2006, the lower rate restricts the Department from 
better using funds for more immediate, higher priority matters.
    The committee recommends a decrease of $94.7 million in 
Operation and Maintenance, Army, to reflect funds in the Army 
Working Capital Fund that cannot be expended in fiscal year 
2006 due to the Army's excess depot maintenance carryover.

Audits of Department of Defense financial statements

    The budget request included $200.0 million in the service's 
operation and maintenance accounts for the audits of defense 
financial statements. The Government Accountability Office 
testified on April 13, 2005, before the Subcommittee on 
Readiness and Management Support of the Committee on Armed 
Services that spending on audits before the Department has 
financial management systems in place to support such audits is 
not the best use of limited resources. The committee expects 
that the auditors hired by the Department of Defense Inspector 
General in fiscal year 2005 for audits of defense financial 
statements will be used in fiscal year 2006 for other auditing 
and investigation purposes. The committee recommends a 
reduction of $200.0 million to the service's operation and 
maintenance accounts, as follows:
          Operation and Maintenance, Army--$70.0 million;
          Operation and Maintenance, Navy--$65.0 million; and
          Operation and Maintenance, Air Force--$65.0 million.

Civilian personnel pay in excess of requirements

    The budget request included $53.5 billion for civilian 
personnel pay in fiscal year 2006. Based on an analysis of the 
services' end strength data for civilian personnel as of April 
29, 2005, the Government Accountability Office (GAO) projects 
that the Army and Navy/Marine Corps' civilian personnel costs 
are overstated for fiscal year 2006 by $189.0 million. The 
committee recommends reducing the operation and maintenance 
accounts by $189.0 million, as follows:
          Army--$17.0 million; and
          Navy/Marine Corps--$172.0 million.

Defense Information System Network

    The committee understands that the Defense Information 
System Network (DISN)--the Department of Defense's backbone for 
providing data, video, and voice services--will establish a new 
pricing structure in fiscal year 2006 for billing the 
individual services for usage. While supportive of the proposed 
simplified structure, the committee is concerned about the 
conflicting and contradictory budget justification materials in 
DISN that accompanied the President's budget submission. As 
initially briefed to the committee, the simplified structure 
entails a decentralization of funds from the Defense 
Information Systems Agency (DISA) to the individual services. 
In turn, the services then pay a ``subscription fee'' for DISN 
usage. However, budget justification materials provided to the 
committee from the Office of the Secretary of Defense, DISA, 
and the individual services do not lay out this reallocation in 
any trackable, logical manner. The committee recommends 
reducing the Department's operation and maintenance accounts by 
$95.0 million, as follows:
          Operation and Maintenance, Army--$25.0 million;
          Operation and Maintenance, Navy--$25.0 million;
          Operation and Maintenance, Air Force--$25.0 million; 
        and
          Operation and Maintenance, Defense Information System 
        Agency--$20.0 million.

Working capital funds

    The budget request included $3.1 billion in discretionary 
spending for defense working capital funds. These working 
capital funds serve a vital role in providing financial 
transaction flexibility for critical defense customer support 
activities. When working capital funds produce an annual net 
operating result involving a surplus--revenues exceeding 
expenses--consideration should be given to adjusting customer 
rates in future years. Working capital funds that do not 
appropriately return surplus funds to the supported 
departments, commands, and agencies through rate-change 
mechanisms artificially inflate the cost of support and deprive 
the supported units of limited resources. In many cases, the 
global war on terrorism has created increased work flow in and 
out of working capital funds annually over scheduled peacetime 
projections.
    In previous years, the committee has urged the Department 
of Defense to anticipate the increased workload being 
experienced within the working capital funds and to budget 
accordingly. While some agencies and services have begun to 
take these additional revenue and expenses into account, the 
Army, Air Force, and Defense Information System Agency (DISA) 
still are not doing so. Consequently, end of year positive 
operating balances and excess cash balances continue to grow 
for these working capital funds.
    The current projections of net operating result for fiscal 
year 2006 for the Army, Air Force, and DISA are based, in part, 
on artificially low revenue estimates. As higher revenues are 
realized, the working capital funds will continue to maintain 
large, positive operating balances and excess cash balances. To 
ensure proper management of the funds, the committee recommends 
reducing excess balances within these working capital fund 
accounts by $252.9 million, as follows: Army, $124.7 million; 
Air Force, $85.5 million; and DISA, $42.7 million.

                                  Navy


NULKA decoy cartridge

    The budget request included $588.4 million in Operation and 
Maintenance, Navy (OMN), for ship operational support and 
training. The committee notes the Navy requirement to recertify 
Mark-234 NULKA electronic decoys every 3 years. The committee 
recommends an increase of $2.7 million in OMN for NULKA 
maintenance and recertification.

Stainless steel sanitary spaces

    The budget request included $4.0 billion in Operation and 
Maintenance, Navy (OMN), for ship depot maintenance. The 
committee notes that the Stainless Steel Sanitary Space (S4) is 
being installed on ships during repair or overhaul periods. The 
S4 consists of corrosion prevention materials and coatings, 
which reduce maintenance requirements and increase quality of 
life for ships' company. The committee recommends an increase 
of $4.5 million in OMN to sustain the S4 installation rate.

Manufacturing Technical Assistance and Production Program

    The budget request included $298.1 million in Operation and 
Maintenance, Navy (OMN), for combat communications, including 
funding for Space and Naval Warfare Systems Command (SPAWAR) 
activities. The committee notes that the Manufacturing 
Technical Assistance and Production Program (MTAPP) continues 
to be a key program for integration of small businesses into 
the military supply chain. The committee recommends an increase 
of $4.0 million in OMN for SPAWAR MTAPP.

Electric start system

    The budget request included $173.0 million in Operation and 
Maintenance, Navy (OMN), for equipment maintenance. The 
committee notes that performance models have demonstrated that 
improved reliability and lower maintenance costs could be 
achieved with electric start technology. Electric start system 
technology is now available for installation on marine gas 
turbine engines, including power plants on Ticonderoga-class 
cruisers and Arliegh Burke-class destroyers. The committee 
recommends an increase of $8.0 million in OMN for electric 
start system upgrades.

Marine gas turbine photonic sensors

    The budget request included $173.0 million in Operation and 
Maintenance, Navy (OMN), for equipment maintenance. The 
committee understands that more accurate monitoring of gas 
turbine plant performance and operating parameters is an 
important element of the Navy's Conditioned Based Maintenance 
(CBM) program. The committee recommends an increase of $3.0 
million in OMN for marine gas turbine photonic sensors in 
support of the CBM program.

Mark-45 gun system overhauls

    The budget request included $473.6 million in Operation and 
Maintenance, Navy (OMN), for weapons maintenance, including 
funding for the overhaul of Mark-45 (Mk-45) gun systems. The 
committee notes that the Mk-45 continues to be the Navy's 
primary battery on cruisers and destroyers. The committee 
recommends an increase of $16.0 million in OMN for Mk-45 gun 
system overhauls.

Facility sustainment, restoration, and modernization for the Navy

    The budget request included $1,345.0 million in Operations 
and Maintenance, Navy (OMN), Operating Forces, for Facility 
Sustainment, Restoration, and Modernization (FSRM). This 
account is used by the Navy to fund critical maintenance, 
repairs and renovations of military facilities and 
infrastructure. The amount in the budget request equates to 95 
percent of the total fiscal year 2006 FSRM requirement for the 
Navy, which meets the budget goal established by the Department 
of Defense for this account.
    On April 5, 2005, the Government Accountability Office 
released an issue paper entitled ``Budget Justification Review: 
Operations and Maintenance Trends'' that reviewed the Navy's 
execution of the FSRM account. Their analysis concluded that 23 
percent of the funds authorized by Congress in fiscal year 2004 
for this account were not obligated for their intended purpose, 
but transferred to other operations and maintenance accounts.
    The committee recommends a decrease of $26.2 million in OMN 
to reflect the anticipated obligation amount in fiscal year 
2006. Furthermore, the committee directs the Department of the 
Navy to request funding for the FSRM account in future year 
budgets at an amount intended to be obligated for the purpose 
authorized by Congress, and to discontinue the practice of 
transferring FSRM funding to other operations and maintenance 
accounts.

                              Marine Corps


Acclimate high performance undergarments

    The budget request included no funding in Operation and 
Maintenance, Marine Corps (OMMC), for acclimate high 
performance undergarments. The committee notes that the 
Commandant of the Marine Corps continues to support the 
initiative to make improvements in form, fit, and function of 
Marine clothing and accessories. Acclimate high performance 
undergarments allow Marines to adapt to all environments using 
one type of undergarment system. The committee recommends an 
increase of $2.5 million in OMMC for acclimate high performance 
undergarments.

Combat casualty care equipment upgrades

    The budget request included no funding in Operation and 
Maintenance, Marine Corps (OMMC), for combat casualty care 
equipment upgrades. The committee notes that the Marine Corps 
assesses combat casualty care equipment upgrades as high 
military value and has an identified shortfall of 458 units 
against the approved acquisition object (AAO). The committee 
recommends an increase of $5.2 million in OMMC for combat 
casualty care equipment upgrades to fulfill the AAO.

Family of mountain cold weather clothing and equipment

    The budget request included $7.5 milllion in Operation and 
Maintenance, Marine Corps (OMMC), for the family of mountain 
cold weather clothing and equipment. Additional funding for the 
family of mountain cold weather clothing and equipment has been 
identified on the Commandant of the Marine Corps unfunded 
priorities list, including the All Purpose Environmental 
Clothing System (APECS). The committee recommends an increase 
of $8.0 million in OMMC for APECS.

Portable tent lighting

    The budget request included no funding in Operation and 
Maintenance, Marine Corps (OMMC), for portable tent lighting. 
The committee notes that Marine Corps portable tent lighting is 
electro-magnetic interference hardened to prevent compromising 
periperal electronics and computers. Additional funding for 
portable tent lighting has been identified on the Commandant of 
the Marine Corps unfunded priorities list. The committee 
recommends an increase of $2.0 million in OMMC for portable 
tent lighting.

Ultra-light Camouflage Net System

    The budget request included no funding in Operation and 
Maintenance, Marine Corps (OMMC), for the Ultra-light 
Camouflage Net System (ULCANS). The committee notes that ULCANS 
greatly enhances the ability of combat troops and support units 
to conceal military target signatures of weapons, vehicles, and 
semi-permanent positions in situations where natural cover or 
concealment may be absent or inadequate. Additional funding for 
ULCANS has been identified on the Commandant of the Marine 
Corps unfunded priorities list. The committee recommends an 
increase of $8.0 million in OMMC for ULCANS.

Supplemental communications and electrical utility support to U.S. 
        Marine Corps Network Operations Center

    The budget request included no funding in Operation and 
Maintenance, Marine Corps, to extend and improve base 
information technology and electric infrastructure to meet 
requirements of the network operations center currently under 
construction and other facilities at the U.S. Marine Corps Base 
at Quantico, Virginia. There is a requirement for $2.1 million 
to complete construction of the Marine Corps network operations 
center that begun last year. Without this additional funding, 
the Marine Corps communications and warfighting capabilities 
will be degraded.
    The committee recommends an increase in Operation and 
Maintenance, Marine Corps, of $2.1 million to extend and 
improve base information technology and electrical 
infrastructure to meet requirements of the network operations 
center and other facilities.

                               Air Force


Bomber deployable phase maintenance kits

    The budget request included no funding in Operation and 
Maintenance, Air Force (OMAF), for B-52 or B-1 bomber 
deployable phase maintenance kits. The committee notes that the 
global war on terrorism has increased the requirement for Air 
Force aircraft, including bombers, to operate from forward 
operating locations. Additional funding for B-52 and B-1 bomber 
deployable phase maintenance kits has been identified on the 
Chief of Staff of the Air Force unfunded priorities list in 
order to increase bomber availability in theater. The committee 
recommends an increase of $86.0 million in OMAF for bomber 
deployable phase maintenance kits, as follows: $34.0 million 
for B-1 aircraft and $52.0 million for B-52 aircraft.

Robust Nuclear Earth Penetrator

    The budget request included $3.5 million in Operation and 
Maintenance, Air Force (OMAF), for the development of a 
preliminary design and risk assessment of a navigation, 
guidance, and control unit for the Robust Nuclear Earth 
Penetrator (RNEP), and for an assessment of the integration and 
requirements of such a unit for carriage on the B-2 bomber. The 
committee notes that the evaluation of RNEP feasibility by the 
Department of Energy is not scheduled to be completed prior to 
2007. Therefore, the committee recommends a decrease of $3.5 
million in OMAF.

Joint protection enterprise network

    The budget request included no funding in the Operations 
and Maintenance, Air Force (OMAF) account for the joint 
protection enterprise network (JPEN). The Department of Defense 
requires standardized and timely submission of Threat and Local 
Observation Notices (TALON) and Suspicious Activity Reports 
(SAR) across components and commands. The Commander, U.S. 
Northern Command, has identified funding shortfalls for the 
operations and maintenance of JPEN, which provides this 
capability. The committee recommends an increase of $3.6 
million in OMAF to address this funding shortfall and to 
support system upgrades, enhanced functionality, and expanded 
information sharing capabilities for JPEN.

Joint task force north

    The budget request included $4.5 million in the Operations 
and Maintenance, Air Force (OMAF) account for Joint Task Force 
North (JTF-N). In September 2004, Commander, U.S. Northern 
Command (NORTHCOM), assigned JTF-N a full homeland defense and 
civil support mission. This new mission transforms JFT-N into 
an operational, proactive, transnational threat-focused 
organization driven by actionable intelligence. The Commander, 
NORTHCOM, has identified funding shortfalls for the operation 
of the task force. The task force must maintain operational 
readiness and participation in efforts such as the recently 
concluded 3 month, multiagency Operation Winter Freeze border 
security project. The successful operation took place on the 
northeast border during a period of heightened security. The 
committee recommends an increase of $6.0 million in OMAF to 
support basic operational requirements; equipment and personnel 
for the JTF-N; and to continue projects focused on proactive 
situational awareness, decision superiority, theater security 
cooperation, and other initiatives required under the new 
homeland defense and civil support mission.

Mobile consolidated command center

    The budget request included $14.9 million in the Operations 
and Maintenance, Air Force (OMAF) account for the mobile 
consolidated command center (MCCC). The MCCC is a rapidly 
deployable, vehicle-based command and control center designed 
to provide commanders with tactical warning, military force 
direction, and consequence management during periods of 
heightened security alerts or increased national readiness 
levels. The Commander, U.S. Northern Command, has identified 
funding shortfalls for the operations and maintenance of MCCC.
    The committee recommends an increase of $6.2 million in 
OMAF to address this shortfall and to fully sustain and support 
the operation of the MCCC. Uninterrupted operation of the MCCC 
would ensure the availability of continuous communication links 
to the military chain of command in a crisis and would allow 
for prolonged independent operation as necessary.

Mobility Air Force depot maintenance

    The budget request included $2.5 billion in Operation and 
Maintenance, Air Force (OMAF), for depot maintenance programs, 
including $287.8 million for KC-135 depot maintenance and $87.5 
million for C-130 depot maintenance. The KC-135 and C-130 are 
venerable, combat-tested aircraft. Manned with talented, 
dedicated mobility Air Force crews, these aircraft continue to 
demonstrate their essential contributions to the global war on 
terrorism. Additional funding for KC-135 depot maintenance and 
for C-130 depot maintenance has been identified on the Chief of 
Staff of the Air Force unfunded priorities list. The committee, 
therefore, recommends an increase of $96.6 million in OMAF, 
including $59.0 million for KC-135 depot maintenance and $37.6 
million for C-130 depot maintenance funding to address 
immediate safety of flight issues and to sustain the long-term 
readiness of mobility air forces.
    The committee is concerned with the level of funding 
provided for KC-135 depot maintenance, given the results of 
previous Air Force studies, ongoing efforts to mitigate 
corrosion, and continuing challenges related to the future 
force structure of tanker aircraft. The Tanker Requirement 
Study for Fiscal Year 2005, supported by the KC-135 Economic 
Service Life study, concluded that the Air Force should apply 
additional resources for KC-135 depot maintenance in order to 
increase depot throughput and to maximize available operational 
aircraft. The committee finds, however, that the budget request 
included funding for only 47 percent of the requirement for KC-
135 air frame maintenance and only 58 percent of the total 
depot maintenance requirement for KC-135 aircraft. The 
committee, therefore, recommends additional funding for KC-135 
depot maintenance to maintain a viable depot maintenance 
program and address continuing challenges.
    The committee notes that recent changes to the C-130J 
acquisition program and the discovery of advanced fatigue in 
the center wing box of the current inventory of C-130 aircraft 
present challenges to the readiness of the C-130 fleet. Program 
changes and advanced wing fatigue were not anticipated when the 
C-130 depot maintenance program for fiscal year 2006 was 
prepared. The committee notes that as a result of center wing 
box fatigue, the Air Force has grounded 30 aircraft and has 
imposed restrictions on an additional 60 aircraft. The 
committee, therefore, recommends an increase in depot 
maintenance funding to address immediate C-130 center wing box 
safety of flight issues and to ensure the availability of 
mission capable aircraft to support intra-theater, tactical air 
lift operational requirements.
    The committee notes that this additional funding is one 
part of an overall initiative by the committee to provide 
additional funding for KC-135 and C-130 readiness.

Homeland Security/Homeland Defense Education Consortium

    The budget request included no funding in the Operations 
and Maintenance, Air Force (OMAF) account to continue the U.S. 
Northern Command (NORTHCOM) Homeland Security/Homeland Defense 
Education Consortium (HSDEC). The committee recommends an 
increase of $1.0 million in OMAF to enable NORTHCOM to continue 
and expand HSDEC. As homeland security and homeland defense 
roles and missions are further defined, it is important that 
educational curriculums designed to train personnel in these 
areas adhere to standards, and that the Department of Defense, 
through NORTHCOM, participates in establishing the criteria for 
such standards. An expanded program would increase the role of 
NORTHCOM in setting education and research priorities and would 
further training, information sharing, and targeted projects, 
particularly in cyber and biodefense.

                              Defense-Wide


Counseling and assistance to military families

    The budget request included $42.0 million in Operation and 
Maintenance, Defense-wide (OMDW), for non-medical counseling 
and $179.0 million for family assistance centers across all 
military departments. Recent studies, including the National 
Military Family Association's ``Serving the Home Front'' 
analysis and the Army Family Action Plan, show significantly 
increased demand for assistance to families due to the changing 
nature of military service since September 11, 2001.
    The committee recommends an increase of $30.0 million in 
OMDW for increased assistance to military families, including 
non-medical, preventive mental health counseling, including 
assistance to families of the Guard and Reserve. The committee 
expects the increased funding to support non-medical counseling 
services available through the Department of Defense's Military 
One-Source program, which provides up to six face-to-face 
counseling visits for individual and family needs, both in the 
continental United States and overseas. The committee further 
directs that additional funds be applied to reducing the 
shortfall of funding for family assistance centers serving the 
Army National Guard, Air Force National Guard Wings, Air Force 
Reserve, and Army Reserve.

Increased support for child care for military families

    The budget request included a total of $440.0 million for 
child care services for all military services, including $174.0 
for the Army; $95.0 for Navy; $151.0 for Air Force; and $20.0 
for the Marine Corps. The committee believes that additional 
funds are needed to meet the documented requirement for more 
than 38,000 additional child care spaces for military families. 
The committee is concerned that the Department of Defense has 
an ongoing deficiency in the availability of child care 
services, which has increased significantly in the past two 
years and which adds a substantial burden to the families of 
deployed military members.
    The committee recommends an increase of $40.0 million in 
Operations and Maintenance, Defense-wide (OMDW) for child care 
services for military families, including the families of 
mobilized Guard and Reserve members.
    The committee intends that the increased funding will be 
used for the following purposes:
          (1) construction of temporary facilities at military 
        installations with high deployment rates that are 
        experiencing an increase in births, based on authority 
        provided elsewhere in this report. This new authority 
        would increase the threshold for use of minor military 
        construction authority for unspecified minor 
        construction projects to construct child development 
        centers; and
          (2) support for public-private partnerships to 
        provide incentives for providers on and off military 
        installations to offer support to military families.
    The committee acknowledges that the demand for child care 
services exceeds availability both in the continental United 
States and overseas, and is a top quality of life concern among 
military personnel.

Funding for Office of Economic Adjustment

    The budget request included $30.0 million in Operations and 
Maintenance, Defense-wide (OMDW), Administration and Service-
wide Activities, for the Office of Economic Adjustment (OEA). 
The committee recommends additional funding of $60 million in 
OMDW to allow the OEA to provide planning assistance to local 
communities affected by the closure or realignment of military 
installations resulting from the 2005 Defense Base Closure and 
Realignment (BRAC) round.
    The OEA provides comprehensive planning and organizational 
assistance to communities, regions, and States adversely 
impacted by BRAC. Civilian reuse of a former military 
installation is often the single most important opportunity for 
an affected community to overcome the specific impacts of a 
closure or realignment, while building upon a community's 
strengths and opportunities. OEA anticipates start-up 
obligations that will average $1.0 million per community grant 
in fiscal year 2006 for local staff to coordinate the 
community's response and to develop realistic reuse plans and 
community strategies. OEA grants will also be used to establish 
physical and environmental baseline conditions, to study 
market-feasible reuses, and to plan for potential zoning 
actions and public improvements.

Capital security cost sharing

    The budget request included $61.3 million in Operation and 
Maintenance, Defense-wide, for capital security cost sharing. 
The committee recommends a decrease of $61.3 million for 
capital security cost sharing.
    Elsewhere in this report, the committee recommends a 
provision that would permit funds appropriated to the 
Department of Defense to be transferred to the Department of 
State as payment for a fee charged by the Department of State 
for maintenance, upgrade, or construction of U.S. diplomatic 
facilities, only to the extent that the amount charged in any 
given year exceeds the total amount of unreimbursed costs 
incurred by the Department of Defense during that year in 
providing goods and services to the Department of State. The 
committee anticipates that in fiscal year 2006 the Department 
of Defense will provide unreimbursed goods and services to the 
Department of State valued in excess of $61.3 million; 
therefore, the Department of Defense will not need the money 
included in the budget request for the capital security cost 
sharing program.

Information assurance scholarship program

    The budget request included $5.5 million in Operations and 
Maintenance, Defense-wide (OMDW), for the information assurance 
scholarship program. The committee recommends an increase of 
$3.0 million in OMDW for this program. The Department of 
Defense requires experts in the areas of information security, 
assurance, and architecture. Increased funding for these 
scholarships will allow the Department to educate and train 
additional students in fiscal year 2006.
    The committee's commitment to ensuring an adequate and 
skilled workforce to support the Department's complex 
information assurance and security challenges led to the 
creation of this scholarship program in the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001 (Public 
Law 106-398). The committee continues to strongly support the 
program and commends the Department for successful recruitment 
of quality educational institutions and perspective students to 
participate in this important endeavor.

Increased funding for conservation buffer zones

    The budget request included $20.0 million in Operations and 
Maintenance, Defense-wide, for implementation of conservation 
buffer zones around military facilities under the Department of 
Defense's Readiness and Environmental Protection Initiative. 
The committee recommends an increase of $20.0 million to 
accelerate the Readiness and Environmental Protection 
Initiative.
    The committee believes that limiting the development or use 
of property that would be incompatible with the mission of an 
installation, and preserving habitat that is compatible with 
environmental requirements and which may also serve to 
eliminate or relieve current or anticipated environmental 
restrictions on the use of military installations, should be a 
high priority for the Department. The Department should pursue 
opportunities to avoid encroachment by urban growth and 
development through partnership agreements with eligible 
entities. The committee directs that in allocating the funding 
provided for the Department's Readiness and Environmental 
Protection Initiative, the Department should give priority to 
projects that have been characterized by the Army as 
benefitting high priority training sites and identified as 
having the greatest potential to reduce or prevent encroachment 
through the implementation of a compatible use buffer zone, 
such as projects that are part of the Army's Compatible Use 
Buffer Program at the following locations: Fort Campbell, KY; 
Fort Carson, CO; Fort A. P. Hill, VA; Fort Hood, TX; Fort Sill, 
OK and Camp Ripley, MN.

Citizen-Soldier Support Program

    The budget request included no funding in Operation and 
Maintenance, Defense-wide (OMDW), for the Citizen-Soldier 
Support Program. The committee is aware that the Citizen-
Soldier Support Program is improving and augmenting family 
readiness programs for families of the Reserve and Guard. This 
program is providing expert assistance to reserve families in 
remote areas in which military installations and the services 
these installations offer do not exist. The committee believes 
that there is an ongoing need for such assistance to military 
families.
    The committee recommends an increase of $2.0 million in 
OMDW to expand services provided by the Citizen-Soldier Support 
Program.

Parents as Teachers

    The budget request included no funding in Operation and 
Maintenance, Defense-wide (OMDW), for the Parents as Teachers 
program. The committee believes that additional funding is 
needed to expand a program that provides assistance to military 
families through providing instructional assistance to parents 
of pre-school children.
    The committee authorizes the increase in order to initiate 
a demonstration program at up to five military installations, 
to be identified in conjunction with the Department of Defense, 
at which there is a large concentration of military families 
experiencing high deployment rates and large numbers of 
children from birth to five years of age. The committee 
acknowledges that the Parents as Teachers program has been 
successfully supporting military families under nondefense 
sponsorship at Fort Leonard Wood, Missouri; Fort Leavenworth, 
Kansas; Fort Riley, Kansas; and Fort Hood, Texas; and expects 
that funding would support continued operation of these highly 
successful programs as well.
    The committee believes that the Parents as Teachers program 
can provide a valuable service to military families, based on 
voluntary participation, through providing instructional 
assistance to parents of pre-school children. The committee 
recommends an increase of $1.0 million in OMDW for the Parents 
as Teachers program.

Military to civilian conversions

    The budget request included $1.4 billion in Operation and 
Maintenance, Army (OMA); Operation and Maintenance, Navy (OMN); 
Operation and Maintenance, Marine Corps (OMMC); Operation and 
Maintenance, Air Force (OMAF); and Operation and Maintenance, 
Defense-wide (OMDW) for conversion of 6,434 military positions 
to 11,573 civilian positions during fiscal year 2006. The 
committee is concerned that the Department of Defense has not 
provided adequate information on the funding requirements and 
execution data for military to civilian conversions.
    According to an April 29, 2005, analysis by the Government 
Accountability Office (GAO), the Office of the Secretary of 
Defense and service budget officials acknowledge that they are 
unable to provide a clear methodology to calculate the 
Department's budget cost estimates for replacing military 
positions with civilians in fiscal year 2006. According to the 
GAO analysis, Department officials also acknowledged that the 
services have not determined the federal civilian employee and 
contractor mix for these conversions. The GAO analysis stated: 
``Without determining this mix, DoD can not be certain whether 
it accurately estimated its need for staffing resources and the 
funds to pay for such resources in its fiscal year 2006 
budget.''
    The committee concurs with this assessment regarding the 
lack of clarity on the budget requirements for achieving 
conversion of military billets to civilians or contractors. The 
committee believes that military-to-civilian conversions should 
be reviewed and validated by the Secretary of Defense to ensure 
that such requirements are formulated in a consistent manner; 
that there is an availability of qualified civilian employees; 
and that the mix of Department civilians and contractors is 
more clearly understood. Therefore, the committee recommends a 
decrease of $285.0 million for military to civilian 
conversions, as follows:
          Operation and Maintenance, Army (OMA)--$90.0 million;
          Operation and Maintenance, Navy (OMN)--$90.0 million;
          Operation and Maintenance, Air Force (OMAF)--$90.0 
        million; and
          Operation and Maintenance, Defense-wide (OMDW)--$15.0 
        million.

                              Army Reserve


Army Reserve components cold weather clothing

    The budget request included no funding in Operation and 
Maintenance, Army Reserve (OMAR), or Operation and Maintenance, 
Army National Guard (OMARNG), for the Extended Cold Weather 
Clothing System (ECWCS). According to Reserve component 
officials, the ECWCS program is critical to unit mission and 
training requirements in all regions and in all deployments. 
The committee recommends an increase of $4.0 million for the 
ECWCS, as follows: $2.0 million in OMAR and $2.0 million in 
OMARNG.

                           Air Force Reserve


Air Force Reserve mobility Air Force depot maintenance

    The budget request included $377.8 million in Operation and 
Maintenance, Air Force Reserve (OMAFR), for mobility Air Force 
(MAF) depot maintenance programs, including $74.0 million for 
KC-135 depot maintenance and $96.6 million for C-130 depot 
maintenance. The committee recommends an increase of $58.0 
million in OMAFR for Air Force Reserve MAF depot maintenance, 
as follows: $53.7 million for KC-135 depot maintenance, $4.3 
million for C-130 depot maintenance, including inspection and 
repair of the center wing box.
    Elsewhere in this report, the committee notes that this 
additional funding is one part of an overall initiative to 
address immediate safety of flight issues and to sustain the 
long-term readiness of mobility air forces.

                          Army National Guard


Communicator Automated Emergency Notification System

    The budget request included no funding for the Communicator 
Automated Emergency Notification System (CAENS). The committee 
notes that the CAEN, a component of the Emergency Mass 
Notification System, provides timely and effective notification 
of emergencies to soldiers supporting contingency operations 
within the homeland and at deployed locations worldwide. The 
committee recommends an increase of $2.5 million in OMARNG for 
CAENS.

Virtual battlefield system one

    The budget request included no funding in Operation and 
Maintenance, Army National Guard (OMARNG), for the virtual 
battlefield system one (VBS1). The committee notes that VSB1 is 
specifically designed to meet the training objectives of small 
infantry unit operations. The committee understands that the 
Army National Guard initiated fielding of the VSB1 in response 
to an urgent training requirement in support of deploying 
units. VSB1 is currently part of the predeployment training 
package at many Army National Guard mobilization sites. The 
committee recommends an increase of $8.0 million in OMARNG for 
VBS1.

Chemical, Biological, Radiological, Nuclear and High Yield Explosive 
        Enhanced Response Force Package Teams

    The budget request included no funding for National Guard 
Chemical, Biological, Radiological, Nuclear and High Yield 
Explosive (CBRNE) Enhanced Response Force Package (NG CERFP) 
teams. The committee recommends an increase of $19.8 million 
for this program. Of that amount, the committee recommends an 
increase of $9.5 million to establish five additional NG CERFP 
teams, and an increase of $10.3 million to provide sustainment 
funding for the 12 existing NG CERFP teams.
    The committee directs that the $9.5 million for the five 
additional NG CERFP teams be allocated as follows: Operations 
and Maintenance, Army National Guard, $4.0 million; Operations 
and Maintenance, Air National Guard, $2.3 million; National 
Guard Personnel, Army, $1.6 million; and Military Personnel, 
Air National Guard, $1.6 million.
    The committee directs that the $10.3 million for 
sustainment for the 12 existing NG CERFPs be allocated as 
follows: Operations and Maintenance, Army National Guard, $1.8 
million; Operations and Maintenance, Air National Guard, $1.1 
million; National Guard Personnel, Army, $3.7 million; and 
Military Personnel, Air National Guard, $3.7 million.
    The NG CERFP pilot program was initiated in fiscal year 
2004 and has proven to be a valuable asset for federal and 
state authorities. Twelve NG CERFP teams were funded through 
fiscal year 2005 as a proof of concept demonstration. These NG 
CERFP teams are capable of performing mass decontamination and 
triage/emergency medical treatment, and locating and extracting 
victims from an incident ``hot zone.'' The NG CERFP teams 
provide follow-on forces in support of the National Guard's 
Weapons of Mass Destruction Civil Support Teams (WMD-CSTs), 
whose mission is to support civil authorities at a domestic 
CBRNE incident site by identifying CBRNE agents/substances, 
assessing current and projected consequences, and advising on 
response measures. The NG CERFP teams deploy subsequently, 
within 4-24 hours after a disaster, to provide additional 
capabilities in support of civil or military authorities in 
conducting consequence management operations.
    The original 12 CERFP teams are located in each of the 10 
Federal Emergency Management Agency (FEMA) regions, with two 
additional teams placed to cover larger geographic areas. 
Continued funding for the 12 original NG CERFP teams will 
ensure that they are available to assist local authorities in 
major disasters. These existing teams would also benefit from 
the purchase of additional equipment including medical 
supplies, extraction equipment, and special outfits with 
ancillary assemblies for hot zones. The committee believes that 
the five additional teams will provide enhanced capabilities 
for response to a chemical, biological, radiological, or 
nuclear attack or event.

                           Air National Guard


Air National Guard mobility Air Force depot maintenance

    The budget request included $612.8 million in Operation and 
Maintenance, Air National Guard (OMANG), for mobility Air Force 
(MAF) depot maintenance programs, including $221.7 million for 
KC-135 depot maintenance and $93.7 million for C-130 depot 
maintenance. The committee recommends an increase of $45.5 
million in OMANG for Air Force National Guard MAF depot 
maintenance, as follows: $35.8 million for KC-135 depot 
maintenance and $9.7 million for C-130 depot maintenance.
    Elsewhere in this report, the committee notes that this 
additional funding is one part of an overall initiative to 
address immediate safety of flight issues and to sustain the 
long-term readiness of mobility air forces.

                           Transfer Accounts


Funding for Formerly Used Defense Sites

    The budget request included $221.9 million for cleanup of 
Formerly Used Defense Sites (FUDS). The committee notes that 
the budgeted amount is below the level authorized and 
appropriated for this program in fiscal year 2005, even though 
the scope and challenges of FUDS cleanup remain substantial. 
The committee recommends an increase of $40.0 million for FUDS 
cleanup. The committee expects the Department of Defense to 
demonstrate its commitment to FUDS cleanup by increasing the 
amount of funding budgeted for this effort in the outyears.

                        ITEM OF SPECIAL INTEREST


Defense Information System Network Access Transport Services

    The committee notes that the Defense Information Systems 
Agency (DISA) is in the process of acquiring additional network 
access to connect remote Department of Defense locations to 
terrestrial networks that are part of a component of the Global 
Information Grid (GIG), known as the GIG Bandwidth Expansion 
(GIG-BE). This will provide the Department with a high speed 
fiber optic network that will greatly enhance network centric 
operations.
    The committee is concerned that DISA is moving forward with 
an acquisition plan to acquire this connectivity through a 
Defense Information System Network Access Transport Services 
(DATS) contract without a complete analysis of the costs and 
capabilities associated with all possible alternative 
strategies. In a briefing to the committee by DISA personnel, 
they reported that the underlying assumptions behind the 
analysis of alternatives (AoA)--accomplished internally by 
DISA, of whether to purchase or lease fiber optic connectivity, 
did not include cost as a factor. The committee also 
understands that DISA has not solicited sufficient input from 
industry. The committee understands that the Office of the 
Secretary of Defense for Program Analysis and Evaluation, an 
independent analysis group within the Office of the Secretary 
of Defense, has voiced concerns about the DISA-planned approach 
for over a year. The committee directs the Congressional Budget 
Office to undertake a review of the AoA and underlying 
assumptions being prepared by DISA and report its findings to 
the committee by March 1, 2006.

Test to improve the quality of agricultural produce available in 
        commissary stores

    The committee is aware that the Defense Commissary Agency 
has initiated a test program to improve the quality of 
agricultural produce, particularly fruits and vegetables 
available to patrons of military commissary stores. The test 
employs web-based ordering techniques and is designed to reduce 
average times for the receipt of produce and to improve 
administrative processing. The test also affords greater 
opportunities for small businesses to become providers to 
commissary stores.
    The committee believes that the adoption of modern business 
practices such as these will improve the quality of produce 
available at commissary stores, and encourages the Department 
of Defense to move forward to implement such best practices 
throughout the commissary system. The committee directs the 
Secretary of Defense to report to the congressional defense 
committees by April 1, 2006, on its progress in implementation 
of improved business practices designed to result in better 
quality produce at Department Commissary stores.
              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

End strengths for active forces (sec. 401)
    The committee recommends a provision that would authorize 
active duty end strengths for fiscal year 2006, as shown below:

----------------------------------------------------------------------------------------------------------------
                                                                              Fiscal year--
                                                        --------------------------------------------------------
                                                                2005                                  2006
                                                           authorization      2006  request      recommendation
----------------------------------------------------------------------------------------------------------------
Army...................................................            502,400            482,400            522,400
Navy...................................................            365,900            352,700            352,700
Marine Corps...........................................            178,000            175,000            178,000
Air Force..............................................            359,700            357,400            357,400
----------------------------------------------------------------------------------------------------------------

    The Ronald W. Reagan National Defense Authorization Act for 
Fiscal Year 2005 (Public Law 108-375) authorized active duty 
end strength for the Army at 502,400 and 178,000 for the Marine 
Corps. Additional authority was also provided in section 403 of 
that Act to increase active duty end strength for the Army by 
up to 30,000 and increase Marine Corps active duty end strength 
by up to 9,000 above the fiscal year 2004 authorized levels of 
482,400 and 175,000, respectively, during fiscal years 2005 
through 2009.
    The committee notes that the Army and the Marine Corps 
continue to provide substantial forces in support of operations 
in Iraq and Afghanistan, and that the Reserve components 
comprise approximately 40 percent of the troops in theater. The 
Army is simultaneously engaged in major organizational changes 
intended to increase combat power and flexibility by creating 
more modular units of deployment at the combat brigade level, 
and is also working to rebalance critical skills and units 
between the active and Reserve component forces.
    Because of these continuing demands, the Army currently 
estimates that its active duty end strength for fiscal year 
2006 will be 522,400. The Marine Corps believes that its active 
duty end strength for fiscal year 2005 will be about 178,000. 
The Commandant of the Marine Corps has testified before the 
Committee on Armed Services that an increase in end strength is 
not required for fiscal year 2006.
    The committee believes that achieving an active duty end 
strength above 522,400 in fiscal year 2006 would be difficult 
for the Army given the challenges the Army faces in recruiting 
and retention. The committee also believes that broad use of 
stop-loss authority to meet higher end strength requirements 
would have negative impacts on recruiting, retention, and the 
public's perception of military service. The committee believes 
the Army should make every effort to reduce the number of 
personnel retained under stop-loss authority, consistent with 
maximum combat unit cohesion and readiness.
    For the reasons set forth above, the committee recommends 
an active duty end strength for the Army at 522,400 and 178,000 
for the Marine Corps for fiscal year 2006. This reflects an 
increase of 20,000 from the authorized level for the Army for 
fiscal year 2005 and an increase of 40,000 from the requested 
level for fiscal year 2006. The recommended level for the 
Marine Corps is equal to the authorized level in fiscal year 
2005 and is an increase of 3,000 from the requested level for 
fiscal year 2006. The committee has recommended funding to 
support these higher end strength levels in title XIV of this 
Act. The recommended active duty end strength for the Navy is 
decreased by 13,200 and the recommended active duty end 
strength for the Air Force is decreased by 2,300, as requested.
Revision of permanent active duty end strength minimum levels (sec. 
        402)
    The committee recommends a provision that would establish 
minimum active duty end strengths for the Army, Navy, Marine 
Corps, and Air Force as of September 30, 2006, as shown below. 
These minimum end strengths reflect the committee 
recommendations in section 401 of this report. The minimum end 
strength requirements reflect an increase of 20,000 for the 
Army and a decrease of 13,200 for the Navy and 2,300 for the 
Air Force. The minimum end strength requirement for the Marine 
Corps remains equal to the level established for fiscal year 
2005.

----------------------------------------------------------------------------------------------------------------
                                                                       Fiscal year--
                                         -----------------------------------------------------------------------
                                                  2005 authorization                  2006 recommendation
----------------------------------------------------------------------------------------------------------------
Army....................................                             502,400                             522,400
Navy....................................                             365,900                             352,700
Marine Corps............................                             178,000                             178,000
Air Force...............................                             359,700                             357,400
----------------------------------------------------------------------------------------------------------------

                       Subtitle B--Reserve Forces

End strengths for Selected Reserve (sec. 411)
    The committee recommends a provision that would authorize 
Selected Reserve end strengths for fiscal year 2006, as shown 
below:

----------------------------------------------------------------------------------------------------------------
                                                                              Fiscal year--
                                                        --------------------------------------------------------
                                                                2005                                  2006
                                                           authorization       2006 request      recommendation
----------------------------------------------------------------------------------------------------------------
The Army National Guard of the United States...........            350,000            350,000            350,000
The Army Reserve.......................................            205,000            205,000            205,000
The Naval Reserve......................................             83,400             73,100             73,100
The Marine Corps Reserve...............................             39,600             39,600             39,600
The Air National Guard of the United States............            106,800            106,800            106,800
The Air Force Reserve..................................             76,100             74,000             74,000
The Coast Guard Reserve................................             10,000             10,000             10,000
----------------------------------------------------------------------------------------------------------------

End strengths for Reserves on active duty in support of the Reserves 
        (sec. 412)
    The committee recommends a provision that would authorize 
full-time support end strengths for fiscal year 2006, as shown 
below:

----------------------------------------------------------------------------------------------------------------
                                                                              Fiscal year--
                                                        --------------------------------------------------------
                                                                                   2006               2006
                                                            2005 request      recommendation     authorization
----------------------------------------------------------------------------------------------------------------
The Army National Guard of the United States...........             26,602             27,345             27,396
The Army Reserve.......................................             14,970             15,270             15,270
The Naval Reserve......................................             14,152             13,392             13,392
The Marine Corps Reserve...............................              2,261              2,261              2,261
The Air National Guard of the United States............             12,253             13,089             13,123
The Air Force Reserve..................................              1,900              2,290              2,290
----------------------------------------------------------------------------------------------------------------

    The committee recommends increases of 794 in the Army 
National Guard, 300 in the Army Reserve, 870 in the Air 
National Guard, and 390 in the Air Force Reserve. The committee 
supports increases in full-time support manning needed to 
increase readiness, particularly in view of the major role 
played by the Reserve and National Guard in ongoing operations 
in the global war on terrorism.
    In addition to the budget request, the recommended end 
strengths include: 51 active duty members of the Army National 
Guard and 34 active duty members of the Air National Guard for 
sustainment of the 12 existing and creation of five additional 
National Guard Chemical, Biological, Radiological, Nuclear and 
High Yield Explosive (CBRNE) Enhanced Response Force Package 
teams. The committee also recommends a decrease of 760 in the 
Naval Reserve consistent with reductions in both active Navy 
and Naval Reserve end strength.
    The committee recommends an end strength for the Marine 
Corps Reserve equal to the fiscal year 2005 level, consistent 
with the budget request.
End strengths for military technicians (dual status) (sec. 413)
    The committee recommends a provision that would authorize 
end strengths for military technicians (dual status) for fiscal 
year 2006, as shown below:

----------------------------------------------------------------------------------------------------------------
                                                                              Fiscal year--
                                                        --------------------------------------------------------
                                                                2005                                  2006
                                                           authorization       2006 request      recommendation
----------------------------------------------------------------------------------------------------------------
The Army National Guard of the United States...........             25,076             25,563             25,563
The Army Reserve.......................................              7,299              7,649              7,649
The Air National Guard of the United States............             22,956             22,971             22,971
The Air Force Reserve..................................              9,954              9,852              9,852
----------------------------------------------------------------------------------------------------------------

Fiscal year 2006 limitations on non-dual status technicians (sec. 414)

    The committee recommends a provision that would establish 
numerical limits on the number of non-dual status technicians 
who may be employed in the Department of Defense as of 
September 30, 2006, as shown below:

----------------------------------------------------------------------------------------------------------------
                                                                              Fiscal year--
                                                        --------------------------------------------------------
                                                                2005                                  2006
                                                           authorization       2006 request      recommendation
----------------------------------------------------------------------------------------------------------------
The Army National Guard of the United States...........              1,600              1,600              1,600
The Army Reserve.......................................                795                695                695
The Air National Guard of the United States............                350                350                350
The Air Force Reserve..................................                 90                 90                 90
----------------------------------------------------------------------------------------------------------------

              Subtitle C--Authorizations of Appropriations


Authorization of appropriations for military personnel (sec. 421)

    The committee recommends a provision that would authorize a 
total of $109.2 billion for military personnel for fiscal year 
2006, an increase of $236.9 million above the budget request. 
This includes: (1) $220.0 million for increases in 
Servicemembers' Group Life Insurance and death gratuity levels; 
(2) $10.6 million for increases in Army and Air National Guard 
full-time support personnel to sustain the existing 12 and 
create five additional National Guard Chemical, Biological, 
Radiological, Nuclear and High Yield Explosive Enhanced 
Response Force Package teams; (3) $6.0 million for continued 
payment throughout a period of hospitalization of special pay 
for duty subject to hostile fire or imminent danger; and (4) 
$0.3 million for additional personnel costs related to the 
exclusion of general and flag officers on terminal leave from 
grade limits.

Armed Forces Retirement Home (sec. 422)

    The committee recommends a provision that would authorize 
$58.3 million to be appropriated for fiscal year 2006 from the 
Armed Forces Retirement Home Trust Fund for the operation and 
maintenance of the Armed Forces Retirement Home.
    The committee is concerned that there are a number of 
complaints from residents of the Armed Forces Retirement Home 
that generally revolve around changes made in medical care, and 
that greater focus should be placed on these concerns.
    The committee directs that the annual Performance and 
Accountability Report of the Armed Forces Retirement Home will 
include, in this and in all subsequent fiscal years, a report 
on the quality and access to health care for all residents of 
the home, and any changes in the level and type of care 
provided in each location. The report will describe the level 
and scope of services provided to all residents and will also 
include the results of independent accreditation surveys 
conducted by the Joint Commission on the Accreditation of 
Healthcare Organizations.
    Additionally, to further communication between residents 
and management and to ensure that the voices of residents are 
heard, the committee directs the Secretary of Defense to 
conduct an annual survey of resident satisfaction. The survey 
will be developed with the involvement of the resident advisory 
committees and major functional committees, and will include 
questions relating to satisfaction with health care, 
facilities, and support services. All residents shall be 
invited to participate in the annual survey. The survey format 
shall be consistent over time in order to reveal trends and 
indicators in satisfaction. The result and outcome of each 
annual resident survey will be reported in the Armed Forces 
Retirement Home's Performance and Accountability Report 
beginning in fiscal year 2007 and every year thereafter.
    The committee expects that other resident suggestions will 
also be considered by the management of the home, including 
frequent meetings with residents and resident advisory 
councils, new resident questionnaires, as well as surveys of 
residents who chose to leave the Armed Forces Retirement Home 
for any reason.
                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

Exclusion of general and flag officers on leave pending separation or 
        retirement from computation of active duty officers for general 
        and flag officer distribution and strength limitations (sec. 
        501)
    The committee recommends a provision that would amend 
sections 525 and 526 of title 10, United States Code, to 
exclude from consideration in determining the distribution 
limitations and the total number of general or flag officers of 
an armed force on active duty, officers in the grade of 
brigadier general or rear admiral (lower half) or above who are 
on leave pending separation, retirement, or release from active 
duty. This provision would only be applicable during the 60-day 
period beginning on the date of the commencement of leave of 
such officer. The committee believes that officers in general 
and flag officer grades who have commenced terminal leave 
should not be counted against existing limits on total numbers 
of officers. The committee expects that this provision would 
effectively reduce the incidence and duration of frocking of 
general and flag officers, and provide assistance to the 
services in filling general and flag officer billets.
Expansion of joint duty assignments for Reserve component general and 
        flag officers (sec. 502)
    The committee recommends a provision that would amend 
section 526(b)(2)(A) of title 10, United States Code, to 
increase from 10 to 11 the number of Reserve general or flag 
officer positions that may be assigned on the staffs of the 
commanders of the unified and specified combatant commanders. 
The provision would also authorize the Chairman of the Joint 
Chiefs of Staff to assign Reserve general or flag officers 
under section 526(b)(2)(A) to the Joint Staff.
    The committee believes that the Chairman of the Joint 
Chiefs of Staff has effectively assigned Reserve component 
general and flag officers under this authority, and that an 
additional position on the Joint Staff is needed to assist in 
performing missions related to homeland defense, anti-
terrorism, force protection, and military assistance to civil 
authorities.
Deadline for receipt by promotion selection boards of correspondence 
        from eligible officers (sec. 503)
    The committee recommends a provision that would amend 
sections 614 and 14106 of title 10, United States Code, to 
specify that officers eligible for consideration by a promotion 
selection board may send a written communication to the board, 
to arrive not later than the date before the board convenes.
    Existing law provides that officers eligible for 
consideration may send written communications, to arrive not 
later than the date the promotion selection board convenes. 
This creates the potential that selection boards will have 
reviewed, briefed, and acted upon the record of an officer on 
the first day of board proceedings before written 
communications have been received. The committee believes this 
change will ensure greater efficiency in promotion selection 
board procedures, and that an effective date of March 1, 2006, 
will provide sufficient time for the services to issue 
appropriate notice to officers eligible for promotion.
Furnishing to promotion selection boards of adverse information on 
        officers eligible for promotion to certain senior grades (sec. 
        504)
    The committee recommends a provision that would amend 
section 615 of title 10, United States Code, to require that 
substantiated adverse information be provided to promotion 
selection boards considering Active and Reserve component 
officers for promotion to the grade of lieutenant colonel, or 
commander in the case of the Navy, or above. Under current law, 
the decision to provide promotion selection boards with 
substantiated adverse findings and conclusions from officially 
documented investigations or inquiries is subject to the 
discretion of the service secretaries, and unless previously 
made part of the official record such information is not 
routinely presented. The committee believes that promotion 
selection boards responsible for selecting the ``best 
qualified'' future senior leaders of the military services 
should evaluate such information and should be provided with 
adverse documentation as part of their deliberative process.
Grades of the Judge Advocates General (sec. 505)
    The committee recommends a provision that would raise the 
statutory grades of the Judge Advocates General of the Army, 
Navy, and Air Force to lieutenant general or vice admiral, as 
appropriate. These three officers would be in addition to the 
numbers that would otherwise be permitted for their Armed 
Forces for officers serving on active duty in grades above 
major general or rear admiral, as the case may be.
    The greatly increased operations tempo of the Armed Forces 
has resulted in an increase in the need for legal advice from 
uniformed judge advocates in such areas as operational law, 
international law, the law governing occupied territory, the 
Geneva Conventions, and related matters. In addition, the 
system of military justice, administered by the Judge Advocates 
General, has taken on increased importance. This provision 
recognizes these developments and the vital importance of the 
duties of these officers in today's Armed Forces.
Temporary extension of authority to reduce minimum length of 
        commissioned service for voluntary retirement as an officer 
        (sec. 506)
    The committee recommends a provision that would amend 
sections 3911, 6323, and 8911 of title 10, United States Code, 
to authorize reduction in the amount of time from 10 to 8 years 
that a regular or Reserve officer who has prior enlisted 
service must serve as a commissioned officer in order to retire 
as a commissioned officer. The committee believes that lowering 
the amount of active service to 8 years would encourage more 
highly qualified petty officers and non-commissioned officers 
to consider applying for a commission. The committee also views 
this change as assisting in force shaping by enabling a limited 
number of officers, primarily in overmanned officer 
communities, to voluntarily choose retirement in the highest 
grade achieved. This reduction from 10 to 8 years was in effect 
from 1990 through 2001 and, under this provision, would remain 
in effect from the date of enactment of this Act through 
December 31, 2008.
Modification of strength in grade limitations applicable to Reserve 
        flag officers in active status (sec. 507)
    The committee recommends a provision that would amend 
section 12004 of title 10, United States Code, to reduce by 
four the number of required Naval Reserve flag officers in 
medical designators and by one the number of flag officers in 
the Supply Corps and to increase by five the number of Naval 
Reserve line officers.
    The committee recognizes that additional Reserve flag 
officers in line and restricted line specialties are needed to 
meet operational requirements. The committee continues to view 
the allocation of line and staff corps Naval Reserve flag 
officers in section 12004 as a valuable means of ensuring sound 
officer community management and effective integration of the 
Active and Reserve components of the Navy.
Uniform authority for deferment of separation of Reserve general and 
        flag officers for age (sec. 508)
    The committee recommends a provision that would amend 
section 14512 of title 10, United States Code, to make uniform 
among each of the services the conditions under which the 
authority to defer retirement until age 64 of up to 10 reserve 
flag or general officers per service may be exercised. Under 
existing law, the Army and Air Force are limited to exercising 
this authority in the case of officers occupying certain 
billets. The committee believes removing this condition for the 
Army and Air Force will afford necessary flexibility in 
retaining key Army and Air Force senior Reserve officers 
possessing essential experience and skills.

                 Subtitle B--Enlisted Personnel Policy

Uniform citizenship or residency requirements for enlistment in the 
        Armed Forces (sec. 521)
    The committee recommends a provision that would amend 
section 504 of title 10, United States Code, to codify and 
uniformly apply existing practices of the military services 
regarding eligibility of individuals who are not citizens of 
the United States to enlist into the Armed Forces.

            Subtitle C--Reserve component Personnel Matters

Requirements for physical examinations and medical and dental readiness 
        for members of the Selected Reserve not on active duty (sec. 
        531)
    The committee recommends a provision that would require an 
annual physical examination for members of the Selected 
Reserve. The provision would also require an annual report to 
the secretary concerned which documents the medical and dental 
readiness of the Reserve member to perform military duties.
    The committee is concerned that there are continuing 
reports of Reserve members who are unable to deploy as a result 
of disqualifying physical or dental conditions. When this 
occurs, it erodes the readiness of units to perform their 
military mission. The committee recognizes that the requirement 
for an annual physical examination is more frequent than the 
existing five-year requirement. However, the committee believes 
that rigorous discipline to ensure medical and dental readiness 
is essential. Drilling members of the Reserve and National 
Guard are not seen by military physicians as frequently as 
their Active-Duty counterparts and thus will benefit from an 
annual physical examination.
Repeal of limitation on amount of financial assistance under Reserve 
        Officers' Training Corps scholarship program (sec. 532)
    The committee recommends a provision that would amend 
sections 2107 and 2107a of title 10, United States Code, to 
authorize the service secretaries to pay the costs of room and 
board for Reserve Officers' Training Corps (ROTC) cadets who 
are receiving scholarships when those costs exceed the 
cumulative cost of tuition, fees, books, and laboratory 
expenses. This provision offers additional flexibility to 
managers of ROTC programs in meeting the specific financial 
needs of participating students, and will assist the Army in 
achieving a planned 15 percent increase in Senior ROTC 
participation.
Procedures for suspending financial assistance and subsistence 
        allowance for senior ROTC cadets and midshipmen of the basis of 
        health-related conditions (sec. 533)
    The committee recommends a provision that would amend 
section 2107 of title 10, United States Code, to require that 
the Secretary of Defense prescribe policies and procedures to 
ensure fairness and medically based decision making prior to 
suspension of financial assistance for senior Reserve Officers' 
Training Corps (ROTC) cadets and midshipmen under section 2107 
of title 10, United States Code, and monthly subsistence 
allowance under section 209 of title 37, United States Code.
    While the practices of each of the services regarding 
medical leaves of absence for cadets and midshipmen on ROTC 
scholarship have varied, each of the services and the Defense 
Finance and Accounting Service must incorporate and adhere to 
essential administrative due process before suspending or 
terminating ROTC scholarships following health-related 
incidents. As noted in the statement of managers accompanying 
section 555 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375), 
the committee expects the services to promptly implement 
uniform procedures prescribed by the Secretary of Defense for 
medical leaves of absence that will ensure medical officer 
evaluation under a prescribed standard of review prior to 
involuntary suspension of ROTC benefits for medical reasons.
Increase in maximum number of Army Reserve and Army National Guard 
        cadets under Reserve Officers' Training Corps (sec. 534)
    The committee recommends a provision that would amend 
section 2107a of title 10, United States Code, to double the 
number of Reserve Officers' Training Corps (ROTC) cadets who 
would be authorized to perform their obligated service in the 
Army Reserve and Army National Guard. This provision would 
encourage more members of the Army Reserve and National Guard 
to enter ROTC while attending college, and assist in meeting 
the need for additional company grade officers in the Army 
Reserve and Army National Guard.
Modification of educational assistance for Reserves supporting 
        contingency and other operations (sec. 535)
    The committee recommends a provision that would modify 
section 16163 of title 10, United States Code, pertaining to 
educational assistance for Reserves supporting contingency and 
other operations. The change would clarify that the Secretary 
of Veterans Affairs would prescribe the form and manner of an 
eligible member's election among multiple educational benefits. 
The Department of Veterans Affairs administers the educational 
programs and the eligible members' claims for assistance.
    The committee also recommends a modification of section 
16165 of title 10, United States Code, that would allow a 
member of the Selected Reserve, who incurs a short break (not 
to exceed 90 days) from service in the Selected Reserve, to 
continue to be eligible to receive educational assistance under 
regulations prescribed by the Secretary of Defense, if that 
member continues to serve in the Ready Reserve. This would 
allow members who desire to shift Reserve components or to 
transfer to a new unit the opportunity to do so without 
jeopardizing their educational benefit under this section. This 
would also allow a person who has separated from the Selected 
Reserve to remain eligible for this benefit if they rejoin the 
Selected Reserve within the time indicated, provided the 
individual remains in the Ready Reserve during the break in 
Selected Reserve service.
Repeal of limitation on authority to redesignate the Naval Reserve as 
        the Navy Reserve (sec. 536)
    The committee recommends a provision that would amend 
section 517(a) of the Ronald W. Reagan National Defense 
Authorization Act of Fiscal Year 2005 (Public Law 108-375) to 
eliminate the requirement that implementation of the Secretary 
of the Navy's decision to redesignate the Naval Reserve not 
take place before the date that is 180 days after the date on 
which the Secretary submits recommended conforming legislation. 
On April 29, 2005, the President approved the redesignation of 
the U. S. Naval Reserve as the U. S. Navy Reserve. The 
committee supports prompt implementation of this change, and 
directs the Secretary of the Navy to comply with the 
requirement to submit conforming legislation no later than 
August 1, 2005.
Performance by Reserve component personnel of operational test and 
        evaluation and training relating to new equipment (sec. 537)
    The committee recommends a provision that would authorize 
the Secretary of the Army to carry out a pilot program through 
September 2010 to evaluate the feasibility and advisability of 
utilizing members of the Reserve components of the Army, rather 
than contractor personnel, to perform test, evaluation, and new 
equipment training, and related activities. Under this 
authority, up to $10.0 million, in any fiscal year of funds 
available to the Army for multiyear purposes in appropriations 
for Research, Development, Test, and Evaluation and for 
procurement, may be transferred to a Reserve component military 
personnel account in the amounts necessary to reimburse that 
account for the costs of military pay and allowances of 
reservists participating in this program.
    Relying on soldiers to perform developmental testing could 
prove beneficial in providing soldier feedback earlier in the 
development cycle, enabling program managers to identify 
potential problems and required engineering changes sooner, 
reducing cost increases and delays, and providing soldiers with 
hands-on experience in new and emerging systems.
    Use of multiyear Research, Development, Test, and 
Evaluation funds and procurement funds to reimburse the pay, 
allowances, and expenses of Reserve component members could 
prove to be a practical and efficient means to achieve the 
benefits of soldier involvement in testing and evaluation 
functions.

            Subtitle D--Military Justice and Related Matters

Modification of periods of prosecution by courts-martial for murder, 
        rape, and child abuse (sec. 551)
    The committee recommends a provision that would amend 
Article 43 of the Uniform Code of Military Justice (10 U.S.C. 
843) to: (1) clarify that all murders are included in the class 
of offenses that has an unlimited statute of limitations; (2) 
include rape in that class of offenses; and (3) modify the 
statute of limitations for child abuse offenses.
    The National Defense Authorization Act for Fiscal Year 2004 
(Public Law 108-136) amended article 43 to provide that certain 
enumerated child abuse offenses could be tried by court-martial 
if sworn charges and specifications were received before the 
child attained the age of 25 years. The analogous federal 
statute of limitations, section 3283 of title 18, United States 
Code, simply provides that the limitation is equal to the life 
of the child.
    This provision would conform the limitation in article 43 
to the federal statute, with one modification. It has been 
argued that the intent of Congress to lengthen the limitation 
in section 3283 would be undercut in cases where the child died 
early, whether as a result of the abuse or not. In order to 
avoid this problem, the committee recommends a provision that 
would set the limitation at the life of the victim or five 
years after the offense, whichever is greater.
    Finally, the provision would include kidnapping and certain 
aggravated offenses under title 18 of the United States Code in 
the category of child abuse offenses to which the extended 
statute of limitations would apply.
Establishment of offense of stalking (sec. 552)
    The committee recommends a provision that would amend the 
Uniform Code of Military Justice (chapter 47 of title 10, 
United States Code) to establish stalking as a separate offense 
under the code. Stalking is presently punishable under article 
134 of the code (10 U.S.C. 934), if the government can prove 
conduct amounting to stalking, as well as proving that the 
conduct was prejudicial to good order and discipline. The 
offense may also be punished under article 93 of the code (10 
U.S.C. 893) if the victim is subject to the orders of the 
accused. The provision would authorize prosecution of stalking 
within the compass of a single punitive article of the code, 
without the necessity of proving prejudice to good order and 
discipline under article 134 and without the subordination 
required by article 93. Every State and the District of 
Columbia has enacted some form of stalking legislation.
    The provision is patterned after the Model Antistalking 
Code for the States developed by the National Criminal Justice 
Association for the Department of Justice. Approximately half 
the States have enacted statutes based in whole or in part on 
this model code. The provision would require a course of 
conduct, including repeatedly maintaining visual or physical 
proximity to the victim; and threatening or otherwise placing 
the victim or the victim's immediate family in reasonable fear 
of death or bodily harm, including but not limited to sexual 
assault.

Clarification of authority of military legal assistance counsel (sec. 
        553)

    The committee recommends a provision that would amend 
section 1044 of title 10, United States Code, to provide that 
judge advocates or civilian attorneys who are authorized to 
provide military legal assistance to military personnel and 
their dependents may do so without regard to the licensing 
requirements of the State in which the assistance is rendered.
    While legal assistance has been provided under service 
regulations for decades, and was explicitly authorized in 
section 1044 of title 10 in 1984, questions have been raised by 
some as to whether attorneys providing such assistance outside 
the States in which they are licensed are engaging in the 
unauthorized practice of law. This provision would codify the 
long-accepted practice with respect to the provision of legal 
assistance.

Administrative censures of members of the Armed Forces (sec. 554)

    The committee recommends a provision that would authorize 
the Secretary of Defense and the service secretaries to issue 
administrative censures in writing to members of the Armed 
Forces. An administrative censure is a statement of adverse 
opinion or criticism with respect to the conduct or performance 
of duty by a military member. Such administrative censures 
would be final when issued. Under controlling regulations 
issued by the Secretary of Defense, such censures could be made 
part of the member's official record and, if this option is 
exercised, should be subject to notice to the member with the 
right of rebuttal. The issuance of an administrative censure by 
the Secretary of Defense and the service secretaries would not 
be subject to appeal.
    The committee notes that the Secretary of Defense and the 
secretaries of the military departments possess inherent 
authority separate from, but fully consistent with Article 15 
of the Uniform Code of Military Justice, to administratively 
censure members of the Armed Forces. The Department of the 
Navy, by regulation in its Manual of the Judge Advocate 
General, has long articulated the authority of the Secretary of 
the Navy to administratively censure members. Nonetheless, the 
committee believes that a specific grant of this authority to 
the Secretary of Defense and the service secretaries with a 
requirement for the Secretary of Defense to issue controlling 
regulations will provide a uniform standard throughout the 
Department of Defense and provide an important means for 
civilian leaders to ensure accountability.

Reports by officers and senior enlisted personnel of matters relating 
        to violations or alleged violations of criminal law (sec. 555)

    The committee recommends a provision that would direct the 
Secretary of Defense to prescribe regulations by January 1, 
2006, that would require active duty and reserve officers and 
senior noncommissioned officers and petty officers above the 
grade of E-6 to report to appropriate military authority their 
arrest, investigation, charging, detention, adjudication, 
conviction, or any other legal finding of culpability for 
offenses other than minor traffic violations.
    Imposing a duty to report such involvement, at the earliest 
possible time after its occurrence, would avoid situations in 
which information material to an officer's or senior enlisted 
member's duties and assignments is concealed and individual and 
unit readiness may be adversely affected. Additionally, the 
services must be informed of information that is potentially 
relevant to adjudications of security clearances and 
determinations of administrative and statutory selection 
boards. The committee trusts that members covered by this 
provision generally adhere to this standard as a matter of 
personal integrity and responsibility; however, the committee 
believes that the duty to report this information in a timely 
manner should be unequivocally stated in regulations in order 
to ensure compliance.
    This provision would also require the Secretary of Defense 
to prescribe procedures to ensure that information relating to 
the incidents described above is timely forwarded to the parent 
service of the officer or senior enlisted member involved in 
order to avoid instances in which incidents committed on one 
service's installations are not reported to the parent service 
of the officer or senior enlisted member.

                 Subtitle E--Military Service Academies


Authority to retain permanent military professors at the Naval Academy 
        after more than 30 years of service (sec. 561)

    The committee recommends a provision that would authorize 
the Secretary of the Navy, upon recommendation from the 
Superintendent of the Naval Academy and concurrence with the 
Chief of Naval Operations, to continue on active duty permanent 
military professors at the Naval Academy beyond the normal 
statutory retirement for years of service for their grade. 
Permanent military professors in the grade of O-5, who are 
retained on active duty beyond 28 years of service, would 
remain eligible for promotion to the grade of O-6.
    The committee believes that the Secretary of the Navy 
should have authority to retain certain exceptional permanent 
military professors at the Naval Academy on active duty beyond 
their statutory retirement, similar to the authority that the 
Secretary of the Army and the Secretary of the Air Force 
currently possess with regard to permanent professors at their 
respective academies. The committee also believes that 
permanent military professors in the grade of O-5, who are 
retained beyond 28 years of service, should remain eligible for 
promotion to the grade of O-6.
    Permanent military professors on active duty at the Naval 
Academy are highly educated and represent a significant 
investment in a valuable and highly sought after resource. The 
Secretary of the Navy should have the authority to retain 
exceptional permanent military professors who have extensive 
college-level teaching experience, a doctorate, and military 
experience, who will benefit the mission of the Naval Academy.

                   Subtitle F--Administrative Matters


Clarification of leave accrual for members assigned to a deployable 
        ship or mobile unit or other duty (sec. 571)

    The committee recommends a provision that would amend 
section 701 of title 10, United States Code, to clarify and 
expand eligibility for members assigned to a deployable ship, 
mobile unit, or other designated duty to retain accumulated 
leave at the end of a fiscal year. The committee intends by 
this provision that military members who serve on extended 
operational deployments and perform arduous duty in support of 
the global war on terrorism, and who are impeded in their 
ability to take annual leave, should be permitted to accrue up 
to 120 days of leave. Limitation on conversion of military 
medical and dental billets to civilian positions (sec. 572)

Limitation on conversion of military medical and dental billets to 
        civilian positions (sec. 572)

    The committee recommends a provision that would limit 
conversion of any military medical or dental billet to a 
civilian position until 90 days after the Secretary of Defense 
certifies to the congressional defense committees that: (1) 
conversion does not lead to an increase in civilian health care 
costs; (2) the conversion has been subjected to review in light 
of joint medical and dental requirements of the uniformed 
services; and (3) market surveys conducted in areas affected by 
such conversion suggest that there are available qualified 
civilian providers to replace military medical and dental 
personnel.
    The committee is concerned that no credible plan exists for 
conversion of military medical and dental billets to civilian 
positions across the military health care system. It has been 
reported that one service, for example, is converting military 
medical assets for which there are shortfalls in another 
service. Additionally, the committee has learned that, in some 
areas affected by military to civilian conversions, civilian 
markets have not been able to respond to military requirements 
for civilian health and dental providers, largely due to salary 
disparities.
    The committee is concerned that the Department of Defense 
has not considered all of the factors, including joint 
warfighting requirements and civilian compensation that are 
necessary to effect a rational reshaping of active duty and 
reserve military billets in the medical and dental fields. The 
committee is concerned that the failure of the Department to 
meet the requirement contained in section 595 of the statement 
of managers accompanying the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375), 
which required the Secretary to report no later than 90 days 
following enactment on the plans of each military department 
for military and dental military-to-civilian conversions, is 
further evidence of the absence of a comprehensive and rational 
plan.

            Subtitle G--Defense Dependents Education Matters


Expansion of authorized enrollment in Department of Defense dependents 
        schools overseas (sec. 581)

    The committee recommends a provision that would authorize 
the Secretary of Defense to provide tuition-free enrollment in 
Department of Defense dependents schools overseas for the 
children of full-time, locally-hired U.S. citizens. It is the 
committee's intent that this authority be utilized in an 
equitable manner in any overseas location based on the 
requirements of the combatant commander.

Assistance to local educational agencies with significant enrollment 
        increases in military dependent students due to troop 
        relocations, creation of new units, and realignments under BRAC 
        (sec. 582)

    The committee recommends a provision that would authorize 
$15.0 million annually in Operation and Maintenance, Defense-
wide activities, for fiscal years 2006, 2007, and 2008 for 
special assistance to local educational agencies that 
experience an increase in student dependents of service members 
and Department of Defense civilian employees as a result of 
global rebasing, the creation or activation of new military 
units, or base realignment and closures. The program would 
assist local education agencies that experience an increase of 
250 or more military and Department of Defense civilian 
dependent students to make necessary infrastructure adjustments 
in a timely manner.

Assistance to local educational agencies that benefit dependents of 
        members of the Armed Forces and Department of Defense civilian 
        employees (sec. 583)

    The committee recommends a provision that would authorize 
$30.0 million in Operation and Maintenance, Defense-wide 
activities, for continuation of the Department of Defense's 
assistance program to local educational agencies that benefit 
dependents of service members and Department civilian 
employees.

Impact aid for children with severe disabilities (sec. 584)

    The committee recommends a provision that would authorize 
$5.0 million in Operation and Maintenance, Defense-wide, for 
impact aid payments for children with disabilities under 
section 8003(d) of the Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 7703(d)), using the formula set forth in 
section 363 of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (Public Law 106-398), 
for continuation of the Department of Defense's assistance 
program to local educational agencies that benefit dependents 
with severe disabilities.

                       Subtitle H--Other Matters


Policy and procedures on casualty assistance to survivors of military 
        decedents (sec. 591)

    The committee recommends a provision that would require the 
Secretary of Defense by January 1, 2006, to develop and 
promulgate a comprehensive policy on the provision of casualty 
assistance to survivors and next of kin of members of the Armed 
Forces who die during their military service.
    The policy shall include elements that the committee 
believes should, to the maximum extent possible, reflect 
uniform casualty assistance procedures and practices to be 
employed by the services, including: (1) initial notification 
of death to primary and secondary next of kin and any 
subsequent notifications; (2) transportation and disposition of 
remains of military decedents; (3) qualifications, assignment, 
training, duties, supervision, and accountability for the 
performance of casualty assistance responsibilities; (4) the 
relief or transfer of casualty assistance officers, including 
notifications to survivors and next of kin of the reassignment 
to other duties; (5) centralized case management procedures for 
casualty assistance by each military department; (6) the 
provision of personalized information on benefits available to 
survivors; (7) the provision of financial counseling; (8) a 
process for registering and responding to complaints; (9) 
liaison with the Department of Veterans Affairs and the Social 
Security Administration in order to ensure prompt resolution of 
issues; and (10) data collection and surveys aimed at ensuring 
the needs of survivors are identified and, whenever possible, 
addressed.
    The committee recognizes that the military services place 
great importance on casualty notification and assistance and 
that personnel assigned casualty assistance duty have provided 
timely, sensitive, and responsive service to survivors of 
military decedents in the vast majority of cases. Testimony 
received in hearings conducted by the Committee on Armed 
Services of the Senate and the Committee on Veterans' Affairs 
of the Senate in February 2005 established, however, that the 
complexity of federal benefit programs and the duration of the 
period in which survivors require assistance demand a uniform 
policy and coordinated efforts by the services, the Office of 
the Secretary of Defense, and other federal agencies 
responsible for providing assistance to survivors and next of 
kin of military personnel killed while serving their nation.

Modification and enhancement of mission and authorities of the Naval 
        Postgraduate School (sec. 592)

    The committee recommends a provision that would amend 
section 7041 of title 10, United States Code, to modify the 
mission of the Naval Postgraduate School to include 
professional education and a combat-related focus to the 
purposes of education at the institution.
    The committee believes that the mission of the Naval 
Postgraduate School should include a greater emphasis on 
advanced instruction and professional and technical education 
to enhance combat effectiveness in support of national 
security, rather than merely advanced instruction and technical 
education of commissioned officers ``in their practical and 
theoretical duties'' as reflected in the existing mission 
statement in section 7041 of title 10, United States Code.
    The committee also recommends a modification of section 
7045 of title 10, United States Code, to allow the Secretary of 
the Navy to permit eligible enlisted members of the Armed 
Forces to receive instruction from the Naval Postgraduate 
School in certificate programs and courses required for the 
performance of their duties.
    The committee believes that highly qualified and carefully 
screened enlisted personnel may also benefit from instruction 
at the Naval Postgraduate School in graduate level, nondegree 
certificate programs and courses required for the performance 
of their duties. To the extent that the existing facility and 
faculty at the Naval Postgraduate School can be utilized to 
provide such education, this authority represents an efficient 
use of educational resources.

Expansion and enhancement of authority to present recognition items for 
        recruitment and retention purposes (sec. 593)

    The committee recommends a provision that would amend 
chapter 134 of title 10, United States Code, to authorize the 
procurement and award of recognition items to Active Duty and 
Reserve military personnel, family members, and certain other 
individuals under prescribed conditions.
    Section 520 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375) 
authorized through December 31, 2005, the award of recognition 
items, such as coins, medals, trophies, badges, flags, posters, 
paintings, or other similar items to members of the Army 
Reserve, Army National Guard, and Air National Guard. The 
committee believes that this authority has proven valuable 
during time of war in enabling commands to appropriately 
express appreciation for the dedicated service and sacrifices 
of individual members, family members, and others who have 
served and supported the Armed Forces, and that this authority 
should be extended to all Active and Reserve components through 
December 31, 2007. The committee expects the implementing 
regulations to include reasonable limitations to prevent 
excessive expenditures of funds under this authority.

Requirement for regulations on policies and procedures on personal 
        commercial solicitations on Department of Defense installations 
        (sec. 594)

    The committee recommends a provision that would require the 
Department of Defense, not later than January 1, 2006, to 
prescribe regulations, or modify existing regulations, relating 
to commercial solicitation including the sale of life insurance 
and securities, on Department of Defense installations.
    The committee notes that the Department has been attempting 
for over two years to revise Department of Defense Directive 
1344.7 entitled ``Personal Commercial Solicitation on DOD 
Installations,'' which is set forth in part 43 of title 32 of 
the Code of Federal Regulations. The proposed policy, which was 
published in the Federal Register of April 19, 2005, represents 
a substantial improvement over the current directive policy by 
establishing specific prohibitions and procedures aimed at 
preventing abusive sales tactics by commercial agents. For 
example, the proposed policy would: (1) require reporting of 
violations to higher headquarters and direct the Under 
Secretary of Defense for Personnel and Readiness to maintain 
and make available to installation commanders the current 
master file of all individual agents, dealers, and companies 
who have their privileges withdrawn at any Department 
installation; (2) permit insurers to solicit on Department 
installations only if they are licensed under the insurance 
laws of the State in which the installation is located; (3) 
prohibit Department personnel from representing any insurer or 
acting as an agent of an insurer in any official or business 
capacity with or without compensation; (4) prohibit the use of 
an agent as a participant in any service- sponsored education 
or orientation program; and (5) set limits on advertising and 
solicitation of personal contact information in connection with 
commercial sponsorship of Department morale, welfare, and 
recreation programs or events.
    The committee believes that the repeal of previous 
provisions relating to the Department commercial solicitation 
policy in previous authorization and appropriations acts is 
necessary to allow the Department to implement changes at the 
earliest possible time with the objective of promoting the 
welfare of Department personnel as consumers and in order to 
prevent abuses of service members by private commercial 
interests.

Federal assistance for State programs under the National Guard Youth 
        Challenge program (sec. 595)

    The committee recommends a provision that would amend 
section 509(d) of title 32, United States Code, to phase in 
over 3 years a change in the federal to state matching funds 
ratio for the National Guard Youth Challenge program. The 
provision would increase the amount of federal funds that may 
be provided in fiscal year 2006 to not more than 65 percent of 
a State program's operating costs; 70 percent in fiscal year 
2007; and 75 percent in fiscal year 2008 and each subsequent 
fiscal year. The provision would also authorize an additional 
$15.0 million in Operations and Maintenance, Defense-wide, for 
the National Guard Youth Challenge program.

                       Items of Special Interest


Air Force future total force planning

    In section 587 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375), 
the committee directed a report by the Air Force describing the 
manner in which current blended wings are functioning and the 
current and future plans of the Air Force to implement the 
blended wing concept.
    The Air Force's report focused on the experience of the Air 
Force's only blended wing, the 116th Air Control Wing located 
at Robins Air Force Base, Georgia, which operates the E-8C 
Joint Surveillance Target Attack Radar System. The Air Force 
concluded that the 116th Air Control Wing had achieved a 
significant number of operational successes since its inception 
in 2002. Most significantly the Wing deployed successfully in 
support of Operations Iraqi Freedom and Enduring Freedom, with 
personnel days deployed totaling 132,674. The unit conducted 
292 combat sorties over 3,130 hours with a 96 percent mission 
effective rate.
    The success of the 116th Air Control Wing is a tribute to 
the tenacity and dedication of its assigned personnel and their 
leaders. However, this success was achieved despite numerous 
organizational, administrative, legal, and cultural barriers to 
true integration of Active Duty and Air National Guard units. 
The Air Force concluded that the challenges of operating a 
blended wing are substantial enough that future ``blending'' is 
not advisable in the current legal environment and that, until 
the necessary changes are in place, reliance should instead be 
placed on ``associate'' models with units that share the weapon 
systems of an equipped unit and perform the same mission. Even 
some of these models, however, are constrained by legislative 
and fiscal law limitations.
    The committee supports the Air Force commitment to full 
integration of the Air Force Reserve and Air National Guard 
with its active forces, and urges the Air Force to continue to 
refine the various models of integration to maximize readiness, 
training, and enhanced mission capability. The committee 
expects the Secretary of Defense to promptly work towards 
addressing the issues identified in the Air Force report that 
present barriers to essential Active and Reserve component 
integration and expects to be advised of the relevant statutory 
issues pursuant to making this integration successful.

Opportunity for general or flag officer review of involuntary 
        administrative separation of victims of sexual assault and 
        protection against reprisals for victim advocates

    The committee recommends that the Department of Defense 
consider, as part of its implementation of policies on sexual 
assault, a requirement for victims of sexual assault who are 
being involuntarily separated from active-duty service to be 
afforded, on a voluntary basis, an opportunity for a general or 
flag officer review of their case. The committee believes that 
providing an option to victims of sexual assault for general or 
flag officer interview and review could be a valuable safeguard 
on the ultimate disposition of such cases within the military 
departments, especially as newly developed policies and 
programs on sexual assault are being implemented.
    The committee also recommends that the Department consider 
what additional actions, if any, could be taken to ensure 
timely and adequate protection against reprisal directed at 
victim advocates, to include protection for military members, 
Department civilian employees, Department contractors, and 
volunteers.
    The committee directs the Secretary of Defense to report to 
the congressional defense committees by March 1, 2006, on the 
Department's review of these matters and what actions it 
considers necessary to address them.

Premium conversion/flexible spending account options for service 
        members

    The committee is concerned that uniformed service members 
do not have access to premium conversion and flexible spending 
account options that allow pre-tax payment of health and dental 
insurance premiums and out-of-pocket health care expenses for 
family member health care needs. The committee is also 
concerned that uniformed service members do not have access to 
flexible spending account options that can be used to purchase 
child care services. The committee directs the Secretary of 
Defense to provide a report to the congressional defense 
committees by March 1, 2006, on a plan to evaluate and 
implement these programs for uniformed service members, 
including identification of any administrative or statutory 
barriers to achieving their implementation.
    The committee believes that active-duty members and 
Selected Reserve members should be able to use premium 
conversion to pay dental insurance premiums, and Selected 
Reserve personnel should be able to use it to pay TRICARE 
Reserve Select premiums authorized by the Ronald W. Reagan 
National Defense Authorization Act for Fiscal Year 2005 (Public 
Law 108-375). The committee believes that members should also 
have access to flexible spending accounts for the purpose of 
paying for child care services. The committee recognizes that 
Active-Duty and Reserve family members can incur out-of-pocket 
expenses related to dependent care, pharmacy copays, TRICARE 
Standard deductibles and copays, dental care deductibles and 
copays, expenses for eyeglasses and contact lenses, premium 
payments for dental and medical care, and child care.

Western Governors University

    Western Governors University (WGU),a competency-based 
institution of higher learning, offers a fully accredited 
baccalaureate degree based on a direct assessment of student 
learning, rather than on an accumulation of credit hours. WGU, 
created by 19 Governors from America's Western States, was 
included in the Higher Education Amendments of 1998 (Public Law 
105-244), which made federal financial assistance available to 
qualified students. WGU currently has four educational projects 
with the Department of Defense supporting the Air War College, 
Junior ROTC, Special Operations Command, and Air Force 
Community Colleges at Maxwell Air Force Base.
    The committee commends the Department and WGU for 
partnering to provide educational opportunities for military 
personnel, and encourages the Department and WGU to explore 
additional opportunities to expand educational opportunities 
for service members.
          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Eligibility for additional pay of permanent military professors at 
        United States Naval Academy with over 36 years of service (sec. 
        601)
    The committee recommends a provision that would amend 
section 203 of title 37, United States Code, to authorize 
payment of additional pay in the amount of $250 a month to 
permanent military professors at the Naval Academy who have 
over 36 years of service. This additional pay is already 
authorized for permanent professors at the U.S. Military 
Academy and the Air Force Academy.
Enhanced authority for agency contributions for members of the Armed 
        Forces participating in the Thrift Savings Plan (sec. 602)
    The committee recommends a provision that would amend 
section 211(d) of title 37, United States Code, to authorize 
service secretaries to make matching contributions to the 
Thrift Savings Fund pursuant to an agreement with an enlisted 
member covering the duration of the member's initial 
enlistment.
    The committee believes that expanding the authority of the 
services to match savings contributions of first term enlistees 
would encourage habits of financial responsibility among the 
most junior military personnel. A matching contributions 
program could also provide an effective recruiting incentive 
for young men and women who are considering service in the 
Armed Forces and would be tested through a limited pilot 
program authorized elsewhere in this Act.
Permanent authority for supplemental subsistence allowance for low-
        income members with dependents (sec. 603)
    The committee recommends a provision that would amend 
section 402a of title 37, United States Code, to make permanent 
the authority to pay the supplemental subsistence allowance for 
low-income members with dependents. The availability of this 
allowance enables increases of up to $500 per month in the 
basic allowance for subsistence for junior enlisted members who 
would otherwise qualify to receive food stamps under state-
administered programs. Since implementation of this allowance 
on May 1, 2001, the number of military members who have 
qualified for food stamps has significantly declined. The 
committee believes this program should be made permanent in 
order to continue to assist in meeting the financial needs of 
junior enlisted personnel and their families.
Modification of pay considered as saved pay upon appointment of an 
        enlisted member as an officer (sec. 604)
    The committee recommends a provision that would amend 
section 907 of title 37, United States Code, with respect to 
``saved pay,'' or the stabilization of pay and allowances that 
an enlisted member or warrant officer in the grade of W-4 may 
receive after accepting an appointment as a commissioned 
officer. The provision would update and add to the list of 
special and incentive pays and allowances that should be 
considered in determining the amount of pay and allowances of a 
grade formerly held by an officer who continues to perform the 
duties creating the eligibility for such pay and allowances and 
may be entitled to saved pay treatment.

           Subtitle B--Bonuses and Special and Incentive Pays


One-year extension of certain bonus and special pay authorities for 
        Reserve forces (sec. 611)

    The committee recommends a provision that would extend for 
one year the authority to pay the Selected Reserve reenlistment 
bonus, special pay for enlisted members assigned to certain 
high priority units in the Selected Reserve, the Ready Reserve 
enlistment and reenlistment bonus, and the prior service 
enlistment bonus. Additionally, the provision would authorize 
payment under section 308g(h) of title 37, United States Code, 
of the non-prior service enlistment bonus in elements of the 
Ready Reserve other than the Selected Reserve. The committee 
notes that the Selected Reserve enlistment bonus and the 
Selected Reserve affiliation bonus authorized under sections 
308c(e) and 308e(e) of title 10, United States Code, 
respectively, have been amended and renewed by other provisions 
of this Act.

One-year extension of certain bonus and special pay authorities for 
        certain health care professionals (sec. 612)

    The committee recommends a provision that would extend for 
one year the authority to pay the nurse officer candidate 
accession bonus, the accession bonus for registered nurses, 
incentive special pay for nurse anesthetists, special pay for 
Selected Reserve health professionals in critically short 
wartime specialties, the accession bonus for dental officers, 
the accession bonus for pharmacy officers, and to repay 
education loans for certain Selected Reserve health 
professionals.

One-year extension of special pay and bonus authorities for nuclear 
        officers (sec. 613)

    The committee recommends a provision that would extend for 
one year the authority to pay the special pay for nuclear-
qualified officers extending their period of active service, 
the nuclear career accession bonus, and the nuclear career 
annual incentive bonus.

One-year extension of other bonus and special pay authorities (sec. 
        614)

    The committee recommends a provision that would extend for 
one year the authority to pay the aviation officer retention 
bonus, assignment incentive pay, the reenlistment bonus for 
active members, the enlistment bonus for active members, the 
retention bonus for members with critical military skills, and 
the accession bonus for new officers in critical skills.

Payment and repayment of assignment incentive pay (sec. 615)

    The committee recommends a provision that would amend 
section 307a of title 37, United States Code, to authorize 
payment of assignment incentive pay in a lump sum or in 
installments pursuant to the terms of a written agreement. The 
committee believes that the ability of the services to offer 
lump sum or installment payments of assignment incentive pay, 
in addition to existing authority for monthly payments, would 
offer greater flexibility and, in many cases, enhance the 
attractiveness of this incentive. In all cases in which lump 
sum or installment payments of assignment pay are authorized, 
the provision would require that a written agreement be 
executed.

Increase in amount of selective reenlistment bonus for certain senior 
        supervisory nuclear qualified enlisted personnel (sec. 616)

    The committee recommends a provision that would amend 
section 308 of title 37, United States Code, to authorize 
payment of up to $75,000 to an enlisted member of the naval 
service who has completed at least 10, but not more than 14, 
years of active duty, is currently qualified for duty in 
connection with the supervision, operation, and maintenance of 
naval nuclear propulsion plants, and is qualified in a military 
skill designated as critical by the Secretary of Defense. The 
committee believes that authorization of this increase in the 
amount of the selective reenlistment bonus for designated 
nuclear qualified enlisted personnel above the current limit of 
$60,000 is necessary to address shortages and improve retention 
of this class of highly trained and experienced personnel.

Consolidation and modification of bonuses for affiliation or enlistment 
        in the Selected Reserve (sec. 617)

    The committee recommends a provision that would amend 
section 308c and repeal section 308e of title 37, United States 
Code, in order to consolidate these provisions and authorize an 
enhanced affiliation bonus in an amount not to exceed $10,000 
for service in the Selected Reserve.
    In section 618 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375), 
the conferees authorized an increase in the maximum amount of 
the Selected Reserve enlistment bonus under section 308c to 
$10,000. This enlistment bonus assists the Reserve components 
in meeting their non-prior service recruiting objectives. The 
committee believes that an identical bonus authority is needed 
to provide an incentive to members who are separating from 
active duty, and who may have a continuing military service 
obligation, to affiliate with the Selective Reserve.
    The current affiliation bonus under section 308e of title 
37, United States Code, is inadequate to encourage members with 
active-duty experience to affiliate with the Selected Reserve 
with no break in service upon completion of their active-duty 
obligation. Because of their military training and experience, 
these individuals should be given every reasonable incentive to 
continue serving in the Selected Reserve.

Expansion and enhancement of special pay for enlisted members of the 
        Selected Reserve assigned to certain high priority units (sec. 
        618)

    The committee recommends a provision that would amend 
section 308d of title 37, United States Code, to increase the 
amount of special pay that may be awarded to members of the 
Selected Reserve assigned to certain high priority units from 
$10 to $50 for each regular period of instruction or period of 
appropriate duty. The committee believes that increasing this 
special pay will assist in improving manning, including company 
grade officer shortages, in high priority units of the Selected 
Reserve.

Retention incentive bonus for members of the Selected Reserve qualified 
        in a critical military skill or specialty (sec. 619)

    The committee recommends a provision that would amend 
chapter 5 of title 37, United States Code, to authorize a 
retention incentive bonus for members of the Selected Reserve 
qualified in a critical military skill or specialty. This bonus 
would offer an effective retention incentive for individuals 
possessing key specialities and qualifications in the Selected 
Reserve, and would be structured along the lines of the 
critical skills retention bonus offered to active-duty 
personnel under section 323 of title 37, United States Code.

Termination of limitation on duration of payment of imminent danger 
        special pay during hospitalization (sec. 620)

    The committee recommends a provision that would amend 
section 310 of title 37, United States Code, to extend the 
period during which a member who is hospitalized as a result of 
injuries or wounds incurred as a result of hostile action may 
continue to receive special pay for duty subject to hostile 
fire or imminent danger. Under current law, continuation of 
such special pay is limited to three months. The committee 
believes that eligible members should receive special pay for 
the duration of their hospitalization.

Authority for retroactive payment of imminent danger special pay (sec. 
        621)

    The committee recommends a provision that would amend 
section 310 of title 37, United States Code, to authorize the 
Secretary of Defense to determine the date from which members 
assigned to duty in an area in which the members were subject 
to the threat of physical harm or imminent danger are eligible 
to receive this special pay. This provision would preclude the 
need for legislation authorizing back pay as a consequence of 
delays within the Department of Defense in determining the 
eligibility of members for special pay under section 310. The 
most recent example of such legislation was included in section 
620 of the National Defense Authorization Act for Fiscal Year 
2004 (Public Law 108-136).

Authority to pay foreign language proficiency pay to members on active 
        duty as a bonus (sec. 622)

    The committee recommends a provision that would amend 
section 316 of title 37, United States Code, to authorize 
payment of foreign language proficiency pay to members on 
active duty as a lump sum bonus. In section 620 of the Ronald 
W. Reagan National Defense Authorization Act for Fiscal Year 
2005 (Public Law 108-375) the amount of foreign language 
proficiency pay was increased from $300 to $1,000 per month. 
The ability to offer a lump sum bonus under certain conditions, 
in an amount not to exceed $12,000, would serve to enhance the 
effectiveness of this incentive for members skilled in foreign 
languages to continue serving on active duty.

Incentive bonus for transfer between the Armed Forces (sec. 623)

    The committee recommends a provision that would authorize 
payment of an incentive bonus not to exceed $2,500 to military 
members of the Active and Reserve components who transfer from 
the regular or Reserve component of one service to the regular 
or Reserve component of another service.
    The committee notes that the Navy and Air Force intend to 
significantly reduce the size of their Active and Reserve 
components in anticipation of force structural changes. At the 
same time, the Army and Marine Corps are experiencing 
recruiting challenges and, in some areas, shortfalls. The 
committee believes that the experience and skills accrued by 
military members, combined with their possessing required 
qualifications and continuing motivation to serve, should be 
tapped whenever possible to meet recruiting needs. While so 
called ``blue to green'' programs to date have experienced some 
success, the committee believes this bonus has the potential to 
encourage more individuals to accept the challenges inherent in 
such changes in service.

            Subtitle C--Travel and Transportation Allowances


Transportation of family members in connection with the repatriation of 
        service members or civilian employees held captive (sec. 631)

    The committee recommends a provision that amends chapter 7 
of title 37, United States Code, and chapter 57 of title 5, 
United States Code, to authorize travel and per diem allowances 
for up to three family members of military personnel or federal 
civilian employees who have been held captive, as determined by 
the secretary concerned, and who are being repatriated to a 
site inside or outside the United States. This provision 
ensures that family members of repatriated service personnel 
and civilian employees are able to travel to the location of 
their loved ones upon their return to U.S. control.

             Subtitle D--Retired Pay and Survivor Benefits


Enhancement of death gratuity and life insurance benefits for deaths 
        from combat-related causes or causes incurred in combat 
        operations or areas (sec. 641)

    The committee recommends a provision that would amend 
chapter 75 of title 10, United States Code, effective October 
1, 2005, to increase the amount of the death gratuity payable 
under sections 1475 through 1478 from $12,000 to $100,000 under 
certain conditions. Payment in the amount of $100,000 to 
survivors would be authorized in the case of a death of a 
service member on active duty which resulted from wounds, 
injuries, or illnesses incurred under the combat-related 
conditions specified in section 1413a(e)(2) of title 10, United 
States Code, specifically: (1) as a direct result of armed 
conflict; (2) while engaged in hazardous service; (3) in the 
performance of duty under conditions simulating war; or (4) 
through an instrumentality of war. Additionally, the increased 
death gratuity of $100,000 would be payable if the death 
occurred in an operation or area designated as a combat 
operation or a combat zone, respectively, by the Secretary of 
Defense.
    The provision would also amend section 1967 of title 38, 
United States Code, to increase from $250,000 to $400,000 the 
maximum amount of coverage available under the Servicemembers' 
Group Life Insurance (SGLI) program. The provision would also 
authorize the military services to provide up to $150,000 in 
coverage for members who die as a result of wounds, illness, or 
injury incurred while serving in an operation or area that the 
Secretary designates as a combat operation or a zone of combat, 
respectively. The total amount of insurance payable under any 
circumstances would not exceed $400,000. In the case of insured 
members who are married, the provision would require that 
notice be given to spouses regarding an election by the member 
to decline coverage under SGLI or to choose coverage in an 
amount less than the maximum amount of $400,000. Spouses must 
also be notified of a redesignation of a beneficiary or 
beneficiaries by an insured member.

                       Subtitle E--Other Matters


Payment of expenses of members of the Armed Forces to obtain 
        professional credentials (sec. 651)

    The committee recommends a provision that would authorize 
payment to members of the Armed Forces for the costs of 
obtaining professional credentials, licenses, and 
certifications. The committee notes that this authority is 
available to federal civilian employees under section 5757 of 
title 5, United States Code. The military services increasingly 
have come to rely on commercially available systems, products, 
and services with certification standards corresponding to 
military occupational specialties in order to avoid duplication 
and costs of training programs. This provision would not extend 
authority to pay military members for the costs of meeting 
basic qualifications for entry into specific communities and 
professions, e.g., bar examinations and licensing of health 
professionals.

Pilot program on contributions to Thrift Savings Plan for initial 
        enlistees in the Armed Forces (sec. 652)

    The committee recommends a provision that would require the 
Secretary of the Army to conduct a pilot program in order to 
assess the extent to which contributions by the Army to the 
Thrift Savings Plan on behalf of first term enlistees would 
assist in recruiting non-prior service enlistees and result in 
establishing habits of financial responsibility. A separate 
provision in the act authorizes the service secretaries to make 
matching contributions to the Thrift Savings Fund on behalf of 
first term enlistees under section 211(d) of title 37, United 
States Code.
    The committee expects the Army to develop a pilot program 
that will assist in determining the cost and effectiveness of 
an enhanced ``matching funds'' Thrift Savings Plan option for 
first term enlistees. While enlistment bonuses and education 
benefits have proven utility in encouraging voluntary service, 
the committee believes that an enhanced Thrift Savings Plan 
conducted under the provisions of section 211(d) of title 37, 
United States Code, as revised by another provision of this 
Act, may assist the Army in meeting recruiting goals. The 
committee expects the Army to collect data and conduct surveys 
that will allow a determination as to whether a matching funds 
Thrift Savings Plan has utility as a recruiting incentive and 
separately as a means to encourage participation in the Thrift 
Savings Plan among individuals who otherwise would not 
participate.
                         TITLE VII--HEALTH CARE

                      Subtitle A--Benefits Matters

Clarification of eligibility of Reserve officers for health care 
        pending active duty following issuance of orders to active duty 
        (sec. 701)
    The committee recommends a technical correction to section 
1074, title 10, United States Code, that would clarify the 
intent of that section to ensure that Reserve Officers' 
Training Corps (ROTC) graduates have access to military health 
benefits while awaiting active-duty status. This correction 
would ensure that ROTC graduates do not lose their eligibility 
for health care under section l074(a), title 10, United States 
Code, before they report to active duty.
Limitation on deductible and copayment requirements for nursing home 
        residents under the pharmacy benefits program (sec. 702)
    The committee recommends a provision that would limit out- 
of-pocket pharmacy expenses for a beneficiary who is a resident 
of a nursing home and who is required, by state law, to use 
nursing home pharmacy services utilizing prepackaged 
pharmaceuticals, which are not part of the pharmacy network 
under TRICARE. The committee recognizes that there are a small 
number of individuals who would require such assistance, and 
directs the Department of Defense to find the most economical 
means available to implement this provision for those 
beneficiaries.
Eligibility of surviving active duty spouses of deceased members for 
        enrollment as dependents in a TRICARE dental plan (sec. 703)
    The committee recommends a provision that would expand 
eligibility for survivor benefits under the TRICARE dental plan 
authorized in section 1076a, title 10, United States Code, to 
include the active duty spouse of a member who dies while on 
active duty for a period of more than 30 days. The provision 
would extend eligibility to a surviving spouse who, because he 
or she was also on active duty for a period of more than 30 
days, was ineligible to enroll in the TRICARE dental plan.
Increased period of continued TRICARE Prime coverage of children of 
        members of the uniformed services who die while serving on 
        active duty for a period of more than 30 days (sec. 704)
    The committee recommends a provision that would extend 
health care coverage under TRICARE Prime for the children of an 
active-duty service member who dies while on active duty for a 
period of more than 30 days. The provision would authorize any 
dependent child of a deceased service member to continue to 
receive benefits under TRICARE Prime as if the service member 
parent were still alive, and without annual premiums, until the 
age of 21, or 23 if enrolled in an educational program. Under 
current law, the children of members who die while on active 
duty retain benefits under TRICARE as if the member were still 
alive for only three years, at which time the active-duty 
benefit is replaced by a benefit equal to that for retirees, 
which has a lower priority for access to military treatment 
facilities and requires an annual enrollment fee for TRICARE 
Prime. The provision would apply to eligible dependent child 
survivors of members who have died while on active duty since 
October 7, 2001.
    The committee believes that this provision will ensure that 
families with surviving children will experience no additional 
financial hardship or barriers to needed health care services 
under TRICARE, following the death of an active-duty service 
member.

           Subtitle B--Planning, Programming, and Management

TRICARE Standard coordinators in TRICARE regional offices (sec. 711)
    The committee recommends a provision that would require the 
designation of a position in each TRICARE Regional Office for 
the purpose of assisting beneficiaries who use the Standard 
option under TRICARE in identifying providers who will 
participate in the TRICARE program.
    The committee is concerned that there is insufficient focus 
within the Department of Defense on assistance to users of 
TRICARE Standard, as well as outreach to community providers to 
encourage their participation in the TRICARE program. Moreover, 
despite statements by the Department that TRICARE contractors 
have specific mandates to perform this function, none have 
verified that such is the case. Thus, the committee is 
concerned that the intent of Congress, clearly expressed in the 
National Defense Authorization Act of 2004, to ensure 
improvements in access to TRICARE Standard, has not been 
fulfilled. The committee continues to receive reports of access 
problems, which may increase as members of the Selected 
Reserve, who elect coverage under the TRICARE Reserve Select 
Program, add to the demand for TRICARE Standard providers in 
areas not served by a military treatment facility.
Report on delivery of health care benefits through military health care 
        system (sec. 712)
    The committee recommends a provision that would require the 
Secretary of Defense to submit a report on the delivery of 
health care benefits through the military health system. The 
report would contain an analysis of the organization and costs 
of delivering health care benefits to current and retired 
military personnel and their families; an analysis of the costs 
of ensuring medical readiness; an assessment of the role of 
health benefits in recruitment and retention of members of the 
Armed Forces; and an assessment of the Department of Defense's 
experience in recruitment and retention of military and 
civilian medical and dental personnel. In addition, the report 
would include recommendations for legislative or administrative 
action as the Secretary considers necessary to improve 
efficiency and quality in the provision of health care benefits 
and to ensure the sustainability of such benefits into the 
future.
Comptroller General report on differential payments to children's 
        hospitals for health care for children dependents under TRICARE 
        (sec. 713)
    The committee recommends a provision that would require the 
Comptroller General to study the effectiveness of the system 
used by the Department of Defense to make differential payments 
to children's hospitals for health care services for severely 
ill or injured dependent children of members of the uniformed 
services under the TRICARE program. The committee is aware of 
ongoing reports that children's hospitals are reimbursed for 
health care services at levels that are less than the costs 
incurred by those hospitals for providing such services. The 
committee is concerned that the amount of the differential 
payment to children's hospitals (one component of payments to 
children's hospitals) has remained unchanged since its 
introduction in 1992.
    The provision would require a report by the Comptroller 
General not later than May 1, 2006, together with such 
recommendations as the Comptroller General believes appropriate 
for modifications of the current system of differential 
payments to children's hospitals.
Repeal of requirement for Comptroller General reviews of certain 
        Department of Defense-Department of Veterans Affairs projects 
        on sharing of health care resources (sec. 714)
    The committee recommends a provision that would repeal 
certain reporting requirements for the Comptroller General on 
defense and veterans affairs health resource sharing projects. 
The intent of the provision is to eliminate detailed reporting 
on individual sharing projects to allow the Comptroller General 
to focus on measurement of efforts by the Secretary of Defense 
and the Secretary of the Department of Veterans Affairs to 
institutionalize defense and veterans affairs health resource 
sharing projects in both health care systems.
Surveys on TRICARE standard (sec. 715)
    The committee recommends a provision that would increase 
the survey questions required under section 723(a) of the 
National Defense Authorization Act for Fiscal Year 2004 (Public 
Law 108-136) concerning the continued viability of the TRICARE 
Standard option. The committee is concerned that the surveys 
carried out by the Department of Defense to date have been 
unable to gather sufficient information to permit better 
understanding of the availability of civilian medical providers 
to participate in the Standard option of the TRICARE program.
    The committee believes that this provision would ensure 
that surveys capture necessary data on whether providers are 
aware of the TRICARE program, the percentage of their patient 
populations who receive TRICARE benefits, and whether or not 
civilian providers accept patients or new patients under the 
Medicare program.
Modification of health care quality information and technology 
        enhancement report requirements (sec. 716)
    The committee recommends a provision that modifies the 
annual health care quality reporting requirement of the 
Department of Defense to ensure that it more closely resembles 
state-of-the-art quality improvement efforts in the civilian 
sector as well as those developed by other public health 
agencies. The committee directs the Secretary of Defense to 
undertake a comprehensive review of health care quality 
programs of the Department's medical programs, to include 
civilian provider networks, in order to ensure that health care 
quality is monitored in an aggressive manner that results in 
health improvements for all eligible beneficiaries, regardless 
of age.
Modification of authorities relating to patient care reporting and 
        management system (sec. 717)
    The committee recommends a provision that would eliminate 
the requirement that the Department of Defense Patient Safety 
Center be located within the Armed Forces Institute of 
Pathology. In doing so, the committee intends to provide the 
Secretary of Defense greater flexibility to manage and 
consolidate patient safety initiatives for the Department.

                       Subtitle C--Other Matters

Report on adverse health events associated with use of anti- malarial 
        drugs (sec. 731)
    The committee recommends a provision that would require the 
Secretary of Defense to conduct a study of adverse health 
events that may be associated with the use of anti-malarial 
drugs, including mefloquine, also known as Lariam. The study 
would require the participation of epidemiological and clinical 
researchers outside the Department of Defense. It would also 
require an assessment of whether, and to what extent, Lariam 
may be a risk factor contributing to suicides among members of 
the Armed Forces.
    The committee is aware of concerns by service members and 
their families that the anti-malarial drug Lariam (mefloquine) 
may have side effects which contribute to serious injury and/or 
major psychiatric disorders. The committee believes that a 
study will assist the Department in a more complete 
understanding of the potential effects of Lariam, if any, on 
military personnel.
Pilot projects on early diagnosis and treatment of Post Traumatic 
        Stress Disorder and other mental health conditions (sec. 732)
    The committee recommends a provision that would require the 
Secretary of Defense to carry out a minimum of three pilot 
projects to evaluate the efficacy of various approaches to 
improving the capability of the military and civilian primary 
health care systems to provide early diagnosis and treatment of 
Post Traumatic Stress Disorder (PTSD) and other mental health 
conditions experienced by military members returning from 
combat.
    The provision would require one of the pilot projects to be 
carried out at a military medical facility, which supports a 
large mobilization and demobilization site in order to evaluate 
and produce effective diagnostic and treatment approaches for 
use by primary care providers in the military health system. A 
second pilot would be carried out at the location of a National 
Guard or Reserve unit or units located more than 40 miles away 
from a military installation and whose personnel are served 
primarily by civilian community health resources. A third pilot 
would require the use and evaluation of Internet-based 
automated tools to aid military and civilian health care 
providers in the diagnosis and treatment of PTSD, as well as 
web-based tools available to family members to assist them in 
the identification of the emerging symptoms.
    Studies of soldiers returning from Operation Enduring 
Freedom and Operation Iraqi Freedom have found that major 
depression, generalized anxiety, or PTSD occurred in as many as 
17 percent of returning soldiers. Of those who were found to 
have a mental disorder, including PTSD, only 23 to 40 percent 
sought mental health care. Failure to seek appropriate 
treatment due to fear of the stigma associated with seeking 
such care, and the failure of the primary health care system to 
accurately diagnose PTSD puts service members who have been 
exposed to combat at risk for a worsening syndrome that can 
lead to severe mental illness, or in extreme cases, suicide.
    The committee commends the Department of Defense for its 
recent issuance of a policy requiring additional mental health 
follow-up visits from 90 to 180 days after redeployment, but 
recognizes that more needs to be done to increase the capacity 
of the primary health care delivery system to identify and 
treat mild forms of these disorders, such as combat stress or 
normal depression following separation or reintegration, before 
these disorders progress to the point of requiring referral of 
the member for specialty mental health care. In addition, tools 
are needed to assist family members and military unit members 
in identifying and seeking appropriate resources for care of a 
member with emerging PTSD or other mental health disorder. The 
committee expects the Secretary to leverage emerging 
information technology to support the pilot projects required 
by this provision.

                       Items of Special Interest

Active-duty medical extension
    The committee is pleased that the Army has taken steps, 
through the Medical Retention Processing program, to eliminate 
the hardship experienced by injured and ill Reserve component 
soldiers who have been erroneously removed from active-duty 
status during a period of extended active duty and have lost 
pay and benefits. The Comptroller General, in a February 2005 
report entitled ``Military Pay: Gaps in Pay and Benefits Create 
Financial Hardships for Injured Army National Guard and Reserve 
Soldiers'', documented cases of Reserve component soldiers who, 
although entitled to continued pay and health benefits when 
extended on active duty for the purpose of receiving medical 
care, experienced loss of pay and benefits during this crucial 
time of recovery because their active-duty status was not 
transmitted to the automated systems, which ensure timely pay 
and continued eligibility for benefits.
    The committee directs the Comptroller General to 
periodically monitor implementation of the Medical Retention 
Processing program as a follow-up to its February 2005 report 
and submit the results of such follow-up to the congressional 
defense committees.
Comptroller General study of adequacy of TRICARE reimbursement for 
        obstetrical, gynecological, and pediatric services
    The committee is aware that some doctors and hospitals have 
declined to participate in the TRICARE program for obstetrical, 
gynecological, and pediatric services because of claims that 
reimbursement rates for TRICARE are too low.
    The committee directs the Comptroller General to study the 
adequacy of reimbursements paid for obstetric, gynecological, 
and pediatric services to civilian providers in the TRICARE 
system. In carrying out the study, the Comptroller General 
shall consider:
    (1) how TRICARE reimbursement rates for obstetrical, 
gynecological, and pediatric services are determined; (2) how 
these reimbursement rates compare to comparable rates paid by 
national health care plans offered by the Federal Employees 
Health Benefits Program; and (3) the sufficiency of the 
Department of Defense's authority to modify these rates when 
necessary to ensure access for military beneficiaries to high 
quality health care services.
    The Comptroller General shall submit a report not later 
than April 15, 2006, to the congressional defense committees 
containing the results of the study and any recommendations to 
improve TRICARE provider participation and satisfaction in 
providing obstetric, gynecological, and pediatric services.
Increased awareness for families of TRICARE mental health benefits and 
        the need for appropriate mental health services for families 
        overseas
    The committee is concerned that many military family 
members, including both active and mobilized National Guard and 
Reserve families, do not have adequate information about mental 
health benefits that are authorized under the TRICARE program. 
In light of evidence of the increased need for mental health 
services, the committee directs the Department of Defense to 
initiate, through appropriate command and communications 
channels, an extensive effort to reach all military families 
with information about mental health services that are 
authorized under the TRICARE program and how to access these 
services through both military and civilian providers. These 
services include outpatient mental health services, 
hospitalization for mental illness, substance abuse treatment, 
and partial hospitalization for therapeutic mental health 
services.
    Additionally, the committee directs the Department to 
expand appropriate mental health services to family members in 
overseas locations through existing contracting mechanisms, 
which provide culturally and language-appropriate services to 
families of military personnel. The committee understands that 
military mental health resources are appropriately being 
directed in support of active-duty members, both in the field 
and upon return from deployment, which often leaves families in 
overseas locations without access to appropriate and needed 
mental health services.
Specialty health care services referrals and authorizations
    The committee is concerned that TRICARE beneficiaries have 
experienced problems in accessing specialty health care 
services as a result of the failure of the Department of 
Defense to provide automated support for the process of 
obtaining referral and authorization for specialty health care 
services, as promised in the transition to new TRICARE 
contracts. As a result, health care support contractors and 
military treatment facilities instituted costly manual 
processes that, although necessary, resulted in delays and long 
waiting times on health care information telephone lines for 
beneficiaries.
    The committee is aware that efforts are now underway to 
redesign an automated process for obtaining health care 
referrals and authorizations. The committee expects senior-
level involvement throughout the military health system to 
ensure its success as rapidly as possible. Further, the 
committee expects the Department to take advantage of best 
practices in the private sector in specialty referral 
management, including its partners-- the U.S. Family Health 
Plans. The committee expects the Department to study successful 
practices by these plans in specialty referral management to 
ensure that the new system that is being developed will result 
in timely referrals and complete and accurate reporting from 
specialist to primary care provider, with no disruption or 
inconvenience to the beneficiary.
  TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED 
                                MATTERS

Overview
    Introduction. One of the committee's most important duties 
is to provide oversight over the management of the hundreds of 
billions of dollars that the Department of Defense spends each 
year on the acquisition of supplies, services, and equipment--
everything from office supplies to major weapon systems.
    The enactment of the Federal Acquisition Streamlining Act 
of 1994 (Public Law 103-355) and the Clinger-Cohen Act in 1996 
(as codified in chapter 113 of title 40, United States Code) 
signaled a fundamental change in the management of government 
acquisition programs. These statutes: (1) made it easier for 
federal agencies to purchase commercial items; (2) streamlined 
the processes for making small purchases; (3) eliminated the 
General Services Administration (GSA) as the gatekeeper for all 
federal information technology purchases; and (4) opened the 
door to government-wide acquisition contracts and other 
flexible multiple-award contracting vehicles.
    As a result, the Department of Defense and other federal 
agencies gained new flexibility to purchase their own 
information technology products, to rapidly access technologies 
developed in the commercial marketplace, and to focus their 
attention on the larger acquisitions that account for the vast 
majority of purchasing dollars. These changes, coupled with the 
procurement ``holiday'' of the 1990's, made it possible for the 
Department of Defense to save billions of dollars by cutting 
its acquisition workforce by almost half in a period of just 10 
years.
    Unfortunately, the increased flexibility provided by 
acquisition reform has not always been used in the best 
interest of the Department of Defense and the taxpayer. Over 
the last five years, a series of audits of Department of 
Defense contracts by the Department of Defense Inspector 
General and the Government Accountability Office (GAO) have 
revealed case after case of inadequate acquisition planning, 
insufficient competition, overpriced contracts, inappropriate 
expenditures of funds, and lack of attention to contract 
management.
    As a result, three of the twenty-five high risk areas 
across the federal government (those areas identified by GAO as 
most susceptible to fraud, waste, and abuse) are directly 
related to the Department of Defense acquisition system. These 
are: weapon systems acquisition; contract management; and the 
management of interagency contracting. Each of these high-risk 
areas is addressed in more detail below.
    The committee has been aware over the last several years of 
emerging problems in each of these areas and has initiated 
numerous legislative provisions in an effort to direct the 
Department of Defense toward more sound acquisition practices. 
While this legislation has resulted in some improvement to the 
Department of Defense's acquisition processes, serious 
deficiencies remain in each of the high risk areas identified 
by GAO.
    The committee believes that continuing problems in these 
high risk areas are attributable, in significant part, to 
inadequate human capital planning and continuing reductions in 
the defense acquisition workforce. While it was reasonable to 
reduce the size of the workforce after the enactment of 
acquisition reform measures in the mid-1990's, these reductions 
continued even after the procurement holiday of the 1990's came 
to an end and even after the global war on terrorism brought 
record levels of procurement expenditures. Moreover, the 
Department of Defense made these cuts in a haphazard way, 
without giving consideration to the recruitment, training, and 
career- building needed to ensure the ongoing vitality of our 
acquisition organizations.
    At the same time, emerging government requirements have 
brought forward new challenges such as the acquisition of 
``systems of systems''; the coordination of joint service and 
multinational acquisition programs such as the Joint Strike 
Fighter; the management of complex software acquisitions; the 
negotiation of commercial pricing agreements without access to 
traditional cost or pricing data; the development of new 
performance-based service contracts; the oversight of huge 
time- and-materials contracts; and the management of public-
private competitions. Rather than developing new skills and new 
resources to address these new challenges, the Department of 
Defense tried to address them with existing resources using an 
already undermanned legacy acquisition workforce accustomed to 
staffing traditional defense procurements in the 1980's and 
early 1990's.
    GAO has reported that strategic human capital management 
remains a high risk area in the federal government because of 
agencies' ``long-standing lack of a consistent strategic 
approach to marshaling, managing, and maintaining the human 
capital needed to maximize government performance and ensure 
its accountability.'' This problem is particularly acute in the 
defense acquisition workforce. The Under Secretary of Defense 
for Acquisition, Technology and Logistics explained at an April 
13, 2005, hearing before the Subcommittee on Readiness and 
Management Support of the Committee on Armed Services the 
following:

          I believe we are at the point where any further 
        reductions [in the defense acquisition workforce] will 
        adversely impact our ability to successfully execute a 
        growing workload. The numbers are startling. The 
        Defense acquisition workforce has been downsized by 
        roughly half since 1990 while the contract dollars have 
        roughly doubled during the same period. * * *
          The Global War on Terrorism and increasing Defense 
        budget places greater demands on acquisition workers 
        ability to support the warfighter. * * * We need to 
        continue to renew and restore the defense acquisition 
        workforce. We need to ensure that we have the right 
        people in the jobs to perform the functions required to 
        support our warfighters. Now more than ever, I believe 
        we need to increase the size of the acquisition 
        workforce to handle the growing workload, especially as 
        retirements increase in the coming years.

    In this title, section 832 would address the problems in 
the defense acquisition workforce by: (1) giving the Secretary 
of Defense the authority to realign positions in the 
acquisition workforce to reinvest in higher priority 
acquisition positions; (2) increasing the overall size of the 
acquisition workforce by 15 percent; and (3) requiring the 
Secretary to conduct a strategic assessment and develop a human 
resources strategic plan for the acquisition workforce.
    Department of Defense Weapon Systems Acquisition. Twenty 
years ago, the President's Blue Ribbon Commission on Defense 
Management (commonly known as the Packard Commission) ushered 
in an era of acquisition reform with its finding that the 
Department of Defense's ``weapon systems take too long and cost 
too much to produce.'' The Packard Commission attributed this 
problem in large part to unrealistic budgeting, ``chronic 
instability'' in funding, overstated requirements, a dilution 
of accountability for results, duplication of programs, and 
inadequate testing.
    Many of the recommendations of the Packard Commission 
report have been implemented by Congress and the executive 
branch. These include the creation of the position of the Under 
Secretary of Defense for Acquisition, Technology and Logistics; 
the flattening of the organizational structure for acquisition 
programs; enhanced developmental and operational testing; 
utilization of multiyear procurement authority; use of 
performance requirements in lieu of detailed military 
specifications; and greater use of commercial items. Congress 
significantly streamlined the acquisition laws in the 1990s and 
successive administrations have endeavored to eliminate 
unneeded federal and Department of Defense acquisition rules 
and regulations.
    Despite these changes, however, nearly 20 years after the 
release of the Packard Commission report and the enactment of 
the Goldwater-Nichols Department of Defense Reorganization Act 
of 1986 (Public Law 99-433), major weapon systems programs 
still cost too much and take too long to field.
    Why is it that after all of the ``acquisition reforms'' of 
the past two decades, the Department of Defense has still not 
been able to fix the underlying problems with major weapon 
system acquisition that the Packard Commission identified? The 
committee believes that one answer can be found in the 
inability of the Department to address the budget and program 
stability issues that were identified by the Packard 
Commission. Funding and requirements instability continue to 
drive up costs and delays the eventual fielding of new systems. 
Constant changes in funding and requirements lead to continuous 
changes in acquisition approaches.
    For example, at a recent hearing held by the Subcommittee 
on Seapower of the Committee on Armed Services, representatives 
from the shipbuilding industry testified that the acquisition 
strategy or procurement profile for the Virginia-class 
submarine program had changed 12 times in 10 years. Other 
Department of Defense programs have similar track records. The 
committee believes that the same focus needs to be placed on 
reforming the defense budget and requirements processes as has 
been placed on reforming the contracting process over the last 
20 years. For this reason, the committee directs the GAO to 
review the Department of Defense's budget and requirements 
processes and assess how these processes can better support 
program stability in major weapon systems acquisition.
    The committee is also concerned that problems with 
organizational structure, shortfalls in acquisition workforce 
capabilities, and personnel instability continue to undermine 
the performance of major weapon systems programs. The committee 
believes that the Department of Defense should give serious 
consideration to longer tenures for program managers and to 
taking the steps needed to address shortfalls in the Department 
of Defense's systems engineering capability and other critical 
acquisition capabilities. It is questionable whether the 
Department of Defense can effectively manage major programs as 
long as senior officials are changing every 18 months and the 
Department continues to rely almost exclusively on contractors 
for technical expertise.
    While the Congress cannot legislate good long-term 
management and stewardship of programs, the committee will 
continue to focus attention on issues that will contribute to 
better program management. In this regard, the committee 
requested the GAO in January 2005 to review the authority and 
responsibilities of program managers and to revisit the issue 
of program manager tenure. In addition, section 806 in this 
title would require the Defense Acquisition University to 
review the acquisition organization of the military departments 
and defense agencies and report to Congress on any deficiencies 
in those organizations.
    With regard to the acquisition process, the committee 
believes that the Packard Commission correctly emphasized the 
need for technological maturity in the acquisition of major 
weapon systems. Seven years ago, the committee revisited this 
issue and asked the GAO to begin a review comparing the 
Department of Defense approach to incorporating technology into 
new products to approaches successfully applied in the private 
sector. GAO found that private industry fields new products 
faster and more successfully because they make sure that new 
technologies have been proven in the laboratory before they try 
to incorporate them into new products. As the Comptroller 
General explained in his April 13, 2005, testimony:

          Problems occur because Department of Defense's weapon 
        programs do not capture early on the requisite 
        knowledge that is needed to efficiently and effectively 
        manage program risks. For example, programs move 
        forward with unrealistic program cost and schedule 
        estimates, lack clearly defined and stable 
        requirements, use immature technologies in launching 
        product development, and fail to solidify design and 
        manufacturing processes at appropriate junctures in 
        development.

    Over the past several years, the committee has enacted the 
following legislative initiatives designed to address these 
problems.
           Section 804 of the National Defense 
        Authorization Act for Fiscal Year 2002 (Public Law 107-
        107) required the Secretary of Defense to report to the 
        congressional defense committees any time the 
        Department decides to incorporate into a major weapon 
        system a technology that is not yet mature.
           Sections 802 and 803 of the Bob Stump 
        National Defense Authorization Act for Fiscal Year 2003 
        (Public Law 107-314) authorized the Department of 
        Defense to take advantage of ``spiral'' development and 
        incremental acquisition techniques, which enable the 
        Department to acquire new systems in phases, as the 
        technology matures.
           Section 804 of the Bob Stump National 
        Defense Authorization Act for Fiscal Year 2003 and 
        section 801 of the Ronald W. Reagan National Defense 
        Authorization Act for Fiscal Year 2005 (Public Law 108-
        375) required the Department of Defense to focus 
        management attention on problems in the development and 
        acquisition of software, which have frequently resulted 
        in cost overruns and schedule delays in the acquisition 
        of major weapon systems.
    The committee is also concerned that the Department of 
Defense has sometimes tried to address acquisition challenges 
through the use of contracting approaches that are not 
appropriate to major weapon systems rather than tackle 
difficult budgetary, requirements, organizational, and 
personnel issues. For example, a recent series of hearings held 
by the Subcommittee on AirLand of the Committee on Armed 
Services have highlighted continuing problems resulting from so 
called ``commercial item strategies'' used by the Department of 
Defense to acquire major weapon systems. While the Department 
has been able to reduce administrative overhead, commercial 
item strategies have required foregoing important provisions 
designed for the protection of the taxpayer in the acquisition 
of major weapon systems, including the Truth in Negotiations 
Act (TINA) (10 U.S.C. 2306a) and the Cost Accounting Standards 
(CAS). Waiving these provisions limits the government's insight 
into contractor cost and performance, while doing nothing to 
overcome the programatic and technical challenges faced in 
developing major systems.
    Reviews by GAO and the Department of Defense Inspector 
General have found that the Department of Defense has 
frequently waived TINA and CAS requirements without a valid 
legal basis and has failed to conduct adequate price analysis 
to support price reasonableness in cases where these 
requirements are waived. In the case of the proposed Air Force 
tanker lease, the result was a heightened risk of fraud and 
abuse, which would have significantly increased costs to the 
taxpayer, had the committee not disapproved the lease proposal. 
As a result, the Department has recently decided to restructure 
two other major defense acquisition programs--the Air Force's 
C130J aircraft program and the Army's Future Combat Systems 
program--to avoid similar risks.
    Over the past several years, the committee has enacted the 
following legislative initiatives designed to address such 
problems.
           Sections 803 and 808 of the Strom Thurmond 
        National Defense Authorization Act for Fiscal Year 1999 
        (Public Law 105-261) tightened the requirements for 
        commercial pricing of defense items.
           Section 803 of the Floyd D. Spence National 
        Defense Authorization Act for Fiscal Year 2001 (Public 
        Law 106-398) limited the use of so called ``other 
        transactions'' to projects in which either: (1) at 
        least one nontraditional contractor is participating to 
        significant extent; or (2) the contractor agrees to 
        bear at least one-third of the cost of the project.
           Section 817 of the Bob Stump National 
        Defense Authorization Act for Fiscal Year 2003 limited 
        the circumstances in which the TINA could be waived and 
        required the Department of Defense to report to 
        Congress on all TINA and CAS waivers granted for major 
        acquisition programs.
           Section 818 of the Ronald W. Reagan National 
        Defense Authorization Act for Fiscal Year 2005 
        clarified the applicability of TINA to modifications of 
        commercial items that cost in excess of $500,000 and 5 
        percent of the value of the contract.
    In this title, sections 844 and 804 would build on this 
record by: (1) prohibiting ``other transactions'' in excess of 
$100.0 million and ensuring that the Procurement Integrity Act 
(41 U.S.C. 423) applies to all such transactions; and (2) 
requiring a specific authorization for the purchase of major 
weapon systems under procedures established for the procurement 
of commercial items.
    Department of Defense Contract Management. Over the last 15 
years, the Department of Defense has dramatically increased its 
reliance on contractor-provided information technology and 
management support services. By some estimates, the Department 
now spends more on the acquisition of services than it does on 
the acquisition of products, including major weapon systems.
    The Department's acquisition structure and organization has 
not kept pace with this dramatic change in the expenditure of 
funds. Despite critical reports by GAO and the Department of 
Defense Inspector General, the Department still has not 
developed a centralized management structure for the 
acquisition of services, still has not conducted a 
comprehensive spending analysis of its services contracts, and 
still has not provided its acquisition professionals with the 
training and guidance needed to manage the Department's service 
contracts. Rather, the award of services contracts remains 
dispersed throughout the Department with little management 
oversight.
    As a result, the Department of Defense has yet to make 
effective use of critical tools, such as performance-based 
service contracting (PBSC) and competitive awards under 
multiple-award task order contracts, to ensure that funds are 
expended in a cost-effective manner. For example, in July 2004, 
GAO found that Department of Defense personnel waived 
competition requirements for nearly half of the task orders 
reviewed. In March 2005, the Comptroller General reported that 
the Department of Defense failed to conduct adequate oversight 
for 26 of 90 contracts reviewed. Department of Defense managers 
told GAO that contract oversight is ``not always a top 
priority'' and ``is not given the same importance as getting 
the contract awarded.'' GAO found that some oversight personnel 
``believe they do not have enough time in a normal workday to 
perform surveillance, a factor that may be influenced by 
declining personnel levels in Department of Defense functional 
offices responsible'' for contract oversight.
    Over the past several years, the committee has enacted the 
following legislative initiatives designed to address this 
problem.
           Section 804 of the National Defense 
        Authorization Act for Fiscal Year 2000 (Public Law 106-
        65) required the issuance of government-wide guidance 
        on the appropriate use of task order and delivery order 
        contracts.
           Section 821 of the Floyd D. Spence National 
        Defense Authorization Act for Fiscal Year 2001 
        established a preference for PBSC and required the 
        enhanced training of Department of Defense acquisition 
        personnel and the establishment of centers of 
        excellence in services contracting.
           Section 801 of the National Defense 
        Authorization Act for Fiscal Year 2002 required the 
        Department to establish a management structure for the 
        procurement of services, a tracking system for services 
        contracts, and an approval requirement for services 
        contracts that do not use PBSC.
           Section 802 of the National Defense 
        Authorization Act for Fiscal Year 2002 required the 
        Department to achieve savings in its services contracts 
        through the use of spending analyses, PBSC, and 
        competitive award of task orders.
           Section 803 of the National Defense 
        Authorization Act for Fiscal Year 2002 strengthened 
        competition requirements for purchases of services 
        through multiple award task order contracts.
           Section 805 of the Bob Stump National 
        Defense Authorization Act for Fiscal Year 2003 
        established performance goals for the Department of 
        Defense's use of PBSC and competitive task orders in 
        its services contracts.
    Section 802 of this title would build on this record by 
requiring each of the military departments to establish a 
Contract Support Acquisition Center to act as the executive 
agent for the acquisition of contract services for the military 
department. An additional Center would be established to act as 
a clearinghouse for the acquisition of contract services by the 
Office of the Secretary of Defense and the defense agencies.
    Management of Interagency Contracting. The last decade has 
seen a proliferation of new types of government-wide contracts 
and multi-agency contracts. According to GAO, the GSA alone has 
seen a nearly tenfold increase in interagency contract sales 
since 1992, pushing its total sales up to $32 billion in fiscal 
year 2004. Other agencies, such as the Department of the 
Treasury, the Department of Interior, and the National 
Institutes of Health, also sponsor interagency contracts worth 
billions of dollars a year. The Department of Defense is by far 
the largest ordering agency under these contracts, accounting 
for 85 percent of the dollars awarded under one of the largest 
GSA programs.
    These contracts, which permit officials of one agency to 
make purchases under contracts entered by other agencies, have 
provided federal agencies rapid access to high-tech commercial 
products and related services. However, these contracts have 
created a chaotic marketplace in which federal agencies are 
being offered similar products under a wide array of contracts, 
without any easy way of comparing between the products. At the 
same time, the Department of Defense does not have an adequate 
system to track such basic information as who is using these 
contracts, what they are buying, and how much they are paying.
    In too many cases, when one agency uses a contract entered 
by another agency, it appears that neither agency takes 
responsibility for making sure that procurement rules are 
followed and good management sense is applied. As a result, the 
Department of Defense Inspector General, the GSA Inspector 
General, and others have identified a long series of problems 
with inter-agency contracts, including lack of acquisition 
planning, inadequate competition, excessive use of time and 
materials contracts, improper use of expired funds, 
inappropriate expenditures, and failure to monitor contractor 
performance.
    In the past several years, the committee has enacted the 
following legislative initiatives designed to address these 
problems.
           Section 814 of the Strom Thurmond National 
        Defense Authorization Act for Fiscal Year 1999 required 
        approval by a contracting officer (or other official 
        specifically designated in regulations) for all 
        Department of Defense purchases under task order 
        contracts of other federal agencies.
           Section 804 of the National Defense 
        Authorization Act for Fiscal Year 2000 required the 
        issuance of government-wide guidance on the appropriate 
        use of government-wide contracts and an assessment of 
        the ordering and program practices followed by federal 
        agencies in using GSA contracts.
           Section 824 of the Bob Stump National 
        Defense Authorization Act for Fiscal Year 2003 required 
        an assessment of Department of Defense purchases of 
        products and services through contracts entered by 
        other federal agencies, including the costs and 
        benefits of such purchases.
           Section 802 of the Ronald W. Reagan National 
        Defense Authorization Act for Fiscal Year 2005 required 
        a joint review by the Department of Defense Inspector 
        General and the GSA Inspector General of the procedures 
        in place to ensure compliance with applicable 
        requirements of law and regulation in Department of 
        Defense purchases through the GSA client support 
        centers.
           Section 854 of the Ronald W. Reagan National 
        Defense Authorization Act for Fiscal Year 2005 required 
        the Department of Defense to establish a process for 
        review and approval of all procurements in excess of 
        $100,000 through contracts entered by other federal 
        agencies.
    In this title, sections 801 and 805 would build on this 
record by requiring that: (1) the Department of Defense 
Inspector General conduct joint reviews with the Inspector 
Generals of other relevant agencies of all major interagency 
contracts used by the Department of Defense, to ensure that 
appropriate procedures are in place and to ensure compliance 
with applicable requirements of law and regulation; and (2) the 
secretary of each military department review and report on 
service surcharges imposed on Department of Defense purchases 
by other Department of Defense agencies.

             Subtitle A--Acquisition Policy and Management


Internal controls for procurements on behalf of the Department of 
        Defense (sec. 801)

    The committee recommends a provision that would require the 
Department of Defense Inspector General, in consultation with 
applicable Inspector's General of nondefense agencies, to 
determine whether the policies, procedures, and internal 
controls of nondefense agencies for purchases on behalf of the 
Department of Defense are adequate to ensure compliance with 
defense procurement requirements of law and regulation. The 
provision would allow the Department to continue contracting 
after March 15, 2006, with any nondefense agency that is making 
significant progress toward implementing effective policies, 
procedures, and internal controls. The provision would prohibit 
contracting with nondefense agencies after March 15, 2007, if a 
required second Inspector General review determined that the 
nondefense agency was not compliant with defense procurement 
requirements. The provision would also authorize the Under 
Secretary of Defense for Acquisition, Technology and Logistics 
to continue contracting through a nondefense agency that has 
failed to implement appropriate policies, procedures, and 
internal controls, if he determines that it is necessary to do 
so in the interest of the Department.

Contract Support Acquisition Centers (sec. 802)

    The committee recommends a provision that would require the 
secretary of each military department to establish a Contract 
Support Acquisition Center to act as the executive agent for 
the acquisition of contract services for that military 
department. The Secretary of Defense would be required to 
establish an additional Acquisition Center within the Defense 
Logistics Agency to act as the executive agent for the 
acquisition of contract services by the defense agencies.
    The committee notes that the budget request includes a 
reduction of $2.0 billion in funds available for contract 
support in fiscal year 2006 and a total planned reduction of 
$12.0 billion across the Future Years Defense Program. The 
committee believes that the Department of Defense should be 
able to achieve a significant portion of these savings through 
the improved use of contract management tools, without having 
to cut programs or reduce needed services.
    In particular, section 802 of the National Defense 
Authorization Act for Fiscal Year 2002 (Public Law 107-107), as 
amended, establishes an objective for the Department of Defense 
to achieve efficiencies in procurements of services through the 
increased use of: (1) performance-based service contracting; 
(2) competitive procedures for the award of task orders and 
contracts; and (3) program review, spending analyses, and 
improved management of services contracts. Similar steps have 
enabled private sector companies to achieve considerable 
savings.
    Unfortunately, the goals established in section 802 for 
competition in services contracting and the use of performance-
based services contracting have not been met. Moreover, it 
appears that the Department has yet to undertake the 
comprehensive program review, spending analyses, and improved 
management of services contracts envisioned by section 802. The 
committee notes that a number of civilian agencies (including 
the Internal Revenue Service, the Department of Agriculture and 
the U.S. Postal Service) report that they have achieved 
significant savings through the use of spending analyses and 
strategic sourcing decisions.
    The committee believes that the Department of Defense has 
been unable to achieve comparable savings, in part, because the 
decentralized nature of the Department of Defense's services 
contracting and the absence of any organization dedicated to 
the acquisition of contract support hamper efforts to perform 
spending analyses, make strategic sourcing decisions, and 
institute comprehensive management improvements. The provision 
would address this problem by creating an organizational hub 
for the acquisition of contract support services by the 
military departments and defense agencies.
    The provision would also require the Contract Support 
Acquisition Centers to develop and maintain policies, 
procedures, and best practices guidelines for contract tracking 
and oversight. The committee notes that the Department of 
Defense is currently in the process of developing a business 
enterprise architecture and transition plan to guide the 
modernization of its business systems. The committee expects 
the business systems developed by the Department of Defense to 
have the capability of tracking basic information about 
interagency transactions, including the number and dollar value 
of transactions under each interagency contract vehicle, the 
status of open transactions, the status of funds under 
interagency transactions (including appropriation type; 
appropriation year; and fund balance received, obligated, 
expended, and available), and the amount of any funds returned 
or to be returned to the Department of Defense or to the 
Department of Treasury due to the completion or modification of 
contracts or the expiration of funds.

Authority to enter into acquisition and cross-servicing agreements with 
        regional organizations of which the United States is not a 
        member (sec. 803)

    The committee recommends a provision that would permit the 
Secretary of Defense to enter into acquisition and cross- 
servicing agreements (ACSA) with regional international 
organizations of which the United States is not a member. Under 
current law, the Secretary may enter into ACSAs only with 
regional organizations of which the United States is a member.
    Acquisition agreements and cross-servicing agreements 
permit the U.S. Armed Forces to obtain specified logistic 
support from, and to provide similar support to, the other 
party to the agreement on a reimbursable basis. Originally 
designed for and limited to North Atlantic Treaty Organization 
(NATO) nations and organizations, the authority was expanded in 
1994 to include certain non-NATO nations and regional 
organizations of which the United States is a member.
    The Department of Defense has requested the expansion of 
this authority to be used in cases similar to the 2003 events 
in Liberia. At that time, the U.S. Joint Task Force Liberia was 
deployed, but peacekeeping forces were provided by the Economic 
Community of West African States (ECOWAS)-- a regional 
organization of which the United States is not a member. If the 
United States were permitted to negotiate an ACSA with ECOWAS, 
the United States could have furnished essential logistic 
support. Instead, other, less efficient mechanisms had to be 
worked out in order to support African peacekeeping forces in 
Liberia.

Requirement for authorization for procurement of major weapon systems 
        as commercial items (sec. 804)

    The committee recommends a provision that would prohibit 
the purchase of a major weapon system as a commercial item 
unless such purchase is specifically authorized by Congress.
    A recent series of hearings held by the Subcommittee on 
AirLand of the Committee on Armed Services has highlighted 
continuing problems resulting from ``commercial item 
strategies'' pursued by the Department of Defense over the last 
decade. Under this approach, the Department has attempted to 
acquire major weapon systems under streamlined procedures 
intended for the purchase of commercial items. Such streamlined 
procedures do not require application of the Truth in 
Negotiations Act, the Cost Accounting Standards, and other 
requirements that are otherwise applicable to the acquisition 
of major weapon systems.
    The provision would ensure that acquisition procedures 
authorized for the acquisition of commercial items are used for 
true commercial items and not for the purchase of major weapon 
systems.

Report on service surcharges for purchases made for military 
        departments through other Department of Defense agencies (sec. 
        805)

    The committee recommends a provision that would require the 
Department of Defense to review and report on service charges 
imposed on one component of the Department for purchases made 
through another component of the Department.
    Section 854(d) of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375) 
required an annual report on service charges imposed on 
Department purchases by other federal agencies. The provision 
recommended by the committee would extend this requirement to 
service charges internal to the Department.

Review of defense acquisition structures (sec. 806)

    The committee recommends a provision that would require the 
Defense Acquisition University, acting under the direction of 
the Under Secretary of Defense for Acquisition, Technology and 
Logistics, to review and report on the capabilities and 
shortfalls of the acquisition organizations of the military 
departments and defense agencies. The review would place 
particular emphasis on steps needed to improve joint 
acquisition and acquisition outcomes.
    The review would specifically identify and make 
recommendations for addressing any gaps, shortfalls, or 
inadequacies in current acquisition organizations that could 
make it more difficult for these organizations to provide high-
quality systems to the warfighter on a timely and cost-
effective basis. The committee is particularly concerned that 
the military departments appear to have divested much of their 
system engineering capability over the last 15 years. In 
addition, the committee is concerned that the Department of 
Defense has become excessively reliant upon contracts awarded 
by other agencies for the acquisition of services and 
information technology, and does not appear to have developed 
the appropriate structures and competencies needed to 
adequately handle these responsibilities.
    At an April 14, 2004, hearing of the Subcommittee on 
AirLand of the Committee on Armed Services, the Acting 
Secretary of the Air Force testified that his department had 
gone too far in downsizing its acquisition organization and had 
removed critical checks and balances from the acquisition 
process. These problems are not unique to the Air Force. 
Because the problems in the Air Force acquisition organization 
appear to be the most severe, the provision would require an 
interim report on the Air Force acquisition organization not 
later than one year after the date of enactment of this Act.

              Subtitle B--Defense Industrial Base Matters


Clarification of exception from Buy American requirements for 
        procurement of perishable food for establishments outside the 
        United States (sec. 811)

    The committee recommends a provision that would clarify 
that the exception from Buy American requirements for 
procurement of perishable food for establishments outside the 
United States applies to procurements for an overseas defense 
facility, even if the procurements are not conducted by such a 
facility. This clarification is necessary because many food 
purchases for defense facilities are now made by prime vendors 
and other contractors, rather than being made by the facilities 
themselves.

Conditional waiver of domestic source or content requirements for 
        certain countries with reciprocal procurement agreements with 
        the United States (sec. 812)

    The committee recommends a provision that would authorize 
the Secretary of Defense to annually determine whether a 
foreign country with a reciprocal defense procurement 
Memorandum of Understanding or agreement with the United States 
has qualitatively or quantitatively increased defense exports 
to China. If it is determined that no qualitative or 
quantitative increase has occurred in the previous year, the 
Secretary may on an annual basis waive the application of 
statutory domestic source requirements and domestic content 
requirements, provided that: (1) the application of the 
requirements would impede the reciprocal procurement of defense 
items under a Memorandum of Understanding between the United 
States and another country; and (2) the other country does not 
discriminate against items produced in the United States to a 
greater degree than the United States discriminates against 
items produced in that country. The proposed waiver is 
identical to the standard previously adopted by the Congress 
for products covered by the domestic content restrictions in 
section 2534 of title 10, United States Code.

Consistency with United States obligations under trade agreements (sec. 
        813)

    The committee recommends a provision that would require 
that no provision of this Act, or any amendment made by this 
Act, shall apply if the Secretary of Defense, in consultation 
with the Secretary of Commerce, the U.S. Trade Representative, 
and the Secretary of State, determines that the application of 
the provision would be inconsistent with international trade 
agreements of the United States.

Identification of areas of research and development effort for purposes 
        of the Small Business Innovative Research program (sec. 814)

    The committee recommends a provision that would require the 
Secretary of Defense to use criteria and procedures, updated at 
least every four years, in the most current version of the 
three primary science and technology strategic plans to 
identify areas of research and development for the Small 
Business Innovative Research (SBIR) program. The three 
strategic plans are: the Joint Warfighting Science and 
Technology Plan, the Defense Technology Area Plan, and the 
Basic Research Plan. The provision would ensure participation 
in the SBIR research topic selection process by the immediate 
customers of defense research, the program managers, and 
program executive officers.
    The provision would also require the secretaries of the 
military departments to identify successful SBIR Phase II 
programs for acceleration into Phase III and rapid transition 
into programs of record. All programs identified for rapid 
transition would first require a written certification from the 
Secretary of Defense that successful completion of the 
transition is expected to meet high priority military 
requirements.
    The committee notes the importance of ensuring transition 
of successful SBIR projects into Department of Defense 
acquisition programs. Acquisition program managers across the 
Department of Defense should be encouraged to utilize the SBIR 
program in their planning, budgeting, and requirements process. 
The Department of Defense should take the steps necessary to 
improve data collection on transition of SBIR projects into 
Department of Defense acquisition programs, either directly or 
through integration into systems by the prime contractors. The 
committee believes the Department of Defense should encourage 
the National Research Council's ongoing study of the SBIR 
program to address the issue of technology transition and, to 
the extent possible, collect data on the rates of transition 
success for SBIR Phase II projects.

                 Subtitle C--Defense Contractor Matters


Requirements for defense contractors relating to certain former 
        Department of Defense officials (sec. 821)

    The committee recommends a provision that would require 
companies that receive defense contracts in excess of $10.0 
million (other than contracts for the procurement of commercial 
items) to report to the Department of Defense on an annual 
basis on former DOD officials who receive compensation from the 
contractor.
    At an April 14, 2005, hearing of the Subcommittee on 
AirLand of the Senate Committee on Armed Services, the U.S. 
Attorney for the Eastern District of Virginia testified that it 
has been difficult for him to identify potential ethics 
violations by former Department officials who go to work for 
defense contractors, because the Department's records in this 
area are inadequate. An April 2005 report of the Government 
Accountability Office (GAO) also concluded that monitoring of 
former Department employees who go to work for defense 
contractors is limited. The report states:

          Neither the Defense Contract Management Agency nor 
        the Defense Contract Audit Agency--the agencies 
        responsible for oversight of defense contractor's 
        operations--had assessed the adequacy of contractors' 
        practices of hiring current and former government 
        employees. An independent review of one of DOD's 
        largest contractors found that the company lacked the 
        management controls needed to ensure an effective 
        ethics program. Instead, the review found that the 
        company relied excessively on employees to self-monitor 
        their compliance with post-government employment 
        restrictions. The review concluded that by relying on 
        self-monitoring, the company increased the risk of non-
        compliance, due to either employees' willful misconduct 
        or failure to understand complex ethics rules.

    The provision should provide a more complete set of records 
for the Department of Defense, the GAO, and others to use in 
assessing the extent to which former Department employees who 
go to work for defense contractors are in compliance with 
applicable ethics requirements.

Review of certain contractor ethics matters (sec. 822)

    The committee recommends a provision that would require the 
Secretary of Defense, in consultation with the Director of the 
Office of Government Ethics (OGE) and the Administrator for 
Federal Procurement Policy, to review ethics issues raised by 
contractor employees performing functions closely associated 
with inherently governmental functions and other contractor 
employees performing functions historically performed by 
government employees in the federal workplace.
    On February 8, 2005, the Acting Director of the OGE 
requested that the Services Acquisition Reform Act (SARA) 
Advisory Committee conduct an evaluation of ``whether 
contractor employees should be subject to some type of ethics 
laws, rules or practices designed to prevent conflicts of 
interest and the appearance of conflicts of interest.'' The OGE 
letter explained:

          In recent years, executive branch ethics officials--
        particularly those from Department of Defense agencies 
        and certain civilian agencies--have identified various 
        issues and concerns that are a result of the growing 
        presence of contractors in the Federal workplace. The 
        issues predominantly relate to the fact that, unlike 
        Government employees, contractor personnel are not 
        subject to a comprehensive set of ethics rules, yet 
        they are often performing some of the Government's most 
        sensitive and critical work. This disparity is true 
        even when contractor personnel are working side-by-side 
        with Government employees in the Federal workplace or 
        on the battlefield, and, for all practical purposes, 
        may appear to the public to be employees. The problem 
        is most likely to occur when contractors perform work 
        that historically was considered a federal function, as 
        well as when contractors perform functions closely 
        associated with inherently governmental functions.
          Thus, it has been suggested that current laws, 
        regulations and practices may be inadequate to prevent 
        certain kinds of conflicts and ethics issues on the 
        part of contractors. For example, Government employees 
        are subject to various ``post employment'' restrictions 
        that prevent them from switching sides and representing 
        clients back to the government on a matter that they 
        worked on in the Government. In contrast, contractor 
        personnel--even those who performed the same or similar 
        work as their Federal counterparts--are not subject to 
        similar restrictions after they complete work on a 
        contract or obtain work with another contractor. In 
        addition, contractor personnel are not uniformly 
        subject to gift rules. For example, a contractor 
        performing an agency's IT function could accept a free 
        computer at a company-sponsored user conference or 
        meeting, unless such conduct was prohibited by his 
        company's internal policies.

    The committee supports the OGE request that the SARA 
Advisory Committee should look into these issues. In addition, 
the committee believes that Congress would benefit from the 
views of the Secretary, the Director of OGE, and the 
Administrator for Federal Procurement Policy on these issues. 
The options listed in the legislation for review by the 
Secretary are the same options proposed in the OGE letter.

Contract fraud risk assessment (sec. 823)

    The committee recommends a provision that would establish a 
risk assessment team to assess the vulnerability of Department 
of Defense contracts to fraud, waste, and abuse and require the 
Secretary of Defense to develop an action plan to address areas 
of vulnerability identified by the risk assessment team.
    Recent contracting scandals in the Department of Defense 
have lead the U.S. Attorney for the Eastern District of 
Virginia to establish a Procurement Fraud Working Group to 
promote early detection and prevention of procurement fraud 
through the use of law enforcement measures to increase 
prevention and prosecution of fraud-related cases. The 
committee strongly supports this effort. However, the committee 
believes that more proactive measures can be taken by the 
Department to prevent fraud. A combined approach of active 
prosecution and proactive Department policies and procedures 
directed at areas of potential vulnerability should be 
constructive in deterring improper contracting practices.

           Subtitle D--Defense Acquisition Workforce Matters


Availability of funds in Acquisition Workforce Training Fund for 
        defense acquisition workforce improvements (sec. 831)

    The committee recommends a provision that would amend 
section 37 of the Office of Federal Procurement Policy Act (41 
U.S.C. section 433) to allow the defense acquisition workforce 
to benefit from fees collected under inter-agency contracts.
    Section 1412 of the National Defense Authorization Act for 
Fiscal Year 2004 (Public Law 108-136) amended section 37 to 
establish an Acquisition Workforce Training Fund supporting the 
training of the acquisition workforce. The Department of 
Defense was excluded from contributing to, or benefitting from, 
this fund. The provision would delete this exclusion, enabling 
the defense acquisition workforce to benefit from the enhanced 
training opportunities made possible by the fund.

Limitation and reinvestment authority relating to reduction of the 
        defense acquisition and support workforce (sec. 832)

    The committee recommends a provision that would require a 
15 percent increase in the defense acquisition and support 
workforce during fiscal years 2006 through 2008. The Secretary 
of Defense would be given the flexibility under this provision 
to realign positions in the acquisition workforce to reinvest 
in higher priority acquisition positions. The provision would 
also require the Secretary to conduct a strategic assessment 
and develop a human resources strategic plan for the defense 
acquisition and support workforce.

Technical amendments relating to defense acquisition workforce 
        improvements (sec. 833)

    The committee recommends a provision that would make minor 
technical changes to the newly revised Defense Acquisition 
Workforce Improvement Act (DAWIA), chapter 87 of title 10, 
United States Code, enacted by section 812 of the Ronald W. 
Reagan National Defense Authorization Act for Fiscal Year 2005 
(Public Law 108-375). These technical changes are necessary to 
correct inaccuracies in numbering.
    The committee notes that DAWIA, as amended by section 812, 
specifies which military positions should be designated as 
critical acquisition positions, but gives the Secretary of 
Defense broad discretion to determine which civilian positions 
should be so designated. The committee expects the Secretary to 
use this discretion to ensure parallel treatment of military 
and civilian acquisition officials by designating civilian 
positions that have a level of responsibility comparable to the 
military positions that are designated by statute.

                       Subtitle E--Other Matters


Extension of contract goal for small disadvantaged business and certain 
        institutions of higher education (sec. 841)

    The committee recommends a provision that would extend 
section 2323 of title 10, United States Code, for three years. 
Section 2323 establishes a 5 percent goal for Department of 
Defense contracting with small disadvantaged businesses and 
certain institutions of higher education.

Codification and modification of limitation on modification of military 
        equipment within five years of retirement or disposal (sec. 
        842)

    The committee recommends a provision that would prohibit 
annual expenditures greater than $100,000 to modify an 
aircraft, weapon, ship, or other item of equipment that will be 
retired or otherwise disposed of within 5 years after 
completion of the modification. The secretary of a military 
department may waive this restriction if the waiver is 
necessary on the basis of national security, and he so notifies 
the congressional defense committees in writing. Safety 
modifications will not require waivers. This provision would 
codify and modify the requirements of section 8053 of the 
Department of Defense Appropriations Act for Fiscal Year 1998 
(Public Law 105-56) by establishing an annual $100,000 
threshold requirement for congressional notice and departmental 
waiver.

Clarification of rapid acquisition authority to respond to combat 
        emergencies (sec. 843)

    The committee recommends a provision that would amend 
section 806 of the Bob Stump National Defense Authorization Act 
for Fiscal Year 2003 (Public Law 107-314) to give the 
Department of Defense greater flexibility to address combat 
emergencies. In particular, the provision would: (1) give the 
Secretary of Defense authority to address deficiencies that 
have resulted in combat casualties, even if they are not 
``combat capability deficiencies'' and even if they have not 
resulted in fatalities; (2) permit the Secretary to delegate 
his authority under the section to the Deputy Secretary of 
Defense; and (3) clarify that the category of statutes and 
regulations that may be waived if necessary to prevent combat 
casualties include domestic source or content restrictions that 
would inhibit or impede the rapid acquisition of needed 
equipment.

Modification of authority to carry out certain prototype projects (sec. 
        844)

    The committee recommends a provision that would prohibit 
the Department of Defense from entering into a transaction 
(other than a contract, cooperative agreement, or grant) under 
the authority of section 845 of the National Defense 
Authorization Act for Fiscal Year 2004 (Public Law 108-136, 10 
U.S.C. 2371 note) for a prototype project that is expected to 
cost in excess of $100.0 million. The provision would require 
the approval of the senior procurement executive for an agency 
before this authority may be used to enter into a transaction 
that is expected to cost in excess of $20.0 million.
    Section 845 was intended to be used for limited prototype 
projects, particularly those in which the Department seeks to 
engage nontraditional defense contractors that may be averse to 
the requirements imposed by a standard Department procurement 
contract. For this reason, the statement of managers 
accompanying the Strom Thurmond National Defense Authorization 
Act for Fiscal Year 1999 (Public Law 105-261) states:

          The conferees continue to believe that the section 
        845 authority should only be used in the exceptional 
        cases where it can be clearly demonstrated that a 
        normal contract or grant will not allow sufficient 
        access to affordable technologies. The conferees are 
        especially concerned that such authority not be used to 
        circumvent the appropriate management controls in the 
        standard acquisition and budgeting process.

    Similarly, section 803 of the Floyd D. Spence National 
Defense Authorization Act for Fiscal Year 2001 (Public Law 106-
348) expressly limited the use of section 845 authority to 
transactions with companies that typically do not do business 
with the Department and to transactions in which costs are 
shared between the Department and the contractor.
    The committee does not believe that the $20.9 billion 
agreement entered between the Army and the Lead Systems 
Integrator for the Future Combat Systems program was consistent 
with the language and intent of these provisions. For this 
reason, the committee supports the Army's decision to 
restructure its agreement with the Lead Systems Integrator as a 
traditional procurement contract.
    The provision recommended by the committee would ensure 
that section 845 authority is used as intended in the future 
for limited prototype projects, not to circumvent the 
appropriate management controls in the standard acquisition and 
budgeting process.

Extension of certain authorities on contracting with employers of 
        persons with disabilities (sec. 845)

    The committee recommends a provision that would extend for 
one year section 853 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375). 
This provision would ensure the continuation and completion of 
existing contracts (including any options) awarded under the 
Javits-Wagner-O'Day Act (41 U.S.C 46 et seq.) and the Randolph-
Sheppard Act (20 U.S.C. 107 et seq.) programs for the operation 
of military troop dining facilities, military mess halls, and 
other similar military dining facilities.

                       Items of Special Interest


Commercial satellite bandwidth

    The Government Accountability Office (GAO) issued a report 
in December 2003, at the request of the Subcommittee on 
Readiness and Management Support of the Committee on Armed 
Services, entitled ``Satellite Communications: Strategic 
Approach Needed for DoD's Procurement of Commercial Satellite 
Bandwidth.'' Section 803 of the Ronald W. Reagan National 
Defense Authorization Act for Fiscal Year 2005 (Public Law 108-
375) required the Secretary of Defense to report to Congress on 
the Department's procurement strategy for commercial 
communications satellite services, and how the Department will 
address each of the recommendations contained in the GAO 
report. It is the committee's understanding that the 
Department's report will be delivered in June 2005.
    The committee directs the GAO to review the Department's 
report to determine the extent to which the recommendations 
made by GAO have been addressed by the Department and report to 
the committee on the results of this assessment within 25 days 
of the release of the Department's report.

Defense trade data

    Defense trade impacts several issues of importance to the 
Department of Defense, including maintaining a healthy supplier 
base, protecting critical technologies, ensuring access to a 
secure supply of defense-related items and services, managing 
technology transfers, and increasing interoperability with 
allies. A critical element to guide decision-makers on defense 
trade is access to comprehensive and reliable data. Due to 
concerns about the potential inadequacy of defense trade data, 
the committee directs the Government Accountability Office 
(GAO) to identify: (1) Defense trade data that is collected and 
reported by U.S. government agencies; (2) the limitations, if 
any, of that data; and (3) reasonable conclusions that can be 
made about current trends in defense trade based on that data.
    The committee is also concerned about the adequacy of data 
on arms sales to China. The European Union's recent proposal to 
lift its ban on lethal arms sales to China has generated a need 
for the GAO to update its June 1998 report, ``China: Military 
Imports from the United States and the European Union since the 
1989 Embargoes.'' Accordingly, the committee directs the GAO to 
report on arms sales to China over the past five years from the 
United States, European Union member countries, and other major 
arms exporting countries and determine any quantitative or 
qualitative trends in these sales.

Department of Defense anti-tamper program

    In the Senate Report accompanying S. 1050 (S. Rept. 108-46) 
to the National Defense Authorization Act for Fiscal Year 2004, 
the committee asked the Government Accountability Office (GAO) 
to review the Department of Defense's anti-tamper program, 
which is designed to protect critical U.S. technologies from 
risk of exploitation if they are exported, stolen, or lost 
during combat. The GAO reported to the committee in March 2004 
and made several recommendations for the Department to improve 
its anti-tamper program.
    The committee has been informed that the Department has 
made progress in implementing some of GAO's recommendations but 
has yet to implement others. Specifically, the Department has 
made progress in: (1) Developing a tool to help program 
managers identify critical technologies in their systems; (2) 
creating a technology database to include anti-tamper 
technologies and lessons learned; (3) sponsoring training for 
verification teams; (4) funding an independent study on anti-
tamper techniques and general effectiveness; and (5) creating 
more robust verification and validation teams to assist 
programs with anti-tamper implementation and best practices.
    The committee understands that the Department has yet to: 
(1) Implement a newly drafted policy on anti-tamper; (2) 
develop a central review mechanism for consistent 
identification of similar critical technologies across 
programs; and (3) fully establish a business case that 
determines whether the current organizational structure and 
resources are adequate to implement anti-tamper protection and, 
if not, determine what other actions are needed to mitigate the 
risk of compromising critical technologies.
    The committee directs the GAO to update its March 2004 
report to the committee and evaluate the actions the Department 
has taken to date and pursue any necessary follow-up work on 
the Department's anti-tamper program.

Industrial base issues

    In May 2004, the Department of Defense issued a report 
entitled: ``Adequacy of U.S. Beryllium Industrial Base to Meet 
Defense Requirements'', dated May 2004. This report clearly 
establishes the long-term national security need to ensure a 
domestic supply of beryllium to meet defense needs. The 
committee urges the Secretary of Defense to include within 
future years' budgets a level of funding consistent with the 
report's findings, which will lead to the development of a 
cooperative public-private partnership in the domestic 
beryllium industrial base, to include using funding under the 
Defense Production Act (50 U.S.C. App. section 2061 et seq.), 
or any other means that the Secretary determines as feasible.
    The committee also believes that the Department should 
review whether Defense Production Act funding should be used 
for (1) a silicon carbide armor manufacturing initiative and 
(2) supporting efficient and flexible manufacturing for 
producing current and future small arms weapons.

Implementation of authority to enter energy savings performance 
        contracts

    Section 1090 of the Ronald W. Reagan National Defense 
Authorization Act for Fiscal Year 2005 (Public Law 108-375) 
extended through the end of fiscal year 2006 the authority for 
the Department of Defense and other federal agencies to enter 
energy savings performance contracts pursuant to section 802 of 
the National Energy Policy Act (42 U.S.C. 8287a).
    When properly used, energy savings performance contracts 
enable the Department and other federal agencies to reduce 
energy and water consumption through infrastructure upgrades, 
such as new thermal storage systems, chillers, boilers, and 
lights, with no out-of-pocket cost at all to the government. In 
some cases, excess savings from energy improvements can even be 
used to offset other base operating support expenses.
    Section 802 of the National Energy Policy Act provides that 
an energy savings performance contract is a contract which 
provides for the contractor to implement energy savings 
measures in federal facilities ``in exchange for a share of any 
energy savings directly resulting from implementation of such 
measures during the term of the contract.'' The statute further 
provides that aggregate payments to the contractor ``may not 
exceed the amount that the agency would have paid for utilities 
without an energy savings performance contract.''
    In December 2004, the Government Accountability Office 
(GAO) reported that on six energy savings performance contracts 
it reviewed (including three contracts entered by the 
Department of the Navy), aggregate payments to the contractor 
exceeded energy cost savings during the term of the contract. 
In each case, the GAO found that the agencies made significant 
up-front payments to the contractor and then paid the 
contractor all or virtually all of the savings resulting from 
the contract. As a result, the total of the up-front payments 
and the regular payments during the term of the contract 
exceeded the amount of the savings.
    The committee is concerned by the appearance that the 
Department and other federal agencies may have routinely 
violated the requirements of section 802 of the National Energy 
Policy Act. Accordingly, the committee directs the Secretary of 
Defense to issue guidance to all the Department officials 
responsible for entering energy savings performance contracts 
reemphasizing the statutory requirement that the cost of an 
energy savings performance contract be paid entirely out of the 
energy savings resulting from the contract.

National technology and industrial base considerations

    The committee notes with concern a number of negative 
trends affecting the ability of the national technology and 
industrial base to meet the long-term national security 
challenges facing the United States. Over the past 20 years, 
the U.S. aerospace industrial base has declined from 75 
competing companies to the present ``Big Five.'' This is mainly 
a result of consolidations and mergers. More than 700,000 jobs 
in the aerospace and defense sector have been lost. The average 
age of defense industry workers is now over 50, while college 
enrollment in defense and aerospace-related engineering 
programs continues to decline.
    The integration of the commercial and military industrial 
bases, so called civil-military integration, has not been as 
successful as many advocates had hoped. While military systems 
continue to incorporate advanced commercial technology, many 
commercial systems have often proven difficult to adapt for 
military uses. Also, military technologies have been slow to 
develop commercial applications.
    The defense industry has found it difficult to use global 
sales to stabilize defense production. Cumbersome export 
control processes often overly restrict American companies from 
selling defense and dual-use products on the international 
market and discourage international cooperation on new 
aerospace and defense technologies.
    The committee recognizes that private sector manufacturers 
have a responsibility to investors and shareholders to be 
profitable and competitive. Industries supporting national 
defense must compete with other industries in the U.S. economy 
for investment capital. The Department of Defense should 
consider reviewing profit policies to accurately reflect risk 
and achieve better performance in defense contracting.
    The Department of Defense, industry, and the Congress must 
work together to ensure that the defense industry continues on 
the path of integration with the commercial sector, remains 
globally competitive, and attracts new generations of 
scientists, engineers, and other skilled workers. To that end, 
the committee urges the Department to work with industry to: 
(1) Maintain stable federal funding for core production 
capabilities and the critical Research Development Test and 
Evaluation infrastructure supporting defense programs; (2) 
maintain a stable annual science and technology budget at the 
Department consistent with the 3 percent goal established in 
legislation, to develop innovative technologies designed to 
meet future national security threats; (3) work with 
universities and the defense manufacturing community to develop 
a plan to train and build a skilled aerospace and defense 
workforce; (4) provide appropriate incentives to encourage the 
participation of small businesses and independent entrepreneurs 
from nondefense sectors in the Defense Industrial Base; (5) 
eliminate obstacles in the export licensing process that 
restrict international sales of defense and dual-use products 
without providing a corresponding national security benefit; 
(6) facilitate and encourage international joint programs with 
allies; and (7) promote greater interoperability among both 
defense and commercial defense systems, domestically and 
internationally.
      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

Subtitle A--Duties and Functions of Department of Defense Officers and 
                             Organizations

Directors of small business programs (sec. 901)
    The committee recommends a provision that would change the 
title of the Department of Defense's ``Office of Small and 
Disadvantaged Business Utilization'' to the ``Office of Small 
Business Programs'' to more clearly represent the office's span 
of authority. The name would not reflect a change in emphasis 
or support for disadvantaged businesses, but rather would 
clarify that the Office of Small Business Programs has the full 
range of authority over many other small business programs that 
presently are not reflected in the office's title. The new 
title would capture the overarching nature of the program, 
which encompasses the small disadvantaged business, service-
disabled veteran-owned small business, qualified historically 
underutilized business zone small business, women-owned small 
business, and the very small business programs.
Executive agent for acquisition of capabilities to defend the homeland 
        against missiles and other low-altitude aircraft (sec. 902)
    The committee recommends a provision that would direct the 
Secretary of Defense to establish an executive agent in the 
Department of Defense to manage the acquisition of capabilities 
necessary to defend the homeland against cruise missiles, 
unmanned aerial vehicles, and other low-altitude air threats. 
The provision would require the executive agent to coordinate 
with the Missile Defense Agency, the Joint Theater Air and 
Missile Defense Organization, U.S. Northern Command, U.S. 
Strategic Command, and other appropriate U.S. government 
agencies to ensure unity of effort and to avoid unnecessary 
duplication. Additionally, the Secretary is required to submit 
to the congressional defense committees, no later than 180 days 
after enactment of this Act, a plan for the defense of the 
United States against cruise missiles, unmanned aerial 
vehicles, and other low-altitude air threats. The Secretary 
shall coordinate this plan with other Department plans for the 
defense of the homeland against short- to medium-range 
ballistic missiles.
    The committee has been concerned about the increasing 
threat posed by cruise missiles, unmanned aerial vehicles, and 
other low-altitude threats against the United States. 
Accordingly, Congress directed the Secretary, in the National 
Defense Authorization Act for Fiscal Year 2004 (Public Law 108-
136), to provide a report on the U.S. military's ability to 
address these threats. The report entitled ``Cruise Missile 
Defense,'' submitted to the Congress in September 2004, 
addressed the challenges cruise missiles and other low-altitude 
threats pose to the air defense of the United States and noted 
that a comprehensive interagency approach was necessary to 
address the problem. The report further noted that while 
technology demonstration programs were underway in the 
Department for homeland airspace surveillance and defense, it 
would be necessary to establish acquisition programs with 
appropriate funding to acquire capabilities that were 
successfully demonstrated.
    The committee notes that it is the mission of NORAD, a 
component of U.S. Northern Command, to defend the United States 
against cruise missiles and other air threats. NORAD is 
currently developing a document under the U.S. Joint Staff's 
Joint Capabilities Integration and Development System to define 
the family-of-systems capabilities needed to defend the United 
States against low-altitude air threats. The committee 
understands, however, that while U.S. NORTHCOM is responsible 
for the defense of the homeland against these threats, it does 
not have the authority or funding to acquire needed 
capabilities.
    To enhance efforts to protect the homeland from cruise 
missiles, unmanned aerial vehicles, and other low-altitude air 
threats, the committee believes that there should be a single 
official within the Department responsible for coordinating, 
integrating, funding, and acquiring the surveillance and 
interceptor programs necessary for a cohesive defense of the 
homeland against these threats, and that there should be a plan 
for such defense. Additionally, these efforts to defend against 
low-altitude air threats should be coordinated with ongoing 
Missile Defense Agency efforts to address the short- to medium- 
range ballistic missile threat to the United States.

                      Subtitle B--Space Activities

Advisory committee on Department of Defense requirements for space 
        control (Sec. 911)
    The committee recommends a provision that would require the 
Secretary of Defense to establish an advisory committee on the 
current and future space control requirements of the United 
States, including the means of meeting those requirements.
    According to U.S. ``National Space Policy,'' last 
promulgated in September 1996, the United States will develop, 
operate, and maintain space control capabilities to ensure 
freedom of action in space and, if directed, deny such freedom 
of action to adversaries. In March 2005, senior administration 
officials testified before the Subcommittee on Strategic Forces 
of the Committee on Armed Services that this remains official 
U.S. policy. The space control mission area includes three 
important components: (1) space situational awareness; (2) 
defensive counterspace operations; and (3) offensive 
counterspace operations.
    The committee recognizes the growing reliance of the United 
States on space operations for its security. This reliance 
creates a potential vulnerability should adversaries develop 
capabilities for interdicting or destroying U.S. space assets 
or ground support infrastructure. The committee is concerned 
that given the potential threats to U.S. and allied space 
operations, the Department of Defense may not be allocating 
sufficient funding for space control when compared with other 
military space mission areas. The committee therefore believes 
an advisory committee of experts can provide a valuable 
assessment of current and future space control requirements, to 
include the adequacy of means for meeting those requirements.

                       Subtitle C--Other Matters

Acceptance of gifts and donations for Department of Defense regional 
        centers for security studies (sec. 921)
    The committee recommends a provision that would provide 
authority for the Secretary of Defense to accept gifts and 
donations on behalf of each of the Department of Defense 
regional centers for security studies. The provision would 
define the sources from which gifts and donations may be 
accepted, and criteria for acceptance of such gifts and 
donations. The provision would also establish an account on the 
books of the Treasury to be known as the Regional Centers for 
Security Studies Account into which monetary donations would be 
credited and made available for expenditure to defray the 
costs, or enhance the operation, of the regional centers.
    This provision would consolidate a set of laws into one 
provision that would provide uniform and consistent authority 
for the Secretary to accept gifts and donations on behalf of 
each of the Department regional centers for security studies.
Operational files of the Defense Intelligence Agency (sec. 922)
    The committee recommends a provision that would authorize 
the Director of the Defense Intelligence Agency (DIA), in 
coordination with the Director of National Intelligence, to 
exempt specifically defined operational files of certain 
elements of the DIA from disclosure under the Freedom of 
Information Act (5 U.S.C. 552). Judicial review would be 
available for allegations of improper withholding of material, 
subject to certain protections for classified material. All 
exempted operational files would be subject to a 10-year review 
to determine whether the protected files should be removed from 
the exempted operational files. This provision would provide 
DIA with protection of its most sensitive operational files. 
The committee notes that such protections are currently 
authorized for the Central Intelligence Agency, the National 
Security Agency, the National Reconnaissance Office, and the 
National Geospatial Intelligence Agency, under title VII of the 
National Security Act of 1947 (50 U.S.C. 431 et. seq.).
Prohibition on implementation of certain orders and guidance on 
        functions and duties of the General Counsel and the Judge 
        Advocate General of the Air Force (sec. 923)
    The committee recommends a provision that would prohibit 
the obligation or expenditure of funds authorized to be 
appropriated by the National Defense Authorization Act for 
Fiscal Year 2006 to implement or enforce either: (1) the order 
of the Secretary of the Air Force, dated May 15, 2003, and 
entitled ``Functions and Duties of the General Counsel and the 
Judge Advocate General;'' or (2) any internal operating 
instruction or memorandum issued by the General Counsel of the 
Department of the Air Force in reliance upon the Secretary's 
May 15, 2003, order.
    Since the enactment of the Goldwater-Nichols Department of 
Defense Reorganization Act of 1986 (Public Law 99-433), the 
Congress has strongly supported the existence of separate 
military and civilian staffs in the area of legal services and 
elsewhere. In section 574 of the Ronald W. Reagan National 
Defense Authorization Act for Fiscal Year 2005 (Public Law 108-
375), the Congress enacted explicit protection for the ability 
of the Judge Advocates General to give independent legal advice 
to the service secretaries and service chiefs, and for the 
ability of judge advocates to give such advice to commanders. 
In the statement of managers accompanying that Act, the 
conferees directed the Secretary of the Air Force to rescind 
the above order, which violated the principles of the 
Goldwater-Nichols Act by elevating the General Counsel to a 
position of supremacy over Air Force legal services. The 
conferees further directed the General Counsel to rescind any 
operating instructions or memoranda issued in reliance upon the 
Secretary's order. Neither of these has been done. Accordingly, 
the committee recommends the inclusion of the present 
provision.
                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

Transfer authority (sec. 1001)
    The committee recommends a provision that would provide for 
the transfer of funds authorized in division A of this Act for 
unforeseen higher priority needs in accordance with normal 
reprogramming procedures.
Incorporation of classified annex (sec. 1002)
    The committee recommends a provision that would incorporate 
the classified annex prepared by the Committee on Armed 
Services into the National Defense Authorization Act for Fiscal 
Year 2006.
United States contribution to NATO common-funded budgets in fiscal year 
        2006 (sec. 1003)
    The resolution of ratification for the Protocols to the 
North Atlantic Treaty of 1949 on the Accession of Poland, 
Hungary, and the Czech Republic contained a provision (section 
3(2)(c)(ii)) requiring a specific authorization for U.S. 
payments to the common-funded budgets of the North Atlantic 
Treaty Organization (NATO) for each fiscal year, beginning in 
fiscal year 1999, in which U.S. payments exceed the fiscal year 
1998 total. The committee recommends a provision to authorize 
the U.S. contribution to NATO common-funded budgets for fiscal 
year 2006, including the use of unexpended balances from prior 
years.
Reduction in certain authorizations due to savings relating to lower 
        inflation (sec. 1004)
    The Department of Defense assumed an inflation rate of 2.1 
percent in its fiscal year 2006 budget submission. However, 
according to the Senate Budget Committee's report (S.Prt 109-
18, p. 10) accompanying the Senate Concurrent Resolution of the 
Budget for FY 2006 (S.Con.Res. 18), the Congressional Budget 
Office's estimate of inflation is 0.5 percentage points lower 
than the administration's estimate for 2006. The savings 
resulting from lower-than-expected inflation for fiscal year 
2006 is $1.3 billion.
Authorization of supplemental appropriations for fiscal year 2005 (sec. 
        1005)
    This provision would authorize the supplemental 
appropriations for fiscal year 2005 enacted in the Emergency 
Supplemental Appropriations Act for Defense, the Global War on 
Terror, and Tsunami Relief, 2005 (Public Law 109-13, as adopted 
by the House of Representatives on May 5, 2005 and the Senate 
on May 10, 2005).
Increase in fiscal year 2005 transfer authority (sec. 1006)
    The committee recommends a provision that would increase 
fiscal year 2005 transfer authority from $3.5 billion to $6.185 
billion for transfers among accounts in division A of the 
Ronald W. Reagan National Defense Authorization Act for Fiscal 
Year 2005 (Public Law 108-375) for unforeseen higher priority 
needs in accordance with normal reprogramming procedures.
Monthly disbursement to States of state income tax voluntarily withheld 
        from retired or retained pay (sec. 1007)
    The committee recommends a provision that would amend 
section 1045(a) of title 10, United States Code, to authorize 
the service secretaries, pursuant to an agreement with any 
State, to disburse state income tax on a monthly, vice 
quarterly, basis that is collected from the monthly retired or 
retainer pay of any service member or former service member 
entitled to such pay who voluntarily requests such withholding.
Reestablishment of limitation on payment of facilities charges assessed 
        by Department of State (sec. 1008)
    The committee recommends a provision that would permit the 
Secretary of Defense to offset, on an annual basis, any fees 
charged to the Department of Defense by the Department of State 
for the maintenance, upgrade, or construction of U.S. 
diplomatic facilities by the total amount of the unreimbursed 
costs incurred by the Department of Defense for providing goods 
and services to the Department of State during that year.
    While the committee recognizes the need to upgrade and 
construct new diplomatic facilities, the committee opposes the 
use of the capital cost sharing program as a means of 
accomplishing this goal. The capital cost sharing program does 
not take into account the substantial amount of goods and 
services that the Department of Defense provides to the 
Department of State at no cost. The committee urges the 
administration to request sufficient funds in future year 
budget requests to provide for the costs of upgrading or 
constructing U.S. diplomatic facilities.

                Subtitle B--Naval Vessels and Shipyards

Transfer of battleship (sec. 1021)
    The committee recommends a provision that would authorize 
the Secretary of the Navy to strike the U.S.S. Wisconsin from 
the Naval Register, and transfer it by gift or otherwise, 
provided that the transferee locate the ship in the 
Commonwealth of Virginia. The provision would also stipulate 
that any costs associated with the transfer will be borne by 
the transferee, notwithstanding section 7306b(d) of title 10, 
United States Code.
    The committee notes that the U.S.S. Wisconsin is currently 
berthed in the Commonwealth of Virginia, where it is open to 
the general public for tours. The committee expects the 
Secretary to ensure that any group who accepts transfer will 
use it to promote the traditions of the Navy.
Conveyance of Navy Drydock, Jacksonville, Florida (sec. 1022)
    The committee recommends a provision that would authorize 
the Secretary of the Navy to convey all right, title, and 
interest of the United States in and to Navy Drydock No. AFDM-7 
(the Sustain) to Atlantic Marine Property Holding Company, 
located in Duval County, Florida.
    The provision would include the condition that the drydock 
remain at the facilities of the Atlantic Marine Property 
Holding Company until September 30, 2010. The provision would 
also require the Atlantic Marine Property Holding Company to 
pay an amount determined by the Secretary to be the fair market 
value of the drydock. The provision would also authorize the 
Secretary to require any additional terms and conditions 
determined appropriate to protect the interests of the United 
States.

                    Subtitle C--Counterdrug Matters

Use of unmanned aerial vehicles for United States border reconnaissance 
        (sec. 1031)
    The committee recommends a provision that would amend 
chapter 18 of title 10, United States Code, to authorize the 
Secretary of Defense to use Department of Defense personnel and 
equipment to conduct aerial reconnaissance within the area of 
responsibility of the U.S. Northern Command (NORTHCOM) with 
unmanned aerial vehicles (UAVs) in order to conduct certain 
operations. These operations would be to detect, monitor, and 
communicate on the movement of air and sea traffic along the 
U.S. border and on surface traffic that is outside of the 
geographic boundary of the United States or up to 25 miles 
inside the border of the United States, if that traffic was 
detected outside the boundary of the United States.
    The provision would specify that the purposes of this 
aerial reconnaissance would be to detect and monitor suspicious 
air, sea, and surface traffic; and to communicate information 
on such traffic to appropriate federal, state, and local law 
enforcement officials. The provision would make funds available 
to the Department of Defense for counterdrug activities 
available for the other activities authorized by this 
provision.
    The provision would stipulate that any limitations and 
restrictions under chapter 18, title 10, United States Code, 
would apply with respect to the use of personnel, equipment, 
and facilities. The provision would define the term 
``suspicious air, sea, and surface traffic'' as that which is 
suspected of illegal activities, including activities that 
would constitute a violation of any provision of law in section 
374(b)(4)(A) of title 10, United States Code. The provision 
would define state law enforcement officials as including 
authorized members of the National Guard, operating under 
authority of title 32, United States Code. The provision would 
require an annual report from the Secretary of Defense to the 
congressional defense committees that would describe the UAV 
operations conducted under the authority of this provision for 
the previous year.
    The committee understands that the Department of Homeland 
Security has initiated its own efforts to use UAVs to patrol 
the borders of the United States. The authorization for the 
Department of Defense to engage in similar activities should 
complement, not replace, these efforts by civil authorities to 
develop their own aerial reconnaissance capabilities. The 
committee urges the Department of Defense to provide technical 
and other assistance to the Department of Homeland Security so 
that the civil agencies with the primary responsibility for 
border enforcement will have the robust capabilities necessary 
to detect, track, investigate, and apprehend illicit cross-
border traffic.
    At a hearing of the Committee on Armed Services on March 
15, 2005, the Commander, NORTHCOM, who is the combatant 
commander charged with the defense of the continental United 
States, stated that he would investigate the potential for UAVs 
to support the homeland security mission along the borders. The 
authority provided by this provision would enable NORTHCOM to 
more actively participate in defense of U.S. borders, 
communicating information to trained military National 
Guardsman and other law enforcement officials who can actively 
engage those who might want to render harm to the United 
States.
Use of counterdrug funds for certain counterterrorism operations (sec. 
        1032)
    The committee recommends a provision that would authorize 
the Department of Defense to utilize funds available for drug 
interdiction and counterdrug activities in fiscal years 2006 
and 2007, as well as for the related detection, monitoring, and 
interdiction of terrorists, terrorism-related activities, and 
other related transnational threats on the borders and within 
the territorial waters of the United States. The committee 
believes that many narcotics trafficking activities are related 
to the financing of terrorist activities and may also include 
the illegal infiltration of criminal and terrorist elements 
into the United States. The committee believes that the 
Department of Defense can make significant contributions to the 
efforts of the Department of Homeland Security and related 
national, regional, and local law enforcement agencies to 
enhance the security of U.S. borders and territorial waters.
Support for counterdrug activities through bases of operation and 
        training facilities in Afghanistan (sec. 1033)
    The committee recommends a provision that would clarify 
section 1004 of the National Defense Authorization Act for 
Fiscal Year 1991 (Public Law 101-510), as amended, expressly 
authorizing the Secretary of Defense to permit the use of U.S. 
bases of operation or training facilities to facilitate the 
conduct of counterdrug activities in Afghanistan, including 
support for counterdrug related Afghan criminal justice 
activities. The committee understands that an effective Afghan 
legal structure is an essential aspect of a meaningful Afghan 
counterdrug strategy and supports the request of the Department 
of Defense to provide assistance in all aspects of counterdrug 
activities in Afghanistan, including detection, interdiction, 
and related criminal justice activities.

                    Subtitle D--Reports and Studies

Modification of frequency of submittal of Joint Warfighting Science and 
        Technology Plan (sec. 1041)
    The committee recommends a provision that would permit the 
Secretary of Defense to submit the Joint Warfighting Science 
and Technology Plan to Congress every two years, rather than 
annually. The comprehensive plan provides key guidance for 
development of responsive science and technology priorities and 
should be written to coincide with the Department of Defense's 
budgeting process and major decision-making cycle.
Review and assessment of Defense Base Act insurance (sec. 1042)
    The committee recommends a provision that would require the 
Secretary of Defense, in coordination with the Office of 
Management and Budget, the Department of Labor, the Department 
of State, and the United States Agency for International 
Development, to review current and future needs, options, and 
risks associated with Defense Base Act insurance.
    Congress enacted the Defense Base Act (DBA), 41 U.S.C. 
section 1651 et seq., in 1941 to provide workers' compensation 
to employees of government contractors working at U.S. defense 
bases overseas. The Government Accountability Office (GAO) has 
reported significant confusion among federal agencies and 
contractors over the application of DBA requirements in Iraq 
and other overseas locations.
    The Department of Defense recently initiated a one-year 
pilot contract for a single insurer to provide DBA insurance 
for all Army Corps of Engineers contractors performing 
overseas. While this pilot program appears to be a constructive 
step, the committee believes that further guidance may be 
required to ensure that DBA requirements are clearly understood 
and consistently applied in a manner that provides the greatest 
benefits to the federal government and its contractor employees 
overseas.
Comptroller General report on corrosion prevention and mitigation 
        programs of the Department of Defense (sec. 1043)
    The committee recommends a provision that would direct the 
Comptroller General of the United States to conduct a report on 
the effectiveness of the corrosion prevention and mitigation 
programs of the Department of Defense. The report shall include 
assessments of the following: (1) the Department's November 
2004 ``Long-Term Strategy to Reduce Corrosion and the Effects 
of Corrosion on the Military Equipment and Infrastructure of 
the Department of Defense''; (2) the adequacy of the funding 
requested in the budget proposal for fiscal year 2006 and the 
adequacy of the funding programmed in the associated Future 
Years Defense Program to support that strategy; (3) the 
adequacy and effectiveness of the Department's organizational 
structure in implementing that strategy; (4) the progress made 
to date in establishing common corrosion and corrosion-related 
metrics, definitions, and procedures throughout the Department; 
(5) the progress made to date in establishing a baseline 
estimate of the scope of the Department's corrosion problem; 
(6) the extent to which the Department's strategy has been 
revised to incorporate the recommendations of the October 2004 
Defense Science Board report on corrosion control; (7) the 
implementation of the Department's corrosion prevention and 
mitigation programs during fiscal year 2006; and (8) the 
Comptroller General's recommendations for addressing any 
shortfalls or areas of potential improvement identified in the 
course of preparing the report. The provision would require the 
Comptroller General to submit the report to the congressional 
defense committees not later than April 1, 2007.
    Section 1067 of the Bob Stump National Defense 
Authorization Act for Fiscal Year 2003 (Public Law 107-314) 
required the Comptroller General (1) to monitor the 
implementation of the Department's long term strategy to reduce 
corrosion and the effects of corrosion on military equipment 
and infrastructure and (2) to provide an assessment to Congress 
on the extent to which that strategy has been implemented. The 
Comptroller General's assessment was provided to the Congress 
in June 2004. The committee believes that a follow-on report by 
the Comptroller General on Defense Department corrosion program 
management will support the committee's oversight of corrosion 
awareness and prevention and the role of the Department's 
Office of Corrosion Policy and Oversight in departmental 
planning, programming, and budgeting. The committee believes 
that the Department should continue to work on efforts to 
realize the large potential savings available from the 
prevention and mitigation of the impact of corrosion. The 
committee is concerned that the current organizational 
structure of the Department's corrosion prevention and 
mitigation program, and the funding requested for that program, 
may not allow the Department to achieve potential savings in a 
timely manner.

                    Subtitle E--Technical Amendments

Technical amendments relating to certain provisions of environmental 
        defense laws (sec. 1051)
    The committee recommends a provision that would make 
technical and conforming changes to the definition of 
``military munitions'' in section 101 of title 10, United 
States Code, and to the cross-reference to ``unexploded 
ordnance'' in section 2703 of that title.

                   Subtitle F--Military Mail Matters

Safe delivery of mail in the military mail system (sec. 1061)
    The committee recommends a provision that would require the 
Secretary of Defense to promptly develop and implement a plan 
to ensure that the mail within the military mail system is safe 
for delivery. The plan would provide for the screening of all 
mail within the military mail system in order to detect the 
presence of biological, chemical or radiological weapons, 
agents or pathogens, or explosive devices before the mail is 
delivered to its intended recipients. The provision would 
require the Secretary to include in the fiscal year 2007 budget 
request and future years defense plan a description of the 
amounts required in each fiscal year to carry out the plan.
    The provision would also require the Secretary to submit a 
report on the plan to the congressional defense committees 
within 120 days of enactment of this Act. The report would 
include an assessment of any deficiencies in the military mail 
system with respect to safety; the plan developed pursuant to 
this provision; an estimate of the time and resources required 
to implement the plan; and a description of any delegation 
within the Department of Defense of responsibility for ensuring 
that mail within the military mail system is safe for delivery.
    The provision would define mail within the military mail 
system as mail that is posted through the Military Post Offices 
(including Army Post Offices and Fleet Post Offices), the 
Department mail centers, military Air Mail Terminals, and 
military Fleet Mail Centers; any mail or package posted in the 
United States that is addressed to an unspecified member of the 
Armed Forces; and any official mail posted by the Department. 
Mail that has been screened for safety for delivery by the U.S. 
Postal Service (USPS) is excepted.
    The committee believes that the Secretary must elevate the 
priority of ensuring the safety of the mail within the military 
mail system. Toward that end, the Department should develop 
uniform standards, concepts of operation, tactics, techniques, 
and procedures for screening against biological, chemical or 
radiological weapons, agents or pathogens, or explosive devices 
at mail centers. An example of the lack of standards or failure 
to comply with established standards was illustrated in the 
events surrounding the March 14, 2005, detection of anthrax in 
the Pentagon Remote Delivery Facility (RDF) and a later 
presumed detection of anthrax in a TRICARE mail sorting room. 
In both cases, established Department protocols were either not 
followed due to lack of knowledge or were ignored. Events at 
both the RDF and TRICARE facility highlight the lack of uniform 
standards and methods for ensuring that the Department mail is 
safe for delivery. It is apparent that to ensure uniformity and 
avoid errors, a standardized system must be developed that 
provides a reasonable level of capability and imposes uniform 
standards and methods. There are no current Department 
requirements for mail centers to operate collectively, either 
locally or regionally, to provide layers of defense to mitigate 
risk.
    The committee recognizes that there is a large number of 
military mail delivery nodes and mail centers, and that 
screening every piece of mail entering the system is a 
challenging task. However, most mail entering the Department 
system goes through centralized sorting and transfer points at 
which effective monitoring can and should be implemented. 
Because the USPS screens mail that it delivers, there is no 
need for the Department to screen mail heading from the 
Department into the USPS, or mail received through and already 
screened by the USPS.
    Elsewhere in this report, the committee recommends 
authorizing an additional $12.0 million in Procurement and 
Research, Development, Test and Evaluation funding in fiscal 
year 2006 for military mail screening system development and 
demonstration, and procurement of military mail screening 
equipment and augmented laboratory testing capabilities. The 
committee recommends these increases to ensure that resources 
are available to begin implementation of the plan as soon as 
possible.
Delivery of mail addressed to any service member (sec. 1062)
    The committee recommends a provision that would require the 
Secretary of Defense to carry out a program through which mail 
and packages addressed to any American service member would be 
delivered to deployed members of the Armed Forces overseas. The 
provision would require the Secretary to designate appropriate 
overseas addresses to serve as hubs for the receipt of such 
mail, and would also require that such mail be screened to 
detect the presence of biological, chemical or radiological 
weapons, agents or pathogens, or explosive devices before it is 
delivered to members of the Armed Forces. The provision would 
require the Secretary to ensure that such mail and packages are 
widely distributed on an equitable basis, and that information 
is provided to the public regarding this program.
    The committee's intent is to establish a program such as 
that originally established in 1967. The Department of Defense 
worked cooperatively to facilitate the delivery of mail 
addressed to any service member until October 30, 2001, when, 
in response to the anthrax attack involving U.S. postal 
offices, mail to unspecified service members was suspended.
    The committee believes that the generosity of the American 
people in supporting American service members overseas should 
be encouraged by the Department. The committee acknowledges the 
growth in access to electronic communications and the 
popularity of such communications with American service 
members, but believes that there is no substitute for a letter 
or package from home, especially for a service member who may 
not otherwise receive such communication.
    The committee is mindful of the importance of ensuring the 
safe delivery of mail in the military mail system. Elsewhere in 
this report, the committee recommends a provision that would 
require the Secretary to promptly develop and implement a plan 
to ensure that all mail within the military mail system, 
including mail and packages addressed to unspecified members of 
the Armed Forces, is screened for the presence of biological, 
chemical or radiological weapons, agents or pathogens, or 
explosive devices to ensure that it is safe for delivery.

                       Subtitle G--Other Matters

Policy on role of military medical and behavioral science personnel in 
        interrogation of detainees (sec. 1071)
    The committee recommends a provision that would require the 
Secretary of Defense to establish a uniform policy on the role 
of military medical and behavioral science personnel in 
interrogation of persons detained by the Armed Forces. The 
committee expects that in the development of the policy, the 
Department of Defense will seek the views of medical and 
behavioral health experts outside of the Department, including 
medical and behavioral science personnel, physicians, nurses, 
and psychologists; and scholars in medical ethics--scholars 
with civilian backgrounds.
    The committee is aware that the Assistant Secretary of 
Defense (Health Affairs) has directed a policy review of the 
role of medical personnel in detainee operations, including 
humane medical treatment of detainees, reporting of alleged 
abuses, and maintenance of medical records. In addition, the 
committee is aware that the Surgeon General of the Army has 
directed an assessment of the role of medical personnel in 
detainee operations in Iraq and Afghanistan. The committee is 
concerned that the February 2005 report of Vice Admiral Albert 
T. Church, III, on Department of Defense detention operations, 
found that ``since neither the Geneva Conventions nor U. S. 
military medical doctrine specifically address the issue of 
behavioral science personnel assisting interrogators in 
developing interrogation strategies, this practice has evolved 
in an ad hoc manner.'' The committee concurs with the need for 
clarity on the role and status of medical personnel in 
interrogations, and believes that the Secretary should promptly 
address this issue.
Clarification of authority to issue security regulations and orders 
        under Internal Security Act of 1950 (sec. 1072)
    The committee recommends a provision that would amend 
section 21(a) of the Internal Security Act of 1950 (Public Law 
81-831; 50 U.S.C. 797(a)) to authorize delegation of the 
authority to issue security regulations to civilian or military 
directors. The statute presently authorizes the Secretary of 
Defense to issue such regulations, as well as any military 
commander designated by the Secretary. The growth of defense 
agencies and field activities in the past 50 years has resulted 
in more installations and entities being headed by civilians or 
by military personnel who are not ``commanders'' in the formal 
sense. The provision would update the statute to recognize this 
change in organizational structure and enable the Secretary to 
designate either military commanders or military or civilian 
directors, as appropriate, to issue these essential 
regulations.

                       Items of Special Interest

Strategic seaports
    In a statement for a hearing of the Subcommittee on 
Seapower of the Committee on Armed Services, the Commander, 
Transportation Command (TRANSCOM), stated that 95 percent of 
all material for Operation Iraqi Freedom was shipped by sea. 
This high volume of shipment by sea is consistent with past 
conflicts. The Mobility Capabilities Study has not yet been 
received by Congress, but is expected to address the role of 
TRANSCOM as the distribution process owner for the Department. 
A vital part of this distribution is the movement of goods and 
materials to ports of embarkation. The committee is concerned 
that certain ongoing processes within the Department may change 
the current requirements at these strategic seaports. The 
Quadrennial Defense Review could lead to changes in force 
structure. Both the Integrated Global Presence and Basing 
Strategy and the Base Realignment and Closure process could 
realign where personnel and equipment will be located.
    The committee directs the Secretary of Defense to deliver a 
report to the congressional defense committees by September 30, 
2006, that includes an examination of projected requirements 
for throughput at strategic seaports, and any improvements 
required for rail facilities and port facilities and any other 
infrastructure necessary to achieve the required throughput.
       TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL POLICY

Extension of authority for voluntary separations in reductions in force 
        (sec. 1101)
    The committee recommends a provision that would extend 
until September 30, 2010, the authorities contained in section 
3502(f) of title 5, United States Code, which govern the order 
of retention of civilian personnel in a reduction in force. 
This extension is necessary as the Department of Defense 
prepares for 2005 Base Realignment and Closure.
Compensatory time off for certain nonappropriated fund employees (sec. 
        1102)
    The committee recommends a provision that would authorize 
the Secretary of Defense to grant nonappropriated fund 
employees time off instead of overtime pay for overtime work, 
if requested by the employee.
    The provision makes available to nonappropriated fund 
employees the same compensatory time off allowance available to 
other employees as contained in section 5543 of title 5, United 
States Code.
Extension of authority to pay severance payments in lump sums (sec. 
        1103)
    The committee recommends a provision that would extend 
until October 1, 2010, the authority contained in section 
5595(i)(4) of title 5, United States Code, for the Secretary of 
Defense or the secretary of the military department concerned 
to pay the entire amount of an employee's severance pay in one 
lump sum.
    This provision is necessary to support force shaping and as 
the Department of Defense prepares for 2005 Base Realignment 
and Closure.
Continuation of Federal Employee Health Benefits program eligibility 
        (sec. 1104)
    The committee recommends a provision that would extend the 
requirement for the Department of Defense to pay the employer 
portion of Federal Employee Health Benefit premiums for 18 
months for employees involuntarily separated, or voluntarily 
separated from a surplus position, due to a reduction in force. 
This extension is necessary as the Department prepares for 2005 
Base Realignment and Closure.
Permanent and enhanced authority for Science, Mathematics, and Research 
        for Transformation (SMART) defense education program (sec. 
        1105)
    The committee recommends a provision that would modify the 
Science, Mathematics and Research for Transformation (SMART) 
pilot program that was initiated in the Ronald W. Reagan 
National Defense Authorization Act for Fiscal Year 2005 (Public 
Law 108-375). The provision would make the program permanent 
and would provide additional authorities to the Department of 
Defense for implementation. Under the provision, the Department 
could provide fellowship as well as scholarship assistance to 
individuals pursuing technical degrees critical to national 
security. The provision would allow the Department to award 
financial assistance directly to an individual or to an 
administering entity, reducing the management burden on the 
Department. The provision would modify Section 1105 of the 
Ronald W. Reagan National Defense Authorization Act for Fiscal 
Year 2005 (Public Law 108-375) to permit the Department to hire 
individuals participating in the program, which would expedite 
security clearances and other personnel processes.
    The provision modifies the service requirement to include 
post-graduation time served in an interim position for up to 
two years as part of the individual's payback to the 
Department. Finally, the provision clarifies commitments of all 
program participants to repay the Department for financial 
assistance, if they voluntarily choose to drop out of the 
program, if they fail to maintain satisfactory academic 
progress, or if they are dropped from the program due to 
misconduct.
    The committee established the SMART pilot scholarship 
program in fiscal year 2005 to address growing deficiencies in 
the numbers and types of scientists and engineers comprising 
our national security workforce. The committee commends the 
Department for quickly implementing the pilot program and notes 
that, in just the first year, hundreds of qualified individuals 
submitted applications for approximately 30 available 
scholarships. A permanent SMART program would maintain the 
committee's original goal of providing targeted educational 
assistance to individuals seeking a baccalaureate or an 
advanced degree in science and engineering disciplines deemed 
critical to national security by the Department.
    The committee continues to believe that future U.S. 
technical dominance relies on a rapid, well-managed infusion of 
defense science and engineering personnel who are experts in 
21st century defense-related critical skills. The committee 
authorizes the Department's budget request of $10.3 million for 
the SMART defense education program for fiscal year 2006, which 
would more than double the number of scholarships and 
fellowships available for the next school year.

                       Items of Special Interest


Comptroller General report on policy concerning Department of Defense 
        civilians deployed in support of contingency operations

    The committee understands that the Department of Defense is 
increasingly reliant on civilian employees who volunteer to 
serve in a theater of operation in support of military 
contingencies. The committee recognizes that guidelines and 
procedures have been established by the Department of Defense, 
applicable to civilians, covering roles, responsibilities, pay, 
compensation, and support in the event of injury or death. The 
committee believes that a review of current policy, procedures, 
and guidelines regarding civilian employees serving in support 
of contingency operations is warranted.
    The committee directs the Comptroller General to conduct a 
review of Department policies concerning deployment of civilian 
employees in support of contingency operations. The review 
should include:
          (1) an examination of compliance by Department of 
        Defense components with department-wide policies on 
        deployment of civilian employees to Iraq and 
        Afghanistan;
          (2) examination of lessons learned from those 
        deployments regarding deployment of Department civilian 
        personnel;
          (3) a comparison of mission, roles, and compensation 
        for Department civilian personnel with those for 
        military personnel; and
          (4) such recommendations as the Comptroller General 
        concludes are appropriate regarding policies and 
        benefits for Department civilian employees serving in 
        support of contingency operations.
    The committee directs the Comptroller General to deliver 
the required review to the congressional defense committees by 
March 1, 2006.
              TITLE XII--MATTERS RELATING TO OTHER NATIONS

Commanders' Emergency Response Program (sec. 1201)
    The committee recommends a provision that would authorize 
the Secretary of Defense to use up to $500.0 million in 
operations and maintenance funding in each of fiscal years 2006 
and 2007 for the Commanders' Emergency Response Program (CERP), 
under which commanders in Iraq receive funds for use in small 
humanitarian and reconstruction projects in their areas of 
responsibility, and for a similar program in Afghanistan. The 
provision would require the Secretary to provide quarterly 
reports to the congressional defense committees on the source, 
allocation, and use of funds pursuant to this authority. The 
committee expects the quarterly reports to include detailed 
information regarding the amount of funds spent, the recipients 
of the funds, and the specific purposes for which the funds 
were used.
    The committee directs that funds made available pursuant to 
this authority be used in a manner consistent with the CERP 
guidance that the Under Secretary of Defense (Comptroller) 
issued in a memorandum dated February 18, 2005. This guidance 
directs that CERP funds be used to assist the Iraqi and Afghan 
people in the following representative areas: water and 
sanitation; food production and distribution; agriculture; 
electricity; healthcare; education; telecommunications; 
economic, financial and management improvements; 
transportation; irrigation; rule of law and governance; civic 
cleanup activities; civic support vehicles; repair of civic and 
cultural facilities; and other urgent humanitarian or 
reconstruction projects.
    The committee notes that the Ronald W. Reagan National 
Defense Authorization Act for Fiscal Year 2005 (Public Law 108-
375) required the Secretary to submit a report within 120 days 
of enactment to the Committees on Armed Services of the Senate 
and the House of Representatives identifying all provisions of 
law that, if not waived, would prohibit, restrict, limit, or 
otherwise constrain implementation of the CERP program in Iraq 
and Afghanistan. The committee has not yet received that report 
and directs that it be provided expeditiously.
Enhancement and expansion of authority to provide humanitarian and 
        civic assistance (sec. 1202)
    The committee recommends a provision that would expand the 
current authority of the Secretary of Defense to provide 
humanitarian and civic assistance in conjunction with military 
operations to include: (1) an increase to $10.0 million in 
funding that may be used to conduct detection and clearance of 
landmines and other unexploded remnants of war; (2) authority 
to restore or develop the capacity of the host nation's 
information and communications infrastructure as necessary to 
provide basic information and communications services; and (3) 
authority to provide training, education, and technical 
assistance related to medical, dental, and veterinary care that 
is provided as part of humanitarian and civic assistance.
    The provision would acknowledge that restoration or 
development of basic information and communications capacity 
should be considered a fundamental element of humanitarian and 
civic assistance, and that a functioning information and 
communications infrastructure is vital to the successful 
conduct of humanitarian missions. The provision would also 
acknowledge that medical, dental, and veterinary care provided 
to the host nation can be sustained and enhanced by the 
provision of related education, training, and technical 
assistance. Finally, the provision would recognize that the 
cost of equipment for the detection and clearance of landmines 
continues to increase, and that funding to support such 
activities must be periodically adjusted.
Modification of geographic limitation on payment of personnel expenses 
        under bilateral or regional cooperation programs (sec. 1203)
    The committee recommends a provision that would provide 
flexibility to combatant commanders to pay expenses for 
personnel from developing countries, even if the personnel are 
from a developing country that is not located within a 
combatant commander's area of responsibility.
Payment of travel expenses of coalition liaison officers (sec. 1204)
    The committee recommends a provision that would amend 
section 1051a, title 10, United States Code, to authorize the 
Secretary of Defense to pay the travel expenses of certain 
foreign military officers assigned to U.S. combatant commands, 
component commands, or subordinate operational commands, when 
that travel is directed by the U.S. commander of such command 
in support of U.S. national interests. Additionally, the 
provision would extend the authority to provide administrative 
and fiscal support to coalition liaison officers through fiscal 
year 2009.
    The committee acknowledges that contemporary military 
operations are almost always conducted in conjunction with 
allied nations and that foreign military officers increasingly 
play critical planning and operational roles within U.S. 
military headquarters. The committee believes that providing 
reasonable fiscal support to certain foreign military officers 
to facilitate U.S. and coalition military operations is 
warranted and appropriate.
  TITLE XIII--COOPERATIVE THREAT REDUCTION WITH STATES OF THE FORMER 
                              SOVIET UNION

Specification of Cooperative Threat Reduction programs and funds (sec. 
        1301)
    The committee recommends a provision that would define the 
Cooperative Threat Reduction (CTR) programs; define the funds 
as those authorized to be appropriated in section 301 of this 
Act; and authorize the CTR funds to be available for obligation 
for three fiscal years.

Funding allocations (sec. 1302)

    The committee recommends a provision that would authorize 
$415.5 million, the amount included in the budget request, for 
the Cooperative Threat Reduction (CTR) program. This provision 
would also authorize specific amounts for each CTR program 
element; require notification to Congress 30 days before the 
Secretary of Defense obligates and expends fiscal year 2006 
funds for a purpose other than the purposes described in each 
of the CTR program elements; and provide limited authority to 
exceed the amount authorized for a specific CTR program 
element.

Permanent waiver of restrictions on use of funds for threat reduction 
        in states of the former Soviet Union (sec. 1303)

    The committee recommends a provision that would make 
permanent the President's authority to waive, on an annual 
basis, restrictions and eligibility requirements under the 
Cooperative Threat Reduction Act of 1993 (22 U.S.C. 5952) and 
section 502 of the Freedom Support Act (22 U.S.C. 5852). The 
President's current authority to waive these restrictions and 
requirements will expire on September 30, 2005. This provision 
would retain the requirements under the previous authority 
that, for any year in which a waiver is exercised, the 
President must submit a written certification to Congress that 
the waiver is important to the national security interests of 
the United States and a report. The report should explain: why 
a state does not satisfy the eligibility requirements; why a 
waiver is in the U.S. national security interests; and what the 
President's strategy is for promoting the commitment of that 
state to meeting the eligibility requirements for Cooperative 
Threat Reduction and Freedom Support Act assistance.

Modification of authority to use Cooperative Threat Reduction funds 
        outside the former Soviet Union (sec. 1304)

    The committee recommends a provision that would modify the 
authority of the Department of Defense to use Cooperative 
Threat Reduction (CTR) funds outside the former Soviet Union by 
changing the existing requirement for a presidential 
determination and certification to a requirement for a 
determination and certification made by the Secretary of 
Defense, with the concurrence of the Secretary of State. The 
provision would require the Secretary of Defense to notify the 
congressional defense committees not later than 15 days before 
obligating CTR funds pursuant to this authority.
    The committee recommends this provision in order to 
increase the flexibility of the Department of Defense to 
respond quickly to an urgent new requirement for using CTR 
funds in an important nonproliferation project or activity 
outside of the former Soviet Union.
    The committee believes that CTR funds should continue to be 
used primarily for the purpose of reducing weapons of mass 
destruction and proliferation threats from the states of the 
former Soviet Union. However, the committee supports the use of 
CTR funds outside of the former Soviet Union in order to 
address a specific, unanticipated and urgent threat, such as 
the recent use of this authority to assist in the destruction 
of newly discovered chemical weapons stocks in Albania. The 
committee expects that should a project or activity initiated 
pursuant to this authority require additional funding in future 
years, that specific project or activity would be budgeted for 
and would appear as a separate CTR program element in the 
President's budget request for future fiscal years.
    The committee is supportive of the President's 
Proliferation Security Initiative (PSI) and urges the 
Department to establish a separate funding line for that 
purpose, should it be required. The committee does not believe 
that PSI activities in states outside of the former Soviet 
Union should be funded with CTR funds as a routine matter.

Repeal of requirement for annual Comptroller General assessment of 
        annual Department of Defense report on 
        activities and assistance under Cooperative Threat Reduction 
        programs (sec. 1305)

    The committee recommends a provision that would repeal the 
requirement for the Comptroller General to provide to Congress 
an assessment of the annual Department of Defense report to 
Congress on the Cooperative Threat Reduction (CTR) programs. 
The committee has been satisfied with the thoroughness of the 
Department annual reports on the CTR programs over the past 
several years. The annual assessments from the Comptroller 
General have confirmed that the Department annual reports have 
been comprehensive and accurate, and have met the requirements 
of the legislation mandating their submission to Congress. 
Therefore, the committee believes there is no reason to 
maintain the requirement for a Comptroller General assessment 
of the annual Department reports to Congress on the CTR 
programs.
  TITLE XIV--AUTHORIZATION FOR SUPPLEMENTAL APPROPRIATIONS FOR IRAQ, 
              AFGHANISTAN, AND THE GLOBAL WAR ON TERRORISM

Overview
    The committee recommends a supplemental authorization of 
$50.0 billion in funds to be appropriated for fiscal year 2006 
to support operations in Iraq, Afghanistan, and the global war 
on terrorism. The committee notes that H. Con. Res. 95 of the 
109th Congress, establishing the congressional budget for the 
Government for fiscal year 2006 and setting forth budgetary 
levels for fiscal year 2005 and 2007 through 2010, included 
$50.0 billion for fiscal year 2006 in anticipation of 
additional needs in Iraq, Afghanistan, and the global war on 
terrorism. Providing authorization of these funds in advance of 
need ensures our troops in the field will be given adequate 
resources to meet ongoing demands of current military 
operations and any emergent needs of the ongoing global war on 
terrorism.
Summary table of authorization
    The following table summarizes authorizations included in 
this title for ongoing operations in Iraq, Afghanistan, and the 
global war on terrorism for fiscal year 2006.


Purpose (sec. 1401)
    This section would establish this title as an authorization 
of appropriations for the Department of Defense for fiscal year 
2006, in addition to the amounts otherwise authorized in this 
Act $50.0 billion to be available for activities in support of 
operations in Iraq, Afghanistan, and the global war on 
terrorism.
Designation as emergency amounts (sec. 1402)
    This section designates the authorization of appropriations 
in this title as an emergency requirement in accordance with H. 
Con. Res. 95 of the 109th Congress.
Army procurement (sec. 1403)
    This section would authorize an additional $369.8 million 
for fiscal year 2006 Army procurement.
    Of these funds, the committee recommends $120.0 million be 
provided to acquire additional up armored high (UAH) mobility 
multipurpose wheeled vehicles, wheeled vehicle add-on armor 
protection, or M1151/M1152 high mobility multipurpose wheeled 
vehicles (HMMWV), if the requirement for such vehicles is 
identified by a combatant commander and validated by the 
Secretary of the Army. The committee understands that the 
M1151/M1152 HMMWV is an improved version of the standard HMMWV. 
The M1151/M1152 HMMWV has a heavier chassis and improved engine 
that enable the use of removable add-on armor protection that 
provides the Army greater flexibility when deploying units. 
M1151/M1152 provides the same level of protection as an UAH.
    Providing armored vehicles to our Armed Forces deployed in 
contingency operations has been an issue of great concern to 
this committee for the past two years. While the committee 
acknowledges that there were problems in rapidly supplying UAH 
and add-on armor for Army and Marine Corps tactical wheeled 
vehicles when the insurgency began in Iraq in the fall of 2003, 
the committee also commends the Department of Defense for 
taking aggressive steps to satisfy the evolving force 
protection requirements of U.S. Central Command (CENTCOM).
    The Congress also responded quickly to the force protection 
requirements of CENTCOM. From fiscal year 2003 to fiscal year 
2005, the Congress added $1.9 billion to the President's 
requests to increase UAH production and almost $1.6 billion to 
increase the production of add-on armor protection for tactical 
wheeled vehicles for the Army and Marine Corps. In the 
Emergency Supplemental Appropriations Act for Defense, the 
Global War on Terror, and Tsunami Relief Act, 2005 (H.R. 1268, 
as adopted by the House of Representatives on May 5, 2005 and 
the Senate on May 10, 2005), the Congress added $150.0 million 
for up-armored HMMWVs and $610.9 million for add-on armor for 
tactical wheeled vehicles. With this funding, all current 
CENTCOM UAH and add-on armor requirements will be addressed.
    The committee understands that UAH and add-on armor 
requirements are continuously under review. If the Commander, 
U.S. CENTCOM should submit an urgent needs statement for 
additional UAH or add-on armor, the committee believes that the 
Secretary should have funds immediately available to address 
that requirement. The committee recommends an increase of 
$120.0 million in Other Procurement, Army, to provide the 
Secretary with the flexibility to immediately address any 
additional CENTCOM requirements for armored vehicles or add-on 
armor.
Navy and Marine Corps procurement (sec. 1404)
    This section would authorize an additional $573.8 million 
for fiscal year 2006 Navy and Marine Corps procurement.
Air Force procurement (sec. 1405)
    This section would authorize an additional $156.6 million 
for fiscal year 2006 Air Force procurement.
Operation and Maintenance (sec. 1406)
    This section would authorize an additional $32.0 billion 
for fiscal year 2006 operation and maintenance programs.
    Of the additional $22.1 billion authorized for fiscal year 
2006 in Operation and Maintenance, Army, the committee 
recommends that $200.0 million may be utilized to obtain 
linguistic support for operations in Iraq and Afghanistan.
    The committee is aware of an urgent need for additional 
linguistic support to military operations in Iraq and 
Afghanistan. The Commander, U.S. Central Command (CENTCOM), has 
identified this shortfall in communications with the Department 
of Defense and in testimony before the committee. The committee 
urges the Department of the Army to address this urgent 
requirement of the Commander, CENTCOM.
Defense Health Program (sec. 1407)
    This section would authorize an additional $977.8 million 
to the Defense Health Program for operation and maintenance for 
fiscal year 2006.
Military personnel (sec. 1408)
    This section would authorize an additional $11.6 billion 
for fiscal year 2006 to the Department of Defense for military 
personnel. As described elsewhere in this report, some of this 
funding provides for the additional cost of increased Army and 
Marine Corps personnel end strength.
Iraq Freedom Fund (sec. 1409)
    This section would authorize an additional $4.3 billion for 
an Iraqi Freedom Fund to be available until expended for 
activities in support of operations in Iraq, Afghanistan, and 
the global war on terrorism. These funds would be available for 
transfer to other accounts in this title, subject to a 5 day 
prior notification to the congressional defense committees.
    Of the amounts provided in this section, not less than 
$500.0 million is dedicated to the support of activities of the 
Joint Improvised Explosive Device Task Force. The funding 
provided for the Joint Improvised Explosive Device Task Force 
would ensure the rapid development and deployment of 
intelligence; tactics, techniques and procedures (TTP); 
training; and the associated procurement of equipment to 
counter IEDs in Iraq and Afghanistan.
    The budget request included no funding for the procurement 
of Improvised Explosive Device (IED) countermeasures. The 
committee has closely monitored the efforts of the Department 
of Defense to provide force protection capabilities to our 
soldiers and Marines in Iraq and Afghanistan for countering the 
threat posed by IEDs. In October 2003, the Chief of Staff of 
the Army directed the formation of an IED task force to 
orchestrate Army efforts to eliminate IED threats, recommend 
best available responses, and direct the development and 
fielding of selected solutions. In June 2004, the Commander, 
U.S. Central Command (CENTCOM) asked the Secretary of Defense 
for an integrated Department response to the IED threat. On 
July 12, 2004, the Deputy Secretary of Defense approved the 
establishment of an Army-led Joint IED Defeat Integrated 
Process Team (IPT), which was organized around the existing 
Army IED Task Force, to immediately focus all counter-IED 
efforts within the Department.
    The committee understands that the IPT identifies, 
prioritizes, and resources materiel and non-materiel solutions 
to the IED threat in a coordinated response across the services 
and the Department. The IPT, augmented by Joint Service staff, 
performs the counter-IED operational mission as the Joint IED 
Defeat Task Force (TF).
    The committee understands that the Joint IED TF has 
expended much effort and funding to provide electronic 
countermeasure systems for the protection of U.S. convoys in 
Iraq and is working to procure thousands of additional jamming 
devices. The committee also understands that the procurement of 
current technology must be supplemented by the development of 
new counter-IED devices and employment of innovative 
techniques, tactics and procedures. The committee believes that 
the Joint IED TF should have dedicated funding to facilitate 
the rapid development of new technology and the rapid 
deployment of current IED countermeasures.
Transfer authority (sec. 1410)
    This section would provide fiscal year 2006 transfer 
authority of $2.5 billion to the Department of Defense for the 
authorizations contained in this title.

                              Budget Items

UH-60 Black Hawk helicopters
    The budget request included $562.0 million in Aircraft 
Procurement, Army (APA), for 41 UH-60 Black Hawk helicopters, 
including $61.0 million for six UH-60 Black Hack helicopters 
lost in Operation Iraqi Freedom (OIF) and Operation Enduring 
Freedom (OEF). The Army has lost 13 UH-60 Black Hawk 
helicopters since the onset of OIF and OEF. Using October 1, 
2004 as a cutoff date, the Army requested $50.8 million in the 
fiscal year 2005 supplemental budget for five UH-60 Black Hawk 
helicopters lost in OIF and OEF. The committee notes that the 
Army has an unfunded requirement for the replacement of two UH-
60 Black Hawk helicopters; therefore, the committee recommends 
an increase of $20.3 million in APA, for two additional UH-60 
Black Hawk helicopters, for a total authorization of $582.3.
UH-60 Black Hawk helicopter modifications
    The budget request included $33.3 million in Aircraft 
Procurement, Army (APA), for UH-60 Black Hawk helicopter 
modifications, but included no funding for HH-60L Black Hawk 
helicopter Medical Evacuation (MEDEVAC) Medical Equipment 
Packages (MEP). The Army has a requirement for 336 HH-60L 
MEDEVAC helicopters, including 156 MEDEVAC helicopters in the 
Active component and 180 MEDEVAC helicopters in the Reserve 
component, but only 24 HH-60L MEDEVAC helicopters in the 
inventory or scheduled for delivery in fiscal year 2005. The 
committee understands that the Army is using over 300 UH-60A 
Black Hawk helicopters without MEP kits to perform MEDEVAC 
missions, of which 75 are currently deployed in support of 
Operations Iraqi Freedom and Enduring Freedom. Given the 
shortfall in MEDEVAC helicopters and the high operational 
demand, the committee recommends an increase of $50.0 million 
in APA, for 10 additional HH-60L MEP kits, for a total 
authorization of $83.3 million.
M107 sniper rifle
    The budget request included $9.7 million in Weapons and 
Tracked Combat Vehicles, Army (WTCV), for the procurement of 
the M-107 .50 caliber sniper rifle. The M107 sniper rifle 
provides a man-portable, material destruction capability that 
enables sniper teams to employ greater destructive force at 
greater ranges and at a higher rate of fire that exceed the 
terminal effect capability of the M24 Sniper Weapon System. The 
Army has an inventory objective of 3,143 M107 sniper weapons 
but only has 1,300 fielded to soldiers in support of Operations 
Iraqi Freedom and Enduring Freedom. Additional funding for the 
M10 sniper rifle is on the Chief of Staff of the Army's 
unfunded priorities list. The committee recommends an increase 
of $9.3 million in WTCV, for 774 additional M107 sniper rifles, 
for a total authorization of $19.0 million.
Rapid fielding initiative
    The budget request included $15.4 million in Procurement of 
Weapons and Tracked Combat Vehicles Army (WTCV), to procure 
ancillary small arms equipment as part of the Rapid Fielding 
Initiative (RFI), an Army program to respond quickly to 
individual soldier equipment requirements and to provide 
soldiers engaged in or preparing for Operation Iraqi Freedom 
and other operations, with state-of-the-art individual weapons, 
clothing, and equipment, including radios. Additional funding 
for this initiative is on the Chief of Staff of the Army's 
unfunded priorities list. The committee continues to support 
this worthwhile program and remains committed to ensuring that 
the individual soldier, Active and Reserve, is personally 
equipped for advantage in combat and contingency operations. 
The committee recommends an increase of $18.5 million in WTCV 
to procure M240B medium machine gun, M249 squad automatic 
weapon, and Soldier Enhancement Program ancillary equipment, 
for a total authorization of $33.9 million for the RFI.
Night vision enhancements
    The budget request included $247.4 million in Other 
Procurement, Army (OPA), for the procurement of night vision 
enhancements, including $16.6 million for the AN/PAQ-4 laser 
aiming light, $42.9 million for the AN/PVS-6 Mini Eyesafe Laser 
Infrared Observation Set and the Target Acquisition Laser 
Observation Night (TALON) device, and $83.7 million for the 
night vision thermal weapon sight (TWS). Lessons learned from 
Operations Iraqi Freedom and Enduring Freedom have shown that 
night vision equipment increases survivability and lethality of 
soldiers in combat and has been used for force protection 
missions, convoy operations, and perimeter security missions. 
Additional funding for the procurement of AN/PAQ-4 laser aiming 
lights, TALONs, and TWSs has been identified on the Chief of 
Staff of the Army's unfunded priorities list. The committee 
recommends an increase of $117.1 million in OPA for the 
procurement of 40,182 aiming lights, 712 TALONs, and 2,528 
TWSs, for a total authorization of $364.5 million.
Lightweight laser designation rangefinder
    The budget request included $12.7 million in Other 
Procurement, Army (OPA), for the procurement of the Lightweight 
Laser Designation Rangefinder (LLDR), a man-portable, modular 
system designed for day and night, all weather target 
acquisition. The LLDR meets a critical requirement for 
precision target location and engagement for artillery fire 
support teams and is in high demand in Operations Iraqi Freedom 
and Enduring Freedom. Additional funding for LLDR procurement 
is on the Chief of Staff of the Army's unfunded priorities 
list. The committee recommends an increase of $4.6 million in 
OPA for the procurement of 15 additional LLDRs, for a total 
authorization of $17.3 million.
Mounted battle command on the move
    The budget request included $870,000 in Other Procurement, 
Army (OPA), for the Mounted Battle Command on the Move (MBCOTM) 
system, which provides a battle command platform for maneuver 
commanders for echelons from calvary squadron through unit of 
employment. The MBTCOM will be hosted on the Bradley Fighting 
Vehicle, the Stryker Command Vehicle, and the High Mobility 
Multipurpose Wheeled Vehicle (HMMWV). The MBCOTM will provide 
commanders with an automated tactical command post for mobile 
operations, rather than relying on a fixed site command post. 
The committee understands that the Army intends to field this 
capability in fiscal year 2006 for units deploying to Operation 
Iraqi Freedom. Additional funding for MBCOTM procurement has 
been identified on the Chief of Staff of the Army's unfunded 
priorities list. The committee recommends an increase of $30.0 
in OPA for the procurement of 15 MBTCOM systems to be mounted 
on the HMMWV, for a total authorization of $30.9 million.
    The committee notes that the Marine Corps has a similar 
initiative for on-the-move communications under the Control On-
The-Move Network, Digital Over the Horizon Relay program and 
encourages the Army-Marine Corps Board to review these programs 
for cooperative development and efficiencies.
UH-1Y helicopters
    The budget request included $307.5 million in Aircraft 
Procurement, Navy (APN), for the procurement of UH-1Y and AH-1Z 
helicopters. There is no UH-1 manufacturing line to build 
helicopters to replace UH-1N helicopters lost in Operations 
Iraqi Freedom and Enduring Freedom. However, the Marine Corps 
does have a program to acquire new-build UH-1Y helicopters as 
replacement aircraft. The program is currently in low-rate 
initial production. The Marine Corps needs to replace four 
aircraft lost during current operations. The committee 
recommends an increase of $74.0 million in APN for four 
additional UH-1Y helicopters.
    The Marine Corps needs to procure 18 sets of government 
furnished equipment (GFE) to retain the UH-1N utility 
helicopters until new UH-1Y helicopters are procured. Without 
this funding, the operational force inventory will be reduced 
by 14 UH-1Ns for 12 months until UH-1Ys can be delivered. The 
committee recommends an increase of $10.8 million in APN for 
UH-1 GFE.
    The committee notes that the procurement of UH-1Y 
helicopters and government furnished equipment are on the 
Commandant of the Marine Corps' unfunded priorities list. The 
committee recommends a total authorization of $392.3 million in 
APN, for the procurement of UH-1Y and AH-1Z helicopters.
EA-6B ICAP III
    The budget request included $120.6 million in Aircraft 
Procurement, Navy (APN), for modifications to the EA-6B, 
including $52.2 million for the procurement of Improved 
Capabilities III (ICAP III) systems modifications.
    The EA-6B is a high-demand, low-density key enabler for 
joint combat operations. The ICAP III systems modification 
removes over 70 aging and unreliable weapons replaceable 
assemblies (WRAs). The procurement of seven additional EA-6B 
ICAP III kits meets the Navy's minimum requirement for ICAP III 
equipped EA-6B aircraft. Procurement of ICAP III is included on 
the Chief of Naval Operations' unfunded priorities list. The 
committee recommends an increase of $73.0 million in APN for 
the procurement of seven additional EA-6B ICAP III kits.
Low band transmitters for EA-6B aircraft
    The budget request included $120.6 million in Aircraft 
Procurement, Navy (APN), for modifications to the EA-6B 
aircraft, including $9.6 million for procurement of low band 
transmitters. The EA-6B is a high-demand, low-density 
electronic warfare aircraft that is being heavily used in the 
global war on terrorism. The low band transmitter gives the EA-
6B aircraft expanded jamming capability and is more reliable 
and maintainable than the current system. The procurement of 
additional EA-6B aircraft low band transmitters has been 
included on the Chief of Naval Operations' unfunded priorities 
list. The committee recommends an increase of $16.4 million in 
APN for the procurement of 11 EA-6B aircraft low band 
transmitters to ensure sufficient numbers are available to 
support critical global war on terrorism missions.
CH-53E Helicopter Night Vision Systems
    The budget request included $14.9 million in Aircraft 
Procurement, Navy, for H-3 helicopter modifications, including 
$600,000 for the procurement of CH-53E Helicopter Night Vision 
System (HNVS) Forward Looking Infrared (FLIR) kits. The 
committee notes that, currently, the Marine Corps has 71 FLIRs 
to share among 148 aircraft, with 26 on contract to be 
delivered in fiscal years 2005 and 2006. Another 51 aircraft 
have FLIR installation provisions, but do not have FLIR turrets 
to install. The HNVS FLIR improves the CH-53's ability to 
operate in night operations in the austere mountainous and 
desert terrain typical of the U.S. Central Command area of 
operations. Additional funding for HNVS FLIR procurement for 
the CH-53 helicopter is on the Commandant of the Marine Corps' 
unfunded priorities list. The committee recommends an increase 
of $9.6 million in APN for the procurement of 16 additional 
HNVS FLIRs, for a total authorization of $24.5 million.
Hellfire missiles
    The budget request included no funds in Weapons 
Procurement, Navy (WPN) for the procurement of AGM-114 Hellfire 
missiles. The Hellfire is a laser-guided missile primarily 
employed against point targets by Navy and Marine Corps rotary 
wing aircraft. Total Navy and Marine Corps use of the two 
variants of Hellfire in the global war on terrorism exceeds 900 
missiles. The Navy's intent was to replace its inventory of 
these missiles with the Joint Common Missile, but this program 
has recently been terminated by the Department of Defense, and 
there is a projected inventory shortage of AGM-114 Hellfire 
missiles for the Marine Corps. Additional funding for Hellfire 
is included on the Chief of Naval Operations' unfunded 
priorities list. The committee recommends an increase of $122.0 
million in WPN for the procurement of Hellfire missiles.
Small arms
    The budget request included $22.6 million in Weapons 
Procurement, Navy (WPN) for the initial procurement, 
modernization, standardization, and stock replenishment of a 
wide variety of small arms and weapons. Fleet and joint force 
protection requirements have expanded as a result of the global 
war on terrorism. Explosive ordnance disposal teams and naval 
coastal warfare units, in particular, need small arms for their 
own protection. Additional funding for small arms has been 
included on the Chief of Naval Operations' unfunded priorities 
list. The committee recommends an increase of $36.8 million in 
WPN for the procurement of small arms.
Pioneer tactical unmanned aerial vehicle
    The budget request included $1.9 million in Weapons 
Procurement, Navy (WPN) for modernization efforts for the 
Pioneer tactical unmanned aerial vehicle (TUAV). The Pioneer 
TUAV provides near real-time reconnaissance, surveillance, 
target acquisition, combat assessment, and battlefield 
management within line-of-sight of a ground control station. 
The Pioneer TUAV is being heavily used in Operation Iraqi 
Freedom. Additional funding for 12 Pioneer engines and 
avionics, due to its high usage rates, has been requested on 
the Chief of Naval Operations' and the Commandant of the Marine 
Corps' unfunded priorities list. The committee recommends an 
increase of $6.7 million in WPN for the procurement of engines 
and avionics for the Pioneer TUAV.
Dual mode laser guided training bombs
    The budget request included $24.6 million in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for dual mode laser 
guided training bombs. The committee notes that the dual mode 
laser guided training bomb improves the use of laser guided 
bombs (LGBs) in combat. The training bomb provides actual 
hardware for aircrews and tactics development at a reduced cost 
while maintaining inventories of LGBs. The committee recommends 
an increase of $2.0 million in PANMC for dual mode laser guided 
training practice bombs.
Small arms and landing party ammunition
    The budget request included $35.6 million in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for small arms and 
landing party ammunition. The committee notes that small arms 
training requirements for force protection, homeland defense, 
maritime interdiction operations, and security force operations 
have increased by 50 percent since the commencement of the 
global war on terrorism. Additional funding for small arms and 
landing party ammunition has been identified on the Chief of 
Naval Operations unfunded priorities list. The committee 
recommends an increase of $16.0 million in PANMC for small arms 
and landing party ammunition.
M80/M62 7.62mm cartridge
    The budget request included $7.9 million in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the Cartridge 
M80 7.62mm four-ball cartridge and one tracer M62 linked. 
According to Marine Corps officials, this munition is currently 
experiencing an extremely high rate of use in operations in 
support of the global war on terrorism. Additional funding for 
the Cartridge M80 7.62mm four-ball cartridge and one tracer M62 
linked has been identified on the Commandant of the Marine 
Corps unfunded priorities list. The committee recommends an 
increase in PANMC of $1.5 million for the M80 7.62mm four-ball 
cartridge and one tracer M62 linked.
.50 caliber linked armor piercing cartridge with tracer
    The budget request included $28.0 million in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the .50 caliber 
linked armor piercing cartridge with tracer. Additional funding 
for the .50 caliber linked armor piercing cartridge with tracer 
has been identified on the Commandant of the Marine Corps 
unfunded priorities list. Marine Corps officials also note that 
this munition is currently experiencing an extremely high rate 
of use in support of the global war on terrorism. The committee 
recommends an increase of $13.0 million in PANMC for the .50 
caliber linked armor piercing cartridge with tracer.
M430 40mm high explosive dual purpose
    The budget request included $40.7 million in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the M430 40mm 
high explosive dual purpose cartridge. According to Marine 
Corps officials, this munition is currently experiencing an 
extremely high rate of use in support of the global war on 
terrorism. Additional funding for the M430 40mm high explosive 
dual purpose cartridge has been identified on the Commandant of 
the Marine Corps unfunded priorities list. The committee 
recommends an increase of $30.0 million in PANMC for the M430 
40mm high explosive dual purpose cartridge.
M830A1 120mm high explosive with tracer cartridge
    The budget request included no funding in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the M830A1 120mm 
high explosive with tracer cartridge. According to Marine Corps 
officials, this munition is extremely effective against 
buildings, bunkers, and light armored vehicles and experienced 
an extremely high usage rate in Operations Iraqi Freedom and 
Enduring Freedom. Additional funding for the M830A1 120mm high 
explosive with tracer cartridge has been identified on the 
Commandant of the Marine Corps unfunded priorities list in 
order to replenish deleted stocks and ensure proper munitions 
inventory. The committee recommends an increase of $10.0 
million in PANMC for the M830A1 120mm high explosive with 
tracer cartridge.
XM1028 120mm tank cartridge
    The budget request included no funding in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the XM1028 120mm 
tank cartridge. The committee notes the utility of the XM1028 
120mm canister round in improving the M1A1 Main Battle Tank's 
urban warfare capability, improving its survivability against 
massed assaulting infantry with hand held anti-tank and 
automatic weapons. Additional funding for the XM1028 120mm tank 
cartridge has been identified on the Commandant of the Marine 
Corps unfunded priorities list. The committee recommends an 
increase of $3.0 million in PANMC for the XM1028 120mm tank 
cartridge in support of the Marine Corps' total munition 
requirement.
M72A7 66mm high explosive rocket
    The budget request included no funding in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the M72A7 66mm 
high explosive rocket. According to Marine Corps officials, 
this munition was recently identified as an urgent requirement 
in support of the global war on terrorism. Additional funding 
for the M72A7 66mm high explosive rocket has been identified on 
the Commandant of the Marine Corps unfunded priorities list. 
The committee recommends an increase of $11.0 million in PANMC 
for the M72A7 66mm high explosive rocket.
MK154 non-electric detonator
    The budget request included no funding in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the MK154 non-
electric detonator. The committee notes that the budget request 
procures only 4 percent of the approved acquisition objective 
(AAO) of the MK154 non-electric detonator. The committee 
believes that constrained procurement of the MK 154 non-
electric detonator can be problematic given the usage rates in 
support of the global war on terrorism. Additional funding for 
the MK154 non-electric detonator has been identified on the 
Commandant of the Marine Corps unfunded priorities list in 
order to increase procurement toward the AAO and ensure proper 
munitions inventory. The committee recommends an increase of 
$10.0 million in PANMC for the MK154 non-electric detonator.
M762A1 electronic time fuze
    The budget request included no funding in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the M762A1 
electronic time fuze. The committee notes that the M762A1 is 
replacing less capable fuzes in the inventory. Additional 
funding for the M762A1 electronic time fuze has been identified 
on the Commandant of the Marine Corps unfunded priorities list. 
The committee recommends an increase of $2.0 million in PANMC 
for the M762A1 electronic time fuze.
M782 multi-option fuze for artillery
    The budget request included $2.2 million in Procurement of 
Ammunition, Navy and Marine Corps (PANMC), for the M782 multi- 
option fuze for artillery. The committee notes that the M782 
multi-option fuze for artillery is the replacement for five 
different types of fuzes in the current Marine Corps inventory. 
Additional funding for the M782 multi-option fuze for artillery 
has been identified on the Commandant of the Marine Corps 
unfunded priorities list. The committee recommends an increase 
of $6.0 million in PANMC for the M782 multi-option fuze for 
artillery.
Explosive ordnance disposal equipment allowance for naval coastal 
        warfare units
    The budget request included $28.4 million in Other 
Procurement, Navy (OPN) for explosive ordnance disposal 
equipment. Naval coastal warfare (NCW) units are being heavily 
used in the global war on terrorism, with NCW mobile inshore 
undersea warfare units providing the security for the oil 
platforms in much of the U.S. Central Command's area of 
responsibility. These units have certain explosive ordnance 
disposal equipment shortages, including cargo trucks, 
generators, forklifts, and water trailers. Additional funding 
for this equipment has been requested on the Chief of Naval 
Operations' unfunded priorities list. The committee recommends 
an increase of $7.0 million in OPN for explosive ordnance 
disposal equipment for naval coastal warfare units.
Amphibious equipment allowance for naval coastal warfare units
    The budget request included $149.7 million in Other 
Procurement, Navy (OPN) for amphibious equipment. Naval coastal 
warfare (NCW) units are being heavily used in the global war on 
terrorism, with NCW mobile inshore undersea warfare units 
providing the security for the oil platforms in much of the 
U.S. Central Command's area of responsibility. These units have 
identified shortages of cargo trucks, generators, forklifts, 
and water trailers. Additional funding for this equipment has 
been included on the Chief of Naval Operations' unfunded 
priorities list. The committee recommends an increase of $8.3 
million in OPN for amphibious equipment for naval coastal 
warfare units.
Equipment and trainer for maritime interdiction operations
    The budget request included $60.8 million for command 
support equipment in Other Procurement, Navy (OPN). A key 
mission for the Navy in the global war on terrorism has been to 
conduct maritime interdiction operations (MIO), where naval 
teams visit, board, and search vessels, some of which are non-
compliant. Additional funding is required to improve the MIO 
teams' abilities to protect themselves from terrorist-related 
threats. Additional funding for the necessary weapons, body 
armor, helmets, communications gear, breaching and boarding 
equipment, and medical supplies has been requested on the Chief 
of Naval Operations' unfunded priorities list. The Chief of 
Naval Operations' unfunded priorities list also requests 
additional funding for a visit, board, search and seizure 
trainer (VBSST) at the Navy Center for Anti-terrorism. The 
committee recommends an increase of $4.3 million in OPN for the 
procurement of the necessary MIO equipment, and an increase of 
$11.2 million in OPN for the procurement of the VBSTT.
High mobility artillery rocket system
    The budget request included $176.8 million in Procurement, 
Marine Corps (PMC), for the High Mobility Artillery Rocket 
System (HIMARS). HIMARS provides Marine forces immediate, 
precision fires with its 24 hour, all weather long-range 
precision strike capability. The committee understands that 
with additional funding the Marine Corps could accelerate the 
fielding of a guided munitions capability, by procuring Guided 
Multiple Launch Rocket System (GMLRS) rockets. GMLRS rockets 
are the tactical munitions for HIMARS. With these rockets, the 
Marine Corps could accelerate HIMARS fielding within 18 months 
to support the global war on terrorism, particularly Operation 
Iraqi Freedom. Additional funding for procurement of GMLRS 
rockets is on the Commandant of the Marine Corps' unfunded 
priorities list. The committee recommends an increase of $54.4 
million in PMC, for the procurement of 480 GMLRS rockets, for a 
total authorization of $231.2 million.
AN/TPS-59(V3) radar system array rebuild
    The budget request included $12.2 million in Procurement, 
Marine Corps (PMC), for radar systems, including $5.6 million 
for the rebuild of one AN/TPS-59(V3) radar system array. The 
AN/TPS-59 radar is a critical low-density item being used 
extensively in current global war on terror operations. The AN/
TPS-59(V)3 radar system is the only long-range, three-
dimensional surveillance radar in the Marine Corps inventory. 
The high ops tempo and harsh environmental conditions of 
Operation Iraqi Freedom have caused antennas to degrade and 
require additional maintenance. The Marine Corps requested 
funding to rebuild one AN/TPS-59(V3) radar in fiscal year 2005, 
but the requirement remains unfunded. The committee believes 
that rebuilding two AN/TPS-59(V3) radars will allow the Marine 
Corps to maintain the reliability, availability, and 
maintainability of the radar. Additional funding for the 
rebuild of one additional AN/TPS-59(V3) is on the Commandant of 
the Marine Corps' unfunded priorities list. The committee 
recommends an increase of $7.5 million in PMC, for the AN/TPS-
59(V3) radar system, for a total authorization of $19.7 
million.
Enhanced position location reporting system
    The budget request included $29.0 million in Procurement, 
Marine Corps (PMC), for radio systems, but included no funding 
for the Enhanced Position Location Reporting System (EPLRS), a 
tactical data radio which provides the only dedicated source of 
wireless data connectivity for tactical Marine Corps units 
above regimental level of command, extending to battalion and 
company level headquarters. The committee understands that the 
Joint Tactical Radio System (JTRS) was intended to fill this 
capability gap, but the committee recently learned that JTRS 
development will be delayed for 30 months. The committee 
understands that additional funding would enable the Marine 
Corps to procure EPLRS radio sets, their associated network 
management platforms, and the increased requirement for EPLRS 
radio sets throughout Marine operating forces to support the 
expanded use of Command and Control On the Move Network Digital 
Over the Horizon Relay (CONDOR). This item is on the Commandant 
of the Marine Corps' unfunded priorities list. The committee 
recommends an increase of $17.9 million in PMC, for the 
procurement of 425 EPLRS radio sets, for a total authorization 
of $46.9 million.
    The committee strongly encourages the Assistant Secretary 
of Defense for Networks and Information Integration to 
immediately waive JTRS compliance for the procurement of EPLRS 
radios for the Marine Corps. The committee also notes that the 
Army has a similar initiative for on-the-move communications 
under the Mounted Battle Command on the Move program and 
encourages the Army-Marine Corps Board to review these programs 
for cooperative development and efficiencies.
Explosive ordnance disposal equipment
    The budget request included $42.6 million in Procurement, 
Marine Corps (PMC), for explosive ordnance disposal equipment, 
but included no funding for the hardened engineer vehicle. The 
Marine Corps has an immediate need for hardened engineer and 
explosive ordnance disposal (EOD) vehicles with a V-shaped hull 
designed to withstand both anti-personnel and anti-tank mine 
blasts and an nuclear, biological and radiological overpressure 
system. This item is on the Commandant of the Marine Corps' 
unfunded priorities list. The committee recommends an increase 
of $9.4 million in PMC for hardened engineer vehicles, for a 
total authorization of $52.0 million.
C-5 aircraft missile warning system upgrade
    The budget request included $71.1 million in Aircraft 
Procurement, Air Force (APAF), for modifications to the C-5 
aircraft, but included no funding to upgrade the AAR-47 missile 
warning sets (MWSs) on the aircraft. With the proliferation of 
man-portable air defense systems, airlift aircraft are 
vulnerable to the shoulder-launched infrared surface-to-air 
missiles. The AAR-47 MWS is currently installed on 50 C-5B and 
one C-5A aircraft. An upgrade is available to this MWS which 
would provide a new processor, improved system sensors, a new 
control indicator unit, and a new laser warning detection 
system. Funding for this upgrade has been included on the Chief 
of Staff of the Air Force's unfunded priorities list. The 
committee recommends an increase of $7.7 million in APAF to 
upgrade the AAR-47 MWS on the C-5 aircraft.
C-17 aircraft infrared countermeasures
    The budget request included $260.8 million in Aircraft 
Procurement, Air Force (APAF), for modifications to the C-17 
aircraft, including $84.5 million for the installation of the 
large aircraft infrared countermeasure system (LAIRCM). This 
system provides protection against man-portable air defense 
systems (MANPADS), which are widely available and have been 
used by terrorists in Operations Enduring Freedom and Iraqi 
Freedom against both military and commercial aircraft. 
Additional funding for LAIRCM is included on the Chief of Staff 
of the Air Force's unfunded priorities list. The committee 
recommends funding this increase of $97.0 million for the 
procurement of LAIRCM for the C-17 aircraft.
Mobile approach control system
    The budget request included $16.8 million in Other 
Procurement, Air Force (OPAF), for air traffic control and 
landing systems, including $11.8 million for the modification 
and refurbishment of the mobile approach control system (MACS), 
but included no funding for the procurement of MACS. MACS is a 
deployable radar approach control system that provides airspace 
control and precision approach control capability. The 
committee is concerned that the Air Force was unable to provide 
all of the MACS that were requested during Operations Enduring 
Freedom and Iraqi Freedom. Procurement for MACS has been 
included on the Chief of Staff of the Air Force's unfunded 
priorities list. The committee recommends funding an increase 
of $51.9 million in OPAF for the procurement of three mobile 
approach control systems.
Body armor
    The budget request included $40.0 million in Operation and 
Maintenance, Army (OMA), for body armor, $3.3 million in 
Operation and Maintenance, Navy (OMN), for body armor, $2.2 
million in Operation and Maintenance, Marine Corps (OMMC), for 
body armor, but no funding in Operation and Maintenance, Air 
Force (OMAF), for body armor. Body armor, composed of outer 
tactical vests, small armor protective inserts, and deltoid 
armor protection, continues to provide superior personal 
protection to service members deployed in support of the global 
war on terrorism. The committee remains committed to ensuring 
that the individual soldier, sailor, airman, and Marine, Active 
and Reserve, has the equipment necessary to ensure individual 
safety and combat lethality across the full spectrum of 
operations. In addition, the committee believes that recent 
technological advances in protective and safety equipment must 
be delivered to deployed service members as soon as possible.
    The committee recommends an increase of $117.8 million for 
interceptor body armor or body armor components including: 
$57.4 million in OMA for enhanced SAPI plates; $3.1 million in 
OMN for interceptor body armor; $2.4 million in Operation and 
Maintenance, Navy Reserve (OMNR), for interceptor body armor; 
and $54.9 million in OMAF for deltoid armor protection. The 
committee expects that the Army will ensure the provision of 
enhanced SAPI plates to all members of the U.S. Armed Forces 
and appropriate civilian personnel deployed in the U.S. Central 
Command area of responsibility.
Expanded maritime interdiction operations training and outfitting
    The budget request included no funding in Operation and 
Maintenance, Navy (OMN), for expanded maritime interdiction 
operations (MIO) training and outfitting. The committee notes 
that the Navy has an urgent requirement to train and outfit the 
MIO visit, board, search and seizure (VBSS) teams of 58 ships 
deploying in support of the global war on terrorism and the 
Proliferation Security Initiative. Additional funding for 
expanded MIO training and outfitting has been identified on the 
Chief of Staff of the Army unfunded priorities list. The 
committee recommends an increase of $6.2 million in OMN for 
expanded maritime interdiction operations outfitting.
Small caliber weapons and mounts repair and replacement
    The budget request included $5.7 million in Operation and 
Maintenance, Navy (OMN), for the repair or replacement of small 
caliber weapons and weapon mounts. According to Navy officials, 
there has been a rapid growth in small caliber weaponry 
sustainment requirements due to the global war on terrorism. 
The committee understands that deployments of Naval Coastal 
Warfare personnel in support of Persian Gulf oil platform 
security and Naval Construction Force personnel in support of 
Iraq and Afghanistan infrastructure development has increased 
small caliber weapons readiness requirements. Additional 
funding for the repair or replacement of small caliber weapons 
and weapon mounts has been identified on the Chief of Naval 
Operations unfunded priorities list. The committee recommends 
an increase of $24.0 million in OMN for the repair or 
replacement of small caliber weaponry and weapon mounts.
Field medical equipment
    The budget request included $6.5 million in Operation and 
Maintenance, Marine Corps (OMMC), for field medical equipment. 
According to Marine Corps officials, current medical 
inventories, which support operating rooms, aid stations, 
laboratories, and individual units, have been depleted in the 
conduct of contingency operations. Additional funding for field 
medical equipment has been identified on the Commandant of the 
Marine Corps unfunded priorities list. The committee recommends 
an increase of $19.0 million in OMMC for field medical 
equipment.
M1A1 tank depot maintenance
    The budget request included $9.6 million in Operation and 
Maintenance, Marine Corps (OMMC), for M1A1 tank depot 
maintenance. Additional funding for the M1A1 tank depot 
maintenance has been identified on the Commandant of the Marine 
Corps unfunded priorities list. According to Marine Corps 
officials, this unfunded priority supports the reset of tanks 
returning from contingency operations. The committee 
understands that average usage on tanks deployed in support of 
contingency operations is 3,000 kilometers per year. This is 10 
times the quantity of miles historically executed in support of 
peacetime training. The committee also notes that the Marine 
Corps continues to effectively manage depot maintenance 
programs. The committee recommends an increase of $40.0 million 
in OMMC for M1A1 tank depot maintenance.
            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

Explanation of funding tables
    Division B of this Act authorizes funding for military 
construction projects of the Department of Defense. It includes 
funding authorizations for the construction and operation of 
military family housing and military construction for the 
Reserve components, the defense agencies, and the North 
Atlantic Treaty Organization Security Investment program. It 
also provides authorization for the base closure account that 
funds environmental cleanup and other activities associated 
with the implementation of base closure rounds.
    The following tables provide the project-level 
authorizations for the military construction funding authorized 
in Division B of this Act and summarize that funding by 
account.
    The budget request for fiscal year 2006 included 
authorization of appropriations for military construction and 
housing programs totaling $12,051,611,000. Of this amount, the 
budget request included authorization of appropriations for 
$1,880,466,000 to implement the results of the 2005 Defense 
Base Closure and Realignment round. The amount authorized for 
appropriation is included in the following table in a line 
designated Base Realignment & Closure V.
    The committee recommends authorization of appropriations 
for military construction and housing programs totaling 
$12,051,611,000. The total amount authorized for appropriations 
reflects this committee's commitment to continue a strong 
investment in the recapitalization of facilities and 
infrastructure in the United States, while continuing to invest 
prudently in overseas installations that are identified in the 
Integrated Global Presence and Basing Strategy released by the 
President in September 2004 as enduring installations with 
firmly defined, long-term operational missions.


Short title (sec. 2001)
    The committee recommends a provision that would cite 
Division B of this Act as the Military Construction 
Authorization Act for Fiscal Year 2006.
                            TITLE XXI--ARMY

Summary
    The budget request included authorization of appropriations 
of $1,480.0 million for military construction and $1,362.6 
million for family housing for the Army in fiscal year 2006. 
The committee recommends authorization of appropriations for 
$1,604.0 million for military construction and $1,362.6 million 
for family housing for fiscal year 2006.
    The committee recommends a decrease of $15.0 million to the 
authorization of appropriations for three projects in Korea due 
to the recent award of similar construction contracts by the 
Army in Korea at amounts substantially less than appropriated 
by Congress in previous fiscal years. The committee anticipates 
that this trend of favorable contract award amounts will 
continue for the Army in fiscal year 2006.
    The committee recommends increasing the authorization of 
appropriations by $1.8 million for planning and design to 
complete design for the projects added by the committee.
Authorized Army construction and land acquisition projects (sec. 2101)
    This provision contains the list of authorized Army 
construction projects for fiscal year 2006. The authorized 
amounts are listed on an installation-by-installation basis. 
The State list contained in this report is the binding list of 
the specific projects authorized at each location.
Family housing (sec. 2102)
    This provision would authorize new construction and 
planning and design of family housing units for the Army for 
fiscal year 2006. It would also authorize funds for facilities 
that support family housing, including housing management 
offices and housing maintenance and storage facilities.
Improvements to military family housing units (sec. 2103)
    This provision would authorize improvements to existing 
Army family housing units for fiscal year 2006.
Authorization of appropriations, Army (sec. 2104)
    This provision would authorize specific appropriations for 
each line item contained in the Army's military construction 
and family housing budget for fiscal year 2006. This provision 
would also provide an overall limit on the amount the Army may 
spend on military construction projects.

                       Items of Special Interest


Report on permanent facilities for new Army units

    On January 30, 2004, the Office of the Secretary of Defense 
approved a request by the Chief of Staff of the Army to 
increase the number of active modular Brigade Combat Team Units 
of Action (BCT(UA)) from 33 to 43 between fiscal years 2004 and 
2006. On July 23, 2004, the Army announced the temporary 
locations for the UA's listed below, and will recommend 
permanent stations for the units as part of the 2005 round of 
Base Realignment and Closure (BRAC).

                          [Dollars in millions]
------------------------------------------------------------------------
                                                               Cost of
                   Location                      Personnel    temporary
                                                  increase    facilities
------------------------------------------------------------------------
Fort Stewart, Georgia.........................        1,700       $108.0
Fort Campbell, Kentucky.......................        3,000         94.7
Fort Drum, New York...........................        4,200        188.0
Fort Benning, Georgia.........................        3,800        134.5
Fort Hood, Texas..............................        5,000        152.8
Fort Polk, Louisiana..........................          300          4.8
Fort Lewis, Washington........................        3,900         98.8
Fort Richardson, Alaska.......................        2,600         78.4
Fort Bliss, Texas.............................        3,800        131.2
Fort Riley, Kansas............................        3,400        138.5
Fort Bragg, North Carolina....................        5,300        152.4
Fort Carson, Colorado.........................        3,700        128.5
                                               -------------------------
      Total...................................       40,700      1,410.6
------------------------------------------------------------------------

    In order to support the rapid reorganization of combat 
units, the Secretary of the Army is using emergency authorities 
pursuant to section 2803, title 10, United States Code, to 
carry out military construction projects not otherwise 
authorized by law. The projects install utilities and prepare 
sites for the purchase and installation of temporary facilities 
to provide barracks and work areas for the new UAs. The 19,250 
families of service members relocated as part of the 
reorganization are being absorbed within local communities in 
existing schools and into existing installation support 
facilities, such as child development centers and medical 
centers.
    The temporary facilities, consisting of modular buildings 
and trailers, have a design life of five to seven years, 
depending on local climate. The trailers serving as barracks 
for permanently assigned military personnel have under-sized 
sleeping areas and gang latrines that do not meet minimal 
standards established by the Department of Defense for 
unaccompanied housing. Because the Army purchased the trailers 
as equipment items, no maintenance plan has been established, 
and therefore no funds have been programmed for the sustainment 
of the trailers.
    The committee is concerned that the Army has not included 
funds to sustain or replace these trailers with permanent 
facilities in their Future Years Defense Plan (FYDP). 
Therefore, the committee directs the Secretary of the Army to 
submit to the Committee on Armed Services of the Senate by 
April 1, 2006, a report with the following information:
          (1) an inventory of the temporary facilities 
        installed to meet requirements for the establishment of 
        10 (BCT(UA));
          (2) an estimate of the scope and costs to maintain 
        the temporary facilities through the end of their 
        current use;
          (3) a proposed time line to replace the temporary 
        facilities with permanent facilities;
          (4) a description and cost estimate for construction 
        of permanent facilities required to replace the 
        temporary facilities;
          (5) an assessment by location of the scope and cost 
        to add to or alter existing facilities required to 
        support military personnel and their families;
          (6) an assessment of the impact on local communities 
        and actions taken by the Army to address those issues; 
        and
          (7) an estimate of the date that the Army will meet 
        the Department goal to eliminate inadequate 
        unaccompanied housing.
    In addition, the committee directs the Secretary of Defense 
to report to the Committee on Armed Services of the Senate by 
February 15, 2006, on the Department's guidance relating to the 
procurement and use of temporary facilities to support 
personnel relocations related to BRAC 2005 and global presence 
changes.
                            TITLE XXII--NAVY

Summary
    The budget request included authorization of appropriations 
of $1,029.2 million for military construction and $812.6 
million for family housing for the Navy in fiscal year 2006. 
The budget request also included a proposal to use $92.4 
million in prior year unobligated funds authorized for military 
construction to reduce the request for authorization of 
appropriation for the Navy in fiscal year 2006. The committee 
recommends authorization of appropriations of $1,102.7 million 
for military construction and $815.8 million for family housing 
for fiscal year 2006.
    The committee believes that the Navy should not use annual 
budget requests to carry out the reprogramming of unobligated 
funds from prior years. Therefore, the committee recommends 
rescinding $92.3 million as a general reduction from prior year 
authorization of appropriations for military construction and 
housing projects for the Navy. The committee further recommends 
an authorization of appropriations for seven construction 
projects at their fully authorized amount as shown in the 
table, FY 2006 Authorization of Appropriations for Military 
Construction and Family Housing.
    The committee recommends deferring the authorization of 
appropriations of $13.7 million to construct a bachelor 
enlisted quarters at Naval Base Coronado, California under a 
pilot program authorized by section 2881a of title 10, United 
States Code, to enter into a public-private venture, until the 
authority in title 10, United States Code, is amended to 
authorize a fourth pilot project.
    The committee also recommends deferring the authorization 
of appropriations of $39.0 million to upgrade wharfs, first 
increment at world-wide locations, until final basing 
arrangements negotiated as part of the Integrated Global 
Presence and Basing Strategy are finalized with the host 
nation.
    The committee recommends increasing the authorization of 
appropriations by $4.0 million for planning and design to 
complete design for the projects added by the committee.
Authorized Navy construction and land acquisition projects (sec. 2201)
    This section contains the list of authorized Navy 
construction projects for fiscal year 2006. The authorized 
amounts are listed on an installation-by-installation basis. 
The State list contained in this report is the binding list of 
the specific projects authorized at each location.
Family housing (sec. 2202)
    This section would authorize new construction and planning 
and design of family housing units for the Navy for fiscal year 
2006. It would also authorize funds for facilities that support 
family housing, including housing management offices and 
housing maintenance and storage facilities.

Improvements to military family housing units (sec. 2203)

    This section would authorize improvements to existing Navy 
and Marine Corps family housing units for fiscal year 2006.

Authorization of appropriations, Navy (sec. 2204)

    This section would authorize specific appropriations for 
each line item in the Navy's military construction and family 
housing budget for fiscal year 2006. This section also provides 
an overall limit on the amount the Navy may spend on military 
construction projects.

Modification of authority to carry out certain fiscal year 2004 project 
        (sec. 2205)

    The committee recommends a provision that would amend 
section 2201 of the Military Construction Authorization Act for 
Fiscal Year 2004 (division B of Public Law 108-136) to increase 
a project authorization for Naval Weapons Station Earle, New 
Jersey.

Modification of authority to carry out certain fiscal year 2005 
        projects (sec. 2206)

    The committee recommends a provision that would amend 
section 2201 of the Military Construction Authorization Act for 
Fiscal Year 2005 (division B of Public Law 108-375) to increase 
project authorizations at an unspecified world-wide location 
and at Quantico, Virginia.

Hockmuth Hall, Marine Corps Base Quantico, Virginia

    The budget request included authorization of appropriations 
of $2.6 million to construct the first increment of an addition 
to Hockmuth Hall at Marine Corps Base Quantico, Virginia. The 
budget request also included authorization for the full 
requirement of $14.2 million for the addition to Hockmuth Hall.
    Section 2807 of the Military Construction Act for Fiscal 
Year 2000 (Public Law 106-65) expressed a sense of Congress 
that, in preparing the budget for each fiscal year for military 
construction for submission to Congress under section 1105 of 
title 31, United States Code, the President should request an 
amount of funds for each proposed military construction project 
that is sufficient to produce a complete and usable facility or 
a complete and usable improvement to an existing facility. The 
committee notes that in limited instances, large military 
construction projects with a total cost exceeding $50.0 million 
may be funded in phases consistent with established practices 
for such projects.
    The budget request for the addition to Hockmuth Hall did 
not comply with congressional intent. Therefore, the committee 
recommends an increase of authorization of appropriations of 
$1.4 million to construct the first phase of an addition to 
Hockmuth Hall, resulting in a complete and useable facility. 
The committee further directs the Navy to include a request for 
authorization of appropriations for the full remainder of the 
military construction requirement for this project in the 
fiscal year 2007 budget request.
                         TITLE XXIII--AIR FORCE

Summary
    The budget request included authorization of appropriations 
of $1,069.6 million for military construction and $2,018.0 
million for family housing for the Air Force in fiscal year 
2006. The committee recommends authorization of appropriations 
of $1,207.4 million for military construction and $1,909.9 
million for family housing for fiscal year 2006.
    The committee recommends deferring authorization of 
appropriations of $10.0 million to install an erosion control 
stabilization system at Fourth Cliff Recreation Annex, 
Massachusetts, until the Air Force can justify the military 
requirement.
    The committee also recommends deferring the authorization 
of appropriations of $45.4 million to construct family housing 
at Spangdahlem Air Base, Germany, until force structure 
requirements can be finalized within the Integrated Global 
Presence and Basing Strategy. The committee also directs the 
Air Force to reassess their plan to divest 331 adequate housing 
units at the former Bitburg Air Force Base, Germany, from the 
Air Force inventory.
    The committee further recommends deferring the 
authorization of appropriations by $48.7 million to replace 
family housing and $11.1 million to improve housing at Bolling 
Air Force Base, Washington, DC., to allow the Air Force to 
pursue the replacement of inadequate housing using the 
alternative authority for the acquisition and improvement of 
military housing provided in subchapter 4 of chapter 169, title 
10, United States Code.
    The committee recommends decreasing the authorization of 
appropriations by $7.7 million for two projects in Korea due to 
the recent award of similar construction contracts by the Air 
Force in Korea at amounts substantially less than appropriated 
by Congress in previous fiscal years. The committee anticipates 
that this trend of favorable contract award amounts will 
continue for the Air Force in fiscal year 2006.
    The committee recommends increasing the authorization of 
appropriations by $4.7 million for planning and design to 
complete design for the projects added by the committee.
Authorized Air Force construction and land acquisition projects (sec. 
        2301)
    This section contains the list of authorized Air Force 
construction projects for fiscal year 2006. The authorized 
amounts are listed on an installation-by-installation basis. 
The State list contained in this report is the binding list of 
the specific projects authorized at each location.
Family housing (sec. 2302)
    This section would authorize new construction and planning 
and design of family housing units for the Air Force for fiscal 
year 2006. It would also authorize funds for facilities that 
support family housing, including housing management offices 
and housing maintenance and storage facilities.
Improvements to military family housing units (sec. 2303)
    This section would authorize improvements to existing Air 
Force family housing units for fiscal year 2006.
Authorization of appropriations, Air Force (sec. 2304)
    This section would authorize specific appropriations for 
each line item in the Air Force's budget for fiscal year 2006. 
This section would also provide an overall limit on the amount 
the Air Force may spend on military construction projects.

                       Items of Special Interest

Planning and design, Air Force
    The committee directs that the amount of $1.6 million, 
added to the authorization of appropriation for planning and 
design for the Air Force, be used to complete the design of a 
headquarters facility for the 70th Intelligence Wing at Fort 
Meade, Maryland.
                      TITLE XXIV--DEFENSE AGENCIES

Summary
    The budget request included authorization of appropriations 
of $1,042.7 million for military construction and $48.9 million 
for family housing for defense agencies in fiscal year 2006. 
The committee recommends authorization of appropriations for 
$1,042.7 million for military construction and $48.9 million 
for family housing for fiscal year 2006.
    The budget request also included authorization of 
appropriations of $377.8 million to carry out environmental 
activities related to the previous rounds of Base Realignment 
and Closure (BRAC), and authorization of appropriations of 
$1,880.5 million to initiate the decisions of the 2005 BRAC 
round.
    The budget request included an analysis that, of the 
$1,880.5 million for the 2005 BRAC round, $376.0 million would 
remain unobligated at the end of fiscal year 2006 and would 
carry over into fiscal year 2007. The committee is also aware 
that the budget request was developed at a time when the 
Department of Defense of Defense anticipated reducing the 
capacity of military installations by 20-25 percent. The 
Secretary of Defense recently stated that, for the 2005 BRAC 
round, ``the actual number will be less than the lower end of 
that range.''
    Also, documents submitted to support the budget request did 
not account for savings to be realized from the cancellation of 
construction projects authorized in previous years. These 
savings would be available for transfer into the BRAC account 
in 2006 to augment funds for initial BRAC requirements.
    Therefore, the committee recommends a decrease of $376.0 
million to the authorization of appropriations to initiate the 
decisions of the 2005 BRAC round. The committee also recommends 
that no funds may be obligated to initiate the decisions of the 
2005 BRAC round until 21 days after the Secretary submits a 
report to the congressional defense committees describing the 
programs, projects, or activities to be carried out with funds 
from this account.
Authorized defense agencies construction and land acquisition projects 
        (sec. 2401)
    This section contains the list of authorized defense agency 
construction projects for fiscal year 2006. The authorized 
amounts are listed on an installation-by-installation basis. 
The State list contained in this report is the binding list of 
the specific projects authorized at each location.
Energy conservation projects (sec. 2402)
    This section would authorize the Secretary of Defense to 
carry out energy conservation projects.
Authorization of appropriations, defense agencies (sec. 2403)
    This section would authorize specific appropriations for 
each defense agency military construction program for fiscal 
year 2006. This provision also would provide an overall limit 
on the amount that may be spent on such military construction 
projects.
   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

Summary
    The Department of Defense requested authorization of 
appropriation of $206.9 million for the North Atlantic Treaty 
Organization Security Investment Program for fiscal year 2006. 
The committee recommends an authorization of appropriation of 
$206.9 million for fiscal year 2006.
Authorized NATO construction and land acquisition projects (sec. 2501)
    This provision would authorize the Secretary of Defense to 
make contributions to the North Atlantic Treaty Organization 
Security Investment Program in an amount equal to the sum of 
the amount specifically authorized in section 2502 of this 
title and the amount of recoupment due to the United States for 
construction previously financed by the United States.
Authorization of appropriations, NATO (sec. 2502)
    This provision would authorize appropriation of $206.9 
million for the United States' contribution to the North 
Atlantic Treaty Organization Security Investment Program for 
fiscal year 2006.
            TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

Summary
    The Department of Defense requested authorization of 
appropriations of $722.8 million for military construction in 
fiscal year 2006 for National Guard and Reserve facilities. The 
committee recommends authorizations of appropriations for 
fiscal year 2006 of $961.2 million to be distributed as 
follows:
        Account                                                 Millions
Army National Guard...........................................    $464.7
Air National Guard............................................     245.9
Army Reserve..................................................     121.1
Air Force Reserve.............................................      79.3
Naval and Marine Corps Reserve................................      50.2
                    --------------------------------------------------------------
                    ____________________________________________________

        Total.................................................     961.2

Authorized Guard and Reserve construction and land acquisition projects 
        (sec. 2601)

    This provision would authorize appropriations for military 
construction for the National Guard and Reserve by service 
component for fiscal year 2006. The state list contained in 
this report is the binding list of the specific projects 
authorized at each location.

                       Items of Special Interest


Unspecified minor construction, Army National Guard

    The committee authorizes the Secretary of the Army, using 
funds authorized for unspecified minor construction for the 
Army National Guard, to construct an addition and alteration to 
a readiness center for $1.5 million at Waterloo, Iowa.

Unspecified minor construction, Air National Guard

    The committee authorizes the Secretary of the Air Force, 
using funds authorized for unspecified minor construction for 
the Air National Guard, to construct an addition and alteration 
to a field maintenance shop for $1.5 million at Fort Dodge, 
Iowa.

Planning and design, Army National Guard

    The committee directs that the amount of $3.0 million, 
added to the authorization of appropriation for planning and 
design for the Army National Guard, be used to complete the 
design of a Joint Armed Services Reserve Center at Naval Air 
Station Brunswick, Maine.
        TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Expiration of authorizations and amounts required to be specified by 
        law (sec. 2701)
    This provision would provide that authorizations for 
military construction projects, repair of real property, land 
acquisition, family housing projects, contributions to the 
North Atlantic Treaty Organization infrastructure program, and 
National Guard and Reserve military construction projects would 
expire on October 1, 2008, or the date of enactment of an act 
authorizing funds for military construction for fiscal year 
2009, whichever is later. This expiration would not apply to 
authorizations for projects for which appropriated funds have 
been obligated before October 1, 2008, or the date of enactment 
of an act authorizing funding for military construction for 
fiscal year 2009, whichever is later.
Extension of authorizations of certain fiscal year 2003 projects (sec. 
        2702)
    This section would extend the authorizations for certain 
fiscal year 2003 military construction projects until October 
1, 2006, or the date of enactment of an act authorizing funds 
for military construction for fiscal year 2007, whichever is 
later.
Extension of authorizations of certain fiscal year 2002 projects (sec. 
        2703)
    This section would extend the authorizations for certain 
fiscal year 2002 military construction projects until October 
1, 2006, or the date of enactment of an act authorizing funds 
for military construction for fiscal year 2007, whichever is 
later.
Effective date (sec. 2704)
    This provision would provide that titles XXI, XXII, XXIII, 
XXIV, XXV, and XXVI of this Act shall take effect on October 1, 
2005, or the date of enactment of this Act, whichever is later.
                    TITLE XXVIII--GENERAL PROVISIONS

 Subtitle A--Military Construction Program and Military Family Housing 
                                Changes

Increase in thresholds for unspecified minor military construction 
        projects (sec. 2801)
    The committee recommends a provision that would amend 
section 2805(a)(1) of title 10, United States Code, by raising 
the threshold of the cost of a construction project authorized 
by this section from $1.5 million to $2.5 million. This 
provision would also raise the threshold of the cost of a 
construction project intended solely to correct a deficiency 
that is life-threatening, health-threatening, or safety-
threatening from $3.0 million to $4.0 million.
    The committee notes that the Government Accountability 
Office, in a report released in February 2004 entitled ``Long-
term Challenges in Managing the Military Construction 
Program'', estimated that construction costs for the military 
have increased by an average of 41 percent since the thresholds 
amended in this provision were last adjusted.
Modification of cost variation authority (sec. 2802)
    The committee recommends a provision that would amend 
section 2853 of title 10, United States Code, to establish a 
minimum amount for which the cost of a military construction 
project or for the construction, improvement, or acquisition of 
a military family housing project cannot vary. This provision 
would authorize the secretary concerned to carry out a project 
of which the cost varies beyond the minimum amount after the 
secretary concerned notifies the congressional defense 
committees and waits 21 days before carrying out the project.
Department of Defense housing funds (sec. 2803)
    The committee recommends a provision that would amend 
section 2883 of title 10, United States Code, to require the 
Secretary of Defense to fund certain acquisitions and 
improvements of military housing solely through accounts 
established for that purpose. This provision would also amend 
section 2884 of title 10, United States Code, to add a 
requirement for the Secretary to report to the congressional 
defense committees annually with a summary of the funds 
obligated from defense housing accounts. This provision would 
improve the ability of Congress to account for funds obligated 
to carry out a contract for the acquisition or construction of 
family housing units using alternative authorities provided 
under subchapter IV of chapter 169, title 10, United States 
Code.
Temporary authority to use minor military construction authority for 
        construction of child development centers (sec. 2804)
    The committee recommends a provision that would direct the 
Secretary of Defense to carry out a temporary program for the 
construction of child development centers operated by the 
Department of Defense. This provision would increase the 
threshold in section 2805(a)(1) of title 10, United States 
Code, to $7.0 million for unspecified minor construction 
projects carried out to construct child development centers. 
This provision would also increase the threshold in section 
2805(a)(1) of title 10, United States Code, to $8.0 million if 
the unspecified minor construction project is intended solely 
to correct a deficiency in a child development center that 
threatens the life, safety, or health of the occupants. This 
provision would also increase other thresholds in section 2805 
of title 10, United States Code, to ensure continuity of the 
temporary authority. This provision would provide for the 
expiration of the authority on September 30, 2007.
    This provision would also require the Secretary to 
establish procedures for the review of each project to be 
carried out under this section, and to report to the 
congressional defense committees by March 1, 2007, with a list 
and description of the projects carried out under this program, 
as well as recommendations for extension of the temporary 
authority.
    The committee is concerned that the Department has a 
deficiency of approximately 38,000 spaces, equating to 167 
child development centers, for the care of children of service 
members between the ages of 6 weeks and 5 years. In many cases, 
a family must wait 18 months before they can be accommodated at 
existing centers on military installations, resulting in the 
use of off-base facilities at a much greater cost and 
inconvenience for families. This deficiency has increased 
significantly in the past two years and adds a substantial 
burden to the families of deployed service members. Aside from 
housing, access to quality child care offered at military 
installations has become the top quality of life concern among 
military personnel.
    It is the committee's intent that the authorities provided 
in this provision would be used to increase the options 
available to the Department to quickly address the shortfall in 
child development centers with temporary facilities and to 
transfer existing funds from other accounts to construct new 
centers.
Inapplicability to child development centers of restriction on 
        authority to acquire or construct ancillary supporting 
        facilities (sec. 2805)
    The committee recommends a provision that would amend 
section 2881(b) of title 10, United States Code, to exempt 
child development centers from the restriction for ancillary 
facilities authorized to be constructed using the alternative 
authority for acquisition and improvements of military housing 
provided in subchapter IV of chapter 169, title 10, United 
States Code. The committee intends this provision to increase 
the options available to the Department of Defense to quickly 
address the shortfall in child development centers by including 
the construction of permanent facilities as part of 
transactions carried out under the alternative authority for 
acquisition and improvements of military housing.
    In order to enhance the quality of life provided to 
military members and their families, the committee encourages 
the Department to include the construction and operation of 
child development centers in all future plans to construct or 
improve family housing communities.
Authority to carry out exchanges of facilities including associated 
        utilities, equipment, and furnishings (sec. 2806)
    The committee recommends a provision that would amend 
section 18240 of title 10, United States Code, to amend the 
definition of ``facility'' in section 18240 to include 
utilities, equipment, and furnishings required to be installed 
in a facility.
Increase in number of family housing units in Korea authorized for 
        lease by the Army at maximum amount (sec. 2807)
    The committee recommends a provision that would amend 
section 2828(e)(4) of title 10, United States Code, to increase 
from 2,400 to 2,800 the number of family housing units the 
Secretary of the Army may lease in Korea, for which the maximum 
annual lease cost per unit is $35,000.
    The committee recommends this provision in order to allow 
the Secretary to provide leased housing units for military 
personnel and their families that meet the Department of 
Defense's guidelines for adequate force protection/anti-
terrorism measures in facilities, while supporting the U.S. 
military force structure and basing plans of the Commander, 
U.S. Forces, Korea.

        Subtitle B--Real Property and Facilities Administration

Authority to lease non-excess property of Department of Defense field 
        activities (sec. 2821)
    The committee recommends a provision that would amend 
sections 2667a of title 10, United States Code, to authorize 
the Secretary of Defense to lease non-excess property that is 
under the control of a Department of Defense field activity. 
This provision would grant field activities the same 
authorities currently available to defense agencies under 
section 2667a of title 10, United States Code.
Modified criteria for agreements to limit encroachments and other 
        constraints on military training, testing and operations (sec. 
        2822)
    The committee recommends a provision that would modify 
section 2684a of title 10, United States Code, to clarify that 
agreements to limit encroachments and other constraints on 
military training, testing, and operations authorized under 
that section may include ecologically-related real property and 
the airspace of a military installation. The provision also 
requires that agreements initiated after the date of enactment 
of this Act shall provide for equal sharing of the acquisition 
costs of such property and interests and that the acquisition 
costs of any lesser property interest, such as an easement, may 
not exceed 70 percent of the appraised value of the land.
    The committee believes that the authority created in 
section 2811 of the Bob Stump National Defense Authorization 
Act for Fiscal Year 2003, and codified at section 2684a of 
title 10, is a potentially useful tool to create mutually 
beneficial relationships between the Department, State and 
local governments, and private organizations by promoting 
cooperation in maintaining military readiness and meeting 
environmental goals.
    The committee believes that the changes proposed by this 
provision will strengthen existing law by clarifying that such 
cooperative conservation agreements may extend to the airspace 
of the installation and to real estate that conserves species 
habitat to the Department's benefit, even if that real estate 
is not directly adjacent to the installation. The committee 
also believes that the partner entities should, absent 
circumstances in which the potential impact of encroachment or 
development on the installation's mission is particularly 
great, equally share acquisition costs with the Department.
    The committee intends to closely monitor implementation of 
this authority and recommends adding an annual reporting 
requirement.

                      Subtitle C--Land Conveyances

                        Part I--Army Conveyances

Land conveyance, Helena, Montana (sec. 2841)
    The committee recommends a provision that would authorize 
the Secretary of the Army to convey by quitclaim deed to the 
Helena Indian Alliance, a parcel of property consisting of 
approximately 3 acres located at the Sheridan Hall Army Reserve 
Center, Helena, Montana for the purpose of supporting Native 
American health care, mental health counseling, and the 
operation of an educational training center. This provision 
would also require the Secretary to seek reimbursement from the 
Helena Indian Alliance for costs related to the conveyance.

Land conveyance, Army Reserve center, Bothell, Washington (sec. 2842)

    The committee recommends a provision that would authorize 
the Secretary of the Army to convey, without consideration, to 
the Snohomish County Fire Protection District #10 a parcel of 
property consisting of approximately 1 acre located at the Army 
Reserve Center, Bothell, Washington for the purpose of 
permitting the fire district to operate a fire station on the 
property.
    This provision would authorize the Secretary to include a 
reversionary clause in the terms of the conveyance, in the 
event the property conveyed was not used in accordance with the 
purpose stated in the authorization. This provision would also 
authorize the Secretary to seek reimbursement from the fire 
district for costs related to the conveyance.

                     Part II--Air Force Conveyances


Acquisition of build-to-lease family housing at Eielson Air Force Base, 
        Alaska (sec. 2861)

    The committee recommends a provision that would authorize 
the Secretary of the Air Force, if determined to be in the best 
economic interest of the Air Force, to purchase the entire 
interest in a family housing project consisting of 300 units at 
Eielson Air Force Base, Alaska, which is being leased from a 
private entity by the Secretary under section 801 of the 
Military Construction Authorization Act for Fiscal Year 1984 
(Public Law 98-115). The Secretary would be authorized to 
provide consideration for the project at an amount not to 
exceed fair market value, as determined by the Secretary.
    The authorization provided by this provision is similar to 
the authorization provided to the Secretary to purchase 366 
family housing units at Eielson Air Force Base, Alaska under 
section 2804 of the Military Construction Authorization Act for 
Fiscal Year 1999 (Public Law 105-261). The Air Force requires 
the family housing units to be obtained by both purchases to 
meet the total housing requirement for Eielson Air Force Base.

                       Subtitle D--Other Matters


Reorganization and technical improvement of codified laws applicable to 
        real property of the Department of Defense (sec. 2881)

    The committee recommends a provision that would amend 
sections 2663 and 2664 of title 10, United States Code, to 
consolidate and clarify authorities available for real property 
administration. This provision would also repeal sections 2672, 
2672a, and 2676 of title 10, United States Code, that would be 
superceded as a result of the consolidations. This provision 
would also amend section 2661 of title 10, United States Code, 
to clarify the application of the section to the Pentagon 
Reservation.

Report on application of force protection and anti-terrorism standards 
        to leased facilities (sec. 2882)

    The committee recommends a provision that would require the 
Secretary of Defense to submit a report to the congressional 
defense committees no later than May 1, 2006, on the 
application of Department of Defense anti-terrorism/force 
protection (AT/FP) standards to all facilities leased by the 
Department of Defense, or leased by the General Services 
Administration (GSA) on the Department's behalf, that house 
more than 11 personnel in service to, or employed by the 
Department. The report would include:
          (1) a description of all facilities;
          (2) a threat and vulnerability assessment;
          (3) a description of actions to mitigate risk; and
          (4) a description and cost estimate of the actions to 
        be carried out to meet force protection/anti-terrorism 
        standards.
    The committee is committed to ensuring that AT/FP standards 
applied to defense installations to protect military personnel 
should also be applied to leased facilities. The standards, set 
forth in Unified Facilities Criteria (UFC) 4-010-01, ``DOD 
Minimum AT Standards for Buildings,'' were established in 
October 2003 to provide a prescriptive set of design conditions 
in which all leased facilities were to be in full compliance by 
October 2009. No facilities currently leased by the Department 
or GSA, most of which are in highly urban areas, meet the AT/FP 
standards. Yet, as of this date, the Department has not 
released a plan or investment strategy required to achieve the 
goal.
    The committee encourages the Department to work with leased 
facility owners to seek options in the management and upgrade 
of existing leased facilities that could mitigate risk to an 
acceptable level, while saving the Department the costs of the 
relocation of personnel.

Construction at Fort Buchanan, Puerto Rico, for Reserve components 
        (sec. 2883)

    The committee recommends a provision that would amend 
section 1507(b)(2) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (Public Law 106-398) to 
remove the restriction on construction of facilities for 
Reserve component or non-appropriated fund projects.

Authority to use Papago Park Military Reservation, Arizona, for general 
        military purposes (sec. 2884)

    The committee recommends a provision that would amend 
section 1 of the Act of April 7, 1930 (46 Stat. 142, chapter 
107) to change the designation of land reserved for the State 
of Arizona. The Act of April 7, 1930, abolished the Papago 
Saguaro National Monument and reserved specific land for 
military purposes for use by the National Guard of the State of 
Arizona as a rifle range. This provision would designate the 
use of specific land as a military installation known as the 
Papago Park Military Reservation, thereby allowing the State of 
Arizona to incorporate other military requirements on the 
specific land.

One-year extension of Department of Defense laboratory revitalization 
        program (sec. 2885)

    The committee recommends a provision that would extend by 
one year the authorization provided by section 2891 of the 
Military Construction Authorization Act for Fiscal Year 2005 
(division B of Public Law 108-375) for the Secretary of Defense 
to carry out a program for the revitalization of laboratories 
operated by the Department of Defense. This provision would 
provide for the expiration of the authority on September 30, 
2006.
    Initial authorization for this program was provided under 
section 2892 of the Military Construction Authorization Act for 
Fiscal Year 1996 (division B of Public Law 104-106). The 
authority for the program was extended and amended under 
section 2871 of the Military Construction Authorization Act for 
Fiscal Year 1999 (division B of Public Law 105-261) and resumed 
under section 2891 of the Military Construction Authorization 
Act for Fiscal Year 2005 (division B of Public Law 108-375).
    The committee intends the extension of the revitalization 
program for defense laboratories to allow the Secretary of 
Defense to use the increased thresholds in section 2805 of 
title 10, United States Code, to address unique revitalization 
requirements for defense laboratories which typically cost more 
than the revitalization of comparative-sized military 
facilities.

Sense of Congress on establishment of Bakers Creek memorial (sec. 2886)

    The committee recommends a provision that would describe 
the circumstances surrounding the crash at Bakers Creek, 
Australia, of a U.S. B-17C aircraft transporting 6 crew members 
and 35 servicemen from Mackay, Australia, to Port Moresby, New 
Guinea, on June 14, 1943, and that would express the sense of 
the Congress that the Secretary of the Army may establish an 
appropriate marker, at a site to be chosen at the discretion of 
the Secretary, to commemorate the event and the military 
members who died in that tragedy.

                       Items of Special Interest


Report on host nation agreements for overseas installations

    The President released the Integrated Global Presence and 
Basing Strategy (IGPBS) in August, 2004. Within the strategy a 
series of world-wide military installations, designated as 
forward operating sites and cooperative security locations, 
were identified as having an ``enduring presence'' to support 
both the permanent presence of U.S. military personnel and 
rotating units for training and regional operations. The 
Department of Defense provided a report to Congress on March 3, 
2005, which provided an overview by location of the broad 
purpose, planned capability, estimates of U.S. military 
population, and general facility requirements needed by fiscal 
year 2011. The report noted that ``requirements may change as 
discussions and negotiations with host nations mature and 
individual investment strategies are finalized.''
    The Departments of Defense and State are now in the process 
of negotiating formal agreements with host nations to implement 
the strategy. The agreements will establish the status of U.S. 
forces, funding responsibilities, burden-sharing arrangements, 
and basing plans to include the number of U.S. military 
personnel to be stationed in the host country. Many of the 
sites will require a substantial investment of funds for new 
construction and infrastructure, either to be funded by the 
host nation, or by the United States, to meet the intent of the 
strategy.
    To ensure a wise use of taxpayer dollars, the committee 
directs the Secretary of Defense to ensure host nation 
agreements for the status of forces, funding responsibilities, 
and basing plans are secured before including authorization of 
funds for military construction projects in future President's 
budget requests or in future supplemental appropriations 
requests. In addition, the Secretary shall ensure that burden-
sharing arrangements are pursued with host nations in order to 
minimize the impact on Department of Defense's budgets for the 
support of mutual national security interests.
    The committee also directs the Secretary to establish 
installation development master plans that will cover all 
facility and infrastructure requirements, total estimated 
costs, and anticipated funding sources before expending funds 
for new construction and replacement of expeditionary 
facilities. These plans would serve as essential guides to 
ensure that priorities are developed with comprehensive designs 
that guide prudent investment decisions, and that preclude the 
waste of funds on facilities that do not address long-term 
military requirements. These base development master plans, and 
particularly the extent of permanent facilities for exclusive 
use by U.S. forces, must be established in close cooperation 
with host nations to avoid planning conflicts and to be able to 
address mutual requirements.
    The committee directs the Secretary to submit to the 
Committee on Armed Services of the Senate not later than April 
15, 2006, a report that includes the following information for 
overseas locations:
          (1) a description and status of all host nation 
        agreements established, or in negotiation, for each 
        installation identified in the IGPBS as a forward 
        operating site or cooperative security locations that 
        will have an enduring presence of U.S. military 
        personnel;
          (2) a description of the base development master plan 
        for each site or location to include a specific list of 
        facility improvement or construction projects and costs 
        to complete all known requirements to support the 
        estimated U.S. military population; and
          (3) an estimate by site or location of the annual 
        cost to operate and sustain the installation.

Training facilities for military operations in urban terrain

    In the Senate report accompanying S.2514 (S. Rept. 107-
151), the committee required a report by the Secretary of 
Defense that would establish the requirements within the 
Department of Defense for facilities that support training for 
military operations in urban terrain (MOUT).
    The committee is aware that the Department study requested 
by the committee is ongoing. At the same time, requirements for 
new MOUT training capabilities, driven by lessons learned 
during Operation Iraqi Freedom, are increasing within each 
service. The services will continue to address MOUT 
requirements and expend resources independently with minimal 
coordination and cooperation until a comprehensive joint MOUT 
training plan and investment strategy are approved and 
implemented within the Department.
    The committee is concerned that a critical opportunity to 
develop capabilities for joint training in urban operations is 
not effectively being pursued within the Department. Therefore, 
the committee directs the Department to complete the required 
study by November 1, 2005, and to establish a requirements 
baseline against which the capabilities within each service and 
across the Department can be measured. The committee expects 
the results of the study to be incorporated into fiscal year 
2007 budget decisions.

Relocation of Reserve component military units at Lambert International 
        Airport, St. Louis, Missouri

    The committee is aware of current negotiations between the 
Secretary of the Air Force, the Secretary of the Navy, and the 
City of St. Louis Airport Authority to support expansion of 
Lambert International Airport in St. Louis by relocating 
Reserve component military installations at the airport. The 
committee is concerned that the current location of the 131th 
Air National Guard Fighter Wing and a Navy Marine Corps Reserve 
Center (NMCRC) may impede safe operations of a new runway being 
constructed at the airport and the installation of navigational 
equipment required by the Federal Aviation Administration (FAA) 
for the new runway.
    Therefore, the committee urges the Secretary of the Air 
Force and the Secretary of the Navy to complete negotiations 
with the airport authority that will result in an agreement to 
relocate the 131st Fighter Wing and the NMCRC at the expense of 
the airport authority before the new airport runway is 
completed in June 2006. The agreement should also address the 
issue of FAA access to the military installations prior to the 
completion of the relocation of the military units in order to 
install Instrument Landing System equipment, obstruction 
lights, and power cables for the new runway 29 CAT III 
approach.
 DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND 
                          OTHER AUTHORIZATIONS

      TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

Overview
    Title XXXI authorizes appropriations for atomic energy 
defense activities of the Department of Energy (DOE) for fiscal 
year 2006, including: the purchase, construction, and 
acquisition of plant and capital equipment; research and 
development; nuclear weapons; naval nuclear propulsion; 
environmental restoration and waste management; operating 
expenses; and other expenses necessary to carry out the 
purposes of the Department of Energy Organization Act (Public 
Law 95-91). This title authorizes appropriations in four 
categories, which include National Nuclear Security 
Administration (NNSA); defense environmental management; other 
defense activities; and defense nuclear waste disposal.
    The budget request for atomic energy defense activities at 
DOE totaled $16.4 billion, a 1.4 percent decrease below the 
fiscal year 2005 appropriated level. Of the total amount 
requested, $9.4 billion is for NNSA, of which $6.6 billion is 
for weapons activities, $1.6 billion is for defense nuclear 
nonproliferation activities, $786.0 million is for naval 
reactors, and $343.9 million is for the Office of the 
Administrator; $6.0 billion is for defense environmental 
management, of which $5.2 billion is for defense site 
acceleration completion, and $831.3 million is for defense 
environmental services; $636.0 million is for other defense 
activities; $351.4 million is for defense nuclear waste 
disposal; and $12.0 million is for energy supply.
    The committee recommends $16.4 billion for atomic energy 
defense activities at DOE, the amount of the budget request. Of 
the amounts authorized for the NNSA, $6.6 billion is for 
weapons activities, a decrease of $39.8 million below the 
budget request; $1.6 billion is for defense nuclear 
nonproliferation activities, the amount of the budget request; 
$786.0 million is for naval reactors, the amount of the budget 
request; and $343.9 million is for the Office of the 
Administrator, the amount of the budget request. The committee 
recommends $6.2 billion for the defense environmental 
management activities, an increase of $174.4 million above the 
budget request. Of the amounts authorized for defense 
environmental management, $5.3 billion is for defense site 
acceleration completion, an increase of $152.1 million above 
the budget request; and $853.6 million is for defense 
environmental services, an increase of $22.3 million above the 
budget request. The committee recommends $563.4 million for 
other defense activities, a reduction of $72.6 million below 
the budget request. The committee recommends $301.4 million for 
defense nuclear waste disposal, a reduction of $50.0 million 
below the budget request. The committee recommends no funds for 
energy supply, a reduction of $12.0 million.
    The following table summarizes the budget request and the 
authorizations:


         Subtitle A--National Security Programs Authorizations

National Nuclear Security Administration (sec. 3101)
    The committee recommends a provision that would authorize a 
total of $9.4 billion for the Department of Energy (DOE) in 
fiscal year 2006 for the National Nuclear Security 
Administration (NNSA) to carry out programs necessary to 
national security.
Weapons activities
    The committee recommends $6.6 billion for weapons 
activities, a $39.8 million reduction below the amount 
requested in fiscal year 2006. The committee authorizes the 
following activities: $1.4 billion for directed stockpile work; 
$2.1 billion for campaigns; $1.7 billion for readiness in the 
technical base; $216.1 million for secure transportation asset; 
$740.5 million for safeguards and security; and $313.5 million 
for facilities and infrastructure. The budget request included 
$174.4 million for environmental projects and operations. The 
committee recommends no funds for these activities within the 
NNSA.
Directed stockpile work
    The committee recommends $1.4 billion for directed 
stockpile work, the amount of the budget request. The directed 
stockpile account supports work directly related to weapons in 
the stockpile, including day-to-day maintenance as well as 
research, development, engineering, and certification 
activities to support planned life extension programs. This 
account also includes fabrication and assembly of weapons 
components, feasibility studies, weapons dismantlement and 
disposal, training, and support equipment.
Campaigns
    The committee recommends $2.1 billion for campaigns, the 
amount of the budget request. The campaigns focus on science 
and engineering efforts involving the three weapons 
laboratories, the Nevada Test Site, and the weapons plants. 
Each campaign is focused on a specific activity to support and 
maintain the nuclear stockpile without underground nuclear 
weapons testing. These efforts maintain and enhance the safety, 
security, and reliability of the existing stockpile. The 
campaigns are divided into three major categories: science 
campaigns, readiness campaigns, and engineering campaigns.
Readiness in the technical base
    The committee recommends $1.7 billion in readiness in the 
technical base and facilities (RTBF), a $68.6 million increase 
above the budget request. This account funds facilities and 
infrastructure in the weapons complex to ensure the operational 
readiness of the complex and includes construction funding for 
new facilities.
    The $68.6 million increase in RTBF should be used to limit 
any additional deferred maintenance. This amount includes $20.0 
million for fire safety and air handling systems, capital 
equipment upgrades, and infrastructure improvements at the 
Kansas City Plant, which plays a critical role in the warhead 
life extension programs by producing and supporting the non-
nuclear components of nuclear warheads. Additionally, this 
amount includes $12.0 million to accelerate design of the 
Uranium Processing Facility at the Y-12 National Security 
Complex of which $5.0 million is included in project 06-D-140 
and $25.6 million for operations of facilities for maintenance 
projects, equipment replacements, and the upgrade of production 
bays at the Pantex Plant of which $5.6 million is included in 
project 05-D-401.

Secure transportation asset

    The committee recommends $216.1 million for the secure 
transportation asset, a $4.0 million increase above the budget 
request. The secure transportation asset is responsible for 
transportation of nuclear weapons, weapons materials and 
components, and other materials requiring safe and secure 
transport.
    The committee notes that demand for secure transportation 
assets has continued to grow in recent years as sites have 
identified special nuclear material (SNM) excess to program 
needs and consolidated the storage of these materials in fewer 
locations. These actions can improve the security posture of 
DOE sites. The committee encourages DOE to continue to identify 
opportunities and accelerate the consolidation of SNM storage 
at its sites, where appropriate.

Safeguards and security

    The committee recommends $740.5 million for weapons 
safeguards and security, a $32.0 million increase above the 
budget request. This amount includes $20.0 million for security 
upgrades at the Y-12 National Security Complex and $12.0 
million for security upgrades at the Pantex Plant.
    The committee notes that DOE has increased the amount of 
funding for safeguards and security in the Future Years Nuclear 
Security Program (FYNSP) in response to the concern raised by 
the committee last year; however, the committee remains 
concerned about the pace of DOE efforts to respond to current 
postulated threats. Further, DOE has not responded aggressively 
to this committee's direction from last year to invest in force 
multiplying construction and technologies to help increase 
security capabilities. The committee has recommended additional 
funds within the Office of Security and Safety Performance 
Assessment to accelerate the demonstration and deployment of 
security technology at DOE nuclear sites.

Facilities and infrastructure

    The committee recommends $313.5 million for the Facilities 
and Infrastructure Recapitalization Program (FIRP), a $30.0 
million increase above the budget request and the same as the 
amount appropriated in fiscal year 2005. The additional funding 
provided should be used to complete projects on the approved 
FIRP integrated project list, including deferred maintenance on 
heating, ventilating and air conditioning systems at the Y-12 
National Security Complex and at Sandia National Laboratories; 
deferred maintenance and electrical system deficiencies at the 
Pantex Plant and at Los Alamos National Laboratory; and for 
electrical substation equipment at the Nevada Test Site.
    The FIRP program will sunset in the year 2011. The FYNSP 
provided with the budget request projects a 30 percent 
reduction in FIRP funding below the fiscal year 2005 FYNSP. The 
committee does not expect that DOE can meet the FIRP program 
objective of elimination of certain deferred maintenance under 
the new FYNSP. The committee directs DOE to reevaluate FIRP 
funding and to submit with the fiscal year 2007 budget request 
a FYNSP sufficient to meet program goals by the program sunset 
date.

Defense Nuclear Nonproliferation Program

    The committee recommends $1.6 billion for the Defense 
Nuclear Nonproliferation Program, the amount of the budget 
request. The NNSA has management and oversight responsibilities 
for the nonproliferation programs of the Defense Nuclear 
Nonproliferation Program. The committee recommends funding for 
these programs, as follows: $358.2 million for nonproliferation 
and verification research and development, an increase of $86.0 
million above the budget request; $80.2 million for 
nonproliferation and international security; $363.4 million for 
international nuclear materials protection and cooperation, an 
increase of $20.0 million above the budget request; $37.9 
million for global initiatives for proliferation prevention; 
$20.5 million for highly-enriched uranium transparency 
implementation; $212.0 million for elimination of weapons-grade 
plutonium production, an increase of $80.0 million above the 
budget request; $453.1 million for fissile materials 
disposition, a decrease of $200.0 million below the budget 
request; and $112.0 million for the Global Threat Reduction 
Initiative, an increase of $14.0 million above the budget 
request.
    The committee notes that continued delays in the 
commencement of construction activities under the fissile 
materials disposition program make it unlikely that the DOE 
will be able to fully obligate the budget request for that 
program in fiscal year 2006. The committee remains concerned by 
the delays in the fissile materials disposition program, as 
well as in several other cooperative nonproliferation programs 
with Russia, as a result of a dispute between the United States 
and Russia over what liability standards should apply to the 
work under the programs. Continued delays in the fissile 
materials disposition program have significant domestic, as 
well as international, ramifications because work at the U.S. 
MOX Fuel Fabrication Facility is being delayed to ensure 
parallelism with the Russian program. The committee fully 
supports the goals of the MOX program and urges the 
administration to give this matter sustained high-level 
attention with the aim of resolving the dispute as quickly as 
possible so that reasonable liability standards are established 
that will be protective of U.S. interests and will allow the 
program to proceed. However, the committee does not support the 
use of program funds for site preparation or equipment 
procurement for the Russian MOX facility until an agreement on 
liability has been reached.
    The committee believes that the nonproliferation and 
verification research and development program is supporting 
valuable basic and applied research in radiation detection that 
would benefit from the additional resources the committee 
recommends authorizing for this program. The committee notes 
the creation of the Domestic Nuclear Detection Office in the 
Department of Homeland Security and underscores the importance 
of properly coordinating the work of that office with the long-
standing efforts and technical expertise resident in the DOE in 
this critical area. The committee further understands that the 
DOE will retain responsibility for the implementation of 
international nonproliferation programs involving the 
deployment of radiation detection equipment overseas.
    The committee recommends authorizing additional resources 
for the elimination of weapons-grade plutonium production 
program to accelerate the construction of a fossil-fuel power 
plant at Zheleznogorsk in order to meet the goal of shutting 
down the Zheleznogorsk plutonium-producing nuclear reactor by 
2011.
    The committee recommends authorizing additional resources 
for the international nuclear materials protection and 
cooperation program to accelerate security upgrades at Russian 
Strategic Rocket Forces sites, at Russian 12th Main Directorate 
sites as they become available for safety upgrades, and to 
accelerate the installation of equipment at additional 
Megaports.
    The committee recommends authorizing additional resources 
for the Global Threat Reduction Initiative to accelerate the 
conversion of domestic research reactors so that they are 
fueled with low-enriched uranium-fuel rather than highly-
enriched uranium-fuel, which poses a higher proliferation risk.

Naval Reactors

    The committee recommends $786.0 million for Naval Reactors, 
the amount of the budget request.

Office of Administrator

    The committee recommends $343.9 million for program 
direction for the NNSA, the amount of the budget request. This 
account includes program direction funding for all elements of 
NNSA, except for the Naval Reactors Program and the Secure 
Transportation Asset.

Environmental Projects and Operations

    The budget request included $174.4 million for 
environmental projects and operations. The committee recommends 
no funds for these activities within the NNSA. Congress 
established the NNSA under title 32 of the National Defense 
Authorization Act for Fiscal Year 2000 (Public Law 106-65) to 
separate the defense activities of DOE from its other disparate 
missions such as energy research, operation of the federal 
power marketing administrations, and cleanup of the Cold War 
environmental legacy. The environmental management program 
exists for the express purpose of addressing the Cold War 
environmental legacy at DOE sites. Under the Act, the Secretary 
of Energy may transfer any environmental remediation and waste 
management activity at NNSA nuclear weapons production 
facilities or at NNSA national security laboratories from the 
NNSA to another element of DOE. In providing this authority, 
Congress recognized the possibility that DOE may encounter the 
need to migrate a particular facility, program, or activity out 
of the NNSA should it evolve principally into an environmental 
cleanup activity. This provision allows such activity only to 
be transferred out of the NNSA. In proposing the transfer of 
environmental management activities into the NNSA, the budget 
request does not comply with the Act. The committee has 
authorized the activities requested under environmental 
projects and operations within defense environmental 
management, where they are currently conducted and where they 
appropriately reside.

Reliable replacement warhead

    The committee recommends $9.4 million to continue the 
reliable replacement warhead (RRW), the amount of the budget 
request. The committee understands from the testimony of the 
Administrator of the National Nuclear Security Administration 
(NNSA) that the goals of this program are: (1) to increase the 
security and reliability of the nuclear weapons stockpile; (2) 
to develop replacement components for nuclear warheads that can 
be more easily manufactured with more readily available and 
more environmentally benign materials; (3) to develop 
replacements that can be introduced into the stockpile with 
assured high confidence regarding their effect on warhead 
safety and reliability; (4) to develop these replacements on a 
schedule that would reduce the possibility that the United 
States would ever be faced with the need to conduct a nuclear 
test in order to diagnose or remedy a reliability problem in 
the current stockpile; (5) to reduce infrastructure costs 
needed to support the stockpile, while increasing the 
responsiveness of that infrastructure; and (6) to increase 
confidence in the stockpile to a level such that significant, 
additional reductions in numbers of non-deployed ``hedge'' 
warheads can be made.
    The committee supports these goals and this modest 
investment in feasibility studies, as described in the NNSA 
testimony before the Subcommittee on Strategic Forces of the 
Committee on Armed Services, with the goal of substantially 
increasing the safety, security, and reliability of the nuclear 
weapons stockpile and with the ultimate objective of achieving 
the smallest stockpile consistent with our nation's security. 
The Administrator of the NNSA shall submit to the congressional 
defense committees, no later than February 6, 2006, a report 
describing the activities undertaken or planned for any RRW 
funding in fiscal years 2005, 2006, and 2007.

Robust nuclear earth penetrator

    The committee recommends $4.0 million for the robust 
nuclear earth penetrator (RNEP), the amount of the budget 
request. Funding is provided to prepare and execute the sled 
track impact test at Sandia National Laboratories on the 
feasibility of case hardening and target penetration. The 
committee has received testimony from the Secretary of Defense 
and the Commander, U.S. Strategic Command, on the continued 
proliferation of hard and deeply buried targets and the 
resulting military utility of completing the RNEP feasibility 
study.
    The committee notes that section 3117 of the National 
Defense Authorization Act for Fiscal Year 2004 (Public Law 108-
136) prohibits the Secretary of Energy from commencing the 
engineering development phase (Phase 6.3) of the nuclear 
weapons development process, or any subsequent phase, of a 
robust nuclear earth penetrator unless specifically authorized 
by Congress. The funding requested is for Phase 6.2 feasibility 
study only.
    The committee has not included the $4.5 million requested 
within the Air Force budget for the development of logistics, 
integration, and hardware requirements for carriage of the RNEP 
on the B-2 aircraft. The committee does not believe that these 
activities are necessary to evaluate the feasibility of RNEP.

Defense environmental management (sec. 3102)

    The committee recommends a provision that would authorize a 
total of $6.2 billion for the Department of Energy (DOE) in 
fiscal year 2006 for environmental management (EM) activities, 
a $174.4 million increase above the budget request. This amount 
includes $174.4 million for the activities proposed to be 
funded as environmental projects and operations within the 
National Nuclear Security Administration (NNSA). The National 
Defense Authorization Act of 2000 (Public Law 106-65), which 
established the NNSA, did not grant the Secretary of Energy 
authority to transfer environmental remediation and waste 
management activities into the NNSA. The committee does not 
support the transfer into the NNSA of legacy environmental 
liabilities from weapons production during the Cold War. The 
defense environmental management program exists to accomplish 
the express purpose of addressing this legacy.

Defense site acceleration completion

    The committee recommends $5.3 billion for defense site 
acceleration completion, an increase of $152.1 million above 
the budget request. The committee authorizes the following 
activities: $1.0 billion for 2006 accelerated completions, an 
increase of $30.5 million above the budget request; $2.0 
billion for 2012 accelerated completions, an increase of $41.7 
million above the budget request; $2.0 billion for 2035 
accelerated completions, an increase of $79.9 million above the 
budget request; $287.2 million for safeguards and security, the 
amount of the budget request; and $21.4 million for technology 
development and deployment, the amount of the budget request. 
The committee does not support the requested transfer of 
environmental management activities into the NNSA, and has 
provided authorization for these activities in the accelerated 
completion accounts under which they are currently funded.
    The committee is concerned with the pace at which sites 
under the EM program are adopting the measures necessary to 
come into compliance with the new design basis threat. The 
committee encourages DOE to evaluate promptly all EM sites 
currently storing nuclear materials excess to mission needs and 
to execute plans to move excess materials to consolidated, more 
highly secure storage locations.

Defense environmental services

    The committee recommends $853.6 million for defense 
environmental services, an increase of $22.3 million above the 
budget request. The committee authorizes the following 
activities: $87.4 million for non-closure environmental 
activities, the amount of the budget request; $66.4 million for 
community and regulatory support, an increase of $4.4 million 
above the budget request; $451.0 million for the federal 
contribution to the uranium enrichment decontamination and 
decommissioning fund, the amount of the budget request; and 
$248.8 million for program direction, an increase of $17.9 
million above the budget request. The committee does not 
support the requested transfer of environmental management 
activities into the NNSA, and has provided authorization for 
these activities in the environmental services accounts under 
which they are currently funded.

Other defense activities (sec. 3103)

    The committee recommends a provision that would authorize 
$563.4 million for the Department of Energy (DOE) for other 
defense activities, $72.6 million below the budget request.

Security and Safety Performance Assurance

    The committee recommends $316.1 million for security and 
safety performance assurance, an increase of $15.0 million 
above the budget request. This increase provides an additional 
$15.0 million for security technology deployment to mitigate 
security weaknesses, to evaluate how technology may be used to 
reduce security costs, and to adapt technology for physical 
security applications where current technologies are inadequate 
to meet DOE requirements. The committee encourages DOE to use a 
portion of these additional funds for the demonstration and 
field testing of promising security technologies.
    The committee notes that security costs have increased 
rapidly as DOE implements needed security upgrades to protect 
its facilities against the design basis threat issued by DOE in 
2004. The committee is concerned that DOE is relying 
disproportionately on increasing the number of armed security 
personnel at each site to defeat the new threats. The committee 
encourages DOE to adopt state-of-the-art approaches to guard 
those targets at greatest risk, including the use of technology 
and innovative deployment strategies for protective forces.
    The Office of Security and Safety Performance Assurance has 
conducted site assistance visits to review security strategies 
at each DOE site. The committee urges DOE to develop a set of 
effective and cost-efficient strategies for protecting against 
the new design basis threat based on these site visits and to 
promulgate these strategies as security guidance throughout the 
DOE.

Environment, Safety and Health

    The committee recommends $77.0 million for environment, 
safety and health, the amount of the budget request.

Office of Legacy Management

    The committee recommends $45.1 million for the Office of 
Legacy Management, the amount of the budget request.

Nuclear Energy

    The committee recommends $123.9 million for nuclear energy, 
the amount of the budget request.

Defense Related Administrative Support

    The budget request included $87.6 million for national 
security programs administrative support. The committee 
recommends no funds for these activities. The committee views 
these administrative support activities as inherently part of 
the nondefense activities. The committee does not support the 
use of Atomic Energy Defense funds for nondefense activities.

Office of Hearings and Appeals

    The committee recommends $4.4 million for the Office of 
Hearings and Appeals, the amount of the budget request.

Energy security and assurance

    The budget request included $12.0 million for energy 
security and assurance and program direction within the Office 
of Electric Transmission and Distribution. The Department of 
Energy continues to request funds for efforts to secure the 
civilian electricity distribution system as an Atomic Energy 
Defense activity. The committee does not support this 
categorization. These responsibilities constitute a coordinated 
function between the Departments of Energy and Homeland 
Security related to the civilian energy infrastructure. The 
committee recommends no funds for these activities. The 
committee does not support using Atomic Energy Defense funds 
for nondefense activities.

Defense nuclear waste disposal (sec. 3104)

    The committee recommends a provision that would authorize 
$301.4 million for defense nuclear waste disposal, a decrease 
of $50.0 million below the budget request but $72.3 million 
above the amount appropriated in fiscal year 2005. The 
committee notes that the budget request for defense nuclear 
waste disposal increased by 270 percent between the fiscal year 
2005 and fiscal year 2006 budget requests. Given the long 
duration of the development period for the geologic repository, 
the committee encourages the Department of Energy to reduce the 
volatility of the funding amount requested for defense nuclear 
waste disposal from year to year.

                       Subtitle B--Other Matters


Report on compliance with design basis threat (sec. 3105)

    The committee recommends a provision that requires the 
Secretary of Energy, not later than 180 days after the 
enactment of this Act, to submit to the congressional defense 
committees a report describing plans for upgrading the security 
posture of the Department of Energy (DOE) and National Nuclear 
Security Administration (NNSA) in response to the design basis 
threat (DBT) issued by the Secretary of Energy in October 2004. 
The report shall include implementation plans and funding 
required to achieve compliance with the design basis threat by 
September 30, 2007, at DOE and NNSA sites, which contain 
nuclear weapons or special nuclear material. The report shall 
also include an evaluation of technologies and force deployment 
strategies to improve security efficiency and effectiveness 
against threats postulated in the DBT.
    The committee is concerned with the pace of security 
enhancements at DOE and NNSA sites in the face of threats 
assessed by the intelligence community since the attacks of 
September 11, 2001. While both DOE and NNSA have undertaken 
commendable near-term efforts to hire additional security 
personnel and reinforce operational security, longer-term 
efforts to harden facilities physically and to apply security 
technology have lagged. The Secretary of Energy testified 
before the committee that full protection against the DBT will 
not be achieved before 2008. The committee encourages DOE to 
accelerate the achievement of compliance at those sites 
containing assets of gravest concern--nuclear weapons and 
special nuclear material.

Cost estimate for Waste Treatment and Immobilization Plant project, 
        Hanford Site, Richland, Washington (sec. 3106)

    The committee is aware of significant design changes being 
made at the Waste Treatment Plant (WTP) at the Hanford site 
near Richland, Washington, due in part to increased 
understanding of seismic criteria for the facility. The 
committee is concerned that the approach to this project--one 
where design and construction take place concurrently--may lead 
to significant cost escalation. Prior to the most recent design 
changes, the total estimated project cost for the WTP was 
approximately $6.0 billion.
    The committee understands that the Department of Energy has 
tasked the U.S. Army Corps of Engineers to update its prior 
cost estimate of the WTP. The committee directs that this 
effort by the Corps of Engineers be expanded to include the 
development of a full independent cost estimate of the Waste 
Treatment and Immobilization Plant project. The committee 
directs that the independent cost estimate shall include the 
total cost to complete the project and annual funding required 
to complete the project, enumerated by year. The independent 
cost estimate shall include the total and annual costs to 
complete the project for a project completion date in each of 
the following years: 2011, 2012, 2013, 2014, and 2015. The 
Secretary of Energy shall provide this new cost estimate to the 
congressional defense committees no later than March 1, 2006.

Report on international border security programs (sec. 3107)

    The committee recommends a provision that would require the 
Secretary of Energy, in consultation with the Secretaries of 
Defense, State and, as appropriate, Homeland Security, to 
submit a report to the Committees on Armed Services of the 
Senate and the House of Representatives within 120 days after 
enactment of this Act on the management of border security 
programs in the countries of the former Soviet Union and in 
other countries. The report would include: (1) a description of 
the roles and responsibilities of each U.S. department and 
agency in international border security programs; (2) a 
description of the interactions and coordination among U.S. 
departments and agencies that are conducting international 
border security programs; (3) a description of the mechanisms 
that exist to ensure coordination, avoid duplication, and 
provide a means to resolve conflicts or problems that might 
arise in the implementation of international border security 
programs; (4) a discussion of whether there is existing 
interagency guidance that addresses the roles, interactions, 
and dispute resolution mechanisms for departments and agencies 
of the U.S. government that are conducting international border 
security programs, and the adequacy of such guidance if it 
exists; and (5) recommendations to improve the coordination and 
effectiveness of international border security programs.
    The committee notes that a January 2005 report of the 
Government Accountability Office (GAO) entitled ``Weapons of 
Mass Destruction: Nonproliferation Needs Better Integration'' 
identified a strong need for government-wide guidance to 
delineate the roles, interactions, and responsibilities of 
agencies--in particular, the Departments of Energy, Defense, 
and State--in managing international border security programs.
    The committee further notes that a March 2005 GAO report 
entitled ``Preventing Nuclear Smuggling: DOE has made limited 
progress in installing radiation detection equipment at highest 
priority foreign seaports'' recommends that the Department of 
Energy (DOE) develop a comprehensive long-term plan for the 
Megaports program that would identify criteria for deciding how 
many and which lower priority ports to complete if DOE 
continues to have difficulties initiating work at its highest 
priority ports, and that DOE reevaluate the per port cost 
estimates and adjust long-term cost projections as necessary. 
The committee understands that DOE has revised its port 
priority model and has begun work on the comprehensive plan 
recommended by the GAO. The Megaports program, the largest 
border security program of the Department of Energy, is a key 
program to be included in the report required by this 
provision.

                       Items of Special Interest


National security implications of the Rare Isotope Accelerator

    The committee is aware that the Rare Isotope Accelerator 
(RIA) is a high priority civilian science facility under study 
by the Department of Energy Office of Science. The committee 
understands that RIA would allow precise measurements of 
nuclear physics phenomena through the development of beams of 
isotopes that are 10 to 100 times more powerful than those 
available today and in many cases not available at all. The 
committee believes such research into the fundamental structure 
of matter may have possible utility in the analysis of nuclear 
weapons physics.
    The committee directs the Secretary of Energy to report to 
the congressional defense committees no later than 90 days 
after enactment of this Act on the potential utility, if any, 
of data from the RIA on issues concerning national security and 
on any duplication between the potential capability of the RIA 
and any capabilities being developed with atomic energy defense 
funds.

Role of the Kansas City Plant

    The committee is aware that the Kansas City Plant continues 
to play an important role in the nuclear weapons activities of 
the National Nuclear Security Administration (NNSA). The 
mission of the Kansas City Plant is the procurement, 
production, and life-cycle support of the non-nuclear 
components of nuclear warheads. To perform this mission, the 
Kansas City Plant provides precision manufacturing, packaging 
of specialty mechanisms and microelectronics, specialty 
materials, and leading-edge technologies like high speed 
optical electronic telemetry systems. The Kansas City Plant 
provides an array of mission essential products and services in 
one secure environment, and continues to receive outstanding 
performance ratings from NNSA in the fulfillment of its award 
fee contract.
          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Authorization (sec. 3201)
    The committee recommends a provision that would authorize 
$22.0 million for the Defense Nuclear Facilities Safety Board, 
the amount of the budget request.
                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

Revisions to required receipt objectives for previously authorized 
        disposals from the National Defense Stockpile (sec. 3301)
    The committee recommends a provision that would revise 
authorizations for disposal of current inventories of excess 
and obsolete material in the National Defense Stockpile.

                        LEGISLATIVE REQUIREMENTS


                      Departmental Recommendations

    By letter dated April 7, 2005, the General Counsel of the 
Department of Defense forwarded to the President of the Senate 
proposed legislation ``To authorize appropriations for fiscal 
year 2006 for military activities of the Department of Defense, 
to prescribe military personnel strengths for fiscal year 2006, 
and for other purposes.'' The transmittal letter and proposed 
legislation were officially referred as Executive Communication 
1578 to the Committee on Armed Services on April 7, 2005.
    Executive Communication 1578 is available for review at the 
committee.

Committee Action

    The Committee ordered reported a comprehensive original 
bill and a series of original bills for the Department of 
Defense, military construction and Department of Energy 
authorizations by voice vote.
    There were no rollcall votes on amendments to the bill.

Congressional Budget Office Cost Estimate

    It was not possible to include the Congressional Budget 
Office cost estimate on this legislation because it was not 
available at the time the report was filed. It will be included 
in material presented during floor debate on the legislation.

                           Regulatory Impact

    Paragraph 11(b) of rule XXVI of the Standing Rules of the 
Senate requires that a report on the regulatory impact of the 
bill be included in the report on the bill. The committee finds 
that there is no regulatory impact in the case of the National 
Defense Authorization Bill for Fiscal Year 2006.

                        Changes in Existing Law

    Pursuant to the provisions of paragraph 12 of rule XXVI of 
the Standing Rules of the Senate, the changes in existing law 
made by certain portions of the bill have not been shown in 
this section of the report because, in the opinion of the 
committee, it is necessary to dispense with showing such 
changes in order to expedite the business of the Senate and 
reduce the expenditure of funds.