E PL UR UM IB N U U S Congressional Record United States th of America PROCEEDINGS AND DEBATES OF THE 104 CONGRESS, SECOND SESSION

Vol. 142 WASHINGTON, MONDAY, JANUARY 22, 1996 No. 7 House of Representatives

The House met at 2 p.m. and was come forward and lead the House in the JOINT SESSION OF CONGRESS— called to order by the Speaker pro tem- Pledge of Allegiance. STATE OF THE UNION ADDRESS pore [Mr. EVERETT]. Mr. SMITH of Texas led the Pledge of The SPEAKER pro tempore laid be- f Allegiance as follows: fore the House a Senate concurrent res- DESIGNATION OF THE SPEAKER I pledge allegiance to the Flag of the olution (S. Con. Res. 39), which was United States of America, and to the Repub- read by the Clerk, as follows: PRO TEMPORE lic for which it stands, one nation under God, S. CON. RES. 39 The SPEAKER pro tempore laid be- indivisible, with liberty and justice for all. fore the House the following commu- Resolved by the Senate (the House of Rep- f resentatives concurring), That the two Houses nication from the Speaker: MESSAGE FROM THE PRESIDENT of Congress assemble in the Hall of the WASHINGTON, DC, House of Representatives on Tuesday, Janu- January 22, 1996. A message in writing from the Presi- ary 23, 1996, at 9 p.m., for the purpose of re- I hereby designate the Honorable Terry Ev- dent of the United States was commu- ceiving such communication as the Presi- erett to act as Speaker pro tempore on this nicated to the House by Mr. Edwin dent of the United States shall be pleased to day. Thomas, one of his secretaries. make to them. NEWT GINGRICH, Speaker of the House of Representatives. f The Senate concurrent resolution was concurred in. f MESSAGE FROM THE SENATE A motion to reconsider was laid on PRAYER A message from the Senate by Mr. the table. The Chaplain, Rev. James David Lundregan, one of its clerks, an- f Ford, D.D., offered the following pray- nounced that the Senate had passed a END CLINTON SNOW JOB er: bill and concurrent resolution of the (Mr. SMITH of Texas asked and was O gracious God, from whom comes following titles, in which the concur- given permission to address the House every good and perfect gift, we offer rence of the House is requested: for 1 minute and to revise and extend our thanks for this new day and new S. 1260. An act to reform and consolidate opportunities. As we open our hearts to his remarks.) the public and assisted housing programs of Mr. SMITH of Texas. Mr. Speaker, as Your grace and heed Your Word, may the United States, and to redirect primary we be transformed by the renewing of responsibility for these programs from the Washington, DC, recently struggled to our minds and spirit, so all that which Federal Government to States and localities, dig out from the worst blizzard in hinders or hurts is put aside and that and for other purposes. years, Americans from across the Na- which redeems and reforms and for- S. Con. Res. 39. Concurrent resolution pro- tion began to see through the Clinton viding for the State of the Union Address by snow job. gives remains with each of us. With the President of the United States. gratitude and praise we offer these Consider the thoughts of a constitu- words of prayer together with the pri- f ent, friend, and relative, Linda vate petitions of our hearts, asking Seeligson from San Antonio. She right- PERMISSION TO HAVE UNTIL MID- ly fears that the President’s opposition You to bless us and keep us this day NIGHT, TO FILE CONFERENCE and all the days long. Amen. to entitlement reform and lower taxes REPORT ON S. 1124, NATIONAL will steal our children’s future. She f DEFENSE AUTHORIZATION ACT sees through the President’s Mediscare THE JOURNAL FOR FISCAL YEAR 1996 tactics. And she resents the President’s The SPEAKER pro tempore. The Mr. STUMP. Mr. Speaker, I ask use of generational warfare to pit par- Chair has examined the Journal of the unanimous consent that the managers ents against children, employers last day’s proceedings and announces on the part of the House have until against employees, and workers to the House his approval thereof. midnight tonight, to file a conference against retirees. Pursuant to clause 1, rule I, the Jour- report on the Senate bill (S. 1124) Na- Millions of Americans agree. They nal stands approved. tional Defense Authorization Act for reject the politics of envy and class f 1996. warfare. They have real compassion for The SPEAKER pro tempore. Is there working families who must work PLEDGE OF ALLEGIANCE objection to the request of the gen- longer to pay for big Government. The SPEAKER pro tempore. Will the tleman from Arizona? They’re tired of a welfare state paid for gentleman from Texas [Mr. SMITH] There was no objection. by the middle class. And they seek to

b This symbol represents the time of day during the House proceedings, e.g., b 1407 is 2:07 p.m. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor.

H 339 H 340 CONGRESSIONAL RECORD — HOUSE January 22, 1996 replace this welfare state with an op- I represent Silicon Valley. How will to changing market conditions and to intro- portunity society built on personal re- America be improved if the high-tech, duce new products will be hampered without sponsibility. cutting-edge companies of Silicon Val- SEC approval of their filings. No transactional assistance except in Bill Clinton ran for office claiming to ley are stopped from raising Capital emergency situations. The staff would not be represent the people who do the work, through IPO’s? able to respond to regular requests for ex- pay the taxes, and raise the children. We have 4 days to act—to fund the emptions or other necessary Commission ac- Americans like Linda Seeligson want a SEC at last year’s level. Let’s protect tion to facilitate capital raising activities, balanced budget, lower taxes, and less America’s economy and get that job mergers and acquisition transactions, and government. done tomorrow. tender offers. And they want an end to the Clinton Mr. Speaker, I include for the During the government-wide shutdown which occurred November 14 through Novem- blizzard of more spending and higher RECORD the following material: ber 20, the fee rate for registration state- taxes. U.S. SECURITIES AND ments filed pursuant to Section 6(b) of the f EXCHANGE COMMISSION, Securities Act of 1933 reverted to the statu- Washington, DC, January 19, 1996. tory rate of 1/50th of one percent from its DEFAULT THREAT HINTED AT Hon. HAROLD ROGERS, current rate of 1/29th of one percent. Had the WAS WAY TO SETTLE BUDGET Chairman, Appropriations Subcommittee on fee rate not been restored to 1/29th of one (Mr. BENTSEN asked and was given Commerce, Justice, and State, the Judiciary, percent in a subsequent continuing resolu- permission to address the House for 1 and Related Agencies, House of Representa- tion, the U.S. Treasury would have lost ap- tives, Washington, DC. proximately $30 million. minute and to revise and extend his re- DEAR CHAIRMAN ROGERS: We are writing to As you know, the SEC is funded through marks.) request your help in the upcoming negotia- the Commerce-Justice-State (CJS) appro- Mr. BENTSEN. Mr. Speaker, a week tions for a new Continuing Resolution or ap- priations bill, which was vetoed by President ago, the chairman of the Committee on propriation action. We strongly urge you to Clinton on grounds unrelated to the SEC. the Budget, Mr. KASICH, said that the support language that maintains the SEC’s The SEC portion of the CJS bill, however, is Republicans had abandoned the idea of 1005 funding level of $297 million and main- non-controversial. It would provide the SEC shutting down the Government and de- tains the fee rate at the current rate of 1/29th with funding at its fiscal 95 level of $297 mil- faulting on the national debt. But yes- of one percent of the offering amount. In the lion, and provide the SEC with authority to event of a disruption in funding authority continue to collect securities fees to offset terday, my colleague from Texas, the for the Securities and Exchange Commis- much of its appropriation. majority leader, Mr. ARMEY, said that sion, we fear the protection of investors and The SEC is a very small agency that is default on the debt was again a threat, capital formation could be seriously ham- charged with a very large mission: promot- right here on the front page of the New pered. In addition, the amount of money de- ing the fairness, efficiency, and preeminence York Times and on every paper across posited into the U.S. Treasury from SEC fil- of our nation’s securities markets. We are this country. ing fees would be reduced. aware of the many challenges you face and Mr. Speaker, I guess it is a case of In our view, operating at this minimal difficult decisions you must make in the dumb and dumber. It was dumb to shut emergency level would seriously compromise days ahead. We respectfully request that you the SEC’s ability to oversee the securities seriously consider the SEC’s funding. down the Government; it is dumber to markets. The impact of a disruption in the Sincerely, default on the debt of the Government. SEC’s funding authority would include: STEVEN M.H. WALLMAN, My Republican friends say we are doing No new investigations. Enforcement staff Commissioner. this budget that cuts Medicare and would be unable to open new cases. While Medicaid to do it for our children and emergency actions to freeze assets or other- [From the San Jose Mercury, Jan. 6, 1996] our grandchildren. But the Republican wise protect assets would be permitted under WHY SEC CLOSURE HURTS TECH FIRMS plan is to hurt homeowners and to the contingency plan, the agency’s ability to (By Steve Kaufman) leave our children and grandchildren detect developing situations which present The initial public stock offerings of 60 imminent threat to investor assets would be with a mountain of bad debt. technology companies—including about 10 impaired. technology firms based in Silicon Valley— f No work on existing investigations. En- are in jeopardy because of the pending shut- forcement staff would have to cease ongoing KEEP THE SEC FUNDED down of the Securities and Exchange Com- investigative activity, except where appear- mission next week. (Ms. LOFGREN asked and was given ances in court are required or investor funds U.S. Rep. Zoe Lofgren, D-San Jose, said permission to address the House for 1 are at active risk. Friday the SEC is among the agencies that minute and to revise and extend her re- No review of corporate filings except in have been omitted from a list of those that marks.) emergency situations. The normal process- will get interim funding until the resolution ing of corporate filings by companies seeking of the federal budget impasse. The SEC, Ms. LOFGREN. Mr. Speaker, I have to raise capital in the markets would be sig- studied the materials about the Gov- which regulates the U.S. financial markets, nificantly impaired. must approve IPOs. ernment shutdown that could happen No regular examinations except in emer- IPOs are one of the hottest market seg- this Friday. I’m worried about some- gency situations. There are certain inspec- ments. Some IPO experts said the freeze in thing nobody seems to be talking tions that the SEC conducts regularly and IPOs could have a negative effect on the about—funding for the Securities and continually; during a funding disruption, companies involved, even if it is short-lived. Exchange Commission. regular examinations and inspections of They are fast-growing companies in rapidly I’m not an expert on the SEC; not broker-dealers, investment companies, and changing markets. Such companies may lose investment advisers could not be performed. brief opportunities to market their products many Members are. But, I know when The absence of such reviews, in the worst the Stock Market crashed in 1929, it if they don’t quickly collect the capital they case, could place the assets and retirement expect from the public sale of their stock, didn’t do America much good. The SEC funds of investors at risk. The agency’s abil- experts said. is supposed to keep that from happen- ity to detect situations that present immi- For a company competing in Internet soft- ing again. nent threat to investor assets would be im- ware or in medical devices, for example, I have a letter from the SEC that paired. ‘‘even a delay of a few weeks could mean lost says, ‘‘in the event of a disruption in No review of periodic filings. Quarterly and market share and customers,’’ said Kathy funding . . . we fear the protection of annual reports would not be reviewed. The Smith, an analyst at Renaissance Capital, a assurance of adequate financial disclosure investors and capital formation could Greenwich, Conn., institutional research for investment decisions could be com- firm that specializes in IPOs. be seriously hampered and it would se- promised. IPO watchers couldn’t believe that the riously compromise the SEC’s ability Limited market oversight. A funding dis- SEC plans to close, albeit temporarily. Be- to oversee the securities markets . . . ruption would reduce market monitoring cause the nation’s financial markets remain and could hamper the agency’s ability staffing to skeletal levels and could hamper open, they said, its functions are essential. to react quickly in the event of a mar- the agency’s ability to react quickly in the Smith said the closing, however brief, could ket disruption.’’ event of a market disruption. Regular in- damage the reputation of the U.S. markets The SEC would be unable to respond spections of stock exchanges and markets as the most efficient and best regulated in would cease. the world. to requests for Commission action to No review of stock exchange (NYSE, ‘‘An SEC shutdown tells the world that facilitate capital raising, mergers and AMEX, NASD, etc.) pending rule proposals maybe the U.S. financial markets aren’t as acquisitions, and tender offers. Initial except in emergency situations. The ability dependable as it thought they were,’’ Smith public offerings couldn’t move forward. of exchanges to respond in a timely fashion said. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 341 According to Securities Data Co., a New- We should not be playing games with days before she was born, or 10 seconds ark, N.J., financial market research firm, 80 this issue. or 10 minutes or 5 minutes, right up to IPOs valued at $2.32 billion have been ap- Mr. Speaker, I urge my colleagues to the moment of conception. proved by the SEC and will begin to go pub- support a clean debt ceiling. Let us do We are going to win this pro-life bat- lic next week. But Renaissance Capital added that 60 it quickly and not to things that tle, and the biggest battle is 288 days more IPOs—including 41 technology compa- should not happen. from today, putting a pro-life couple in nies—are expected to go public in January f the White House. and February and are in various stages of the I yield back the balance of my time, TIME FOR NEGOTIATION ON SEC IPO approval process. Smith believes and take little Molly in my arms BUDGET that all but one of these deals will be again. snagged by an SEC shutdown, which report- (Ms. DELAURO asked and was given edly could occur toward the end of next permission to address the House for 1 f week. In aggregate, these deals are valued at minute and to revise and extend her re- about $2 billion. An SEC shutdown could affect the entire marks.) ANNOUNCEMENT BY THE SPEAKER IPO market, not just the latest round of Ms. DELAURO. Mr. Speaker, here is PRO TEMPORE newcomers. But it is unclear whether that what Republican Budget Chairman The SPEAKER pro tempore. The impact would be negative or positive. JOHN KASICH said in November about Chair would remind the Member not to It could be negative because a hot IPO the budget negotiations: ‘‘Frankly, we use others who are not Members as market already has made investors nervous, don’t ask for a lot. We ask for nothing props on the floor. IPO watchers say. Any unexpected problem more than a commitment to do this in could deflate interest in IPOs and conceiv- a 7-year period. The priorities within f ably pummel prices. ‘‘The market could lose a lot of momentum—and at a time when a that 7-year plan are negotiable.’’ lot more deals are ready to roll out,’’ said The President has done his part. He BALANCED BUDGET PLAN DOES David Gleba, chairman of Ventureone Corp., has given Republicans a 7-year bal- EXIST a San Francisco venture capital research anced budget using their economic as- firm. sumptions. But now, Republicans want (Mr. STUPAK asked and was given On the other hand, Gleba said, a pause in to move the goalpost in the middle of permission to address the House for 1 the IPO market might provide a needed the game. minute and to revise and extend his re- marks.) break. The breather could reduce speculative Now, Mr. KASICH and his colleagues froth and ultimately lengthen the life of this say they will not negotiate on the Mr. STUPAK. Mr. Speaker, first I cycle. ‘‘In the long term, this could actually would say congratulations to Grandpa turn out to be a positive,’’ Gleba said. budget priorities. Mr. KASICH, keep your word and negotiate. For 220 years, DORNAN on his newest grandchild. Unlike others, Gleba was also ambivalent Mr. Speaker, as I was back home this about the impact on delayed IPOs. that’s how this democracy has worked. ‘‘Anything that risks getting money to Let’s make it work again. Government last 2 weeks for the district work pe- grow your business is bad news,’’ he said. On shutdowns, defaults on our debt—these riod, we had a lot of town hall meet- the other hand, he said, the timing of IPO tactics are an affront to democracy. ings. I spoke with many other groups. deals has always been flexible, with no guar- It’s time for people of good will from For Mr. DORNAN’s grandchild and other antee when deals will occur. Good IPO can- both parties to do what’s best for our grandchildren and our children didates are able to delay offerings by throughout this whole country, folks months, or even a year, an advantage be- country. It’s time to balance the budg- et while protecting Medicare, Medic- told me we need a balanced budget, we cause the stock market environment could must have a balanced budget. change and no longer be favorable for an aid, education, and the environment. IPO. The President’s door is open. I say to my friends on this side of the aisle, there are actually three balanced f f budgets pending before the House that HOUSE SHOULD ENACT A CLEAN TIDE OF PRO-LIFE BATTLE will meet the Congressional Budget Of- DEBT CEILING TURNING fice requirement to balance the budget (Mrs. KENNELLY asked and was (Mr. DORNAN asked and was given within 7 years. But of the three plans, given permission to address the House permission to address the House for 1 what the voices from home told me is for 1 minute and to revise and extend minute and to revise and extend his re- they need to balance the budget while her remarks.) marks.) protecting Medicare, education, and Mrs. KENNELLY. Mr. Speaker, this Mr. DORNAN. Mr. Speaker, what a the environment. The plan the folks at House should enact a clean debt ceil- pleasure to take the well of the House home clearly supported was the plan ing, and we should do it soon. The full on this pro-life day. That is the mud of that had the least amount of cuts in faith and credit of the U.S. Govern- the White House lawn and the Ellipse, the Medicare programs. In fact, the ment is not a political tool. It is one of Mr. Speaker, you see on my shoes and folks back home are saying no tax the cornerstones of our economic sta- on the trousers of the suit that I wore breaks until we balance the budget. bility. Its preservation is not a matter the day I nominated George Bush for So of those three plans, I hope we of politics; it is a matter of govern- President. will look at those three plans in the ance. It is one of the responsibilities Following House rules here, because I next few weeks and actually in those that comes with being in the leadership just found out I cannot hold a little three plans, let us look at the plan that in this House. baby in my arms, here is Peg over here. has the least amount of cuts in Medi- Over the last months, Members of Come here, Peg, just so I can use you care, no cuts in education, that will this House insisted that Government as an A-frame. protect our environment and balance shut down to force agreement on a bal- This is Molly Christine Oona Dornan, the budget in 7 years. It can be done. anced budget. We all saw the difficul- number 10 BOB and Sally DORNAN That plan does exist. ties, inconveniences, waste, and other grandchild; mommy Theresa doing f awful things that resulted. But the well. She is 10 days old. She came a few march of folly continues. Now there is days later than that Friday I said she talk of forcing default unless the ma- was due any minute. That was a false HOUR OF MEETING ON TOMORROW jority’s agenda is adopted. alarm. Mr. SMITH of Texas. Mr. Speaker, I There is no justification for this. I now have five grandsons and five ask unanimous consent that when the This is an issue we agree on in sub- granddaughters and five grown wonder- House adjourns today, it adjourn to stance. The long-term extension of the ful kids. There is still a bachelor out meet at 12:30 p.m. tomorrow for morn- debt ceiling was contained in the rec- there. God willing, there will be more ing hour debates. onciliation bill, and it is also the same to come. This little Molly O. Dornan is The SPEAKER pro tempore. Is there number asked by the administration, 10 days a person. But you know what I objection to the request of the gen- $5.5 trillion. We should not be at this said to 75,000 pro-lifers today? We All tleman from Texas? time teetering on the brink of default. know she was a person 20 days ago, 10 There was no objection. H 342 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ADJOURNMENT FROM TUESDAY, a bipartisan welfare reform agreement signed to meet an arbitrary budget JANUARY 23, 1996, TO WEDNES- that is tough on work and responsibil- target rather than to achieve seri- DAY, JANUARY 24, 1996 ity, but not tough on children and on ous reform. The legislation makes Mr. SMITH of Texas. Mr. Speaker, I parents who are responsible and who damaging structural changes and ask unanimous consent that when the want to work. deep budget cuts that would fall The Congress and the Administration House adjourns Tuesday, January 23, hardest on children and undermine are engaged in serious negotiations to- 1996, it adjourn to meet at noon on States’ ability to move people from ward a balanced budget that is consist- Wednesday, January 24, 1996. welfare to work. We should work ent with our priorities—one of which is The SPEAKER pro tempore. Is there together to balance the budget and to ‘‘reform welfare,’’ as November’s objection to the request of the gen- reform welfare, but the Congress agreement between Republicans and tleman from Texas? should not use the words ‘‘welfare Democrats made clear. Welfare reform There was no objection. reform’’ as a cover to violate the must be considered in the context of f Nation’s values. Making $60 billion other critical and related issues such in budget cuts and massive struc- DISPENSING WITH CALENDAR as Medicaid and the Earned Income tural changes in a variety of pro- WEDNESDAY BUSINESS ON Tax Credit. Americans know we have grams, including foster care and WEDNESDAY NEXT to reform the broken welfare system, adoption assistance, help for dis- but they also know that welfare reform Mr. SMITH of Texas. Mr. Speaker, I abled children, legal immigrants, is about moving people from welfare to ask unanimous consent that the busi- food stamps, and school lunch is work, not playing budget politics. ness in order on calendar Wednesday of not welfare reform. The final wel- The Administration has and will con- fare reform legislation should re- this week may be dispensed with. tinue to set forth in detail our goals for The SPEAKER pro tempore. Is there duce the magnitude of these budget reform and our objections to this legis- cuts and the sweep of structural objection to the request of the gen- lation. The Administration strongly tleman from Texas? changes that have little connection supported the Senate Democratic and to the central goal of work-based There was no objection. House Democratic welfare reform bills, f reform. We must demand respon- which ensured that States would have sibility from young mothers and COMMUNICATION FROM THE the resources and incentives to move young fathers, not penalize chil- CLERK OF THE HOUSE people from welfare to work and that dren for their parents’ mistakes. I children would be protected. I strongly The SPEAKER pro tempore laid be- am deeply committed to working support time limits, work require- fore the House the following commu- with the Congress to reach biparti- ments, the toughest possible child sup- nication from the Clerk of the House of san agreement on an acceptable port enforcement, and requiring minor Representatives: welfare reform bill that addresses mothers to live at home as a condition U.S. HOUSE OF REPRESENTATIVES, these and other concerns. We owe it of assistance, and I am pleased that to the people who sent us here not Washington, DC, January 10, 1996. these central elements of my approach Hon. NEWT GINGRICH, to let this opportunity slip away by The Speaker, U.S. House of Representatives, have been addressed in H.R. 4. doing the wrong thing or failing to We remain ready at any moment to Washington, DC. act at all. sit down in good faith with Repub- DEAR MR. SPEAKER: Pursuant to the per- WILLIAM J. CLINTON. mission granted in clause 5 of rule III of the licans and Democrats in the Congress THE WHITE HOUSE, January 9, 1996. Rules of the U.S. House of Representatives, I to work out an acceptable welfare re- The SPEAKER pro tempore. The ob- have the honor to transmit a sealed envelope form plan that is motivated by the ur- jections of the President will be spread received from the White House on Wednes- gency of reform rather than by a budg- at large upon the Journal, and the mes- day, January 10, 1996 at 11:50 a.m. and said to et plan that is contrary to America’s contain a message from the President where- sage and bill will be printed as a House values. There is a bipartisan consensus in he returns without his approval H.R. 4, document. around the country on the fundamental the ‘‘Personal Responsibility and Work Op- Mr. BUNNING of Kentucky. Mr. elements of real welfare reform, and it portunity Act of 1995.’’ Speaker, I ask unanimous consent that would be a tragedy for this Congress to With warm regards, the message together with the accom- ROBIN H. CARLE, squander this historic opportunity to panying bill be referred to the Commit- Clerk, U.S. House of Representatives. achieve it. It is essential for the Con- tee on Ways and Means. f gress to address shortcomings in the The SPEAKER pro tempore. Is there legislation in the following areas: PERSONAL RESPONSIBILITY AND objection to the request of the gen- —Work and Child Care: Welfare re- WORK OPPORTUNITY ACT OF tleman from Kentucky? form is first and foremost about 1995—VETO MESSAGE FROM THE There was no objection. work. H.R. 4 weakens several im- PRESIDENT OF THE UNITED portant work provisions that are f STATES (H. DOC. NO. 104–164) vital to welfare reform’s success. REPORT ON NATIONAL EMER- The SPEAKER pro tempore laid be- The final welfare reform legislation GENCY WITH RESPECT TO fore the House the following veto mes- should provide sufficient child care LIBYA—MESSAGE FROM THE sage from the President of the United to enable recipients to leave wel- PRESIDENT OF THE UNITED States: fare for work; reward States for STATES (H. DOC. NO. 104–165) To the House of Representatives: placing people in jobs; restore the I am returning herewith without my guarantee of health coverage for The SPEAKER pro tempore laid be- approval H.R. 4, the ‘‘Personal Respon- poor families; require States to fore the House the following message sibility and Work Opportunity Act of maintain their stake in moving from the President of the United 1995.’’ In disapproving H.R. 4, I am nev- people from welfare to work; and States; which was read and, together ertheless determined to keep working protect States and families in the with the accompanying papers, without with the Congress to enact real, bipar- event of economic downturn and objection, referred to the Committee tisan welfare reform. The current wel- population growth. In addition, the on International Relations: fare system is broken and must be re- Congress should abandon efforts in- To the Congress of the United States: placed, for the sake of the taxpayers cluded in the budget reconciliation I hereby report to the Congress on who pay for it and the people who are bill that would gut the Earned In- the developments since my last report trapped by it. But H.R. 4 does too little come Tax Credit, a powerful work of July 12, 1995, concerning the na- to move people from welfare to work. incentive that is enabling hundreds tional emergency with respect to Libya It is burdened with deep budget cuts of thousands of families to choose that was declared in Executive Order and structural changes that fall short work over welfare. No. 12543 of January 7, 1986. This report of real reform. I urge the Congress to —Deep Budget Cuts and Damaging is submitted pursuant to section 401(c) work with me in good faith to produce Structural Changes: H.R. 4 was de- of the National Emergencies Act, 50 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 343 U.S.C. 1641(c); section 204(c) of the more than 107 transactions potentially Council in Resolutions 731 and 748, con- International Emergency Economic involving Libya, totaling more than cerning the bombing of the Pan Am 103 Powers Act (IEEPA), 50 U.S.C. 1703(c); $26.0 million, were interdicted. As of and UTA 772 flights, constituted a and section 505(c) of the International December 4, 23 of these transactions threat to international peace and secu- Security and Development Cooperation had been authorized for release, leaving rity. The United States will continue Act of 1985, 22 U.S.C. 2349aa–9(c). a net amount of more than $24.6 mil- to coordinate its comprehensive sanc- 1. On January 3, 1996, I renewed for lion blocked. tions enforcement efforts with those of another year the national emergency Since my last report, FAC collected other U.N. member states. We remain with respect to Libya pursuant to 27 civil monetary penalties totaling determined to ensure that the per- IEEPA. This renewal extended the cur- more than $119,500, for violations of the petrators of the terrorist acts against rent comprehensive financial and trade U.S. sanctions against Libya. Fourteen Pan Am 103 and UTA 772 are brought to embargo against Libya in effect since of the violations involved the failure of justice. The families of the victims in 1986. Under these sanctions, all trade banks or credit unions to block funds the murderous Lockerbie bombing and with Libya is prohibited, and all assets transfers to Libyan-owned or -con- other acts of Libyan terrorism deserve owned or controlled by the Libyan gov- trolled banks. Two other penalties nothing less. I shall continue to exer- ernment in the United States or in the were received from corporations for ex- cise the powers at my disposal to apply possession or control of U.S. persons port violations or violative payments economic sanctions against Libya fully are blocked. to Libya for unlicensed trademark and effectively, so long as those meas- 2. There has been one amendment to transactions. Eleven additional pen- ures are appropriate, and will continue the Libyan Sanctions Regulations, 31 alties were paid by U.S. citizens engag- to report periodically to the Congress C.F.R. Part 550 (the ‘‘Regulations’’), ing in Libyan oilfield-related trans- on significant developments as re- administered by the Office of Foreign actions while another 40 cases involv- quired by law. Assets Control (FAC) of the Depart- ing similar violations are in active WILLIAM J. CLINTON. ment of the Treasury, since my last re- penalty processing. THE WHITE HOUSE, January 22, 1996. port on July 12, 1995. The amendment In November 1995, guilty verdicts f (60 Fed. Reg. 37940–37941, July 25, 1995) were returned in two cases involving il- added three hotels in Malta to appen- legal exportation of U.S. goods to COMMUNICATION FROM THE HON- dix A, Organizations Determined to Be Libya. A jury in Denver, Colorado, ORABLE MARTIN R. HOKE, MEM- Within the Term ‘‘Government of found a Denver businessman guilty of BER OF CONGRESS Libya’’ (Specifically Designated Na- violating the Regulations and IEEPA The SPEAKER pro tempore laid be- tionals (SDNs) of Libya). A copy of the when he exported 50 trailers from the fore the House the following commu- amendment is attached to this report. United States to Libya in 1991. A Hous- nication from the Honorable MARTIN R. Pursuant to section 550.304(a) of the ton, Texas, jury found three individ- HOKE, Member of Congress: Regulations, FAC has determined that uals and two companies guilty on CONGRESS OF THE UNITED STATES, these entities designated as SDNs are charges of conspiracy and violating the Washington, DC, January 3, 1996. owned or controlled by, or acting or Regulations and IEEPA for trans- Hon. NEWT GINGRICH, purporting to act directly or indirectly actions relating to the 1992 shipment of Speaker of the House, on behalf of, the Government of Libya, oilfield equipment from the United The Capitol, Washington, DC. or are agencies, instrumentalities, or States to Libya. Also in November, a DEAR MR. SPEAKER: Pursuant to Rule L (50) of the Rules of the House of Representa- entities of that government. By virtue Portland, Oregon, lumber company en- tives, this is to formally notify you that of this determination, all property and tered a two-count felony information Thomas B. Boutall of my district office in interests in property of these entities plea agreement for two separate ship- Fairview Park, Ohio, has been served with a that are in the United States or in the ments of U.S.-origin lumber to Libya subpoena that was issued by the Cuyahoga possession or control of U.S. persons during 1993. These three actions were County Court of Common Pleas (Ohio) in the are blocked. Further, U.S. persons are the result of lengthy criminal inves- matter of Nix v. Hill. prohibited from engaging in trans- tigations begun in prior reporting peri- After consultation with the Office of Gen- eral Counsel, it has been determined that actions with these entities unless the ods. Several other investigations from compliance with the subpoena is consistent transactions are licensed by FAC. The prior reporting periods are continuing with the precedents and privileges of the designations were made in consultation and new reports of violations are being U.S. House of Representatives. with the Department of State. pursued. Very truly yours, 3. During the current 6-month period, 5. The expenses incurred by the Fed- MARTIN R. HOKE, FAC made numerous decisions with re- eral Government in the 6-month period Member of Congress. spect to applications for licenses to en- from July 6, 1995, through January 5, f gage in transactions under the Regula- 1996, that are directly attributable to SPECIAL ORDERS tions, issuing 54 licensing determina- the exercise of powers and authorities tions—both approvals and denials. Con- conferred by the declaration of the Lib- The SPEAKER pro tempore. Under sistent with FAC’s ongoing scrutiny of yan national emergency are estimated the Speaker’s announced policy of May banking transactions, the largest cat- at approximately $990,000. Personnel 12, 1995, and under a previous order of egory of license approvals (20) con- costs were largely centered in the De- the House, the following Members will cerned requests by Libyan and non-Lib- partment of the Treasury (particularly be recognized for 5 minutes each. yan persons or entities to unblock in the Office of Foreign Assets Control, f transfers interdicted because of an ap- the Office of the General Counsel, and The SPEAKER pro tempore. Under a parent Government of Libya interest. the U.S. Customs Service), the Depart- previous order of the House, the gen- A license was also issued to a local tax- ment of State, and the Department of tleman from North Dakota [Mr. ing authority to foreclose on a prop- Commerce. POMEROY] is recognized for 5 minutes. erty owned by the Government of 6. The policies and actions of the [Mr. POMEROY addressed the House. Libya for failure to pay property tax Government of Libya continue to pose His remarks will appear hereafter in arrearages. an unusual and extraordinary threat to the Extensions of Remarks.] 4. During the current 6-month period, the national security and foreign pol- f FAC continued to emphasize to the icy of the United States. In adopting international banking community in UNSCR 883 in November 1993, the Secu- EFFECT OF DEFAULTING ON THE the United States the importance of rity Council determined that the con- NATIONAL DEBT identifying and blocking payments tinued failure of the Government of The SPEAKER pro tempore. Under a made on or behalf of Libya. The Office Libya to demonstrate by concrete ac- previous order of the House, the gen- worked closely with the banks to im- tions its renunciation of terrorism, and tleman from Texas [Mr. BENTSEN] is plement new interdiction software sys- in particular its continued failure to recognized for 5 minutes. tems to identify such payments. As a respond fully and effectively to the re- Mr. BENTSEN. Mr. Speaker, I am a result, during the reporting period, quests and decisions of the Security new Member in this body and I am not H 344 CONGRESSIONAL RECORD — HOUSE January 22, 1996 one who comes down to the well to is supposed to run out of money com- Over the past days and weeks, many speak often, but having read through pletely on Friday. I know the gen- of the Northeast have been held in the the papers this weekend and particu- tleman has a strong background in fi- grip of inclement weather. larly today, I have become quite nancial markets. I am wondering what First, it was record-level snow that alarmed as a new Member of this 104th is his point about the debt ceiling, de- shut down the Government, without Congress to see that once again the faulting on the debt while the Securi- one Member of Congress being here. majority leader and the majority party ties and Exchange Commission has to More recently, it was uncontrollable are advocating that we should default shut down. Would that be helpful to flooding that left many unable to func- on our national debt. That is some- America’s markets and the economy of tion and caused one of our largest thing that the United States, unlike not only America, but the world? States, Pennsylvania, to make a public many countries, has never done. Mr. BENTSEN. Reclaiming my time, appeal for Federal intervention. Mr. Speaker, it is something, if we I thank the gentlewoman from Califor- If nothing else proves that we need a were to default on the Treasury debt, nia for commenting. The fact that Federal Government that works and that would preclude us from making under our system of finance the compa- works for all of us—it is nature’s wrath payments to Social Security recipi- nies would not be able to go public and that makes the point. I hope the pun- ents, would preclude us from making raise capital so they could create new dits are wrong—I hope we will pass a payments to veterans benefits, but per- jobs is ridiculous. We have an economic budget that is not only cost efficient, haps even more alarming is it would rebound going on, we have GDP grow- but civil. cause a dramatic rise in interest rates ing at a rate of about 2 to 3 percent We have terrestrial problems that we across the United States, affecting right now. What we want are compa- cannot handle. We do not need to cre- homeowners, people who are trying to nies raising capital, investing in their ate more problems by functioning in a buy their first home, families, people infrastructure and their human capital less than civil way and by failing to who are trying to take out loans to buy potential to create more jobs. govern. a car, kids who are trying to take out Yet this Congress, under the Repub- f loans to go to college. lican majority, believes we ought to Quite frankly, it would probably shut down the Securities and Exchange b 1430 drive this country into a recession, Commission, we ought to shut down STATE OF THE UNION hardly a wise economic policy of the contracts for large companies like new majority. Rockwell and others that are working The SPEAKER pro tempore (Mr. EV- But, Mr. Speaker, when you combine on the space shuttle and the space sta- ERETT). Under the Speaker’s announced that with what the majority is propos- tion so people will get laid off; we policy of May 12, 1995, the gentleman WENS] in recog- ing at this point in time after we have ought to default on the national debt from New York [Mr. O nized for 60 minutes as the designee of come off of what effectively has been a so interest rates go up, companies lay the minority leader. 3-week recess or adjournment, it now people off. Mr. OWENS. Mr. Speaker, we are appears the majority has decided that That is not an economic strategy, about to begin the business of the 104th we should adjourn until February 26 that is an economic disaster. Congress again, the second year of this after we adjourn this Thursday. Ms. LOFGREN. Mr. Speaker, for a session. Tomorrow we will hear the Mr. Speaker, I started thinking further question, I know that I was in State of the Union Address from the about all the legislation that has not local government for many years, a President. I look forward to that State passed in this 104th Congress. We still year ago I was sitting in a local gov- of the Union Address. are in a budget crisis, we still have not ernment office, and I had the oppor- The State of the Union Address, I passed a number of our appropriations tunity to speak to some of my former think, will point us the way for the im- bills. But then the list goes on. We colleagues over this 3-week break pe- mediate future. The State of the Union have the bank modernization, which is riod. They are having a very tough also might certainly size up where we stalled. We have telecommunications time putting their budget together, be- are at this point. There are a lot of reform, which is stalled. We have cause they do not know what the Fed- good things that can be cited in that Superfund, which is stalled. We have eral Government is going to do. So I State of the Union Address. A lot of not even taken up the water resources know that had I been back where I was great things have been accomplished bill. We have immigration reform, year ago, no way would they walk by this President. The Union is in a which is stalled. We have housing re- away and adjourn for a month’s paid much better state in many ways and form, which is stalled. There is no talk vacation without this job done. the world is in a much better state in of health care reform. But my constitu- But I am aware a year ago you were many ways than it was before he be- ents still ask about it. We have the safe in the private sector in the business came President. drinking water bill, which is stalled. world. I am wondering, in the private I take this opportunity to celebrate We have the clean water bill, which is sector employment, would a man in the liberation of Haiti. Haiti has a situ- stalled. We have the farm bill, which your position have taken a month’s ation now which has moved like clock- has heretofore disappeared. paid vacation with this amount of work toward a permanent democracy. Now, Mr. Speaker, it would appear in work done? Everything that was promised by Gen- this monumental Congress, after 40 Mr. BENTSEN. Absolutely not. This eral Bertrand Aristide and his leader- years of being in the minority, that the is no way to run a country. This is cer- ship has been allowed to unfold. Elec- new majority, the Republican major- tainly a revolution, but it is the wrong tions have been held. ity, would do something about it. kind of revolution. While I was not around when Harry President Aristide will be resigning, Truman was president and talked f stepping down next month. President about the 83d Congress back in the Aristide will be replaced by a president THE BUDGET AND THE ROLE OF 1950’s as the do-nothing Congress, it who has been elected by the people of GOVERNMENT would appear what we have now is the Haiti. The entire hemisphere benefits failed 104th, the failed 104th, which is The SPEAKER pro tempore. Under a from this stabilization of Haiti because incapable of doing the Nation’s busi- previous order of the House, the gentle- it sent a message to all the other ness. woman from North Carolina [Mrs. criminals who wanted to take over. All Ms. LOFGREN. Mr. Speaker, will the CLAYTON] is recognized for 5 minutes. the criminal military regimes that gentleman yield? Mrs. CLAYTON. Mr. Speaker, it might have wanted to raise their ugly Mr. BENTSEN. I yield to the gentle- greatly concerns me, and I believe it heads and try to take over their gov- woman from California. concerns most Americans, that we may ernments from duly elected representa- Ms. LOFGREN. Mr. Speaker, as the face the prospect of not having a budg- tives have certainly not done so. We gentleman is aware, I mentioned ear- et this year. As we consider the proper have a more stable hemisphere. We can lier this afternoon my concern that the role of Government, let us not forget look forward to have democracy ex- Securities and Exchange Commission the natural dangers we face. panding in this hemisphere as a result January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 345 of the courageous actions taken by this we thought had sort of played itself out But if that is the way it is, the Speaker administration in Haiti. and that the common sense of the has the power and the leadership of the Also, I want to pause at this point to American people had indicated that House has the power to set the param- congratulate General Bertrand Aristide they were not impressed and indeed eters and determine the environment on his wedding. He has recently gotten they were quite upset by this continual that we have to exist in, and that is the married, I think it was yesterday. I abuse of power that is reflected in the way it is. take time to do that because on this shutdowns of the Government to ob- Let us go forward in 1996 and deal floor on many occasions I have cited tain legislative goals, legislative ends. with the drive to remake America. Let the wonders of the intellect and the The shutdown was an attempt to us look at the vision of America pro- temperament of General Bertrand blackmail the executive branch. That jected by the Republicans who control Aristide, and in many cases it may ap- blackmail did not work. The American the House of Representatives and the pear that he may be some kind of little people with all of their common sense Senate. Let us look at the vision of god. I have cited the fact that the man could clearly see that the blackmail America projected by the President. I speaks eight languages. I have cited his was coming from one side and at- think the President will project some long campaign against the oppression tempted to distort the democratic of his vision of America in his State of in Haiti, how he was nearly killed process. I think that the polls clearly the Union Address tomorrow. I think three times, guns were pointed at his show that the common sense of the the President in his behavior, the way head on three different occasions. American people has prevailed and that the President has handled the budget I have cited wondrous things that they clearly see what is happening. So certainly is a projection of part of his have happened to him and wondrous I am shocked to hear that perhaps vision of America. The President has things that he has made happen. I there may be a shutdown. stood fast and insisted that in this re- think his marriage brought out some The shutdown this time may go even making of America we shall not dump facts that shows that he is after all further than the previous shutdown. overboard the poorest Americans, we quite human. The announcement of the There may be another shutdown. This shall not dump overboard the powerless marriage said he was 40 years old. For time it may lead to a default, the Gov- Americans. We shall not dump over- the first time I realized that he is ernment of the United States default- board the helpless Americans like chil- much younger than I am, this man that ing on its debts, on its obligations. A dren. has accomplished so much for his coun- shutdown is abuse of power, and a large I think we heard earlier, less than an try and set such a shining example for number of people have been hurt by hour ago, a message of the President democratic leadership in this hemi- that abuse of power. A large number of vetoing the Personal Responsibility Act. The Personal Responsibility Act is sphere. human beings out there who did not de- one of the most misnamed acts we So we want to congratulate Presi- serve to be hurt had to go through a dent Aristide and congratulate the peo- might consider in a long time. whole holiday season with no checks or The President vetoed it and said: I ple who belong to his Lavalas Party in only one check, weekly pay, all kinds want welfare reform; I started it. The Haiti. We hope that they will not of things which mean a great deal to President started the movement for flinch, that they will, regardless of the people who are on an income based on welfare reform. I may not agree with circumstances, go forward and insist weekly wages or monthly wages. all of his proposals. I certainly do not that democracy, the principles of de- They could not afford, they could not agree with the proposals made by the mocracy on which this liberation was reach into a big bank account. They Republican majority in this House, but based, will be carried forward by that could not live off their investments. welfare reform is needed; reform, re- government. There are a whole lot of people in the finement, adjustment, streamlining, I also think it is time to celebrate Republican Party who do not under- elimination of ridiculous parts of the the world being better off because of stand this. But they created a whole program, making it work more effec- this courageous President’s leadership lot of misery. People suffered. It is all tive administratively. in Yugoslavia. In Bosnia things are al- right to suffer for a good purpose, but There are a lot things we need in wel- most going like clockwork. We cer- it was totally unnecessary. fare reform that are going to go for- tainly are happy to see that deadlines In addition to this abuse of power ward, and the President is committed that were set are being met. The Army causing such suffering, we are now to that and it will happen. But I thank of the United States, the military of going to cause a hemorrhaging of our the President for vetoing the bill that the United States is there to assist in economic system here in this country. was sent to him because it is not wel- making peace happen. There is a clear A default will certainly have terrible fare reform. It is a destruction of a pro- framework for peace, and that peace is consequences. A default is economic gram to help the poorest people in our going forward. suicide. I hope that the leaders of the Nation. I am proud of the fact that our Army Republican Party who are now waving Why have we used a hammer to bang could have no more noble mission in the threat of default in order to get on the program that provides aid to Yugoslavia. They will be feeding the more concessions will reconsider and families with dependent children? The hungry. They will be aiding the sick. let the debate go forward. welfare reform program that was sent They will be clothing the naked. They The Speaker has clearly stated that to the President by the Republicans will be helping to provide shelter for the objective of the Republicans in this was a program that was most cruel to the homeless. I can think of no more House is to remake America. They children. It was a program which noble mission for an army than that, want to try to remake America in 2 sought to end and still seeks to end the no more noble mission for a nation. So years. That is their goal. I think it is entitlement for children, the entitle- they represent a great deal of what this unfortunate that remaking America is ment that is built into a part of the So- Nation is all about, and we salute them a goal to begin with. I think it is more cial Security law. for that. The state of the world is bet- unfortunate that they are going to try There is a lot of concern about, are ter, and we are proud of the fact that to remake America in 2 years. we going to tamper with Social Secu- we had the leadership of a President I do not think America needs to be rity, is Congress going to tamper with who made that happen. remade. I think we have institutions, Social Security? Are the Republicans Nineteen ninety-six will be a tumul- we have agencies, we have programs, going to tamper with Social Security? tuous year. There is no way we can we have a large number of things that Is Social Security safe? The answer is avoid that. We hope that the Govern- could be improved. There ought to be a no, because most people do not know ment would get back on track, that the process of refining. There ought to be a it, but aid to families with dependent legislative process will be allowed to go process of adjusting. There ought to be children is part of the Social Security forward as it has for all the years that a process of trimming, streamlining. Act. Medicare is part of the Social Se- this Nation has existed, that there There are a number of things that can curity Act. Medicaid is part of the So- would be an end to the abuse of power go forward without having the kind of cial Security Act. They are all part of by the leadership of the Republicans in revolutionary proposal that is em- Social Security. The part of Social Se- the Congress, that that abuse of power bodied in a call to remake America. curity which helps the people on the H 346 CONGRESSIONAL RECORD — HOUSE January 22, 1996 bottom, those who are deemed to be shire, et cetera, this is an election being generated. Corporations are mak- the least powerful, who are not voting, year. So I hope that in this election ing enormous profits. That sector of who do not vote, certainly, for Repub- year, we can continue to discuss the the economy is booming. Individuals licans when they do vote, that is the budget. I would like to see a budget and families are suffering. Their in- part that we have bludgeoned already agreement reached. I think the Presi- comes have stagnated. They are not with a hammer. dent has gone as far as he can go, how- making as much in terms of real terms Aid to families with dependent chil- ever, I would not cry, if we do not when you look at inflation as they dren, $16 billion is the amount of reach one, if it is going to have to be were making 10 years ago. Minimum money estimated for this program, aid reached at the expense of the people on wages are far too low, way behind in- to families with dependent children. the bottom and the President is going flation. With all those factors under That is less than we give to the farm- to have to give even more. I think the consideration, we hear tax cut. For ers. The subsidies that go to farmers in President has come a long way, and I families and individuals starting with various ways, cash subsidies, home am not happy and a lot of Democrats the families and individuals at the bot- mortgages and all kinds of various pro- are not happy with the compromise tom of the scale, in our Congressional grams that go to farmers, those sub- that he has offered, which I think goes Black Caucus budget we started at the sidies total far more than the aid to too far. But I admire him for stepping bottom of the scale with families and families with dependent children. The out there and trying to meet the Re- individuals who are working families. farmers do not have to pass a means publicans halfway. I think he has gone We started by giving them some tax re- test. People who get welfare, aid to more than halfway. lief. families with dependent children, they I hope that we do work out an agree- What is being proposed now by the must prove first that they need it. ment whereby we have a budget this Republicans is just the opposite. They They must prove first that they are year. The principle of a balanced budg- are proposing to change the earned in- poor. So why are we bludgeoning them et, I do not agree with that, but it come tax credit which the Congres- with a heavy hammer, when we refuse seems that most other people agree sional Black Caucus fought very hard to touch these subsidies that farmers with it. So we will have a balanced to expand 2 years ago. They want to get who do not pass a means test? We budget. change the earned income tax credit tried to pass a bill on the floor of this I serve as the chairman of the Con- which means they are increasing the House. I joined with the gentleman gressional Black Caucus alternative budget task force. We put a balanced taxes on the poorest people. At the from New York [Mr. SCHUMER], on two same time they want to give huge tax occasions, a simple bill which said budget on the floor of this House. We cuts for the richest people. They have farmers who have income from what- had to do it. In order to bring our budg- their opinion. The Republicans in the ever source of $100,000 or more per year et and be able to discuss any of our House and Senate, they have a posi- should not qualify for the cash subsidy ideas and our proposals, we had to tion. It is a clear position. I want to program. I think we got about 60 votes come forward with a balanced budget. So we came forward with a balanced congratulate them for clearly enun- the first year we tried to pass that and budget. The balanced budget we have ciating and setting forth exactly what about 57 or 58 the second time we tried submitted for the RECORD. It is in the their vision of America is. They think to pass that. So the overwhelming sen- RECORD. America should provide more and more timent, Democrats and Republicans, We balanced the budget without cut- for the rich who have gotten more and was do not touch the cash subsidies for ting Medicaid. We balanced the budget more out of our economy over the past the farmers whether they are in need of without cutting Medicare. We balanced 20 years. They want to give them even it or not. But let us go after the people the budget and we increased education more. They are clearly willing to state on welfare. It is not because they are expenditures. We increased expendi- that. They are not hedging. They are getting more than anybody else. It is tures for job training. What we did was not fudging. So there is a clear choice not because they are unworthy really. we cut defense, and that is a very rea- being presented to the American peo- It is because they have no power. It is sonable proposition to cut defense, ple. because they do not vote for Repub- when the United States of America is licans. It is because in too many cases I hope that we will keep our eyes on spending more than all the other indus- this process and keep the debate going. they do not vote for anybody, and that trialized nations in the world put to- is a message I hope that the people who If they insist, if they want the tax cut gether, we are spending more than they at the same level that they have it, let are, the parents of those poor children are put together on defense. So it is who get the aid will understand. us keep focused on that. Let us not possible to cut defense. This does not back away from the argument about In America, in the final analysis, you in any way hamper us in conducting have a weapon. In the final analysis, the level of taxes. Let us talk about noble missions like the liberation of the flat tax. Let us talk about the pos- the fact that you do not vote is the Haiti or a mission to save the people of critical action that you take. By not sibility of a national sales tax, value Bosnia from ethnic genocide. added tax. Let us talk about changing acting, you act. So every person out There is still plenty of room for that, tax rates. Let us take a hard look at there who is an adult responsible for even if you cut the defense budget. So the tax policies across the board, be- receiving the benefits for children who we cut the defense budget. But most of cause what has often happened in the are in the aid to families with depend- all we raised the tax burden of the cor- 13 years that I have been here, I am in ent children, you owe it to the chil- porations. We did two things. We closed dren, you are neglecting the children corporate loopholes and we insisted my 14th year, is that the tax policies when you do not vote. You are neglect- that there be an increase in the taxes and whatever dealt with taxes was dis- ing the children when you do not par- in certain places on corporations be- cussed behind closed doors, was decided ticipate in the political process. If you cause corporations have steadily paid behind closed doors. They had some start voting and you vote blindly for less and less of the income tax burden hearings and long lines of people would anybody who gives you some kind of over the last 20 years. From 1943 to line up to go, and you could barely get divergent argument, you are also ne- 1995, they have dropped from a cor- into the Ways and Means meetings. glectful of the children. Vote for the porate tax burden percentage of nearly And then when they made the final de- people who say that they are interested 40 percent to a corporate tax burden cision, of course, they had closed meet- in children and back that up with their now of about 11 percent, while individ- ings. votes on programs like aid to families uals have gone up from their percent- Then they would come to the floor with dependent children. age of the tax burden being 27 percent and you would have 1 or 2 hours to de- I hope that as we go forward for the to 48 or 49 percent in 1983, and now it is bate the most important issue in the rest of 1996, there will be an election, still as high as 44 percent. So we bal- country; that is, how are we going to you are aware of it, in November 1996. anced the budget by implementing get the revenues to run the fiscal af- Before we get to November, of course, what I call revenue justice. fairs of the Nation. The shortest period there are many other elections that are Let us have the revenue flow from of time to debate the most important taking place. In Iowa, in New Hamp- the place where the most revenue is topic. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 347 I understand that one of my col- just 5 minutes on any issue that we avoid having to meet their responsibil- leagues in the Democratic Party has deem to be important. If every one of ities to provide a safe workplace. Ten proposed that special orders be taxed, the 435 Members want to speak for 5 thousand workers died last year; 10,000 that every Member who makes special minutes, I assure you if you look at the workers died in the workplace. We can orders should pay the cost of special calendar, it will not lengthen the ses- debate about other workers who died as orders, that whatever it costs to keep sion of Congress. We have a lot of down a result of conditions in the workplace. the staff here and the guards and the time, a lot of waste of time where no- They contracted illnesses and then light bill, whatever, we should be body is doing anything on this floor. they died later or they had an accident charged that, each Member should have The Senate spends more time, as I said and it led to complications and they to pay that out of his budget. before, on the floor than we spend here. died later. But on the job, on the job My first reaction to that proposal—it The other body, in terms of per Mem- 10,000 workers died. came from a Democrat that I respect a ber time on the floor, is way ahead of This is not a trivial matter. It is a great deal, it is not trivial. I under- us. So I pause to say that that is very critical matter. Yet because they do stand her concern. My first reaction to important. not want to disturb the business com- that is that I would gladly, I would I would like to have us keep our eyes munity, which unreasonably insists gladly advocate that there be no spe- on the budget/fiscal debate. Let us go that OSHA is a bother, OSHA, the Oc- cial orders of any kind if you will give forward and talk about taxes and cupational Safety and Health Adminis- every Member of Congress the right to where they come from. Let us talk tration has enough employees to in- speak for 5 minutes on any issue that is about revenue. Let us go forward and spect the businesses of America. And on the floor that they want to speak talk about expenditures. Let us keep when you take the number of busi- on. When the important issues come to the debate going. nesses of America that are in the cat- this floor, if I had the right to speak I would like to see a pledge to avoid egory that need to be inspected and for 5 minutes, I would surrender any lapsing into diversionary issues. As we you divide that by the number of peo- other compensatory arrangements like look forward toward November 1996, let ple who are employed by OSHA to do 1-minutes and 5 minutes and 60 min- us not back away from a discussion of the inspections, it will take 87 years, utes, who needs it? The problem is that revenue, taxes, programs, budget cuts, given the number of employees that we are 435 Representatives of this Na- balancing the budget, et cetera. Let us OSHA has before the budget cuts, it tion, people from across the Nation, keep the debate going. It is a very com- would take 87 years for each one of the and we seldom have a chance to speak plicated nation that we have. It is a business sites in America that are sup- on the most important issues. The 435 complicated budget. These are com- posed to be inspected to be inspected people in this House of Representatives plicated times. We should not try to by that group of inspectors, 87 years. spend less time talking on this floor oversimplify. They are going to cut OSHA dras- than the 100 Members of the other For the first time I think many tically. So that means that it will take body. The 100 Members of the other Americans are getting some indication 100 years to get around to inspecting body spend more time debating on the of what it is all about. For good or ill, each business. So the argument that floor than we spend for 435 Members in regardless of whether you agree with the businesses are being harassed and the House of Representatives. the position taken by one party or an- OSHA is a regulatory burden and that The time is so tightly controlled. We other or one individual or another, the an attempt to provide safe workplaces have a Committee on Rules. And the debate is very healthy. Can we keep for workers results in empowering or amount of time spent on the floor here this debate going? I hope we will. hindering the economy, these argu- debating issues is in direct proportion I hope that the President’s State of ments are ridiculous. But they go for- to the importance of the issue as per- the Union Address tomorrow will be a ward. statement which allows us to go for- ceived by the leadership. If the leader- b ship perceives an issue to be really im- ward and consider his vision of Amer- 1500 portant, they shorten the time greatly. ica and what America would look like Let them keep proposing that and You can check this with the records. when he remakes America, if he had saying that we need to save money at This can be verified. It is not an empty the opportunity to remake America, the cost of risking more lives of work- statement that I am making. versus the vision that is envisaged in ers. Let them say that between now On issues that they do not consider the Contract With America that was and November. Let us keep that going. very important, we have open rules, set forth by the House Republicans. Be- Let us debate it. You decide. Let the unlimited debate. But never has a yond the Contract With America, the American people decide. Ways and Means bill come to the floor House Republicans have done a lot of Let them continue to tell us that in the 14 years that I have been here things that are not in that contract. school lunch programs are not being where there was an open rule, an un- The attack on organized labor, the at- cut; it is the rate of growth that is limited debate. tack on workers safety, the refusal to being decreased. Let them keep telling If I had that privilege and that right even deal with minimum wages, all of us that, and we will tell you that if you to have at least 5 minutes to speak on that was not stated in the contract, are cutting, putting money to cut the a Ways and Means bill, at least 5 min- but some terrible things have hap- rate of growth of the program in dollar utes to speak on a defense bill, by the pened. But those are worthy items. terms, you are not looking at the rate time, if you have only 1 hour for each If you want to debate the budget and of growth in terms of youngsters, the side, and there have been some times talk about the fact that the Repub- number of children who are enrolled in when there is only 30 minutes for each licans, because they could not get cer- school. side, but if you have 1 hour for each tain things through the authorization They ignore the fact that the number side, by the time you get through the process, because they are frustrated by of children enrolled in school is in- committee, the committee of jurisdic- the fact that the Senate will not ap- creasing. You cannot cut the rate of tion and any Committee on Appropria- prove some of the measures that they growth of the program without reduc- tions members who also relate to that have passed because they are not rea- ing what is available for the children particular item, the time is used up. If sonable, because the Senate wants to who are there unless you take into con- you are not on defense, if you are not stay closer to the common sense agen- sideration the fact the number of chil- on Ways and Means, on those impor- da of the American people so they have dren is increasing. tant issues you cannot say, you cannot reverted to the appropriations process. They tell us immigrant children even get 1 minute. So those who pro- They do not like the fact that we should not be given free lunches and pose that we eliminate special orders, I have an agency called OSHA, which is that the schools should go and search am with you if you will join me in a responsible for the occupational health out the immigrant children and create fight to guarantee the right of every and safety of workers. They want an atmosphere of terror within certain Member of Congress, which it ought to OSHA out of business. They have made schools while they search for immi- be taken for granted, we are elected by a compact with some of the worst grant children to deny them the school the people, we should have 5 minutes, kinds of business people who want to lunch program. H 348 CONGRESSIONAL RECORD — HOUSE January 22, 1996

Let this debate go forward. It is and we did this using assumptions and 1⁄7th of the total. That is a huge cut; about saving money on the one hand, figures that were certified by the Con- out of $7 billion, they are going to cut but if you look at it closely, there is gressional Budget Office. $1.1 billion. more to this than just saving money. The Republican majority would not So these are horrendous actions, but There is more to this than just saving let us bring the budget to the floor if at least they obvious, open. The CIA is money; there are some attitudes. we had not used assumptions that were not involved here, so they are not hid- I think President Clinton made it set forth by the Congressional Budget ing what they are doing. It is an open quite clear in his budget message. The Office. So we balanced the budget. The position. It is up to the American peo- President had a veto message, and then Congressional Black Caucus alter- ple to go forward and look at what the President has also sent a message native budget is a long way from where they are doing and come to some con- down with his new balanced budget. the President is right now. clusions. Let us look for a moment at what is I am not happy with the President They are not interested just in sav- happening here, and again, it is going and the fact he is going to cut Medi- ing money or balancing the budget. to be a long year. It is going to be a care far more than we stated in the The argument that every family bal- long debate. Congressional Black Caucus budget it ances its budget and so forth, the Na- Please do not lose faith. Keep the should be cut. Let us forget about that. tion therefore should balance its budg- faith. Keep listening, because this is all Later on there was a bill introduced by et, that argument makes a lot of sense about the remaking of America; and Democrats that said, OK, a commission on the surface, but that is really not your faith is involved here, your chil- study showed that there are problems what it is all about. dren’s faith is involved here. with the Medicare program, and by the In the first place, very few families The President was accused of not year 2002 you may have a real problem, balance their budget in a year. In a being sincere about a balanced budget. so let us cut the budget by $90 billion. year’s period, your family’s budget is He submitted a balanced budget one I think the study said it would be a not balanced and you know that too. time and then he said, according to problem of $89 billion. You have not paid for your home fully. CBO estimates, it is $400 billion out of This bill proposed cutting the budget Rich people can, but we are talking balance; over a 7-year period, the Presi- by $90 billion over a 7-year period. The about 10 to 15 percent of Americans dent is still spending $400 billion too $90 billion cut would be focused on who can go out and pay cash for a car much. waste, streamlining more administra- and cash for a condominium or for a So the President has come back with tive efficiency, and cutting waste, $90 house. That number of people is very a budget that balances in 7 years, and billion. The President is far beyond much in the minority in America. it also has a surplus at the end of the that $90 billion. Most Americans have to get mort- 7 years; and now we are being told that There is a group called the Blue Dogs gages. Most Americans have to get is totally unacceptable. We are going who have a proposal that also goes be- loans to buy cars. So very few families to shut down the Government because yond the $90 billion. The President does have a balanced budget where exactly we do not like the way you balanced not please me by cutting more than $90 what they take in during a year is the budget. billion, but I congratulate him on mak- what they spend during a year. They Now, was the call to balance the ing the effort. He is stretching as far as have debts that are carried over, long- budget in the beginning, when they he can in order to accommodate and term investments and items, and it is asked the President to submit a bal- reach a compromise with the Repub- just ridiculous to insist we have to anced budget, did they say, submit a licans. But this compromise, this have a balanced budget. But that is balanced budget that we like; submit a stretch, has not impressed the Repub- where we are. balanced budget that is good for Amer- licans. ica; submit a balanced budget that you They say we are going to shut down I will not bore you anymore by ex- like? The President submitted a bal- the Government, and go even beyond plaining the weaknesses in the argu- anced budget he thinks is good for shutting down the Government; we are ment that we have to have a balanced America, and in his message he says going to tamper with the economy of budget. That is accepted. Let us start the following: His balanced budget up- the United States and maybe the econ- out, that that is an assumption. holds our values, upholds America’s omy of the world by going into default Everybody now is basically agreed values. if you don’t give us what we want. that we will have a balanced budget. We want to balance the budget to Now, clearly, understand, you out The President has agreed that we will limit the debt, the burden of debt on there with your common sense, the have a balanced budget. The President our children. We want to protect Medi- American people should clearly under- has moved to put forth a balanced care and Medicaid to honor our duty to stand the power that is being wielded budget which the Congressional Budget our elderly, to people with disabilities here. The Republicans are saying, we Office and the General Accounting Of- and to children. We want to invest in will threaten to shut down the Govern- fice and everybody who has to sign off, education and training to honor our ment, we will throw the Nation into they all agree the numbers and as- duty to our children and families. We default if you do not give us what we sumptions are correct. want to protect the environment and want. And even after you do that, if Nobody can accuse the President of public health so our children grow up you meet us part of the way, we are not following the assumptions of the in a clean and safe world. We want to going to do something selective. We Congressional Budget Office regardless reward work by not raising taxes on are going to reach in and provide fund- of whether they are sound or unsound working families. We want to provide ing for only those programs that we ap- or how uncomfortable the White House tax relief for middle-class families. prove of; we are going to strangle, may feel about it. They have gone for- Now, that is the message that came through the appropriations process, ward and done that. So, now, let the back with the newly balanced budget of those we do not like. debate go forward and let the American the President, which, as I said before, We do not like funds for education. people make judgments about the argu- ends in 7 years with a surplus. We have a cut. Republicans are propos- ments that are being made. By the way, the Congressional Black ing to cut Head Start about $300 mil- The President says that his budget Caucus alternative budget, which I put lion. They will reach in and strangle reflects the values of the American forth on the floor of the House, the Head Start a little bit. people. One of the latest polls taken, I Congressional Black Caucus alter- We do not like title I, which is the think there was a poll taken by the native budget also had a surplus at the largest Federal program providing aid Washington Post, which shows that 50 end of 7 years. We had a surplus of $16 to elementary and secondary schools. percent, according to the poll, 50 per- billion at the end of 7 years. I told you Ninety percent of the school districts cent of the American people agree that we balanced our budget without cut- across America get some portion of the the President’s position is a sound po- ting Medicaid, without cutting Medi- title I program. They do not like it, so sition and they want to support that care, and we increased the amount of they will reach in and strangle that by position. I think this was January 7, money for job training and education, cutting it $1.1 billion. That is about not too long ago. The poll finds that 50 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 349 percent approve of how Clinton is han- cate. He is openly doing this. He is hope he will not, but I fear that will be dling this dispute, and 22 percent ap- openly allowing certain members of his a concession he will make. But it is not prove of the way the Republicans are cabinet who are responsible for certain gone yet. It is still there. handling it. 50 percent. contracts to solicit in fundraising. At the local government level in New So we are not talking about what There are all kinds of things happen- York City, we have a mayor who has Congressman OWENS and the Members ing that Democrats might have done, gone ahead and is already doing the of the Congressional Black Caucus, the but they never were so blatant about kinds of dirty work you can expect members of the Progressive caucus, the it; and some things, Democrats have once that entitlement is gone. He has liberal Democrats, we are not talking never done in New York City. taken it upon himself to come up with about their position at this point. We We have a Republican mayor, Mayor tricks and various means to keep peo- are talking about the position of the Giuliani, and we have had some strong ple off the welfare roll and deny them President, which is consistent with the mayors in the history of our city. One even when they have great needs. So position of 50 percent of the American of the most famous ones, who was ac- that process is going forward. people. They approve of his tremendous cused of being arrogant, many times he Medicaid. The Governor has pro- effort to stretch and meet the Repub- behaved like an emperor, he was a posed, and then he backed away, that licans. former Member of this House, Mayor the standards for nursing homes in New I just hope that he understands that Koch. But Mayor Koch insisted on a York be watered down, that the re- they do not want him to go any fur- merit system for the selection of quirement that every nursing home has ther. I hope the President does not dis- judges. Whether he liked it or not, to take a certain percentage of poor appoint the American people by there were judicial panels that ap- people be eliminated. He has backed stretching further, because any further pointed judges, and he lived with those away temporarily, but those proposals stretching would be disastrous, any appointments. He followed the rec- are coming back, if the States are further stretching. Because if you ommendations of the panels. going to have an opportunity to admin- stretch further, what you are doing is Mayor Dinkins, who followed him, ister Medicaid without the guarantees. abandoning the values of the American did the same thing, merit appoint- Let us understand States already ad- people and moving to the values of the ments. minister these programs, localities al- And the newspapers, the good-gov- Republican elite. ready administer these programs. What The Republicans do not value the ernment organizations, applauded all they are trying to do is take away the same vital commitments in Medicaid. this. Along comes Mayor Giuliani, Re- Federal guarantees that if you are eli- The Republicans want to eliminate the publican mayor, and he ignores or chal- gible, you should get it. They want to guarantee of quality nursing home care lenges the findings of the judicial re- take away the Federal appeal proce- view panels and appoints two people, and meaningful health care benefits for dures. They want to take away the who, in the opinion of many of the older Americans. They want to elimi- Federal guidelines. They want to take judges, the legal people who sit on the nate it for individuals with disabilities. away the Federal oversight. They want judicial review panels, are not quali- They want to eliminate it for pregnant to be free to take taxpayers’ money fied. He boasts about it, and he is going women and poor children. and use it the way they want to use it to do more of it. All this is not necessary to balance In New York City the remaking of toward their own ends. the budget, we are saying, but they An example is being set by Mr. government is already going forward, want to do that. They want to leave a the harassment of people who want to Pataki in New York State and Mr. lot of their dirty work to the States. get on welfare. If you apply for welfare, Giuliani in New York City. Those are They want to say, well, let the States there are all kinds of extra roadblocks examples of the kind of thing you can make the decisions. People have come thrown in your way, so that if you look forward to: abuse of power, abuse up with this argument, of course, that want to cut the welfare rolls, one sim- of the poor, balancing the budget on States can do a better job. The closer ple way to do it is to make the paper- the backs of the people who do not you get to the people, the more likely work more difficult. No matter how have political power. you are to have effective government. poor you are, if I insist that I am not So the President says the Repub- There is nothing in the history of taking your application unless you licans do not value these vital commit- government which shows that State sign on just the right line, unless you ments, and between now and November governments are more effective than answer every question, unless every 1996, November of this year, keep the Federal Government, or that local ‘‘T’’ is crossed, and every ‘‘I’’ is dotted, watching. Do not lose your gaze. Keep governments are more effective than I can keep you off welfare for months your eyes on the prize. the Federal Government. Some of the just through those technicalities. Where are the American values? Do worst corruption and the worst mis- In other words, if you have a system they say, we want to cut Medicaid and management and the worst incom- of values where you do not want to feed leave the poorest people without health petency you find in America can be the hungry, you do not want to provide care, leave the people who are disabled found at the local level. housing for the homeless or clothe the without health care, leave pregnant In New York State right now, at this naked, you are totally out of sync with women and poor children without very moment, we have Governor the Judeo-Christian values of this Na- health care? Are those American val- Pataki, who sits in the Governor’s tion, then you can proceed at the local ues? mansion of New York, a Republican level even with present regulations in In Medicare, the President says the Governor, who has turned the State place. Republicans want to charge 37 million government into a clubhouse patronage At this moment, people are still enti- Medicare recipients higher premiums meal. Never before in the history of tled to Aid to Families with Dependent and change the system so that it bene- New York State government has any Children. They are still entitled. The fits the healthiest and wealthiest while Governor so blatantly used the treas- entitlement has not been taken away allowing the traditional Medicare Pro- ury, used the State apparatus, the ad- yet. It has been proposed by the Repub- gram to wither on the vine. That is a ministration of government, to bolster licans in this House; it has been passed quote from one of the great leaders of partisan concerns. by the Republicans in the Senate, and the Republican Party, even though it is He has openly said he will pick up a lot of Democrats in the Senate voted not necessary to balance the budget. certain parts of the government in the for it. So entitlement probably is going The Republicans want to charge 37 capital; Albany is the capital of New to be gone this time next year; the peo- million Medicare recipients higher pre- York State. He is going to move cer- ple who are poor families with children miums and change the system so that tain programs out of Albany into qualifying for Aid to Families with De- it benefits the healthiest and the Poughkeepsie, where he lives, and into pendent Children will not have a Fed- wealthiest while leaving those who other areas where he got large amounts eral entitlement. That will probably be need it most in a state of stress. I know of votes. gone next year. the stress because I get more questions This Republican Governor is not pre- I fear that that is one of the conces- in my district about Medicare and Med- tending to be a good-government advo- sions that the President will make. I icaid than about any other programs. H 350 CONGRESSIONAL RECORD — HOUSE January 22, 1996 People are feeling the stress already as using guns reach the critical teenage of civilization. In the economic history they contemplate what is being pro- ages. That is where we are going. of civilization, nothing like this has posed. So we have to keep our eyes on the ever happened before. And yet in Amer- In education, the Republicans call for prize and beware of the diversionary is- ica we do not even talk about it any- cuts in aid for smaller classrooms, cuts sues. We have to keep our eyes on the more. It is nearing a close, as far as the for Head Start. They call for cuts in prize and not let introductions of argu- people who want to cover it up are con- basic skills and higher standards while ments about people being subhuman be cerned. ending the direct student loan pro- introduced. The greatest crime in terms of eco- gram. What does the direct student I was shocked that one of our leaders nomic thievery was committed right loan program have to do with bal- commented on a brutal crime in Chi- here in this country through the sav- ancing the budget? Almost nothing. In cago, indicating that a woman would ings and loan association swindle and fact, just the opposite. We will end up not have been murdered and had the the accompanying banks swindle. spending more money by ending the di- baby ripped out of her stomach if it Other banks that were not savings rect student loan program, but that is was not for the welfare culture. That and loan associations did the same an activity which is offensive to the really shocked me greatly. I did not see things, the misuse of the public trust. banking community, certain favorite any connection between the welfare They took out deposits backed by the communities that support the leader- culture and a brutal crime like that. Federal Deposit Insurance Corporation, ship, and they are out there making ar- There are a lot of brutal crimes tak- which meant that if anything hap- guments that the student loan pro- ing place in our country and across the pened, you, the taxpayer, stood behind gram, the direct student loan program world where people are not on welfare. it. They took that; they abused and is some kind of evil when it has obvi- Immorality has nothing to do directly misused that, and billions of dollars ous benefits. with whether or not a person is on wel- were lost. In fact, one estimate by Environment. They continually put fare or not. Nobody has commented on Stanford University said we are talk- the special interests over the environ- the fact that Princess Diana and ing about a loss of $500 billion, a cost ment and they want to take the envi- Prince Charles have chosen not only to to the taxpayers eventually of $500 bil- ronmental cop off the beat. These are commit adultery, but to go on tele- lion. Republican values versus American vision and discuss it. That is being There has been a process of going values. done by people who have never been on through the Resolution Trust Corpora- The American people indicate that welfare, and it is the kind of horror tion and cleaning these things up, and they are with the President. They are that there is no excuse for. negotiating out various arrangements, with the President. Let us keep our It is bad enough that people have and it is all coming to a quiet close. eyes on the two sets of values, the sins, and all of us sin, but to go on tele- That is real criminality. That is real President’s values versus the Repub- vision and parade your sins, especially dishonesty. That is real thievery. lican values, as we go forward toward when you know you are a role model. I have two reports. I read about them November 1996. Do not take your eyes They are role models for people in Brit- and I called for them. One is from the off the prize. The budget debate, the ain. They insist on having this royal Department of Justice, Financial Insti- fiscal debate, the tax debate, that is it; family, and sometimes Americans envy tution Fraud, Special Report, Special that is what we have to focus on. the fact that Britain has a royal family Counsel for Financial Institution I keep insisting that we ought to and we do not; but I think that is one Fraud. That report I have looked at, keep our eyes on the prize and Ameri- great example why we do not need a am still looking at it. cans ought to welcome the opportunity royal family. Another is called ‘‘Attacking Finan- to remake America or to refine Amer- But Americans use the Royal Family cial Institution Fraud.’’ It is from the ica or to adjust America and make it a of Britain as role models. Children use U.S. Department of Justice, the U.S. better America, because I know the them as role models. Princess Diana, I Office of the Attorney General. It is a surprise that is coming. The Repub- am sure a lot of teenage girls identify report to Congress that is required. licans are planning to back away from with her, and on and on it goes. As I look at both of these reports, these very important issues and move So if welfare determines people’s mo- what strikes me is that they are delib- into diversionary tactics. They are rality and we must get rid of welfare in erately confusing. They deliberately do going to try to ambush the voters with order to have people become more not ever state clear facts. It is very the usual diversionary issues. moral, then how does the Royal Family hard to find out exactly how much What are the diversionary issues? behave this way, and they have never money have the American taxpayers Prayer in the schools, gun control, af- been on welfare? They have never had to pour into bailing out the sav- firmative action, set-asides, voting worked for a living either. ings and loan associations. It is very rights, gays in the military. Those Maybe they have it too easy. Maybe hard to find out exactly how much. have nothing to do with the remaking we are talking about decadence at a I know on the floor of this House, of America in terms of fiscal and budg- level which may be something that so- when we appropriate in one bill $50 bil- et and tax issues, but they are going to ciologists and psychologists and psy- lion for this, it is $70 billion for that, switch to those and we have to be chiatrists can deal with, but I just do and yet they do not talk in those kinds aware that as we go forward in 1996, not see why that has any bearing. of numbers here. They talk about these are very important issues. We are going to be talking about mo- bringing this whole thing to a close; Prayer in school is important. It is rality. We are going to be talking and you are not talking about hundreds important to talk about guns. I am all about sin versus nonsin. We are going of billions, you are talking about a few in favor of more gun control. I under- to be talking about Whitewater. No- billion here and a few million there, stand the position of those who want body wants to talk about the real and I cannot make them add up. less; I understand their position. I dis- crime involved in the savings and loan They have deliberately not reported agree with it thoroughly. association debacle. We talk about anything in a summary fashion. I am The murder rate has gone down in Whitewater having something to do still studying these reports to find out general, but among young people the with the savings and loans crisis. Occa- more about one of the greatest swin- murder rate, the rate of people being sionally they mention that. Most peo- dles that ever took place. shot with guns, is dramatically in- ple just think it was invented by the So if we get into discussions of mo- creasing. So you have a young popu- Clintons. The Clintons lost money on a rality and discussions of swindling, if lation using guns, and that young pop- savings and loan venture in we are going to continue the ulation is coming to the point where Whitewater; they lost money. Whitewater discussions, then I think it they are going to be a greater percent- Let us look at Silverado in Colorado. is only fair to talk about the savings age of the overall population. So the I have a whole book here. I am a stu- and loan association swindle in all of decrease in crime we are watching now dent of the savings and loan swindle, its dimensions and talk about the will be accompanied by an increase in because the savings and loan swindle Silverado, $2,286,901,934. That is the fig- crime later on as these young people was the greatest swindle in the history ure that they have said they ordered to January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 351 be recovered. We were talking about Subtitle B—Army Programs Subtitle C—Ballistic Missile Defense Act of $150 billion. Why has only $2 billion Sec. 111. Procurement of OH–58D Armed 1995 been ordered to be recovered? Kiowa Warrior helicopters. Sec. 231. Short title. You will hear more about this later. Sec. 112. Repeal of requirements for armored Sec. 232. Findings. This is the kind of morality discussion, vehicle upgrades. Sec. 233. Ballistic Missile Defense policy. Sec. 113. Multiyear procurement of heli- Sec. 234. Theater Missile Defense architec- if we are going to have a morality dis- copters. ture. cussion, that we should get into. Sec. 114. Report on AH–64D engine upgrades. Sec. 235. Prohibition on use of funds to im- But my final comment is, Mr. Speak- Sec. 115. Requirement for use of previously plement an international agree- er, let us keep our eyes on the prize, authorized multiyear procure- ment concerning Theater Mis- continue to focus on the budget, taxes, ment authority for Army small sile Defense systems. and expenditures. It is a discussion arms procurement. Sec. 236. Ballistic Missile Defense coopera- that the American people deserve. Subtitle C—Navy Programs tion with allies. Sec. 131. Nuclear attack submarines. Sec. 237. ABM Treaty defined. f Sec. 132. Research for advanced submarine Sec. 238. Repeal of Missile Defense Act of CONFERENCE REPORT ON S. 1124 technology. 1991. Sec. 133. Cost limitation for Seawolf sub- Mr. SPENCE submitted the following Subtitle D—Other Ballistic Missile Defense marine program. Provisions conference report and statement on the Sec. 134. Repeal of prohibition on backfit of bill (S. 1124), to authorize appropria- Trident submarines. Sec. 251. Ballistic Missile Defense program Sec. 135. Arleigh Burke class destroyer pro- elements. tions for fiscal year 1996 for military Sec. 252. Testing of Theater Missile Defense activities of the Department of De- gram. Sec. 136. Acquisition program for crash at- interceptors. fense, to prescribe personnel strengths tenuating seats. Sec. 253. Repeal of missile defense provi- for such fiscal year for the Armed Sec. 137. T–39N trainer aircraft. sions. Forces, and for other purposes: Sec. 138. Pioneer unmanned aerial vehicle Subtitle E—Miscellaneous Reviews, Studies, program. CONFERENCE REPORT (H. REPT. 104–450) and Reports Subtitle D—Air Force Programs The committee of conference on the dis- Sec. 261. Precision-guided munitions. 4 agreeing votes of the two Houses on the Sec. 141. B–2 aircraft program. Sec. 262. Review of C I by National Research Sec. 142. Procurement of B–2 bombers. Council. amendments of the House to the bill (S. Sec. 143. MC–130H aircraft program. 1124), to authorize appropriations for fiscal Sec. 263. Analysis of consolidation of basic year 1996 for military activities of the De- Subtitle E—Chemical Demilitarization research accounts of military partment of Defense, to prescribe personnel Program departments. Sec. 264. Change in reporting period from strengths for such fiscal year for the Armed Sec. 151. Repeal of requirement to proceed calendar year to fiscal year for Forces, and for other purposes, having met, expeditiously with development annual report on certain con- after full and free conference, have agreed to of chemical demilitarization tracts to colleges and univer- recommend and do recommend to their re- cryofracture facility at Tooele sities. spective Houses as follows: Army Depot, Utah. Sec. 265. Aeronautical research and test ca- That the Senate recede from its disagree- Sec. 152. Destruction of existing stockpile of pabilities assessment. ment to the amendment of the House to the lethal chemical agents and mu- text of the bill and agree to the same with an nitions. Subtitle F—Other Matters amendment as follows: Sec. 153. Administration of chemical demili- Sec. 271. Advanced lithography program. In lieu of the matter proposed to be in- tarization program. Sec. 272. Enhanced fiber optic guided missile serted by the House amendment, insert the TITLE II—RESEARCH, DEVELOPMENT, (EFOG–M) system. following: TEST, AND EVALUATION Sec. 273. States eligible for assistance under SECTION 1. SHORT TITLE. Subtitle A—Authorization of Appropriations Defense Experimental Program This Act may be cited as the ‘‘National De- Sec. 201. Authorization of appropriations. To Stimulate Competitive Re- fense Authorization Act for Fiscal Year Sec. 202. Amount for basic research and ex- search. 1996’’. ploratory development. Sec. 274. Cruise missile defense initiative. SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; Sec. 203. Modifications to Strategic Envi- Sec. 275. Modification to university research TABLE OF CONTENTS. ronmental Research and Devel- initiative support program. (a) DIVISIONS.—This Act is organized into opment Program. Sec. 276. Manufacturing technology pro- five divisions as follows: Sec. 204. Defense dual use technology initia- gram. (1) Division A—Department of Defense Au- tive. Sec. 277. Five-year plan for consolidation of thorizations. Subtitle B—Program Requirements, defense laboratories and test (2) Division B—Military Construction Au- Restrictions, and Limitations and evaluation centers. thorizations. Sec. 211. Space launch modernization. Sec. 278. Limitation on T–38 avionics up- (3) Division C—Department of Energy Na- Sec. 212. Tactical manned reconnaissance. grade program. tional Security Authorizations and Other Sec. 213. Joint Advanced Strike Technology Sec. 279. Global Positioning System. Authorizations. (JAST) program. Sec. 280. Revision of authority for providing (4) Division D—Federal Acquisition Re- Sec. 214. Development of laser program. Army support for the National form. Sec. 215. Navy mine countermeasures pro- Science Center for Communica- (5) Division E—Information Technology gram. tions and Electronics. Management Reform. Sec. 216. Space-based infrared system. TITLE III—OPERATION AND Sec. 217. Defense Nuclear Agency programs. (b) TABLE OF CONTENTS.—The table of con- MAINTENANCE Sec. 218. Counterproliferation support pro- tents for this Act is as follows: gram. Subtitle A—Authorization of Appropriations Sec. 1. Short title. Sec. 219. Nonlethal weapons study. Sec. 301. Operation and maintenance fund- Sec. 2. Organization of Act into divisions; Sec. 220. Federally funded research and de- ing. table of contents. velopment centers and univer- Sec. 302. Working capital funds. Sec. 3. Congressional defense committees sity-affiliated research centers. Sec. 303. Armed Forces Retirement Home. defined. Sec. 221. Joint seismic program and global Sec. 304. Transfer from National Defense Sec. 4. Extension of time for submission of seismic network. Stockpile Transaction Fund. reports. Sec. 222. Hydra–70 rocket product improve- Sec. 305. Civil Air Patrol. ment program. DIVISION A—DEPARTMENT OF DEFENSE Subtitle B—Depot-Level Activities AUTHORIZATIONS Sec. 223. Limitation on obligation of funds until receipt of electronic com- Sec. 311. Policy regarding performance of TITLE I—PROCUREMENT bat consolidation master plan. depot-level maintenance and re- Subtitle A—Authorization of Appropriations Sec. 224. Report on reductions in research, pair for the Department of De- Sec. 101. Army. development, test, and evalua- fense. Sec. 102. Navy and Marine Corps. tion. Sec. 312. Management of depot employees. Sec. 103. Air Force. Sec. 225. Advanced Field Artillery System Sec. 313. Extension of authority for aviation Sec. 104. Defense-wide activities. (Crusader). depots and naval shipyards to Sec. 105. Reserve components. Sec. 226. Demilitarization of conventional engage in defense-related pro- Sec. 106. Defense Inspector General. munitions, rockets, and explo- duction and services. Sec. 107. Chemical demilitarization pro- sives. Sec. 314. Modification of notification re- gram. Sec. 227. Defense Airborne Reconnaissance quirement regarding use of core Sec. 108. Defense health programs. program. logistics functions waiver. H 352 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Subtitle C—Environmental Provisions Sec. 364. Reviews of management of inven- Sec. 503. Wearing of insignia for higher Sec. 321. Revision of requirements for agree- tory control points and Mate- grade before promotion. ments for services under envi- rial Management Standard Sys- Sec. 504. Authority to extend transition pe- ronmental restoration program. tem. riod for officers selected for Sec. 322. Addition of amounts creditable to Sec. 365. Report on private performance of early retirement. Defense Environmental Res- certain functions performed by Sec. 505. Army officer manning levels. toration Account. military aircraft. Sec. 506. Authority for medical department Sec. 323. Use of Defense Environmental Res- Sec. 366. Strategy and report on automated officers other than physicians toration Account. information systems of Depart- to be appointed as Surgeon Sec. 324. Revision of authorities relating to ment of Defense. General. restoration advisory boards. Subtitle G—Other Matters Sec. 507. Deputy Judge Advocate General of the Air Force. Sec. 325. Discharges from vessels of the Sec. 371. Codification of Defense Business Sec. 508. Authority for temporary pro- Armed Forces. Operations Fund. Subtitle D—Commissaries and Sec. 372. Clarification of services and prop- motions for certain Navy lieu- Nonappropriated Fund Instrumentalities erty that may be exchanged to tenants with critical skills. benefit the historical collection Sec. 509. Retirement for years of service of Sec. 331. Operation of commissary system. Directors of Admissions of Mili- Sec. 332. Limited release of commissary of the Armed Forces. tary and Air Force academies. stores sales information to Sec. 373. Financial management training. manufacturers, distributors, Sec. 374. Permanent authority for use of Subtitle B—Matters Relating to Reserve and other vendors doing busi- proceeds from the sale of cer- Components ness with Defense Commissary tain lost, abandoned, or un- Sec. 511. Extension of certain Reserve offi- Agency. claimed property. cer management authorities. Sec. 333. Economical distribution of distilled Sec. 375. Sale of military clothing and sub- Sec. 512. Mobilization income insurance pro- spirits by nonappropriated fund sistence and other supplies of gram for members of Ready Re- instrumentalities. the Navy and Marine Corps. serve. Sec. 334. Transportation by commissaries Sec. 376. Personnel services and logistical Sec. 513. Military technician full-time sup- and exchanges to overseas loca- support for certain activities port program for Army and Air tions. held on military installations. Force reserve components. Sec. 335. Demonstration project for uniform Sec. 377. Retention of monetary awards. Sec. 514. Revisions to Army Guard Combat funding of morale, welfare, and Sec. 378. Provision of equipment and facili- Reform Initiative to include recreation activities at certain ties to assist in emergency re- Army Reserve under certain military installations. sponse actions. provisions and make certain re- Sec. 336. Operation of combined exchange Sec. 379. Report on Department of Defense visions. and commissary stores. military and civil defense pre- Sec. 515. Active duty associate unit respon- Sec. 337. Deferred payment programs of paredness to respond to emer- sibility. military exchanges. gencies resulting from a chemi- Sec. 516. Leave for members of reserve com- Sec. 338. Availability of funds to offset ex- cal, biological, radiological, or ponents performing public safe- penses incurred by Army and nuclear attack. ty duty. Air Force Exchange Service on TITLE IV—MILITARY PERSONNEL Sec. 517. Department of Defense funding for account of troop reductions in AUTHORIZATIONS National Guard participation in Europe. Subtitle A—Active Forces joint disaster and emergency Sec. 339. Study regarding improving effi- assistance exercises. Sec. 401. End strengths for active forces. ciencies in operation of mili- Subtitle C—Decorations and Awards tary exchanges and other mo- Sec. 402. Temporary variation in DOPMA rale, welfare, and recreation ac- authorized end strength limita- Sec. 521. Award of Purple Heart to persons tivities and commissary stores. tions for active duty Air Force wounded while held as prisoners Sec. 340. Repeal of requirement to convert and Navy officers in certain of war before April 25, 1962. ships’ stores to nonappropriated grades. Sec. 522. Authority to award decorations fund instrumentalities. Sec. 403. Certain general and flag officers recognizing acts of valor per- Sec. 341. Disposition of excess morale, wel- awaiting retirement not to be formed in combat during the fare, and recreation funds. counted. Vietnam conflict. Sec. 342. Clarification of entitlement to use Subtitle B—Reserve Forces Sec. 523. Military intelligence personnel pre- vented by secrecy from being of morale, welfare, and recre- Sec. 411. End strengths for Selected Reserve. considered for decorations and ation facilities by members of Sec. 412. End strengths for Reserves on ac- awards. reserve components and de- tive duty in support of the Re- Sec. 524. Review regarding upgrading of Dis- pendents. serves. tinguished-Service Crosses and Sec. 413. Counting of certain active compo- Subtitle E—Performance of Functions by Navy Crosses awarded to Asian- nent personnel assigned in sup- Private-Sector Sources Americans and Native Amer- port of reserve component Sec. 351. Competitive procurement of print- ican Pacific Islanders for World training. ing and duplication services. War II service. Sec. 414. Increase in number of members in Sec. 352. Direct vendor delivery system for Sec. 525. Eligibility for Armed Forces Expe- certain grades authorized to consumable inventory items of ditionary Medal based upon serve on active duty in support Department of Defense. service in El Salvador. of the Reserves. Sec. 353. Payroll, finance, and accounting Sec. 526. Procedure for consideration of Sec. 415. Reserves on active duty in support functions of the Department of military decorations not pre- of cooperative threat reduction Defense. viously submitted in timely programs not to be counted. Sec. 354. Demonstration program to identify fashion. overpayments made to vendors. Sec. 416. Reserves on active duty for mili- Subtitle D—Officer Education Programs Sec. 355. Pilot program on private operation tary-to-military contacts and of defense dependents’ schools. comparable activities not to be PART I—SERVICE ACADEMIES Sec. 356. Program for improved travel proc- counted. Sec. 531. Revision of service obligation for ess for the Department of De- Subtitle C—Military Training Student Loads graduates of the service acad- fense. Sec. 421. Authorization of training student emies. Sec. 357. Increased reliance on private-sec- loads. Sec. 532. Nominations to service academies tor sources for commercial from Commonwealth of the Subtitle D—Authorization of Appropriations products and services. Northern Marianas Islands. Sec. 431. Authorization of appropriations for Sec. 533. Repeal of requirement for athletic Subtitle F—Miscellaneous Reviews, Studies, military personnel. and Reports director and nonappropriated Sec. 432. Authorization for increase in ac- fund account for the athletics Sec. 361. Quarterly readiness reports. tive-duty end strengths. programs at the service acad- Sec. 362. Restatement of requirement for TITLE V—MILITARY PERSONNEL POLICY emies. semiannual reports to Congress Sec. 534. Repeal of requirement for program on transfers from high-priority Subtitle A—Officer Personnel Policy to test privatization of service readiness appropriations. Sec. 501. Joint officer management. academy preparatory schools. Sec. 363. Report regarding reduction of costs Sec. 502. Retired grade for officers in grades associated with contract man- above major general and rear PART II—RESERVE OFFICER TRAINING CORPS agement oversight. admiral. Sec. 541. ROTC access to campuses. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 353 Sec. 542. ROTC scholarships for the National Sec. 605. Limitation on reduction of variable Sec. 646. Automatic maximum coverage Guard. housing allowance for certain under Servicemen’s Group Life Sec. 543. Delay in reorganization of Army members. Insurance. ROTC regional headquarters Sec. 606. Clarification of limitation on eligi- Sec. 647. Termination of Servicemen’s Group structure. bility for family separation al- Life Insurance for members of Sec. 544. Duration of field training or prac- lowance. the Ready Reserve who fail to tice cruise required under the Subtitle B—Bonuses and Special and pay premiums. Senior ROTC program. Incentive Pays TITLE VII—HEALTH CARE PROVISIONS Sec. 545. Active duty officers detailed to Sec. 611. Extension of certain bonuses for re- ROTC duty at senior military Subtitle A—Health Care Services serve forces. Sec. 701. Modification of requirements re- colleges to serve as Com- Sec. 612. Extension of certain bonuses and garding routine physical exami- mandant and Assistant Com- special pay for nurse officer nations and immunizations mandant of Cadets and as tac- candidates, registered nurses, under CHAMPUS. tical officers. and nurse anesthetists. Subtitle E—Miscellaneous Reviews, Studies, Sec. 613. Extension of authority relating to Sec. 702. Correction of inequities in medical and Reports payment of other bonuses and and dental care and death and Sec. 551. Report concerning appropriate special pays. disability benefits for certain forum for judicial review of De- Sec. 614. Codification and extension of spe- Reserves. Sec. 703. Medical care for surviving depend- partment of Defense personnel cial pay for critically short ents of retired Reserves who die actions. wartime health specialists in Sec. 552. Comptroller General review of pro- the Selected Reserves. before age 60. posed Army end strength allo- Sec. 615. Hazardous duty incentive pay for Sec. 704. Medical and dental care for mem- cations. warrant officers and enlisted bers of the Selected Reserve as- Sec. 553. Report on manning status of highly members serving as air weapons signed to early deploying units deployable support units. controllers. of the Army Selected Reserve. Sec. 554. Review of system for correction of Sec. 616. Aviation career incentive pay. Sec. 705. Dental insurance for members of military records. Sec. 617. Clarification of authority to pro- the Selected Reserve. Sec. 555. Report on the consistency of re- vide special pay for nurses. Sec. 706. Permanent authority to carry out porting of fingerprint cards and Sec. 618. Continuous entitlement to career specialized treatment facility final disposition forms to the sea pay for crew members of program. Federal Bureau of Investiga- ships designated as tenders. Subtitle B—TRICARE Program Sec. 619. Increase in maximum rate of spe- tion. Sec. 711. Definition of TRICARE program. Subtitle F—Other Matters cial duty assignment pay for Sec. 712. Priority use of military treatment enlisted members serving as re- Sec. 561. Equalization of accrual of service facilities for persons enrolled in cruiters. credit for officers and enlisted managed care initiatives. members. Subtitle C—Travel and Transportation Sec. 713. Staggered payment of enrollment Sec. 562. Army Ranger training. Allowances fees for TRICARE program. Sec. 563. Separation in cases involving ex- Sec. 621. Repeal of requirement regarding Sec. 714. Requirement of budget neutrality tended confinement. calculation of allowances on for TRICARE program to be Sec. 564. Limitations on reductions in medi- basis of mileage tables. based on entire program. cal personnel. Sec. 622. Departure allowances. Sec. 715. Training in health care manage- Sec. 565. Sense of Congress concerning per- Sec. 623. Transportation of nondependent ment and administration for sonnel tempo rates. child from member’s station TRICARE lead agents. Sec. 566. Separation benefits during force re- overseas after loss of dependent Sec. 716. Pilot program of individualized res- duction for officers of commis- status while overseas. idential mental health services. sioned corps of National Oce- Sec. 624. Authorization of dislocation allow- Sec. 717. Evaluation and report on TRICARE anic and Atmospheric Adminis- ance for moves in connection program effectiveness. tration. with base realignments and clo- Sec. 718. Sense of Congress regarding access Sec. 567. Discharge of members of the Armed sures. to health care under TRICARE Forces who have the HIV–1 Subtitle D—Retired Pay, Survivor Benefits, program for covered bene- virus. and Related Matters ficiaries who are medicare eli- Sec. 568. Revision and codification of Mili- Sec. 631. Effective date for military retiree gible. tary Family Act and Military cost-of-living adjustments for Child Care Act. Subtitle C—Uniformed Services Treatment Sec. 569. Determination of whereabouts and fiscal years 1996, 1997, and 1998. Facilities Sec. 632. Denial of non-regular service re- status of missing persons. Sec. 721. Delay of termination of status of Sec. 570. Associate Director of Central Intel- tired pay for Reserves receiving certain facilities as Uniformed ligence for Military Support. certain court-martial sen- Services Treatment Facilities. tences. Subtitle G—Support for Non-Department of Sec. 722. Limitation on expenditures to sup- Sec. 633. Report on payment of annuities for port Uniformed Services Treat- Defense Activities certain military surviving Sec. 571. Repeal of certain civil-military ment Facilities. spouses. Sec. 723. Application of CHAMPUS payment programs. Sec. 634. Payment of back quarters and sub- rules in certain cases. Sec. 572. Training activities involving sup- sistence allowances to World Sec. 724. Application of Federal Acquisition port and services for eligible or- War II veterans who served as Regulation to participation ganizations and activities out- guerilla fighters in the Phil- agreements with Uniformed side the Department of Defense. ippines. Services Treatment Facilities. Sec. 573. National Guard civilian youth op- Sec. 635. Authority for relief from previous Sec. 725. Development of plan for integrat- portunities pilot program. overpayments under minimum ing Uniformed Services Treat- Sec. 574. Termination of funding for Office income widows program. of Civil-Military Programs in Sec. 636. Transitional compensation for de- ment Facilities in managed Office of the Secretary of De- pendents of members of the care programs of Department of fense. Armed Forces separated for de- Defense. TITLE VI—COMPENSATION AND OTHER pendent abuse. Sec. 726. Equitable implementation of uni- PERSONNEL BENEFITS form cost sharing requirements Subtitle E—Other Matters for Uniformed Services Treat- Subtitle A—Pay and Allowances Sec. 641. Payment to survivors of deceased ment Facilities. Sec. 601. Military pay raise for fiscal year members for all leave accrued. Sec. 727. Elimination of unnecessary annual 1996. Sec. 642. Repeal of reporting requirements reporting requirement regard- Sec. 602. Limitation on basic allowance for regarding compensation mat- ing Uniformed Services Treat- subsistence for members resid- ters. ment Facilities. ing without dependents in Gov- Sec. 643. Recoupment of administrative ex- ernment quarters. penses in garnishment actions. Subtitle D—Other Changes to Existing Laws Sec. 603. Election of basic allowance for Sec. 644. Report on extending to junior non- Regarding Health Care Management quarters instead of assignment commissioned officers privi- Sec. 731. Maximum allowable payments to to inadequate quarters. leges provided for senior non- individual health-care providers Sec. 604. Payment of basic allowance for commissioned officers. under CHAMPUS. quarters to members in pay Sec. 645. Study regarding joint process for Sec. 732. Notification of certain CHAMPUS grade E–6 who are assigned to determining location of recruit- covered beneficiaries of loss of sea duty. ing stations. CHAMPUS eligibility. H 354 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Sec. 733. Personal services contracts for Sec. 813. Use of funds for acquisition of de- Sec. 1018. Sense of Congress concerning medical treatment facilities of signs, processes, technical data, naming of amphibious ships. the Coast Guard. and computer software. Sec. 1019. Sense of Congress concerning Sec. 734. Identification of third-party payer Sec. 814. Independent cost estimates for naming of naval vessel. situations. major defense acquisition pro- Sec. 1020. Transfer of riverine patrol craft. Sec. 735. Redesignation of Military Health grams. Subtitle C—Counter-Drug Activities Care Account as Defense Health Sec. 815. Construction, repair, alteration, Sec. 1021. Revision and clarification of au- Program Account and two-year furnishing, and equipping of thority for Federal support of availability of certain account naval vessels. drug interdiction and counter- funds. Subtitle B—Other Matters drug activities of the National Sec. 736. Expansion of financial assistance Sec. 821. Procurement technical assistance Guard. program for health-care profes- programs. sionals in reserve components Subtitle D—Civilian Personnel Sec. 822. Defense facility-wide pilot pro- to include dental specialties. Sec. 1031. Management of Department of De- gram. Sec. 737. Applicability of limitation on fense civilian personnel. Sec. 823. Treatment of Department of De- prices of pharmaceuticals pro- Sec. 1032. Conversion of military positions fense cable television franchise cured for the Coast Guard. to civilian positions. agreements. Sec. 738. Restriction on use of Department Sec. 1033. Elimination of 120-day limitation Sec. 824. Extension of pilot mentor-protege of Defense facilities for abor- on details of certain employees. program. tions. Sec. 1034. Authority for civilian employees TITLE IX—DEPARTMENT OF DEFENSE of Department of Defense to Subtitle E—Other Matters ORGANIZATION AND MANAGEMENT participate voluntarily in re- Sec. 741. Triservice nursing research. Subtitle A—General Matters ductions in force. Sec. 742. Termination of program to train Sec. 1035. Authority to pay severance pay- military psychologists to pre- Sec. 901. Organization of the Office of the Secretary of Defense. ments in lump sums. scribe psychotropic medica- Sec. 1036. Continued health insurance cov- tions. Sec. 902. Reduction in number of Assistant Secretary of Defense positions. erage. Sec. 743. Waiver of collection of payments Sec. 1037. Revision of authority for appoint- Sec. 903. Deferred repeal of various statu- due from certain persons un- ments of involuntarily sepa- tory positions and offices in Of- aware of loss of CHAMPUS eli- rated military reserve techni- gibility. fice of the Secretary of Defense. Sec. 904. Redesignation of the position of As- cians. Sec. 744. Demonstration program to train Sec. 1038. Wearing of uniform by National sistant to the Secretary of De- military medical personnel in Guard technicians. fense for Atomic Energy. civilian shock trauma units. Sec. 1039. Military leave for military reserve Sec. 905. Joint Requirements Oversight Sec. 745. Study regarding Department of De- technicians for certain duty Council. fense efforts to determine ap- overseas. Sec. 906. Restructuring of Department of De- propriate force levels of war- Sec. 1040. Personnel actions involving em- fense acquisition organization time medical personnel. ployees of nonappropriated fund and workforce. Sec. 746. Report on improved access to mili- instrumentalities. Sec. 907. Report on Nuclear Posture Review tary health care for covered Sec. 1041. Coverage of nonappropriated fund and on plans for nuclear weap- beneficiaries entitled to medi- employees under authority for ons management in event of care. flexible and compressed work abolition of Department of En- Sec. 747. Report on effect of closure of schedules. ergy. Fitzsimons Army Medical Cen- Sec. 1042. Limitation on provision of over- Sec. 908. Redesignation of Advanced Re- ter, Colorado, on provision of seas living quarters allowances search Projects Agency. care to military personnel, re- for nonappropriated fund in- tired military personnel, and Subtitle B—Financial Management strumentality employees. their dependents. Sec. 911. Transfer authority regarding funds Sec. 1043. Elections relating to retirement Sec. 748. Sense of Congress on continuity of available for foreign currency coverage. health care services for covered fluctuations. Sec. 1044. Extension of temporary authority beneficiaries adversely affected Sec. 912. Defense Modernization Account. to pay civilian employees with by closures of military medical Sec. 913. Designation and liability of dis- respect to the evacuation from treatment facilities. bursing and certifying officials. Guantanamo, Cuba. Sec. 749. State recognition of military ad- Sec. 914. Fisher House trust funds. vance medical directives. Subtitle E—Miscellaneous Reporting Sec. 915. Limitation on use of authority to Requirements TITLE VIII—ACQUISITION POLICY, ACQUI- pay for emergency and extraor- Sec. 1051. Report on fiscal year 1997 budget SITION MANAGEMENT, AND RELATED dinary expenses. submission regarding Guard MATTERS TITLE X—GENERAL PROVISIONS and reserve components. Subtitle A—Acquisition Reform Subtitle A—Financial Matters Sec. 1052. Report on desirability and fea- Sec. 801. Inapplicability of limitation on ex- Sec. 1001. Transfer authority. sibility of providing authority penditure of appropriations to Sec. 1002. Incorporation of classified annex. for use of funds derived from re- contracts at or below simplified Sec. 1003. Improved funding mechanisms for covered losses resulting from acquisition threshold. unbudgeted operations. contractor fraud. Sec. 802. Authority to delegate contracting Sec. 1004. Operation Provide Comfort. Sec. 1053. Report on national policy on pro- authority. Sec. 1005. Operation Enhanced Southern tecting the national informa- Sec. 803. Quality control in procurements of Watch. tion infrastructure against critical aircraft and ship spare Sec. 1006. Authority for obligation of certain strategic attacks. parts. unauthorized fiscal year 1995 Sec. 1054. Report on Department of Defense Sec. 804. Fees for certain testing services. defense appropriations. boards and commissions. Sec. 805. Coordination and communication Sec. 1007. Authorization of prior emergency Sec. 1055. Date for submission of annual re- of defense research activities. supplemental appropriations port on special access pro- Sec. 806. Addition of certain items to domes- for fiscal year 1995. grams. tic source limitation. Sec. 1008. Authorization reductions to re- Subtitle F—Repeal of Certain Reporting and Sec. 807. Encouragement of use of leasing flect savings from revised eco- Other Requirements and Authorities authority. nomic assumptions. Sec. 808. Cost reimbursement rules for indi- Sec. 1061. Miscellaneous provisions of law. Sec. 1062. Reports required by title 10, Unit- rect costs attributable to pri- Subtitle B—Naval Vessels and Shipyards ed States Code. vate sector work of defense con- Sec. 1011. Iowa class battleships. Sec. 1063. Reports required by defense au- tractors. Sec. 1012. Transfer of naval vessels to cer- thorization and appropriations Sec. 809. Subcontracts for ocean transpor- tain foreign countries. Acts. tation services. Sec. 1013. Contract options for LMSR ves- Sec. 1064. Reports required by other provi- Sec. 810. Prompt resolution of audit rec- sels. sions of law. ommendations. Sec. 1014. National Defense Reserve Fleet. Sec. 811. Test program for negotiation of Sec. 1015. Naval salvage facilities. Subtitle G—Department of Defense comprehensive subcontracting Sec. 1016. Vessels subject to repair under Education Programs plans. phased maintenance contracts. Sec. 1071. Continuation of Uniformed Serv- Sec. 812. Procurement of items for experi- Sec. 1017. Clarification of requirements re- ices University of the Health mental or test purposes. lating to repairs of vessels. Sciences. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 355 Sec. 1072. Additional graduate schools and Sec. 1122. Required forfeiture of pay and al- Subtitle D—Burdensharing and Other Coop- programs at Uniformed Serv- lowances during confinement. erative Activities Involving Allies and ices University of the Health Sec. 1123. Deferment of confinement. NATO Sciences. Subtitle C—Pretrial and Post-Trial Actions Sec. 1331. Accounting for burdensharing con- Sec. 1073. Funding for adult education pro- Sec. 1131. Article 32 investigations. tributions. grams for military personnel Sec. 1132. Submission of matters to the con- Sec. 1332. Authority to accept contributions and dependents outside the vening authority for consider- for expenses of relocation with- United States. ation. in host nation of United States Sec. 1074. Assistance to local educational Sec. 1133. Commitment of accused to treat- Armed Forces overseas. agencies that benefit depend- ment facility by reason of lack Sec. 1333. Revised goal for allied share of ents of members of the Armed of mental capacity or mental costs for United States installa- Forces and Department of De- responsibility. tions in Europe. fense civilian employees. Sec. 1334. Exclusion of certain forces from Subtitle D—Appellate Matters Sec. 1075. Sharing of personnel of Depart- European end strength limita- ment of Defense domestic de- Sec. 1141. Appeals by the United States. tion. pendent schools and defense de- Sec. 1142. Repeal of termination of authority Sec. 1335. Cooperative research and develop- pendents’ education system. for Chief Justice of United ment agreements with NATO Sec. 1076. Increase in reserve component States to designate Article III organizations. Montgomery GI Bill edu- judges for temporary service on Sec. 1336. Support services for the Navy at cational assistance allowance Court of Appeals for the Armed the port of Haifa, Israel. with respect to skills or spe- Forces. Subtitle E—Other Matters cialties for which there is a Subtitle E—Other Matters critical shortage of personnel. Sec. 1341. Prohibition on financial assist- Sec. 1077. Date for annual report on reserve Sec. 1151. Advisory committee on criminal ance to terrorist countries. component Montgomery GI Bill law jurisdiction over civilians Sec. 1342. Judicial assistance to the Inter- educational assistance pro- accompanying the Armed national Tribunal for Yugo- gram. Forces in time of armed con- slavia and to the International Sec. 1078. Scope of education programs of flict. Tribunal for Rwanda. Community College of the Air Sec. 1152. Time after accession for initial in- Sec. 1343. Semiannual reports concerning Force. struction in the Uniform Code United States-People’s Repub- Sec. 1079. Amendments to education loan re- of Military Justice. lic of China Joint Defense Con- payment programs. Sec. 1153. Technical amendment. version Commission. Subtitle H—Other Matters TITLE XII—COOPERATIVE THREAT RE- TITLE XIV—ARMS CONTROL MATTERS DUCTION WITH STATES OF FORMER SO- Sec. 1081. National defense technology and Sec. 1401. Revision of definition of landmine VIET UNION industrial base, defense rein- for purposes of landmine export vestment, and defense conver- Sec. 1201. Specification of Cooperative moratorium. sion programs. Threat Reduction programs. Sec. 1402. Reports on moratorium on use by Sec. 1082. Ammunition industrial base. Sec. 1202. Fiscal year 1996 funding alloca- Armed Forces of antipersonnel Sec. 1083. Policy concerning excess defense tions. landmines. industrial capacity. Sec. 1203. Prohibition on use of funds for Sec. 1403. Extension and amendment of Sec. 1084. Sense of Congress concerning ac- peacekeeping exercises and re- counterproliferation authori- cess to secondary school stu- lated activities with Russia. ties. dent information for recruiting Sec. 1204. Revision to authority for assist- Sec. 1404. Limitation on retirement or dis- purposes. ance for weapons destruction. mantlement of strategic nu- Sec. 1085. Disclosure of information concern- Sec. 1205. Prior notice to Congress of obliga- clear delivery systems. ing unaccounted for United tion of funds. Sec. 1405. Sense of Congress on ABM treaty States personnel from the Ko- Sec. 1206. Report on accounting for United violations. rean Conflict, the Vietnam era, States assistance. Sec. 1406. Sense of Congress on ratification and the Cold War. Sec. 1207. Limitation on assistance to nu- of Chemical Weapons Conven- Sec. 1086. Operational support airlift air- clear weapons scientists of tion and START II Treaty. craft fleet. former Soviet Union. Sec. 1407. Implementation of arms control Sec. 1087. Civil Reserve Air Fleet. Sec. 1208. Limitations relating to offensive agreements. Sec. 1088. Damage or loss to personal prop- biological warfare program of Sec. 1408. Iran and Iraq arms nonprolifera- erty due to emergency evacu- Russia. tion. ation or extraordinary cir- Sec. 1209. Limitation on use of funds for TITLE XV—TECHNICAL AND CLERICAL cumstances. chemical weapons destruction AMENDMENTS Sec. 1089. Authority to suspend or terminate facility. collection actions against de- Sec. 1501. Amendments related to Reserve TITLE XIII—MATTERS RELATING TO ceased members. Officer Personnel Management OTHER NATIONS Sec. 1090. Check cashing and exchange Act. transactions for dependents of Subtitle A—Peacekeeping Provisions Sec. 1502. Amendments to reflect name United States Government per- Sec. 1301. Limitation on use of Department change of Committee on Armed sonnel. of Defense funds for United Services of the House of Rep- Sec. 1091. Designation of National Maritime States share of costs of United resentatives. Center. Nations peacekeeping activi- Sec. 1503. Miscellaneous amendments to Sec. 1092. Sense of Congress regarding his- ties. title 10, United States Code. toric preservation of Midway Subtitle B—Humanitarian Assistance Sec. 1504. Miscellaneous amendments to an- Islands. Programs nual defense authorization Sec. 1093. Sense of Senate regarding Federal Acts. Sec. 1311. Overseas humanitarian, disaster, spending. Sec. 1505. Miscellaneous amendments to and civic aid programs. Sec. 1094. Extension of authority for vessel other laws. Sec. 1312. Humanitarian assistance. war risk insurance. Sec. 1506. Coordination with other amend- Sec. 1313. Landmine clearance program. TITLE XI—UNIFORM CODE OF MILITARY ments. Subtitle C—Arms Exports and Military JUSTICE TITLE XVI—CORPORATION FOR THE PRO- Assistance Sec. 1101. Short title. MOTION OF RIFLE PRACTICE AND FIRE- Sec. 1102. References to Uniform Code of Sec. 1321. Defense export loan guarantees. ARMS SAFETY Sec. 1322. National security implications of Military Justice. Sec. 1601. Short title. United States export control Subtitle A—Offenses policy. Subtitle A—Establishment and Operation of Sec. 1111. Refusal to testify before court- Sec. 1323. Department of Defense review of Corporation martial. export licenses for certain bio- Sec. 1611. Establishment of the Corporation. Sec. 1112. Flight from apprehension. logical pathogens. Sec. 1612. Conduct of Civilian Marksmanship Sec. 1113. Carnal knowledge. Sec. 1324. Annual reports on improving ex- Program. Subtitle B—Sentences port control mechanisms and Sec. 1613. Eligibility for participation in Ci- Sec. 1121. Effective date for forfeitures of on military assistance. vilian Marksmanship Program. pay and allowances and reduc- Sec. 1325. Report on personnel requirements Sec. 1614. Issuance, loan, and sale of fire- tions in grade by sentence of for control of transfer of cer- arms and ammunition by the court-martial. tain weapons. Corporation. H 356 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Sec. 1615. Transfer of firearms and ammuni- Sec. 2407. Modification of authority to carry Subtitle C—Defense Base Closure and tion from the Army to the Cor- out fiscal year 1995 projects. Realignment poration. Sec. 2408. Reduction in amounts authorized Sec. 2831. Deposit of proceeds from leases of Sec. 1616. Reservation by the Army of fire- to be appropriated for fiscal property located at installa- arms and ammunition for the year 1994 contingency construc- tions being closed or realigned. Corporation. tion projects. Sec. 2832. In-kind consideration for leases at Sec. 1617. Army logistical support for the TITLE XXV—NORTH ATLANTIC TREATY installations to be closed or re- program. ORGANIZATION INFRASTRUCTURE aligned. Sec. 1618. General authorities of the Cor- Sec. 2501. Authorized NATO construction Sec. 2833. Interim leases of property ap- poration. and land acquisition projects. proved for closure or realign- Sec. 1619. Distribution of Corporate assets in Sec. 2502. Authorization of appropriations, ment. event of dissolution. NATO. Sec. 2834. Authority to lease property re- Subtitle B—Transitional Provisions TITLE XXVI—GUARD AND RESERVE quiring environmental remedi- FORCES FACILITIES ation at Sec. 1621. Transfer of funds and property to installations approved for clo- the Corporation. Sec. 2601. Authorized Guard and Reserve construction and land acquisi- sure or realignment. Sec. 1622. Continuation of eligibility for cer- Sec. 2835. Final funding for Defense Base tain civil service benefits for tion projects. Sec. 2602. Reduction in amount authorized Closure and Realignment Com- former Federal employees of Ci- mission. vilian Marksmanship Program. to be appropriated for fiscal year 1994 Air National Guard Sec. 2836. Exercise of authority delegated by Sec. 1623. Certification of completion of the Administrator of General transition. Projects. Sec. 2603. Correction in authorized uses of Services. Sec. 1624. Repeal of authority for conduct of funds for Army National Guard Sec. 2837. Lease back of property disposed Civilian Marksmanship Pro- projects in Mississippi. from installations approved for gram by the Army. closure or realignment. TITLE XXVII—EXPIRATION AND Sec. 2838. Improvement of base closure and DIVISION B—MILITARY CONSTRUCTION EXTENSION OF AUTHORIZATIONS AUTHORIZATIONS realignment process regarding Sec. 2701. Expiration of authorizations and disposal of property. Sec. 2001. Short title. amounts required to be speci- Sec. 2839. Agreements for certain services at TITLE XXI—ARMY fied by law. installations being closed. Sec. 2702. Extension of authorizations of cer- Sec. 2101. Authorized Army construction Sec. 2840. Authority to transfer property at tain fiscal year 1993 projects. and land acquisition projects. military installations to be Sec. 2703. Extension of authorizations of cer- closed to persons who construct Sec. 2102. Family housing. tain fiscal year 1992 projects. Sec. 2103. Improvements to military family or provide military family housing units. TITLE XXVIII—GENERAL PROVISIONS housing. Sec. 2104. Authorization of appropriations, Subtitle A—Military Housing Privatization Sec. 2841. Use of single base closure authori- Army. Initiative ties for disposal of property and Sec. 2801. Alternative authority for con- facilities at Fort Holabird, TITLE XXII—NAVY struction and improvement of Maryland. Sec. 2201. Authorized Navy construction and military housing. Subtitle D—Land Conveyances Generally land acquisition projects. Sec. 2802. Expansion of authority for limited PART I—ARMY CONVEYANCES Sec. 2202. Family housing. partnerships for development of Sec. 2851. Transfer of jurisdiction, Fort Sam Sec. 2203. Improvements to military family military family housing. housing units. Houston, Texas. Subtitle B—Other Military Construction Pro- Sec. 2852. Transfer of jurisdiction, Fort Sec. 2204. Authorization of appropriations, gram and Military Family Housing Changes Bliss, Texas. Navy. Sec. 2811. Special threshold for unspecified Sec. 2853. Transfer of jurisdiction and land Sec. 2205. Revision of fiscal year 1995 author- minor construction projects to conveyance, Fort Devens Mili- ization of appropriations to correct life, health, or safety tary Reservation, Massachu- clarify availability of funds for deficiencies. setts. large anechoic chamber facil- Sec. 2812. Clarification of scope of unspec- Sec. 2854. Modification of land conveyance, ity, Patuxent River Naval War- ified minor construction au- Fort Belvoir, Virginia. fare Center, Maryland. thority. Sec. 2855. Land exchange, Fort Lewis, Wash- Sec. 2206. Authority to carry out land acqui- Sec. 2813. Temporary authority to waive net ington. sition project, Hampton Roads, floor area limitation for family Sec. 2856. Land exchange, Army Reserve Virginia. housing acquired in lieu of con- Center, Gainesville, Georgia. Sec. 2207. Acquisition of land, Henderson struction. Sec. 2857. Land conveyance, Holston Army Hall, Arlington, Virginia. Sec. 2814. Reestablishment of authority to Ammunition Plant, Mount Car- Sec. 2208. Acquisition or construction of waive net floor area limitation mel, Tennessee. military family housing in vi- on acquisition by purchase of Sec. 2858. Land conveyance, Indiana Army cinity of San Diego, California. certain military family hous- Ammunition Plant, Charles- TITLE XXIII—AIR FORCE ing. town, Indiana. Sec. 2815. Temporary authority to waive Sec. 2859. Land conveyance, Fort Ord, Cali- Sec. 2301. Authorized Air Force construction limitations on space by pay and land acquisition projects. fornia. grade for military family hous- Sec. 2860. Land conveyance, Parks Reserve Sec. 2302. Family housing. ing units. Forces Training Area, Dublin, Sec. 2303. Improvements to military family Sec. 2816. Rental of family housing in for- California. housing units. eign countries. Sec. 2861. Land conveyance, Army Reserve Sec. 2304. Authorization of appropriations, Sec. 2817. Clarification of scope of report re- Center, Youngstown, Ohio. Air Force. quirement on cost increases Sec. 2862. Land conveyance, Army Reserve Sec. 2305. Retention of accrued interest on under contracts for military Property, Fort Sheridan, Illi- funds deposited for construc- family housing construction. nois. tion of family housing, Scott Sec. 2818. Authority to convey damaged or Sec. 2863. Land conveyance, property under- Air Force Base, Illinois. deteriorated military family lying Cummins Apartment TITLE XXIV—DEFENSE AGENCIES housing. Complex, Fort Holabird, Mary- Sec. 2819. Energy and water conservation land. Sec. 2401. Authorized Defense Agencies con- savings for the Department of struction and land acquisition Sec. 2864. Modification of existing land con- Defense. veyance, Army property, Ham- projects. Sec. 2820. Extension of authority to enter ilton Air Force Base, Califor- Sec. 2402. Military family housing private into leases of land for special nia. investment. operations activities. Sec. 2403. Improvements to military family Sec. 2821. Disposition of amounts recovered PART II—NAVY CONVEYANCES housing units. as a result of damage to real Sec. 2865. Transfer of jurisdiction, Naval Sec. 2404. Energy conservation projects. property. Weapons Industrial Reserve Sec. 2405. Authorization of appropriations, Sec. 2822. Pilot program to provide interest Plant, Calverton, New York. Defense Agencies. rate buy down authority on Sec. 2866. Modification of land conveyance, Sec. 2406. Limitations on use of Department loans for housing within hous- Naval Weapons Industrial Re- of Defense Base Closure Ac- ing shortage areas at military serve Plant, Calverton, New count 1990. installations. York. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 357 Sec. 2867. Land conveyance alternative to Subtitle B—Other Land Conveyances Sec. 3155. Review of certain documents be- existing lease authority, Naval Involving Joliet Army Ammunition Plant fore declassification and re- Supply Center, Oakland, Cali- Sec. 2921. Conveyance of certain real prop- lease. fornia. erty at Arsenal for a national Sec. 3156. Accelerated schedule for environ- Sec. 2868. Land conveyance, Naval Weapons cemetery. mental restoration and waste Industrial Reserve Plant, Sec. 2922. Conveyance of certain real prop- management activities. McGregor, Texas. erty at Arsenal for a county Sec. 3157. Sense of Congress regarding cer- Sec. 2869. Land conveyance, Naval Surface landfill. tain environmental restoration Warfare Center, Memphis, Ten- Sec. 2923. Conveyance of certain real prop- requirements. nessee. erty at Arsenal for industrial Sec. 3158. Responsibility for Defense Pro- Sec. 2870. Land conveyance, Navy property, parks. grams Emergency Response Fort Sheridan, Illinois. Program. Subtitle C—Miscellaneous Provisions Sec. 2871. Land conveyance, Naval Commu- Sec. 3159. Requirements for Department of nications Station, Stockton, Sec. 2931. Degree of environmental cleanup. Energy weapons activities California. Sec. 2932. Retention of property used for en- budgets for fiscal years after Sec. 2872. Lease of property, Naval Air Sta- vironmental cleanup. fiscal year 1996. tion and Marine Corps Air Sta- DIVISION C—DEPARTMENT OF ENERGY Sec. 3160. Report on hydronuclear testing. tion, Miramar, California. NATIONAL SECURITY AUTHORIZATIONS Sec. 3161. Applicability of Atomic Energy PART III—AIR FORCE CONVEYANCES AND OTHER AUTHORIZATIONS Community Act of 1955 to Los Sec. 2874. Land acquisition or exchange, TITLE XXXI—DEPARTMENT OF ENERGY Alamos, New Mexico. Shaw Air Force Base, South NATIONAL SECURITY PROGRAMS Sec. 3162. Sense of Congress regarding ship- Carolina. ments of spent nuclear fuel. Sec. 2875. Land conveyance, Elmendorf Air Subtitle A—National Security Programs Authorizations TITLE XXXII—DEFENSE NUCLEAR Force Base, Alaska. FACILITIES SAFETY BOARD Sec. 2876. Land conveyance, Radar Bomb Sec. 3101. Weapons activities. Scoring Site, Forsyth, Mon- Sec. 3102. Environmental restoration and Sec. 3201. Authorization. tana. waste management. TITLE XXXIII—NATIONAL DEFENSE Sec. 2877. Land conveyance, Radar Bomb Sec. 3103. Other defense activities. STOCKPILE Scoring Site, Powell, Wyoming. Sec. 3104. Defense nuclear waste disposal. Subtitle A—Authorization of Disposals and Sec. 2878. Land conveyance, Avon Park Air Subtitle B—Recurring General Provisions Use of Funds Force Range, Florida. Sec. 3121. Reprogramming. Sec. 3301. Definitions. Subtitle E—Land Conveyances Involving Sec. 3122. Limits on general plant projects. Sec. 3302. Authorized uses of stockpile funds. Utilities Sec. 3123. Limits on construction projects. Sec. 3303. Disposal of chromite and man- Sec. 2881. Conveyance of resource recovery Sec. 3124. Fund transfer authority. ganese ores and chromium ferro facility, Fort Dix, New Jersey. Sec. 3125. Authority for conceptual and con- and manganese metal electro- Sec. 2882. Conveyance of water and struction design. lytic. wastewater treatment plants, Sec. 3126. Authority for emergency plan- Sec. 3304. Restrictions on disposal of man- Fort Gordon, Georgia. ning, design, and construction ganese ferro. Sec. 2883. Conveyance of electricity distribu- activities. Sec. 3305. Titanium initiative to support tion system, Fort Irwin, Cali- Sec. 3127. Funds available for all national battle tank upgrade program. fornia. security programs of the De- Subtitle B—Programmatic Change Sec. 2884. Conveyance of water treatment partment of Energy. Sec. 3311. Transfer of excess defense-related plant, Fort Pickett, Virginia. Sec. 3128. Availability of funds. Subtitle F—Other Matters materials to stockpile for dis- Subtitle C—Program Authorizations, posal. Sec. 2891. Authority to use funds for certain Restrictions, and Limitations educational purposes. TITLE XXXIV—NAVAL PETROLEUM Sec. 2892. Department of Defense Laboratory Sec. 3131. Authority to conduct program re- RESERVES lating to fissile materials. Revitalization Demonstration Subtitle A—Administration of Naval Sec. 3132. National Ignition Facility. Program. Petroleum Reserves Sec. 3133. Tritium production program. Sec. 2893. Authority for Port Authority of Sec. 3401. Authorization of appropriations. State of Mississippi to use Navy Sec. 3134. Payment of penalties. Sec. 3135. Fissile materials disposition. Sec. 3402. Price requirement on sale of cer- property at Naval Construction tain petroleum during fiscal Battalion Center, Gulfport, Sec. 3136. Tritium recycling. Sec. 3137. Manufacturing infrastructure for year 1996. Mississippi. Sec. 3403. Extension of operating contract Sec. 2894. Prohibition on joint use of Naval refabrication and certification for Naval Petroleum Reserve Air Station and Marine Corps of nuclear weapons stockpile. Numbered 1. Air Station, Miramar, Califor- Sec. 3138. Hydronuclear experiments. nia. Sec. 3139. Limitation on authority to con- Subtitle B—Sale of Naval Petroleum Reserve Sec. 2895. Report regarding Army water duct hydronuclear tests. Sec. 3411. Definitions. craft support facilities and ac- Sec. 3140. Fellowship program for develop- Sec. 3412. Sale of Naval Petroleum Reserve tivities. ment of skills critical to the Numbered 1. Sec. 2896. Residual value reports. Department of Energy nuclear Sec. 3413. Effect of sale of reserve. Sec. 2897. Sense of Congress and report re- weapons complex. Sec. 3414. Conditions on sale process. garding Fitzsimons Army Medi- Sec. 3141. Limitation on use of funds for cer- Sec. 3415. Treatment of State of California cal Center, Colorado. tain research and development claim regarding reserve. TITLE XXIX—LAND CONVEYANCES IN- purposes. Sec. 3416. Study of future of other naval pe- VOLVING JOLIET ARMY AMMUNITION Sec. 3142. Processing and treatment of high- troleum reserves. level nuclear waste and spent PLANT, ILLINOIS TITLE XXXV—PANAMA CANAL nuclear fuel rods. Sec. 2901. Short title. COMMISSION Sec. 2902. Definitions. Sec. 3143. Protection of workers at nuclear weapons facilities. Subtitle A—Authorization of Appropriations Subtitle A—Conversion of Joliet Army Am- Sec. 3144. Department of Energy Declas- Sec. 3501. Short title. munition Plant to Midewin National sification Productivity Initia- Sec. 3502. Authorization of expenditures. Tallgrass Prairie tive. Sec. 3503. Expenditures in accordance with Sec. 2911. Principles of transfer. Subtitle D—Other Matters other laws. Sec. 2912. Transfer of management respon- Subtitle B—Reconstitution of Commission as sibilities and jurisdiction over Sec. 3151. Report on foreign tritium pur- Government Corporation Arsenal. chases. Sec. 2913. Responsibility and liability. Sec. 3152. Study on nuclear test readiness Sec. 3521. Short title. Sec. 2914. Establishment and administration postures. Sec. 3522. Reconstitution of Commission as of Midewin National Tallgrass Sec. 3153. Master plan for the certification, Government corporation. Prairie. stewardship, and management Sec. 3523. Supervisory Board. Sec. 2915. Special management requirements of warheads in the nuclear Sec. 3524. General and specific powers of for Midewin National Tallgrass weapons stockpile. Commission. Prairie. Sec. 3154. Prohibition on international in- Sec. 3525. Congressional review of budget. Sec. 2916. Special transfer rules for certain spections of Department of En- Sec. 3526. Audits. Arsenal parcels intended for ergy facilities unless protection Sec. 3527. Prescription of measurement rules MNP. of restricted data is certified. and rates of tolls. H 358 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Sec. 3528. Procedures for changes in rules of Sec. 5122. Capital planning and investment (2) the Committee on National Security measurement and rates of tolls. control. and the Committee on Appropriations of the Sec. 3529. Miscellaneous technical amend- Sec. 5123. Performance and results-based House of Representatives. ments. management. SEC. 4. EXTENSION OF TIME FOR SUBMISSION OF Sec. 3530. Conforming amendment to title Sec. 5124. Acquisitions of information tech- REPORTS. 31, United States Code. nology. In the case of any provision of this Act, or DIVISION D—FEDERAL ACQUISITION Sec. 5125. Agency Chief Information Officer. any amendment made by a provision of this REFORM Sec. 5126. Accountability. Act, requiring the submission of a report to Sec. 5127. Significant deviations. Sec. 4001. Short title. Congress (or any committee of Congress), Sec. 5128. Interagency support. that report shall be submitted not later than TITLE XLI—COMPETITION Subtitle D—Other Responsibilities the later of— Sec. 4101. Efficient competition. Sec. 5131. Responsibilities regarding effi- (1) the date established for submittal of the Sec. 4102. Efficient approval procedures. ciency, security, and privacy of report in such provision or amendment; or Sec. 4103. Efficient competitive range deter- Federal computer systems. (2) the date that is 45 days after the date of minations. Sec. 5132. Sense of Congress. the enactment of this Act. Sec. 4104. Preaward debriefings. Sec. 4105. Design-build selection procedures. Subtitle E—National Security Systems DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS TITLE XLII—COMMERCIAL ITEMS Sec. 5141. Applicability to national security systems. TITLE I—PROCUREMENT Sec. 4201. Commercial item exception to re- Sec. 5142. National security system defined. quirement for cost or pricing Subtitle A—Authorization of Appropriations data. TITLE LII—PROCESS FOR ACQUISITIONS SEC. 101. ARMY. Sec. 4202. Application of simplified proce- OF INFORMATION TECHNOLOGY Funds are hereby authorized to be appro- dures to certain commercial Sec. 5201. Procurement procedures. priated for fiscal year 1996 for procurement items. Sec. 5202. Incremental acquisition of infor- for the Army as follows: Sec. 4203. Inapplicability of certain procure- mation technology. (1) For aircraft, $1,558,805,000. ment laws to commercially TITLE LIII—INFORMATION TECHNOLOGY (2) For missiles, $865,555,000. available off-the-shelf items. ACQUISITION PILOT PROGRAMS (3) For weapons and tracked combat vehi- Sec. 4204. Amendment of commercial items Subtitle A—Conduct of Pilot Programs cles, $1,652,745,000. definition. Sec. 5301. Authority to conduct pilot pro- (4) For ammunition, $1,093,991,000. Sec. 4205. Inapplicability of cost accounting grams. (5) For other procurement, $2,763,443,000. standards to contracts and sub- Sec. 5302. Evaluation criteria and plans. SEC. 102. NAVY AND MARINE CORPS. contracts for commercial Sec. 5303. Report. (a) NAVY.—Funds are hereby authorized to items. Sec. 5304. Recommended legislation. be appropriated for fiscal year 1996 for pro- TITLE XLIII—ADDITIONAL REFORM Sec. 5305. Rule of construction. curement for the Navy as follows: PROVISIONS Subtitle B—Specific Pilot Programs (1) For aircraft, $4,572,394,000. (2) For weapons, including missiles and Subtitle A—Additional Acquisition Reform Sec. 5311. Share-in-savings pilot program. Provisions Sec. 5312. Solutions-based contracting pilot torpedoes, $1,659,827,000. (3) For shipbuilding and conversion, Sec. 4301. Elimination of certain certifi- program. $6,643,958,000. cation requirements. TITLE LIV—ADDITIONAL INFORMATION Sec. 4302. Authorities conditioned on (4) For other procurement, $2,414,771,000. RESOURCES MANAGEMENT MATTERS (b) MARINE CORPS.—Funds are hereby au- FACNET capability. Sec. 5401. On-line multiple award schedule thorized to be appropriated for fiscal year Sec. 4303. International competitiveness. contracting. 1996 for procurement for the Marine Corps in Sec. 4304. Procurement integrity. Sec. 5402. Identification of excess and sur- Sec. 4305. Further acquisition streamlining the amount of $458,947,000. plus computer equipment. (c) NAVY AND MARINE CORPS AMMUNITION.— provisions. Sec. 5403. Access of certain information in Sec. 4306. Value engineering for Federal Funds are hereby authorized to be appro- information systems to the di- agencies. priated for procurement of ammunition for rectory established under sec- Sec. 4307. Acquisition workforce. the Navy and the Marine Corps in the Sec. 4308. Demonstration project relating to tion 4101 of title 44, United amount of $430,053,000. certain personnel management States Code. SEC. 103. AIR FORCE. policies and procedures. TITLE LV—PROCUREMENT PROTEST AU- Funds are hereby authorized to be appro- Sec. 4309. Cooperative purchasing. THORITY OF THE COMPTROLLER GEN- priated for fiscal year 1996 for procurement Sec. 4310. Procurement notice technical ERAL for the Air Force as follows: amendments. Sec. 5501. Period for processing protests. (1) For aircraft, $7,349,783,000. Sec. 4311. Micro-purchases without competi- Sec. 5502. Availability of funds following (2) For missiles, $2,938,883,000. tive quotations. GAO resolution of challenge to (3) For ammunition, $343,848,000. Subtitle B—Technical Amendments contracting action. (4) For other procurement, $6,268,430,000. Sec. 4321. Amendments related to Federal TITLE LVI—CONFORMING AND CLERICAL SEC. 104. DEFENSE-WIDE ACTIVITIES. Acquisition Streamlining Act AMENDMENTS Funds are hereby authorized to be appro- of 1994. Sec. 5601. Amendments to title 10, United priated for fiscal year 1996 for Defense-wide Sec. 4322. Miscellaneous amendments to States Code. procurement in the amount of $2,124,379,000. Federal acquisition laws. Sec. 5602. Amendments to title 28, United SEC. 105. RESERVE COMPONENTS. TITLE XLIV—EFFECTIVE DATES AND States Code. Funds are hereby authorized to be appro- IMPLEMENTATION Sec. 5603. Amendment to title 31, United priated for fiscal year 1996 for procurement of aircraft, vehicles, communications equip- Sec. 4401. Effective date and applicability. States Code. Sec. 4402. Implementing regulations. Sec. 5604. Amendments to title 38, United ment, and other equipment for the reserve States Code. components of the Armed Forces as follows: DIVISION E—INFORMATION TECHNOLOGY Sec. 5605. Provisions of title 44, United (1) For the Army National Guard, MANAGEMENT REFORM States Code, relating to paper- $160,000,000. Sec. 5001. Short title. work reduction. (2) For the Air National Guard, $255,000,000. Sec. 5002. Definitions. Sec. 5606. Amendment to title 49, United (3) For the Army Reserve, $85,700,000. TITLE LI—RESPONSIBILITY FOR ACQUISI- States Code. (4) For the Naval Reserve, $67,000,000. TIONS OF INFORMATION TECHNOLOGY Sec. 5607. Other laws. (5) For the Air Force Reserve, $135,600,000. Subtitle A—General Authority Sec. 5608. Clerical amendments. (6) For the Marine Corps Reserve, Sec. 5101. Repeal of central authority of the TITLE LVII—EFFECTIVE DATE, SAVINGS $73,700,000. Administrator of General Serv- PROVISIONS, AND RULES OF CON- SEC. 106. DEFENSE INSPECTOR GENERAL. ices. STRUCTION Funds are hereby authorized to be appro- priated for fiscal year 1996 for procurement Subtitle B—Director of the Office of Sec. 5701. Effective date. Sec. 5702. Savings provisions. for the Inspector General of the Department Management and Budget Sec. 5703. Rules of construction. of Defense in the amount of $1,000,000. Sec. 5111. Responsibility of Director. SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES SEC. 107. CHEMICAL DEMILITARIZATION PRO- Sec. 5112. Capital planning and investment DEFINED. GRAM. control. For purposes of this Act, the term ‘‘con- There is hereby authorized to be appro- Sec. 5113. Performance-based and results- gressional defense committees’’ means— priated for fiscal year 1996 the amount of based management. (1) the Committee on Armed Services and $672,250,000 for— Subtitle C—Executive Agencies the Committee on Appropriations of the Sen- (1) the destruction of lethal chemical Sec. 5121. Responsibilities. ate; and agents and munitions in accordance with January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 359 section 1412 of the Department of Defense ment for the fiscal year 1998 submarine, (A) one of the four submarines is to be con- Authorization Act, 1986 (50 U.S.C. 1521); and which shall be built by Electric Boat Divi- structed with funds appropriated for each fis- (2) the destruction of chemical warfare ma- sion; and cal year from fiscal year 1998 through fiscal teriel of the United States that is not cov- (ii) $100,000,000 shall be available for long- year 2001; ered by section 1412 of such Act. lead and advance construction and procure- (B) in order to ensure flexibility for inno- SEC. 108. DEFENSE HEALTH PROGRAMS. ment for the fiscal year 1999 submarine, vation, the fiscal year 1998 and the fiscal Funds are hereby authorized to be appro- which shall be built by Newport News Ship- year 2000 submarines are to be constructed priated for fiscal year 1996 for the Depart- building. by the Electric Boat Division and the fiscal ment of Defense for procurement for carry- (2) Of the amount authorized by section year 1999 and the fiscal year 2001 submarines ing out health care programs, projects, and 201(2), $10,000,000 shall be available only for are to be constructed by Newport News Ship- activities of the Department of Defense in participation of Newport News Shipbuilding building; the total amount of $288,033,000. in the design of the submarine previously (C) the design designated by the Navy for designated by the Navy as the New Attack Subtitle B—Army Programs the submarine previously designated as the Submarine. New Attack Submarine will be used as the SEC. 111. PROCUREMENT OF OH–58D ARMED (b) COMPETITION, REPORT, AND BUDGET RE- base design by both contractors; KIOWA WARRIOR HELICOPTERS. VISION LIMITATIONS.—(1) Of the amounts (D) each contractor shall be called upon to The prohibition in section 133(a)(2) of the specified in subsection (a)(1), not more than propose improvements, including design im- National Defense Authorization Act for Fis- $200,000,000 may be obligated or expended provements, for each successive submarine cal Years 1990 and 1991 (Public Law 101–189; until the Secretary of the Navy certifies in as new and better technology is dem- 103 Stat. 1383) does not apply to the obliga- writing to the Committee on Armed Services onstrated and matures so that— tion of funds in amounts not to exceed of the Senate and the Committee on Na- (i) each successive submarine is more capa- $140,000,000 for the procurement of not more tional Security of the House of Representa- ble and more affordable; and than 20 OH–58D Armed Kiowa Warrior air- tives that procurement of nuclear attack (ii) the design for a future class of nuclear craft from funds appropriated for fiscal year submarines to be constructed beginning— attack submarines will incorporate the lat- 1996 pursuant to section 101. (A) after fiscal year 1999, or est, best, and most affordable technology; SEC. 112. REPEAL OF REQUIREMENTS FOR AR- (B) if four submarines are procured as pro- and MORED VEHICLE UPGRADES. vided for in the plan described in subsection (E) the fifth and subsequent nuclear attack Subsection (j) of section 21 of the Arms Ex- (c), after fiscal year 2001, submarines to be built after the SSN–23 sub- will be under one or more contracts that are port Control Act (22 U.S.C. 2761) is repealed. marine shall be procured as required by sub- entered into after competition between po- SEC. 113. MULTIYEAR PROCUREMENT OF HELI- section (b)(1). tential competitors (as defined in subsection COPTERS. (3) The plan under paragraph (1) shall— (k)) in which the Secretary solicits competi- The Secretary of the Army may, in accord- (A) set forth a program to accomplish the tive proposals and awards the contract or ance with section 2306b of title 10, United design, development, and construction of the States Code, enter into multiyear procure- contracts on the basis of price. (2) Of the amounts specified in subsection four submarines taking maximum advantage ment contracts for procurement of the fol- of a streamlined acquisition process, as pro- lowing: (a)(1), not more than $1,000,000,000 may be ob- ligated or expended until the Secretary of vided under subsection (d); (1) AH–64D Longbow Apache attack heli- (B) culminate in selection of a design for a copters. Defense, not later than March 15, 1996, ac- complishes each of the following: next submarine for serial production not ear- (2) UH–60 Black Hawk utility helicopters. lier than fiscal year 2003, with such sub- SEC. 114. REPORT ON AH–64D ENGINE UPGRADES. (A) Submits to the Committee on Armed Services of the Senate and the Committee on marine to be procured as required by sub- No later than February 1, 1996, the Sec- National Security of the House of Represent- section (b)(1); retary of the Army shall submit to Congress atives in accordance with subsection (c) the (C) identify advanced technologies that are a report on plans to procure T700–701C engine plan required by that subsection for a pro- in various phases of research and develop- upgrade kits for Army AH–64D helicopters. gram to produce a more capable, less expen- ment, as well as those that are commercially The report shall include— sive nuclear attack submarine than the sub- available off-the-shelf, that are candidates to (1) a plan to provide for the upgrade of all marine design previously designated by the be incorporated into the plan to design, de- Army AH–64D helicopters with T700–701C en- Navy as the New Attack Submarine. velop, and procure the submarines; gine kits commencing in fiscal year 1996; and (B) Notwithstanding any other provision of (D) designate the fifth submarine to be pro- (2) a detailed timeline and statement of law, or the funding level in the President’s cured as the lead ship in the next generation funding requirements for the engine upgrade budget for each year after fiscal year 1996, submarine class, unless the Secretary of the program described in paragraph (1). the Under Secretary of Defense (Comptrol- Navy, in consultation with the special sub- SEC. 115. REQUIREMENT FOR USE OF PRE- ler) shall incorporate the costs of the plan marine review panel described in subsection VIOUSLY AUTHORIZED MULTIYEAR required by subsection (c) in the Future (f), determines that more submarines should PROCUREMENT AUTHORITY FOR be built before the design of the new class of ARMY SMALL ARMS PROCUREMENT. Years Defense Program (FYDP) even if the total cost of that Program exceeds the Presi- submarines is fixed, in which case each such (a) REQUIREMENT.—The Secretary of the additional submarine shall be procured in Army (subject to the provision of authority dent’s budget. (C) Directs that the Under Secretary of De- the same manner as is required by sub- in an appropriations Act) shall enter into a section (b)(1); and multiyear procurement contract during fis- fense for Acquisition and Technology con- duct oversight over the development and im- (E) identify the impact of the submarine cal year 1997 in accordance with section program described in paragraph (1) on the re- 115(b)(2) of the National Defense Authoriza- provement of the nuclear attack submarine program of the Navy. Officials of the Depart- mainder of the appropriation account known tion for Fiscal Year 1995 (Public Law 103–337; as ‘‘Shipbuilding and Conversion, Navy’’, as 108 Stat. 2681). ment of the Navy exercising management oversight of the program shall report to the such impact relates to— (b) TECHNICAL AMENDMENT.—Section (i) force structure levels required by the 115(b)(1) of the National Defense Authoriza- Under Secretary of Defense for Acquisition and Technology with respect to that pro- October 1993 Department of Defense report tion for Fiscal Year 1995 (Public Law 103–337; entitled ‘‘Report on the Bottom-Up Review’’; 108 Stat. 2681) is amended by striking out gram. (c) PLAN FOR FISCAL YEAR 1998, 1999, 2000, (ii) force structure levels required by the ‘‘2306(h)’’ and inserting in lieu thereof 1995 report on the Surface Ship Combatant ‘‘2306b’’. AND 2001 SUBMARINES.—(1) The Secretary of Defense shall, not later than March 15, 1996, Study that was carried out for the Depart- Subtitle C—Navy Programs develop (and submit to the committees spec- ment of Defense; and SEC. 131. NUCLEAR ATTACK SUBMARINES. ified in subsection (b)(2)(A)) a detailed plan (iii) the funding requirements for sub- (a) AMOUNTS AUTHORIZED.—(1) Of the for development of a program that will lead marine construction, as a percentage of the amount authorized by section 102 to be ap- to production of a more capable, less expen- total ship construction account, for each fis- propriated for Shipbuilding and Conversion, sive submarine than the submarine pre- cal year throughout the FYDP. Navy, for fiscal year 1996— viously designated as the New Attack Sub- (4) As part of such plan, the Secretary (A) $700,000,000 is available for construction marine. shall provide— of the third vessel (designated SSN–23) in the (2) As part of such plan, the Secretary (A) cost estimates and schedules for devel- Seawolf attack submarine class, which shall shall provide for a program for the design, oping new technologies that may be used to be the final vessel in that class; and development, and procurement of four nu- make submarines more capable and more af- (B) $804,498,000 is available for long-lead clear attack submarines to be procured dur- fordable; and and advance construction and procurement ing fiscal years 1998 through 2001, the pur- (B) an analysis of significant risks associ- of components for construction of the fiscal pose of which shall be to develop and dem- ated with fielding the new technologies on year 1998 and fiscal year 1999 submarines onstrate new technologies that will result in the schedule proposed by the Secretary and (previously designated by the Navy as the each successive submarine of those four significant increased risks that are likely to New Attack Submarine), of which— being a more capable and more affordable be incurred by accelerating that schedule. (i) $704,498,000 shall be available for long- submarine than the submarine that preceded (d) STREAMLINED ACQUISITION PROCESS.— lead and advance construction and procure- it. The program shall be structured so that— The Secretary of Defense shall prescribe and H 360 CONGRESSIONAL RECORD — HOUSE January 22, 1996 use streamlined acquisition policies and pro- prototype acquisition strategy for both land- (4) A contract for construction of a vessel cedures to reduce the cost and increase the based and at-sea subsystem and system dem- or vessels that is entered into in accordance efficiency of the submarine program under onstrations of advanced technologies under with paragraph (1) shall include a clause that this section. paragraph (1). Such acquisition strategy limits the liability of the Government to the (e) ANNUAL REVISIONS TO PLAN.—The Sec- shall be developed and implemented in con- contractor for any termination of the con- retary shall submit to the Committee on cert with Electric Boat Division and New- tract. The maximum liability of the Govern- Armed Services of the Senate and the Com- port News Shipbuilding and the Navy. ment under the clause shall be the amount mittee on National Security of the House of (j) REFERENCES TO CONTRACTORS.—For pur- appropriated for the vessel or vessels. Representatives an annual update to the poses of this section— (c) USE OF AVAILABLE FUNDS.—(1) Subject plan required to be submitted under sub- (1) the contractor referred to as ‘‘Electric to paragraph (2), the Secretary may take ap- section (b). Each such update shall be sub- Boat Division’’ is the Electric Boat Division propriate actions to use for full funding of a mitted concurrent with the President’s budg- of the General Dynamics Corporation; and contract entered into in accordance with et submission to Congress for each of fiscal (2) the contractor referred to as ‘‘Newport subsection (b)— years 1998 through 2002. News Shipbuilding’’ is the Newport News (A) any funds that, having been appro- (f) SPECIAL SUBMARINE REVIEW PANEL.—(1) Shipbuilding and Drydock Company. priated for shipbuilding and conversion pro- The plan under subsection (c) and each an- (k) POTENTIAL COMPETITOR DEFINED.—For grams of the Navy other than Arleigh Burke nual update under subsection (e) shall be re- purposes of this section, the term ‘‘potential class destroyer programs pursuant to the au- viewed by a special bipartisan congressional competitor’’ means any source to which the thorization in section 102(a)(3), become ex- panel working with the Navy. The panel Secretary of the Navy has awarded, within 10 cess to the needs of the Navy for such pro- shall consist of three members of the Com- years before the date of the enactment of grams by reason of cost savings achieved for mittee on Armed Services of the Senate, who this Act, a contract or contracts to con- such programs; shall be designated by the chairman of that struct one or more nuclear attack sub- (B) any unobligated funds that are avail- committee, and three members of the Com- marines. able to the Secretary for shipbuilding and mittee on National Security of the House of SEC. 132. RESEARCH FOR ADVANCED SUBMARINE conversion for any fiscal year before fiscal Representatives, who shall be designated by TECHNOLOGY. year 1996; and the chairman of that committee. The mem- Of the amount appropriated for fiscal year (C) any funds that are appropriated after bers of the panel shall be briefed by the Sec- 1996 for the National Defense Sealift Fund, the date of the enactment of the Department retary of the Navy on the status of the sub- $50,000,000 shall be available only for the Di- of Defense Appropriations Act, 1996, to com- marine modernization program and the sta- rector of the Advanced Research Projects plete the full funding of the contract. tus of submarine-related research and devel- Agency for advanced submarine technology (2) The Secretary may not, in the exercise opment under this section. activities. of authority provided in subparagraph (A) or (2) Not later than May 1 of each year, the SEC. 133. COST LIMITATION FOR SEAWOLF SUB- (B) of paragraph (1), obligate funds for a con- panel shall report to the Committee on MARINE PROGRAM. tract entered into in accordance with sub- Armed Services of the Senate and the Com- (a) LIMITATION OF COSTS.—Except as pro- section (b) until 30 days after the date on mittee on National Security of the House of vided in subsection (b), the total amount ob- which the Secretary submits to the congres- Representatives on the panel’s findings and ligated or expended for procurement of the sional defense committees in writing a noti- recommendations regarding the progress of SSN–21, SSN–22, and SSN–23 Seawolf class fication of the intent to obligate the funds. the Secretary in procuring a more capable, submarines may not exceed $7,223,659,000. The notification shall set forth the source or less expensive submarine. The panel may (b) AUTOMATIC INCREASE OF LIMITATION sources of the funds and the amount of the recommend any funding adjustments it be- AMOUNT.—The amount of the limitation set funds from each such source that is to be so lieves appropriate to achieve this objective. forth in subsection (a) is increased by the obligated. (g) LINKAGE OF FISCAL YEAR 1998 AND 1999 following amounts: SEC. 136. ACQUISITION PROGRAM FOR CRASH AT- SUBMARINES.—Funds referred to in sub- (1) The amounts of outfitting costs and TENUATING SEATS. section (a)(1)(B) that are available for the post-delivery costs incurred for the sub- (a) PROGRAM AUTHORIZED.—The Secretary fiscal year 1998 and fiscal year 1999 sub- marines referred to in such subsection. of the Navy shall establish a program to pro- marines under this section may not be ex- (2) The amounts of increases in costs at- cure for, and install in, H–53E military trans- pended during fiscal year 1996 for the fiscal tributable to economic inflation after Sep- port helicopters commercially developed, en- year 1998 submarine (other than for design) tember 30, 1995. ergy absorbing, crash attenuating seats that unless funds are obligated or expended dur- (3) The amounts of increases in costs at- the Secretary determines are consistent with ing such fiscal year for a contract in support tributable to compliance with changes in military specifications for seats for such hel- of procurement of the fiscal year 1999 sub- Federal, State, or local laws enacted after icopters. marine. September 30, 1995. (b) FUNDING.—To the extent provided in ap- (h) CONTRACTS AUTHORIZED.—The Sec- (c) REPEAL OF SUPERSEDED PROVISION.— propriations Acts, of the unobligated balance retary of the Navy is authorized, using funds Section 122 of the National Defense Author- of amounts appropriated for the Legacy Re- available pursuant to paragraph (1)(B) of ization Act for Fiscal Year 1995 (Public Law source Management Program pursuant to subsection (a), to enter into contracts with 103–337; 108 Stat. 2682) is repealed. Electric Boat Division and Newport News the authorization of appropriations in sec- SEC. 134. REPEAL OF PROHIBITION ON BACKFIT tion 301(5) of the National Defense Author- Shipbuilding, and suppliers of components, OF TRIDENT SUBMARINES. ization Act for Fiscal Year 1995 (Public Law during fiscal year 1996 for— Section 124 of the National Defense Au- 103–337; 108 Stat. 2706), not more than (1) the procurement of long-lead compo- thorization Act for Fiscal Year 1995 (Public $10,000,000 shall be available to the Secretary nents for the fiscal year 1998 submarine and Law 103–337; 108 Stat. 2683) is repealed. the fiscal year 1999 submarine under this sec- of the Navy, by transfer to the appropriate SEC. 135. ARLEIGH BURKE CLASS DESTROYER accounts, for carrying out the program au- tion; and PROGRAM. thorized in subsection (a). (2) advance construction of such compo- (a) AUTHORIZATION FOR PROCUREMENT OF nents and other components for such sub- SIX VESSELS.—The Secretary of the Navy is SEC. 137. T–39N TRAINER AIRCRAFT. marines. authorized to construct six Arleigh Burke (a) LIMITATION.—The Secretary of the Navy (i) ADVANCED RESEARCH PROJECTS AGENCY class destroyers in accordance with this sec- may not enter into a contract, using funds DEVELOPMENT OF ADVANCED TECHNOLOGIES.— tion. Within the amount authorized to be ap- appropriated for fiscal year 1996 for procure- (1) Of the amount provided in section 201(4) propriated pursuant to section 102(a)(3), ment of aircraft for the Navy, for the acqui- for the Advanced Research Projects Agency, $2,169,257,000 is authorized to be appropriated sition of the aircraft described in subsection $100,000,000 is available only for development for construction (including advance procure- (b) until 60 days after the date on which the and demonstration of advanced technologies ment) for the Arleigh Burke class destroyers. Under Secretary of Defense for Acquisition for incorporation into the submarines con- (b) CONTRACTS.—(1) The Secretary is au- and Technology submits to the Committee structed as part of the plan developed under thorized to enter into contracts in fiscal on Armed Services of the Senate and the subsection (c). Such advanced technologies year 1996 for the construction of three Committee on National Security of the shall include the following: Arleigh Burke class destroyers. House of Representatives— (A) Electric drive. (2) The Secretary is authorized, in fiscal (1) an analysis of the proposed acquisition (B) Hydrodynamic quieting. year 1997, to enter into contracts for the con- of such aircraft; and (C) Ship control automation. struction of the other three Arleigh Burke (2) a certification that the proposed acqui- (D) Solid-state power electronics. class destroyers covered by subsection (a), sition during fiscal year 1996 (A) is in the (E) Wake reduction technologies. subject to the availability of appropriations best interest of the Government, and (B) is (F) Superconductor technologies. for such destroyers. the most cost effective means of meeting the (G) Torpedo defense technologies. (3) In awarding contracts for the six vessels requirements of the Navy for aircraft for use (H) Advanced control concept. covered by subsection (a), the Secretary in the training of naval flight officers. (I) Fuel cell technologies. shall continue the contract award pattern (b) COVERED AIRCRAFT.—Subsection (a) ap- (J) Propulsors. and sequence used by the Secretary for the plies to certain T–39 trainer aircraft that as (2) The Director of the Advanced Research procurement of Arleigh Burke class destroy- of November 1, 1995 (1) are used by the Navy Projects Agency shall implement a rapid ers during fiscal years 1994 and 1995. under a lease arrangement for the training of January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 361 naval flight officers, and (2) are offered for $279,921,000 may be obligated or expended be- gressional defense committees an interim re- sale to the Government. fore March 31, 1996. port assessing the current status of the SEC. 138. PIONEER UNMANNED AERIAL VEHICLE SEC. 143. MC–130H AIRCRAFT PROGRAM. chemical stockpile demilitarization pro- PROGRAM. The limitation on the obligation of funds gram, including the results of the Army’s Not more than one-sixth of the amount ap- for payment of an award fee and the procure- analysis of the physical and chemical integ- propriated pursuant to this Act for the ac- ment of contractor-furnished equipment for rity of the stockpile and implications for the tivities and operations of the Unmanned Aer- the MC–130H Combat Talon aircraft set forth chemical demilitarization program, and pro- ial Vehicle Joint Program Office (UAV–JPO), in section 161(a) of the National Defense Au- viding recommendations for revisions to that and none of the unobligated balances of thorization Act for Fiscal Years 1990 and 1991 program that have been included in the funds appropriated for fiscal years before fis- (Public Law 101–189; 103 Stat. 1388) shall budget request of the Department of Defense cal year 1996 for the activities and operations cease to apply upon determination by the Di- for fiscal year 1997. The Secretary shall sub- of such office, may be obligated until the rector of Operational Test and Evaluation mit to the congressional defense committees Secretary of the Navy certifies to the Com- (and submission of a certification of that de- with the submission of the budget request of mittee on Armed Services of the Senate and termination to the congressional defense the Department of Defense for fiscal year the Committee on National Security of the committees) that, based on the operational 1998 a final report on the assessment con- House of Representatives that funds have test and evaluation and the analysis con- ducted in accordance with paragraph (1) and recommendations for revision to the pro- been obligated to equip nine Pioneer Un- ducted on that aircraft to the date of that gram, including an assessment of alternative manned Aerial Vehicle systems with the determination, such aircraft is operationally demilitarization technologies and processes Common Automatic Landing and Recovery effective and meets the needs of its intended to the baseline incineration process and po- System (CARS). users. tential reconfiguration of the stockpile that Subtitle D—Air Force Programs Subtitle E—Chemical Demilitarization should be incorporated in the program. SEC. 141. B–2 AIRCRAFT PROGRAM. Program (d) ASSISTANCE FOR CHEMICAL WEAPONS (a) REPEAL OF LIMITATIONS.—The following SEC. 151. REPEAL OF REQUIREMENT TO PRO- STOCKPILE COMMUNITIES AFFECTED BY BASE provisions of law are repealed: CEED EXPEDITIOUSLY WITH DEVEL- CLOSURE.—(1) The Secretary of Defense shall (1) Section 151(c) of the National Defense OPMENT OF CHEMICAL DEMILI- review and evaluate issues associated with Authorization Act for Fiscal Year 1993 (Pub- TARIZATION CRYOFRACTURE FACIL- closure and reutilization of Department of ITY AT TOOELE ARMY DEPOT, UTAH. lic Law 102–484; 106 Stat. 2339). Defense facilities co-located with continuing Subsection (a) of section 173 of the Na- (2) Sections 131(c) and 131(d) of the Na- chemical stockpile and chemical demili- tional Defense Authorization Act for Fiscal tional Defense Authorization Act for Fiscal tarization operations. Years 1990 and 1991 (Public Law 101–189; 103 Year 1994 (Public Law 103–160; 107 Stat. 1569). (2) The review shall include the following: Stat. 1393) is repealed. (3) Section 133(e) of the National Defense (A) An analysis of the economic impacts on Authorization Act for Fiscal Year 1995 (Pub- SEC. 152. DESTRUCTION OF EXISTING STOCK- these communities and the unique reuse PILE OF LETHAL CHEMICAL AGENTS problems facing local communities associ- lic Law 103–337; 108 Stat. 2688). AND MUNITIONS. (b) CONVERSION OF LIMITATION TO ANNUAL ated with ongoing chemical weapons pro- (a) IN GENERAL.—The Secretary of Defense REPORT REQUIREMENT.—Section 112 of the grams. shall proceed with the program for destruc- (B) Recommendations of the Secretary on National Defense Authorization Act for Fis- tion of the chemical munitions stockpile of cal Years 1990 and 1991 (Public Law 101–189; methods for expeditious and cost-effective the Department of Defense while maintain- transfer or lease of these facilities to local 103 Stat. 1373) is amended— ing the maximum protection of the environ- (1) by striking out subsection (a); communities for reuse by those commu- ment, the general public, and the personnel nities. (2) by striking out the matter in sub- involved in the actual destruction of the mu- section (b) preceding paragraph (1) and in- (3) The Secretary shall submit to the con- nitions. In carrying out such program, the gressional defense committees a report on serting in lieu thereof the following: Secretary shall use technologies and proce- ‘‘(a) ANNUAL REPORTING REQUIREMENT.— the review and evaluation under this sub- dures that will minimize the risk to the pub- Not later than March 1 of each year, the Sec- section. The report shall be submitted not lic at each site. retary of Defense shall submit to the Com- later than 90 days after the date of the enact- (b) INITIATION OF DEMILITARIZATION OPER- mittee on Armed Services of the Senate and ment of this Act. ATIONS.—The Secretary of Defense may not the Committee on National Security of the SEC. 153. ADMINISTRATION OF CHEMICAL DE- initiate destruction of the chemical muni- MILITARIZATION PROGRAM. House of Representatives a report that sets tions stockpile stored at a site until the fol- forth the finding of the Secretary (as of Jan- (a) TRAVEL FUNDING FOR MEMBERS OF lowing support measures are in place: CHEMICAL DEMILITARIZATION CITIZENS’ ADVI- uary 1 of such year) on each of the following (1) Support measures that are required by SORY COMMISSIONS.—Section 172(g) of Public matters:’’; Department of Defense and Army chemical Law 102–484 (50 U.S.C. 1521 note) is amended (3) by striking out ‘‘That’’ in paragraphs surety and security program regulations. to read as follows: (1), (2), (3), (4), and (5) and inserting in lieu (2) Support measures that are required by ‘‘(g) PAY AND EXPENSES.—Members of each thereof ‘‘Whether’’; the general and site chemical munitions de- commission shall receive no pay for their in- (4) in paragraph (1), by striking out ‘‘lat- militarization plans specific to that installa- volvement in the activities of their commis- est’’ and all that follows through ‘‘100–180’’ tion. sions. Funds appropriated for the Chemical and inserting in lieu thereof ‘‘Requirements (3) Support measures that are required by Stockpile Demilitarization Program may be Correlation Matrix found in the user-defined the permits required by the Solid Waste Dis- used for travel and associated travel costs Operational Requirements Document (as posal Act (42 U.S.C. 6901 et seq.) and the for Citizens’ Advisory Commissioners, when contained in Attachment B to a letter from Clean Air Act (42 U.S.C. 7401 et seq.) for such travel is conducted at the invitation of the Secretary of Defense to Congress dated chemical munitions demilitarization oper- the Assistant Secretary of the Army (Re- October 14, 1993)’’; ations at that installation, as approved by search, Development, and Acquisition).’’. (5) in paragraph (3), by striking out ‘‘con- the appropriate State regulatory agencies. (b) QUARTERLY REPORT CONCERNING TRAVEL gressional defense’’; (c) ASSESSMENT OF ALTERNATIVES.—(1) The FUNDING FOR CITIZENS’ ADVISORY COMMIS- (6) in paragraph (4), by striking out ‘‘such Secretary of Defense shall conduct an assess- SIONERS.—Section 1412(g) of the Department certification to be submitted’’; ment of the current chemical demilitariza- of Defense Authorization Act, 1986 (50 U.S.C. (7) by adding at the end the following: tion program and of measures that could be 1521(g)), is amended— ‘‘(b) FIRST REPORT.—The Secretary shall taken to reduce significantly the total cost (1) by striking out ‘‘(g) ANNUAL REPORT.— submit the first annual report under sub- of the program, while ensuring maximum ’’ and inserting in lieu thereof ‘‘(g) PERIODIC section (a) not later than March 1, 1996.’’; protection of the general public, the person- REPORTS.—’’; and nel involved in the demilitarization pro- (2) in paragraph (2)— (8) by amending the section heading to gram, and the environment. The measures (A) by striking out ‘‘Each such report shall read as follows: considered shall be limited to those that con- tain—’’ and inserting in lieu thereof ‘‘SEC. 112. ANNUAL REPORT ON B–2 BOMBER AIR- would minimize the risk to the public. The ‘‘Each annual report shall contain—’’ CRAFT PROGRAM.’’. assessment shall be conducted without re- (B) in subparagraph (B)— (c) REPEAL OF CONDITION ON OBLIGATION OF gard to any limitation that would otherwise (i) by striking out ‘‘and’’ at the end of FUNDS IN ENHANCED BOMBER CAPABILITY apply to the conduct of such an assessment clause (iv); FUND.—Section 133(d)(3) of the National De- under any provision of law. (ii) by striking out the period at the end of fense Authorization Act for Fiscal Year 1995 (2) The assessment shall be conducted in clause (v) and inserting in lieu thereof ‘‘; (Public Law 103–337; 108 Stat. 2688) is amend- coordination with the National Research and’’; and ed by striking out ‘‘If,’’ and all that follows Council. (iii) by adding at the end the following: through ‘‘bombers, the Secretary’’ and in- (3) Based on the results of the assessment, ‘‘(vi) travel and associated travel costs for serting in lieu thereof ‘‘The Secretary’’. the Secretary shall develop appropriate rec- Citizens’ Advisory Commissioners under sec- SEC. 142. PROCUREMENT OF B–2 BOMBERS. ommendations for revision of the chemical tion 172(g) of Public Law 102–484 (50 U.S.C. Of the amount authorized to be appro- demilitarization program. 1521 note).’’; priated by section 103 for the B–2 bomber (4) Not later than March 1, 1996, the Sec- (3) by redesignating paragraph (3) as para- procurement program, not more than retary of Defense shall submit to the con- graph (4); H 362 CONGRESSIONAL RECORD — HOUSE January 22, 1996 (4) by inserting after paragraph (2) the fol- ‘‘(B) A general outline of the activities Subtitle B—Program Requirements, lowing new paragraph (3): planned for the program during the fiscal Restrictions, and Limitations ‘‘(3) The Secretary shall transmit to the year in which the report is prepared. SEC. 211. SPACE LAUNCH MODERNIZATION. Committee on Armed Services and the Com- ‘‘(C) A summary of projects continued from (a) ALLOCATION OF FUNDS.—Of the amount mittee on Appropriations of the Senate and the fiscal year before the fiscal year in which authorized to be appropriated pursuant to the Committee on National Security and the the report is prepared and projects expected the authorization in section 201(3), $50,000,000 Committee on Appropriations of the House to be started during the fiscal year in which shall be available for a competitive reusable of Representatives a quarterly report con- the report is prepared and during the follow- rocket technology program. taining an accounting of all funds expended ing fiscal year.’’; and (b) LIMITATION.—Funds made available pur- (during the quarter covered by the report) (B) in paragraph (4), by striking out ‘‘Fed- suant to subsection (a)(1) may be obligated for travel and associated travel costs for eral Coordinating Council on Science, Engi- only to the extent that the fiscal year 1996 Citizens’ Advisory Commissioners under sec- neering, and Technology’’ and inserting in current operating plan of the National Aero- tion 172(g) of Public Law 102–484 (50 U.S.C. lieu thereof ‘‘National Science and Tech- nautics and Space Administration allocates 1521 note). The quarterly report for the final nology Council’’. at least an equal amount for its Reusable quarter of the period covered by a report (2) Section 2902 of such title is further Space Launch program. under paragraph (1) may be included in that amended— SEC. 212. TACTICAL MANNED RECONNAISSANCE. report.’’; and (A) by striking out subsections (f) and (h); (a) LIMITATION.—None of the amounts ap- (B) by redesignating subsection (g) as sub- (5) in paragraph (4), as redesignated by propriated or otherwise made available pur- section (f); and paragraph (3)— suant to an authorization in this Act may be (C) by adding at the end the following new (A) by striking out ‘‘this subsection’’ and used by the Secretary of the Air Force to subsection: inserting in lieu thereof ‘‘paragraph (1)’’; and conduct research, development, test, or eval- (B) by adding at the end the following: ‘‘No ‘‘(g)(1) Not later than February 1 of each year, the Council shall submit to the Sec- uation for a replacement aircraft, pod, or quarterly report is required under paragraph sensor payload for the tactical manned re- (3) after the transmittal of the final report retary of Defense the annual report prepared pursuant to subsection (d)(3). connaissance mission until the report re- under paragraph (1).’’. quired by subsection (b) is submitted to the (c) DIRECTOR OF PROGRAM.—Section ‘‘(2) Not later than March 15 of each year, congressional defense committees. 1412(e)(3) of the Department of Defense Au- the Secretary of Defense shall submit such (b) REPORT.—The Secretary of the Air thorization Act, 1986 (50 U.S.C. 1521(e)(3)), is annual report to Congress, along with such Force shall submit to the congressional de- amended by inserting ‘‘or civilian equiva- comments as the Secretary considers appro- fense committees a report setting forth in lent’’ after ‘‘general officer’’. priate.’’. (3) The amendments made by this sub- detail information about the manner in TITLE II—RESEARCH, DEVELOPMENT, section shall apply with respect to the an- which the funds authorized by section 201 of TEST, AND EVALUATION nual report prepared during fiscal year 1997 this Act and section 201 of the National De- Subtitle A—Authorization of Appropriations and each fiscal year thereafter. fense Authorization Act for Fiscal Year 1995 SEC. 201. AUTHORIZATION OF APPROPRIATIONS. (c) POLICIES AND PROCEDURES.—Section (Public Law 103–337; 108 Stat. 2690) are Funds are hereby authorized to be appro- 2902(e) of such title is amended in paragraph planned to be used during fiscal year 1996 for priated for fiscal year 1996 for the use of the (3) by striking out ‘‘programs, particularly’’ research, development, test, and evaluation Department of Defense for research, develop- and all that follows through the end of the for the Air Force tactical manned reconnais- ment, test, and evaluation as follows: paragraph and inserting in lieu thereof ‘‘pro- sance mission. At a minimum, the report (1) For the Army, $4,737,581,000. grams;’’. shall include the sources, by program ele- (d) COMPETITIVE PROCEDURES.—Section (2) For the Navy, $8,474,783,000. ment, of the funds and the purposes for 2903(c) of such title is amended— (3) For the Air Force, $12,914,868,000. which the funds are planned to be used. (1) by striking out ‘‘or’’ after ‘‘contracts’’ (4) For Defense-wide activities, SEC. 213. JOINT ADVANCED STRIKE TECH- and inserting in lieu thereof ‘‘using competi- $9,693,180,000, of which— NOLOGY (JAST) PROGRAM. tive procedures. The Executive Director may (A) $251,082,000 is authorized for the activi- (a) ALLOCATION OF FUNDS.—Of the amounts enter into’’; and ties of the Director, Test and Evaluation; authorized to be appropriated pursuant to (2) by striking out ‘‘law, except that’’ and and the authorizations in section 201, $200,156,000 inserting in lieu thereof ‘‘law. In either (B) $22,587,000 is authorized for the Director shall be available for the Joint Advanced case,’’. of Operational Test and Evaluation. Strike Technology (JAST) program. Of that (e) CONTINUATION OF EXPIRING AUTHOR- amount— SEC. 202. AMOUNT FOR BASIC RESEARCH AND ITY.—(1) Section 2903(d) of such title is (1) $83,795,000 shall be available for program EXPLORATORY DEVELOPMENT. amended in paragraph (2) by striking out the element 63800N in the budget of the Depart- (a) FISCAL YEAR 1996.—Of the amounts au- last sentence. thorized to be appropriated by section 201, (2) The amendment made by paragraph (1) ment of Defense for fiscal year 1996; $4,088,879,000 shall be available for basic re- shall take effect as of September 29, 1995. (2) $85,686,000 shall be available for program element 63800F in such budget; and search and exploratory development SEC. 204. DEFENSE DUAL USE TECHNOLOGY INI- projects. TIATIVE. (3) $30,675,000 shall be available for program (b) BASIC RESEARCH AND EXPLORATORY DE- (a) FISCAL YEAR 1996 AMOUNT.—Of the element 63800E in such budget. VELOPMENT DEFINED.—For purposes of this amount authorized to be appropriated in sec- (b) ADDITIONAL ALLOCATION.—Of the section, the term ‘‘basic research and explor- tion 201(4), $195,000,000 shall be available for amounts made available under paragraphs atory development’’ means work funded in the defense dual use technology initiative (1), (2), and (3) of subsection (a)— program elements for defense research and conducted under chapter 148 of title 10, Unit- (1) $25,000,000 shall be available from the development under Department of Defense ed States Code. amount authorized to be appropriated pursu- category 6.1 or 6.2. (b) AVAILABILITY OF FUNDS FOR EXISTING ant to the authorization in section 201(2) for SEC. 203. MODIFICATIONS TO STRATEGIC ENVI- TECHNOLOGY REINVESTMENT PROJECTS.—The the conduct, during fiscal year 1996, of a 6- RONMENTAL RESEARCH AND DE- Secretary of Defense shall use amounts made month program definition phase for the A/ VELOPMENT PROGRAM. available for the defense dual use technology F117X, an F–117 fighter aircraft modified for (a) COUNCIL MEMBERSHIP.—Section 2902(b) initiative under subsection (a) only for the use by the Navy as a long-range, medium at- of title 10, United States Code, is amended— purpose of continuing or completing tech- tack aircraft; and (1) by striking out ‘‘thirteen’’ and insert- nology reinvestment projects that were initi- (2) $7,000,000 shall be available to provide ing in lieu thereof ‘‘12’’; ated before October 1, 1995. for competitive engine concepts. (2) by striking out paragraph (3); (c) NOTICE CONCERNING PROJECTS TO BE (c) LIMITATION.—Not more than 75 percent (3) by redesignating paragraphs (4), (5), (6), CARRIED OUT.—Of the amounts made avail- of the amount appropriated for the Joint Ad- (7), (8), (9), and (10) as paragraphs (3), (4), (5), able for the defense dual use technology ini- vanced Strike Technology program pursuant (6), (7), (8), and (9), respectively; and tiative under subsection (a)— to the authorizations in section 201 may be (4) in paragraph (8), as redesignated, by (1) $145,000,000 shall be available for obliga- obligated until a period of 30 days has ex- striking out ‘‘, who shall be nonvoting mem- tion only after the date on which the Sec- pired after the report required by subsection bers’’. retary of Defense notifies the congressional (d) is submitted to the congressional defense (b) ANNUAL REPORT.—(1) Section 2902 of defense committees regarding the defense re- committees. such title is amended in subsection (d)— investment projects to be funded using such (d) REPORT.—The Secretary of Defense (A) by striking out paragraph (3) and in- funds; and shall submit to the congressional defense serting in lieu thereof the following: (2) the remaining $50,000,000 shall be avail- committees a report, in unclassified and ‘‘(3) To prepare an annual report that con- able for obligation only after the date on classified forms, not later than March 1, 1996, tains the following: which the Secretary of Defense certifies to that sets forth in detail the following infor- ‘‘(A) A description of activities of the stra- the congressional defense committees that mation for the period 1997 through 2005: tegic environmental research and develop- the defense reinvestment projects to be fund- (1) The total joint requirement, assuming ment program carried out during the fiscal ed using such funds have been determined by the capability to successfully conduct two year before the fiscal year in which the re- the Joint Requirements Oversight Council to nearly simultaneous major regional contin- port is prepared. be of significant military priority. gencies, for the following: January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 363 (A) Numbers of bombers, tactical combat (1) Space Segment High. SEC. 218. COUNTERPROLIFERATION SUPPORT aircraft, and attack helicopters and the (2) Space Segment Low (Space and Missile PROGRAM. characteristics required of those aircraft in Tracking System). (a) FUNDING.—Of the funds authorized to be terms of capabilities, range, and low-observ- (3) Ground Segment. appropriated to the Department of Defense ability. (d) FUNDING FOR FISCAL YEAR 1996.—Of the under section 201(4), $138,237,000 shall be (B) Surface- and air-launched standoff pre- amounts authorized to be appropriated pur- available for the Counterproliferation Sup- cision guided munitions. suant to section 201(3) for fiscal year 1996, or port Program, of which $30,000,000 shall be (C) Cruise missiles. otherwise made available to the Department available for a tactical antisatellite tech- (D) Ground-based systems, such as the Ex- of Defense for fiscal year 1996, the following nologies program. (b) ADDITIONAL AUTHORITY TO TRANSFER tended Range-Multiple Launch Rocket Sys- amounts shall be available for the Space- AUTHORIZATIONS.—(1) In addition to the tem and the Army Tactical Missile System Based Infrared System: transfer authority provided in section 1001, (ATACMS), for joint warfighting capability. (1) $265,744,000 for demonstration and vali- upon determination by the Secretary of De- (2) The warning time assumptions for two dation, of which $249,824,000 shall be avail- fense that such action is necessary in the na- nearly simultaneous major regional contin- able for the Space and Missile Tracking Sys- tional interest, the Secretary may transfer gencies, and the effects on future tactical at- tem. amounts of authorizations made available to tack/fighter aircraft requirements using (2) $162,219,000 for engineering and manu- the Department of Defense in this division other warning time assumptions. facturing development, of which $9,400,000 for fiscal year 1996 to counterproliferation (3) The requirements that exist for the shall be available for the Miniature Sensor programs, projects, and activities identified Joint Advanced Strike Technology program Technology Integration program. as areas for progress by the that cannot be met by existing aircraft or by SEC. 217. DEFENSE NUCLEAR AGENCY PRO- Counterproliferation Program Review Com- those in development. GRAMS. mittee established by section 1605 of the Na- SEC. 214. DEVELOPMENT OF LASER PROGRAM. (a) AGENCY FUNDING.—Of the amounts au- tional Defense Authorization Act for Fiscal Of the amount authorized to be appro- thorized to be appropriated to the Depart- Year 1994 (Public Law 103–160; 107 Stat. 1845). priated by section 201(2), $9,000,000 shall be ment of Defense in section 201, $241,703,000 Amounts of authorizations so transferred used for the development by the Naval High shall be available for the Defense Nuclear shall be merged with and be available for the Energy Laser Office of a continuous wave, Agency. same purposes as the authorization to which superconducting radio frequency free elec- (b) TUNNEL CHARACTERIZATION AND NEU- transferred. tron laser program. TRALIZATION PROGRAM.—Of the amount made (2) The total amount of authorizations SEC. 215. NAVY MINE COUNTERMEASURES PRO- available under subsection (a), $3,000,000 transferred under the authority of this sub- GRAM. shall be available for a tunnel characteriza- section may not exceed $50,000,000. Section 216(a) of the National Defense Au- tion and neutralization program to be man- (3) The authority provided by this sub- thorization Act for Fiscal Years 1992 and 1993 aged by the Defense Nuclear Agency as part section to transfer authorizations— (Public Law 102–190; 105 Stat. 1317) is amend- of the counterproliferation activities of the (A) may only be used to provide authority ed— Department of Defense. for items that have a higher priority than (1) by striking out ‘‘Director, Defense Re- (c) LONG-TERM RADIATION TOLERANT the items from which authority is trans- search and Engineering’’ and inserting in MICROELECTRONICS PROGRAM.—(1) Of the ferred; and lieu thereof ‘‘Under Secretary of Defense for amount made available under subsection (a), (B) may not be used to provide authority Acquisition and Technology’’; and $6,000,000 shall be available for the establish- for an item that has been denied authoriza- (2) by striking out ‘‘fiscal years 1995 ment of a long-term radiation tolerant tion by Congress. through 1999’’ and inserting in lieu thereof microelectronics program to be managed by (4) A transfer made from one account to another under the authority of this sub- ‘‘fiscal years 1996 through 1999’’. the Defense Nuclear Agency for the purposes section shall be deemed to increase the of— SEC. 216. SPACE-BASED INFRARED SYSTEM. amount authorized for the account to which (A) providing for the development of af- (a) PROGRAM BASELINE.—The Secretary of the amount is transferred by an amount fordable and effective hardening tech- Defense shall establish a program baseline equal to the amount transferred. for the Space-Based Infrared System. Such nologies and for incorporation of such tech- (5) The Secretary of Defense shall prompt- baseline shall— nologies into systems; ly notify Congress of transfers made under (1) include— (B) sustaining the supporting industrial the authority of this subsection. base; and (A) program cost and an estimate of the SEC. 219. NONLETHAL WEAPONS STUDY. (C) ensuring that a use of a nuclear weapon funds required for development and acquisi- (a) FINDINGS.—Congress finds the follow- tion activities for each fiscal year in which in regional threat scenarios does not inter- ing: such activities are planned to be carried out; rupt or defeat the continued operability of (1) The role of the United States military (B) a comprehensive schedule with pro- systems of the Armed Forces exposed to the in operations other than war has increased. gram milestones and exit criteria; and combined effects of radiation emitted by the (2) Weapons and instruments that are (C) optimized performance parameters for weapon. nonlethal in application yet immobilizing each segment of an integrated space-based (2) Not later than 120 days after the date of could have widespread operational utility infrared system; the enactment of this Act, the Secretary of and application. (2) be structured to achieve initial oper- Defense shall submit to Congress a report on (3) The use of nonlethal weapons in oper- ational capability of the low earth orbit how the long-term radiation tolerant micro- ations other than war poses a number of im- space segment (the Space and Missile Track- electronics program is to be conducted and portant doctrine, legal, policy, and oper- ing System) in fiscal year 2003, with a first funded in the fiscal years after fiscal year ations questions which should be addressed launch of Block I satellites in fiscal year 1996 that are covered by the future-years de- in a comprehensive and coordinated manner. 2002; fense program submitted to Congress in 1995. (4) The development of nonlethal tech- (3) ensure integration of the Space and (d) THERMIONICS PROGRAM.—Of the amount nologies continues to spread across military Missile Tracking System into the architec- made available under subsection (a), and agency budgets. ture of the Space-Based Infrared System; and $10,000,000 shall be available for the (5) The Department of Defense should pro- (4) ensure that the performance parameters thermionics program, to be managed by the vide improved budgetary focus and manage- of all space segment components are selected Defense Nuclear Agency. ment direction to the nonlethal weapons pro- so as to optimize the performance of the (e) ELECTROTHERMAL GUN TECHNOLOGY gram. Space-Based Infrared System while minimiz- PROGRAM.—Of the amount made available (b) RESPONSIBILITY FOR DEVELOPMENT OF ing unnecessary redundancy and cost. under subsection (a), $4,000,000 shall be avail- NONLETHAL WEAPONS TECHNOLOGY.—Not (b) REPORT ON PROGRAM BASELINE.—Not able for the electrothermal gun technology later than February 15, 1996, the Secretary of later than 60 days after the date of the enact- program of the Defense Nuclear Agency. Defense shall assign centralized responsibil- ment of this Act, the Secretary of Defense (f) COUNTERTERROR EXPLOSIVES RESEARCH ity for development (and any other func- shall submit to the congressional defense PROGRAM.—Of the amount made available tional responsibility the Secretary considers committees a report, in classified and un- under subsection (a), $4,000,000 shall be avail- appropriate) of nonlethal weapons tech- classified forms as necessary, on the program able for the counterterror explosives re- nology to an existing office within the Office baseline established under subsection (a). search program of the Defense Nuclear Agen- of the Secretary of Defense or to a military (c) ESTABLISHMENT OF PROGRAM ELE- cy. service as the executive agent. MENTS.—In the budget justification mate- (g) TRANSFER OF UNOBLIGATED BALANCE.— (c) REPORT.—Not later than February 15, rials submitted to Congress in support of the The Secretary of Defense shall transfer to 1996, the Secretary of Defense shall submit Department of Defense budget for any fiscal the Defense Nuclear Agency, to be available to Congress a report setting forth the follow- year after fiscal year 1996 (as submitted in for the thermionics program, an amount not ing: the budget of the President under section to exceed $12,000,000 from the unobligated (1) The name of the office or military serv- 1105(a) of title 31, United States Code), the balance of funds authorized and appropriated ice assigned responsibility for the nonlethal amount requested for the Space-Based Infra- for research, development, test, and evalua- weapons program by the Secretary of De- red System shall be set forth in accordance tion for fiscal year 1995 for the Air Force for fense pursuant to subsection (b) and a discus- with the following program elements: the Advanced Weapons Program. sion of the rationale for such assignment. H 364 CONGRESSIONAL RECORD — HOUSE January 22, 1996 (2) The degree to which nonlethal weapons mittees, unless the Secretary determines and evaluation program elements 65896A, are required by more than one of the armed that it is essential to the national security 65864N, 65807F, and 65804D in the budget of forces. that funds be obligated for work at that cen- the Department of Defense for fiscal year (3) The time frame for the development ter in excess of that limitation before the 1996 may be obligated until 14 days after the and deployment of such weapons. end of such period and notifies those com- date on which the congressional defense (4) The appropriate role of the military de- mittees of that determination and the rea- committees receive the plan specified in sub- partments and defense agencies in the devel- sons for the determination. section (b). opment of such weapons. (f) FIVE-YEAR PLAN.—(1) The Secretary of (b) PLAN.—The plan referred to in sub- (5) The military doctrine, legal, policy, and Defense, in consultation with the Secretaries section (a) is the master plan for electronic operational issues that must be addressed by of the military departments, shall develop a combat consolidation described under De- the Department of Defense before such weap- five-year plan to reduce and consolidate the fense-Wide Programs under Research, Devel- ons achieve operational capability. activities performed by FFRDCs and UARCs opment, Test, and Evaluation in the Report (d) AUTHORIZATION.—Of the amount author- and establish a framework for the future of the Committee on Armed Services of the ized to be appropriated under section 201(4), workload of such centers. House of Representatives on H.R. 4301 (House $37,200,000 shall be available for nonlethal (2) The plan shall— Report 103–499), dated May 10, 1994. weapons programs and nonlethal tech- (A) set forth the manner in which the Sec- SEC. 224. REPORT ON REDUCTIONS IN RE- nologies programs. retary of Defense could achieve by October 1, SEARCH, DEVELOPMENT, TEST, AND (e) DEFINITION.—For purposes of this sec- 2000, implementation by FFRDCs and UARCs EVALUATION. tion, the term ‘‘nonlethal weapon’’ means a of only those core activities, as defined by (a) REPORT REQUIREMENT.—Not later than weapon or instrument the effect of which on the Secretary, that require the unique capa- March 15, 1996, the Under Secretary of De- human targets is less than fatal. bilities and arrangements afforded by such fense (Comptroller) shall submit to the con- SEC. 220. FEDERALLY FUNDED RESEARCH AND centers; and gressional defense committees a report that DEVELOPMENT CENTERS AND UNI- (B) include an assessment of the number of sets forth in detail the allocation of reduc- VERSITY-AFFILIATED RESEARCH personnel needed in each FFRDC and UARC tions for research, development, test, and CENTERS. during each year over the five years covered evaluation described in subsection (b). (a) CENTERS COVERED.—Funds appropriated by the plan. (b) DESCRIPTION OF REDUCTIONS.—The re- or otherwise made available for the Depart- (3) Not later than February 1, 1996, the Sec- ductions for research, development, test, and ment of Defense for fiscal year 1996 pursuant retary of Defense shall submit to the con- evaluation covered by subsection (a) are the to an authorization of appropriations in sec- gressional defense committees a report on following Army, Navy, Air Force, and De- tion 201 may be obligated to procure work the plan required by this subsection. fense-wide reductions, as required by the De- from a federally funded research and devel- SEC. 221. JOINT SEISMIC PROGRAM AND GLOBAL partment of Defense Appropriations Act, opment center (in this section referred to as SEISMIC NETWORK. 1996: an ‘‘FFRDC’’) or a university-affiliated re- Of the amount authorized to be appro- (1) General reductions. search center (in this section referred to as a priated under section 201(3), $9,500,000 shall (2) Reductions to reflect savings from re- ‘‘UARC’’) only in the case of a center named be available for fiscal year 1996 (in program vised economic assumptions. in the report required by subsection (b) and, element 61101F in the budget of the Depart- (3) Reductions to reflect the funding ceil- in the case of such a center, only in an ment of Defense for fiscal year 1996) for con- ing for defense federally funded research and amount not in excess of the amount of the tinuation of the Joint Seismic Program and development centers. proposed funding level set forth for that cen- Global Seismic Network. (4) Reductions for savings through im- ter in such report. SEC. 222. HYDRA–70 ROCKET PRODUCT IMPROVE- proved management of contractor automatic (b) REPORT ON ALLOCATIONS FOR CENTERS.— MENT PROGRAM. data processing costs charged through indi- (1) Not later than 30 days after the date of (a) FUNDING AUTHORIZATION.—Of the the enactment of this Act, the Secretary of rect rates on Department of Defense acquisi- amount authorized to be appropriated under tion contracts. Defense shall submit to the Committee on section 201(1) for Other Missile Product Im- Armed Services of the Senate and the Com- SEC. 225. ADVANCED FIELD ARTILLERY SYSTEM provement Programs, $10,000,000 is author- (CRUSADER). mittee on National Security of the House of ized to be appropriated for a Hydra–70 rocket (a) AUTHORITY TO USE FUNDS FOR ALTER- Representatives a report containing— product improvement program and to be NATIVE PROPELLANT TECHNOLOGIES.—During (A) the name of each FFRDC and UARC made available under such program for full fiscal year 1996, the Secretary of the Army from which work is proposed to be procured qualification and operational platform cer- may use funds appropriated for the liquid for the Department of Defense for fiscal year tification of a Hydra–70 rocket described in propellant portion of the Advanced Field Ar- 1996; and subsection (b) for use on the Apache attack tillery System (Crusader) program for fiscal (B) for each such center, the proposed fund- helicopter. year 1996 for alternative propellant tech- ing level and the estimated personnel level (b) HYDRA–70 ROCKET COVERED.—The nologies and integration of those tech- for fiscal year 1996. Hydra–70 rocket referred to in subsection (a) nologies into the design of the Crusader if— (2) The total of the proposed funding levels is any Hydra–70 rocket that has as its pro- (1) the Secretary determines that the tech- set forth in the report for all FFRDCs and pulsion component a 2.75-inch rocket motor nical risk associated with liquid propellant UARCs may not exceed the amount set forth that is a nondevelopmental item and uses a will increase costs and delay the initial oper- in subsection (d). composite propellant. ational capability of the Crusader; and (c) LIMITATION PENDING SUBMISSION OF RE- (c) COMPETITION REQUIRED.—The Secretary PORT.—Not more than 15 percent of the funds of the Army shall conduct the product im- (2) the Secretary notifies the congressional appropriated or otherwise made available for provement program referred to in subsection defense committees of the proposed use of the Department of Defense for fiscal year (a) with full and open competition. the funds and the reasons for the proposed 1996 pursuant to an authorization of appro- (d) SUBMISSION OF TECHNICAL DATA PACK- use of the funds. priations in section 201 for FFRDCs and AGE REQUIRED.—Upon the full qualification (b) LIMITATION.—The Secretary of the UARCs may be obligated to procure work and operational platform certification of a Army may not spend funds for the liquid pro- from an FFRDC or UARC until the Secretary Hydra–70 rocket as described in subsection pellant portion of the Crusader program of Defense submits the report required by (a), the contractor providing the rocket so after August 15, 1996, unless— subsection (b). qualified and certified shall submit the tech- (1) the report required by subsection (c) (d) FUNDING.—Of the amounts authorized nical data package for the rocket to the Sec- has been submitted by that date; and to be appropriated by section 201, not more retary of the Army. The Secretary shall use (2) such report includes documentation of than a total of $1,668,850,000 may be obligated the technical data package in competitions significant progress, as determined by the to procure services from the FFRDCs and for contracts for the procurement of Hydra– Secretary, toward meeting the objectives for UARCs named in the report required by sub- 70 rockets described in subsection (b) for the the liquid propellant portion of the program, section (b). Army. as set forth in the baseline description for (e) AUTHORITY TO WAIVE FUNDING LIMITA- (e) DEFINITIONS.—For purposes of this sec- the Crusader program and approved by the TION.—The Secretary of Defense may waive tion, the terms ‘‘full and open competition’’ Office of the Secretary of Defense on Janu- the limitation regarding the maximum fund- and ‘‘nondevelopmental item’’ have the ary 4, 1995. ing amount that applies under subsection (a) meanings given such terms in section 4 of (c) REPORT REQUIRED.—Not later than Au- to an FFRDC or UARC. Whenever the Sec- the Office of Federal Procurement Policy gust 1, 1996, the Secretary of the Army shall retary proposes to make such a waiver, the Act (41 U.S.C. 403). submit to the congressional defense commit- Secretary shall submit to the Committee on SEC. 223. LIMITATION ON OBLIGATION OF tees a report containing documentation of Armed Services of the Senate and the Com- FUNDS UNTIL RECEIPT OF ELEC- the progress being made in meeting the ob- mittee on National Security of the House of TRONIC COMBAT CONSOLIDATION jectives set forth in the baseline description Representatives notice of the proposed waiv- MASTER PLAN. for the Crusader program and approved by er and the reasons for the waiver. The waiver (a) LIMITATION.—Not more than 75 percent the Office of the Secretary of Defense on may then be made only after the end of the of the amounts appropriated or otherwise January 4, 1995. The report shall specifically 60-day period that begins on the date on made available pursuant to the authoriza- address the progress being made toward which the notice is submitted to those com- tion of appropriations in section 201 for test meeting the following objectives: January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 365 (1) Establishment of breech and ignition (2) the Under Secretary of Defense for Ac- (B) would further strengthen deterrence if design criteria for rate of fire for the cannon quisition and Technology submits the report reductions below the levels permitted under of the Crusader. required under subsection (b). START–I should be agreed to and imple- (2) Selection of a satisfactory ignition con- (b) REPORT ON U–2-RELATED UPGRADES.—(1) mented in the future. cept for the next prototype of the cannon. Not later than April 1, 1996, the Under Sec- (8) The distinction made during the Cold (3) Selection, on the basis of modeling and retary of Defense for Acquisition and Tech- War, based upon the technology of the time, simulation, of design concepts to prevent nology shall transmit to the Committee on between strategic ballistic missiles and non- chamber piston reversals, and validation of Armed Services of the Senate and the Com- strategic ballistic missiles, which resulted in the selected concepts by gun and mock mittee on National Security of the House of the distinction made in the ABM Treaty be- chamber firings. Representatives a report on obligations of tween strategic defense and nonstrategic de- (4) Achievement of an understanding of the funds for upgrades relating to airborne re- fense, has become obsolete because of tech- chemistry and physics of propellant burn re- connaissance by U–2 aircraft. nological advancement (including the devel- sulting from the firing of liquid propellant (2) The report shall set forth the specific opment by North Korea of long-range Taepo- into any target zone, and achievement, on purposes under the general purposes de- Dong I and Taepo-Dong II missiles) and, the basis of modeling and simulation, of an scribed in subparagraphs (A) and (B) of sub- therefore, that distinction in the ABM Trea- ignition process that is predictable. section (a)(1) for which funds have been obli- ty should be reviewed. (5) Completion of an analysis of the man- gated (as of the date of the report) and the SEC. 233. BALLISTIC MISSILE DEFENSE POLICY. agement of heat dissipation for the full amounts that have been obligated (as of such It is the policy of the United States— range of performance requirements for the date) for those specific purposes. (1) to deploy affordable and operationally cannon, completion of concept designs sup- Subtitle C—Ballistic Missile Defense Act of effective theater missile defenses to protect ported by that analysis, and proposal of such 1995 forward-deployed and expeditionary ele- concept designs for engineering. SEC. 231. SHORT TITLE. ments of the Armed Forces of the United (6) Development, for integration into the This subtitle may be cited as the ‘‘Ballistic States and to complement the missile de- next prototype of the cannon, of engineering Missile Defense Act of 1995’’. fense capabilities of forces of coalition part- designs to control pressure oscillations in SEC. 232. FINDINGS. ners and of allies of the United States; and the chamber of the cannon during firing. Congress makes the following findings: (2) to seek a cooperative, negotiated tran- (7) Completion of an assessment of the sen- (1) The emerging threat that is posed to sition to a regime that does not feature an sitivity of liquid propellant to contamina- the national security interests of the United offense-only form of deterrence as the basis tion by various materials to which it may be States by the proliferation of ballistic mis- for strategic stability. exposed throughout the handling and oper- siles is significant and growing, both in SEC. 234. THEATER MISSILE DEFENSE ARCHITEC- ation of the cannon, and documentation of terms of numbers of missiles and in terms of TURE. predictable reactions of contaminated or the technical capabilities of those missiles. (a) ESTABLISHMENT OF CORE PROGRAM.—To sensitized liquid propellant. (2) The deployment of ballistic missile de- implement the policy established in para- (d) ADDITIONAL MATTERS TO BE COVERED BY fenses is a necessary, but not sufficient, ele- graph (1) of section 233, the Secretary of De- REPORT.—The report required by subsection ment of a broader strategy to discourage fense shall restructure the core theater mis- (c) also shall contain the following: both the proliferation of weapons of mass de- sile defense program to consist of the follow- (1) An assertion that all the known hazards struction and the proliferation of the means ing systems, to be carried out so as to associated with liquid propellant have been of their delivery and to defend against the achieve the specified capabilities: identified and are controllable to acceptable consequences of such proliferation. (1) The Patriot PAC–3 system, with a first levels. (3) The deployment of effective Theater unit equipped (FUE) during fiscal year 1998. (2) An assessment of the technology for Missile Defense systems can deter potential (2) The Navy Lower Tier (Area) system, each component of the Crusader (the cannon, adversaries of the United States from esca- with a user operational evaluation system vehicle, and crew module), including, for lating a conflict by threatening or attacking (UOES) capability during fiscal year 1997 and each performance goal of the Crusader pro- United States forces or the forces or terri- an initial operational capability (IOC) during gram (including the goal for total system tory of coalition partners or allies of the fiscal year 1999. weight), information about the maturity of United States with ballistic missiles armed (3) The Theater High-Altitude Area De- the technology to achieve that goal, the ma- with weapons of mass destruction to offset fense (THAAD) system, with a user oper- turity of the design of the technology, and the operational and technical advantages of ational evaluation system (UOES) capability the manner in which the design has been the United States and its coalition partners not later than fiscal year 1998 and a first unit proven (for example, through simulation, and allies. equipped (FUE) not later than fiscal year bench testing, or weapon firing). (4) United States intelligence officials have 2000. (3) An assessment of the cost of continued provided intelligence estimates to congres- (4) The Navy Upper Tier (Theater Wide) development of the Crusader after August 1, sional committees that (A) the trend in mis- system, with a user operational evaluation 1996, and the cost of each unit of the Cru- sile proliferation is toward longer range and system (UOES) capability during fiscal year sader in the year the Crusader will be com- more sophisticated ballistic missiles, (B) 1999 and an initial operational capability pleted. North Korea may deploy an intercontinental (IOC) during fiscal year 2001. SEC. 226. DEMILITARIZATION OF CONVEN- ballistic missile capable of reaching Alaska (b) USE OF STREAMLINED ACQUISITION PRO- TIONAL MUNITIONS, ROCKETS, AND or beyond within five years, and (C) although CEDURES EXPLOSIVES. .—The Secretary of Defense shall Of the amount appropriated pursuant to a new, indigenously developed ballastic mis- prescribe and use streamlined acquisition the authorization in section 201 for explo- sile threat to the continental United States policies and procedures to reduce the cost sives demilitarization technology, $15,000,000 is not foreseen within the next ten years, de- and increase the efficiency of developing and shall be available to establish an integrated termined countries can acquire interconti- deploying the theater missile defense sys- program for the development and demonstra- nental ballistic missiles in the near future tems specified in subsection (a). tion of conventional munitions and explo- and with little warning by means other than (c) INTEROPERABILITY AND SUPPORT OF CORE sives demilitarization technologies that indigenous development. SYSTEMS.—To maximize effectiveness and comply with applicable environmental laws (5) The development and deployment by flexibility of the systems comprising the for the demilitarization and disposal of un- the United States and its allies of effective core theater missile defense program, the serviceable, obsolete, or nontreaty compli- defenses against ballistic missiles of all Secretary of Defense shall ensure that those ant munitions, rocket motors, and explo- ranges will reduce the incentives for coun- systems are integrated and complementary sives. tries to acquire such missiles or to augment and are fully capable of exploiting external SEC. 227. DEFENSE AIRBORNE RECONNAISSANCE existing missile capabilities. sensor and battle management support from PROGRAM. (6) The concept of mutual assured destruc- systems such as— (a) LIMITATION.—Not more than three per- tion (based upon an offense-only form of de- (A) the Cooperative Engagement Capabil- cent of the total amount appropriated for re- terrence), which is the major philosophical ity (CEC) system of the Navy; search and development under the Defense rationale underlying the ABM Treaty, is now (B) airborne sensors; and Airborne Reconnaissance program pursuant questionable as a basis for stability in a (C) space-based sensors (including, in par- to the authorizations of appropriations in multipolar world in which the United States ticular, the Space and Missile Tracking Sys- section 201 may be obligated for systems en- and the states of the former Soviet Union tem). gineering and technical assistance (SETA) are seeking to normalize relations and elimi- (d) FOLLOW-ON SYSTEMS.—(1) The Secretary contracts until— nate Cold War attitudes and arrangements. of Defense shall prepare an affordable devel- (1) funds are obligated (out of such appro- (7) The development and deployment of a opment plan for theater missile defense sys- priated funds) for— National Missile Defense system against the tems to be developed as follow-on systems to (A) the upgrade of U–2 aircraft senior year threat of limited ballistic missile attacks— the core systems specified in subsection (a). electro-optical reconnaissance sensors to the (A) would strengthen deterrence at the lev- The Secretary shall make the selection of a newest configuration; and els of forces agreed to by the United States system for inclusion in the plan based on the (B) the upgrade of the U–2 SIGINT system; and Russia under the Strategic Arms Reduc- capability of the system to satisfy military and tion Talks Treaty (START–I); and requirements not met by the systems in the H 366 CONGRESSIONAL RECORD — HOUSE January 22, 1996 core program and on the capability of the 1595; 10 U.S.C. 2431 note) that the ABM Trea- SEC. 236. BALLISTIC MISSILE DEFENSE CO- system to use prior investments in tech- ty was not intended to, and does not, apply OPERATION WITH ALLIES. nologies, infrastructure, and battle-manage- to or limit research, development, testing, or It is in the interest of the United States to ment capabilities that are incorporated in, deployment of missile defense systems, sys- develop its own missile defense capabilities or associated with, the systems in the core tem upgrades, or system components that in a manner that will permit the United program. are designed to counter modern theater bal- States to complement the missile defense ca- (2) The Secretary may not proceed with listic missiles, regardless of the capabilities pabilities developed and deployed by its al- the development of a follow-on theater mis- of such missiles, unless those systems, sys- lies and possible coalition partners. There- sile defense system beyond the Demonstra- tem upgrades, or system components are fore, the Congress urges the President— tion/Validation stage of development unless tested against or have demonstrated capa- (1) to pursue high-level discussions with al- the Secretary designates that system as a bilities to counter modern strategic ballistic lies of the United States and selected other part of the core program under this section missiles; and states on the means and methods by which and submits to the congressional defense (B) the statement in section 232 of the Na- the parties on a bilateral basis can cooperate committees notice of that designation. The tional Defense Authorization Act for Fiscal in the development, deployment, and oper- Secretary shall include with any such notifi- Year 1995 (Public Law 103–337; 108 Stat. 2700) ation of ballistic missile defenses; cation a report describing— that the United States shall not be bound by (2) to take the initiative within the North (A) the requirements for the system and any international agreement entered into by Atlantic Treaty Organization to develop con- the specific threats that such system is de- the President that would substantively mod- sensus in the Alliance for a timely deploy- signed to counter; ify the ABM Treaty unless the agreement is ment of effective ballistic missile defenses (B) how the system will relate to, support, entered into pursuant to the treaty making by the Alliance; and and build upon existing core systems; power of the President under the Constitu- (3) in the interim, to seek agreement with (C) the planned acquisition strategy for the tion. allies of the United States and selected other system; and (2) Congress also finds that the demarca- states on steps the parties should take, con- (D) a preliminary estimate of total pro- tion standard described in subsection (b)(1) sistent with their national interests, to re- gram cost for that system and the effect of for compliance of a missile defense system, duce the risks posed by the threat of limited development and acquisition of such system system upgrade, or system component with ballistic missile attacks, such steps to in- on Department of Defense budget projec- the ABM Treaty is based upon current tech- clude— tions. nology. (A) the sharing of early warning informa- (b) SENSE OF CONGRESS CONCERNING COM- (e) PROGRAM ACCOUNTABILITY REPORT.—(1) tion derived from sensors deployed by the As part of the annual report of the Ballistic PLIANCE POLICY.—It is the sense of Congress that— United States and other states; Missile Defense Organization required by (1) unless a missile defense system, system (B) the exchange on a reciprocal basis of section 224 of Public Law 101–189 (10 U.S.C. upgrade, or system component (including technical data and technology to support 2431 note), the Secretary of Defense shall de- one that exploits data from space-based or both joint development programs and the scribe the technical milestones, the sched- other external sensors) is flight tested in an sale and purchase of missile defense systems ule, and the cost of each phase of develop- ABM-qualifying flight test (as defined in and components; and ment and acquisition (together with total es- subsection (e)), that system, system upgrade, (C) operational level planning to exploit timated program costs) for each core and fol- or system component has not, for purposes of current missile defense capabilities and to low-on theater missile defense program. the ABM Treaty, been tested in an ABM help define future requirements. (2) As part of such report, the Secretary mode nor been given capabilities to counter SEC. 237. ABM TREATY DEFINED. shall describe, with respect to each program strategic ballistic missiles and, therefore, is covered in the report, any variance in the For purposes of this subtitle, the term not subject to any application, limitation, or technical milestones, program schedule ‘‘ABM Treaty’’ means the Treaty Between obligation under the ABM Treaty; and milestones, and costs for the program com- the United States of America and the Union (2) any international agreement that would pared with the information relating to that of Soviet Socialist Republics on the Limita- limit the research, development, testing, or program in the report submitted in the pre- tion of Anti-Ballistic Missile Systems, and deployment of missile defense systems, sys- signed at Moscow on May 26, 1972, and in- vious year and in the report submitted in the tem upgrades, or system components that first year in which that program was cov- cludes the Protocols to that Treaty, signed are designed to counter modern theater bal- at Moscow on July 3, 1974. ered. listic missiles in a manner that would be (f) REPORTS ON TMD SYSTEM LIMITATIONS SEC. 238. REPEAL OF MISSILE DEFENSE ACT OF more restrictive than the compliance cri- UNDER ABM TREATY.—(1) Whenever, after 1991. teria specified in paragraph (1) should be en- January 1, 1993, the Secretary of Defense is- The Missile Defense Act of 1991 (10 U.S.C. tered into only pursuant to the treaty mak- sues a certification with respect to the com- 2431 note) is repealed. ing powers of the President under the Con- pliance of a particular Theater Missile De- stitution. Subtitle D—Other Ballistic Missile Defense fense system with the ABM Treaty, the Sec- (c) PROHIBITION ON FUNDING.—Funds appro- Provisions retary shall transmit to the Committee on priated or otherwise made available to the Armed Services of the Senate and the Com- SEC. 251. BALLISTIC MISSILE DEFENSE PROGRAM Department of Defense for fiscal year 1996 ELEMENTS. mittee on National Security of the House of may not be obligated or expended to imple- (a) ELEMENTS SPECIFIED.—In the budget Representatives a copy of such certification. ment an agreement, or any understanding justification materials submitted to Con- Such transmittal shall be made not later with respect to interpretation of the ABM gress in support of the Department of De- than 30 days after the date on which such Treaty, between the United States and any fense budget for any fiscal year after fiscal certification is issued, except that in the of the independent states of the former So- year 1996 (as submitted with the budget of case of a certification issued before the date viet Union entered into after January 1, 1995, the President under section 1105(a) of title of the enactment of this Act, such transmit- that— 31, United States Code), the amount re- tal shall be made not later than 60 days after (1) would establish a demarcation between quested for activities of the Ballistic Missile the date of the enactment of this Act. theater missile defense systems and anti-bal- Defense Organization shall be set forth in ac- (2) If a certification under paragraph (1) is listic missile systems for purposes of the cordance with the following program ele- based on application of a policy concerning ABM Treaty; or ments: United States compliance with the ABM (2) would restrict the performance, oper- (1) The Patriot system. Treaty that differs from the policy described ation, or deployment of United States thea- (2) The Navy Lower Tier (Area) system. in section 235(b)(1), the Secretary shall in- ter missile defense systems. clude with the transmittal under that para- (d) EXCEPTIONS.—Subsection (c) does not (3) The Theater High-Altitude Area De- graph a report providing a detailed assess- apply— fense (THAAD) system. ment of— (1) to the extent provided by law in an Act (4) The Navy Upper Tier (Theater Wide) (A) how the policy applied differs from the enacted after this Act; system. policy described in section 235(b)(1); and (2) to expenditures to implement that por- (5) The Corps Surface-to-Air Missile (SAM) (B) how the application of that policy tion of any such agreement or understanding system. (rather than the policy described in section that implements the policy set forth in sub- (6) Other Theater Missile Defense Activi- 235(b)(1)) will affect the cost, schedule, and section (b)(1); or ties. performance of that system. (3) to expenditures to implement any such (7) National Missile Defense. (8) Follow-On and Support Technologies. SEC. 235. PROHIBITION ON USE OF FUNDS TO agreement or understanding that is approved IMPLEMENT AN INTERNATIONAL as a treaty or by law. (b) TREATMENT OF CORE THEATER MISSILE AGREEMENT CONCERNING THEA- (e) ABM-QUALIFYING FLIGHT TEST DE- DEFENSE PROGRAMS.—Amounts requested for TER MISSILE DEFENSE SYSTEMS. FINED.—For purposes of this section, an core theater missile defense programs speci- (a) FINDINGS.—(1) Congress hereby reaf- ABM-qualifying flight test is a flight test fied in section 234 shall be specified in indi- firms— against a ballistic missile which, in that vidual, dedicated program elements, and (A) the finding in section 234(a)(7) of the flight test, exceeds (1) a range of 3,500 kilo- amounts appropriated for such programs National Defense Authorization Act for Fis- meters, or (2) a velocity of 5 kilometers per shall be available only for activities covered cal Year 1994 (Public Law 103–160; 107 Stat. second. by those program elements. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 367

(c) BM/C3I PROGRAMS.—Amounts requested Law 103–160; 107 Stat. 1603; 10 U.S.C. 2431 programs for command, control, communica- for programs, projects, and activities involv- note). tions, computers, and intelligence (C4I) with ing battle management, command, control, (8) Section 235 of the National Defense Au- a special focus on cross-service and inter- communications, and intelligence (BM/C3I) thorization Act for Fiscal Year 1995 (Public service issues. shall be included in the ‘‘Other Theater Mis- Law 103–337; 108 Stat. 2701; 10 U.S.C. 221 (b) MATTERS TO BE ASSESSED IN REVIEW.— sile Defense Activities’’ program element or note). The review shall address the following: the ‘‘National Missile Defense’’ program ele- (9) Section 2609 of title 10, United States (1) The match between the capabilities pro- ment, as determined on the basis of the pri- Code. vided by current service and defense-wide C4I mary objectives involved. Subtitle E—Miscellaneous Reviews, Studies, programs and the actual needs of users of (d) MANAGEMENT AND SUPPORT.—Each pro- and Reports these programs. gram element shall include requests for the SEC. 261. PRECISION-GUIDED MUNITIONS. (2) The interoperability of service and de- amounts necessary for the management and 4 (a) ANALYSIS REQUIRED.—The Secretary of fense-wide C I systems that are planned to be support of the programs, projects, and activi- Defense shall perform an analysis of the full operational in the future. ties contained in that program element. range of precision-guided munitions in pro- (3) The need for an overall defense-wide ar- SEC. 252. TESTING OF THEATER MISSILE DE- duction and in research, development, test, chitecture for C4I. FENSE INTERCEPTORS. (4) Proposed strategies for ensuring that Subsection (a) of section 237 of the Na- and evaluation in order to determine the fol- lowing: future C4I acquisitions are compatible and tional Defense Authorization Act for Fiscal interoperable with an overall architecture. Year 1994 (Public Law 103–160; 107 Stat. 1600) (1) The numbers and types of precision- guided munitions that are needed to provide (5) Technological and administrative as- is amended to read as follows: pects of the C4I modernization effort to de- ‘‘(a) TESTING OF THEATER MISSILE DEFENSE complementary capabilities against each target class. termine the soundness of the underlying plan INTERCEPTORS.—(1) The Secretary of Defense and the extent to which it is consistent with may not approve a theater missile defense (2) The feasibility of carrying out joint de- velopment and procurement of additional concepts for joint military operations in the interceptor program proceeding beyond the future. low-rate initial production acquisition stage types of munitions by more than one of the (c) TWO-YEAR PERIOD FOR CONDUCTING RE- until the Secretary certifies to the congres- Armed Forces. VIEW.—The review shall be conducted over sional defense committees that such pro- (3) The feasibility of integrating a particu- the two-year period beginning on the date on gram has successfully completed initial lar precision-guided munition on multiple which the National Research Council and the operational test and evaluation. service platforms. ‘‘(2) In order to be certified under para- (4) The economy and effectiveness of con- Secretary of Defense enter into a contract or graph (1) as having been successfully com- tinuing the acquisition of— other agreement for the conduct of the re- pleted, the initial operational test and eval- (A) interim precision-guided munitions; or view. uation conducted with respect to an inter- (B) precision-guided munitions that, as a (d) REPORTS.—(1) In the contract or other ceptors program must have included flight result of being procured in decreasing num- agreement for the conduct of the review, the tests— bers to meet decreasing quantity require- Secretary of Defense shall provide that the ‘‘(A) that were conducted with multiple ments, have increased in cost per unit by National Research Council shall submit to interceptors and multiple targets in the more than 50 percent over the cost per unit the Department of Defense and Congress in- presence of realistic countermeasures; and for such munitions as of December 1, 1991. terim reports and progress updates on a reg- ‘‘(B) the results of which demonstrate the (b) REPORT.—(1) Not later than April 15, ular basis as the review proceeds. A final re- achievement by the interceptors of the base- 1996, the Secretary shall submit to Congress port on the review shall set forth the find- line performance thresholds. a report on the findings and other results of ings, conclusions, and recommendations of ‘‘(3) For purposes of this subsection, the the analysis. the Council for defense-wide and service C4I baseline performance thresholds with respect (2) The report shall include a detailed dis- programs and shall be submitted to the Com- to a program are the weapons systems per- cussion of the process by which the Depart- mittee on Armed Services of the Senate, the formance thresholds specified in the baseline ment of Defense— Committee on National Security of the description for the system established (pur- (A) approves the development of new preci- House of Representatives, and the Secretary suant to section 2435(a)(1) of title 10, United sion-guided munitions; of Defense. States Code) before the program entered the (B) avoids duplication and redundancy in (2) To the maximum degree possible, the engineering and manufacturing development the precision-guided munitions programs of final report shall be submitted in unclassi- stage. the Army, Navy, Air Force, and Marine fied form with classified annexes as nec- ‘‘(4) The number of flight tests described in Corps; essary. paragraph (2) that are required in order to (C) ensures rationality in the relationship (e) INTERAGENCY COOPERATION WITH make the certification under paragraph (1) between the funding plans for precision-guid- STUDY.—All military departments, defense shall be a number determined by the Sec- ed munitions modernization for fiscal years agencies, and other components of the De- retary of Defense to be sufficient for the pur- following fiscal year 1996 and the costs of partment of Defense shall cooperate fully poses of this section. such modernization for those fiscal years; with the National Research Council in its ac- ‘‘(5) The Secretary may augment live-fire and tivities in carrying out the review under this testing to demonstrate weapons system per- (D) identifies by name and function each section. formance goals for purposes of the certifi- person responsible for approving each new (f) EXPEDITED PROCESSING OF SECURITY cation under paragraph (1) through the use precision-guided munition for initial low- CLEARANCES FOR STUDY.—For the purpose of of modeling and simulation that is validated rate production. facilitating the commencement of the study (c) FUNDING LIMITATION.—Funds authorized by ground and flight testing.’’. under this section, the Secretary of Defense to be appropriated by this Act may not be SEC. 253. REPEAL OF MISSILE DEFENSE PROVI- shall expedite to the fullest degree possible SIONS. expended for research, development, test, the processing of security clearances that The following provisions of law are re- and evaluation or procurement of interim are necessary for the National Research pealed: precision-guided munitions after April 15, Council to conduct the study. (1) Section 222 of the Department of De- 1996, unless the Secretary of Defense has sub- fense Authorization Act, 1986 (Public Law 99– mitted the report under subsection (b). (g) FUNDING.—Of the amount authorized to 145; 99 Stat. 613; 10 U.S.C. 2431 note). (d) INTERIM PRECISION-GUIDED MUNITION be appropriated in section 201 for defense- (2) Section 225 of the Department of De- DEFINED.—For purposes of subsection (c), a wide activities, $900,000 shall be available for fense Authorization Act, 1986 (Public Law 99– precision-guided munition is an interim pre- the study under this section. 145; 99 Stat. 614). cision-guided munition if the munition is SEC. 263. ANALYSIS OF CONSOLIDATION OF (3) Section 226 of the National Defense Au- being procured in fiscal year 1996, but fund- BASIC RESEARCH ACCOUNTS OF thorization Act for Fiscal Years 1988 and 1989 ing is not proposed for additional procure- MILITARY DEPARTMENTS. (Public Law 100–180; 101 Stat. 1057; 10 U.S.C. ment of the munition in the fiscal years (a) ANALYSIS REQUIRED.—The Secretary of 2431 note). after fiscal year 1996 that are covered by the Defense shall conduct an analysis of the cost (4) Section 8123 of the Department of De- future years defense program submitted to and effectiveness of consolidating the basic fense Appropriations Act, 1989 (Public Law Congress in 1995 under section 221(a) of title research accounts of the military depart- 100–463; 102 Stat. 2270–40). 10, United States Code. ments. The analysis shall determine poten- (5) Section 8133 of the Department of De- SEC. 262. REVIEW OF C4I BY NATIONAL RE- tial infrastructure savings and other benefits fense Appropriations Act, 1992 (Public Law SEARCH COUNCIL. of co-locating and consolidating the manage- 102–172; 105 Stat. 1211). (a) REVIEW BY NATIONAL RESEARCH COUN- ment of basic research. (6) Section 234 of the National Defense Au- CIL.—Not later than 90 days after the date of (b) DEADLINE.—On or before March 1, 1996, thorization Act for Fiscal Year 1994 (Public the enactment of this Act, the Secretary of the Secretary shall submit to the Committee Law 103–160; 107 Stat. 1595; 10 U.S.C. 2431 Defense shall request the National Research on Armed Services of the Senate and the note). Council of the National Academy of Sciences Committee on National Security of the (7) Section 242 of the National Defense Au- to conduct a comprehensive review of cur- House of Representatives a report on the thorization Act for Fiscal Year 1994 (Public rent and planned service and defense-wide analysis conducted under subsection (a). H 368 CONGRESSIONAL RECORD — HOUSE January 22, 1996 SEC. 264. CHANGE IN REPORTING PERIOD FROM being developed for the ALP and shall con- designation is effective or for the last three CALENDAR YEAR TO FISCAL YEAR sider funding recommendations made by the fiscal years for which statistics are available FOR ANNUAL REPORT ON CERTAIN Semiconductor Industry Association as is less than the amount determined by mul- CONTRACTS TO COLLEGES AND UNI- being advisory in nature.’’; tiplying 60 percent times the amount equal VERSITIES. (3) in subsection (c)— to 1⁄50 of the total average annual amount of Section 2361(c)(2) of title 10, United States (A) by inserting ‘‘Defense’’ before ‘‘Ad- all Department of Defense obligations for Code, is amended— vanced’’; and science and engineering research and devel- (1) by striking out ‘‘calendar year’’ and in- (B) by striking out ‘‘ARPA’’ both places it opment that were in effect with institutions serting in lieu thereof ‘‘fiscal year’’; and appears and inserting in lieu thereof of higher education in the United States for (2) by striking out ‘‘the year after the ‘‘DARPA’’; and such three preceding or last fiscal years, as year’’ and inserting in lieu thereof ‘‘the fis- (4) by adding at the end the following: the case may be (to be determined in con- cal year after the fiscal year’’. ‘‘(d) DEFINITIONS.—In this section: sultation with the Secretary of Defense);’’. SEC. 265. AERONAUTICAL RESEARCH AND TEST ‘‘(1) The term ‘United States-owned com- SEC. 274. CRUISE MISSILE DEFENSE INITIATIVE. CAPABILITIES ASSESSMENT. pany’ means a company the majority owner- (a) IN GENERAL.—The Secretary of Defense (a) FINDINGS.—Congress finds the follow- ship or control of which is held by citizens of ing: shall undertake an initiative to coordinate the United States. and strengthen the cruise missile defense (1) It is in the Nation’s long-term national ‘‘(2) The term ‘United States-incorporated security interests for the United States to programs of the Department of Defense to company’ means a company that the Sec- ensure that the United States develops and maintain preeminence in the area of aero- retary of Defense finds is incorporated in the nautical research and test capabilities. deploys affordable and operationally effec- United States and has a parent company tive defenses against existing and future (2) Continued advances in aeronautical that is incorporated in a country— science and engineering are critical to sus- cruise missile threats to United States mili- ‘‘(A) that affords to United States-owned tary forces and operations. taining the strategic and tactical air superi- companies opportunities, comparable to ority of the United States and coalition (b) COORDINATION WITH BALLISTIC MISSILE those afforded to any other company, to par- DEFENSE EFFORTS.—In carrying out sub- forces, as well as United States economic se- ticipate in any joint venture similar to those curity and international aerospace leader- section (a), the Secretary shall ensure that, authorized under section 28 of the National to the extent practicable, the cruise missile ship. Institute of Standards and Technology Act (3) It is in the national security and eco- defense programs of the Department of De- (15 U.S.C. 278n); fense and the ballistic missile defense pro- nomic interests of the United States and the ‘‘(B) that affords to United States-owned budgetary interests of the Department of De- grams of the Department of Defense are co- companies local investment opportunities ordinated with each other and that those fense for the department to encourage the comparable to those afforded to any other establishment of active partnerships be- programs are mutually supporting. company; and (c) DEFENSES AGAINST EXISTING AND NEAR- tween the department and other Government ‘‘(C) that affords adequate and effective agencies, academic institutions, and private TERM CRUISE MISSILE THREATS.—As part of protection for the intellectual property the initiative under subsection (a), the Sec- industry to develop, maintain, and enhance rights of United States-owned companies.’’. aeronautical research and test capabilities. retary shall ensure that appropriate existing SEC. 272. ENHANCED FIBER OPTIC GUIDED MIS- and planned air defense systems are up- (b) REVIEW.—The Secretary of Defense SILE (EFOG–M) SYSTEM. shall conduct a comprehensive review of the graded to provide an affordable and oper- (a) LIMITATIONS.—(1) The Secretary of the ationally effective defense against existing aeronautical research and test facilities and Army may not obligate more than capabilities of the United States in order to and near-term cruise missile threats to Unit- $280,000,000 (based on fiscal year 1995 con- ed States military forces and operations. assess the current condition of such facilities stant dollars) to develop and deliver for test (d) DEFENSES AGAINST ADVANCED CRUISE and capabilities. and evaluation by the Army the following MISSILES.—As part of the initiative under (c) REPORT.—(1) Not later than March 1, items: 1996, the Secretary of Defense shall submit subsection (a), the Secretary shall undertake (A) 44 enhanced fiber optic guided test mis- a well-coordinated development program to to the congressional defense committees a siles. report setting forth in detail the findings of support the future deployment of cruise mis- (B) 256 fully operational enhanced fiber sile defense systems that are affordable and the review required by subsection (b). optic guided missiles. (2) The report shall include the following: operationally effective against advanced (C) 12 fully operational fire units. cruise missiles, including cruise missiles (A) The options for providing affordable, (2) The Secretary of the Army may not with low observable features. operable, reliable, and responsive long-term spend funds for the enhanced fiber optic (e) IMPLEMENTATION PLAN.—Not later than aeronautical research and test capabilities guided missile (EFOG–M) system after Sep- the date on which the President submits the for military and civilian purposes and for the tember 30, 1998, if the items described in budget for fiscal year 1997 under section 1105 organization and conduct of such capabilities paragraph (1) have not been delivered to the of title 31, United States Code, the Secretary within the Department or through shared op- Army by that date and at a cost not greater of Defense shall submit to the congressional erations with other Government agencies, than the amount set forth in paragraph (1). academic institutions, and private industry. (3) The Secretary of the Army may not defense committees a detailed plan, in un- (B) The projected costs of such options, in- enter into an advanced development phase classified and classified forms, as necessary, cluding costs of acquisition and technical for the EFOG–M system unless— for carrying out this section. The plan shall and financial arrangements (including the (A) an advanced concept technology dem- include an assessment of the following: use of Government facilities for reimburs- onstration of the system has been success- (1) The systems of the Department of De- able private use). fully completed; and fense that currently have or could have (C) Recommendations on the most efficient (B) the Secretary certifies to the congres- cruise missile defense capabilities and exist- and economic means of developing, main- sional defense committees that there is a re- ing programs of the Department of Defense taining, and continually modernizing aero- quirement for the EFOG–M system that is to improve these capabilities. nautical research and test capabilities to supported by a cost and operational effec- (2) The technologies that could be deployed meet current, planned, and prospective mili- tiveness analysis. in the near- to mid-term to provide signifi- tary and civilian needs. (b) GOVERNMENT-FURNISHED EQUIPMENT.— cant advances over existing cruise missile defense capabilities and the investments Subtitle F—Other Matters The Secretary of the Army shall ensure that all Government-furnished equipment that that would be required to ready those tech- SEC. 271. ADVANCED LITHOGRAPHY PROGRAM. the Army agrees to provide under the con- nologies for deployment. Section 216 of the National Defense Au- tract for the EFOG–M system is provided to (3) The cost and operational tradeoffs, if thorization Act for Fiscal Year 1995 (Public the prime contractor in accordance with the any, between (A) upgrading existing air and Law 103–337; 108 Stat. 2693) is amended— terms of the contract. missile defense systems, and (B) accelerating (1) in subsection (a), by striking out ‘‘to SEC. 273. STATES ELIGIBLE FOR ASSISTANCE follow-on systems with significantly im- help achieve’’ and all that follows through UNDER DEFENSE EXPERIMENTAL proved capabilities against advanced cruise the end of the subsection and inserting in PROGRAM TO STIMULATE COMPETI- missiles. lieu thereof ‘‘to ensure that lithographic TIVE RESEARCH. (4) The organizational and management processes being developed by United States- Subparagraph (A) of section 257(d)(2) of the changes that would strengthen and further owned companies or United States-incor- National Defense Authorization Act for Fis- coordinate the cruise missile defense pro- porated companies operating in the United cal Year 1995 (Public Law 103–337; 108 Stat. grams of the Department of Defense, includ- States will lead to superior performance 2705; 10 U.S.C. 2358 note) is amended to read ing the disadvantages, if any, of implement- electronics systems for the Department of as follows: ing such changes. Defense.’’; ‘‘(A) the average annual amount of all De- (f) DEFINITION.—For the purposes of this (2) in subsection (b), by adding at the end partment of Defense obligations for science section, the term ‘‘cruise missile defense the following new paragraph: and engineering research and development programs’’ means the programs, projects, ‘‘(3) The Director of the Defense Advanced that were in effect with institutions of high- and activities of the military departments, Research Projects Agency may set priorities er education in the State for the three fiscal the Advanced Research Projects Agency, and and funding levels for various technologies years preceding the fiscal year for which the the Ballistic Missile Defense Organization January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 369

relating to development and deployment of (b) OBJECTIVE.—The plan shall set forth the (b) DEFINITION.—In this section, the term defenses against cruise missiles. specific actions needed to consolidate the ‘‘United States entity’’ means an entity that SEC. 275. MODIFICATION TO UNIVERSITY RE- laboratories and test and evaluation centers is owned or controlled by persons a majority SEARCH INITIATIVE SUPPORT PRO- into as few laboratories and centers as is of whom are United States citizens. GRAM. practical and possible, in the judgment of SEC. 279. GLOBAL POSITIONING SYSTEM. Section 802 of the National Defense Au- the Secretary, by October 1, 2005. (a) CONDITIONAL PROHIBITION ON USE OF SE- thorization Act for Fiscal Year 1994 (Public (c) PREVIOUSLY DEVELOPED DATA REQUIRED LECTIVE AVAILABILITY FEATURE.—Except as Law 103–160; 107 Stat. 1701) is amended— TO BE USED.—In developing the plan, the provided in subsection (b), after (1) in subsections (a) and (b), by striking Secretary shall use the following: May 1, 1996, the Secretary of Defense may out ‘‘shall’’ both places it appears and insert- (1) Data and results obtained by the Test not (through use of the feature known as ing in lieu thereof ‘‘may’’; and and Evaluation Joint Cross-Service Group ‘‘selective availability’’) deny access of non- (2) in subsection (e), by striking out the and the Laboratory Joint Cross-Service Department of Defense users to the full capa- sentence beginning with ‘‘Such selection Group in developing recommendations for bilities of the Global Positioning System. process’’. the 1995 report of the Defense Base Closure (b) PLAN.—Subsection (a) shall cease to and Realignment Commission. apply upon submission by the Secretary of SEC. 276. MANUFACTURING TECHNOLOGY PRO- GRAM. (2) The report dated March 1994 on the con- Defense to the Committee on Armed Serv- solidation and streamlining of the test and ices of the Senate and the Committee on Na- (a) IN GENERAL.—Section 2525 of title 10, evaluation infrastructure, commissioned by United States Code, is amended as follows: tional Security of the House of Representa- the test and evaluation board of directors, (1) The heading is amended by striking out tives of a plan for enhancement of the Global along with all supporting data and reports. the second and third words. Positioning System that provides for— (d) MATTERS TO BE CONSIDERED.—In devel- (2) Subsection (a) is amended— (1) development and acquisition of effec- oping the plan, the Secretary shall consider, tive capabilities to deny hostile military (A) by striking out ‘‘Science and’’; and at a minimum, the following: forces the ability to use the Global Position- (B) by inserting after the first sentence the (1) Consolidation of common support func- ing System without hindering the ability of following: ‘‘The Secretary shall use the joint tions, including the following: United States military forces and civil users planning process of the directors of the De- (A) Aircraft (fixed wing and rotary) sup- to have access to and use of the system, to- partment of Defense laboratories in estab- port. gether with a specific date by which those lishing the program.’’. (B) Weapons support. capabilities could be operational; and (3) Subsection (c) is amended— (C) Space systems support. (2) development and acquisition of receiv- (A) by inserting ‘‘(1)’’ after ‘‘(c) EXECU- (D) Support of command, control, commu- ers for the Global Positioning System and TION.—’’; and nications, computers, and intelligence. other techniques for weapons and weapon (B) by adding at the end the following: (2) The extent to which any military con- ‘‘(2) The Secretary shall seek, to the extent systems that provide substantially improved struction, acquisition of equipment, or mod- resistance to jamming and other forms of practicable, the participation of manufactur- ernization of equipment is planned at the ers of manufacturing equipment in the electronic interference or disruption, to- laboratories and centers. gether with a specific date by which those projects under the program.’’. (3) The encroachment on the laboratories (4) Subsection (d) is amended— receivers and other techniques could be oper- and centers by residential and industrial ex- ational with United States military forces. (A) in paragraph (2)— pansion. (i) by striking out ‘‘or’’ at the end of sub- SEC. 280. REVISION OF AUTHORITY FOR PROVID- (4) The total cost to the Federal Govern- ING ARMY SUPPORT FOR THE NA- paragraph (A); ment of continuing to operate the labora- TIONAL SCIENCE CENTER FOR COM- (ii) by striking out the period at the end of tories and centers. MUNICATIONS AND ELECTRONICS. subparagraph (B) and inserting in lieu there- (5) The cost savings and program effective- (a) PURPOSE.—Subsection (b)(2) of section of ‘‘; or’’; and ness of locating laboratories and centers at 1459 of the Department of Defense Authoriza- (iii) by adding at the end the following new the same sites. tion Act, 1986 (Public Law 99–145; 99 Stat. 763) subparagraph: (6) Any loss of expertise resulting from the is amended by striking out ‘‘to make avail- ‘‘(C) will be carried out by an institution of consolidations. able’’ and all that follows and inserting in higher education.’’; and (7) Whether any legislation is neccessary lieu thereof ‘‘to provide for the management, (B) by adding at the end the following new to provide the Secretary with any additional operation, and maintenance of those areas in paragraphs: authority necessary to accomplish the the national science center that are des- ‘‘(3) At least 25 percent of the funds avail- downsizing and consolidation of the labora- ignated for use by the Army and to provide able for the program each fiscal year shall be tories and centers. incidental support for the operation of those used for awarding grants and entering into (e) REPORT.—Not later than May 1, 1996, areas in the center that are designated for contracts, cooperative agreements, and other the Secretary of Defense shall submit to the general use.’’. transactions on a cost-share basis under congressional defense committees a report (b) AUTHORITY FOR SUPPORT.—Subsection which the ratio of recipient cost to Govern- on the plan. The report shall include an iden- (c) of such section is amended to read as fol- ment cost is two to one. tification of any additional legislation that lows: ‘‘(4) If the requirement of paragraph (3) the Secretary considers necessary in order ‘‘(c) NATIONAL SCIENCE CENTER.—(1) The cannot be met by July 15 of a fiscal year, the for the Secretary to accomplish the Secretary may manage, operate, and main- Under Secretary of Defense for Acquisition downsizing and consolidation of the labora- tain facilities at the center under terms and and Technology may waive the requirement tories and centers. conditions prescribed by the Secretary for and obligate the balance of the funds avail- (f) LIMITATION.—Of the amounts appro- the purpose of conducting educational out- able for the program for that fiscal year on priated or otherwise made available pursu- reach programs in accordance with chapter a cost-share basis under which the ratio of ant to an authorization of appropriations in 111 of title 10, United States Code. recipient cost to Government cost is less section 201 for the central test and evalua- ‘‘(2) The Foundation, or NSC Discovery tion investment development program, not than two to one. Before implementing any Center, Incorporated, a nonprofit corpora- more than 75 percent may be obligated be- such waiver, the Under Secretary shall sub- tion of the State of Georgia, shall submit to fore the report required by subsection (e) is mit to the Committee on Armed Services of the Secretary for review and approval all submitted to Congress. the Senate and the Committee on National matters pertaining to the acquisition, de- Security of the House of Representatives the SEC. 278. LIMITATION ON T–38 AVIONICS UP- sign, renovation, equipping, and furnishing GRADE PROGRAM. reasons for the waiver.’’. of the center, including all plans, specifica- (a) REQUIREMENT.—The Secretary of De- tions, contracts, sites, and materials for the (b) CLERICAL AMENDMENT.—The item relat- fense shall ensure that, in evaluating propos- ing to section 2525 in the table of sections at center.’’. als submitted in response to a solicitation is- (c) AUTHORITY FOR ACCEPTANCE OF GIFTS the beginning of subchapter IV of chapter 148 sued for a contract for the T–38 Avionics Up- AND FUNDRAISING.—Subsection (d) of such of title 10, United States Code, is amended to grade Program, the proposal of an entity section is amended to read as follows: read as follows: may not be considered unless— ‘‘(d) GIFTS AND FUNDRAISING.—(1) Subject ‘‘2525. Manufacturing Technology Program.’’. (1) in the case of an entity that conducts to paragraph (3), the Secretary may accept a SEC. 277. FIVE-YEAR PLAN FOR CONSOLIDATION substantially all of its business in a foreign conditional or unconditional donation of OF DEFENSE LABORATORIES AND country, the foreign country provides equal money or property that is made for the bene- TEST AND EVALUATION CENTERS. access to similar contract solicitations in fit of, or in connection with, the center. (a) FIVE-YEAR PLAN.—The Secretary of De- that country to United States entities; and ‘‘(2) Notwithstanding any other provision fense, acting through the Vice Chief of Staff (2) in the case of an entity that conducts of law, the Secretary may endorse, promote, of the Army, the Vice Chief of Naval Oper- business in the United States but that is and assist the efforts of the Foundation and ations, and the Vice Chief of Staff of the Air owned or controlled by a foreign government NSC Discovery Center, Incorporated, to ob- Force (in their roles as test and evaluation or by an entity incorporated in a foreign tain— executive agent board of directors) shall de- country, the foreign government or foreign ‘‘(A) funds for the management, operation, velop a five-year plan to consolidate and re- country of incorporation provides equal ac- and maintenance of the center; and structure the laboratories and test and eval- cess to similar contract solicitations in that ‘‘(B) donations of exhibits, equipment, and uation centers of the Department of Defense. country to United States entities. other property for use in the center. H 370 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(3) The Secretary may not accept a dona- (16) For Medical Programs, Defense, ment must satisfy known and anticipated tion under this subsection that is made sub- $9,876,525,000. core maintenance and repair requirements ject to— (17) For support for the 1996 Summer Olym- across the full range of peacetime and war- ‘‘(A) any condition that is inconsistent pics, $15,000,000. time scenarios. with an applicable law or regulation; or (18) For Cooperative Threat Reduction pro- (5) Although it is possible that savings can ‘‘(B) except to the extent provided in ap- grams, $300,000,000. be achieved by contracting with private-sec- propriations Acts, any condition that would (19) For Overseas Humanitarian, Disaster, tor sources for the performance of some necessitate an expenditure of appropriated and Civic Aid programs, $50,000,000. work currently performed by Department of funds. SEC. 302. WORKING CAPITAL FUNDS. Defense depots, the Department of Defense ‘‘(4) The Secretary shall prescribe in regu- Funds are hereby authorized to be appro- has not determined the type or amount of lations the criteria to be used in determining priated for fiscal year 1996 for the use of the work that should be performed under con- whether to accept a donation. The Secretary Armed Forces and other activities and agen- tract with private-sector sources nor the rel- shall include criteria to ensure that accept- cies of the Department of Defense for provid- ative costs and benefits of contracting for ance of a donation does not establish an un- ing capital for working capital and revolving the performance of such work by those favorable appearance regarding the fairness funds in amounts as follows: sources. and objectivity with which the Secretary or (1) For the Defense Business Operations (b) SENSE OF CONGRESS.—It is the sense of any other officer or employee of the Depart- Fund, $878,700,000. Congress that there is a compelling need for ment of Defense performs official respon- (2) For the National Defense Sealift Fund, the Department of Defense to articulate sibilities and does not compromise or appear $1,024,220,000. known and anticipated core maintenance to compromise the integrity of a Govern- SEC. 303. ARMED FORCES RETIREMENT HOME. and repair requirements, to organize the re- ment program or any official involved in There is hereby authorized to be appro- sources of the Department of Defense to that program.’’. priated for fiscal year 1996 from the Armed meet those requirements economically and (d) AUTHORIZED USES.—Such section is Forces Retirement Home Trust Fund the efficiently, and to determine what work amended— sum of $59,120,000 for the operation of the should be performed by the private sector (1) by striking out subsection (f); Armed Forces Retirement Home, including and how such work should be managed. (2) by redesignating subsection (g) as sub- the United States Soldiers’ and Airmen’s (c) REQUIREMENT FOR POLICY.—Not later section (f); and Home and the Naval Home. than March 31, 1996, the Secretary of Defense (3) in paragraph (1) of subsection (f), as re- SEC. 304. TRANSFER FROM NATIONAL DEFENSE shall develop and report to the Committee designated by paragraph (2), by inserting STOCKPILE TRANSACTION FUND. on Armed Services of the Senate and the ‘‘areas designated for use by the Army in’’ (a) TRANSFER AUTHORITY.—To the extent Committee on National Security of the after ‘‘The Secretary may make’’. provided in appropriations Acts, not more House of Representatives a comprehensive (e) ALTERNATIVE OF ADDITIONAL DEVELOP- than $150,000,000 is authorized to be trans- policy on the performance of depot-level MENT AND MANAGEMENT.—Such section, as ferred from the National Defense Stockpile maintenance and repair for the Department amended by subsection (d), is further amend- Transaction Fund to operation and mainte- of Defense that maintains the capability de- ed by adding at the end the following: nance accounts for fiscal year 1996 in scribed in section 2464 of title 10, United ‘‘(g) ALTERNATIVE OR ADDITIONAL DEVELOP- amounts as follows: States Code. MENT AND MANAGEMENT OF THE CENTER.—(1) (1) For the Army, $50,000,000. (d) CONTENT OF POLICY.—In developing the The Secretary may enter into an agreement (2) For the Navy, $50,000,000. policy, the Secretary of Defense shall do with NSC Discovery Center, Incorporated, to (3) For the Air Force, $50,000,000. each of the following: develop, manage, and maintain a national (b) TREATMENT OF TRANSFERS.—Amounts (1) Identify for each military department, science center under this section. In entering transferred under this section— with the concurrence of the Secretary of into an agreement with NSC Discovery Cen- (1) shall be merged with, and be available that military department, those depot-level ter, Incorporated, the Secretary may agree for the same purposes and the same period maintenance and repair activities that are to any term or condition to which the Sec- as, the amounts in the accounts to which necessary to ensure the depot-level mainte- retary is authorized under this section to transferred; and nance and repair capability as required by agree for purposes of entering into an agree- (2) may not be expended for an item that section 2464 of title 10, United States Code. ment with the Foundation. has been denied authorization of appropria- (2) Provide for performance of core depot- ‘‘(2) The Secretary may exercise the au- tions by Congress. level maintenance and repair capabilities in thority under paragraph (1) in addition to, or (c) RELATIONSHIP TO OTHER TRANSFER AU- facilities owned and operated by the United instead of, exercising the authority provided THORITY.—The transfer authority provided in States. under this section to enter into an agree- this section is in addition to the transfer au- (3) Provide for the core capabilities to in- ment with the Foundation.’’. thority provided in section 1001. clude sufficient skilled personnel, equip- TITLE III—OPERATION AND SEC. 305. CIVIL AIR PATROL. ment, and facilities that— MAINTENANCE Of the amounts authorized to be appro- (A) is of the proper size (i) to ensure a Subtitle A—Authorization of Appropriations priated pursuant to this Act, there shall be ready and controlled source of technical SEC. 301. OPERATION AND MAINTENANCE FUND- made available to the Civil Air Patrol competence and repair and maintenance ca- ING. $24,500,000, of which $14,704,000 shall be made pability necessary to meet the requirements Funds are hereby authorized to be appro- available for the Civil Air Patrol Corpora- of the National Military Strategy and other priated for fiscal year 1996 for the use of the tion. requirements for responding to mobilizations Armed Forces and other activities and agen- Subtitle B—Depot-Level Activities and military contingencies, and (ii) to pro- cies of the Department of Defense for ex- SEC. 311. POLICY REGARDING PERFORMANCE OF vide for rapid augmentation in time of emer- penses, not otherwise provided for, for oper- DEPOT-LEVEL MAINTENANCE AND gency; and ation and maintenance, in amounts as fol- REPAIR FOR THE DEPARTMENT OF (B) is assigned sufficient workload to en- lows: DEFENSE. sure cost efficiency and technical proficiency (1) For the Army, $18,746,695,000. (a) FINDINGS.—Congress makes the follow- in time of peace. (2) For the Navy, $21,493,155,000. ing findings: (4) Address environmental liability. (3) For the Marine Corps, $2,521,822,000. (1) The Department of Defense does not (5) In the case of depot-level maintenance (4) For the Air Force, $18,719,277,000. have a comprehensive policy regarding the and repair workloads in excess of the work- (5) For Defense-wide activities, performance of depot-level maintenance and load required to be performed by Department $9,910,476,000. repair of military equipment. of Defense depots, provide for competition (6) For the Army Reserve, $1,129,191,000. (2) The absence of such a policy has caused for those workloads between public and pri- (7) For the Naval Reserve, $868,342,000. the Congress to establish guidelines for the vate entities when there is sufficient poten- (8) For the Marine Corps Reserve, performance of such functions. tial for realizing cost savings based on ade- $100,283,000. (3) It is essential to the national security quate private-sector competition and tech- (9) For the Air Force Reserve, $1,516,287,000. of the United States that the Department of nical capabilities. (10) For the Army National Guard, Defense maintain an organic capability (6) Address issues concerning exchange of $2,361,808,000. within the department, including skilled per- technical data between the Federal Govern- (11) For the Air National Guard, sonnel, technical competencies, equipment, ment and the private sector. $2,760,121,000. and facilities, to perform depot-level mainte- (7) Provide for, in the Secretary’s discre- (12) For the Defense Inspector General, nance and repair of military equipment in tion and after consultation with the Sec- $138,226,000. order to ensure that the Armed Forces of the retaries of the military departments, the (13) For the United States Court of Appeals United States are able to meet training, transfer from one military department to an- for the Armed Forces, $6,521,000. operational, mobilization, and emergency re- other, in accordance with merit-based selec- (14) For Environmental Restoration, De- quirements without impediment. tion processes, workload that supports the fense, $1,422,200,000. (4) The organic capability of the Depart- core depot-level maintenance and repair ca- (15) For Drug Interdiction and Counter- ment of Defense to perform depot-level pabilities in facilities owned and operated by drug Activities, Defense-wide, $680,432,000. maintenance and repair of military equip- the United States. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 371

(8) Require that, in any competition for a (g) ANNUAL REPORT.—If legislation referred Comptroller General for such purpose all in- workload (whether among private-sector to in subsection (f)(3) is enacted, the Sec- formation used by the Secretary in preparing sources or between depot-level activities of retary of Defense shall, not later than March such report. the Department of Defense and private-sec- 1 of each year (beginning with the year after (2) Not later than 45 days after the date on tor sources), bids are evaluated under a the year in which such legislation is en- which the Secretary of Defense submits to methodology that ensures that appropriate acted), submit to Congress a report that— Congress the report required under sub- costs to the Government and the private sec- (1) specifies depot maintenance core capa- section (i), the Comptroller General shall tor are identified. bility requirements determined in accord- transmit to Congress a report containing a (9) Provide for the performance of mainte- ance with the procedures established to com- detailed analysis of the report submitted nance and repair for any new weapons sys- ply with the policy prescribed pursuant to under that subsection. tems defined as core, under section 2464 of subsections (d)(2) and (d)(3); SEC. 312. MANAGEMENT OF DEPOT EMPLOYEES. title 10, United States Code, in facilities (2) specifies the planned amount of work- (a) DEPOT EMPLOYEES.—Chapter 146 of title owned and operated by the United States. load to be accomplished by the depot-level 10, United States Code, is amended by adding (e) CONSIDERATIONS.—In developing the pol- activities of each military department in at the end the following new section: icy, the Secretary shall take into consider- support of those requirements for the follow- ‘‘§ 2472. Management of depot employees ation the following matters: ing fiscal year; and ‘‘(b) ANNUAL REPORT.—Not later than De- (3) identifies the planned amount of work- (1) The national security interests of the cember 1 of each fiscal year, the Secretary of load, which— United States. Defense shall submit to the Committee on (A) shall be measured by direct labor hours (2) The capabilities of the public depots Armed Services of the Senate and the Com- and by amounts to be expended; and and the capabilities of businesses in the pri- mittee on National Security of the House of (B) shall be shown separately for each com- vate sector to perform the maintenance and Representatives a report on the number of repair work required by the Department of modity group. (h) REVIEW BY GENERAL ACCOUNTING OF- employees employed and expected to be em- Defense. ployed by the Department of Defense during (3) Any applicable recommendations of the FICE.—(1) The Secretary shall make available to the Comptroller General of the United that fiscal year to perform depot-level main- Defense Base Closure and Realignment Com- tenance and repair of materiel. The report mission that are required to be implemented States all information used by the Depart- ment of Defense in developing the policy shall indicate whether that number is suffi- under the Defense Base Closure and Realign- cient to perform the depot-level mainte- ment Act of 1990. under subsections (c) through (e) of this sec- tion. nance and repair functions for which funds (4) The extent to which the readiness of the are expected to be provided for that fiscal Armed Forces would be affected by a neces- (2) Not later than 45 days after the date on which the Secretary submits to Congress the year for performance by Department of De- sity to construct new facilities to accommo- fense employees.’’. date any redistribution of depot-level main- report required by subsection (c), the Comp- troller General shall transmit to Congress a (b) TRANSFER OF SUBSECTION.—Subsection tenance and repair workloads that is made in report containing a detailed analysis of the (b) of section 2466 of title 10, United States accordance with the recommendation of the Secretary’s proposed policy as reported Code, is transferred to section 2472 of such Defense Base Closure and Realignment Com- under such subsection. title, as added by subsection (a), redesig- mission, under the Defense Base Closure and (i) REPORT ON DEPOT-LEVEL MAINTENANCE nated as subsection (a), and inserted after Realignment Act of 1990, that such work- AND REPAIR WORKLOAD.—Not later than the section heading. loads be consolidated at Department of De- March 31, 1996, the Secretary of Defense shall (c) SUBMISSION OF INITIAL REPORT.—The re- fense depots or private-sector facilities. submit to Congress a report on the depot- port under subsection (b) of section 2472 of (5) Analyses of costs and benefits of alter- level maintenance and repair workload of title 10, United States Code, as added by sub- natives, including a comparative analysis the Department of Defense. The report shall, section (a), for fiscal year 1996 shall be sub- of— to the maximum extent practicable, include mitted not later than March 15, 1996 (not- (A) the costs and benefits, including any the following: withstanding the date specified in such sub- readiness implications, of any proposed pol- (1) An analysis of the need for and effect of section). icy to convert to contractor performance of the requirement under section 2466 of title (d) CLERICAL AMENDMENT.—The table of depot-level maintenance and repair work- 10, United States Code, that no more than 40 sections at the beginning of such chapter is loads where the workload is being performed percent of the depot-level maintenance and amended by adding at the end the following by Department of Defense personnel; and repair work of the Department of Defense be new item: (B) the costs and benefits, including any contracted for performance by non-Govern- ‘‘2472. Management of depot employees.’’. readiness implications, of a policy to trans- ment personnel, including a description of SEC. 313. EXTENSION OF AUTHORITY FOR AVIA- fer depot-level maintenance and repair work- the effect on military readiness and the na- loads among depots. TION DEPOTS AND NAVAL SHIP- tional security resulting from that require- YARDS TO ENGAGE IN DEFENSE-RE- (f) REPEAL OF 60/40 REQUIREMENT AND RE- ment and a description of any specific dif- LATED PRODUCTION AND SERVICES. QUIREMENT RELATING TO COMPETITION.—(1) ficulties experienced by the Department of Section 1425(e) of the National Defense Au- Sections 2466 and 2469 of title 10, United Defense as a result of that requirement. thorization Act for Fiscal Year 1991 (Public States Code, are repealed. (2) An analysis of the distribution during Law 101–510; 104 Stat. 1684) is amended by (2) The table of sections at the beginning of the five fiscal years ending with fiscal year striking out ‘‘September 30, 1995’’ and insert- chapter 146 of such title is amended by strik- 1995 of the depot-level maintenance and re- ing in lieu thereof ‘‘September 30, 1996’’. ing out the items relating to sections 2466 pair workload of the Department of Defense SEC. 314. MODIFICATION OF NOTIFICATION RE- and 2469. between depot-level activities of the Depart- QUIREMENT REGARDING USE OF (3) The amendments made by paragraphs ment of Defense and non-Government per- CORE LOGISTICS FUNCTIONS WAIV- (1) and (2) shall take effect on the date (after sonnel, measured by direct labor hours and ER. the date of the enactment of this Act) on by amounts expended, and displayed, for that Section 2464(b) of title 10, United States which legislation is enacted that contains a five-year period and for each year of that pe- Code, is amended by striking out paragraphs provision that specifically states one of the riod, so as to show (for each military depart- (3) and (4) and inserting in lieu thereof the following: ment (and separately for the Navy and Ma- following new paragraph: (A) ‘‘The policy on the performance of rine Corps)) such distribution. ‘‘(3) A waiver under paragraph (2) may not depot-level maintenance and repair for the (3) A projection of the distribution during take effect until the end of the 30-day period Department of Defense that was submitted the five fiscal years beginning with fiscal beginning on the date on which the Sec- by the Secretary of Defense to the Commit- year 1997 of the depot-level maintenance and retary submits a report on the waiver to the tee on Armed Services of the Senate and the repair workload of the Department of De- Committee on Armed Services and the Com- Committee on National Security of the fense between depot-level activities of the mittee on Appropriations of the Senate and House of Representatives pursuant to section Department of Defense and non-Government the Committee on National Security and the 311 of the National Defense Authorization personnel, measured by direct labor hours Committee on Appropriations of the House Act for Fiscal Year 1996 is approved.’’; or and by amounts expended, and displayed, for of Representatives.’’. (B) ‘‘The policy on the performance of that five-year period and for each year of Subtitle C—Environmental Provisions depot-level maintenance and repair for the that period, so as to show (for each military SEC. 321. REVISION OF REQUIREMENTS FOR Department of Defense that was submitted department (and separately for the Navy and AGREEMENTS FOR SERVICES UNDER by the Secretary of Defense to the Commit- Marine Corps)) such distribution that would ENVIRONMENTAL RESTORATION tee on Armed Services of the Senate and the be accomplished under a new policy as re- PROGRAM. Committee on National Security of the quired under subsection (c). (a) REQUIREMENTS.—(1) Section 2701(d) of House of Representatives pursuant to section (j) OTHER REVIEW BY GENERAL ACCOUNTING title 10, United States Code, is amended to 311 of the National Defense Authorization OFFICE.—(1) The Comptroller General of the read as follows: Act for Fiscal Year 1996 is approved with the United States shall conduct an independent ‘‘(d) SERVICES OF OTHER AGENCIES.— following modifications:’’ (with the modi- audit of the findings of the Secretary of De- ‘‘(1) IN GENERAL.—Subject to paragraph (2), fications being stated in matter appearing fense in the report under subsection (i). The the Secretary may enter into agreements on after the colon). Secretary of Defense shall provide to the a reimbursable or other basis with any other H 372 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Federal agency, or with any State or local SEC. 324. REVISION OF AUTHORITIES RELATING toration Account established under section government agency, to obtain the services of TO RESTORATION ADVISORY 2703(a) of this title. the agency to assist the Secretary in carry- BOARDS. ‘‘(2) In the case of an installation approved ing out any of the Secretary’s responsibil- (a) REGULATIONS.—Paragraph (2) of sub- for closure pursuant to such a law, the De- ities under this section. Services which may section (d) of section 2705 of title 10, United partment of Defense Base Closure Account be obtained under this subsection include the States Code, is amended to read as follows: 1990 established under section 2906(a) of the identification, investigation, and cleanup of ‘‘(2)(A) The Secretary shall prescribe regu- Defense Base Closure and Realignment Act any off-site contamination resulting from lations regarding the establishment, charac- of 1990 (part A of title XXIX of Public Law the release of a hazardous substance or waste teristics, composition, and funding of res- 101–510; 10 U.S.C. 2687 note).’’. at a facility under the Secretary’s jurisdic- toration advisory boards pursuant to this (2)(A) Subject to subparagraph (B), the tion. subsection. total amount of funds made available under ‘‘(2) LIMITATION ON REIMBURSABLE AGREE- ‘‘(B) The issuance of regulations under sub- section 2705(g) of title 10, United States MENTS.—An agreement with an agency under paragraph (A) shall not be a precondition to Code, as added by paragraph (1), for fiscal paragraph (1) may not provide for reimburse- the establishment of restoration advisory year 1996 may not exceed $6,000,000. ment of the agency for regulatory enforce- boards under this subsection.’’. (B) Amounts may not be made available ment activities.’’. (b) FUNDING FOR ADMINISTRATIVE EX- under subsection (g) of such section 2705 (2)(A) Except as provided in subparagraph PENSES.—Paragraph (3) of such subsection is after September 15, 1996, unless the Sec- (B), the total amount of funds available for amended to read as follows: retary of Defense publishes proposed final or reimbursements under agreements entered ‘‘(3) The Secretary may authorize the com- interim final regulations required under sub- into under section 2710(d) of title 10, United mander of an installation (or, if there is no section (d) of such section, as amended by States Code, as amended by paragraph (1), in such commander, an appropriate official of subsection (a). fiscal year 1996 may not exceed $10,000,000. the Department of Defense designated by the (e) DEFINITION.—Such section is further (B) The Secretary of Defense may pay in Secretary) to pay routine administrative ex- amended by adding after subsection (g) (as fiscal year 1996 an amount for reimburse- penses of a restoration advisory board estab- added by subsection (d)) the following new ments under agreements referred to in sub- lished for that installation. Such payments subsection: paragraph (A) in excess of the amount speci- shall be made from funds available under ‘‘(h) DEFINITION.—In this section, the term fied in that subparagraph for that fiscal year subsection (g).’’. ‘base closure law’ means the following: if— (c) TECHNICAL ASSISTANCE.—Such section is ‘‘(1) Title II of the Defense Authorization (i) the Secretary certifies to Congress that further amended by striking out subsection Amendments and Base Closure and Realign- the payment of the amount under this sub- (e) and inserting in lieu thereof the following ment Act (Public Law 100–526; 10 U.S.C. 2687 paragraph is essential for the management of new subsection (e): note). the Defense Environmental Restoration Pro- ‘‘(e) TECHNICAL ASSISTANCE.—(1) The Sec- ‘‘(2) The Defense Base Closure and Realign- gram under chapter 160 of title 10, United retary may, upon the request of the tech- ment Act of 1990 (part A of title XXIX of States Code; and nical review committee or restoration advi- Public Law 101–510; 10 U.S.C. 2687 note). (ii) a period of 60 days has expired after the sory board for an installation, authorize the ‘‘(3) Section 2687 of this title.’’. date on which the certification is received by commander of the installation (or, if there is (f) REPORTS ON ACTIVITIES OF TECHNICAL Congress. no such commander, an appropriate official REVIEW COMMITTEES AND RESTORATION ADVI- (b) REPORT ON SERVICES OBTAINED.—The of the Department of Defense designated by SORY BOARDS.—Section 2706(a)(2) of title 10, Secretary of Defense shall include in the re- the Secretary) to obtain for the committee United States Code, is amended by adding at port submitted to Congress with respect to or advisory board, as the case may be, from the end the following: fiscal year 1998 under section 2706(a) of title private sector sources technical assistance ‘‘(J) A statement of the activities, if any, 10, United States Code, information on the for interpreting scientific and engineering is- including expenditures for administrative services, if any, obtained by the Secretary sues with regard to the nature of environ- expenses and technical assistance under sec- during fiscal year 1996 pursuant to each mental hazards at the installation and the tion 2705 of this title, of the technical review agreement on a reimbursable basis entered restoration activities conducted, or proposed committee or restoration advisory board es- into with a State or local government agen- to be conducted, at the installation. The tablished for the installation under such sec- cy under section 2701(d) of title 10, United commander of an installation (or, if there is tion during the preceding fiscal year.’’. States Code, as amended by subsection (a). no such commander, an appropriate official SEC. 325. DISCHARGES FROM VESSELS OF THE The information shall include a description of the Department of Defense designated by ARMED FORCES. of the services obtained under each agree- the Secretary) shall use funds made avail- (a) PURPOSES.—The purposes of this section ment and the amount of the reimbursement able under subsection (g) for obtaining as- are to— provided for the services. sistance under this paragraph. (1) enhance the operational flexibility of SEC. 322. ADDITION OF AMOUNTS CREDITABLE ‘‘(2) The commander of an installation (or, vessels of the Armed Forces domestically TO DEFENSE ENVIRONMENTAL RES- if there is no such commander, an appro- and internationally; TORATION ACCOUNT. priate official of the Department of Defense Section 2703(e) of title 10, United States (2) stimulate the development of innova- designated by the Secretary) may obtain Code, is amended to read as follows: tive vessel pollution control technology; and technical assistance under paragraph (1) for ‘‘(e) AMOUNTS RECOVERED.—The following (3) advance the development by the United amounts shall be credited to the transfer ac- a technical review committee or restoration States Navy of environmentally sound ships. count: advisory board only if— (b) UNIFORM NATIONAL DISCHARGE STAND- ‘‘(1) Amounts recovered under CERCLA for ‘‘(A) the technical review committee or ARDS DEVELOPMENT.—Section 312 of the Fed- response actions of the Secretary. restoration advisory board demonstrates eral Water Pollution Control Act (33 U.S.C. ‘‘(2) Any other amounts recovered by the that the Federal, State, and local agencies 1322) is amended by adding at the end the fol- Secretary or the Secretary of the military responsible for overseeing environmental lowing: department concerned from a contractor, in- restoration at the installation, and available ‘‘(n) UNIFORM NATIONAL DISCHARGE STAND- surer, surety, or other person to reimburse Department of Defense personnel, do not ARDS FOR VESSELS OF THE ARMED FORCES.— the Department of Defense for any expendi- have the technical expertise necessary for ‘‘(1) APPLICABILITY.—This subsection shall ture for environmental response activities.’’. achieving the objective for which the tech- apply to vessels of the Armed Forces and dis- charges, other than sewage, incidental to the SEC. 323. USE OF DEFENSE ENVIRONMENTAL nical assistance is to be obtained; or RESTORATION ACCOUNT. ‘‘(B) the technical assistance— normal operation of a vessel of the Armed (a) GOAL FOR CERTAIN DERA EXPENDI- ‘‘(i) is likely to contribute to the effi- Forces, unless the Secretary of Defense finds TURES.—It shall be the goal of the Secretary ciency, effectiveness, or timeliness of envi- that compliance with this subsection would of Defense to limit, by the end of fiscal year ronmental restoration activities at the in- not be in the national security interests of 1997, spending for administration, support, stallation; and the United States. studies, and investigations associated with ‘‘(ii) is likely to contribute to community ‘‘(2) DETERMINATION OF DISCHARGES RE- the Defense Environmental Restoration Ac- acceptance of environmental restoration ac- QUIRED TO BE CONTROLLED BY MARINE POLLU- count to 20 percent of the total funding for tivities at the installation.’’. TION CONTROL DEVICES.— that account. (d) FUNDING.—(1) Such section is further ‘‘(A) IN GENERAL.—The Administrator and (b) REPORT.—Not later than April 1, 1996, amended by adding at the end the following the Secretary of Defense, after consultation the Secretary shall submit to Congress a re- new subsection: with the Secretary of the department in port that contains specific, detailed informa- ‘‘(g) FUNDING.—The Secretary shall, to the which the Coast Guard is operating, the Sec- tion on— extent provided in appropriations Acts, retary of Commerce, and interested States, (1) the extent to which the Secretary has make funds available for administrative ex- shall jointly determine the discharges inci- attained the goal described in subsection (a) penses and technical assistance under this dental to the normal operation of a vessel of as of the date of the submission of the re- section using funds in the following ac- the Armed Forces for which it is reasonable port; and counts: and practicable to require use of a marine (2) if the Secretary has not attained such ‘‘(1) In the case of a military installation pollution control device to mitigate adverse goal by such date, the actions the Secretary not approved for closure pursuant to a base impacts on the marine environment. Not- plans to take to attain the goal. closure law, the Defense Environmental Res- withstanding subsection (a)(1) of section 553 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 373 of title 5, United States Code, the Adminis- paragraph (3) not later than 2 years after the in subclauses (II) and (III) of subparagraph trator and the Secretary of Defense shall date of a determination under paragraph (2) (B)(i). promulgate the determinations in accord- that the marine pollution control device is ‘‘(ii) DOCUMENTATION.—To the extent that ance with such section. The Secretary of De- required; and a prohibition under this paragraph would fense shall require the use of a marine pollu- ‘‘(ii) every 5 years— apply to vessels of the Armed Forces and not tion control device on board a vessel of the ‘‘(I) review the standards; and to other types of vessels, the State shall doc- Armed Forces in any case in which it is de- ‘‘(II) if necessary, revise the standards, ument the technical or environmental basis termined that the use of such a device is rea- consistent with paragraph (3)(B) and based for the distinction. sonable and practicable. on significant new information. ‘‘(B) PROHIBITION BY THE ADMINISTRATOR.— ‘‘(B) CONSIDERATIONS.—In making a deter- ‘‘(C) REGULATIONS.—The Secretary of De- ‘‘(i) IN GENERAL.—Upon application of a mination under subparagraph (A), the Ad- fense shall promulgate regulations with re- State, the Administrator shall by regulation ministrator and the Secretary of Defense spect to a marine pollution control device prohibit the discharge from a vessel of 1 or shall take into consideration— under paragraph (4) as soon as practicable more discharges incidental to the normal op- ‘‘(i) the nature of the discharge; after the Administrator and the Secretary of eration of a vessel, whether treated or not ‘‘(ii) the environmental effects of the dis- Defense promulgate standards with respect treated, into the waters covered by the appli- charge; to the device under paragraph (3), but not cation if the Administrator determines ‘‘(iii) the practicability of using the ma- later than 1 year after the Administrator that— rine pollution control device; and the Secretary of Defense promulgate the ‘‘(I) the protection and enhancement of the ‘‘(iv) the effect that installation or use of standards. The regulations promulgated by quality of the specified waters within the the marine pollution control device would the Secretary of Defense under paragraph (4) State require a prohibition of the discharge have on the operation or operational capabil- shall become effective upon promulgation into the waters; ity of the vessel; unless another effective date is specified in ‘‘(II) adequate facilities for the safe and ‘‘(v) applicable United States law; the regulations. sanitary removal of the discharge incidental ‘‘(vi) applicable international standards; ‘‘(D) PETITION FOR REVIEW.—The Governor to the normal operation of a vessel are rea- and of any State may submit a petition request- sonably available for the waters to which the ‘‘(vii) the economic costs of the installa- ing that the Secretary of Defense and the prohibition would apply; and tion and use of the marine pollution control Administrator review a determination under ‘‘(III) the prohibition will not have the ef- device. paragraph (2) or a standard under paragraph fect of discriminating against a vessel of the ‘‘(3) PERFORMANCE STANDARDS FOR MARINE (3), if there is significant new information, Armed Forces by reason of the ownership or POLLUTION CONTROL DEVICES.— not considered previously, that could reason- operation by the Federal Government, or the ‘‘(A) IN GENERAL.—For each discharge for ably result in a change to the particular de- military function, of the vessel. which a marine pollution control device is termination or standard after consideration ‘‘(ii) APPROVAL OR DISAPPROVAL.—The Ad- determined to be required under paragraph of the matters set forth in paragraph (2)(B). ministrator shall approve or disapprove an (2), the Administrator and the Secretary of The petition shall be accompanied by the application submitted under clause (i) not Defense, in consultation with the Secretary scientific and technical information on later than 90 days after the date on which of the department in which the Coast Guard which the petition is based. The Adminis- the application is submitted to the Adminis- is operating, the Secretary of State, the Sec- trator and the Secretary of Defense shall trator. Notwithstanding clause (i)(II), the retary of Commerce, other interested Fed- grant or deny the petition not later than 2 Administrator shall not disapprove an appli- eral agencies, and interested States, shall years after the date of receipt of the peti- cation for the sole reason that there are not jointly promulgate Federal standards of per- tion. adequate facilities to remove any discharge formance for each marine pollution control ‘‘(6) EFFECT ON OTHER LAWS.— incidental to the normal operation of a ves- device required with respect to the dis- ‘‘(A) PROHIBITION ON REGULATION BY STATES sel from vessels of the Armed Forces. charge. Notwithstanding subsection (a)(1) of OR POLITICAL SUBDIVISIONS OF STATES.—Be- ‘‘(C) APPLICABILITY TO FOREIGN FLAGGED section 553 of title 5, United States Code, the ginning on the effective date of— VESSELS.—A prohibition under this para- Administrator and the Secretary of Defense ‘‘(i) a determination under paragraph (2) graph— shall promulgate the standards in accord- ance with such section. that it is not reasonable and practicable to ‘‘(i) shall not impose any design, construc- require use of a marine pollution control de- tion, manning, or equipment standard on a ‘‘(B) CONSIDERATIONS.—In promulgating standards under this paragraph, the Admin- vice regarding a particular discharge inci- foreign flagged vessel engaged in innocent istrator and the Secretary of Defense shall dental to the normal operation of a vessel of passage unless the prohibition implements a take into consideration the matters set forth the Armed Forces; or generally accepted international rule or in paragraph (2)(B). ‘‘(ii) regulations promulgated by the Sec- standard; and ‘‘(C) CLASSES, TYPES, AND SIZES OF VES- retary of Defense under paragraph (4); ‘‘(ii) that relates to the prevention, reduc- SELS.—The standards promulgated under this except as provided in paragraph (7), neither a tion, and control of pollution shall not apply paragraph may— State nor a political subdivision of a State to a foreign flagged vessel engaged in transit ‘‘(i) distinguish among classes, types, and may adopt or enforce any statute or regula- passage unless the prohibition implements sizes of vessels; tion of the State or political subdivision an applicable international regulation re- ‘‘(ii) distinguish between new and existing with respect to the discharge or the design, garding the discharge of oil, oily waste, or vessels; and construction, installation, or use of any ma- any other noxious substance into the waters. ‘‘(iii) provide for a waiver of the applicabil- rine pollution control device required to con- ‘‘(8) PROHIBITION RELATING TO VESSELS OF ity of the standards as necessary or appro- trol discharges from a vessel of the Armed THE ARMED FORCES.—After the effective date priate to a particular class, type, age, or size Forces. of the regulations promulgated by the Sec- of vessel. ‘‘(B) FEDERAL LAWS.—This subsection shall retary of Defense under paragraph (4), it ‘‘(4) REGULATIONS FOR USE OF MARINE POL- not affect the application of section 311 to shall be unlawful for any vessel of the Armed LUTION CONTROL DEVICES.—The Secretary of discharges incidental to the normal oper- Forces subject to the regulations to— Defense, after consultation with the Admin- ation of a vessel. ‘‘(A) operate in the navigable waters of the istrator and the Secretary of the department ‘‘(7) ESTABLISHMENT OF STATE NO-DIS- United States or the waters of the contig- in which the Coast Guard is operating, shall CHARGE ZONES.— uous zone, if the vessel is not equipped with promulgate such regulations governing the ‘‘(A) STATE PROHIBITION.— any required marine pollution control device design, construction, installation, and use of ‘‘(i) IN GENERAL.—After the effective date meeting standards established under this marine pollution control devices on board of— subsection; or vessels of the Armed Forces as are necessary ‘‘(I) a determination under paragraph (2) ‘‘(B) discharge overboard any discharge in- to achieve the standards promulgated under that it is not reasonable and practicable to cidental to the normal operation of a vessel paragraph (3). require use of a marine pollution control de- in waters with respect to which a prohibition ‘‘(5) DEADLINES; EFFECTIVE DATE.— vice regarding a particular discharge inci- on the discharge has been established under ‘‘(A) DETERMINATIONS.—The Administrator dental to the normal operation of a vessel of paragraph (7). and the Secretary of Defense shall— the Armed Forces; or ‘‘(9) ENFORCEMENT.—This subsection shall ‘‘(i) make the initial determinations under ‘‘(II) regulations promulgated by the Sec- be enforceable, as provided in subsections (j) paragraph (2) not later than 2 years after the retary of Defense under paragraph (4); and (k), against any agency of the United date of the enactment of this subsection; and if a State determines that the protection and States responsible for vessels of the Armed ‘‘(ii) every 5 years— enhancement of the quality of some or all of Forces notwithstanding any immunity as- ‘‘(I) review the determinations; and the waters within the State require greater serted by the agency.’’. ‘‘(II) if necessary, revise the determina- environmental protection, the State may (c) CONFORMING AMENDMENTS.— tions based on significant new information. prohibit 1 or more discharges incidental to (1) DEFINITIONS.—Section 312(a) of the Fed- ‘‘(B) STANDARDS.—The Administrator and the normal operation of a vessel, whether eral Water Pollution Control Act (33 U.S.C. the Secretary of Defense shall— treated or not treated, into the waters. No 1322(a)) is amended— ‘‘(i) promulgate standards of performance prohibition shall apply until the Adminis- (A) in paragraph (8)— for a marine pollution control device under trator makes the determinations described (i) by striking ‘‘or’’; and H 374 CONGRESSIONAL RECORD — HOUSE January 22, 1996 (ii) by inserting ‘‘or agency of the United (B) the practicability of using marine pol- mentality of the Department of Defense pro- States,’’ after ‘‘association,’’; lution control devices on vessels of the vides the most economical method of dis- (B) in paragraph (11), by striking the pe- Armed Forces; and tribution to package stores, the Secretary of riod at the end and inserting a semicolon; (C) the effect that installation or use of Defense shall consider all components of the and marine pollution control devices on vessels distribution costs incurred by the (C) by adding at the end the following: of the Armed Forces would have on the oper- nonappropriated fund instrumentality, such ‘‘(12) ‘discharge incidental to the normal ation or operational capability of the ves- as overhead costs (including costs associated operation of a vessel’— sels; and with management, logistics, administration, ‘‘(A) means a discharge, including— (2) to establish performance standards for depreciation, and utilities), the costs of car- ‘‘(i) graywater, bilge water, cooling water, marine pollution control devices on vessels rying inventory, and handling and distribu- weather deck runoff, ballast water, oil water of the Armed Forces. tion costs. separator effluent, and any other pollutant Subtitle D—Commissaries and ‘‘(2) If the use of a private distributor discharge from the operation of a marine Nonappropriated Fund Instrumentalities would subject covered alcoholic beverage propulsion system, shipboard maneuvering purchases of distilled spirits to direct or in- SEC. 331. OPERATION OF COMMISSARY SYSTEM. system, crew habitability system, or in- direct State taxation, a nonappropriated stalled major equipment, such as an aircraft (a) COOPERATION WITH OTHER ENTITIES.— fund instrumentality shall be considered to carrier elevator or a catapult, or from a pro- Section 2482 of title 10, United States Code, be the most economical method of distribu- tective, preservative, or absorptive applica- is amended— tion regardless of the results of the deter- tion to the hull of the vessel; and (1) in the section heading, by striking out mination under paragraph (1). ‘‘(ii) a discharge in connection with the ‘‘private’’; ‘‘(3) The Secretary shall use the agencies testing, maintenance, and repair of a system (2) by inserting ‘‘(a) PRIVATE OPERATION.— performing audit functions on behalf of the described in clause (i) whenever the vessel is ’’ before ‘‘Private persons’’; and armed forces and the Inspector General of waterborne; and (3) by adding at the end the following new the Department of Defense to make deter- ‘‘(B) does not include— subsection: minations under this subsection.’’. ‘‘(b) CONTRACTS WITH OTHER AGENCIES AND ‘‘(i) a discharge of rubbish, trash, garbage, SEC. 334. TRANSPORTATION BY COMMISSARIES INSTRUMENTALITIES.—(1) The Defense Com- or other such material discharged overboard; AND EXCHANGES TO OVERSEAS LO- ‘‘(ii) an air emission resulting from the op- missary Agency, and any other agency of the CATIONS. Department of Defense that supports the op- eration of a vessel propulsion system, motor (a) IN GENERAL.—Chapter 157 of title 10, driven equipment, or incinerator; or eration of the commissary system, may United States Code, is amended by adding at ‘‘(iii) a discharge that is not covered by enter into a contract or other agreement the end the following new section: part 122.3 of title 40, Code of Federal Regula- with another department, agency, or instru- mentality of the Department of Defense or ‘‘§ 2643. Commissary and exchange services: tions (as in effect on the date of the enact- transportation overseas ment of subsection (n)); another Federal agency to provide services beneficial to the efficient management and ‘‘The Secretary of Defense shall authorize ‘‘(13) ‘marine pollution control device’ the officials responsible for operation of means any equipment or management prac- operation of the commissary system. ‘‘(2) A commissary store operated by a commissaries and military exchanges to ne- tice, for installation or use on board a vessel nonappropriated fund instrumentality of the gotiate directly with private carriers for the of the Armed Forces, that is— Department of Defense shall be operated in most cost-effective transportation of com- ‘‘(A) designed to receive, retain, treat, con- accordance with section 2484 of this title. missary and exchange supplies by sea with- trol, or discharge a discharge incidental to Subject to such section, the Secretary of De- out relying on the Military Sealift Command the normal operation of a vessel; and fense may authorize a transfer of goods, sup- or the Military Traffic Management Com- ‘‘(B) determined by the Administrator and plies, and facilities of, and funds appro- mand. Section 2631 of this title, regarding the Secretary of Defense to be the most ef- priated for, the Defense Commissary Agency the preference for vessels of the United fective equipment or management practice or any other agency of the Department of States or belonging to the United States in to reduce the environmental impacts of the Defense that supports the operation of the the transportation of supplies by sea, shall discharge consistent with the considerations commissary system to a nonappropriated apply to the negotiation of transportation set forth in subsection (n)(2)(B); and fund instrumentality for the operation of a contracts under the authority of this sec- ‘‘(14) ‘vessel of the Armed Forces’ means— commissary store.’’. tion.’’. ‘‘(A) any vessel owned or operated by the (b) CLERICAL AMENDMENT.—The item relat- (b) CLERICAL AMENDMENT.—The table of Department of Defense, other than a time or ing to such section in the table of sections at sections at the beginning of such chapter is voyage chartered vessel; and the beginning of chapter 147 of such title is amended by adding at the end the following ‘‘(B) any vessel owned or operated by the amended to read as follows: new item: Department of Transportation that is des- ‘‘2643. Commissary and exchange services: ignated by the Secretary of the department ‘‘2482. Commissary stores: operation.’’. transportation overseas.’’. in which the Coast Guard is operating as a SEC. 332. LIMITED RELEASE OF COMMISSARY vessel equivalent to a vessel described in STORES SALES INFORMATION TO SEC. 335. DEMONSTRATION PROJECT FOR UNI- subparagraph (A).’’. MANUFACTURERS, DISTRIBUTORS, FORM FUNDING OF MORALE, WEL- AND OTHER VENDORS DOING BUSI- FARE, AND RECREATION ACTIVITIES (2) ENFORCEMENT.—The first sentence of NESS WITH DEFENSE COMMISSARY AT CERTAIN MILITARY INSTALLA- section 312(j) of the Federal Water Pollution AGENCY. TIONS. Control Act (33 U.S.C. 1322(j)) is amended— Section 2487(b) of title 10, United States (a) DEMONSTRATION PROJECT REQUIRED.—(1) (A) by striking ‘‘of this section or’’ and in- Code, is amended in the second sentence by The Secretary of Defense shall conduct a serting a comma; and inserting before the period the following: demonstration project to evaluate the fea- (B) by striking ‘‘of this section shall’’ and ‘‘unless the agreement is between the De- sibility of using only nonappropriated funds inserting ‘‘, or subsection (n)(8) shall’’. fense Commissary Agency and a manufac- to support morale, welfare, and recreation (3) OTHER DEFINITIONS.—Subparagraph (A) turer, distributor, or other vendor doing programs at military installations in order of the second sentence of section 502(6) of the business with the Agency and is restricted to to facilitate the procurement of property and Federal Water Pollution Control Act (33 information directly related to merchandise services for those programs and the manage- U.S.C. 1362(6)) is amended by striking ‘‘ ‘sew- provided by that manufacturer, distributor, ment of employees used to carry out those age from vessels’ ’’ and inserting ‘‘ ‘sewage or vendor’’. programs. from vessels or a discharge incidental to the (2) Under the demonstration project— normal operation of a vessel of the Armed SEC. 333. ECONOMICAL DISTRIBUTION OF DIS- TILLED SPIRITS BY (A) procurements of property and services Forces’ ’’. NONAPPROPRIATED FUND INSTRU- for programs referred to in paragraph (1) (d) COOPERATION IN STANDARDS DEVELOP- MENTALITIES. may be carried out in accordance with laws MENT.—The Administrator of the Environ- (a) ECONOMICAL DISTRIBUTION.—Subsection and regulations applicable to procurements mental Protection Agency and the Secretary (a)(1) of section 2488 of title 10, United States paid for with nonappropriated funds; and of Defense may, by mutual agreement, with Code, is amended by inserting after ‘‘most (B) appropriated funds available for such or without reimbursement, provide for the competitive source’’ the following: ‘‘and dis- programs may be expended in accordance use of information, reports, personnel, or tributed in the most economical manner’’. with laws applicable to expenditures of other resources of the Environmental Pro- (b) DETERMINATION OF MOST ECONOMICAL nonappropriated funds as if the appropriated tection Agency or the Department of Defense DISTRIBUTION METHOD.—Such section is fur- funds were nonappropriated funds. to carry out section 312(n) of the Federal ther amended— (3) The Secretary shall prescribe regula- Water Pollution Control Act (as added by (1) by redesignating subsection (c) as sub- tions to carry out paragraph (2). The regula- subsection (b)), including the use of the re- section (d); and tions shall provide for financial management sources— (2) by inserting after subsection (b) the fol- and accounting of appropriated funds ex- (1) to determine— lowing new subsection: pended in accordance with subparagraph (B) (A) the nature and environmental effect of ‘‘(c)(1) In the case of covered alcoholic bev- of such paragraph. discharges incidental to the normal oper- erage purchases of distilled spirits, to deter- (b) COVERED MILITARY INSTALLATIONS.— ation of a vessel of the Armed Forces; mine whether a nonappropriated fund instru- The Secretary shall select not less than January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 375

three and not more than six military instal- ‘‘(d) ADJUSTMENTS AND SURCHARGES.—Ad- SEC. 338. AVAILABILITY OF FUNDS TO OFFSET lations to participate in the demonstration justments to, and surcharges on, the sales EXPENSES INCURRED BY ARMY AND project. price of a grocery food item sold in a com- AIR FORCE EXCHANGE SERVICE ON ACCOUNT OF TROOP REDUCTIONS (c) PERIOD OF DEMONSTRATION PROJECT.— bined exchange and commissary store under IN EUROPE. The demonstration project shall terminate this section shall be provided for in accord- Of funds authorized to be appropriated not later than September 30, 1998. ance with the same laws that govern such under section 301(5), not less than $70,000,000 (d) EFFECT ON EMPLOYEES.—For the pur- adjustments and surcharges for items sold in shall be available to the Secretary of De- pose of testing fiscal accounting procedures, a commissary store of the Defense Com- fense for transfer to the Army and Air Force the Secretary may convert, for the duration missary Agency. Exchange Service to offset expenses incurred of the demonstration project, the status of ‘‘(e) USE OF APPROPRIATED FUNDS.—(1) If a by the Army and Air Force Exchange Service an employee who carries out a program re- nonappropriated fund instrumentality incurs on account of reductions in the number of ferred to in subsection (a)(1) from the status a loss in operating a combined exchange and members of the United States Armed Forces of an employee paid by appropriated funds to commissary store at a military installation assigned to permanent duty ashore in Eu- the status of a nonappropriated fund instru- under this section as a result of the require- rope. mentality employee, except that such con- ment set forth in subsection (d), the Sec- SEC. 339. STUDY REGARDING IMPROVING EFFI- version may occur only— retary may authorize a transfer of funds CIENCIES IN OPERATION OF MILI- (1) if the employee whose status is to be available for the Defense Commissary Agen- TARY EXCHANGES AND OTHER MO- converted— cy to the nonappropriated fund instrumen- RALE, WELFARE, AND RECREATION (A) is fully informed of the effects of such tality to offset the loss. ACTIVITIES AND COMMISSARY conversion on the terms and conditions of ‘‘(2) The total amount of appropriated STORES. (a) STUDY REQUIRED.—The Secretary of De- the employment of that employee for pur- funds transferred during a fiscal year to sup- fense shall conduct a study regarding the poses of title 5, United States Code, and on port the operation of a combined exchange manner in which greater efficiencies can be the benefits provided to that employee under and commissary store at a military installa- achieved in the operation of— such title; and tion under this section may not exceed an (1) military exchanges; (B) consents to such conversion; or amount that is equal to 25 percent of the (2) other instrumentalities of the United (2) in a manner which does not affect such amount of appropriated funds that was pro- States under the jurisdiction of the Armed terms and conditions of employment or such vided for the operation of the commissary Forces which are conducted for the comfort, benefits. store of the Defense Commissary Agency on pleasure, contentment, or physical or mental (e) REPORTS.—(1) Not later than six months that installation during the last full fiscal improvement of members of the Armed after the date of the enactment of this Act, year of operation of that commissary store. the Secretary shall submit to Congress an Forces; and ‘‘(f) DEFINITIONS.—In this section: (3) commissary stores. interim report on the implementation of this ‘‘(1) The term ‘nonappropriated fund in- section. (b) REPORT OF STUDY.—Not later than strumentality’ means the Army and Air March 1, 1996, the Secretary of Defense shall (2) Not later than December 31, 1998, the Force Exchange Service, Navy Exchange Secretary shall submit to Congress a final submit to Congress a report describing the Service Command, Marine Corps exchanges, results of the study and containing such rec- report on the results of the demonstration or any other instrumentality of the United project. The report shall include a compari- ommendations as the Secretary considers ap- States under the jurisdiction of the Armed propriate to implement options identified in son of— Forces which is conducted for the comfort, (A) the cost incurred under the demonstra- the study to achieve the greater efficiencies pleasure, contentment, or physical or mental referred to in subsection (a). tion project in using employees paid by ap- improvement of members of the Armed propriated funds together with SEC. 340. REPEAL OF REQUIREMENT TO CON- Forces. VERT SHIPS’ STORES TO nonappropriated fund instrumentality em- ‘‘(2) The term ‘base closure law’ has the NONAPPROPRIATED FUND INSTRU- ployees to carry out the programs referred to meaning given such term by section 2667(g) MENTALITIES. in subsection (a)(1); and of this title.’’. (a) REPEAL.—Section 371 of the National (B) an estimate of the cost that would have (2) The table of sections at the beginning of Defense Authorization Act for Fiscal Year been incurred if only nonappropriated fund such chapter is amended by adding at the 1994 (Public Law 103–160; 10 U.S.C. 7604 note) instrumentality employees had been used to end the following new item: is amended— carry out such programs. (1) by striking out subsections (a) and (b); ‘‘2490a. Combined exchange and commissary SEC. 336. OPERATION OF COMBINED EXCHANGE and stores.’’. AND COMMISSARY STORES. (2) by redesignating subsections (c) and (d) (a) IN GENERAL.—(1) Chapter 147 of title 10, (b) CONFORMING AMENDMENT.—Section 375 as subsections (a) and (b), respectively. United States Code, is amended by adding at of the National Defense Authorization Act (b) INSPECTOR GENERAL REVIEW.—Not later the end the following new section: for Fiscal Year 1995 (Public Law 103–337; 108 than April 1, 1996, the Inspector General of ‘‘§ 2490a. Combined exchange and com- Stat. 2736) is amended by striking out ‘‘, the Department of Defense shall submit to missary stores until December 31, 1995,’’. Congress a report that reviews the report on the costs and benefits of converting to oper- ‘‘(a) AUTHORITY.—The Secretary of Defense SEC. 337. DEFERRED PAYMENT PROGRAMS OF may authorize a nonappropriated fund in- MILITARY EXCHANGES. ation of Navy ships’ stores by nonappro- strumentality to operate a military ex- (a) USE OF COMMERCIAL BANKING INSTITU- priated fund instrumentalities that the Navy Audit Agency prepared in connection with change and a commissary store as a com- TION.—(1) As soon as practicable after the the postponement of the deadline for the bined exchange and commissary store on a date of the enactment of this Act, the Sec- conversion provided for in section 374(a) of military installation. retary of Defense shall seek to enter into an the National Defense Authorization Act for ‘‘(b) LIMITATIONS.—(1) Not more than ten agreement with a commercial banking insti- Fiscal Year 1995 (Public Law 103–337; 108 combined exchange and commissary stores tution under which the institution agrees to Stat. 2736). may be operated pursuant to this section. finance and operate the deferred payment ‘‘(2) The Secretary may select a military program of the Army and Air Force Ex- SEC. 341. DISPOSITION OF EXCESS MORALE, WELFARE, AND RECREATION FUNDS. installation for the operation of a combined change Service and the deferred payment Section 2219 of title 10, United States Code, exchange and commissary store under this program of the Navy Exchange Service Com- is amended— section only if— mand. The Secretary shall use competitive (1) in the first sentence, by striking out ‘‘a ‘‘(A) the installation is to be closed, or has procedures to enter into an agreement under military department’’ and inserting in lieu been or is to be realigned, under a base clo- this paragraph. thereof ‘‘an armed force’’; sure law; or (2) In order to facilitate the transition of (2) in the second sentence— ‘‘(B) a military exchange and a com- the operation of the programs referred to in (A) by striking out ‘‘, department-wide’’; missary store are operated at the installa- paragraph (1) to commercial operation under and tion by separate entities at the time of, or an agreement described in that paragraph, (B) by striking out ‘‘of the military depart- immediately before, such selection and it is the Secretary may initially limit the scope ment’’ and inserting in lieu thereof ‘‘for that not economically feasible to continue that of any such agreement so as to apply to only armed force’’; and separate operation. one of the programs. (3) by adding at the end the following: ‘‘(c) OPERATION AT CARSWELL FIELD.—Com- (b) REPORT.—Not later than December 31, ‘‘This section does not apply to the Coast bined exchange and commissary stores oper- 1995, the Secretary shall submit to Congress Guard.’’. ated under this section shall include the a report on the implementation of this sec- combined exchange and commissary store tion. The report shall also include an analy- SEC. 342. CLARIFICATION OF ENTITLEMENT TO USE OF MORALE, WELFARE, AND that is operated at the Naval Air Station sis of the impact of the deferred payment RECREATION FACILITIES BY MEM- Fort Worth, Joint Reserve Center, Carswell programs referred to in subsection (a)(1), in- BERS OF RESERVE COMPONENTS Field, Texas, under the authority provided in cluding the impact of the default and collec- AND DEPENDENTS. section 375 of the National Defense Author- tion procedures under such programs, on (a) IN GENERAL.—Section 1065 of title 10, ization Act for Fiscal Year 1995 (Public Law members of the Armed Forces and their fam- United States Code, is amended to read as 103–337; 108 Stat. 2736). ilies. follows: H 376 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘§ 1065. Morale, welfare, and recreation retail the system is to reduce the expense and ne- cost of an arrangement pursuant to which a facilities: use by members of reserve com- cessity of maintaining extensive warehouses private-sector source would receive an ponents and dependents for those items within the Department of De- agreed-upon payment plus an additional ne- ‘‘(a) MEMBERS OF THE SELECTED RESERVE.— fense. gotiated amount not to exceed 50 percent of A member of the Selected Reserve in good (b) COVERED ITEMS.—The items referred to the dollar savings achieved in excess of the standing (as determined by the Secretary in subsection (a) are the following: goal specified in paragraph (4). concerned) shall be permitted to use MWR (1) Food and clothing. (C) A specific citation to any provisions of retail facilities on the same basis as mem- (2) Medical and pharmaceutical supplies. law, rule, or regulation that, if not waived, bers on active duty. (3) Automotive, electrical, fuel, and con- would prohibit the conduct of the program or ‘‘(b) MEMBERS OF READY RESERVE NOT IN struction supplies. any part of the program. SELECTED RESERVE.—Subject to such regula- (4) Other consumable inventory items the (D) A mechanism to evaluate the program. tions as the Secretary of Defense may pre- Secretary considers appropriate. (E) A provision for all payroll, accounting, scribe, a member of the Ready Reserve SEC. 353. PAYROLL, FINANCE, AND ACCOUNTING and finance functions of nonappropriated (other than members of the Selected Re- FUNCTIONS OF THE DEPARTMENT fund instrumentalities of the Department of OF DEFENSE. serve) may be permitted to use MWR retail Defense to be performed by private-sector (a) PLAN FOR PRIVATE OPERATION OF CER- facilities on the same basis as members serv- sources, if determined advisable on the basis TAIN FUNCTIONS.—(1) Not later than October ing on active duty. of a final assessment of the results of the 1, 1996, the Secretary of Defense shall submit ‘‘(c) RESERVE RETIREES UNDER AGE 60.—A program. to Congress a plan for the performance by member or former member of a reserve com- (6) The Secretary shall act through the private-sector sources of payroll functions ponent under 60 years of age who, but for Under Secretary of Defense (Comptroller) in for civilian employees of the Department of age, would be eligible for retired pay under the performance of the Secretary’s respon- Defense other than employees paid from sibilities under this subsection. chapter 1223 of this title shall be permitted nonappropriated funds. to use MWR retail facilities on the same (c) LIMITATION ON OPENING OF NEW OPERAT- (2)(A) The Secretary shall implement the ING LOCATIONS FOR DEFENSE FINANCE AND AC- basis as members of the armed forces enti- plan referred to in paragraph (1) if the Sec- COUNTING SERVICE.—(1) Except as provided in tled to retired pay under any other provision retary determines that the cost of perform- paragraph (2), the Secretary may not estab- of law. ance by private-sector sources of the func- lish a new operating location for the Defense ‘‘(d) DEPENDENTS.—(1) Dependents of a tions referred to in that paragraph does not Finance and Accounting Service during fis- member who is permitted under subsection exceed the cost of performance of those func- cal year 1996. (a) or (b) to use MWR retail facilities shall tions by employees of the Federal Govern- (2) The Secretary may establish a new op- be permitted to use such facilities on the ment. erating location for the Defense Finance and same basis as dependents of members on ac- (B) In computing the total cost of perform- Accounting Service if— tive duty. ance of such functions by employees of the (A) for a new operating location that the ‘‘(2) Dependents of a member who is per- Federal Government, the Secretary shall in- Secretary planned before the date of the en- mitted under subsection (c) to use MWR re- clude the following: actment of this Act to establish on or after tail facilities shall be permitted to use such (i) Managerial and administrative costs. that date, the Secretary reconsiders the need facilities on the same basis as dependents of (ii) Personnel costs, including the cost of for establishing that new operating location; members of the armed forces entitled to re- providing retirement benefits for such per- and tired pay under any other provision of law. sonnel. (B) for each new operating location, in- ‘‘(e) MWR RETAIL FACILITY DEFINED.—In (iii) Costs associated with the provision of cluding a new operating location referred to this section, the term ‘MWR retail facilities’ facilities and other support by Federal agen- in subparagraph (A)— means exchange stores and other revenue- cies. (i) the Secretary submits to Congress, as generating facilities operated by (C) The Defense Contract Audit Agency part of the report required by subsection nonappropriated fund activities of the De- shall verify the costs computed for the Sec- (a)(4), an analysis of the need for establish- partment of Defense for the morale, welfare, retary under this paragraph by others. ing the new operating location; and and recreation of members of the armed (3) At the same time the Secretary submits (ii) a period of 30 days elapses after the forces.’’. the plan required by paragraph (1), the Sec- Congress receives the report. (b) CLERICAL AMENDMENT.—The item relat- retary shall submit to Congress a report on (3) In this subsection, the term ‘‘new oper- ing to such section in the table of sections at other accounting and finance functions of ating location’’ means an operating location the beginning of chapter 54 of such title is the Department that are appropriate for per- that is not in operation on the date of the amended to read as follows: formance by private-sector sources. enactment of this Act, except that such term ‘‘1065. Morale, welfare, and recreation retail (b) PILOT PROGRAM FOR PRIVATE OPERATION does not include an operating location for facilities: use by members of re- OF NAFI FUNCTIONS.—(1) The Secretary shall which, as of such date— serve components and depend- carry out a pilot program to test the per- (A) the Secretary has established a date for ents.’’. formance by private-sector sources of pay- the commencement of operations; and roll and other accounting and finance func- Subtitle E—Performance of Functions by (B) funds have been expended for the pur- tions of nonappropriated fund instrumental- pose of its establishment. Private-Sector Sources ities and to evaluate the extent to which SEC. 354. DEMONSTRATION PROGRAM TO IDEN- SEC. 351. COMPETITIVE PROCUREMENT OF cost savings and efficiencies would result TIFY OVERPAYMENTS MADE TO VEN- PRINTING AND DUPLICATION SERV- from the performance of such functions by DORS. ICES. those sources. (a) IN GENERAL.—The Secretary of Defense (a) REQUIREMENT FOR COMPETITIVE PRO- (2) The payroll and other accounting and shall conduct a demonstration program to CUREMENT.—Except as provided in subsection finance functions designated by the Sec- evaluate the feasibility of using private con- (b), the Secretary of Defense shall, during retary for performance by private-sector tractors to audit accounting and procure- fiscal year 1996 and consistent with the re- sources under the pilot program shall in- ment records of the Department of Defense quirements of title 44, United States Code, clude at least one major payroll, accounting, in order to identify overpayments made to competitively procure printing and duplica- or finance function. vendors by the Department. The demonstra- tion services from private-sector sources for (3) To carry out the pilot program, the Sec- tion program shall be conducted for the De- the performance of at least 70 percent of the retary shall enter into discussions with pri- fense Logistics Agency and include the De- total printing and duplication requirements vate-sector sources for the purpose of devel- fense Personnel Support Center. of the Defense Printing Service. oping a request for proposals to be issued for (b) PROGRAM REQUIREMENTS.—(1) Under the (b) EXCEPTION FOR CLASSIFIED INFORMA- performance by those sources of functions demonstration program, the Secretary shall, TION.—The requirement of subsection (a) designated by the Secretary under paragraph by contract, provide for one or more persons shall not apply to the procurement of serv- (2). The discussions shall be conducted on a to audit the accounting and procurement ices for printing and duplicating classified schedule that accommodates issuance of a records of the Defense Logistics Agency that documents and information. request for proposals within 60 days after the relate to (at least) fiscal years 1993, 1994, and SEC. 352. DIRECT VENDOR DELIVERY SYSTEM date of the enactment of this Act. 1995. The Secretary may enter into more FOR CONSUMABLE INVENTORY (4) A goal of the pilot program is to reduce than one contract under the program. ITEMS OF DEPARTMENT OF DE- by at least 25 percent the total costs in- (2) A contract under the demonstration FENSE. curred by the Department annually for the program shall require the contractor to use (a) IMPLEMENTATION OF DIRECT VENDOR DE- performance of a function referred to in data processing techniques that are gen- LIVERY SYSTEM.—Not later than September paragraph (2) through the performance of erally used in audits of private-sector 30, 1997, the Secretary of Defense shall, to that function by a private-sector source. records similar to the records audited under the maximum extent practicable, implement (5) Before conducting the pilot program, the contract. a system under which consumable inventory the Secretary shall develop a plan for the (c) AUDIT REQUIREMENTS.—In conducting items referred to in subsection (b) are deliv- program that addresses the following: an audit under the demonstration program, a ered to military installations throughout the (A) The purposes of the program. contractor shall compare Department of De- United States directly by the vendors of (B) The methodology, duration, and antici- fense purchase agreements (and related doc- those items. The purpose for implementing pated costs of the program, including the uments) with invoices submitted by vendors January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 377 under the purchase agreements. A purpose of (A) implements the changes proposed to be (4) The evaluation criteria established pur- the comparison is to identify, in the case of made with respect to the Department of De- suant to subsection (c). each audited purchase agreement, the fol- fense travel process by the task force on (5) A provision for implementing through- lowing: travel management that was established by out the Department the travel process deter- (1) Any payments to the vendor for costs the Secretary in July 1994; mined to be the better option to effectively that are not allowable under the terms of the (B) manages and uniformly applies that manage travel of Department personnel on purchase agreement or by law. travel process (including the implemented the basis of a final assessment of the results (2) Any amounts not deducted from the changes) throughout the Department; and of the program. total amount paid to the vendor under the (C) provides opportunities for private-sec- (e) REPORT.—After the first full year of the purchase agreement that should have been tor sources to provide travel reservation conduct of the tests required by subsection deducted from that amount on account of services and credit card services to facilitate (b), the Secretary shall submit to the Com- goods and services provided to the vendor by that travel process. mittee on Armed Services of the Senate and the Department. (2) The Secretary shall conduct a test at an the Committee on National Security of the (3) Duplicate payments. installation referred to in subsection (a)(2) House of Representatives a report on the im- (4) Unauthorized charges. under which the Secretary— plementation of the program. The report (5) Other discrepancies between the (A) enters into one or more contracts with shall include an analysis of the evaluation amount paid to the vendor and the amount a private-sector source pursuant to which criteria established pursuant to subsection actually due the vendor under the purchase the private-sector source manages the De- (c). agreement. partment of Defense travel process (except SEC. 357. INCREASED RELIANCE ON PRIVATE- (d) BONUS PAYMENT.—To the extent pro- for functions referred to in subparagraph SECTOR SOURCES FOR COMMER- vided for in a contract under the demonstra- (B)), provides for responsive, reasonably CIAL PRODUCTS AND SERVICES. tion program, the Secretary may pay the priced services as part of the travel process, (a) IN GENERAL.—The Secretary of Defense contractor a bonus in addition to any other and uniformly applies the travel process shall endeavor to carry out through a pri- amount paid for performance of the contract. throughout the Department; and vate-sector source any activity to provide a The amount of such bonus may not exceed (B) provides for the performance by em- commercial product or service for the De- the amount that is equal to 25 percent of all ployees of the Department of only those partment of Defense if— amounts recovered by the United States on travel functions, such as travel authoriza- (1) the product or service can be provided the basis of information obtained as a result tion, that the Secretary considers to be nec- adequately through such a source; and of the audit performed under the contract. essary to be performed by such employees. (2) an adequate competitive environment Any such bonus shall be paid out of amounts (3) Each test required by this subsection exists to provide for economical performance made available pursuant to subsection (e). shall begin not later than 60 days after the of the activity by such a source. (e) AVAILABILITY OF FUNDS.—Of the amount date of the enactment of this Act and end (b) APPLICABILITY.—(1) Subsection (a) shall authorized to be appropriated pursuant to two years after the date on which it began. not apply to any commercial product or section 301(5), not more than $5,000,000 shall Each such test shall also be conducted in ac- service with respect to which the Secretary be available for the demonstration program. cordance with the guidelines for travel man- determines that production, manufacture, or SEC. 355. PILOT PROGRAM ON PRIVATE OPER- agement issued for the Department by the provision of that product or service by the ATION OF DEFENSE DEPENDENTS’ Under Secretary of Defense (Comptroller). Government is necessary for reasons of na- SCHOOLS. (c) EVALUATION CRITERIA.—The Secretary tional security. (a) PILOT PROGRAM.—The Secretary of De- shall establish criteria to evaluate the travel (2) A determination under paragraph (1) fense may conduct a pilot program to evalu- processes tested under subsection (b). The shall be made in accordance with regulations ate the feasibility of using private contrac- criteria shall, at a minimum, include the ex- prescribed under subsection (c). tors to operate schools of the defense depend- tent to which a travel process provides for (c) REGULATIONS.—The Secretary shall pre- ents’ education system established under the following: scribe regulations to carry out this section. section 1402(a) of the Defense Dependents’ (1) The coordination, at the time of a trav- Such regulations shall be prescribed in con- Education Act of 1978 (20 U.S.C. 921(a)). el reservation, of travel policy and cost esti- sultation with the Director of the Office of (b) SELECTION OF SCHOOL FOR PROGRAM.—If mates with the mission which necessitates Management and Budget. the Secretary conducts the pilot program, the travel. (d) REPORT.—(1) The Secretary shall iden- the Secretary shall select one school of the (2) The use of fully integrated travel solu- tify activities of the Department (other than defense dependents’ education system for tions envisioned by the travel reengineering activities specified by the Secretary pursu- participation in the program and provide for report of the Department of Defense dated ant to subsection (b)) that are carried out by the operation of the school by a private con- January 1995. employees of the Department to provide tractor for not less than one complete school (3) The coordination of credit card data commercial-type products or services for the year. and travel reservation data with cost esti- Department. (c) REPORT.—Not later than 30 days after mate data. (2) Not later than April 15, 1996, the Sec- the end of the first school year in which the (4) The elimination of the need for mul- retary shall transmit to the congressional pilot program is conducted, the Secretary tiple travel approvals through the coordina- defense committees a report on opportuni- shall submit to Congress a report on the re- tion of such data with proposed travel plans. ties for increased use of private-sector sults of the program. The report shall in- (5) A responsive and flexible management sources to provide commercial products and clude the recommendation of the Secretary information system that enables the Under services for the Department. with respect to the extent to which other Secretary of Defense (Comptroller) to mon- (3) The report required by paragraph (2) schools of the defense dependents’ education itor travel expenses throughout the year, ac- shall include the following: system should be operated by private con- curately plan travel budgets for future years, (A) A list of activities identified under tractors. and assess, in the case of travel of an em- paragraph (1) indicating, for each activity, SEC. 356. PROGRAM FOR IMPROVED TRAVEL ployee on temporary duty, the relationship whether the Secretary proposes to convert PROCESS FOR THE DEPARTMENT OF the performance of that activity to perform- DEFENSE. between the cost of the travel and the value ance by private-sector sources and, if not, (a) IN GENERAL.—(1) The Secretary of De- of the travel to the accomplishment of the fense shall conduct a program to evaluate mission which necessitates the travel. the reasons why. options to improve the Department of De- (d) PLAN FOR PROGRAM.—Before conducting (B) An assessment of the advantages and fense travel process. To carry out the pro- the program, the Secretary shall develop a disadvantages of using private-sector gram, the Secretary shall compare the re- plan for the program that addresses the fol- sources, rather than employees of the De- sults of the tests conducted under subsection lowing: partment, to provide commercial products (b) to determine which travel process tested (1) The purposes of the program, including and services for the Department that are not under such subsection is the better option to the achievement of an objective of reducing essential to the warfighting mission of the effectively manage travel of Department per- by at least 50 percent the total cost incurred Armed Forces. sonnel. by the Department annually to manage the (C) A specification of all legislative and (2) The program shall be conducted at not Department of Defense travel process. regulatory impediments to converting the less than three and not more than six mili- (2) The methodology and anticipated cost performance of activities identified under tary installations, except that an installa- of the program, including the cost of an ar- paragraph (1) to performance by private-sec- tion may be the subject of only one test con- rangement pursuant to which a private-sec- tor sources. ducted under the program. tor source would receive an agreed-upon pay- (D) The views of the Secretary on the de- (3) The Secretary shall act through the ment plus an additional negotiated amount sirability of terminating the applicability of Under Secretary of Defense (Comptroller) in that does not exceed 50 percent of the total OMB Circular A–76 to the Department. the performance of the Secretary’s respon- amount saved in excess of the objective spec- (4) The Secretary shall carry out para- sibilities under this section. ified in paragraph (1). graph (1) in consultation with the Director of (b) CONDUCT OF TESTS.—(1) The Secretary (3) A specific citation to any provision or the Office of Management and Budget and shall conduct a test at an installation re- law, rule, or regulation that, if not waived, the Comptroller General of the United ferred to in subsection (a)(2) under which the would prohibit the conduct of the program or States. In carrying out that paragraph, the Secretary— any part of the program. Secretary shall consult with, and seek the H 378 CONGRESSIONAL RECORD — HOUSE January 22, 1996 views of, representatives of the private sec- which the report is submitted, that is pro- eral of the United States and the congres- tor, including organizations representing vided in reports under subsection (a) with re- sional defense committees a report on the re- small businesses. spect to the preceding fiscal year. sults the review conducted under paragraph Subtitle F—Miscellaneous Reviews, Studies, ‘‘(c) MATTERS TO BE INCLUDED.—In each re- (1). and Reports port under this section, the Secretary shall (b) REVIEW OF MATERIEL MANAGEMENT include for each covered budget activity the STANDARD SYSTEM.—(1) The Comptroller SEC. 361. QUARTERLY READINESS REPORTS. following: General of the United States shall conduct a (a) IN GENERAL.—(1) Chapter 22 of title 10, ‘‘(1) A statement, for the period covered by review of the automated data processing sys- United States Code, is amended by adding at the report, of— tem of the Department of Defense known as the end the following new section: ‘‘(A) the total amount of transfers into the Materiel Management Standard System. ‘‘§ 452. Quarterly readiness reports funds available for that activity; (2) Not later than May 1, 1996, the Comp- ‘‘(a) REQUIREMENT.—Not later than 30 days ‘‘(B) the total amount of transfers from troller General shall submit to the congres- after the end of each calendar-year quarter, funds available for that activity; and sional defense committees a report on the re- the Secretary of Defense shall submit to the ‘‘(C) the net amount of transfers into, or sults of the review conducted under para- Committee on Armed Services of the Senate out of, funds available for that activity. graph (1). and the Committee on National Security of ‘‘(2) A detailed explanation of the transfers 3SEC. 365. REPORT ON PRIVATE PERFORMANCE the House of Representatives a report on into, and out of, funds available for that ac- OF CERTAIN FUNCTIONS PER- military readiness. The report for any quar- tivity during the period covered by the re- FORMED BY MILITARY AIRCRAFT. (a) REPORT REQUIRED.—Not later than May ter shall be based on assessments that are port. 1, 1996, the Secretary of Defense shall submit provided during that quarter— ‘‘(d) COVERED BUDGET ACTIVITIES.—The to Congress a report on the feasibility of pro- ‘‘(1) to any council, committee, or other budget activities to which this section ap- viding for the performance by private-sector body of the Department of Defense (A) that plies are the following: sources of functions necessary to be per- has responsibility for readiness oversight, ‘‘(1) The budget activity groups (known as formed to fulfill the requirements of the De- and (B) the membership of which includes at ‘subactivities’) within the Operating Forces partment of Defense for air transportation of least one civilian officer in the Office of the budget activity of the annual Operation and personnel and cargo. Secretary of Defense at the level of Assistant Maintenance, Army, appropriation that are (b) CONTENT OF REPORT.—The report shall Secretary of Defense or higher; designated as follows: include the following: ‘‘(2) by senior civilian and military officers ‘‘(A) Combat Units. (1) A cost-benefit analysis with respect to of the military departments and the com- ‘‘(B) Tactical Support. the performance by private-sector sources of manders of the unified and specified com- ‘‘(C) Force-Related Training/Special Ac- functions described in subsection (a), includ- mands; and tivities. ing an explanation of the assumptions used ‘‘(3) as part of any regularly established ‘‘(D) Depot Maintenance. in the cost-benefit analysis. process of periodic readiness reviews for the ‘‘(E) JCS Exercises. (2) An assessment of the issues raised by Department of Defense as a whole. ‘‘(2) The budget activity groups (known as providing for such performance by means of ‘‘(b) MATTERS TO BE INCLUDED.—Each such ‘subactivities’) within the Operating Forces a contract entered into with a private-sector report shall— budget activity of the annual Operation and source. ‘‘(1) specifically describe identified readi- Maintenance, Navy, appropriation that are (3) An assessment of the issues raised by ness problems or deficiencies and planned re- designated as follows: providing for such performance by means of medial actions; and ‘‘(A) Mission and Other Flight Operations. converting functions described in subsection ‘‘(2) include the key indicators and other ‘‘(B) Mission and Other Ship Operations. (a) to private ownership and operation, in relevant data related to the identified prob- ‘‘(C) Fleet Air Training. whole or in part. lem or deficiency. ‘‘(D) Ship Operational Support and Train- (4) A discussion of the requirements for the ‘‘(c) CLASSIFICATION OF REPORTS.—Reports ing. performance of such functions in order to under this section shall be submitted in un- ‘‘(E) Aircraft Depot Maintenance. fulfill the requirements referred to in sub- classified form and may, as the Secretary de- ‘‘(F) Ship Depot Maintenance. section (a) during wartime. termines necessary, also be submitted in ‘‘(3) The budget activity groups (known as (5) The effect on military personnel and fa- classified form.’’. ‘subactivities’), or other activity, within the cilities of using private-sector sources to ful- (2) The table of sections at the beginning of Operating Forces budget activity of the an- fill the requirements referred to in such sub- such chapter is amended by adding at the nual Operation and Maintenance, Air Force, section. end the following new item: appropriation that are designated or other- (6) The performance by private-sector ‘‘452. Quarterly readiness reports.’’. wise identified as follows: ‘‘(A) Primary Combat Forces. sources of any other military aircraft func- (b) EFFECTIVE DATE.—Section 452 of title ‘‘(B) Primary Combat Weapons. tions (such as non-combat inflight fueling of 10, United States Code, as added by sub- ‘‘(C) Global and Early Warning. aircraft) the Secretary considers appro- section (a), shall take effect with the cal- ‘‘(D) Air Operations Training. priate. endar-year quarter during which this Act is ‘‘(E) Depot Maintenance. SEC. 366. STRATEGY AND REPORT ON AUTO- enacted. ‘‘(F) JCS Exercises.’’. MATED INFORMATION SYSTEMS OF DEPARTMENT OF DEFENSE. SEC. 362. RESTATEMENT OF REQUIREMENT FOR SEC. 363. REPORT REGARDING REDUCTION OF (a) DEVELOPMENT OF STRATEGY.—The Sec- SEMIANNUAL REPORTS TO CON- COSTS ASSOCIATED WITH CON- GRESS ON TRANSFERS FROM HIGH- TRACT MANAGEMENT OVERSIGHT. retary of Defense shall develop a strategy for PRIORITY READINESS APPROPRIA- (a) REPORT REQUIRED.—Not later than the development or modernization of auto- TIONS. April 1, 1996, the Comptroller General of the mated information systems for the Depart- Section 361 of the National Defense Au- United States shall submit to Congress a re- ment of Defense. thorization Act for Fiscal Year 1995 (Public port identifying methods to reduce the cost (b) MATTERS TO CONSIDER.—In developing Law 103–337; 108 Stat. 2732) is amended to to the Department of Defense of manage- the strategy required under subsection (a), read as follows: ment oversight of contracts in connection the Secretary shall consider the following: ‘‘SEC. 361. SEMIANNUAL REPORTS TO CONGRESS with major defense acquisition programs. (1) The use of performance measures and ON TRANSFERS FROM HIGH-PRIOR- (b) MAJOR DEFENSE ACQUISITION PROGRAMS management controls. ITY READINESS APPROPRIATIONS. DEFINED.—For purposes of this section, the (2) Findings of the Functional Management ‘‘(a) ANNUAL REPORTS.—During 1996 and term ‘‘major defense acquisition program’’ Review conducted by the Secretary. 1997, the Secretary of Defense shall submit has the meaning given that term in section (3) Program management actions planned to the congressional defense committees a 2430(a) of title 10, United States Code. by the Secretary. report on transfers during the preceding fis- (4) Actions and milestones necessary for SEC. 364. REVIEWS OF MANAGEMENT OF INVEN- cal year from funds available for each budget TORY CONTROL POINTS AND MATE- completion of functional and economic anal- activity specified in subsection (d) (herein- RIEL MANAGEMENT STANDARD SYS- yses for— after in this section referred to as ‘covered TEM. (A) the Automated System for Transpor- budget activities’). The report each year (a) REVIEW OF CONSOLIDATION OF INVENTORY tation data; shall be submitted not later than the date in CONTROL POINTS.—(1) The Secretary of De- (B) continuous acquisition and life cycle that year on which the President submits fense shall conduct a review of the manage- support; the budget for the next fiscal year to Con- ment by the Defense Logistics Agency of all (C) electronic data interchange; gress pursuant to section 1105 of title 31, inventory control points of the Department (D) flexible computer integrated manufac- United States Code. of Defense. In conducting the review, the turing; ‘‘(b) MIDYEAR REPORTS.—On May 1 of each Secretary shall examine the management (E) the Navy Tactical Command Support year specified in subsection (a), the Sec- and acquisition practices of the Defense Lo- System; and retary of Defense shall submit to the con- gistics Agency for inventory of repairable (F) the Defense Information System Net- gressional defense committees a report pro- spare parts. work. viding the same information, with respect to (2) Not later than March 31, 1996, the Sec- (5) Progress made by the Secretary in re- the first six months of the fiscal year in retary shall submit to the Comptroller Gen- solving problems with respect to the Defense January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 379 Information System Network and the Joint ‘‘(1) Working-capital funds established ‘‘(ii) An analysis of the impact of the ad- Computer-Aided Acquisition and Logistics under section 2208 of this title and in exist- vance billing on readiness. Support System. ence on December 5, 1991. ‘‘(iii) An analysis of the impact of the ad- (6) Tasks identified in the review con- ‘‘(2) Those activities that, on December 5, vance billing on the customer so billed. ducted by the Secretary of the Standard In- 1991, were funded through the use of a work- ‘‘(e) CAPITAL ASSET SUBACCOUNT.—(1) stallation/Division Personnel System-3. ing-capital fund established under that sec- Amounts charged for depreciation of capital (7) Such other matters as the Secretary tion. assets pursuant to subsection (d)(1)(B) shall considers appropriate. ‘‘(3) The Defense Finance and Accounting be credited to a separate capital asset sub- (c) REPORT ON STRATEGY.—(1) Not later Service. account established within the Fund. than April 15, 1996, the Secretary shall sub- ‘‘(4) The Defense Commissary Agency. ‘‘(2) The Secretary of Defense may award mit to Congress a report on the development ‘‘(5) The Defense Reutilization and Market- contracts for capital assets of the Fund in of the strategy required under subsection (a). ing Service. advance of the availability of funds in the (2) In the case of the Air Force Wargaming ‘‘(6) The Joint Logistics Systems Center. subaccount. EPARATE CCOUNTING EPORTING Center, the Air Force Command Exercise ‘‘(c) S A , R , ‘‘(f) PROCEDURES FOR ACCUMULATION OF System, the Cheyenne Mountain Upgrade, AND AUDITING OF FUNDS AND ACTIVITIES.—(1) FUNDS.—The Secretary of Defense shall es- the Transportation Coordinator Automated The Secretary of Defense shall provide in ac- tablish billing procedures to ensure that the cordance with this subsection for separate Command and Control Information Systems, balance in the Fund does not exceed the accounting, reporting, and auditing of funds and the Wing Command and Control Sys- amount necessary to provide for the working tems, the report required by paragraph (1) and activities managed through the Fund. ‘‘(2) The Secretary shall maintain the sepa- capital requirements of the Fund, as deter- shall provide functional economic analyses mined by the Secretary. and address waivers exercised for compelling rate identity of each fund and activity man- ‘‘(g) PURCHASE FROM OTHER SOURCES.—The military importance under section 381(d) of aged through the Fund that (before the es- Secretary of Defense or the Secretary of a the National Defense Authorization Act for tablishment of the Fund) was managed as a military department may purchase goods Fiscal Year 1995 (Public Law 103–337; 108 separate Fund or activity. and services that are available for purchase Stat. 2739). ‘‘(3) The Secretary shall maintain separate from the Fund from a source other than the (3) The report required by paragraph (1) records for each function for which payment Fund if the Secretary determines that such shall also include the following: is made through the Fund and which (before source offers a more competitive rate for the (A) A certification by the Secretary of the the establishment of the Fund) was paid di- goods and services than the Fund offers. termination of the Personnel Electronic rectly through appropriations, including the Record Management System or a justifica- separate identity of the appropriation ac- ‘‘(h) ANNUAL REPORTS AND BUDGET.—The tion for the continued need for such system. count used to pay for the performance of the Secretary of Defense shall annually submit function. (B) Findings of the Functional Manage- to Congress, at the same time that the Presi- ‘‘(d) CHARGES FOR GOODS AND SERVICES ment Review conducted by the Secretary and dent submits the budget under section 1105 of PROVIDED THROUGH THE FUND.—(1) Charges program management actions planned by the title 31, the following: for goods and services provided through the ‘‘(1) A detailed report that contains a Secretary for— Fund shall include the following: (i) the Base Level System Modernization statement of all receipts and disbursements ‘‘(A) Amounts necessary to recover the full of the Fund (including such a statement for and the Sustaining Base Information Sys- costs of the goods and services, whenever tem; and each subaccount of the Fund) for the fiscal practicable, and the costs of the develop- year ending in the year preceding the year in (ii) the Standard Installation/Division Per- ment, implementation, operation, and main- sonnel System-3. which the budget is submitted. tenance of systems supporting the wholesale ‘‘(2) A detailed proposed budget for the op- (C) An assessment of the implementation supply and maintenance activities of the De- of migration systems and applications, in- eration of the Fund for the fiscal year for partment of Defense. which the budget is submitted. cluding— ‘‘(B) Amounts for depreciation of capital (i) identification of the systems and appli- ‘‘(3) A comparison of the amounts actually assets, set in accordance with generally ac- expended for the operation of the Fund for cations by functional or business area, speci- cepted accounting principles. fying target dates for operation of the sys- the fiscal year referred to in paragraph (1) ‘‘(C) Amounts necessary to recover the full with the amount proposed for the operation tems and applications; cost of the operation of the Defense Finance (ii) identification of the legacy systems of the Fund for that fiscal year in the Presi- Accounting Service. dent’s budget. and applications that will be terminated; ‘‘(2) Charges for goods and services pro- (iii) the cost of and schedules for imple- ‘‘(4) A report on the capital asset sub- vided through the Fund may not include the account of the Fund that contains the fol- menting the migration systems and applica- following: lowing information: tions; and ‘‘(A) Amounts necessary to recover the ‘‘(A) The opening balance of the sub- (iv) termination schedules. costs of a military construction project (as account as of the beginning of the fiscal year (D) A certification by the Secretary that defined in section 2801(b) of this title), other in which the report is submitted. each information system that is subject to than a minor construction project financed ‘‘(B) The estimated amounts to be credited review by the Major Automated Information by the Fund pursuant to section 2805(c)(1) of to the subaccount in the fiscal year in which System Review Committee of the Depart- this title. the report is submitted. ment is cost-effective and supports the cor- ‘‘(B) Amounts necessary to cover costs in- ‘‘(C) The estimated amounts of outlays to porate information management goals of the curred in connection with the closure or re- be paid out of the subaccount in the fiscal Department, including the results of the re- alignment of a military installation. year in which the report is submitted. view conducted for each such system by the ‘‘(C) Amounts necessary to recover the ‘‘(D) The estimated balance of the sub- Committee. costs of functions designated by the Sec- account at the end of the fiscal year in which retary of Defense as mission critical, such as Subtitle G—Other Matters the report is submitted. ammunition handling safety, and amounts SEC. 371. CODIFICATION OF DEFENSE BUSINESS ‘‘(E) A statement of how much of the esti- for ancillary tasks not directly related to OPERATIONS FUND. mated balance at the end of the fiscal year in the mission of the function or activity man- (a) MANAGEMENT OF WORKING-CAPITAL which the report is submitted will be needed aged through the Fund. FUNDS.—(1) Chapter 131 of title 10, United to pay outlays in the immediately following ‘‘(3)(A) The Secretary of Defense may sub- States Code, is amended by inserting after fiscal year that are in excess of the amount section 2215 the following new section: mit to a customer a bill for the provision of goods and services through the Fund in ad- to be credited to the subaccount in the im- ‘‘§ 2216. Defense Business Operations Fund vance of the provision of those goods and mediately following fiscal year. ‘‘(a) MANAGEMENT OF WORKING-CAPITAL services. ‘‘(i) DEFINITIONS.—In this section: FUNDS AND CERTAIN ACTIVITIES.—The Sec- ‘‘(B) The Secretary shall submit to Con- ‘‘(1) The term ‘capital assets’ means the retary of Defense may manage the perform- gress a report on advance billings made pur- following capital assets that have a develop- ance of the working-capital funds and indus- suant to subparagraph (A)— ment or acquisition cost of not less than trial, commercial, and support type activi- ‘‘(i) when the aggregate amount of all such $50,000: ties described in subsection (b) through the billings after the date of the enactment of ‘‘(A) Minor construction projects financed fund known as the Defense Business Oper- the National Defense Authorization Act for by the Fund pursuant to section 2805(c)(1) of ations Fund, which is established on the Fiscal Year 1996 reaches $100,000,000; and this title. books of the Treasury. Except for the funds ‘‘(ii) whenever the aggregate amount of all ‘‘(B) Automatic data processing equip- and activities specified in subsection (b), no such billings after the date of a preceding re- ment, software. other functions, activities, funds, or ac- port under this subparagraph reaches ‘‘(C) Equipment other than equipment de- counts of the Department of Defense may be $100,000,000. scribed in subparagraph (B). managed or converted to management ‘‘(C) Each report under subparagraph (B) ‘‘(D) Other capital improvements. through the Fund. shall include, for each such advance billing, ‘‘(2) The term ‘Fund’ means the Defense ‘‘(b) FUNDS AND ACTIVITIES INCLUDED.—The the following: Business Operations Fund.’’. funds and activities referred to in subsection ‘‘(i) An explanation of the reason for the (2) The table of sections at the beginning of (a) are the following: advance billing. such chapter is amended by inserting after H 380 CONGRESSIONAL RECORD — HOUSE January 22, 1996 the item relating to section 2215 the follow- lishment of a financial management training ‘‘(2) An account of sales on credit shall be ing new item: center, the Secretary— kept and the amount due reported to the ‘‘2216. Defense Business Operations Fund.’’. (A) shall make the determination of the lo- Secretary. Except for articles and items ac- (b) CONFORMING REPEALS.—The following cation of the center using a merit-based se- quired through the use of working capital provisions of law are hereby repealed: lection process; and funds under section 2208 of this title, sales of (1) Subsections (b), (c), (d), and (e) of sec- (B) shall include in the report under para- articles shall be at cost, and sales of individ- tion 311 of the National Defense Authoriza- graph (1) a description of that merit-based ual clothing and equipment shall be at aver- tion Act for Fiscal Year 1995 (Public Law selection process. age current prices, including overhead, as de- 103–337; 10 U.S.C. 2208 note). SEC. 374. PERMANENT AUTHORITY FOR USE OF termined by the Secretary. ‘‘(b) The Secretary shall sell subsistence (2) Subsections (a) and (b) of section 333 of PROCEEDS FROM THE SALE OF CER- supplies to members of other armed forces at the National Defense Authorization Act for TAIN LOST, ABANDONED, OR UN- CLAIMED PROPERTY. the prices at which like property is sold to Fiscal Year 1994 (Public Law 103–160; 10 (a) PERMANENT AUTHORITY.—Section 2575 of members of the Navy and Marine Corps. U.S.C. 2208 note). title 10 is amended— ‘‘(c) The Secretary may sell serviceable (3) Section 342 of the National Defense Au- (1) by striking out subsection (b) and in- supplies, other than subsistence supplies, to thorization Act for Fiscal Year 1993 (Public serting in lieu thereof the following: members of other armed forces for the buy- Law 102–484; 10 U.S.C. 2208 note). ‘‘(b)(1) In the case of lost, abandoned, or ers’ use in the service. The prices at which (4) Section 316 of the National Defense Au- unclaimed personal property found on a mili- the supplies are sold shall be the same prices thorization Act for Fiscal Years 1992 and 1993 tary installation, the proceeds from the sale at which like property is sold to members of (Public Law 102–190; 10 U.S.C. 2208 note). of the property under this section shall be the Navy and Marine Corps. (5) Section 8121 of the Department of De- credited to the operation and maintenance ‘‘(d) A person who has been discharged hon- fense Appropriations Act, 1992 (Public Law account of that installation and used— orably or under honorable conditions from 102–172; 10 U.S.C. 2208 note). ‘‘(A) to reimburse the installation for any the Army, Navy, Air Force or Marine Corps SEC. 372. CLARIFICATION OF SERVICES AND costs incurred by the installation to collect, and who is receiving care and medical treat- PROPERTY THAT MAY BE EX- transport, store, protect, or sell the prop- ment from the Public Health Service or the CHANGED TO BENEFIT THE HISTOR- erty; and Department of Veterans Affairs may buy ICAL COLLECTION OF THE ARMED FORCES. ‘‘(B) to the extent that the amount of the subsistence supplies and other supplies, ex- cept articles of uniform, at the prices at Section 2572(b)(1) of title 10, United States proceeds exceeds the amount necessary for which like property is sold to members of Code, is amended by striking out ‘‘not need- reimbursing all such costs, to support mo- the Navy and Marine Corps. ed by the armed forces’’ and all that follows rale, welfare, and recreation activities under ‘‘(e) Under such conditions as the Sec- through the end of the paragraph and insert- the jurisdiction of the armed forces that are retary may prescribe, exterior articles of ing in lieu thereof the following: ‘‘not needed conducted for the comfort, pleasure, content- uniform may be sold to a person who has by the armed forces for any of the following ment, or physical or mental improvement of been discharged honorably or under honor- items or services if such items or services di- members of the armed forces at such instal- able conditions from the Navy or Marine rectly benefit the historical collection of the lation. ‘‘(2) The net proceeds from the sale of Corps, at the prices at which like articles are armed forces: other property under this section shall be sold to members of the Navy or Marine ‘‘(A) Similar items held by any individual, covered into the Treasury as miscellaneous Corps. This subsection does not modify sec- organization, institution, agency, or nation. receipts.’’; and tions 772 or 773 of this title. ‘‘(B) Conservation supplies, equipment, fa- (2) by adding at the end the following: ‘‘(f) Under regulations prescribed by the cilities, or systems. ‘‘(d)(1) The owner (or heirs, next of kin, or Secretary, payment for subsistence supplies ‘‘(C) Search, salvage, or transportation legal representative of the owner) of personal shall be made in cash or by commercial cred- services. property the proceeds of which are credited it. ‘‘(D) Restoration, conservation, or preser- to a military installation under subsection ‘‘(g)(1) The Secretary may provide for the vation services. (b)(1) may file a claim with the Secretary of procurement and sale of stores designated by ‘‘(E) Educational programs.’’. Defense for the amount equal to the proceeds the Secretary to such civilian officers and SEC. 373. FINANCIAL MANAGEMENT TRAINING. (less costs referred to in subparagraph (A) of employees of the United States, and such (a) LIMITATION.—The Secretary of Defense such subsection). Amounts to pay the claim other persons, as the Secretary considers may enter into a capital lease for the estab- shall be drawn from the morale, welfare, and proper— lishment of a Department of Defense finan- recreation account for the installation that ‘‘(A) at military installations outside the cial management training center no earlier received the proceeds. United States; and than the date that is 30 days after the date ‘‘(2) The owner (or heirs, next of kin, or ‘‘(B) subject to paragraph (2), at military on which the Secretary of Defense submits legal representative of the owner) may file a installations inside the United States where to the Committee on Armed Services of the claim with the Comptroller General of the the Secretary determines that it is imprac- Senate and the Committee on National Secu- United States for proceeds covered into the ticable for those civilian officers, employees, rity of the House of Representatives, in ac- Treasury under subsection (b)(2). and persons to obtain such stores from com- cordance with subsection (b), a certification ‘‘(3) Unless a claim is filed under this sub- mercial enterprises without impairing the of the need for such a center and a report on section within 5 years after the date of the efficient operation of military activities. financial management training for Depart- disposal of the property to which the claim ‘‘(2) Sales to civilian officers and employ- ment of Defense personnel. relates, the claim may not be considered by ees inside the United States may be made (b) CERTIFICATION AND REPORT.—(1) The a court, the Secretary of Defense (in the case under paragraph (1) only to civilian officers certification and report referred to in sub- of a claim filed under paragraph (1)), or the and employees residing within military in- section (a) are the following: Comptroller General of the United States (in stallations. (A) Certification by the Secretary of the the case of a claim filed under paragraph ‘‘(h) Appropriations for subsistence of the need for such a center. (2)).’’. Navy or Marine Corps may be applied to the (B) A report, submitted with the certifi- (b) REPEAL OF AUTHORITY FOR DEMONSTRA- purchase of subsistence supplies for sale to cation, on financial management training TION PROGRAM.—Section 343 of the National members of the Navy and Marine Corps on for Department of Defense personnel. Defense Authorization Act for Fiscal Years active duty for the use of such members and (2) Any report under paragraph (1) shall 1992 and 1993 (Public Law 102–190; 105 Stat. their families.’’. contain the following: 1343) is repealed. (2) The table of sections at the beginning of (A) The Secretary’s analysis of the require- SEC. 375. SALE OF MILITARY CLOTHING AND chapter 651 of such title is amended by add- ments for providing financial management SUBSISTENCE AND OTHER SUPPLIES ing at the end the following: training for employees of the Department of OF THE NAVY AND MARINE CORPS. ‘‘7606. Subsistence and other supplies: mem- Defense. (a) IN GENERAL.—(1) Chapter 651 of title 10, bers of armed forces; veterans; (B) The alternatives considered by the Sec- United States Code, is amended by adding at executive or military depart- retary for meeting those requirements. the end the following new section: ments and employees; prices.’’. (C) A detailed plan for meeting those re- ‘‘§ 7606. Subsistence and other supplies: mem- (b) CONFORMING AMENDMENTS FOR OTHER quirements. bers of armed forces; veterans; executive or ARMED FORCES.—(1) Section 4621 of such title (D) A financial analysis of the estimated military departments and employees; prices is amended— short-term and long-term costs of carrying ‘‘(a)(1) The Secretary of the Navy shall (A) by striking out ‘‘The branch, office, or out the plan. procure and sell, for cash or credit— officer designated by the Secretary of the (3) If, upon completing the analysis re- ‘‘(A) articles designated by the Secretary Army’’ in subsection (a) and inserting in lieu ferred to in paragraph (2)(A) and after con- to members of the Navy and Marine Corps; thereof ‘‘The Secretary of the Army’’; sidering alternatives as described in para- and (B) by striking out ‘‘The branch, office, or graph (2)(B), the Secretary determines to ‘‘(B) items of individual clothing and officer designated by the Secretary’’ both meet the requirements for providing finan- equipment to members of the Navy and Ma- places it appears in subsections (b) and (c) cial management training for employees of rine Corps, under such restrictions as the and inserting in lieu thereof ‘‘The Sec- the Department of Defense through estab- Secretary may prescribe. retary’’; and January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 381

(C) by inserting before the period at the ‘‘(b) EMERGENCIES INVOLVING CHEMICAL AND ‘‘§ 691. Permanent end strength levels to sup- end of subsection (f) the following: ‘‘or by BIOLOGICAL AGENTS.—(1) In addition to port two major regional contingencies commercial credit’’. equipment and facilities described in sub- ‘‘(a) The end strengths specified in sub- (2) Section 9621 of such title is amended— section (a), the Secretary may provide an section (b) are the minimum strengths nec- (A) by striking out ‘‘The Air Force shall’’ item referred to in paragraph (2) to a Fed- essary to enable the armed forces to fulfill a in subsection (b) and inserting in lieu thereof eral, State, or local law enforcement or national defense strategy calling for the ‘‘The Secretary shall’’; and emergency response agency to prepare for or United States to be able to successfully con- (B) by inserting before the period at the respond to an emergency involving chemical duct two nearly simultaneous major regional end of subsection (f) the following: ‘‘or by or biological agents if the Secretary deter- contingencies. commercial credit’’. mines that the item is not reasonably avail- ‘‘(b) Unless otherwise provided by law, the SEC. 376. PERSONNEL SERVICES AND LOGISTI- able from another source. number of members of the armed forces CAL SUPPORT FOR CERTAIN ACTIVI- ‘‘(2) An item referred to in paragraph (1) is (other than the Coast Guard) on active duty TIES HELD ON MILITARY INSTALLA- any material or expertise of the Department at the end of any fiscal year shall be not less TIONS. of Defense appropriate for use in preparing than the following: Section 2544 of title 10, United States Code, for or responding to an emergency involving ‘‘(1) For the Army, 495,000. is amended— chemical or biological agents, including the ‘‘(2) For the Navy, 395,000. (1) by redesignating subsection (g) as sub- following: ‘‘(3) For the Marine Corps, 174,000. section (h); and ‘‘(A) Training facilities. ‘‘(4) For the Air Force, 381,000. (2) by inserting after subsection (f) the fol- ‘‘(B) Sensors. ‘‘(c) No funds appropriated to the Depart- lowing new subsection: ‘‘(C) Protective clothing. ment of Defense may be used to implement a ‘‘(g) In the case of a Boy Scout Jamboree ‘‘(D) Antidotes.’’. reduction of the active duty end strength for held on a military installation, the Sec- any of the armed forces for any fiscal year retary of Defense may provide personnel SEC. 379. REPORT ON DEPARTMENT OF DE- FENSE MILITARY AND CIVIL DE- below the level specified in subsection (b) un- services and logistical support at the mili- FENSE PREPAREDNESS TO RESPOND less the Secretary of Defense submits to Con- tary installation in addition to the support TO EMERGENCIES RESULTING FROM gress notice of the proposed lower end authorized under subsections (a) and (d).’’. A CHEMICAL, BIOLOGICAL, RADIO- strength levels and a justification for those SEC. 377. RETENTION OF MONETARY AWARDS. LOGICAL, OR NUCLEAR ATTACK. levels. No action may then be taken to im- (a) MONETARY AWARDS.—Chapter 155 of (a) REPORT.—(1) Not later than March 1, plement such a reduction for that fiscal year title 10, United States Code, is amended by 1996, the Secretary of Defense and the Sec- until the end of the six-month period begin- adding at the end the following new section: retary of Energy shall submit to Congress a ning on the date of the receipt of such notice ‘‘§ 2610. Competitions for excellence: accept- joint report on the military and civil defense by Congress. ance of monetary awards plans and programs of the Department of De- ‘‘(d) For a fiscal year for which the active fense to prepare for and respond to the ef- duty end strength authorized by law pursu- ‘‘(a) ACCEPTANCE AUTHORIZED.—The Sec- fects of an emergency in the United States ant to section 115(a)(1)(A) of this title for retary of Defense may accept a monetary resulting from a chemical, biological, radio- any of the armed forces is identical to the award given to the Department of Defense by logical, or nuclear attack on the United number applicable to that armed force under a nongovernmental entity as a result of the States (hereinafter in this section referred to subsection (b), the Secretary of Defense may participation of the Department in a com- as an ‘‘attack-related civil defense emer- reduce that number by not more than 0.5 per- petition carried out to recognize excellence gency’’). cent. or innovation in providing services or admin- (2) The report shall be prepared in con- ‘‘(e) The number of members of the armed istering programs. forces on active duty shall be counted for ‘‘(b) DISPOSITION OF AWARDS.—A monetary sultation with the Director of the Federal Emergency Management Agency. purposes of this section in the same manner award accepted under subsection (a) shall be as applies under section 115(a)(1) of this credited to one or more nonappropriated (b) CONTENT OF REPORT.—The report shall include the following: title.’’. fund accounts supporting morale, welfare, (2) The table of sections at the beginning of and recreation activities for the command, (1) A discussion of the military and civil defense plans and programs of the Depart- such chapter is amended by adding at the installation, or other activity that is recog- end the following new item: nized for the award. Amounts so credited ment of Defense for preparing for and re- ‘‘691. Permanent end strength levels to sup- may be expended only for such activities. sponding to an attack-related civil defense port two major regional contin- ‘‘(c) INCIDENTAL EXPENSES.—Subject to emergency arising from an attack of a type gencies.’’. such limitations as may be provided in ap- for which the Department of Defense has a propriation Acts, appropriations available to primary responsibility to respond. (c) ACTIVE COMPONENT END STRENGTH the Department of Defense may be used to (2) A discussion of the military and civil FLEXIBILITY.—Section 115(c)(1) of title 10, pay incidental expenses incurred by the De- defense plans and programs of the Depart- United States Code, is amended by striking partment to participate in a competition de- ment of Defense for preparing for and provid- out ‘‘0.5 percent’’ and inserting in lieu there- scribed in subsection (a) or to accept a mone- ing a response to an attack-related civil de- of ‘‘1 percent’’. tary award under this section. fense emergency arising from an attack of a SEC. 402. TEMPORARY VARIATION IN DOPMA AU- THORIZED END STRENGTH LIMITA- ‘‘(d) REGULATIONS AND REPORTING.—(1) The type for which the Department of Defense TIONS FOR ACTIVE DUTY AIR FORCE Secretary shall prescribe regulations to de- has responsibility to provide a supporting re- sponse. AND NAVY OFFICERS IN CERTAIN termine the disposition of monetary awards GRADES. (3) A description of any actions, and any accepted under this section and the payment (a) AIR FORCE OFFICERS.—In the adminis- of incidental expenses under subsection (c). recommended legislation, that the Secretar- tration of the limitation under section ‘‘(2) At the end of each year, the Secretary ies consider necessary for improving the pre- 523(a)(1) of title 10, United States Code, for shall submit to Congress a report for that paredness of the Department of Defense to fiscal years 1996 and 1997, the numbers appli- year describing the disposition of monetary respond effectively to an attack-related civil cable to officers of the Air Force serving on awards accepted under this section and the defense emergency. active duty in the grades of major, lieuten- payment of incidental expenses under sub- TITLE IV—MILITARY PERSONNEL ant colonel, and colonel shall be the numbers section (c). AUTHORIZATIONS set forth for that fiscal year in the following ‘‘(e) TERMINATION.—The authority of the Subtitle A—Active Forces table (rather than the numbers determined Secretary under this section shall expire two in accordance with the table in that section): years after the date of the enactment of the SEC. 401. END STRENGTHS FOR ACTIVE FORCES. National Defense Authorization Act for Fis- (a) FISCAL YEAR 1996.—The Armed Forces Number of officers who may be cal Year 1996.’’. are authorized strengths for active duty per- serving on active duty in the grade of: (b) CLERICAL AMENDMENT.—The table of sonnel as of September 30, 1996, as follows: Fiscal year: sections at the beginning of such chapter is (1) The Army, 495,000, of which not more Lieuten- amended by adding at the end the following than 81,300 may be commissioned officers. Major ant colo- Colonel new item: (2) The Navy, 428,340, of which not more nel ‘‘2610. Competitions for excellence: accept- than 58,870 may be commissioned officers. 1996 ...... 15,566 9,876 3,609 ance of monetary awards.’’. (3) The Marine Corps, 174,000, of which not 1997 ...... 15,645 9,913 3,627 SEC. 378. PROVISION OF EQUIPMENT AND FA- more than 17,978 may be commissioned offi- CILITIES TO ASSIST IN EMERGENCY cers. (b) NAVY OFFICERS.—In the administration RESPONSE ACTIONS. (4) The Air Force, 388,200, of which not of the limitation under section 523(a)(2) of Section 372 of title 10, United States Code, more than 75,928 may be commissioned offi- title 10, United States Code, for fiscal years is amended— cers. 1996 and 1997, the numbers applicable to offi- (1) by inserting ‘‘(a) IN GENERAL.—’’ before (b) FLOOR ON END STRENGTHS.—(1) Chapter cers of the Navy serving on active duty in ‘‘The Secretary of Defense’’; and 39 of title 10, United States Code, is amended the grades of lieutenant commander, com- (2) by adding at the end the following new by adding at the end the following new sec- mander, and captain shall be the numbers subsection: tion: set forth for that fiscal year in the following H 382 CONGRESSIONAL RECORD — HOUSE January 22, 1996 table (rather than the numbers determined are on active duty (other than for training or ‘‘(8) Members of the Selected Reserve of in accordance with the table in that section): for unsatisfactory participation in training) the Ready Reserve on active duty for more without their consent at the end of the fiscal that 180 days to support programs described Number of officers who may be year. in section 1203(b) of the Cooperative Threat serving on active duty in the grade of: Whenever such units or such individual Reduction Act of 1993 (title XII of Public Fiscal year: members are released from active duty dur- Law 103–160; 22 U.S.C. 5952(b)).’’. Lieuten- SEC. 416. RESERVES ON ACTIVE DUTY FOR MILI- ant com- Com- Captain ing any fiscal year, the end strength pre- mander mander scribed for such fiscal year for the Selected TARY-TO-MILITARY CONTACTS AND Reserve of such reserve component shall be COMPARABLE ACTIVITIES NOT TO BE COUNTED. 1996 ...... 11,924 7,390 3,234 proportionately increased by the total au- Section 168 of title 10, United States Code, 1997 ...... 11,732 7,297 3,188 thorized strengths of such units and by the is amended— total number of such individual members. SEC. 403. CERTAIN GENERAL AND FLAG OFFI- (1) by redesignating subsection (f) as sub- CERS AWAITING RETIREMENT NOT SEC. 412. END STRENGTHS FOR RESERVES ON section (g); and TO BE COUNTED. ACTIVE DUTY IN SUPPORT OF THE (2) by inserting after subsection (e) the fol- RESERVES. (a) DISTRIBUTION OF OFFICERS ON ACTIVE lowing new subsection (f): Within the end strengths prescribed in sec- DUTY IN GENERAL AND FLAG OFFICER ‘‘(f) ACTIVE DUTY END STRENGTHS.—(1) A GRADES.—Section 525 of title 10, United tion 411(a), the reserve components of the member of a reserve component referred to States Code, is amended by adding at the end Armed Forces are authorized, as of Septem- in paragraph (2) shall not be counted for pur- the following new subsection: ber 30, 1996, the following number of Reserves poses of the following personnel strength ‘‘(d) An officer continuing to hold the to be serving on full-time active duty or full- limitations: grade of general or admiral under section time duty, in the case of members of the Na- ‘‘(A) The end strength for active-duty per- 601(b)(4) of this title after relief from the po- tional Guard, for the purpose of organizing, sonnel authorized pursuant to section sition of Chairman of the Joint Chiefs of administering, recruiting, instructing, or 115(a)(1) of this title for the fiscal year in Staff, Chief of Staff of the Army, Chief of training the reserve components: which the member carries out the activities Naval Operations, Chief of Staff of the Air (1) The Army National Guard of the United referred to in paragraph (2). Force, or Commandant of the Marine Corps States, 23,390. ‘‘(B) The authorized daily average for shall not be counted for purposes of this sec- (2) The Army Reserve, 11,575. members in pay grades E–8 and E–9 under tion.’’. (3) The Naval Reserve, 17,587. section 517 of this title for the calendar year (b) NUMBER OF OFFICERS ON ACTIVE DUTY IN (4) The Marine Corps Reserve, 2,559. in which the member carries out such activi- GRADE OF GENERAL OR ADMIRAL.—Section (5) The Air National Guard of the United ties. 528(b) of such title is amended— States, 10,066. ‘‘(C) The authorized strengths for commis- (1) by inserting ‘‘(1)’’ after ‘‘(b)’’; and (6) The Air Force Reserve, 628. sioned officers under section 523 of this title (2) by adding at the end the following: SEC. 413. COUNTING OF CERTAIN ACTIVE COM- for the fiscal year in which the member car- ‘‘(2) An officer continuing to hold the grade PONENT PERSONNEL ASSIGNED IN ries out such activities. of general or admiral under section 601(b)(4) SUPPORT OF RESERVE COMPONENT ‘‘(2) A member of a reserve component re- TRAINING. of this title after relief from the position of ferred to in paragraph (1) is any member on Section 414(c) of the National Defense Au- Chairman of the Joint Chiefs of Staff, Chief active duty under an order to active duty for thorization Act for Fiscal Years 1992 and 1993 of Staff of the Army, Chief of Naval Oper- 180 days or more who is engaged in activities ations, Chief of Staff of the Air Force, or (Public Law 102–190; 10 U.S.C. 12001 note) is authorized under this section.’’. amended— Commandant of the Marine Corps shall not Subtitle C—Military Training Student Loads be counted for purposes of this section.’’. (1) by inserting ‘‘(1)’’ before ‘‘The Sec- SEC. 421. AUTHORIZATION OF TRAINING STU- (c) CLARIFICATION.—Section 601(b) of such retary’’; and DENT LOADS. title is amended— (2) by adding at the end the following new (a) IN GENERAL.—For fiscal year 1996, the (1) in the matter preceding paragraph (1), paragraph: ‘‘(2) The Secretary of Defense may count components of the Armed Forces are author- by striking out ‘‘of importance and respon- ized average military training loads as fol- sibility designated’’ and inserting in lieu toward the number of active component per- sonnel required under paragraph (1) to be as- lows: thereof ‘‘designated under subsection (a) or (1) The Army, 75,013. by law’’; signed to serve as advisers under the pro- gram under this section any active compo- (2) The Navy, 44,238. (2) in paragraph (1), by striking out ‘‘of im- (3) The Marine Corps, 26,095. portance and responsibility’’; nent personnel who are assigned to an active component unit (A) that was established (4) The Air Force, 33,232. (3) in paragraph (2), by striking out ‘‘des- (b) SCOPE.—The average military training principally for the purpose of providing dedi- ignating’’ and inserting in lieu thereof ‘‘des- student loads authorized for an armed force cated training support to reserve component ignated under subsection (a) or by law’’; and under subsection (a) apply to the active and units, and (B) the primary mission of which (4) in paragraph (4), by inserting ‘‘under reserve components of that armed force. is to provide such dedicated training sup- subsection (a) or by law’’ after ‘‘designated’’. (c) ADJUSTMENTS.—The average military Subtitle B—Reserve Forces port.’’. training student loads authorized in sub- SEC. 414. INCREASE IN NUMBER OF MEMBERS IN SEC. 411. END STRENGTHS FOR SELECTED RE- section (a) shall be adjusted consistent with CERTAIN GRADES AUTHORIZED TO SERVE. the end strengths authorized in subtitles A SERVE ON ACTIVE DUTY IN SUP- and B. The Secretary of Defense shall pre- (a) FISCAL YEAR 1996.—The Armed Forces PORT OF THE RESERVES. are authorized strengths for Selected Re- scribe the manner in which such adjustments (a) OFFICERS.—The table in section 12011(a) shall be apportioned. serve personnel of the reserve components as of title 10, United States Code, is amended to of September 30, 1996, as follows: read as follows: Subtitle D—Authorization of Appropriations (1) The Army National Guard of the United SEC. 431. AUTHORIZATION OF APPROPRIATIONS States, 373,000. FOR MILITARY PERSONNEL. (2) The Army Reserve, 230,000. ‘‘Grade Army Navy Air Marine There is hereby authorized to be appro- (3) The Naval Reserve, 98,894. Force Corps priated to the Department of Defense for (4) The Marine Corps Reserve, 42,274. military personnel for fiscal year 1996 a total Major or Lieutenant Commander ..... 3,219 1,071 643 140 (5) The Air National Guard of the United Lieutenant Colonel or Commander ... 1,524 520 672 90 of $69,191,008,000. The authorization in the States, 112,707. Colonel or Navy Captain ...... 412 188 274 30’’. preceding sentence supersedes any other au- (6) The Air Force Reserve, 73,969. thorization of appropriations (definite or in- (7) The Coast Guard Reserve, 8,000. (b) SENIOR ENLISTED MEMBERS.—The table definite) for such purpose for fiscal year 1996. (b) WAIVER AUTHORITY.—The Secretary of in section 12012(a) of such title is amended to SEC. 432. AUTHORIZATION FOR INCREASE IN AC- Defense may vary the end strength author- read as follows: TIVE-DUTY END STRENGTHS. ized by subsection (a) by not more than 2 (a) AUTHORIZATION.—There is hereby au- percent. thorized to be appropriated to the Depart- (c) ADJUSTMENTS.—The end strengths pre- ‘‘Grade Army Navy Air Marine ment of Defense for fiscal year 1996 for mili- scribed by subsection (a) for the Selected Re- Force Corps tary personnel the sum of $112,000,000. Any serve of any reserve component for a fiscal amount appropriated pursuant to this sec- E–9 ...... 603 202 366 20 year shall be proportionately reduced by— E–8 ...... 2,585 429 890 94’’. tion shall be allocated, in such manner as (1) the total authorized strength of units the Secretary of Defense prescribes, among organized to serve as units of the Selected SEC. 415. RESERVES ON ACTIVE DUTY IN SUP- appropriations for active-component mili- Reserve of such component which are on ac- PORT OF COOPERATIVE THREAT RE- tary personnel for that fiscal year and shall tive duty (other than for training) at the end DUCTION PROGRAMS NOT TO BE be available only to increase the number of of the fiscal year, and COUNTED. members of the Armed Forces on active duty (2) the total number of individual members Section 115(d) of title 10, United States during that fiscal year (compared to the not in units organized to serve as units of Code, is amended by adding at the end the number of members that would be on active the Selected Reserve of such component who following: duty but for such appropriation). January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 383

(b) EFFECT ON END STRENGTHS.—The end- ‘‘(5) Officers for whom joint duty credit is (f) TECHNICAL AMENDMENT.—Section strength authorizations in section 401 shall granted pursuant to this subsection may not 664(e)(1) of such title is amended by striking each be deemed to be increased by such num- be taken into account for the purposes of out ‘‘(after fiscal year 1990)’’. ber as necessary to take account of addi- any of the following provisions of this title: SEC. 502. RETIRED GRADE FOR OFFICERS IN tional members of the Armed Forces author- section 661(d)(1), section 662(a)(3), section GRADES ABOVE MAJOR GENERAL ized by the Secretary of Defense pursuant to 662(b), subsection (a) of this section, and AND REAR ADMIRAL. subsection (a). paragraphs (7), (8), (9), (11), and (12) of section (a) APPLICABILITY OF TIME-IN-GRADE RE- TITLE V—MILITARY PERSONNEL POLICY 667. QUIREMENTS.—Section 1370 of title 10, United ‘‘(6) In the case of an officer credited with States Code, is amended— Subtitle A—Officer Personnel Policy having completed a full tour of duty in a (1) in subsection (a)(2)(A), by striking out SEC. 501. JOINT OFFICER MANAGEMENT. joint duty assignment pursuant to this sub- ‘‘and below lieutenant general or vice admi- (a) CRITICAL JOINT DUTY ASSIGNMENT POSI- section, the Secretary of Defense may waive ral’’; and TIONS.—Section 661(d)(2)(A) of title 10, United the requirement in paragraph (1)(B) of sec- (2) in the first sentence of subsection States Code, is amended by striking out tion 661(c) of this title that the tour of duty (d)(2)(B), as added effective October 1, 1996, ‘‘1,000’’ and inserting in lieu thereof ‘‘800’’. in a joint duty assignment be performed by section 1641 of the Reserve Officer Person- (b) ADDITIONAL QUALIFYING JOINT SERV- after the officer completes a program of edu- nel Management Act (title XVI of Public ICE.—Section 664 of such title is amended by cation referred to in paragraph (1)(A) of that Law 103–337; 108 Stat. 2968), by striking out adding at the end the following: section. The provisions of subparagraphs (C) ‘‘(i) JOINT DUTY CREDIT FOR CERTAIN JOINT ‘‘and below lieutenant general or vice admi- and (D) of section 661(c)(3) of this title shall TASK FORCE ASSIGNMENTS.—(1) In the case of ral’’. apply to such a waiver in the same manner an officer who completes service in a qualify- (b) RETIREMENT IN HIGHEST GRADE UPON as to a waiver under subparagraph (A) of ing temporary joint task force assignment, CERTIFICATION OF SATISFACTORY SERVICE.— that section.’’. Subsection (c) of such section is amended to the Secretary of Defense, with the advice of (c) INFORMATION IN ANNUAL REPORT.—Sec- the Chairman of the Joint Chiefs of Staff, read as follows: tion 667 of such title is amended by striking ‘‘(c) OFFICERS IN O–9 AND O–10 GRADES.—(1) may (subject to the criteria prescribed under out paragraph (16) and inserting after para- paragraph (4)) grant the officer— An officer who is serving in or has served in graph (15) the following new paragraph (16): the grade of general or admiral or lieutenant ‘‘(A) credit for having completed a full tour ‘‘(16) The number of officers granted credit general or vice admiral may be retired in of duty in a joint duty assignment; or for service in joint duty assignments under that grade under subsection (a) only after ‘‘(B) credit countable for determining cu- section 664(i) of this title and— the Secretary of Defense certifies in writing mulative service in joint duty assignments. ‘‘(A) of those officers— ‘‘(2)(A) For purposes of paragraph (1), a to the President and Congress that the offi- ‘‘(i) the number of officers credited with cer served on active duty satisfactorily in qualifying temporary joint task force assign- having completed a tour of duty in a joint ment of an officer is a temporary assign- that grade. duty assignment; and ‘‘(2) In the case of an officer covered by ment, any part of which is performed by the ‘‘(ii) the number of officers granted credit paragraph (1), the three-year service-in- officer on or after the date of the enactment for purposes of determining cumulative serv- grade requirement in paragraph (2)(A) of sub- of this subsection— ice in joint duty assignments; and section (a) may not be reduced or waived ‘‘(i) to the headquarters staff of a United ‘‘(B) the identity of each operation for under that subsection— States joint task force that is part of a uni- which an officer has been granted credit pur- ‘‘(A) while the officer is under investiga- fied command or the United States element suant to section 664(i) of this title and a brief tion for alleged misconduct; or of the headquarters staff of a multinational description of the mission of the operation.’’. ‘‘(B) while there is pending the disposition force; and (d) APPLICABILITY OF LIMITATION ON WAIV- of an adverse personnel action against the ‘‘(ii) with respect to which the Secretary of ER AUTHORITY.—Section 661(c)(3) of such title officer for alleged misconduct.’’. Defense determines that service of the offi- is amended— (c) REPEAL OF SUPERSEDED PROVISIONS.— cer in that assignment is equivalent to that (1) in the third sentence of subparagraph Sections 3962(a), 5034, 5043(c), and 8962(a) of which would be gained by the officer in a (D), by striking out ‘‘The total number’’ and such title are repealed. joint duty assignment. inserting in lieu thereof ‘‘In the case of offi- (d) TECHNICAL AND CLERICAL AMEND- ‘‘(B) An officer may not be granted credit cers in grades below brigadier general and MENTS.—(1) Sections 3962(b) and 8962(b) of under this subsection unless the officer is rear admiral (lower half), the total number’’; such title are amended by striking out ‘‘(b) recommended for such credit by the Chair- and Upon’’ and inserting in lieu thereof ‘‘Upon’’. man of the Joint Chiefs of Staff. (2) by adding at the end the following new (2) The table of sections at the beginning of ‘‘(3) Credit under paragraph (1) (including a subparagraph: chapter 505 of such title is amended by strik- determination under paragraph (2)(A)(ii) and ‘‘(E) There may not be more than 32 gen- ing out the item relating to section 5034. a recommendation under paragraph (2)(B) eral and flag officers on active duty at the (e) EFFECTIVE DATE FOR AMENDMENT TO with respect to such credit) may be granted same time who were selected for the joint PROVISION TAKING EFFECT IN 1996.—The only on a case-by-case basis in the case of an specialty while holding a general or flag offi- amendment made by subsection (a)(2) shall individual officer. cer grade and for whom a waiver was granted take effect on October 1, 1996, immediately ‘‘(4) The Secretary of Defense shall pre- under this subparagraph.’’. after subsection (d) of section 1370 of title 10, scribe by regulation criteria for determining (e) LENGTH OF SECOND JOINT TOUR.—Sec- United States Code, takes effect under sec- whether an officer may be granted credit tion 664 of such title is amended— tion 1691(b)(1) of the Reserve Officer Person- under paragraph (1) with respect to service (1) in subsection (e)(2), by inserting after nel Management Act (108 Stat. 3026). in a qualifying temporary joint task force subparagraph (B) the following: (f) PRESERVATION OF APPLICABILITY OF LIM- assignment. The criteria shall apply uni- ‘‘(C) Service described in subsection (f)(6), ITATION.—Section 1370(a)(2)(C) of title 10, formly among the armed forces and shall in- except that no more than 10 percent of all United States Code, is amended by striking clude the following requirements: joint duty assignments shown on the list out ‘‘The number of officers in an armed ‘‘(A) For an officer to be credited as having published pursuant to section 668(b)(2)(A) of force in a grade’’ and inserting in lieu there- completed a full tour of duty in a joint duty this title may be so excluded in any year.’’; of ‘‘In the case of a grade below the grade of assignment, the length of the officer’s serv- and lieutenant general or vice admiral, the num- ice in the qualifying temporary joint task (2) in subsection (f)— ber of members of one of the armed forces in force assignment must meet the require- (A) in the matter preceding paragraph (1), that grade’’. ments of subsection (a) or (c). by striking out ‘‘completion of—’’ and in- (g) STYLISTIC AMENDMENTS.—Section 1370 ‘‘(B) For an officer to be credited with serting in lieu thereof ‘‘completion of any of of title 10, United States Code, is further service for purposes of determining cumu- the following:’’; amended— lative service in joint duty assignments, the (B) by striking out ‘‘a’’ at the beginning of (1) in subsection (a), by striking out officer must serve at least 90 consecutive paragraphs (1), (2), (4), and (5) and inserting ‘‘(a)(1)’’ and inserting in lieu thereof ‘‘(a) days in the qualifying temporary joint task in lieu thereof ‘‘A’’; RULE FOR RETIREMENT IN HIGHEST GRADE force assignment. (C) by striking out ‘‘cumulative’’ in para- HELD SATISFACTORILY.—(1)’’; ‘‘(C) The service must be performed in sup- graph (3) and inserting in lieu thereof ‘‘Cu- (2) in subsection (b), by inserting ‘‘RETIRE- port of a mission that is directed by the mulative’’; MENT IN NEXT LOWER GRADE.—’’ after ‘‘(b)’’; President or that is assigned by the Presi- (D) by striking out the semicolon at the and dent to United States forces in the joint task end of paragraphs (1), (2), and (3) and ‘‘; or’’ (3) in subsection (d), as added effective Oc- force involved. at the end of paragraph (4) and inserting in tober 1, 1996, by section 1641 of the Reserve ‘‘(D) The joint task force must be con- lieu thereof a period; and Officer Personnel Management Act (title stituted or designated by the Secretary of (E) by adding at the end the following: XVI of Public Law 103–337; 108 Stat. 2968), by Defense or by the commander of a combatant ‘‘(6) A second joint duty assignment that is striking out ‘‘(d)(1)’’ and inserting in lieu command or of another force. less than the period required under sub- thereof ‘‘(d) RESERVE OFFICERS.—(1)’’. ‘‘(E) The joint task force must conduct section (a), but not less than two years, SEC. 503. WEARING OF INSIGNIA FOR HIGHER combat or combat-related operations in a without regard to whether a waiver was GRADE BEFORE PROMOTION. unified action under joint or multinational granted for such assignment under sub- (a) AUTHORITY AND LIMITATIONS.—(1) Chap- command and control. section (b).’’. ter 45 of title 10, United States Code, is H 384 CONGRESSIONAL RECORD — HOUSE January 22, 1996 amended by adding at the end the following for the grade of brigadier general or rear ad- United States Code, is amended by inserting new section: miral (lower half). after ‘‘The Surgeon General’’ the following: ‘‘§ 777. Wearing of insignia of higher grade be- SEC. 504. AUTHORITY TO EXTEND TRANSITION ‘‘may be appointed from officers in any corps fore promotion (frocking): authority; re- PERIOD FOR OFFICERS SELECTED of the Army Medical Department and’’. strictions FOR EARLY RETIREMENT. (b) SURGEON GENERAL OF THE NAVY.—Sec- (a) SELECTIVE RETIREMENT OF WARRANT OF- ‘‘(a) AUTHORITY.—An officer who has been tion 5137 of such title is amended— FICERS.—Section 581 of title 10, United States selected for promotion to the next higher (1) in the first sentence of subsection (a), Code, is amended by adding at the end the by striking out ‘‘in the Medical Corps’’ and grade may be authorized, under regulations following new subsection: and policies of the Department of Defense inserting in lieu thereof ‘‘in any corps of the ‘‘(e) The Secretary concerned may defer for Navy Medical Department’’; and and subject to subsection (b), to wear the in- not more than 90 days the retirement of an signia for that next higher grade. An officer (2) in subsection (b), by striking out ‘‘in officer otherwise approved for early retire- the Medical Corps’’ and inserting in lieu who is so authorized to wear the insignia of ment under this section in order to prevent the next higher grade is said to be ‘frocked’ thereof ‘‘who is qualified to be the Chief of a personal hardship to the officer or for the Bureau of Medicine and Surgery’’. to that grade. other humanitarian reasons. Any such defer- (c) SURGEON GENERAL OF THE AIR FORCE.— ‘‘(b) RESTRICTIONS.—An officer may not be ral shall be made on a case-by-case basis con- The first sentence of section 8036 of such authorized to wear the insignia for a grade sidering the circumstances of the case of the title is amended by striking out ‘‘designated as described in subsection (a) unless— particular officer concerned. The authority as medical officers under section 8067(a) of ‘‘(1) the Senate has given its advice and of the Secretary to grant such a deferral this title’’ and inserting in lieu thereof ‘‘in consent to the appointment of the officer to may not be delegated.’’. the Air Force medical department’’. that grade; and (b) SELECTIVE EARLY RETIREMENT OF AC- ‘‘(2) the officer is serving in, or has re- TIVE-DUTY OFFICERS.—Section 638(b) of title SEC. 507. DEPUTY JUDGE ADVOCATE GENERAL ceived orders to serve in, a position for 10, United States Code, is amended by adding OF THE AIR FORCE. which that grade is authorized. at the end the following new paragraph: (a) TENURE AND GRADE OF DEPUTY JUDGE ‘‘(c) BENEFITS NOT TO BE CONSTRUED AS ‘‘(3) The Secretary concerned may defer for ADVOCATE GENERAL.—Section 8037(d)(1) of ACCRUING.—(1) Authority provided to an offi- not more than 90 days the retirement of an such title is amended— cer as described in subsection (a) to wear the officer otherwise approved for early retire- (1) in the second sentence, by striking out insignia of the next higher grade may not be ment under this section or section 638a of ‘‘two years’’ and inserting in lieu thereof construed as conferring authority for that this title in order to prevent a personal hard- ‘‘four years’’; and officer to— ship to the officer or for other humanitarian (2) by striking out the last sentence and in- ‘‘(A) be paid the rate of pay provided for an reasons. Any such deferral shall be made on serting in lieu thereof the following: ‘‘An of- officer in that grade having the same number a case-by-case basis considering the cir- ficer appointed as Deputy Judge Advocate of years of service as that officer; or cumstances of the case of the particular offi- General who holds a lower regular grade ‘‘(B) assume any legal authority associated cer concerned. The authority of the Sec- shall be appointed in the regular grade of with that grade. retary to grant such a deferral may not be major general.’’. ‘‘(2) The period for which an officer wears delegated.’’. (b) EFFECTIVE DATE.—The amendments the insignia of the next higher grade under SEC. 505. ARMY OFFICER MANNING LEVELS. made by subsection (a) apply to any appoint- such authority may not be taken into ac- (a) IN GENERAL.—(1) Chapter 331 of title 10, ment to the position of Deputy Judge Advo- count for any of the following purposes: United States Code, is amended by inserting cate General of the Air Force that is made ‘‘(A) Seniority in that grade. after the table of sections the following new after the date of the enactment of this Act. ‘‘(B) Time of service in that grade. section: SEC. 508. AUTHORITY FOR TEMPORARY PRO- ‘‘(d) LIMITATION ON NUMBER OF OFFICERS ‘‘§ 3201. Officers on active duty: minimum MOTIONS FOR CERTAIN NAVY LIEU- FROCKED TO SPECIFIED GRADES.—(1) The total strength based on requirements TENANTS WITH CRITICAL SKILLS. number of colonels and Navy captains on the ‘‘(a) The Secretary of the Army shall en- (a) EXTENSION OF AUTHORITY.—Subsection active-duty list who are authorized as de- sure that (beginning with fiscal year 1999) (f) of section 5721 of title 10, United States scribed in subsection (a) to wear the insignia the strength at the end of each fiscal year of Code, is amended by striking out ‘‘Septem- for the grade of brigadier general or rear ad- officers on active duty is sufficient to enable ber 30, 1995’’ and inserting in lieu thereof miral (lower half), as the case may be, may the Army to meet at least that percentage of ‘‘September 30, 1996’’. not exceed the following: the programmed manpower structure for of- (b) LIMITATION.—Such section is further ‘‘(A) During fiscal years 1996 and 1997, 75. ficers for the active component of the Army amended— ‘‘(B) During fiscal year 1998, 55. that is provided for in the most recent De- (1) by redesignating subsection (f), as ‘‘(C) After fiscal year 1998, 35. fense Planning Guidance issued by the Sec- amended by subsection (a), as subsection (g); ‘‘(2) The number of officers of an armed and force on the active-duty list who are author- retary of Defense. ‘‘(b) The number of officers on active duty (2) by inserting after subsection (e) the fol- ized as described in subsection (a) to wear shall be counted for purposes of this section lowing new subsection (f): the insignia for a grade to which a limitation in the same manner as applies under section ‘‘(f) LIMITATION ON NUMBER OF ELIGIBLE PO- on total number applies under section 523(a) 115(a)(1) of this title. SITIONS.—(1) An appointment under this sec- of this title for a fiscal year may not exceed ‘‘(c) In this section: tion may only be made for service in a posi- 1 percent of the total number provided for ‘‘(1) The term ‘programmed manpower tion designated by the Secretary of the Navy the officers in that grade in that armed force structure’ means the aggregation of billets for purposes of this section. The number of in the administration of the limitation under describing the full manpower requirements positions so designated may not exceed 325. that section for that fiscal year.’’. for units and organizations in the pro- ‘‘(2) Whenever the Secretary makes a (2) The table of sections at the beginning of grammed force structure. change to the positions designated under such chapter is amended by adding at the ‘‘(2) The term ‘programmed force struc- paragraph (1), the Secretary shall submit no- end the following new item: ture’ means the set of units and organiza- tice of the change in writing to Congress.’’. ‘‘777. Wearing of insignia of higher grade be- tions that exist in the current year and that (c) REPORT.—Not later than April 1, 1996, fore promotion (frocking): au- is planned to exist in each future year under the Secretary of Defense shall submit to thority; restrictions.’’. the then-current Future-Years Defense Pro- Congress a report providing the Secretary’s (b) TEMPORARY VARIATION OF LIMITATIONS gram.’’. assessment of that continuing need for the ON NUMBERS OF FROCKED OFFICERS.—In the (2) The table of sections at the beginning of promotion authority under section 5721 of administration of section 777(d)(2) of title 10, such chapter is amended by inserting after title 10, United States Code. The Secretary United States Code (as added by subsection ‘‘Sec.’’ the following new item: shall include in the report the following: (a)), the percent limitation applied under ‘‘3201. Officers on active duty: minimum (1) The nature and grade structure of the that section for fiscal year 1996 shall be 2 strength based on require- positions for which such authority has been percent (instead of 1 percent). ments.’’. used. (c) REPORT.—Not later than September 1, (b) ASSISTANCE IN ACCOMPLISHING REQUIRE- (2) The cause or causes of the reported 1996, the Secretary of Defense shall submit MENT.—The Secretary of Defense shall pro- chronic shortages of qualified personnel in to Congress a report providing the assess- vide to the Army sufficient personnel and fi- the required grade to fill the positions speci- ment of the Secretary on the practice, nancial resources to enable the Army to fied under paragraph (1). known as ‘‘frocking’’, of authorizing an offi- meet the requirement specified in section (3) The reasons for the perceived inad- cer who has been selected for promotion to 3201 of title 10, United States Code, as added equacy of the officer promotion system (in- the next higher grade to wear the insignia by subsection (a). cluding ‘‘below-the-zone’’ selections) to pro- for that next higher grade. The report shall SEC. 506. AUTHORITY FOR MEDICAL DEPART- vide sufficient officers in the required grade include the Secretary’s assessment of the ap- MENT OFFICERS OTHER THAN PHY- to fill those positions. propriate number, if any, of colonels and SICIANS TO BE APPOINTED AS SUR- (4) The extent to which a bonus program or Navy captains to be eligible under section GEON GENERAL. some other program would be a more appro- 777(d)(1) of title 10, United States Code (as (a) SURGEON GENERAL OF THE ARMY.—The priate means of resolving the reported chron- added by subsection (a)), to wear the insignia third sentence of section 3036(b) of title 10, ic shortages in engineering positions. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 385

(d) CLERICAL AMENDMENTS.—Section 5721 of tions 3359(b) and 8359(b) of title 10, United such rules, procedures, and policies as the title 10, United States Code, is amended as States Code, are each amended by striking Secretary considers necessary or appropriate follows: out ‘‘September 30, 1995’’ and inserting in to carry out the insurance program. (1) Subsection (a) is amended by inserting lieu thereof ‘‘September 30, 1996’’. ‘‘(c) AGREEMENT WITH SECRETARY OF ‘‘PROMOTION AUTHORITY FOR CERTAIN OFFICER (b) PROMOTION AUTHORITY FOR CERTAIN RE- TRANSPORTATION.—The Secretary and the WITH CRITICAL SKILLS.—’’ after ‘‘(a)’’. SERVE OFFICERS SERVING ON ACTIVE DUTY.— Secretary of Transportation shall enter into (2) Subsection (b) is amended by inserting Sections 3380(d) and 8380(d) of title 10, United an agreement with respect to the adminis- ‘‘STATUS OF OFFICERS APPOINTED.—’’ after States Code, are each amended by striking tration of the insurance program for the ‘‘(b)’’. out ‘‘September 30, 1995’’ and inserting in Coast Guard Reserve. (3) Subsection (c) is amended by inserting lieu thereof ‘‘September 30, 1996’’. ‘‘§ 12523. Risk insured ‘‘BOARD RECOMMENDATION REQUIRED.—’’ after (c) YEARS OF SERVICE FOR MANDATORY ‘‘(a) IN GENERAL.—The insurance program ‘‘(c)’’. TRANSFER TO THE RETIRED RESERVE.—Sec- shall insure members of the Ready Reserve (4) Subsection (d) is amended by inserting tion 1016(d) of the Department of Defense Au- against the risk of being ordered into cov- ‘‘ACCEPTANCE AND EFFECTIVE DATE OF AP- thorization Act, 1984 (10 U.S.C. 3360) is ered service. POINTMENT.—’’ after ‘‘(d)’’. amended by striking out ‘‘September 30, ‘‘(b) ENTITLEMENT TO BENEFITS.—(1) An in- (5) Subsection (e) is amended by inserting 1995’’ and inserting in lieu thereof ‘‘Septem- sured member ordered into covered service ‘‘TERMINATION OF APPOINTMENT.—’’ after ber 30, 1996’’. shall be entitled to payment of a benefit for ‘‘(e)’’. SEC. 512. MOBILIZATION INCOME INSURANCE each month (and fraction thereof) of covered (6) Subsection (g), as redesignated by sub- PROGRAM FOR MEMBERS OF READY service that exceeds 30 days of covered serv- section (b)(1), is amended by inserting ‘‘TER- RESERVE. ice, except that no member may be paid MINATION OF APPOINTMENT AUTHORITY.—’’ (a) ESTABLISHMENT OF PROGRAM.—(1) Sub- under the insurance program for more than after ‘‘(g)’’. title E of title 10, United States Code, is 12 months of covered service served during (e) EFFECTIVE DATE.—Subsection (f) of sec- amended by inserting after chapter 1213 the any period of 18 consecutive months. tion 5721 of title 10, United States Code, as following new chapter: ‘‘(2) Payment shall be based solely on the insured status of a member and on the period added by subsection (b)(2), shall take effect ‘‘CHAPTER 1214—READY RESERVE at the end of the 30-day period beginning on of covered service served by the member. MOBILIZATION INCOME INSURANCE the date of the enactment of this Act and Proof of loss of income or of expenses in- shall apply to any appointment under that ‘‘Sec. curred as a result of covered service may not section after the end of such period. ‘‘12521. Definitions. be required. ‘‘12522. Establishment of insurance program. SEC. 509. RETIREMENT FOR YEARS OF SERVICE ‘‘§ 12524. Enrollment and election of benefits OF DIRECTORS OF ADMISSIONS OF ‘‘12523. Risk insured. ‘‘12524. Enrollment and election of benefits. ‘‘(a) ENROLLMENT.—(1) Except as provided MILITARY AND AIR FORCE ACAD- in subsection (f), upon first becoming a mem- EMIES. ‘‘12525. Benefit amounts. ber of the Ready Reserve, a member shall be (a) MILITARY ACADEMY.—(1) Section 3920 of ‘‘12526. Premiums. title 10, United States Code, is amended to ‘‘12527. Payment of premiums. automatically enrolled for coverage under read as follows: ‘‘12528. Reserve Mobilization Income Insur- the insurance program. An automatic enroll- ment of a member shall be void if within 60 ‘‘§ 3920. More than thirty years: permanent ance Fund. ‘‘12529. Board of Actuaries. days after first becoming a member of the professors and the Director of Admissions Ready Reserve the member declines insur- of the United States Military Academy ‘‘12530. Payment of benefits. ‘‘12531. Purchase of insurance. ance under the program in accordance with ‘‘(a) The Secretary of the Army may retire the regulations prescribed by the Secretary. an officer specified in subsection (b) who has ‘‘12532. Termination for nonpayment of pre- miums; forfeiture. ‘‘(2) Promptly after the insurance program more than 30 years of service as a commis- is established, the Secretary shall offer to sioned officer. ‘‘§ 12521. Definitions members of the reserve components who are ‘‘(b) Subsection (a) applies in the case of ‘‘In this chapter: then members of the Ready Reserve (other the following officers: ‘‘(1) The term ‘insurance program’ means than members ineligible under subsection ‘‘(1) Any permanent professor of the United the Ready Reserve Mobilization Income In- (f)) an opportunity to enroll for coverage States Military Academy. surance Program established under section under the insurance program. A member who ‘‘(2) The Director of Admissions of the 12522 of this title. fails to enroll within 60 days after being of- United States Military Academy.’’. ‘‘(2) The term ‘covered service’ means ac- fered the opportunity shall be considered as (2) The item relating to such section in the tive duty performed by a member of a re- having declined to be insured under the pro- table of sections at the beginning of chapter serve component under an order to active gram. 367 of such title is amended to read as fol- duty for a period of more than 30 days which ‘‘(3) A member of the Ready Reserve ineli- lows: specifies that the member’s service— gible to enroll under subsection (f) shall be ‘‘3920. More than thirty years: permanent ‘‘(A) is in support of an operational mis- afforded an opportunity to enroll upon being professors and the Director of sion for which members of the reserve com- released from active duty in accordance with Admissions of the United ponents have been ordered to active duty regulations prescribed by the Secretary if States Military Academy.’’. without their consent; or the member has not previously had the op- (b) AIR FORCE ACADEMY.—(1) Section 8920 ‘‘(B) is in support of forces activated dur- portunity to be enrolled under paragraph (1) of title 10, United States Code, is amended to ing a period of war declared by Congress or or (2). A member who fails to enroll within 60 read as follows: a period of national emergency declared by days after being afforded that opportunity ‘‘§ 8920. More than thirty years: permanent the President or Congress. shall be considered as having declined to be professors and the Director of Admissions ‘‘(3) The term ‘insured member’ means a insured under the program. of the United States Air Force Academy member of the Ready Reserve who is en- ‘‘(b) ELECTION OF BENEFIT AMOUNT.—The ‘‘(a) The Secretary of the Air Force may rolled for coverage under the insurance pro- amount of a member’s monthly benefit under retire an officer specified in subsection (b) gram in accordance with section 12524 of this an enrollment shall be the basic benefit who has more than 30 years of service as a title. under subsection (a) of section 12525 of this commissioned officer. ‘‘(4) The term ‘Secretary’ means the Sec- title unless the member elects a different ‘‘(b) Subsection (a) applies in the case of retary of Defense. benefit under subsection (b) of such section the following officers: ‘‘(5) The term ‘Department’ means the De- within 60 days after first becoming a member ‘‘(1) Any permanent professor of the United partment of Defense. of the Ready Reserve or within 60 days after States Air Force Academy. ‘‘(6) The term ‘Board of Actuaries’ means being offered the opportunity to enroll, as ‘‘(2) The Director of Admissions of the the Department of Defense Education Bene- the case may be. United States Air Force Academy.’’. fits Board of Actuaries referred to in section ‘‘(c) ELECTIONS IRREVOCABLE.—(1) An elec- (2) The item relating to such section in the 2006(e)(1) of this title. tion to decline insurance pursuant to para- table of sections at the beginning of chapter ‘‘(7) The term ‘Fund’ means the Reserve graph (1) or (2) of subsection (a) is irrev- 867 of such title is amended to read as fol- Mobilization Income Insurance Fund estab- ocable. lows: lished by section 12528(a) of this title. ‘‘(2) The amount of coverage may not be ‘‘8920. More than thirty years: permanent increased after enrollment. ‘‘§ 12522. Establishment of insurance program ‘‘(d) ELECTION TO TERMINATE.—A member professors and the Director of ‘‘(a) ESTABLISHMENT.—The Secretary shall may terminate an enrollment at any time. Admissions of the United establish for members of the Ready Reserve ‘‘(e) INFORMATION TO BE FURNISHED.—The States Air Force Academy.’’. (including the Coast Guard Reserve) an in- Secretary shall ensure that members re- Subtitle B—Matters Relating to Reserve surance program to be known as the ‘Ready ferred to in subsection (a) are given a writ- Components Reserve Mobilization Income Insurance Pro- ten explanation of the insurance program SEC. 511. EXTENSION OF CERTAIN RESERVE OF- gram’. and are advised that they have the right to FICER MANAGEMENT AUTHORITIES. ‘‘(b) ADMINISTRATION.—The insurance pro- decline to be insured and, if not declined, to (a) GRADE DETERMINATION AUTHORITY FOR gram shall be administered by the Secretary. elect coverage for a reduced benefit or an en- CERTAIN RESERVE MEDICAL OFFICERS.—Sec- The Secretary may prescribe in regulations hanced benefit under subsection (b). H 386 CONGRESSIONAL RECORD — HOUSE January 22, 1996

‘‘(f) MEMBERS INELIGIBLE TO ENROLL.— ter. The advance may be paid out of appro- and such change in benefits increases or de- Members of the Ready Reserve serving on ac- priations for military pay. An advance to a creases the present value of amounts payable tive duty (or full-time National Guard duty) member shall be collected from the member from the Fund, the Board of Actuaries shall are not eligible to enroll for coverage under either by deducting and withholding the determine a premium rate methodology, and the insurance program. The Secretary may amount from basic pay payable for the mem- recommend to the Secretary a premium define any additional category of members of ber or by collecting it from the member di- schedule, for the liquidation of any liability the Ready Reserve to be excluded from eligi- rectly. No disbursing or certifying officer (or actuarial gain to the Fund) resulting bility to purchase insurance under this chap- shall be responsible for any loss resulting from such change and any previous such ter. from an advance under this subsection. changes so that the present value of the sum ‘‘§ 12525. Benefit amounts ‘‘(c) PREMIUMS TO BE DEPOSITED IN FUND.— of the scheduled premium payments (or re- Premium amounts deducted and withheld duction in payments that would otherwise be ‘‘(a) BASIC BENEFIT.—The basic benefit for from the pay of insured members and pre- made) equals the cumulative increase (or de- an insured member under the insurance pro- mium amounts paid directly to the Sec- crease) in the present value of such benefits. gram is $1,000 per month (as adjusted under retary shall be credited monthly to the ‘‘(d) ACTUARIAL GAINS OR LOSSES.—If at the subsection (d)). Fund. time of any such valuation the Board of Ac- ‘‘(b) REDUCED AND ENHANCED BENEFITS.— tuaries determines that there has been an Under the regulations prescribed by the Sec- ‘‘§ 12528. Reserve Mobilization Income Insur- actuarial gain or loss to the Fund as a result retary, a person enrolled for coverage under ance Fund of changes in actuarial assumptions since the insurance program may elect— ‘‘(a) ESTABLISHMENT.—There is established the last valuation or as a result of any dif- ‘‘(1) a reduced coverage benefit equal to on the books of the Treasury a fund to be ferences, between actual and expected expe- one-half the amount of the basic benefit; or known as the ‘Reserve Mobilization Income rience since the last valuation, the Board ‘‘(2) an enhanced benefit in the amount of Insurance Fund’, which shall be adminis- shall recommend to the Secretary a pre- $1,500, $2,000, $2,500, $3,000, $3,500, $4,000, tered by the Secretary of the Treasury. The mium rate schedule for the amortization of $4,500, or $5,000 per month (as adjusted under Fund shall be used for the accumulation of the cumulative gain or loss to the Fund re- subsection (d)). funds in order to finance the liabilities of the sulting from such changes in assumptions ‘‘(c) AMOUNT FOR PARTIAL MONTH.—The insurance program on an actuarially sound amount of insurance payable to an insured basis. and any previous such changes in assump- member for any period of covered service ‘‘(b) ASSETS OF FUND.—There shall be de- tions or from the differences in actual and that is less than one month shall be deter- posited into the Fund the following: expected experience, respectively, through an increase or decrease in the payments that mined by multiplying 1⁄30 of the monthly ben- ‘‘(1) Premiums paid under section 12527 of efit rate for the member by the number of this title. would otherwise be made to the Fund. ‘‘(e) INSUFFICIENT ASSETS.—If at any time days of the covered service served by the ‘‘(2) Any amount appropriated to the Fund. liabilities of the Fund exceed assets of the member during such period. ‘‘(3) Any return on investment of the assets Fund as a result of members of the Ready ‘‘(d) ADJUSTMENT OF AMOUNTS.—(1) The of the Fund. Reserve being ordered to active duty as de- Secretary shall determine annually the ef- ‘‘(c) AVAILABILITY.—Amounts in the Fund scribed in section 12521(2) of this title, and fect of inflation on benefits and shall adjust shall be available for paying insurance bene- funds are unavailable to pay benefits com- the amounts set forth in subsections (a) and fits under the insurance program. pletely, the Secretary shall request the (b)(2) to maintain the constant dollar value ‘‘(d) INVESTMENT OF ASSETS OF FUND.—The President to submit to Congress a request of the benefit. Secretary of the Treasury shall invest such ‘‘(2) If the amount of a benefit as adjusted portion of the Fund as is not in the judgment for a special appropriation to cover the un- under paragraph (1) is not evenly divisible by of the Secretary of Defense required to meet funded liability. If appropriations are not $10, the amount shall be rounded to the near- current liabilities. Such investments shall be made to cover an unfunded liability in any est multiple of $10, except that an amount in public debt securities with maturities fiscal year, the Secretary shall reduce the evenly divisible by $5 but not by $10 shall be suitable to the needs of the Fund, as deter- amount of the benefits paid under the insur- rounded to the next lower amount that is mined by the Secretary of Defense, and bear- ance program to a total amount that does evenly divisible by $10. ing interest at rates determined by the Sec- not exceed the assets of the Fund expected to retary of the Treasury, taking into consider- accrue by the end of such fiscal year. Bene- ‘‘§ 12526. Premiums ation current market yields on outstanding fits that cannot be paid because of such a re- ‘‘(a) ESTABLISHMENT OF RATES.—(1) The marketable obligations of the United States duction shall be deferred and may be paid Secretary, in consultation with the Board of of comparable maturities. The income on only after and to the extent that additional Actuaries, shall prescribe the premium rates such investments shall be credited to the funds become available. for insurance under the insurance program. Fund. ‘‘(f) DEFINITION OF PRESENT VALUE.—The ‘‘(2) The Secretary shall prescribe a fixed ‘‘(e) ANNUAL ACCOUNTING.—At the begin- Board of Actuaries shall define the term premium rate for each $1,000 of monthly in- ning of each fiscal year, the Secretary, in ‘present value’ for purposes of this sub- surance benefit. The premium amount shall consultation with the Board of Actuaries and section. be equal to the share of the cost attributable the Secretary of the Treasury, shall deter- ‘‘§ 12530. Payment of benefits to insuring the member and shall be the mine the following: ‘‘(a) COMMENCEMENT OF PAYMENT.—An in- same for all members of the Ready Reserve ‘‘(1) The projected amount of the premiums sured member who serves in excess of 30 days who are insured under the insurance pro- to be collected, investment earnings to be re- of covered service shall be paid the amount gram for the same benefit amount. The Sec- ceived, and any transfers or appropriations to which such member is entitled on a retary shall prescribe the rate on the basis of to be made for the Fund for that fiscal year. monthly basis beginning not later than one the best available estimate of risk and finan- ‘‘(2) The amount for that fiscal year of any month after the 30th day of covered service. cial exposure, levels of subscription by mem- cumulative unfunded liability (including any ‘‘(b) METHOD OF PAYMENT.—The Secretary bers, and other relevant factors. negative amount or any gain to the Fund) shall prescribe in the regulations the manner ‘‘(b) LEVEL PREMIUMS.—The premium rate resulting from payments of benefits. in which payments shall be made to the prescribed for the first year of insurance cov- ‘‘(3) The amount for that fiscal year (in- member or to a person designated in accord- erage of an insured member shall be contin- cluding any negative amount) of any cumu- ance with subsection (c). ued without change for subsequent years of lative actuarial gain or loss to the Fund. ‘‘(c) DESIGNATED RECIPIENTS.—(1) A mem- insurance coverage, except that the Sec- ‘‘§ 12529. Board of Actuaries ber may designate in writing another person retary, after consultation with the Board of (including a spouse, parent, or other person Actuaries, may adjust the premium rate in ‘‘(a) ACTUARIAL RESPONSIBILITY.—The with an insurable interest, as determined in order to fund inflation-adjusted benefit in- Board of Actuaries shall have the actuarial accordance with the regulations prescribed creases on an actuarially sound basis. responsibility for the insurance program. ‘‘(b) VALUATIONS AND PREMIUM REC- by the Secretary) to receive payments of in- ‘‘§ 12527. Payment of premiums OMMENDATIONS.—The Board of Actuaries surance benefits under the insurance pro- ‘‘(a) METHODS OF PAYMENT.—(1) The shall carry out periodic actuarial valuations gram. monthly premium for coverage of a member of the benefits under the insurance program ‘‘(2) A member may direct that payments under the insurance program shall be de- and determine a premium rate methodology of insurance benefits for a person designated ducted and withheld from the insured mem- for the Secretary to use in setting premium under paragraph (1) be deposited with a bank ber’s pay for each month. rates for the insurance program. The Board or other financial institution to the credit of ‘‘(2) An insured member who does not re- shall conduct the first valuation and deter- the designated person. ceive pay on a monthly basis shall pay the mine a premium rate methodology not later ‘‘(d) RECIPIENTS IN EVENT OF DEATH OF IN- Secretary directly the premium amount ap- than six months after the insurance program SURED MEMBER.—Any insurance payable plicable for the level of benefits for which is established. under the insurance program on account of a the member is insured. ‘‘(c) EFFECTS OF CHANGED BENEFITS.—If at deceased member’s period of covered service ‘‘(b) ADVANCE PAY FOR PREMIUM.—The Sec- the time of any actuarial valuation under shall be paid, upon the establishment of a retary concerned may advance to an insured subsection (b) there has been a change in valid claim, to the beneficiary or bene- member the amount equal to the first insur- benefits under the insurance program that ficiaries which the deceased member des- ance premium payment due under this chap- has been made since the last such valuation ignated in writing. If no such designation January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 387 has been made, the amount shall be payable SEC. 513. MILITARY TECHNICIAN FULL-TIME maintain membership in the Selected Re- in accordance with the laws of the State of SUPPORT PROGRAM FOR ARMY AND serve (so as to be a so-called ‘dual-status’ the member’s domicile. AIR FORCE RESERVE COMPONENTS. technician) and shall require that the civil- (a) REQUIREMENT OF ANNUAL AUTHORIZA- ‘‘§ 12531. Purchase of insurance ian and military position skill requirements TION OF END STRENGTH.—(1) Section 115 of ‘‘(a) PURCHASE AUTHORIZED.—The Sec- of dual-status military technicians be com- title 10, United States Code, is amended by retary may, instead of or in addition to un- patible. No Department of Defense funds adding at the end the following new sub- derwriting the insurance program through may be spent for compensation for any mili- section: the Fund, purchase from one or more insur- tary technician hired after the date of the ‘‘(g) Congress shall authorize for each fis- ance companies a policy or policies of group enactment of this section who is not a mem- cal year the end strength for military tech- insurance in order to provide the benefits re- ber of the Selected Reserve, except that com- nicians for each reserve component of the quired under this chapter. The Secretary pensation may be paid for up to six months Army and Air Force. Funds available to the may waive any requirement for full and open following loss of membership in the Selected Department of Defense for any fiscal year competition in order to purchase an insur- Reserve if such loss of membership was not may not be used for the pay of a military ance policy under this subsection. due to the failure to meet military stand- technician during that fiscal year unless the ‘‘(b) ELIGIBLE INSURERS.—In order to be eli- ards.’’. technician fills a position that is within the gible to sell insurance to the Secretary for (2) The table of sections at the beginning of number of such positions authorized by law purposes of subsection (a), an insurance com- such chapter is amended by adding at the for that fiscal year for the reserve compo- pany shall— end the following new item: nent of that technician. This subsection ap- ‘‘(1) be licensed to issue insurance in each ‘‘10216. Military technicians.’’. plies without regard to section 129 of this of the 50 States and in the District of Colum- title.’’. (d) REVIEW OF RESERVE COMPONENT MAN- bia; and (2) The amendment made by paragraph (1) AGEMENT HEADQUARTERS.—(1) The Secretary ‘‘(2) as of the most recent December 31 for does not apply with respect to fiscal year of Defense shall, within six months after the which information is available to the Sec- 1995. date of the enactment of this Act, undertake retary, have in effect at least one percent of (b) AUTHORIZATION FOR FISCAL YEARS 1996 steps to reduce, consolidate, and streamline the total amount of insurance that all such AND 1997.—For each of fiscal years 1996 and management headquarters operations of the insurance companies have in effect in the 1997, the minimum number of military tech- reserve components. As part of those steps, United States. nicians, as of the last day of that fiscal year, the Secretary shall identify those military ‘‘(c) ADMINISTRATIVE PROVISIONS.—(1) An technicians positions in such headquarters insurance company that issues a policy for for the Army and the Air Force (notwith- standing section 129 of title 10, United States operations that are excess to the require- purposes of subsection (a) shall establish an ments of those headquarters. administrative office at a place and under a Code) shall be the following: (1) Army National Guard, 25,500. (2) Of the military technicians positions name designated by the Secretary. that are identified under paragraph (1), the ‘‘(2) For the purposes of carrying out this (2) Army Reserve, 6,630. Secretary shall reallocate up to 95 percent of chapter, the Secretary may use the facilities (3) Air National Guard, 22,906. the annual funding required to support those and services of any insurance company issu- (4) Air Force Reserve, 9,802. positions for the purpose of creating new po- ing any policy for purposes of subsection (a), (c) ADMINISTRATION OF MILITARY TECHNI- sitions or filling existing positions in the may designate one such company as the rep- CIAN PROGRAM.—(1) Chapter 1007 of title 10, high-priority units and activities specified in resentative of the other companies for such United States Code, is amended by adding at section 10216(a) of title 10, United States purposes, and may contract to pay a reason- the end the following new section: Code, as added by subsection (c). able fee to the designated company for its ‘‘§ 10216. Military technicians (e) ANNUAL DEFENSE MANPOWER REQUIRE- services. ‘‘(a) PRIORITY FOR MANAGEMENT OF MILI- MENTS REPORT.—Section 115a of title 10, ‘‘(d) REINSURANCE.—The Secretary shall ar- TARY TECHNICIANS.—(1) As a basis for making United States Code, is amended by adding at range with each insurance company issuing the annual request to Congress pursuant to any policy for purposes of subsection (a) to the end the following new subsection: section 115 of this title for authorization of ‘‘(h) In each such report, the Secretary reinsure, under conditions approved by the end strengths for military technicians of the Secretary, portions of the total amount of shall include a separate report on the Army Army and Air Force reserve components, the and Air Force military technician programs. the insurance under such policy or policies Secretary of Defense shall give priority to with such other insurance companies (which The report shall include a presentation, supporting authorizations for dual status shown by reserve component and shown both meet qualifying criteria prescribed by the military technicians in the following high- Secretary) as may elect to participate in as of the end of the preceding fiscal year and priority units and organizations: for the next fiscal year, of the following: such reinsurance. ‘‘(A) Units of the Selected Reserve that are ‘‘(e) TERMINATION.—The Secretary may at ‘‘(1) The number of military technicians re- scheduled to deploy no later than 90 days any time terminate any policy purchased quired to be employed (as specified in ac- after mobilization. under this section. cordance with Department of Defense proce- ‘‘(B) Units of the Selected Reserve that are dures), the number authorized to be em- ‘‘§ 12532. Termination for nonpayment of pre- or will deploy to relieve active duty peace- ployed under Department of Defense person- miums; forfeiture time operations tempo. nel procedures, and the number actually em- ‘‘(a) TERMINATION FOR NONPAYMENT.—The ‘‘(C) Those organizations with the primary ployed. coverage of a member under the insurance mission of providing direct support surface ‘‘(2) Within each of the numbers under program shall terminate without prior no- and aviation maintenance for the reserve paragraph (1)— tice upon a failure of the member to make components of the Army and Air Force, to ‘‘(A) the number applicable to a reserve required monthly payments of premiums for the extent that the military technicians in component management headquarter organi- two consecutive months. The Secretary may such units would mobilize and deploy in a zation; and provide in the regulations for reinstatement skill that is compatible with their civilian ‘‘(B) the number applicable to high-prior- of insurance coverage terminated under this position skill. ity units and organizations (as specified in subsection. ‘‘(2) For each fiscal year, the Secretary of section 10216(a) of this title). ‘‘(b) FORFEITURE.—Any person convicted of Defense shall, for the high-priority units and ‘‘(3) Within each of the numbers under mutiny, treason, spying, or desertion, or who organizations referred to in paragraph (1), paragraph (1), the numbers of military tech- refuses to perform service in the armed seek to achieve a programmed manning level nicians who are not themselves members of a forces or refuses to wear the uniform of any for military technicians that is not less than reserve component (so-called ‘single-status’ of the armed forces shall forfeit all rights to 90 percent of the programmed manpower technicians), with a further display of such insurance under this chapter.’’. structure for those units and organizations numbers as specified in paragraph (2).’’. (2) The tables of chapters at the beginning for military technicians for that fiscal year. SEC. 514. REVISIONS TO ARMY GUARD COMBAT of subtitle E, and at the beginning of part II ‘‘(3) Military technician authorizations and of subtitle E, of title 10, United States Code, REFORM INITIATIVE TO INCLUDE personnel in high-priority units and organi- ARMY RESERVE UNDER CERTAIN are amended by inserting after the item re- zations specified in paragraph (1) shall be ex- PROVISIONS AND MAKE CERTAIN lating to chapter 1213 the following new empt from any requirement (imposed by law REVISIONS. item: or otherwise) for reductions in Department (a) PRIOR ACTIVE DUTY PERSONNEL.—Sec- ‘‘1214. Ready Reserve Mobilization In- of Defense civilian personnel and shall only tion 1111 of the Army National Guard Com- come Insurance ...... 12521’’. be reduced as part of military force structure bat Readiness Reform Act of 1992 (title XI of (b) EFFECTIVE DATE.—The insurance pro- reductions. Public Law 102–484) is amended— gram provided for in chapter 1214 of title 10, ‘‘(b) DUAL-STATUS REQUIREMENT.—The Sec- (1) in the section heading, by striking out United States Code, as added by subsection retary of Defense shall require the Secretary the first three words; (a), and the requirement for deductions and of the Army and the Secretary of the Air (2) by striking out subsections (a) and (b) contributions for that program shall take ef- Force to establish as a condition of employ- and inserting in lieu thereof the following: fect on September 30, 1996, or on any earlier ment for each individual who is hired after ‘‘(a) ADDITIONAL PRIOR ACTIVE DUTY OFFI- date declared by the Secretary and published the date of the enactment of this section as CERS.—The Secretary of the Army shall in- in the Federal Register. a military technician that the individual crease the number of qualified prior active- H 388 CONGRESSIONAL RECORD — HOUSE January 22, 1996 duty officers in the Army National Guard by determined by the Secretary) is essential for SEC. 522. AUTHORITY TO AWARD DECORATIONS providing a program that permits the separa- the execution of the National Military Strat- RECOGNIZING ACTS OF VALOR PER- tion of officers on active duty with at least egy be associated with an active-duty com- FORMED IN COMBAT DURING THE two, but less than three, years of active serv- bat unit; and VIETNAM CONFLICT. (a) FINDINGS.—Congress makes the follow- ice upon condition that the officer is accept- ‘‘(2) that combat support and combat serv- ing findings: ed for appointment in the Army National ice support units of the Army Selected Re- (1) The Ia Drang Valley (Pleiku) campaign, Guard. The Secretary shall have a goal of serve that (as determined by the Secretary) carried out by the Armed Forces in the Ia having not fewer than 150 officers become are essential for the execution of the Na- Drang Valley of Vietnam from October 23, members of the Army National Guard each tional Military Strategy be associated with 1965, to November 26, 1965, is illustrative of year under this section. active-duty units.’’. the many battles during the Vietnam con- ‘‘(b) ADDITIONAL PRIOR ACTIVE DUTY EN- (b) RESPONSIBILITIES.—Subsection (b) of flict which pitted forces of the United States LISTED MEMBERS.—The Secretary of the such section is amended— Army shall increase the number of qualified against North Vietnamese Army regulars (1) by striking out ‘‘National Guard com- and Viet Cong in vicious fighting. prior active-duty enlisted members in the bat unit’’ in the matter preceding paragraph Army National Guard through the use of en- (2) Accounts of those battles that have (1) and inserting in lieu thereof ‘‘National been published since the end of that conflict listments as described in section 8020 of the Guard unit or Army Selected Reserve unit Department of Defense Appropriations Act, authoritatively document numerous and re- that (as determined by the Secretary under peated acts of extraordinary heroism, sac- 1994 (Public Law 103–139). The Secretary subsection (a)) is essential for the execution shall enlist not fewer than 1,000 new enlisted rifice, and bravery on the part of members of of the National Military Strategy’’; and the Armed Forces, many of which have never members each year under enlistments de- (2) by striking out ‘‘of the National Guard scribed in that section.’’; and been officially recognized. unit’’ in paragraphs (1), (2), (3), and (4) and (3) In some of those battles, United States (3) by striking out subsections (d) and (e). inserting in lieu thereof ‘‘of that unit’’. (b) SERVICE IN THE SELECTED RESERVE IN military units suffered substantial losses, LIEU OF ACTIVE DUTY SERVICE FOR ROTC SEC. 516. LEAVE FOR MEMBERS OF RESERVE with some units sustaining casualties in ex- COMPONENTS PERFORMING PUBLIC GRADUATES.—Section 1112(b) of such Act (106 cess of 50 percent. SAFETY DUTY. Stat. 2537) is amended by striking out ‘‘Na- (4) The incidence of heavy casualties tional Guard’’ before the period at the end (a) ELECTION OF LEAVE TO BE CHARGED.— throughout the Vietnam conflict inhibited and inserting in lieu thereof ‘‘Selected Re- Subsection (b) of section 6323 of title 5, Unit- the timely collection of comprehensive and serve’’. ed States Code, is amended by adding at the detailed information to support rec- (c) REVIEW OF OFFICER PROMOTIONS.—Sec- end the following: ‘‘Upon the request of an ommendations for awards recognizing acts of tion 1113 of such Act (106 Stat. 2537) is employee, the period for which an employee heroism, sacrifice, and bravery. amended— is absent to perform service described in (5) Subsequent requests to the Secretaries (1) in subsection (a), by striking out ‘‘Na- paragraph (2) may be charged to the employ- of the military departments for review of tional Guard’’ both places it appears and in- ee’s accrued annual leave or to compen- award recommendations for such acts have serting in lieu thereof ‘‘Selected Reserve’’; satory time available to the employee in- been denied because of restrictions in law and stead of being charged as leave to which the and regulations that require timely filing of (2) by striking out subsection (b) and in- employee is entitled under this subsection. such recommendations and documented jus- serting in lieu thereof the following: The period of absence may not be charged to tification. ‘‘(b) COVERAGE OF SELECTED RESERVE COM- sick leave.’’. (6) Acts of heroism, sacrifice, and bravery BAT AND EARLY DEPLOYING UNITS.—(1) Sub- (b) PAY FOR PERIOD OF ABSENCE.—Section performed in combat by members of the section (a) applies to officers in all units of 5519 of such title is amended by striking out Armed Forces deserve appropriate and time- the Selected Reserve that are designated as ‘‘entitled to leave’’ and inserting in lieu ly recognition by the people of the United combat units or that are designated for de- thereof ‘‘granted military leave’’. States. ployment within 75 days of mobilization. (7) It is appropriate to recognize acts of SEC. 517. DEPARTMENT OF DEFENSE FUNDING heroism, sacrifice, or bravery that are belat- ‘‘(2) Subsection (a) shall take effect with FOR NATIONAL GUARD PARTICIPA- respect to officers of the Army Reserve, and TION IN JOINT DISASTER AND EMER- edly, but properly, documented by persons with respect to officers of the Army National GENCY ASSISTANCE EXERCISES. who witnessed those acts. (b) WAIVER OF TIME LIMITATIONS FOR REC- Guard in units not subject to subsection (a) Section 503(a) of title 32, United States OMMENDATIONS FOR AWARDS.—(1) Any decora- as of the date of the enactment of the Na- Code, is amended— tional Defense Authorization Act for Fiscal tion covered by paragraph (2) may be award- (1) by inserting ‘‘(1)’’ after ‘‘(a)’’; and ed, without regard to any time limit imposed Year 1996, at the end of the 90-day period be- (2) by adding at the end the following: ginning on such date of enactment.’’. by law or regulation for a recommendation ‘‘(2) Paragraph (1) includes authority to (d) INITIAL ENTRY TRAINING AND for such award to any person for actions by provide for participation of the National NONDEPLOYABLE PERSONNEL.—Section 1115 of that person in the Southeast Asia theater of such Act (106 Stat. 2538) is amended— Guard in conjunction with the Army or the operations while serving on active duty dur- (1) in subsections (a) and (b), by striking Air Force, or both, in joint exercises for in- ing the Vietnam era. The waiver of time lim- out ‘‘National Guard’’ each place it appears struction to prepare the National Guard for itations under this paragraph applies only in and inserting in lieu thereof ‘‘Selected Re- response to civil emergencies and disas- the case of awards for acts of valor for which serve’’; and ters.’’. a request for consideration is submitted (2) in subsection (c)— under subsection (c). Subtitle C—Decorations and Awards (2) Paragraph (1) applies to any decoration (A) by striking out ‘‘a member of the Army SEC. 521. AWARD OF PURPLE HEART TO PER- (including any device in lieu of a decoration) National Guard enters the National Guard’’ SONS WOUNDED WHILE HELD AS that, during or after the Vietnam era and be- and inserting in lieu thereof ‘‘a member of PRISONERS OF WAR BEFORE APRIL fore the date of the enactment of this Act, the Army Selected Reserve enters the Army 25, 1962. was authorized by law or under regulations Selected Reserve’’; and (a) AWARD OF PURPLE HEART.—For pur- of the Department of Defense or the military (B) by striking out ‘‘from the Army Na- poses of the award of the Purple Heart, the department concerned to be awarded to tional Guard’’. Secretary concerned (as defined in section members of the Armed Forces for acts of (e) ACCOUNTING OF MEMBERS WHO FAIL 101 of title 10, United States Code) shall treat valor. PHYSICAL DEPLOYABILITY STANDARDS.—Sec- a former prisoner of war who was wounded (c) REVIEW OF REQUESTS FOR CONSIDER- tion 1116 of such Act (106 Stat. 2539) is before April 25, 1962, while held as a prisoner ATION OF AWARDS.—(1) The Secretary of each amended by striking out ‘‘National Guard’’ of war (or while being taken captive) in the military department shall review each re- each place it appears and inserting in lieu same manner as a former prisoner of war quest for consideration of award of a decora- thereof ‘‘Selected Reserve’’. who is wounded on or after that date while tion described in subsection (b) that are re- (f) USE OF COMBAT SIMULATORS.—Section held as a prisoner of war (or while being ceived by the Secretary during the one-year 1120 of such Act (106 Stat. 2539) is amended taken captive). period beginning on the date of enactment of by inserting ‘‘and the Army Reserve’’ before this Act. the period at the end. (b) STANDARDS FOR AWARD.—An award of (2) The Secretaries shall begin the review SEC. 515. ACTIVE DUTY ASSOCIATE UNIT RE- the Purple Heart under subsection (a) shall within 30 days after the date of the enact- SPONSIBILITY. be made in accordance with the standards in ment of this Act and shall complete the re- (a) ASSOCIATE UNITS.—Subsection (a) of effect on the date of the enactment of this view of each request for consideration not section 1131 of the National Defense Author- Act for the award of the Purple Heart to per- later than one year after the date on which ization Act for Fiscal Year 1993 (Public Law sons wounded on or after April 25, 1962. the request is received. 102–484; 106 Stat. 2540) is amended to read as (c) ELIGIBLE FORMER PRISONERS OF WAR.— (3) The Secretary may use the same proc- follows: A person shall be considered to be a former ess for carrying out the review as the Sec- ‘‘(a) ASSOCIATE UNITS.—The Secretary of prisoner of war for purposes of this section if retary uses for reviewing other recommenda- the Army shall require— the person is eligible for the prisoner-of-war tions for award of decorations to members of ‘‘(1) that each ground combat maneuver medal under section 1128 of title 10, United the Armed Forces under the Secretary’s ju- brigade of the Army National Guard that (as States Code. risdiction for valorous acts. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 389

(d) REPORT.—(1) Upon completing the re- ing given such term in section 101 of title 10, posal for the award or presentation of a deco- view of each such request under subsection United States Code. ration (or the upgrading of a decoration), ei- (c), the Secretary shall submit a report on SEC. 524. REVIEW REGARDING UPGRADING OF ther for an individual or a unit, that is not the review to the Committee on Armed Serv- DISTINGUISHED-SERVICE CROSSES otherwise authorized to be presented or ices of the Senate and the Committee on Na- AND NAVY CROSSES AWARDED TO awarded due to limitations established by tional Security of the House of Representa- ASIAN-AMERICANS AND NATIVE law or policy for timely submission of a rec- tives. AMERICAN PACIFIC ISLANDERS FOR ommendation for such award or presen- WORLD WAR II SERVICE. (2) The report shall include, with respect to tation. Based upon such review, the Sec- (a) REVIEW REQUIRED.—(1) The Secretary of each request for consideration received, the retary shall make a determination as to the the Army shall review the records relating following information: merits of approving the award or presen- to each award of the Distinguished-Service (A) A summary of the request for consider- tation of the decoration and the other deter- Cross, and the Secretary of the Navy shall ation. minations necessary to comply with sub- review the records relating to each award of (B) The findings resulting from the review. section (b). the Navy Cross, that was awarded to an (C) The final action taken on the request ‘‘(b) Upon making a determination under Asian-American or a Native American Pa- for consideration. subsection (a) as to the merits of approving cific Islander with respect to service as a (e) DEFINITION.—For purposes of this sec- the award or presentation of the decoration, member of the Armed Forces during World tion: the Secretary concerned shall submit to the War II. The purpose of the review shall be to (1) The term ‘‘Vietnam era’’ has the mean- Committee on Armed Services of the Senate determine whether any such award should be ing given that term in section 101 of title 38, and the Committee on National Security of upgraded to the Medal of Honor. United States Code. the House of Representatives and to the re- (2) If the Secretary concerned determines, (2) The term ‘‘active duty’’ has the mean- questing member of Congress notice in writ- based upon the review under paragraph (1), ing given that term in section 101 of title 10, ing of one of the following: that such an upgrade is appropriate in the United States Code. ‘‘(1) The award or presentation of the deco- case of any person, the Secretary shall sub- SEC. 523. MILITARY INTELLIGENCE PERSONNEL ration does not warrant approval on the mer- mit to the President a recommendation that PREVENTED BY SECRECY FROM its. the President award the Medal of Honor to BEING CONSIDERED FOR DECORA- ‘‘(2) The award or presentation of the deco- TIONS AND AWARDS. that person. ration warrants approval and a waiver by (a) WAIVER ON RESTRICTIONS OF AWARDS.— (b) WAIVER OF TIME LIMITATIONS.—A Medal (1) Any decoration covered by paragraph (2) of Honor may be awarded to a person re- law of time restrictions prescribed by law is may be awarded, without regard to any time ferred to in subsection (a) in accordance with recommended. limit imposed by law or regulation for a rec- a recommendation of the Secretary con- ‘‘(3) The award or presentation of the deco- ommendation for such award, to any person cerned under that subsection without regard ration warrants approval on the merits and for an act, achievement, or service that the to— has been approved as an exception to policy. person performed in carrying out military (1) section 3744, 6248, or 8744 of title 10, ‘‘(4) The award or presentation of the deco- intelligence duties during the period begin- United States Code, as applicable; and ration warrants approval on the merits, but ning on January 1, 1940, and ending on De- (2) any regulation or other administrative a waiver of the time restrictions prescribed cember 31, 1990. restriction on— by law or policy is not recommended. A notice under paragraph (1) or (4) shall be (2) Paragraph (1) applies to any decoration (A) the time for awarding the Medal of accompanied by a statement of the reasons (including any device in lieu of a decoration) Honor; or for the decision of the Secretary. that, during or after the period described in (B) the awarding of the Medal of Honor for ‘‘(c) Determinations under this section re- paragraph (1) and before the date of the en- service for which a Distinguished-Service garding the award or presentation of a deco- actment of this Act, was authorized by law Cross or Navy Cross has been awarded. ration shall be made in accordance with the or under the regulations of the Department (c) DEFINITION.—For purposes of this sec- same procedures that apply to the approval of Defense or the military department con- tion, the term ‘‘Native American Pacific Is- or disapproval of the award or presentation cerned to be awarded to a person for an act, lander’’ means a Native Hawaiian and any of a decoration when a recommendation for achievement, or service performed by that other Native American Pacific Islander with- such award or presentation is submitted in a person while serving on active duty. in the meaning of the Native American Pro- timely manner as prescribed by law or regu- (b) REVIEW OF REQUESTS FOR CONSIDER- grams Act of 1974 (42 U.S.C. 2991 et seq.). ATION OF AWARDS.—(1) The Secretary of each lation. SEC. 525. ELIGIBILITY FOR ARMED FORCES EX- ‘‘(d) In this section: military department shall review each re- PEDITIONARY MEDAL BASED UPON quest for consideration of award of a decora- SERVICE IN EL SALVADOR. ‘‘(1) The term ‘Member of Congress’ means— tion described in subsection (a) that is re- (a) IN GENERAL.—For the purpose of deter- ceived by the Secretary during the one-year mining eligibility of members and former ‘‘(A) a Senator; or period beginning on the date of the enact- members of the Armed Forces for the Armed ‘‘(B) a Representative in, or a Delegate or ment of this Act. Forces Expeditionary Medal, the country of Resident Commissioner to, Congress. (2) The Secretaries shall begin the review El Salvador during the period beginning on ‘‘(2) The term ‘decoration’ means any deco- within 30 days after the date of the enact- January 1, 1981 and ending on February 1, ration or award that may be presented or ment of this Act and shall complete the re- 1992, shall be treated as having been des- awarded to a member or unit of the armed view of each request for consideration not ignated as an area and a period of time in forces.’’. later than one year after the date on which LERICAL AMENDMENT.—The table of which members of the Armed Forces partici- (b) C the request is received. sections at the beginning of such chapter is pated in operations in significant numbers (3) The Secretary may use the same proc- amended by adding at the end the following and otherwise met the general requirements ess for carrying out the review as the Sec- new item: for the award of that medal. retary uses for reviewing other recommenda- ‘‘1130. Consideration of proposals for decora- tions for awarding decorations to members (b) INDIVIDUAL DETERMINATION.—The Sec- retary of the military department concerned tions not previously submitted of the Armed Forces under the Secretary’s in timely fashion: procedures jurisdiction for acts, achievements, or serv- shall determine whether individual members or former members of the Armed Forces who for review and recommenda- ice. tion.’’. (c) REPORT.—(1) Upon completing the re- served in El Salvador during the period be- view of each such request under subsection ginning on January 1, 1981 and ending on Subtitle D—Officer Education Programs (b), the Secretary shall submit a report on February 1, 1992 meet the individual service PART I—SERVICE ACADEMIES requirements for award of the Armed Forces the review to the Committee on Armed Serv- SEC. 531. REVISION OF SERVICE OBLIGATION ices of the Senate and the Committee on Na- Expeditionary Medal as established in appli- FOR GRADUATES OF THE SERVICE tional Security of the House of Representa- cable regulations. Such determinations shall ACADEMIES. tives. be made as expeditiously as possible after (a) MILITARY ACADEMY.—Section (2) The report shall include, with respect to the date of the enactment of this Act. 4348(a)(2)(B) of title 10, United States Code, is each request for consideration reviewed, the SEC. 526. PROCEDURE FOR CONSIDERATION OF amended by striking out ‘‘six years’’ and in- following information: MILITARY DECORATIONS NOT PRE- serting in lieu thereof ‘‘five years’’. VIOUSLY SUBMITTED IN TIMELY (A) A summary of the request for consider- (b) NAVAL ACADEMY.—Section 6959(a)(2)(B) FASHION. ation. of such title is amended by striking out ‘‘six (a) IN GENERAL.—Chapter 57 of title 10, (B) The findings resulting from the review. years’’ and inserting in lieu thereof ‘‘five United States Code, is amended by adding at (C) The final action taken on the request years’’. the end the following new section: for consideration. (c) AIR FORCE ACADEMY.—Section (D) Administrative or legislative rec- ‘‘§ 1130. Consideration of proposals for deco- 9348(a)(2)(B) of such title is amended by ommendations to improve award procedures rations not previously submitted in timely striking out ‘‘six years’’ and inserting in lieu with respect to military intelligence person- fashion: procedures for review and rec- thereof ‘‘five years’’. nel. ommendation (d) REQUIREMENT FOR REVIEW AND RE- (d) DEFINITION.—For purposes of this sec- ‘‘(a) Upon request of a Member of Congress, PORT.—(1) The Secretary of Defense shall re- tion, the term ‘‘active duty’’ has the mean- the Secretary concerned shall review a pro- view the effects that each of various periods H 390 CONGRESSIONAL RECORD — HOUSE January 22, 1996 of obligated active duty service for grad- ‘‘§ 983. Institutions of higher education that section (b)(5)(A) and having received finan- uates of the United States Military Acad- prohibit Senior ROTC units: denial of De- cial assistance for two years under an award emy, the United States Naval Academy, and partment of Defense grants and contracts providing for four years of financial assist- the United States Air Force Academy would ‘‘(a) DENIAL OF DEPARTMENT OF DEFENSE ance under this section, modifies such con- have on the number and quality of the eligi- GRANTS AND CONTRACTS.—(1) No funds appro- tract with the consent of the Secretary of ble and qualified applicants seeking appoint- priated or otherwise available to the Depart- the Army to provide for service as described ment to such academies. ment of Defense may be made obligated by in subsection (b)(5)(B), may be counted, for (2) Not later than April 1, 1996, the Sec- contract or by grant (including a grant of the year in which the contract is modified, retary shall submit to the Committee on funds to be available for student aid) to any toward the number of appointments required Armed Services of the Senate and the Com- institution of higher education that, as de- under the preceding sentence for financial mittee on National Security of the House of termined by the Secretary of Defense, has an assistance awarded for a period of four Representatives a report on the Secretary’s anti-ROTC policy and at which, as deter- years.’’. findings under the review, together with any mined by the Secretary, the Secretary would SEC. 543. DELAY IN REORGANIZATION OF ARMY recommended legislation regarding the mini- otherwise maintain or seek to establish a ROTC REGIONAL HEADQUARTERS STRUCTURE. mum periods of obligated active duty service unit of the Senior Reserve Officer Training for graduates of the United States Military (a) DELAY.—The Secretary of the Army Corps or at which the Secretary would other- may not take any action to reorganize the Academy, the United States Naval Academy, wise enroll or seek to enroll students for par- and the United States Air Force Academy. regional headquarters and basic camp struc- ticipation in a unit of the Senior Reserve Of- ture of the Reserve Officers Training Corps (e) APPLICABILITY.—The amendments made ficer Training Corps at another nearby insti- by this section apply to persons first admit- program of the Army until six months after tution of higher education. the date on which the report required by sub- ted to the United States Military Academy, ‘‘(2) In the case of an institution of higher United States Naval Academy, and United section (d) is submitted. education that is ineligible for Department (b) COST-BENEFIT ANALYSIS.—The Sec- States Air Force Academy after December of Defense grants and contracts by reason of retary of the Army shall conduct a compara- 31, 1991. paragraph (1), the prohibition under that tive cost-benefit analysis of various options SEC. 532. NOMINATIONS TO SERVICE ACAD- paragraph shall cease to apply to that insti- for the reorganization of the regional head- EMIES FROM COMMONWEALTH OF tution upon a determination by the Sec- quarters and basic camp structure of the THE NORTHERN MARIANAS IS- retary that the institution no longer has an Army ROTC program. As part of such analy- LANDS. anti-ROTC policy. sis, the Secretary shall measure each reorga- (a) MILITARY ACADEMY.—Section 4342(a) of ‘‘(b) NOTICE OF DETERMINATION.—Whenever nization option considered against a common title 10, United States Code, is amended by the Secretary makes a determination under set of criteria. inserting after paragraph (9) the following subsection (a) that an institution has an (c) SELECTION OF REORGANIZATION OPTION new paragraph: anti-ROTC policy, or that an institution pre- FOR IMPLEMENTATION.—Based on the findings ‘‘(10) One cadet from the Commonwealth of viously determined to have an anti-ROTC resulting from the cost-benefit analysis the Northern Marianas Islands, nominated policy no longer has such a policy, the Sec- under subsection (b) and such other factors by the resident representative from the com- retary— as the Secretary considers appropriate, the monwealth.’’. ‘‘(1) shall transmit notice of that deter- Secretary shall select one reorganization op- (b) NAVAL ACADEMY.—Section 6954(a) of mination to the Secretary of Education and tion for implementation. The Secretary may title 10, United States Code, is amended by to the Committee on Armed Services of the select an option for implementation only if inserting after paragraph (9) the following Senate and the Committee on National Secu- the Secretary finds that the cost-benefit new paragraph: rity of the House of Representatives; and analysis and other factors considered clearly ‘‘(10) One from the Commonwealth of the ‘‘(2) shall publish in the Federal Register demonstrate that such option, better than Northern Marianas Islands, nominated by notice of that determination and of the ef- any other option considered— the resident representative from the com- fect of that determination under subsection (1) provides the structure to meet pro- monwealth.’’. (a)(1) on the eligibility of that institution for jected mission requirements; (c) AIR FORCE ACADEMY.—Section 9342(a) of Department of Defense grants and contracts. (2) achieves the most significant personnel title 10, United States Code, is amended by ‘‘(c) SEMIANNUAL NOTICE IN FEDERAL REG- and cost savings; inserting after paragraph (9) the following ISTER.—The Secretary shall publish in the (3) uses existing basic and advanced camp new paragraph: Federal Register once every six months a list facilities to the maximum extent possible; ‘‘(10) One cadet from the Commonwealth of of each institution of higher education that (4) minimizes additional military construc- the Northern Marianas Islands, nominated is currently ineligible for Department of De- tion costs; and by the resident representative from the com- fense grants and contracts by reason of a de- (5) makes maximum use of the reserve monwealth.’’. termination of the Secretary under sub- components to support basic and advanced SEC. 533. REPEAL OF REQUIREMENT FOR ATH- section (a). camp operations, thereby minimizing the ef- LETIC DIRECTOR AND ‘‘(d) ANTI-ROTC POLICY.—In this section, fect of those operations on active duty units. NONAPPROPRIATED FUND ACCOUNT the term ‘anti-ROTC policy’ means a policy (d) REPORT.—Not later than 60 days after FOR THE ATHLETICS PROGRAMS AT or practice of an institution of higher edu- the date of the enactment of this Act, the THE SERVICE ACADEMIES. cation that— Secretary of the Army shall submit to the (a) UNITED STATES MILITARY ACADEMY.—(1) ‘‘(1) prohibits, or in effect prevents, the Committee on Armed Services of the Senate Section 4357 of title 10, United States Code, Secretary of Defense from maintaining or es- and the Committee on National Security of is repealed. tablishing a unit of the Senior Reserve Offi- the House of Representatives a report de- (2) The table of sections at the beginning of cer Training Corps at that institution, or scribing the reorganization option selected chapter 403 of such title is amended by strik- ‘‘(2) prohibits, or in effect prevents, a stu- under subsection (c). The report shall include ing out the item relating to section 4357. dent at that institution from enrolling in a the results of the cost-benefit analysis under (b) UNITED STATES NAVAL ACADEMY.—Sec- unit of the Senior Reserve Officer Training subsection (b) and a detailed rationale for tion 556 of the National Defense Authoriza- Corps at another institution of higher edu- the reorganization option selected. tion Act for Fiscal Year 1995 (Public Law cation.’’. SEC. 544. DURATION OF FIELD TRAINING OR 103–337; 108 Stat. 2774) is amended by striking (b) CLERICAL AMENDMENT.—The table of PRACTICE CRUISE REQUIRED out subsections (b) and (e). sections at the beginning of such chapter is UNDER THE SENIOR RESERVE OFFI- (c) UNITED STATES AIR FORCE ACADEMY.— amended by adding at the end the following CERS’ TRAINING CORPS PROGRAM. (1) Section 9356 of title 10, United States new item: Section 2104(b)(6)(A)(ii) of title 10, United Code, is repealed. States Code, is amended by striking out ‘‘not ‘‘983. Institutions of higher education that (2) The table of sections at the beginning of less than six weeks’ duration’’ and inserting prohibit Senior ROTC units: de- chapter 903 of such title is amended by strik- in lieu thereof ‘‘a duration’’. nial of Department of Defense ing out the item relating to section 9356. SEC. 545. ACTIVE DUTY OFFICERS DETAILED TO grants and contracts.’’. ROTC DUTY AT SENIOR MILITARY SEC. 534. REPEAL OF REQUIREMENT FOR PRO- SEC. 542. ROTC SCHOLARSHIPS FOR THE NA- COLLEGES TO SERVE AS COM- GRAM TO TEST PRIVATIZATION OF TIONAL GUARD. MANDANT AND ASSISTANT COM- SERVICE ACADEMY PREPARATORY MANDANT OF CADETS AND AS TAC- SCHOOLS. (a) CLARIFICATION OF RESTRICTION ON AC- TICAL OFFICERS. Section 536 of the National Defense Au- TIVE DUTY.—Paragraph (2) of section 2107(h) of title 10, United States Code, is amended by (a) IN GENERAL.—Chapter 103 of title 10, thorization Act for Fiscal Year 1994 (Public United States Code, is amended by adding at Law 103–160; 10 U.S.C. 4331 note) is repealed. inserting ‘‘full-time’’ before ‘‘active duty’’ in the second sentence. the end the following new section: PART II—RESERVE OFFICER TRAINING (b) REDESIGNATION OF ROTC SCHOLAR- ‘‘§ 2111a. Detail of officers to senior military CORPS SHIPS.—Such paragraph is further amended colleges SEC. 541. ROTC ACCESS TO CAMPUSES. by inserting after the first sentence the fol- ‘‘(a) DETAIL OF OFFICERS TO SERVE AS COM- (a) IN GENERAL.—Chapter 49 of title 10, lowing new sentence: ‘‘A cadet designated MANDANT OR ASSISTANT COMMANDANT OF CA- United States Code, is amended by adding at under this paragraph who, having initially DETS.—(1) Upon the request of a senior mili- the end the following new section: contracted for service as provided in sub- tary college, the Secretary of Defense may January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 391 detail an officer on the active-duty list to tralized review of such actions and, if so, in (2) that are, as a matter of policy, managed serve as Commandant of Cadets at that col- which court that jurisdiction should be vest- at less than 100 percent of their authorized lege or (in the case of a college with an As- ed. strengths. sistant Commandant of Cadets) detail an of- (d) REPORT.—(1) Not later than December (b) MATTERS TO BE INCLUDED.—The Sec- ficer on the active-duty list to serve as As- 15, 1996, the committee shall submit to the retary shall include in the report— sistant Commandant of Cadets at that col- Secretary of Defense a report setting forth (1) the number of such high-priority sup- lege (but not both). its findings and recommendations, including port units (shown by type of unit) that are so ‘‘(2) In the case of an officer detailed as its recommendations pursuant to subsection managed; Commandant of Cadets, the officer may, (c). (2) the level of manning within such high- upon the request of the college, be assigned (2) Not later than January 1, 1997, the Sec- priority support units; and from among the Professor of Military retary of Defense, after consultation with (3) with respect to each such unit, either Science, the Professor of Naval Science (if the Attorney General, shall transmit the the justification for manning of less than 100 any), and the Professor of Aerospace Science committee’s report to Congress. The Sec- percent or the status of corrective action. (if any) at that college or may be in addition retary may include in the transmittal any SEC. 554. REVIEW OF SYSTEM FOR CORRECTION to any other officer detailed to that college comments on the report that the Secretary OF MILITARY RECORDS. in support of the program. or the Attorney General consider appro- (a) REVIEW OF PROCEDURES.—The Secretary ‘‘(3) In the case of an officer detailed as As- priate. of Defense shall review the system and pro- sistant Commandant of Cadets, the officer (e) TERMINATION OF COMMITTEE.—The com- cedures for the correction of military records may, upon the request of the college, be as- mittee shall terminate 30 days after the date used by the Secretaries of the military de- signed from among officers otherwise de- of the submission of its report to Congress partments in the exercise of authority under tailed to duty at that college in support of under subsection (d)(2). section 1552 of title 10, United States Code, the program or may be in addition to any SEC. 552. COMPTROLLER GENERAL REVIEW OF in order to identify potential improvements other officer detailed to that college in sup- PROPOSED ARMY END STRENGTH that could be made in the process for cor- port of the program. ALLOCATIONS. recting military records to ensure fairness, ‘‘(b) DESIGNATION OF OFFICERS AS TACTICAL (a) IN GENERAL.—During fiscal years 1996 equity, and (consistent with appropriate OFFICERS.—Upon the request of a senior mili- through 2001, the Comptroller General of the service to applicants) maximum efficiency. tary college, the Secretary of Defense may United States shall analyze the plans of the The Secretary may not delegate responsibil- authorize officers (other than officers cov- Secretary of the Army for the allocation of ity for the review to an officer or official of ered by subsection (a)) who are detailed to assigned active component end strengths for a military department. duty as instructors at that college to act si- the Army through the requirements process (b) ISSUES REVIEWED.—In conducting the multaneously as tactical officers (with or known as Total Army Analysis 2003 and review, the Secretary shall consider (with re- without compensation) for the Corps of Ca- through any subsequent similar require- spect to each Board for the Correction of dets at that college. ments process of the Army that is conducted Military Records) the following: ‘‘(c) DETAIL OF OFFICERS.—The Secretary before 2002. The Comptroller General’s analy- (1) The composition of the board and of the of a military department shall designate of- sis shall consider whether the proposed ac- support staff for the board. ficers for detail to the program at a senior tive component end strengths and planned (2) Timeliness of final action. military college in accordance with criteria allocation of forces for that period will be (3) Independence of deliberations by the ci- provided by the college. An officer may not sufficient to implement the national mili- vilian board. be detailed to a senior military college with- tary strategy. In monitoring those plans, the (4) The authority of the Secretary of the out the approval of that college. Comptroller General shall determine the ex- military department concerned to modify ‘‘(d) SENIOR MILITARY COLLEGES.—The sen- tent to which the Army will be able during the recommendations of the board. ior military colleges are the following: that period— (5) Burden of proof and other evidentiary ‘‘(1) Texas A&M University. (1) to man fully the combat force based on standards. ‘‘(2) Norwich College. the projected active component Army end (6) Alternative methods for correcting ‘‘(3) The Virginia Military Institute. strength for each of fiscal years 1996 through military records. ‘‘(4) The Citadel. 2001; (7) Whether the board should be consoli- ‘‘(5) Virginia Polytechnic Institute and (2) to meet the support requirements for dated with the Discharge Review Board of State University. the force and strategy specified in the report the military department. ‘‘(6) North Georgia College.’’. of the Bottom-Up Review, including require- (c) REPORT.—Not later than April 1, 1996, (b) CLERICAL AMENDMENT.—The table of ments for operations other than war; and the Secretary of Defense shall submit a re- sections at the beginning of such chapter is (3) to streamline further Army infrastruc- port on the results of the Secretary’s review amended by adding at the end the following ture in order to eliminate duplication and in- under this section to the Committee on new item: efficiencies and replace active duty person- Armed Services of the Senate and the Com- ‘‘2111a. Detail of officers to senior military nel in overhead positions, whenever prac- mittee on National Security of the House of colleges.’’. ticable, with civilian or reserve personnel. Representatives. The report shall contain Subtitle E—Miscellaneous Reviews, Studies, (b) ACCESS TO DOCUMENTS, ETC.—The Sec- the recommendations of the Secretary for and Reports retary of the Army shall ensure that the improving the process for correcting mili- Comptroller General is provided access, on a SEC. 551. REPORT CONCERNING APPROPRIATE tary records in order to achieve the objec- FORUM FOR JUDICIAL REVIEW OF timely basis and in accordance with the tives referred to in subsection (a). needs of the Comptroller General, to all DEPARTMENT OF DEFENSE PERSON- SEC. 555. REPORT ON THE CONSISTENCY OF RE- NEL ACTIONS. analyses, models, memoranda, reports, and PORTING OF FINGERPRINT CARDS (a) ESTABLISHMENT.—The Secretary of De- other documents prepared or used in connec- AND FINAL DISPOSITION FORMS TO fense shall establish an advisory committee tion with the requirements process of the THE FEDERAL BUREAU OF INVES- to consider issues relating to the appropriate Army known as Total Army Analysis 2003 TIGATION. forum for judicial review of Department of and any subsequent similar requirements (a) REPORT.—The Secretary of Defense Defense administrative personnel actions. process of the Army that is conducted before shall submit to Congress a report on the con- (b) MEMBERSHIP.—(1) The committee shall 2002. sistency with which fingerprint cards and be composed of five members, who shall be (c) ANNUAL REPORT.—Not later than March final disposition forms, as described in appointed by the Secretary of Defense after 1 of each year through 2002, the Comptroller Criminal Investigations Policy Memorandum consultation with the Attorney General and General shall submit to Congress a report on 10 issued by the Defense Inspector General the Chief Justice of the United States. the findings and conclusions of the Comp- on March 25, 1987, are reported by the De- (2) All members of the committee shall be troller General under this section. fense Criminal Investigative Organizations appointed not later than 30 days after the SEC. 553. REPORT ON MANNING STATUS OF to the Federal Bureau of Investigation for date of the enactment of this Act. HIGHLY DEPLOYABLE SUPPORT inclusion in the Bureau’s criminal history (c) DUTIES.—The committee shall review, UNITS. identification files. The report shall be pre- and provide findings and recommendations (a) REPORT.—Not later than September 30, pared in consultation with the Director of regarding, the following matters with re- 1996, the Secretary of Defense shall submit the Federal Bureau of Investigation. spect to judicial review of administrative to the Committee on Armed Services of the (b) MATTERS TO BE INCLUDED.—In the re- personnel actions of the Department of De- Senate and the Committee on National Secu- port, the Secretary shall— fense: rity of the House of Representatives a report (1) survey fingerprint cards and final dis- (1) Whether the existing forum for such re- on the units of the Armed Forces under the position forms filled out in the past 24 view through the United States district Secretary’s jurisdiction— months by each investigative organization; courts provides appropriate and adequate re- (1) that (as determined by the Secretary of (2) compare the fingerprint cards and final view of such actions. the military department concerned) are disposition forms filled out to all judicial (2) Whether jurisdiction to conduct judicial high-priority support units that would de- and nonjudicial procedures initiated as a re- review of such actions should be established ploy early in a contingency operation or sult of actions taken by each investigative in a single court in order to provide a cen- other crisis; and service in the past 24 months; H 392 CONGRESSIONAL RECORD — HOUSE January 22, 1996

(3) account for any discrepancies between (C) by inserting after ‘‘of this title’’ the ‘‘(b) TRAINING SAFETY CELLS.—(1) The Sec- the forms filled out and the judicial and following: ‘‘, or required to be made up by an retary of the Army shall establish and main- nonjudicial procedures initiated; enlisted member of the Navy, Marine Corps, tain an organizational entity known as a (4) compare the fingerprint cards and final or Coast Guard under that section with re- ‘safety cell’ as part of the organizational ele- disposition forms filled out with the infor- spect to a period of time after the date of the ments of the Army responsible for conduct- mation held by the Federal Bureau of Inves- enactment of the National Defense Author- ing each of the three major phases of the tigation criminal history identification files; ization Act for Fiscal Year 1995,’’; and Ranger Course. The safety cell in each dif- (5) identify any weaknesses in the collec- (D) by adding at the end the following: ferent geographic area of Ranger Course tion of fingerprint cards and final disposition ‘‘(2) Section 972(b) of this title excludes training shall be comprised of personnel who forms and in the reporting of that informa- from computation of an officer’s years of have sufficient continuity and experience in tion to the Federal Bureau of Investigation; service for purposes of this section any time that geographic area of such training to be and identified with respect to that officer under knowledgeable of the local conditions year- (6) determine whether or not other law en- that section.’’. round, including conditions of terrain, forcement activities of the military services (2) Chapter 367 of such title is amended— weather, water, and climate and other condi- collect and report such information or, if (A) in section 3925(b), by striking out ‘‘sec- tions and the potential effect on those condi- not, should collect and report such informa- tion 972’’ and inserting in lieu thereof ‘‘sec- tions on Ranger student training and safety. tion. tion 972(a)’’; and ‘‘(2) Members of each safety cell shall be (c) SUBMISSION OF REPORT.—The report (B) by adding at the end of section 3926 the assigned in sufficient numbers to serve as ad- shall be submitted not later than one year following new subsection: visers to the officers in charge of the major after the date of the enactment of this Act. ‘‘(e) Section 972(b) of this title excludes phase of Ranger training and shall assist (d) DEFINITION.—For the purposes of this from computation of an officer’s years of those officers in making informed daily ‘go’ section, the term ‘‘criminal history identi- service for purposes of this section any time and ‘no-go’ decisions regarding training in fication files’’, with respect to the Federal identified with respect to that officer under light of all relevant conditions, including Bureau of Investigation, means the criminal that section.’’. conditions of terrain, weather, water, and history record system maintained by the (3)(A) Chapter 571 of such title is amended climate and other conditions.’’. Federal Bureau of Investigation based on fin- by inserting after section 6327 the following (2) The table of sections at the beginning of gerprint identification and any other method new section: such chapter is amended by inserting after of positive identification. ‘‘§ 6328. Computation of years of service: vol- the item relating to section 4302 the follow- ing new item: Subtitle F—Other Matters untary retirement ‘‘(a) ENLISTED MEMBERS.—Time required to ‘‘4303. Army Ranger training: instructor SEC. 561. EQUALIZATION OF ACCRUAL OF SERV- staffing; safety.’’. ICE CREDIT FOR OFFICERS AND EN- be made up under section 972(a) of this title LISTED MEMBERS. after the date of the enactment of this sec- (b) ACCOMPLISHMENT OF REQUIRED MANNING (a) ENLISTED SERVICE CREDIT.—Section 972 tion may not be counted in computing years LEVELS.—(1) If, as of the date of the enact- of title 10, United States Code, is amended— of service under this chapter. ment of this Act, the number of officers, and (1) by inserting ‘‘(a) ENLISTED MEMBERS ‘‘(b) OFFICERS.—Section 972(b) of this title the number of enlisted members, perma- REQUIRED TO MAKE UP TIME LOST.—’’ before excludes from computation of an officer’s nently assigned to the Army Ranger Train- ‘‘An enlisted member’’; years of service for purposes of this chapter ing Brigade are not each at (or above) the re- (2) by striking out paragraphs (3) and (4) any time identified with respect to that offi- quirement specified in subsection (a) of sec- and inserting in lieu thereof the following: cer under that section.’’. tion 4303 of title 10, United States Code, as ‘‘(3) is confined by military or civilian au- (B) The table of sections at the beginning added by subsection (a), the Secretary of the thorities for more than one day in connec- of such chapter is amended by inserting after Army shall— tion with a trial, whether before, during, or the item relating to section 6327 the follow- (A) take such steps as necessary to accom- after the trial; or’’; and ing new item: plish that requirement within 12 months (3) by redesignating paragraph (5) as para- ‘‘6328. Computation of years of service: vol- after such date of enactment; and graph (4). untary retirement.’’. (B) submit to Congress, not later than 90 days after such date of enactment, a plan to (b) OFFICER SERVICE CREDIT.—Such section (4) Chapter 867 of such title is amended— achieve and maintain that requirement. is further amended by adding at the end the (A) in section 8925(b), by striking out ‘‘sec- (2) The requirement specified in subsection following: tion 972’’ and inserting in lieu thereof ‘‘sec- ‘‘(b) OFFICERS NOT ALLOWED SERVICE CRED- (a) of section 4303 of title 10, United States tion 972(a)’’; and Code, as added by subsection (a), shall expire IT FOR TIME LOST.—In the case of an officer (B) by adding at the end of section 8926 the of an armed force who after the date of the two years after the date (on or after the date following new subsection: of the enactment of this Act) on which the enactment of the National Defense Author- ‘‘(d) Section 972(b) of this title excludes required manning levels referred to in para- ization Act for Fiscal Year 1996— from computation of an officer’s years of graph (1) are first attained. ‘‘(1) deserts; service for purposes of this section any time (c) GAO ASSESSMENT.—(1) Not later than ‘‘(2) is absent from his organization, sta- identified with respect to that officer under tion, or duty for more than one day without one year the date of the enactment of this that section.’’. Act, the Comptroller General shall submit to proper authority, as determined by com- (e) EFFECTIVE DATE AND APPLICABILITY.— Congress a report providing a preliminary petent authority; The amendments made by this section shall assessment of the implementation and effec- ‘‘(3) is confined by military or civilian au- take effect on the date of the enactment of tiveness of all corrective actions taken by thorities for more than one day in connec- this Act and shall apply to any period of the Army as a result of the February 1995 ac- tion with a trial, whether before, during, or time covered by section 972 of title 10, United cident at the Florida Ranger Training Camp, after the trial; or States Code, that occurs after that date. ‘‘(4) is unable for more than one day, as de- including an evaluation of the implementa- SEC. 562. ARMY RANGER TRAINING. tion of the required manning levels estab- termined by competent authority, to per- (a) IN GENERAL.—(1) Chapter 401 of title 10, lished by subsection (a) of section 4303 of form his duties because of intemperate use of United States Code, is amended by inserting title 10, United States Code, as added by sub- drugs or alcoholic liquor, or because of dis- after section 4302 the following new section: ease or injury resulting from his misconduct; section (a). ‘‘§ 4303. Army Ranger training: instructor the period of such desertion, absence, con- (2) At the end of the two-year period speci- staffing; safety finement, or inability to perform duties may fied in subsection (b)(2), the Comptroller not be counted in computing, for any pur- ‘‘(a) LEVELS OF PERSONNEL ASSIGNED.—(1) General shall submit to Congress a report pose other than basic pay under section 205 The Secretary of the Army shall ensure that providing a final assessment of the matters of title 37, the officer’s length of service.’’. at all times the number of officers, and the covered in the preliminary report under (c) CLERICAL AMENDMENTS.—(1) The head- number of enlisted members, permanently paragraph (1). The report shall include the ing of such section is amended to read as fol- assigned to the Ranger Training Brigade (or Comptroller General’s recommendation as to lows: other organizational element of the Army the need to continue required statutory primarily responsible for ranger student manning levels as specified in subsection (a) ‘‘§ 972. Members: effect of time lost training) are not less than 90 percent of the of section 4303 of title 10, United States Code, (2) The item relating to section 972 in the required manning spaces for officers, and for as added by subsection (a). table of sections at the beginning of chapter enlisted members, respectively, for that bri- (d) SENSE OF CONGRESS.—In light of re- 49 of such title is amended to read as follows: gade. quirement that particularly dangerous train- ‘‘972. Members: effect of time lost.’’. ‘‘(2) In this subsection, the term ‘required ing activities (such as Ranger training, (d) CONFORMING AMENDMENTS.—(1) Section manning spaces’ means the number of per- Search, Evasion, Rescue, and Escape (SERE) 1405(c) is amended— sonnel spaces for officers, and the number of training, SEAL training, and Airborne train- (A) by striking out ‘‘MADE UP.—Time’’ and personnel spaces for enlisted members, that ing) must be adequately manned and inserting in lieu thereof ‘‘MADE UP OR EX- are designated in Army authorization docu- resourced to ensure safety and effective CLUDED.—(1) Time’’; ments as the number required to accomplish oversight, it is the sense of Congress— (B) by striking out ‘‘section 972’’ and in- the missions of a particular unit or organiza- (1) that the Secretary of Defense, in con- serting in lieu thereof ‘‘section 972(a)’’; tion. junction with the Secretaries of the military January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 393 departments, should review and, if nec- make a reduction in the number of medical of title 10, United States Code, as added by essary, enhance oversight of all such train- personnel of the Department of Defense de- subsection (a). ing activities; and scribed in subsection (b) unless the Secretary (d) REPEAL OF SUPERSEDED PROVISIONS OF (2) that organizations similar to the safety makes a certification for that fiscal year de- LAW.—The following provisions of law are re- cells required to be established for Army scribed in subsection (c). pealed: Ranger training in section 4303 of title 10, ‘‘(b) COVERED REDUCTIONS.—Subsection (a) (1) Section 711 of the National Defense Au- United States Code, as added by subsection applies to a reduction in the number of medi- thorization Act for Fiscal Year 1991 (10 (a), should (when appropriate) be used for all cal personnel of the Department of Defense U.S.C. 115 note). such training activities. as of the end of a fiscal year to a number (2) Subsection (b) of section 718 of the Na- SEC. 563. SEPARATION IN CASES INVOLVING EX- that is less than— tional Defense Authorization Act for Fiscal TENDED CONFINEMENT. ‘‘(1) 95 percent of the number of such per- Years 1992 and 1993 (Public Law 102–190; 10 (a) SEPARATION.—(1)(A) Chapter 59 of title sonnel at the end of the immediately preced- U.S.C. 115 note). 10, United States Code, is amended by insert- ing fiscal year; or (3) Section 518 of the National Defense Au- ing after section 1166 the following new sec- ‘‘(2) 90 percent of the number of such per- thorization Act for Fiscal Year 1993 (Public tion: sonnel at the end of the third fiscal year pre- Law 102–484; 10 U.S.C. 12001 note). ‘‘§ 1167. Members under confinement by sen- ceding the fiscal year. SEC. 565. SENSE OF CONGRESS CONCERNING tence of court-martial: separation after six ‘‘(c) CERTIFICATION.—A certification re- PERSONNEL TEMPO RATES. months confinement ferred to in subsection (a) with respect to re- (a) FINDINGS.—Congress makes the follow- ‘‘Except as otherwise provided in regula- ductions in medical personnel of the Depart- ing findings: tions prescribed by the Secretary of Defense, ment of Defense for any fiscal year is a cer- (1) Excessively high personnel tempo rates a member sentenced by a court-martial to a tification by the Secretary of Defense to for members of the Armed Forces resulting period of confinement for more than six Congress that— from high-tempo unit operations degrades months may be separated from the member’s ‘‘(1) the number of medical personnel being unit readiness and morale and eventually armed force at any time after the sentence reduced is excess to the current and pro- can be expected to adversely affect unit re- to confinement has become final under chap- jected needs of the Department of Defense; tention. ter 47 of this title and the person has served and (2) The Armed Forces have begun to de- in confinement for a period of six months.’’. ‘‘(2) such reduction will not result in an in- velop methods to measure and manage per- (B) The table of sections at the beginning crease in the cost of health care services pro- sonnel tempo rates. of chapter 59 of such title is amended by in- vided under the Civilian Health and Medical (3) The Armed Forces have attempted to serting after the item relating to section 1166 Program of the Uniformed Services under reduce operations and personnel tempo for the following new item: chapter 55 of this title. heavily tasked units by employing alter- native capabilities and reducing tasking re- ‘‘1167. Members under confinement by sen- ‘‘(d) POLICY FOR IMPLEMENTING REDUC- quirements. tence of court-martial: separa- TIONS.—Whenever the Secretary of Defense (b) SENSE OF CONGRESS.—The Secretary of tion after six months confine- directs that there be a reduction in the total Defense should continue to enhance the ment.’’. number of military medical personnel of the Department of Defense, the Secretary shall knowledge within the Armed Forces of per- (2)(A) Chapter 1221 of title 10, United require that the reduction be carried out so sonnel tempo and to improve the techniques States Code, is amended by adding at the end as to ensure that the reduction is not exclu- by which personnel tempo is defined and the following: sively or disproportionatly borne by any one managed with a view toward establishing ‘‘§ 12687. Reserves under confinement by sen- of the armed forces and is not exclusively or and achieving reasonable personnel tempo tence of court-martial: separation after six disproportionatly borne by either the active standards for all personnel, regardless of months confinement or the reserve components. service, unit, or assignment. ‘‘Except as otherwise provided in regula- ‘‘(e) DEFINITION.—In this section, the term SEC. 566. SEPARATION BENEFITS DURING tions prescribed by the Secretary of Defense, ‘medical personnel’ means— FORCE REDUCTION FOR OFFICERS a Reserve sentenced by a court-martial to a ‘‘(1) the members of the armed forces cov- OF COMMISSIONED CORPS OF NA- period of confinement for more than six ered by the term ‘medical personnel’ as de- TIONAL OCEANIC AND ATMOS- PHERIC ADMINISTRATION. months may be separated from that Re- fined in section 115a(g)(2) of this title; and (a) SEPARATION BENEFITS.—Subsection (a) serve’s armed force at any time after the ‘‘(2) the civilian personnel of the Depart- of section 3 of the Act of August 10, 1956 (33 sentence to confinement has become final ment of Defense assigned to military medi- U.S.C. 857a), is amended by adding at the end under chapter 47 of this title and the Reserve cal facilities.’’. the following new paragraph: has served in confinement for a period of six (2) The table of sections at the beginning of ‘‘(15) Section 1174a, special separation ben- months.’’. such chapter is amended by inserting after efits (except that benefits under subsection (B) The table of sections at the beginning the item relating to section 129b the follow- (b)(2)(B) of such section are subject to the of chapter 1221 of such title is amended by ing new item: availability of appropriations for such pur- inserting at the end thereof the following ‘‘129c. Medical personnel: limitations on re- new item: pose and are provided at the discretion of the ductions.’’. Secretary of Commerce).’’. ‘‘12687. Reserves under confinement by sen- (b) SPECIAL TRANSITION RULE FOR FISCAL (b) TECHNICAL CORRECTIONS.—Such section tence of court-martial: separa- YEAR 1996.—For purposes of applying sub- is further amended— tion after six months confine- section (b)(1) of section 129c of title 10, Unit- (1) by striking out ‘‘Coast and Geodetic ment.’’. ed States Code, as added by subsection (a), Survey’’ in subsections (a) and (b) and insert- (b) DROP FROM ROLLS.—(1) Section 1161(b) during fiscal year 1996, the number against ing in lieu thereof ‘‘commissioned officer of title 10, United States Code, is amended by which the percentage limitation of 95 per- corps of the National Oceanic and Atmos- striking out ‘‘or (2)’’ and inserting in lieu cent is computed shall be the number of pheric Administration’’; and thereof ‘‘(2) who may be separated under sec- medical personnel of the Department of De- (2) in subsection (a), by striking out ‘‘in- tion 1178 of this title by reason of a sentence fense as of the end of fiscal year 1994 (rather cluding changes in those rules made after to confinement adjudged by a court-martial, than the number as of the end of fiscal year the effective date of this Act’’ in the matter or (3)’’. 1995). preceding paragraph (1) and inserting in lieu (2) Section 12684 of such title is amended— (c) REPORT ON PLANNED REDUCTIONS.—(1) thereof ‘‘as those provisions are in effect (A) by striking out ‘‘or’’ at the end of para- Not later than March 1, 1996, the Secretary from time to time’’. graph (1); of Defense shall submit to the Committee on (c) TEMPORARY EARLY RETIREMENT AU- (B) by redesignating paragraph (2) as para- Armed Services of the Senate and the Com- THORITY.—Section 4403 (other than sub- graph (3); and mittee on National Security of the House of section (f)) of the National Defense Author- (C) by inserting after paragraph (1) the fol- Representatives a plan for the reduction of ization Act for Fiscal Year 1993 (Public Law lowing new paragraph (2): the number of medical personnel of the De- 102–484; 106 Stat. 2702; 10 U.S.C. 1293 note) ‘‘(2) who may be separated under section partment of Defense over the five-year pe- shall apply to the commissioned officer corps 12687 of this title by reason of a sentence to riod beginning on October 1, 1996. of the National Oceanic and Atmospheric Ad- confinement adjudged by a court-martial; (2) The Secretary shall prepare the plan ministration in the same manner and to the or’’. through the Assistant Secretary of Defense same extent as that section applies to the SEC. 564. LIMITATIONS ON REDUCTIONS IN MEDI- having responsibility for health affairs, who Department of Defense. The Secretary of CAL PERSONNEL. shall consult in the preparation of the plan Commerce shall implement the provisions of (a) IN GENERAL.—(1) Chapter 3 of title 10, with the Surgeon General of the Army, the that section with respect to such commis- United States Code, is amended by inserting Surgeon General of the Navy, and the Sur- sioned officer corps and shall apply the pro- after section 129b the following new section: geon General of the Air Force. visions of that section to the provisions of ‘‘§ 129c. Medical personnel: limitations on re- (3) For purposes of this subsection, the the Coast and Geodetic Survey Commis- ductions term ‘‘medical personnel of the Department sioned Officers’ Act of 1948 relating to the re- ‘‘(a) LIMITATION ON REDUCTION.—For any of Defense’’ shall have the meaning given the tirement of members of such commissioned fiscal year, the Secretary of Defense may not term ‘‘medical personnel’’ in section 129c(e) officer corps. H 394 CONGRESSIONAL RECORD — HOUSE January 22, 1996

(d) EFFECTIVE DATE.—This section shall rologic test must be one that is approved by ment in the performance of any function apply only to members of the commissioned the Food and Drug Administration.’’. which affects members of military families officer corps of the National Oceanic and At- (2) The item relating to such section in the and which includes members of military mospheric Administration who are separated table of sections at the beginning of chapter families in its membership shall not be con- after September 30, 1995. 59 of such title is amended to read as follows: sidered an advisory committee under section SEC. 567. DISCHARGE OF MEMBERS OF THE ‘‘1177. Members infected with HIV–1 virus: 3(2) of the Federal Advisory Committee Act ARMED FORCES WHO HAVE THE mandatory discharge or retire- (5 U.S.C. App.) solely because of such mem- HIV–1 VIRUS. ment.’’. bership. N ENERAL (a) I G .—(1) Section 1177 of title 10, (b) EFFECTIVE DATE.—Section 1177 of title United States Code, is amended to read as ‘‘§ 1784. Employment opportunities for mili- 10, United States Code, as amended by sub- tary spouses follows: section (a), applies with respect to members ‘‘§ 1177. Members infected with HIV–1 virus: of the Armed Forces determined to be HIV- ‘‘(a) AUTHORITY.—The President shall order mandatory discharge or retirement positive before, on, or after the date of the such measures as the President considers ‘‘(a) MANDATORY SEPARATION.—A member enactment of this Act. In the case of a mem- necessary to increase employment opportu- of the armed forces who is HIV-positive shall ber of the Armed Forces determined to be nities for spouses of members of the armed be separated. Such separation shall be made HIV-positive before such date, the deadline forces. Such measures may include— on a date determined by the Secretary con- for separation of the member under sub- ‘‘(1) excepting, pursuant to section 3302 of cerned, which shall be as soon as practicable section (a) of such section, as so amended, title 5, from the competitive service posi- after the date on which the determination is shall be determined from the date of the en- tions in the Department of Defense located made that the member is HIV-positive and actment of this Act (rather than from the outside of the United States to provide em- not later than the last day of the sixth date of such determination). ployment opportunities for qualified spouses month beginning after such date. SEC. 568. REVISION AND CODIFICATION OF MILI- of members of the armed forces in the same ‘‘(b) FORM OF SEPARATION.—If a member to TARY FAMILY ACT AND MILITARY geographical area as the permanent duty be separated under this section is eligible to CHILD CARE ACT. station of the members; and retire under any provision of law or to be (a) IN GENERAL.—(1) Subtitle A of title 10, ‘‘(2) providing preference in hiring for posi- transferred to the Fleet Reserve or Fleet Ma- United States Code, is amended by inserting tions in nonappropriated fund activities to rine Corps Reserve, the member shall be so after chapter 87 the following new chapter: qualified spouses of members of the armed retired or so transferred. Otherwise, the ‘‘CHAPTER 88—MILITARY FAMILY forces stationed in the same geographical member shall be discharged. The character- PROGRAMS AND MILITARY CHILD CARE area as the nonappropriated fund activity for ization of the service of the member shall be ‘‘Subchapter Sec. positions in wage grade UA–8 and below and determined without regard to the determina- ‘‘I. Military Family Programs ...... 1781 equivalent positions and for positions paid at tion that the member is HIV-positive. ‘‘II. Military Child Care ...... 1791 hourly rates. ‘‘(c) DEFERRAL OF SEPARATION FOR MEM- ‘‘SUBCHAPTER I—MILITARY FAMILY ‘‘(b) REGULATIONS.—The Secretary of De- BERS IN 18-YEAR RETIREMENT SANCTUARY.—In PROGRAMS fense shall prescribe regulations— the case of a member to be discharged under ‘‘Sec. ‘‘(1) to implement such measures as the this section who on the date on which the ‘‘1781. Office of Family Policy. President orders under subsection (a); member is to be discharged is within two ‘‘1782. Surveys of military families. ‘‘(2) to provide preference to qualified years of qualifying for retirement under any ‘‘1783. Family members serving on advisory spouses of members of the armed forces in provision of law, or of qualifying for transfer committees. hiring for any civilian position in the De- to the Fleet Reserve or Fleet Marine Corps ‘‘1784. Employment opportunities for mili- partment of Defense if the spouse is among Reserve under section 6330 of this title, the tary spouses. persons determined to be best qualified for member may, as determined by the Sec- ‘‘1785. Youth sponsorship program. the position and if the position is located in retary concerned, be retained on active duty ‘‘1786. Dependent student travel within the the same geographical area as the permanent until the member is qualified for retirement United States. duty station of the member; or transfer to the Fleet Reserve or Fleet Ma- ‘‘1787. Reporting of child abuse. ‘‘(3) to ensure that notice of any vacant po- rine Corps Reserve, as the case may be, and ‘‘§ 1781. Office of Family Policy sition in the Department of Defense is pro- then be so retired or transferred, unless the ‘‘(a) ESTABLISHMENT.—There is in the Of- vided in a manner reasonably designed to member is sooner retired or discharged under fice of the Secretary of Defense an Office of reach spouses of members of the armed any other provision of law. Family Policy (hereinafter in this section re- forces whose permanent duty stations are in ‘‘(d) SEPARATION TO BE CONSIDERED INVOL- ferred to as the ‘Office’). The Office shall be the same geographic area as the area in UNTARY.—A separation under this section under the Assistant Secretary of Defense for which the position is located; and shall be considered to be an involuntary sep- Force Management and Personnel. ‘‘(4) to ensure that the spouse of a member aration for purposes of any other provision ‘‘(b) DUTIES.—The Office— of the armed forces who applies for a vacant of law. ‘‘(1) shall coordinate programs and activi- position in the Department of Defense shall, ‘‘(e) ENTITLEMENT TO HEALTH CARE.—A ties of the military departments to the ex- to the extent practicable, be considered for member separated under this section shall be tent that they relate to military families; any such position located in the same geo- entitled to medical and dental care under and graphic area as the permanent duty station chapter 55 of this title to the same extent ‘‘(2) shall make recommendations to the of the member. and under the same conditions as a person Secretaries of the military departments with ‘‘(c) STATUS OF PREFERENCE ELIGIBLES.— who is entitled to such care under section respect to programs and policies regarding Nothing in this section shall be construed to 1074(b) of this title. military families. provide a spouse of a member of the armed ‘‘(f) COUNSELING ABOUT AVAILABLE MEDICAL ‘‘(c) STAFF.—The Office shall have not less forces with preference in hiring over an indi- CARE.—A member to be separated under this than five professional staff members. vidual who is a preference eligible. section shall be provided information, in ‘‘§ 1782. Surveys of military families writing, before such separation of the avail- ‘‘§ 1785. Youth sponsorship program able medical care (through the Department ‘‘(a) AUTHORITY.—The Secretary of Defense of Veterans Affairs and otherwise) to treat may conduct surveys of members of the ‘‘(a) REQUIREMENT.—The Secretary of De- the member’s condition. Such information armed forces on active duty or in an active fense shall require that there be at each shall include identification of specific medi- status, members of the families of such military installation a youth sponsorship cal locations near the member’s home of members, and retired members of the armed program to facilitate the integration of de- record or point of discharge at which the forces to determine the effectiveness of Fed- pendent children of members of the armed member may seek necessary medical care. eral programs relating to military families forces into new surroundings when moving to that military installation as a result of a ‘‘(g) HIV-POSITIVE MEMBERS.—A member and the need for new programs. shall be considered to be HIV-positive for ‘‘(b) RESPONSES TO BE VOLUNTARY.—Re- parent’s permanent change of station. purposes of this section if there is serologic sponses to surveys conducted under this sec- ‘‘(b) DESCRIPTION OF PROGRAMS.—The pro- evidence that the member is infected with tion shall be voluntary. gram at each installation shall provide for the virus known as Human ‘‘(c) FEDERAL RECORDKEEPING REQUIRE- involvement of dependent children of mem- Immunodeficiency Virus–1 (HIV–1), the virus MENTS.—With respect to such surveys, family bers presently stationed at the military in- most commonly associated with the acquired members of members of the armed forces and stallation and shall be directed primarily to- immune deficiency syndrome (AIDS) in the reserve and retired members of the armed ward children in their preteen and teenage United States. Such serologic evidence shall forces shall be considered to be employees of years. be considered to exist if there is a reactive the United States for purposes of section ‘‘§ 1786. Dependent student travel within the result given by an enzyme-linked 3502(3)(A)(i) of title 44. United States immunosorbent assay (ELISA) serologic test ‘‘§ 1783. Family members serving on advisory that is confirmed by a reactive and diag- committees ‘‘Funds available to the Department of De- nostic immunoelectrophoresis test (Western ‘‘A committee within the Department of fense for the travel and transportation of de- blot) on two separate samples. Any such se- Defense which advises or assists the Depart- pendent students of members of the armed January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 395 forces stationed overseas may be obligated ‘‘(c) COMPETITIVE RATES OF PAY.—For the allegations of child abuse at a military child for transportation allowances for travel purpose of providing military child develop- development center or family home day care within or between the contiguous States. ment centers with a qualified and stable ci- site, the commander of the military installa- ‘‘§ 1787. Reporting of child abuse vilian workforce, employees at a military in- tion or the head of the task force established under subsection (a) shall seek the assist- ‘‘(a) IN GENERAL.—The Secretary of De- stallation who are directly involved in pro- fense shall request each State to provide for viding child care and are paid from ance of local child protective authorities if the reporting to the Secretary of any report nonappropriated funds— such assistance is available. ‘‘(d) SAFETY REGULATIONS.—The Secretary the State receives of known or suspected in- ‘‘(1) in the case of entry-level employees, of Defense shall prescribe regulations on stances of child abuse and neglect in which shall be paid at rates of pay competitive safety and operating procedures at military the person having care of the child is a mem- with the rates of pay paid to other entry- child development centers. Those regula- ber of the armed forces (or the spouse of the level employees at that installation who are drawn from the same labor pool; and tions shall apply uniformly among the mili- member). tary departments. ‘‘(b) DEFINITION.—In this section, the term ‘‘(2) in the case of other employees, shall ‘‘(e) INSPECTIONS.—The Secretary of De- be paid at rates of pay substantially equiva- ‘child abuse and neglect’ has the meaning fense shall require that each military child lent to the rates of pay paid to other employ- provided in section 3(1) of the Child Abuse development center be inspected not less ees at that installation with similar train- Prevention and Treatment Act (42 U.S.C. often than four times a year. Each such in- 5102). ing, seniority, and experience. spection shall be unannounced. At least one ‘‘(d) EMPLOYMENT PREFERENCE PROGRAM ‘‘SUBCHAPTER II—MILITARY CHILD inspection a year shall be carried out by a FOR MILITARY SPOUSES.—(1) The Secretary of CARE representative of the installation served by Defense shall conduct a program under ‘‘Sec. the center, and one inspection a year shall be ‘‘1791. Funding for military child care. which qualified spouses of members of the carried out by a representative of the major ‘‘1792. Child care employees. armed forces shall be given a preference in command under which that installation op- ‘‘1793. Parent fees. hiring for the position of child care employee erates. ‘‘1794. Child abuse prevention and safety at in a position paid from nonappropriated ‘‘(f) REMEDIES FOR VIOLATIONS.—(1) Except facilities. funds if the spouse is among persons deter- as provided in paragraph (2), any violation of ‘‘1795. Parent partnerships with child devel- mined to be best qualified for the position. a safety, health, or child welfare law or regu- opment centers. ‘‘(2) A spouse who is provided a preference lation (discovered at an inspection or other- ‘‘1796. Subsidies for family home day care. under this subsection at a military child de- wise) at a military child development center ‘‘1797. Early childhood education program. velopment center may not be precluded from ‘‘1798. Definitions. shall be remedied immediately. obtaining another preference, in accordance ‘‘(2) In the case of a violation that is not ‘‘§ 1791. Funding for military child care with section 1794 of this title, in the same ge- life threatening, the commander of the ‘‘It is the policy of Congress that the ographic area as the military child develop- major command under which the installation amount of appropriated funds available dur- ment center. concerned operates may waive the require- ing a fiscal year for operating expenses for ‘‘(e) COMPETITIVE SERVICE POSITION DE- ment that the violation be remedied imme- military child development centers and pro- FINED.—In this section, the term ‘competi- diately for a period of up to 90 days begin- grams shall be not less than the amount of tive service position’ means a position in the ning on the date of the discovery of the vio- child care fee receipts that are estimated to competitive service, as defined in section lation. If the violation is not remedied as of be received by the Department of Defense 2102(a)(1) of title 5. the end of that 90-day period, the military during that fiscal year. ‘‘§ 1793. Parent fees child development center shall be closed ‘‘§ 1792. Child care employees ‘‘(a) IN GENERAL.—The Secretary of De- until the violation is remedied. The Sec- ‘‘(a) REQUIRED TRAINING.—(1) The Sec- fense shall prescribe regulations establishing retary of the military department concerned retary of Defense shall prescribe regulations fees to be charged parents for the attendance may waive the preceding sentence and au- implementing, a training program for child of children at military child development thorize the center to remain open in a case care employees. Those regulations shall centers. Those regulations shall be uniform in which the violation cannot reasonably be apply uniformly among the military depart- for the military departments and shall re- remedied within that 90-day period or in ments. Subject to paragraph (2), satisfactory quire that, in the case of children who attend which major facility reconstruction is re- completion of the training program shall be the centers on a regular basis, the fees shall quired. a condition of employment of any person as be based on family income. ‘‘§ 1795. Parent partnerships with child devel- a child care employee. ‘‘(b) LOCAL WAIVER AUTHORITY.—The Sec- opment centers ‘‘(2) Under those regulations, the Secretary retary of Defense may provide authority to ‘‘(a) PARENT BOARDS.—The Secretary of shall require that each child care employee installation commanders, on a case-by-case Defense shall require that there be estab- complete the training program not later basis, to establish fees for attendance of chil- lished at each military child development than six months after the date on which the dren at child development centers at rates center a board of parents, to be composed of employee is employed as a child care em- lower than those prescribed under subsection parents of children attending the center. The ployee. (a) if the rates prescribed under subsection board shall meet periodically with staff of ‘‘(3) The training program established (a) are not competitive with rates at local the center and the commander of the instal- under this subsection shall cover, at a mini- non-military child development centers. lation served by the center for the purpose of mum, training in the following: discussing problems and concerns. The ‘‘(A) Early childhood development. ‘‘§ 1794. Child abuse prevention and safety at facilities board, together with the staff of the center, ‘‘(B) Activities and disciplinary techniques shall be responsible for coordinating the par- ‘‘(a) CHILD ABUSE TASK FORCE.—The Sec- appropriate to children of different ages. ent participation program described in sub- ‘‘(C) Child abuse prevention and detection. retary of Defense shall maintain a special task force to respond to allegations of wide- section (b). ‘‘(D) Cardiopulmonary resuscitation and ‘‘(b) PARENT PARTICIPATION PROGRAMS.— spread child abuse at a military installation. other emergency medical procedures. The Secretary of Defense shall require the ‘‘(b) TRAINING AND CURRICULUM SPECIAL- The task force shall be composed of person- establishment of a parent participation pro- ISTS.—(1) The Secretary of Defense shall re- nel from appropriate disciplines, including, gram at each military child development quire that at least one employee at each where appropriate, medicine, psychology, center. As part of such program, the Sec- military child development center be a spe- and childhood development. In the case of retary of Defense may establish fees for at- cialist in training and curriculum develop- such allegations, the task force shall provide tendance of children at such a center, in the ment. The Secretary shall ensure that such assistance to the commander of the installa- case of parents who participate in the parent employees have appropriate credentials and tion, and to parents at the installation, in participation program at that center, at experience. helping them to deal with such allegations. rates lower than the rates that otherwise ‘‘(2) The duties of such employees shall in- ‘‘(b) NATIONAL HOTLINE.—(1) The Secretary apply. clude the following: of Defense shall maintain a national tele- ‘‘(A) Special teaching activities at the cen- phone number for persons to use to report ‘‘§ 1796. Subsidies for family home day care ter. suspected child abuse or safety violations at ‘‘The Secretary of Defense may use appro- ‘‘(B) Daily oversight and instruction of a military child development center or fam- priated funds available for military child other child care employees at the center. ily home day care site. The Secretary shall care purposes to provide assistance to family ‘‘(C) Daily assistance in the preparation of ensure that such reports may be made anon- home day care providers so that family home lesson plans. ymously if so desired by the person making day care services can be provided to mem- ‘‘(D) Assistance in the center’s child abuse the report. The Secretary shall establish pro- bers of the armed forces at a cost comparable prevention and detection program. cedures for following up on complaints and to the cost of services provided by military ‘‘(E) Advising the director of the center on information received over that number. child development centers. The Secretary the performance of other child care employ- ‘‘(2) The Secretary shall publicize the ex- shall prescribe regulations for the provision ees. istence of the number. of such assistance. ‘‘(3) Each employee referred to in para- ‘‘(c) ASSISTANCE FROM LOCAL AUTHORI- ‘‘§ 1797. Early childhood education program graph (1) shall be an employee in a competi- TIES.—The Secretary of Defense shall pre- ‘‘The Secretary of Defense shall require tive service position. scribe regulations requiring that, in a case of that all military child development centers H 396 CONGRESSIONAL RECORD — HOUSE January 22, 1996 meet standards of operation necessary for SEC. 569. DETERMINATION OF WHEREABOUTS ‘‘(4) As part of such procedures, the Sec- accreditation by an appropriate national AND STATUS OF MISSING PERSONS. retary may provide for the extension, on a early childhood programs accrediting body. (a) PURPOSE.—The purpose of this section case-by-case basis, of any time limit speci- is to ensure that any member of the Armed ‘‘§ 1798. Definitions fied in section 1502, 1503, or 1504 of this title. Forces (and any Department of Defense civil- Any such extension may not be for a period ‘‘In this subchapter: ian employee or contractor employee who in excess of the period with respect to which ‘‘(1) The term ‘military child development serves with or accompanies the Armed the extension is provided. Subsequent exten- center’ means a facility on a military instal- Forces in the field under orders) who be- sions may be provided on the same basis. lation (or on property under the jurisdiction comes missing or unaccounted for is ulti- ‘‘(c) COVERED PERSONS.—Section 1502 of of the commander of a military installation) mately accounted for by the United States this title applies in the case of the following at which child care services are provided for and, as a general rule, is not declared dead persons: members of the armed forces or any other fa- solely because of the passage of time. ‘‘(1) Any member of the armed forces on cility at which such child care services are (b) IN GENERAL.—(1) Part II of subtitle A of active duty who becomes involuntarily ab- provided that is operated by the Secretary of title 10, United States Code, is amended by sent as a result of a hostile action, or under a military department. inserting after chapter 75 the following new circumstances suggesting that the involun- ‘‘(2) The term ‘family home day care’ chapter: tary absence is a result of a hostile action, means home-based child care services that ‘‘CHAPTER 76—MISSING PERSONS and whose status is undetermined or who is are provided for members of the armed forces ‘‘Sec. unaccounted for. by an individual who (A) is certified by the ‘‘1501. System for accounting for missing per- ‘‘(2) Any civilian employee of the Depart- Secretary of the military department con- sons. ment of Defense, and any employee of a con- cerned as qualified to provide those services, ‘‘1502. Missing persons: initial report. tractor of the Department of Defense, who and (B) provides those services on a regular ‘‘1503. Actions of Secretary concerned; initial serves with or accompanies the armed forces basis for compensation. board inquiry. in the field under orders who becomes invol- ‘‘1504. Subsequent board of inquiry. ‘‘(3) The term ‘child care employee’ means untarily absent as a result of a hostile ac- a civilian employee of the Department of De- ‘‘1505. Further review. ‘‘1506. Personnel files. tion, or under circumstances suggesting that fense who is employed to work in a military ‘‘1507. Recommendation of status of death. the involuntary absence is a result of a hos- child development center (regardless of ‘‘1508. Judicial review. tile action, and whose status is undeter- whether the employee is paid from appro- ‘‘1509. Preenactment, special interest cases. mined or who is unaccounted for. priated funds or nonappropriated funds). ‘‘1510. Applicability to Coast Guard. ‘‘(d) PRIMARY NEXT OF KIN.—The individual ‘‘(4) The term ‘child care fee receipts’ ‘‘1511. Return alive of person declared miss- who is primary next of kin of any person pre- means those nonappropriated funds that are ing or dead. scribed in subsection (c) may for purposes of derived from fees paid by members of the ‘‘1512. Effect on State law. this chapter designate another individual to armed forces for child care services provided ‘‘1513. Definitions. act on behalf of that individual as primary at military child development centers.’’. ‘‘§ 1501. System for accounting for missing next of kin. The Secretary concerned shall (2) The tables of chapters at the beginning persons treat an individual so designated as if the in- of subtitle A, and at the beginning of part II ‘‘(a) OFFICE FOR MISSING PERSONNEL.—(1) dividual designated were the primary next of of subtitle A, of title 10, United States Code, The Secretary of Defense shall establish kin for purposes of this chapter. A designa- are amended by inserting after the item re- within the Office of the Secretary of Defense tion under this subsection may be revoked at lating to chapter 87 the following new item: an office to have responsibility for Depart- any time by the person who made the des- ‘‘88. Military Family Programs and ment of Defense policy relating to missing ignation. Military Child Care ...... 1781’’. persons. Subject to the authority, direction, ‘‘(e) TERMINATION OF APPLICABILITY OF and control of the Secretary of Defense, the PROCEDURES WHEN MISSING PERSON IS AC- (b) REPORT ON FIVE-YEAR DEMAND FOR responsibilities of the office shall include— COUNTED FOR.—The provisions of this chapter CHILD CARE.—(1) Not later than the date of ‘‘(A) policy, control, and oversight within relating to boards of inquiry and to the ac- the submission of the budget for fiscal year the Department of Defense of the entire tions by the Secretary concerned on the re- 1997 pursuant to section 1105 of title 31, Unit- process for investigation and recovery relat- ports of those boards shall cease to apply in ed States Code, the Secretary of Defense ed to missing persons (including matters re- the case of a missing person upon the person shall submit to Congress a report on the ex- lated to search, rescue, escape, and evasion); becoming accounted for or otherwise being pected demand for child care by military and and determined to be in a status other than miss- civilian personnel of the Department of De- ‘‘(B) coordination for the Department of ing. fense during fiscal years 1997 through 2001. Defense with other departments and agencies ‘‘(f) SECRETARY CONCERNED.—In this chap- (2) The report shall include— of the United States on all matters concern- ter, the term ‘Secretary concerned’ includes, (A) a plan for meeting the expected child ing missing persons. in the case of a civilian employee of the De- care demand identified in the report; and ‘‘(2) In carrying out the responsibilities of partment of Defense or contractor of the De- (B) an estimate of the cost of implement- the office established under this subsection, partment of Defense, the Secretary of the ing that plan. the head of the office shall be responsible for military department or head of the element (3) The report shall also include a descrip- the coordination for such purposes within of the Department of Defense employing the tion of methods for monitoring family home the Department of Defense among the mili- employee or contracting with the contrac- day care programs of the military tary departments, the Joint Staff, and the tor, as the case may be. departments. commanders of the combatant commands. ‘‘§ 1502. Missing persons: initial report ‘‘(3) The office shall establish policies, (c) PLAN FOR IMPLEMENTATION OF ACCREDI- which shall apply uniformly throughout the ‘‘(a) PRELIMINARY ASSESSMENT AND REC- TATION REQUIREMENT.—The Secretary of De- OMMENDATION BY COMMANDER.—After receiv- fense shall submit to the Committee on Department of Defense, for personnel recov- ery (including search, rescue, escape, and ing information that the whereabouts and Armed Services of the Senate and the Com- status of a person described in section 1501(c) mittee on National Security of the House of evasion). ‘‘(4) The office shall establish procedures of this title is uncertain and that the ab- Representatives a plan for carrying out the to be followed by Department of Defense sence of the person may be involuntary, the requirements of section 1787 of title 10, Unit- boards of inquiry, and by officials reviewing commander of the unit, facility, or area to or ed States Code, as added by subsection (a). the reports of such boards, under this chap- in which the person is assigned shall make a The plan shall be submitted not later than ter. preliminary assessment of the cir- April 1, 1997. ‘‘(b) UNIFORM DOD PROCEDURES.—(1) The cumstances. If, as a result of that assess- (d) CONTINUATION OF DELEGATION OF AU- Secretary of Defense shall prescribe proce- ment, the commander concludes that the THORITY WITH RESPECT TO HIRING PREF- dures, to apply uniformly throughout the person is missing, the commander shall— ERENCE FOR QUALIFIED MILITARY SPOUSES.— Department of Defense, for— ‘‘(1) recommend that the person be placed The provisions of Executive Order No. 12568, ‘‘(A) the determination of the status of in a missing status; and issued October 2, 1986 (10 U.S.C. 113 note), persons described in subsection (c); and ‘‘(2) not later than 48 hours after receiving shall apply as if the reference in that Execu- ‘‘(B) for the systematic, comprehensive, such information, transmit a report contain- tive order to section 806(a)(2) of the Depart- and timely collection, analysis, review, dis- ing that recommendation to the theater ment of Defense Authorization Act of 1986 re- semination, and periodic update of informa- component commander with jurisdiction fers to section 1784 of title 10, United States tion related to such persons. over the missing person in accordance with Code, as added by subsection (a). ‘‘(2) Such procedures may provide for the procedures prescribed under section 1501(b) of (e) REPEALER.—The following provisions of delegation by the Secretary of Defense of this title. law are repealed: any responsibility of the Secretary under ‘‘(b) TRANSMISSION THROUGH THEATER COM- (1) The Military Family Act of 1985 (title this chapter to the Secretary of a military PONENT COMMANDER.—Upon reviewing a re- VIII of Public Law 99–145; 10 U.S.C. 113 note). department. port under subsection (a) recommending that (2) The Military Child Care Act of 1989 ‘‘(3) Such procedures shall be prescribed in a person be placed in a missing status, the (title XV of Public Law 101–189; 10 U.S.C. 113 a single directive applicable to all elements theater component commander shall ensure note). of the Department of Defense. that all necessary actions are being taken, January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 397 and all appropriate assets are being used, to and status of a missing person under this this section shall be closed to the public (in- resolve the status of the missing person. Not section shall— cluding, with respect to the person covered later than 14 days after receiving the report, ‘‘(1) collect, develop, and investigate all by the inquiry, the primary next of kin, the theater component commander shall for- facts and evidence relating to the disappear- other members of the immediate family, and ward the report to the Secretary of Defense ance or whereabouts and status of the per- any other previously designated person of or the Secretary concerned in accordance son; the person). with procedures prescribed under section ‘‘(2) collect appropriate documentation of ‘‘(h) REPORT.—(1) A board appointed under 1501(b) of this title. The theater component the facts and evidence covered by the board’s this section shall submit to the Secretary commander shall include with such report a investigation; who appointed the board a report on the in- certification that all necessary actions are ‘‘(3) analyze the facts and evidence, make quiry carried out by the board. The report being taken, and all appropriate assets are findings based on that analysis, and draw shall include— being used, to resolve the status of the miss- conclusions as to the current whereabouts ‘‘(A) a discussion of the facts and evidence ing person. and status of the person; and considered by the board in the inquiry; ‘‘(c) SAFEGUARDING AND FORWARDING OF ‘‘(4) with respect to each person covered by ‘‘(B) the recommendation of the board RECORDS.—A commander making a prelimi- the inquiry, recommend to the Secretary under subsection (d) with respect to each nary assessment under subsection (a) with who appointed the board that— person covered by the report; and respect to a missing person shall (in accord- ‘‘(A) the person be placed in a missing sta- ‘‘(C) disclosure of whether classified docu- ance with procedures prescribed under sec- tus; or ments and information were reviewed by the tion 1501 of this title) safeguard and forward ‘‘(B) the person be declared to have de- board or were otherwise used by the board in for official use any information relating to serted, to be absent without leave, or (sub- forming recommendations under subpara- the whereabouts and status of the missing ject to the requirements of section 1507 of graph (B). person that results from the preliminary as- this title) to be dead. ‘‘(2) A board shall submit a report under sessment or from actions taken to locate the ‘‘(e) BOARD PROCEEDINGS.—During the pro- this subsection with respect to the inquiry person. The theater component commander ceedings of an inquiry under this section, a carried out by the board not later than 30 through whom the report with respect to the board shall— days after the date of the appointment of the missing person is transmitted under sub- ‘‘(1) collect, record, and safeguard all facts, board to carry out the inquiry. The report section (b) shall ensure that all pertinent in- documents, statements, photographs, tapes, may include a classified annex. ‘‘(3) The Secretary of Defense shall pre- formation relating to the whereabouts and messages, maps, sketches, reports, and other scribe procedures for the release of a report status of the missing person that results information (whether classified or unclassi- submitted under this subsection with respect from the preliminary assessment or from ac- fied) relating to the whereabouts and status tions taken to locate the person is properly to a missing person. Such procedures shall of each person covered by the inquiry; provide that the report may not be made safeguarded to avoid loss, damage, or modi- ‘‘(2) gather information relating to actions fication. public (except as provided for in subsection taken to find the person, including any evi- (j)) until one year after the date on which ‘‘§ 1503. Actions of Secretary concerned; ini- dence of the whereabouts and status of the the report is submitted. tial board inquiry person arising from such actions; and ‘‘(i) DETERMINATION BY SECRETARY.—(1) ‘‘(a) DETERMINATION BY SECRETARY.—Upon ‘‘(3) maintain a record of its proceedings. Not later than 30 days after receiving a re- receiving a recommendation under section ‘‘(f) COUNSEL FOR MISSING PERSON.—(1) The port from a board under subsection (h), the 1502(b) of this title that a person be placed in Secretary appointing a board to conduct an Secretary receiving the report shall review a missing status, the Secretary receiving the inquiry under this section shall appoint the report. recommendation shall review the rec- counsel to represent each person covered by ‘‘(2) In reviewing a report under paragraph ommendation and, not later than 10 days the inquiry or, in a case covered by sub- (1), the Secretary shall determine whether or after receiving such recommendation, shall section (b), one counsel to represent all per- not the report is complete and free of admin- appoint a board under this section to con- sons covered by the inquiry. Counsel ap- istrative error. If the Secretary determines duct an inquiry into the whereabouts and pointed under this paragraph may be re- that the report is incomplete, or that the re- status of the person. ferred to as ‘missing person’s counsel’ and port is not free of administrative error, the ‘‘(b) INQUIRIES INVOLVING MORE THAN ONE represents the interests of the person cov- Secretary may return the report to the MISSING PERSON.—If it appears to the Sec- ered by the inquiry (and not any member of board for further action on the report by the retary who appoints a board under this sec- the person’s family or other interested par- board. tion that the absence or missing status of ties). ‘‘(3) Upon a determination by the Sec- two or more persons is factually related, the ‘‘(2) To be appointed as a missing person’s retary that a report reviewed under this sub- Secretary may appoint a single board under counsel, a person must— section is complete and free of administra- this section to conduct the inquiry into the ‘‘(A) have the qualifications specified in tive error, the Secretary shall make a deter- whereabouts and status of all such persons. section 827(b) of this title (article 27(b) of the mination concerning the status of each per- ‘‘(c) COMPOSITION.—(1) A board appointed Uniform Code of Military Justice) for trial son covered by the report, including whether under this section to inquire into the where- counsel or defense counsel detailed for a gen- the person shall— abouts and status of a person shall consist of eral court-martial; ‘‘(A) be declared to be missing; at least one individual described in para- ‘‘(B) have a security clearance that affords ‘‘(B) be declared to have deserted; graph (2) who has experience with and under- the counsel access to all information relat- ‘‘(C) be declared to be absent without standing of military operations or activities ing to the whereabouts and status of the per- leave; or similar to the operation or activity in which son or persons covered by the inquiry; and ‘‘(D) be declared to be dead. the person disappeared. ‘‘(C) have expertise in the law relating to ‘‘(j) REPORT TO FAMILY MEMBERS AND ‘‘(2) An individual referred to in paragraph missing persons, the determination of the OTHER INTERESTED PERSONS.—Not later than (1) is the following: death of such persons, and the rights of fam- 30 days after the date on which the Secretary ‘‘(A) A military officer, in the case of an ily members and dependents of such persons. concerned makes a determination of the sta- inquiry with respect to a member of the ‘‘(3) A missing person’s counsel— tus of a person under subsection (i), the Sec- armed forces. ‘‘(A) shall have access to all facts and evi- retary shall take reasonable actions to— ‘‘(B) A civilian, in the case of an inquiry dence considered by the board during the ‘‘(1) provide to the primary next of kin, the with respect to a civilian employee of the proceedings under the inquiry for which the other members of the immediate family, and Department of Defense or of a contractor of counsel is appointed; any other previously designated person of the Department of Defense. ‘‘(B) shall observe all official activities of the person— ‘‘(3) An individual may be appointed as a the board during such proceedings; ‘‘(A) an unclassified summary of the unit member of a board under this section only if ‘‘(C) may question witnesses before the commander’s report with respect to the per- the individual has a security clearance that board; and son under section 1502(a) of this title; and affords the individual access to all informa- ‘‘(D) shall monitor the deliberations of the ‘‘(B) the report of the board (including the tion relating to the whereabouts and status board. names of the members of the board) under of the missing persons covered by the in- ‘‘(4) A missing person’s counsel shall assist subsection (h); and quiry. the board in ensuring that all appropriate in- ‘‘(2) inform each individual referred to in ‘‘(4) A Secretary appointing a board under formation concerning the case is collected, paragraph (1) that the United States will this subsection shall, for purposes of provid- logged, filed, and safeguarded. conduct a subsequent inquiry into the where- ing legal counsel to the board, assign to the ‘‘(5) A missing person’s counsel shall re- abouts and status of the person on or about board a judge advocate, or appoint to the view the report of the board under sub- one year after the date of the first official board an attorney, who has expertise in the section (h) and submit to the Secretary con- notice of the disappearance of the person, law relating to missing persons, the deter- cerned who appointed the board an independ- unless information becomes available sooner mination of death of such persons, and the ent review of that report. That review shall that may result in a change in status of the rights of family members and dependents of be made an official part of the record of the person. such persons. board. ‘‘(k) TREATMENT OF DETERMINATION.—Any ‘‘(d) DUTIES OF BOARD.—A board appointed ‘‘(g) ACCESS TO PROCEEDINGS.—The pro- determination of the status of a missing per- to conduct an inquiry into the whereabouts ceedings of a board during an inquiry under son under subsection (i) shall be treated as H 398 CONGRESSIONAL RECORD — HOUSE January 22, 1996 the determination of the status of the person providing legal counsel to the board, assign an objection to any recommendation of the by all departments and agencies of the Unit- to the board a judge advocate, or appoint to board under subsection (i) as to the status of ed States. the board an attorney, with the same quali- the missing person. ‘‘§ 1504. Subsequent board of inquiry fications as specified in section 1503(c)(4) of ‘‘(5)(A) Individuals who wish to file objec- this title. tions under paragraph (4)(D) to any rec- ‘‘(a) ADDITIONAL BOARD.—If information ‘‘(e) DUTIES OF BOARD.—A board appointed ommendation of the board shall— that may result in a change of status of a under this section to conduct an inquiry into ‘‘(i) submit a letter of intent to the presi- person covered by a determination under sec- the whereabouts and status of a person dent of the board not later than 15 days after tion 1503(i) of this title becomes available shall— the date on which the recommendations are within one year after the date of the trans- ‘‘(1) review the reports with respect to the made; and mission of a report with respect to the per- person transmitted under section 1502(a)(2) of ‘‘(ii) submit to the president of the board son under section 1502(a)(2) of this title, the this title and submitted under section 1503(h) the objections in writing not later than 30 Secretary concerned shall appoint a board of this title; days after the date on which the rec- under this section to conduct an inquiry into ‘‘(2) collect and evaluate any document, ommendations are made. the information. fact, or other evidence with respect to the ‘‘(B) The president of a board shall include ‘‘(b) DATE OF APPOINTMENT.—The Sec- whereabouts and status of the person that any objections to a recommendation of the retary concerned shall appoint a board under has become available since the determina- board that are submitted to the president of this section to conduct an inquiry into the tion of the status of the person under section the board under subparagraph (A) in the re- whereabouts and status of a missing person 1503 of this title; port of the board containing the rec- on or about one year after the date of the ‘‘(3) draw conclusions as to the where- ommendation under subsection (i). transmission of a report concerning the per- abouts and status of the person; ‘‘(6) An individual referred to in paragraph son under section 1502(a)(2) of this title. ‘‘(4) determine on the basis of the activi- (1) who attends the proceedings of a board ‘‘(c) COMBINED INQUIRIES.—If it appears to ties under paragraphs (1) and (2) whether the under this subsection shall not be entitled to the Secretary concerned that the absence or status of the person should be continued or reimbursement by the United States for any status of two or more persons is factually re- changed; and costs (including travel, lodging, meals, local lated, the Secretary may appoint one board ‘‘(5) submit to the Secretary concerned a transportation, legal fees, transcription under this section to conduct the inquiry report describing the findings and conclu- costs, witness expenses, and other expenses) into the whereabouts and status of such per- sions of the board, together with a rec- incurred by that individual in attending such sons. ommendation for a determination by the proceedings. ‘‘(d) COMPOSITION.—(1) A board appointed Secretary concerning the whereabouts and ‘‘(h) AVAILABILITY OF INFORMATION TO under this section shall be composed of at status of the person. BOARDS.—(1) In conducting proceedings in an least three members as follows: ‘‘(f) COUNSEL FOR MISSING PERSONS.—(1) inquiry under this section, a board may se- ‘‘(A) In the case of a board that will in- When the Secretary concerned appoints a cure directly from any department or agency quire into the whereabouts and status of one board to conduct an inquiry under this sec- of the United States any information that or more members of the armed forces (and no tion, the Secretary shall appoint counsel to the board considers necessary in order to civilians described in subparagraph (B)), the represent each person covered by the in- conduct the proceedings. board shall be composed of officers having quiry. ‘‘(2) Upon written request from the presi- the grade of major or lieutenant commander ‘‘(2) A person appointed as counsel under dent of a board, the head of a department or or above. this subsection shall meet the qualifications agency of the United States shall release in- ‘‘(B) In the case of a board that will inquire and have the duties set forth in section formation covered by the request to the into the whereabouts and status of one or 1503(f) of this title for a missing person’s board. In releasing such information, the more civilian employees of the Department counsel appointed under that section. head of the department or agency shall— of Defense or contractors of the Department ‘‘(3) The review of the report of a board on ‘‘(A) declassify to an appropriate degree an inquiry that is submitted by such counsel of Defense (and no members of the armed classified information; or shall be made an official part of the record of forces), the board shall be composed of— ‘‘(B) release the information in a manner the board with respect to the inquiry. ‘‘(i) not less than three employees of the not requiring the removal of markings indi- ‘‘(g) ATTENDANCE OF FAMILY MEMBERS AND Department of Defense whose rate of annual cating the classified nature of the informa- pay is equal to or greater than the rate of CERTAIN OTHER INTERESTED PERSONS AT PRO- CEEDINGS.—(1) With respect to any person tion. annual pay payable for grade GS–13 of the ‘‘(3)(A) If a request for information under General Schedule under section 5332 of title covered by an inquiry under this section, the primary next of kin, other members of the paragraph (2) covers classified information 5; and that cannot be declassified, or if the classi- ‘‘(ii) such members of the armed forces as immediate family, and any other previously designated person of the person may attend fication markings cannot be removed before the Secretary considers advisable. the proceedings of the board during the in- release from the information covered by the ‘‘(C) In the case of a board that will inquire quiry. request, or if the material cannot be summa- into the whereabouts and status of both one ‘‘(2) The Secretary concerned shall take rized in a manner that prevents the release or more members of the armed forces and reasonable actions to notify each individual of classified information, the classified infor- one or more civilians described in subpara- referred to in paragraph (1) of the oppor- mation shall be made available only to the graph (B)— tunity to attend the proceedings of a board. president of the board making the request ‘‘(i) the board shall include at least one of- Such notice shall be provided not less than and the counsel for the missing person ap- ficer described in subparagraph (A) and at 60 days before the first meeting of the board. pointed under subsection (f). least one employee of the Department of De- ‘‘(3) An individual who receives notice ‘‘(B) The president of a board shall close to fense described in subparagraph (B)(i); and under paragraph (2) shall notify the Sec- persons who do not have appropriate secu- ‘‘(ii) the ratio of such officers to such em- retary of the intent, if any, of that individ- rity clearances the proceeding of the board ployees on the board shall be roughly propor- ual to attend the proceedings of the board at which classified information is discussed. tional to the ratio of the number of members not later than 21 days after the date on Participants at a proceeding of a board at of the armed forces who are subjects of the which the individual receives the notice. which classified information is discussed board’s inquiry to the number of civilians ‘‘(4) Each individual who notifies the Sec- shall comply with all applicable laws and who are subjects of the board’s inquiry. retary under paragraph (3) of the individual’s regulations relating to the disclosure of clas- ‘‘(2) The Secretary concerned shall des- intent to attend the proceedings of the sified information. The Secretary concerned ignate one member of a board appointed board— shall assist the president of a board in ensur- under this section as president of the board. ‘‘(A) in the case of an individual who is the ing that classified information is not com- The president of the board shall have a secu- primary next of kin or the previously des- promised through board proceedings. rity clearance that affords the president ac- ignated person, may attend the proceedings ‘‘(i) RECOMMENDATION ON STATUS.—(1) Upon cess to all information relating to the where- of the board with private counsel; completion of an inquiry under this sub- abouts and status of each person covered by ‘‘(B) shall have access to the personnel file section, a board shall make a recommenda- the inquiry. of the missing person, to unclassified re- tion as to the current whereabouts and sta- ‘‘(3) One member of each board appointed ports, if any, of the board appointed under tus of each missing person covered by the in- under this subsection shall be an individual section 1503 of this title to conduct the in- quiry. who— quiry into the whereabouts and status of the ‘‘(2) A board may not recommend under ‘‘(A) has an occupational specialty similar person, and to any other unclassified infor- paragraph (1) that a person be declared dead to that of one or more of the persons covered mation or documents relating to the where- unless in making the recommendation the by the inquiry; and abouts and status of the person; board complies with section 1507 of this title. ‘‘(B) has an understanding of and expertise ‘‘(C) shall be afforded the opportunity to ‘‘(j) REPORT.—A board appointed under this in the type of official activities that one or present information at the proceedings of section shall submit to the Secretary con- more such persons were engaged in at the the board that such individual considers to cerned a report on the inquiry carried out by time such person or persons disappeared. be relevant to those proceedings; and the board, together with the evidence consid- ‘‘(4) The Secretary who appoints a board ‘‘(D) subject to paragraph (5), shall be ered by the board during the inquiry. The re- under this subsection shall, for purposes of given the opportunity to submit in writing port may include a classified annex. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 399

‘‘(k) ACTIONS BY SECRETARY CONCERNED.— ‘‘(A) more than 30 years after the initial ‘‘(3) Whenever the Secretary concerned (1) Not later than 30 days after the receipt of report of the disappearance of the missing withholds a debriefing report from a person- a report from a board under subsection (j), person required by section 1502 of this title; nel file under this subsection, the Secretary the Secretary shall review— or shall ensure that the file contains a notice ‘‘(A) the report; ‘‘(B) if, before the end of such 30-year pe- that withheld information exists. ‘‘(B) the review of the report submitted to riod, the missing person is accounted for. ‘‘(e) WRONGFUL WITHHOLDING.—Except as the Secretary under subsection (f)(3) by the ‘‘(c) ACTION UPON DISCOVERY OR RECEIPT OF provided in subsections (a) through (d), any counsel for each person covered by the re- INFORMATION.—(1) Whenever any United person who knowingly and willfully with- port; and States intelligence agency or other element holds from the personnel file of a missing ‘‘(C) the objections, if any, to the report of the Government finds or receives informa- person any information relating to the dis- submitted to the president of the board tion that may be related to a missing person, appearance or whereabouts and status of a under subsection (g)(5). the information shall promptly be forwarded missing person shall be fined as provided in ‘‘(2) In reviewing a report under paragraph to the office established under section 1501 of title 18 or imprisoned not more than one (1) (including the objections described in sub- this title. year, or both. ‘‘(f) AVAILABILITY OF INFORMATION.—The paragraph (C) of that paragraph), the Sec- ‘‘(2) Upon receipt of information under Secretary concerned shall, upon request, retary concerned shall determine whether or paragraph (1), the head of the office estab- make available the contents of the personnel not the report is complete and free of admin- lished under section 1501 of this title shall as file of a missing person to the primary next istrative error. If the Secretary determines expeditiously as possible ensure that the in- of kin, the other members of the immediate that the report is incomplete, or that the re- formation is added to the appropriate case port is not free of administrative error, the family, or any other previously designated file for that missing person and notify (A) person of the person. Secretary may return the report to the the designated missing person’s counsel for board for further action on the report by the that person, and (B) the primary next of kin ‘‘§ 1507. Recommendation of status of death board. and any previously designated person for the ‘‘(a) REQUIREMENTS RELATING TO REC- ‘‘(3) Upon a determination by the Sec- missing person of the existence of that infor- OMMENDATION.—A board appointed under sec- retary that a report reviewed under this sub- mation. tion 1503, 1504, or 1505 of this title may not section is complete and free of administra- ‘‘(3) The head of the office established recommend that a person be declared dead tive error, the Secretary shall make a deter- under section 1501 of this title, with the ad- unless— mination concerning the status of each per- vice of the missing person’s counsel notified ‘‘(1) credible evidence exists to suggest son covered by the report. that the person is dead; ‘‘(l) REPORT TO FAMILY MEMBERS AND under paragraph (2), shall determine whether the information is significant enough to re- ‘‘(2) the United States possesses no credible OTHER INTERESTED PERSONS.—Not later than evidence that suggests that the person is 60 days after the date on which the Secretary quire a board review under this section. ‘‘(d) CONDUCT OF PROCEEDINGS.—If it is de- alive; and concerned makes a determination with re- ‘‘(3) representatives of the United States— spect to a missing person under subsection termined that such a board should be ap- pointed, the appointment of, and activities ‘‘(A) have made a complete search of the (k), the Secretary shall— area where the person was last seen (unless, ‘‘(1) provide the report reviewed by the before, a board appointed under this section shall be governed by the provisions of sec- after making a good faith effort to obtain ac- Secretary in making the determination to cess to such area, such representatives are the primary next of kin, the other members tion 1504 of this title with respect to a board appointed under that section. not granted such access); and of the immediate family, and any other pre- ‘‘(B) have examined the records of the gov- viously designated person of the person; and ‘‘§ 1506. Personnel files ernment or entity having control over the ‘‘(2) in the case of a person who continues ‘‘(a) INFORMATION IN FILES.—Except as pro- area where the person was last seen (unless, to be in a missing status, inform each indi- vided in subsections (b), (c), and (d), the Sec- after making a good faith effort to obtain ac- vidual referred to in paragraph (1) that the retary concerned shall, to the maximum ex- cess to such records, such representatives United States will conduct a further inves- tent practicable, ensure that the personnel are not granted such access). tigation into the whereabouts and status of file of a missing person contains all informa- ‘‘(b) SUBMITTAL OF INFORMATION ON the person as specified in section 1505 of this tion in the possession of the United States DEATH.—If a board appointed under section title. relating to the disappearance and where- 1503, 1504, or 1505 of this title makes a rec- ‘‘(m) TREATMENT OF DETERMINATION.—Any abouts and status of the person. ommendation that a missing person be de- determination of the status of a missing per- ‘‘(b) CLASSIFIED INFORMATION.—The Sec- clared dead, the board shall include in the re- son under subsection (k) shall supersede the retary concerned may withhold classified in- port of the board with respect to the person determination of the status of the person formation from a personnel file under this under that section the following: under section 1503 of this title and shall be section. If the Secretary concerned with- ‘‘(1) A detailed description of the location treated as the determination of the status of holds classified information from a personnel where the death occurred. the person by all departments and agencies file, the Secretary shall ensure that the file ‘‘(2) A statement of the date on which the of the United States. contains the following: death occurred. ‘‘§ 1505. Further review ‘‘(1) A notice that the withheld informa- ‘‘(3) A description of the location of the ‘‘(a) SUBSEQUENT REVIEW.—The Secretary tion exists. body, if recovered. concerned shall conduct subsequent inquiries ‘‘(2) A notice of the date of the most recent ‘‘(4) If the body has been recovered and is into the whereabouts and status of any per- review of the classification of the withheld not identifiable through visual means, a cer- son determined by the Secretary under sec- information. tification by a practitioner of an appropriate tion 1504 of this title to be in a missing sta- ‘‘(c) PROTECTION OF PRIVACY.—The Sec- forensic science that the body recovered is tus. retary concerned shall maintain personnel that of the missing person. ‘‘(b) FREQUENCY OF SUBSEQUENT REVIEWS.— files under this section, and shall permit dis- (1) In the case of a missing person who was ‘‘§ 1508. Judicial review closure of or access to such files, in accord- ‘‘(a) RIGHT OF REVIEW.—A person who is last known to be alive or who was last sus- ance with the provisions of section 552a of pected of being alive, the Secretary shall ap- the primary next of kin (or the previously title 5 and with other applicable laws and point a board to conduct an inquiry with re- designated person) of a person who is the regulations pertaining to the privacy of the spect to a person under this subject of a finding described in subsection subsection— persons covered by the files. (b) may obtain judicial review in a United ‘‘(A) on or about three years after the date ‘‘(d) PRIVILEGED INFORMATION.—(1) The States district court of that finding, but of the initial report of the disappearance of Secretary concerned shall withhold from only on the basis of a claim that there is in- the person under section 1502(a) of this title; personnel files under this section, as privi- formation that could affect the status of the and leged information, debriefing reports pro- missing person’s case that was not ade- ‘‘(B) not later than every three years vided by missing persons returned to United quately considered during the administra- thereafter. States control which are obtained under a tive review process under this chapter. Any ‘‘(2) In addition to appointment of boards promise of confidentiality made for the pur- such review shall be as provided in section under paragraph (1), the Secretary shall ap- pose of ensuring the fullest possible disclo- 706 of title 5. point a board to conduct an inquiry with re- sure of information. ‘‘(b) FINDINGS FOR WHICH JUDICIAL REVIEW spect to a missing person under this sub- ‘‘(2) If a debriefing report contains non-de- MAY BE SOUGHT.—Subsection (a) applies to section upon receipt of information that rogatory information about the status and the following findings: could result in a change of status of the whereabouts of a missing person other than ‘‘(1) A finding by a board appointed under missing person. When the Secretary appoints the source of the debriefing report, the Sec- section 1504 or 1505 of this title that a miss- a board under this paragraph, the time for retary concerned shall prepare an extract of ing person is dead. subsequent appointments of a board under the non-derogatory information. That ex- ‘‘(2) A finding by a board appointed under paragraph (1)(B) shall be determined from tract, following a review by the source of the section 1509 of this title that confirms that a the date of the receipt of such information. debriefing report, shall be placed in the per- missing person formerly declared dead is in ‘‘(3) The Secretary is not required to ap- sonnel file of the missing person in such a fact dead. point a board under paragraph (1) with re- manner as to protect the identity of the ‘‘(c) SUBSEQUENT REVIEW.—Appeals from a spect to the disappearance of any person— source providing the information. decision of the district court shall be taken H 400 CONGRESSIONAL RECORD — HOUSE January 22, 1996 to the appropriate United States court of ap- absence of the person while given that status given sole legal custody of the person by a peals and to the Supreme Court as provided or declared dead under the law and regula- court decree or otherwise under law before by law. tions relating to the pay and allowances of the person attained the age of 18 years and ‘‘§ 1509. Preenactment, special interest cases persons returning from a missing status. such custody was not subsequently termi- ‘‘(b) EFFECT ON GRATUITIES PAID AS A RE- nated before that time. ‘‘(a) REVIEW OF STATUS.—In the case of an SULT OF STATUS.—Subsection (a) shall not be ‘‘(6) The term ‘previously designated per- unaccounted for person covered by section interpreted to invalidate or otherwise affect son’, in the case of a missing person, means 1501(c) of this title who is described in sub- the receipt by any person of a death gratuity an individual designated by the person under section (b), if new information that could or other payment from the United States on section 655 of this title for purposes of this change the status of that person is found or behalf of a person referred to in subsection chapter. received by a United States intelligence (a) before the date of the enactment of this ‘‘(7) The term ‘classified information’ agency, by a Department of Defense agency, chapter. means any information the unauthorized dis- or by a person specified in section 1504(g) of ‘‘§ 1512. Effect on State law closure of which (as determined under appli- this title, that information shall be provided ‘‘(a) NONPREEMPTION OF STATE AUTHOR- cable law and regulations) could reasonably to the Secretary of Defense with a request ITY.—Nothing in this chapter shall be con- be expected to damage the national security. that the Secretary evaluate the information strued to invalidate or limit the power of ‘‘(8) The term ‘theater component com- in accordance with sections 1505(c) and any State court or administrative entity, or mander’ means, with respect to any of the 1505(d) of this title. the power of any court or administrative en- combatant commands, an officer of any of ‘‘(b) CASES ELIGIBLE FOR REVIEW.—The tity of any political subdivision thereof, to the armed forces who (A) is commander of all cases eligible for review under this section find or declare a person dead for purposes of forces of that armed force assigned to that are the following: such State or political subdivision. combatant command, and (B) is directly sub- ‘‘(1) With respect to the Korean conflict, ‘‘(b) STATE DEFINED.—In this section, the ordinate to the commander of the combatant any unaccounted for person who was classi- term ‘State’ includes the District of Colum- command.’’. fied as a prisoner of war or as missing in ac- bia, the Commonwealth of Puerto Rico, and (2) The tables of chapters at the beginning tion during that conflict and who (A) was any territory or possession of the United of subtitle A, and at the beginning of part II known to be or suspected to be alive at the States. of subtitle A, of title 10, United States Code, end of that conflict, or (B) was classified as ‘‘§ 1513. Definitions are amended by inserting after the item re- missing in action and whose capture was pos- ‘‘In this chapter: lating to chapter 75 the following new item: sible. ‘‘(1) The term ‘missing person’ means— ‘‘76. Missing Persons ...... 1501’’. ‘‘(2) With respect to the Cold War, any un- ‘‘(A) a member of the Armed Forces on ac- (c) CONFORMING AMENDMENTS.—Chapter 10 accounted for person who was engaged in in- tive duty who is in a missing status; or of title 37, United States Code, is amended as telligence operations (such as aerial ‘ferret’ ‘‘(B) a civilian employee of the Department follows: reconnaissance missions over and around the of Defense or an employee of a contractor of (1) Section 555 is amended— Soviet Union and China) during the Cold the Department of Defense who serves with (A) in subsection (a), by striking out War. or accompanies the Armed Forces in the ‘‘When a member’’ and inserting in lieu ‘‘(3) With respect to the Indochina war era, field under orders and who is in a missing thereof ‘‘Except as provided in subsection any unaccounted for person who was classi- status. (d), when a member’’; and fied as a prisoner of war or as missing in ac- ‘‘(2) The term ‘missing status’ means the (B) by adding at the end the following new tion during the Indochina conflict. status of a missing person who is determined subsection: ‘‘(c) SPECIAL RULE FOR PERSONS CLASSIFIED to be absent in a category of any of the fol- ‘‘(d) This section does not apply in a case AS ‘KIA/BNR’.—In the case of a person de- lowing: to which section 1502 of title 10 applies.’’. scribed in subsection (b) who was classified ‘‘(A) Missing. (2) Section 552 is amended— as ‘killed in action/body not recovered’, the ‘‘(B) Missing in action. (A) in subsection (a), by striking out ‘‘for case of that person may be reviewed under ‘‘(C) Interned in a foreign country. all purposes,’’ in the second sentence of the this section only if the new information re- ‘‘(D) Captured. matter following paragraph (2) and all that ferred to in subsection (a) is compelling. ‘‘(E) Beleaguered. follows through the end of the sentence and ‘‘(d) DEFINITIONS.—In this section: ‘‘(F) Besieged. inserting in lieu thereof ‘‘for all purposes.’’; ‘‘(1) The term ‘Korean conflict’ means the ‘‘(G) Detained in a foreign country against (B) in subsection (b), by inserting ‘‘or period beginning on June 27, 1950, and ending that person’s will. under chapter 76 of title 10’’ before the period on January 31, 1955. ‘‘(3) The term ‘accounted for’, with respect at the end; and ‘‘(2) The term ‘Cold War’ means the period to a person in a missing status, means that— (C) in subsection (e), by inserting ‘‘or beginning on September 2, 1945, and ending ‘‘(A) the person is returned to United under chapter 76 of title 10’’ after ‘‘section on August 21, 1991. States control alive; 555 of this title’’. ‘‘(3) The term ‘Indochina war era’ means ‘‘(B) the remains of the person are recov- (3) Section 553 is amended— the period beginning on July 8, 1959, and end- ered and, if not identifiable through visual (A) in subsection (f), by striking out ‘‘the ing on May 15, 1975. means as those of the missing person, are date the Secretary concerned receives evi- ‘‘§ 1510. Applicability to Coast Guard identified as those of the missing person by dence that’’ and inserting in lieu thereof ‘‘(a) DESIGNATED OFFICER TO HAVE RESPON- a practitioner of an appropriate forensic ‘‘the date on which, in a case covered by sec- SIBILITY.—The science; or tion 555 of this title, the Secretary concerned Secretary of Transportation shall designate ‘‘(C) credible evidence exists to support an- receives evidence, or, in a case covered by an officer of the Department of Transpor- other determination of the person’s status. chapter 76 of title 10, the Secretary con- tation to have responsibility within the De- ‘‘(4) The term ‘primary next of kin’, in the cerned determines pursuant to that chapter, partment of Transportation for matters re- case of a missing person, means the individ- that’’; and lating to missing persons who are members ual authorized to direct disposition of the re- (B) in subsection (g), by inserting ‘‘or of the Coast Guard. mains of the person under section 1482(c) of under chapter 76 of title 10’’ after ‘‘section this title. ‘‘(b) PROCEDURES.—The Secretary of Trans- 555 of this title’’. portation shall prescribe procedures for the ‘‘(5) The term ‘member of the immediate (4) Section 556 is amended— determination of the status of persons de- family’, in the case of a missing person, (A) in subsection (a), by inserting after scribed in section 1501(c) of this title who are means the following: paragraph (7) the following: ‘‘(A) The spouse of the person. members of the Coast Guard and for the col- ‘‘Paragraphs (1), (5), (6), and (7) only apply ‘‘(B) A natural child, adopted child, step- lection, analysis, review, and update of infor- with respect to a case to which section 555 of child, or illegitimate child (if acknowledged mation on such persons. To the maximum this title applies.’’; by the person or parenthood has been estab- extent practicable, the procedures prescribed (B) in subsection (b), by inserting ‘‘, in a lished by a court of competent jurisdiction) under this section shall be similar to the case to which section 555 of this title ap- of the person, except that if such child has procedures prescribed by the Secretary of plies,’’ after ‘‘When the Secretary con- not attained the age of 18 years, the term Defense under section 1501(b) of this title. cerned’’; and means a surviving parent or legal guardian (C) in subsection (h)— ‘‘§ 1511. Return alive of person declared miss- of such child. (i) in the first sentence, by striking out ing or dead ‘‘(C) A biological parent of the person, un- ‘‘status’’ and inserting in lieu thereof ‘‘pay’’; ‘‘(a) PAY AND ALLOWANCES.—Any person less legal custody of the person by the parent and (except for a person subsequently determined has been previously terminated by reason of (ii) in the second sentence, by inserting ‘‘in to have been absent without leave or a de- a court decree or otherwise under law and a case to which section 555 of this title ap- serter) in a missing status or declared dead not restored. plies’’ after ‘‘under this section’’. under subchapter VII of chapter 55 of title 5 ‘‘(D) A brother or sister of the person, if (d) DESIGNATION OF PERSONS HAVING INTER- or chapter 10 of title 37 or by a board ap- such brother or sister has attained the age of EST IN STATUS OF SERVICE MEMBERS.—(1) pointed under this chapter who is found alive 18 years. Chapter 37 of title 10, United States Code, is and returned to the control of the United ‘‘(E) Any other blood relative or adoptive amended by adding at the end the following States shall be paid for the full time of the relative of the person, if such relative was new section: January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 401 ‘‘§ 655. Designation of persons having inter- ‘‘(e) In the event that neither the Director able) the official submitting the request for est in status of a missing member nor Deputy Director of Central Intelligence assistance certifies that the commercial en- ‘‘(a) The Secretary concerned shall, upon is a commissioned officer of the Armed tity that would otherwise provide such serv- the enlistment or appointment of a person in Forces, a commissioned officer of the Armed ices has agreed to the provision of such serv- the armed forces, require that the person Forces appointed to the position of Associate ices by the armed forces. specify in writing the person or persons, if Director of Central Intelligence for Military ‘‘(d) RELATIONSHIP TO MILITARY TRAIN- any, other than that person’s primary next Support, while serving in such position, shall ING.—(1) Assistance under subsection (a) may of kin or immediate family, to whom infor- not be counted against the numbers and per- only be provided if the following require- mation on the whereabouts and status of the centages of commissioned officers of the ments are met: member shall be provided if such where- rank and grade of such officer authorized for ‘‘(A) The provision of such assistance— abouts and status are investigated under the armed force of which such officer is a ‘‘(i) in the case of assistance by a unit, will chapter 76 of this title. The Secretary shall member.’’. accomplish valid unit training requirements; and periodically, and whenever the member is de- Subtitle G—Support for Non-Department of ‘‘(ii) in the case of assistance by an individ- ployed as part of a contingency operation or Defense Activities in other circumstances specified by the Sec- ual member, will involve tasks directly re- SEC. 571. REPEAL OF CERTAIN CIVIL-MILITARY lated to the specific military occupational retary, require that such designation be re- PROGRAMS. confirmed, or modified, by the member. specialty of the member. (a) REPEAL OF CIVIL-MILITARY COOPERATIVE ‘‘(b) The Secretary concerned shall, upon ‘‘(B) The provision of such assistance will ACTION PROGRAM.—The following provisions the request of a member, permit the member not adversely affect the quality of training of law are repealed: to revise the person or persons specified by or otherwise interfere with the ability of a (1) Section 410 of title 10, United States the member under subsection (a) at any member or unit of the armed forces to per- Code. time. Any such revision shall be in writing.’’. form the military functions of the member (2) The table of sections at the beginning of (2) Section 1081(a) of the National Defense or unit. such chapter is amended by adding at the Authorization Act for Fiscal Year 1993 (Pub- ‘‘(C) The provision of such assistance will end the following new item: lic Law 102–484; 10 U.S.C. 410 note). not result in a significant increase in the (b) REPEAL OF RELATED PROVISION.—Sec- ‘‘655. Designation of persons having interest cost of the training. tion 1045 of the National Defense Authoriza- in status of a missing mem- ‘‘(2) Subparagraph (A)(i) of paragraph (1) tion Act for Fiscal Year 1993 (Public Law ber.’’. does not apply in a case in which the assist- 102–484; 10 U.S.C. 410 note), relating to a pilot ance to be provided consists primarily of (e) ACCOUNTING FOR CIVILIAN EMPLOYEE AND outreach program to reduce demand for ille- military manpower and the total amount of CONTRACTORS OF THE UNITED STATES.—(1) gal drugs, is repealed. such assistance in the case of a particular The Secretary of State shall carry out a (c) TECHNICAL AND CONFORMING AMEND- project does not exceed 100 man-hours. comprehensive study of the provisions of MENTS.—Chapter 20 of title 10, United States ‘‘(e) ELIGIBLE ENTITIES.—The following or- subchapter VII of chapter 55 of title 5, United Code, is amended— ganizations and activities are eligible for as- States Code (commonly referred to as the (1) by striking out the table of subchapters sistance under this section: ‘‘Missing Persons Act of 1942’’) (5 U.S.C. 5561 after the chapter heading; ‘‘(1) Any Federal, regional, State, or local et seq.) and any other law or regulation es- (2) by striking out the subchapter heading governmental entity. tablishing procedures for the accounting for for subchapter I; and ‘‘(2) Youth and charitable organizations of civilian employees of the United States or (3) by striking out the subchapter heading specified in section 508 of title 32. contractors of the United States who serve for subchapter II and the table of sections ‘‘(3) Any other entity as may be approved with or accompany the Armed Forces in the following that subchapter heading. by the Secretary of Defense on a case-by- field. The purpose of the study shall be to de- case basis. termine the means, if any, by which those SEC. 572. TRAINING ACTIVITIES RESULTING IN INCIDENTAL SUPPORT AND SERV- ‘‘(f) REGULATIONS.—The Secretary of De- procedures may be improved. ICES FOR ELIGIBLE ORGANIZATIONS fense shall prescribe regulations governing (2) The Secretary of State shall carry out AND ACTIVITIES OUTSIDE THE DE- the provision of assistance under this sec- the study required under paragraph (1) in PARTMENT OF DEFENSE. tion. The regulations shall include the fol- consultation with the Secretary of Defense, (a) IN GENERAL.—(1) Chapter 101 of title 10, lowing: the Secretary of Transportation, the Direc- United States Code, is amended by adding at ‘‘(1) Rules governing the types of assist- tor of Central Intelligence, and the heads of the end the following new section: ance that may be provided. such other departments and agencies of the ‘‘§ 2012. Support and services for eligible or- ‘‘(2) Procedures governing the delivery of United States as the President designates for ganizations and activities outside Depart- assistance that ensure, to the maximum ex- that purpose. tent practicable, that such assistance is pro- (3) In carrying out the study, the Secretary ment of Defense vided in conjunction with, rather than sepa- of State shall examine the procedures under- ‘‘(a) AUTHORITY TO PROVIDE SERVICES AND rate from, civilian efforts. taken when a civilian employee referred to SUPPORT.—Under regulations prescribed by ‘‘(3) Procedures for appropriate coordina- in paragraph (1) becomes involuntarily ab- the Secretary of Defense, the Secretary of a tion with civilian officials to ensure that the sent as a result of a hostile action, or under military department may in accordance with assistance— circumstances suggesting that the involun- this section authorize units or individual ‘‘(A) meets a valid need; and tary absence is a result of a hostile action, members of the armed forces under that Sec- ‘‘(B) does not duplicate other available and whose status is undetermined or who is retary’s jurisdiction to provide support and public services. unaccounted for, including procedures for— services to non-Department of Defense orga- ‘‘(4) Procedures to ensure that Department (A) search and rescue for the employee; nizations and activities specified in sub- of Defense resources are not applied exclu- (B) determining the status of the em- section (e), but only if— sively to the program receiving the assist- ployee; ‘‘(1) such assistance is authorized by a pro- ance. (C) reviewing and changing the status of vision of law (other than this section); or ‘‘(g) ADVISORY COUNCILS.—(1) The Sec- the employee; ‘‘(2) the provision of such assistance is in- cidental to military training. retary of Defense shall encourage the estab- (D) determining the rights and benefits ac- lishment of advisory councils at regional, corded to the family of the employee; and ‘‘(b) SCOPE OF COVERED ACTIVITIES SUBJECT TO SECTION.—This section does not— State, and local levels, as appropriate, in (E) maintaining and providing appropriate order to obtain recommendations and guid- access to the records of the employee and the ‘‘(1) apply to the provision by the Sec- retary concerned, under regulations pre- ance concerning assistance under this sec- investigation into the status of the em- tion from persons who are knowledgeable scribed by the Secretary of Defense, of cus- ployee. about regional, State, and local conditions tomary community relations and public af- (4) Not later than one year after the date of and needs. the enactment of this Act, the Secretary of fairs activities conducted in accordance with ‘‘(2) The advisory councils should include State shall submit to the Committee on Department of Defense policy; or officials from relevant military organiza- Armed Services of the Senate and the Com- ‘‘(2) prohibit the Secretary concerned from tions, representatives of appropriate local, mittee on National Security of the House of encouraging members of the armed forces State, and Federal agencies, representatives Representatives a report on the study car- under the Secretary’s jurisdiction to provide of civic and social service organizations, ried out by the Secretary under this sub- volunteer support for community relations business representatives, and labor rep- section. The report shall include the rec- activities under regulations prescribed by resentatives. ommendations, if any, of the Secretary for the Secretary of Defense. ‘‘(3) The Federal Advisory Committee Act legislation to improve the procedures cov- ‘‘(c) REQUIREMENT FOR SPECIFIC REQUEST.— (5 U.S.C. App.) shall not apply to such coun- ered by the study. Assistance under subsection (a) may only be cils. SEC. 570. ASSOCIATE DIRECTOR OF CENTRAL IN- provided if— ‘‘(h) CONSTRUCTION OF PROVISION.—Nothing TELLIGENCE FOR MILITARY SUP- ‘‘(1) the assistance is requested by a re- in this section shall be construed as author- PORT. sponsible official of the organization to izing— Section 102 of the National Security Act of which the assistance is to be provided; and ‘‘(1) the use of the armed forces for civilian 1947 (50 U.S.C. 403) is amended by adding at ‘‘(2) the assistance is not reasonably avail- law enforcement purposes or for response to the end the following: able from a commercial entity or (if so avail- natural or manmade disasters; or H 402 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(2) the use of Department of Defense per- retary concerned. The Secretary concerned SEC. 604. PAYMENT OF BASIC ALLOWANCE FOR sonnel or resources for any program, project, may exceed such percentage if the Secretary QUARTERS TO MEMBERS IN PAY or activity that is prohibited by law.’’. determines that compliance would increase GRADE E–6 WHO ARE ASSIGNED TO SEA DUTY. (b) CLERICAL AMENDMENT.—The table of costs to the Government, would impose fi- (a) PAYMENT AUTHORIZED.—Section sections at the beginning of such chapter is nancial hardships on members otherwise en- 403(c)(2) of title 37, United States Code, is amended by adding at the end the following titled to a basic allowance for subsistence, or amended— new item: would reduce the quality of life for such (1) in the first sentence, by striking out members. This paragraph shall not apply to ‘‘2012. Support and services for eligible orga- ‘‘E–7’’ and inserting in lieu thereof ‘‘E–6’’; members described in the first sentence nizations and activities outside and when the members are not residing at their Department of Defense.’’. (2) in the second sentence, by striking out permanent duty station. The Secretary con- SEC. 573. NATIONAL GUARD CIVILIAN YOUTH ‘‘E–6’’ and inserting in lieu thereof ‘‘E–5’’. cerned shall achieve the percentage limita- OPPORTUNITIES PILOT PROGRAM. (b) EFFECTIVE DATE.—The amendments tion specified in this paragraph as soon as (a) TERMINATION.—The authority under made by this section shall take effect on possible after the date of the enactment of subsection (a) of section 1091 of the National July 1, 1996. Defense Authorization Act for Fiscal Year this paragraph, but in no case later than September 30, 1996.’’. SEC. 605. LIMITATION ON REDUCTION OF VARI- 1993 (Public Law 102–484; 32 U.S.C. 501 note) ABLE HOUSING ALLOWANCE FOR to carry out a pilot program under that sec- (b) STYLISTIC AMENDMENTS.—Such sub- CERTAIN MEMBERS. tion is hereby continued through the end of section is further amended— (a) LIMITATION ON REDUCTION IN VHA.—(1) the 18-month period beginning on the date of (1) by redesignating paragraphs (1), (2), and Subsection (c)(3) of section 403a of title 37, the enactment of this Act and such author- (3) as subparagraphs (A), (B), and (C); United States Code, is amended by adding at ity shall terminate as of the end of that pe- (2) by inserting ‘‘(1)’’ after ‘‘(b)’’; the end the following new sentence: ‘‘How- riod. (3) by designating the text composed of the ever, so long as a member of a uniformed (b) LIMITATION ON NUMBER OF PROGRAMS.— second, third, and fourth sentences as para- service retains uninterrupted eligibility to During the period beginning on the date of graph (2); and receive a variable housing allowance within the enactment of this Act and ending on the (4) by designating the text composed of the an area and the member’s certified housing termination of the pilot program under sub- fifth and sixth sentences as paragraph (3). costs are not reduced (as indicated by certifi- section (a), the number of programs carried (c) CONFORMING AMENDMENTS.—(1) Sub- cations provided by the member under sub- out under subsection (d) of that section as section (e) of such section is amended— section (b)(4)), the monthly amount of a vari- part of the pilot program may not exceed the (A) in paragraph (1), by striking out ‘‘the able housing allowance under this section for number of such programs as of September 30, third sentence of subsection (b)’’ and insert- the member within that area may not be re- 1995. ing in lieu thereof ‘‘subsection (b)(2)’’; and duced as a result of systematic adjustments SEC. 574. TERMINATION OF FUNDING FOR OF- (B) in paragraph (2), by striking out ‘‘sub- required by changes in housing costs within FICE OF CIVIL-MILITARY PROGRAMS section (b)’’ and inserting in lieu thereof that area.’’. IN OFFICE OF THE SECRETARY OF ‘‘subsection (b)(2)’’. (2) The amendment made by paragraph (1) DEFENSE. shall apply for fiscal years after fiscal year (2) Section 1012 of title 37, United States No funds may be obligated or expended 1995. Code, is amended by striking out ‘‘the last after the date of the enactment of this Act (b) EFFECT ON TOTAL AMOUNT AVAILABLE sentence of section 402(b)’’ and inserting in (1) for the office that as of the date of the en- FOR VHA.—Subsection (d)(3) of such section actment of this Act is designated, within the lieu thereof ‘‘section 402(b)(3)’’. is amended by inserting after the first sen- Office of the Assistant Secretary of Defense (d) REPORT REQUIRED.—Not later than tence the following new sentence: ‘‘In addi- for Reserve Affairs, as the Office of Civil- March 31, 1996, the Secretary of Defense shall tion, the total amount determined under Military Programs, or (2) for any other en- submit to Congress a report identifying, for paragraph (1) shall be adjusted to ensure tity within the Office of the Secretary of De- the Army, Navy, Air Force, and Marine that sufficient amounts are available to fense that has an exclusive or principal mis- Corps— allow payment of any additional amounts of sion of providing centralized direction for ac- (1) the number of members who reside variable housing allowance necessary as a re- tivities under section 2012 of title 10, United without dependents in Government quarters sult of the requirements of the second sen- States Code, as added by section 572. at their permanent duty stations and receive tence of subsection (c)(3).’’. TITLE VI—COMPENSATION AND OTHER a basic allowance for subsistence under sec- (c) REPORT ON IMPLEMENTATION.—Not later PERSONNEL BENEFITS tion 402 of title 37, United States Code; than June 1, 1996, the Secretary of Defense Subtitle A—Pay and Allowances (2) such number as a percentage of the shall submit to Congress a report describing total number of members who reside without the procedures to be used to implement the SEC. 601. MILITARY PAY RAISE FOR FISCAL YEAR 1996. dependents in Government quarters; amendments made by this section and the (3) a recommended maximum percentage of costs of such amendments. (a) RESCISSION OF PRIOR SECTION 1009 AD- the members residing without dependents in (d) RESOLVING VHA INADEQUACIES IN HIGH JUSTMENT.—The adjustment made as of Jan- HOUSING COST AREAS.—If the Secretary of uary 1, 1996, pursuant to section 4 of Execu- Government quarters at their permanent Defense determines that, despite the amend- tive order No. 12984 (issued December 28, duty station who should receive a basic al- ments made by this section, inadequacies 1995), in elements of compensation of mem- lowance for subsistence; and exist in the provision of variable housing al- bers of the uniformed services pursuant to (4) the reasons such maximum percentage lowances under section 403a of title 37, Unit- section 1009 of title 37, United States Code, is is recommended. ed States Code, the Secretary shall submit hereby rescinded. SEC. 603. ELECTION OF BASIC ALLOWANCE FOR to Congress a report containing a legislative (b) INCREASE IN BASIC PAY AND BAS.—The QUARTERS INSTEAD OF ASSIGN- rates of basic pay and basic allowance for MENT TO INADEQUATE QUARTERS. proposal to address the inadequacies. The subsistence of members of the uniformed Secretary shall make the determination re- (a) ELECTION AUTHORIZED.—Section 403(b) quired by this subsection and submit the re- services, as in effect on December 31, 1995, of title 37, United States Code, is amended— are hereby increased by 2.4 percent. port, if necessary, not later than May 31, (1) by inserting ‘‘(1)’’ after ‘‘(b)’’; 1996. (c) INCREASE IN BAQ.—The rates of basic (2) by designating the second sentence as allowance for quarters of members of the paragraph (2) and, as so designated, by strik- SEC. 606. CLARIFICATION OF LIMITATION ON uniformed services, as in effect on December ELIGIBILITY FOR FAMILY SEPARA- ing out ‘‘However, subject’’ and inserting in TION ALLOWANCE. 31, 1995, are hereby increased by 5.2 percent. lieu thereof ‘‘Subject’’; and Section 427(b)(4) of title 37, United States (d) EFFECTIVE DATE.—This section shall (3) by adding at the end the following new Code, is amended in the first sentence by in- take effect as of January 1, 1996. paragraph: serting ‘‘paragraph (1)(A) of’’ after ‘‘not enti- SEC. 602. LIMITATION ON BASIC ALLOWANCE ‘‘(3) A member without dependents who is tled to an allowance under’’. FOR SUBSISTENCE FOR MEMBERS RESIDING WITHOUT DEPENDENTS in pay grade E–6 and who is assigned to quar- Subtitle B—Bonuses and Special and IN GOVERNMENT QUARTERS. ters of the United States that do not meet Incentive Pays the minimum adequacy standards estab- (a) PERCENTAGE LIMITATION.—Subsection SEC. 611. EXTENSION OF CERTAIN BONUSES FOR (b) of section 402 of title 37, United States lished by the Department of Defense for RESERVE FORCES. Code, is amended by adding after the last members in such pay grade, or to a housing (a) SELECTED RESERVE REENLISTMENT sentence the following new paragraph: facility under the jurisdiction of a uniformed BONUS.—Section 308b(f) of title 37, United ‘‘(4) In the case of enlisted members of the service that does not meet such standards, States Code, is amended by striking out Army, Navy, Air Force, or Marine Corps may elect not to occupy such quarters or fa- ‘‘September 30, 1996’’ and inserting in lieu who, when present at their permanent duty cility and instead to receive the basic allow- thereof ‘‘September 30, 1997’’. station, reside without dependents in Gov- ance for quarters prescribed for the mem- (b) SELECTED RESERVE ENLISTMENT ernment quarters, the Secretary concerned ber’s pay grade by this section.’’. BONUS.—Section 308c(e) of title 37, United may not provide a basic allowance for sub- (b) EFFECTIVE DATE.—The amendments States Code, is amended by striking out sistence to more than 12 percent of such made by this section shall take effect on ‘‘September 30, 1996’’ and inserting in lieu members under the jurisdiction of the Sec- July 1, 1996. thereof ‘‘September 30, 1997’’. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 403

(c) SELECTED RESERVE AFFILIATION (f) NUCLEAR CAREER ACCESSION BONUS.— specialty designated by regulations as a BONUS.—Section 308e(e) of title 37, United Section 312b(c) of title 37, United States critically short wartime specialty. States Code, is amended by striking out Code, is amended by striking out ‘‘Septem- ‘‘(c) TIME FOR PAYMENT.—Special pay ‘‘September 30, 1996’’ and inserting in lieu ber 30, 1996’’ and inserting in lieu thereof under this section shall be paid annually at thereof ‘‘September 30, 1997’’. ‘‘September 30, 1997’’. the beginning of each twelve-month period (d) READY RESERVE ENLISTMENT AND REEN- (g) NUCLEAR CAREER ANNUAL INCENTIVE for which the officer has agreed to serve. LISTMENT BONUS.—Section 308h(g) of title 37, BONUS.—Section 312c(d) of title 37, United ‘‘(d) REFUND REQUIREMENT.—An officer who United States Code, is amended by striking States Code, is amended by striking out ‘‘Oc- voluntarily terminates service in the Se- out ‘‘September 30, 1996’’ and inserting in tober 1, 1996’’ and inserting in lieu thereof lected Reserve of an armed force before the lieu thereof ‘‘September 30, 1997’’. ‘‘October 1, 1997’’. end of the period for which a payment was (e) PRIOR SERVICE ENLISTMENT BONUS.— (h) REPAYMENT OF EDUCATION LOANS FOR made to such officer under this section shall Section 308i(i) of title 37, United States Code, CERTAIN HEALTH PROFESSIONALS WHO SERVE refund to the United States the full amount is amended by striking out ‘‘September 30, IN THE SELECTED RESERVE.—Section 16302(d) of the payment made for the period on which 1996’’ and inserting in lieu thereof ‘‘Septem- of title 10, United States Code, is amended by the payment was based. ber 30, 1997’’. striking out ‘‘October 1, 1996’’ and inserting SEC. 612. EXTENSION OF CERTAIN BONUSES AND in lieu thereof ‘‘October 1, 1997’’. ‘‘(e) INAPPLICABILITY OF DISCHARGE IN SPECIAL PAY FOR NURSE OFFICER (i) COVERAGE OF PERIOD OF LAPSED AGREE- BANKRUPTCY.—A discharge in bankruptcy CANDIDATES, REGISTERED NURSES, MENT AUTHORITY.—(1) In the case of an offi- under title 11 that is entered less than five AND NURSE ANESTHETISTS. cer described in section 301b(b) of title 37, years after the termination of an agreement (a) NURSE OFFICER CANDIDATE ACCESSION United States Code, who executes an agree- under this section does not discharge the PROGRAM.—Section 2130a(a)(1) of title 10, ment described in paragraph (2) during the person receiving special pay under the agree- United States Code, is amended by striking 90-day period beginning on the date of the ment from the debt arising under the agree- out ‘‘September 30, 1996’’ and inserting in enactment of this Act, the Secretary con- ment. lieu thereof ‘‘September 30, 1997’’. cerned may treat the agreement for purposes ‘‘(f) TERMINATION OF AGREEMENT AUTHOR- (b) ACCESSION BONUS FOR REGISTERED of the retention bonus authorized under the ITY.—No agreement under this section may NURSES.—Section 302d(a)(1) of title 37, Unit- agreement as having been executed and ac- be entered into after September 30, 1997.’’. ed States Code, is amended by striking out cepted on the first date on which the officer ‘‘September 30, 1996’’ and inserting in lieu (2) The table of sections at the beginning of would have qualified for such an agreement thereof ‘‘September 30, 1997’’. such chapter is amended by inserting after had the amendment made by subsection (a) (c) INCENTIVE SPECIAL PAY FOR NURSE AN- the item relating to section 302f the follow- taken effect on October 1, 1995. ESTHETISTS.—Section 302e(a)(1) of title 37, ing new item: (2) An agreement referred to in this sub- United States Code, is amended by striking section is a service agreement with the Sec- ‘‘302g. Special pay: Selected Reserve health out ‘‘September 30, 1996’’ and inserting in retary concerned that is a condition for the care professionals in critically lieu thereof ‘‘September 30, 1997’’. payment of a retention bonus under section short wartime specialties.’’. SEC. 613. EXTENSION OF AUTHORITY RELATING 301b of title 37, United States Code. (b) CONFORMING AMENDMENT.—Section 303a TO PAYMENT OF OTHER BONUSES (3) For purposes of this subsection, the AND SPECIAL PAYS. of title 37, United States Code, is amended by term ‘‘Secretary concerned’’ has the mean- (a) AVIATION OFFICER RETENTION BONUS.— striking out ‘‘302, 302a, 302b, 302c, 302d, 302e,’’ Section 301b(a) of title 37, United States ing given that term in section 101(5) of title each place it appears and inserting in lieu Code, is amended by striking out ‘‘Septem- 37, United States Code. thereof ‘‘302 through 302g,’’. ber 30, 1995,’’ and inserting in lieu thereof SEC. 614. CODIFICATION AND EXTENSION OF (c) CONFORMING REPEAL.—(1) Section 613 of SPECIAL PAY FOR CRITICALLY the National Defense Authorization Act, Fis- ‘‘September 30, 1997’’. SHORT WARTIME HEALTH SPECIAL- (b) REENLISTMENT BONUS FOR ACTIVE MEM- ISTS IN THE SELECTED RESERVES. cal Year 1989 (Public Law 100–456; 37 U.S.C. BERS .—Section 308(g) of title 37, United (a) SPECIAL PAY AUTHORIZED.—(1) Chapter 5 302 note) is repealed. States Code, is amended by striking out of title 37, United States Code, is amended by (2) The provisions of section 613 of the Na- ‘‘September 30, 1996’’ and inserting in lieu inserting after section 302f the following new tional Defense Authorization Act, Fiscal thereof ‘‘September 30, 1997’’. section: Year 1989, as in effect on the day before the (c) ENLISTMENT BONUSES FOR CRITICAL date of the enactment of this Act, shall con- SKILLS.—Sections 308a(c) and 308f(c) of title ‘‘§ 302g. Special pay: Selected Reserve health care professionals in critically short war- tinue to apply to agreements entered into 37, United States Code, are each under such section before such date. amended by striking out ‘‘September 30, time specialties 1996’’ and inserting in lieu thereof ‘‘Septem- ‘‘(a) SPECIAL PAY AUTHORIZED.—An officer SEC. 615. HAZARDOUS DUTY INCENTIVE PAY ber 30, 1997’’. of a reserve component of the armed forces FOR WARRANT OFFICERS AND EN- LISTED MEMBERS SERVING AS AIR (d) SPECIAL PAY FOR ENLISTED MEMBERS OF described in subsection (b) who executes a WEAPONS CONTROLLERS. THE SELECTED RESERVE ASSIGNED TO CERTAIN written agreement under which the officer HIGH PRIORITY UNITS.—Section 308d(c) of agrees to serve in the Selected Reserve of an (a) INCLUSION OF ADDITIONAL MEMBERS.— title 37, United States Code, is amended by armed force for a period of not less than one Subsection (a)(11) of section 301 of title 37, striking out ‘‘September 30, 1996’’ and insert- year nor more than three years, beginning United States Code, is amended by striking ing in lieu thereof ‘‘September 30, 1997’’. on the date the officer accepts the award of out ‘‘an officer (other than a warrant offi- (e) SPECIAL PAY FOR NUCLEAR QUALIFIED special pay under this section, may be paid cer)’’ and inserting in lieu thereof ‘‘a mem- OFFICERS EXTENDING PERIOD OF ACTIVE SERV- special pay at an annual rate not to exceed ber’’. ICE.—Section 312(e) of title 37, United States $10,000. (b) CALCULATION OF HAZARDOUS DUTY IN- Code, is amended by striking out ‘‘Septem- ‘‘(b) ELIGIBLE OFFICERS.—An officer re- CENTIVE PAY.—The table in subparagraph (A) ber 30, 1996’’ and inserting in lieu thereof ferred to in subsection (a) is an officer in a of subsection (c)(2) of such section is amend- ‘‘September 30, 1997’’. health care profession who is qualified in a ed to read as follows:

Years of service as an air weapons controller ‘‘Pay grade 2 or less Over 2 Over 3 Over 4 Over 6 Over 8 Over 10 ‘‘O–7 and above ...... $200 $200 $200 $200 $200 $200 $200 ‘‘O–6 ...... 225 250 300 325 350 350 350 ‘‘O–5 ...... 200 250 300 325 350 350 350 ‘‘O–4 ...... 175 225 275 300 350 350 350 ‘‘O–3 ...... 125 156 188 206 350 350 350 ‘‘O–2 ...... 125 156 188 206 250 300 300 ‘‘O–1 ...... 125 156 188 206 250 250 250 ‘‘W–4 ...... 200 225 275 300 325 325 325 ‘‘W–3 ...... 175 225 275 300 325 325 325 ‘‘W–2 ...... 150 200 250 275 325 325 325 ‘‘W–1 ...... 100 125 150 175 325 325 325 ‘‘E–9 ...... 200 225 250 275 300 300 300 ‘‘E–8 ...... 200 225 250 275 300 300 300 ‘‘E–7 ...... 175 200 225 250 275 275 275 ‘‘E–6 ...... 156 175 200 225 250 250 250 ‘‘E–5 ...... 125 156 175 188 200 200 200 ‘‘E–4 and below ...... 125 156 175 188 200 200 200 Over Over Over Over Over Over Over Over 12 14 16 18 20 22 24 25 ‘‘O–7 and above ...... $200 $200 $200 $200 $200 $200 $200 $110 H 404 CONGRESSIONAL RECORD — HOUSE January 22, 1996

Years of service as an air weapons controller ‘‘Pay grade 2 or less Over 2 Over 3 Over 4 Over 6 Over 8 Over 10 ‘‘O–6 ...... 350 350 350 350 300 250 250 225 ‘‘O–5 ...... 350 350 350 350 300 250 250 225 ‘‘O–4 ...... 350 350 350 350 300 250 250 225 ‘‘O–3 ...... 350 350 350 300 275 250 225 200 ‘‘O–2 ...... 300 300 300 275 245 210 200 180 ‘‘O–1 ...... 250 250 250 245 210 200 180 150 ‘‘W–4 ...... 325 325 325 325 276 250 225 200 ‘‘W–3 ...... 325 325 325 325 325 250 225 200 ‘‘W–2 ...... 325 325 325 325 275 250 225 200 ‘‘W–1 ...... 325 325 325 325 275 250 225 200 ‘‘E–9 ...... 300 300 300 300 275 230 200 200 ‘‘E–8 ...... 300 300 300 300 265 230 200 200 ‘‘E–7 ...... 300 300 300 300 265 230 200 200 ‘‘E–6 ...... 300 300 300 300 265 230 200 200 ‘‘E–5 ...... 250 250 250 250 225 200 175 150 ‘‘E–4 and below ...... 200 200 200 200 175 150 125 125’’.

(c) CONFORMING AMENDMENTS.—Subsection Subtitle C—Travel and Transportation in lieu thereof ‘‘paragraph (3) or (4)(B) of sub- (c)(2) of such section is further amended— Allowances section (a)’’; and (1) by striking out ‘‘an officer’’ each place SEC. 621. REPEAL OF REQUIREMENT REGARD- (B) by striking out ‘‘subsection (a)(1)’’ in it appears and inserting in lieu thereof ‘‘a ING CALCULATION OF ALLOWANCES the second sentence and inserting in lieu member’’; and ON BASIS OF MILEAGE TABLES. thereof ‘‘paragraph (1) or (5) of subsection (2) by striking out ‘‘the officer’’ each place Section 404(d)(1)(A) of title 37, United (a)’’. it appears and inserting in lieu thereof ‘‘the States Code, is amended by striking out ‘‘, Subtitle D—Retired Pay, Survivor Benefits, member’’. based on distances established over the and Related Matters SEC. 616. AVIATION CAREER INCENTIVE PAY. shortest usually traveled route, under mile- age tables prepared under the direction of SEC. 631. EFFECTIVE DATE FOR MILITARY RE- (a) YEARS OF OPERATIONAL FLYING DUTIES the Secretary of Defense’’. TIREE COST-OF-LIVING ADJUST- REQUIRED.—Paragraph (4) of section 301a(a) MENTS FOR FISCAL YEARS 1996, 1997, SEC. 622. DEPARTURE ALLOWANCES. of title 37, United States Code, is amended in AND 1998. (a) ELIGIBILITY WHEN EVACUATION AUTHOR- the first sentence by striking out ‘‘9’’ and in- (a) ADJUSTMENT OF EFFECTIVE DATES.— serting in lieu thereof ‘‘8’’. IZED BUT NOT ORDERED.—Section 405a(a) of title 37, United States Code, is amended by Subparagraph (B) of section 1401a(b)(2) of (b) EXERCISE OF WAIVER AUTHORITY.—Para- striking out ‘‘ordered’’ each place it appears title 10, United States Code, is amended to graph (5) of such section is amended by in- and inserting in lieu thereof ‘‘authorized or read as follows: serting after the second sentence the follow- ordered’’. ‘‘(B) SPECIAL RULES FOR FISCAL YEARS 1996 ing new sentence: ‘‘The Secretary concerned (b) APPLICATION OF AMENDMENT.—The AND 1998.— may not delegate the authority in the pre- amendment made by subsection (a) shall ‘‘(i) FISCAL YEAR 1996.—In the case of the in- ceding sentence to permit the payment of in- apply with respect to persons authorized or crease in retired pay that, pursuant to para- centive pay under this subsection.’’. ordered to depart as described in section graph (1), becomes effective on December 1, SEC. 617. CLARIFICATION OF AUTHORITY TO 405a(a) of title 37, United States Code, on or 1995, the initial month for which such in- PROVIDE SPECIAL PAY FOR NURSES. after October 1, 1995. crease is payable as part of such retired pay Section 302c(d)(1) of title 37, United States SEC. 623. TRANSPORTATION OF NONDEPENDENT shall (notwithstanding such December 1 ef- Code, is amended— CHILD FROM MEMBER’S STATION fective date) be March 1996. (1) by striking out ‘‘or’’ after ‘‘Air Force,’’; OVERSEAS AFTER LOSS OF DEPEND- ‘‘(ii) FISCAL YEAR 1998.—In the case of the and ENT STATUS WHILE OVERSEAS. increase in retired pay that, pursuant to (2) by inserting before the semicolon the Section 406(h)(1) of title 37, United States paragraph (1), becomes effective on Decem- following: ‘‘, an officer of the Nurse Corps of Code, is amended in the last sentence— ber 1, 1997, the initial month for which such the Army or Navy, or an officer of the Air (1) by striking out ‘‘who became 21 years of increase is payable as part of such retired Force designated as a nurse’’. age’’ and inserting in lieu thereof ‘‘who, by pay shall (notwithstanding such December 1 reason of age or graduation from (or ces- effective date) be September 1998.’’. SEC. 618. CONTINUOUS ENTITLEMENT TO CA- REER SEA PAY FOR CREW MEMBERS sation of enrollment in) an institution of (b) CONTINGENT ALTERNATIVE DATE FOR OF SHIPS DESIGNATED AS TENDERS. higher education, would otherwise cease to FISCAL YEAR 1998.—(1) If a civil service re- Subparagraph (A) of section 305a(d)(1) of be a dependent of the member’’; and tiree cola that becomes effective during fis- title 37, United States Code, is amended to (2) by inserting ‘‘still’’ after ‘‘shall’’. cal year 1998 becomes effective on a date read as follows: SEC. 624. AUTHORIZATION OF DISLOCATION AL- other than the date on which a military re- ‘‘(A) while permanently or temporarily as- LOWANCE FOR MOVES IN CONNEC- tiree cola during that fiscal year is specified TION WITH BASE REALIGNMENTS signed to a ship, ship-based staff, or ship- to become effective under subparagraph (B) AND CLOSURES. of section 1401a(b)(2) of title 10, United based aviation unit and— (a) DISLOCATION ALLOWANCE AUTHORIZED.— ‘‘(i) while serving on a ship the primary States Code, as amended by subsection (a), Subsection (a) of section 407 of title 37, Unit- then the increase in military retired and re- mission of which is accomplished while ed States Code, is amended— under way; tainer pay shall become payable as part of (1) by striking out ‘‘or’’ at the end of para- such retired and retainer pay effective on the ‘‘(ii) while serving as a member of the off- graph (3); crew of a two-crewed submarine; or same date on which such civil service retiree (2) by striking out the period at the end of cola becomes effective (notwithstanding the ‘‘(iii) while serving as a member of a ten- paragraph (4)(B) and inserting in lieu thereof der-class ship (with the hull classification of date otherwise specified in such subpara- ‘‘; or’’; and graph (B)). submarine or destroyer); or’’. (3) by inserting after paragraph (4)(B) the (2) Paragraph (1) does not apply with re- SEC. 619. INCREASE IN MAXIMUM RATE OF SPE- following new paragraph: CIAL DUTY ASSIGNMENT PAY FOR ‘‘(5) the member is ordered to move in con- spect to the retired pay of a person retired ENLISTED MEMBERS SERVING AS nection with the closure or realignment of a under chapter 61 of title 10, United States RECRUITERS. military installation and, as a result, the Code. (a) SPECIAL MAXIMUM RATE FOR RECRUIT- member’s dependents actually move or, in (3) For purposes of this subsection: ERS.—Section 307(a) of title 37, United States the case of a member without dependents, (A) The term ‘‘civil service retiree cola’’ Code, is amended by adding at the end the the member actually moves.’’. means an increase in annuities under the following new sentence: ‘‘In the case of a (b) CONFORMING AMENDMENTS.—(1) The last Civil Service Retirement System either member who is serving as a military re- sentence of such subsection is amended— under section 8340(b) of title 5, United States cruiter and is eligible for special duty as- (A) by striking out ‘‘clause (3) or (4)(B)’’ Code, or pursuant to a law providing a gen- signment pay under this subsection on ac- and inserting in lieu thereof ‘‘paragraph (3) eral increase in such annuities. count of such duty, the Secretary concerned or (4)(B)’’; and (B) The term ‘‘military retiree cola’’ may increase the monthly rate of special (B) by striking out ‘‘clause (1)’’ and insert- means an adjustment in retired and retainer duty assignment pay for the member to not ing in lieu thereof ‘‘paragraph (1) or (5)’’. pay pursuant to section 1401a(b) of title 10, more than $375.’’. (2) Subsection (b) of such section is amend- United States Code. (b) EFFECTIVE DATE.—The amendment ed— (c) REPEAL OF PRIOR CONDITIONAL ENACT- made by subsection (a) shall take effect on (A) by striking out ‘‘subsection (a)(3) or MENT.—Section 8114A(b) of Public Law 103– January 1, 1996. (a)(4)(B)’’ in the first sentence and inserting 335 (108 Stat. 2648) is repealed. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 405 SEC. 632. DENIAL OF NON-REGULAR SERVICE Secretary shall include in the report a rec- (B) by striking ‘‘former member’’ and in- RETIRED PAY FOR RESERVES RE- ommendation on the amount of the annuity serting in lieu thereof ‘‘individual’’; CEIVING CERTAIN COURT-MARTIAL that should be authorized to be paid under (2) in paragraph (1)— SENTENCES. any authority described in subsection (a)(1), (A) by striking out ‘‘former member’’ and (a) IN GENERAL.—(1) Chapter 1223 of title together with a recommendation on whether inserting in lieu thereof ‘‘individual’’; and 10, United States Code, is amended by adding the annuity should be adjusted annually to (B) by striking out ‘‘member’’ and insert- at the end the following new section: offset increases in the cost of living. ing in lieu thereof ‘‘individual’’; ‘‘§ 12740. Eligibility: denial upon certain puni- SEC. 634. PAYMENT OF BACK QUARTERS AND (3) in paragraph (2), by striking out tive discharges or dismissals SUBSISTENCE ALLOWANCES TO ‘‘former member’’ both places it appears and ‘‘A person who— WORLD WAR II VETERANS WHO inserting in lieu thereof ‘‘individual de- ‘‘(1) is convicted of an offense under the SERVED AS GUERRILLA FIGHTERS scribed in subsection (b)’’; IN THE PHILIPPINES. Uniform Code of Military Justice (chapter 47 (4) in paragraph (3), by striking out (a) IN GENERAL.—The Secretary of the of this title) and whose sentence includes ‘‘former member’’ and inserting in lieu military department concerned shall pay, thereof ‘‘individual described in subsection death; or upon request, to an individual described in ‘‘(2) is separated pursuant to sentence of a subsection (b) the amount determined with (b)’’; and court-martial with a dishonorable discharge, respect to that individual under subsection (5) in paragraph (4), by striking out ‘‘mem- a bad conduct discharge, or (in the case of an (c). ber’’ both places it appears and inserting in officer) a dismissal, (b) COVERED INDIVIDUALS.—A payment lieu thereof ‘‘individual described in sub- is not eligible for retired pay under this under subsection (a) shall be made to any in- section (b)’’. chapter.’’. dividual who as a member of the Armed (c) EFFECTIVE DATE.—Section 554(b) of the (2) The table of sections at the beginning of Forces during World War II— National Defense Authorization Act for Fis- such chapter is amended by adding at the (1) was captured on the Island of Bataan in cal Year 1994 (10 U.S.C. 1059 note) is amend- end the following new item: the territory of the Philippines by Japanese ed— ‘‘12740. Eligibility: denial upon certain puni- forces; (1) in paragraph (1), by striking out ‘‘on or tive discharges or dismissals.’’. (2) participated in the Bataan Death after the date of the enactment of this Act’’ and inserting in lieu thereof ‘‘after Novem- (b) EFFECTIVE DATE.—Section 12740 of title March; ber 29, 1993’’; and 10, United States Code, as added by sub- (3) escaped from captivity; and (2) by striking out paragraph (2) and in- section (a), shall apply with respect to court- (4) served as a guerrilla fighter in the Phil- ippines during the period from January 1942 serting in lieu thereof the following: martial sentences adjudged after the date of ‘‘(2) Payments of transitional compensa- through February 1945. the enactment of this Act. tion under that section in the case of any SEC. 633. REPORT ON PAYMENT OF ANNUITIES (c) AMOUNT TO BE PAID.—The amount of a payment under subsection (a) shall be the person eligible to receive payments under FOR CERTAIN MILITARY SURVIVING that section shall be made for each month SPOUSES. amount of quarters and subsistence allow- after November 1993 for which that person (a) STUDY REQUIRED.—(1) The Secretary of ance which accrued to an individual de- may be paid transitional compensation in Defense shall conduct a study to determine scribed in subsection (b) during the period accordance with that section.’’. the number of potential beneficiaries there specified in paragraph (4) of subsection (b) would be if Congress were to enact authority and which was not paid to that individual. Subtitle E—Other Matters for the Secretary of the military department The Secretary shall apply interest SEC. 641. PAYMENT TO SURVIVORS OF DE- concerned to pay an annuity to the qualified compounded at the three-month Treasury CEASED MEMBERS FOR ALL LEAVE surviving spouse of each member of the bill rate. ACCRUED. Armed Forces who— (d) PAYMENT TO SURVIVORS.—In the case of (a) INAPPLICABILITY OF 60-DAY LIMITA- (A) died before March 21, 1974, and was en- any individual described in subsection (b) TION.—Section 501(d) of title 37, United titled to retired or retainer pay on the date who is deceased, payment under this section States Code, is amended— of death; or with respect to that individual shall be made (1) in paragraph (1), by striking out the (B) was a member of a reserve component to that individual’s nearest surviving rel- third sentence; and who died during the period beginning on Sep- ative, as determined by the Secretary con- (2) by striking out paragraph (2) and in- tember 21, 1972, and ending on October 1, cerned. serting in lieu thereof the following new 1978, and at the time of death would have SEC. 635. AUTHORITY FOR RELIEF FROM PRE- paragraph: ‘‘(2) The limitations in the second sentence been entitled to retired pay under chapter 67 VIOUS OVERPAYMENTS UNDER MINI- MUM INCOME WIDOWS PROGRAM. of subsection (b)(3), subsection (f), and the of title 10, United States Code, but for the (a) AUTHORITY.—The Secretary of Defense second sentence of subsection (g) shall not fact that he was under 60 years of age. may waive recovery by the United States of apply with respect to a payment made under (2) A qualified surviving spouse for pur- any overpayment by the United States de- this subsection.’’. poses of paragraph (1) is a surviving spouse scribed in subsection (b). In the case of any (b) CONFORMING AMENDMENT.—Section who has not remarried and who is not eligi- such waiver, any debt to the United States 501(f) of such title is amended by striking out ble for an annuity under section 4 of Public arising from such overpayment is forgiven. ‘‘, (d),’’ in the first sentence. Law 92–425 (10 U.S.C. 1448 note). (b) COVERED OVERPAYMENTS.—Subsection SEC. 642. REPEAL OF REPORTING REQUIRE- (b) REQUIRED DETERMINATIONS.—As part of (a) applies in the case of an overpayment by MENTS REGARDING COMPENSATION the study under subsection (a), the Secretary the United States that— MATTERS. shall determine the following: (1) was made before the date of the enact- (a) REPORT ON TRAVEL AND TRANSPOR- (1) The number of unremarried surviving ment of this Act under section 4 of Public TATION ALLOWANCES FOR DEPENDENTS.—(1) spouses of deceased members and deceased Law 92–425 (10 U.S.C. 1448 note); and Section 406 of title 37, United States Code, is former members of the Armed Forces re- (2) is attributable to failure by the Depart- amended— ferred to in subparagraph (A) of subsection ment of Defense to apply the eligibility pro- (A) by striking out subsection (i); and (a)(1) who would be eligible for an annuity visions of subsection (a) of such section in (B) by redesignating subsections (j), (k), under authority described in such sub- the case of the person to whom the overpay- (l), (m), and (n) as subsections (i), (j), (k), (l), section. ment was made. and (m), respectively. (2) The number of unremarried surviving SEC. 636. TRANSITIONAL COMPENSATION FOR (2) Section 2634(d) of title 10, United States spouses of deceased members and deceased DEPENDENTS OF MEMBERS OF THE Code, is amended by striking out ‘‘section former members of reserve components re- ARMED FORCES SEPARATED FOR 406(l) of title 37’’ and inserting in lieu thereof ferred to in subparagraph (B) of subsection DEPENDENT ABUSE. ‘‘section 406(k) of title 37’’. (a)(1) who would be eligible for an annuity (a) COVERAGE OF PROGRAM.—Subsection (a) (b) ANNUAL REVIEW OF PAY AND ALLOW- under authority described in such sub- of section 1059 of title 10, United States Code, ANCES.—Section 1008(a) of title 37, United section. is amended by adding at the end the follow- States Code, is amended by striking out the (3) The number of persons in each group of ing: ‘‘Upon establishment of such a program, second sentence. unremarried former spouses described in the program shall apply in the case of each (c) REPORT ON QUADRENNIAL REVIEW OF AD- paragraphs (1) and (2) who are receiving a such member described in subsection (b) who JUSTMENTS IN COMPENSATION.—Section 1009(f) widow’s insurance benefit or a widower’s in- is under the jurisdiction of the Secretary es- of such title is amended by striking out ‘‘of surance benefit under title II of the Social tablishing the program.’’. this title,’’ and all that follows through the Security Act on the basis of employment of (b) CLARIFICATION OF PAYMENT TO DEPEND- period at the end and inserting in lieu there- a deceased member or deceased former mem- ENTS OF MEMBERS NOT DISCHARGED.—Sub- of ‘‘of this title.’’. ber referred to in subsection (a)(1). section (d) of such section is amended— SEC. 643. RECOUPMENT OF ADMINISTRATIVE EX- (c) REPORT.—Not later than March 1, 1996, (1) in the matter preceding paragraph (1)— PENSES IN GARNISHMENT ACTIONS. the Secretary of Defense shall submit to the (A) by striking out ‘‘any case of a separa- (a) IN GENERAL.—Subsection (j) of section Committee on Armed Services of the Senate tion from active duty as described in sub- 5520a of title 5, United States Code, is and the Committee on National Security of section (b)’’ and inserting in lieu thereof amended by striking out paragraph (2) and the House of Representatives a report on the ‘‘the case of any individual described in sub- inserting in lieu thereof the following new results of the study under this section. The section (b)’’; and paragraph: H 406 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(2) Such regulations shall provide that an Congress a report describing the results of disease in the line of duty while remaining agency’s administrative costs incurred in the study. The report shall include a rec- overnight, between successive periods of in- executing legal process to which the agency ommended method for measuring the effi- active-duty training, at or in the vicinity of is subject under this section shall be de- ciency of individual recruiting stations, such the site of the inactive-duty training, if the ducted from the amount withheld from the as cost per accession or other efficiency site is outside reasonable commuting dis- pay of the employee concerned pursuant to standard, as determined by the Secretary. tance from the member’s residence.’’. the legal process.’’. SEC. 646. AUTOMATIC MAXIMUM COVERAGE (b) RECOVERY, CARE, AND DISPOSITION OF (b) INVOLUNTARY ALLOTMENTS OF PAY OF UNDER SERVICEMEN’S GROUP LIFE REMAINS.—Section 1481(a)(2) of title 10, Unit- MEMBERS OF THE UNIFORMED SERVICES.—Sub- INSURANCE. ed States Code, is amended— section (k) of such section is amended— Effective April 1, 1996, section 1967 of title (1) in subparagraph (C), by striking out (1) by redesignating paragraph (3) as para- 38, United States Code, is amended— ‘‘or’’ at the end of the subparagraph; graph (4); and (1) in subsections (a) and (c), by striking (2) by redesignating subparagraph (D) as (2) by inserting after paragraph (2) the fol- out ‘‘$100,000’’ each place it appears and in- subparagraph (E); and lowing new paragraph: serting in lieu thereof in each instance (3) by inserting after subparagraph (C) the ‘‘(3) Regulations under this subsection may ‘‘$200,000’’; following new subparagraph: also provide that the administrative costs (2) by striking out subsection (e); and ‘‘(D) remaining overnight, between succes- incurred in establishing and maintaining an (3) by redesignating subsection (f) as sub- sive periods of inactive-duty training, at or involuntary allotment be deducted from the section (e). in the vicinity of the site of the inactive- amount withheld from the pay of the mem- SEC. 647. TERMINATION OF SERVICEMEN’S duty training, if the site is outside reason- ber of the uniformed services concerned pur- GROUP LIFE INSURANCE FOR MEM- able commuting distance from the member’s suant to such regulations.’’. BERS OF THE READY RESERVE WHO residence; or’’. (c) DISPOSITION OF AMOUNTS WITHHELD FOR FAIL TO PAY PREMIUMS. (c) ENTITLEMENT TO BASIC PAY.—(1) Sub- ADMINISTRATIVE EXPENSES.—Such section is (a) AUTHORITY.—Section 1969(a)(2) of title section (g)(1) of section 204 of title 37, United further amended by adding at the end the 38, United States Code, is amended— States Code, is amended— following: (1) by inserting ‘‘(A)’’ after ‘‘(2)’’; and (A) in subparagraph (B), by striking out ‘‘(l) The amount of an agency’s administra- (2) by adding at the end the following: tive costs deducted under regulations pre- ‘‘(B) If an individual who is required pursu- ‘‘or’’ at the end of the subparagraph; scribed pursuant to subsection (j)(2) or (k)(3) ant to subparagraph (A) to make a direct re- (B) in subparagraph (C), by striking out shall be credited to the appropriation, fund, mittance of costs to the Secretary concerned the period at the end of the subparagraph or account from which such administrative fails to make the required remittance within and inserting in lieu thereof ‘‘; or’’; and costs were paid.’’. 60 days of the date on which such remittance (C) by inserting after subparagraph (C) the SEC. 644. REPORT ON EXTENDING TO JUNIOR is due, such individual’s insurance with re- following new subparagraph: NONCOMMISSIONED OFFICERS spect to which such remittance is required ‘‘(D) in line of duty while remaining over- PRIVILEGES PROVIDED FOR SENIOR shall be terminated by the Secretary con- night, between successive periods of inac- NONCOMMISSIONED OFFICERS. cerned. Such termination shall be made by tive-duty training, at or in the vicinity of (a) REPORT REQUIRED.—Not later than Feb- written notice to the individual’s official ad- the site of the inactive-duty training, if the ruary 1, 1996, the Secretary of Defense shall dress and shall be effective 60 days after the site is outside reasonable commuting dis- submit to Congress a report containing the date of such notice. Such termination of in- tance from the member’s residence.’’. determinations of the Secretary regarding surance may be vacated if, before the effec- (2) Subsection (h)(1) of such section is whether, in order to improve the working tive date of termination, the individual re- amended— conditions of noncommissioned officers in mits all amounts past due for such insurance (A) in subparagraph (B), by striking out pay grades E–5 and E–6, any of the privileges ‘‘or’’ at the end of the subparagraph; afforded noncommissioned officers in any of and demonstrates to the satisfaction of the Secretary concerned that the failure to (B) in subparagraph (C), by striking out the pay grades above E–6 should be extended the period at the end of the subparagraph to noncommissioned officers in pay grades make timely remittances was justifiable.’’. (b) CONFORMING AMENDMENT.—Section and inserting in lieu thereof ‘‘; or’’; and E–5 and E–6. 1968(a) is amended by inserting ‘‘(or discon- (C) by inserting after subparagraph (C) the (b) SPECIFIC RECOMMENDATION REGARDING following new subparagraph: ELECTION OF BAS.—The Secretary shall in- tinued pursuant to section 1969(a)(2)(B) of this title)’’ in the matter preceding para- ‘‘(D) in line of duty while remaining over- clude in the report a determination on night, between successive periods of inac- whether noncommissioned officers in pay graph (1) after ‘‘upon the written request of the insured’’. tive-duty training, at or in the vicinity of grades E–5 and E–6 should be afforded the the site of the inactive-duty training, if the same privilege as noncommissioned officers (c) EFFECTIVE DATE.—The amendments made by this section shall take effect on site is outside reasonable commuting dis- in pay grades above E–6 to elect to mess sep- tance from the member’s residence.’’. arately and receive the basic allowance for April 1, 1996. (d) COMPENSATION FOR INACTIVE-DUTY subsistence. TITLE VII—HEALTH CARE PROVISIONS TRAINING.—Section 206(a)(3) of title 37, Unit- (c) ADDITIONAL MATTERS.—The report shall Subtitle A—Health Care Services ed States Code, is amended— also contain a discussion of the following SEC. 701. MODIFICATION OF REQUIREMENTS RE- (1) in subparagraph (A), by striking out matters: GARDING ROUTINE PHYSICAL EX- ‘‘or’’ at the end of clause (ii); (1) The potential costs of extending addi- AMINATIONS AND IMMUNIZATIONS (2) in subparagraph (B), by striking out the tional privileges to noncommissioned offi- UNDER CHAMPUS. period at the end of the subparagraph and in- cers in pay grades E–5 and E–6. Section 1079(a) of title 10, United States serting in lieu thereof ‘‘; or’’; and (2) The effects on readiness that would re- Code, is amended by striking out paragraph (3) by inserting after subparagraph (B) the sult from extending the additional privi- (2) and inserting in lieu thereof the following following new subparagraph: leges. new paragraph: ‘‘(C) in line of duty while remaining over- (3) The options for extending the privileges ‘‘(2) consistent with such regulations as night, between successive periods of inac- on an incremental basis over an extended pe- the Secretary of Defense may prescribe re- tive-duty training, at or in the vicinity of riod. garding the content of health promotion and the site of the inactive-duty training, if the (d) RECOMMENDED LEGISLATION.—The Sec- disease prevention visits, the schedule of pap retary shall include in the report any rec- smears and mammograms, and the types and site is outside reasonable commuting dis- ommended legislation that the Secretary schedule of immunizations— tance from the member’s residence.’’. considers necessary in order to authorize ex- ‘‘(A) for dependents under six years of age, SEC. 703. MEDICAL CARE FOR SURVIVING DE- tension of a privilege as determined appro- both health promotion and disease preven- PENDENTS OF RETIRED RESERVES priate under subsection (a). tion visits and immunizations may be pro- WHO DIE BEFORE AGE 60. HANGE IN LIGIBILITY EQUIREMENTS SEC. 645. STUDY REGARDING JOINT PROCESS vided; and (a) C E R .— FOR DETERMINING LOCATION OF ‘‘(B) for dependents six years of age or Paragraph (2) of section 1076(b) of title 10, RECRUITING STATIONS. older, health promotion and disease preven- United States Code, is amended— (a) STUDY REQUIRED.—The Secretary of De- tion visits may be provided in connection (1) by striking out ‘‘death (A) would’’ and fense shall conduct a study regarding the with immunizations or with diagnostic or inserting in lieu thereof ‘‘death would’’; and feasibility of— preventive pap smears and mammograms;’’. (2) by striking out ‘‘, and (B) had elected to (1) using a joint process among the Armed SEC. 702. CORRECTION OF INEQUITIES IN MEDI- participate in the Survivor Benefit Plan es- Forces for determining the location of re- CAL AND DENTAL CARE AND DEATH tablished under subchapter II of chapter 73 of cruiting stations and the number of military AND DISABILITY BENEFITS FOR this title’’. personnel required to operate such stations; CERTAIN RESERVES. (b) CONFORMING AMENDMENTS.—Such para- and (a) MEDICAL AND DENTAL CARE.—Section graph is further amended— (2) basing such determinations on market 1074a(a) of title 10, United States Code, is (1) in the matter following paragraph (2), research and analysis conducted jointly by amended by adding at the end the following by striking out ‘‘clause (2)’’ the first place it the Armed Forces. new paragraph: appears and inserting in lieu thereof ‘‘para- (b) REPORT.—Not later than March 31, 1996, ‘‘(3) Each member of the armed forces who graph (2)’’; and the Secretary of Defense shall submit to incurs or aggravates an injury, illness, or (2) by striking out the second sentence. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 407

SEC. 704. MEDICAL AND DENTAL CARE FOR Standby Reserve, or Retired Reserve, or is (b) ADDITION OF DEFINITION OF TRICARE MEMBERS OF THE SELECTED RE- ordered to active duty for a period of more PROGRAM.—Subsection (d) of such section is SERVE ASSIGNED TO EARLY DE- than 30 days.’’. amended to read as follows: PLOYING UNITS OF THE ARMY SE- (2) The table of sections at the beginning of ‘‘(d) DEFINITIONS.—For purposes of this sec- LECTED RESERVE. such chapter is amended by inserting after tion: (a) ANNUAL MEDICAL AND DENTAL the item relating to section 1076a the follow- ‘‘(1) The term ‘covered beneficiary’ means SCREENINGS AND CARE.—Section 1074a of title ing: a beneficiary under chapter 55 of title 10, 10, United States Code, is amended— ‘‘1076b. Selected Reserve dental insurance.’’. United States Code, other than a beneficiary (1) in subsection (c), by striking out ‘‘this under section 1074(a) of such title. (b) IMPLEMENTATION.—Beginning not later section’’ and inserting in lieu thereof ‘‘sub- ‘‘(2) The term ‘TRICARE program’ means than October 1, 1996, the Secretary of De- section (b)’’; and the managed health care program that is es- fense shall offer members of the Selected Re- (2) by adding at the end the following new tablished by the Secretary of Defense under serve the opportunity to enroll in the dental subsection: the authority of chapter 55 of title 10, United ‘‘(d)(1) The Secretary of the Army shall insurance plan required under section 1076b States Code, principally section 1097 of such provide to members of the Selected Reserve of title 10, United States Code (as added by title, and includes the competitive selection of the Army who are assigned to units sched- subsection (a)). During fiscal year 1996, the of contractors to financially underwrite the uled for deployment within 75 days after mo- Secretary shall collect such information and delivery of health care services under the Ci- bilization the following medical and dental complete such planning and other prepara- vilian Health and Medical Program of the services: tions as are necessary to offer and admin- Uniformed Services.’’. ‘‘(A) An annual medical screening. ister the dental insurance plan by that date. The activities undertaken by the Secretary SEC. 715. TRAINING IN HEALTH CARE MANAGE- ‘‘(B) For members who are over 40 years of MENT AND ADMINISTRATION FOR age, a full physical examination not less under this subsection during fiscal year 1996 TRICARE LEAD AGENTS. often than once every two years. may include— (a) PROVISION OF TRAINING.—Not later than ‘‘(C) An annual dental screening. (1) surveys; and six months after the date of the enactment ‘‘(D) The dental care identified in an an- (2) tests, in not more than three States, of of this Act, the Secretary of Defense shall nual dental screening as required to ensure a dental insurance plan or alternative dental implement a professional educational pro- that a member meets the dental standards insurance plans meeting the requirements of gram to provide appropriate training in required for deployment in the event of mo- section 1076b of title 10, United States Code. health care management and administra- bilization. SEC. 706. PERMANENT AUTHORITY TO CARRY tion— ‘‘(2) The services provided under this sub- OUT SPECIALIZED TREATMENT FA- (1) to each commander of a military medi- section shall be provided at no cost to the CILITY PROGRAM. cal treatment facility of the Department of member.’’. Section 1105 of title 10, United States Code, Defense who is selected to serve as a lead (b) CONFORMING REPEALS.—Sections 1117 is amended by striking out subsection (h). agent to coordinate the delivery of health and 1118 of the Army National Guard Combat Subtitle B—TRICARE Program care by military and civilian providers under Readiness Reform Act of 1992 (title XI of SEC. 711. DEFINITION OF TRICARE PROGRAM. the TRICARE program; and Public Law 102–484; 10 U.S.C. 3077 note) are For purposes of this subtitle, the term (2) to appropriate members of the support repealed. ‘‘TRICARE program’’ means the managed staff of the treatment facility who will be re- SEC. 705. DENTAL INSURANCE FOR MEMBERS OF health care program that is established by sponsible for daily operation of the THE SELECTED RESERVE. the Secretary of Defense under the authority TRICARE program. (a) PROGRAM AUTHORIZATION.—(1) Chapter of chapter 55 of title 10, United States Code, (b) REPORT ON IMPLEMENTATION.—Not later 55 of title 10, United States Code, is amended principally section 1097 of such title, and in- than six months after the date of the enact- by inserting after section 1076a the following cludes the competitive selection of contrac- ment of this Act, the Secretary of Defense new section: tors to financially underwrite the delivery of shall submit to Congress a report describing ‘‘§ 1076b. Selected Reserve dental insurance health care services under the Civilian the professional educational program imple- mented pursuant to this section. ‘‘(a) AUTHORITY TO ESTABLISH PLAN.—The Health and Medical Program of the Uni- Secretary of Defense shall establish a dental formed Services. SEC. 716. PILOT PROGRAM OF INDIVIDUALIZED insurance plan for members of the Selected RESIDENTIAL MENTAL HEALTH SEC. 712. PRIORITY USE OF MILITARY TREAT- SERVICES. Reserve of the Ready Reserve. The plan shall MENT FACILITIES FOR PERSONS EN- (a) PROGRAM REQUIRED.—(1) During fiscal provide for voluntary enrollment and for pre- ROLLED IN MANAGED CARE INITIA- TIVES. year 1996, the Secretary of Defense, in con- mium sharing between the Department of sultation with the other administering Sec- Section 1097(c) of title 10, United States Defense and the members enrolled in the retaries under chapter 55 of title 10, United Code, is amended in the third sentence by plan. The plan shall be administered under States Code, shall implement a pilot pro- striking out ‘‘However, the Secretary may’’ regulations prescribed by the Secretary of gram to provide residential and wraparound and inserting in lieu thereof ‘‘Notwithstand- Defense. services to children described in paragraph ‘‘(b) PREMIUM SHARING.—(1) A member en- ing the preferences established by sections (2) who are in need of mental health services. rolling in the dental insurance plan shall pay 1074(b) and 1076 of this title, the Secretary The Secretary shall implement the pilot pro- a share of the premium charged for the in- shall’’. gram for an initial period of at least two surance coverage. The member’s share may SEC. 713. STAGGERED PAYMENT OF ENROLL- years in a military health care region in not exceed $25 per month. MENT FEES FOR TRICARE PRO- which the TRICARE program has been GRAM. ‘‘(2) The Secretary of Defense may reduce implemented. the monthly premium required to be paid by Section 1097(e) of title 10, United States (2) A child shall be eligible for selection to enlisted members under paragraph (1) if the Code, is amended by adding at the end the participate in the pilot program if the child Secretary determines that the reduction is following new sentence: ‘‘Without imposing is a dependent (as described in subparagraph appropriate in order to assist enlisted mem- additional costs on covered beneficiaries who (D) or (I) of section 1072(2) of title 10, United bers to participate in the dental insurance participate in contracts for health care serv- States Code) who— plan. ices under this section or health care plans (A) is eligible for health care under section ‘‘(3) A member’s share of the premium for offered under section 1099 of this title, the 1079 or 1086 of such title; and coverage by the dental insurance plan shall Secretary shall permit such covered bene- (B) has a serious emotional disturbance be deducted and withheld from the basic pay ficiaries to pay, on a quarterly basis, any en- that is generally regarded as amenable to payable to the member for inactive duty rollment fee required for such participa- treatment. training and from the basic pay payable to tion.’’. (b) WRAPAROUND SERVICES DEFINED.—For the member for active duty. SEC. 714. REQUIREMENT OF BUDGET NEUTRAL- purposes of this section, the term ‘‘wrap- ‘‘(4) The Secretary of Defense shall pay the ITY FOR TRICARE PROGRAM TO BE around services’’ means individualized men- portion of the premium charged for coverage BASED ON ENTIRE PROGRAM. tal health services that are provided prin- of a member under the dental insurance plan (a) CHANGE IN BUDGET NEUTRALITY RE- cipally to allow a child to remain in the fam- that exceeds the amount paid by the mem- QUIREMENTS.—Subsection (c) of section 731 of ily home or other least-restrictive and least- ber. the National Defense Authorization Act for costly setting, but also are provided as an ‘‘(c) BENEFITS AVAILABLE UNDER THE Fiscal Year 1994 (Public Law 103–160; 10 aftercare planning service for children who PLAN.—The dental insurance plan shall pro- U.S.C. 1073 note) is amended— have received acute or residential care. Such vide benefits for basic dental care and treat- (1) by striking out ‘‘each managed health term includes nontraditional mental health ment, including diagnostic services, prevent- care initiative that includes the option’’ and services that will assist the child to be main- ative services, basic restorative services, and inserting in lieu thereof ‘‘the TRICARE pro- tained in the least-restrictive and least-cost- emergency oral examinations. gram’’; and ly setting. ‘‘(d) TERMINATION OF COVERAGE.—The cov- (2) by striking out ‘‘covered beneficiaries (c) PILOT PROGRAM AGREEMENT.—Under the erage of a member by the dental insurance who enroll in the option’’ and inserting in pilot program the Secretary of Defense shall plan shall terminate on the last day of the lieu thereof ‘‘members of the uniformed serv- enter into one or more agreements that re- month in which the member is discharged, ices and covered beneficiaries who partici- quire a mental health services provider transfers to the Individual Ready Reserve, pate in the TRICARE program’’. under the agreement— H 408 CONGRESSIONAL RECORD — HOUSE January 22, 1996 (1) to provide wraparound services to a (2) as a means of ensuring such access, the ticipation agreement between Uniformed child described in subsection (a)(2); budget for fiscal year 1997 submitted by the Services Treatment Facilities and the Sec- (2) to continue to provide such services as President under section 1105 of title 31, Unit- retary of Defense shall be subject to the Fed- needed during the period of the agreement ed States Code, should provide for reimburse- eral Acquisition Regulation issued pursuant even if the child moves to another location ment by the Health Care Financing Adminis- to section 25(c) of the Office of Federal Pro- within the same TRICARE program region tration to the Department of Defense for curement Policy Act (41 U.S.C. 421(c)) not- during that period; and health care services provided to such covered withstanding any provision to the contrary (3) to share financial risk by accepting as beneficiaries in medical treatment facilities in such a participation agreement. The re- a maximum annual payment for such serv- of the Department of Defense. quirements regarding competition in the ices a case-rate reimbursement not in excess Subtitle C—Uniformed Services Treatment Federal Acquisition Regulation shall apply of the amount of the annual standard Facilities with regard to the negotiation of any new CHAMPUS residential treatment benefit SEC. 721. DELAY OF TERMINATION OF STATUS participation agreement between the Uni- payable (as determined in accordance with OF CERTAIN FACILITIES AS UNI- formed Services Treatment Facilities and section 8.1 of chapter 3 of volume II of the FORMED SERVICES TREATMENT FA- the Secretary of Defense under this sub- CHAMPUS policy manual). CILITIES. section or any other provision of law.’’. EPORT (d) R .—Not later than March 1, 1998, Section 1252(e) of the Department of De- (b) SENSE OF CONGRESS.—(1) Congress finds the Secretary of Defense shall submit to the fense Authorization Act, 1984 (42 U.S.C. that the Uniformed Services Treatment Fa- Committee on Armed Services of the Senate 248d(e)) is amended by striking out ‘‘Decem- cilities provide quality health care to the and the Committee on National Security of ber 31, 1996’’ in the first sentence and insert- 120,000 Department of Defense beneficiaries the House of Representatives a report on the ing in lieu thereof ‘‘September 30, 1997’’. enrolled in the Uniformed Services Family program carried out under this section. The SEC. 722. LIMITATION ON EXPENDITURES TO Health Plan provided by these facilities. report shall contain— SUPPORT UNIFORMED SERVICES (1) an assessment of the effectiveness of TREATMENT FACILITIES. (2) In light of such finding, it is the sense the program; and Subsection (f) of section 1252 of the Depart- of Congress that the Uniformed Services (2) the Secretary’s views regarding whether ment of Defense Authorization Act, 1984 (42 Family Health Plan provided by the Uni- the program should be implemented through- U.S.C. 248d), is amended to read as follows: formed Services Treatment Facilities should out the military health care system. ‘‘(f) LIMITATION ON EXPENDITURES.—The not be terminated for convenience under pro- visions of the Federal Acquisition Regula- SEC. 717. EVALUATION AND REPORT ON total amount of expenditures by the Sec- TRICARE PROGRAM EFFECTIVE- retary of Defense to carry out this section tion by the Secretary of Defense before the NESS. and section 911 of the Military Construction expiration of the current participation (a) EVALUATION REQUIRED.—The Secretary Authorization Act, 1982 (42 U.S.C. 248c), for agreements. of Defense shall arrange for an on-going eval- fiscal year 1996 may not exceed $300,000,000, (3) For purposes of this subsection, the uation of the effectiveness of the TRICARE adjusted by the Secretary to reflect the in- term ‘‘Uniformed Services Treatment Facil- program in meeting the goals of increasing flation factor used by the Department of De- ity’’ means a facility deemed to be a facility the access of covered beneficiaries under fense for such fiscal year.’’. of the uniformed services by virtue of section chapter 55 of title 10, United States Code, to SEC. 723. APPLICATION OF CHAMPUS PAYMENT 911(a) of the Military Construction Author- health care and improving the quality of RULES IN CERTAIN CASES. ization Act, 1982 (42 U.S.C. 248c(a)). health care provided to covered bene- Section 1074 of title 10, United States Code, ficiaries, without increasing the costs in- is amended by adding at the end the follow- SEC. 725. DEVELOPMENT OF PLAN FOR INTE- GRATING UNIFORMED SERVICES curred by the Government or covered bene- ing new subsection: TREATMENT FACILITIES IN MAN- ficiaries. The evaluation shall specifically ‘‘(d)(1) The Secretary of Defense may re- AGED CARE PROGRAMS OF DEPART- address— quire, by regulation, a private CHAMPUS MENT OF DEFENSE. provider to apply the CHAMPUS payment (1) the impact of the TRICARE program on Section 718(c) of the National Defense Au- rules (subject to any modifications consid- military retirees with regard to access, thorization Act for Fiscal Year 1991 (Public ered appropriate by the Secretary) in impos- costs, and quality of health care services; Law 101–510; 104 Stat. 1587) is amended by in- ing charges for health care that the private and serting after paragraph (4), as added by sec- CHAMPUS provider provides to a member of (2) identify noncatchment areas in which tion 722, the following new paragraph: the health maintenance organization option the uniformed services who is enrolled in a ‘‘(5) PLAN FOR INTEGRATING FACILITIES.—(A) health care plan of a facility deemed to be a of the TRICARE program is available or is The Secretary of Defense shall develop a facility of the uniformed services under sec- proposed to become available. plan under which Uniformed Services Treat- (b) ENTITY TO CONDUCT EVALUATION.—The tion 911(a) of the Military Construction Au- ment Facilities could be included, before the Secretary may use a federally funded re- thorization Act, 1982 (42 U.S.C. 248c(a)) when expiration date of the participation agree- search and development center to conduct the health care is provided outside the ments entered into under this section, in the the evaluation required by subsection (a). catchment area of the facility. exclusive health care provider networks es- (c) ANNUAL REPORT.—Not later than March ‘‘(2) In this subsection: tablished by the Secretary for the geo- 1, 1997, and each March 1 thereafter, the Sec- ‘‘(A) The term ‘private CHAMPUS pro- graphic regions in which the facilities are lo- retary shall submit to Congress a report de- vider’ means a private facility or health care cated. The Secretary shall address in the scribing the results of the evaluation under provider that is a health care provider under plan the feasibility of implementing the subsection (a) during the preceding year. the Civilian Health and Medical Program of managed care plan of the Uniformed Services the Uniformed Services. SEC. 718. SENSE OF CONGRESS REGARDING AC- Treatment Facilities, known as Option II, on CESS TO HEALTH CARE UNDER ‘‘(B) The term ‘CHAMPUS payment rules’ a mandatory basis for all USTF Medicare-el- TRICARE PROGRAM FOR COVERED means the payment rules referred to in sub- igible beneficiaries and the potential cost BENEFICIARIES WHO ARE MEDI- section (c). CARE ELIGIBLE. ‘‘(3) The Secretary of Defense shall pre- savings to the Military Health Care Program (a) FINDINGS.—Congress finds the follow- scribe regulations under this subsection that could be achieved under such option. ing: after consultation with the other admin- ‘‘(B) The Secretary shall submit the plan (1) Medical care provided in facilities of istering Secretaries.’’. developed under this paragraph to Congress the uniformed services is generally less ex- not later than March 1, 1996. SEC. 724. APPLICATION OF FEDERAL ACQUISI- pensive to the Federal Government than the TION REGULATION TO PARTICIPA- ‘‘(C) The plan developed under this para- same care provided at Government expense TION AGREEMENTS WITH UNI- graph shall be consistent with the require- in the private sector. FORMED SERVICES TREATMENT FA- ments specified in paragraph (4). If the plan (2) Covered beneficiaries under the mili- CILITIES. is not submitted to Congress by the expira- tary health care provisions of chapter 55, (a) Section 718(c) of the National Defense tion date of the participation agreements en- United States Code, who are eligible for med- Authorization Act for Fiscal Year 1991 (Pub- tered into under this section, the participa- icare under title XVIII of the Social Security lic Law 101–510; 104 Stat. 1587) is amended— tion agreements shall remain in effect, at Act (42 U.S.C. 1395 et seq.) deserve health (1) in the second sentence of paragraph (1), the option of the Uniformed Services Treat- care options that empower them to choose by striking out ‘‘A participation agreement’’ ment Facilities, until the end of the 180-day the health plan that best fits their needs. and inserting in lieu thereof ‘‘Except as pro- period beginning on the date the plan is fi- (b) SENSE OF CONGRESS.—In light of the vided in paragraph (4), a participation nally submitted. findings specified in subsection (a), it is the agreement’’; ‘‘(D) For purposes of this paragraph, the sense of Congress that— (2) by redesignating paragraph (4) as para- term ‘USTF Medicare-eligible beneficiaries’ (1) the Secretary of Defense should develop graph (6); and means covered beneficiaries under chapter 55 a program to ensure that such covered bene- (3) by inserting after paragraph (3) the fol- of title 10, United States Code, who are en- ficiaries who reside in a region in which the lowing new paragraph: rolled in a managed health plan offered by TRICARE program has been implemented ‘‘(4) APPLICATION OF FEDERAL ACQUISITION the Uniformed Services Treatment Facilities continue to have adequate access to health REGULATION.—On and after the date of the and entitled to hospital insurance benefits care services after the implementation of the enactment of this paragraph, Uniformed under part A of title XVIII of the Social Se- TRICARE program; and Services Treatment Facilities and any par- curity Act (42 U.S.C. 1395c et seq.).’’. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 409 SEC. 726. EQUITABLE IMPLEMENTATION OF UNI- ance with the same reimbursement rules as cal treatment facilities of the Department of FORM COST SHARING REQUIRE- apply to payments for similar services under Defense, and the Secretary of Transpor- MENTS FOR UNIFORMED SERVICES title XVIII of the Social Security Act (42 tation, with respect to medical treatment fa- TREATMENT FACILITIES. U.S.C. 1395 et seq.).’’. cilities of the Coast Guard when the Coast (a) TIME FOR FEE IMPLEMENTATION.—The (b) COMPARISON TO MEDICARE PAYMENTS.— Guard is not operating as a service in the uniform managed care benefit fee and Such subsection is further amended by add- Navy,’’; and copayment schedule developed by the Sec- ing at the end the following new paragraph: (2) by striking out ‘‘medical treatment fa- retary of Defense for use in all managed care ‘‘(3) For the purposes of paragraph (1)(B), cilities of the Department of Defense’’ and initiatives of the military health service sys- the appropriate payment amount shall be de- inserting in lieu thereof ‘‘such facilities’’. tem, including the managed care program of termined by the Secretary of Defense, in (b) RATIFICATION OF EXISTING CONTRACTS.— the Uniformed Services Treatment Facili- consultation with the other administering Any exercise of authority under section 1091 ties, shall be extended to the managed care Secretaries.’’. of title 10, United States Code, to enter into program of a Uniformed Services Treatment (c) EXCEPTIONS AND LIMITATIONS.—Such a personal services contract on behalf of the Facility only after the later of— subsection is further amended by inserting Coast Guard before the effective date of the (1) the implementation of the TRICARE re- after paragraph (3), as added by subsection amendments made by subsection (a) is here- gional program covering the service area of (b), the following new paragraphs: by ratified. the Uniformed Services Treatment Facility; ‘‘(4) The Secretary of Defense, in consulta- (c) EFFECTIVE DATE.—The amendments or tion with the other administering Secretar- made by subsection (a) shall take effect as of (2) October 1, 1996. ies, shall prescribe regulations to provide for October 1, 1995. (b) SUBMISSION OF ACTUARIAL ESTIMATES.— such exceptions to the payment limitations SEC. 734. IDENTIFICATION OF THIRD-PARTY Paragraph (2) of subsection (a) shall operate under paragraph (1) as the Secretary deter- PAYER SITUATIONS. as a condition on the extension of the uni- mines to be necessary to assure that covered Section 1095 of title 10, United States Code, form managed care benefit fee and beneficiaries retain adequate access to is amended by adding at the end the follow- copayment schedule to the Uniformed Serv- health care services. Such exceptions may ing new subsection: ices Treatment Facilities only if the Uni- include the payment of amounts higher than ‘‘(k)(1) To improve the administration of formed Services Treatment Facilities submit the amount allowed under paragraph (1) this section and sections 1079(j)(1) and 1086(d) to the Comptroller General of the United when enrollees in managed care programs of this title, the Secretary of Defense, in States, within 30 days after the date of the obtain covered emergency services from consultation with the other administering enactment of this Act, actuarial estimates in nonparticipating providers. To provide a Secretaries, may prescribe regulations pro- support of their contention that the exten- suitable transition from the payment meth- viding for the collection of information re- sion of such fees and copayments will have odologies in effect before the date of the en- garding insurance, medical service, or health an adverse effect on the operation of the Uni- actment of this paragraph to the methodol- plans of third-party payers held by covered formed Services Treatment Facilities and ogy required by paragraph (1), the amount beneficiaries. ‘‘(2) The collection of information under the enrollment of participants. allowable for any service may not be reduced regulations prescribed under paragraph (1) (c) EVALUATION.—(1) Except as provided in by more than 15 percent below the amount shall be conducted in the same manner as is paragraph (2), not later than 90 days after allowed for the same service during the im- provided in section 1862(b)(5) of the Social the date of the enactment of this Act, the mediately preceding 12-month period (or Security Act (42 U.S.C. 1395y(b)(5)). The Sec- Comptroller General shall submit to Con- other period as established by the Secretary retary may provide for obtaining from the gress the results of an evaluation of the ef- of Defense). Commissioner of Social Security employ- fect on the Uniformed Services Treatment ‘‘(5) The Secretary of Defense, in consulta- ment information comparable to the infor- Facilities of the extension of the uniform tion with the other administering Secretar- mation provided to the Administrator of the benefit fee and copayment schedule to the ies, shall prescribe regulations to establish Health Care Financing Administration pur- Uniformed Services Treatment Facilities. limitations (similar to the limitations estab- suant to such section. Such regulations may The evaluation shall include an examination lished under title XVIII of the Social Secu- require the mandatory disclosure of Social of whether the benefit fee and copayment rity Act (42 U.S.C. 1395 et seq.)) on bene- Security account numbers for all covered schedule may— ficiary liability for charges of an individual (A) cause adverse selection of enrollees; beneficiaries. health care professional (or other ‘‘(3) The Secretary may disclose relevant (B) be inappropriate for a fully at-risk pro- noninstitutional health care provider).’’. gram similar to civilian health maintenance employment information collected under (d) CONFORMING AMENDMENT.—Paragraph this subsection to fiscal intermediaries or organizations; or (2) of such subsection is amended by striking (C) result in an enrolled population dis- other designated contractors. out ‘‘paragraph (1)’’ and inserting in lieu ‘‘(4) The Secretary may provide for con- similar to the general beneficiary popu- thereof ‘‘paragraph (1)(A)’’. tacting employers of covered beneficiaries to lation. (e) REPORT ON EFFECT OF AMENDMENTS.— obtain group health plan information com- (2) The Comptroller General shall not be Not later than March 1, 1996, the Secretary parable to the information authorized to be required to prepare or submit the evaluation of Defense shall submit to Congress a report obtained under section 1862(b)(5)(C) of the under paragraph (1) if the Uniformed Serv- analyzing the effect of the amendments Social Security Act (42 U.S.C. 1395y(b)(5)(C)). ices Treatment Facilities fail to satisfac- made by this section on the ability or will- Notwithstanding clause (iii) of such section, torily comply with subsection (b), as deter- ingness of individual health care profes- clause (ii) of such section regarding the im- mined by the Comptroller General. sionals and other noninstitutional health position of civil money penalties shall apply SEC. 727. ELIMINATION OF UNNECESSARY AN- care providers to participate in the Civilian to the collection of information under this NUAL REPORTING REQUIREMENT Health and Medical Program of the Uni- paragraph. REGARDING UNIFORMED SERVICES formed Services. ‘‘(5) Information obtained under this sub- TREATMENT FACILITIES. Section 1252 of the Department of Defense SEC. 732. NOTIFICATION OF CERTAIN CHAMPUS section may not be disclosed for any purpose COVERED BENEFICIARIES OF LOSS other than to carry out the purpose of this Authorization Act, 1984 (42 U.S.C. 248d), is OF CHAMPUS ELIGIBILITY. amended by striking out subsection (d). section and sections 1079(j)(1) and 1086(d) of Section 1086(d) of title 10, United States this title.’’. Subtitle D—Other Changes to Existing Laws Code, is amended by adding at the end the SEC. 735. REDESIGNATION OF MILITARY Regarding Health Care Management following new paragraph: HEALTH CARE ACCOUNT AS DE- SEC. 731. MAXIMUM ALLOWABLE PAYMENTS TO ‘‘(4) The administering Secretaries shall FENSE HEALTH PROGRAM ACCOUNT INDIVIDUAL HEALTH-CARE PROVID- develop a mechanism by which persons de- AND TWO-YEAR AVAILABILITY OF ERS UNDER CHAMPUS. scribed in paragraph (1) who satisfy only the CERTAIN ACCOUNT FUNDS. (a) MAXIMUM PAYMENT.—Subsection (h) of criteria specified in subparagraphs (A) and (a) REDESIGNATION.—Section 1100 of title section 1079 of title 10, United States Code, is (B) of paragraph (2), but not subparagraph 10, United States Code, is amended— amended by striking out paragraph (1) and (C) of such paragraph, are promptly notified (1) in subsection (a)(1)— inserting in lieu thereof the following new of their ineligibility for health benefits (A) by striking out ‘‘Military Health Care paragraph: under this section. In developing the notifi- Account’’ and inserting in lieu thereof ‘‘De- ‘‘(1) Payment for a charge for services by cation mechanism, the administering Sec- fense Health Program Account’’; and an individual health care professional (or retaries shall consult with the administrator (B) by striking out ‘‘the Civilian Health other noninstitutional health care provider) of the Health Care Financing Administra- and Medical Program of the Uniformed Serv- for which a claim is submitted under a plan tion.’’. ices’’ and inserting in lieu thereof ‘‘medical contracted for under subsection (a) may not SEC. 733. PERSONAL SERVICES CONTRACTS FOR and health care programs of the Department exceed the lesser of— MEDICAL TREATMENT FACILITIES of Defense’’; and ‘‘(A) the amount equivalent to the 80th OF THE COAST GUARD. (2) in subsection (b)— percentile of billed charges made for similar (a) CONTRACTING AUTHORITY.—Section (A) by striking out ‘‘entering into a con- services in the same locality during the base 1091(a) of title 10, United States Code, is tract’’ and inserting in lieu thereof ‘‘con- period; or amended— ducting programs and activities under this ‘‘(B) an amount determined to be appro- (1) by inserting after ‘‘Secretary of De- chapter, including contracts entered into’’; priate, to the extent practicable, in accord- fense’’ the following: ‘‘, with respect to medi- and H 410 CONGRESSIONAL RECORD — HOUSE January 22, 1996 (B) by inserting a comma after ‘‘title’’. ‘‘§ 2116. Military nursing research onstration pilot program described in sub- (b) TWO YEAR AVAILABILITY OF CERTAIN AP- ‘‘(a) DEFINITIONS.—In this section: section (a) shall not be construed to affect PROPRIATIONS.—Subsection (a)(2) of such sec- ‘‘(1) The term ‘military nursing research’ the training or utilization of military psy- tion is amended to read as follows: means research on the furnishing of care and chologists in the prescription of psycho- ‘‘(2) Of the total amount appropriated for a services by nurses in the armed forces. tropic medications who are participating in fiscal year for programs and activities car- ‘‘(2) The term ‘TriService Nursing Re- the demonstration pilot program on the date ried out under this chapter, the amount of the enactment of this Act or who have equal to three percent of such total amount search Program’ means the program of mili- tary nursing research authorized under this completed such training before that date. shall remain available for obligation until (d) EVALUATION.—As soon as possible after section. the end of the following fiscal year.’’. the date of the enactment of this Act, but ‘‘(b) PROGRAM AUTHORIZED.—The Secretary (c) CONFORMING AMENDMENTS.—Such sec- not later than April 1, 1997, the Comptroller tion is further of Defense may establish at the University a General of the United States shall submit to amended— program of military nursing research. Congress a report evaluating the success of (1) by striking out subsections (c), (d), and ‘‘(c) TRISERVICE RESEARCH GROUP.—The the demonstration pilot program described (f); and TriService Nursing Research Program shall in subsection (a). The report shall include— (2) by redesignating subsection (e) as sub- be administered by a TriService Nursing Re- (1) a cost-benefit analysis of the program; section (c). search Group composed of Army, Navy, and (2) a discussion of the utilization require- (d) CLERICAL AMENDMENTS.—(1) The head- Air Force nurses who are involved in mili- ments under the program; and ing of such section is amended to read as fol- tary nursing research and are designated by (3) recommendations regarding— lows: the Secretary concerned to serve as members (A) whether the program should be ex- ‘‘§ 1100. Defense Health Program Account’’. of the group. tended so as to continue to provide training (2) The item relating to such section in the ‘‘(d) DUTIES OF GROUP.—The TriService to military psychologists in the prescription table of sections at the beginning of chapter Nursing Research Group shall— of psychotropic medications; and 55 of such title is amended to read as follows: ‘‘(1) develop for the Department of Defense (B) any modifications that should be made recommended guidelines for requesting, re- ‘‘1100. Defense Health Program Account.’’. in the manner in which military psycholo- viewing, and funding proposed military nurs- gists are trained and used to prescribe psy- SEC. 736. EXPANSION OF FINANCIAL ASSIST- ing research projects; and ANCE PROGRAM FOR HEALTH-CARE chotropic medications so as to improve the ‘‘(2) make available to Army, Navy, and training provided under the program, if the PROFESSIONALS IN RESERVE COM- Air Force nurses and Department of Defense PONENTS TO INCLUDE DENTAL SPE- program is extended. officials concerned with military nursing re- CIALTIES. SEC. 743. WAIVER OF COLLECTION OF PAY- Section 16201(b) of title 10, United States search— MENTS DUE FROM CERTAIN PER- Code, is amended— ‘‘(A) information about nursing research SONS UNAWARE OF LOSS OF (1) in the subsection heading, by inserting projects that are being developed or carried CHAMPUS ELIGIBILITY. ‘‘AND DENTISTS’’ after ‘‘PHYSICIANS’’; out in the Army, Navy, and Air Force; and (a) AUTHORITY TO WAIVE COLLECTION.—The (2) in paragraph (1)(A), by inserting ‘‘or ‘‘(B) expertise and information beneficial administering Secretaries may waive the dental school’’ after ‘‘medical school’’; to the encouragement of meaningful nursing collection of payments otherwise due from a (3) in paragraphs (1)(B) and (2)(B), by in- research. person described in subsection (b) as a result serting ‘‘or dental officer’’ after ‘‘medical of- ‘‘(e) RESEARCH TOPICS.—For purposes of of the receipt by the person of health bene- ficer’’; and this section, military nursing research in- fits under section 1086 of title 10, United (4) in paragraph (1)(C), by striking out cludes research on the following issues: States Code, after the termination of the ‘‘physicians in a medical specialty’’ and in- ‘‘(1) Issues regarding how to improve the person’s eligibility for such benefits. (b) PERSONS ELIGIBLE FOR WAIVER.—A per- serting in lieu thereof ‘‘physicians or den- results of nursing care and services provided son shall be eligible for relief under sub- tists in a medical or dental specialty’’. in the armed forces in time of peace. ‘‘(2) Issues regarding how to improve the section (a) if the person— SEC. 737. APPLICABILITY OF LIMITATION ON (1) is a person described in paragraph (1) of PRICES OF PHARMACEUTICALS PRO- results of nursing care and services provided CURED FOR COAST GUARD. in the armed forces in time of war. subsection (d) of section 1086 of title 10, Unit- (a) INCLUSION OF COAST GUARD.—Section ‘‘(3) Issues regarding how to prevent com- ed States Code; 8126(b) of title 38, United States Code, is plications associated with battle injuries. (2) in the absence of such paragraph, would amended by adding at the end the following ‘‘(4) Issues regarding how to prevent com- have been eligible for health benefits under new paragraph: plications associated with the transporting such section; and ‘‘(4) The Coast Guard.’’. of patients in the military medical evacu- (3) at the time of the receipt of such bene- (b) EFFECTIVE DATE; APPLICATION OF ation system. fits, satisfied the criteria specified in sub- AMENDMENT.—The amendment made by sub- ‘‘(5) Issues regarding how to improve meth- paragraphs (A) and (B) of paragraph (2) of section (a) shall take effect as if included in ods of training nursing personnel. such subsection. the enactment of section 603 of the Veterans ‘‘(6) Clinical nursing issues, including such (c) EXTENT OF WAIVER AUTHORITY.—The au- Health Care Act of 1992 (Public Law 102–585; issues as prevention and treatment of child thority to waive the collection of payments 106 Stat. 4971). abuse and spouse abuse. pursuant to this section shall apply with re- SEC. 738. RESTRICTION ON USE OF DEPART- ‘‘(7) Women’s health issues. gard to health benefits provided under sec- MENT OF DEFENSE FACILITIES FOR ‘‘(8) Wellness issues. tion 1086 of title 10, United States Code, to ABORTIONS. ‘‘(9) Preventive medicine issues. persons described in subsection (b) during (a) IN GENERAL.—Section 1093 of title 10, ‘‘(10) Home care management issues. the period beginning on January 1, 1967, and United States Code, is amended— ‘‘(11) Case management issues.’’. ending on the later of— (1) by inserting ‘‘(a) RESTRICTION ON USE OF (b) CLERICAL AMENDMENT.—The table of (1) the termination date of any special en- FUNDS.—’’ before ‘‘Funds available’’; and sections at the beginning of chapter 104 of rollment period provided under title XVIII of (2) by adding at the end the following: such title is amended by adding at the end the Social Security Act (42 U.S.C. 1395 et ‘‘(b) RESTRICTION ON USE OF FACILITIES.— the following: seq.) specifically for such persons; and No medical treatment facility or other facil- (2) July 1, 1996. ity of the Department of Defense may be ‘‘2116. Military nursing research.’’. (d) DEFINITIONS.—For purposes of this sec- used to perform an abortion except where SEC. 742. TERMINATION OF PROGRAM TO TRAIN tion, the term ‘‘administering Secretaries’’ the life of the mother would be endangered if MILITARY PSYCHOLOGISTS TO PRE- has the meaning given such term in section the fetus were carried to term or in a case in SCRIBE PSYCHOTROPIC MEDICA- 1072(3) of title 10, United States Code. TIONS. which the pregnancy is the result of an act SEC. 744. DEMONSTRATION PROGRAM TO TRAIN (a) TERMINATION.—Not later than June 30, of rape or incest.’’. MILITARY MEDICAL PERSONNEL IN (b) CLERICAL AMENDMENTS.—(1) The head- 1997, the Secretary of Defense shall termi- CIVILIAN SHOCK TRAUMA UNITS. ing of such section is amended to read as fol- nate the demonstration pilot program for (a) DEMONSTRATION PROGRAM.—(1) Not lows: training military psychologists in the pre- later than April 1, 1996, the Secretary of De- scription of psychotropic medications, which fense shall implement a demonstration pro- ‘‘§ 1093. Performance of abortions: restric- is referred to in section 8097 of the Depart- gram to evaluate the feasibility of providing tions’’. ment of Defense Appropriations Act, 1991 shock trauma training for military medical (2) The item relating to such section in the (Public Law 101–511; 104 Stat. 1897). personnel through one or more public or non- table of sections at the beginning of chapter (b) PROHIBITION ON ADDITIONAL ENROLLEES profit hospitals. The Secretary shall carry 55 of such title is amended to read as follows: PENDING TERMINATION.—After the date of the out the program pursuant to an agreement ‘‘1093. Performance of abortions: restric- enactment of this Act, the Secretary of De- with such hospitals. tions.’’. fense may not enroll any new participants (2) Under the agreement with a hospital, Subtitle E—Other Matters for the demonstration pilot program de- the Secretary shall assign military medical SEC. 741. TRISERVICE NURSING RESEARCH. scribed in subsection (a). personnel participating in the demonstration (a) PROGRAM AUTHORIZED.—Chapter 104 of (c) EFFECT ON CURRENT PARTICIPANTS.— program to temporary duty in shock trauma title 10, United States Code, is amended by The requirement to terminate the dem- units operated by the hospitals that are par- adding at the end the following new section: ties to the agreement. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 411 (3) The agreement shall require, as consid- SEC. 747. REPORT ON EFFECT OF CLOSURE OF advance medical directive executed by a per- eration for the services provided by military FITZSIMONS ARMY MEDICAL CEN- son eligible for legal assistance— medical personnel under the agreement, that TER, COLORADO, ON PROVISION OF ‘‘(1) is exempt from any requirement of CARE TO MILITARY PERSONNEL, RE- the hospital provide appropriate care to TIRED MILITARY PERSONNEL, AND form, substance, formality, or recording that members of the Armed Forces and to other THEIR DEPENDENTS. is provided for advance medical directives persons whose care in the hospital would (a) EFFECT OF CLOSURE ON MEMBERS EXPE- under the laws of a State; and otherwise require reimbursement by the Sec- RIENCING HEALTH DIFFICULTIES ASSOCIATED ‘‘(2) shall be given the same legal effect as retary. The value of the services provided by WITH PERSIAN GULF SYNDROME.—Not later an advance medical directive prepared and the hospitals shall be at least equal to the than 90 days after the date of the enactment executed in accordance with the laws of the value of the services provided by military of this Act, the Secretary of Defense shall State concerned. medical personnel under the agreement. submit to Congress a report that— ‘‘(b) ADVANCE MEDICAL DIRECTIVES.—For (b) TERMINATION OF PROGRAM.—The author- (1) assesses the effects of the closure of purposes of this section, an advance medical ity of the Secretary of Defense to conduct Fitzsimons Army Medical Center, Colorado, directive is any written declaration that— the demonstration program under this sec- on the capability of the Department of De- ‘‘(1) sets forth directions regarding the pro- tion, and any agreement entered into under fense to provide appropriate and adequate vision, withdrawal, or withholding of life- the demonstration program, shall expire on health care to members and former members prolonging procedures, including hydration March 31, 1998. of the Armed Forces who suffer from and sustenance, for the declarant whenever (c) REPORT AND EVALUATION OF PROGRAM.— undiagnosed illnesses (or combination of ill- the declarant has a terminal physical condi- (1) Not later than March 1 of each year in nesses) as a result of service in the Armed tion or is in a persistent vegetative state; or which the demonstration program is con- Forces in the Southwest Asia theater of op- ‘‘(2) authorizes another person to make ducted under this section, the Secretary of erations during the Persian Gulf conflict; health care decisions for the declarant, Defense shall submit to Congress a report de- and under circumstances stated in the declara- scribing the scope and activities of the dem- (2) describes the plans of the Secretary of tion, whenever the declarant is incapable of onstration program during the preceding Defense and the Secretary of the Army to making informed health care decisions. year. ensure that adequate and appropriate health ‘‘(c) STATEMENT TO BE INCLUDED.—(1) (2) Not later than May 1, 1998, the Comp- care is provided to such members for such Under regulations prescribed by the Sec- troller General of the United States shall illnesses (or combination of illnesses). retary concerned, an advance medical direc- submit to Congress a report evaluating the (b) EFFECT OF CLOSURE ON OTHER COVERED tive prepared by an attorney authorized to effectiveness of the demonstration program BENEFICIARIES.—The report required by sub- provide legal assistance shall contain a in providing shock trauma training for mili- section (a) shall also include— statement that sets forth the provisions of tary medical personnel. (1) an assessment of the effects of the clo- subsection (a). sure of Fitzsimons Army Medical Center on ‘‘(2) Paragraph (1) shall not be construed to SEC. 745. STUDY REGARDING DEPARTMENT OF the capability of the Department of Defense DEFENSE EFFORTS TO DETERMINE make inapplicable the provisions of sub- APPROPRIATE FORCE LEVELS OF to provide appropriate and adequate health section (a) to an advance medical directive WARTIME MEDICAL PERSONNEL. care to the dependents of members and that does not include a statement described former members of the Armed Forces and re- (a) STUDY REQUIRED.—The Comptroller in that paragraph. tired members and their dependents who cur- General of the United States shall conduct a ‘‘(d) STATES NOT RECOGNIZING ADVANCE rently obtain care at the medical center; and study to evaluate the reasonableness of the MEDICAL DIRECTIVES.—Subsection (a) does models used by each military department for (2) a description of the plans of the Sec- not make an advance medical directive en- determining the appropriate wartime force retary of Defense and the Secretary of the forceable in a State that does not otherwise level for medical personnel in the depart- Army to ensure that adequate and appro- recognize and enforce advance medical direc- ment. The study shall include the following: priate health care is provided to such per- tives under the laws of the State. sons, as called for in the recommendations of (1) An assessment of the modeling tech- ‘‘(e) DEFINITIONS.—In this section: niques used by each department. the Secretary of Defense for the closure of ‘‘(1) The term ‘State’ includes the District (2) An analysis of the data used in the mod- Fitzsimons Army Medical Center. of Columbia, the Commonwealth of Puerto els to identify medical personnel require- SEC. 748. SENSE OF CONGRESS ON CONTINUITY Rico, and a possession of the United States. ments. OF HEALTH CARE SERVICES FOR COVERED BENEFICIARIES AD- ‘‘(2) The term ‘person eligible for legal as- (3) An identification of the ability of the VERSELY AFFECTED BY CLOSURES sistance’ means a person who is eligible for models to integrate personnel of reserve OF MILITARY MEDICAL TREATMENT legal assistance under section 1044 of this components to meet department FACILITIES. title. requirements. (a) FINDINGS.—Congress finds the follow- ‘‘(3) The term ‘legal assistance’ means (4) An evaluation of the ability of the Sec- ing: legal services authorized under section 1044 retary of Defense to integrate the various (1) Military installations selected for clo- of this title.’’. modeling efforts into a comprehensive, co- sure in the 1991 and 1993 rounds of the base (2) The table of sections at the beginning of ordinated plan for obtaining the optimum closure process will soon close. such chapter is amended by inserting after force level for wartime medical personnel. (2) Additional military installations have the item relating to section 1044b the follow- (b) REPORT OF STUDY.—Not later than June been selected for closure in the 1995 round of ing: 30, 1996, the Comptroller General shall report the base closure process. ‘‘1044c. Advance medical directives of mem- to Congress on the results of the study con- (3) Some of the military installations se- bers and dependents: require- ducted under subsection (a). lected for closure include military medical ment for recognition by SEC. 746. REPORT ON IMPROVED ACCESS TO treatment facilities. States.’’. (4) As a result of these base closures, tens MILITARY HEALTH CARE FOR COV- (b) EFFECTIVE DATE.—Section 1044c of title ERED BENEFICIARIES ENTITLED TO of thousands of covered beneficiaries under 10, United States Code, shall take effect on MEDICARE. chapter 55 of title 10, United States Code, the date of the enactment of this Act and Not later than March 1, 1996, the Secretary who reside in the vicinity of such installa- shall apply to advance medical directives re- of Defense shall submit to Congress a report tions will be left without immediate access ferred to in that section that are executed evaluating the feasibility, costs, and con- to military medical treatment facilities. before, on, or after that date. sequences for the military health care sys- (b) SENSE OF CONGRESS.—In light of the tem of improving access to the system for findings specified in subsection (a), it is the TITLE VIII—ACQUISITION POLICY, ACQUI- covered beneficiaries under chapter 55 of sense of Congress that the Secretary of De- SITION MANAGEMENT, AND RELATED title 10, United States Code, who have lim- fense should take all appropriate steps nec- MATTERS ited access to military medical treatment fa- essary to ensure the continuation of medical Subtitle A—Acquisition Reform cilities and are ineligible for the Civilian and pharmaceutical benefits for covered beneficiaries adversely affected by the clo- SEC. 801. INAPPLICABILITY OF LIMITATION ON Health and Medical Program of the Uni- EXPENDITURE OF APPROPRIATIONS formed Services under section 1086(d)(1) of sure of military TO CONTRACTS AT OR BELOW SIM- such title. The alternatives that the Sec- installations. PLIFIED ACQUISITION THRESHOLD. retary shall consider to improve access for SEC. 749. STATE RECOGNITION OF MILITARY AD- Section 2207 of title 10, United States Code, such covered beneficiaries shall include— VANCE MEDICAL DIRECTIVES. is amended— (a) REQUIREMENT FOR RECOGNITION BY (1) whether CHAMPUS should serve as a (1) by inserting ‘‘(a)’’ before ‘‘Money appro- STATES.—(1) Chapter 53 of title 10, United second payer for covered beneficiaries who priated’’; and States Code, is amended by inserting after are entitled to hospital insurance benefits (2) by adding at the end the following new section 1044b the following new section: under part A of title XVIII of the Social Se- subsection: curity Act (42 U.S.C. 1395c et seq.); and ‘‘§ 1044c. Advance medical directives of mem- ‘‘(b) This section does not apply to a con- (2) whether such covered beneficiaries bers and dependents: requirement for rec- tract that is for an amount not greater than should be offered enrollment in the Federal ognition by States the simplified acquisition threshold (as de- Employees Health Benefits program under ‘‘(a) INSTRUMENTS TO BE GIVEN LEGAL EF- fined in section 4(11) of the Office of Federal chapter 89 of title 5, United States Code. FECT WITHOUT REGARD TO STATE LAW.—An Procurement Policy Act (41 U.S.C. 403(11))).’’. H 412 CONGRESSIONAL RECORD — HOUSE January 22, 1996 SEC. 802. AUTHORITY TO DELEGATE CONTRACT- ‘‘(2) shall use management and oversight ed in shall be subject to negotiation between ING AUTHORITY. techniques that achieve the objective of the the Secretary and the lessors of the new re- (a) REPEAL OF DUPLICATIVE AUTHORITY AND subsection without imposing a significant placement commercial utility cargo vehi- RESTRICTION.—Section 2356 of title 10, United management burden on the Government or cles; States Code, is repealed. the contractor involved.’’. (C) the lease agreement for a new commer- (b) CLERICAL AMENDMENT.—The table of (5) Subsection (a)(3)(B) of section 2534 of cial utility cargo vehicle may be executed sections at the beginning of chapter 139 of title 10, United States Code, as amended by with or without an option to purchase at the title 10, United States Code, is amended by paragraph (1), shall apply only to contracts end of the lease period; striking out the item relating to section entered into after March 31, 1996. (D) the lease period for a new commercial 2356. (b) EXTENSION OF LIMITATION RELATING TO utility cargo vehicle may not exceed the SEC. 803. CONTROL IN PROCUREMENTS OF CRIT- BALL BEARINGS AND ROLLER BEARINGS.—Sec- warranty period for the vehicle; and ICAL AIRCRAFT AND SHIP SPARE tion 2534(c)(3) of such title is amended by (E) up to 40 percent of the validated re- PARTS. striking out ‘‘October 1, 1995’’ and inserting quirement for commercial utility cargo vehi- (a) REPEAL.—Section 2383 of title 10, Unit- in lieu thereof ‘‘October 1, 2000’’. cles may be satisfied by leasing such vehi- ed States Code, is repealed. (c) TERMINATION OF VESSEL PROPELLER cles, except that one or more options for sat- (b) CLERICAL AMENDMENT.—The table of LIMITATION.—Section 2534(c) of such title is isfying the remainder of the validated re- sections at the beginning of chapter 141 of amended by adding at the end the following quirement may be provided for and exercised such title is amended by striking out the new paragraph: (subject to the requirements of paragraph item relating to section 2383. ‘‘(4) VESSEL PROPELLERS.—Subsection (6)). SEC. 804. FEES FOR CERTAIN TESTING SERVICES. (a)(3)(A)(iii) and this paragraph shall cease (3) In awarding contracts under the pilot Section 2539b(c) of title 10, United States to be effective on the date occurring two program, the Secretary shall comply with Code, is amended by inserting ‘‘and indirect’’ years after the date of the enactment of the section 2304 of title 10, United States Code. after ‘‘recoup the direct’’ in the second sen- National Defense Authorization Act for Fis- (4) The pilot program may not be com- tence. cal Year 1996.’’. menced until— SEC. 805. COORDINATION AND COMMUNICATION (d) INAPPLICABILITY OF SIMPLIFIED ACQUISI- (A) the Secretary submits to the Commit- OF DEFENSE RESEARCH ACTIVITIES. TION LIMITATION TO CONTRACTS FOR BALL tee on Armed Services of the Senate and the Section 2364 of title 10, United States Code, BEARINGS AND ROLLER BEARINGS.—Section Committee on National Security of the is amended— 2534(g) of title 10, United States Code, is House of Representatives a report that con- (1) in subsection (b)(5), by striking out amended— tains the plans of the Secretary for imple- ‘‘milestone O, milestone I, and milestone II’’ (1) by inserting ‘‘(1)’’ before ‘‘This sec- menting the program and that sets forth in and inserting in lieu thereof ‘‘acquisition tion’’; and detail the savings in operating and support program’’; and (2) by adding at the end the following new costs expected to be derived from retiring (2) in subsection (c), by striking out para- paragraph: older commercial utility cargo vehicles, as graphs (2), (3), and (4) and inserting in lieu ‘‘(2) Paragraph (1) does not apply to con- compared to the expected costs of leasing thereof the following: tracts for items described in subsection (a)(5) newer commercial utility cargo vehicles; and ‘‘(2) The term ‘acquisition program deci- (relating to ball bearings and roller bear- (B) a period of 30 calendar days has elapsed sion’ has the meaning prescribed by the Sec- ings), notwithstanding section 33 of the Of- after submission of such report. retary of Defense in regulations.’’. fice of Federal Procurement Policy Act (41 (5) Not later than one year after the date SEC. 806. ADDITION OF CERTAIN ITEMS TO DO- U.S.C. 429).’’. on which the first lease under the pilot pro- MESTIC SOURCE SEC. 807. ENCOURAGEMENT OF USE OF LEASING gram is entered into, the Secretary of the LIMITATION. AUTHORITY. Army shall submit to the Committee on (a) LIMITATION.—(1) Paragraph (3) of sec- (a) IN GENERAL.—(1) Section 2401a of title Armed Services of the Senate and the Com- tion 2534(a) of title 10, United States Code, is 10, United States Code, is amended— mittee on National Security of the House of amended to read as follows: (A) by inserting before ‘‘The Secretary of Representatives a report on the status of the ‘‘(3) COMPONENTS FOR NAVAL VESSELS.—(A) Defense’’ the following subsection heading: pilot program. Such report shall be based on The following components: ‘‘(b) LIMITATION ON CONTRACTS WITH TERMS at least six months of experience in operat- ‘‘(i) Air circuit breakers. OF 18 MONTHS OR MORE.—’’; ing the pilot program. ‘‘(ii) Welded shipboard anchor and mooring (B) by inserting after the section heading (6) The Secretary may exercise an option chain with a diameter of four inches or less. the following: provided for under paragraph (2) only after a ‘‘(iii) Vessel propellers with a diameter of ‘‘(a) LEASING OF COMMERCIAL VEHICLES AND period of 60 days has elapsed after the sub- six feet or more. EQUIPMENT.—The Secretary of Defense may mission of the report. ‘‘(B) The following components of vessels, use leasing in the acquisition of commercial (7) No lease of commercial utility cargo ve- to the extent they are unique to marine ap- vehicles and equipment whenever the Sec- hicles may be entered into under the pilot program after September 30, 2000. plications: gyrocompasses, electronic navi- retary determines that leasing of such vehi- gation chart systems, steering controls, cles is practicable and efficient.’’; and SEC. 808. COST REIMBURSEMENT RULES FOR IN- (C) by amending the section heading to DIRECT COSTS ATTRIBUTABLE TO pumps, propulsion and machinery control PRIVATE SECTOR WORK OF DE- systems, and totally enclosed lifeboats.’’. read as follows: FENSE CONTRACTORS. (2) Subsection (b) of section 2534 of such ‘‘§ 2401a. Lease of vehicles, equipment, ves- (a) DEFENSE CAPABILITY PRESERVATION title is amended by adding at the end the fol- sels, and aircraft’’. AGREEMENT.—The Secretary of Defense may lowing: (2) The item relating to section 2401a in the enter into an agreement, to be known as a ‘‘(3) MANUFACTURER OF VESSEL PROPEL- table of sections at the beginning of chapter ‘‘defense capability preservation agree- LERS.—In the case of a procurement of vessel 141 of such title is amended to read as fol- ment’’, with a defense contractor under propellers referred to in subsection which the cost reimbursement rules de- lows: (a)(3)(A)(ii), the manufacturer of the propel- scribed in subsection (b) shall be applied. lers meets the requirements of this sub- ‘‘2401a. Lease of vehicles, equipment, vessels, Such an agreement may be entered into in section only if— and aircraft.’’. any case in which the Secretary determines ‘‘(A) the manufacturer meets the require- (b) REPORT.—Not later than 90 days after that the application of such cost reimburse- ments set forth in paragraph (1); and the date of the enactment of this Act, the ment rules would facilitate the achievement ‘‘(B) all castings incorporated into such Secretary of Defense shall submit to the of the policy objectives set forth in section propellers are poured and finished in the Committee on Armed Services of the Senate 2501(b) of title 10, United States Code. United States.’’. and the Committee on National Security of (b) COST REIMBURSEMENT RULES.—(1) The (3) Paragraph (1) of section 2534(c) of such the House of Representatives a report set- cost reimbursement rules applicable under title is amended to read as follows: ting forth changes in legislation that would an agreement entered into under subsection ‘‘(1) COMPONENTS FOR NAVAL VESSELS.— be required to facilitate the use of leasing in (a) are as follows: Subsection (a) does not apply to a procure- the acquisition of equipment by the Depart- (A) The Department of Defense shall, in de- ment of spare or repair parts needed to sup- ment of Defense. termining the reimbursement due a contrac- port components for naval vessels produced (c) PILOT PROGRAM.—(1) The Secretary of tor for its indirect costs of performing a de- or manufactured outside the United the Army may conduct a pilot program for fense contract, allow the contractor to allo- States.’’. leasing commercial utility cargo vehicles in cate indirect costs to its private sector work (4) Section 2534 of such title is amended by accordance with this subsection. only to the extent of the contractor’s alloca- adding at the end the following new sub- (2) Under the pilot program— ble indirect private sector costs, subject to section: (A) the Secretary may trade existing com- subparagraph (C). ‘‘(h) IMPLEMENTATION OF NAVAL VESSEL mercial utility cargo vehicles of the Army (B) For purposes of subparagraph (A), the COMPONENT LIMITATION.—In implementing for credit against the costs of leasing new re- allocable indirect private sector costs of a subsection (a)(3)(B), the Secretary of De- placement commercial utility cargo vehicles contractor are those costs of the contractor fense— for the Army; that are equal to the sum of— ‘‘(1) may not use contract clauses or cer- (B) the quantities and trade-in value of (i) the incremental indirect costs attrib- tifications; and commercial utility cargo vehicles to be trad- utable to such work; and January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 413 (ii) the amount by which the revenue at- an inspector general’s report under sub- military department, Defense Agency, or tributable to such private sector work ex- section (a)(1) within 12 months after the date other component of the Department of De- ceeds the sum of— of the inspector general’s report. If the head fense, by an office or other entity that is not (I) the direct costs attributable to such pri- of the agency fails to complete final action directly responsible for carrying out the de- vate sector work; and with regard to a management decision with- velopment or acquisition of the program; (II) the incremental indirect costs attrib- in the 12-month period, the inspector general and’’. utable to such private sector work. concerned shall identify the matter in each SEC. 815. CONSTRUCTION, REPAIR, ALTERATION, (C) The total amount of allocable indirect of the inspector general’s semiannual reports FURNISHING, AND EQUIPPING OF private sector costs for a contract in any pursuant to section 5(a)(3) of the Inspector NAVAL VESSELS. year of the agreement may not exceed the General Act of 1978 (5 U.S.C. App.) until final (a) APPLICABILITY OF CERTAIN LAW.—Chap- amount of indirect costs that a contractor action on the management decision is com- ter 633 of title 10, United States Code, is would have allocated to its private sector pleted.’’. amended by inserting after section 7297 the work during that year in accordance with SEC. 811. TEST PROGRAM FOR NEGOTIATION OF following: the contractor’s established accounting COMPREHENSIVE SUBCONTRACTING PLANS. ‘‘§ 7299. Contracts: applicability of Walsh- practices. Healey Act (2) The cost reimbursement rules set forth (a) REVISION OF AUTHORITY.—Subsection (a) of section 834 of National Defense Authoriza- ‘‘Each contract for the construction, alter- in paragraph (1) may be modified by the Sec- tion Act for Fiscal Years 1990 and 1991 (15 ation, furnishing, or equipping of a naval retary of Defense if the Secretary of Defense U.S.C. 637 note) is amended by striking out vessel is subject to the Walsh-Healey Act (41 determines that modifications are appro- paragraph (1) and inserting in lieu thereof U.S.C. 35 et seq.) unless the President deter- priate to the particular situation to facili- the following: mines that this requirement is not in the in- tate achievement of the policy set forth in ‘‘(1) The Secretary of Defense shall estab- terest of national defense.’’. section 2501(b) of title 10, United States lish a test program under which contracting (b) CLERICAL AMENDMENT.—The table of Code. activities in the military departments and sections at the beginning of such chapter is MPLEMENTATION.—Not later than 90 (c) I the Defense Agencies are authorized to un- amended by inserting after the item relating days after the date of the enactment of this dertake one or more demonstration projects to section 7297 the following: Act, the Secretary of Defense shall establish to determine whether the negotiation and application procedures and procedures for ‘‘7299. Contracts: applicability of Walsh- administration of comprehensive sub- Healey Act.’’. expeditious consideration of defense capabil- contracting plans will reduce administrative ity preservation agreements as authorized by burdens on contractors while enhancing op- Subtitle B—Other Matters this section. portunities provided under Department of SEC. 821. PROCUREMENT TECHNICAL ASSIST- (d) CONTRACTS COVERED.—An agreement Defense contracts for small business con- ANCE PROGRAMS. entered into with a contractor under sub- cerns and small business concerns owned and (a) FUNDING.—Of the amount authorized to section (a) shall apply to each Department of controlled by socially and economically dis- be appropriated under section 301(5), Defense contract with the contractor in ef- advantaged individuals. In selecting the con- $12,000,000 shall be available for carrying out fect on the date on which the agreement is tracting activities to undertake demonstra- the provisions of chapter 142 of title 10, Unit- entered into and each Department of Defense tion projects, the Secretary shall take such ed States Code. contract that is awarded to the contractor action as is necessary to ensure that a broad (b) SPECIFIC PROGRAMS.—Of the amounts during the term of the agreement. range of the supplies and services acquired made available pursuant to subsection (a), (e) REPORTS.—Not later than one year after by the Department of Defense are included in $600,000 shall be available for fiscal year 1996 the date of the enactment of this Act, the the test program.’’. for the purpose of carrying out programs Secretary of Defense shall submit to the con- (b) COVERED CONTRACTORS.—Subsection (b) sponsored by eligible entities referred to in gressional defense committees a report set- of such section is amended by striking out subparagraph (D) of section 2411(1) of title 10, ting forth— paragraph (3) and inserting in lieu thereof United States Code, that provide procure- (1) the number of applications received and the following: ment technical assistance in distressed areas the number of applications approved for de- ‘‘(3) A Department of Defense contractor referred to in subparagraph (B) of section fense capability preservation agreements; referred to in paragraph (1) is, with respect 2411(2) of such title. If there is an insufficient and to a comprehensive subcontracting plan ne- number of satisfactory proposals for coopera- (2) any changes to the authority in this gotiated in any fiscal year, a business con- tive agreements in such distressed areas to section that the Secretary recommends to cern that, during the immediately preceding allow effective use of the funds made avail- further facilitate the policy set forth in sec- fiscal year, furnished the Department of De- able in accordance with this subsection in tion 2501(b) of title 10, United States Code. fense with supplies or services (including such areas, the funds shall be allocated SEC. 809. SUBCONTRACTS FOR OCEAN TRANS- professional services, research and develop- among the Defense Contract Administration PORTATION SERVICES. ment services, and construction services) Services regions in accordance with section Notwithstanding any other provision of pursuant to at least three Department of De- 2415 of such title. fense contracts having an aggregate value of law, neither section 901(b) of the Merchant SEC. 822. DEFENSE FACILITY-WIDE PILOT PRO- Marine Act, 1936 (46 U.S.C. 1241(b)) nor sec- at least $5,000,000.’’. GRAM. (c) TECHNICAL AMENDMENTS.—Such section tion 2631 of title 10, United States Code, shall (a) AUTHORITY TO CONDUCT DEFENSE FACIL- is amended— be included before May 1, 1996, on any list ITY-WIDE PILOT PROGRAM.—The Secretary of (1) by striking out subsection (g); and promulgated under section 34(b) of the Office Defense may conduct a pilot program, to be (2) by redesignating subsection (h) as sub- of Federal Procurement Policy Act (41 U.S.C. known as the ‘‘defense facility-wide pilot section (g). 430(b)). program’’, for the purpose of determining the SEC. 812. PROCUREMENT OF ITEMS FOR EXPERI- SEC. 810. PROMPT RESOLUTION OF AUDIT REC- potential for increasing the efficiency and ef- MENTAL OR TEST PURPOSES. OMMENDATIONS. fectiveness of the acquisition process in fa- Section 2373(b) of title 10, United States Section 6009 of the Federal Acquisition Code, is amended by inserting ‘‘only’’ after cilities by using commercial practices on a Streamlining Act of 1994 (Public Law 103–355; ‘‘applies’’ in the second sentence. facility-wide basis. 108 Stat. 3367) is amended to read as follows: (b) DESIGNATION OF PARTICIPATING FACILI- SEC. 813. USE OF FUNDS FOR ACQUISITION OF ‘‘SEC. 6009. PROMPT MANAGEMENT DECISIONS DESIGNS, PROCESSES, TECHNICAL TIES.—(1) Subject to paragraph (2), the Sec- AND IMPLEMENTATION OF AUDIT DATA, AND COMPUTER SOFTWARE. retary may designate up to two facilities as RECOMMENDATIONS. Section 2386(3) of title 10, United States participants in the defense facility-wide ‘‘(a) MANAGEMENT DECISIONS.—(1) The head Code, is amended to read as follows: pilot program. of a Federal agency shall make management ‘‘(3) Design and process data, technical (2) The Secretary may designate for par- decisions on all findings and recommenda- data, and computer software.’’. ticipation in the pilot program only those fa- tions set forth in an audit report of the in- SEC. 814. INDEPENDENT COST ESTIMATES FOR cilities that are authorized to be so des- spector general of the agency within a maxi- MAJOR DEFENSE ACQUISITION PRO- ignated in a law authorizing appropriations mum of six months after the issuance of the GRAMS. for national defense programs that is en- report. Section 2434(b)(1)(A) of title 10, United acted after the date of the enactment of this ‘‘(2) The head of a Federal agency shall States Code, is amended to read as follows: Act. make management decisions on all findings ‘‘(A) be prepared— (c) SCOPE OF PROGRAM.—At a facility des- and recommendations set forth in an audit ‘‘(i) by an office or other entity that is not ignated as a participant in the pilot pro- report of any auditor from outside the Fed- under the supervision, direction, or control gram, the pilot program shall consist of the eral Government within a maximum of six of the military department, Defense Agency, following: months after the date on which the head of or other component of the Department of De- (1) All contracts and subcontracts for de- the agency receives the report. fense that is directly responsible for carrying fense supplies and services that are per- ‘‘(b) COMPLETION OF FINAL ACTION.—The out the development or acquisition of the formed at the facility. head of a Federal agency shall complete final program; or (2) All Department of Defense contracts action on each management decision re- ‘‘(ii) if the decision authority for the pro- and all subcontracts under Department of quired with regard to a recommendation in gram has been delegated to an official of a Defense contracts performed elsewhere that H 414 CONGRESSIONAL RECORD — HOUSE January 22, 1996 the Secretary determines are directly and (ii) awarded without requiring the contrac- (2) Incorporation of commercial oversight, substantially related to the production of de- tors or subcontractors to provide certified inspection, and acceptance procedures. fense supplies and services at the facility and cost or pricing data pursuant to section 2306a (3) Use of alternative dispute resolution are necessary for the pilot program. of title 10, United States Code; and techniques (including arbitration). (d) CRITERIA FOR DESIGNATION OF PARTICI- (iii) awarded and administered without the (4) Elimination of contract provisions au- PATING FACILITIES.—The Secretary shall es- application of cost accounting standards thorizing the Government to make unilat- tablish criteria for selecting a facility for under section 26(f) of the Office of Federal eral changes to contracts. designation as a participant in the pilot pro- Procurement Policy Act (41 U.S.C. 422(f)). SEC. 823. TREATMENT OF DEPARTMENT OF DE- gram. In developing such criteria, the Sec- (f) EXEMPTION FROM CERTAIN REQUIRE- FENSE CABLE TELEVISION FRAN- retary shall consider the following: MENTS.—In the case of a contract or sub- CHISE AGREEMENTS. (1) The number of existing and anticipated contract that is to be performed at a facility Not later than 180 days after the date of contracts and subcontracts performed at the designated for participation in the defense the enactment of this Act, the chief judge of facility— facility-wide pilot program and that is sub- the United States Court of Federal Claims (A) for which contractors are required to ject to section 2306a of title 10, United States shall transmit to Congress a report contain- provide certified cost or pricing data pursu- Code, or section 26(f) of the Office of Federal ing an advisory opinion on the following two ant to section 2306a of title 10, United States Procurement Policy Act (41 U.S.C. 422(f)), questions: Code; and the Secretary of Defense may exempt such (1) Is it within the power of the executive (B) which are administered with the appli- contract or subcontract from the require- branch to treat cable television franchise cation of cost accounting standards under ment to obtain certified cost or pricing data agreements for the construction, installa- section 26(f) of the Office of Federal Procure- under such section 2306a or the requirement tion, or capital improvement of cable tele- ment Policy Act (41 U.S.C. 422(f)). to apply mandatory cost accounting stand- vision systems at military installations of (2) The relationship of the facility to other ards under such section 26(f) if the Secretary the Department of Defense as contracts organizations and facilities performing determines that the contract or sub- under part 49 of the Federal Acquisition Reg- under contracts with the Department of De- contract— ulation without violating title VI of the fense and subcontracts under such contracts. (1) is within the scope of the pilot program Communications Act of 1934 (47 U.S.C. 521 et (3) The impact that the participation of (as described in subsection (c)); and seq.)? the facility under the pilot program would (2) is fairly and reasonably priced based on (2) If the answer to the question in para- have on competing domestic information other than certified cost and graph (1) is in the affirmative, is the execu- manufacturers. pricing data. tive branch required by law to so treat such (4) Such other factors as the Secretary (g) SPECIAL AUTHORITY.—The authority franchise agreements? considers provided under subsection (a) includes au- SEC. 824. EXTENSION OF PILOT MENTOR-PRO- appropriate. thority for the Secretary of Defense— TEGE PROGRAM. (e) NOTIFICATION.—(1) The Secretary shall (1) to apply any amendment or repeal of a Section 831(j)(1) of the National Defense transmit to the Committee on Armed Serv- provision of law made in this Act to the pilot Authorization Act for Fiscal Year 1991 (10 ices of the Senate and the Committee on Na- program before the effective date of such U.S.C. 2301 note) is amended by striking out tional Security of the House of Representa- amendment or repeal; and ‘‘1995’’ and inserting in lieu thereof ‘‘1996’’. tives a written notification of each facility (2) to apply to a procurement of items TITLE IX—DEPARTMENT OF DEFENSE proposed to be designated by the Secretary other than commercial items under such pro- ORGANIZATION AND MANAGEMENT for participation in the pilot program. gram— Subtitle A—General Matters (2) The Secretary shall include in the noti- (A) the authority provided in section 34 of fication regarding a facility designated for SEC. 901. ORGANIZATION OF THE OFFICE OF the Office of Federal Procurement Policy THE SECRETARY OF DEFENSE. participation in the program a management Act (41 U.S.C. 430) to waive a provision of law (a) FINDINGS.—Congress makes the follow- plan addressing the following: ing findings: (A) The proposed treatment of research in the case of commercial items, and (1) The statutory provisions that as of the and development contracts or subcontracts (B) any exception applicable under this Act date of the enactment of this Act govern the to be performed at the facility during the or the Federal Acquisition Streamlining Act organization of the Office of the Secretary of pilot program. of 1994 (Public Law 103–355) (or an amend- Defense have evolved from enactment of a (B) The proposed treatment of the cost im- ment made by a provision of either Act) in number of executive branch legislative pro- pact of the use of commercial practices on the case of commercial items, the award and administration of contracts before the effective date of such provision (or posals and congressional initiatives over a and subcontracts performed at the facility. amendment) to the extent that the Sec- period of years. (C) The proposed method for reimbursing retary determines necessary to test the ap- (2) The May 1995 report of the congression- the contractor for existing and new con- plication of such waiver or exception to pro- ally mandated Commission on Roles and tracts. curements of items other than commercial Missions of the Armed Forces included a (D) The proposed method for measuring the items. number of recommendations relating to the performance of the facility for meeting the (h) APPLICABILITY.—(1) Subsections (f) and Office of the Secretary of Defense. management goals of the (g) apply to the following contracts, if such (3) The Secretary of Defense has decided to Secretary. contracts are within the scope of the pilot create a special Department task force and (E) Estimates of the annual amount and program at a facility designated for the pilot to conduct other reviews to review many of the total amount of the contracts and sub- program under subsection (b): the Commission’s recommendations. contracts covered under the pilot (A) A contract that is awarded or modified (4) The Secretary of Defense has decided to program. during the period described in paragraph (2). institute a 5 percent per year reduction of ci- (3)(A) The Secretary shall ensure that the (B) A contract that is awarded before the vilian personnel assigned to the Office of the management plan for a facility provides for beginning of such period, that is to be per- Secretary of Defense, including the Washing- attainment of the following objectives: formed (or may be performed), in whole or in ton Headquarters Service and the Defense (i) A significant reduction of the cost to part, during such period, and that may be Support Activities, for the period from fiscal the Government for programs carried out at modified as appropriate at no cost to the year 1996 through fiscal year 2001. the facility. Government. (5) Over the ten-year period from 1986 (ii) A reduction of the schedule associated (2) The period referred to in paragraph (1), through 1995, defense spending in real dollars with programs carried out at the facility. with respect to a facility designated under has been reduced by 34 percent and military (iii) An increased use of commercial prac- subsection (b), is the period that— end-strengths have been reduced by 28 per- tices and procedures for programs carried (A) begins 45 days after the date of the en- cent. During the same period, the number of out at the facility. actment of the Act authorizing the designa- civilian employees of the Office of the Sec- (iv) Protection of a domestic manufacturer tion of that facility in accordance with para- retary of Defense has increased by 22 per- competing for contracts at such facility graph (2) of such subsection; and cent. from being placed at a significant competi- (B) ends on September 30, 2000. (6) To achieve greater efficiency and to tive disadvantage by the participation of the (i) COMMERCIAL PRACTICES ENCOURAGED.— revalidate the role and mission of the Office facility in the pilot program. With respect to contracts and subcontracts of the Secretary of Defense, a comprehensive (B) The management plan for a facility within the scope of the defense facility-wide review of the organizations and functions of shall also require that all or substantially pilot program, the Secretary of Defense may, that Office and of the personnel needed to all of the contracts to be awarded and per- to the extent the Secretary determines ap- carry out those functions is required. formed at the facility after the designation propriate and in accordance with applicable (b) REVIEW.—The Secretary of Defense of that facility under subsection (b), and all law, adopt commercial practices in the ad- shall conduct a further review of the organi- or substantially all of the subcontracts to be ministration of contracts and subcontracts. zations and functions of the Office of the awarded under those contracts and per- Such commercial practices may include the Secretary of Defense, including the Washing- formed at the facility after the designation, following: ton Headquarters Service and the Defense be— (1) Substitution of commercial oversight Support Activities, and the personnel needed (i) for the production of supplies or serv- and inspection procedures for Government to carry out those functions. The review ices on a firm-fixed price basis; audit and access to records. shall include the following: January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 415 (1) An assessment of the appropriate func- out ‘‘eleven’’ and inserting in lieu thereof of Defense is the official designated by the tions of the Office and whether the Office of ‘‘ten’’. Secretary of Defense to have that respon- the Secretary of Defense or some of its com- (b) CONFORMING AMENDMENT.—Section 5315 sibility.’’. ponent parts should be organized along mis- of title 5, United States Code, is amended by (5) Section 1211(b)(2) of the National De- sion lines. striking out ‘‘(11)’’ after ‘‘Assistant Sec- fense Authorization Act for Fiscal Years 1988 (2) An assessment of the adequacy of the retaries of Defense’’ and inserting in lieu and 1989 (P.L. 100–180; 101 Stat 1155; 10 U.S.C. present organizational structure to effi- thereof ‘‘(10)’’. 167 note) is amended by striking out ‘‘the As- ciently and effectively support the Secretary SEC. 903. DEFERRED REPEAL OF VARIOUS STAT- sistant Secretary of Defense for Special Op- in carrying out his responsibilities in a man- UTORY POSITIONS AND OFFICES IN erations and Low Intensity Conflict’’ and in- ner that ensures civilian authority in the OFFICE OF THE SECRETARY OF DE- serting in lieu thereof ‘‘the official des- Department of Defense. FENSE. ignated by the Secretary of Defense to have (3) An assessment of the advantages and (a) EFFECTIVE DATE.—The amendments principal responsibility for matters relating disadvantages of the use of political ap- made by this section shall take effect on to special operations and low intensity con- pointees to fill the positions of the various January 31, 1997. flict’’. Under Secretaries of Defense, Assistant Sec- (b) TERMINATION OF SPECIFICATION BY LAW (g) REPEAL OF MINIMUM NUMBER OF SENIOR retaries of Defense, and Deputy Under Sec- OF ASD POSITIONS.—Subsection (b) of section STAFF FOR SPECIFIED ASSISTANT SECRETARY retaries of Defense. 138 of title 10, United States Code, is amend- OF DEFENSE.—Section 355 of the National De- (4) An assessment of the extent of unneces- ed to read as follows: fense Authorization Act for Fiscal Year 1991 sary duplication of functions between the Of- ‘‘(b) The Assistant Secretaries shall per- (Public Law 101–510; 104 Stat. 1540) is re- fice of the Secretary of Defense and the form such duties and exercise such powers as pealed. the Secretary of Defense may prescribe.’’. Joint Staff. SEC. 904. REDESIGNATION OF THE POSITION OF (5) An assessment of the extent of unneces- (c) REPEAL OF CERTAIN OSD PRESIDENTIAL ASSISTANT TO THE SECRETARY OF sary duplication of functions between the Of- APPOINTMENT POSITIONS.—The following sec- DEFENSE FOR ATOMIC ENERGY. fice of the Secretary of Defense and the mili- tions of chapter 4 of such title are repealed: (a) IN GENERAL.—(1) Section 142 of title 10, tary departments. (1) Section 133a, relating to the Deputy United States Code, is amended— (6) An assessment of the appropriate num- Under Secretary of Defense for Acquisition (A) by striking out the section heading and ber of positions referred to in paragraph (3) and Technology. inserting in lieu thereof the following: and of Deputy Assistant Secretaries of De- (2) Section 134a, relating to the Deputy ‘‘§ 142. Assistant to the Secretary of Defense fense. Under Secretary of Defense for Policy. for Nuclear and Chemical and Biological (7) An assessment of whether some or any (3) Section 134a, relating to the Director of Defense Programs’’; of the functions currently performed by the Defense Research and Engineering. (B) in subsection (a), by striking out ‘‘As- Office of Humanitarian and Refugee Affairs (4) Section 142, relating to the Assistant to sistant to the Secretary of Defense for Atom- are more properly or effectively performed the Secretary of Defense for Nuclear and ic Energy’’ and inserting in lieu thereof ‘‘As- by another agency of Government or else- Chemical and Biological Defense Programs. sistant to the Secretary of Defense for Nu- where within the Department of Defense. (d) DIRECTOR OF MILITARY RELOCATION AS- clear and Chemical and Biological Defense (8) An assessment of the efficacy of the SISTANCE PROGRAMS.—Section 1056 of such Programs’’; and Joint Requirements Oversight Council and title is amended by striking out subsection (C) by striking out subsection (b) and in- whether it is advisable or necessary to estab- (d). (e) CONFORMING AMENDMENTS RELATING TO serting in lieu thereof the following: lish a statutory charter for this organiza- ‘‘(b) The Assistant to the Secretary shall— REPEAL OF VARIOUS OSD POSITIONS.—Chap- tion. ‘‘(1) advise the Secretary of Defense on nu- (9) An assessment of any benefits or effi- ter 4 of such title is further amended— (1) in section 131(b)— clear energy, nuclear weapons, and chemical ciencies derived from decentralizing certain and biological defense; functions currently performed by the Office (A) by striking out paragraphs (6) and (8); and ‘‘(2) serve as the Staff Director of the Nu- of the Secretary of Defense. clear Weapons Council established by section (10) An assessment of the appropriate size, (B) by redesignating paragraphs (7), (9), (10), and (11), as paragraphs (6), (7), (8), and 179 of this title; and number, and functional responsibilities of ‘‘(3) perform such additional duties as the the Defense Agencies and other Department (9), respectively; (2) in section 138(d), by striking out ‘‘the Secretary may prescribe.’’. of Defense support organizations. (2) The item relating to such section in the Under Secretaries of Defense, and the Direc- (c) REPORT.—Not later than March 1, 1996, table of sections at the beginning of chapter tor of Defense Research and Engineering’’ the Secretary of Defense shall submit to the 4 of such title is amended to read as follows: congressional defense committees a report and inserting in lieu thereof ‘‘and the Under containing — Secretaries of Defense’’; and ‘‘142. Assistant to the Secretary of Defense (1) his findings and conclusions resulting (3) in the table of sections at the beginning for Nuclear and Chemical and from the review under subsection (b); and of the chapter, by striking out the items re- Biological Defense Programs.’’. (2) a plan for implementing resulting rec- lating to sections 133a, 134a, 137, 139, and 142. (b) CONFORMING AMENDMENTS.—(1) Section ommendations, including proposals for legis- (f) CONFORMING AMENDMENTS RELATING TO 179(c)(2) of title 10, United States Code, is lation (with supporting rationale) that would REPEAL OF SPECIFICATION OF ASD POSI- amended by striking out ‘‘The Assistant to be required as a result of the review. TIONS.— the Secretary of Defense for Atomic Energy’’ (d) PERSONNEL REDUCTION.—(1) Effective (1) Section 176(a)(3) of title 10, United and inserting in lieu thereof ‘‘The Assistant October 1, 1999, the number of OSD personnel States Code, is amended— to the Secretary of Defense for Nuclear and may not exceed 75 percent of the number of (A) by striking out ‘‘Assistant Secretary of Chemical and Biological Defense Programs’’. OSD personnel as of October 1, 1994. Defense for Health Affairs’’ and inserting in (2) Section 5316 of title 5, United States (2) For purposes of this subsection, the lieu thereof ‘‘official in the Department of Code, is amended by striking out ‘‘The As- term ‘‘OSD personnel’’ means military and Defense with principal responsibility for sistant to the Secretary of Defense for Atom- civilian personnel of the Department of De- health affairs’’; and ic Energy, Department of Defense.’’ and in- fense who are assigned to, or employed in, (B) by striking out ‘‘Chief Medical Director serting in lieu thereof the following: functions in the Office of the Secretary of of the Department of Veterans Affairs’’ and ‘‘Assistant to the Secretary of Defense for Defense (including Direct Support Activities inserting in lieu thereof ‘‘Under Secretary Nuclear and Chemical and Biological Defense of that Office and the Washington Head- for Health of the Department of Veterans Af- Programs, Department of Defense.’’. quarters Services of the Department of De- fairs’’. SEC. 905. JOINT REQUIREMENTS OVERSIGHT fense). (2) Section 1216(d) of such title is amended COUNCIL. (3) In carrying out reductions in the num- by striking out ‘‘Assistant Secretary of De- (a) IN GENERAL.—(1) Chapter 7 of title 10, ber of personnel assigned to, or employed in, fense for Health Affairs’’ and inserting in United States Code, is amended by adding at the Office of the Department of Defense in lieu thereof ‘‘official in the Department of the end the following new section: order to comply with paragraph (1), the Sec- ‘‘§ 181. Joint Requirements Oversight Council retary may not reassign functions solely in Defense with principal responsibility for order to evade the requirement contained in health affairs’’. ‘‘(a) ESTABLISHMENT.—The Secretary of De- that paragraph. (3) Section 1587(d) of such title is amended fense shall establish a Joint Requirements (4) If the Secretary of Defense determines, by striking out ‘‘Assistant Secretary of De- Oversight Council in the Department of De- and certifies to Congress, that the limitation fense for Manpower and Logistics’’ and in- fense. in paragraph (1) would adversely affect Unit- serting in lieu thereof ‘‘official in the De- ‘‘(b) MISSION.—In addition to other matters ed States national security, the limitation partment of Defense with principal respon- assigned to it by the President or Secretary under paragraph (1) shall be applied by sub- sibility for personnel and of Defense, the Joint Requirements Over- stituting ‘‘80 percent’’ for ‘‘75 percent’’. readiness’’. sight Council shall— SEC. 902. REDUCTION IN NUMBER OF ASSISTANT (4) The text of section 10201 of such title is ‘‘(1) assist the Chairman of the Joint SECRETARY OF DEFENSE POSI- amended to read as follows: Chiefs of Staff in identifying and assessing TIONS. ‘‘The official in the Department of Defense the priority of joint military requirements (a) REDUCTION.—Section 138(a) of title 10, with responsibility for overall supervision of (including existing systems and equipment) United States Code, is amended by striking reserve component affairs of the Department to meet the national military strategy; H 416 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(2) assist the Chairman in considering al- the Federal Acquisition Streamlining Act of ignated as the Defense Advanced Research ternatives to any acquisition program that 1994 (Public Law 103–355), the Federal Acqui- Projects Agency. has been identified to meet military require- sition Reform Act of 1995 (division D of this (b) REFERENCES.—Any reference in any ments by evaluating the cost, schedule, and Act), and other ongoing initiatives to in- law, regulation, document, record, or other performance criteria of the program and of crease the use of commercial practices and paper of the United States or in any provi- the identified alternatives; and reduce contract overhead in the defense pro- sion of this Act to the Advanced Research ‘‘(3) as part of its mission to assist the curement system. Projects Agency shall be considered to be a Chairman in assigning joint priority among (c) ASSESSMENT OF SPECIFIED RESTRUCTUR- reference to the Defense Advanced Research existing and future programs meeting valid ING OPTIONS.—The Secretary shall include in Projects Agency. requirements, ensure that the assignment of the report under subsection (a) a detailed as- Subtitle B—Financial Management such priorities conforms to and reflects re- sessment of each of the following options for source levels projected by the Secretary of streamlining and restructuring the existing SEC. 911. TRANSFER AUTHORITY REGARDING Defense through defense planning guidance. defense acquisition organization, together FUNDS AVAILABLE FOR FOREIGN ‘‘(c) COMPOSITION.—(1) The Joint Require- with a specific recommendation as to wheth- CURRENCY FLUCTUATIONS. ments Oversight Council is composed of— er each such option should be implemented: (a) TRANSFERS TO MILITARY PERSONNEL AC- ‘‘(A) the Chairman of the Joint Chiefs of (1) Consolidation of certain functions of COUNTS AUTHORIZED.—Section 2779 of title 10, Staff, who is the chairman of the Council; the Defense Contract Audit Agency and the United States Code, is amended by adding at ‘‘(B) an Army officer in the grade of gen- Defense Contract Management Command. the end the following: eral; (2) Contracting for performance of a sig- ‘‘(c) TRANSFERS TO MILITARY PERSONNEL ‘‘(C) a Navy officer in the grade of admiral; nificant portion of the workload of the De- ACCOUNTS.—The Secretary of Defense may ‘‘(D) an Air Force officer in the grade of fense Contract Audit Agency and other De- transfer funds to military personnel appro- general; and fense Agencies that perform acquisition priations for a fiscal year out of funds avail- ‘‘(E) a Marine Corps officer in the grade of functions. able to the Department of Defense for that general. (3) Consolidation or selected elimination of fiscal year under the appropriation ‘Foreign ‘‘(2) Members of the Council, other than Department of Defense acquisition organiza- Currency Fluctuations, Defense’.’’. the Chairman of the Joint Chiefs of Staff, tions. (b) REVISION AND CODIFICATION OF AUTHOR- shall be selected by the Chairman of the (4) Any other defense acquisition infra- ITY FOR TRANSFERS TO FOREIGN CURRENCY Joint Chiefs of Staff, after consultation with structure streamlining or restructuring op- FLUCTUATIONS ACCOUNT.—Section 2779 of the Secretary of Defense, from officers in the tion the Secretary may determine. such title, as amended by subsection (a), is grade of general or admiral, as the case may (d) REDUCTION OF ACQUISITION further amended by adding at the end the be, who are recommended for such selection WORKFORCE.—(1) The Secretary of Defense following: shall accomplish reductions in defense acqui- by the Secretary of the military department ‘‘(d) TRANSFERS TO FOREIGN CURRENCY sition personnel positions during fiscal year concerned. FLUCTUATIONS ACCOUNT.—(1) The Secretary ‘‘(3) The functions of the Chairman of the 1996 so that the total number of such person- of Defense may transfer to the appropriation Joint Chiefs of Staff as chairman of the nel as of October 1, 1996, is less than the total ‘Foreign Currency Fluctuations, Defense’ un- Council may only be delegated to the Vice number of such personnel as of October 1, obligated amounts of funds appropriated for Chairman of the Joint Chiefs of Staff.’’. 1995, by at least 15,000. operation and maintenance and unobligated (2) For purposes of this subsection, the (2) The table of sections at the beginning of amounts of funds appropriated for military term ‘‘defense acquisition personnel’’ means such chapter is amended by adding at the personnel. end the following new item: military and civilian personnel assigned to, or employed in, acquisition organizations of ‘‘(2) Any transfer from an appropriation ‘‘181. Joint Requirements Oversight Coun- under paragraph (1) shall be made not later cil.’’. the Department of Defense (as specified in Department of Defense Instruction numbered than the end of the second fiscal year follow- (b) EFFECTIVE DATE.—The amendments 5000.58 dated January 14, 1992) with the ex- ing the fiscal year for which the appropria- made by this section shall take effect on ception of personnel who possess technical tion is provided. January 31, 1997. competence in trade-skill maintenance and ‘‘(3) Any transfer made pursuant to the au- SEC. 906. RESTRUCTURING OF DEPARTMENT OF repair positions involved in performing depot thority provided in this subsection shall be DEFENSE ACQUISITION ORGANIZA- maintenance functions. limited so that the amount in the appropria- TION AND WORKFORCE. SEC. 907. REPORT ON NUCLEAR POSTURE RE- tion ‘Foreign Currency Fluctuations, De- (a) RESTRUCTURING REPORT.—Not later VIEW AND ON PLANS FOR NUCLEAR fense’ does not exceed $970,000,000 at the time than March 1, 1996, the Secretary of Defense WEAPONS MANAGEMENT IN EVENT the transfer is made.’’. shall submit to Congress a report on the ac- OF ABOLITION OF DEPARTMENT OF (c) CONDITIONS OF AVAILABILITY FOR TRANS- quisition organization and workforce of the ENERGY. FERRED FUNDS.—Section 2779 of such title, as Department of Defense. The report shall in- (a) REPORT REQUIRED.—The Secretary of amended by subsection (b), is further amend- clude— Defense shall submit to Congress a report ed by adding at the end the following: (1) the plan described in subsection (b); and concerning the nuclear weapons complex. ‘‘(e) CONDITIONS OF AVAILABILITY FOR (2) the assessment of streamlining and re- The report shall set forth— TRANSFERRED FUNDS.—Amounts transferred structuring options described in subsection (1) the Secretary’s views on the effective- under subsection (c) or (d) shall be merged (c). ness of the Department of Energy in manag- with and be available for the same purposes (b) PLAN FOR RESTRUCTURING.—(1) The Sec- ing the nuclear weapons complex, including and for the same period as the appropria- retary shall include in the report under sub- the fulfillment of the requirements for nu- tions to which transferred.’’. section (a) a plan on how to restructure the clear weapons established for the Depart- (d) REPEAL OF SUPERSEDED PROVISIONS.—(1) current acquisition organization of the De- ment of Energy in the Nuclear Posture Re- Section 767A of Public Law 96–527 (94 Stat. partment of Defense in a manner that would view; and 3093) is repealed. enable the Secretary to accomplish the fol- (2) the Secretary’s recommended plan for lowing: the incorporation into the Department of (2) Section 791 of the Department of De- (A) Reduce the number of military and ci- Defense of the national security programs of fense Appropriation Act, 1983 (enacted in sec- vilian personnel assigned to, or employed in, the Department of Energy if the Department tion 101(c) of Public Law 97–377; 96 Stat. 1865) acquisition organizations of the Department of Energy should be abolished and those pro- is repealed. of Defense (as defined by the Secretary) by 25 grams be transferred to the Department of (e) TECHNICAL AMENDMENTS.—Section 2779 percent over a period of five years, beginning Defense. of title 10, United States Code, is amended— on October 1, 1995. (b) DEFINITION.—For purposes of this sec- (1) in subsection (a), by striking out (B) Eliminate duplication of functions tion, the term ‘‘Nuclear Posture Review’’ ‘‘(a)(1)’’ and inserting in lieu thereof ‘‘(a) among existing acquisition organizations of means the Department of Defense Nuclear TRANSFERS BACK TO FOREIGN CURRENCY the Department of Defense. Posture Review as contained in the report FLUCTUATIONS APPROPRIATION.—(1)’’; (C) Maximize opportunity for consolidation entitled ‘‘Report of the Secretary of Defense (2) in subsection (a)(2), by striking out ‘‘2d among acquisition organizations of the De- to the President and the Congress’’, dated fiscal year’’ and inserting in lieu thereof partment of Defense to reduce management February 19, 1995, or in subsequent such re- ‘‘second fiscal year’’; and overhead. ports. (3) in subsection (b), by striking out (2) In the report, the Secretary shall also (c) SUBMISSION OF REPORT.—The report ‘‘(b)(1)’’ and inserting in lieu thereof ‘‘(b) identify any statutory requirement or con- under subsection (a) shall be submitted not FUNDING FOR LOSSES IN MILITARY CONSTRUC- gressional directive that inhibits any pro- later than March 15, 1996. TION AND FAMILY HOUSING.—(1)’’. posed restructuring plan or reduction in the SEC. 908. REDESIGNATION OF ADVANCED RE- (f) EFFECTIVE DATE.—Subsections (c) and size of the defense acquisition organization. SEARCH PROJECTS AGENCY. (d) of section 2779 of title 10, United States (3) In designing the plan under paragraph (a) REDESIGNATION.—The agency in the De- Code, as added by subsections (a) and (b), and (1), the Secretary shall give full consider- partment of Defense known as the Advanced the repeals made by subsection (d), shall ation to the process efficiencies expected to Research Projects Agency shall after the apply only with respect to amounts appro- be achieved through the implementation of date of the enactment of this Act be des- priated for a fiscal year after fiscal year 1995. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 417

SEC. 912. DEFENSE MODERNIZATION ACCOUNT. ‘‘(e) LIMITATIONS.—(1) Funds in the Defense ‘‘(1) The term ‘Secretary concerned’ in- (a) ESTABLISHMENT AND USE.—(1) Chapter Modernization Account may not be used to cludes the Secretary of Defense with respect 131 of title 10, United States Code, is amend- increase the quantity of an item or services to Defense-wide appropriations accounts. ed by inserting after section 2215 the follow- procured under a particular procurement ‘‘(2) The term ‘unexpired funds’ means ing new section: program to the extent that doing so would— funds appropriated for a definite period that ‘‘§ 2216. Defense Modernization Account ‘‘(A) result in procurement of a total quan- remain available for obligation. tity of items or services in excess of— ‘‘(3) The term ‘congressional defense com- ‘‘(a) ESTABLISHMENT.—There is established in the Treasury an account to be known as ‘‘(i) a specific limitation provided by law mittees’ means— the ‘Defense Modernization Account’. on the quantity of the items or services that ‘‘(A) the Committee on Armed Services and may be procured; or the Committee on Appropriations of the Sen- ‘‘(b) TRANSFERS TO ACCOUNT.—(1)(A) Upon a determination by the Secretary of a military ‘‘(ii) the requirement for the items or serv- ate; and department or the Secretary of Defense with ices as approved by the Joint Requirements ‘‘(B) the Committee on National Security respect to Defense-wide appropriations ac- Oversight Council and reported to Congress and the Committee on Appropriations of the counts of the availability and source of funds by the Secretary of Defense; or House of described in subparagraph (B), that Sec- ‘‘(B) result in an obligation or expenditure Representatives.’’. (2) The table of sections at the beginning of retary may transfer to the Defense Mod- of funds in excess of a specific limitation chapter 131 of such title is amended by in- ernization Account during any fiscal year provided by law on the amount that may be serting after the item relating to section 2215 any amount of funds available to the Sec- obligated or expended, respectively, for that the following new item: retary described in that subparagraph. Such procurement program. ‘‘(2) Funds in the Defense Modernization funds may be transferred to that account ‘‘2216. Defense Modernization Account.’’. Account may not be used for a purpose or only after the Secretary concerned notifies (b) EFFECTIVE DATE.—Section 2216 of title program for which Congress has not author- the congressional defense committees in 10, United States Code (as added by sub- ized appropriations. writing of the amount and source of the pro- section (a)), shall apply only to funds appro- ‘‘(3) Funds may not be transferred from the posed transfer. priated for fiscal years after fiscal year 1995. Defense Modernization Account in any year ‘‘(B) This subsection applies to the follow- (c) EXPIRATION OF AUTHORITY AND AC- for the purpose of— ing funds available to the Secretary con- COUNT.—(1) The authority under section ‘‘(A) making an expenditure for which cerned: 2216(b) of title 10, United States Code (as there is no corresponding obligation; or ‘‘(i) Unexpired funds in appropriations ac- added by subsection (a)), to transfer funds ‘‘(B) making an expenditure that would counts that are available for procurement into the Defense Modernization Account ter- satisfy an unliquidated or unrecorded obliga- and that, as a result of economies, effi- minates at the close of September 30, 2003. tion arising in a prior fiscal year. ciencies, and other savings achieved in car- (2) Three years after the termination date ‘‘(f) TRANSFER OF FUNDS.—(1) The Sec- rying out a particular procurement, are ex- specified in paragraph (1), the Defense Mod- retary of Defense may transfer funds in the ernization Account shall be closed and any cess to the requirements of that procure- Defense Modernization Account to appro- ment. remaining balance in the account shall be priations available for purposes set forth in canceled and thereafter shall not be avail- ‘‘(ii) Unexpired funds that are available subsection (d). during the final 30 days of a fiscal year for able for any purpose. ‘‘(2) Funds in the Defense Modernization (d) GAO REVIEWS.—(1) The Comptroller support of installations and facilities and Account may not be transferred under para- that, as a result of economies, efficiencies, General of the United States shall conduct graph (1) until 30 days after the date on two reviews of the administration of the De- and other savings, are excess to the require- which the Secretary concerned notifies the ments for support of installations and facili- fense Modernization Account. In each re- congressional defense committees in writing view, the Comptroller General shall assess ties. of the amount and purpose of the proposed ‘‘(C) Any transfer under subparagraph (A) the operations and benefits of the account. transfer. (2) Not later than March 1, 2000, the Comp- shall be made under regulations prescribed ‘‘(3) The total amount of transfers from the troller General shall— by the Secretary of Defense. Defense Modernization Account during any (A) complete the first review; and ‘‘(2) Funds referred to in paragraph (1) may fiscal year under this subsection may not ex- (B) submit to the specified committees of not be transferred to the Defense Moderniza- ceed $500,000,000. Congress an initial report on the administra- tion Account if— ‘‘(g) AVAILABILITY OF FUNDS BY APPROPRIA- tion and benefits of the Defense Moderniza- ‘‘(A) the funds are necessary for programs, TION.—In addition to transfers under sub- tion Account. projects, and activities that, as determined section (f), funds in the Defense Moderniza- (3) Not later than March 1, 2003, the Comp- by the Secretary, have a higher priority than tion Account may be made available for pur- troller General shall— the purposes for which the funds would be poses set forth in subsection (d) in accord- (A) complete the second review; and available if transferred to that account; or ance with the provisions of appropriations (B) submit to the specified committees of ‘‘(B) the balance of funds in the account, Acts, but only to the extent authorized in an Congress a final report on the administra- after transfer of funds to the account, would Act other than an appropriations Act. tion and benefits of the Defense Moderniza- exceed $1,000,000,000. ‘‘(h) SECRETARY TO ACT THROUGH COMP- tion Account. ‘‘(3) Amounts credited to the Defense Mod- TROLLER.—The Secretary of Defense shall (4) Each such report shall include any rec- ernization Account shall remain available carry out this section through the Under ommended legislation regarding the account for transfer until the end of the third fiscal Secretary of Defense (Comptroller), who that the Comptroller General considers year that follows the fiscal year in which the shall be authorized to implement this sec- appropriate. amounts are credited to the account. tion through the issuance of any necessary (5) For purposes of this subsection, the ‘‘(4) The period of availability of funds for regulations, policies, and procedures after term ‘‘specified committees of Congress’’ expenditure provided for in sections 1551 and consultation with the General Counsel and means the congressional committees re- 1552 of title 31 may not be extended by trans- Inspector General of the Department of De- ferred to in section 2216(i)(2) of title 10, Unit- fer into the Defense Modernization Account. fense. ed States Code, as added by subsection (a). ‘‘(c) SCOPE OF USE OF FUNDS.—Funds trans- ‘‘(i) QUARTERLY REPORTS.—(1) Not later SEC. 913. DESIGNATION AND LIABILITY OF DIS- ferred to the Defense Modernization Account than 15 days after the end of each calendar BURSING AND CERTIFYING OFFI- from funds appropriated for a military de- quarter, the Secretary of Defense shall sub- CIALS. partment, Defense Agency, or other element mit to the congressional committees speci- (a) DISBURSING OFFICIALS.—(1) Section of the Department of Defense shall be avail- fied in paragraph (2) a report on the Defense 3321(c) of title 31, United States Code, is able in accordance with subsections (f) and Modernization Account. Each such report amended by striking out paragraph (2) and (g) only for transfer to funds available for shall set forth the following: inserting in lieu thereof the following: that military department, Defense Agency, ‘‘(A) The amount and source of each credit ‘‘(2) The Department of Defense.’’. or other element. to the account during that quarter. (2) Section 2773 of title 10, United States ‘‘(d) AUTHORIZED USE OF FUNDS.—Funds ‘‘(B) The amount and purpose of each Code, is amended— available from the Defense Modernization transfer from the account during that quar- (A) in subsection (a)— Account pursuant to subsection (f) or (g) ter. (i) in paragraph (1), by striking out ‘‘With may be used for the following purposes: ‘‘(C) The balance in the account at the end the approval of a Secretary of a military de- ‘‘(1) For increasing, subject to subsection of the quarter and, of such balance, the partment when the Secretary considers it (e), the quantity of items and services pro- amount attributable to transfers to the ac- necessary, a disbursing official of the mili- cured under a procurement program in order count from each Secretary concerned. tary department’’ and inserting in lieu to achieve a more efficient production or de- ‘‘(2) The committees referred to in para- thereof ‘‘Subject to paragraph (3), a disburs- livery rate. graph (1) are the congressional defense com- ing official of the Department of Defense’’; ‘‘(2) For research, development, test, and mittees and the Committee on Govern- and evaluation and for procurement necessary mental Affairs of the Senate and the Com- (ii) by adding at the end the following new for modernization of an existing system or of mittee on Government Reform and Oversight paragraph: a system being procured under an ongoing of the House of Representatives. ‘‘(3) A disbursing official may make a des- procurement program. ‘‘(j) DEFINITIONS.—In this section: ignation under paragraph (1) only with the H 418 CONGRESSIONAL RECORD — HOUSE January 22, 1996 approval of the Secretary of Defense or, in ‘‘(2) The Fisher House Trust Fund, Depart- ‘‘(B) Fisher House Trust Fund, Department the case of a disbursing official of a military ment of the Air Force. of the Army. department, the Secretary of that military ‘‘(b) INVESTMENT.—Funds in the trust funds ‘‘(C) Fisher House Trust Fund, Department department.’’; and may be invested in securities of the United of the Air Force.’’. (B) in subsection (b)(1), by striking out States. Earnings and gains realized from the (d) REPEAL OF SUPERSEDED PROVISIONS.— ‘‘any military department’’ and inserting in investment of funds in a trust fund shall be The following provisions of law are repealed: lieu thereof ‘‘the Department of Defense’’. credited to the trust fund. (1) Section 8019 of Public Law 102–172 (105 (b) DESIGNATION OF MEMBERS OF THE ARMED ‘‘(c) USE OF FUNDS.—(1) Amounts in the Stat. 1175). FORCES TO HAVE AUTHORITY TO CERTIFY Fisher House Trust Fund, Department of the (2) Section 9023 of Public Law 102–396 (106 VOUCHERS.—Section 3325(b) of title 31, United Army, that are attributable to earnings or Stat. 1905). States Code, is amended to read as follows: gains realized from investments shall be (3) Section 8019 of Public Law 103–139 (107 ‘‘(b) In addition to officers and employees available for the operation and maintenance Stat. 1441). referred to in subsection (a)(1)(B) of this sec- of Fisher houses that are located in proxim- (4) Section 8017 of Public Law 103–335 (108 tion as having authorization to certify ity to medical treatment facilities of the Stat. 2620; 10 U.S.C. 1074 note). vouchers, members of the armed forces under Army. SEC. 915. LIMITATION ON USE OF AUTHORITY TO the jurisdiction of the Secretary of Defense ‘‘(2) Amounts in the Fisher House Trust PAY FOR EMERGENCY AND EX- may certify vouchers when authorized, in Fund, Department of the Air Force, that are TRAORDINARY EXPENSES. writing, by the Secretary to do so.’’. attributable to earnings or gains realized Section 127 of title 10, United States Code, (c) CONFORMING AMENDMENTS.—(1) Section from investments shall be available for the is amended— 1012 of title 37, United States Code, is amend- operation and maintenance of Fisher houses (1) by redesignating subsection (c) as sub- ed by striking out ‘‘Secretary concerned’’ that are located in proximity to medical section (d); and both places it appears and inserting in lieu treatment facilities of the Air Force. (2) by inserting after subsection (b) the fol- thereof ‘‘Secretary of Defense’’. ‘‘(3) The use of funds under this section is lowing new subsection (c): (2) Section 1007(a) of title 37, United States subject to section 1321(b)(2) of title 31. ‘‘(c)(1) Funds may not be obligated or ex- Code, is amended by striking out ‘‘Secretary ‘‘(d) FISHER HOUSE DEFINED.—In this sec- pended in an amount in excess of $500,000 concerned’’ and inserting in lieu thereof tion, the term ‘Fisher house’ means a hous- under the authority of subsection (a) or (b) ‘‘Secretary of Defense, or upon the denial of ing facility that— until the Secretary of Defense has notified relief of an officer pursuant to section 3527 of ‘‘(1) is located in proximity to a medical the Committee on Armed Services and the title 31’’. treatment facility of the Army or the Air Committee on Appropriations of the Senate (3)(A) Section 7863 of title 10, United States Force; and and the Committee on National Security and Code, is amended— ‘‘(2) is available for residential use on a the Committee on Appropriations of the (i) in the first sentence, by striking out temporary basis by patients at such facili- House of Representatives of the intent to ob- ‘‘disbursements of public moneys or’’ and ties, members of the family of such patients, ligate or expend the funds, and— ‘‘the money was paid or’’; and and others providing the equivalent of famil- ‘‘(A) in the case of an obligation or expend- (ii) in the second sentence, by striking out ial support for such patients.’’. iture in excess of $1,000,000, 15 days have (2) The table of sections at the beginning of ‘‘disbursement or’’. elapsed since the date of the notification; or such chapter is amended by adding at the (B)(i) The heading of such section is ‘‘(B) in the case of an obligation or expend- end the following new item: amended to read as follows: iture in excess of $500,000, but not in excess ‘‘§ 7863. Disposal of public stores by order of ‘‘2221. Fisher House trust funds.’’. of $1,000,000, 5 days have elapsed since the commanding officer’’. (b) CORPUS OF TRUST FUNDS.—(1) The Sec- date of the notification. (ii) The item relating to such section in retary of the Treasury shall— ‘‘(2) Subparagraph (A) or (B) of paragraph the table of sections at the beginning of (A) close the accounts established with the (1) shall not apply to an obligation or ex- chapter 661 of such title is amended to read funds that were required by section 8019 of penditure of funds otherwise covered by such as follows: Public Law 102–172 (105 Stat. 1175) and sec- subparagraph if the Secretary of Defense de- ‘‘7863. Disposal of public stores by order of tion 9023 of Public Law 102–396 (106 Stat. 1905) termines that the national security objec- commanding officer.’’. to be transferred to an appropriated trust tives of the United States will be com- fund; and (4) Section 3527(b)(1) of title 31, United promised by the application of the subpara- (B) transfer the amounts in such accounts States Code, is amended— graph to the obligation or expenditure. If the to the Fisher House Trust Fund, Department (A) by striking out ‘‘a disbursing official of Secretary makes a determination with re- of the Army, established by subsection (a)(1) the armed forces’’ and inserting in lieu spect to an obligation or expenditure under of section 2221 of title 10, United States Code, thereof ‘‘an official of the armed forces re- the preceding sentence, the Secretary shall as added by subsection (a). ferred to in subsection (a)’’; immediately notify the committees referred (2) The Secretary of the Air Force shall (B) by striking out ‘‘records,’’ and insert- to in paragraph (1) that such obligation or transfer to the Fisher House Trust Fund, De- ing in lieu thereof ‘‘records, or a payment de- expenditure is necessary and provide any rel- partment of the Air Force, established by scribed in section 3528(a)(4)(A) of this title,’’; evant information (in classified form, if nec- subsection (a)(2) of section 2221 of title 10, (C) by redesignating subparagraphs (A), essary) jointly to the chairman and ranking United States Code (as added by section (a)), (B), and (C) as clauses (i), (ii), and (iii), and minority member (or their designees) of such all amounts in the accounts for Air Force in- realigning such clauses four ems from the committees. stallations and other facilities that, as of the left margin; ‘‘(3) A notification under paragraph (1) and date of the enactment of this Act, are avail- (D) by inserting before clause (i), as so re- information referred to in paragraph (2) shall able for operation and maintenance of Fisher designated, the following: include the amount to be obligated or ex- houses (as defined in subsection (d) of such ‘‘(A) in the case of a physical loss or defi- pended, as the case may be, and the purpose section 2221). of the obligation or expenditure.’’. ciency—’’; (c) CONFORMING AMENDMENTS.—Section (E) in clause (iii), as so redesignated, by 1321 of title 31, United States Code, is amend- TITLE X—GENERAL PROVISIONS striking out the period at the end and insert- ed— Subtitle A—Financial Matters ing in lieu thereof ‘‘; or’’; and (1) by adding at the end of subsection (a) SEC. 1001. TRANSFER AUTHORITY. (F) by adding at the end the following: the following: (a) AUTHORITY TO TRANSFER AUTHORIZA- ‘‘(B) in the case of a payment described in ‘‘(92) Fisher House Trust Fund, Depart- TIONS.—(1) Upon determination by the Sec- section 3528(a)(4)(A) of this title, the Sec- ment of the Army. retary of Defense that such action is nec- retary of Defense or the Secretary of the ap- ‘‘(93) Fisher House Trust Fund, Depart- essary in the national interest, the Sec- propriate military department, after taking ment of the Air Force.’’; and retary may transfer amounts of authoriza- a diligent collection action, finds that the (2) in subsection (b)— tions made available to the Department of criteria of section 3528(b)(1) of this title are (A) by inserting ‘‘(1)’’ after ‘‘(b)’’; Defense in this division for fiscal year 1996 satisfied.’’. (B) in the second sentence, by striking out between any such authorizations for that fis- (5) Section 3528 of title 31, United States ‘‘Amounts accruing to these funds (except to cal year (or any subdivisions thereof). Code, is amended by striking out subsection the trust fund ‘Armed Forces Retirement Amounts of authorizations so transferred (d). Home Trust Fund’)’’ and inserting in lieu shall be merged with and be available for the SEC. 914. FISHER HOUSE TRUST FUNDS. thereof ‘‘Except as provided in paragraph (2), same purposes as the authorization to which (a) ESTABLISHMENT.—(1) Chapter 131 of title amounts accruing to these funds’’; transferred. 10, United States Code, is amended by adding (C) by striking out the third sentence; and (2) The total amount of authorizations at the end the following new section: (D) by adding at the end the following: that the Secretary of Defense may transfer ‘‘§ 2221. Fisher House trust funds ‘‘(2) Expenditures from the following trust under the authority of this section may not ‘‘(a) ESTABLISHMENT.—The following trust funds may be made only under annual appro- exceed $2,000,000,000. funds are established on the books of the priations and only if the appropriations are (b) LIMITATIONS.—The authority provided Treasury: specifically authorized by law: by this section to transfer authorizations— ‘‘(1) The Fisher House Trust Fund, Depart- ‘‘(A) Armed Forces Retirement Home (1) may only be used to provide authority ment of the Army. Trust Fund. for items that have a higher priority than January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 419 the items from which authority is trans- fense to carry out any operation, but estab- been anticipated but for the provisions of ferred; and lishes mechanisms for the Department of De- subsection (c). (2) may not be used to provide authority fense by which funds are provided for oper- ‘‘(2) If the operation is described in sub- for an item that has been denied authoriza- ations that the armed forces are required to section (a)(1)(B), a justification why the tion by Congress. carry out under some other authority. budgetary resources of another department (c) EFFECT ON AUTHORIZATION AMOUNTS.—A ‘‘(b) WAIVER OF REQUIREMENT TO REIM- or agency of the Federal Government, in- transfer made from one account to another BURSE SUPPORT UNITS.—(1) The Secretary of stead of resources of the Department of De- under the authority of this section shall be Defense shall direct that, when a unit of the fense, are not being used for carrying out the deemed to increase the amount authorized Armed Forces participating in an operation operation. for the account to which the amount is described in subsection (a) receives services ‘‘(3) The objectives of the operation. transferred by an amount equal to the from an element of the Department of De- ‘‘(4) The estimated duration of the oper- amount transferred. fense that operates through the Defense ation and of any deployment of armed forces (d) NOTICE TO CONGRESS.—The Secretary Business Operations Fund (or a successor personnel in such operation. shall promptly notify Congress of each trans- fund), such unit of the Armed Forces may ‘‘(5) The estimated incremental cost of the fer made under subsection (a). not be required to reimburse that element operation to the United States. SEC. 1002. INCORPORATION OF CLASSIFIED for the incremental costs incurred by that ‘‘(6) The exit criteria for the operation and ANNEX. element in providing such services, notwith- for the withdrawal of the elements of the (a) STATUS OF CLASSIFIED ANNEX.—The standing any other provision of law or any armed forces involved in the operation. Classified Annex prepared by the committee Government accounting practice. ‘‘(e) LIMITATIONS.—(1) The Secretary may on conference to accompany the bill H.R. ‘‘(2) The amounts which but for paragraph not restore balances in the Defense Business 1530 of the One Hundred Fourth Congress and (1) would be required to be reimbursed to an Operations Fund through increases in rates transmitted to the President is hereby incor- element of the Department of Defense (or a charged by that fund in order to compensate porated into this Act. fund) shall be recorded as an expense attrib- for costs incurred and not reimbursed due to (b) CONSTRUCTION WITH OTHER PROVISIONS utable to the operation and shall be ac- subsection (b). OF ACT.—The amounts specified in the Clas- counted for separately. ‘‘(2) The Secretary may not restore bal- sified Annex are not in addition to amounts ‘‘(c) TRANSFER AUTHORITY.—(1) Whenever ances in the Defense Business Operations authorized to be appropriated by other provi- there is an operation of the Department of Fund or any other fund or account through sions of this Act. Defense described in subsection (a), the Sec- the use of unobligated amounts in an oper- (c) LIMITATION ON USE OF FUNDS.—Funds retary of Defense may transfer amounts de- ation and maintenance appropriation that appropriated pursuant to an authorization scribed in paragraph (3) to accounts from are available within that appropriation for contained in this Act that are made avail- which incremental expenses for that oper- (A) an account (known as a budget activity able for a program, project, or activity re- ation were incurred in order to reimburse 1 account) that is specified as being for oper- ferred to in the Classified Annex may only be those accounts for those incremental ex- ating forces, or (B) an account (known as a expended for such program, project, or activ- penses. Amounts so transferred shall be budget activity 2 account) that is specified ity in accordance with such terms, condi- merged with and be available for the same as being for mobilization. tions, limitations, restrictions, and require- purposes as the accounts to which trans- ‘‘(f) SUBMISSION OF REQUESTS FOR SUP- ments as are set out for that program, ferred. PLEMENTAL APPROPRIATIONS.—It is the sense project, or activity in the Classified Annex. ‘‘(2) The total amount that the Secretary of Congress that whenever there is an oper- (d) DISTRIBUTION OF CLASSIFIED ANNEX.— of Defense may transfer under the authority ation described in subsection (a), the Presi- The President shall provide for appropriate of this section in any fiscal year is dent should, not later than 90 days after the distribution of the Classified Annex, or of ap- $200,000,000. date on which notification is provided pursu- propriate portions of the annex, within the ‘‘(3) Transfers under this subsection may ant to subsection (a)(3), submit to Congress a executive branch of the Government. only be made from amounts appropriated to request for the enactment of supplemental SEC. 1003. IMPROVED FUNDING MECHANISMS the Department of Defense for any fiscal appropriations for the then-current fiscal FOR UNBUDGETED OPERATIONS. year that remain available for obligation, year in order to provide funds to replenish (a) REVISION OF FUNDING MECHANISM.—(1) other than amounts within any operation the Defense Business Operations Fund or any Section 127a of title 10, United States Code, and maintenance appropriation that are other fund or account of the Department of is amended to read as follows: available for (A) an account (known as a Defense from which funds for the incremen- ‘‘§ 127a. Operations for which funds are not budget activity 1 account) that is specified tal expenses of that operation were derived provided in advance: funding mechanisms as being for operating forces, or (B) an ac- under this section and should, as necessary, ‘‘(a) IN GENERAL.—(1) The Secretary of De- count (known as a budget activity 2 account) submit subsequent requests for the enact- fense shall use the procedures prescribed by that is specified as being for ment of such appropriations. this section with respect to any operation mobilization. ‘‘(g) INCREMENTAL COSTS.—For purposes of specified in paragraph (2) that involves— ‘‘(4) The authority provided by this sub- this section, incremental costs of the De- ‘‘(A) the deployment (other than for a section is in addition to any other authority partment of Defense with respect to an oper- training exercise) of elements of the Armed provided by law authorizing the transfer of ation are the costs of the Department that Forces for a purpose other than a purpose for amounts available to the Department of De- are directly attributable to the operation which funds have been specifically provided fense. However, the Secretary may not use (and would not have been incurred but for in advance; or any such authority under another provision the operation). Incremental costs do not in- ‘‘(B) the provision of humanitarian assist- of law for a purpose described in paragraph clude the cost of property or services ac- ance, disaster relief, or support for law en- (1) if there is authority available under this quired by the Department that are paid for forcement (including immigration control) subsection for that purpose. by a source outside the Department or out of ‘‘(5) The authority provided by this sub- for which funds have not been specifically funds contributed by such a source. section to transfer amounts may not be used provided in advance. ‘‘(h) RELATIONSHIP TO WAR POWERS RESO- to provide authority for an activity that has ‘‘(2) This section applies to— LUTION.—This section may not be construed been denied authorization by Congress. ‘‘(A) any operation the incremental cost of as altering or superseding the War Powers ‘‘(6) A transfer made from one account to which is expected to exceed $50,000,000; and Resolution. This section does not provide au- another under the authority of this sub- ‘‘(B) any other operation the expected in- thority to conduct any military operation. section shall be deemed to increase the cremental cost of which, when added to the ‘‘(i) GAO COMPLIANCE REVIEWS.—The amount authorized for the account to which expected incremental costs of other oper- Comptroller General of the United States the amount is transferred by an amount ations that are currently ongoing, is ex- shall from time to time, and when requested equal to the amount transferred. pected to result in a cumulative incremental by a committee of Congress, conduct a re- ‘‘(d) REPORT UPON DESIGNATION OF AN OP- cost of ongoing operations of the Depart- view of the defense funding structure under ERATION.—Within 45 days after the Secretary ment of Defense in excess of $100,000,000. this section to determine whether the De- Any operation the incremental cost of which of Defense identifies an operation pursuant to subsection (a)(2), the Secretary of Defense partment of Defense is complying with the is expected not to exceed $10,000,000 shall be requirements and limitations of this sec- disregarded for the purposes of subparagraph shall submit to Congress a report that sets forth the following: tion.’’. (B). (2) The item relating to section 127a in the ‘‘(3) Whenever an operation to which this ‘‘(1) The manner by which the Secretary table of sections at the beginning of chapter section applies is commenced or subse- proposes to obtain funds for the cost to the 3 of such title is amended to read as follows: quently becomes covered by this section, the United States of the operation, including a Secretary of Defense shall designate and specific discussion of how the Secretary pro- ‘‘127a. Operations for which funds are not identify that operation for the purposes of poses to restore balances in— provided in advance: funding this section and shall promptly notify Con- ‘‘(A) the Defense Business Operations Fund mechanisms.’’. gress of that designation (and of the identi- (or a successor fund), or (b) EFFECTIVE DATE.—The amendment to fication of the operation). ‘‘(B) the accounts from which the Sec- section 127a of title 10, United States Code, ‘‘(4) This section does not provide author- retary transfers funds under the authority of made by subsection (a) shall take effect on ity for the President or the Secretary of De- subsection (c), to the levels that would have the date of the enactment of this Act and H 420 CONGRESSIONAL RECORD — HOUSE January 22, 1996 shall apply to any operation of the Depart- Armed Forces involving forward presence or Operation and Maintenance, Army Re- ment of Defense that is in effect on or after forward deployed forces. serve, $4,000,000. that date, whether such operation is begun (C) The political and military objectives Operation and Maintenance, Navy Reserve, before, on, or after such date of enactment. associated with Operation Enhanced South- $4,000,000. In the case of an operation begun before such ern Watch. Operation and Maintenance, Marine Corps date, any reference in such section to the (D) The contributions (both in-kind and ac- Reserve, $1,000,000. commencement of such operation shall be tual) by other nations to the costs of con- Operation and Maintenance, Air Force Re- treated as referring to the effective date ducting Operation Enhanced Southern serve, $3,000,000. under the preceding sentence. Watch. Operation and Maintenance, Army Na- SEC. 1004. OPERATION PROVIDE COMFORT. (c) OPERATION ENHANCED SOUTHERN tional Guard, $7,000,000. (a) AUTHORIZATION OF AMOUNTS AVAIL- WATCH.—For purposes of this section, the Operation and Maintenance, Air National ABLE.—Within the total amounts authorized term ‘‘Operation Enhanced Southern Watch’’ Guard, $7,000,000. to be appropriated in titles III and IV, there means the operation of the Department of Drug Interdiction and Counter-Drug Ac- is hereby authorized to be appropriated for Defense that as of October 30, 1995, is des- tivities, Defense, $5,000,000. fiscal year 1996 for costs associated with Op- ignated as Operation Enhanced Southern Environmental Restoration, Defense, Watch. eration Provide Comfort— $11,000,000. (1) $136,300,000 for operation and mainte- SEC. 1006. AUTHORITY FOR OBLIGATION OF Overseas Humanitarian, Disaster, and CERTAIN UNAUTHORIZED FISCAL nance costs; and Civic Aid, $1,000,000. YEAR 1995 DEFENSE APPROPRIA- Former Soviet Union Threat Reduction, (2) $7,000,000 for incremental military per- TIONS. $2,000,000. sonnel costs. (a) AUTHORITY.—The amounts described in (b) REPORT.—Not more than $70,000,000 of subsection (b) may be obligated and ex- Defense Health Program, $51,000,000. the amount appropriated under subsection pended for programs, projects, and activities Aircraft Procurement, Army, $9,000,000. (a) may be obligated until the Secretary of of the Department of Defense in accordance Missile Procurement, Army, $5,000,000. Defense submits to the congressional defense with fiscal year 1995 defense appropriations. Procurement of Weapons and Tracked committees a report on Operation Provide (b) COVERED AMOUNTS.—The amounts re- Combat Vehicles, Army, $10,000,000. Comfort which includes the following: ferred to in subsection (a) are the amounts Procurement of Ammunition, Army, (1) A detailed presentation of the projected provided for programs, projects, and activi- $6,000,000. costs to be incurred by the Department of ties of the Department of Defense in fiscal Other Procurement, Army, $17,000,000. Defense for Operation Provide Comfort dur- year 1995 defense appropriations that are in Aircraft Procurement, Navy, $29,000,000. ing fiscal year 1996, together with a discus- excess of the amounts provided for such pro- Weapons Procurement, Navy, $13,000,000. sion of missions and functions expected to be grams, projects, and activities in fiscal year Shipbuilding and Conversion, Navy, performed by the Department as part of that 1995 defense authorizations. $42,000,000. operation during that fiscal year. (c) DEFINITIONS.—For the purposes of this Other Procurement, Navy, $18,000,000. (2) A detailed presentation of the projected section: Procurement, Marine Corps, $4,000,000. costs to be incurred by other departments (1) FISCAL YEAR 1995 DEFENSE APPROPRIA- Aircraft Procurement, Air Force, and agencies of the Federal Government par- TIONS.—The term ‘‘fiscal year 1995 defense $50,000,000. ticipating in or providing support to Oper- appropriations’’ means amounts appro- Missile Procurement, Air Force, $29,000,000. ation Provide Comfort during fiscal year priated or otherwise made available to the Other Procurement, Air Force, $45,000,000. 1996. Department of Defense for fiscal year 1995 in Procurement, Defense-Wide, $16,000,000. (3) A discussion of available options to re- the Department of Defense Appropriations Chemical Agents and Munitions Destruc- duce the involvement of the Department of Act, 1995 (Public Law 103–335). tion, Defense, $5,000,000. Defense in those aspects of Operation Pro- (2) FISCAL YEAR 1995 DEFENSE AUTHORIZA- Research, Development, Test and Evalua- vide Comfort that are not directly related to TIONS.—The term ‘‘fiscal year 1995 defense tion, Army, $20,000,000. the military mission of the Department of authorizations’’ means amounts authorized Research, Development, Test and Evalua- Defense. to be appropriated for the Department of De- tion, Navy, $50,000,000. (4) A plan establishing an exit strategy for fense for fiscal year 1995 in the National De- Research, Development, Test and Evalua- United States involvement in, and support fense Authorization Act for Fiscal Year 1995 tion, Air Force, $79,000,000. for, Operation Provide Comfort. (Public Law 103–337). Research, Development, Test and Evalua- (c) OPERATION PROVIDE COMFORT.—For pur- SEC. 1007. AUTHORIZATION OF PRIOR EMER- tion, Defense-Wide, $57,000,000. poses of this section, the term ‘‘Operation GENCY SUPPLEMENTAL APPROPRIA- Research, Development, Test and Evalua- Provide Comfort’’ means the operation of the TIONS FOR FISCAL YEAR 1995. tion, Defense, $2,000,000. Department of Defense that as of October 30, (a) ADJUSTMENT TO PREVIOUS AUTHORIZA- (b) REDUCTIONS TO BE APPLIED PROPOR- 1995, is designated as Operation Provide TIONS.—Amounts authorized to be appro- TIONALLY.—Reductions under this section Comfort. priated to the Department of Defense for fis- shall be applied proportionally to each budg- cal year 1995 in the National Defense Author- et activity, activity group, and subactivity SEC. 1005. OPERATION ENHANCED SOUTHERN ization Act for Fiscal Year 1995 (Public Law WATCH. group and to each program, project, and ac- 103–337) are hereby adjusted, with respect to (a) AUTHORIZATION OF AMOUNTS AVAIL- tivity within each account. any such authorized amount, by the amount ABLE.—Within the total amounts authorized Subtitle B—Naval Vessels and Shipyards by which appropriations pursuant to such to be appropriated in titles III and IV, there authorization were increased (by a supple- SEC. 1011. IOWA CLASS BATTLESHIPS. is hereby authorized to be appropriated for mental appropriation) or decreased (by a re- (a) RETURN TO NAVAL VESSEL REGISTER.— fiscal year 1996 for costs associated with Op- scission), or both, in title I of the Emergency The Secretary of the Navy shall list on the eration Enhanced Southern Watch— Supplemental Appropriations and Rescis- Naval Vessel Register, and maintain on such (1) $433,400,000 for operation and mainte- sions for the Department of Defense to Pre- register, at least two of the Iowa-class bat- nance costs; and serve and Enhance Military Readiness Act of tleships that were stricken from the register (2) $70,400,000 for incremental military per- 1995 (Public Law 104–6; 109 Stat. 73). in February 1995. sonnel costs. (b) NEW AUTHORIZATION.—The appropria- (b) SUPPORT.—The Secretary shall retain (b) REPORT.—(1) Of the amounts specified tion provided in section 104 of such Act (109 the existing logistical support necessary for in subsection (a), not more than $250,000,000 Stat. 79) is hereby authorized. support of at least two operational Iowa may be obligated until the Secretary of De- SEC. 1008. AUTHORIZATION REDUCTIONS TO RE- class battleships in active service, including fense submits to the congressional defense FLECT SAVINGS FROM REVISED technical manuals, repair and replacement committees a report designating Operation ECONOMIC ASSUMPTIONS. parts, and ordnance. Enhanced Southern Watch, or significant (a) REDUCTION.—The total amount author- (c) SELECTION OF SHIPS.—The Secretary elements thereof, as a forward presence oper- ized to be appropriated in titles I, II, and III shall select for listing on the Naval Vessel ation for which funding should be budgeted of this Act is hereby reduced by $832,000,000 Register under subsection (a) Iowa class bat- as part of the annual defense budget process to reflect savings from revised economic as- tleships that are in good material condition in the same manner as other activities of the sumptions. Such reduction shall be made and can provide adequate fire support for an Armed Forces involving forward presence or from accounts in those titles as follows: amphibious assault. forward deployed forces. Operation and Maintenance, Army, (d) REPLACEMENT FIRE-SUPPORT CAPABIL- (2) The report shall set forth the following: $54,000,000. ITY.—(1) If the Secretary of the Navy makes (A) The expected duration and annual costs Operation and Maintenance, Navy, a certification described in paragraph (2), the of the various elements of Operation En- $80,000,000. requirements of subsections (a) and (b) shall hanced Southern Watch. Operation and Maintenance, Marine Corps, terminate, effective 60 days after the date of (B) Those elements of Operation Enhanced $9,000,000. the submission of such certification. Southern Watch that are semi-permanent in Operation and Maintenance, Air Force, (2) A certification referred to in paragraph nature and should be budgeted in the future $51,000,000. (1) is a certification submitted by the Sec- as part of the annual defense budget process Operation and Maintenance, Defense-Wide, retary of the Navy in writing to the Commit- in the same manner as other activities of the $36,000,000. tee on Armed Services of the Senate and the January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 421 Committee on National Security of the President may request that Congress enact SEC. 1014. NATIONAL DEFENSE RESERVE FLEET. House of Representatives that the Navy has legislation exempting the transfer from the (a) AVAILABILITY OF NATIONAL DEFENSE within the fleet an operational surface fire- prohibition in paragraph (1).’’. SEALIFT FUND.—Section 2218 of title 10, Unit- support capability that equals or exceeds the (2) The amendment made by paragraph (1) ed States Code, is amended— fire-support capability that the Iowa class shall apply with respect to the transfer of a (1) in subsection (c)(1)— battleships listed on the Naval Vessel Reg- vessel on or after the date of the enactment (A) by striking out ‘‘only for—’’ in the ister pursuant to subsection (a) would, if in of this Act (other than a vessel the transfer matter preceding subparagraph (A) and in- active service, be able to provide for Marine of which is authorized by subsection (a) or by serting in lieu thereof ‘‘only for the follow- Corps amphibious assaults and operations law before the date of the enactment of this ing purposes:’’; ashore. Act). (B) by capitalizing the first letter of the SEC. 1012. TRANSFER OF NAVAL VESSELS TO SEC. 1013. CONTRACT OPTIONS FOR LMSR VES- first word of subparagraphs (A), (B), (C), and CERTAIN FOREIGN SELS. (D); COUNTRIES. (a) FINDINGS.—Congress makes the follow- (C) by striking out the semicolon at the (a) TRANSFERS BY GRANT.—The Secretary ing findings: end of subparagraphs (A) and (B) and insert- of the Navy is authorized to transfer on a (1) A requirement for the Department of ing in lieu thereof a period; grant basis under section 516 of the Foreign the Navy to acquire 19 large, medium-speed, (D) by striking out ‘‘; and’’ at the end of Assistance Act of 1961 (22 U.S.C. 2321j) frig- roll-on/roll-off (LMSR) vessels was estab- subparagraph (C) and inserting in lieu there- ates of the Oliver Hazard Perry class to lished by the Secretary of Defense in the Mo- of a period; and other countries as follows: bility Requirements Study conducted after (E) by adding at the end the following new (1) To the Government of Bahrain, the the Persian Gulf War pursuant to section 909 subparagraph: guided missile frigate Jack Williams (FFG of the National Defense Authorization Act ‘‘(E) Expenses for maintaining the Na- 24). for Fiscal Year 1991 (Public Law 101–510; 104 tional Defense Reserve Fleet under section 11 (2) To the Government of Egypt, the frig- Stat. 1623) and was revalidated by the Sec- of the Merchant Ship Sales Act of 1946 (50 ate Copeland (FFG 25). retary of Defense in the report entitled ‘‘Mo- U.S.C. App. 1744), and for the costs of acqui- (3) To the Government of Turkey, the frig- bility Requirements Study Bottom-Up Re- sition of vessels for, and alteration and con- ates Clifton Sprague (FFG 16) and Antrim view Update’’, submitted to Congress in version of vessels in (or to be placed in), the (FFG 20). April 1995. fleet, but only for vessels built in United (b) TRANSFERS BY LEASE OR SALE.—The (2) The Strategic Sealift Program is a vital States shipyards.’’; and Secretary of the Navy is authorized to trans- element of the national military strategy (2) in subsection (i), by inserting ‘‘(other fer on a lease basis under section 61 of the calling for the Nation to be able to fight and than subsection (c)(1)(E))’’ after ‘‘Nothing in Arms Export Control Act (22 U.S.C. 2796) or win two nearly simultaneous major regional this section’’. on a sale basis under section 21 of the Arms contingencies. (b) CLARIFICATION OF EXEMPTION OF NDRF Export Control Act (22 U.S.C. 2761) frigates (3) The Secretary of the Navy has entered VESSELS FROM RETROFIT REQUIREMENT.—Sec- of the Oliver Hazard Perry class to other into contracts with shipyards covering ac- tion 11 of the Merchant Ship Sales Act of countries as follows: quisition of a total of 17 such LMSR vessels, 1946 (50 U.S.C. App. 1744) is amended by add- (1) To the Government of Egypt, the frig- of which five are vessel conversions and 12 ing at the end the following new subsection: ate Duncan (FFG 10). are new construction vessels. Under those ‘‘(e) Vessels in the National Defense Re- (2) To the Government of Oman, the guided contracts, the Secretary has placed orders serve Fleet are exempt from the provisions missile frigate Mahlon S. Tisdale (FFG 27). for the acquisition of 11 vessels and has op- of section 3703a of title 46, United States (3) To the Government of Turkey, the frig- tions for the acquisition of six more, all of Code.’’. ate Flatley (FFG 21). which would be new construction vessels. (c) AUTHORITY TO USE NATIONAL DEFENSE (4) To the Government of the United Arab The options allow the Secretary to place or- SEALIFT FUND TO CONVERT TWO VESSELS.—Of Emirates, the guided missile frigate Gallery ders for one vessel to be constructed at each the amount authorized to be appropriated in (FFG 26). of two shipyards for award before December section 302 for fiscal year 1996 for the Na- (c) FINANCING FOR TRANSFERS BY LEASE.— 31, 1995, December 31, 1996, and December 31, tional Defense Sealift Fund under section Section 23 of the Arms Export Control Act 1997, respectively. 2218 of title 10, United States Code, not more (22 U.S.C. 2763) may be used to provide fi- (4) Acquisition of an additional two such than $20,000,000 shall be available for conver- nancing for any transfer by lease under sub- LMSR vessels, for a total of 19 vessels (the sion work on the following two roll-on/roll- section (b) in the same manner as if such requirement described in paragraph (1)) off vessels, which were acquired by the Mari- transfer were a procurement by the recipient would contribute to preservation of the in- time Administration during fiscal year 1995: nation of a defense article. dustrial base of United States shipyards ca- (1) M/V Cape Knox (ON–1036323). (d) COSTS OF TRANSFERS.—Any expense in- pable of building auxiliary and sealift ves- (2) M/V Cape Kennedy (ON–1036324). curred by the United States in connection sels. SEC. 1015. NAVAL SALVAGE FACILITIES. with a transfer authorized by subsection (a) (b) SENSE OF CONGRESS.—It is the sense of or (b) shall be charged to the recipient. Congress that the Secretary of the Navy Chapter 637 of title 10, United States Code, (e) EXPIRATION OF AUTHORITY.—The author- should plan for, and budget to provide for, is amended to read as follows: ity to transfer a vessel under subsection (a) the acquisition as soon as possible of a total ‘‘CHAPTER 637—SALVAGE FACILITIES and under subsection (b) shall expire at the of 19 large, medium-speed, roll-on/roll-off ‘‘Sec. end of the two-year period beginning on the (LMSR) vessels (the number determined to ‘‘7361. Authority to provide for necessary date of the enactment of this Act, except be required in the Mobility Requirements salvage facilities. that a lease entered into during that period Study referred to in subsection (a)(1)), rather ‘‘7362. Acquisition and transfer of vessels and under any provision of subsection (b) may be than only 17 such vessels (the number of ves- equipment. renewed. sels under contract as of May 1995). ‘‘7363. Settlement of claims. (f) REPAIR AND REFURBISHMENT IN UNITED (c) ADDITIONAL NEW CONSTRUCTION CON- ‘‘7364. Disposition of receipts. STATES SHIPYARDS.—The Secretary of the TRACT OPTION.—The Secretary of the Navy Navy shall require, as a condition of the should negotiate with each of the two ship- ‘‘§ 7361. Authority to provide for necessary transfer of a vessel under this section, that yards holding new construction contracts re- salvage facilities the country to which the vessel is trans- ferred to in subsection (a)(3) (Department of ‘‘(a) AUTHORITY.—The Secretary of the ferred have such repair or refurbishment of the Navy contracts numbered N00024–93–C– Navy may provide, by contract or otherwise, the vessel as is needed, before the vessel 2203 and N00024–93–C–2205) for an option necessary salvage facilities for public and joins the naval forces of that country, per- under each such contract for construction of private vessels. formed at a shipyard located in the United one additional such LMSR vessel, with such ‘‘(b) COORDINATION WITH SECRETARY OF States, including a United States Navy ship- option to be available to the Secretary for TRANSPORTATION.—The Secretary shall sub- yard. exercise during 1995, 1996, or 1997, subject to mit to the Secretary of Transportation for (g) PROHIBITION ON CERTAIN TRANSFERS OF the availability of funds authorized and ap- comment each proposed contract for salvage VESSELS ON GRANT BASIS.—(1) Section 516 of propriated for such purpose. Nothing in this facilities that affects the interests of the De- the Foreign Assistance Act of 1961 (22 U.S.C. subsection shall be construed to preclude the partment of Transportation. 2321j) is amended by adding at the end the Secretary of the Navy from competing the ‘‘(c) LIMITATION.—The Secretary of the following new subsection: award of the two options between the two Navy may enter into a term contract under ‘‘(g) PROHIBITION ON CERTAIN TRANSFERS OF shipyards holding new construction con- subsection (a) only if the Secretary deter- VESSELS ON GRANT BASIS.—(1) The President tracts referred to in subsection (a)(3). mines that available commercial salvage fa- may not transfer on a grant basis under this (d) REPORT.—The Secretary of the Navy cilities are inadequate to meet the require- section a vessel that is in excess of 3,000 tons shall submit to the congressional defense ments of national defense. or that is less than 20 years of age. committees, by March 31, 1996, a report stat- ‘‘(d) PUBLIC NOTICE.—The Secretary may ‘‘(2) If the President determines that it is ing the intentions of the Secretary regarding not enter into a contract under subsection in the national security interests of the the acquisition of options for the construc- (a) until the Secretary has provided public United States to transfer a particular vessel tion of two additional LMSR vessels as de- notice of the intent to enter into such a con- on a grant basis under this section, the scribed in subsection (c). tract. H 422 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘§ 7362. Acquisition and transfer of vessels tion, the Secretary of the Navy may transfer ‘‘(5) certify that the Governor of the State and equipment a vessel described in subsection (b) to Tide- or a civilian law enforcement official of the ‘‘(a) AUTHORITY.—The Secretary of the water Community College, Portsmouth, Vir- State designated by the Governor has deter- Navy may acquire or transfer for operation ginia, for scientific and educational pur- mined that any activities included in the by private salvage companies such vessels poses. plan that are carried out in conjunction with and equipment as the Secretary considers (b) VESSEL.—The authority under sub- Federal law enforcement agencies serve a necessary. section (a) applies in the case of a riverine State law enforcement purpose.’’. ‘‘(b) AGREEMENT ON USE.—Before any sal- patrol craft of the U.S.S. Swift class. (d) EXAMINATION OF STATE PLAN.—Sub- vage vessel or salvage gear is transferred by (c) LIMITATION.—The transfer authorized section (d) of such section, as redesignated the Secretary to a private party, the private by subsection (a) may be made only if the by subsection (b)(3), is amended— party must agree in writing with the Sec- Secretary determines that the vessel to be (1) in paragraph (1)— retary that the vessel or gear will be used to transferred is of no further use to the United (A) by striking out ‘‘subsection (b)’’ and in- serting in lieu thereof ‘‘subsection (c)’’; and support organized offshore salvage facilities States for national security purposes. (d) TERMS AND CONDITIONS.—The Secretary (B) by inserting after ‘‘Before funds are for a period of as many years as the Sec- may require such terms and conditions in provided to the Governor of a State under retary considers appropriate. connection with the transfer authorized by this section’’ the following: ‘‘and before ‘‘(c) REFERENCE TO AUTHORITY TO ADVANCE this section as the Secretary considers ap- members of the National Guard of that State FUNDS FOR IMMEDIATE SALVAGE OPER- propriate. are ordered to full-time National Guard duty ATIONS.—For authority for the Secretary of as authorized in subsection (b)’’; and the Navy to advance to private salvage com- Subtitle C—Counter-Drug Activities (2) in paragraph (3)— panies such funds as the Secretary considers SEC. 1021. REVISION AND CLARIFICATION OF (A) in subparagraph (A), by striking out necessary to provide for the immediate fi- AUTHORITY FOR FEDERAL SUPPORT ‘‘subsection (b)’’ and inserting in lieu thereof nancing of salvage operations, see section OF DRUG INTERDICTION AND COUNTER-DRUG ACTIVITIES OF THE ‘‘subsection (c)’’; and 2307(g)(2) of this title. NATIONAL GUARD. (B) by striking out subparagraph (B) and ‘‘§ 7363. Settlement of claims (a) FUNDING ASSISTANCE AUTHORIZED.— inserting in lieu thereof the following: ‘‘The Secretary of the Navy may settle any Subsection (a) of section 112 of title 32, Unit- ‘‘(B) pursuant to the plan submitted for a claim by the United States for salvage serv- ed States Code, is amended to read as fol- previous fiscal year, funds were provided to ices rendered by the Department of the Navy lows: the State in accordance with subsection (a) and may receive payment of any such claim. ‘‘(a) FUNDING ASSISTANCE.—The Secretary or personnel of the National Guard of the ‘‘§ 7364. Disposition of receipts of Defense may provide funds to the Gov- State were ordered to perform full-time Na- ernor of a State who submits to the Sec- tional Guard duty in accordance with sub- ‘‘Amounts received under this chapter retary a State drug interdiction and counter- shall be credited to appropriations for main- section (b).’’. drug activities plan satisfying the require- (e) USE OF PERSONNEL PERFORMING FULL- taining naval salvage facilities. However, ments of subsection (c). Such funds shall be TIME NATIONAL GUARD DUTY.—Such section any amount received under this chapter in used for— is further amended by inserting after sub- any fiscal year in excess of naval salvage ‘‘(1) the pay, allowances, clothing, subsist- section (a) the following new subsection (b): costs incurred by the Navy during that fiscal ence, gratuities, travel, and related expenses, ‘‘(b) USE OF PERSONNEL PERFORMING FULL- year shall be deposited into the general fund as authorized by State law, of personnel of TIME NATIONAL GUARD DUTY.—Under regula- of the Treasury.’’. the National Guard of that State used, while tions prescribed by the Secretary of Defense, SEC. 1016. VESSELS SUBJECT TO REPAIR UNDER not in Federal service, for the purpose of personnel of the National Guard of a State PHASED MAINTENANCE CONTRACTS. drug interdiction and counter-drug activi- may, in accordance with the State drug (a) IN GENERAL.—The Secretary of the ties; interdiction and counter-drug activities plan Navy shall ensure that any vessel that is ‘‘(2) the operation and maintenance of the referred to in subsection (c), be ordered to covered by the contract referred to in sub- equipment and facilities of the National perform full-time National Guard duty under section (b) remains covered by that contract, Guard of that State used for the purpose of section 502(f) of this title for the purpose of regardless of the operating command to drug interdiction and counter-drug activi- carrying out drug interdiction and counter- which the vessel is subsequently assigned, ties; and drug activities.’’. unless the vessel is taken out of service for ‘‘(3) the procurement of services and leas- (f) END STRENGTH LIMITATION.—Such sec- the Department of the Navy. ing of equipment for the National Guard of tion is further amended by inserting after subsection (e) the following new subsection (b) COVERED CONTRACT.—The contract re- that State used for the purpose of drug inter- (f): ferred to in subsection (a) is the contract en- diction and counter-drug activities.’’. ‘‘(f) END STRENGTH LIMITATION.—(1) Except tered into before the date of the enactment (b) REORGANIZATION OF SECTION.—Such sec- as provided in paragraph (2), at the end of a of this Act for the phased maintenance of AE tion is further amended— class ships. fiscal year there may not be more than 4000 (1) by redesignating subsection (f) as sub- members of the National Guard— SEC. 1017. CLARIFICATION OF REQUIREMENTS section (h); RELATING TO REPAIRS OF VESSELS. ‘‘(A) on full-time National Guard duty (2) by redesignating subsection (d) as sub- under section 502(f) of this title to perform Section 7310(a) of title 10, United States section (g) and transferring that subsection Code, is amended by inserting ‘‘or Guam’’ drug interdiction or counter-drug activities to appear before subsection (h), as redesig- pursuant to an order to duty for a period of after ‘‘the United States’’ the second place it nated by paragraph (1); and appears. more than 180 days; or (3) by redesignating subsections (b) and (c) ‘‘(B) on duty under State authority to per- SEC. 1018. SENSE OF CONGRESS CONCERNING as subsections (c) and (d), respectively. form drug interdiction or counter-drug ac- NAMING OF AMPHIBIOUS SHIPS. (c) STATE DRUG INTERDICTION AND COUNTER- tivities pursuant to an order to duty for a pe- It is the sense of Congress that the Sec- DRUG ACTIVITIES PLAN.—Subsection (c) of riod of more than 180 days with State pay retary of the Navy— such section, as redesignated by subsection and allowances being reimbursed with funds (1) should name the vessel to be designated (b)(3), is amended— provided under subsection (a)(1). LHD–7 as the U.S.S. Iwo Jima; and (1) in the matter preceding paragraph (1), ‘‘(2) The Secretary of Defense may increase (2) should name the vessel to be designated by striking out ‘‘A plan referred to in sub- the end strength authorized under paragraph LPD–17, and each subsequent ship of the section (a)’’ and inserting in lieu thereof ‘‘A (1) by not more than 20 percent for any fiscal LPD–17 class, after a Marine Corps battle or State drug interdiction and counter-drug ac- year if the Secretary determines that such a member of the Marine Corps. tivities plan’’; an increase is necessary in the national secu- SEC. 1019. SENSE OF CONGRESS CONCERNING (2) by striking out ‘‘and’’ at the end of rity interests of the United States.’’. NAMING OF NAVAL paragraph (2); and (g) DEFINITIONS.—Subsection (h) of such VESSEL. (3) in paragraph (3)— section, as redesignated by subsection (b)(1), It is the sense of Congress that the Sec- (A) by striking out ‘‘annual training’’ and is amended by striking out paragraph (1) and retary of the Navy should name an appro- inserting in lieu thereof ‘‘training’’; inserting in lieu thereof the following: priate ship of the United States Navy the (B) by striking out the period at the end ‘‘(1) The term ‘drug interdiction and U.S.S. Joseph Vittori, in honor of Marine and inserting in lieu thereof a semicolon; counter-drug activities’, with respect to the Corporal Joseph Vittori (1929–1951) of Bev- and National Guard of a State, means the use of erly, Massachusetts, who was posthumously (C) by adding at the end the following new National Guard personnel in drug interdic- awarded the Medal of Honor for actions paragraphs: tion and counter-drug law enforcement ac- against the enemy in Korea on September ‘‘(4) include a certification by the Attorney tivities authorized by the law of the State 15–16, 1951. General of the State (or, in the case of a and requested by the Governor of the SEC. 1020. TRANSFER OF RIVERINE PATROL State with no position of Attorney General, State.’’. CRAFT. a civilian official of the State equivalent to (h) TECHNICAL AMENDMENTS.—Subsection (a) AUTHORITY TO TRANSFER VESSEL.—Not- a State attorney general) that the use of the (e) of such section is amended— withstanding subsections (a) and (d) of sec- National Guard of the State for the activi- (1) in paragraph (1), by striking out ‘‘sec- tion 7306 of title 10, United States Code, but ties proposed under the plan is authorized tions 517 and 524’’ and inserting in lieu there- subject to subsections (b) and (c) of that sec- by, and is consistent with, State law; and of ‘‘sections 12011 and 12012’’; and January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 423 (2) in paragraph (2), by striking out ‘‘the apply to the Department of Defense in the the severance pay to the employee in one Committees on Armed Services of the Senate case of a detail— lump sum. and House of Representatives’’ and inserting ‘‘(A) made in connection with the closure ‘‘(2)(A) If an employee paid severance pay in lieu thereof ‘‘the Committee on Armed or realignment of a military installation in a lump sum under this subsection is reem- Services of the Senate and the Committee on pursuant to a base closure law or an organi- ployed by the Government of the United National Security of the House of Represent- zational restructuring of the Department as States or the government of the District of atives’’. part of a reduction in the size of the armed Columbia at such time that, had the em- Subtitle D—Civilian Personnel forces or the civilian workforce of the De- ployee been paid severance pay in regular partment; and pay periods under subsection (b), the pay- SEC. 1031. MANAGEMENT OF DEPARTMENT OF ‘‘(B) in which the position to which the ments of such pay would have been discon- DEFENSE CIVILIAN PERSONNEL. tinued under subsection (d) upon such reem- Section 129 of title 10, United States Code, employee is detailed is eliminated on or be- fore the date of the closure, realignment, or ployment, the employee shall repay to the is amended— Department of Defense (for the military de- (1) in subsection (a)— restructuring. ‘‘(c) For purposes of this section— partment that formerly employed the em- (A) by striking out ‘‘man-year constraint ‘‘(1) the term ‘base closure law’ means— ployee, if applicable) an amount equal to the or limitation’’ and inserting in lieu thereof ‘‘(A) section 2687 of title 10; amount of severance pay to which the em- ‘‘constraint or limitation in terms of man ‘‘(B) title II of the Defense Authorization ployee was entitled under this section that years, end strength, full-time equivalent po- Amendments and Base Closure and Realign- would not have been paid to the employee sitions, or maximum number of employees’’; ment Act (10 U.S.C. 2687 note); and under subsection (d) by reason of such reem- and ‘‘(C) the Defense Base Closure and Realign- ployment. (B) by adding at the end the following new ment Act of 1990 (10 U.S.C. 2687 note); and ‘‘(B) The period of service represented by sentence: ‘‘The Secretary of Defense and the ‘‘(2) the term ‘military installation’— an amount of severance pay repaid by an em- Secretaries of the military departments may ‘‘(A) in the case of an installation covered ployee under subparagraph (A) shall be con- not be required to make a reduction in the by section 2687 of title 10, has the meaning sidered service for which severance pay has number of full-time equivalent positions in given such term in subsection (e)(1) of such not been received by the employee under this the Department of Defense unless such re- section; section. duction is necessary due to a reduction in ‘‘(C) Amounts repaid to an agency under ‘‘(B) in the case of an installation covered funds available to the Department or is re- this paragraph shall be credited to the appro- by the Act referred to in subparagraph (B) of quired under a law that is enacted after the priation available for the pay of employees paragraph (1), has the meaning given such date of the enactment of the National De- of the agency for the fiscal year in which re- term in section 209(6) of such Act; and fense Authorization Act for Fiscal Year 1996 ceived. Amounts so credited shall be merged ‘‘(C) in the case of an installation covered and that refers specifically to this sub- with, and shall be available for the same pur- by the Act referred to in subparagraph (C) of section.’’; poses and the same period as, the other funds that paragraph, has the meaning given such (2) in subsection (b)(2), by striking out in that appropriation. term in section 2910(4) of such Act.’’. ‘‘any end-strength’’ and inserting in lieu ‘‘(3) If an employee fails to repay to an (b) APPLICABILITY.—The amendments made thereof ‘‘any constraint or limitation in agency an amount required to be repaid by subsection (a) apply to details made be- terms of man years, end strength, full-time under paragraph (2)(A), that amount is re- fore the date of the enactment of this Act equivalent positions, or maximum number of coverable from the employee as a debt due but still in effect on that date and details employees’’; and the United States. made on or after that date. (3) by adding at the end the following new ‘‘(4) This subsection applies with respect to subsection: SEC. 1034. AUTHORITY FOR CIVILIAN EMPLOY- severance pay payable under this section for EES OF DEPARTMENT OF DEFENSE ‘‘(d) With respect to each budget activity separations taking effect on or after the date TO PARTICIPATE VOLUNTARILY IN of the enactment of the National Defense within an appropriation for a fiscal year for REDUCTIONS IN FORCE. operations and maintenance, the Secretary Authorization Act for Fiscal Year 1996 and Section 3502 of title 5, United States Code, before October 1, 1999.’’. of Defense shall ensure that there are em- is amended by adding at the end the follow- SEC. 1036. CONTINUED HEALTH INSURANCE COV- ployed during that fiscal year employees in ing: the number and with the combination of ERAGE. ‘‘(f)(1) The Secretary of Defense or the Sec- Section 8905a(d)(4) of title 5, United States skills and qualifications that are necessary retary of a military department may— to carry out the functions within that budg- Code, is amended— ‘‘(A) release in a reduction in force an em- (1) in subparagraph (A), by inserting ‘‘, or et activity for which funds are provided for ployee who volunteers for the release even that fiscal year.’’. a voluntary separation from a surplus posi- though the employee is not otherwise sub- tion,’’ after ‘‘an involuntary separation from SEC. 1032. CONVERSION OF MILITARY POSI- ject to release in the reduction in force a position’’; and TIONS TO CIVILIAN POSITIONS. under the criteria applicable under the other (2) by adding at the end the following new (a) CONVERSION REQUIREMENT.—(1) By Sep- provisions of this section; and subparagraph: tember 30, 1997, the Secretary of Defense ‘‘(B) for each employee voluntarily re- ‘‘(C) For the purpose of this paragraph, shall convert at least 10,000 military posi- leased in the reduction in force under sub- ‘surplus position’ means a position which is tions to civilian positions. paragraph (A), retain an employee in a simi- identified in pre-reduction-in-force planning (2) At least 3,000 of the military positions lar position who would otherwise be released as no longer required, and which is expected converted to satisfy the requirement of para- in the reduction in force under such criteria. to be eliminated under formal reduction-in- graph (1) shall be converted to civilian posi- ‘‘(2) A voluntary release of an employee in force procedures.’’. tions not later than September 30, 1996. a reduction in force pursuant to paragraph SEC. 1037. REVISION OF AUTHORITY FOR AP- (3) In this subsection: (1) shall be treated as an involuntary release POINTMENTS OF INVOLUNTARILY (A) The term ‘‘military position’’ means a in the reduction in force. SEPARATED MILITARY RESERVE position that, as of the date of the enact- ‘‘(3) An employee with critical knowledge TECHNICIANS. ment of this Act, is authorized to be filled by and skills (as defined by the Secretary con- (a) REVISION OF AUTHORITY.—Section 3329 a member of the Armed Forces on active cerned) may not participate in a voluntary of title 5, United States Code, as added by duty. release under paragraph (1) if the Secretary section 544 of the National Defense Author- (B) The term ‘‘civilian position’’ means a concerned determines that such participa- ization Act for Fiscal Year 1993 (Public Law position that is required to be filled by a ci- tion would impair the performance of the 102–484; 106 Stat. 2415), is amended— vilian employee of the Department of De- mission of the Department of Defense or the (1) in subsection (b), by striking out ‘‘be of- fense. military department concerned. fered’’ and inserting in lieu thereof ‘‘be pro- (b) IMPLEMENTATION PLAN.—Not later than ‘‘(4) The regulations prescribed under this vided placement consideration in a position March 31, 1996, the Secretary of Defense shall section shall incorporate the authority pro- described in subsection (c) through a priority submit to the Committee on Armed Services vided in this subsection. placement program of the Department of De- of the Senate and the Committee on Na- ‘‘(5) The authority under paragraph (1) fense’’; and tional Security of the House of Representa- may not be exercised after September 30, (2) by striking out subsection (c) and in- tives a plan for the implementation of sub- 1996.’’. serting in lieu thereof the following new sub- section (a). SEC. 1035. AUTHORITY TO PAY SEVERANCE PAY- section (c): SEC. 1033. ELIMINATION OF 120-DAY LIMITATION MENTS IN LUMP SUMS. ‘‘(c)(1) The position for which placement ON DETAILS OF CERTAIN EMPLOY- Section 5595 of title 5, United States Code, consideration shall be provided to a former EES. is amended by adding at the end the follow- military technician under subsection (b) (a) ELIMINATION OF LIMITATION.—Sub- ing: shall be a position— section (b) of section 3341 of title 5, United ‘‘(i)(1) In the case of an employee of the De- ‘‘(A) in either the competitive service or States Code, is amended— partment of Defense who is entitled to sever- the excepted service; (1) by inserting ‘‘(1)’’ after ‘‘(b)’’; and ance pay under this section, the Secretary of ‘‘(B) within the Department of Defense; (2) by adding at the end the following: Defense or the Secretary of the military de- and ‘‘(2) The 120-day limitation in paragraph (1) partment concerned may, upon application ‘‘(C) in which the person is qualified to for details and renewals of details does not by the employee, pay the total amount of serve, taking into consideration whether the H 424 CONGRESSIONAL RECORD — HOUSE January 22, 1996 employee in that position is required to be a ‘‘(d)(1) A military reserve technician de- chapter III of chapter 59 of title 5 to a simi- member of a reserve component of the armed scribed in section 8401(30) is entitled at such larly situated civilian employee of the De- forces as a condition of employment. person’s request to leave without loss of, or partment of Defense paid from appropriated ‘‘(2) To the maximum extent practicable, reduction in, pay, leave to which such person funds. the position shall also be in a pay grade or is otherwise entitled, credit for time or serv- (b) APPLICATION TO CERTAIN CURRENT EM- other pay classification sufficient to ensure ice, or performance or efficiency rating for PLOYEES.—In the case of a nonappropriated that the rate of basic pay of the former mili- each day, not to exceed 44 workdays in a cal- fund instrumentality employee who, as of tary technician, upon appointment to the po- endar year, in which such person is on active the date of the enactment of this Act, re- sition, is not less than the rate of basic pay duty without pay, as authorized pursuant to ceives an overseas living quarters allowance last received by the former military techni- section 12315 of title 10, under section under any other authority, subsection (a) cian for technician service before separa- 12301(b) or 12301(d) of title 10 (other than ac- shall apply to such employee only after the tion.’’. tive duty during a war or national emer- earlier of— (b) TECHNICAL AND CLERICAL AMEND- gency declared by the President or Congress) (1) September 30, 1997; or MENTS.—(1) The section 3329 of title 5, United for participation in noncombat operations (2) the date on which the employee other- States Code, that was added by section 4431 outside the United States, its territories and wise ceases to be eligible for such an allow- of the National Defense Authorization Act possessions. ance under such other authority. for Fiscal Year 1993 (Public Law 102–484; 106 ‘‘(2) An employee who requests annual (c) NONAPPROPRIATED FUND INSTRUMENTAL- Stat. 2719) is redesignated as section 3330 of leave or compensatory time to which the em- ITY EMPLOYEE DEFINED.—For purposes of this such title. ployee is otherwise entitled, for a period dur- section, the term ‘‘nonappropriated fund in- (2) The table of sections at the beginning of ing which the employee would have been en- strumentality employee’’ has the meaning chapter 33 of such title is amended by strik- titled upon request to leave under this sub- given such term in section 1587(a)(1) of title ing out the item relating to section 3329, as section, may be granted such annual leave or 10, United States Code. added by section 4431(b) of such Act (106 compensatory time without regard to this SEC. 1043. ELECTIONS RELATING TO RETIRE- Stat. 2720), and inserting in lieu thereof the section or section 5519.’’. MENT COVERAGE. (a) IN GENERAL.— following new item: SEC. 1040. PERSONNEL ACTIONS INVOLVING EM- (1) CIVIL SERVICE RETIREMENT SYSTEM.— ‘‘3330. Government-wide list of vacant posi- PLOYEES OF NONAPPROPRIATED FUND INSTRUMENTALITIES. Section 8347(q) of title 5, United States Code, tions.’’. is amended— (a) CLARIFICATION OF DEFINITION OF SEC. 1038. WEARING OF UNIFORM BY NATIONAL (A) in paragraph (1)— NONAPPROPRIATED FUND INSTRUMENTALITY GUARD TECHNICIANS. (i) by striking ‘‘of the Department of De- (a) REQUIREMENT.—Section 709(b) of title EMPLOYEE.—Subsection (a)(1) of section 1587 of title 10, United States Code, is amended by fense or the Coast Guard’’ in the matter be- 32, United States Code, is amended to read as fore subparagraph (A); and follows: adding at the end the following new sen- tence: ‘‘Such term includes a civilian em- (ii) by striking ‘‘3 days’’ and inserting ‘‘1 ‘‘(b) Except as prescribed by the Secretary year’’; and concerned, a technician employed under sub- ployee of a support organization within the Department of Defense or a military depart- (B) in paragraph (2)(C)— section (a) shall, while so employed— (i) by striking ‘‘3 days’’ and inserting ‘‘1 ‘‘(1) be a member of the National Guard; ment, such as the Defense Finance and Ac- counting Service, who is paid from year’’; and ‘‘(2) hold the military grade specified by (ii) by striking ‘‘in the Department of De- the Secretary concerned for that position; nonappropriated funds on account of the na- ture of the employee’s duties.’’. fense or the Coast Guard, respectively,’’. and (2) FEDERAL EMPLOYEES’ RETIREMENT SYS- (b) DIRECT REPORTING OF VIOLATIONS.— ‘‘(3) wear the uniform appropriate for the TEM.—Section 8461(n) of title 5, United member’s grade and component of the armed Subsection (e) of such section is amended in the second sentence by inserting before the States Code, is amended— forces while performing duties as a techni- (A) in paragraph (1)— cian.’’. period the following: ‘‘and to permit the re- porting of alleged violations of subsection (b) (i) by striking ‘‘of the Department of De- (b) UNIFORM ALLOWANCES FOR OFFICERS.— fense or the Coast Guard’’ in the matter be- Section 417 of title 37, United States Code, is directly to the Inspector General of the De- partment of Defense’’. fore subparagraph (A); and amended by adding at the end the following: (ii) by striking ‘‘3 days’’ and inserting ‘‘1 (c) TECHNICAL AMENDMENT.—Subsection ‘‘(d)(1) For purposes of sections 415 and 416 year’’; and of this title, a period for which an officer of (a)(1) of such section is further amended by striking out ‘‘Navy Resale and Services Sup- (B) in paragraph (2)(C)— an armed force, while employed as a Na- (i) by striking ‘‘3 days’’ and inserting ‘‘1 tional Guard technician, is required to wear port Office’’ and inserting in lieu thereof ‘‘Navy Exchange Service Command’’. year’’; and a uniform under section 709(b) of title 32 (ii) by striking ‘‘in the Department of De- shall be treated as a period of active duty (d) CLERICAL AMENDMENTS.—(1) The head- ing of such section is amended to read as fol- fense or the Coast Guard, respectively,’’. (other than for training). (b) REGULATIONS.—Not later than 6 months lows: ‘‘(2) A uniform allowance may not be paid, after the date of the enactment of this Act, and uniforms may not be furnished, to an of- ‘‘§ 1587. Employees of nonappropriated fund the Office of Personnel Management (and ficer under section 1593 of title 10 or section instrumentalities: reprisals’’. each of the other administrative authorities, 5901 of title 5 for a period of employment re- (2) The item relating to such section in the within the meaning of subsection ferred to in paragraph (1) for which an officer table of sections at the beginning of chapter (c)(2)(C)(iii)) shall prescribe any regulations is paid a uniform allowance under section 415 81 of such title is amended to read as follows: (or make any modifications in existing regu- or 416 of this title.’’. ‘‘1587. Employees of nonappropriated fund in- lations) necessary to carry out this section (c) CLOTHING OR ALLOWANCES FOR ENLISTED strumentalities: reprisals.’’. and the amendments made by this section, MEMBERS.—Section 418 of title 37, United including regulations to provide for the noti- States Code, is amended— SEC. 1041. COVERAGE OF NONAPPROPRIATED FUND EMPLOYEES UNDER AUTHOR- fication of individuals who may be affected (1) by inserting ‘‘(a)’’ before ‘‘The Presi- ITY FOR FLEXIBLE AND COM- by the enactment of this section. All regula- dent’’; and PRESSED WORK SCHEDULES. tions (and modifications to regulations) (2) by adding at the end the following: Paragraph (2) of section 6121 of title 5, under the preceding sentence shall take ef- ‘‘(b) In determining the quantity and kind United States Code, is amended to read as fect on the same date. of clothing or allowances to be furnished follows: (c) APPLICABILITY; RELATED PROVISIONS.— pursuant to regulations prescribed under ‘‘(2) ‘employee’ has the meaning given the (1) PROSPECTIVE RULES.—Except as other- this section to persons employed as National term in subsection (a) of section 2105 of this wise provided in this subsection, the amend- Guard technicians under section 709 of title title, except that such term also includes an ments made by this section shall apply with 32, the President shall take into account the employee described in subsection (c) of that respect to moves occurring on or after the ef- requirement under subsection (b) of such sec- section;’’. fective date of the regulations under sub- tion for such persons to wear a uniform. section (b). Moves occurring on or after the SEC. 1042. LIMITATION ON PROVISION OF OVER- ‘‘(c) A uniform allowance may not be paid, SEAS LIVING QUARTERS ALLOW- date of the enactment of this Act and before and uniforms may not be furnished, under ANCES FOR NONAPPROPRIATED the effective date of such regulations shall section 1593 of title 10 or section 5901 of title FUND INSTRUMENTALITY EMPLOY- be subject to applicable provisions of title 5, 5 to a person referred to in subsection (b) for EES. United States Code, disregarding the amend- a period of employment referred to in that (a) CONFORMING ALLOWANCE TO ALLOW- ments made by this section, except that any subsection for which a uniform allowance is ANCES FOR OTHER CIVILIAN EMPLOYEES.—Sub- individual making an election pursuant to paid under section 415 or 416 of this title.’’. ject to subsection (b), an overseas living this sentence shall be ineligible to make an SEC. 1039. MILITARY LEAVE FOR MILITARY RE- quarters allowance paid from election otherwise allowable under para- SERVE TECHNICIANS FOR CERTAIN nonappropriated funds and provided to a graph (2). DUTY OVERSEAS. nonappropriated fund instrumentality em- (2) RETROACTIVE RULES.— Section 6323 of title 5, United States Code, ployee after the date of the enactment of (A) IN GENERAL.—The regulations under is amended by adding at the end the follow- this Act may not exceed the amount of a subsection (b) shall include provisions for ing new subsection: quarters allowance provided under sub- the application of sections 8347(q) and 8461(n) January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 425

of title 5, United States Code, as amended by (iii) CONDITION SUBSEQUENT RELATING TO through (C) of this paragraph (determined this section, with respect to any individual DEFICIENCY IN PAYMENTS RELATIVE TO disregarding the matter in subclause (I) of who, at any time after December 31, 1965, and AMOUNTS NEEDED TO ENSURE THAT BENEFITS subparagraph (B) before the first semicolon before the effective date of such regulations, ARE FULLY FUNDED.— therein) based on a move from FERS. moved between positions in circumstances (I) IN GENERAL.—Except as provided in (ii) ELECTION.—An individual described in that would have qualified such individual to subclause (II), the payment described in clause (i) may, instead of making an election make an election under the provisions of clause (i) shall not be made (and the election for which such individual is otherwise eligi- such section 8347(q) or 8461(n), as so amend- to which it relates shall be ineffective) if the ble under this paragraph, elect to have all ed, if such provisions had then been in effect. actuarial present value of the future benefits prior qualifying FERS service of such indi- (B) DEADLINE; RELATED PROVISIONS.—An that would be payable under the previous vidual treated as creditable service for pur- election pursuant to this paragraph— system with respect to service performed by poses of determining eligibility for benefits (i) shall be made within 1 year after the ef- such individual after the move on which the under a NAFI retirement system, but not for fective date of the regulations under sub- election under this paragraph is based and purposes of computing the amount of any section (b), and before the effective date of the election, ex- such benefits except as provided in clause (ii) shall have the same force and effect as ceeds the total amounts required to be trans- (v)(II). if it had been timely made at the time of the ferred to the previous system under the pre- (iii) QUALIFYING FERS SERVICE.—For pur- move, ceding provisions of this subparagraph with poses of this subparagraph, the term ‘‘quali- except that no such election may be made by respect to such service, as determined by the fying FERS service’’ means any service any individual— authority administering such previous sys- which, but for this subparagraph, would be (I) who has previously made, or had an op- tem (in this section referred to as the ‘‘ad- creditable for purposes of the Federal Em- portunity to make, an election under section ministrative authority’’). ployees’ Retirement System. 8347(q) or 8461(n) of title 5, United States (II) PAYMENT OF DEFICIENCY.—A determina- (iv) SERVICE CEASES TO BE CREDITABLE FOR Code (as in effect before being amended by tion of a deficiency under this clause shall PURPOSES OF FERS.—Any qualifying FERS this section); however, this subclause shall not render an election ineffective if the indi- service that becomes creditable for NAFI not be considered to render an individual in- vidual pays or arranges to pay, at a time and purposes by virtue of an election made under eligible, based on an opportunity arising out in a manner satisfactory to such administra- this subparagraph shall not be creditable for of a move occurring during the period de- tive authority, the full amount of the defi- purposes of the Federal Employees’ Retire- scribed in the second sentence of paragraph ciency described in subclause (I). ment System. (1), if no election has in fact been made by (D) ALTERNATIVE ELECTION FOR AN INDIVID- (v) FUNDING REQUIREMENTS.— UAL THEN PARTICIPATING IN FERS such individual based on such move; .— (I) IN GENERAL.—Except as provided in (II) who has not, since the move on which (i) APPLICABILITY.—This subparagraph ap- subclause (II), nothing in this section or in eligibility for the election is based, remained plies with respect to any individual who— any other provision of law or any other au- continuously subject (disregarding any break (I) is then currently participating in thority shall be considered to require any in service of less than 3 days) to CSRS or FERS; and payment or transfer of monies in order for FERS or both seriatim (if the move was from (II) would then otherwise be eligible to an election under this subparagraph to be ef- make an election under subparagraphs (A) a NAFI position) or any retirement system fective. through (C) of this paragraph, determined (or 2 or more such systems seriatim) estab- (II) CONTRIBUTION REQUIRED ONLY IF INDI- disregarding the matter in subclause (I) of lished for employees described in section VIDUAL ELECTS TO HAVE SERVICE MADE CRED- subparagraph (B) before the first semicolon 2105(c) of such title (if the move was to a ITABLE FOR COMPUTATION PURPOSES AS therein. NAFI position); or WELL.—Under regulations prescribed by the (ii) ELECTION.—An individual described in (III) if such election would be based on a appropriate administrative authority, an in- clause (i) may, instead of making an election move to the Civil Service Retirement Sys- dividual making an election under this sub- for which such individual is otherwise eligi- tem from a retirement system established paragraph may further elect to have the ble under this paragraph, elect to have all for employees described in section 2105(c) of qualifying FERS service made creditable for prior qualifying NAFI service of such indi- such title. computation purposes under a NAFI retire- (C) TRANSFERS OF CONTRIBUTIONS.— vidual treated as creditable service for pur- poses of any annuity under FERS payable ment system, but only if the individual pays (i) IN GENERAL.—If an individual makes an or arranges to pay, at a time and in a man- election under this paragraph to be trans- out of the Civil Service Retirement and Dis- ability Fund. ner satisfactory to such administrative au- ferred back to a retirement system in which thority, the amount necessary to fully fund (iii) QUALIFYING NAFI SERVICE.—For pur- such individual previously participated (in the actuarial present value of future benefits this section referred to as the ‘‘previous sys- poses of this subparagraph, the term ‘‘quali- fying NAFI service’’ means any service under the NAFI retirement system attrib- tem’’), all individual contributions (includ- utable to the qualifying FERS service. ing interest) and Government contributions which, but for this subparagraph, would be (3) INFORMATION.—The regulations under to the retirement system in which such indi- creditable for purposes of any retirement system established for employees described subsection (b) shall include provisions under vidual is then currently participating (in which any individual— this section referred to as the ‘‘current sys- in section 2105(c) of title 5, United States (A) shall, upon request, be provided infor- tem’’), excluding those made to the Thrift Code. mation or assistance in determining whether Savings Plan or any other defined contribu- (iv) SERVICE CEASES TO BE CREDITABLE FOR such individual is eligible to make an elec- tion plan, which are attributable to periods NAFI RETIREMENT SYSTEM PURPOSES.—Any tion under paragraph (2) and, if so, the exact of service performed since the move on qualifying NAFI service that becomes cred- amount of any payment which would be re- which the election is based, shall be paid to itable for FERS purposes by virtue of an quired of such individual in connection with the fund, account, or other repository for election made under this subparagraph shall any such election; and contributions made under the previous sys- not be creditable for purposes of any retire- (B) may seek any other information or as- tem. For purposes of this section, the term ment system referred to in clause (iii). sistance relating to any such election. ‘‘current system’’ shall be considered also to (v) CONDITIONS.—An election under this include any retirement system (besides the subparagraph shall be subject to require- (d) CREDITABILITY OF NAFI SERVICE FOR one in which the individual is participating ments, similar to those set forth in subpara- RIF PURPOSES.— at the time of making the election) in which graph (C), to ensure that— (1) IN GENERAL.—Clause (ii) of section such individual previously participated since (I) appropriate transfers of individual and 3502(a)(C) of title 5, United States Code, is the move on which the election is based. Government contributions are made to the amended by striking ‘‘January 1, 1987’’ and (ii) CONDITION SUBSEQUENT RELATING TO RE- Civil Service Retirement and Disability inserting ‘‘January 1, 1966’’. PAYMENT OF LUMP-SUM CREDIT.—In the case Fund; and (2) EFFECTIVE DATE.—Notwithstanding any of an individual who has received such indi- (II) the actuarial present value of future provision of subsection (c), the amendment vidual’s lump-sum credit (within the mean- benefits under FERS attributable to service made by paragraph (1) shall— ing of section 8401(19) of title 5, United made creditable by such election is fully (A) take effect on the date of the enact- States Code, or a similar payment) from funded. ment of this Act; and such individual’s previous system, the pay- (E) ALTERNATIVE ELECTION FOR AN INDIVID- (B) apply with respect to any reduction in ment described in clause (i) shall not be UAL THEN PARTICIPATING IN A NAFI RETIRE- force carried out on or after such date. made (and the election to which it relates MENT SYSTEM.— shall be ineffective) unless such lump-sum (i) APPLICABILITY.—This subparagraph ap- SEC. 1044. EXTENSION OF TEMPORARY AUTHOR- credit is redeposited or otherwise paid at plies with respect to any individual who— ITY TO PAY CIVILIAN EMPLOYEES WITH RESPECT TO THE EVACUATION such time and in such manner as shall be re- (I) is then currently participating in any FROM GUANTANAMO, CUBA. quired under applicable regulations. Regula- retirement system established for employees tions to carry out this clause shall include described in section 2105(c) of title 5, United (a) EXTENSION OF AUTHORITY.—The Sec- provisions for the computation of interest States Code (in this subparagraph referred to retary of Defense may, until the end of Janu- (consistent with section 8334(e) (2) and (3) of as a ‘‘NAFI retirement system’’); and ary 31, 1996, and without regard to the time title 5, United States Code), if no provisions (II) would then otherwise be eligible to limitations specified in subsection (a) of sec- for such computation otherwise exist. make an election under subparagraphs (A) tion 5523 of title 5, United States Code, make H 426 CONGRESSIONAL RECORD — HOUSE January 22, 1996 payments under the provisions of such sec- SEC. 1052. REPORT ON DESIRABILITY AND FEA- (A) a list of each such board or commission tion from funds available for the pay of civil- SIBILITY OF PROVIDING AUTHORITY concerning which the Secretary determined ian personnel in the case of employees, or an FOR USE OF FUNDS DERIVED FROM under subsection (a) that continued support employee’s dependents or immediate family, RECOVERED LOSSES RESULTING from the Department of Defense is merited; FROM CONTRACTOR FRAUD. evacuated from Guantanamo Bay, Cuba, pur- and (a) REPORT.—Not later than April 1, 1996, suant to the August 26, 1994 order of the Sec- the Secretary of Defense shall submit to (B) a list of each such board or commission retary. This section shall take effect as of Congress a report on the desirability and fea- concerning which the Secretary determined October 1, 1995, and shall apply with respect sibility of authorizing by law the retention under subsection (a) that continued support to payments made for periods occurring on and use by the Department of Defense of a from the Department if not merited. or after that date. specified portion (not to exceed three per- (3) For each board and commission speci- (b) MONTHLY REPORT.—On the first day of cent) of amounts recovered by the Govern- fied on the list under paragraph (2)(A), a de- each month beginning after the date of the ment during any fiscal year from losses and scription of— enactment of this Act and ending before expenses incurred by the Department of De- (A) the purpose of the board or commis- March 1996, the Secretary of the Navy shall fense as a result of contractor fraud at mili- sion; transmit to the Committee on Armed Serv- tary installations. (B) the nature and cost of the support pro- ices of the Senate and the Committee on Na- (b) MATTERS TO BE INCLUDED.—The report vided by the Department to the board or tional Security of the House of Representa- shall include the views of the Secretary of commission during fiscal year 1995; tives a report regarding the payment of em- Defense regarding— (C) the nature and duration of the support ployees pursuant to subsection (a). Each (1) the degree to which such authority that the Secretary proposes to provide to the such report shall include, for the month pre- would create enhanced incentives for the dis- board or commission; ceding the month in which the report is covery, investigation, and resolution of con- (D) the anticipated cost to the Department transmitted, a statement of the following: tractor fraud at military installations; and of providing such support; and (1) The number of the employees paid pur- (2) the appropriate allocation for funds (E) a justification of the determination suant to such section. that would be available for expenditure pur- that the board or commission merits the (2) The positions of employment of the em- suant to such authority. continued support of the Department. ployees. SEC. 1053. REPORT OF NATIONAL POLICY ON (4) For each board and commission speci- (3) The number and location of the employ- PROTECTING THE NATIONAL INFOR- fied on the list under paragraph (2)(B), a de- ees’ dependents and immediate families. MATION INFRASTRUCTURE AGAINST scription of— (4) The actions taken by the Secretary to STRATEGIC ATTACKS. (A) the purpose of the board or commis- eliminate the conditions which necessitated Not later than 120 days after the date of sion; the payments. the enactment of this Act, the President (B) the nature and cost of the support pro- shall submit to Congress a report setting vided by the Department to the board or Subtitle E—Miscellaneous Reporting forth the results of a review of the national commission during fiscal year 1995; and Requirements policy on protecting the national informa- (C) a justification of the determination tion infrastructure against strategic at- that the board or commission does not merit SEC. 1051. REPORT ON FISCAL YEAR 1997 BUDG- tacks. The report shall include the following: ET SUBMISSION REGARDING GUARD the continued support of the Department. AND RESERVE COMPONENTS. (1) A description of the national policy and (c) COVERED BOARDS AND COMMISSIONS.— architecture governing the plans for estab- Subsection (a) applies to any board or com- (a) REPORT.—The Secretary of Defense lishing procedures, capabilities, systems, and mission (including any board or commission shall submit to the congressional defense processes necessary to perform indications, authorized by law) that operates within or committees, at the same time that the Presi- warning, and assessment functions regarding for the Department of Defense and that— dent submits the budget for fiscal year 1997 strategic attacks by foreign nations, groups, (1) provides only policy-making assistance under section 1105(a) of title 31, United or individuals, or any other entity against or advisory services for the Department; or States Code, a report on amounts requested the national information infrastructure. (2) carries out only activities that are not in that budget for the Guard and Reserve (2) An assessment of the future of the Na- routine activities, on-going activities, or ac- components. tional Communications System (NCS), which tivities necessary to the routine, on-going (b) CONTENT.—The report shall include the has performed the central role in ensuring operations of the Department. following: national security and emergency prepared- (d) SUPPORT DEFINED.—For purposes of this (1) A description of the anticipated effect ness communications for essential United section, the term ‘‘support’’ includes the pro- that the amounts requested (if approved by States Government and private sector users, vision of any of the following: Congress) will have to enhance the capabili- including a discussion of— (1) Funds. ties of each of the Guard and Reserve compo- (A) whether there is a Federal interest in (2) Equipment, materiel, or other assets. nents. expanding or modernizing the National Com- (3) Services of personnel. (2) A listing, with respect to each such munications System in light of the changing SEC. 1055. DATE FOR SUBMISSION OF ANNUAL component, of each of the following: strategic national security environment and REPORT ON SPECIAL ACCESS PRO- (A) The amount requested for each major the revolution in information technologies; GRAMS. weapon system for which funds are requested and Section 119(a) of title 10, United States in the budget for that component. (B) the best use of the National Commu- Code, is amended by striking out ‘‘February (B) The amount requested for each item of nications System and the assets and experi- 1’’ and inserting in lieu thereof equipment (other than a major weapon sys- ence it represents as an integral part of a ‘‘March 1’’. tem) for which funds are requested in the larger national strategy to protect the Unit- Subtitle F—Repeal of Certain Reporting and budget for that component. ed States against a strategic attack on the Other Requirements and Authorities (C) The amount requested for each mili- national information infrastructure. SEC. 1061. REPEAL OF MISCELLANEOUS PROVI- tary construction project, together with the SEC. 1054. REPORT ON DEPARTMENT OF DE- SIONS OF LAW. location of each such project, for which FENSE BOARDS AND COMMISSIONS. funds are requested in the budget for that (a) STUDY.—The Secretary of Defense shall (a) VOLUNTEERS INVESTING IN PEACE AND component. conduct a study of the boards and commis- SECURITY PROGRAM.—(1) Chapter 89 of title sions described in subsection (c). As part of 10, United States Code, is repealed. (c) INCLUSION OF INFORMATION IN NEXT such study, the Secretary shall determine, (2) The tables of chapters at the beginning FYDP.—The Secretary of Defense shall spe- of subtitle A, and at the beginning of part II cifically display in the next future-years de- with respect to each such board or commis- sion that received support from the Depart- of subtitle A, of such title are each amended fense program (or program revision) submit- ment of Defense during fiscal year 1995, by striking out the item relating to chapter ted to Congress after the date of the enact- whether that board or commission merits 89. ment of this Act the amounts programmed continued support from the Department. (b) SECURITY AND CONTROL OF SUPPLIES.— for procurement of equipment and for mili- (b) REPORT.—Not later than April 1, 1996, (1) Chapter 171 of such title is repealed. tary construction for each of the Guard and the Secretary shall submit to the Committee (2) The tables of chapters at the beginning Reserve components. on Armed Services of the Senate and the of subtitle A, and at the beginning of part IV (d) DEFINITION.—For purposes of this sec- Committee on National Security of the of subtitle A, of such title are each amended tion, the term ‘‘Guard and Reserve compo- House of Representatives a report on the re- by striking out the item relating to chapter nents’’ means the following: sults of the study. The report shall include 171. (1) The Army Reserve. the following: (c) ANNUAL AUTHORIZATION OF MILITARY (2) The Army National Guard of the United (1) A list of each board and commission de- TRAINING STUDENT LOADS.—Section 115 of States. scribed in subsection (c) that received sup- such title is amended— (3) The Naval Reserve. port from the Department of Defense during (1) in subsection (a), by striking out para- (4) The Marine Corps Reserve. fiscal year 1995. graph (3); (5) The Air Force Reserve. (2) With respect to the boards and commis- (2) in subsection (b)— (6) The Air National Guard of the United sions specified on the list under paragraph (A) by inserting ‘‘or’’ at the end of para- States. (1)— graph (1); January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 427 (B) by striking out ‘‘; or’’ at the end of SEC. 1062. REPORTS REQUIRED BY TITLE 10, 12(a) of the National Security Agency Act of paragraph (2) and inserting in lieu thereof a UNITED STATES CODE. 1959 (50 U.S.C. 402 note) is amended by strik- period; and (a) ANNUAL REPORT ON RELOCATION ASSIST- ing out paragraph (5). (C) by striking out paragraph (3); and ANCE PROGRAMS.—Section 1056 of title 10, (c) REPORTS CONCERNING CERTAIN FEDERAL (3) by striking out subsection (f). United States Code, is amended— CONTRACTING AND FINANCIAL TRANS- (d) PORTIONS OF ANNUAL MANPOWER RE- (1) by striking out subsection (f); and ACTIONS.—Section 1352 of title 31, United QUIREMENTS REPORT.—Section 115a of such (2) by redesignating subsection (g) as sub- States Code, is amended— title is amended— section (f). (1) in subsection (b)(6)(A), by inserting (1) in subsection (b)(2), by striking out sub- (b) NOTICE OF SALARY INCREASES FOR FOR- ‘‘(other than the Secretary of Defense and paragraph (C); EIGN NATIONAL EMPLOYEES.—Section 1584 of Secretary of a military department)’’ after (2) by striking out subsection (d); such title is amended— ‘‘The head of each agency’’; and (3) by redesignating subsection (e) as sub- (1) by striking out subsection (b); and (2) in subsection (d)(1), by inserting ‘‘(other section (d) and striking out paragraphs (4) (2) in subsection (a), by striking out ‘‘(a) than in the case of the Department of De- and (5) thereof; WAIVER OF EMPLOYMENT RESTRICTIONS FOR fense or a military department)’’ after (4) by striking out subsection (f); and CERTAIN PERSONNEL.—’’. ‘‘paragraph (3) of this subsection’’. (5) by redesignating subsection (g) as sub- (c) NOTICE REGARDING CONTRACTS PER- (d) ANNUAL REPORT ON WATER RESOURCES section (e). FORMED FOR PERIODS EXCEEDING 10 YEARS.— PROJECT AGREEMENTS.—Section 221 of the (1) Section 2352 of such title is repealed. (e) OBSOLETE AUTHORITY FOR PAYMENT OF Flood Control Act of 1970 (42 U.S.C. 1962d–5b) (2) The table of sections at the beginning of STIPENDS FOR MEMBERS OF CERTAIN ADVI- is amended— chapter 139 of such title is amended by strik- SORY COMMITTEES AND BOARDS OF VISITORS (1) by striking out subsection (e); and ing out the item relating to section 2352. OF SERVICE ACADEMIES.—(1) The second sen- (2) by redesignating subsection (f) as sub- (d) REPORT ON LOW-RATE PRODUCTION tence of each of sections 173(b) and 174(b) of section (e). UNDER NAVAL VESSEL AND MILITARY SAT- such title is amended to read as follows: (e) ANNUAL REPORT ON CONSTRUCTION OF ELLITE PROGRAMS.—Section 2400(c) of such ‘‘Other members and part-time advisers shall TENNESSEE-TOMBIGBEE WATERWAY.—Section title is amended— (except as otherwise specifically authorized 185 of the Water Resources Development Act (1) by striking out paragraph (2); and by law) serve without compensation for such of 1976 (33 U.S.C. 544c) is amended by striking (2) in paragraph (1)— service.’’. out the second sentence. (A) by striking out ‘‘(1)’’; and (f) ANNUAL REPORT ON MONITORING OF NAVY (2) Sections 4355(h), 6968(h), and 9355(h) of (B) by redesignating clauses (A) and (B) as such title are amended by striking out ‘‘is HOME PORT WATERS.—Section 7 of the clauses (1) and (2), respectively. Organotin Antifouling Paint Control Act of entitled to not more than $5 a day and’’. (e) REPORT ON WAIVERS OF PROHIBITION ON (f) ANNUAL BUDGET INFORMATION CONCERN- 1988 (33 U.S.C. 2406) is amended— EMPLOYMENT OF FELONS.—Section 2408(a)(3) (1) by striking out subsection (d); and ING RECRUITING COSTS.—(1) Section 227 of of such title is amended by striking out the such title is repealed. (2) by redesignating subsections (e) and (f) second sentence. as subsections (d) and (e), respectively. (2) The table of sections at the beginning of (f) REPORT ON DETERMINATION NOT TO chapter 9 of such title is amended by strik- DEBAR FOR FRAUDULENT USE OF LABELS.— Subtitle G—Department of Defense ing out the item relating to section 227. Section 2410f(a) of such title is amended by Education Programs (g) EXPIRED AUTHORITY RELATING TO striking out the second sentence. SEC. 1071. CONTINUATION OF UNIFORMED SERV- PEACEKEEPING ACTIVITIES.—(1) Section 403 of (g) NOTICE OF MILITARY CONSTRUCTION CON- ICES UNIVERSITY OF THE HEALTH such title is repealed. TRACTS ON GUAM.—Section 2864(b) of such SCIENCES. (2) The table of sections at the beginning of title is amended by striking out ‘‘after the (a) POLICY.—Congress reaffirms— subchapter I of chapter 20 of such title is 21-day period’’ and all that follows through (1) the prohibition set forth in subsection amended by striking out the item relating to ‘‘determination’’. (a) of section 922 of the National Defense Au- section 403. SEC. 1063. REPORTS REQUIRED BY DEFENSE AU- thorization Act for Fiscal Year 1995 (Public (h) PROCUREMENT OF GASOHOL FOR DEPART- THORIZATION AND APPROPRIA- Law 103–337; 108 Stat. 2829; 10 U.S.C. 2112 MENT OF DEFENSE MOTOR VEHICLES.—(1) Sub- TIONS ACTS. note) regarding closure of the Uniformed section (a) of section 2398 of such title is re- (a) PUBLIC LAW 99–661 REQUIREMENT FOR Services University of the Health Sciences; pealed. REPORT ON FUNDING FOR NICARAGUAN DEMO- and (2) Such section is further amended— CRATIC RESISTANCE.—Section 1351 of the Na- (2) the expression of the sense of Congress (A) by redesignating subsections (b) and (c) tional Defense Authorization Act for Fiscal set forth in subsection (b) of such section re- as subsections (a) and (b), respectively; and Year 1987 (Public Law 99–661; 100 Stat. 3995; garding the budgetary commitment to con- (B) in subsection (b), as so redesignated, by 10 U.S.C. 114 note) is amended— tinuation of the university. striking out ‘‘subsection (b)’’ and inserting (1) by striking out subsection (b); and (b) PERSONNEL STRENGTH.—During the five- in lieu thereof ‘‘subsection (a)’’. (2) in subsection (a), by striking out ‘‘(a) year period beginning on October 1, 1995, the LIMITATION.—’’. personnel staffing levels for the Uniformed (i) REQUIREMENT OF NOTICE OF CERTAIN DIS- (b) ANNUAL REPORT ON OVERSEAS MILITARY Services University of the Health Services POSALS AND GIFTS BY SECRETARY OF NAVY.— FACILITY INVESTMENT RECOVERY ACCOUNT.— Section 7545 of such title is amended— may not be reduced below the personnel Section 2921 of the Military Construction (1) by striking out subsection (c); and staffing levels for the university as of Octo- Authorization Act for Fiscal Year 1991 (divi- (2) by redesignating subsection (d) as sub- ber 1, 1993. sion B of Public Law 101–510; 10 U.S.C. 2687 section (c). (c) BUDGETARY COMMITMENT TO CONTINU- note) is amended— ATION.—It is the sense of Congress that the (j) ANNUAL REPORT ON BIOLOGICAL DEFENSE (1) by striking out subsection (f); and Secretary of Defense should budget for the RESEARCH PROGRAM.—(1) Section 2370 of such (2) by redesignating subsections (g) and (h) operation of the Uniformed Services Univer- title is repealed. as subsections (f) and (g), respectively. sity of the Health Sciences during fiscal year (2) The table of sections at the beginning of (c) SCIENCE, MATHEMATICS, AND ENGINEER- 1997 at a level at least equal to the level of chapter 139 of such title is amended by strik- ING EDUCATION MASTER PLAN.—Section 829 of operations conducted at the University dur- ing out the item relating to such section. the National Defense Authorization Act for ing fiscal year 1995. (k) REPORTS AND NOTIFICATIONS RELATING Fiscal Years 1992 and 1993 (Public Law 102– SEC. 1072. ADDITIONAL GRADUATE SCHOOLS TO HEMICAL AND IOLOGICAL GENTS C B A .—Sub- 190; 105 Stat. 1444; 10 U.S.C. 2192 note) is re- AND PROGRAMS AT UNIFORMED section (a) of section 409 of Public Law 91–121 pealed. SERVICES UNIVERSITY OF THE (50 U.S.C. 1511) is repealed. (d) REPORT REGARDING HEATING FACILITY HEALTH SCIENCES. (l) ANNUAL REPORT ON BALANCED TECH- MODERNIZATION AT KAISERSLAUTERN.—Sec- (a) ADDITIONAL SCHOOLS AND PROGRAMS.— NOLOGY INITIATIVE.—Subsection (e) of section tion 8008 of the Department of Defense Ap- Subsection (h) of section 2113 of title 10, 211 of the National Defense Authorization propriations Act, 1994 (Public Law 103–139; United States Code, is amended to read as Act for Fiscal Years 1990 and 1991 (Public 107 Stat. 1438), is amended by inserting ‘‘but follows: Law 101–189; 103 Stat. 1394) is repealed. without regard to the notification require- ‘‘(h) The Secretary of Defense may estab- (m) REPORT ON ENVIRONMENTAL RESTORA- ment in subsection (b)(2) of such section,’’ lish the following educational programs at TION COSTS FOR INSTALLATIONS TO BE CLOSED after ‘‘section 2690 of title 10, United States the University: UNDER 1990 BASE CLOSURE LAW.—Section 2827 Code,’’. ‘‘(1) Postdoctoral, postgraduate, and tech- of the National Defense Authorization Act SEC. 1064. REPORTS REQUIRED BY OTHER PROVI- nological institutes. for Fiscal Years 1992 and 1993 (Public Law SIONS OF LAW. ‘‘(2) A graduate school of nursing. 102–190; 10 U.S.C. 2687 note) is amended by (a) REQUIREMENT UNDER ARMS EXPORT CON- ‘‘(3) Other schools or programs that the striking out subsection (b). TROL ACT FOR QUARTERLY REPORT ON PRICE Secretary determines necessary in order to (n) LIMITATION ON AMERICAN DIPLOMATIC AND AVAILABILITY ESTIMATES.—Section 28 of operate the University in a cost-effective FACILITIES IN GERMANY.—Section 1432 of the the Arms Export Control Act (22 U.S.C. 2768) manner.’’. National Defense Authorization Act for Fis- is repealed. (b) CONFORMING AMENDMENTS TO REFLECT cal Year 1994 (Public Law 103–160; 107 Stat. (b) ANNUAL REPORT ON NATIONAL SECURITY ADVISORY NATURE OF BOARD OF REGENTS.—(1) 1833) is repealed. AGENCY EXECUTIVE PERSONNEL.—Section Section 2112(b) of such title is amended by H 428 CONGRESSIONAL RECORD — HOUSE January 22, 1996 striking out ‘‘, upon recommendation of the payment for fiscal year 1996 of that agency’s under this subsection if the Secretary deter- Board of Regents,’’. eligibility for such payment and the amount mines that— (2) Section 2113 of such title is amended— of the payment for which that agency is eli- ‘‘(i) such agency is exercising due diligence (A) in subsection (a)— gible. in availing itself of State and other financial (i) by striking out ‘‘a Board of Regents (3) The Secretary of Defense shall disburse assistance; and (hereinafter in this chapter referred to as the funds made available under subparagraphs ‘‘(ii) the eligibility of such agency under ‘Board’)’’ in the first sentence and inserting (A) and (B) of paragraph (1) not later than 30 State law for State aid with respect to the in lieu thereof ‘‘the Secretary of Defense’’; days after the date on which notification to free public education of children described in and the eligible local educational agencies is pro- (ii) by inserting after the first sentence the vided pursuant to paragraph (2). subsection (a)(1) and the amount of such aid following new sentence: ‘‘To assist the Sec- (4) In this section: are determined on a basis no less favorable retary in an advisory capacity, there is a (A) The term ‘‘educational agencies assist- to such agency than the basis used in deter- Board of Regents for the University.’’; ance’’ means assistance authorized under mining the eligibility of local educational (B) in subsection (d), by striking out subsection (b) of section 386 of the National agencies for State aid, and the amount of ‘‘Board’’ the first place it appears and insert- Defense Authorization Act for Fiscal Year such aid, with respect to the free public edu- ing in lieu thereof ‘‘Secretary’’; 1993 (Public Law 102–484; 20 U.S.C. 238 note). cation of other children in the State.’’; and (C) in subsection (e), by striking out ‘‘of (B) The term ‘‘educational agencies pay- (2) in paragraph (3)— Defense’’; ments’’ means payments authorized under (A) in subparagraph (A)— (D) in subsection (f)(1), by striking out ‘‘of subsection (d) of that section, as amended by (i) in the matter preceding clause (i), by in- Defense’’; subsection (d). serting ‘‘(other than any amount received (E) in subsection (g)— (b) SPECIAL RULE FOR 1994 PAYMENTS.—The under paragraph (2)(B))’’ after ‘‘subsection’’; (i) by striking out ‘‘Board is authorized to’’ Secretary of Education shall not consider (ii) in subclause (I) of clause (i), by strik- in the first sentence and inserting in lieu any payment to a local educational agency ing ‘‘or the average per-pupil expenditure of thereof ‘‘Secretary may’’; by the Department of Defense, that is avail- (ii) by striking out ‘‘Board is also author- able to such agency for current expenditures all the States’’; ized to’’ in the third sentence and inserting and used for capital expenses, as funds avail- (iii) by amending clause (ii) to read as fol- in lieu thereof ‘‘Secretary may’’; and able to such agency for purposes of making a lows: (iii) by striking out ‘‘Board may also, sub- determination for fiscal year 1994 under sec- ‘‘(ii) The Secretary shall next multiply the ject to the approval of the Secretary of De- tion 3(d)(2)(B)(i) of the Act of September 30, amount determined under clause (i) by the fense,’’ in the fifth sentence and inserting in 1950 (Public Law 874, 81st Congress) (as such total number of students in average daily at- lieu thereof ‘‘Secretary may’’; and Act was in effect on September 30, 1994). tendance at the schools of the local edu- (F) by striking out ‘‘Board’’ each place it (c) REDUCTION IN IMPACT THRESHOLD.—Sub- cational agency.’’; and appears in subsections (f), (i), and (j) and in- section (c)(1) of section 386 of the National (iv) by amending clause (iii) to read as fol- serting in lieu thereof ‘‘Secretary’’. Defense Authorization Act for Fiscal Year lows: (3) Section 2114(e)(1) of such title is amend- 1993 (Public Law 102–484; 20 U.S.C. 238 note) is ‘‘(iii) The Secretary shall next subtract ed by striking out ‘‘Board, upon approval of amended— from the amount determined under clause the Secretary of Defense,’’ and inserting in (1) by striking out ‘‘30 percent’’ and insert- (ii) all funds available to the local edu- lieu thereof ‘‘Secretary of Defense’’. ing in lieu thereof ‘‘20 percent’’; and cational agency for current expenditures, (c) CLERICAL AMENDMENTS.—(1) The head- (2) by striking out ‘‘counted under sub- ing of section 2113 of such title is amended to section (a) or (b) of section 3 of the Act of but shall not so subtract funds provided— read as follows: September 30, 1950 (Public Law 874, Eighty- ‘‘(I) under this Act; or ‘‘§ 2113. Administration of University’’. first Congress; 20 U.S.C. 238)’’ and inserting ‘‘(II) by any department or agency of the (2) The item relating to such section in the in lieu thereof ‘‘counted under section 8003(a) Federal Government (other than the Depart- table of sections at the beginning of chapter of the Elementary and Secondary Education ment) that are used for capital expenses.’’; 104 of such title is amended to read as fol- Act of 1965 (20 U.S.C. 7703(a))’’. and lows: (d) ADJUSTMENTS RELATED TO BASE CLO- (B) by amending subparagraph (B) to read ‘‘2113. Administration of University.’’. SURES AND REALIGNMENTS.—Subsection (d) of as follows: SEC. 1073. FUNDING FOR ADULT EDUCATION section 386 of the National Defense Author- ‘‘(B) SPECIAL RULE.—With respect to pay- PROGRAMS FOR MILITARY PERSON- ization Act for Fiscal Year 1993 (Public Law ments under this subsection for a fiscal year NEL AND DEPENDENTS OUTSIDE 102–484; 28 U.S.C. 238 note) is amended to read THE UNITED STATES. for a local educational agency described in Of amounts appropriated pursuant to sec- as follows: clause (ii) or (iii) of paragraph (2)(A), the ‘‘(d) ADJUSTMENTS RELATED TO BASE CLO- tion 301, $600,000 shall be available to carry maximum amount of payments under this SURES AND REALIGNMENTS.—To assist com- out adult education programs, consistent munities in making adjustments resulting subsection shall be equal to— with the Adult Education Act (20 U.S.C. 1201 from reductions in the size of the Armed ‘‘(i) the product of— et seq.), for the following: ‘‘(I) the average per-pupil expenditure in (1) Members of the Armed Forces who are Forces, the Secretary of Defense shall, in consultation with the Secretary of Edu- all States multiplied by 0.7, except that such serving in locations— cation, make payments to local educational amount may not exceed 125 percent of the (A) that are outside the United States; and agencies that, during the period between the average per-pupil expenditure in all local (B) for which amounts are not required to end of the school year preceding the fiscal educational agencies in the State; multiplied be allotted under section 313(b) of such Act year for which the payments are authorized by (20 U.S.C. 1201b(b)). and the beginning of the school year imme- (2) The dependents of such members. ‘‘(II) the number of students described in diately preceding that school year, had an SEC. 1074. ASSISTANCE TO LOCAL EDUCATIONAL subparagraph (A) or (B) of subsection (a)(1) AGENCIES THAT BENEFIT DEPEND- overall reduction of not less than 20 percent for such agency; minus ENTS OF MEMBERS OF THE ARMED in the number of military dependent stu- ‘‘(ii) the amount of payments such agency FORCES AND DEPARTMENT OF DE- dents as a result of the closure or realign- receives under subsections (b) and (d) for FENSE CIVILIAN EMPLOYEES. ment of military installations.’’. such year.’’. (a) CONTINUATION OF DEPARTMENT OF DE- (e) EXTENSION OF REPORTING REQUIRE- FENSE PROGRAM FOR FISCAL YEAR 1996.—(1) MENT.—Subsection (e)(1) of section 386 of the (g) CURRENT YEAR DATA.—Paragraph (4) of Of the amounts authorized to be appro- National Defense Authorization Act for Fis- section 8003(f) of such Act (20 U.S.C. 7703(f)) priated in section 301(5)— cal Year 1993 (Public Law 102–484; 20 U.S.C. is amended to read as follows: (A) $30,000,000 shall be available for provid- 238 note) is amended by striking out ‘‘and ‘‘(4) CURRENT YEAR DATA.—For purposes of ing educational agencies assistance (as de- 1995’’ and inserting in lieu thereof ‘‘1995, and providing assistance under this subsection fined in paragraph (4)(A)) to local edu- 1996’’. the Secretary— cational agencies; and (f) PAYMENTS FOR ELIGIBLE FEDERALLY ‘‘(A) shall use student and revenue data CONNECTED CHILDREN.—Subsection (f) of sec- (B) $5,000,000 shall be available for making from the fiscal year for which the local edu- tion 8003 of the Elementary and Secondary educational agencies payments (as defined in cational agency is applying for assistance Education Act of 1965 (20 U.S.C. 7703) is paragraph (4)(B)) to local educational agen- under this subsection; and cies. amended— (2) Not later than June 30, 1996, the Sec- (1) in paragraph (2)— ‘‘(B) shall derive the per pupil expenditure retary of Defense shall— (A) in the matter preceding clause (i) of amount for such year for the local edu- (A) notify each local educational agency subparagraph (A), by striking ‘‘only if such cational agency’s comparable school dis- that is eligible for educational agencies as- agency’’ and inserting ‘‘if such agency is eli- tricts by increasing or decreasing the per sistance for fiscal year 1996 of that agency’s gible for a supplementary payment in ac- pupil expenditure data for the second fiscal eligibility for such assistance and the cordance with subparagraph (B) or such year preceding the fiscal year for which the amount of such assistance for which that agency’’; and determination is made by the same percent- agency is eligible; and (B) by adding at the end the following new age increase or decrease reflected between (B) notify each local educational agency subparagraph: the per pupil expenditure data for the fourth that is eligible for an educational agencies ‘‘(D) A local educational agency shall only fiscal year preceding the fiscal year for be eligible to receive additional assistance which the determination is made and the per January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 429 pupil expenditure data for such second graphs (A) through (D) of subsection (b)(1) as Subtitle H—Other Matters year.’’. the Secretary of Defense considers appro- SEC. 1081. NATIONAL DEFENSE TECHNOLOGY (h) TECHNICAL AMENDMENTS TO CORRECT priate, but the amount of any such increase AND INDUSTRIAL BASE, DEFENSE REFERENCES TO REPEALED LAW.—Section 386 may not exceed $350 per month. REINVESTMENT, AND DEFENSE CON- of the National Defense Authorization Act ‘‘(2) In the case of a person who has a skill VERSION PROGRAMS. for Fiscal Year 1993 (Public Law 102–484; 20 or specialty designated by the Secretary con- (a) NATIONAL SECURITY OBJECTIVES FOR NA- U.S.C. 238 note) is amended— cerned as a skill or specialty in which there TIONAL TECHNOLOGY AND INDUSTRIAL BASE.— (1) in subsection (e)(2)— is a critical shortage of personnel or for (1) Section 2501 of title 10, United States (A) in subparagraph (C), by inserting after which it is difficult to recruit or, in the case Code, is amended— ‘‘et seq.),’’ the following: ‘‘title VIII of the of critical units, retain personnel, who is eli- (A) in subsection (a)— Elementary and Secondary Education Act of gible for educational benefits under chapter (i) by striking out ‘‘DEFENSE POLICY’’ in 1965 (20 U.S.C. 7701 et seq.),’’; and 30 (other than section 3012) of title 38 and the subsection heading and inserting in lieu (B) in subparagraph (D)(iii), by striking who meets the eligibility criteria specified in thereof ‘‘NATIONAL SECURITY’’; and out ‘‘under subsections (a) and (b) of section subparagraphs (A) and (B) of section (ii) by striking out paragraph (5); 3 of such Act (20 U.S.C. 238)’’; and 16132(a)(1) of this title, the Secretary con- (B) by striking out subsection (b); and (2) in subsection (h)— cerned may increase the rate of the edu- (C) by redesignating subsection (c) as sub- (A) in paragraph (1), by striking out ‘‘sec- cational assistance allowance applicable to section (b). tion 14101 of the Elementary and Secondary that person to such rate in excess of the rate (2) The heading of such section is amended Education Act of 1965’’ and inserting in lieu prescribed under section 3015 of title 38 as to read as follows: thereof ‘‘section 8013(9) of the Elementary the Secretary of Defense considers appro- ‘‘§ 2501. National security objectives concern- and Secondary Education Act of 1965 (20 priate, but the amount of any such increase ing national technology and industrial U.S.C. 7713(9))’’; and may not exceed $350 per month. base’’. (B) by striking out paragraph (3) and in- ‘‘(3) The authority provided by paragraphs (b) NATIONAL DEFENSE TECHNOLOGY AND IN- serting in lieu thereof the following new (1) and (2) shall be exercised by the Secretar- DUSTRIAL BASE COUNCIL.—Section 2502(c) of paragraph: ies concerned under regulations prescribed such title is amended— ‘‘(3) The term ‘State’ means each of the 50 by the Secretary of Defense.’’. (1) in paragraph (1), by striking out sub- States and the District of Columbia.’’. SEC. 1077. DATE FOR ANNUAL REPORT ON RE- paragraph (B) and inserting in lieu thereof SERVE COMPONENT MONTGOMERY SEC. 1075. SHARING OF PERSONNEL OF DEPART- the following new subparagraph: GI BILL EDUCATIONAL ASSISTANCE MENT OF DEFENSE DOMESTIC DE- PROGRAM. ‘‘(B) programs for achieving such national PENDENT SCHOOLS AND DEFENSE security objectives; and’’; DEPENDENTS’ EDUCATION SYSTEM. Section 16137 of title 10, United States Code, is amended by striking out ‘‘December (2) by striking out paragraph (2); and Section 2164(e) of title 10, United States (3) by redesignating paragraph (3) as para- Code, is amended by adding at the end the 15 of each year’’ and inserting in lieu thereof ‘‘March 1 of each year’’. graph (2). following: (c) MODIFICATION OF DEFENSE DUAL-USE SEC. 1078. SCOPE OF EDUCATION PROGRAMS OF ‘‘(4)(A) The Secretary may, without regard CRITICAL TECHNOLOGY PARTNERSHIPS PRO- to the provisions of any law relating to the COMMUNITY COLLEGE OF THE AIR FORCE. GRAM.—Section 2511 of such title is amended number, classification, or compensation of (a) LIMITATION TO MEMBERS OF THE AIR to read as follows: employees— FORCE.—Section 9315(a)(1) of title 10, United ‘‘§ 2511. Defense dual-use critical technology ‘‘(i) transfer employees from schools estab- States Code, is amended by striking out ‘‘for program lished under this section to schools in the de- enlisted members of the armed forces’’ and fense dependents’ education system in order ‘‘(a) ESTABLISHMENT OF PROGRAM.—The inserting in lieu thereof ‘‘for enlisted mem- Secretary of Defense shall conduct a pro- to provide the services referred to in sub- bers of the Air Force’’. paragraph (B) to such system; and gram to further the national security objec- (b) EFFECTIVE DATE.—The amendment tives set forth in section 2501(a) of this title ‘‘(ii) transfer employees from such system made by subsection (a) shall apply with re- to schools established under this section in by encouraging and providing for research, spect to enrollments in the Community Col- development, and application of dual-use order to provide such services to those lege of the Air Force after March 31, 1996. schools. critical technologies. The Secretary may SEC. 1079. AMENDMENTS TO EDUCATION ‘‘(B) The services referred to in subpara- make grants, enter into contracts, or enter LOAN REPAYMENT graph (A) are the following: into cooperative agreements and other trans- PROGRAMS. ‘‘(i) Administrative services. actions pursuant to section 2371 of this title ‘‘(ii) Logistical services. (a) GENERAL EDUCATION LOAN REPAYMENT in furtherance of the program. The Secretary ‘‘(iii) Personnel services. PROGRAM.—Section 2171(a)(1) of title 10, shall identify projects to be conducted as ‘‘(iv) Such other services as the Secretary United States Code, is amended— part of the program. ‘‘(b) ASSISTANCE AUTHORIZED.—The Sec- considers appropriate. (1) by striking out ‘‘or’’ at the end of sub- ‘‘(C) Transfers under this paragraph shall paragraph (A); retary of Defense may provide technical and extend for such periods as the Secretary con- (2) by redesignating subparagraph (B) as other assistance to facilitate the achieve- siders appropriate. The Secretary shall pro- subparagraph (C); and ment of the purposes of projects conducted vide appropriate compensation for employees (3) by inserting after subparagraph (A) the under the program. In providing such assist- so transferred. following new subparagraph (B): ance, the Secretary shall make available, as ‘‘(D) The Secretary may provide that the ‘‘(B) any loan made under part D of such appropriate for the work to be performed, transfer of an employee under this paragraph title (the William D. Ford Federal Direct equipment and facilities of Department of occur without reimbursement of the school Loan Program, 20 U.S.C. 1087a et seq.); or’’. Defense laboratories (including the sci- (b) EDUCATION LOAN REPAYMENT PROGRAM or system concerned. entists and engineers at those laboratories) ‘‘(E) In this paragraph, the term ‘defense FOR ENLISTED MEMBERS OF SELECTED RE- for purposes of projects selected by the Sec- dependents’ education system’ means the SERVE WITH CRITICAL SPECIALTIES.—Section retary. ‘‘(c) FINANCIAL COMMITMENT OF NON-FED- program established and operated under sec- 16301(a)(1) of such title is amended— ERAL GOVERNMENT PARTICIPANTS.—(1) The tion 1402(a) of the Defense Dependents’ Edu- (1) by striking out ‘‘or’’ at the end of sub- total amount of funds provided by the Fed- cation Act of 1978 (20 U.S.C. 921(a)).’’. paragraph (A); (2) by redesignating subparagraph (B) as eral Government for a project conducted SEC. 1076. INCREASE IN RESERVE COMPONENT subparagraph (C); and under the program may not exceed 50 per- MONTGOMERY GI BILL EDU- CATIONAL ASSISTANCE ALLOWANCE (3) by inserting after subparagraph (A) the cent of the total cost of the project. How- WITH RESPECT TO SKILLS OR SPE- following new subparagraph (B): ever, the Secretary of Defense may agree to CIALTIES FOR WHICH THERE IS A ‘‘(B) any loan made under part D of such a project in which the total amount of funds CRITICAL SHORTAGE OF PERSON- title (the William D. Ford Federal Direct provided by the Federal Government exceeds NEL. Loan Program, 20 U.S.C. 1087a et seq.); or’’. 50 percent if the Secretary determines the Section 16131 of title 10, United States (c) EDUCATION LOAN REPAYMENT PROGRAM project is particularly meritorious, but the Code, is amended by adding at the end the FOR HEALTH PROFESSIONS OFFICERS SERVING project would not otherwise have sufficient following new subsection: IN SELECTED RESERVE WITH WARTIME CRITI- non-Federal funding or in-kind contribu- ‘‘(j)(1) In the case of a person who has a CAL MEDICAL SKILL SHORTAGES.—Section tions. skill or specialty designated by the Sec- 16302(a) of such title is amended— ‘‘(2) The Secretary may prescribe regula- retary concerned as a skill or specialty in (1) by redesignating paragraphs (2) through tions to provide for consideration of in-kind which there is a critical shortage of person- (4) as paragraphs (3) through (5) respectively; contributions by non-Federal Government nel or for which it is difficult to recruit or, and participants in a project conducted under the in the case of critical units, retain personnel, (2) by inserting after paragraph (1) the fol- program for the purpose of calculating the the Secretary concerned may increase the lowing new paragraph (2): share of the project costs that has been or is rate of the educational assistance allowance ‘‘(2) any loan made under part D of such being undertaken by such participants. In applicable to that person to such rate in ex- title (the William D. Ford Federal Direct such regulations, the Secretary may author- cess of the rate prescribed under subpara- Loan Program, 20 U.S.C. 1087a et seq.); or’’. ize a participant that is a small business H 430 CONGRESSIONAL RECORD — HOUSE January 22, 1996 concern to use funds received under the ‘‘(3) to improve the manufacturing quality, required by the Armed Forces, and (B) using Small Business Innovation Research Pro- productivity, technology, and practices of such centralized procurement practices for gram or the Small Business Technology businesses and workers providing goods and the procurement of all such ammunition. Transfer Program to help pay the costs of services to the Department of Defense; (2) The capability of the ammunition pro- project activities. Any such funds so used ‘‘(4) to promote dual-use manufacturing duction facilities of the Government to meet may be considered in calculating the amount processes; the requirements of the Armed Forces for of the financial commitment undertaken by ‘‘(5) to disseminate information concerning procurement of ammunition. the non-Federal Government participants improved manufacturing improvement con- (3) The practicability and desirability of unless the Secretary determines that the cepts, including information on such matters converting those ammunition production fa- small business concern has not made a sig- as best manufacturing practices, product cilities to ownership or operation by private nificant equity percentage contribution in data exchange specifications, computer- sector entities. the project from non-Federal sources. aided acquisition and logistics support, and (4) The practicability and desirability of ‘‘(3) The Secretary shall consider a project rapid acquisition of manufactured parts; integrating the budget planning for the pro- proposal submitted by a small business con- ‘‘(6) to sustain and enhance the skills and curement of ammunition among the Armed cern without regard to the ability of the capabilities of the manufacturing work Forces. small business concern to immediately meet force; (5) The practicability and desirability of its share of the anticipated project costs. ‘‘(7) to promote high-performance work establishing an advocate within the Depart- Upon the selection of a project proposal sub- systems (with development and dissemina- ment of Defense for matters relating to the mitted by a small business concern, the tion of production technologies that build ammunition industrial base, with such an small business concern shall have a period of upon the skills and capabilities of the work advocate to be responsible for— not less than 120 days in which to arrange to force), high levels of worker education and (A) establishing the quantity and price of meet its financial commitment requirements training; and ammunition procured by the Armed Forces; under the project from sources other than a ‘‘(8) to ensure appropriate coordination be- and person of a foreign country. If the Secretary tween the manufacturing technology pro- (B) establishing and implementing policy determines upon the expiration of that pe- grams and industrial preparedness programs to ensure the continuing capability of the riod that the small business concern will be of the Department of Defense and similar ammunition industrial base in the United unable to meet its share of the anticipated programs undertaken by other departments States to meet the requirements of the project costs, the Secretary shall revoke the and agencies of the Federal Government or Armed Forces. selection of the project proposal submitted by the private sector.’’. (6) The practicability and desirability of by the small business concern. (f) REPEAL OF VARIOUS ASSISTANCE PRO- providing information on the ammunition ‘‘(d) SELECTION PROCESS.—Competitive pro- GRAMS.—Sections 2512, 2513, 2520, 2521, 2522, procurement practices of the Armed Forces cedures shall be used in the conduct of the 2523, and 2524 of such title are repealed. to Congress through a single source. program. (g) REPEAL OF MILITARY-CIVILIAN INTEGRA- (c) REPORT.—Not later than April 1, 1996, ‘‘(e) SELECTION CRITERIA.—The criteria for TION AND TECHNOLOGY TRANSFER ADVISORY the Secretary shall submit to the congres- the selection of projects under the program BOARD.—Section 2516 of such title is re- sional defense committees a report on the re- shall include the following: pealed. view carried out under subsection (a). The ‘‘(1) The extent to which the proposed (h) REPEAL OF OBSOLETE DEFINITIONS.— report shall include the following: project advances and enhances the national Section 2491 of such title is amended— (1) The results of the review. security objectives set forth in section (1) by striking out paragraphs (11) and (12); (2) A discussion of the methodologies used 2501(a) of this title. and in carrying out the review. ‘‘(2) The technical excellence of the pro- (2) by redesignating paragraphs (13), (14), (3) An assessment of various methods of posed project. (15), and (16) as paragraphs (11) (12), (13), and ensuring the continuing capability of the ‘‘(3) The qualifications of the personnel (14), respectively. ammunition industrial base of the United proposed to participate in the research ac- (i) CLERICAL AMENDMENTS.—(1) The table of States to meet the requirements of the tivities of the proposed project. sections at the beginning of subchapter II of Armed Forces. ‘‘(4) An assessment of timely private sector chapter 148 of such title is amended by strik- (4) Recommendations of means (including investment in activities to achieve the goals ing out the item relating to section 2501 and legislation) of implementing those methods and objectives of the proposed project other inserting in lieu thereof the following new in order to ensure such continuing capabil- than through the project. item: ity. ‘‘(5) The potential effectiveness of the ‘‘2501. National security objectives concern- SEC. 1083. POLICY CONCERNING EXCESS DE- project in the further development and appli- FENSE INDUSTRIAL CAPACITY. ing national technology and in- cation of each technology proposed to be de- No funds appropriated pursuant to an au- dustrial base.’’. veloped by the project for the national tech- thorization of appropriations in this Act nology and industrial base. (2) The table of sections at the beginning of may be used for capital investment in, or the ‘‘(6) The extent of the financial commit- subchapter III of such chapter is amended— development and construction of, a Govern- ment of eligible firms to the proposed (A) by striking out the item relating to ment-owned, Government-operated defense project. section 2511 and inserting in lieu thereof the industrial facility unless the Secretary of ‘‘(7) The extent to which the project does following new item: Defense certifies to the Congress that no not unnecessarily duplicate projects under- ‘‘2511. Defense dual-use critical technology similar capability or minimally used capac- taken by other agencies. program.’’; and ity exists in any other Government-owned, ‘‘(f) REGULATIONS.—The Secretary of De- (B) by striking out the items relating to Government-operated defense industrial fa- fense shall prescribe regulations for the pur- sections 2512, 2513, 2516, and 2520. cility. poses of this section.’’. (3) The table of sections at the beginning of SEC. 1084. SENSE OF CONGRESS CONCERNING (d) FEDERAL DEFENSE LABORATORY DIVER- subchapter IV of such chapter is amended by ACCESS TO SECONDARY SCHOOL SIFICATION PROGRAM.—Section 2519 of such STUDENT INFORMATION FOR RE- striking out the items relating to sections title is amended— CRUITING PURPOSES. 2521, 2522, 2523, and 2524. (1) in subsection (b), by striking out ‘‘re- (a) SENSE OF CONGRESS.—It is the sense of ferred to in section 2511(b) of this title’’; and SEC. 1082. AMMUNITION INDUSTRIAL BASE. Congress that— (2) in subsection (f), by striking out ‘‘sec- (a) REVIEW OF AMMUNITION PROCUREMENT (1) the States (with respect to public tion 2511(f)’’ and inserting in lieu thereof PROGRAMS.—The Secretary of Defense shall schools) and entities operating private sec- ‘‘section 2511(e)’’. carry out a review of the programs of the De- ondary schools should not have a policy of (e) MANUFACTURING SCIENCE AND TECH- partment of Defense for the procurement of denying, or otherwise effectively preventing, NOLOGY PROGRAM.—Subsection (b) of section ammunition. The review shall include the the Secretary of Defense from obtaining for 2525 of such title is amended to read as fol- Department of Defense management of am- military recruiting purposes— lows: munition procurement programs, including (A) entry to any secondary school or access ‘‘(b) PURPOSE OF PROGRAM.—The Secretary the procedures of the Department for the to students at any secondary school equal to of Defense shall use the program— planning for, budgeting for, administration, that of other employers; or ‘‘(1) to provide centralized guidance and di- and carrying out of such programs. The Sec- (B) access to directory information per- rection (including goals, milestones, and pri- retary shall begin the review not later than taining to students at secondary schools orities) to the military departments and the 30 days after the date of the enactment of equal to that of other employers (other than Defense Agencies on all matters relating to this Act. in a case in which an objection has been manufacturing technology; (b) MATTERS TO BE REVIEWED.—The review raised as described in paragraph (2)); and ‘‘(2) to direct the development and imple- under subsection (a) shall include an assess- (2) any State, and any entity operating a mentation of Department of Defense plans, ment of the following: private secondary school, that releases direc- programs, projects, activities, and policies (1) The practicability and desirability of tory information secondary school students that promote the development and applica- (A) continuing to use centralized procure- should— tion of advanced technologies to manufac- ment practices (through a single executive (A) give public notice of the categories of turing processes, tools, and equipment; agent) for the procurement of ammunition such information to be released; and January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 431 (B) allow a reasonable period after such no- account the recommendation of the Commis- (A) the claim shall be represented in writ- tice has been given for a student or (in the sion on Roles and Missions of the Armed ing within two years after the date of the en- case of an individual younger than 18 years Forces to reduce the size of the operational actment of this Act; of age) a parent to inform the school that support airlift aircraft fleet. (B) a determination of the actual amount any or all of such information should not be (c) REGULATIONS.—(1) Upon completion of of the damage or loss shall have been made released without obtaining prior consent the report referred to in subsection (a), the by the head of the agency concerned pursu- from the student or the parent, as the case Secretary shall prescribe regulations, con- ant to settlement of the claim under the au- may be. sistent with the findings and recommenda- thority of such section before the date of the (b) REPORT ON DOD PROCEDURES.—Not tions set forth in the report, for the oper- enactment of this Act; later than March 1, 1996, the Secretary of De- ation, maintenance, disposition, and use of (C) the claimant shall have proof of the de- fense shall submit to Congress a report on operational support airlift aircraft. termination referred to in subparagraph (B); Department of Defense procedures for deter- (2) The regulations shall, to the maximum and mining if and when a State or an entity op- extent practicable, provide for, and encour- (D) the total of all amounts paid in settle- erating a private secondary school has de- age the use of, commercial airlines in lieu of ment of the claim under the authority of nied or prevented access to students or infor- the use of such aircraft. such section may not exceed $100,000. mation as described in subsection (a)(1). (3) The regulations shall apply uniformly (2) Subsection (k) of such section shall not (c) DEFINITIONS.—For purposes of this sec- throughout the Department. tion: apply to bar representment of a claim de- (4) The regulations shall not require exclu- scribed in paragraph (1), but shall apply to (1) The term ‘‘directory information’’ sive use of such aircraft for any particular means, with respect to a student, the stu- such a claim that is represented and settled class of government personnel. under that section after the date of the en- dent’s name, address, telephone listing, date (d) REDUCTIONS IN FLYING HOURS.—(1) The actment of this Act. and place of birth, level of education, degrees Secretary shall ensure that the number of received, and (if available) the most recent hours flown during fiscal year 1996 by oper- SEC. 1089. AUTHORITY TO SUSPEND OR TERMI- previous educational program enrolled in by ational support airlift aircraft does not ex- NATE COLLECTION ACTIONS AGAINST DECEASED MEMBERS. the student. ceed the number equal to 85 percent of the (2) The term ‘‘student’’ means an individ- number of hours flown during fiscal year 1995 Section 3711 of title 31, United States Code, ual enrolled in any program of education by operational support airlift aircraft. is amended by adding at the end the follow- who is 17 years of age or older. (2) The Secretary should ensure that the ing: SEC. 1085. DISCLOSURE OF INFORMATION CON- number of hours flown in the National Cap- ‘‘(g)(1) The Secretary of Defense may sus- CERNING UNACCOUNTED FOR UNIT- ital Region during fiscal year 1996 by heli- pend or terminate an action by the Sec- ED STATES PERSONNEL FROM THE copters of the operational support airlift air- retary or by the Secretary of a military de- KOREAN CONFLICT, THE VIETNAM partment under subsection (a) to collect a ERA, AND THE COLD WAR. craft fleet does not exceed the number equal Section 1082 of the National Defense Au- to 85 percent of the number of hours flown in claim against the estate of a person who died thorization Act for Fiscal Years 1992 and 1993 the National Capital Region during fiscal while serving on active duty as a member of (Public Law 102–190; 50 U.S.C. 401 note) is year 1995 by helicopters of the operational the Army, Navy, Air Force, or Marine Corps amended— support airlift aircraft fleet. if the Secretary determines that, under the (1) in subsection (b)(3)(A), by striking out (e) RESTRICTION ON AVAILABILITY OF circumstances applicable with respect to the ‘‘cannot be located after a reasonable ef- FUNDS.—Of the funds appropriated pursuant deceased person, it is appropriate to do so. fort.’’ and inserting in lieu thereof ‘‘cannot to section 301 for the operation and use of ‘‘(2) In this subsection, the term ‘active be located by the Secretary of Defense— operational support airlift aircraft, not more duty’ has the meaning given that term in ‘‘(i) in the case of a person missing from than 50 percent is available for obligation section 101 of title 10.’’. the Vietnam era, after a reasonable effort; until the Secretary submits to Congress the SEC. 1090. CHECK CASHING AND EXCHANGE and report referred to in subsection (a). TRANSACTIONS FOR DEPENDENTS ‘‘(ii) in the case of a person missing from (f) DEFINITIONS.—In this section: OF UNITED STATES GOVERNMENT the Korean Conflict or Cold War, after a pe- (1) The term ‘‘operational support airlift PERSONNEL. riod of 90 days from the date on which any aircraft’’ means aircraft of the Department (a) AUTHORITY TO CARRY OUT TRANS- record or other information referred to in of Defense designated within the Department ACTIONS.—Subsection (b) of section 3342 of paragraph (2) is received by the Department as operational support airlift aircraft. title 31, United States Code, is amended— of Defense for disclosure review from the Ar- (2) The term ‘‘National Capital Region’’ (1) by redesignating paragraphs (3), (4), and chivist of the United States, the Library of has the meaning given such term in section (5) as paragraphs (4), (5), and (6), respec- Congress, or the Joint United States-Russian 2674(f)(2) of title 10, United States Code. tively; and Commission on POW/MIAs.’’; and SEC. 1087. CIVIL RESERVE AIR FLEET. (2) by inserting after paragraph (2) the fol- (2) in subsection (c)(1), by striking out Section 9512 of title 10, United States Code, lowing new ‘‘not later than September 30, 1995’’ and in- is amended by striking out ‘‘full Civil Re- paragraph: serting in lieu thereof ‘‘not later than Janu- serve Air Fleet’’ in subsections (b)(2) and (e) ‘‘(3) a dependent of personnel of the Gov- ary 2, 1996’’. and inserting in lieu thereof ‘‘Civil Reserve ernment, but only— SEC. 1086. OPERATIONAL SUPPORT AIRLIFT AIR- Air Fleet’’. ‘‘(A) at a United States installation at CRAFT FLEET. SEC. 1088. DAMAGE OR LOSS TO PERSONAL which adequate banking facilities are not (a) SUBMITTAL OF JCS REPORT ON AIR- PROPERTY DUE TO EMERGENCY available; and CRAFT.—Not later than February 1, 1996, the EVACUATION OR EXTRAORDINARY ‘‘(B) in the case of negotiation of nego- Secretary of Defense shall submit to Con- CIRCUMSTANCES. tiable instruments, if the dependent’s spon- gress the report that, as of the date of the (a) SETTLEMENT OF CLAIMS OF PERSON- sor authorizes, in writing, the presentation enactment of this Act, is in preparation by NEL.—Section 3721(b)(1) of title 31, United of negotiable instruments to the disbursing the Chairman of the Joint Chiefs of Staff on States Code, is amended by inserting after official for negotiation.’’. the first sentence the following: ‘‘If, how- operational support airlift aircraft. (b) PAY OFFSET.—Subsection (c) of such ever, the claim arose from an emergency (b) CONTENT OF REPORT.—(1) The report re- section is amended— ferred to in subsection (a) shall contain find- evacuation or from extraordinary cir- (1) by redesignating paragraph (3) as para- ings and recommendations on the cumstances, the amount settled and paid graph (4); and following: under the authority of the preceding sen- (2) by inserting after paragraph (2) the fol- (A) Requirements for the modernization tence may exceed $40,000, but may not exceed lowing new paragraph (3): and safety of the operational support airlift $100,000.’’. aircraft fleet. (b) APPLICABILITY.—The amendment made ‘‘(3) The amount of any deficiency result- (B) The disposition of aircraft that would by subsection (a) shall apply to claims aris- ing from cashing a check for a dependent be excess to that fleet upon fulfillment of ing before, on, or after the date of the enact- under subsection (b)(3), including any the requirements referred to in subparagraph ment of this Act. charges assessed against the disbursing offi- (A). (c) REPRESENTMENTS OF PREVIOUSLY PRE- cial by a financial institution for insufficient (C) Plans and requirements for the stand- SENTED CLAIMS.—(1) A claim under sub- funds to pay the check, may be offset from ardization of the fleet, including plans and section (b) of section 3721 of title 31, United the pay of the dependent’s sponsor.’’. requirements for the provision of a single States Code, that was settled under such sec- (c) DEFINITIONS.—Such section is further manager for all logistical support and oper- tion before the date of the enactment of this amended by adding at the end the following: ational requirements. Act may be represented under such section, ‘‘(e) Regulations prescribed under sub- (D) Central scheduling of all operational as amended by subsection (a), to the head of section (d) shall include regulations that de- support airlift aircraft. the agency concerned to recover the amount fine the terms ‘dependent’ and ‘sponsor’ for (E) Needs of the Department for helicopter equal to the difference between the actual the purposes of this section. In the regula- support in the National Capital Region, in- amount of the damage or loss and the tions, the term ‘dependent’, with respect to a cluding the acceptable uses of that support. amount settled and paid under the authority member of a uniformed service, shall have (2) In preparing the report, the Chairman of such section before the date of the enact- the meaning given that term in section 401 of of the Joint Chiefs of Staff shall take into ment of this Act, except that— title 37.’’. H 432 CONGRESSIONAL RECORD — HOUSE January 22, 1996 SEC. 1091. DESIGNATION OF NATIONAL MARI- to a section or other provision of chapter 47 ‘‘(4) In this subsection, the term ‘conven- TIME CENTER. of title 10, United States Code (the Uniform ing authority’, with respect to a sentence of (a) DESIGNATION OF NATIONAL MARITIME Code of Military Justice). a court-martial, means any person author- CENTER.—The NAUTICUS building, located Subtitle A—Offenses ized to act on the sentence under section 860 at one Waterside Drive, Norfolk, Virginia, of this title (article 60).’’. shall be known and designated as the ‘‘Na- SEC. 1111. REFUSAL TO TESTIFY BEFORE COURT- MARTIAL. (b) APPLICABILITY.—The amendment made tional Maritime Center’’. Section 847(b) (article 47(b)) is amended— by subsection (a) shall apply to a case in (b) REFERENCE TO NATIONAL MARITIME CEN- (1) in the first sentence, by inserting ‘‘in- which a sentence is adjudged by a court-mar- TER.—Any reference in a law, map, regula- dictment or’’ after ‘‘shall be tried on’’; and tial on or after the first day of the first tion, document, paper, or other record of the (2) in the second sentence, by striking out month that begins at least 30 days after the United States to the building referred to in ‘‘shall be’’ and all that follows and inserting date of the enactment of this Act. subsection (a) shall be deemed to be a ref- in lieu thereof ‘‘shall be fined or imprisoned, erence to the ‘‘National Maritime Center’’. SEC. 1122. REQUIRED FORFEITURE OF PAY AND or both, at the court’s discretion.’’. ALLOWANCES DURING CONFINE- SEC. 1092. SENSE OF CONGRESS REGARDING SEC. 1112. FLIGHT FROM APPREHENSION. MENT. HISTORIC PRESERVATION OF MID- WAY ISLANDS. (a) IN GENERAL.—Section 895 (article 95) is (a) EFFECT OF PUNITIVE SEPARATION OR (a) FINDINGS.—Congress makes the follow- amended to read as follows: CONFINEMENT FOR MORE THAN SIX MONTHS.— ing findings: ‘‘§ 895. Art. 95. Resistance, flight, breach of ar- (1) Subchapter VIII is amended by inserting (1) September 2, 1995, marks the 50th anni- rest, and escape after section 858a (article 58a) the following: versary of the United States victory over ‘‘Any person subject to this chapter who— ‘‘§ 858b. Art. 58b. Sentences: forfeiture of pay Japan in World War II. ‘‘(1) resists apprehension; and allowances during confinement (2) The Battle of Midway proved to be the ‘‘(2) flees from apprehension; ‘‘(a)(1) A court-martial sentence described turning point in the war in the Pacific, as ‘‘(3) breaks arrest; or in paragraph (2) shall result in the forfeiture United States Navy forces inflicted such se- ‘‘(4) escapes from custody or confinement; of pay and allowances due that member dur- vere losses on the Imperial Japanese Navy shall be punished as a court-martial may di- ing any period of confinement or parole. The during the battle that the Imperial Japanese rect.’’. forfeiture pursuant to this section shall take Navy never again took the offensive against (b) CLERICAL AMENDMENT.—The item relat- effect on the date determined under section United States or allied forces. ing to section 895 (article 95) in the table of 857(a) of this title (article 57(a)) and may be (3) During the Battle of Midway, an out- sections at the beginning of subchapter X is deferred as provided in that section. The pay numbered force of the United States Navy, amended to read as follows: and allowances forfeited, in the case of a consisting of 29 ships and other units of the ‘‘895. Art. 95. Resistance, flight, breach of general court-martial, shall be all pay and Armed Forces under the command of Admi- arrest, and escape.’’. allowances due that member during such pe- ral Nimitz and Admiral Spruance, out-ma- SEC. 1113. CARNAL KNOWLEDGE. riod and, in the case of a special court-mar- neuvered and out-fought 350 ships of the Im- (a) GENDER NEUTRALITY.—Subsection (b) of tial, shall be two-thirds of all pay and allow- perial Japanese Navy. section 920 (article 120) is amended to read as ances due that member during such period. (4) It is in the public interest to erect a follows: memorial to the Battle of Midway that is ‘‘(b) Any person subject to this chapter ‘‘(2) A sentence covered by this section is suitable to express the enduring gratitude of who, under circumstances not amounting to any sentence that includes— the American people for victory in the battle rape, commits an act of sexual intercourse ‘‘(A) confinement for more than six months and to inspire future generations of Ameri- with a person— or death; or cans with the heroism and sacrifice of the ‘‘(1) who is not that person’s spouse; and ‘‘(B) confinement for six months or less members of the Armed Forces who achieved ‘‘(2) who has not attained the age of six- and a dishonorable or bad-conduct discharge that victory. teen years; or dismissal. (b) SENSE OF CONGRESS.—It is the sense of is guilty of carnal knowledge and shall be ‘‘(b) In a case involving an accused who has Congress that— punished as a court-martial may direct.’’. dependents, the convening authority or (1) the Midway Islands and the surrounding (b) MISTAKE OF FACT.—Such section (arti- other person acting under section 860 of this seas deserve to be memorialized; cle) is further amended by adding at the end title (article 60) may waive any or all of the (2) the historic structures related to the the following new subsection: forfeitures of pay and allowances required by Battle of Midway should be maintained, in ‘‘(d)(1) In a prosecution under subsection subsection (a) for a period not to exceed six accordance with the National Historic Pres- (b), it is an affirmative defense that— months. Any amount of pay or allowances ervation Act (16 U.S.C. 470–470t), and subject ‘‘(A) the person with whom the accused that, except for a waiver under this sub- to the availability of appropriations for that committed the act of sexual intercourse had section, would be forfeited shall be paid, as purpose. at the time of the alleged offense attained the convening authority or other person tak- (3) appropriate access to the Midway Is- the age of twelve years; and ing action directs, to the dependents of the lands by survivors of the Battle of Midway, ‘‘(B) the accused reasonably believed that accused. their families, and other visitors should be that person had at the time of the alleged of- ‘‘(c) If the sentence of a member who for- provided in a manner that ensures the public fense attained the age of sixteen years. feits pay and allowances under subsection (a) health and safety on the Midway Islands and ‘‘(2) The accused has the burden of proving is set aside or disapproved or, as finally ap- the conservation of the natural resources of a defense under paragraph (1) by a preponder- proved, does not provide for a punishment re- those islands in accordance with existing ance of the evidence.’’. ferred to in subsection (a)(2), the member Federal law. Subtitle B—Sentences shall be paid the pay and allowances which SEC. 1093. SENSE OF SENATE REGARDING FED- SEC. 1121. EFFECTIVE DATE FOR FORFEITURES the member would have been paid, except for ERAL SPENDING. OF PAY AND ALLOWANCES AND RE- the forfeiture, for the period during which It is the sense of the Senate that in pursuit DUCTIONS IN GRADE BY SENTENCE the forfeiture was in effect.’’. of a balanced Federal budget, Congress OF COURT-MARTIAL. (2) The table of sections at the beginning of should exercise fiscal restraint, particularly (a) EFFECTIVE DATE OF SPECIFIED PUNISH- subchapter VIII is amended by adding at the in authorizing spending not requested by the MENTS.—Subsection (a) of section 857 (article end the following new item: executive branch and in proposing new pro- 57) is amended to read as follows: ‘‘858b. 58b. Sentences: forfeiture of pay and grams. ‘‘(a)(1) Any forfeiture of pay or allowances or reduction in grade that is included in a allowances during confine- SEC. 1094. EXTENSION OF AUTHORITY FOR VES- ment.’’. SEL WAR RISK INSURANCE. sentence of a court-martial takes effect on Section 1214 of the Merchant Marine Act, the earlier of— (b) APPLICABILITY.—The section (article) 1936 (46 App. U.S.C. 1294), is amended by ‘‘(A) the date that is 14 days after the date added by the amendment made by subsection striking ‘‘June 30, 1995’’ and inserting in lieu on which the sentence is adjudged; or (a)(1) shall apply to a case in which a sen- thereof ‘‘June 30, 2000’’. ‘‘(B) the date on which the sentence is ap- tence is adjudged by a court-martial on or proved by the convening authority. after the first day of the first month that be- TITLE XI—UNIFORM CODE OF MILITARY ‘‘(2) On application by an accused, the con- gins at least 30 days after the date of the en- JUSTICE vening authority may defer a forfeiture of actment of this Act. SEC. 1101. SHORT TITLE. pay or allowances or reduction in grade that (c) CONFORMING AMENDMENT.—(1) Section This title may be cited as the ‘‘Military would otherwise become effective under 804 of title 37, United States Code, is re- Justice Amendments of 1995’’. paragraph (1)(A) until the date on which the pealed. SEC. 1102. REFERENCES TO UNIFORM CODE OF sentence is approved by the convening au- (2) The table of sections at the beginning of MILITARY JUSTICE. thority. Such a deferment may be rescinded chapter 15 of such title is amended by strik- Except as otherwise expressly provided, at any time by the convening authority. ing out the item relating to section 804. whenever in this title an amendment or re- ‘‘(3) A forfeiture of pay or allowances shall peal is expressed in terms of an amendment be applicable to pay and allowances accruing SEC. 1123. DEFERMENT OF CONFINEMENT. to, or repeal of, a section or other provision, on and after the date on which the sentence (a) DEFERMENT.—Subchapter VIII is the reference shall be considered to be made takes effect. amended— January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 433 (1) by inserting after subsection (c) of sec- recovered to such an extent that the person tion apply according to the provisions of this tion 857 (article 57) the following: is able to understand the nature of the pro- section notwithstanding section 4247(j) of ‘‘§ 857a. Art. 57a. Deferment of sentences’’; ceedings against the person and to conduct title 18. or cooperate intelligently in the defense of (2) by redesignating the succeeding two ‘‘(2) If the status of a person as described in the case, the director shall promptly trans- subsections as subsection (a) and (b); section 802 of this title (article 2) terminates mit a notification of that determination to (3) in subsection (b), as redesignated by while the person is, pursuant to this section, the Attorney General and to the general paragraph (2), by striking out ‘‘postpone’’ in the custody of the Attorney General, hos- court-martial convening authority for the and inserting in lieu thereof ‘‘defer’’; and pitalized, or on conditional release under a person. The director shall send a copy of the (4) by inserting after subsection (b), as re- prescribed regimen of medical, psychiatric, notification to the person’s counsel. designated by paragraph (2), the following: or psychological care or treatment, the pro- ‘‘(B) Upon receipt of a notification, the ‘‘(c) In any case in which a court-martial visions of this section establishing require- general court-martial convening authority sentences a person to confinement and the ments and procedures regarding a person no shall promptly take custody of the person sentence to confinement has been ordered longer subject to this chapter shall continue unless the person covered by the notification executed, but in which review of the case to apply to that person notwithstanding the is no longer subject to this chapter. If the under section 867(a)(2) of this title (article change of status.’’. person is no longer subject to this chapter, 67(a)(2)) is pending, the Secretary concerned (2) The table of sections at the beginning of the Attorney General shall take any action may defer further service of the sentence to such subchapter is amended by inserting within the authority of the Attorney General confinement while that review is pending.’’. after the item relating to section 876a (arti- that the Attorney General considers appro- (b) CLERICAL AMENDMENT.—The table of cle 76a) the following: priate regarding the person. sections at the beginning of such subchapter ‘‘(C) The director of the facility may retain ‘‘876b. 76b. Lack of mental capacity or men- is amended by inserting after the item relat- custody of the person for not more than 30 tal responsibility: commitment ing to section 857 (article 57) the following days after transmitting the notifications re- of accused for examination and new item: quired by subparagraph (A). treatment.’’. ‘‘857a. 57a. Deferment of sentences.’’. ‘‘(5) In the application of section 4246 of (b) CONFORMING AMENDMENT.—Section 802 Subtitle C—Pretrial and Post-Trial Actions title 18 to a case under this subsection, ref- (article 2) is amended by adding at the end erences to the court that ordered the com- SEC. 1131. ARTICLE 32 INVESTIGATIONS. the following new subsection: mitment of a person, and to the clerk of such Section 832 (article 32) is amended— ‘‘(e) The provisions of this section are sub- (1) by redesignating subsection (d) as sub- court, shall be deemed to refer to the general court-martial convening authority for that ject to section 876b(d)(2) of this title (article section (e); and 76b(d)(2)).’’. (2) by inserting after subsection (c) the fol- person. However, if the person is no longer (c) EFFECTIVE DATE.—Section 876b of title lowing new subsection (d): subject to this chapter at a time relevant to ‘‘(d) If evidence adduced in an investiga- the application of such section to the person, 10, United States Code (article 76b of the tion under this article indicates that the ac- the United States district court for the dis- Uniform Code of Military Justice), as added cused committed an uncharged offense, the trict where the person is hospitalized or oth- by subsection (a), shall take effect at the end investigating officer may investigate the erwise may be found shall be considered as of the six-month period beginning on the subject matter of that offense without the the court that ordered the commitment of date of the enactment of this Act and shall accused having first been charged with the the person. apply with respect to charges referred to offense if the accused— ‘‘(b) PERSONS FOUND NOT GUILTY BY REA- courts-martial after the end of that period. SON OF LACK OF MENTAL RESPONSIBILITY.—(1) ‘‘(1) is present at the investigation; Subtitle D—Appellate Matters ‘‘(2) is informed of the nature of each un- If a person is found by a court-martial not SEC. 1141. APPEALS BY THE UNITED STATES. charged offense investigated; and guilty only by reason of lack of mental re- ‘‘(3) is afforded the opportunities for rep- sponsibility, the person shall be committed (a) APPEALS RELATING TO DISCLOSURE OF resentation, cross-examination, and presen- to a suitable facility until the person is eli- CLASSIFIED INFORMATION.—Section 862(a)(1) tation prescribed in subsection (b).’’. gible for release in accordance with this sec- (article 62(a)(1)) is amended to read as fol- tion. lows: SEC. 1132. SUBMISSION OF MATTERS TO THE ‘‘(2) The court-martial shall conduct a CONVENING AUTHORITY FOR CON- ‘‘(a)(1) In a trial by court-martial in which hearing on the mental condition in accord- SIDERATION. a military judge presides and in which a pu- Section 860(b)(1) (article 60(b)(1)) is amend- ance with subsection (c) of section 4243 of nitive discharge may be adjudged, the United ed by inserting after the first sentence the title 18. Subsections (b) and (d) of that sec- States may appeal the following (other than following: ‘‘Any such submission shall be in tion shall apply with respect to the hearing. an order or ruling that is, or that amounts ‘‘(3) A report of the results of the hearing writing.’’. to, a finding of not guilty with respect to the shall be made to the general court-martial charge or specification): SEC. 1133. COMMITMENT OF ACCUSED TO convening authority for the person. TREATMENT FACILITY BY REASON ‘‘(A) An order or ruling of the military ‘‘(4) If the court-martial fails to find by the OF LACK OF MENTAL CAPACITY OR judge which terminates the proceedings with standard specified in subsection (d) of sec- MENTAL RESPONSIBILITY. respect to a charge or specification. tion 4243 of title 18 that the person’s release (a) APPLICABLE PROCEDURES.—(1) Sub- ‘‘(B) An order or ruling which excludes evi- would not create a substantial risk of bodily chapter IX is amended by inserting after sec- dence that is substantial proof of a fact ma- injury to another person or serious damage tion 876a (article 76a) the following: terial in the proceeding. of property of another due to a present men- ‘‘(C) An order or ruling which directs the ‘‘§ 876b. Art. 76b. Lack of mental capacity or tal disease or defect— disclosure of classified information. mental responsibility: commitment of ac- ‘‘(A) the general court-martial convening ‘‘(D) An order or ruling which imposes cused for examination and treatment authority may commit the person to the cus- sanctions for nondisclosure of classified in- ‘‘(a) PERSONS INCOMPETENT TO STAND tody of the Attorney General; and formation. TRIAL.—(1) In the case of a person deter- ‘‘(B) the Attorney General shall take ac- mined under this chapter to be presently suf- tion in accordance with subsection (e) of sec- ‘‘(E) A refusal of the military judge to issue a protective order sought by the United fering from a mental disease or defect ren- tion 4243 of title 18. dering the person mentally incompetent to ‘‘(5) Subsections (f), (g), and (h) of section States to prevent the disclosure of classified the extent that the person is unable to un- 4243 of title 18 shall apply in the case of a information. derstand the nature of the proceedings person hospitalized pursuant to paragraph ‘‘(F) A refusal by the military judge to en- against that person or to conduct or cooper- (4)(B), except that the United States district force an order described in subparagraph (E) ate intelligently in the defense of the case, court for the district where the person is that has previously been issued by appro- the general court-martial convening author- hospitalized shall be considered as the court priate authority.’’. ity for that person shall commit the person that ordered the person’s commitment. (b) DEFINITIONS.—Section 801 (article 1) is to the custody of the Attorney General. ‘‘(c) GENERAL PROVISIONS.—(1) Except as amended by inserting after paragraph (14) ‘‘(2) The Attorney General shall take ac- otherwise provided in this subsection and the following new paragraphs: tion in accordance with section 4241(d) of subsection (d)(1), the provisions of section ‘‘(15) The term ‘classified information’ title 18. 4247 of title 18 apply in the administration of means (A) any information or material that ‘‘(3) If at the end of the period for hos- this section. has been determined by an official of the pitalization provided for in section 4241(d) of ‘‘(2) In the application of section 4247(d) of United States pursuant to law, an Executive title 18, it is determined that the committed title 18 to hearings conducted by a court- order, or regulation to require protection person’s mental condition has not so im- martial under this section or by (or by order against unauthorized disclosure for reasons proved as to permit the trial to proceed, ac- of) a general court-martial convening au- of national security, and (B) any restricted tion shall be taken in accordance with sec- thority under this section, the reference in data, as defined in section 11(y) of the Atom- tion 4246 of such title. that section to section 3006A of such title ic Energy Act of 1954 (42 U.S.C. 2014(y)). ‘‘(4)(A) When the director of a facility in does not apply. ‘‘(16) The term ‘national security’ means which a person is hospitalized pursuant to ‘‘(d) APPLICABILITY.—(1) The provisions of the national defense and foreign relations of paragraph (2) determines that the person has chapter 313 of title 18 referred to in this sec- the United States.’’. H 434 CONGRESSIONAL RECORD — HOUSE January 22, 1996

SEC. 1142. REPEAL OF TERMINATION OF AU- (f) TERMINATION OF COMMITTEE.—The advi- cess of the amount specified in that para- THORITY FOR CHIEF JUSTICE OF sory committee shall terminate 30 days after graph may be made using the authority pro- THE UNITED STATES TO DESIGNATE the date on which the report of the commit- vided in paragraph (1) only after— ARTICLE III JUDGES FOR TEM- tee is submitted to Congress under sub- (A) the Secretary submits to Congress a PORARY SERVICE ON COURT OF AP- PEALS FOR THE ARMED FORCES. section (d)(2). notification of the intent to do so together Subsection (i) of section 1301 of the Na- SEC. 1152. TIME AFTER ACCESSION FOR INITIAL with a complete discussion of the justifica- tional Defense Authorization Act for Fiscal INSTRUCTION IN THE UNIFORM tion for doing so; and CODE OF MILITARY JUSTICE. Years 1990 and 1991 (Public Law 101–189; 10 (B) 15 days have elapsed following the Section 937(a)(1) (article 137(a)(1)) is U.S.C. 942 note) is repealed. date of the notification. amended by striking out ‘‘within six days’’ (c) REIMBURSEMENT OF PAY ACCOUNTS.— Subtitle E—Other Matters and inserting in lieu thereof ‘‘within four- Funds appropriated pursuant to the author- SEC. 1151. ADVISORY COMMITTEE ON CRIMINAL teen days’’. LAW JURISDICTION OVER CIVILIANS ization of appropriations in section 301 for SEC. 1153. TECHNICAL AMENDMENT. Cooperative Threat Reduction programs may ACCOMPANYING THE ARMED Section 866(f) (article 66(f)) is amended by FORCES IN TIME OF ARMED CON- be transferred to military personnel ac- striking out ‘‘Courts of Military Review’’ FLICT. counts for reimbursement of those accounts both places it appears and inserting in lieu (a) ESTABLISHMENT.—Not later than 45 days for the amount of pay and allowances paid to thereof ‘‘Courts of Criminal Appeals’’. after the date of the enactment of this Act, reserve component personnel for service the Secretary of Defense and the Attorney TITLE XII—COOPERATIVE THREAT RE- while engaged in any activity under a Coop- General shall jointly appoint an advisory DUCTION WITH STATES OF FORMER SO- erative Threat Reduction program. committee to review and make recommenda- VIET UNION SEC. 1203. PROHIBITION ON USE OF FUNDS FOR tions concerning the appropriate forum for SEC. 1201. SPECIFICATION OF COOPERATIVE PEACEKEEPING EXERCISES AND RE- criminal jurisdiction over civilians accom- THREAT REDUCTION PROGRAMS. LATED ACTIVITIES WITH RUSSIA. panying the Armed Forces in the field out- (a) IN GENERAL.—For purposes of section side the United States in time of armed con- 301 and other provisions of this Act, Coopera- None of the funds appropriated pursuant to flict. tive Threat Reduction programs are the pro- the authorization in section 301 for Coopera- (b) MEMBERSHIP.—The committee shall be grams specified in subsection (b). tive Threat Reduction programs may be obli- composed of at least five individuals, includ- (b) SPECIFIED PROGRAMS.—The programs gated or expended for the purpose of con- ing experts in military law, international referred to in subsection (a) are the follow- ducting with Russia any peacekeeping exer- law, and Federal civilian criminal law. In ing programs with respect to states of the cise or other peacekeeping-related activity. making appointments to the committee, the former Soviet Union: SEC. 1204. REVISION TO AUTHORITY FOR ASSIST- Secretary and the Attorney General shall en- (1) Programs to facilitate the elimination, ANCE FOR WEAPONS DESTRUCTION. sure that the members of the committee re- and the safe and secure transportation and flect diverse experiences in the conduct of storage, of nuclear, chemical, and other Section 211 of Public Law 102–228 (22 U.S.C. prosecution and defense functions. weapons and their delivery vehicles. 2551 note) is amended by adding at the end (c) DUTIES.—The committee shall do the (2) Programs to facilitate the safe and se- the following new subsection: following: cure storage of fissile materials derived from ‘‘(c) As part of a transmission to Congress (1) Review historical experiences and cur- the elimination of nuclear weapons. under subsection (b) of a certification that a rent practices concerning the use, training, (3) Programs to prevent the proliferation proposed recipient of United States assist- discipline, and functions of civilians accom- of weapons, weapons components, and weap- ance under this title is committed to carry- panying the Armed Forces in the field. ons-related technology and expertise. ing out the matters specified in each of para- (2) Based upon such review and other infor- (4) Programs to expand military-to-mili- graphs (1) through (6) of that subsection, the mation available to the committee, develop tary and defense contacts. President shall include a statement setting specific recommendations concerning the ad- SEC. 1202. FISCAL YEAR 1996 FUNDING ALLOCA- forth, in unclassified form (together with a visability and feasibility of establishing TIONS. classified annex if necessary), the determina- United States criminal law jurisdiction over (a) IN GENERAL.—Of the amount appro- tion of the President, with respect to each persons who as civilians accompany the priated pursuant to the authorization of ap- such paragraph, as to whether that proposed Armed Forces in the field outside the United propriations in section 301 for Cooperative recipient is at that time in fact carrying out States during time of armed conflict not in- Threat Reduction programs, not more than the matter specified in that paragraph.’’. volving a war declared by Congress, includ- the following amounts may be obligated for SEC. 1205. PRIOR NOTICE TO CONGRESS OF OBLI- ing whether such jurisdiction should be es- the purposes specified: GATION OF FUNDS. tablished through any of the following (1) For elimination of strategic offensive (a) ANNUAL REQUIREMENT.—(1) Not less means (or a combination of such means de- weapons in Russia, Ukraine, Belarus, and than 15 days before any obligation of any pending upon the degree of the armed con- Kazakhstan, $90,000,000. funds appropriated for any fiscal year for a flict involved): (2) For weapons security in Russia, program specified under section 1201 as a Co- (A) Establishing court-martial jurisdiction $42,500,000. operative Threat Reduction program, the over such persons. (3) For the Defense Enterprise Fund, $0. Secretary of Defense shall submit to the con- (B) Extending the jurisdiction of the Arti- (4) For nuclear infrastructure elimination gressional committees specified in paragraph cle III courts to cover such persons. in Ukraine, Belarus, and Kazakhstan, (2) a report on that proposed obligation for (C) Establishing an Article I court to exer- $35,000,000. that program for that fiscal year. cise criminal jurisdiction over such persons. (5) For planning and design of a storage fa- (3) Develop such additional recommenda- cility for Russian fissile material, $29,000,000. (2) The congressional committees referred tions as the committee considers appropriate (6) For planning and design of a chemical to in paragraph (1) are the following: as a result of the review. weapons destruction facility in Russia, (A) The Committee on Armed Services, the (d) REPORT.—(1) Not later than December $73,000,000. Committee on Foreign Relations, and the 15, 1996, the advisory committee shall trans- (7) For activities designated as Defense and Committee on Appropriations of the Senate. mit to the Secretary of Defense and the At- Military Contacts/General Support/Training (B) The Committee on National Security, torney General a report setting forth its in Russia, Ukraine, Belarus, and the Committee on International Relations, findings and recommendations, including the Kazakhstan, $10,000,000. and the Committee on Appropriations of the recommendations required under subsection (8) For activities designated as Other As- House of Representatives. (c)(2). sessments/Support $20,500,000. (b) MATTERS TO BE SPECIFIED IN RE- (2) Not later than January 15, 1997, the Sec- (b) LIMITED AUTHORITY TO VARY INDIVID- PORTS.—Each such report shall specify— retary of Defense and the Attorney General UAL AMOUNTS.—(1) If the Secretary of De- (1) the activities and forms of assistance shall jointly transmit the report of the advi- fense determines that it is necessary to do so for which the Secretary of Defense plans to sory committee to Congress. The Secretary in the national interest, the Secretary may, obligate funds; and the Attorney General may include in the subject to paragraph (2), obligate amounts (2) the amount of the proposed obligation; transmittal any joint comments on the re- for the purposes stated in any of the para- and port that they consider appropriate, and ei- graphs of subsection (a) in excess of the (3) the projected involvement (if any) of ther such official may include in the trans- amount specified for those purposes in that any department or agency of the United mittal any separate comments on the report paragraph, but not in excess of 115 percent of States (in addition to the Department of De- that such official considers appropriate. that amount. However, the total amount ob- fense) and of the private sector of the United (e) DEFINITIONS.—For purposes of this sec- ligated for the purposes stated in the para- States in the activities and forms of assist- tion: graphs in subsection (a) may not by reason ance for which the Secretary of Defense (1) The term ‘‘Article I court’’ means a of the use of the authority provided in the plans to obligate such funds. court established under Article I of the Con- preceding sentence exceed the sum of the stitution. amounts specified in those SEC. 1206. REPORT ON ACCOUNTING FOR UNITED (2) The term ‘‘Article III court’’ means a paragraphs. STATES ASSISTANCE. court established under Article III of the (2) An obligation for the purposes stated in (a) REPORT.—(1) The Secretary of Defense Constitution. any of the paragraphs in subsection (a) in ex- shall submit to Congress an annual report on January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 435

the efforts made by the United States (in- (c) ALTERNATIVE CERTIFICATION.—A certifi- agency of the United States) to the United cluding efforts through the use of audits, ex- cation under this subsection is a certifi- Nations— aminations, and on-site inspections) to en- cation by the President that the President is ‘‘(1) for the costs of a United Nations sure that assistance provided under Coopera- unable to make a certification under sub- peacekeeping activity; or tive Threat Reduction programs is fully ac- section (b). ‘‘(2) for any United States arrearage to the counted for and that such assistance is being (d) USE OF FUNDS UPON ALTERNATIVE CER- United Nations. used for its intended purposes. TIFICATION.—If the President makes a certifi- ‘‘(b) APPLICATION OF PROHIBITION.—The (2) A report shall be submitted under this cation under subsection (c), the $60,000,000 prohibition in subsection (a) applies to vol- section not later than January 31 of each specified in subsection (a)— untary contributions, as well as to contribu- year until the Cooperative Threat Reduction (1) shall not be available for the purpose tions pursuant to assessment by the United programs are completed. stated in section 1202(a)(6); and Nations for the United States share of the (b) INFORMATION TO BE INCLUDED.—Each re- (2) shall be available for activities in costs of a peacekeeping activity.’’. port under this section shall include the fol- Ukraine, Kazakhstan, and Belarus— (b) CLERICAL AMENDMENT.—The table of lowing: (A) for the elimination of strategic offen- sections at the beginning of subchapter I of (1) A list of cooperative threat reduction sive weapons (in addition to the amount such chapter is amended by adding at the assistance that has been provided before the specified in section 1202(a)(1)); and end the following new item: date of the report. (B) for nuclear infrastructure elimination ‘‘405. Use of Department of Defense funds for (2) A description of the current location of (in addition to the amount specified in sec- United States share of costs of the assistance provided and the current con- tion 1202(a)(4)). United Nations peacekeeping dition of such assistance. SEC. 1209. LIMITATION ON USE OF FUNDS FOR activities: limitation.’’. (3) A determination of whether the assist- CHEMICAL WEAPONS DESTRUCTION Subtitle B—Humanitarian Assistance ance has been used for its intended purpose. FACILITY. Programs (4) A description of the activities planned (a) LIMITATION.—Of the amount appro- to be carried out during the next fiscal year priated pursuant to the authorization of ap- SEC. 1311. OVERSEAS HUMANITARIAN, DISAS- to ensure that cooperative threat reduction propriations in section 301 for Cooperative TER, AND CIVIC AID PROGRAMS. (a) COVERED PROGRAMS.—For purposes of assistance provided during that fiscal year is Threat Reduction programs that is available section 301 and other provisions of this Act, fully accounted for and is used for its in- for planning and design of a chemical weap- programs of the Department of Defense des- tended purpose. ons destruction facility, not more than one- ignated as Overseas Humanitarian, Disaster, (c) COMPTROLLER GENERAL ASSESSMENT.— half of such amount may be obligated or ex- and Civic Aid (OHDACA) programs are the Not later than 30 days after the date on pended until the President certifies to Con- which a report of the Secretary under sub- programs provided by sections 401, 402, 404, gress the following: section (a) is submitted to Congress, the 2547, and 2551 of title 10, United States Code. (1) That the United States and Russia have Comptroller General of the United States (b) GAO REPORT.—Not later than March 1, completed a joint laboratory study to deter- shall submit to Congress a report giving the 1996, the Comptroller General of the United mine the feasibility of an appropriate tech- Comptroller General’s assessment of the re- States shall provide to the congressional de- nology for destruction of chemical weapons port and making any recommendations that fense committees a report on— of Russia. the Comptroller General considers appro- (1) existing funding mechanisms available (2) That Russia is making reasonable priate. to cover the costs associated with the Over- progress, with the assistance of the United SEC. 1207. LIMITATION ON ASSISTANCE TO NU- seas Humanitarian, Disaster, and Civic As- States (if necessary), toward the completion CLEAR WEAPONS SCIENTISTS OF sistance activities through funds provided to of a comprehensive implementation plan for FORMER SOVIET UNION. the Department of State or the Agency for managing and funding the dismantlement Amounts appropriated pursuant to the au- International Development, and and destruction of Russia’s chemical weap- thorization of appropriations in section 301 (2) if such mechanisms do not exist, ac- ons stockpile. for Cooperative Threat Reduction programs tions necessary to institute such mecha- (3) That the United States and Russia have may not be obligated for any program estab- nisms, including any changes in existing law made substantial progress toward resolution, lished primarily to assist nuclear weapons or regulations. scientists in states of the former Soviet to the satisfaction of the United States, of Union until 30 days after the date on which outstanding compliance issues under the 1989 SEC. 1312. HUMANITARIAN ASSISTANCE. the Secretary of Defense certifies in writing Wyoming Memorandum of Understanding Section 2551 of title 10, United States Code, to Congress that the funds to be obligated and the 1990 Bilateral Destruction Agree- is amended— will not be used (1) to contribute to the mod- ment. (1) by striking out subsections (b) and (c); ernization of the strategic nuclear forces of (b) DEFINITIONS.—In this section: (2) by redesignating subsection (d) as sub- such states, or (2) for research, development, (1) The term ‘‘1989 Wyoming Memorandum section (b); or production of weapons of mass destruc- of Understanding’’ means the Memorandum (3) by striking out subsection (e) and in- tion. of Understanding between the Government of serting in lieu thereof the following: ‘‘(c) STATUS REPORTS.—(1) The Secretary of SEC. 1208. LIMITATION RELATING TO OFFEN- the United States of America and the Gov- SIVE BIOLOGICAL WARFARE PRO- ernment of the Union of Soviet Socialist Re- Defense shall submit to the congressional GRAM OF RUSSIA. publics Regarding a Bilateral Verification committees specified in subsection (f) an an- (a) LIMITATION.—Of the amount appro- Experiment and Data Exchange Related to nual report on the provision of humanitarian priated pursuant to the authorization of ap- Prohibition on Chemical Weapons, signed at assistance pursuant to this section for the propriations in section 301 for Cooperative Jackson Hole, Wyoming, on September 23, prior fiscal year. The report shall be submit- Threat Reduction programs that is available 1989. ted each year at the time of the budget sub- for the purpose stated in section 1202(a)(6), (2) The term ‘‘1990 Bilateral Destruction mission by the President for the next fiscal $60,000,000 may not be obligated or expended Agreement’’ means the Agreement between year. ‘‘(2) Each report required by paragraph (1) until the President submits to Congress ei- the United States of America and the Union shall cover all provisions of law that author- ther a certification as provided in subsection of Soviet Socialist Republics on destruction ize appropriations for humanitarian assist- (b) or a certification as provided in sub- and nonproduction of chemical weapons and ance to be available from the Department of section (c). on measures to facilitate the multilateral (b) CERTIFICATION WITH RESPECT TO OFFEN- Defense for the purposes of this section. convention on banning chemical weapons SIVE BIOLOGICAL WARFARE PROGRAM OF RUS- ‘‘(3) Each report under this subsection signed on June 1, 1990. SIA.—A certification under this subsection is shall set forth the following information re- a certification by the President of each of TITLE XIII—MATTERS RELATING TO garding activities during the previous fiscal the following: OTHER NATIONS year: (1) That Russia is in compliance with its Subtitle A—Peacekeeping Provisions ‘‘(A) The total amount of funds obligated obligations under the Biological Weapons SEC. 1301. LIMITATION ON USE OF DEPARTMENT for humanitarian relief under this section. Convention. OF DEFENSE FUNDS FOR UNITED ‘‘(B) The number of scheduled and com- (2) That Russia has agreed with the United STATES SHARE OF COSTS OF UNIT- pleted transportation missions for purposes States and the United Kingdom on a com- ED NATIONS PEACEKEEPING ACTIVI- of providing humanitarian assistance under mon set of procedures to govern visits by of- TIES. this section. ficials of the United States and United King- (a) IN GENERAL.—Chapter 20 of title 10, ‘‘(C) A description of any transfer of excess dom to military biological facilities of Rus- United States Code, is amended by inserting nonlethal supplies of the Department of De- sia, as called for under the Joint Statement after section 404, the following new section: fense made available for humanitarian relief on Biological Weapons issued by officials of ‘‘§ 405. Use of Department of Defense funds purposes under section 2547 of this title. The the United States, the United Kingdom, and for United States share of costs of United description shall include the date of the Russia on September 14, 1992. Nations peacekeeping activities: limitation transfer, the entity to whom the transfer is (3) That visits by officials of the United ‘‘(a) PROHIBITION ON USE OF FUNDS.—Funds made, and the quantity of items trans- States and United Kingdom to the four de- available to the Department of Defense may ferred.’’; clared military biological facilities of Russia not be used to make a financial contribution (4) by redesignating subsection (f) as sub- have occurred. (directly or through another department or section (d) and in that subsection striking H 436 CONGRESSIONAL RECORD — HOUSE January 22, 1996 out ‘‘the Committees on’’ and all that fol- lender against losses of principal or interest, Department of Defense that are directly at- lows through ‘‘House of Representatives of or both principal and interest, arising out of tributable to the administration of the pro- the’’ and inserting in lieu thereof ‘‘the con- the financing of the sale or long-term lease gram under this subchapter. Such fees shall gressional committees specified in sub- of defense articles, defense services, or de- be credited to a special account in the Treas- section (f) and the Committees on Appropria- sign and construction services to a country ury. Amounts in the special account shall be tions of the Senate and House of Representa- referred to in subsection (b). available, to the extent and in amounts pro- tives of the’’; ‘‘(b) COVERED COUNTRIES.—The authority vided in appropriations Acts, for paying the (5) by redesignating subsection (g) as sub- under subsection (a) applies with respect to costs of administrative expenses of the De- section (e); and the following countries: partment of Defense that are attributable to (6) by adding at the end the following new ‘‘(1) A member nation of the North Atlan- the loan guarantee program under this sub- subsection: tic Treaty Organization (NATO). chapter. ‘‘(f) CONGRESSIONAL COMMITTEES.—The con- ‘‘(2) A country designated as of March 31, ‘‘§ 2540d. Definitions gressional committees referred to in sub- 1995, as a major non-NATO ally pursuant to ‘‘In this subchapter: sections (c)(1) and (d) are the following: section 2350a(i)(3) of this title. ‘‘(1) The terms ‘defense article’, ‘defense ‘‘(1) The Committee on Armed Services and ‘‘(3) A country in Central Europe that, as services’, and ‘design and construction serv- the Committee on Foreign Relations of the determined by the Secretary of State— ices’ have the meanings given those terms in Senate. ‘‘(A) has changed its form of national gov- section 47 of the Arms Export Control Act (22 ‘‘(2) The Committee on National Security ernment from a nondemocratic form of gov- U.S.C. 2794). and the Committee on International Rela- ernment to a democratic form of government ‘‘(2) The term ‘cost’, with respect to a loan tions of the House of Representatives.’’. since October 1, 1989; or guarantee, has the meaning given that term SEC. 1313. LANDMINE CLEARANCE PROGRAM. ‘‘(B) is in the process of changing its form in section 502 of the Congressional Budget (a) INCLUSION IN GENERAL HUMANITARIAN of national government from a and Impoundment Control Act of 1974 (2 ASSISTANCE PROGRAM.—Subsection (e) of sec- nondemocratic form of government to a U.S.C. 661a).’’. tion 401 of title 10, United States Code, is democratic form of government. (2) The table of subchapters at the begin- amended— ‘‘(4) A noncommunist country that was a ning of such chapter is amended by adding at (1) by striking out ‘‘means—’’ and insert- member nation of the Asia Pacific Economic the end the following new item: ing in lieu thereof ‘‘means:’’; Cooperation (APEC) as of October 31, 1993. ‘‘VI. Defense Export Loan Guaran- ‘‘(c) AUTHORITY SUBJECT TO PROVISIONS OF (2) by revising the first word in each of tees ...... 2540’’. paragraphs (1) through (4) so that the first APPROPRIATIONS.—The Secretary may guar- antee a loan under this subchapter only to (b) REPORT.—Not later than two years letter of such word is upper case; after the date of the enactment of this Act, (3) by striking out the semicolon at the such extent or in such amounts as may be provided in advance in appropriations Acts. the President shall submit to Congress a re- end of paragraphs (1) and (2) and inserting in port on the loan guarantee program estab- lieu thereof a period; ‘‘§ 2540a. Transferability lished pursuant to section 2540 of title 10, (4) by striking out ‘‘; and’’ at the end of ‘‘A guarantee issued under this subchapter United States Code, as added by subsection paragraph (3) and inserting in lieu thereof a shall be fully and freely transferable. (a). The report shall include— period; and ‘‘§ 2540b. Limitations (1) an analysis of the costs and benefits of (5) by adding at the end the following new the loan guarantee program; and paragraph: ‘‘(a) TERMS AND CONDITIONS OF LOAN GUAR- ANTEES.—In issuing a guarantee under this (2) any recommendations for modification ‘‘(5) Detection and clearance of landmines, of the program that the President considers including activities relating to the furnish- subchapter for a medium-term or long-term loan, the Secretary may not offer terms and appropriate, including— ing of education, training, and technical as- (A) any recommended addition to the list sistance with respect to the detection and conditions more beneficial than those that would be provided to the recipient by the Ex- of countries for which a guarantee may be is- clearance of landmines.’’. sued under the program; and (b) LIMITATION ON LANDMINE ASSISTANCE BY port-Import Bank of the United States under (B) any proposed legislation necessary to MEMBERS OF ARMED FORCES.—Subsection (a) similar circumstances in conjunction with authorize a recommended modification. of such section is amended by adding at the the provision of guarantees for nondefense articles and services. (c) FIRST YEAR COSTS.—The Secretary of end the following new paragraph: Defense shall make available, from amounts ‘‘(4) The Secretary of Defense shall ensure ‘‘(b) LOSSES ARISING FROM FRAUD OR MIS- REPRESENTATION.—No payment may be made appropriated to the Department of Defense that no member of the Armed Forces, while for fiscal year 1996 for operations and main- providing assistance under this section that under a guarantee issued under this sub- chapter for a loss arising out of fraud or mis- tenance, such amounts as may be necessary, is described in subsection (e)(5)— not to exceed $500,000, for the expenses of the ‘‘(A) engages in the physical detection, representation for which the party seeking payment is responsible. Department of Defense during fiscal year lifting, or destroying of landmines (unless 1996 that are directly attributable to the ad- the member does so for the concurrent pur- ‘‘(c) NO RIGHT OF ACCELERATION.—The Sec- retary of Defense may not accelerate any ministration of the defense export loan guar- pose of supporting a United States military antee program under subchapter VI of chap- operation); or guaranteed loan or increment, and may not pay any amount, in respect of a guarantee is- ter 148 of title 10, United States Code, as ‘‘(B) provides such assistance as part of a added by subsection (a). military operation that does not involve the sued under this subchapter, other than in ac- cordance with the original payment terms of (d) REPLENISHMENT OF OPERATIONS AND Armed Forces.’’. MAINTENANCE ACCOUNTS FOR FIRST YEAR (c) REPEAL.—Section 1413 of the National the loan. COSTS.—The Secretary of Defense shall, Defense Authorization Act for Fiscal Year ‘‘§ 2540c. Fees charged and collected using funds in the special account referred to 1995 (Public Law 103–337; 108 Stat. 2913; 10 ‘‘(a) EXPOSURE FEES.—The Secretary of De- in section 2540c(d) of title 10, United States U.S.C. 401 note) is repealed. fense shall charge a fee (known as ‘exposure Code (as added by subsection (b)), replenish Subtitle C—Arms Exports and Military fee’) for each guarantee issued under this operations and maintenance accounts for Assistance subchapter. amounts expended from such accounts for SEC. 1321. DEFENSE EXPORT LOAN GUARANTEES. ‘‘(b) AMOUNT OF EXPOSURE FEE.—To the ex- expenses referred to in subsection (c). (a) ESTABLISHMENT OF PROGRAM.—(1) Chap- tent that the cost of the loan guarantees SEC. 1322. NATIONAL SECURITY IMPLICATIONS ter 148 of title 10, United States Code, is under this subchapter is not otherwise pro- OF UNITED STATES EXPORT CON- amended by adding at the end the following vided for in appropriations Acts, the fee im- TROL POLICY. new subchapter: posed under subsection (a) with respect to a (a) FINDINGS.—Congress makes the follow- loan guarantee shall be fixed in an amount ing findings: ‘‘SUBCHAPTER VI—DEFENSE EXPORT that is sufficient to meet potential liabilities (1) Export controls remain an important LOAN GUARANTEES of the United States under the loan guaran- element of the national security policy of ‘‘Sec. tee. the United States. ‘‘2540. Establishment of loan guarantee pro- ‘‘(c) PAYMENT TERMS.—The fee under sub- (2) It is in the national security interest gram. section (a) for each guarantee shall become that United States export control policy be ‘‘2540a. Transferability. due as the guarantee is issued. In the case of effective in preventing the transfer, to po- ‘‘2540b. Limitations. a guarantee for a loan which is disbursed in- tential adversaries or combatants of the ‘‘2540c. Fees charged and collected. crementally, and for which the guarantee is United States, of technology that threatens ‘‘2540d. Definitions. correspondingly issued incrementally as por- the national security or defense of the Unit- ‘‘§ 2540. Establishment of loan guarantee pro- tions of the loan are disbursed, the fee shall ed States. gram be paid incrementally in proportion to the (3) It is in the national security interest ‘‘(a) ESTABLISHMENT.—In order to meet the amount of the guarantee that is issued. that the United States monitor aggressively national security objectives in section ‘‘(d) ADMINISTRATIVE FEES.—The Secretary the export of militarily critical technology 2501(a) of this title, the Secretary of Defense of Defense shall charge a fee for each guaran- in order to prevent its diversion to potential shall establish a program under which the tee issued under this subchapter to reflect adversaries or combatants of the United Secretary may issue guarantees assuring a the additional administrative costs of the States. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 437 (4) The Department of Defense relies in- that the prohibition, control, or licensing re- basis. Whenever a country is added to or de- creasingly on commercial and dual-use tech- quirement is made multilateral; and leted from such list, the Secretary shall no- nologies, products, and processes to support (iv) a statement on what impact, if any, a tify the Secretary of Commerce. United States military capabilities and eco- unilateral prohibition is having, or would (3) Determination under this subsection of nomic strength. have, on preventing the rogue nation or po- countries that are known or suspected to (5) The maintenance of the military advan- tential adversary from attaining the items have a program to develop offensive biologi- tage of the United States depends on effec- in question for military purposes. cal weapons shall be made in consultation tive export controls on dual-use items and (D) A description of United States policy with the Secretary of State and the intel- technologies that are critical to the military on sharing satellite imagery that has mili- ligence community. capabilities of the Armed Forces. tary significance and a discussion of the cri- (d) DEFINITION.—For purposes of this sec- tion, the term ‘‘class 2, class 3, or class 4 bio- (b) SENSE OF CONGRESS.—It is the sense of teria for determining the imagery that has logical pathogen’’ means any biological Congress that— that significance. pathogen that is characterized by the Cen- (E) A description of the relationship be- (1) the Secretary of Defense should evalu- ters for Disease Control as a class 2, class 3, tween United States policy on the export of ate license applications for the export of or class 4 biological pathogen. militarily critical commodities the export of space launch vehicle technology and the Mis- sile Technology Control Regime. SEC. 1324. ANNUAL REPORTS ON IMPROVING EX- which is controlled for national security rea- PORT CONTROL MECHANISMS AND sons if those commodities are to be exported (F) An assessment of United States efforts ON MILITARY ASSISTANCE. to certain countries of concern; to support the inclusion of additional coun- (a) JOINT REPORTS BY SECRETARIES OF (2) the Secretary of Defense should identify tries in the Missile Technology Control Re- STATE AND COMMERCE.—Not later than April the dual-use items and technologies that are gime. 1 of each of 1996 and 1997, the Secretary of critical to the military capabilities of the (G) An assessment of the ongoing efforts State and the Secretary of Commerce shall Armed Forces, including the military use made by potential participant countries in submit to Congress a joint report, prepared made of such items and technologies; the Missile Technology Control Regime to in consultation with the Secretary of De- (3) upon identification by the Secretary of meet the guidelines established by the Mis- fense, relating to United States export-con- Defense of the dual-use items and tech- sile Technology Control Regime. trol mechanisms. Each such report shall set nologies referred to in paragraph (2), the (H) A discussion of the history of the space forth measures to be taken to strengthen President should ensure effective export con- launch vehicle programs of other countries, United States export-control mechanisms, trols or use unilateral export controls on including a discussion of the military origins including— dual-use items and technologies that are and purposes of such programs and the cur- (1) steps being taken by each Secretary (A) critical to the military capabilities of the rent level of military involvement in such to share on a regular basis the export licens- Armed Forces (regardless of the availability programs. ing watchlist of that Secretary’s department of such items or technologies overseas) with (3) The President shall submit the report with the other Secretary, and (B) to incor- respect to the countries that— in unclassified form, but may include a clas- porate the export licensing watchlist data (A) pose a threat to the national security sified annex. received from the other Secretary into the interests of the United States; and (4) The committees referred to in para- watchlist of that Secretary’s department; (B) are not members in good standing of bi- graph (1) are the following: (2) steps being taken by each Secretary to lateral or multilateral agreements to which (A) The Committee on Armed Services and incorporate into the watchlist of that Sec- the United States is a party on the use of the Committee on Foreign Relations of the retary’s department similar data from sys- such items and technologies; and Senate. tems maintained by the Department of De- (4) the President, upon recommendation of (B) The Committee on National Security fense and the United States Customs Serv- the Secretary of Defense, should ensure ef- and the Committee on International Rela- ice; and fective controls on the re-export by other tions of the House of Representatives. (3) a description of such further measures (5) For purposes of this subsection, the countries of dual-use items and technologies to be taken to strengthen United States ex- term ‘‘Missile Technology Control Regime’’ that are critical to the military capabilities port-control mechanisms as the Secretaries means the policy statement announced on of the Armed Forces. consider to be appropriate. April 16, 1987, between the United States, the (b) REPORTS BY INSPECTORS GENERAL.—(1) (c) ANNUAL REPORT.—(1) Not later than De- United Kingdom, the Federal Republic of Not later than April 1 of each of 1996 and cember 1 of each year through 1999, the Germany, France, Italy, Canada, and Japan 1997, the Inspector General of the Depart- President shall submit to the committees to restrict sensitive missile-relevant trans- ment of State and the Inspector General of specified in paragraph (4) a report on the ef- fers based on the Missile Technology Control the Department of Commerce shall each sub- fect of the export control policy of the Unit- Regime Annex, and any amendment thereto. ed States on the national security interests mit to Congress a report providing that offi- SEC. 1323. DEPARTMENT OF DEFENSE REVIEW OF cial’s evaluation of the effectiveness during of the United States. EXPORT LICENSES FOR CERTAIN BI- (2) The report shall include the following: OLOGICAL PATHOGENS. the preceding year of the export licensing (A) A list setting forth each country deter- (a) DEPARTMENT OF DEFENSE REVIEW.—Any watchlist screening process of that official’s mined by the Secretary of Defense, the intel- application to the Secretary of Commerce department. The reports shall be submitted ligence community, and other appropriate for a license for the export of a class 2, class in both a classified and unclassified version. (2) Each report of an Inspector General agencies to be a rogue nation or potential 3, or class 4 biological pathogen to a country under paragraph (1) shall (with respect to adversary or combatant of the United identified to the Secretary under subsection that official’s department)— States. (c) as a country that is known or suspected (A) set forth the number of export licenses (B) For each country so listed, a list of— to have a biological weapons program shall granted to parties on the export licensing (i) the categories of items that the United be referred to the Secretary of Defense for watchlist; States currently prohibits for export to the review. The Secretary of Defense shall notify (B) set forth the number of end-use checks country; the Secretary of Commerce within 15 days performed with respect to export licenses (ii) the categories of items that may be ex- after receipt of an application under the pre- granted to parties on the export licensing ported from the United States with an indi- ceding sentence whether the export of such watchlist the previous year; vidual license, and in such cases, any licens- biological pathogen pursuant to the license (C) assess the screening process used in ing conditions normally required and the would be contrary to the national security granting an export license when an applicant policy grounds used for approvals and deni- interests of the United States. (b) DENIAL OF LICENSE IF CONTRARY TO NA- is on the export licensing watchlist; and als; and TIONAL SECURITY INTEREST.—A license de- (D) assess the extent to which the export (iii) the categories of items that may be scribed in subsection (a) shall be denied by licensing watchlist contains all relevant in- exported under a general license designated the Secretary of Commerce if it is deter- formation and parties required by statute or ‘‘G-DEST’’. mined that the export of such biological regulation. (C) For each category of items listed under pathogen to that country would be contrary (c) ANNUAL MILITARY ASSISTANCE RE- subparagraph (B)— to the national security interests of the PORT.—The Foreign Assistance Act of 1961 is (i) a statement whether a prohibition, con- United States. amended by inserting after section 654 (22 trol, or licensing requirement on a category (c) IDENTIFICATION OF COUNTRIES KNOWN OR U.S.C. 2414) the following new section: of items is imposed pursuant to an inter- SUSPECTED TO HAVE A PROGRAM TO DEVELOP ‘‘SEC. 655. ANNUAL REPORT ON MILITARY ASSIST- national multilateral agreement or is unilat- OFFENSIVE BIOLOGICAL WEAPONS.—(1) The ANCE, MILITARY EXPORTS, AND eral; Secretary of Defense shall determine, for the MILITARY IMPORTS. (ii) a statement whether a prohibition, purposes of this section, those countries that ‘‘(a) REPORT REQUIRED.—Not later than control, or licensing requirement on a cat- are known or suspected to have a program to February 1 of each of 1996 and 1997, the Presi- egory of items is imposed by the other mem- develop offensive biological weapons. Upon dent shall transmit to Congress a report con- bers of an international agreement or is uni- making such determination, the Secretary cerning military assistance authorized or lateral; shall provide to the Secretary of Commerce furnished for the fiscal year ending the pre- (iii) when the answer under either clause a list of those countries. vious September 30. (i) or clause (ii) is unilateral, a statement (2) The Secretary of Defense shall update ‘‘(b) INFORMATION RELATING TO MILITARY concerning the efforts being made to ensure the list under paragraph (1) on a regular ASSISTANCE AND MILITARY EXPORTS.—Each H 438 CONGRESSIONAL RECORD — HOUSE January 22, 1996 such report shall show the aggregate dollar ‘‘(2) the Committee on National Security ing fiscal year and the purposes for which value and quantity of defense articles (in- and the Committee on Appropriations of the the contributions were expended.’’. cluding excess defense articles) and defense House of Representatives.’’. (2) The table of sections at the beginning of services, and of military education and SEC. 1332. AUTHORITY TO ACCEPT CONTRIBU- subchapter II of chapter 138 of such title is training, authorized or furnished by the TIONS FOR EXPENSES OF RELOCA- amended by adding at the end the following United States to each foreign country and TION WITHIN HOST NATION OF new item: international organization. The report shall UNITED STATES ARMED FORCES specify, by category, whether those articles OVERSEAS. ‘‘2350k. Relocation within host nation of ele- and services, and that education and train- (a) IN GENERAL.—(1) Subchapter II of chap- ments of armed forces over- ing, were furnished by grant under chapter 2 ter 138 of title 10, United States Code, is seas.’’. or chapter 5 of part II of this Act or by sale amended by adding at the end the following new section: (b) EFFECTIVE DATE.—Section 2350k of title under chapter 2 of the Arms Export Control 10, United States Code, as added by sub- Act or were authorized by commercial sale ‘‘§ 2350k. Relocation within host nation of ele- section (a), shall take effect on the date of licensed under section 38 of the Arms Export ments of armed forces overseas the enactment of this Act and shall apply to Control Act. ‘‘(a) AUTHORITY TO ACCEPT CONTRIBU- contributions for relocation of elements of ‘‘(c) INFORMATION RELATING TO MILITARY TIONS.—The Secretary of Defense may accept the Armed Forces in or to any nation re- IMPORTS.—Each such report shall also in- contributions from any nation because of or ceived on or after such date. clude the total amount of military items of in support of the relocation of elements of non-United States manufacture that were the armed forces from or to any location SEC. 1333. REVISED GOAL FOR ALLIED SHARE OF imported into the United States during the within that nation. Such contributions may COSTS FOR UNITED STATES INSTAL- LATIONS IN EUROPE. fiscal year covered by the report. The report be accepted in dollars or in the currency of shall show the country of origin, the type of the host nation. Any such contribution shall Section 1304(a) of the National Defense Au- item being imported, and the total amount be placed in an account established for such thorization Act for Fiscal Year 1995 (Public of items.’’. purpose and shall remain available until ex- Law 103–337; 108 Stat. 2890) is amended— SEC. 1325. REPORT ON PERSONNEL REQUIRE- pended for the purposes specified in sub- (1) by inserting ‘‘(1)’’ after ‘‘so that’’; and MENTS FOR CONTROL OF TRANSFER section (b). The Secretary shall establish a (2) by inserting before the period at the end OF CERTAIN WEAPONS. separate account for such purpose for each the following: ‘‘, and (2) by September 30, Not later than 30 days after the date of the country from which such contributions are 1997, those nations have assumed 42.5 percent enactment of this Act, the Secretary of De- accepted. of such costs’’. fense and the Secretary of Energy shall sub- ‘‘(b) USE OF CONTRIBUTIONS.—The Sec- mit to the committees of Congress referred SEC. 1334. EXCLUSION OF CERTAIN FORCES retary may use a contribution accepted to in subsection (c) of section 1154 of the Na- FROM EUROPEAN END STRENGTH under subsection (a) only for payment of tional Defense Authorization Act for Fiscal LIMITATION. costs incurred in connection with the reloca- Year 1994 (Public Law 103–160; 107 Stat. 1761) (a) EXCLUSION OF MEMBERS PERFORMING tion concerning which the contribution was the report required under subsection (a) of DUTIES UNDER MILITARY-TO-MILITARY CON- made. Those costs include the following: that section. The Secretary of Defense and TACT PROGRAM.—Paragraph (3) of section ‘‘(1) Design and construction services, in- the Secretary of Energy shall include with 1002(c) of the Department of Defense Author- cluding development and review of state- the report an explanation of the failure of ization Act, 1985 (22 U.S.C. 1928 note) is ments of work, master plans and designs, ac- such Secretaries to submit the report in ac- amended to read as follows: cordance with such subsection (a) and with quisition of construction, and supervision and administration of contracts relating ‘‘(3) For purposes of this subsection, the all other previous requirements for the sub- following members of the Armed Forces are mittal of the report. thereto. ‘‘(2) Transportation and movement serv- excluded in calculating the end strength Subtitle D—Burdensharing and Other Coop- ices, including packing, unpacking, storage, level of members of the Armed Forces of the erative Activities Involving Allies and and transportation. United States assigned to permanent duty NATO ‘‘(3) Communications services, including ashore in European member nations of SEC. 1331. ACCOUNTING FOR BURDENSHARING installation and deinstallation of commu- NATO: CONTRIBUTIONS. nications equipment, transmission of mes- ‘‘(A) Members assigned to permanent duty (a) AUTHORITY TO MANAGE CONTRIBUTIONS sages and data, and rental of transmission ashore in Iceland, Greenland, and the Azores. IN LOCAL CURRENCY, ETC.—Subsection (b) of capability. ‘‘(B) Members performing duties in Europe section 2350j of title 10, United States Code, ‘‘(4) Supply and administration, including for more than 179 days under a military-to- is amended to read as follows: acquisition of expendable office supplies, military contact program under section 168 ‘‘(b) ACCOUNTING.—Contributions accepted of title 10, United States Code.’’. under subsection (a) which are not related to rental of office space, budgeting and ac- security assistance may be accepted, man- counting services, auditing services, sec- SEC. 1335. COOPERATIVE RESEARCH AND DE- aged, and expended in dollars or in the cur- retarial services, and translation services. VELOPMENT AGREEMENTS WITH NATO ORGANIZATIONS. rency of the host nation (or, in the case of a ‘‘(5) Personnel costs, including salary, al- contribution from a regional organization, in lowances and overhead of employees whether Section 2350b(e) of title 10, United States the currency in which the contribution was full-time or part-time, temporary or perma- Code, is amended— provided). Any such contribution shall be nent (except for military personnel), and (1) in paragraph (1), by inserting ‘‘or a placed in an account established for such travel and temporary duty costs. NATO organization’’ after ‘‘a participant purpose and shall remain available until ex- ‘‘(6) All other clearly identifiable expenses (other than the United States)’’; and pended for the purposes specified in sub- directly related to relocation. (2) in paragraph (2), by striking out ‘‘a co- section (c). The Secretary of Defense shall ‘‘(c) METHOD OF CONTRIBUTION.—Contribu- operative project’’ and inserting in lieu establish a separate account for such purpose tions may be accepted in any of the follow- thereof ‘‘such a cooperative project or a for each country or regional organization ing forms: NATO organization’’. from which such contributions are accepted ‘‘(1) Irrevocable letter of credit issued by a financial institution acceptable to the Treas- SEC. 1336. SUPPORT SERVICES FOR THE NAVY AT under subsection (a).’’. THE PORT OF HAIFA, ISRAEL. (b) CONFORMING AMENDMENT.—Subsection urer of the United States. (a) SENSE OF CONGRESS.—It is the sense of (d) of such section is amended by striking ‘‘(2) Drawing rights on a commercial bank Congress that the Secretary of Defense out ‘‘credited under subsection (b) to an ap- account established and funded by the host should promptly seek to undertake such ac- propriation account of the Department of nation, which account is blocked such that tions as are necessary— Defense’’ and inserting in lieu thereof funds deposited cannot be withdrawn except (1) to ensure that suitable port services are ‘‘placed in an account established under sub- by or with the approval of the United States. section (b)’’. ‘‘(3) Cash, which shall be deposited in a available to the Navy at the Port of Haifa, (c) TECHNICAL AMENDMENT.—Such section separate trust fund in the United States Israel; and is further amended— Treasury pending expenditure and which (2) to ensure the availability to the Navy (1) in subsection (e)(1), by striking out ‘‘a shall accrue interest in accordance with sec- of suitable services at that port in light of report to the congressional defense commit- tion 9702 of title 31. the continuing increase in commercial ac- tees’’ and inserting in lieu thereof ‘‘to the ‘‘(d) ANNUAL REPORT TO CONGRESS.—Not tivities at the port. congressional committees specified in sub- later than 30 days after the end of each fiscal (b) REPORT.—Not later than 30 days after section (g) a report’’; and year, the Secretary shall submit to Congress the date of the enactment of this Act, the (2) by adding at the end the following new a report specifying— Secretary of the Navy shall submit to Con- subsection: ‘‘(1) the amount of the contributions ac- gress a report on the availablity of port serv- ‘‘(g) CONGRESSIONAL COMMITTEES.—The cepted by the Secretary during the preceding ices for the Navy in the eastern Mediterra- congressional committees referred to in sub- fiscal year under subsection (a) and the pur- nean Sea region. The report shall specify— section (e)(1) are— poses for which the contributions were made; (1) the services required by the Navy when ‘‘(1) the Committee on Armed Services and and calling at the port of Haifa, Israel; and the Committee on Appropriations of the Sen- ‘‘(2) the amount of the contributions ex- (2) the availability of those services at ate; and pended by the Secretary during the preced- ports elsewhere in the region. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 439 Subtitle E—Other Matters matic or consular officer of the United States, signed at The Hague, January 24, SEC. 1341. PROHIBITION ON FINANCIAL ASSIST- States resident in such foreign countries 1995. ANCE TO TERRORIST COUNTRIES. where the International Tribunal for Yugo- SEC. 1343. SEMIANNUAL REPORTS CONCERNING (a) PROHIBITION.—Subchapter I of chapter slavia or the International Tribunal for UNITED STATES-PEOPLE’S REPUB- 134 of title 10, United States Code, is amend- Rwanda may be permanently or temporarily LIC OF CHINA JOINT DEFENSE CON- VERSION COMMISSION. ed by adding at the end the following: situated. (3) PAYMENT OF FEES AND COSTS.—(A) The (a) REPORTS REQUIRED.—The Secretary of ‘‘§ 2249a. Prohibition on providing financial provisions of the Agreement Between the Defense shall submit to Congress a semi- assistance to terrorist countries United States and the International Tribu- annual report on the United States-People’s ‘‘(a) PROHIBITION.—Funds available to the nal for Yugoslavia and of the Agreement Be- Republic of China Joint Defense Conversion Department of Defense may not be obligated tween the United States and the Inter- Commission. Each such report shall include or expended to provide financial assistance national Tribunal for Rwanda shall apply in the following: to— lieu of the provisions of section 3195 of title (1) A description of the extent to which the ‘‘(1) any country with respect to which the 18, United States Code, with respect to the activities conducted in, through, or as a re- Secretary of State has made a determination payment of expenses arising from the surren- sult of the Commission could have directly under section 6(j)(1)(A) of the Export Admin- der by the United States of a person to the or indirectly assisted, or may directly or in- istration Act of 1979 (50 App. 2405(j)); International Tribunal for Yugoslavia or the directly assist, the military modernization ‘‘(2) any country identified in the latest re- International Tribunal for Rwanda, respec- efforts of the People’s Republic of China. port submitted to Congress under section 140 tively, or from any proceedings in the United (2) A discussion of the activities and oper- of the Foreign Relations Authorization Act, States relating to such surrender. ations of the Commission, including— Fiscal Years 1988 and 1989 (22 U.S.C. 2656f), as (B) The authority of subparagraph (A) may (A) United States funding; providing significant support for inter- be exercised only to the extent and in the (B) a listing of participating United States national terrorism; or amounts provided in advance in appropria- officials; ‘‘(3) any other country that, as determined tions Acts. (C) specification of meeting dates and loca- by the President— (4) NONAPPLICABILITY OF THE FEDERAL tions (prospective and retrospective); ‘‘(A) grants sanctuary from prosecution to RULES.—The Federal Rules of Evidence and (D) summary of discussions; and any individual or group that has committed the Federal Rules of Criminal Procedure do (E) copies of any agreements reached. an act of international terrorism; or not apply to proceedings for the surrender of (3) A discussion of the relationship between ‘‘(B) otherwise supports international ter- persons to the International Tribunal for the ‘‘defense conversion’’ activities of the rorism. Yugoslavia or the International Tribunal for People’s Republic of China and its defense ‘‘(b) WAIVER.—(1) The President may waive Rwanda. modernization efforts. the application of subsection (a) to a country (b) ASSISTANCE TO FOREIGN AND INTER- (4) A discussion of the extent to which if the President determines— NATIONAL TRIBUNALS AND TO LITIGANTS BE- United States business activities pursued, or ‘‘(A) that it is in the national security in- FORE SUCH TRIBUNALS.—Section 1782(a) of proposed to be pursued, under the imprima- terests of the United States to do so; or title 28, United States Code, is amended by tur of the Commission, or the importation of ‘‘(B) that the waiver should be granted for inserting in the first sentence after ‘‘foreign western technology in general, contributes humanitarian reasons. or international tribunal’’ the following: ‘‘, to the modernization of China’s military in- ‘‘(2) The President shall— including criminal investigations conducted dustrial base, including any steps taken by ‘‘(A) notify the Committee on Armed Serv- before formal accusation’’. the United States or by United States com- ices and the Committee on Foreign Relations (c) DEFINITIONS.—For purposes of this sec- mercial entities to safeguard the technology of the Senate and the Committee on Na- tion: or intellectual property rights associated tional Security and the Committee on Inter- (1) INTERNATIONAL TRIBUNAL FOR YUGO- with any materials or information trans- national Relations of the House of Rep- SLAVIA.—The term ‘‘International Tribunal ferred. resentatives at least 15 days before the waiv- for Yugoslavia’’ means the International Tri- (5) An assessment of the benefits derived er takes effect; and bunal for the Prosecution of Persons Respon- by the United States from its participation ‘‘(B) publish a notice of the waiver in the sible for Serious Violations of International in the Commission, including whether or to Federal Register. Humanitarian Law in the Territory of the what extent United States participation in ‘‘(c) DEFINITION.—In this section, the term Former Yugoslavia, as established by United the Commission has resulted or will result in ‘international terrorism’ has the meaning Nations Security Council Resolution 827 of the following: given that term in section 140(d) of the For- May 25, 1993. (A) Increased transparency in the current eign Relations Authorization Act, Fiscal (2) INTERNATIONAL TRIBUNAL FOR RWANDA.— and projected military budget and doctrine Years 1988 and 1989 (22 U.S.C. 2656f(d)).’’. The term ‘‘International Tribunal for Rwan- of the People’s Republic of China. (b) CLERICAL AMENDMENT.—The table of da’’ means the International Tribunal for the (B) Improved behavior and cooperation by sections at the beginning of subchapter I of Prosecution of Persons Responsible for Geno- the People’s Republic of China in the areas such chapter is amended by adding at the cide and Other Serious Violations of Inter- of missile and nuclear proliferation. end the following: national Humanitarian Law Committed in (C) Increased transparency in the plans of ‘‘2249a. Prohibition on providing financial as- the Territory of Rwanda and Rwandan Citi- the People’s Republic of China’s for nuclear sistance to terrorist coun- zens Responsible for Genocide and Other and missile force modernization and testing. tries.’’. Such Violations Committed in the Territory (6) Efforts undertaken by the Secretary of SEC. 1342. JUDICIAL ASSISTANCE TO THE INTER- of Neighboring States, as established by Defense to— NATIONAL TRIBUNAL FOR YUGO- United Nations Security Council Resolution (A) establish a list of enterprises con- SLAVIA AND TO THE INTER- 955 of November 8, 1994. trolled by the People’s Liberation Army, in- NATIONAL TRIBUNAL FOR RWANDA. (3) AGREEMENT BETWEEN THE UNITED STATES cluding those which have been successfully (a) SURRENDER OF PERSONS.— AND THE INTERNATIONAL TRIBUNAL FOR YUGO- converted to produce products solely for ci- (1) APPLICATION OF UNITED STATES EXTRA- SLAVIA.—The term ‘‘Agreement Between the vilian use; and DITION LAWS.—Except as provided in para- United States and the International Tribu- (B) provide estimates of the total revenues graphs (2) and (3), the provisions of chapter nal for Yugoslavia’’ means the Agreement on of those enterprises. 209 of title 18, United States Code, relating Surrender of Persons Between the Govern- (7) A description of current or proposed to the extradition of persons to a foreign ment of the United States and the Inter- mechanisms for improving the ability of the country pursuant to a treaty or convention national Tribunal for the Prosecution of Per- United States to track the flow of revenues for extradition between the United States sons Responsible for Serious Violations of from the enterprises specified on the list es- and a foreign government, shall apply in the International Law in the Territory of the tablished under paragraph (6)(A). same manner and extent to the surrender of Former Yugoslavia, signed at The Hague, Oc- (b) SUBMITTAL OF REPORTS.—A report shall persons, including United States citizens, tober 5, 1994. be submitted under subsection (a) not later to— (4) AGREEMENT BETWEEN THE UNITED STATES than August 1 of each year with respect to (A) the International Tribunal for Yugo- AND THE INTERNATIONAL TRIBUNAL FOR RWAN- the first six months of that year and shall be slavia, pursuant to the Agreement Between DA.—The term ‘‘Agreement between the submitted not later than February 1 of each the United States and the International Tri- United States and the International Tribu- year with respect to the last six months of bunal for Yugoslavia; and nal for Rwanda’’ means the Agreement on the preceding year. The first report under (B) the International Tribunal for Rwanda, Surrender of Persons Between the Govern- such subsection shall be submitted not less pursuant to the Agreement Between the ment of the United States and the Inter- than 60 days after the date of the enactment United States and the International Tribu- national Tribunal for the Prosecution of Per- of this Act and shall apply with respect to nal for Rwanda. sons Responsible for Genocide and Other Se- the six-month period preceding the date of (2) EVIDENCE ON HEARINGS.—For purposes of rious Violations of International Humani- the enactment of this Act. applying section 3190 of title 18, United tarian Law Committed in the Territory of (c) FINAL REPORT UPON TERMINATION OF States Code, in accordance with paragraph Rwanda and Rwandan Citizens Responsible COMMISSION.—Upon the termination of the (1), the certification referred to in that sec- for Genocide and Other Such Violations United States-People’s Republic of China tion may be made by the principal diplo- Committed in the Territory of Neighboring Joint Defense Conversion Commission, the H 440 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Secretary of Defense shall submit a final re- (3) by adding at the end the following new tic Missile Treaty as the critical long lead- port under this section covering the period subsection: time element of a nationwide defense against from the end of the period covered by the ‘‘(f) TERMINATION OF AUTHORITY.—The au- ballistic missiles. last such report through the termination of thority of the Secretary of Defense to pro- (4) In 1983 the United States discovered the the Commission, and subsection (a) shall vide assistance under this section terminates construction, in the interior of the Soviet cease to apply after the submission of such at the close of fiscal year 1996.’’. Union near the town of Krasnoyarsk, of a report. (b) PROGRAM AUTHORITIES.—(1) Subsections large phased-array radar that has subse- (b)(2) and (d)(3) of such section are amended TITLE XIV—ARMS CONTROL MATTERS quently been judged to be for ballistic mis- by striking out ‘‘the On-Site Inspection sile early warning and tracking. SEC. 1401. REVISION OF DEFINITION OF LAND- Agency’’ and inserting in lieu thereof ‘‘the (b) FURTHER REFERENCE TO 1987 CONGRES- MINE FOR PURPOSES OF LANDMINE Department of Defense’’. SIONAL STATEMENTS.—Congress further notes EXPORT MORATORIUM. (2) Subsection (c)(3) of such section is Section 1423(d) of the National Defense Au- that in section 902 of the National Defense amended by striking out ‘‘will be counted’’ Authorization Act for Fiscal Years 1988 and thorization Act for Fiscal Year 1994 (Public and all that follows and inserting in lieu 1989 (Public Law 100–180; 101 Stat. 1135) Con- Law 103–160; 107 Stat. 1832) is amended— thereof ‘‘will be counted as discretionary gress also— (1) by redesignating paragraphs (1), (2), and spending in the national defense budget func- (1) noted that the President had certified (3) as subparagraphs (A), (B), and (C), respec- tion (function 050).’’. that the Krasnoyarsk radar was an unequivo- tively; (c) AMOUNT OF ASSISTANCE.—Subsection (d) cal violation of the 1972 Anti-Ballistic Mis- (2) in subparagraph (C), as so redesignated, of such section is amended— sile Treaty; and by striking out ‘‘by remote control or’’; (1) in paragraph (1)— (2) stated it to be the sense of the Congress (3) by inserting ‘‘(1)’’ before ‘‘For purposes (A) by striking out ‘‘for fiscal year 1994’’ that the Soviet Union was in violation of its of’’; and the first place it appears and all that follows legal obligation under that treaty. (4) by adding at the end the following new through the period at the end of the second (c) FURTHER REFERENCE TO 1989 CONGRES- paragraph: sentence and inserting in lieu thereof ‘‘for SIONAL STATEMENTS.—Congress further notes ‘‘(2) The term does not include command any fiscal year shall be derived from that in section 1006(b) of the National De- detonated antipersonnel land mines (such as amounts made available to the Department fense Authorization Act for Fiscal Years 1990 the M18A1 ‘Claymore’ mine).’’. of Defense for that fiscal year.’’; and and 1991 (Public Law 101–189; 103 Stat. 1543) (B) by striking out ‘‘referred to in this SEC. 1402. REPORTS ON MORATORIUM ON USE Congress also— paragraph’’; and BY ARMED FORCES OF ANTI- (1) again noted that in 1987 the President PERSONNEL LANDMINES. (2) in paragraph (3)— declared that radar to be a clear violation of Not later than April 30 of each of 1996, 1997, (A) by striking out ‘‘may not exceed’’ and the 1972 Anti-Ballistic Missile Treaty and and 1998, the Chairman of the Joint Chiefs of all that follows through ‘‘1995’’; and noted that on October 23, 1989, the Foreign Staff shall submit to the congressional de- (B) by inserting before the period at the Minister of the Soviet Union conceded that fense committees a report on the projected end the following: ‘‘, may not exceed the Krasnoyarsk radar is a violation of the effects of a moratorium on the defensive use $25,000,000 for fiscal year 1994, $20,000,000 for 1972 Anti-Ballistic Missile Treaty; and of antipersonnel mines and antitank mines fiscal year 1995, or $15,000,000 for fiscal year (2) stated it to be the sense of the Congress by the Armed Forces. The report shall in- 1996’’. that the Soviet Union should dismantle the clude a discussion of the following matters: SEC. 1404. LIMITATION ON RETIREMENT OR DIS- Krasnoyarsk radar expeditiously and with- (1) The extent to which current doctrine MANTLEMENT OF STRATEGIC NU- out conditions and that until such radar was and practices of the Armed Forces on the de- CLEAR DELIVERY SYSTEMS. completely dismantled it would remain a fensive use of antipersonnel mines and anti- (a) SENSE OF CONGRESS.—It is the sense of clear violation of the 1972 Anti-Ballistic Mis- tank mines adhere to applicable inter- Congress that, unless and until the START II sile Treaty. national law. Treaty enters into force, the Secretary of Defense should not take any action to retire (d) ADDITIONAL FINDINGS.—Congress also (2) The effects that a moratorium would finds, with respect to the Krasnoyarsk radar, have on the defensive use of the current or dismantle, or to prepare to retire or dis- mantle, any of the following strategic nu- that retired Soviet General Y.V. Votintsev, United States inventory of remotely deliv- Director of the Soviet National Air Defense ered, self-destructing antitank systems, clear delivery systems: (1) B-52H bomber aircraft. Forces from 1967 to 1985, has publicly stat- antipersonnel mines, and antitank mines. ed— (3) The reliability of the self-destructing (2) Trident ballistic missile submarines. (3) Minuteman III intercontinental ballis- (1) that he was directed by the Chief of the antipersonnel mines and self-destructing Soviet General staff to locate the large antitank mines of the United States. tic missiles. (4) Peacekeeper intercontinental ballistic phased-array radar at Krasnoyarsk despite (4) The cost of clearing the antipersonnel the recognition by Soviet authorities that minefields currently protecting Naval Sta- missiles. (b) LIMITATION ON USE OF FUNDS.—Funds the location of such a radar at that location tion Guantanamo Bay, Cuba, and other Unit- available to the Department of Defense may would be a clear violation of the 1972 Anti- ed States installations. not be obligated or expended during fiscal Ballistic Missile Treaty; and (5) The cost of replacing antipersonnel year 1996 for retiring or dismantling, or for (2) that Marshal D.F. Ustinov, Soviet Min- mines in such minefields with substitute sys- preparing to retire or dismantle, any of the ister of Defense, threatened to relieve from tems such as the Claymore mine, and the strategic nuclear delivery systems specified duty any Soviet officer who continued to ob- level of protection that would be afforded by in subsection (a). ject to the construction of a large-phased use of such a substitute. SEC. 1405. CONGRESSIONAL FINDINGS AND array radar at Krasnoyarsk. (6) The extent to which the defensive use of SENSE OF CONGRESS CONCERNING (e) SENSE OF CONGRESS CONCERNING SOVIET antipersonnel mines and antitank mines by TREATY VIOLATIONS. TREATY VIOLATIONS.—It is the sense of Con- the Armed Forces is a source of civilian cas- (a) REAFFIRMATION OF PRIOR FINDINGS CON- gress that the government of the Soviet ualties around the world, and the extent to CERNING THE KRASNOYARSK RADAR.—Con- Union intentionally violated its legal obliga- which the United States, and the Depart- gress, noting its previous findings with re- tions under the 1972 Anti-Ballistic Missile ment of Defense particularly, contributes to spect to the large phased-array radar of the Treaty in order to advance its national secu- alleviating the illegal and indiscriminate use Soviet Union known as the ‘‘Krasnoyarsk rity interests. of such munitions. radar’’ stated in paragraphs (1) through (4) of (f) SENSE OF CONGRESS CONCERNING COMPLI- (7) The extent to which the threat to the section 902(a) of the National Defense Au- ANCE BY RUSSIA WITH ARMS CONTROL OBLIGA- security of United States forces during oper- thorization Act for Fiscal Years 1988 and 1989 TIONS.—In light of subsections (a) through ations other than war and combat operations (Public Law 100–180; 101 Stat. 1135) (and (e), it is the sense of Congress that the Unit- would increase as a result of such a morato- reaffirmed in section 1006(a) of the National ed States should remain vigilant in ensuring rium. Defense Authorization Act for Fiscal Years compliance by Russia with its arms control SEC. 1403. EXTENSION AND AMENDMENT OF 1990 and 1991 (Public Law 101–189; 103 Stat. obligations and should, when pursuing future COUNTER-PROLIFERATION AU- 1543)), hereby reaffirms those findings as fol- arms control agreements with Russia, bear THORITIES. lows: in mind violations of arms control obliga- (a) ONE-YEAR EXTENSION OF PROGRAM.— (1) The 1972 Anti-Ballistic Missile Treaty tions by the Soviet Union. Section 1505 of the Weapons of Mass Destruc- prohibits each party from deploying ballistic SEC. 1406. SENSE OF CONGRESS ON RATIFICA- tion Control Act of 1992 (title XV of Public missile early warning radars except at loca- TION OF CHEMICAL WEAPONS CON- Law 102–484; 22 U.S.C. 5859a) is amended— tions along the periphery of its national ter- VENTION AND START II TREATY. (1) in subsection (a), by striking out ‘‘dur- ritory and oriented outward. (a) FINDINGS.—Congress makes the follow- ing fiscal years 1994 and 1995’’; (2) The 1972 Anti-Ballistic Missile Treaty ing findings: (2) in subsection (e)(1), by striking out ‘‘fis- prohibits each party from deploying an ABM (1) Proliferation of chemical or nuclear cal years 1994 and 1995’’ and inserting in lieu system to defend its national territory and weapons materials poses a danger to United thereof ‘‘a fiscal year during which the au- from providing a base for any such nation- States national security, and the threat or thority of the Secretary of Defense to pro- wide defense. use of such materials by terrorists would di- vide assistance under this section is in ef- (3) Large phased-array radars were recog- rectly threaten United States citizens at fect’’; and nized during negotiation of the Anti-Ballis- home and abroad. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 441 (2) Events such as the March 1995 terrorist (15) The Chairman of the Joint Chiefs of biological, or nuclear weapons or’’ before ‘‘to release of a chemical nerve agent in the Staff has testified to Congress that ratifica- acquire’’. Tokyo subway, the threatened use of chemi- tion and full implementation of both treaties (b) SANCTIONS AGAINST TRANSFERS OF FOR- cal weapons during the 1991 Persian Gulf by all parties is in the United States na- EIGN COUNTRIES.—Section 1605(a) of such Act War, and the widespread use of chemical tional interest and has strongly urged is amended by inserting ‘‘to acquire chemi- weapons during the Iran-Iraq War of the prompt Senate advice and consent to their cal, biological, or nuclear weapons or’’ before 1980’s are all potent reminders of the menace ratification. ‘‘to acquire’’. posed by chemical weapons, of the fact that (b) SENSE OF CONGRESS.—It is the sense of (c) CLARIFICATION OF UNITED STATES AS- the threat of chemical weapons is not suffi- Congress that the United States, Russia, and SISTANCE.—Subparagraph (A) of section ciently addressed, and of the need to outlaw all other parties to the START II Treaty and 1608(7) of such Act is amended to read as fol- the development, production, and possession the Chemical Weapons Convention should lows: of chemical weapons. promptly ratify and fully implement, as ne- ‘‘(A) any assistance under the Foreign As- (3) The Chemical Weapons Convention ne- gotiated, both treaties. sistance Act of 1961 (22 U.S.C. 2151 et seq.), gotiated and signed by President Bush would SEC. 1407. IMPLEMENTATION OF ARMS CONTROL other than urgent humanitarian assistance make it more difficult for would-be AGREEMENTS. or medicine;’’. proliferators, including terrorists, to acquire (a) FUNDING.—Of the amounts appropriated (d) NOTIFICATION OF CERTAIN WAIVERS or use chemical weapons, if ratified and fully pursuant to authorizations in sections 102, UNDER MTCR PROCEDURES.—Section 73(e)(2) implemented, as signed, by all signatories. 103, 104, 201, and 301, the Secretary of Defense of the Arms Export Control Act (22 U.S.C. (4) United States military authorities, in- may use an amount not to exceed $239,941,000 2797b(e)(2)) is amended— cluding Chairman of the Joint Chiefs of Staff for implementing arms control agreements (1) by striking out ‘‘the Congress’’ and in- General John Shalikashvili, have stated that to which the United States is a party. serting in lieu thereof ‘‘the Committee on United States military forces will deter and (b) LIMITATION.—(1) Funds made available Armed Services and the Committee on For- respond to chemical weapons threats with a pursuant to subsection (a) for the costs of eign Relations of the Senate and the Com- robust chemical defense and an overwhelm- implementing an arms control agreement mittee on National Security and the Com- ing superior conventional response, as dem- may not (except as provided in paragraph (2)) mittee on International Relations of the onstrated in the Persian Gulf War, and have be used to reimburse expenses incurred by House of Representatives’’; and testified in support of the ratification of the any other party to the agreement for which (2) by striking out ‘‘20 working days’’ and Chemical Weapons Convention. (without regard to any executive agreement inserting in lieu thereof ‘‘45 working days’’. (5) The United States intelligence commu- or any policy not part of an arms control TITLE XV—TECHNICAL AND CLERICAL nity has testified that the Convention will agreement)— AMENDMENTS provide new and important sources of infor- (A) the other party is responsible under the SEC. 1501. AMENDMENTS RELATED TO RESERVE mation, through regular data exchanges and terms of the arms control agreement; and OFFICER PERSONNEL MANAGEMENT routine and challenge inspections, to im- (B) the United States has no responsibility ACT. prove the ability of the United States to as- under the agreement. (a) PUBLIC LAW 103–337.—The Reserve Offi- sess the chemical weapons status in coun- (2) The limitation in paragraph (1) does not cer Personnel Management Act (title XVI of tries of concern. apply to a use of funds to carry out an arms the National Defense Authorization Act for (6) The Convention has not entered into control expenses reimbursement policy of Fiscal Year 1995 (Public Law 103–337)) is force for lack of the requisite number of rati- the United States described in subsection (c). amended as follows: fications. (c) COVERED ARMS CONTROL EXPENSES RE- (1) Section 1624 (108 Stat. 2961) is amend- (7) Russia has signed the Convention, but IMBURSEMENT POLICIES.—Subsection (b)(2) ed— has not yet ratified it. applies to a policy of the United States to re- (A) by striking out ‘‘641’’ and all that fol- (8) There have been reports by Russian imburse expenses incurred by another party lows through ‘‘(2)’’ and inserting in lieu sources of continued Russian production and to an arms control agreement if— thereof ‘‘620 is amended’’; and testing of chemical weapons, including a (1) the policy does not modify any obliga- (B) by redesignating as subsection (d) the statement by a spokesman of the Russian tion imposed by the arms control agreement; subsection added by the amendment made by Ministry of Defense on December 5, 1994, that (2) the President— that section. ‘‘We cannot say that all chemical weapons (A) issued or approved the policy before the (2) Section 1625 (108 Stat. 2962) is amended production and testing has stopped alto- date of the enactment of this Act; or by striking out ‘‘Section 689’’ and inserting gether.’’. (B) entered into an agreement on the pol- in lieu thereof ‘‘Section 12320’’. (9) The Convention will impose a legally icy with the government of another country (3) Section 1626(1) (108 Stat. 2962) is amend- binding obligation on Russia and other na- or approved an agreement on the policy en- ed by striking out ‘‘(W–5)’’ in the second tions that possess chemical weapons and tered into by an official of the United States quoted matter therein and inserting in lieu that ratify the Convention to cease offensive and the government of another country; and thereof ‘‘, W–5,’’. chemical weapons activities and to destroy (3) the President has notified the des- (4) Section 1627 (108 Stat. 2962) is amended their chemical weapons stockpiles and pro- ignated congressional committees of the pol- by striking out ‘‘Section 1005(b)’’ and insert- duction facilities. icy or the policy agreement (as the case may ing in lieu thereof ‘‘Section 12645(b)’’. (10) The United States must be prepared to be), in writing, at least 30 days before the (5) Section 1631 (108 Stat. 2964) is amend- exercise fully its rights under the Conven- date on which the President issued or ap- ed— tion, including the request of challenge in- proved the policy or has entered into or ap- (A) in subsection (a), by striking out ‘‘Sec- spections when warranted, and to exercise proved the policy agreement. tion 510’’ and inserting in lieu thereof ‘‘Sec- leadership in pursuing punitive measures (d) DEFINITIONS.—For the purposes of this tion 12102’’; and against violators of the Convention, when section: (B) in subsection (b), by striking out ‘‘Sec- warranted. (1) The term ‘‘arms control agreement’’ tion 591’’ and inserting in lieu thereof ‘‘Sec- (11) The United States should strongly en- means an arms control treaty or other form tion 12201’’. courage full implementation at the earliest of international arms control agreement. (6) Section 1632 (108 Stat. 2965) is amended possible date of the terms and conditions of (2) The term ‘‘executive agreement’’ means by striking out ‘‘Section 593(a)’’ and insert- the United States-Russia bilateral chemical an international agreement entered into by ing in lieu thereof ‘‘Section 12203(a)’’. weapons destruction agreement signed in the President that is not authorized by law (7) Section 1635(a) (108 Stat. 2968) is amend- 1990. or entered into as a Treaty to which the Sen- ed by striking out ‘‘section 1291’’ and insert- (12) The START II Treaty negotiated and ate has given its advice and consent to ratifi- ing in lieu thereof ‘‘section 1691(b)’’. signed by President Bush would help reduce cation. (8) Section 1671 (108 Stat. 3013) is amend- the danger of potential proliferators, includ- (3) The term ‘‘designated congressional ed— ing terrorists, acquiring nuclear warheads committees’’ means the following: (A) in subsection (b)(3), by striking out and materials, and would contribute to Unit- (A) The Committee on Foreign Relations, ‘‘512, and 517’’ and inserting in lieu thereof ed States-Russian bilateral efforts to secure the Committee on Armed Services, and the ‘‘and 512’’; and and dismantle nuclear warheads, if ratified Committee on Appropriations of the Senate. (B) in subsection (c)(2), by striking out the and fully implemented as signed by both par- (B) The Committee on International Rela- comma after ‘‘861’’ in the first quoted matter ties. tions, the Committee on National Security, therein. (13) It is in the national security interest and the Committee on Appropriations of the (9) Section 1684(b) (108 Stat. 3024) is amend- of the United States to take effective steps House of Representatives. ed by striking out ‘‘section 14110(d)’’ and in- to make it more difficult for proliferators or SEC. 1408. IRAN AND IRAQ ARMS NONPROLIFERA- serting in lieu thereof ‘‘section 14111(c)’’. would-be terrorists to obtain chemical or nu- TION. (b) SUBTITLE E OF TITLE 10.—Subtitle E of clear materials for use in weapons. (a) SANCTIONS AGAINST TRANSFERS OF PER- title 10, United States Code, is amended as (14) The President has urged prompt Sen- SONS.—Section 1604(a) of the Iran–Iraq Arms follows: ate action on, and advice and consent to Non-Proliferation Act of 1992 (title XVI of (1) The tables of chapters preceding part I ratification of, the START II Treaty and the Public Law 102–484; 50 U.S.C. 1701 note) is and at the beginning of part IV are amended Chemical Weapons Convention. amended by inserting ‘‘to acquire chemical, by striking out ‘‘Repayments’’ in the item H 442 CONGRESSIONAL RECORD — HOUSE January 22, 1996 relating to chapter 1609 and inserting in lieu (17) Section 12307 is amended by striking (36) Section 18236(b)(1) is amended by strik- thereof ‘‘Repayment Programs’’. out ‘‘Ready Reserve’’ in the second sentence ing out ‘‘section 2233(e)’’ and inserting in (2)(A) The heading for section 10103 is and inserting in lieu thereof ‘‘Retired Re- lieu thereof ‘‘section 18233(e)’’. amended to read as follows: serve’’. (37) Section 18237 is amended— ‘‘§ 10103. Basic policy for order into Federal (18)(A) The table of sections at the begin- (A) in subsection (a), by striking out ‘‘sec- service’’. ning of chapter 1211 is amended by inserting tion 2233(a)(1)’’ and inserting in lieu thereof ‘‘the’’ in the items relating to sections 12401, ‘‘section 18233(a)(1)’’; and (B) The item relating to section 10103 in 12402, 12403, and 12404 after ‘‘Army and Air (B) in subsection (b), by striking out ‘‘sec- the table of sections at the beginning of National Guard of’’. tion 2233(a)’’ and inserting in lieu thereof chapter 1003 is amended to read as follows: (B) The headings for sections 12402, 12403, ‘‘section 18233(a)’’. ‘‘10103. Basic policy for order into Federal and 12404 are amended by inserting ‘‘the’’ (c) OTHER PROVISIONS OF TITLE 10.—Effec- service.’’. after ‘‘Army and Air National Guard of’’ tive as of December 1, 1994 (except as other- (3) The table of sections at the beginning of (19) Section 12407(b) is amended— wise expressly provided), and as if included chapter 1005 is amended by striking out the (A) by striking out ‘‘of those jurisdictions’’ as amendments made by the Reserve Officer third word in the item relating to section and inserting in lieu thereof ‘‘State’’; and Personnel Management Act (title XVI of Public Law 103–360) as originally enacted, 10142. (B) by striking out ‘‘jurisdictions’’ and in- title 10, United States Code, is amended as (4) The table of sections at the beginning of serting in lieu thereof ‘‘States’’. follows: chapter 1007 is amended— (20) Section 12731(f) is amended by striking (1) Section 101(d)(6)(B)(i) is amended by (A) by striking out the third word in the out ‘‘the date of the enactment of this sub- striking out ‘‘section 175’’ and inserting in item relating to section 10205; and section’’ and inserting in lieu thereof ‘‘Octo- lieu thereof ‘‘section 10301’’. (B) by capitalizing the initial letter of the ber 5, 1994,’’. (2) Section 114(b) is amended by striking sixth word in the item relating to section (21) Section 12731a(c)(3) is amended by in- serting a comma after ‘‘Defense Conversion’’. out ‘‘chapter 133’’ and inserting in lieu there- 10211. of ‘‘chapter 1803’’. (5) The table of sections at the beginning of (22) Section 14003 is amended by inserting ‘‘lists’’ in the section heading immediately (3) Section 115(d) is amended— chapter 1011 is amended by inserting ‘‘Sec.’’ (A) in paragraph (1), by striking out ‘‘sec- at the top of the column of section numbers. before the colon. (23) The table of sections at the beginning tion 673’’ and inserting in lieu thereof ‘‘sec- (6) Section 10507 is amended— tion 12302’’; (A) by striking out ‘‘section 124402(b)’’ and of chapter 1403 is amended by striking out ‘‘selection board’’ in the item relating to sec- (B) in paragraph (2), by striking out ‘‘sec- inserting in lieu thereof ‘‘section 12402(b)’’; tion 14105 and inserting in lieu thereof ‘‘pro- tion 673b’’ and inserting in lieu thereof ‘‘sec- and motion board’’. tion 12304’’; and (B) by striking out ‘‘Air Forces’’ and in- (24) The table of sections at the beginning (C) in paragraph (3), by striking out ‘‘sec- serting in lieu thereof ‘‘Air Force’’. of chapter 1405 is amended— tion 3500 or 8500’’ and inserting in lieu there- (7)(A) Section 10508 is repealed. (A) in the item relating to section 14307, by of ‘‘section 12406’’. (B) The table of sections at the beginning striking out ‘‘Numbers’’ and inserting in lieu (4) Section 123(a) is amended— of chapter 1011 is amended by striking out thereof ‘‘Number’’; (A) by striking out ‘‘281, 592, 1002, 1005, 1006, the item relating to section 10508. (B) in the item relating to section 14309, by 1007, 1374, 3217, 3218, 3219, 3220, 3352(a) (last (8) Section 10542 is amended by striking striking out the colon and inserting in lieu sentence),’’, ‘‘5414, 5457, 5458, 5506,’’, and out subsection (d). thereof a semicolon; and ‘‘8217, 8218, 8219,’’; and (9) Section 12004(a) is amended by striking (C) in the item relating to section 14314, by (B) by striking out ‘‘and 8855’’ and insert- out ‘‘active-status’’ and inserting in lieu capitalizing the initial letter of the ante- ing in lieu thereof ‘‘8855, 10214, 12003, 12004, thereof ‘‘active status’’. penultimate word. 12005, 12007, 12202, 12213(a) (second sentence), (10) Section 12012 is amended by inserting (25) Section 14315(a) is amended by striking 12642, 12645, 12646, 12647, 12771, 12772, and ‘‘the’’ in the section heading before the pe- out ‘‘a Reserve officer’’ and inserting in lieu 12773’’. nultimate word. thereof ‘‘a reserve officer’’. (5) Section 582(1) is amended by striking (11)(A) The heading for section 12201 is (26) Section 14317(e) is amended— out ‘‘section 672(d)’’ in subparagraph (B) and amended to read as follows: (A) by inserting ‘‘OFFICERS ORDERED TO AC- ‘‘section 673b’’ in subparagraph (D) and in- ‘‘§ 12201. Reserve officers: qualifications for TIVE DUTY IN TIME OF WAR OR NATIONAL serting in lieu thereof ‘‘section 12301(d)’’ and appointment’’. EMERGENCY.—’’ after ‘‘(e)’’; and ‘‘section 12304’’, respectively. (B) The item relating to that section in the (B) by striking out ‘‘section 10213 or 644’’ (6) Section 641(1)(B) is amended by striking table of sections at the beginning of chapter and inserting in lieu thereof ‘‘section 123 or out ‘‘10501’’ and inserting in lieu thereof 1205 is amended to read as follows: 10213’’. ‘‘10502, 10505, 10506(a), 10506(b), 10507’’. (27) The table of sections at the beginning (7) The table of sections at the beginning of ‘‘12201. Reserve officers: qualifications for of chapter 1407 is amended— chapter 39 is amended by striking out the appointment.’’. (A) in the item relating to section 14506, by items relating to sections 687 and 690. (12)(A) The heading for section 12209 is inserting ‘‘reserve’’ after ‘‘Marine Corps (8) Sections 1053(a)(1) and 1064 are amended amended to read as follows: and’’; and by striking out ‘‘chapter 67’’ and inserting in ‘‘§ 12209. Officer candidates: enlisted Re- (B) in the item relating to section 14507, by lieu thereof ‘‘chapter 1223’’. serves’’. inserting ‘‘reserve’’ after ‘‘Removal from (9) Section 1063(a)(1) is amended by strik- the’’; and ing out ‘‘section 1332(a)(2)’’ and inserting in (B) The heading for section 12210 is amend- (C) in the item relating to section 14509, by lieu thereof ‘‘section 12732(a)(2)’’. ed to read as follows: inserting ‘‘in grades’’ after ‘‘reserve offi- (10) Section 1074b(b)(2) is amended by strik- ‘‘§ 12210. Attending Physician to the Con- cers’’. ing out ‘‘section 673c’’ and inserting in lieu gress: reserve grade while so serving’’. (28) Section 14501(a) is amended by insert- thereof ‘‘section 12305’’. (13)(A) The headings for sections 12211, ing ‘‘OFFICERS BELOW THE GRADE OF COLONEL (11) Section 1076(b)(2)(A) is amended by 12212, 12213, and 12214 are amended by insert- OR NAVY CAPTAIN.—’’ after ‘‘(a)’’. striking out ‘‘before the effective date of the ing ‘‘the’’ after ‘‘National Guard of’’ (29) The heading for section 14506 is amend- Reserve Officer Personnel Management Act’’ (B) The table of sections at the beginning ed by inserting a comma after ‘‘Air Force’’. and inserting in lieu thereof ‘‘before Decem- of chapter 1205 is amended by inserting (30) Section 14508 is amended by striking ber 1, 1994’’. ‘‘the’’ in the items relating to sections 12211, out ‘‘this’’ after ‘‘from an active status (12) Section 1176(b) is amended by striking 12212, 12213, and 12214 after ‘‘National Guard under’’ in subsections (c) and (d). out ‘‘section 1332’’ in the matter preceding of’’. (31) Section 14515 is amended by striking paragraph (1) and in paragraphs (1) and (2) (14) Section 12213(a) is amended by striking out ‘‘inactive status’’ and inserting in lieu and inserting in lieu thereof ‘‘section 12732’’. out ‘‘section 593’’ and inserting in lieu there- thereof ‘‘inactive-status’’. (13) Section 1208(b) is amended by striking of ‘‘section 12203’’. (32) Section 14903(b) is amended by striking out ‘‘section 1333’’ and inserting in lieu (15) The table of sections at the beginning out ‘‘chapter’’ and inserting in lieu thereof thereof ‘‘section 12733’’. of chapter 1207 is amended by striking out ‘‘title’’. (14) Section 1209 is amended by striking ‘‘promotions’’ in the item relating to section (33) The table of sections at the beginning out ‘‘section 1332’’, ‘‘section 1335’’, and 12243 and inserting in lieu thereof ‘‘pro- of chapter 1606 is amended in the item relat- ‘‘chapter 71’’ and inserting in lieu thereof motion’’. ing to section 16133 by striking out ‘‘limita- ‘‘section 12732’’, ‘‘section 12735’’, and ‘‘section (16) The table of sections at the beginning tions’’ and inserting in lieu thereof ‘‘limita- 12739’’, respectively. of chapter 1209 is amended— tion’’. (15) Section 1407 is amended— (A) in the item relating to section 12304, by (34) Section 16132(c) is amended by striking (A) in subsection (c)(1) and (d)(1), by strik- striking out the colon and inserting in lieu out ‘‘section’’ and inserting in lieu thereof ing out ‘‘section 1331’’ and inserting in lieu thereof a semicolon; and ‘‘sections’’. thereof ‘‘section 12731’’; and (B) in the item relating to section 12308, by (35) Section 16135(b)(1)(A) is amended by (B) in the heading for paragraph (1) of sub- striking out the second, third, and fourth striking out ‘‘section 2131(a)’’ and inserting section (d), by striking out ‘‘CHAPTER 67’’ and words. in lieu thereof ‘‘section 16131(a)’’. inserting in lieu thereof ‘‘CHAPTER 1223’’. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 443 (16) Section 1408(a)(5) is amended by strik- (ii) in subsection (b)— Officer Personnel Management Act as en- ing out ‘‘section 1331’’ and inserting in lieu (I) by inserting ‘‘or section 12732’’ in para- acted on October 5, 1994. thereof ‘‘section 12731’’. graph (1) after ‘‘under that section’’; and (17) Section 1431(a)(1) is amended by strik- (II) by inserting ‘‘or 12731(a)’’ in paragraph SEC. 1502. AMENDMENTS TO REFLECT NAME CHANGE OF COMMITTEE ON ARMED ing out ‘‘section 1376(a)’’ and inserting in (2) after ‘‘section 1331(a)’’; SERVICES OF THE HOUSE OF REP- lieu thereof ‘‘section 12774(a)’’. (iii) in subsection (e)(2), by striking out RESENTATIVES. (18) Section 1463(a)(2) is amended by strik- ‘‘section 1332’’ and inserting in lieu thereof ing out ‘‘chapter 67’’ and inserting in lieu ‘‘section 12732’’; and (a) TITLE 10, UNITED STATES CODE.—Title thereof ‘‘chapter 1223’’. (iv) in subsection (g), by striking out ‘‘sec- 10, United States Code, is amended as fol- (19) Section 1482(f)(2) is amended by insert- tion 1331a’’ and inserting in lieu thereof lows: ing ‘‘section’’ before ‘‘12731 of this title’’. ‘‘section 12731a’’; and (1) Sections 503(b)(5), 520a(d), 526(d)(1), (20) The table of sections at the beginning (C) in section 4418— 619a(h)(2), 806a(b), 838(b)(7), 946(c)(1)(A), of chapter 533 is amended by striking out the (i) in subsection (a), by striking out ‘‘sec- 1098(b)(2), 2313(b)(4), 2361(c)(1), 2371(h), 2391(c), item relating to section 5454. tion 1332’’ and inserting in lieu thereof ‘‘sec- 2430(b), 2432(b)(3)(B), 2432(c)(2), 2432(h)(1), (21) Section 2006(b)(1) is amended by strik- tion 12732’’; and 2667(d)(3), 2672a(b), 2687(b)(1), 4342(g), ing out ‘‘chapter 106 of this title’’ and insert- (ii) in subsection (b)(1)(A), by striking out 7307(b)(1)(A), and 9342(g) are amended by ing in lieu thereof ‘‘chapter 1606 of this ‘‘section 1333’’ and inserting in lieu thereof striking out ‘‘Committees on Armed Serv- title’’. ‘‘section 12733’’. ices of the Senate and House of Representa- (22) Section 2121(c) is amended by striking (4) Title 37, United States Code, is amend- tives’’ and inserting in lieu thereof ‘‘Com- out ‘‘section 3353, 5600, or 8353’’ and inserting ed— mittee on Armed Services of the Senate and in lieu thereof ‘‘section 12207’’, effective on (A) in section 302f(b), by striking out ‘‘sec- the Committee on National Security of the the effective date specified in section tion 673c of title 10’’ in paragraphs (2) and House of Representatives’’. 1691(b)(1) of Public Law 103–337. (3)(A) and inserting in lieu thereof ‘‘section (2) Sections 178(c)(1)(A), 942(e)(5), 2350f(c), (23) Section 2130a(b)(3) is amended by strik- 12305 of title 10’’; and 7426(e), 7431(a), 7431(b)(1), 7431(c), 7438(b), ing out ‘‘section 591’’ and inserting in lieu (B) in section 433(a), by striking out ‘‘sec- 12302(b), 18235(a), and 18236(a) are amended by thereof ‘‘section 12201’’. tion 687 of title 10’’ and inserting in lieu striking out ‘‘Committees on Armed Serv- (24) The table of sections at the beginning thereof ‘‘section 12319 of title 10’’. ices of the Senate and the House of Rep- of chapter 337 is amended by striking out the (e) CROSS REFERENCES IN OTHER LAWS.— resentatives’’ and inserting in lieu thereof items relating to section 3351 and 3352. (1) Title 14, United States Code, is amend- ‘‘Committee on Armed Services of the Sen- (25) Sections 3850, 6389(c), 6391(c), and 8850 ed— ate and the Committee on National Security are amended by striking out ‘‘section 1332’’ (A) in section 705(f), by striking out ‘‘600 of and inserting in lieu thereof ‘‘section 12732’’. title 10’’ and inserting in lieu thereof ‘‘12209 of the House of Representatives’’. (26) Section 5600 is repealed, effective on of title 10’’; and (3) Section 113(j)(1) is amended by striking the effective date specified in section (B) in section 741(c), by striking out ‘‘sec- out ‘‘Committees on Armed Services and 1691(b)(1) of Public Law 103–337. tion 1006 of title 10’’ and inserting in lieu Committees on Appropriations of the Senate (27) Section 5892 is amended by striking thereof ‘‘section 12646 of title 10’’. and’’ and inserting in lieu thereof ‘‘Commit- out ‘‘section 5457 or section 5458’’ and insert- (2) Title 38, United States Code, is amend- tee on Armed Services and the Committee on ing in lieu thereof ‘‘section 12004 or section ed— Appropriations of the Senate and the Com- 12005’’. (A) in section 3011(d)(3), by striking out mittee on National Security and the Com- (28) Section 6410(a) is amended by striking ‘‘section 672, 673, 673b, 674, or 675 of title 10’’ mittee on Appropriations of the’’. out ‘‘section 1005’’ and inserting in lieu and inserting in lieu thereof ‘‘section 12301, (4) Section 119(g) is amended by striking thereof ‘‘section 12645’’. 12302, 12304, 12306, or 12307 of title 10’’; out paragraphs (1) and (2) and inserting in (29) The table of sections at the beginning (B) in sections 3012(b)(1)(B)(iii) and lieu thereof the following: of chapter 837 is amended by striking out the 3701(b)(5)(B), by striking out ‘‘section 268(b) ‘‘(1) the Committee on Armed Services and items relating to section 8351 and 8352. of title 10’’ and inserting in lieu thereof ‘‘sec- the Committee on Appropriations, and the (30) Section 8360(b) is amended by striking tion 10143(a) of title 10’’; Defense Subcommittee of the Committee on out ‘‘section 1002’’ and inserting in lieu (C) in section 3501(a)(3)(C), by striking out Appropriations, of the Senate; and thereof ‘‘section 12642’’. ‘‘section 511(d) of title 10’’ and inserting in ‘‘(2) the Committee on National Security (31) Section 8380 is amended by striking lieu thereof ‘‘section 12103(d) of title 10’’; and and the Committee on Appropriations, and out ‘‘section 524’’ in subsections (a) and (b) (D) in section 4211(4)(C), by striking out the National Security Subcommittee of the and inserting in lieu thereof ‘‘section 12011’’. ‘‘section 672(a), (d), or (g), 673, or 673b of title Committee on Appropriations, of the House (32) Sections 8819(a), 8846(a), and 8846(b) are 10’’ and inserting in lieu thereof ‘‘section of Representatives.’’. amended by striking out ‘‘sections 1005 and 12301(a), (d), or (g), 12302, or 12304 of title 10’’. (5) Section 127(c) is amended by striking 1006’’ and inserting in lieu thereof ‘‘sections (3) Section 702(a)(1) of the Soldiers’ and out ‘‘Committees on Armed Services and Ap- 12645 and 12646’’. Sailors’ Civil Relief Act of 1940 (50 U.S.C. propriations of the Senate and’’ and insert- (33) Section 8819 is amended by striking App. 592(a)(1)) is amended— ing in lieu thereof ‘‘Committee on Armed out ‘‘section 1005’’ and ‘‘section 1006’’ and in- (A) by striking out ‘‘section 672 (a) or (g), Services and the Committee on Appropria- serting in lieu thereof ‘‘section 12645’’ and 673, 673b, 674, 675, or 688 of title 10’’ and in- tions of the Senate and the Committee on ‘‘section 12646’’, respectively. serting in lieu thereof ‘‘section 688, 12301(a), National Security and the Committee on Ap- (d) CROSS REFERENCES IN OTHER DEFENSE 12301(g), 12302, 12304, 12306, or 12307 of title propriations of’’. LAWS.— 10’’; and (6) Section 135(e) is amended— (1) Section 337(b) of the National Defense (B) by striking out ‘‘section 672(d) of such (A) by inserting ‘‘(1)’’ after ‘‘(e)’’; Authorization Act for Fiscal Year 1995 (Pub- title’’ and inserting in lieu thereof ‘‘section (B) by striking out ‘‘the Committees on lic Law 103–337; 108 Stat. 2717) is amended by 12301(d) of such title’’. Armed Services and the Committees on Ap- inserting before the period at the end the fol- (4) Section 463A of the Higher Education propriations of the Senate and House of Rep- lowing: ‘‘or who after November 30, 1994, Act of 1965 (20 U.S.C. 1087cc–1) is amended in resentatives are each’’ and inserting in lieu transferred to the Retired Reserve under sec- subsection (a)(10) by striking out ‘‘(10 U.S.C. thereof ‘‘each congressional committee spec- tion 10154(2) of title 10, United States Code, 2172)’’ and inserting in lieu thereof ‘‘(10 ified in paragraph (2) is’’; and without having completed the years of serv- U.S.C. 16302)’’. (C) by adding at the end the following: ice required under section 12731(a)(2) of such (5) Section 179 of the National and Commu- title for eligibility for retired pay under nity Service Act of 1990 (42 U.S.C. 12639) is ‘‘(2) The committees referred to in para- chapter 1223 of such title’’. amended in subsection (a)(2)(C) by striking graph (1) are— (2) Section 525 of the National Defense Au- out ‘‘section 216(a) of title 5’’ and inserting ‘‘(A) the Committee on Armed Services and thorization Act for Fiscal Years 1992 and 1993 in lieu thereof ‘‘section 10101 of title 10’’. the Committee on Appropriations of the Sen- (Public Law 102–190, 105 Stat. 1363) is amend- (f) EFFECTIVE DATES.— ate; and ed by striking out ‘‘section 690’’ and insert- (1) Section 1636 of the Reserve Officer Per- ‘‘(B) the Committee on National Security ing in lieu thereof ‘‘section 12321’’. sonnel Management Act shall take effect on and the Committee on Appropriations of the (3) Subtitle B of title XLIV of the National the date of the enactment of this Act. House of Representatives.’’. Defense Authorization Act for Fiscal Year (2) The amendments made by sections (7) Section 179(e) is amended by striking 1993 (Public Law 102–484; 10 U.S.C. 12681 note) 1672(a), 1673(a) (with respect to chapters 541 out ‘‘to the Committees on Armed Services is amended— and 549), 1673(b)(2), 1673(b)(4), 1674(a), and and Appropriations of the Senate and’’ and (A) in section 4415, by striking out ‘‘section 1674(b)(7) shall take effect on the effective inserting in lieu thereof ‘‘to the Committee 1331a’’ and inserting in lieu thereof ‘‘section date specified in section 1691(b)(1) of the Re- on Armed Services and the Committee on 12731a’’; serve Officer Personnel Management Act Appropriations of the Senate and the Com- (B) in subsection 4416— (notwithstanding section 1691(a) of such mittee on National Security and the Com- (i) in subsection (a), by striking out ‘‘sec- Act). mittee on Appropriations of the’’. tion 1331’’ and inserting in lieu thereof ‘‘sec- (3) The amendments made by this section (8) Sections 401(d) and 402(d) are amended tion 12731’’; shall take effect as if included in the Reserve by striking out ‘‘submit to the’’ and all that H 444 CONGRESSIONAL RECORD — HOUSE January 22, 1996 follows through ‘‘Foreign Affairs’’ and in- of Representatives’’ and inserting in lieu ‘‘(2) The committees referred to in para- serting in lieu thereof ‘‘submit to the Com- thereof ‘‘the Secretary submits to the Com- graph (1) are— mittee on Armed Services and the Commit- mittee on Armed Services and the Commit- ‘‘(A) the Committee on Armed Services and tee on Foreign Relations of the Senate and tee on Foreign Relations of the Senate and the Committee on Appropriations of the Sen- the Committee on National Security and the the Committee on National Security and the ate; and Committee on International Relations’’. Committee on International Relations of the ‘‘(B) the Committee on National Security (9) Section 2367(d)(2) is amended by strik- House of Representatives notice of the in- and the Committee on Appropriations of the ing out ‘‘the Committees on Armed Services tended designation’’. House of Representatives.’’. and the Committees on Appropriations of the (17) Section 2350a(f)(2) is amended by strik- (23) Section 2662 is amended— Senate and’’ and inserting in lieu thereof ing out ‘‘submit to the Committees’’ and all (A) in subsection (a)— ‘‘the Committee on Armed Services and the that follows through ‘‘House of Representa- (i) in the matter preceding paragraph (1), Committee on Appropriations of the Senate tives’’ and inserting in lieu thereof ‘‘submit by striking out ‘‘the Committees on Armed and the Committee on National Security and to the Committee on Armed Services and the Services of the Senate and House of Rep- the Committee on Appropriations of the’’. Committee on Foreign Relations of the Sen- resentatives’’ and inserting in lieu thereof (10) Sections 2306b(g), 2801(c)(4), and ate and the Committee on National Security ‘‘the Committee on Armed Services of the 18233a(a)(1) are amended by striking out ‘‘the and the Committee on International Rela- Senate and the Committee on National Secu- Committees on Armed Services and on Ap- tions of the House of Representatives’’. rity of the House of Representatives’’; and propriations of the Senate and’’ and insert- (18) Section 2366 is amended— (ii) in the matter following paragraph (6), ing in lieu thereof ‘‘the Committee on Armed (A) in subsection (d), by striking out ‘‘the by striking out ‘‘to be submitted to the Com- Services and the Committee on Appropria- Committees on Armed Services and on Ap- mittees on Armed Services of the Senate and tions of the Senate and the Committee on propriations of the Senate and House of Rep- House of Representatives’’; National Security and the Committee on Ap- resentatives’’ and inserting in lieu thereof (B) in subsection (b), by striking out ‘‘shall propriations of the’’. ‘‘the congressional defense committees’’; and report annually to the Committees on Armed (11) Section 1599(e)(2) is amended— (B) by adding at the end of subsection (e) Services of the Senate and the House of Rep- (A) in subparagraph (A), by striking out the following new paragraph: resentatives’’ and inserting in lieu thereof ‘‘The Committees on Armed Services and Ap- ‘‘(7) The term ‘congressional defense com- ‘‘shall submit annually to the congressional propriations’’ and inserting in lieu thereof mittees’ means— committees named in subsection (a) a re- ‘‘The Committee on National Security, the ‘‘(A) the Committee on Armed Services and port’’; Committee on Appropriations,’’; and the Committee on Appropriations of the Sen- (C) in subsection (e), by striking out ‘‘the (B) in subparagraph (B), by striking out ate; and Committees on Armed Services of the Senate ‘‘The Committees on Armed Services and Ap- ‘‘(B) the Committee on National Security and the House of Representatives’’ and in- propriations’’ and inserting in lieu thereof and the Committee on Appropriations of the serting in lieu thereof ‘‘the congressional ‘‘The Committee on Armed Services, the House of Representatives.’’. committees named in subsection (a)’’; and Committee on Appropriations,’’. (19) Section 2399(h)(2) is amended by strik- (D) in subsection (f), by striking out ‘‘the (12) Sections 4355(a)(3), 6968(a)(3), and ing out ‘‘means’’ and all the follows and in- Committees on Armed Services of the Senate 9355(a)(3) are amended by striking out serting in lieu thereof the following: and the House of Representatives shall’’ and ‘‘Armed Services’’ and inserting in lieu ‘‘means— inserting in lieu thereof ‘‘the congressional thereof ‘‘National Security’’. ‘‘(A) the Committee on Armed Services and committees named in subsection (a) shall’’. (13) Section 1060(d) is amended by striking the Committee on Appropriations of the Sen- (24) Section 2674(a) is amended— out ‘‘Committee on Armed Services and the ate; and (A) in paragraph (2), by striking out ‘‘Com- Committee on Foreign Affairs’’ and inserting ‘‘(B) the Committee on National Security mittees on Armed Services of the Senate and in lieu thereof ‘‘Committee on National Se- and the Committee on Appropriations of the the House of Representatives, the Committee curity and the Committee on International House of Representatives.’’. on Environment and Public Works of the Relations’’. (20) Section 2401(b)(1) is amended— Senate, and the Committee on Public Works (14) Section 2215 is amended— (A) in subparagraph (B), by striking out and Transportation of the House of Rep- (A) by inserting ‘‘(a) CERTIFICATION RE- ‘‘the Committees on Armed Services and on resentatives’’ and inserting in lieu thereof QUIRED.—’’ at the beginning of the text of the ‘‘congressional committees specified in para- section; Appropriations of the Senate and’’ and in- graph (3)’’; and (B) by striking out ‘‘to the Committees’’ serting in lieu thereof ‘‘the Committee on (B) by adding at the end the following new and all that follows through ‘‘House of Rep- Armed Services and the Committee on Ap- paragraph: resentatives’’ and inserting in lieu thereof propriations of the Senate and the Commit- tee on National Security and the Commit- ‘‘(3) The committees referred to in para- ‘‘to the congressional committees specified graph (2) are— in subsection (b)’’; and tees on Appropriations of the’’; and (B) in subparagraph (C), by striking out ‘‘(A) the Committee on Armed Services and (C) by adding at the end the following: the Committee on Environment and Public ‘‘(b) CONGRESSIONAL COMMITTEES.—The ‘‘the Committees on Armed Services and on Works of the Senate; and committees referred to in subsection (a) Appropriations of the Senate and House of ‘‘(B) the Committee on National Security are— Representatives’’ and inserting in lieu there- and the Committee on Transportation and ‘‘(1) the Committee on Armed Services and of ‘‘those committees’’. Infrastructure of the House of Representa- the Committee on Appropriations of the Sen- (21) Section 2403(e) is amended— tives.’’. ate; and (A) by inserting ‘‘(1)’’ before ‘‘Before mak- (25) Section 2813(c) is amended by striking ‘‘(2) the Committee on National Security ing’’; out ‘‘Committees on Armed Services and the and the Committee on Appropriations of the (B) by striking out ‘‘shall notify the Com- Committees on Appropriations of the Senate House of Representatives.’’. mittees on Armed Services and on Appro- and House of Representatives’’ and inserting (15) Section 2218 is amended— priations of the Senate and House of Rep- in lieu thereof ‘‘appropriate committees of (A) in subsection (j), by striking out ‘‘the resentatives’’ and inserting in lieu thereof Congress’’. Committees on Armed Services and on Ap- ‘‘shall submit to the congressional commit- (26) Sections 2825(b)(1) and 2832(b)(2) are propriations of the Senate and the House of tees specified in paragraph (2) notice’’; and amended by striking out ‘‘Committees on Representatives’’ and inserting in lieu there- (C) by adding at the end the following new Armed Services and the Committees on Ap- of ‘‘the congressional defense committees’’; paragraph: propriations of the Senate and of the House and ‘‘(2) The committees referred to in para- of Representatives’’ and inserting in lieu (B) by adding at the end of subsection (k) graph (1) are— thereof ‘‘appropriate committees of Con- the following new paragraph: ‘‘(A) the Committee on Armed Services and gress’’. ‘‘(4) The term ‘congressional defense com- the Committee on Appropriations of the Sen- (27) Section 2865(e)(2) and 2866(c)(2) are mittees’ means— ate; and amended by striking out ‘‘Committees on ‘‘(A) the Committee on Armed Services and ‘‘(B) the Committee on National Security Armed Services and Appropriations of the the Committee on Appropriations of the Sen- and the Committee on Appropriations of the Senate and House of Representatives’’ and ate; and House of Representatives.’’. inserting in lieu thereof ‘‘appropriate com- ‘‘(B) the Committee on National Security (22) Section 2515(d) is amended— mittees of Congress’’. and the Committee on Appropriations of the (A) by striking out ‘‘REPORTING’’ and all (28)(A) Section 7434 of such title is amend- House of Representatives.’’. that follows through ‘‘same time’’ and in- ed to read as follows: (16) Section 2342(b) is amended— serting in lieu thereof ‘‘ANNUAL REPORT.—(1) (A) in the matter preceding paragraph (1), The Secretary of Defense shall submit to the ‘‘§ 7434. Annual report to congressional com- by striking out ‘‘section—’’ and inserting in congressional committees specified in para- mittees lieu thereof ‘‘section unless—’’; graph (2) an annual report on the activities ‘‘Not later than October 31 of each year, (B) in paragraph (1), by striking out ‘‘un- of the Office. The report shall be submitted the Secretary shall submit to the Committee less’’; and each year at the same time’’; and on Armed Services of the Senate and the (C) in paragraph (2), by striking out ‘‘noti- (B) by adding at the end the following new Committee on National Security of the fies the’’ and all that follows through ‘‘House paragraph: House of Representatives a report on the January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 445 production from the naval petroleum re- (C) Section 1457 (50 U.S.C. 404c) is amend- of title XXIX of Public Law 101–510; 10 U.S.C. serves during the preceding calendar year.’’. ed— 2687 note) is amended as follows: (B) The item relating to such section in (i) in subsection (a), by striking out ‘‘shall (1) Sections 2902(e)(2)(B)(ii) and 2908(b) are the table of contents at the beginning of submit to the’’ and all that follows through amended by striking out ‘‘Armed Services’’ chapter 641 is amended to read as follows: ‘‘each year’’ and inserting in lieu thereof the first place it appears and inserting in ‘‘7434. Annual report to congressional com- ‘‘shall submit to the congressional commit- lieu thereof ‘‘National Security’’. mittees.’’. tees specified in subsection (d) each year’’; (2) Section 2910(2) is amended by striking (b) TITLE 37, UNITED STATES CODE.—Sec- (ii) in subsection (c)— out ‘‘the Committees on Armed Services and tions 301b(i)(2) and 406(i) of title 37, United (I) by striking out ‘‘(1) Except as provided the Committees on Appropriations of the States Code, are amended by striking out in paragraph (2), the President’’ and insert- Senate and of the House of Representatives’’ ‘‘Committees on Armed Services of the Sen- ing in lieu thereof ‘‘The President’’; and and inserting in lieu thereof ‘‘the Committee ate and House of Representatives’’ and in- (II) by striking out paragraph (2); and on Armed Services and the Committee on serting in lieu thereof ‘‘Committee on Armed (iii) by adding at the end the following new Appropriations of the Senate and the Com- Services of the Senate and the Committee on subsection: mittee on National Security and the Com- National Security of the House of Represent- ‘‘(d) SPECIFIED CONGRESSIONAL COMMIT- mittee on Appropriations of the House of atives’’. TEES.—The congressional committees re- Representatives’’. NNUAL DEFENSE AUTHORIZATION ATIONAL EFENSE TOCKPILE (c) A ferred to in subsection (a) are the following: (e) N D S .—The ACTS.— Strategic and Critical Materials Stock Pil- ‘‘(1) The Committee on Armed Services and (1) The National Defense Authorization ing Act is amended— the Committee on Foreign Relations of the Act for Fiscal Year 1994 (Public Law 103–160) (1) in section 6(d) (50 U.S.C. 98e(d))— Senate. is amended in sections 2922(b) and 2925(b) (10 (A) in paragraph (1), by striking out ‘‘Com- ‘‘(2) The Committee on National Security U.S.C. 2687 note) by striking out ‘‘Commit- mittees on Armed Services of the Senate and and the Committee on International Rela- tees on Armed Services of the Senate and House of Representatives’’ and inserting in tions of the House of Representatives.’’. House of Representatives’’ and inserting in lieu thereof ‘‘Committee on Armed Services (D) Section 2921 (10 U.S.C. 2687 note) is lieu thereof ‘‘Committee on Armed Services of the Senate and the Committee on Na- of the Senate and the Committee on Na- amended— tional Security of the House of Representa- tional Security of the House of Representa- (i) in subsection (e)(3)(A), by striking out tives’’; and tives’’. ‘‘the Committee on Armed Services, the (B) in paragraph (2), by striking out ‘‘the (2) The National Defense Authorization Committee on Appropriations, and the De- Committees on Armed Services of the Senate Act for Fiscal Year 1993 (Public Law 102–484) fense Subcommittees’’ and inserting in lieu and House of Representatives’’ and inserting is amended— thereof ‘‘the Committee on National Secu- in lieu thereof ‘‘such congressional commit- (A) in section 326(a)(5) (10 U.S.C. 2301 note) rity, the Committee on Appropriations, and tees’’; and and section 1304(a) (10 U.S.C. 113 note), by the National Security Subcommittee’’; and (2) in section 7(b) (50 U.S.C. 98f(b)), by striking out ‘‘Com- mittees on Armed Serv- (ii) in subsection (g)(2), by striking out striking out ‘‘Committees on Armed Serv- ices of the Senate and House of Representa- ‘‘the Committee on Armed Services of the ices of the Senate and House of Representa- tives’’ and inserting in lieu thereof ‘‘Com- Senate and House of Representatives’’ and tives’’ and inserting in lieu thereof ‘‘Com- mittee on Armed Services of the Senate and inserting in lieu thereof ‘‘the Committee on mittee on Armed Services of the Senate and the Committee on National Security of the Armed Services of the Senate and the Com- the Committee on National Security of the House of Representatives’’; and mittee on National Security of the House of House of Representatives’’. (B) in section 1505(e)(2)(B) (22 U.S.C. 5859a), Representatives’’. (f) OTHER DEFENSE-RELATED PROVISIONS.— by striking out ‘‘the Committee on Armed (5) Section 613(h)(1) of the National Defense (1) Section 8125(g)(2) of the Department of Services, the Committee on Appropriations, Authorization Act, Fiscal Year 1989 (Public Defense Appropriations Act, 1989 (Public Law the Committee on Foreign Affairs, and the Law 100–456; 37 U.S.C. 302 note), is amended 100–463; 10 U.S.C. 113 note), is amended by Committee on Energy and Commerce’’ and by striking out ‘‘the Committees on Armed striking out ‘‘Committees on Appropriations inserting in lieu thereof ‘‘the Committee on Services of the Senate and the House of Rep- and Armed Services of the Senate and House National Security, the Committee on Appro- resentatives’’ and inserting in lieu thereof of Representatives’’ and inserting in lieu priations, the Committee on International ‘‘the Committee on Armed Services of the thereof ‘‘Committee on Appropriations and Relations, and the Committee on Com- Senate and the Committee on National Secu- the Committee on Armed Services of the merce’’. rity of the House of Representatives’’. Senate and the Committee on Appropria- (3) Section 1097(a)(1) of the National De- (6) Section 1412 of the Department of De- tions and the Committee on National Secu- fense Authorization Act for Fiscal Years 1992 fense Authorization Act, 1986 (Public Law 99– rity of the House of Representatives’’. and 1993 (Public Law 102–190; 22 U.S.C. 2751 145; 50 U.S.C. 1521), is amended in subsections (2) Section 9047A of the Department of De- note) is amended by striking out ‘‘the Com- (b)(4) and (k)(2), by striking out ‘‘Commit- fense Appropriations Act, 1993 (Public Law mittees on Armed Services and Foreign Af- tees on Armed Services of the Senate and 102–396; 10 U.S.C. 2687 note), is amended by fairs’’ and inserting in lieu thereof ‘‘the House of Representatives’’ and inserting in striking out ‘‘the Committees on Appropria- Committee on National Security and the lieu thereof ‘‘Committee on Armed Services tions and Armed Services of the House of Committee on International Relations’’. of the Senate and the Committee on Na- Representatives and the Senate’’ and insert- (4) The National Defense Authorization tional Security of the House of Representa- ing in lieu thereof ‘‘the Committee on Appro- Act for Fiscal Year 1991 (Public Law 101–510) tives’’. priations and the Committee on Armed Serv- is amended as follows: (7) Section 1002(d) of the Department of De- ices of the Senate and the Committee on Ap- (A) Section 402(a) and section 1208(b)(3) (10 fense Authorization Act, 1985 (Public Law 98– propriations and the Committee on National U.S.C. 1701 note) are amended by striking 525; 22 U.S.C. 1928 note), is amended by strik- Security of the House of Representatives’’. out ‘‘Committees on Armed Services of the ing out ‘‘the Committees on Armed Services (3) Section 3059(c)(1) of the Defense Drug Senate and the House of Representatives’’ of the Senate and the House of Representa- Interdiction Assistance Act (subtitle A of and inserting in lieu thereof ‘‘Committee on tives’’ and inserting in lieu thereof ‘‘the title III of Public Law 99–570; 10 U.S.C. 9441 Armed Services of the Senate and the Com- Committee on Armed Services of the Senate, note) is amended by striking out ‘‘Commit- mittee on National Security of the House of the Committee on National Security of the tees on Appropriations and on Armed Serv- Representatives’’. House of Representatives’’. ices of the Senate and the House of Rep- (B) Section 1403 (50 U.S.C. 404b) is amend- (8) Section 1252 of the Department of De- resentatives’’ and inserting in lieu thereof ed— fense Authorization Act, 1984 (42 U.S.C. 248d), ‘‘Committee on Armed Services and the (i) in subsection (a), by striking out ‘‘the is amended— Committee on Appropriations of the Senate Committees on’’ and all that follows through (A) in subsection (d), by striking out and the Committee on National Security and ‘‘each year’’ and inserting in lieu thereof ‘‘Committees on Appropriations and on the Committee on Appropriations of the ‘‘the congressional committees specified in Armed Services of the Senate and the House House of Representatives’’. subsection (d) each year’’; and of Representatives’’ and inserting in lieu (4) Section 7606(b) of the Anti-Drug Abuse (ii) by adding at the end the following new thereof ‘‘Committee on Appropriations and Act of 1988 (Public Law 100–690; 10 U.S.C. 9441 subsection: the Committee on Armed Services of the note) is amended by striking out ‘‘Commit- ‘‘(d) SPECIFIED CONGRESSIONAL COMMIT- Senate and the Committee on Appropria- tees on Appropriations and the Committee TEES.—The congressional committees re- tions and the Committee on National Secu- on Armed Services of the Senate and the ferred to in subsection (a) are the following: rity of the House of Representatives’’; and House of Representatives’’ and inserting in ‘‘(1) The Committee on Armed Services, (B) in subsection (e), by striking out ‘‘Com- lieu thereof ‘‘Committee on Armed Services the Committee on Appropriations, and the mittees on Appropriations and on Armed and the Committee on Appropriations of the Select Committee on Intelligence of the Sen- Services of the Senate and the House of Rep- Senate and the Committee on National Secu- ate. resentatives’’ and inserting in lieu thereof rity and the Committee on Appropriations of ‘‘(2) The Committee on National Security, ‘‘congressional committees specified in sub- the House of Representatives’’. the Committee on Appropriations, and the section (d)’’. (5) Section 104(d)(5) of the National Secu- Permanent Select Committee on Intelligence (d) BASE CLOSURE LAW.—The Defense Base rity Act of 1947 (50 U.S.C. 403–4(d)(5)) is of the House of Representatives.’’. Closure and Realignment Act of 1990 (part A amended by striking out ‘‘Committees on H 446 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Armed Services of the Senate and House of through ‘‘each position so designated’’ and (26) Section 2471(b) is amended— Representatives’’ and inserting in lieu there- inserting in lieu thereof ‘‘Each position des- (A) in paragraph (2), by inserting ‘‘by’’ of ‘‘Committee on Armed Services of the ignated by the Secretary under subparagraph after ‘‘as determined’’; and Senate and the Committee on National Secu- (A)’’; (B) in paragraph (3), by inserting ‘‘of’’ after rity of the House of Representatives’’. (B) in subparagraph (C), by striking out ‘‘arising out’’. (6) Section 8 of the Inspector General Act ‘‘the second sentence of’’; and (27) Section 2524(e)(4)(B) is amended by in- of 1978 (5 U.S.C. App.) is amended— (C) by striking out subparagraph (D). serting a comma before ‘‘with respect to’’. (A) in subsection (b)(3), by striking out (7) Section 706(c)(1) is amended by striking (28) The heading of section 2525 is amended ‘‘Committees on Armed Services and Gov- out ‘‘section 4301 of title 38’’ and inserting in by capitalizing the initial letter of the sec- ernment Operations’’ and inserting in lieu lieu thereof ‘‘chapter 43 of title 38’’. ond, fourth, and fifth words. thereof ‘‘Committee on National Security (8) Section 1059 is amended by striking out (29) Chapter 152 is amended by striking out and the Committee on Government Reform ‘‘subsection (j)’’ in subsections (c)(2) and the table of subchapters at the beginning and and Oversight’’; (g)(3) and inserting in lieu thereof ‘‘sub- the headings for subchapters I and II. (B) in subsection (b)(4), by striking out section (k)’’. (30) Section 2534(c) is amended by capitaliz- ‘‘Committees on Armed Services and Gov- (9) Section 1060a(f)(2)(B) is amended by ing the initial letter of the third and fourth ernmental Affairs of the Senate and the striking out ‘‘(as defined in section 101(a)(22) words of the subsection heading. Committees on Armed Services and Govern- of the Immigration and Nationality Act (8 (31) The table of sections at the beginning ment Operations of the House of Representa- U.S.C. 1101(a)(22)))’’ and inserting in lieu of subchapter I of chapter 169 is amended by tives’’ and inserting in lieu thereof ‘‘congres- thereof ‘‘, as determined in accordance with adding a period at the end of the item relat- sional committees specified in paragraph the Immigration and Nationality Act (8 ing to section 2811. (3)’’; U.S.C. 1101 et seq.)’’. (b) OTHER SUBTITLES.—Subtitles B, C, and (C) in subsection (f)(1), by striking out (10) Section 1151 is amended— D of title 10, United States Code, are amend- ‘‘Committees on Armed Services and Gov- (A) in subsection (b), by striking out ‘‘(20 ed as follows: ernment Operations’’ and inserting in lieu U.S.C. 2701 et seq.)’’ in paragraphs (2)(A) and (1) Sections 3022(a)(1), 5025(a)(1), and thereof ‘‘Committee on National Security (3)(A) and inserting in lieu thereof ‘‘(20 8022(a)(1) are amended by striking out and the Committee on Government Reform U.S.C. 6301 et seq.)’’; and ‘‘Comptroller of the Department of Defense’’ and Oversight’’; and (B) in subsection (e)(1)(B), by striking out and inserting in lieu thereof ‘‘Under Sec- (D) in subsection (f)(2), by striking out ‘‘not later than one year after the date of the retary of Defense (Comptroller)’’. ‘‘Committees on Armed Services and Gov- enactment of the National Defense Author- (2) Section 6241 is amended by inserting ernmental Affairs of the Senate and the ization Act for Fiscal Year 1995’’ and insert- ‘‘or’’ at the end of paragraph (2). Committees on Armed Services and Govern- ing in lieu thereof ‘‘not later than October 5, (3) Section 6333(a) is amended by striking ment Operations of the House of Representa- 1995’’. out the first period after ‘‘section 1405’’ in tives’’ and inserting in lieu thereof ‘‘congres- (11) Section 1152(g)(2) is amended by strik- formula C in the table under the column des- sional committees specified in paragraph ing out ‘‘not later than 180 days after the ignated ‘‘Column 2’’. (1)’’. date of the enactment of the National De- (4) The item relating to section 7428 in the (7) Section 204(h)(3) of the Federal Prop- fense Authorization Act for Fiscal Year 1995’’ table of sections at the beginning of chapter erty and Administrative Services Act of 1949 and inserting in lieu thereof ‘‘not later than 641 is amended by striking out ‘‘Agreement’’ (40 U.S.C. 485(h)(3)) is amended by striking April 3, 1994,’’. and inserting in lieu thereof ‘‘Agreements’’. out ‘‘Committees on Armed Services of the (12) Section 1177(b)(2) is amended by strik- Senate and of the House of Representatives’’ ing out ‘‘provison of law’’ and inserting in (5) The item relating to section 7577 in the and inserting in lieu thereof ‘‘Committee on lieu thereof ‘‘provision of law’’. table of sections at the beginning of chapter Armed Services of the Senate and the Com- (13) The heading for chapter 67 is amended 649 is amended by striking out ‘‘Officers’’ mittee on National Security of the House of by striking out ‘‘NONREGULAR’’ and insert- and inserting in lieu thereof ‘‘officers’’. Representatives’’. ing in lieu thereof ‘‘NON-REGULAR’’. (6) The center heading for part IV in the table of chapters at the beginning of subtitle SEC. 1503. MISCELLANEOUS AMENDMENTS TO (14) Section 1598(a)(2)(A) is amended by TITLE 10, UNITED STATES CODE. striking out ‘‘2701’’ and inserting in lieu D is amended by inserting a comma after (a) SUBTITLE A.—Subtitle A of title 10, thereof ‘‘6301’’. ‘‘SUPPLY’’. United States Code, is amended as follows: (15) Section 1745(a) is amended by striking SEC. 1504. MISCELLANEOUS AMENDMENTS TO (1) Section 113(i)(2)(B) is amended by strik- out ‘‘section 4107(d)’’ both places it appears ANNUAL DEFENSE AUTHORIZATION ing out ‘‘the five years covered’’ and all that and inserting in lieu thereof ‘‘section ACTS. follows through ‘‘section 114(g)’’ and insert- 4107(b)’’. (a) PUBLIC LAW 103–337.—Effective as of Oc- ing in lieu thereof ‘‘the period covered by the (16) Section 1746(a) is amended— tober 5, 1994, and as if included therein as en- future-years defense program submitted to (A) by striking out ‘‘(1)’’ before ‘‘The Sec- acted, the National Defense Authorization Congress during that year pursuant to sec- retary of Defense’’; and Act for Fiscal Year 1995 (Public Law 103–337) tion 221’’. (B) by redesignating subparagraphs (A) and is amended as follows: (2) Section 136(c) is amended by striking (B) as paragraphs (1) and (2), respectively. (1) Section 322(1) (108 Stat. 2711) is amended out ‘‘Comptroller’’ and inserting in lieu (17) Section 2006(b)(2)(B)(ii) is amended by by striking out ‘‘SERVICE’’ in both sets of thereof ‘‘Under Secretary of Defense (Comp- striking out ‘‘section 1412 of such title’’ and quoted matter and inserting in lieu thereof troller)’’. inserting in lieu thereof ‘‘section 3012 of such ‘‘SERVICES’’. (3) Section 526 is amended— title’’. (2) Section 531(g)(2) (108 Stat. 2758) is (A) in subsection (a), by striking out para- (18) Section 2011(a) is amended by striking amended by inserting ‘‘item relating to sec- graphs (1), (2), and (3) and inserting in lieu out ‘‘TO’’ and inserting in lieu thereof ‘‘TO’’. tion 1034 in the’’ after ‘‘The’’. thereof the following: (19) Section 2194(e) is amended by striking (3) Section 541(c)(1) is amended— ‘‘(1) For the Army, 302. out ‘‘(20 U.S.C. 2891(12))’’ and inserting in (A) in subparagraph (B), by inserting a ‘‘(2) For the Navy, 216. lieu thereof ‘‘(20 U.S.C. 8801)’’. comma after ‘‘chief warrant officer’’; and ‘‘(3) For the Air Force, 279.’’; (20) Sections 2217(b) and 2220(a)(2) are (B) in the matter after subparagraph (C), (B) by striking out subsection (b); amended by striking out ‘‘Comptroller of the by striking out ‘‘this’’. (C) by redesignating subsections (c), (d), Department of Defense’’ and inserting in lieu (4) Section 721(f)(2) (108 Stat. 2806) is and (e) as subsections (b), (c), and (d); thereof ‘‘Under Secretary of Defense (Comp- amended by striking out ‘‘revaluated’’ and (D) in subsection (b), as so redesignated, by troller)’’. inserting in lieu thereof ‘‘reevaluated’’. striking out ‘‘that are applicable on and (21) Section 2401(c)(2) is amended by strik- (5) Section 722(d)(2) (108 Stat. 2808) is after October 1, 1995’’; and ing out ‘‘pursuant to’’ and all that follows amended by striking out ‘‘National Academy (E) in paragraph (2)(B) of subsection (c), as through ‘‘September 24, 1983,’’. of Science’’ and inserting in lieu thereof redesignated by subparagraph (C), is amend- (22) Section 2410f(b) is amended by striking ‘‘National Academy of Sciences’’. ed— out ‘‘For purposes of’’ and inserting in lieu (6) Section 904(d) (108 Stat. 2827) is amend- (i) by striking out ‘‘the’’ after ‘‘in the’’; thereof ‘‘In’’. ed by striking out ‘‘subsection (c)’’ the first (ii) by inserting ‘‘to’’ after ‘‘reserve compo- (23) Section 2410j(a)(2)(A) is amended by place it appears and inserting in lieu thereof nent, or’’; and striking out ‘‘2701’’ and inserting in lieu ‘‘subsection (b)’’. (iii) by inserting ‘‘than’’ after ‘‘in a grade thereof ‘‘6301’’. (7) Section 1202 (108 Stat. 2882) is amend- other’’. (24) Section 2457(e) is amended by striking ed— (4) Section 528(a) is amended by striking out ‘‘title III of the Act of March 3, 1933 (41 (A) by striking out ‘‘(title XII of Public out ‘‘after September 30, 1995,’’. U.S.C. 10a),’’ and inserting in lieu thereof Law 103–60’’ and inserting in lieu thereof (5) Section 573(a)(2) is amended by striking ‘‘the Buy American Act (41 U.S.C. 10a)’’. ‘‘(title XII of Public Law 103–160’’; and out ‘‘active duty list’’ and inserting in lieu (25) Section 2465(b)(3) is amended by strik- (B) in paragraph (2), by inserting ‘‘in the thereof ‘‘active-duty list’’. ing out ‘‘under contract’’ and all that follows first sentence’’ before ‘‘and inserting in lieu (6) Section 661(d)(2) is amended— through the period and inserting in lieu thereof’’. (A) in subparagraph (B), by striking out thereof ‘‘under contract on September 24, (8) Section 1312(a)(2) (108 Stat. 2894) is ‘‘Until January 1, 1994’’ and all that follows 1983.’’. amended by striking out ‘‘adding at the end’’ January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 447 and inserting in lieu thereof ‘‘inserting after (B) in section 2906(d)(1), by striking out (2) The Board of Directors may adopt by- the item relating to section 123a’’. ‘‘section 204(b)(4)(C)’’ and inserting in lieu laws, policies, and procedures for the Cor- (9) Section 2813(c) (108 Stat. 3055) is amend- thereof ‘‘section 204(b)(7)(C)’’; and poration and may take any other action that ed by striking out ‘‘above paragraph (1)’’ (C) in section 2910— the Board of Directors considers necessary both places it appears and inserting in lieu (i) by designating the second paragraph for the management and operation of the thereof ‘‘preceding subparagraph (A)’’. (10), as added by section 2(b) of the Base Clo- Corporation. (b) PUBLIC LAW 103–160.—The National De- sure Community Redevelopment and Home- (3) Each member of the Board of Directors fense Authorization Act for Fiscal Year 1994 less Assistance Act of 1994 (Public Law 103– shall serve for a term of two years. Members (Public Law 103–160) is amended in section 421; 108 Stat. 4352), as paragraph (11); and of the Board of Directors are eligible for re- 1603(d) (22 U.S.C. 2751 note)— (ii) in such paragraph, as so designated, by appointment. (1) in the matter preceding paragraph (1), striking out ‘‘section 501(h)(4) of the Stewart (4) A vacancy on the Board of Directors by striking out the second comma after ‘‘Not B. McKinney Homeless Assistance Act (42 shall be filled by a majority vote of the re- later than April 30 of each year’’; U.S.C. 11411(h)(4))’’ and inserting in lieu maining members of the Board. (2) in paragraph (4), by striking out ‘‘con- thereof ‘‘section 501(i)(4) of the Stewart B. (5) The Secretary of the Army shall ap- point the initial Board of Directors. Four of tributes’’ and inserting in lieu thereof ‘‘con- McKinney Homeless Assistance Act (42 the members of the initial Board of Direc- tribute’’; and U.S.C. 11411(i)(4))’’. (3) in paragraph (5), by striking out ‘‘is’’ (2) Section 2921(d)(1) of the National De- tors, to be designated by the Secretary at and inserting in lieu thereof ‘‘are’’. fense Authorization Act for Fiscal Year 1991 the time of appointment, shall (notwith- (c) PUBLIC LAW 102–484.—The National De- (Public Law 101–510; 10 U.S.C. 2687 note) is standing paragraph (3)) serve for a term of fense Authorization Act for Fiscal Year 1993 amended by striking out ‘‘section one year. (d) DIRECTOR OF CIVILIAN MARKSMANSHIP.— (Public Law 102–484) is amended as follows: 204(b)(4)(C)’’ and inserting in lieu thereof (1) The Board of Directors shall appoint an (1) Section 326(a)(5) (106 Stat. 2370; 10 ‘‘section 204(b)(7)(C)’’. individual to serve as the Director of Civil- U.S.C. 2301 note) is amended by inserting (3) Section 204 of the Defense Authoriza- ian Marksmanship. ‘‘report’’ after ‘‘each’’. tion Amendments and Base Closure and Re- (2) The Director shall be responsible for the (2) Section 3163(1)(E) is amended by strik- alignment Act (Public Law 100–526; 10 U.S.C. performance of the daily operations of the ing out ‘‘paragraphs (1) through (4)’’ and in- 2687 note) is amended— Corporation and the functions described in serting in lieu thereof ‘‘subparagraphs (A) (A) in subsection (b)(1)(C), by striking out section 1612. through (D)’’. ‘‘of the Administrator to grant approvals SEC. 1612. CONDUCT OF CIVILIAN MARKSMAN- (3) Section 4403(a) (10 U.S.C. 1293 note) is and make determinations under section 13(g) SHIP PROGRAM. amended by striking out ‘‘through 1995’’ and of the Surplus Property Act of 1944 (50 U.S.C. (a) FUNCTIONS.—The Corporation shall inserting in lieu thereof ‘‘through fiscal year App. 1622(g))’’ and inserting in lieu thereof have responsibility for the overall super- 1999’’. ‘‘to dispose of surplus property for public air- vision, oversight, and control of the Civilian (d) PUBLIC LAW 102–190.—Section 1097(d) of ports under sections 47151 through 47153 of Marksmanship Program, pursuant to the the National Defense Authorization Act for title 49, United States Code’’; and transfer of the program under subsection (d), Fiscal Years 1992 and 1993 (Public Law 102– (B) in subsection (b)(7)(A)(i), by striking including the performance of the following: 190; 105 Stat. 1490) is amended by striking out out ‘‘paragraph (3)’’ and inserting in lieu (1) The instruction of citizens of the United ‘‘the Federal Republic of Germany, France’’ thereof ‘‘paragraphs (3) through (6)’’. States in marksmanship. and inserting in lieu thereof ‘‘France, Ger- (f) PUBLIC LAW 103–421.—Section 2(e)(5) of (2) The promotion of practice and safety in many’’. Public Law 103–421 (108 Stat. 4354) is amend- the use of firearms, including the conduct of SEC. 1505. MISCELLANEOUS AMENDMENTS TO ed— matches and competitions in the use of those OTHER LAWS. (1) by striking out ‘‘(A)’’ after ‘‘(5)’’; and firearms. (a) OFFICER PERSONNEL ACT OF 1947.—Sec- (2) by striking out ‘‘clause’’ in subpara- (3) The award to competitors of trophies, tion 437 of the Officer Personnel Act of 1947 graph (B)(iv) and inserting in lieu thereof prizes, badges, and other insignia. is repealed. ‘‘clauses’’. (4) The provision of security and account- (b) TITLE 5, UNITED STATES CODE.—Title 5, (g) ATOMIC ENERGY ACT.—Section 123a. of ability for all firearms, ammunition, and United States Code, is amended— the Atomic Energy Act (42 U.S.C. 2153a.) is (1) in section 8171— other equipment under the custody and con- amended by striking out ‘‘144b., or 144d.’’ and trol of the Corporation. (A) in subsection (a), by striking out inserting ‘‘, 144b., or 144d.’’. ‘‘903(3)’’ and inserting in lieu thereof (5) The issue, loan, or sale of firearms, am- SEC. 1506. COORDINATION WITH OTHER AMEND- munition, supplies, and appliances under sec- ‘‘903(a)’’; MENTS. (B) in subsection (c)(1), by inserting ‘‘sec- tion 1614. For purposes of applying amendments (6) The procurement of necessary supplies, tion’’ before ‘‘39(b)’’; and made by provisions of this Act other than (C) in subsection (d), by striking out ‘‘(33 appliances, clerical services, other related provisions of this title, this title shall be services, and labor to carry out the Civilian U.S.C. 18 and 21, respectively)’’ and inserting treated as having been enacted immediately in lieu thereof ‘‘(33 U.S.C. 918 and 921)’’; Marksmanship Program. before the other provisions of this Act. (b) PRIORITY FOR YOUTH ACTIVITIES.—In (2) in sections 8172 and 8173, by striking out TITLE XVI—CORPORATION FOR THE PRO- carrying out the Civilian Marksmanship Pro- ‘‘(33 U.S.C. 2(2))’’ and inserting in lieu there- MOTION OF RIFLE PRACTICE AND FIRE- gram, the Corporation shall give priority to of ‘‘(33 U.S.C. 902(2))’’; and ARMS SAFETY activities that benefit firearms safety, train- (3) in section 8339(d)(7), by striking out ing, and competition for youth and that ‘‘Court of Military Appeals’’ and inserting in SEC. 1601. SHORT TITLE. This title may be cited as the ‘‘Corporation reach as many youth participants as pos- lieu thereof ‘‘Court of Appeals for the Armed sible. Forces’’. for the Promotion of Rifle Practice and Fire- arms Safety Act’’. (c) ACCESS TO SURPLUS PROPERTY.—(1) The (c) PUBLIC LAW 90–485.—Effective as of Au- Corporation may obtain surplus property gust 13, 1968, and as if included therein as Subtitle A—Establishment and Operation of and supplies from the Defense Reutilization originally enacted, section 1(6) of Public Law Corporation Marketing Service to carry out the Civilian 90–485 (82 Stat. 753) is amended— SEC. 1611. ESTABLISHMENT OF THE CORPORA- Marksmanship Program. (1) by striking out the close quotation TION. (2) Any transfer of property and supplies to marks after the end of clause (4) of the mat- (a) ESTABLISHMENT.—There is established a the Corporation under paragraph (1) shall be ter inserted by the amendment made by that private, nonprofit corporation to be known made without cost to the Corporation. section; and as the ‘‘Corporation for the Promotion of (d) TRANSFER OF CIVILIAN MARKSMANSHIP (2) by adding close quotation marks at the Rifle Practice and Firearms Safety’’ (in this PROGRAM TO CORPORATION.—(1) The Sec- end. title referred to as the ‘‘Corporation’’). retary of the Army shall provide for the (d) TITLE 37, UNITED STATES CODE.—Sec- (b) PRIVATE, NONPROFIT STATUS.—(1) The transition of the Civilian Marksmanship tion 406(b)(1)(E) of title 37, United States Corporation shall not be considered to be a Program, as defined in section 4308(e) of title Code, is amended by striking out ‘‘of this department, agency, or instrumentality of 10, United States Code (as such section was paragraph’’. the Federal Government. An officer or em- in effect on the day before the date of the en- (e) BASE CLOSURE LAWS.—(1) The Defense ployee of the Corporation shall not be con- actment of this Act), from conduct by the Base Closure and Realignment Act of 1990 sidered to be an officer or employee of the Department of the Army to conduct by the (part A of title XXIX of Public Law 101–510; Federal Government. Corporation. The transition shall be com- 10 U.S.C. 2687 note) is amended— (2) The Corporation shall be operated in a pleted not later than September 30, 1996. (A) in section 2905(b)(1)(C), by striking out manner and for purposes that qualify the (2) To carry out paragraph (1), the Sec- ‘‘of the Administrator to grant approvals Corporation for exemption from taxation retary shall provide such assistance and take and make determinations under section 13(g) under section 501(a) of the Internal Revenue such action as is necessary to maintain the of the Surplus Property Act of 1944 (50 U.S.C. Code of 1986 as an organization described in viability of the program and to maintain the App. 1622(g))’’ and inserting in lieu thereof section 501(c)(3) of such Code. security of firearms, ammunition, and other ‘‘to dispose of surplus property for public air- (c) BOARD OF DIRECTORS.—(1) The Corpora- property that are transferred or reserved for ports under sections 47151 through 47153 of tion shall have a Board of Directors consist- transfer to the Corporation under section title 49, United States Code’’; ing of not less than nine members. 1615, 1616, or 1621. H 448 CONGRESSIONAL RECORD — HOUSE January 22, 1996 SEC. 1613. ELIGIBILITY FOR PARTICIPATION IN The Corporation shall prescribe procedures the firearms are issued, loaned, or sold by, or CIVILIAN MARKSMANSHIP PRO- for the security of issued or loaned firearms otherwise transferred to, the Corporation. GRAM. in accordance with Federal, State, and local (c) LIMITATION ON DEMILITARIZATION OF M– (a) CERTIFICATION REQUIREMENT.—(1) Be- laws. 1 RIFLES.—After the date of the enactment of fore a person may participate in any activity (e) APPLICABILITY OF OTHER LAW.—(1) Sub- this Act, the Secretary may not demilitarize sponsored or supported by the Corporation, ject to paragraph (2), sales under subsection any M–1 Garand rifle in the inventory of the the person shall be required to certify by af- (b)(2) are subject to applicable Federal, Army unless that rifle is determined by the fidavit the following: State, and local laws. Defense Logistics Agency to be unservice- (A) The person has not been convicted of (2) Paragraphs (1), (2), (3), and (5) of section able. any Federal or State felony or violation of 922(a) of title 18, United States Code, do not (d) EXCEPTION FOR TRANSFERS TO FEDERAL section 922 of title 18, United States Code. apply to the shipment, transportation, re- AND STATE AGENCIES FOR COUNTERDRUG PUR- (B) The person is not a member of any or- ceipt, transfer, sale, issuance, loan, or deliv- POSES.—The requirement specified in sub- ganization that advocates the violent over- ery by the Corporation of any item that the section (a) does not supersede the authority throw of the United States Government. Corporation is authorized to issue, loan, sell, provided in section 1208 of the National De- (2) The Director of Civilian Marksmanship or receive under this title. fense Authorization Act for Fiscal Years 1990 may require any person to attach to the per- SEC. 1615. TRANSFER OF FIREARMS AND AMMU- and 1991 (Public Law 101–189; 10 U.S.C. 372 son’s affidavit a certification from the ap- NITION FROM THE ARMY TO THE note). propriate State or Federal law enforcement CORPORATION. SEC. 1617. ARMY LOGISTICAL SUPPORT FOR THE agency for purposes of paragraph (1)(A). (a) TRANSFERS REQUIRED.—The Secretary PROGRAM. (b) INELIGIBILITY RESULTING FROM CERTAIN of the Army shall, in accordance with sub- (a) LOGISTICAL SUPPORT.—The Secretary of CONVICTIONS.—A person who has been con- section (b), transfer to the Corporation all the Army shall provide logistical support to victed of a Federal or State felony or a viola- firearms and ammunition that on the day be- the Civilian Marksmanship Program and for tion of section 922 of title 18, United States fore the date of the enactment of this Act competitions and other activities conducted Code, shall not be eligible to participate in are under the control of the Director of the by the Corporation. The Corporation shall any activity sponsored or supported by the Civilian Marksmanship Program, including— reimburse the Secretary for incremental di- Corporation through the Civilian Marksman- (1) all firearms on loan to affiliated clubs rect costs incurred in providing such sup- ship Program. and State associations; port. Such reimbursements shall be credited (c) AUTHORITY TO LIMIT PARTICIPATION.— (2) all firearms in the possession of the Ci- to the appropriations account of the Depart- The Director of Civilian Marksmanship may vilian Marksmanship Support Detachment; ment of the Army that is charged to provide limit participation as necessary to ensure— and such support. (1) quality instruction in the use of fire- (3) all M–1 Garand and caliber .22 rimfire (b) RESERVE COMPONENT PERSONNEL.—The arms; rifles stored at Anniston Army Depot, Annis- Secretary shall provide, without cost to the (2) the safety of participants; and ton, Alabama. Corporation, for the use of members of the (3) the security of firearms, ammunition, IME FOR TRANSFER.—The Secretary (b) T National Guard and Army Reserve to support and equipment. shall transfer firearms and ammunition the National Matches as part of the perform- under subsection (a) as and when necessary SEC. 1614. ISSUANCE, LOAN, AND SALE OF FIRE- ance of annual training pursuant to titles 10 ARMS AND AMMUNITION BY THE to enable the Corporation— and 32, United States Code. CORPORATION. (1) to issue or loan such items in accord- (c) USE OF DEPARTMENT OF DEFENSE FACILI- (a) ISSUANCE AND LOAN.—For purposes of ance with section 1614(a); or TIES FOR NATIONAL MATCHES.—The National training and competition, the Corporation (2) to sell such items to purchasers in ac- may issue or loan, with or without charges Matches may continue to be held at those cordance with section 1614(b). Department of Defense facilities at which to recover administrative costs, caliber .22 (c) PARTS.—The Secretary may make the National Matches were held before the rimfire and caliber .30 surplus rifles, caliber available to the Corporation any part from a date of the enactment of this Act. .22 and .30 ammunition, air rifles, targets, rifle designated to be demilitarized in the in- (d) REGULATIONS.—The Secretary shall pre- and other supplies and appliances necessary ventory of the Department of the Army. scribe regulations to carry out this section. for activities related to the Civilian Marks- (d) VESTING OF TITLE IN TRANSFERRED manship Program to the following: ITEMS.—Title to an item transferred to the SEC. 1618. GENERAL AUTHORITIES OF THE COR- (1) Organizations affiliated with the Cor- Corporation under this section shall vest in PORATION. poration that provide training in the use of the Corporation— (a) DONATIONS AND FEES.—(1) The Corpora- firearms to youth. (1) upon the issuance of the item to a recip- tion may solicit, accept, hold, use, and dis- (2) The Boy Scouts of America. ient eligible under section 1614(a) to receive pose of donations of money, property, and (3) 4–H Clubs. the item; or services received by gift, devise, bequest, or (4) Future Farmers of America. (2) immediately before the Corporation de- otherwise. (5) Other youth-oriented organizations. livers the item to a purchaser of the item in (2) The Corporation may impose, collect, (b) SALES.—(1) The Corporation may sell at accordance with a contract for a sale of the and retain such fees as are reasonably nec- fair market value caliber .22 rimfire and cali- item that is authorized under section 1614(b). essary to cover the direct and indirect costs ber .30 surplus rifles, caliber .22 and .30 am- (e) COSTS OF TRANSFERS.—Any transfer of of the Corporation to carry out the Civilian munition, air rifles, repair parts, and firearms, ammunition, or parts to the Cor- Marksmanship Program. accouterments to organizations affiliated poration under this section shall be made (3) Amounts collected by the Corporation with the Corporation that provide training without cost to the Corporation, except that under the authority of this subsection, in- in the use of firearms. the Corporation shall assume the cost of cluding the proceeds from the sale of fire- (2) Subject to subsection (e), the Corpora- preparation and transportation of firearms arms, ammunition, targets, and other sup- tion may sell at fair market value caliber .22 and ammunition transferred under this sec- plies and appliances, may be used only to rimfire and caliber .30 surplus rifles, ammu- tion. support the Civilian Marksmanship Pro- gram. nition, targets, repair parts and SEC. 1616. RESERVATION BY THE ARMY OF FIRE- accouterments, and other supplies and appli- ARMS AND AMMUNITION FOR THE (b) CORPORATE SEAL.—The Corporation ances necessary for target practice to citi- CORPORATION. may adopt, alter, and use a corporate seal, zens of the United States over 18 years of age (a) RESERVATION OF FIREARMS AND AMMUNI- which shall be judicially noticed. who are members of a gun club affiliated TION.—The Secretary of the Army shall re- (c) CONTRACTS.—The Corporation may with the Corporation. In addition to any serve for the Corporation the following: enter into contracts, leases, agreements, or other requirement, the Corporation shall es- (1) All firearms referred to in section other transactions. tablish procedures to obtain a criminal 1615(a). (d) OBLIGATIONS AND EXPENDITURES.—The records check of the person with appropriate (2) Ammunition for such firearms. Corporation may determine the character of, Federal and State law enforcement agencies. (3) All M–16 rifles used to support the small and necessity for, its obligations and expend- (c) LIMITATIONS ON SALES.—(1) The Cor- arms firing school that are held by the De- itures and the manner in which they shall be poration may not offer for sale any repair partment of the Army on the date of the en- incurred, allowed, and paid and may incur, part designed to convert any firearm to fire actment of this Act. allow, and pay such obligations and expendi- in a fully automatic mode. (4) Any parts from, and accessories and tures. (2) The Corporation may not sell rifles, am- accouterments for, surplus caliber .30 and (e) RELATED AUTHORITY.—The Corporation munition, or any other item available for caliber .22 rimfire rifles. may take such other actions as are nec- sale to individuals under the Civilian Marks- (b) STORAGE OF FIREARMS AND AMMUNI- essary or appropriate to carry out the au- manship Program to a person who has been TION.—Firearms stored at Anniston Army thority provided in this section. convicted of a felony or a violation of sec- Depot, Anniston, Alabama, before the date of SEC. 1619. DISTRIBUTION OF CORPORATE AS- tion 922 of title 18, United States Code. the enactment of this Act and used for the SETS IN EVENT OF DISSOLUTION. (d) OVERSIGHT AND ACCOUNTABILITY.—The Civilian Marksmanship Program shall re- (a) DISTRIBUTION.—If the Corporation dis- Corporation shall be responsible for ensuring main at that facility, or another storage fa- solves, then— adequate oversight and accountability of all cility designated by the Secretary of the (1) upon the dissolution of the Corporation, firearms issued or loaned under this section. Army, without cost to the Corporation, until title to all firearms stored at Anniston Army January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 449 Depot, Anniston, Alabama, on the date of SEC. 1622. CONTINUATION OF ELIGIBILITY FOR DIVISION B—MILITARY CONSTRUCTION the dissolution, all M–16 rifles that are CERTAIN CIVIL SERVICE BENEFITS AUTHORIZATIONS transferred to the Corporation under section FOR FORMER FEDERAL EMPLOYEES 1615(a)(2), that are referred to in section OF CIVILIAN MARKSMANSHIP PRO- SEC. 2001. SHORT TITLE. GRAM. 1616(a)(3), or that are otherwise under the This division may be cited as the ‘‘Military (a) CONTINUATION OF ELIGIBILITY.—Not- control of the Corporation, and all trophies Construction Authorization Act for Fiscal withstanding any other provision of law, a received by the Corporation from the Na- Year 1996’’. Federal employee who is employed by the tional Board for the Promotion of Rifle Prac- Department of Defense to support the Civil- tice as of such date, shall vest in the Sec- TITLE XXI—ARMY ian Marksmanship Program as of the day be- retary of the Army, and the Secretary shall fore the date of the transfer of the Program SEC. 2101. AUTHORIZED ARMY CONSTRUCTION have the immediate right to the possession to the Corporation and is offered employ- AND LAND ACQUISITION PROJECTS. of such items; ment by the Corporation as part of the tran- (a) INSIDE THE UNITED STATES.—Using (2) assets of the Corporation, other than sition described in section 1612(d) may, if the amounts appropriated pursuant to the au- assets described in paragraph (1), may be dis- employee becomes employed by the Corpora- thorization of appropriations in section tributed by the Corporation to an organiza- tion, continue to be eligible during continu- 2104(a)(1), the Secretary of the Army may ac- tion that— ous employment with the Corporation for quire real property and carry out military (A) is exempt from taxation under section the Federal health, retirement, and similar construction projects for the installations 501(a) of the Internal Revenue Code of 1986 as benefits (including life insurance) for which and locations inside the United States, and an organization described in section 501(c)(3) the employee would have been eligible had in the amounts, set forth in the following of such Code; and the employee continued to be employed by table: (B) performs functions similar to the func- the Department of Defense. The employer’s tions described in section 1612(a); and Army: Inside the United States contribution for such benefits shall be paid (3) all assets of the Corporation that are by the Corporation. not distributed pursuant to paragraphs (1) and (2) shall be sold, and the proceeds from (b) REGULATIONS.—The Director of the Of- State Installation or location Amount fice of Personnel Management shall pre- the sale of such assets shall be deposited in Alabama ...... Fort Rucker ...... $5,900,000 the Treasury. scribe regulations to carry out subsection (a). Redstone Arsenal ...... $5,000,000 (b) PROHIBITION.—Assets of the Corporation Arizona ...... Fort Huachuca ...... $16,000,000 that are distributed pursuant to the author- SEC. 1623. CERTIFICATION OF COMPLETION OF California ...... Fort Irwin ...... $25,500,000 TRANSITION. Presidio of San Francisco ...... $3,000,000 ity of subsection (a) may not be distributed (a) CERTIFICATION REQUIREMENT.—Upon Colorado ...... Fort Carson ...... $30,850,000 to an individual. completion of the appointment of the Board District of Colum- Fort McNair ...... $13,500,000 of Directors for the Corporation under sec- bia. Subtitle B—Transitional Provisions Georgia ...... Fort Benning ...... $37,900,000 tion 1611(c)(5) and of the transition required Fort Gordon ...... $5,750,000 SEC. 1621. TRANSFER OF FUNDS AND PROPERTY under section 1612(d), the Secretary of the TO THE CORPORATION. Fort Stewart ...... $8,400,000 Army shall submit to the Committee on Hawaii ...... Schofield Barracks ...... $30,000,000 (a) FUNDS.—(1) On the date of the submis- Armed Services of the Senate and the Com- Kansas ...... Fort Riley ...... $7,000,000 sion of a certification in accordance with mittee on National Security of the House of Kentucky ...... Fort Campbell ...... $10,000,000 section 1623 or, if earlier, October 1, 1996, the Representatives a certification of the com- Fort Knox ...... $5,600,000 Secretary of the Army shall transfer to the pletion of such actions. New Jersey ...... Picatinny Arsenal ...... $5,500,000 Corporation— New Mexico ...... White Sands Missile Range ...... $2,050,000 (b) PUBLICATION OF CERTIFICATION.—The New York ...... Fort Drum ...... $8,800,000 (A) the amounts that are available to the Secretary shall take such actions as are nec- United States Military Academy ...... $8,300,000 National Board for the Promotion of Rifle essary to ensure that the certification is Watervliet Arsenal ...... $680,000 Practice from sales programs and fees col- published in the Federal Register promptly North Carolina ...... Fort Bragg ...... $29,700,000 lected in connection with competitions spon- after the submission of the certification Oklahoma ...... Fort Sill ...... $14,300,000 sored by the Board; and under subsection (a). South Carolina ...... Naval Weapons Station, Charleston . $25,700,000 Fort Jackson ...... $32,000,000 (B) all funds that are in the SEC. 1624. REPEAL OF AUTHORITY FOR CON- nonappropriated fund account known as the Texas ...... Fort Hood ...... $32,500,000 DUCT OF CIVILIAN MARKSMANSHIP Fort Bliss ...... $56,900,000 National Match Fund. PROGRAM BY THE ARMY. Fort Sam Houston ...... $7,000,000 (2) The funds transferred under paragraph (a) REPEALS.—(1) Sections 4307, 4308, 4310, Virginia ...... Fort Eustis ...... $16,400,000 (1)(A) shall be used to carry out the Civilian and 4311 of title 10, United States Code, are Washington ...... Fort Lewis ...... $32,100,000 Marksmanship Program. repealed. CONUS Classified .. Classified Location ...... $1,900,000 (3) Transfers under paragraph (1)(B) shall (2) The table of sections at the beginning of Total: ...... $478,230,000 be made without cost to the Corporation. chapter 401 of such title is amended by strik- ing out the items relating to sections 4307, (b) PROPERTY.—The Secretary of the Army 4308, 4310, and 4311. shall, as soon as practicable, transfer to the (b) OUTSIDE THE UNITED STATES.—Using (b) CONFORMING AMENDMENTS.—(1) Section Corporation the following: amounts appropriated pursuant to the au- 4313 of title 10, United States Code, is amend- (1) All automated data equipment, all thorization of appropriations in section ed— other office equipment, targets, target 2104(a)(2), the Secretary of the Army may ac- (A) by striking out subsection (b); and frames, vehicles, and all other property quire real property and carry out military (B) in subsection (a)— under the control of the Director of Civilian construction projects for the locations out- (i) by striking out ‘‘(a) JUNIOR COMPETI- Marksmanship and the Civilian Marksman- side the United States, and in the amounts, TORS.—’’ and inserting in lieu thereof ‘‘(a) ship Support Detachment on the day before set forth in the following table: ALLOWANCES FOR PARTICIPATION OF JUNIOR the date of the enactment of this Act (other COMPETITORS.—’’; and Army: Outside the United States than property to which section 1615(a) ap- (ii) in paragraph (3), by striking out ‘‘(3) plies). For the purposes of this subsection’’ and in- (2) Title to property under the control of Country Installation or location Amount serting in lieu thereof ‘‘(b) JUNIOR COMPETI- the National Match Fund on such day. TOR DEFINED.—For the purposes of sub- Korea ...... Camp Casey ...... $4,150,000 (3) All supplies and appliances under the section (a)’’. Camp Hovey ...... $13,500,000 control of the Director of the Civilian (2) Section 4316 of such title is amended by Camp Pelham ...... $5,600,000 Marksmanship Program on such day. Camp Stanley ...... $6,800,000 striking out ‘‘, including fees charged and Yongsan ...... $4,500,000 (c) OFFICES.—The Corporation may use the amounts collected pursuant to subsections Overseas Classified Classified Location ...... $48,000,000 office space of the Office of the Director of (b) and (c) of section 4308,’’. Worldwide ...... Host Nation Support ...... $20,000,000 Civilian Marksmanship until the date on (3) Section 925(a)(2)(A) of title 18, United which the Secretary of the Army completes States Code, is amended by inserting after Total: ...... $102,550,000 the transfer of the Civilian Marksmanship ‘‘section 4308 of title 10’’ the following: ‘‘be- Program to the Corporation. The Corpora- fore the repeal of such section by section SEC. 2102. FAMILY HOUSING. tion shall assume control of the leased prop- 1624(a) of the Corporation for the Promotion erty occupied as of the date of the enactment of Rifle Practice and Firearms Safety Act’’. (a) CONSTRUCTION AND ACQUISITION.—Using of this Act by the Civilian Marksmanship (c) EFFECTIVE DATE.—The amendments amounts appropriated pursuant to the au- Support Detachment, located at the Erie In- made by this section shall take effect on the thorization of appropriations in section dustrial Park, Port Clinton, Ohio. earlier of— 2104(a)(5)(A), the Secretary of the Army may (d) COSTS OF TRANSFERS.—Any transfer of (1) the date on which the Secretary of the construct or acquire family housing units items to the Corporation under this section Army submits a certification in accordance (including land acquisition) at the installa- shall be made without cost to the Corpora- with section 1623; or tions, for the purposes, and in the amounts tion. (2) October 1, 1996. set forth in the following table: H 450 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Army: Family Housing TITLE XXII—NAVY Navy: Outside the United States—Continued SEC. 2201. AUTHORIZED NAVY CONSTRUCTION State Installation Purpose Amount AND LAND ACQUISITION PROJECTS. Country Installation or location Amount (a) INSIDE THE UNITED STATES.—Using Kentucky ...... Fort Knox ...... 150 units ...... $19,000,000 amounts appropriated pursuant to the au- Italy ...... Naval Air Station, Sigonella ...... $12,170,000 New York ...... United States Military thorization of appropriations in section Naval Support Activity, Naples ...... $24,950,000 Academy, West 2204(a)(1), and, in the case of the project de- Puerto Rico ...... Naval Security Group Activity, Point ...... 119 units ...... $16,500,000 scribed in section 2204(b)(2), other amounts Sabana Seca ...... $2,200,000 Naval Station, Roosevelt Roads ...... $11,500,000 Virginia ...... Fort Lee ...... 135 units ...... $19,500,000 appropriated pursuant to authorizations en- Washington .... Fort Lewis ...... 84 units ...... $10,800,000 acted after this Act for that project, the Sec- Total ...... $69,250,000 Total: ...... $65,800,000 retary of the Navy may acquire real property and carry out military construction projects for the installations and locations inside the SEC. 2202. FAMILY HOUSING. (a) CONSTRUCTION AND ACQUISITION.—Using (b) PLANNING AND DESIGN.—Using amounts United States, and in the amounts, set forth in the following table: amounts appropriated pursuant to the au- appropriated pursuant to the authorization thorization of appropriations in section of appropriations in section 2104(a)(5)(A), the Navy: Inside the United States 2204(a)(5)(A), the Secretary of the Navy may Secretary of the Army may carry out archi- construct or acquire family housing units tectural and engineering services and con- (including land acquisition) at the installa- State Installation or location Amount struction design activities with respect to tions, for the purposes, and in the amounts the construction or improvement of family set forth in the following table: housing units in an amount not to exceed California ...... Marine Corps Air-Ground Combat Center, Twentynine Palms ...... $2,490,000 Navy: Family Housing $2,000,000. Marine Corps Base, Camp Pendleton $27,584,000 SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY Naval Command, Control, and Ocean HOUSING UNITS. Surveillance Center, San Diego .... $3,170,000 State Installation Purpose Amount Naval Air Station, Lemoore ...... $7,600,000 Subject to section 2825 of title 10, United Naval Air Station, North Island ...... $99,150,000 California ...... Marine Corps Base, States Code, and using amounts appropriated Naval Air Warfare Center Weapons Camp Pendleton .... 138 units ...... $20,000,000 pursuant to the authorization of appropria- Division, China Lake ...... $3,700,000 Marine Corps Base, tions in section 2104(a)(5)(A), the Secretary Naval Air Warfare Center Weapons Camp Pendleton .... Community $1,438,000 Division, Point Mugu ...... $1,300,000 Center. of the Army may improve existing military Naval Construction Batallion Center, family housing in an amount not to exceed Marine Corps Base, Port Hueneme ...... $16,700,000 Camp Pendleton .... Housing Office $707,000 $48,856,000. Naval Station, San Diego ...... $19,960,000 Naval Air Station, Florida ...... Naval School Explosive Ordinance Lemoore ...... 240 units ...... $34,900,000 SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, Disposal, Eglin Air Force Base ..... $16,150,000 ARMY. Pacific Missile Test Naval Technical Training Center, Center, Point Mugu Housing Office $1,020,000 (a) IN GENERAL.—Subject to subsection (c), Corry Station, Pensacola ...... $2,565,000 Public Works Center, funds are hereby authorized to be appro- Georgia ...... Strategic Weapons Facility, Atlantic, San Diego ...... 346 units ...... $49,310,000 Kings Bay ...... $2,450,000 priated for fiscal years beginning after Sep- Hawaii ...... Naval Complex, Oahu . 252 units ...... $48,400,000 Hawaii ...... Honolulu Naval Computer and Tele- Maryland ...... Naval Air Test Center, tember 30, 1995, for military construction, communications Area, Master land acquisition, and military family hous- Patuxent River ...... Warehouse ...... $890,000 Station Eastern Pacific ...... $1,980,000 US Naval Academy, ing functions of the Department of the Army Intelligence Center Pacific, Pearl Annapolis ...... Housing Office $800,000 in the total amount of $2,147,427,000 as fol- Harbor ...... $2,200,000 North Carolina Marine Corps Air Sta- lows: Naval Submarine Base, Pearl Harbor $22,500,000 tion, Cherry Point ... Community $1,003,000 (1) For military construction projects in- Illinois ...... Naval Training Center, Great Lakes . $12,440,000 Center. Indiana ...... Crane Naval Surface Warfare Center $3,300,000 Pennsylvania .. Navy Ships Parts Con- side the United States authorized by section Maryland ...... Naval Academy, Annapolis ...... $3,600,000 2101(a), $478,230,000. trol Center, Me- New Jersey ...... Naval Air Warfare Center Aircraft Di- chanicsburg ...... Housing Office $300,000 (2) For military construction projects out- vision, Lakehurst ...... $1,700,000 side the United States authorized by section North Carolina ...... Marine Corps Air Station, Cherry Puerto Rico ..... Naval Station, Roo- 2101(b), $102,550,000. Point ...... $11,430,000 sevelt Roads ...... Housing Office $710,000 (3) For unspecified minor military con- Marine Corps Air Station, New River $14,650,000 Virginia ...... Naval Surface Warfare Marine Corps Base, Camp LeJeune .. $59,300,000 Center, Dahlgren .... Housing Office $520,000 struction projects authorized by section 2805 Pennsylvania ...... Philadelphia Naval Shipyard ...... $6,000,000 of title 10, United States Code, $9,000,000. Public Works Center, South Carolina ...... Marine Corps Air Station, Beaufort .. $15,000,000 Norfolk ...... 320 units ...... $42,500,000 (4) For architectural and engineering serv- Texas ...... Naval Air Station, Corpus Christi ..... $4,400,000 Public Works Center, ices and construction design under section Naval Air Station, Kingsville ...... $2,710,000 Norfolk ...... Housing Office $1,390,000 2807 of title 10, United States Code, Naval Station, Ingleside ...... $2,640,000 West Virginia .. Security Group Naval $34,194,000. Virginia ...... Fleet and Industrial Supply Center, Detachment, Sugar (5) For military family housing functions: Williamsburg ...... $8,390,000 Grove ...... 23 units ...... $3,590,000 Henderson Hall, Arlington ...... $1,900,000 (A) For construction and acquisition, plan- Marine Corps Combat Development Total: ...... $207,478,000 ning and design, and improvements of mili- Command, Quantico ...... $3,500,000 tary family housing and facilities, Naval Hospital, Portsmouth ...... $9,500,000 $116,656,000. Naval Station, Norfolk ...... $10,580,000 (b) PLANNING AND DESIGN.—Using amounts (B) For support of military family housing Naval Weapons Station, Yorktown .... $1,300,000 appropriated pursuant to the authorization (including the functions described in section Washington ...... Naval Undersea Warfare Center Divi- of appropriations in section 2204(a)(5)(A), the 2833 of title 10, United States Code), sion, Keyport ...... $5,300,000 Secretary of the Navy may carry out archi- Puget Sound Naval Shipyard, Brem- tectural and engineering services and con- $1,337,596,000. erton ...... $19,870,000 (6) For the Homeowners Assistance Pro- West Virginia ...... Naval Security Group Detachment .... $7,200,000 struction design activities with respect to gram, as authorized by section 2832 of title CONUS Classified .. Classified Locations ...... $1,200,000 the construction or improvement of military 10, United States Code, $75,586,000, to remain family housing units in an amount not to ex- available until expended. Total: ...... $435,409,000 ceed $24,390,000. SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY (b) LIMITATION ON TOTAL COST OF CON- HOUSING UNITS. STRUCTION PROJECTS.—Notwithstanding the (b) OUTSIDE THE UNITED STATES.—Using Subject to section 2825 of title 10, United cost variations authorized by section 2853 of amounts appropriated pursuant to the au- States Code, and using amounts appropriated title 10, United States Code, and any other thorization of appropriations in section pursuant to the authorization of appropria- cost variation authorized by law, the total 2204(a)(2), the Secretary of the Navy may ac- tions in section 2204(a)(5)(A), the Secretary quire real property and carry out military cost of all projects carried out under section of the Navy may improve existing military construction projects for the installations 2101 of this Act may not exceed the total family housing units in an amount not to ex- and locations outside the United States, and amount authorized to be appropriated under ceed $290,831,000. paragraphs (1) and (2) of subsection (a). in the amounts, set forth in the following table: SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, (c) ADJUSTMENT.—The total amount au- NAVY. thorized to be appropriated pursuant to para- Navy: Outside the United States (a) IN GENERAL.—Subject to subsection (c), graphs (1) through (6) of subsection (a) is the funds are hereby authorized to be appro- sum of the amounts authorized to be appro- priated for fiscal years beginning after Sep- priated in such paragraphs, reduced by Country Installation or location Amount tember 30, 1995, for military construction, $6,385,000, which represents the combination Guam ...... Naval Computer and Telecommuni- land acquisition, and military family hous- of project savings resulting from favorable cations Area, Master Station ing functions of the Department of the Navy bids, reduced overhead costs, and cancella- Western Pacific ...... $2,250,000 in the total amount of $2,119,317,000 as fol- tions due to force structure changes. Navy Public Works Center, Guam ..... $16,180,000 lows: January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 451 (1) For military construction projects in- (1) the total amount authorized to be ap- (1) in the matter preceding paragraph (1), side the United States authorized by section propriated under paragraphs (1) and (2) of by striking out ‘‘$1,591,824,000’’ and inserting 2201(a), $427,709,000. subsection (a); and in lieu thereof ‘‘$1,601,824,000’’; and (2) For military construction projects out- (2) $7,700,000 (the balance of the amount au- (2) by adding at the end the following: side the United States authorized by section thorized under section 2201(a) for the con- ‘‘(6) For the construction of the large an- 2201(b), $69,250,000. struction of a bachelor enlisted quarters at echoic chamber facility at the Patuxent (3) For unspecified minor construction the Naval Construction Batallion Center, River Naval Warfare Center, Aircraft Divi- projects authorized by section 2805 of title 10, Port Hueneme, California). sion, Maryland, authorized by section 2201(a) United States Code, $7,200,000. (c) ADJUSTMENT.—The total amount au- of the Military Construction Authorization (4) For architectural and engineering serv- thorized to be appropriated pursuant to para- Act for Fiscal Year 1993 (division B of Public ices and construction design under section graphs (1) through (5) of subsection (a) is the Law 102–484; 106 Stat. 2590), $10,000,000.’’. 2807 of title 10, United States Code, sum of the amounts authorized to be appro- $50,515,000. priated in such paragraphs, reduced by SEC. 2206. AUTHORITY TO CARRY OUT LAND AC- (5) For military family housing functions: $6,385,000, which represents the combination QUISITION PROJECT, HAMPTON (A) For construction and acquisition, plan- of project savings resulting from favorable ROADS, VIRGINIA. ning and design, and improvement of mili- bids, reduced overhead costs, and cancella- The table in section 2201(a) of the Military tary family housing and facilities, tions due to force structure changes. Construction Authorization Act for Fiscal $522,699,000. SEC. 2205. REVISION OF FISCAL YEAR 1995 AU- Year 1993 (division B of Public Law 102–484; (B) For support of military housing (in- THORIZATION OF APPROPRIATIONS 106 Stat. 2589) is amended— cluding functions described in section 2833 of TO CLARIFY AVAILABILITY OF title 10, United States Code), $1,048,329,000. FUNDS FOR LARGE ANECHOIC (1) in the item relating to Damneck, Fleet (b) LIMITATION ON TOTAL COST OF CON- CHAMBER FACILITY, PATUXENT Combat Training Center, Virginia, by strik- STRUCTION PROJECTS.—Notwithstanding the RIVER NAVAL WARFARE CENTER, ing out ‘‘$19,427,000’’ in the amount column cost variations authorized by section 2853 of MARYLAND. and inserting in lieu thereof ‘‘$14,927,000’’; title 10, United States Code, and any other Section 2204(a) of the Military Construc- and cost variation authorized by law, the total tion Authorization Act for Fiscal Year 1995 (2) by inserting after the item relating to cost of all projects carried out under section (division B of Public Law 103–337; 108 Stat. Damneck, Fleet Combat Training Center, 2201 of this Act may not exceed— 3033) is amended— Virginia, the following new item:

Hampton Roads ...... $4,500,000

SEC. 2207. ACQUISITION OF LAND, HENDERSON in the account to the Secretary of the Navy Air Force: Inside the United States HALL, ARLINGTON, VIRGINIA. solely for the acquisition or construction of (a) AUTHORITY TO ACQUIRE.—Using military family housing, including the ac- State Installation or location Amount amounts appropriated pursuant to the au- quisition of land necessary for such acquisi- thorization of appropriations in section tion or construction, for members of the Alabama ...... Maxwell Air Force Base ...... $5,200,000 2204(a)(1), the Secretary of the Navy may ac- Armed Forces and their dependents sta- Alaska ...... Eielson Air Force Base ...... $7,850,000 quire all right, title, and interest of any tioned in, or in the vicinity of, San Diego, Elmendorf Air Force Base ...... $9,100,000 party in and to a parcel of real property, in- California. In using amounts in the account, Tin City Long Range RADAR Site ...... $2,500,000 cluding an abandoned mausoleum, consisting the Secretary of the Navy may use the au- Arizona ...... Davis-Monthan Air Force Base ...... $4,800,000 of approximately 0.75 acres and located in thorities provided in subchapter IV of chap- Luke Air Force Base ...... $5,200,000 Arlington, Virginia, the site of Henderson ter 169 of title 10, United States Code, as Arkansas ...... Little Rock Air Force Base ...... $2,500,000 Hall. added by section 2801 of this Act. California ...... Beale Air Force Base ...... $7,500,000 Edwards Air Force Base ...... $33,800,000 (b) DEMOLITION OF MAUSOLEUM.—Using (b) UNITS AUTHORIZED.—Not more than 150 amounts appropriated pursuant to the au- Travis Air Force Base ...... $26,700,000 military family housing units may be ac- Vandenberg Air Force Base ...... $6,000,000 thorization of appropriations in section quired or constructed with funds referred to Colorado ...... Buckley Air National Guard Base ..... $5,500,000 2204(a)(1), the Secretary may— in subsection (a). The units authorized by Peterson Air Force Base ...... $4,390,000 (1) demolish the mausoleum located on the this subsection are in addition to any other US Air Force Academy ...... $12,874,000 parcel acquired under subsection (a); and units of military family housing authorized Delaware ...... Dover Air Force Base ...... $5,500,000 (2) provide for the removal and disposition to be acquired or constructed in, or in the vi- District of Colum- Bolling Air Force Base ...... $12,100,000 in an appropriate manner of the remains cinity of, San Diego, California. bia. contained in the mausoleum. (c) PAYMENT OF EXCESS INTO TREASURY.— Florida ...... Cape Canaveral Air Force Station .... $1,600,000 (c) AUTHORITY TO DESIGN PUBLIC WORKS The Secretary of the Treasury shall deposit Eglin Air Force Base ...... $13,500,000 Tyndall Air Force Base ...... $1,200,000 FACILITY.—Using amounts appropriated pur- into the Treasury as miscellaneous receipts Georgia ...... Moody Air Force Base ...... $25,190,000 suant to the authorization of appropriations funds referred to in subsection (a) that have Robins Air Force Base ...... $12,400,000 in section 2204(a)(1), the Secretary may ob- not been obligated for construction under Hawaii ...... Hickam Air Force Base ...... $10,700,000 tain architectural and engineering services this section within four years after receipt Idaho ...... Mountain Home Air Force Base ...... $18,650,000 and construction design for a warehouse and thereof. Illinois ...... Scott Air Force Base ...... $12,700,000 office facility for the Marine Corps to be con- (d) LIMITATION.—The Secretary may not Kansas ...... McConnell Air Force Base ...... $9,450,000 structed on the property acquired under sub- enter into any contract for the acquisition Louisiana ...... Barksdale Air Force Base ...... $2,500,000 section (a). or construction of military family housing Maryland ...... Andrews Air Force Base ...... $12,886,000 (d) DESCRIPTION OF PROPERTY.—The exact under this section until after the expiration Mississippi ...... Columbus Air Force Base ...... $1,150,000 acreage and legal description of the real of the 21-day period beginning on the day Keesler Air Force Base ...... $6,500,000 property authorized to be acquired under after the day on which the Secretary trans- Missouri ...... Whiteman Air Force Base ...... $24,600,000 Nevada ...... Nellis Air Force Base ...... $17,500,000 subsection (a) shall be determined by a sur- mits to the congressional defense commit- tees a report containing the details of such New Jersey ...... McGuire Air Force Base ...... $16,500,000 vey that is satisfactory to the Secretary. New Mexico ...... Cannon Air Force Base ...... $13,420,000 contract. The cost of the survey shall be borne by the Holloman Air Force Base ...... $6,000,000 (e) REPEAL OF EXISTING AUTHORITY.—Sec- Secretary. Kirtland Air Force Base ...... $9,156,000 (e) ADDITIONAL TERMS AND CONDITIONS.— tion 2848 of the Military Construction Au- North Carolina ...... Pope Air Force Base ...... $8,250,000 The Secretary may require such additional thorization Act for Fiscal Years 1990 and 1991 Seymour Johnson Air Force Base ...... $5,530,000 terms and conditions in connection with the (division B of Public Law 101–189; 103 Stat. North Dakota ...... Grand Forks Air Force Base ...... $14,800,000 acquisition under subsection (a) as the Sec- 1666) is repealed. Minot Air Force Base ...... $1,550,000 retary considers appropriate to protect the TITLE XXIII—AIR FORCE Ohio ...... Wright Patterson Air Force Base ...... $4,100,000 Oklahoma ...... Altus Air Force Base ...... $4,800,000 interests of the United States. SEC. 2301. AUTHORIZED AIR FORCE CONSTRUC- Tinker Air Force Base ...... $11,100,000 TION AND LAND ACQUISITION SEC. 2208. ACQUISITION OR CONSTRUCTION OF South Carolina ...... Charleston Air Force Base ...... $12,500,000 PROJECTS. MILITARY FAMILY HOUSING IN VI- Shaw Air Force Base ...... $1,300,000 CINITY OF SAN DIEGO, CALIFORNIA. (a) INSIDE THE UNITED STATES.—Using South Dakota ...... Ellsworth Air Force Base ...... $7,800,000 (a) AUTHORITY TO USE LITIGATION PRO- amounts appropriated pursuant to the au- Tennessee ...... Arnold Air Force Base ...... $5,000,000 CEEDS.—Upon final settlement in the case of thorization of appropriations in section Texas ...... Dyess Air Force Base ...... $5,400,000 Rossmoor Liquidating Trust against United 2304(a)(1), and, in the case of the project de- Goodfellow Air Force Base ...... $1,000,000 States, in the United States District Court scribed in section 2304(b)(2), other amounts Kelly Air Force Base ...... $3,244,000 for the Central District of California (Case appropriated pursuant to authorizations en- Laughlin Air Force Base ...... $1,400,000 No. CV 82–0956 LEW (Px)), the Secretary of acted after this Act for that project, the Sec- Randolph Air Force Base ...... $3,100,000 the Treasury shall deposit in a separate ac- retary of the Air Force may acquire real Sheppard Air Force Base ...... $1,500,000 Utah ...... Hill Air Force Base ...... $8,900,000 count any funds paid to the United States in property and carry out military construction Virginia ...... Langley Air Force Base ...... $1,000,000 settlement of such case. At the request of projects for the installations and locations Washington ...... Fairchild Air Force Base ...... $15,700,000 the Secretary of the Navy, the Secretary of inside the United States, and in the McChord Air Force Base ...... $9,900,000 the Treasury shall make available amounts amounts, set forth in the following table: Wyoming ...... F.E. Warren Air Force Base ...... $9,000,000 H 452 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Air Force: Inside the United States—Continued Air Force: Family Housing—Continued SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE. (a) IN GENERAL.—Subject to subsection (c), State Installation or location Amount State/Country Installation Purpose Amount funds are hereby authorized to be appro- CONUS Classified .. Classified Location ...... $700,000 Tyndall Air Force priated for fiscal years beginning after Sep- Base ...... 82 units .... $9,800,000 tember 30, 1995, for military construction, Total: ...... $504,690,000 Georgia ...... Moody Air Force land acquisition, and military family hous- Base ...... 1 Officer & ing functions of the Department of the Air 1 Gen- (b) OUTSIDE THE UNITED STATES.—Using Force in the total amount of $1,735,086,000 as eral Offi- amounts appropriated pursuant to the au- follows: cer Quar- (1) For military construction projects in- thorization of appropriations in section ter ...... $513,000 2304(a)(2), the Secretary of the Air Force Robins Air Force side the United States authorized by section may acquire real property and may carry out Base ...... 83 units .... $9,800,000 2301(a), $504,690,000. military construction projects for the instal- Guam ...... Andersen Air (2) For military construction projects out- lations and locations outside the United Force Base ...... Housing side the United States authorized by section States, and in the amounts, set forth in the Mainte- 2301(b), $49,400,000. following table: nance (3) For unspecified minor construction Facility .. $1,700,000 projects authorized by section 2805 of title 10, Air Force: Outside the United States Idaho ...... Mountain Home United States Code, $9,030,000. Air Force Base Housing Manage- (4) For architectural and engineering serv- Country Installation or location Amount ment Fa- ices and construction design under section cility ...... $844,000 2807 of title 10, United States Code, Germany ...... Spangdahlem Air Base ...... $8,380,000 Kansas ...... McConnell Air $30,835,000. Vogelweh Annex ...... $2,600,000 Force Base ...... 39 units .... $5,193,000 (5) For military housing functions: Greece ...... Araxos Radio Relay Site ...... $1,950,000 Louisiana ... Barksdale Air (A) For construction and acquisition, plan- Italy ...... Aviano Air Base ...... $2,350,000 Force Base ...... 62 units .... $10,299,000 ning and design and improvement of military Ghedi Radio Relay Site ...... $1,450,000 Massachu- Hanscom Air Turkey ...... Ankara Air Station ...... $7,000,000 setts. Force Base ...... 32 units .... $4,900,000 family housing and facilities, $298,303,000. Incirlik Air Base ...... $4,500,000 Mississippi Keesler Air Force (B) For support of military family housing United Kingdom .... Lakenheath Royal Air Force Base ..... $1,820,000 Base ...... 98 units .... $9,300,000 (including the functions described in section Mildenhall Royal Air Force Base ...... $2,250,000 Missouri ..... Whiteman Air 2833 of title 10, United States Code), Overseas Classified Classified Location ...... $17,100,000 Force Base ...... 72 units .... $9,948,000 $849,213,000. Nevada ...... Nellis Air Force Total: ...... $49,400,000 (b) LIMITATION ON TOTAL COST OF CON- Base ...... 102 units .. $16,357,000 STRUCTION PROJECTS.—Notwithstanding the New Mexico Holloman Air cost variations authorized by section 2853 of SEC. 2302. FAMILY HOUSING. Force Base ...... 1 General Officer title 10, United States Code, and any other (a) CONSTRUCTION AND ACQUISITION.—Using Quarters $225,000 cost variation authorized by law, the total amounts appropriated pursuant to the au- Kirtland Air Force cost of all projects carried out under section thorization of appropriations in section Base ...... 105 units .. $11,000,000 2301 of this Act may not exceed— 2304(a)(5)(A), the Secretary of the Air Force North Caro- Pope Air Force (1) the total amount authorized to be ap- may construct or acquire family housing lina. Base ...... 104 units .. $9,984,000 propriated under paragraphs (1) and (2) of units (including land acquisition) at the in- Seymour Johnson subsection (a); and Air Force Base 1 General stallations, for the purposes, and in the (2) $5,400,000 (the balance of the amount au- amounts set forth in the following table: Officer Quarters $204,000 thorized under section 2301(a) for the con- Air Force: Family Housing South Caro- Shaw Air Force struction of a corrosion control facility at lina. Base ...... Housing Tinker Air Force Base, Oklahoma). Mainte- (c) ADJUSTMENT.—The total amount au- State/Country Installation Purpose Amount nance thorized to be appropriated pursuant to para- Facility .. $715,000 graphs (1) through (5) of subsection (a) is the Alaska ...... Elmendorf Air Texas ...... Dyess Air Force Force Base ...... Housing Of- Base ...... Housing sum of the amounts authorized to be appro- fice/ Mainte- priated in such paragraphs, reduced by Mainte- nance $6,385,000, which represents the combination nance Facility .. $580,000 of project savings resulting from favorable Facility .. $3,000,000 Lackland Air bids, reduced overhead costs, and cancella- Arizona ...... Davis-Monthan Force Base ...... 67 units .... $6,200,000 tions due to force structure changes. Air Force Base 80 units .... $9,498,000 Sheppard Air Arkansas ... Little Rock Air Force Base ...... Manage- SEC. 2305. RETENTION OF ACCRUED INTEREST Force Base ...... Replace 1 ment Of- ON FUNDS DEPOSITED FOR CON- General fice ...... $500,000 STRUCTION OF FAMILY HOUSING, Officer Sheppard Air SCOTT AIR FORCE BASE, ILLINOIS. Quarters $210,000 Force Base ...... Housing (a) RETENTION OF INTEREST.—Section 2310 California .. Beale Air Force Family Mainte- of the Military Construction Authorization Base. Housing nance Act for Fiscal Year 1994 (division B of Public Office .... $842,000 Facility .. $600,000 Law 103–160; 107 Stat. 1874) is amended— Edwards Air Force Turkey ...... Incirlik Air Base .. 150 units .. $10,146,000 (1) by redesignating subsection (b) as sub- Base ...... 127 units .. $20,750,000 Washington McChord Air Force Vandenberg Air Base ...... 50 units .... $9,504,000 section (c); and Force Base ...... Family (2) by inserting after subsection (a) the fol- Housing Total: .... $198,355,000 lowing new subsection: Office .... $900,000 ‘‘(b) RETENTION OF INTEREST.—Interest ac- Vandenberg Air crued on the funds transferred to the County Force Base ...... 143 units .. $20,200,000 (b) PLANNING AND DESIGN.—Using amounts pursuant to subsection (a) shall be retained Colorado .... Peterson Air Force Base ...... Family appropriated pursuant to the authorization in the same account as the transferred funds Housing of appropriations in section 2304(a)(5)(A), the and shall be available to the County for the Office .... $570,000 Secretary of the Air Force may carry out ar- same purpose as the transferred funds.’’. District of chitectural and engineering services and (b) LIMITATION ON UNITS CONSTRUCTED.— Columbia Bolling Air Force construction design activities with respect Subsection (c) of such section, as redesig- Base ...... 32 units .... $4,100,000 to the construction or improvement of mili- nated by subsection (a)(1), is amended by Florida ...... Eglin Air Force Base ...... Family tary family housing units in an amount not adding at the end the following new sen- Housing to exceed $8,989,000. tence: ‘‘The number of units constructed Office .... $500,000 using the transferred funds (and interest ac- Eglin Auxiliary SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY crued on such funds) may not exceed the HOUSING UNITS. Field 9 ...... Family number of units of military family housing Housing Subject to section 2825 of title 10, United authorized for Scott Air Force Base in sec- Office .... $880,000 States Code, and using amounts appropriated tion 2302(a) of the Military Construction Au- MacDill Air Force pursuant to the authorization of appropria- Base ...... Family thorization Act for Fiscal Year 1993.’’. Housing tions in section 2304(a)(5)(A), the Secretary (c) EFFECT OF COMPLETION OF CONSTRUC- Office .... $646,000 of the Air Force may improve existing mili- TION.—Such section is further amended by Patrick Air Force tary family housing units in an amount not adding at the end the following new sub- Base ...... 70 units .... $7,947,000 to exceed $90,959,000. section: January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 453

‘‘(d) COMPLETION OF CONSTRUCTION.—Upon Defense Agencies: Inside the United States—Continued tion 2405(a)(9), the Secretary of Defense may the completion of the construction author- carry out energy conservation projects under ized by this section, all funds remaining section 2865 of title 10, United States Code. Agency/State Installation or location Amount from the funds transferred pursuant to sub- SEC. 2405. AUTHORIZATION OF APPROPRIATIONS, section (a), and the remaining interest ac- Inside the United DEFENSE AGENCIES. crued on such funds, shall be deposited in the States Classified location ...... $11,500,000 (a) IN GENERAL.—Funds are hereby author- general fund of the Treasury of the United Department of De- ized to be appropriated for fiscal years begin- States.’’. fense Depend- ning after September 30, 1995, for military (d) REPORTS ON ACCRUED INTEREST.—Such ents Schools construction, land acquisition, and military section is further amended by adding at the Alabama ...... Maxwell Air Force Base ...... $5,479,000 family housing functions of the Department end the following new subsection: Georgia ...... Fort Benning ...... $1,116,000 of Defense (other than the military depart- South Carolina ...... Fort Jackson ...... $576,000 ‘‘(e) REPORTS ON ACCRUED INTEREST.—Not ments), in the total amount of $4,629,491,000 later than March 1 of each year following a Special Operations as follows: year in which funds available to the County Command (1) For military construction projects in- California ...... Camp Pendleton ...... $5,200,000 side the United States authorized by section under this section are used by the County for Florida ...... Eglin Air Force Base (Duke Field) ..... $2,400,000 the purpose referred to in subsection (c), the Eglin Auxiliary Field 9 ...... $14,150,000 2401(a), $329,599,000. Secretary shall submit to the congressional North Carolina ...... Fort Bragg ...... $23,800,000 (2) For military construction projects out- defense committees a report setting forth Pennsylvania ...... Olmstead Field, Harrisburg IAP ...... $1,643,000 side the United States authorized by section the amount of interest that accrued on such Virginia ...... Dam Neck ...... $4,500,000 2401(b), $54,877,000. funds during the preceding year.’’. Naval Amphibious Base, Little Creek $6,100,000 (3) For military construction projects at TITLE XXIV—DEFENSE AGENCIES Portsmouth Naval Hospital, Virginia, au- Total: ...... $364,602,000 thorized by section 2401(a) of the Military SEC. 2401. AUTHORIZED DEFENSE AGENCIES Construction Authorization Act for Fiscal CONSTRUCTION AND LAND ACQUISI- TION PROJECTS. (b) OUTSIDE THE UNITED STATES.—Using Years 1990 and 1991 (division B of Public Law (a) INSIDE THE UNITED STATES.—Using amounts appropriated pursuant to the au- 101–189; 103 Stat. 1640), $47,900,000. amounts appropriated pursuant to the au- thorization of appropriations in section (4) For military construction projects at thorization of appropriations in section 2405(a)(2), the Secretary of Defense may ac- Elmendorf Air Force Base, Alaska, hospital 2405(a)(1), and, in the case of the project de- quire real property and carry out military replacement, authorized by section 2401(a) of scribed in section 2405(b)(2), other amounts construction projects for the installations the Military Construction Authorization Act appropriated pursuant to authorizations en- and locations outside the United States, and for Fiscal Year 1993 (division B of Public Law acted after this Act for that project, the Sec- in the amounts, set forth in the following 102–484; 106 Stat. 2599), $28,100,000. retary of Defense may acquire real property table: (5) For military construction projects at Walter Reed Army Institute of Research, and carry out military construction projects Defense Agencies: Outside the United States for the installations and locations inside the Maryland, hospital replacement, authorized United States, and in the amounts, set forth by section 2401(a) of the Military Construc- in the following table: Agency/Country Installation name Amount tion Authorization Act for Fiscal Year 1993 (division B of Public Law 102–484; 106 Stat. Defense Agencies: Inside the United States Defense Logistics 2599), $27,000,000. Agency (6) For unspecified minor construction Puerto Rico ...... Defense Fuel Support Point, Roo- projects under section 2805 of title 10, United Agency/State Installation or location Amount sevelt Roads ...... $6,200,000 Spain ...... DFSC Rota ...... $7,400,000 States Code, $23,007,000. Ballistic Missile (7) For contingency construction projects Defense Medical Defense Organi- Facility Office of the Secretary of Defense under section zation Italy ...... Naval Support Activity, Naples ...... $5,000,000 2804 of title 10, United States Code, Texas ...... Fort Bliss ...... $13,600,000 Department of De- $11,037,000. Defense Finance & fense Depend- (8) For architectural and engineering serv- Accounting ents Schools ices and construction design under section Service Germany ...... Ramstein Air Force Base ...... $19,205,000 Ohio ...... Columbus Center ...... $72,403,000 2807 of title 10, United States Code, Italy ...... Naval Air Station, Sigonella ...... $7,595,000 $68,837,000. Defense Intel- National Security ligence Agency (9) For energy conservation projects au- Agency District of Colum- thorized by section 2404, $40,000,000. United Kingdom .... Menwith Hill Station ...... $677,000 bia ...... Bolling Air Force Base ...... $498,000 (10) For base closure and realignment ac- Special Operations Defense Logistics tivities as authorized by the Defense Base Command Agency Closure and Realignment Act of 1990 (part A Guam ...... Naval Station, Guam ...... $8,800,000 Alabama ...... Defense Distribution Anniston ...... $3,550,000 of title XXIX of Public Law 101–510; 10 U.S.C. California ...... Defense Distribution Stockton ...... $15,000,000 Total: ...... $54,877,000 2687 note), $3,897,892,000. DFSC, Point Mugu ...... $750,000 (11) For military family housing functions: Delaware ...... DFSC, Dover Air Force Base ...... $15,554,000 (A) For construction and acquisition and Florida ...... DFSC, Eglin Air Force Base ...... $2,400,000 SEC. 2402. MILITARY FAMILY HOUSING PRIVATE Louisiana ...... DFSC, Barksdale Air Force Base ...... $13,100,000 INVESTMENT. improvement of military family housing and New Jersey ...... DFSC, McGuire Air Force Base ...... $12,000,000 (a) AVAILABILITY OF FUNDS FOR INVEST- facilities, $25,772,000. Pennsylvania ...... Defense Distribution New Cum- MENT.—Of the amount authorized to be ap- (B) For support of military housing (in- berland—DDSP ...... $4,600,000 propriated pursuant to section 2405(a)(11)(A), cluding functions described in section 2833 of Virginia ...... Defense Distribution Depot—DDNV .. $10,400,000 $22,000,000 shall be available for crediting to title 10, United States Code), $40,467,000, of Defense Mapping the Department of Defense Family Housing which not more than $24,874,000 may be obli- Agency Improvement Fund established by section gated or expended for the leasing of military Missouri ...... Defense Mapping Agency Aerospace 2883(a)(1) of title 10, United States Code (as family housing units worldwide. Center ...... $40,300,000 added by section 2801 of this Act). (b) LIMITATION OF TOTAL COST OF CON- Defense Medical (b) USE OF FUNDS.—The Secretary of De- STRUCTION PROJECTS.—Notwithstanding the Facility Office cost variation authorized by section 2853 of Alabama ...... Maxwell Air Force Base ...... $10,000,000 fense may use funds credited to the Depart- ment of Defense Family Housing Improve- title 10, United States Code, and any other Arizona ...... Luke Air Force Base ...... $8,100,000 cost variations authorized by law, the total California ...... Fort Irwin ...... $6,900,000 ment Fund under subsection (a) to carry out Marine Corps Base, Camp Pendleton $1,700,000 any activities authorized by subchapter IV of cost of all projects carried out under section Vandenberg Air Force Base ...... $5,700,000 chapter 169 of such title (as added by such 2401 of this Act may not exceed— Delaware ...... Dover Air Force Base ...... $4,400,000 section) with respect to military family (1) the total amount authorized to be ap- Georgia ...... Fort Benning ...... $5,600,000 housing. propriated under paragraphs (1) and (2) of Louisiana ...... Barksdale Air Force Base ...... $4,100,000 subsection (a); and Maryland ...... Bethesda Naval Hospital ...... $1,300,000 SEC. 2403. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS. (2) $35,003,000 (the balance of the amount Walter Reed Army Institute of Re- authorized under section 2401(a) for the con- search ...... $1,550,000 Subject to section 2825 of title 10, United Texas ...... Fort Hood ...... $5,500,000 States Code, and using amounts appropriated struction of a center of the Defense Finance Lackland Air Force Base ...... $6,100,000 pursuant to the authorization of appropria- and Accounting Service at Columbus, Ohio). Virginia ...... Northwest Naval Security Group Ac- tions in section 2405(a)(11)(A), the Secretary SEC. 2406. LIMITATIONS ON USE OF DEPART- tivity ...... $4,300,000 of Defense may improve existing military MENT OF DEFENSE BASE CLOSURE ACCOUNT 1990. National Security family housing units in an amount not to ex- (a) SET ASIDE FOR 1995 ROUND.—Of the Agency ceed $3,772,000. Maryland ...... Fort Meade ...... $18,733,000 amounts appropriated pursuant to the au- SEC. 2404. ENERGY CONSERVATION PROJECTS. Office of the Sec- thorization of appropriations in section retary of De- Using amounts appropriated pursuant to 2405(a)(10), $784,569,000 shall be available only fense the authorization of appropriations in sec- for the purposes described in section 2905 of H 454 CONGRESSIONAL RECORD — HOUSE January 22, 1996

the Defense Base Closure and Realignment collected from the North Atlantic Treaty Or- (b) NOTICE AND WAIT.—The amounts re- Act of 1990 (part A of title XXIX of Public ganization as a result of construction pre- ferred to in subsection (a) shall not be avail- Law 101–510; 10 U.S.C. 2687 note) with respect viously financed by the United States. able for construction with respect to a facil- to military installations approved for clo- SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, ity referred to in that subsection until 21 sure or realignment in 1995. NATO. days after the date on which the Secretary of (b) CONSTRUCTION.—Amounts appropriated Funds are hereby authorized to be appro- the Army submits to Congress a report de- pursuant to the authorization of appropria- priated for fiscal years beginning after Sep- scribing the construction (including any land tions in section 2405(a)(10) may not be obli- tember 30, 1995, for contributions by the Sec- acquisition) to be carried out with respect to gated to carry out a construction project retary of Defense under section 2806 of title the facility. with respect to military installations ap- 10, United States Code, for the share of the proved for closure or realignment in 1995 United States of the cost of projects for the TITLE XXVII—EXPIRATION AND until after the date on which the Secretary North Atlantic Treaty Organization Infra- EXTENSION OF AUTHORIZATIONS structure program, as authorized by section of Defense submits to Congress a five-year SEC. 2701. EXPIRATION OF AUTHORIZATIONS program for executing the 1995 base realign- 2501, in the amount of $161,000,000. AND AMOUNTS REQUIRED TO BE ment and closure plan. The limitation con- TITLE XXVI—GUARD AND RESERVE SPECIFIED BY LAW. tained in this subsection shall not prohibit FORCES FACILITIES (a) EXPIRATION OF AUTHORIZATIONS AFTER site surveys, environmental baseline sur- SEC. 2601. AUTHORIZED GUARD AND RESERVE THREE YEARS.—Except as provided in sub- veys, environmental analysis under the Na- CONSTRUCTION AND LAND ACQUISI- section (b), all authorizations contained in tional Environmental Policy Act of 1969 (42 TION PROJECTS. titles XXI through XXVI for military con- U.S.C. 4321 et seq.), and planning and design There are authorized to be appropriated for struction projects, land acquisition, family work conducted in anticipation of such con- fiscal years beginning after September 30, housing projects and facilities, and contribu- struction. 1995, for the costs of acquisition, architec- tural and engineering services, and construc- tions to the North Atlantic Treaty Organiza- SEC. 2407. MODIFICATION OF AUTHORITY TO tion Infrastructure program (and authoriza- CARRY OUT FISCAL YEAR 1995 tion of facilities for the Guard and Reserve PROJECTS. Forces, and for contributions therefor, under tions of appropriations therefor) shall expire The table in section 2401 of the Military chapter 133 of title 10, United States Code on the later of— Construction Authorization Act for Fiscal (including the cost of acquisition of land for (1) October 1, 1998; or Year 1995 (division B of Public Law 103–337; those facilities), the following amounts: (2) the date of the enactment of an Act au- 108 Stat. 3040), under the agency heading re- (1) For the Department of the Army— thorizing funds for military construction for lating to Chemical Weapons and Munitions (A) for the Army National Guard of the fiscal year 1999. Destruction, is amended— United States, $134,802,000; and (b) EXCEPTION.—Subsection (a) shall not (1) in the item relating to Pine Bluff Arse- (B) for the Army Reserve, $73,516,000. apply to authorizations for military con- nal, Arkansas, by striking out ‘‘$3,000,000’’ in (2) For the Department of the Navy, for the struction projects, land acquisition, family the amount column and inserting in lieu Naval and Marine Corps Reserve, $19,055,000. housing projects and facilities, and contribu- thereof ‘‘$115,000,000’’; and (3) For the Department of the Air Force— tions to the North Atlantic Treaty Organiza- (2) in the item relating to Umatilla Army (A) for the Air National Guard of the Unit- tion Infrastructure program (and authoriza- Depot, Oregon, by striking out ‘‘$12,000,000’’ ed States, $170,917,000; and tions of appropriations therefor), for which in the amount column and inserting in lieu (B) for the Air Force Reserve, $36,232,000. appropriated funds have been obligated be- thereof ‘‘$186,000,000’’. SEC. 2602. REDUCTION IN AMOUNT AUTHORIZED fore the later of— SEC. 2408. REDUCTION IN AMOUNTS AUTHOR- TO BE APPROPRIATED FOR FISCAL (1) October 1, 1998; or IZED TO BE APPROPRIATED FOR FIS- YEAR 1994 AIR NATIONAL GUARD (2) the date of the enactment of an Act au- CAL YEAR 1994 CONTINGENCY CON- PROJECTS. thorizing funds for fiscal year 1999 for mili- Section 2601(3)(A) of the Military Construc- STRUCTION PROJECTS. tary construction projects, land acquisition, tion Authorization Act for Fiscal Year 1994 Section 2403(a) of the Military Construc- family housing projects and facilities, or (division B of Public Law 103–160; 107 Stat. tion Authorization Act for Fiscal Year 1994 contributions to the North Atlantic Treaty 1878) is amended by striking out (division B of Public Law 103–160; 107 Stat. Organization Infrastructure program. 1876) is amended— ‘‘$236,341,000’’ and inserting in lieu thereof (1) in the matter preceding paragraph (1), ‘‘$229,641,000’’. SEC. 2702. EXTENSION OF AUTHORIZATIONS OF by striking out ‘‘$3,268,394,000’’ and inserting SEC. 2603. CORRECTION IN AUTHORIZED USES CERTAIN FISCAL YEAR 1993 in lieu thereof ‘‘$3,260,263,000’’; and OF FUNDS FOR ARMY NATIONAL PROJECTS. GUARD PROJECTS IN MISSISSIPPI. (2) in paragraph (10), by striking out (a) EXTENSIONS.—Notwithstanding section (a) IN GENERAL.—Subject to subsection (b), ‘‘$12,200,000’’ and inserting in lieu thereof 2701 of the Military Construction Authoriza- amounts appropriated pursuant to the au- ‘‘$4,069,000’’. tion Act for Fiscal Year 1993 (division B of thorization of appropriations in section Public Law 102–484; 106 Stat. 2602), authoriza- TITLE XXV—NORTH ATLANTIC TREATY 2601(1)(A) of the Military Construction Au- tions for the projects set forth in the tables ORGANIZATION INFRASTRUCTURE thorization Act for Fiscal Year 1994 (division in subsection (b), as provided in section 2101, SEC. 2501. AUTHORIZED NATO CONSTRUCTION B of Public Law 103–160; 107 Stat. 1878) for AND LAND ACQUISITION PROJECTS. the addition or alteration of Army National 2301, or 2601 of that Act or in section 2201 of The Secretary of Defense may make con- Guard Armories at various locations in the that Act (as amended by section 2206 of this tributions for the North Atlantic Treaty Or- State of Mississippi shall be available for the Act), shall remain in effect until October 1, ganization Infrastructure program as pro- addition, alteration, or new construction of 1996, or the date of the enactment of an Act vided in section 2806 of title 10, United States armory facilities and an operation and main- authorizing funds for military construction Code, in an amount not to exceed the sum of tenance shop facility (including the acquisi- for fiscal year 1997, whichever is later. the amount authorized to be appropriated for tion of land for such facilities) at various lo- (b) TABLES.—The tables referred to in sub- this purpose in section 2502 and the amount cations in the State of Mississippi. section (a) are as follows: Army: Extension of 1993 Project Authorizations

State Installation or Location Project Amount

Arkansas ...... Pine Bluff Arsenal ...... Ammunition Demilitariza- tion Support Facility ...... $15,000,000 Hawaii ...... Schofield Barracks ...... Add/Alter Sewage Treat- ment Plant ...... $17,500,000

Navy: Extension of 1993 Project Authorizations

State Installation or Location Project Amount

California ...... Camp Pendleton Marine Corps Base ...... Sewage Treatment Plant Modifications ...... $19,740,000 Maryland ...... Patuxent River Naval Warfare Center ...... Large Anechoic Chamber, Phase I ...... $60,990,000 Mississippi ...... Meridian Naval Air Station ...... Child Development Center . $1,100,000 Virginia ...... Hampton Roads ...... Land Acquisition ...... $4,500,000

Air Force: Extension of 1993 Project Authorizations

State Installation or Location Project Amount

Arkansas ...... Little Rock Air Force Base ...... Fire Training Facility ...... $710,000 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 455 Air Force: Extension of 1993 Project Authorizations—Continued

State Installation or Location Project Amount

District of Columbia ...... Bolling Air Force Base ...... Civil Engineer Complex ...... $9,400,000 Mississippi ...... Keesler Air Force Base ...... Alter Student Dormitory ...... $3,100,000 North Carolina ...... Pope Air Force Base ...... Construct Bridge Road and Utilities ...... $4,000,000 Pope Air Force Base ...... Munitions Storage Complex $4,300,000 Virginia ...... Langley Air Force Base ...... Base Engineer Complex ..... $5,300,000 Guam ...... Andersen Air Base ...... Landfill ...... $10,000,000 Portugal ...... Lajes Field ...... Water Wells ...... $865,000 Lajes Field ...... Fire Training Facility ...... $950,000

Army National Guard: Extension of 1993 Project Authorizations

State Installation or Location Project Amount

Alabama ...... Tuscaloosa ...... Armory ...... $2,273,000 Union Springs ...... Armory ...... $813,000 Oregon ...... La Grande ...... Organizational Maintenance Shop ...... $1,220,000 La Grande ...... Armory Addition ...... $3,049,000 Pennsylvania ...... Indiana ...... Armory ...... $1,700,000 Rhode Island ...... North Kingston ...... Add/Alter Armory ...... $3,330,000

Army Reserve: Extension of 1993 Project Authorizations

State Installation or Location Project Amount

West Virginia ...... Bluefield ...... United States Army Reserve Center ...... $1,921,000 Clarksburg ...... United States Army Reserve Center ...... $1,566,000 Grantville ...... United States Army Reserve Center ...... $2,785,000 Lewisburg ...... United States Army Reserve Center ...... $1,631,000 Weirton ...... United States Army Reserve Center ...... $3,481,000

SEC. 2703. EXTENSION OF AUTHORIZATIONS OF tions for the projects set forth in the tables main in effect until October 1, 1996, or the CERTAIN FISCAL YEAR 1992 in subsection (b), as provided in section 2101 date of the enactment of an Act authorizing PROJECTS. or 2601 of that Act, and extended by section funds for military construction for fiscal (a) EXTENSIONS.—Notwithstanding section year 1997, whichever is later. 2701 of the Military Construction Authoriza- 2702 of the Military Construction Authoriza- tion Act for Fiscal Year 1992 (division B of tion Act for Fiscal Year 1995 (division B of (b) TABLES.—The tables referred to in sub- Public Law 102–190; 105 Stat. 1535), authoriza- Public Law 103–337; 108 Stat. 3047), shall re- section (a) are as follows: Army: Extension of 1992 Project Authorizations

State Installation or Location Project Amount

Oregon ...... Umatilla Army Depot ...... Ammunition Demilitariza- tion Support Facility ...... $3,600,000 Umatilla Army Depot ...... Ammunition Demilitariza- tion Utilities ...... $7,500,000

Army National Guard: Extension of 1992 Project Authorization

State Installation or Location Project Amount

Ohio ...... Toledo ...... Armory ...... $3,183,000

Army Reserve: Extension of 1992 Project Authorization

State Installation or Location Project Amount

Tennessee ...... Jackson ...... Joint Training Facility ...... $1,537,000

TITLE XXVIII—GENERAL PROVISIONS ‘‘2877. Differential lease payments. ‘‘(A) Section 2687 of this title. Subtitle A—Military Housing Privatization ‘‘2878. Conveyance or lease of existing prop- ‘‘(B) Title II of the Defense Authorization Initiative erty and facilities. Amendments and Base Closure and Realign- ‘‘2879. Interim leases. SEC. 2801. ALTERNATIVE AUTHORITY FOR CON- ment Act (Public Law 100–526; 10 U.S.C. 2687 STRUCTION AND IMPROVEMENT OF ‘‘2880. Unit size and type. note). MILITARY HOUSING. ‘‘2881. Ancillary supporting facilities. ‘‘(C) The Defense Base Closure and Re- (a) ALTERNATIVE AUTHORITY TO CONSTRUCT ‘‘2882. Assignment of members of the armed alignment Act of 1990 (part A of title XXIX AND IMPROVE MILITARY HOUSING.—(1) Chapter forces to housing units. of Public Law 101–510; 10 U.S.C. 2687 note). 169 of title 10, United States Code, is amend- ‘‘2883. Department of Defense Housing Funds. ‘‘(3) The term ‘construction’ means the ed by adding at the end the following new ‘‘2884. Reports. construction of military housing units and ‘‘2885. Expiration of authority. subchapter: ancillary supporting facilities or the im- ‘‘SUBCHAPTER IV—ALTERNATIVE AU- ‘‘§ 2871. Definitions provement or rehabilitation of existing units THORITY FOR ACQUISITION AND IM- ‘‘In this subchapter: or ancillary supporting facilities. PROVEMENT OF MILITARY HOUSING ‘‘(1) The term ‘ancillary supporting facili- ‘‘(4) The term ‘contract’ includes any con- ‘‘Sec. ties’ means facilities related to military tract, lease, or other agreement entered into ‘‘2871. Definitions. housing units, including child care centers, under the authority of this subchapter. ‘‘2872. General authority. day care centers, tot lots, community cen- ‘‘(5) The term ‘Fund’ means the Depart- ‘‘2873. Direct loans and loan guarantees. ters, housing offices, dining facilities, unit ment of Defense Family Housing Improve- ‘‘2874. Leasing of housing to be constructed. offices, and other similar facilities for the ment Fund or the Department of Defense ‘‘2875. Investments in nongovernmental enti- support of military housing. Military Unaccompanied Housing Improve- ties. ‘‘(2) The term ‘base closure law’ means the ment Fund established under section 2883(a) ‘‘2876. Rental guarantees. following: of this title. H 456 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(6) The term ‘military unaccompanied tracts for the lease of military family hous- ‘‘§ 2878. Conveyance or lease of existing prop- housing’ means military housing intended to ing units or military unaccompanied housing erty and facilities be occupied by members of the armed forces units to be constructed under this sub- ‘‘(a) CONVEYANCE OR LEASE AUTHORIZED.— serving a tour of duty unaccompanied by de- chapter. The Secretary concerned may convey or pendents. ‘‘(b) LEASE TERMS.—A contract under this lease property or facilities (including ancil- ‘‘(7) The term ‘United States’ includes the section may be for any period that the Sec- lary supporting facilities) to private persons Commonwealth of Puerto Rico. retary concerned determines appropriate and for purposes of using the proceeds of such ‘‘§ 2872. General authority may provide for the owner of the leased prop- conveyance or lease to carry out activities erty to operate and maintain the property. ‘‘In addition to any other authority pro- under this subchapter. vided under this chapter for the acquisition ‘‘§ 2875. Investments in nongovernmental en- ‘‘(b) INAPPLICABILITY TO PROPERTY AT IN- or construction of military family housing tities STALLATION APPROVED FOR CLOSURE.—The or military unaccompanied housing, the Sec- ‘‘(a) INVESTMENTS AUTHORIZED.—The Sec- authority of this section does not apply to retary concerned may exercise any authority retary concerned may make investments in property or facilities located on or near a or any combination of authorities provided nongovernmental entities carrying out military installation approved for closure under this subchapter in order to provide for projects for the acquisition or construction under a base closure law. the acquisition or construction by private of housing units suitable for use as military ‘‘(c) TERMS AND CONDITIONS.—(1) The con- persons of the following: family housing or as military unaccom- veyance or lease of property or facilities ‘‘(1) Family housing units on or near mili- panied housing. under this section shall be for such consider- tary installations within the United States ‘‘(b) FORMS OF INVESTMENT.—An invest- ation and upon such terms and conditions as and its territories and possessions. ment under this section may take the form the Secretary concerned considers appro- ‘‘(2) Military unaccompanied housing units of an acquisition of a limited partnership in- priate for the purposes of this subchapter on or near such military installations. terest by the United States, a purchase of and to protect the interests of the United ‘‘§ 2873. Direct loans and loan guarantees stock or other equity instruments by the States. United States, a purchase of bonds or other ‘‘(2) As part or all of the consideration for ‘‘(a) DIRECT LOANS.—(1) Subject to sub- section (c), the Secretary concerned may debt instruments by the United States, or a conveyance or lease under this section, the make direct loans to persons in the private any combination of such forms of invest- purchaser or lessor (as the case may be) shall sector in order to provide funds to such per- ment. enter into an agreement with the Secretary ‘‘(c) LIMITATION ON VALUE OF INVEST- sons for the acquisition or construction of to ensure that a suitable preference will be MENT.—(1) The cash amount of an invest- housing units that the Secretary determines afforded members of the armed forces and ment under this section in a nongovern- are suitable for use as military family hous- their dependents in the lease or sublease of a mental entity may not exceed an amount reasonable number of the housing units cov- ing or as military unaccompanied housing. 1 ‘‘(2) The Secretary concerned shall estab- equal to 33 ⁄3 percent of the capital cost (as ered by the conveyance or lease, as the case lish such terms and conditions with respect determined by the Secretary concerned) of may be, or in the lease of other suitable to loans made under this subsection as the the project or projects that the entity pro- housing units made available by the pur- Secretary considers appropriate to protect poses to carry out under this section with chaser or lessee. the interests of the United States, including the investment. ‘‘(d) INAPPLICABILITY OF CERTAIN PROPERTY ‘‘(2) If the Secretary concerned conveys the period and frequency for repayment of MANAGEMENT LAWS.—The conveyance or land or facilities to a nongovernmental en- such loans and the obligations of the obli- lease of property or facilities under this sec- tity as all or part of an investment in the en- gors on such loans upon default. tion shall not be subject to the following tity under this section, the total value of the ‘‘(b) LOAN GUARANTEES.—(1) Subject to provisions of law: subsection (c), the Secretary concerned may investment by the Secretary under this sec- ‘‘(1) Section 2667 of this title. guarantee a loan made to any person in the tion may not exceed an amount equal to 45 ‘‘(2) The Federal Property and Administra- private sector if the proceeds of the loan are percent of the capital cost (as determined by tive Services Act of 1949 (40 U.S.C. 471 et to be used by the person to acquire, or con- the Secretary) of the project or projects that seq.). struct housing units that the Secretary de- the entity proposes to carry out under this ‘‘(3) Section 321 of the Act of June 30, 1932 termines are suitable for use as military section with the investment. (commonly known as the Economy Act) (40 ‘‘(3) In this subsection, the term ‘capital family housing or as military unaccom- U.S.C. 303b). cost’, with respect to a project for the acqui- panied housing. ‘‘(4) Section 501 of the Stewart B. McKin- ‘‘(2) The amount of a guarantee on a loan sition or construction of housing, means the ney Homeless Assistance Act (42 U.S.C. that may be provided under paragraph (1) total amount of the costs included in the 11401). basis of the housing for Federal income tax may not exceed the amount equal to the ‘‘§ 2879. Interim leases lesser of— purposes. ‘‘(d) COLLATERAL INCENTIVE AGREEMENTS.— ‘‘Pending completion of a project to ac- ‘‘(A) the amount equal to 80 percent of the The Secretary concerned shall enter into quire or construct military family housing value of the project; or collateral incentive agreements with non- units or military unaccompanied housing ‘‘(B) the amount of the outstanding prin- governmental entities in which the Sec- units under this subchapter, the Secretary cipal of the loan. concerned may provide for the interim lease ‘‘(3) The Secretary concerned shall estab- retary makes an investment under this sec- tion to ensure that a suitable preference will of such units of the project as are complete. lish such terms and conditions with respect The term of a lease under this section may to guarantees of loans under this subsection be afforded members of the armed forces and their dependents in the lease or purchase, as not extend beyond the date of the comple- as the Secretary considers appropriate to tion of the project concerned. protect the interests of the United States, the case may be, of a reasonable number of including the rights and obligations of obli- the housing units covered by the investment. ‘‘§ 2880. Unit size and type gors of such loans and the rights and obliga- ‘‘§ 2876. Rental guarantees ‘‘(a) CONFORMITY WITH SIMILAR HOUSING tions of the United States with respect to ‘‘The Secretary concerned may enter into UNITS IN LOCALE.—The Secretary concerned such guarantees. agreements with private persons that ac- shall ensure that the room patterns and floor ‘‘(c) LIMITATION ON DIRECT LOAN AND GUAR- quire or construct military family housing areas of military family housing units and ANTEE AUTHORITY.—Direct loans and loan units or military unaccompanied housing military unaccompanied housing units ac- guarantees may be made under this section units under this subchapter in order to as- quired or constructed under this subchapter only to the extent that appropriations of sure— are generally comparable to the room pat- budget authority to cover their cost (as de- ‘‘(1) the occupancy of such units at levels terns and floor areas of similar housing units fined in section 502(5) of the Federal Credit specified in the agreements; or in the locality concerned. Reform Act of 1990 (2 U.S.C. 661a(5))) are ‘‘(2) rental income derived from rental of ‘‘(b) INAPPLICABILITY OF LIMITATIONS ON made in advance, or authority is otherwise such units at levels specified in the agree- SPACE BY PAY GRADE.—(1) Section 2826 of provided in appropriation Acts. If such ap- ments. this title shall not apply to military family propriation or other authority is provided, ‘‘§ 2877. Differential lease payments housing units acquired or constructed under there may be established a financing account ‘‘Pursuant to an agreement entered into by this subchapter. (as defined in section 502(7) of such Act (2 the Secretary concerned and a private lessor ‘‘(2) The regulations prescribed under sec- U.S.C. 661a(7))), which shall be available for of military family housing or military unac- tion 2856 of this title shall not apply to any the disbursement of direct loans or payment companied housing to members of the armed military unaccompanied housing unit ac- of claims for payment on loan guarantees forces, the Secretary may pay the lessor an quired or constructed under this subchapter under this section and for all other cash amount in addition to the rental payments unless the unit is located on a military in- flows to and from the Government as a re- for the housing made by the members as the stallation. sult of direct loans and guarantees made Secretary determines appropriate to encour- ‘‘§ 2881. Ancillary supporting facilities under this section. age the lessor to make the housing available ‘‘Any project for the acquisition or con- ‘‘§ 2874. Leasing of housing to be constructed to members of the armed forces as military struction of military family housing units or ‘‘(a) BUILD AND LEASE AUTHORIZED.—The family housing or as military unaccom- military unaccompanied housing units under Secretary concerned may enter into con- panied housing. this subchapter may include the acquisition January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 457 or construction of ancillary supporting fa- such amounts as provided in appropriation tended method of participation of the United cilities for the housing units concerned. Acts, to that Fund from amounts authorized States in the contract, conveyance, or lease ‘‘§ 2882. Assignment of members of the armed and appropriated to the Department of De- and provide a justification of such method of forces to housing units fense for the acquisition or construction of participation. The report shall be submitted military unaccompanied housing. not later than 30 days before the date on ‘‘(a) IN GENERAL.—The Secretary con- cerned may assign members of the armed ‘‘(C) Proceeds from the conveyance or lease which the Secretary issues the contract so- licitation or offers the conveyance or lease. forces to housing units acquired or con- of property or facilities under section 2878 of this title for the purpose of carrying out ac- ‘‘(b) ANNUAL REPORTS.—The Secretary of structed under this subchapter. Defense shall include each year in the mate- ‘‘(b) EFFECT OF CERTAIN ASSIGNMENTS ON tivities under this subchapter with respect rials that the Secretary submits to Congress ENTITLEMENT TO HOUSING ALLOWANCES.—(1) to military unaccompanied housing. in support of the budget submitted by the Except as provided in paragraph (2), housing ‘‘(D) Income derived from any activities President pursuant to section 1105 of title 31 referred to in subsection (a) shall be consid- under this subchapter with respect to mili- the following: ered as quarters of the United States or a tary unaccompanied housing, including in- ‘‘(1) A report on the expenditures and re- housing facility under the jurisdiction of a terest on loans made under section 2873 of ceipts during the preceding fiscal year cover- uniformed service for purposes of section this title, income and gains realized from in- ing the Funds established under section 2883 403(b) of title 37. vestments under section 2875 of this title, of this title. ‘‘(2) A member of the armed forces who is and any return of capital invested as part of ‘‘(2) A methodology for evaluating the ex- assigned in accordance with subsection (a) to such investments. tent and effectiveness of the use of the au- a housing unit not owned or leased by the ‘‘(d) USE OF AMOUNTS IN FUNDS.—(1) In such thorities under this subchapter during such United States shall be entitled to a basic al- amounts as provided in appropriation Acts preceding fiscal year. lowance for quarters under section 403 of and except as provided in subsection (e), the ‘‘(3) A description of the objectives of the title 37 and, if in a high housing cost area, a Secretary of Defense may use amounts in the Department of Defense for providing mili- variable housing allowance under section Department of Defense Family Housing Im- tary family housing and military unaccom- 403a of that title. provement Fund to carry out activities panied housing for members of the armed ‘‘(c) LEASE PAYMENTS THROUGH PAY ALLOT- under this subchapter with respect to mili- tary family housing, including activities re- forces. MENTS.—The Secretary concerned may re- quire members of the armed forces who lease quired in connection with the planning, exe- ‘‘§ 2885. Expiration of authority housing in housing units acquired or con- cution, and administration of contracts en- ‘‘The authority to enter into a contract structed under this subchapter to make lease tered into under the authority of this sub- under this subchapter shall expire five years payments for such housing pursuant to allot- chapter. after the date of the enactment of the Na- ‘‘(2) In such amounts as provided in appro- ments of the pay of such members under sec- tional Defense Authorization Act for Fiscal priation Acts and except as provided in sub- tion 701 of title 37. Year 1996.’’. section (e), the Secretary of Defense may use (2) The table of subchapters at the begin- ‘‘§ 2883. Department of Defense Housing amounts in the Department of Defense Mili- ning of such chapter is amended by inserting Funds tary Unaccompanied Housing Improvement after the item relating to subchapter III the ‘‘(a) ESTABLISHMENT.—There are hereby es- Fund to carry out activities under this sub- following new item: tablished on the books of the Treasury the chapter with respect to military unaccom- ‘‘IV. Alternative Authority for Ac- following accounts: panied housing, including activities required quisition and Improvement of Mili- ‘‘(1) The Department of Defense Family in connection with the planning, execution, tary Housing ...... 2871’’. Housing Improvement Fund. and administration of contracts entered into ‘‘(2) The Department of Defense Military under the authority of this subchapter. (b) FINAL REPORT.—Not later than March 1, Unaccompanied Housing Improvement Fund. ‘‘(3) Amounts made available under this 2000, the Secretary of Defense shall submit ‘‘(b) COMMINGLING OF FUNDS PROHIBITED.— subsection shall remain available until ex- to the congressional defense committees a (1) The Secretary of Defense shall administer pended. The Secretary of Defense may trans- report on the use by the Secretary of Defense each Fund separately. fer amounts made available under this sub- and the Secretaries of the military depart- ‘‘(2) Amounts in the Department of Defense section to the Secretaries of the military de- ments of the authorities provided by sub- Family Housing Improvement Fund may be partments to permit such Secretaries to chapter IV of chapter 169 of title 10, United used only to carry out activities under this carry out the activities for which such States Code, as added by subsection (a). The subchapter with respect to military family amounts may be used. report shall assess the effectiveness of such housing. ‘‘(e) LIMITATION ON OBLIGATIONS.—The Sec- authority in providing for the construction ‘‘(3) Amounts in the Department of Defense retary may not incur an obligation under a and improvement of military family housing Military Unaccompanied Housing Improve- contract or other agreement entered into and military unaccompanied housing. ment Fund may be used only to carry out ac- under this subchapter in excess of the unob- SEC. 2802. EXPANSION OF AUTHORITY FOR LIM- tivities under this subchapter with respect ligated balance, at the time the contract is ITED PARTNERSHIPS FOR DEVELOP- to military unaccompanied housing. entered into, of the Fund required to be used MENT OF MILITARY FAMILY HOUS- ING. ‘‘(c) CREDITS TO FUNDS.—(1) There shall be to satisfy the obligation. (a) PARTICIPATION OF OTHER MILITARY DE- credited to the Department of Defense Fam- ‘‘(f) NOTIFICATION REQUIRED FOR TRANS- PARTMENTS.—(1) Subsection (a)(1) of section ily Housing Improvement Fund the follow- FERS.—A transfer of appropriated amounts 2837 of title 10, United States Code, is amend- ing: to a Fund under paragraph (1)(B) or (2)(B) of ed by striking out ‘‘of the naval service’’ and ‘‘(A) Amounts authorized for and appro- subsection (c) may be made only after the inserting in lieu thereof ‘‘of the armed priated to that Fund. end of the 30-day period beginning on the date the Secretary of Defense submits writ- forces’’. ‘‘(B) Subject to subsection (f), any amounts (2) Subsection (b)(1) of such section is that the Secretary of Defense transfers, in ten notice of, and justification for, the trans- fer to the appropriate committees of Con- amended by striking out ‘‘of the naval serv- such amounts as provided in appropriation ice’’ and inserting in lieu thereof ‘‘of the Acts, to that Fund from amounts authorized gress. ‘‘(g) LIMITATION ON AMOUNT OF BUDGET AU- armed forces’’. and appropriated to the Department of De- (b) ADMINISTRATION.—(1) Subsection (a)(1) THORITY.—The total value in budget author- fense for the acquisition or construction of of such section is further amended by strik- military family housing. ity of all contracts and investments under- taken using the authorities provided in this ing out ‘‘the Secretary of the Navy’’ in the ‘‘(C) Proceeds from the conveyance or lease first sentence and inserting in lieu thereof of property or facilities under section 2878 of subchapter shall not exceed— ‘‘(1) $850,000,000 for the acquisition or con- ‘‘the Secretary of a military department’’. this title for the purpose of carrying out ac- (2) Subsections (a)(2), (b), (c), (g), and (h) of struction of military family housing; and tivities under this subchapter with respect such section are amended by striking out ‘‘(2) $150,000,000 for the acquisition or con- to military family housing. ‘‘Secretary’’ each place it appears and insert- struction of military unaccompanied hous- ‘‘(D) Income derived from any activities ing in lieu thereof ‘‘Secretary concerned’’. ing. under this subchapter with respect to mili- (c) ACCOUNT.—Subsection (d) of such sec- tary family housing, including interest on ‘‘§ 2884. Reports tion is amended to read as follows: loans made under section 2873 of this title, ‘‘(a) PROJECT REPORTS.—(1) The Secretary ‘‘(d) ACCOUNT.—(1) There is hereby estab- income and gains realized from investments of Defense shall transmit to the appropriate lished on the books of the Treasury an ac- under section 2875 of this title, and any re- committees of Congress a report describing— count to be known as the ‘Defense Housing turn of capital invested as part of such in- ‘‘(A) each contract for the acquisition or Investment Account’. vestments. construction of family housing units or un- ‘‘(2) There shall be deposited into the Ac- ‘‘(2) There shall be credited to the Depart- accompanied housing units that the Sec- count— ment of Defense Military Unaccompanied retary proposes to solicit under this sub- ‘‘(A) such funds as may be authorized for Housing Improvement Fund the following: chapter; and and appropriated to the Account; ‘‘(A) Amounts authorized for and appro- ‘‘(B) each conveyance or lease proposed ‘‘(B) any proceeds received by the Sec- priated to that Fund. under section 2878 of this title. retary concerned from the repayment of in- ‘‘(B) Subject to subsection (f), any amounts ‘‘(2) The report shall describe the proposed vestments or profits on investments of the that the Secretary of Defense transfers, in contract, conveyance, or lease and the in- Secretary under subsection (a); and H 458 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(C) any unobligated balances which re- SEC. 2813. TEMPORARY AUTHORITY TO WAIVE under a base closure law or family housing main in the Navy Housing Investment Ac- NET FLOOR AREA LIMITATION FOR facilities located at an installation outside count as of the date of the enactment of the FAMILY HOUSING ACQUIRED IN the United States at which the Secretary of National Defense Authorization Act for Fis- LIEU OF CONSTRUCTION. Defense terminates operations. cal Year 1996. Section 2824(c) of title 10, United States ‘‘(3) The aggregate total value of the fam- Code, is amended by adding at the end the ‘‘(3) From such amounts as are provided in ily housing facilities conveyed by the De- following new sentence: ‘‘The Secretary con- advance in appropriation Acts, funds in the partment of Defense under the authority in cerned may waive the limitation set forth in Account shall be available to the Secretaries this subsection in any fiscal year may not the preceding sentence to family housing concerned in amounts determined by the exceed $5,000,000. units acquired under this section during the ‘‘(4) For purposes of this subsection, a fam- Secretary of Defense for contracts, invest- five-year period beginning on the date of the ily housing facility is in a condition that is ments, and expenses necessary for the imple- enactment of the National Defense Author- uneconomical to repair if the cost of the nec- mentation of this section. ization Act for Fiscal Year 1996.’’. essary repairs for the facility would exceed ‘‘(4) The Secretary concerned may not the amount equal to 70 percent of the cost of enter into a contract in connection with a SEC. 2814. REESTABLISHMENT OF AUTHORITY TO WAIVE NET FLOOR AREA LIMITA- constructing a family housing facility to re- limited partnership under subsection (a) or a TION ON ACQUISITION BY PUR- place such facility. collateral incentive agreement under sub- CHASE OF CERTAIN MILITARY FAM- ‘‘(b) CONSIDERATION.—(1) As consideration section (b) unless a sufficient amount of the ILY HOUSING. for the conveyance of a family housing facil- unobligated balance of the funds in the Ac- Section 2826(e) of title 10, United States ity under subsection (a), the person to whom count is available to the Secretary, as of the Code, is amended by striking out the second the facility is conveyed shall pay the United time the contract is entered into, to satisfy sentence. States an amount equal to the fair market the total obligations to be incurred by the SEC. 2815. TEMPORARY AUTHORITY TO WAIVE value of the facility conveyed, including any United States under the contract.’’. LIMITATIONS ON SPACE BY PAY real property conveyed along with the facil- (d) TERMINATION OF NAVY HOUSING INVEST- GRADE FOR MILITARY FAMILY ity. MENT BOARD.—Such section is further HOUSING UNITS. ‘‘(2) The Secretary concerned shall deter- amended— Section 2826 of title 10, United States Code, mine the fair market value of any family (1) by striking out subsection (e); and is amended by adding at the end the follow- housing facility and associated real property (2) in subsection (h)— ing new subsection: that is conveyed under subsection (a). Such (A) by striking out ‘‘AUTHORITIES’’ in the ‘‘(i)(1) The Secretary concerned may waive determination shall be final. subsection heading and inserting in lieu the provisions of subsection (a) with respect ‘‘(c) NOTICE AND WAIT REQUIREMENTS.—The thereof ‘‘AUTHORITY’’; to military family housing units con- Secretary concerned may not enter into an (B) by striking out ‘‘(1)’’; and structed, acquired, or improved during the agreement to convey a family housing facil- (C) by striking out paragraph (2). five-year period beginning on the date of the ity under this section until— ‘‘(1) the Secretary submits to the appro- (e) REPORT.—Subsection (f) of such section enactment of the National Defense Author- priate committees of Congress, in writing, a is amended— ization Act for Fiscal Year 1996. justification for the conveyance under the (1) by striking out ‘‘the Secretary carries ‘‘(2) The total number of military family agreement, including— out activities’’ and inserting in lieu thereof housing units constructed, acquired, or im- ‘‘(A) an estimate of the consideration to be ‘‘activities are carried out’’; and proved during any fiscal year in the period provided the United States under the agree- (2) by striking out ‘‘the Secretary shall’’ referred to in paragraph (1) shall be the total ment; and inserting in lieu thereof ‘‘the Secretaries number of such units authorized by law for ‘‘(B) an estimate of the cost of repairing concerned shall jointly’’. that fiscal year.’’. the family housing facility to be conveyed; (f) EXTENSION OF AUTHORITY.—Subsection SEC. 2816. RENTAL OF FAMILY HOUSING IN FOR- and (h) of such section is further amended by EIGN COUNTRIES. ‘‘(C) an estimate of the cost of replacing striking out ‘‘September 30, 1999’’ and insert- Section 2828(e) of title 10, United States the family housing facility to be conveyed; ing in lieu thereof ‘‘September 30, 2000’’. Code, is amended— (1) in paragraph (1)— and (g) CONFORMING AMENDMENT.—Subsection ‘‘(2) a period of 21 calendar days has (g) of such section is further amended by (A) by striking out ‘‘300 units’’ in the first sentence and inserting in lieu thereof ‘‘450 elapsed after the date on which the justifica- striking out ‘‘NAVY’’ in the subsection head- tion is received by the committees. ing. units’’; and (B) by striking out ‘‘220 such units’’ in the ‘‘(d) INAPPLICABILITY OF CERTAIN PROPERTY Subtitle B—Other Military Construction Programsecond and sentenceMilitary Familyand inserting Housing in Changeslieu thereof DISPOSAL LAWS.—The following provisions of ∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑∑§¶x∑—ContinuedH 458‘‘350 such units’’; and law do not apply to the conveyance of a fam- ily housing facility under this section: SEC. 2811. SPECIAL THRESHOLD FOR UNSPEC- (2) in paragraph (2), by striking out ‘‘300 ‘‘(1) The Federal Property and Administra- IFIED MINOR CONSTRUCTION units’’ and inserting in lieu thereof ‘‘450 PROJECTS TO CORRECT LIFE, units’’. tive Services Act of 1949 (40 U.S.C. 471 et HEALTH, OR SAFETY DEFICIENCIES. seq.). SEC. 2817. CLARIFICATION OF SCOPE OF RE- ‘‘(2) Title V of the Stewart B. McKinney (a) SPECIAL THRESHOLD.—Section 2805 of PORT REQUIREMENT ON COST IN- title 10, United States Code, is amended— CREASES UNDER CONTRACTS FOR Homeless Assistance Act (42 U.S.C. 11411 et (1) in subsection (a)(1), by adding at the MILITARY FAMILY HOUSING CON- seq.). end the following new sentence: ‘‘However, if STRUCTION. ‘‘(e) USE OF PROCEEDS.—(1) The proceeds of the military construction project is intended Subsection (d) of section 2853 of title 10, any conveyance of a family housing facility solely to correct a deficiency that is life- United States Code, is amended to read as under this section shall be credited to the threatening, health-threatening, or safety- follows: appropriate fund established under section 2883 of this title and shall be available— threatening, a minor military construction ‘‘(d) The limitation on cost increases in ‘‘(A) to construct family housing units to project may have an approved cost equal to subsection (a) does not apply to the settle- replace the family housing facility conveyed or less than $3,000,000.’’; and ment of a contractor claim under a con- under this section, but only to the extent (2) in subsection (c)(1), by striking out tract.’’. that the number of units constructed with ‘‘not more than $300,000.’’ and inserting in SEC. 2818. AUTHORITY TO CONVEY DAMAGED OR such proceeds does not exceed the number of lieu thereof ‘‘not more than— DETERIORATED MILITARY FAMILY units of military family housing of the facil- ‘‘(A) $1,000,000, in the case of an unspecified HOUSING. ity conveyed; military construction project intended sole- (a) AUTHORITY.—(1) Subchapter III of chap- ‘‘(B) to repair or restore existing military ly to correct a deficiency that is life-threat- ter 169 of title 10, United States Code, is family housing; and ening, health-threatening, or safety-threat- amended by inserting after section 2854 the ‘‘(C) to reimburse the Secretary concerned ening; or following new section: for the costs incurred by the Secretary in ‘‘(B) $300,000, in the case of any other un- ‘‘§ 2854a. Conveyance of damaged or deterio- conveying the family housing facility. specified military construction project.’’. rated military family housing; use of pro- ‘‘(2) Notwithstanding section 2883(d) of this (b) TECHNICAL AMENDMENT.—Section ceeds title, proceeds derived from a conveyance of 2861(b)(6) of such title is amended by striking ‘‘(a) AUTHORITY TO CONVEY.—(1) The Sec- a family housing facility under this section out ‘‘section 2805(a)(2)’’ and inserting in lieu retary concerned may convey any family shall be available under paragraph (1) with- thereof ‘‘section 2805(a)(1)’’. housing facility that, due to damage or dete- out any further appropriation. SEC. 2812. CLARIFICATION OF SCOPE OF UN- rioration, is in a condition that is uneco- ‘‘(f) DESCRIPTION OF PROPERTY.—The exact SPECIFIED MINOR CONSTRUCTION nomical to repair. Any conveyance of a fam- acreage and legal description of any family AUTHORITY. ily housing facility under this section may housing facility conveyed under this section, Section 2805(a)(1) of title 10, United States include a conveyance of the real property as- including any real property associated with Code, as amended by section 2811 of this Act, sociated with the facility conveyed. such facility, shall be determined by such is further amended by striking out ‘‘(1) that ‘‘(2) The authority of this section does not means as the Secretary concerned considers is for a single undertaking at a military in- apply to family housing facilities located at satisfactory, including by survey in the case stallation, and (2)’’ in the second sentence. military installations approved for closure of real property. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 459

‘‘(g) ADDITIONAL TERMS AND CONDITIONS.— ‘‘§ 2782. Damage to real property: disposition ‘‘(e) The Secretary or lender shall provide The Secretary concerned may require such of amounts recovered comprehensive prepurchase counseling to el- additional terms and conditions in connec- ‘‘Except as provided in section 2775 of this igible veterans explaining the features of in- tion with the conveyance of family housing title, amounts recovered for damage caused terest rate buy downs under subsection (a), facilities under this section as the Secretary to real property under the jurisdiction of the including a hypothetical payment schedule considers appropriate to protect the inter- Secretary of a military department or, with that displays the increases in monthly pay- ests of the United States.’’. respect to the Defense Agencies, under the ments to the mortgagor over the first five (2) The table of sections at the beginning of jurisdiction of the Secretary of Defense shall years of the mortgage term. For the pur- such subchapter is amended by inserting be credited to the account available for the poses of this subsection, the Secretary may after the item relating to section 2854 the repair or replacement of the real property at assign personnel to military installations re- following new item: the time of recovery. In such amounts as are ferred to in subsection (b)(2). ‘‘2854a. Conveyance of damaged or deterio- provided in advance in appropriation Acts, ‘‘(f) There is authorized to be appropriated rated military family housing; amounts so credited shall be available for $3,000,000 annually to carry out this section. use of proceeds.’’. use for the same purposes and under the ‘‘(g) The Secretary may not guarantee a same circumstances as other funds in the ac- loan under this chapter after September 30, (b) CONFORMING AMENDMENT.—Section count.’’. 1998, on which the Secretary is obligated to 204(h) of the Federal Property and Adminis- (b) CLERICAL AMENDMENT.—The table of make payments under this section.’’. trative Services Act of 1949 (40 U.S.C. 485(h)) sections at the beginning of such chapter is (2) The table of sections at the beginning of is amended— amended by inserting after the item relating chapter 37 of title 38, United States Code, is (1) by redesignating paragraph (4) as para- to section 2781 the following new item: amended by inserting after the item relating graph (5); and ‘‘2782. Damage to real property: disposition to section 3707 to following new item: (2) by inserting after paragraph (3) the fol- of amounts recovered.’’. lowing new paragraph (4): ‘‘3708. Authority to buy down interest rates: SEC. 2822. PILOT PROGRAM TO PROVIDE INTER- pilot program.’’. ‘‘(4) This subsection does not apply to dam- EST RATE BUY DOWN AUTHORITY (c) AUTHORITY OF SECRETARY OF DEFENSE.— aged or deteriorated military family housing ON LOANS FOR HOUSING WITHIN (1) REIMBURSEMENT FOR BUY DOWN COSTS.— facilities conveyed under section 2854a of HOUSING SHORTAGE AREAS AT title 10, United States Code.’’. MILITARY INSTALLATIONS. The Secretary of Defense shall reimburse the (a) SHORT TITLE.—This section may be Secretary of Veterans Affairs for amounts SEC. 2819. ENERGY AND WATER CONSERVATION paid by the Secretary of Veterans Affairs to SAVINGS FOR THE DEPARTMENT OF cited as the ‘‘Military Housing Assistance DEFENSE. Act of 1995’’. mortgagees under section 3708 of title 38, United States Code, as added by subsection (a) INCLUSION OF WATER EFFICIENT MAINTE- (b) MORTGAGE ASSISTANCE PAYMENT AU- (b). NANCE IN ENERGY PERFORMANCE PLAN.—Para- THORITY OF THE SECRETARY OF VETERANS AF- (2) DESIGNATION OF HOUSING SHORTAGE graph (3) of section 2865(a) of title 10, United FAIRS.—(1) Chapter 37 of title 38, United AREAS.—For purposes of section 3708 of title States Code, is amended by striking out ‘‘en- States Code, is amended by inserting after 38, United States Code, the Secretary of De- ergy efficient maintenance’’ and inserting in section 3707 the following: fense may designate as a housing shortage lieu thereof ‘‘energy efficient maintenance ‘‘§ 3708. Authority to buy down interest rates: area a military installation in the United or water efficient maintenance’’. pilot program States at which the Secretary determines (b) SCOPE OF TERM.—Paragraph (4) of such ‘‘(a) In order to enable the purchase of there is a shortage of suitable housing to section is amended— housing in areas where the supply of suitable meet the military family needs of members (1) in the matter preceding subparagraph military housing is inadequate, the Sec- of the Armed Forces and the dependents of (A), by striking out ‘‘ ‘energy efficient main- retary may conduct a pilot program under such members. tenance’ ’’ and inserting in lieu thereof ‘‘ ‘en- which the Secretary may make periodic or (3) REPORT.—Not later than March 30, 1998, ergy efficient maintenance or water efficient lump sum assistance payments on behalf of the Secretary shall submit to Congress a re- maintenance’ ’’; an eligible veteran for the purpose of buying port regarding the effectiveness of the au- (2) in subparagraph (A), by striking out down the interest rate on a loan to that vet- thority provided in section 3708 of title 38, ‘‘systems or industrial processes,’’ in the eran that is guaranteed under this chapter United States Code, in ensuring that mem- matter preceding clause (i) and inserting in for a purpose described in paragraph (1), (6), bers of the Armed Forces and their depend- lieu thereof ‘‘systems, industrial processes, or (10) of section 3710(a) of this title. ents have access to suitable housing. The re- or water efficiency applications,’’; and ‘‘(b) An individual is an eligible veteran for port shall include the recommendations of (3) in subparagraph (B), by inserting ‘‘or the purposes of this section if— the Secretary regarding whether the author- water cost savings’’ before the period at the ‘‘(1) the individual is a veteran, as defined ity provided in this subsection should be ex- end. in section 3701(b)(4) of this title; ‘‘(2) the individual submits an application tended beyond the date specified in para- SEC. 2820. EXTENSION OF AUTHORITY TO ENTER for a loan guaranteed under this chapter graph (5). INTO LEASES OF LAND FOR SPECIAL (4) EARMARK.—Of the amount provided in OPERATIONS ACTIVITIES. within one year of an assignment of the indi- vidual to duty at a military installation in section 2405(a)(11)(B), $10,000,000 for fiscal (a) EXTENSION OF AUTHORITY.—Subsection the United States designated by the Sec- year 1996 shall be available to carry out this (d) of section 2680 of title 10, United States retary of Defense as a housing shortage area; subsection. Code, is amended in the first sentence by ‘‘(3) at the time the loan referred to in sub- (5) SUNSET.—This subsection shall not striking out ‘‘September 30, 1995’’ and insert- section (a) is made, the individual is an en- apply with respect to housing loans guaran- ing in lieu thereof ‘‘September 30, 2000’’. listed member, warrant officer, or an officer teed after September 30, 1998, for which as- (b) REPORTING REQUIREMENT.—Such section (other than a warrant officer) at a pay grade sistance payments are paid under section is further amended by adding at the end the of O–3 or below; 3708 of title 38, United States Code. following new subsection: ‘‘(4) the individual has not previously used Subtitle C—Defense Base Closure and ‘‘(e) REPORTS.—Not later than March 1 of any of the individual’s entitlement to hous- Realignment each year, the Secretary of Defense shall ing loan benefits under this chapter; and submit to the Committee on the Armed SEC. 2831. DEPOSIT OF PROCEEDS FROM LEASES ‘‘(5) the individual receives comprehensive OF PROPERTY LOCATED AT INSTAL- Services of the Senate and the Committee on prepurchase counseling from the Secretary LATIONS BEING CLOSED OR RE- National Security of the House of Represent- (or the designee of the Secretary) before ALIGNED. atives a report that— making application for a loan guaranteed (a) EXCEPTION TO EXISTING REQUIRE- ‘‘(1) identifies each leasehold interest ac- under this chapter. MENTS.—Section 2667(d) of title 10, United quired during the previous fiscal year under ‘‘(c) Loans with respect to which the Sec- States Code, is amended— subsection (a); and retary may exercise the buy down authority (1) in paragraph (1)(A)(ii), by inserting ‘‘or ‘‘(2) contains a discussion of each project under subsection (a) shall— (5)’’ after ‘‘paragraph (4)’’; and for the construction or modification of fa- ‘‘(1) provide for a buy down period of not (2) by adding at the end the following new cilities carried out pursuant to subsection (c) more than three years in duration; paragraph: during such fiscal year.’’. ‘‘(2) specify the maximum and likely ‘‘(5) Money rentals received by the United (c) CONFORMING REPEAL.—Section 2863 of amounts of increases in mortgage payments States from a lease under subsection (f) shall the National Defense Authorization Act for that the loans would require; and be deposited into the account established Fiscal Years 1992 and 1993 (Public Law 102– ‘‘(3) be subject to such other terms and under section 2906(a) of the Defense Base Clo- 190; 10 U.S.C. 2680 note) is amended by strik- conditions as the Secretary may prescribe by sure and Realignment Act of 1990 (part A of ing out subsection (b). regulation. title XXIX of Public Law 101–510; 10 U.S.C. SEC. 2821. DISPOSITION OF AMOUNTS RECOV- ‘‘(d) The Secretary shall promulgate under- 2687 note).’’. ERED AS A RESULT OF DAMAGE TO writing standards for loans for which the in- (b) CORRESPONDING AMENDMENTS TO BASE REAL PROPERTY. terest rate assistance payments may be CLOSURE LAWS.—(1) Section 207(a)(7) of the (a) IN GENERAL.—Chapter 165 of title 10, made under subsection (a). Such standards Defense Authorization Amendments and United States Code, is amended by inserting shall be based on the interest rate for the Base Closure and Realignment Act (Public after section 2781 the following new section: second year of the loan. Law 100–526; 10 U.S.C. 2687 note) is amended H 460 CONGRESSIONAL RECORD — HOUSE January 22, 1996 by striking out ‘‘transfer or disposal’’ and in- years. In the case of a lease entered into Department of Defense or another Federal serting in lieu thereof ‘‘lease, transfer, or after September 30, 1995, with respect to real agency after realignment) to the redevelop- disposal’’. property located at an installation approved ment authority for the installation if the re- (2) Section 2906(a)(2) of the Defense Base for closure or realignment under a base clo- development authority agrees to lease, di- Closure and Realignment Act of 1990 (part A sure law, the agency leasing the property, in rectly upon transfer, one or more portions of of title XXIX of Public Law 101–510; 10 U.S.C. consultation with the Administrator, shall the property transferred under this subpara- 2867 note) is amended— determine before leasing the property that graph to the Secretary or to the head of an- (A) in subparagraph (C), by striking out the property is suitable for lease, that the other department or agency of the Federal ‘‘transfer or disposal’’ and inserting in lieu uses contemplated for the lease are consist- Government. Subparagraph (B) shall apply thereof ‘‘lease, transfer, or disposal’’; and ent with protection of human health and the to a transfer under this subparagraph. (B) in subparagraph (D), by striking out environment, and that there are adequate as- ‘‘(ii) A lease under clause (i) shall be for a ‘‘transfer or disposal’’ and inserting in lieu surances that the United States will take all term of not to exceed 50 years, but may pro- thereof ‘‘lease, transfer, or disposal’’. remedial action referred to in subparagraph vide for options for renewal or extension of the term by the department or agency con- SEC. 2832. IN-KIND CONSIDERATION FOR LEASES (B) that has not been taken on the date of cerned. AT INSTALLATIONS TO BE CLOSED the lease.’’. ‘‘(iii) A lease under clause (i) may not re- OR REALIGNED. SEC. 2835. FINAL FUNDING FOR DEFENSE BASE Section 2667(f) of title 10, United States quire rental payments by the United States. CLOSURE AND REALIGNMENT COM- ‘‘(iv) A lease under clause (i) shall include Code, is amended by adding at the end the MISSION. a provision specifying that if the department following new paragraph: Section 2902(k) of the Defense Base Closure or agency concerned ceases requiring the use ‘‘(4) The Secretary concerned may accept and Realignment Act of 1990 (part A of title of the leased property before the expiration under subsection (b)(5) services of a lessee XXIX of Public Law 101–510; 10 U.S.C. 2687 of the term of the lease, the remainder of the for an entire installation to be closed or re- note) is amended by adding at the end the lease term may be satisfied by the same or aligned under a base closure law, or for any following new paragraph: another department or agency of the Federal part of such installation, without regard to ‘‘(3)(A) The Secretary may transfer not Government using the property for a use the requirement in subsection (b)(5) that a more than $300,000 from unobligated funds in similar to the use under the lease. Exercise substantial part of the installation be the account referred to in subparagraph (B) of the authority provided by this clause shall leased.’’. for the purpose of assisting the Commission be made in consultation with the redevelop- SEC. 2833. INTERIM LEASES OF PROPERTY AP- in carrying out its duties under this part ment authority concerned.’’. PROVED FOR CLOSURE OR REALIGN- during October, November, and December (b) USE OF FUNDS TO IMPROVE LEASED MENT. 1995. Funds transferred under the preceding PROPERTY.—Notwithstanding any other pro- Section 2667(f) of title 10, United States sentence shall remain available until Decem- vision of law, a department or agency of the Code, is amended by adding after paragraph ber 31, 1995. Federal Government that enters into a lease (4), as added by section 2832 of this Act, the ‘‘(B) The account referred to in subpara- of property under section 2905(b)(4)(C) of the following new paragraph: graph (A) is the Department of Defense Base Defense Base Closure and Realignment Act ‘‘(5)(A) Notwithstanding the National En- Closure Account established under section of 1990 (part A of title XXIX of Public Law vironmental Policy Act of 1969 (42 U.S.C. 4321 207(a) of the Defense Authorization Amend- 101–510; 10 U.S.C. 2687 note), as amended by et seq.), the scope of any environmental im- ments and Base Closure and Realignment subsection (a), may improve the leased prop- pact analysis necessary to support an in- Act (Public Law 100–526; 10 U.S.C. 2687 erty using funds appropriated or otherwise terim lease of property under this subsection note).’’. available to the department or agency for shall be limited to the environmental con- SEC. 2836. EXERCISE OF AUTHORITY DELE- such purpose. sequences of activities authorized under the GATED BY THE ADMINISTRATOR OF SEC. 2838. IMPROVEMENT OF BASE CLOSURE proposed lease and the cumulative impacts GENERAL SERVICES. AND REALIGNMENT PROCESS RE- of other past, present, and reasonably fore- Section 2905(b)(2) of the Defense Base Clo- GARDING DISPOSAL OF PROPERTY. seeable future actions during the period of sure and Realignment Act of 1990 (part A of (a) APPLICABILITY.—Subparagraph (A) of the proposed lease. title XXIX of Public Law 101–510; 10 U.S.C. section 2905(b)(7) of the Defense Base Closure ‘‘(B) Interim leases entered into under this 2687 note) is amended— and Realignment Act of 1990 (part A of title subsection shall be deemed not to prejudice (1) in subparagraph (A)— XXIX of Public Law 101–510; 10 U.S.C. 2687 the final disposal decision with respect to (A) by striking out ‘‘Subject to subpara- note) is amended to read as follows: the property, even if final disposal of the graph (C)’’ in the matter preceding clause (i) ‘‘(A) The disposal of buildings and property property is delayed until completion of the and inserting in lieu thereof ‘‘Subject to sub- located at installations approved for closure term of the interim lease. An interim lease paragraph (B)’’; and or realignment under this part after October under this subsection shall not be entered (B) by striking out ‘‘in effect on the date of 25, 1994, shall be carried out in accordance into without prior consultation with the re- the enactment of this Act’’ each place it ap- with this paragraph rather than paragraph development authority concerned. pears in clauses (i) and (ii); (6).’’. (b) AGREEMENTS UNDER REDEVELOPMENT ‘‘(C) Subparagraphs (A) and (B) shall not (2) by striking out subparagraphs (B) and PLANS.—Subparagraph (F)(ii)(I) of such sec- apply to an interim lease under this sub- (C) and inserting in lieu thereof the follow- tion is amended in the second sentence by section if authorized activities under the ing new subparagraph (B): striking out ‘‘the approval of the redevelop- lease would— ‘‘(B) The Secretary may, with the concur- ment plan by the Secretary of Housing and rence of the Administrator of General Serv- ‘‘(i) significantly affect the quality of the Urban Development under subparagraph (H) ices— human environment; or or (J)’’ and inserting in lieu thereof ‘‘the de- ‘‘(i) prescribe general policies and methods ‘‘(ii) irreversibly alter the environment in cision regarding the disposal of the buildings for utilizing excess property and disposing of a way that would preclude any reasonable and property covered by the agreements by disposal alternative of the property con- surplus property pursuant to the authority the Secretary of Defense under subparagraph cerned.’’. delegated under paragraph (1); and (K) or (L)’’. SEC. 2834. AUTHORITY TO LEASE PROPERTY RE- ‘‘(ii) issue regulations relating to such (c) REVISION OF REDEVELOPMENT PLANS.— QUIRING ENVIRONMENTAL REMEDI- policies and methods, which shall supersede Subparagraph (I) of such section is amend- ATION AT INSTALLATIONS AP- the regulations referred to in subparagraph ed— PROVED FOR CLOSURE OR REALIGN- (A) with respect to that authority.’’; and (1) in clause (i)(II), by inserting ‘‘the Sec- MENT. (3) by redesignating subparagraphs (D) and retary of Defense and’’ before ‘‘the Secretary Section 120(h)(3) of the Comprehensive En- (E) as subparagraphs (C) and (D), respec- of Housing and Urban Development’’; and vironmental Response, Compensation, and tively. (2) in clause (ii), by striking out ‘‘the Sec- Liability Act of 1980 (42 U.S.C. 9620(h)(3)) is SEC. 2837. LEASE BACK OF PROPERTY DISPOSED retary of Housing and Urban Development’’ amended in the matter following subpara- FROM INSTALLATIONS APPROVED and inserting in lieu thereof ‘‘such Secretar- graph (C)— FOR CLOSURE OR REALIGNMENT. ies’’. (1) by striking out the first sentence; and (a) AUTHORITY.—Section 2905(b)(4) of the (d) DISPOSAL OF BUILDINGS AND PROP- (2) by adding at the end, flush to the para- Defense Base Closure and Realignment Act ERTY.—(1) Subparagraph (K) of such section graph margin, the following: of 1990 (part A of title XXIX of Public Law is amended to read as follows: ‘‘The requirements of subparagraph (B) shall 101–510; 10 U.S.C. 2687 note) is amended— ‘‘(K)(i) Upon receipt of a notice under sub- not apply in any case in which the person or (1) by redesignating subparagraphs (C), (D), paragraph (H)(iv) or (J)(ii) of the determina- entity to whom the real property is trans- and (E) as subparagraphs (D), (E), and (F), re- tion of the Secretary of Housing and Urban ferred is a potentially responsible party with spectively; and Development that a redevelopment plan for respect to such property. The requirements (2) by inserting after subparagraph (B) the an installation meets the requirements set of subparagraph (B) shall not apply in any following new subparagraph (C): forth in subparagraph (H)(i), the Secretary of case in which the transfer of the property oc- ‘‘(C)(i) The Secretary may transfer real Defense shall dispose of the buildings and curs or has occurred by means of a lease, property at an installation approved for clo- property at the installation. without regard to whether the lessee has sure or realignment under this part (includ- ‘‘(ii) For purposes of carrying out an envi- agreed to purchase the property or whether ing property at an installation approved for ronmental assessment of the closure or re- the duration of the lease is longer than 55 realignment which will be retained by the alignment of an installation, the Secretary January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 461 of Defense shall treat the redevelopment the National Environmental Policy Act of SEC. 2840. AUTHORITY TO TRANSFER PROPERTY plan for the installation (including the as- 1969 (42 U.S.C. 4331 et seq.). In preparing the AT MILITARY INSTALLATIONS TO BE pects of the plan providing for disposal to record of decision or other decision docu- CLOSED TO PERSONS WHO CON- State or local governments, representatives ment, the Secretary shall give deference to STRUCT OR PROVIDE MILITARY FAMILY HOUSING. of the homeless, and other interested par- the redevelopment plan submitted by the re- (a) 1988 LAW.—Section 204 of the Defense ties) as part of the proposed Federal action development authority for the installation. Authorization Amendments and Base Clo- for the installation. ‘‘(IV) The disposal under subclause (I) of sure and Realignment Act (Public Law 100– ‘‘(iii) The Secretary of Defense shall dis- buildings and property to assist the homeless 526; 10 U.S.C. 2687 note) is amended by adding pose of buildings and property under clause shall be without consideration. at the end the following new subsection: (i) in accordance with the record of decision ‘‘(V) In the case of a request for a convey- ‘‘(e) TRANSFER AUTHORITY IN CONNECTION or other decision document prepared by the WITH CONSTRUCTION OR PROVISION OF MILI- Secretary in accordance with the National ance under subclause (I) of buildings and property for public benefit under section TARY FAMILY HOUSING.—(1) Subject to para- Environmental Policy Act of 1969 (42 U.S.C. graph (2), the Secretary may enter into an 203(k) of the Federal Property and Adminis- 4331 et seq.). In preparing the record of deci- agreement to transfer by deed real property trative Services Act of 1949 (40 U.S.C. 484(k)) sion or other decision document, the Sec- or facilities located at or near an installa- or sections 47151 through 47153 of title 49, retary shall give substantial deference to the tion closed or to be closed under this title United States Code, the sponsoring Federal redevelopment plan concerned. with any person who agrees, in exchange for agency shall use the eligibility criteria set ‘‘(iv) The disposal under clause (i) of build- the real property or facilities, to transfer to forth in such section or such subchapter (as ings and property to assist the homeless the Secretary housing units that are con- the case may be) to determine the eligibility shall be without consideration. structed or provided by the person and lo- of the applicant and use proposed in the re- ‘‘(v) In the case of a request for a convey- cated at or near a military installation at quest for the public benefit conveyance. The ance under clause (i) of buildings and prop- which there is a shortage of suitable housing erty for public benefit under section 203(k) of determination of such eligibility should be to meet the requirements of members of the the Federal Property and Administrative made before submission of the redevelop- Armed Forces and their dependents. The Sec- Services Act of 1949 (40 U.S.C. 484(k)) or sec- ment plan concerned under subparagraph retary may not select real property for tions 47151 through 47153 of title 49, United (G).’’. transfer under this paragraph if the property States Code, the sponsoring Federal agency (e) CONFORMING AMENDMENT.—Subpara- is identified in the redevelopment plan for shall use the eligibility criteria set forth in graph (M)(i) of such section is amended by the installation as items essential to the such section or such subchapter (as the case inserting ‘‘or (L)’’ after ‘‘subparagraph (K)’’. reuse or redevelopment of the installation. may be) to determine the eligibility of the ‘‘(2) A transfer of real property or facilities (f) CLARIFICATION OF PARTICIPANTS IN PROC- applicant and use proposed in the request for may be made under paragraph (1) only if— ESS.—Such section is further amended by the public benefit conveyance. The deter- ‘‘(A) the fair market value of the housing mination of such eligibility should be made adding at the end the following new subpara- graph: units to be received by the Secretary in ex- before submission of the redevelopment plan change for the property or facilities to be concerned under subparagraph (G).’’. ‘‘(P) For purposes of this paragraph, the transferred is equal to or greater than the (2) Subparagraph (L) of such section is term ‘other interested parties’, in the case of fair market value of such property or facili- amended by striking out clauses (iii) and (iv) an installation, includes any parties eligible ties, as determined by the Secretary; or and inserting in lieu thereof the following for the conveyance of property of the instal- ‘‘(B) in the event the fair market value of new clauses (iii) and (iv): lation under section 203(k) of the Federal the housing units is less than the fair mar- ‘‘(iii) Not later than 90 days after the date Property and Administrative Services Act of ket value of property or facilities to be of the receipt of a revised plan for an instal- 1949 (40 U.S.C. 484(k)) or sections 47151 transferred, the recipient of the property or lation under subparagraph (J), the Secretary through 47153 of title 49, United States Code, facilities agrees to pay to the Secretary the of Housing and Urban Development shall— whether or not the parties assist the home- amount equal to the excess of the fair mar- ‘‘(I) notify the Secretary of Defense and less.’’. ket value of the property or facilities over the redevelopment authority concerned of the fair market value of the housing units. the buildings and property at an installation SEC. 2839. AGREEMENTS FOR CERTAIN SERV- ICES AT INSTALLATIONS BEING ‘‘(3) Notwithstanding section 207(a)(7), the under clause (i)(IV) that the Secretary of CLOSED. Secretary may deposit funds received under Housing and Urban Development determines paragraph (2)(B) in the Department of De- (a) 1988 LAW.—Section 204(b)(8) of the De- are suitable for use to assist the homeless; fense Family Housing Improvement Fund es- fense Authorization Amendments and Base and tablished under section 2873(a) of title 10, Closure and Realignment Act (Public Law ‘‘(II) notify the Secretary of Defense of the United States Code. extent to which the revised plan meets the 100–526; 10 U.S.C. 2687 note) is amended by ‘‘(4) The Secretary shall submit to the ap- criteria set forth in subparagraph (H)(i). striking out subparagraph (A) and inserting propriate committees of Congress a report ‘‘(iv)(I) Upon notice from the Secretary of in lieu thereof the following new subpara- describing each agreement proposed to be en- Housing and Urban Development with re- graph: tered into under paragraph (1), including the spect to an installation under clause (iii), ‘‘(A) Subject to subparagraph (C), the Sec- consideration to be received by the United the Secretary of Defense shall dispose of retary may enter into agreements (including States under the agreement. The Secretary buildings and property at the installation in contracts, cooperative agreements, or other may not enter into the agreement until the consultation with the Secretary of Housing arrangements for reimbursement) with local end of the 21-day period beginning on the and Urban Development and the redevelop- governments for the provision of police or se- date the appropriate committees of Congress ment authority concerned. curity services, fire protection services, air- receive the report regarding the agreement. ‘‘(II) For purposes of carrying out an envi- field operation services, or other community ‘‘(5) The Secretary may require any addi- ronmental assessment of the closure or re- services by such governments at military in- tional terms and conditions in connection alignment of an installation, the Secretary stallations to be closed under this title if the with an agreement authorized by this sub- of Defense shall treat the redevelopment Secretary determines that the provision of section as the Secretary considers appro- plan submitted by the redevelopment au- such services under such agreements is in priate to protect the interests of the United thority for the installation (including the as- the best interests of the Department of De- States.’’. pects of the plan providing for disposal to fense.’’. (b) 1990 LAW.—Section 2905 of the Defense State or local governments, representatives Base Closure and Realignment Act of 1990 of the homeless, and other interested par- (b) 1990 LAW.—Section 2905(b)(8) of the De- (part A of title XXIX of Public Law 101–510; ties) as part of the proposed Federal action fense Base Closure and Realignment Act of 10 U.S.C. 2687 note) is amended by adding at for the installation. The Secretary of De- 1990 (part A of title XXIX of Public Law 101– the end the following new subsection: 510; 10 U.S.C. 2867 note) is amended by strik- fense shall incorporate the notification of ‘‘(f) TRANSFER AUTHORITY IN CONNECTION ing out subparagraph (A) and inserting in the Secretary of Housing and Urban Develop- WITH CONSTRUCTION OR PROVISION OF MILI- lieu thereof the following new subparagraph: ment under clause (iii)(I) as part of the pro- TARY FAMILY HOUSING.—(1) Subject to para- posed Federal action for the installation ‘‘(A) Subject to subparagraph (C), the Sec- graph (2), the Secretary may enter into an only to the extent, if any, that the Secretary retary may enter into agreements (including agreement to transfer by deed real property of Defense considers such incorporation to be contracts, cooperative agreements, or other or facilities located at or near an installa- appropriate and consistent with the best and arrangements for reimbursement) with local tion closed or to be closed under this part highest use of the installation as a whole, governments for the provision of police or se- with any person who agrees, in exchange for taking into consideration the redevelopment curity services, fire protection services, air- the real property or facilities, to transfer to plan submitted by the redevelopment au- field operation services, or other community the Secretary housing units that are con- thority. services by such governments at military in- structed or provided by the person and lo- ‘‘(III) The Secretary of Defense shall dis- stallations to be closed under this part if the cated at or near a military installation at pose of buildings and property under Secretary determines that the provision of which there is a shortage of suitable housing subclause (I) in accordance with the record such services under such agreements is in to meet the requirements of members of the of decision or other decision document pre- the best interests of the Department of De- Armed Forces and their dependents. The Sec- pared by the Secretary in accordance with fense.’’. retary may not select real property for H 462 CONGRESSIONAL RECORD — HOUSE January 22, 1996 transfer under this paragraph if the property posal of the property and facilities referred setts (in this section referred to as the is identified in the redevelopment plan for to in subsection (b)(1), the Secretary shall ‘‘Town’’), all right, title, and interest of the the installation as property essential to the utilize any surveys and other evaluations of United States in and to a parcel of real prop- reuse or redevelopment of the installation. such property and facilities that were pre- erty consisting of approximately 100 acres of ‘‘(2) A transfer of real property or facilities pared by the Corps of Engineers before the the parcel available for transfer under sub- may be made under paragraph (1) only if— date of the enactment of this Act as part of section (a) and located adjacent to Massa- ‘‘(A) the fair market value of the housing the process for the disposal of such property chusetts State Highway 70. units to be received by the Secretary in ex- and facilities. (c) REQUIREMENTS RELATING TO TRANSFER change for the property or facilities to be Subtitle D—Land Conveyances Generally AND CONVEYANCE.—(1) The transfer under transferred is equal to or greater than the subsection (a) and the conveyance under sub- PART I—ARMY CONVEYANCES fair market value of such property or facili- section (b) may not be made unless the prop- ties, as determined by the Secretary; or SEC. 2851. TRANSFER OF JURISDICTION, FORT erty to be transferred and conveyed is deter- ‘‘(B) in the event the fair market value of SAM HOUSTON, TEXAS. mined to be excess to the needs of the De- the housing units is less than the fair mar- (a) TRANSFER OF LAND FOR NATIONAL CEME- partment of Defense. ket value of property or facilities to be TERY.—The Secretary of the Army may (2) The transfer and conveyance shall be transferred, the recipient of the property or transfer, without reimbursement, to the ad- made as soon as practicable after the date on facilities agrees to pay to the Secretary the ministrative jurisdiction of the Secretary of which the property is determined to be ex- amount equal to the excess of the fair mar- Veterans Affairs a parcel of real property cess to the needs of the Department of De- ket value of the property or facilities over (including any improvements thereon) con- fense. the fair market value of the housing units. sisting of approximately 53 acres and com- (d) LEGAL DESCRIPTION.—(1) The exact ‘‘(3) Notwithstanding paragraph (2) of sec- prising a portion of Fort Sam Houston, acreage and legal description of the real tion 2906(a), the Secretary may deposit funds Texas. property to be transferred under subsection received under paragraph (2)(B) in the De- (b) USE OF LAND.—The Secretary of Veter- (a) shall be determined by a survey mutually partment of Defense Family Housing Im- ans Affairs shall use the real property trans- satisfactory to the Secretary of the Army provement Fund established under section ferred under subsection (a) as a national and the Secretary of the Interior. The cost of 2873(a) of title 10, United States Code. cemetery under chapter 24 of title 38, United the survey shall be borne by the Secretary of ‘‘(4) The Secretary shall submit to the con- States Code. the Interior. gressional defense committees a report de- (c) LEGAL DESCRIPTION.—The exact acreage (2) The exact acreage and legal description scribing each agreement proposed to be en- and legal description of the real property to of the real property to be conveyed under tered into under paragraph (1), including the be transferred under this section shall be de- subsection (b) shall be determined by a sur- consideration to be received by the United termined by a survey satisfactory to the Sec- vey mutually satisfactory to the Secretary States under the agreement. The Secretary retary of the Army. The cost of the survey of the Army, the Secretary of the Interior, may not enter into the agreement until the shall be borne by the Secretary of Veterans and the Board of Selectmen of the Town. The end of the 30-day period beginning on the Affairs. cost of the survey shall be borne by the date the congressional defense committees (d) ADDITIONAL TERMS AND CONDITIONS.— Town. receive the report regarding the agreement. The Secretary of the Army may require such (e) ADDITIONAL TERMS AND CONDITIONS.— ‘‘(5) The Secretary may require any addi- additional terms and conditions in connec- The Secretary of the Army may require such tional terms and conditions in connection tion with the transfer under this section as additional terms and conditions in connec- with an agreement authorized by this sub- the Secretary of the Army considers appro- tion with the transfer under subsection (a) section as the Secretary considers appro- priate to protect the interests of the United and the conveyance under subsection (b) as priate to protect the interests of the United States. the Secretary of the Army considers appro- States.’’. SEC. 2852. TRANSFER OF JURISDICTION, FORT priate to protect the interests of the United (c) REGULATIONS.—Not later than nine BLISS, TEXAS. States. months after the date of the enactment of (a) TRANSFER OF LAND FOR NATIONAL CEME- this Act, the Secretary of Defense shall pre- SEC. 2854. MODIFICATION OF LAND CONVEY- TERY.—The Secretary of the Army may ANCE, FORT BELVOIR, VIRGINIA. scribe any regulations necessary to carry out transfer, without reimbursement, to the ad- (a) DESIGNATION OF RECIPIENT.—Subsection subsection (e) of section 204 of the Defense ministrative jurisdiction of the Secretary of (a) of section 2821 of the Military Construc- Authorization Amendments and Base Clo- Veterans Affairs a parcel of real property tion Authorization Act for Fiscal Years 1990 sure and Realignment Act (Public Law 100– (including any improvements thereon) con- and 1991 (division B of Public Law 101–189; 103 526; 10 U.S.C. 2687 note), as added by sub- sisting of approximately 22 acres and com- Stat. 1658) is amended by striking out ‘‘any section (a), and subsection (f) of section 2905 grantee selected in accordance with sub- of the Defense Base Closure and Realignment prising a portion of Fort Bliss, Texas. (b) USE OF LAND.—The Secretary of Veter- section (e)’’ and inserting in lieu thereof Act of 1990 (part A of title XXIX of Public ans Affairs shall use the real property trans- Law 101–510; 10 U.S.C. 2687 note), as added by ‘‘the County of Fairfax, Virginia (in this sec- ferred under subsection (a) as an addition to subsection (b). tion referred to as the ‘grantee’),’’. the Fort Bliss National Cemetery and admin- (b) CONSIDERATION.—Subsection (b)(1) of SEC. 2841. USE OF SINGLE BASE CLOSURE AU- such section is amended by striking out sub- THORITIES FOR DISPOSAL OF PROP- ister such real property pursuant to chapter ERTY AND FACILITIES AT FORT 24 of title 38, United States Code. paragraph (B) and inserting in lieu thereof HOLABIRD, MARYLAND. (c) LEGAL DESCRIPTION.—The exact acreage the following new subparagraph: (a) CONSOLIDATION OF BASE CLOSURE AU- and legal description of the real property to ‘‘(B) grant title, free of liens and other en- THORITIES.—In the case of the property and be transferred under this section shall be de- cumbrances, to the Department to such fa- facilities at Fort Holabird, Maryland, de- termined by a survey satisfactory to the Sec- cilities and, if not already owned by the De- scribed in subsection (b), the Secretary of retary of the Army. The cost of the survey partment, to the underlying land; and’’. Defense shall dispose of such property and shall be borne by the Secretary of Veterans (c) CONTENT OF AGREEMENT.—Subsection facilities in accordance with section Affairs. (c) of such section is amended to read as fol- 2905(b)(7) of the Defense Base Closure and Re- (d) ADDITIONAL TERMS AND CONDITIONS.— lows: alignment Act of 1990 (part A of title XXIX The Secretary of the Army may require such ‘‘(c) CONTENT OF AGREEMENT.—An agree- of Public Law 101–510; 10 U.S.C. 2687 note), as additional terms and conditions in connec- ment entered into under this section shall amended by section 2838 of this Act. tion with the transfer under this section as include the following: (b) COVERED PROPERTY AND FACILITIES.— the Secretary of the Army considers appro- ‘‘(1) A requirement that the grantee con- Subsection (a) applies to the following prop- priate to protect the interests of the United struct facilities and make infrastructure im- erty and facilities at Fort Holabird, Mary- States. provements for the Department of the Army land: SEC. 2853. TRANSFER OF JURISDICTION AND that the Secretary determines are necessary (1) Property and facilities that were ap- LAND CONVEYANCE, FORT DEVENS for the Department at Fort Belvoir and at proved for closure or realignment under title MILITARY RESERVATION, MASSA- other sites at which activities will be relo- II of the Defense Authorization Amendments CHUSETTS. cated as a result of the conveyance made and Base Closure and Realignment Act (Pub- (a) TRANSFER OF LAND FOR WILDLIFE REF- under this section. lic Law 100–526; 10 U.S.C. 2687 note), but have UGE.—Subject to subsections (b) and (c), the ‘‘(2) A requirement that the construction not been disposed of as of the date of the en- Secretary of the Army shall transfer, with- of facilities and infrastructure improve- actment of this Act, including buildings 305 out reimbursement, to the administrative ju- ments referred to in paragraph (1) be carried and 306 and the parking lots and other prop- risdiction of the Secretary of the Interior out in accordance with plans and specifica- erty associated with such buildings. that portion of Fort Devens Military Res- tions approved by the Secretary. (2) Property and facilities that were ap- ervation, Massachusetts, that is situated ‘‘(3) A requirement that the Secretary re- proved in 1995 for closure or realignment south of Massachusetts State Route 2, for in- tain a lien or other security interest against under the Defense Base Closure and Realign- clusion in the Oxbow National Wildlife Ref- the property conveyed to the grantee in the ment Act of 1990 (part A of title XXIX of uge. amount of the fair market value of the prop- Public Law 101–510; 10 U.S.C. 2687 note). (b) LAND CONVEYANCE.—Subject to sub- erty, as determined under subsection (b)(2). (c) USE OF SURVEYS AND OTHER EVALUA- section (c), the Secretary of the Army shall The agreement will specify the terms for re- TIONS OF PROPERTY.—In carrying out the dis- convey to the Town of Lancaster, Massachu- leasing the lien or other security interest, in January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 463 whole or in part. In the event of default by of Gainesville, Georgia (in this section re- SEC. 2858. LAND CONVEYANCE, INDIANA ARMY the County on its obligations under the ferred to as the ‘‘City’’), all right, title, and AMMUNITION PLANT, CHARLES- terms of the agreement, the Secretary shall interest of the United States in and to a par- TOWN, INDIANA. enforce the lien or security interest. The cel of real property, together with any im- (a) CONVEYANCE AUTHORIZED.—The Sec- proceeds obtained through enforcing the lien provements thereon, consisting of approxi- retary of the Army may convey, without or security interest may be used by the Sec- mately 4.2 acres and located on Shallowford consideration, to the State of Indiana (in retary to construct facilities and make infra- Road in Gainesville, Georgia, the site of the this section referred to as the ‘‘State’’), all structure improvements in lieu of those pro- Army Reserve Center, Gainesville, Georgia. right, title, and interest of the United States vided for in the agreement.’’. (b) CONSIDERATION.—As consideration for in and to a parcel of real property, including (d) SURVEYS.—Subsection (g) of such sec- the conveyance authorized by subsection (a), any improvements thereon, that consists of tion is amended by striking out the last sen- the City shall— approximately 1125 acres at the inactivated tence and inserting in lieu thereof the fol- (1) convey to the United States all right, Indiana Army Ammunition Plant in Charles- lowing: ‘‘The grantee shall be responsible for title, and interest in and to a parcel of real town, Indiana, and is the subject of a 25-year completing any such survey without cost to property consisting of approximately 8 acres lease between the Secretary and the State. (b) CONDITION OF CONVEYANCE.—The con- the United States.’’. located in the Atlas Industrial Park, Gaines- veyance authorized under subsection (a) (e) CONFORMING AMENDMENTS.—Such sec- ville, Georgia, that is acceptable to the Sec- shall be subject to the condition that the tion is further amended— retary; State use the conveyed property for rec- (1) in subsection (a), by striking out ‘‘Sub- (2) design and construct on such real prop- reational purposes. ject to subsections (b) through (h), the’’ and erty suitable facilities (as determined by the inserting in lieu thereof ‘‘The’’; (c) DESCRIPTION OF PROPERTY.—The exact Secretary) for training activities of the acreage and legal description of the real (2) in subsection (b)(1), by striking out Army Reserve to replace facilities conveyed ‘‘subsection (c)(1)(D)’’ both places it appears property to be conveyed under subsection (a) under subsection (a); shall be determined by a survey satisfactory and inserting in lieu thereof ‘‘subsection (3) carry out, at cost to the City, any envi- (c)(1)(A)’’; to the Secretary. The cost of the survey ronmental assessments and any other stud- shall be borne by the State. (3) by striking out subsections (e) and (f); ies, analyses, and assessments that may be (d) ADDITIONAL TERMS AND CONDITIONS.— and required under Federal law in connection The Secretary may require such additional (4) by redesignating subsections (g) and (h) with the land conveyances under subsection terms and conditions in connection with the as subsections (e) and (f), respectively. (a) and paragraph (1) and the construction conveyance under subsection (a) as the Sec- SEC. 2855. LAND EXCHANGE, FORT LEWIS, WASH- under paragraph (2); retary considers appropriate to protect the INGTON. (4) pay the Secretary the amount (as deter- interests of the United States. (a) CONVEYANCE AUTHORIZED.—The Sec- mined by the Secretary) equal to the cost of retary of the Army may convey to SEC. 2859. LAND CONVEYANCE, FORT ORD, CALI- relocating Army Reserve units from the real FORNIA. Weyerhaeuser Real Estate Company, Ta- property to be conveyed under subsection (a) (a) CONVEYANCE AUTHORIZED.—The Sec- coma, Washington (in this section referred to to the replacement facilities to be con- retary of the Army may convey to the City as ‘‘WRECO’’), all right, title, and interest of structed under paragraph (2); and of Seaside, California (in this section re- the United States in and to a parcel of real (5) if the fair market value of the real prop- ferred to as the ‘‘City’’), all right, title, and property at Fort Lewis, Washington, known erty conveyed by the Secretary under sub- interest of the United States in and to a par- as an unimproved portion of Tract 1000 (for- section (a) exceeds the fair market value of cel of real property (including improvements merly being in the DuPont Steilacoom Road, the consideration provided by the City under thereon) consisting of approximately 477 consisting of approximately 1.23 acres), and Tract 26E (consisting of 0.03 acre). paragraphs (1) through (4), pay the United acres located in Monterey County, Califor- (b) CONSIDERATION.—As consideration for States the amount equal to the amount of nia, and comprising a portion of the former the conveyance authorized by subsection (a), such excess. Fort Ord Military Complex. The real prop- WRECO shall convey or cause to be conveyed (c) DETERMINATION OF FAIR MARKET erty to be conveyed to the City includes the to the United States, by warranty deed ac- VALUE.—The Secretary shall determine the two Fort Ord Golf Courses, Black Horse and ceptable to the Secretary, a 0.39 acre parcel fair market value of the real property to be Bayonet, and a portion of the Hayes Housing of real property located adjacent to Fort conveyed under subsection (a) and of the Facilities. Lewis, Washington, together with other con- consideration to be furnished by the City (b) CONSIDERATION.—As consideration for sideration acceptable to the Secretary. The under subsection (b). Such determination the conveyance of the real property and im- total consideration conveyed to the United shall be final. provements under subsection (a), the City States shall not be less than the fair market (d) DESCRIPTION OF PROPERTY.—The exact shall pay to the United States an amount value of the land conveyed under subsection acreage and legal description of the parcels equal to the fair market value of the prop- (a). of real property to be conveyed under sub- erty to be conveyed, as determined by the (c) DETERMINATION OF FAIR MARKET sections (a) and (b) shall be determined by a Secretary. VALUE.—The determinations of the Sec- survey satisfactory to the Secretary. The (c) USE AND DEPOSIT OF PROCEEDS.—(1) retary regarding the fair market values of cost of the survey shall be borne by the City. From the funds paid by the City under sub- the parcels of real property and improve- (e) ADDITIONAL TERMS AND CONDITIONS.— section (b), the Secretary shall deposit in the ments to be conveyed pursuant to sub- The Secretary may require such additional Morale, Welfare, and Recreation Fund Ac- sections (a) and (b) shall be final. terms and conditions in connection with the count of the Department of the Army such (d) DESCRIPTION OF PROPERTY.—The exact conveyances authorized by this section as amounts as may be necessary to cover mo- acreage and legal description of the parcels the Secretary considers appropriate to pro- rale, welfare, and recreation activities at of real property to be conveyed pursuant to tect the interests of the United States. Army installations in the general vicinity of subsections (a) and (b) shall be determined SEC. 2857. LAND CONVEYANCE, HOLSTON ARMY Fort Ord during fiscal years 1996 through by a survey satisfactory to the Secretary. AMMUNITION PLANT, MOUNT CAR- 2000. The amount deposited by the Secretary The cost of the survey shall be borne by MEL, TENNESSEE. into the Account shall not exceed the fair WRECO. (a) CONVEYANCE AUTHORIZED.—The Sec- market value, as established under sub- (e) EFFECT ON EXISTING REVERSIONARY IN- retary of the Army may convey, without re- section (b), of the two Fort Ord Golf Courses TEREST.—The Secretary may enter into an imbursement, to the City of Mount Carmel, conveyed under subsection (a). The Sec- agreement with the appropriate officials of Tennessee (in this section referred to as the retary shall notify Congress of the amount Pierce County, Washington, under which— ‘‘City’’), all right, title, and interest of the to be deposited not later than 90 days after (1) the existing reversionary interest of United States in and to a parcel of real prop- the date of the conveyance. Pierce County in the lands to be conveyed by erty, including improvements thereon, con- (2) The Secretary shall deposit the balance the United States under subsection (a) is ex- sisting of approximately 6.5 acres located at of any funds paid by the City under sub- tinguished; and Holston Army Ammunition Plant, Ten- section (b), after deducting the amount de- (2) the conveyance to the United States nessee. The property is located adjacent to posited under paragraph (1), in the Depart- under subsection (b) is made subject to a the Mount Carmel Cemetery and is intended ment of Defense Base Closure Account 1990. similar reversionary interest in favor of for expansion of the cemetery. (d) DESCRIPTION OF PROPERTY.—The exact Pierce County in the lands conveyed under (b) DESCRIPTION OF PROPERTY.—The exact acreage and legal description of the real such subsection. acreage and legal description of the real property to be conveyed under subsection (a) (f) ADDITIONAL TERMS AND CONDITIONS.— property to be conveyed under subsection (a) shall be determined by a survey mutually The Secretary may require such additional shall be determined by a survey satisfactory satisfactory to the Secretary and the City. terms and conditions in connection with the to the Secretary. The cost of the survey The cost of the survey shall be borne by the conveyances under this section as the Sec- shall be borne by the City. City. retary considers appropriate to protect the (c) ADDITIONAL TERMS AND CONDITIONS.— (e) ADDITIONAL TERMS AND CONDITIONS.— interests of the United States. The Secretary may require such additional The Secretary may require such additional SEC. 2856. LAND EXCHANGE, ARMY RESERVE terms and conditions in connection with the terms and conditions in connection with the CENTER, GAINESVILLE, GEORGIA. conveyance under subsection (a) as the Sec- conveyance under this section as the Sec- (a) LAND EXCHANGE AUTHORIZED.—The Sec- retary considers appropriate to protect the retary considers appropriate to protect the retary of the Army may convey to the City interests of the United States. interests of the United States. H 464 CONGRESSIONAL RECORD — HOUSE January 22, 1996 SEC. 2860. LAND CONVEYANCE, PARKS RESERVE SEC. 2861. LAND CONVEYANCE, ARMY RESERVE tion of all the facilities proposed to be con- FORCES TRAINING AREA, DUBLIN, CENTER, YOUNGSTOWN, OHIO. structed under subsection (c)(1)(B) by the CALIFORNIA. (a) CONVEYANCE AUTHORIZED.—The Sec- transferee selected under subsection (g), the (a) CONVEYANCE AUTHORIZED.—(1) Except as retary of the Army may convey, without Secretary may relocate Army personnel in provided in paragraph (2), the Secretary of consideration, to the City of Youngstown, the facilities located on the property to be the Army may convey to the County of Ala- Ohio (in this section referred to as the conveyed pursuant to the authority in sub- meda, California (in this section referred to ‘‘City’’), all right, title, and interest of the section (a) to the facilities that have been as the ‘‘County’’), all right, title, and inter- United States in and to a parcel of excess constructed by the transferee under such est of the United States in and to a parcel of real property, including improvements subsection (c)(1)(B). real property, including improvements thereon, that is located at 399 Miller Street (f) DETERMINATION OF FAIR MARKET thereon, consisting of approximately 42 acres in Youngstown, Ohio, and contains the VALUE.—The Secretary shall determine the located at Parks Reserve Forces Training Kefurt Army Reserve Center. fair market value of the real property to be Area, Dublin, California. (b) CONDITION OF CONVEYANCE.—The con- conveyed under subsection (a) and of the (2) The conveyance authorized by this sec- veyance authorized under subsection (a) consideration to be provided under sub- tion shall not include any oil, gas, or min- shall be subject to the condition that the section (c)(1). Such determination shall be eral interest of the United States in the real City retain the conveyed property for the use final. property to be conveyed. and benefit of the Youngstown Fire Depart- (g) SELECTION OF TRANSFEREE.—(1) The ment. (b) CONSIDERATION.—(1) As consideration Secretary shall use competitive procedures (c) DESCRIPTION OF PROPERTY.—The exact for the conveyance under subsection (a)(1), for the selection of a transferee under sub- acreage and legal description of the real the County shall provide the Army with the section (a). property to be conveyed under subsection (a) (2) In evaluating the offers of prospective following services at the portion of Parks shall be determined by a survey satisfactory transferees, the Secretary shall— Reserve Forces Training Area retained by to the Secretary. The cost of the survey (A) consider such criteria as the Secretary the Army: shall be borne by the City. considers to be appropriate to determine (A) Relocation of the main gate of the re- (d) ADDITIONAL TERMS AND CONDITIONS.— whether prospective transferees will be able tained Training Area from Dougherty Road The Secretary may require such additional to satisfy the consideration requirements to Dublin Boulevard across from the Bay terms and conditions in connection with the specified in subsection (c)(1); and Area Rapid Transit District East Dublin sta- conveyance under subsection (a) as the Sec- (B) consult with the communities and ju- tion, including the closure of the existing retary considers appropriate to protect the risdictions in the vicinity of Fort Sheridan main gate on Dougherty Road, construction interests of the United States. (including the City of Lake Forest, the City of a security facility, and construction of a SEC. 2862. LAND CONVEYANCE, ARMY RESERVE of Highwood, and the City of Highland Park roadway from the new entrance to Fifth PROPERTY, FORT SHERIDAN, ILLI- and the County of Lake, Illinois) in order to Street. NOIS. determine the most appropriate use of the (B) Enclosing and landscaping of the south- (a) CONVEYANCE AUTHORIZED.—Subject to property to be conveyed. ern boundary of the retained Training Area subsection (b), the Secretary of the Army (h) DESCRIPTIONS OF PROPERTY.—The exact installation located northerly of Dublin Bou- may convey to any transferee selected under acreage and legal descriptions of the real levard. subsection (g) all right, title, and interest of property to be conveyed by the Secretary (C) Enclosing and landscaping of the east- the United States in and to a parcel of real under subsection (a) and the real property to ern boundary of the retained Training Area property (including improvements thereon) be conveyed under subsection (c)(1)(A) shall from Dublin Boulevard to Gleason Drive. at Fort Sheridan, Illinois, consisting of ap- be determined by a survey satisfactory to (D) Resurfacing of roadways within the re- proximately 114 acres and comprising an the Secretary. The cost of the survey shall tained Training Area. Army Reserve area. be borne by the transferee selected under (b) REQUIREMENT FOR FEDERAL SCREENING (E) Provision of such other services in con- subsection (g). OF PROPERTY.—The Secretary may not carry nection with the retained Training Area, in- (i) ADDITIONAL TERMS AND CONDITIONS.— out the conveyance of property authorized cluding relocation or reconstruction of water The Secretary may require such additional by subsection (a) unless the Secretary deter- lines, relocation or reconstruction of sewer terms and conditions in connection with the mines that no department or agency of the lines, construction of drainage improve- conveyances under this section as the Sec- Federal Government will accept the transfer ments, and construction of buildings, as the retary considers appropriate to protect the of the property. Secretary and the County may determine to interests of the United States. (c) CONSIDERATION.—(1) As consideration be appropriate. SEC. 2863. LAND CONVEYANCE, PROPERTY UN- (F) Provision for and funding of any envi- for the conveyance under subsection (a), the transferee selected under subsection (g) DERLYING CUMMINS APARTMENT ronmental mitigation that is necessary as a COMPLEX, FORT HOLABIRD, MARY- result of a change in use of the conveyed shall— LAND. property by the County. (A) convey to the United States a parcel of (a) CONVEYANCE AUTHORIZED.—Notwith- real property that meets the requirements of (2) The detailed specifications for the serv- standing any other provision of law, the Sec- subsection (d); ices to be provided under paragraph (1) may retary of the Army may convey to the exist- (B) design for and construct on the prop- be determined and approved on behalf of the ing owner of the improvements thereon all erty conveyed under subparagraph (A) such Secretary by the Commander of Parks Re- right, title, and interest of the United States facilities (including support facilities and in- serve Forces Training Area. The preparation in and to a parcel of real property underlying frastructure) to replace the facilities con- costs of such specifications shall be borne by the Cummins Apartment Complex at Fort veyed pursuant to the authority in sub- the County. Holabird, Maryland, that consists of approxi- section (a) as the Secretary considers appro- (3) The fair market value of improvements mately 6 acres, and any interest the United priate; and and services received by the United States States may have in the improvements there- (C) pay the cost of relocating Army person- from the County under paragraph (1) must be on. nel in the facilities located on the real prop- equal to or exceed the appraised fair market (b) CONSIDERATION.—As consideration for erty conveyed pursuant to the authority in value of the real property to be conveyed the conveyance under subsection (a), the subsection (a) to the facilities constructed under subsection (a)(1). The appraisal of the owner of the improvements referred to in under subparagraph (B). fair market value of the property shall be that subsection shall provide compensation (2) The Secretary shall ensure that the fair to the United States in an amount equal to subject to the Secretary’s review and ap- market value of the consideration provided proval. the fair market value (as determined by the by the transferee under paragraph (1) is not Secretary) of the property interest to be con- (c) DESCRIPTION OF PROPERTY.—The exact less than the fair market value of the real acreage and legal description of the real veyed. property conveyed by the Secretary under (c) DESCRIPTION OF PROPERTY.—The exact property to be conveyed under subsection subsection (a). acreage and legal description of the real (a)(1) shall be determined by a survey satis- (d) REQUIREMENTS RELATING TO PROPERTY property to be conveyed under subsection (a) factory to the Secretary. The cost of the sur- TO BE CONVEYED TO UNITED STATES.—The shall be determined by a survey that is satis- vey shall be borne by the County. real property conveyed to the United States factory to the Secretary. (d) TIME FOR TRANSFER OF TITLE.—The under subsection (c)(1)(A) by the transferee (d) ADDITIONAL TERMS AND CONDITIONS.— transfer of title to the County under sub- selected under subsection (g) shall— The Secretary may require such additional section (a)(1) may be executed by the Sec- (1) be located not more than 25 miles from terms and conditions in connection with the retary only upon the satisfactory guarantee Fort Sheridan; conveyance under subsection (a) as the Sec- by the County of completion of the services (2) be located in a neighborhood or area retary considers appropriate to protect the to be provided under subsection (b). having social and economic conditions simi- interests of the United States. DDITIONAL ERMS AND ONDITIONS (e) A T C .— lar to the social and economic conditions of SEC. 2864. MODIFICATION OF EXISTING LAND The Secretary may require such additional the area in which Fort Sheridan is located; CONVEYANCE, ARMY PROPERTY, terms and conditions in connection with the and HAMILTON AIR FORCE BASE, CALI- conveyance under subsection (a)(1) as the (3) be acceptable to the Secretary. FORNIA. Secretary considers appropriate to protect (e) INTERIM RELOCATION OF ARMY PERSON- (a) APPLICATION OF SECTION.—The author- the interests of the United States. NEL.—Pending completion of the construc- ity provided in subsection (b) shall apply January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 465 only in the event that the purchaser pur- PART II—NAVY CONVEYANCES such terms and conditions as the Secretary chases only a portion of the Sale Parcel re- SEC. 2865. TRANSFER OF JURISDICTION, NAVAL considers appropriate. ferred to in section 9099 of the Department of WEAPONS INDUSTRIAL RESERVE ‘‘(5) The exact acreage and legal descrip- Defense Appropriations Act, 1993 (Public Law PLANT, CALVERTON, NEW YORK. tion of any property conveyed under para- 102–396; 106 Stat. 1924) and exercises the pur- (a) TRANSFER AUTHORIZED.—Notwithstand- graph (4) shall be determined by a survey chaser’s option to withdraw from the sale as ing section 2854 of the Military Construction satisfactory to the Secretary. The cost of to the rest of the Sale Parcel. Authorization Act for Fiscal Year 1993 (divi- each survey shall be borne by the recipient (b) CONVEYANCE AUTHORITY IN EVENT OF sion B of Public Law 102–484; 106 Stat. 2626), of the property.’’. PARTIAL SALE.—The Secretary of the Army as amended by section 2823 of the Military SEC. 2868. LAND CONVEYANCE, NAVAL WEAPONS may convey to the City of Novato, California Construction Authorization Act for Fiscal INDUSTRIAL RESERVE PLANT, (in this section referred to as the ‘‘City’’)— Year 1995 (division B of Public Law 103–337; MCGREGOR, TEXAS. (1) that portion of the Sale Parcel (other 108 Stat. 3058), the Secretary of the Navy (a) CONVEYANCE AUTHORIZED.—(1) The Sec- than Landfill 26 and an appropriate buffer may transfer, without reimbursement, to the retary of the Navy may convey, without con- area around it and the groundwater treat- administrative jurisdiction of the Secretary sideration, to the City of McGregor, Texas ment facility site) that is not purchased as of Veterans Affairs a parcel of real property (in this section referred to as the ‘‘City’’), all provided in subsection (a); and consisting of approximately 150 acres located right, title, and interest of the United States (2) any of the land referred to in subsection adjacent to the Calverton National Ceme- in and to a parcel of real property, including (e) of such section 9099 that is not purchased tery, Calverton, New York, and comprising a any improvements thereon, containing the by the purchaser. portion of the buffer zone of the Naval Weap- Naval Weapons Industrial Reserve Plant, (c) CONSIDERATION AND CONDITIONS ON CON- ons Industrial Reserve Plant, Calverton, New McGregor, Texas. (2) After screening the facilities, equip- VEYANCE.—The conveyance under subsection York. (b) shall be made as a public benefit transfer (b) USE OF PROPERTY.—The Secretary of ment, and fixtures (including special tooling to the City for the sum of One Dollar, sub- Veterans Affairs shall use the real property and special test equipment) located on the ject to the condition that the conveyed prop- transferred under subsection (a) as an addi- parcel for other uses by the Department of erty be used for school, classroom, or other tion to the Calverton National Cemetery and the Navy, the Secretary may include in the educational purposes or as a public park or administer such real property pursuant to conveyance under paragraph (1) any facili- recreation area. chapter 24 of title 38, United States Code. ties, equipment, and fixtures on the parcel not to be so used if the Secretary determines (d) SUBSEQUENT CONVEYANCE BY THE CITY.— (c) SURVEY.—The cost of any survey nec- (1) If, within 10 years after the conveyance essary for the transfer of jurisdiction of the that manufacturing activities requiring the under subsection (b), the City conveys all or real property described in subsection (a) use of such facilities, equipment, and fix- any part of the conveyed property to a third from the Secretary of the Navy to the Sec- tures are likely to continue or be reinstated party without the use restrictions specified retary of Veterans Affairs shall be borne by on the parcel after conveyance under para- in subsection (c), the City shall pay to the the Secretary of Veterans Affairs. graph (1). (b) LEASE AUTHORITY.—Until such time as Secretary of the Army an amount equal to (d) ADDITIONAL TERMS AND CONDITIONS.— the real property described in subsection the proceeds received by the City from the The Secretary of the Navy may require such (a)(1) is conveyed by deed, the Secretary may conveyance, minus the demonstrated reason- additional terms and conditions in connec- lease the property, along with improvements able costs of making the conveyance and of tion with the transfer under this section as thereon, to the City in exchange for security any improvements made by the City to the the Secretary of the Navy considers appro- services, fire protection services, and main- property following its acquisition of the land priate to protect the interests of the United tenance services provided by the City for the (but only to the extent such improvements States. property. increase the value of the property conveyed). SEC. 2866. MODIFICATION OF LAND CONVEY- (c) CONDITION OF CONVEYANCE.—The con- The Secretary of the Army shall deliver into ANCE, NAVAL WEAPONS INDUSTRIAL veyance authorized under subsection (a) the applicable closing escrow an acknowl- RESERVE PLANT, CALVERTON, NEW YORK. shall be subject to the condition that the edgement of receipt of the proceeds and a re- (a) REMOVAL OF REVERSIONARY INTEREST; City, directly or through an agreement with lease of the reverter right under subsection ADDITION OF LEASE AUTHORITY.—Subsection a public or private entity, use the conveyed (e) as to the affected land, effective upon (c) of section 2833 of the Military Construc- property (or offer the conveyed property for such receipt. tion Authorization Act for Fiscal Year 1995 use) for economic redevelopment to replace (2) Until one year after the completion of (division B of Public Law 103–337; 108 Stat. all or a part of the economic activity being the cleanup of contaminated soil in the 3061) is amended to read as follows: lost at the parcel. Landfill located on the Sale Parcel and com- ‘‘(c) LEASE AUTHORITY.—Until such time as (d) DESCRIPTION OF PROPERTY.—The exact pletion of the groundwater treatment facili- the real property described in subsection (a) acreage and legal description of the real ties, any conveyance by the City must be at is conveyed by deed, the Secretary may lease property to be conveyed under subsection a per-acre price for the portion sold that is the property, along with improvements (a)(1) shall be determined by a survey satis- at least equal to the per-acre contract price thereon, to the Community Development factory to the Secretary. The cost of the sur- paid by the purchaser for the portion of the Agency in exchange for security services, vey shall be borne by the City. Sale Parcel purchased under the Agreement fire protection services, and maintenance (e) ADDITIONAL TERMS AND CONDITIONS.— and Modification for the purchase of the Sale services provided by the Community Devel- The Secretary may require such additional Parcel by the purchaser. Thereafter, any opment Agency for the property.’’. terms and conditions in connection with the conveyance by the City must be at a price at (b) CONFORMING AMENDMENT.—Subsection conveyance under subsection (a) or a lease least equal to the fair market value of the (e) of such section is amended by striking under subsection (b) as the Secretary consid- portion sold. out ‘‘subsection (a)’’ and inserting in lieu ers appropriate to protect the interests of (3) This subsection shall not apply to a thereof ‘‘subsection (a) or a lease under sub- the United States. conveyance by the City to another public or section (c)’’. SEC. 2869. LAND CONVEYANCE, NAVAL SURFACE quasi-public agency for public uses of the SEC. 2867. LAND CONVEYANCE ALTERNATIVE TO WARFARE CENTER, MEMPHIS, TEN- kind described in subsection (c). EXISTING LEASE AUTHORITY, NAVAL NESSEE. (e) REVERSION.—If the Secretary of the SUPPLY CENTER, OAKLAND, CALI- (a) CONVEYANCE AUTHORIZED.—The Sec- Army determines that the City has failed to FORNIA. retary of the Navy may convey to the Mem- make a payment as required by subsection Section 2834(b) of the Military Construc- phis and Shelby County Port Commission, (d)(1) or that any portion of the conveyed tion Authorization Act for Fiscal Year 1993 Memphis, Tennessee (in this section referred property retained by the City or conveyed (division B of Public Law 102–484; 106 Stat. to as the ‘‘Port’’), all right, title, and inter- under subsection (d)(3) is not being utilized 2614), as amended by section 2833 of the Mili- est of the United States in and to a parcel of in accordance with subsection (c), title to tary Construction Authorization Act for Fis- real property (including any improvements the applicable portion of such property shall cal Year 1994 (division B of Public Law 103– thereon) consisting of approximately 26 acres revert to the United States at the election of 160; 107 Stat. 1896) and section 2821 of the that is located at the Carderock Division, the Administrator of the General Services Military Construction Authorization Act for Naval Surface Warfare Center, Memphis De- Administration. Fiscal Year 1995 (division B of Public Law tachment, Presidents Island, Memphis, Ten- (f) SPECIAL CONVEYANCE REGARDING BUILD- 103–337; 108 Stat. 3057), is further amended by nessee. ING 138 PARCEL.—The Secretary of the Army adding at the end the following new para- (b) CONSIDERATION.—As consideration for may convey to the purchaser of the Sale Par- graphs: the conveyance of real property under sub- cel the Building 138 parcel, which has been ‘‘(4) In lieu of entering into a lease under section (a), the Port shall— designated by the parties as Parcel A4. The paragraph (1), or in place of an existing lease (1) grant to the United States a restrictive per-acre price for the portion conveyed under under that paragraph, the Secretary may easement in and to a parcel of real property this subsection shall be at least equal to the convey, without consideration, the property consisting of approximately 100 acres that is per-acre contract price paid by the purchaser described in that paragraph to the City of adjacent to the Memphis Detachment, Presi- for the portion of the Sale Parcel purchased Oakland, California, the Port of Oakland, dents Island, Memphis, Tennessee; and under the Agreement and Modification, California, the City of Alameda, California, (2) if the fair market value of the easement dated September 25, 1990, as amended. or the City of Richmond, California, under granted under paragraph (1) is less than the H 466 CONGRESSIONAL RECORD — HOUSE January 22, 1996 fair market value of the real property con- (2) The Secretary shall ensure that the fair property to be conveyed by the Secretary veyed under subsection (a), provide the Unit- market value of the consideration provided under subsection (a) and the real property to ed States such additional consideration as by the transferee under paragraph (1) is not be conveyed under subsection (c)(1)(A) shall the Secretary and the Port jointly determine less than the fair market value of the prop- be determined by a survey satisfactory to appropriate so that the value of the consider- erty interest conveyed by the Secretary the Secretary. The cost of the survey shall ation received by the United States under under subsection (a). be borne by the transferee selected under this subsection is equal to or greater than (d) REQUIREMENTS RELATING TO PROPERTY subsection (i). the fair market value of the real property TO BE CONVEYED TO UNITED STATES.—The (k) ADDITIONAL TERMS AND CONDITIONS.— conveyed under subsection (a). property interest conveyed to the United The Secretary may require such additional (c) CONDITION OF CONVEYANCE.—The con- States under subsection (c)(1)(A) by the terms and conditions in connection with the veyance authorized by subsection (a) shall be transferee selected under subsection (i) conveyances under this section as the Sec- carried out in accordance with the provisions shall— retary considers appropriate to protect the of the Land Exchange Agreement between (1) be located not more than 25 miles from interests of the United States. the United States and the Memphis and the Great Lakes Naval Training Center, Illi- SEC. 2871. LAND CONVEYANCE, NAVAL COMMU- Shelby County Port Commission, Memphis, nois; NICATIONS STATION, STOCKTON, Tennessee. (2) be located in a neighborhood or area CALIFORNIA. (d) DETERMINATION OF FAIR MARKET having social and economic conditions simi- (a) CONVEYANCE AUTHORIZED.—Subject to VALUE.—The Secretary shall determine the lar to the social and economic conditions of subsection (b), the Secretrary of the Navy fair market value of the real property to be the area in which Fort Sheridan is located; may convey to the Port of Stockton, Califor- conveyed under subsection (a) and of the and nia (in this section referred to as the easement to be granted under subsection (3) be acceptable to the Secretary. ‘‘Port’’), all right, title, and interest of the (b)(1). Such determinations shall be final. (e) EDUCATION OF DEPENDENTS OF MEMBERS United States in and to a parcel of real prop- (e) USE OF PROCEEDS.—The Secretary shall OF THE ARMED FORCES.—In providing for the erty, including any improvements thereon, deposit any proceeds received under sub- education of dependents of members of the consisting of approximately 1,450 acres at section (b)(2) as consideration for the con- Armed Forces under subsection (c)(1)(D), the the Naval Communication Station, Stock- veyance of real property authorized under transferee selected under subsection (i) shall ton, California. subsection (a) in the special account estab- ensure that such dependents may enroll at (b) REQUIREMENT FOR FEDERAL SCREENING lished pursuant to section 204(h)(2) of the the schools of one or more school districts in OF PROPERTY.—The Secretary may not carry Federal Property and Administrative Serv- the vicinity of the real property conveyed to out the conveyance of property authorized ices Act of 1949 (40 U.S.C. 485(h)(2)). by subsection (a) unless the Secretary deter- (f) DESCRIPTION OF PROPERTY.—The exact the United States under subsection (c)(1)(A) acreage and legal description of the real which schools and districts— mines that no department or agency of the property to be conveyed under subsection (a) (1) meet such standards for schools and Federal Government will accept the transfer and the easement to be granted under sub- schools districts as the Secretary shall es- of the property. section (b)(1) shall be determined by a survey tablish; and (c) INTERIM LEASE.—Until such time as the satisfactory to the Secretary. The cost of the (2) will continue to meet such standards real property described in subsection (a) is survey shall be borne by the Port. after the enrollment of such dependents re- conveyed by deed, the Secretary may lease (g) ADDITIONAL TERMS AND CONDITIONS.— gardless of the receipt by such school dis- the property, along with improvements The Secretary may require such additional tricts of Federal impact aid. thereon, to the Port under terms and condi- terms and conditions in connection with the (f) INTERIM RELOCATION OF MEMBERS OF THE tions satisfactory to the Secretary. conveyance authorized by subsection (a) and ARMED FORCES.—Pending completion of the (d) CONSIDERATION.—The conveyance may the easement granted under subsection (b)(1) construction of all the housing facilities pro- be made as a public benefit conveyance for as the Secretary considers appropriate to posed to be constructed under subsection port development as defined in section 203 of protect the interests of the United States. (c)(1)(B) by the transferee selected under the Federal Property and Administrative SEC. 2870. LAND CONVEYANCE, NAVY PROPERTY, subsection (i), the Secretary may relocate— Services Act of 1949 (40 U.S.C. 484) if the Port FORT SHERIDAN, ILLINOIS. (1) members of the Armed Forces residing satisfies the criteria in such section and the (a) CONVEYANCE AUTHORIZED.—Subject to in housing facilities located on the property regulations prescribed to implement such subsection (b), the Secretary of the Navy to be conveyed pursuant to the authority in section. If the Port fails to qualify for a pub- may convey to any transferee selected under subsection (a) to the housing facilities that lic benefit conveyance and still desires to ac- subsection (i) all right, title, and interest of have been constructed by the transferee quire the property, the Port shall pay to the the United States in and to a parcel of real under such subsection (c)(1)(B); and United States an amount equal to the fair property (including any improvements there- (2) other Government tenants located on market value of the property to be conveyed, on) at Fort Sheridan, Illinois, consisting of such property to other facilities. as determined by the Secretary. approximately 182 acres and comprising the (g) APPLICABILITY OF CERTAIN AGREE- (e) FEDERAL LEASE OF CONVEYED PROP- Navy housing areas at Fort Sheridan. MENTS.—The property conveyed by the Sec- ERTY.—As a condition for transfer of this (b) REQUIREMENT FOR FEDERAL SCREENING retary pursuant to the authority in sub- property under subparagraph (a), the Sec- OF PROPERTY.—The Secretary may not carry section (a) shall be subject to the Memoran- retary may require that the Port lease to the out the conveyance of property authorized dum of Understanding concerning the Trans- Department of Defense or any other Federal by subsection (a) unless the Secretary deter- fer of Certain Properties at Fort Sheridan, agency all or any part of the property being mines that no department or agency of the Illinois, dated August 8, 1991, between the used by the Federal Government at the time Federal Government will accept the transfer Department of the Army and the Depart- of conveyance. Any such lease shall be made of the property. ment of the Navy. under the same terms and conditions as in (c) CONSIDERATION.—(1) As consideration (h) DETERMINATION OF FAIR MARKET force at the time of the conveyance. Such for the conveyance under subsection (a), the VALUE.—The Secretary shall determine the terms and conditions will continue to in- transferee selected under subsection (i) fair market value of the real property inter- clude payment to the Port for maintenance shall— est to be conveyed under subsection (a) and of facilities leased to the Federal Govern- (A) convey to the United States a parcel of of the consideration to be provided under ment. Such maintenance of the Federal real property that meets the requirements of subsection (c)(1). Such determination shall premises shall be to the reasonable satisfac- subsection (d); be final. tion of the United States, or as required by (B) design for and construct on the prop- (i) SELECTION OF TRANSFEREE.—(1) The Sec- all applicable Federal, State, and local laws erty conveyed under subparagraph (A) such retary shall use competitive procedures for and ordinances. housing facilities (including support facili- the selection of a transferee under sub- (f) DESCRIPTION OF PROPERTY.—The exact ties and infrastructure) to replace the hous- section (a). acreage and legal description of the property ing facilities conveyed pursuant to the au- (2) In evaluating the offers of prospective to be conveyed under subsection (a) shall be thority in subsection (a) as the Secretary transferees, the Secretary shall— determined by a survey satisfactory to the considers appropriate; (A) consider such criteria as the Secretary Secretary. The cost of the survey shall be (C) pay the cost of relocating members of considers to be appropriate to determine borne by the Port. the Armed Forces residing in the housing fa- whether prospective transferees will be able (g) ADDITIONAL TERMS.—The Secretary cilities located on the real property con- to satisfy the consideration requirements may require such additional terms and con- veyed pursuant to the authority in sub- specified in subsection (c)(1); and ditions in connection with the conveyance section (a) to the housing facilities con- (B) consult with the communities and ju- under subsection (a) or the lease under sub- structed under subparagraph (B); risdictions in the vicinity of Fort Sheridan section (c) as the Secretary considers appro- (D) provide for the education of dependents (including the City of Lake Forest, the City priate to protect the interests of the United of such members under subsection (e); and of Highwood, and the City of Highland Park States. (E) carry out such activities for the oper- and the County of Lake, Illinois) in order to SEC. 2872. LEASE OF PROPERTY, NAVAL AIR STA- ation, maintenance, and improvement of the determine the most appropriate use of the TION AND MARINE CORPS AIR STA- facilities constructed under subparagraph property to be conveyed. TION, MIRAMAR, CALIFORNIA. (B) as the Secretary and the transferee joint- (j) DESCRIPTIONS OF PROPERTY.—The exact (a) LEASE AUTHORIZED.—Notwithstanding ly determine appropriate. acreage and legal descriptions of the real section 2692(a)(1) of title 10, United States January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 467 Code, the Secretary of the Navy may lease to (2) the fair market value of the parcel to be consideration, to the City of Forsyth, Mon- the City of San Diego, California (in this conveyed by the Secretary does not exceed tana (in this section referred to as the subsection referred to as the ‘‘City’’), the the fair market value of the parcel to be ac- ‘‘City’’), all right, title, and interest of the parcel of real property, including improve- quired by the Secretary. United States in and to the parcel of prop- ments thereon, described in subsection (b) in (c) DETERMINATIONS OF FAIR MARKET erty (including any improvements thereon) order to permit the City to carry out activi- VALUE.—The Secretary shall determine the consisting of approximately 58 acres located ties on the parcel relating to solid waste fair market value of the parcels of real prop- in Forsyth, Montana, which has served as a management, including the operation and erty to be exchanged, accepted, or otherwise support complex and recreational facilities maintenance of one or more solid waste land- acquired pursuant to subsection (a) and ex- for the Radar Bomb Scoring Site, Forsyth, fills. Pursuant to the lease, the Secretary changed pursuant to subsection (b). Such de- Montana. may authorize the City to construct and op- terminations shall be final. (b) CONDITION OF CONVEYANCE.—The con- erate on the parcel facilities related to solid (d) REVERSION OF GIFT CONVEYANCE.—If the veyance under subsection (a) shall be subject waste management, including a sludge proc- Secretary acquires the real property de- to the condition that the City— essing facility. scribed in subsection (a) by way of gift, the (1) utilize the property and recreational fa- (b) COVERED PROPERTY.—The parcel of Secretary may accept in the deed of convey- cilities conveyed under that subsection for property to be leased under subsection (a) is ance terms or conditions that require that housing and recreation purposes; or a parcel of real property consisting of ap- the land be reconveyed to the donor, or the (2) enter into an agreement with an appro- proximately 1,400 acres that is located at heirs of the donor, if Shaw Air Force Base priate public or private entity to lease such Naval Air Station, Miramar, California, or ceases operations and is closed. property and facilities to that entity for Marine Corps Air Station, Miramar, Cali- (e) DESCRIPTIONS OF PROPERTY.—The exact such purposes. fornia. acreage and legal descriptions of the parcels (c) REVERSION.—If the Secretary deter- (c) LEASE TERM.—The lease authorized of real property to be to be exchanged, ac- mines at any time that the property con- under subsection (a) shall be for an initial cepted, or otherwise acquired pursuant to veyed under subsection (a) is not being uti- term of not more than 50 years. Under the subsection (a) and exchanged pursuant to lized in accordance with paragraph (1) or lease, the Secretary may provide the City subsection (b) shall be determined by a sur- paragraph (2) of subsection (b), all right, with an option to extend the lease for such vey satisfactory to the Secretary. title, and interest in and to the conveyed number of additional periods of such length (f) ADDITIONAL TERMS AND CONDITIONS.— property, including any improvements there- as the Secretary considers appropriate. The Secretary may require such additional on, shall revert to the United States and the (d) FORM OF CONSIDERATION.—The Sec- terms and conditions in connection with the United States shall have the right of imme- retary may provide in the lease under sub- acquisition under subsection (a) or convey- diate entry onto the property. section (a) for the provision by the City of ance under subsection (b) as the Secretary (d) DESCRIPTION OF PROPERTY.—The exact in-kind consideration under the lease. considers appropriate to protect the inter- acreage and legal description of the property (e) USE OF MONEY RENTALS.—In such ests of the United States. conveyed under this section shall be deter- mined by a survey satisfactory to the Sec- amounts as are provided in advance in appro- SEC. 2875. LAND CONVEYANCE, ELMENDORF AIR priation Acts, the Secretary may use money FORCE BASE, ALASKA. retary. The cost of the survey shall be borne by the City. rentals received by the Secretary under the (a) CONVEYANCE TO PRIVATE PERSON AU- (e) ADDITIONAL TERMS AND CONDITIONS.— lease authorized under subsection (a) to THORIZED.—The Secretary of the Air Force The Secretary may require such additional carry out the following programs at Depart- may convey to such private person as the terms and conditions in connection with the ment of the Navy installations that utilize Secretary considers appropriate, all right, conveyance under this section as the Sec- the solid waste landfill or landfills located title, and interest of the United States in retary determines appropriate to protect the on the leased property: and to a parcel of real property consisting of interests of the United States. (1) Environmental programs, including approximately 31.69 acres that is located at natural resource management programs, re- Elmendorf Air Force Base, Alaska, and iden- SEC. 2877. LAND CONVEYANCE, RADAR BOMB SCORING SITE, POWELL, WYOMING. cycling programs, and pollution prevention tified in land lease W–95–507–ENG–58. (a) CONVEYANCE AUTHORIZED.—The Sec- programs. (b) CONSIDERATION.—As consideration for retary of the Air Force may convey, without (2) Programs to improve the quality of the conveyance under subsection (a), the consideration, to the Northwest College military life, including programs to improve purchaser shall pay to the United States an Board of Trustees (in this section referred to military unaccompanied housing and mili- amount equal to the fair market value of the as the ‘‘Board’’), all right, title, and interest tary family housing. real property to be conveyed, as determined of the United States in and to a parcel of (f) ADDITIONAL TERMS AND CONDITIONS.— by the Secretary. In determining the fair real property (including any improvements The Secretary may require such additional market value of the real property, the Sec- thereon) consisting of approximately 24 acres terms and conditions in connection with the retary shall consider the property as encum- located in Powell, Wyoming, which has lease under subsection (a) as the Secretary bered by land lease W–95–507–ENG–58, with an served as the location of a support complex, considers appropriate to protect the inter- expiration date of June 13, 2024. recreational facilities, and housing facilities ests of the United States. (c) CONDITION OF CONVEYANCE.—The con- for the Radar Bomb Scoring Site, Powell, (g) DEFINITIONS.—In this section, the terms veyance authorized by subsection (a) shall be Wyoming. ‘‘sludge’’, ‘‘solid waste’’, and ‘‘solid waste subject to the condition that the purchaser (b) CONDITION OF CONVEYANCE.—The con- management’’ have the meanings given such of the property— terms in paragraphs (26A), (27), and (28), re- veyance authorized under subsection (a) (1) permit the lease of the apartment com- shall be subject to the condition that the spectively, of section 1004 of the Solid Waste plex located on the property by members of Disposal Act (42 U.S.C. 6903). Board use the property conveyed under that the Armed Forces stationed at Elmendorf subsection for housing and recreation pur- PART III—AIR FORCE CONVEYANCES Air Force Base and their dependents; and poses and for such other purposes as the Sec- SEC. 2874. LAND ACQUISITION OR EXCHANGE, (2) maintain the apartment complex in a retary and the Board jointly determine ap- SHAW AIR FORCE BASE, SOUTH condition suitable for such leases. propriate. CAROLINA. (d) DEPOSIT OF PROCEEDS.—The Secretary (c) REVERSIONARY INTEREST.—During the (a) LAND ACQUISITION.—By means of an ex- shall deposit the amount received from the five-year period beginning on the date that change of property, acceptance as a gift, or purchaser under subsection (b) in the special the Secretary makes the conveyance author- other means that do not require the use of account established under section 204(h)(2) of ized under subsection (a), if the Secretary de- appropriated funds, the Secretary of the Air the Federal Property and Administrative termines that the conveyed property is not Force may acquire all right, title, and inter- Services Act of 1949 (40 U.S.C. 485(h)(2)). being used in accordance with subsection (b), est in and to a parcel of real property (to- (e) DESCRIPTION OF PROPERTY.—The exact all right, title, and interest in and to the gether with any improvements thereon) con- acreage and legal description of the real conveyed property, including any improve- sisting of approximately 1,100 acres and lo- property to be conveyed under subsection (a) ments thereon, shall revert to the United cated adjacent to the eastern end of Shaw shall be determined by a survey satisfactory States and the United States shall have the Air Force Base, South Carolina, and extend- to the Secretary. The cost of the survey right of immediate entry onto the property. ing to Stamey Livestock Road in Sumter shall be borne by the purchaser of the real (d) DESCRIPTION OF PROPERTY.—The exact County, South Carolina. property. acreage and legal description of the property (b) LAND EXCHANGE AUTHORIZED.—For pur- (f) ADDITIONAL TERMS AND CONDITIONS.— conveyed under this section shall be deter- poses of acquiring the real property de- The Secretary may require such additional mined by a survey satisfactory to the Sec- scribed in subsection (a), the Secretary may terms and conditions in connection with the retary. The cost of the survey shall be borne participate in a land exchange and convey all conveyance under this section as the Sec- by the Board. right, title, and interest of the United States retary considers appropriate to protect the (e) ADDITIONAL TERMS AND CONDITIONS.— in and to a parcel of real property in the pos- interests of the United States. The Secretary may require such additional session of the Air Force if— SEC. 2876. LAND CONVEYANCE, RADAR BOMB terms and conditions in connection with the (1) the Secretary determines that the land SCORING SITE, FORSYTH, MONTANA. conveyance under this section as the Sec- exchange is in the best interests of the Air (a) CONVEYANCE AUTHORIZED.—The Sec- retary considers appropriate to protect the Force; and retary of the Air Force may convey, without interests of the United States. H 468 CONGRESSIONAL RECORD — HOUSE January 22, 1996 SEC. 2878. LAND CONVEYANCE, AVON PARK AIR (4) That the County not commence any ex- SEC. 2883. CONVEYANCE OF ELECTRICITY DIS- FORCE RANGE, FLORIDA. pansion of the resource recovery facility TRIBUTION SYSTEM, FORT IRWIN, (a) CONVEYANCE AUTHORIZED.—The Sec- without approval of such expansion by the CALIFORNIA. retary of the Air Force may convey, without Secretary. (a) CONVEYANCE AUTHORIZED.—The Sec- consideration, to Highlands County, Florida (e) DESCRIPTION OF THE PROPERTY.—The retary of the Army may convey to the (in this section referred to as the ‘‘County’’), exact acreage and legal description of the Southern California Edison Company, Cali- all right, title, and interest of the United real property to be conveyed under sub- fornia (in this section referred to as the States in and to a parcel of real property, to- section (a), and of any easements to be ‘‘Company’’), all right, title, and interest of gether with any improvements thereon, lo- granted under subsection (b), shall be deter- the United States in and to the electricity cated within the boundaries of the Avon mined by a survey satisfactory to the Sec- distribution system located at Fort Irwin, Park Air Force Range near Sebring, Florida, retary. The cost of such survey shall be California. which has previously served as the location borne by the County. (b) DESCRIPTION OF SYSTEM AND CONVEY- ANCE.—The electricity distribution system of a support complex and recreational facili- (f) ADDITIONAL TERMS AND CONDITIONS.— authorized to be conveyed under subsection ties for the Avon Park Air Force Range. The Secretary may require such additional (a) consists of approximately 115 miles of (b) CONDITION OF CONVEYANCE.—The con- terms and conditions in connection with the electricity distribution lines (including veyance authorized under subsection (a) conveyance under subsection (a) and the poles, switches, reclosers, transformers, reg- shall be subject to the condition that the grant of any easement under subsection (b) ulators, switchgears, and service lines) and County, directly or through an agreement as the Secretary considers appropriate to includes the equipment, fixtures, structures, with an appropriate public or private entity, protect the interests of the United States. use the conveyed property, including the and other improvements the Federal Govern- support complex and recreational facilities, SEC. 2882. CONVEYANCE OF WATER AND ment utilizes to provide electricity services WASTEWATER TREATMENT PLANTS, for operation of a juvenile or other correc- FORT GORDON, GEORGIA. at Fort Irwin. The system does not include tional facility. any real property. (a) CONVEYANCE AUTHORIZED.—The Sec- (c) REVERSIONARY INTEREST.—If the Sec- (c) RELATED EASEMENTS.—The Secretary retary of the Army may convey to the city retary determines at any time that the prop- may grant to the Company any easement of Augusta, Georgia (in this section referred erty conveyed under subsection (a) is not that is necessary for access to and operation to as the ‘‘City’’), all right, title, and inter- being used in accordance with subsection (b), of the electricity distribution system con- est of the United States to several parcels of all right, title, and interest in the property, veyed under subsection (a). real property located at Fort Gordon, Geor- including any improvements thereon, shall (d) REQUIREMENT RELATING TO CONVEY- gia, and consisting of approximately seven revert to the United States, and the United ANCE.—The Secretary may not carry out the acres each. The parcels are improved with a States shall have the right of immediate electricity distribution system authorized by water filtration plant, water distribution entry onto the property. subsection (a) unless the Company agrees to system with storage tanks, sewage treat- (d) DESCRIPTION OF PROPERTY.—The exact accept the electricity distribution system in acreage and legal description of the real ment plant, and sewage collection system. its existing condition at the time of the con- property to be conveyed under subsection (a) (b) RELATED EASEMENTS.—The Secretary veyance. shall be determined by a survey satisfactory may grant to the City any easement that is (e) CONDITIONS ON CONVEYANCE.—The con- to the Secretary. The cost of the survey necessary for access to the real property con- veyance authorized by subsection (a) is sub- shall be borne by the County. veyed under subsection (a) and operation of ject to the following conditions: (e) ADDITIONAL TERMS AND CONDITIONS.— the water and wastewater treatment plants (1) That the Company provide electricity The Secretary may require such additional and distribution and collection systems con- service to Fort Irwin, California, at a rate terms and conditions in connection with the veyed under subsection (a). established by the appropriate Federal or conveyance under this section as the Sec- (c) REQUIREMENT RELATING TO CONVEY- State regulatory authority. retary considers appropriate to protect the ANCE.—The Secretary may not carry out the (2) That the Company comply with all ap- interests of the United States. conveyance of the water and wastewater plicable environmental laws and regulations Subtitle E—Land Conveyances Involving treatment plants and distribution and collec- (including any permit or license require- Utilities tion systems authorized by subsection (a) ments) regarding the electricity distribution unless the City agrees to accept the water system. SEC. 2881. CONVEYANCE OF RESOURCE RECOV- and wastewater treatment plants and dis- ERY FACILITY, FORT DIX, NEW JER- (3) That the Company assume full respon- SEY. tribution and collection systems in their ex- sibility for ownership, operation, mainte- (a) CONVEYANCE AUTHORIZED.—The Sec- isting condition at the time of the convey- nance, repair, and all regulatory compliance retary of the Army may convey to Bur- ance. requirements for the electricity distribution lington County, New Jersey (in this section (d) CONDITIONS ON CONVEYANCE.—The con- system. referred to as the ‘‘County’’), all right, title, veyance authorized by subsection (a) is sub- (4) That the Company not commence any and interest of the United States in and to a ject to the following conditions: expansion of the electricity distribution sys- parcel of real property at Fort Dix, New Jer- (1) That the City provide water and sewer tem without approval of such expansion by sey, consisting of approximately six acres service to Fort Gordon, Georgia, at a rate es- the Secretary. and containing a resource recovery facility, tablished by the appropriate Federal or (f) DESCRIPTION OF EASEMENT.—The exact known as the Fort Dix resource recovery fa- State regulatory authority. acreage and legal description of any ease- cility. (2) That the City comply with all applica- ment granted under subsection (c) shall be (b) RELATED EASEMENTS.—The Secretary ble environmental laws and regulations (in- determined by a survey satisfactory to the may grant to the County any easement that cluding any permit or license requirements) Secretary. The cost of such survey shall be is necessary for access to and operation of regarding the real property conveyed under borne by the Company. the resource recovery facility conveyed subsec- tion (a). (g) ADDITIONAL TERMS AND CONDITIONS.— under subsection (a). (3) That the City assume full responsibility The Secretary may require such additional (c) REQUIREMENT RELATING TO CONVEY- for ownership, operation, maintenance, re- terms and conditions in connection with the ANCE.—The Secretary may not carry out the pair, and all regulatory compliance require- conveyance under subsection (a) and the conveyance of the resource recovery facility ments for the water and wastewater treat- grant of any easement under subsection (c) authorized by subsection (a) unless the Coun- ment plants and distribution and collection as the Secretary considers appropriate to ty agrees to accept the facility in its exist- systems. protect the interests of the United States. ing condition at the time of the conveyance. (4) That the City not commence any expan- SEC. 2884. CONVEYANCE OF WATER TREATMENT (d) CONDITIONS ON CONVEYANCE.—The con- sion of the water and wastewater treatment PLANT, FORT PICKETT, VIRGINIA. veyance of the resource recovery facility au- plants and distribution and collection sys- (a) AUTHORITY TO CONVEY.—(1) The Sec- thorized by subsection (a) is subject to the tems without approval of such expansion by retary of the Army may convey to the Town following conditions: the Secretary. of Blackstone, Virginia (in this section re- (1) That the County provide refuse and (e) DESCRIPTION OF PROPERTY.—The exact ferred to as the ‘‘Town’’), all right, title, and steam service to Fort Dix, New Jersey, at acreage and legal description of the real interest of the United States in and to the the rate established by the appropriate Fed- property to be conveyed under subsection property described in paragraph (2). eral or State regulatory authority. (a), and of any easements granted under sub- (2) The property referred to in paragraph (2) That the County comply with all appli- section (b), shall be determined by a survey (1) is the following property located at Fort cable environmental laws and regulations satisfactory to the Secretary. The cost of Pickett, Virginia: (including any permit or license require- such survey shall be borne by the City. (A) A parcel of real property consisting of ments) relating to the resource recovery fa- (f) ADDITIONAL TERMS AND CONDITIONS.— approximately 10 acres, including a reservoir cility. The Secretary may require such additional and improvements thereon, the site of the (3) That the County assume full respon- terms and conditions in connection with the Fort Pickett water treatment plant. sibility for ownership, operation, mainte- conveyance under subsection (a) and the (B) Any equipment, fixtures, structures, or nance, repair, and all regulatory compliance grant of any easement under subsection (b) other improvements (including any water requirements for the resource recovery facil- as the Secretary considers appropriate to transmission lines, water distribution and ity. protect the interests of the United States. service lines, fire hydrants, water pumping January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 469 stations, and other improvements) not lo- the easements granted under subsection (b), development, test, and evaluation at the lab- cated on the parcel described in subpara- and the water rights granted under sub- oratory. graph (A) that are jointly identified by the section (c) that the Secretary considers ap- (g) EXPIRATION OF AUTHORITY.—The Sec- Secretary and the Town as owned and uti- propriate to protect the interests of the retary may not commence a construction lized by the Federal Government in order to United States. project under the program after September provide water to and distribute water at Subtitle F—Other Matters 30, 1998. Fort Pickett. SEC. 2891. AUTHORITY TO USE FUNDS FOR CER- SEC. 2893. AUTHORITY FOR PORT AUTHORITY (b) RELATED EASEMENTS.—The Secretary TAIN EDUCATIONAL PURPOSES. OF STATE OF MISSISSIPPI TO USE may grant to the Town the following ease- Section 2008 of title 10, United States Code, NAVY PROPERTY AT NAVAL CON- ments relating to the conveyance of the STRUCTION BATTALION CENTER, is amended by striking out ‘‘section 10’’ and property authorized by subsection (a): GULFPORT, MISSISSIPPI. all that follows through the period at the (1) Such easements, if any, as the Sec- (a) JOINT USE AGREEMENT AUTHORIZED.— end and inserting in lieu thereof ‘‘construc- retary and the Town jointly determine are The Secretary of the Navy may enter into an tion, as defined in section 8013(3) of the Ele- necessary in order to provide access to the agreement with the Port Authority of the mentary and Secondary Education Act of water distribution system referred to in State of Mississippi (in this section referred 1965 (20 U.S.C. 7713(3)), or to carry out section paragraph (2) of such subsection for mainte- to as the ‘‘Port Authority’’), under which the 8008 of such Act (20 U.S.C. 7708), relating to nance, safety, and other purposes. Port Authority may use real property com- the provision of assistance to certain school (2) Such easements, if any, as the Sec- prising up to 50 acres located at the Naval facilities under the impact aid program.’’. retary and the Town jointly determine are Construction Battalion Center, Gulfport, necessary in order to provide access to the SEC. 2892. DEPARTMENT OF DEFENSE LABORA- Mississippi (in this section referred to as the finished water lines from the system to the TORY REVITALIZATION DEMONSTRA- ‘‘Center’’). TION PROGRAM. Town. (b) TERM OF AGREEMENT.—The agreement (a) PROGRAM AUTHORIZED.—The Secretary (3) Such rights of way appurtenant, if any, of Defense may carry out a program (to be authorized under subsection (a) may be for as the Secretary and the Town jointly deter- known as the ‘‘Department of Defense Lab- an initial period of not more than 15 years. mine are necessary in order to satisfy re- oratory Revitalization Demonstration Pro- Under the agreement, the Secretary shall quirements imposed by any Federal, State, gram’’) for the revitalization of Department provide the Port Authority with an option to or municipal agency relating to the mainte- of Defense laboratories. Under the program, extend the agreement for at least three addi- nance of a buffer zone around the water dis- the Secretary may carry out minor military tional periods of five years each. tribution system. construction projects in accordance with (c) CONDITIONS ON USE.—The agreement au- (c) WATER RIGHTS.—The Secretary shall subsection (b) and other applicable law to thorized under subsection (a) shall require grant to the Town as part of the conveyance the Port Authority— under subsection (a) all right, title, and in- improve Department of Defense laboratories covered by the program. (1) to suspend operations under the agree- terest of the United States in and to any ment in the event Navy contingency oper- water of the Nottoway River, Virginia, that (b) INCREASED MAXIMUM AMOUNTS APPLICA- BLE TO MINOR CONSTRUCTION PROJECTS.—For ations are conducted at the Center; and is connected with the reservoir referred to in (2) to use the property covered by the paragraph (2)(A) of such subsection. The purpose of any military construction project carried out under the program— agreement in a manner consistent with Navy grant of such water rights shall not impair operations conducted at the Center. the right that any other local jurisidiction (1) the amount provided in the second sen- tence of subsection (a)(1) of section 2805 of (d) CONSIDERATION.—(1) As consideration may have to withdraw water from the for the use of the property covered by the Nottoway River, on or after the date of the title 10, United States Code, shall be deemed to be $3,000,000; agreement under subsection (a), the Port Au- enactment of this Act, pursuant to the law of thority shall pay to the Navy an amount the Commonwealth of Virginia. (2) the amount provided in subsection (b)(1) of such section shall be deemed to be equal to the fair market rental value of the (d) REQUIREMENTS RELATING TO CONVEY- property, as determined by the Secretary ANCE.—(1) The Secretary may not carry out $1,500,000; and (3) the amount provided in subsection taking into consideration the Port the conveyance of the water distribution sys- Authority’s use of the property. tem authorized under subsection (a) unless (c)(1)(B) of such section shall be deemed to (2) The Secretary may include a provision the Town agrees to accept the system in its be $1,000,000. in the agreement requiring the Port Author- existing condition at the time of the convey- (c) PROGRAM REQUIREMENTS.—(1) Not later ity— ance. than 30 days before commencing the pro- (A) to pay the Navy an amount (as deter- (2) The Secretary shall complete any envi- gram, the Secretary shall— mined by the Secretary) to cover the costs of ronmental removal or remediation required (A) designate the Department of Defense replacing at the Center any facilities va- under the Comprehensive Environmental Re- laboratories at which construction may be cated by the Navy on account of the agree- sponse, Compensation, and Liability Act of carried out under the program; and ment or to construct suitable replacement 1980 (42 U.S.C. 9601 et seq.) with respect to (B) establish procedures for the review and facilities for the Navy; and the system to be conveyed under this section approval of requests from such laboratories (B) to pay the Navy an amount (as deter- before carrying out the conveyance. to carry out such construction. (e) CONDITIONS ON CONVEYANCE.—The con- (2) The laboratories designated under para- mined by the Secretary) for the costs of relo- veyance authorized in subsection (a) shall be graph (1)(A) may not include Department of cating Navy operations from the vacated fa- subject to the following conditions: Defense laboratories that are contractor cilities to the replacement facilities. (1) That the Town reserve for provision to owned. (e) CONGRESSIONAL NOTIFICATION.—The Sec- Fort Pickett, and provide to Fort Pickett on (3) The Secretary shall notify Congress of retary may not enter into the agreement au- demand, not less than 1,500,000 million gal- the laboratories designated under paragraph thorized by subsection (a) until the end of lons per day of treated water from the water (1)(A). the 21-day period beginning on the date on distribution system. (d) REPORT.—Not later than February 1, which the Secretary submits to Congress a (2) That the Town provide water to and dis- 1998, the Secretary shall submit to Congress report containing an explanation of the tribute water at Fort Pickett at a rate es- a report on the program. The report shall in- terms of the proposed agreement and a de- tablished by the appropriate Federal or clude the Secretary’s conclusions and rec- scription of the consideration that the Sec- State regulatory authority. ommendations regarding the desirability of retary expects to receive under the agree- (3) That the Town maintain and operate extending the authority set forth in sub- ment. the water distribution system in compliance section (b) to cover all Department of De- (f) USE OF PAYMENT.—(1) In such amounts with all applicable Federal and State envi- fense laboratories. as are provided in advance in appropriation ronmental laws and regulations (including (e) EXCLUSIVITY OF PROGRAM.—Nothing in Acts, the Secretary may use amounts paid any permit and license requirements). this section may be construed to limit any under subsection (d)(1) to pay for general su- (f) DESCRIPTION OF PROPERTY.—The exact other authority provided by law for any mili- pervision, administration, and overhead ex- legal description of the property to be con- tary construction project at a Department of penses and for improvement, maintenance, veyed under subsection (a), of any easements Defense laboratory covered by the program. repair, construction, or restoration of the granted under subsection (b), and of any (f) DEFINITIONS.—In this section: roads, railways, and facilities serving the water rights granted under subsection (c) (1) The term ‘‘laboratory’’ includes— Center. shall be determined by a survey and other (A) a research, engineering, and develop- (2) In such amounts as are provided in ad- means satisfactory to the Secretary. The ment center; vance in appropriation Acts, the Secretary cost of any survey or other services per- (B) a test and evaluation activity owned, may use amounts paid under subsection formed at the direction of the Secretary funded, and operated by the Federal Govern- (d)(2) to pay for constructing new facilities, under the authority in the preceding sen- ment through the Department of Defense; or making modifications to existing facili- tence shall be borne by the Town. and ties, that are necessary to replace facilities (g) ADDITIONAL TERMS AND CONDITIONS.— (C) a supporting facility of a laboratory. vacated by the Navy on account of the agree- The Secretary may require such additional (2) The term ‘‘supporting facility’’, with re- ment under subsection (a) and for relocating terms and conditions in connection with the spect to a laboratory, means any building or operations of the Navy from the vacated fa- conveyance authorized under subsection (a), structure that is used in support of research, cilities to replacement facilities. H 470 CONGRESSIONAL RECORD — HOUSE January 22, 1996

(g) CONSTRUCTION BY PORT AUTHORITY.— (4) Reuse of the Fitzsimons Army Medical use proposals that were developed and unani- The Secretary may authorize the Port Au- Center by the communities in the vicinity of mously approved on May 30, 1995, by the Jo- thority to demolish existing facilities lo- the center will ensure that the center is fully liet Arsenal Citizen Planning Commission. cated on the property covered by the agree- utilized, thereby providing a benefit to such (5) CERCLA.—The term ‘‘CERCLA’’ means ment under subsection (a) and, consistent communities. the Comprehensive Environmental Response, with the restriction specified in subsection (b) SENSE OF CONGRESS.—It is the sense of Compensation, and Liability Act of 1980 (42 (c)(2), construct new facilities on the prop- Congress that— U.S.C. 9601 et seq.). erty for joint use by the Port Authority and (1) determinations as to the use by other (6) ENVIRONMENTAL LAW.—The term ‘‘envi- the Navy. departments and agencies of the Federal ronmental law’’ means all applicable Fed- (h) ADDITIONAL TERMS AND CONDITIONS.— Government of buildings and property at eral, State, and local laws, regulations, and The Secretary may require such additional military installations approved for closure requirements related to protection of human terms and conditions in connection with the under the Defense Base Closure and Realign- health, natural and cultural resources, or agreement authorized under subsection (a) as ment Act of 1990, including Fitzsimons Army the environment. Such term includes the Secretary considers appropriate to pro- Medical Center, Colorado, should be com- CERCLA, the Solid Waste Disposal Act (42 tect the interests of the United States. pleted as soon as practicable; U.S.C. 6901 et seq.), the Federal Water Pollu- SEC. 2894. PROHIBITION ON JOINT USE OF (2) the Secretary of Defense should con- tion Control Act (33 U.S.C. 1251 et seq.), the NAVAL AIR STATION AND MARINE sider the expedited transfer of appropriate Clean Air Act (42 U.S.C. 7401 et seq.), the CORPS AIR STATION, MIRAMAR, facilities (including facilities that remain Federal Insecticide, Fungicide, and CALIFORNIA. operational) at such installations to the re- Rodenticide Act (7 U.S.C. 136 et seq.), the The Secretary of the Navy may not enter development authorities for such installa- Toxic Substances Control Act (15 U.S.C. 2601 into any agreement that provides for or per- tions in order to ensure continuity of use of et seq.), and the Safe Drinking Water Act (42 mits civil aircraft to regularly use Naval Air such facilities after the closure of such in- U.S.C. 300f et seq.). Station or Marine Corps Air Station, stallations, in particular, the Secretary (7) HAZARDOUS SUBSTANCE.—The term ‘‘haz- Miramar, California. should consider the expedited transfer of the ardous substance’’ has the meaning given SEC. 2895. REPORT REGARDING ARMY WATER Fitzsimons Army Medical Center because of such term by section 101(14) of CERCLA (42 CRAFT SUPPORT FACILITIES AND the significant preparation underway by the U.S.C. 9601(14)). ACTIVITIES. redevelopment authority concerned; Not later than February 15, 1996, the Sec- (8) MNP.—The term ‘‘MNP’’ means the (3) the Secretary should not enter into Midewin National Tallgrass Prairie estab- retary of the Army shall submit to Congress leases with redevelopment authorities for fa- lished pursuant to section 2914 and managed a report setting forth— cilities at such installations until the Sec- as a part of the National Forest System. (1) the location, assets, and mission of each retary determines that such leases fall with- (9) PERSON.—The term ‘‘person’’ has the Army facility, active or reserve component, in the categorical exclusions established by meaning given such term by section 101(21) that supports water transportation oper- the Secretary pursuant to the National Envi- of CERCLA (42 U.S.C. 9601(21)). ations; ronmental Policy Act (42 U.S.C. 4321 et seq.). (10) POLLUTANT OR CONTAMINANT.—The (2) an infrastructure inventory and utiliza- (c) REPORT.—(1) Not later than 180 days term ‘‘pollutant or contaminant’’ has the tion rate of each Army facility supporting after the date of the enactment of this Act, meaning given such term by section 101(33) water transportation operations; the Secretary of Defense shall submit to the of CERCLA (42 U.S.C. 9601(33)). (3) options for consolidating these oper- congressional defense committees a report (11) RELEASE.—The term ‘‘release’’ has the ations to reduce overhead; and on the closure and redevelopment of meaning given such term by section 101(22) (4) actions that can be taken to respond af- Fitzsimons Army Medical Center. of CERCLA (42 U.S.C. 9601(22)). firmatively to requests from the residents of (2) The report shall include the following: (12) RESPONSE ACTION.—The term ‘‘response Marcus Hook, Pennsylvania, to close the (A) The results of the determinations as to action’’ has the meaning given the term ‘‘re- Army Reserve facility located in Marcus the use of buildings and property at sponse’’ by section 101(25) of CERCLA (42 Hook and make the facility available for use Fitzsimons Army Medical Center by other U.S.C. 9601(25)). by the community. departments and agencies of the Federal Government under section 2905(b)(1) of the SEC. 2896. RESIDUAL VALUE REPORTS. Subtitle A—Conversion of Joliet Army Am- Defense Base Closure and Realignment Act (a) REPORTS REQUIRED.—The Secretary of munition Plant to Midewin National Defense, in coordination with the Director of of 1990. Tallgrass Prairie (B) A description of any actions taken to the Office of Management and Budget, shall SEC. 2911. PRINCIPLES OF TRANSFER. expedite such determinations. submit to the congressional defense commit- (a) LAND USE PLAN.—The Congress ratifies (C) A discussion of any impediments raised tees status reports on the results of residual in principle the proposals generally identi- as a result of such determinations to the value negotiations between the United fied by the land use plan which was devel- transfer or lease of Fitzsimons Army Medical States and Germany. Such status reports oped by the Joliet Arsenal Citizen Planning Center. shall be submitted within 30 days after the Commission and unanimously approved on (D) A description of any actions taken by receipt of such reports by the Office of Man- May 30, 1995. the Secretary to lease Fitzsimons Army agement and Budget. (b) TRANSFER WITHOUT REIMBURSEMENT.— Medical Center to the redevelopment author- (b) CONTENT OF STATUS REPORTS.—The sta- The area constituting the Midewin National ity. tus reports required by subsection (a) shall Tallgrass Prairie shall be transferred, with- (E) The results of any environmental re- include the following information: out reimbursement, to the Secretary of Agri- views under the National Environmental (1) The estimated residual value of United culture. Policy Act in which such a lease would fall States capital value and improvements to fa- (c) MANAGEMENT OF MNP.—Management by into the categorical exclusions established cilities in Germany that the United States the Secretary of Agriculture of those por- by the Secretary of the Army. has turned over to Germany. tions of the Arsenal transferred to the Sec- (F) The results of the environmental base- (2) The actual value obtained by the United retary under this title shall be in accordance line survey regarding Fitzsimons Army Med- States for each facility or installation with sections 2914 and 2915 regarding the ical Center and a finding of suitability or turned over to Germany. Midewin National Tallgrass Prairie. nonsuitability. (3) The reasons for any difference between (d) SECURITY MEASURES.—The Secretary of the estimated and actual value obtained. TITLE XXIX—LAND CONVEYANCES IN- the Army and the Secretary of Agriculture SEC. 2897. SENSE OF CONGRESS AND REPORT VOLVING JOLIET ARMY AMMUNITION shall each provide and maintain physical and REGARDING FITZSIMONS ARMY PLANT, ILLINOIS other security measures on such portion of MEDICAL CENTER, COLORADO. SEC. 2901. SHORT TITLE. the Arsenal as is under the administrative (a) FINDINGS.—Congress makes the follow- This title may be cited as the ‘‘Illinois jurisdiction of such Secretary, unless the ing findings: Land Conservation Act of 1995’’. Secretary of the Army and the Secretary of (1) Fitzsimons Army Medical Center in Au- SEC. 2902. DEFINITIONS. Agriculture agree otherwise. Such security rora, Colorado, was approved for closure in For purposes of this title, the following measures (which may include fences and nat- 1995 under the Defense Base Closure and Re- definitions apply: ural barriers) shall include measures to pre- alignment Act of 1990 (part A of title XXIX (1) ADMINISTRATOR.—The term ‘‘Adminis- vent members of the public from gaining un- of Public Law 101–510; 10 U.S.C. 2687 note). trator’’ means the Administrator of the authorized access to such portions of the Ar- (2) The University of Colorado Health United States Environmental Protection senal as are under the administrative juris- Sciences Center and the University of Colo- Agency. diction of such Secretary and that may en- rado Hospital Authority are in urgent need (2) AGRICULTURAL PURPOSES.—The term danger health or safety. of space to maintain their ability to deliver ‘‘agricultural purposes’’ means the use of (e) COOPERATIVE AGREEMENTS.—The Sec- health care to meet the growing demand for land for row crops, pasture, hay, and grazing. retary of the Army, the Secretary of Agri- their services. (3) ARSENAL.—The term ‘‘Arsenal’’ means culture, and the Administrator are individ- (3) Reuse of the Fitzsimons Army Medical the Joliet Army Ammunition Plant located ually and collectively authorized to enter Center at the earliest opportunity would pro- in the State of Illinois. into cooperative agreements and memoranda vide significant benefit to the cities of Au- (4) ARSENAL LAND USE CONCEPT.—The term of understanding among each other and with rora, Colorado, and Denver, Colorado. ‘‘Arsenal land use concept’’ means the land other affected Federal agencies, State and January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 471 local governments, private organizations, as soon as possible after the Secretary of the respect to any hazardous substance remain- and corporations to carry out the purposes Army and the Administrator concur that all ing on the property. The Secretary of Agri- for which the Midewin National Tallgrass response actions have been taken under culture shall accept transfer of the parcel as Prairie is established. CERCLA necessary to protect human health soon as possible after the date on which all (f) INTERIM ACTIVITIES OF THE SECRETARY and the environment with respect to any required further actions identified in the as- OF AGRICULTURE.—Prior to transfer and sub- hazardous substance remaining on the prop- sessment have been taken and the terms of ject to such reasonable terms and conditions erty. The Secretary of the Army may make any memorandum of understanding have as the Secretary of the Army may prescribe, transfers under this subsection on a parcel- been satisfied. the Secretary of Agriculture may enter upon by-parcel basis. (e) IDENTIFICATION OF ARSENAL PROPERTY the Arsenal property for purposes related to (c) DOCUMENTATION OF ENVIRONMENTAL FOR TRANSFER.— planning, resource inventory, fish and wild- CONDITION OF PARCELS; ASSESSMENT OF RE- (1) MAP OF PROPOSED TRANSFERS.—The life habitat manipulation (which may in- QUIRED ACTIONS UNDER OTHER ENVIRON- lands subject to transfer to the Secretary of clude prescribed burning), and other such ac- MENTAL LAWS.— Agriculture under subsections (a) and (b) and tivities consistent with the purposes for (1) DOCUMENTATION.—The Secretary of the section 2916 are depicted on the map dated which the Midewin National Tallgrass Prai- Army and the Administrator shall provide to September 22, 1995, which is on file and avail- rie is established. the Secretary of Agriculture all documenta- able for public inspection at the Office of the SEC. 2912. TRANSFER OF MANAGEMENT RE- tion and information that exists on the date Chief of the Forest Service and the Office of SPONSIBILITIES AND JURISDICTION the documentation and information is pro- the Assistant Secretary of the Army for In- OVER ARSENAL. vided relating to the environmental condi- stallations, Logistics and the Environment. (a) GENERAL RULE FOR TRANSFER OF JURIS- tion of the Arsenal property proposed for (2) METHOD OF EFFECTING TRANSFER.—The DICTION.— transfer under subsection (a) or (b), includ- Secretary of the Army shall effect the trans- (1) TRANSFER REQUIRED SUBJECT TO RE- ing documentation that supports the finding fer of jurisdiction of Arsenal property under SPONSE ACTIONS.—Subject to subsection (d), that all response actions have been taken subsections (a) and (b) and section 2916 by not later than 270 days after the date of the under CERCLA necessary to protect human publication of notices in the Federal Reg- enactment of this title, the Secretary of the health and the environment with respect to ister. The Secretary of Agriculture shall give Army shall transfer, without reimburse- any hazardous substance remaining on the prior concurrence to the publication of such ment, to the Secretary of Agriculture those property. notices. Each notice published in the Federal portions of the Arsenal that— (2) ASSESSMENT.—The Secretary of the (A) are identified on the map described in Army shall provide to the Secretary of Agri- Register shall refer to the parcel being trans- subsection (e)(1) as appropriate for transfer culture an assessment, based on information ferred by legal description, references to under this subsection to the Secretary of Ag- in existence at the time the assessment is maps or surveys, or other forms of descrip- riculture; and provided, indicating what further action, if tion mutually acceptable to the Secretary of (B) the Secretary of the Army and the Ad- any, is required under any environmental the Army and the Secretary of Agriculture. ministrator concur in finding that all re- law (other than CERCLA) on the Arsenal The Secretary of the Army shall provide, sponse actions have been taken under property proposed for transfer under sub- without reimbursement, to the Secretary of CERCLA necessary to protect human health section (a) or (b). Agriculture copies of all surveys and land title information on lands transferred under and the environment with respect to any (3) TIME FOR SUBMISSION OF DOCUMENTATION this section or section 2916. hazardous substance remaining on the prop- AND ASSESSMENT.—The documentation and erty. assessments required to be submitted to the (f) SURVEYS.—All costs of necessary sur- veys for the transfer of jurisdiction of Arse- (2) EFFECT OF LESS THAN COMPLETE TRANS- Secretary of Agriculture under this sub- nal property from the Secretary of the Army FER.—If the concurrence requirement in section shall be submitted— paragraph (1)(B) results in the transfer, with- (A) in the case of the transfers required by to the Secretary of Agriculture shall be in such 270-day period, of less than all of the subsection (a), not later than 210 days after borne by the Secretary of Agriculture. Arsenal property covered by paragraph the date of the enactment of this title; and SEC. 2913. RESPONSIBILITY AND LIABILITY. (1)(A), the Secretary of the Army and the (B) in the case of the transfers required by (a) CONTINUED LIABILITY OF SECRETARY OF Secretary of Agriculture shall enter into a subsection (b), not later than 60 days before THE ARMY.—The transfers of Arsenal prop- memorandum of understanding providing for the earliest date on which the property could erty under sections 2912 and 2916, and the re- the performance by the Secretary of the be transferred. quirements of such sections, shall not in any Army of the additional response actions nec- (4) SUBMISSION OF ADDITIONAL INFORMA- way affect the responsibilities and liabilities essary to allow fulfillment of the concur- TION.—The Secretary of the Army and the of the Secretary of the Army specified in rence requirement with respect to such Arse- Administrator shall have a continuing obli- this section. The Secretary of the Army nal property. The memorandum of under- gation to provide to the Secretary of Agri- shall retain any obligation or other liability standing shall be entered into within 60 days culture any additional information regard- at the Arsenal that the Secretary of the of the end of such 270-day period and shall in- ing the environmental condition of property Army has under CERCLA or other environ- clude a schedule for the completion of the to be transferred under subsection (a) or (b) mental laws. Following transfer of a portion additional response actions as soon as prac- as such information becomes available. of the Arsenal under this subtitle, the Sec- ticable. Subject to subsection (d), the Sec- (d) EFFECT OF ENVIRONMENTAL ASSESS- retary of the Army shall be accorded any retary of the Army shall transfer Arsenal MENT.— easement or access to the property that may property covered by this paragraph to the (1) AUTHORITY OF SECRETARY OF AGRI- be reasonably required by the Secretary to Secretary of Agriculture as soon as possible CULTURE TO DECLINE IMMEDIATE TRANSFER.—If carry out the obligation or satisfy the liabil- after the Secretary of the Army and the Ad- a parcel of Arsenal property to be trans- ity. ministrator concur that all additional re- ferred under subsection (a) or (b) includes (b) SPECIAL PROTECTIONS FOR SECRETARY sponse actions have been taken under property for which the assessment under OF AGRICULTURE.—The Secretary of Agri- CERCLA necessary to protect human health subsection (c)(2) concludes further action is culture shall not be liable under any envi- and the environment with respect to any required under any environmental law (other ronmental law for matters which are related hazardous substance remaining on the prop- than CERCLA), the Secretary of Agriculture directly or indirectly to activities of the erty. The Secretary of the Army may make may decline immediate transfer of the par- Secretary of the Army at the Arsenal or any transfers under this paragraph on a parcel- cel. With respect to such a parcel, the Sec- party acting under the authority of the Sec- by-parcel basis. retary of the Army and the Secretary of Ag- retary of the Army at the Arsenal, including (3) RULE OF CONSTRUCTION REGARDING CON- riculture shall enter into a memorandum of any of the following: CURRENCES.—For the purpose of reaching the understanding providing for the performance (1) Costs or performance of response ac- concurrences required by this subsection and by the Secretary of the Army of the required tions required under CERCLA at or related subsection (b), if a response action requires actions identified in the Army assessment. to the Arsenal. construction and installation of an approved The memorandum of understanding shall be (2) Costs, penalties, fines, or performance remedial design, the response action shall be entered into within 90 days after the date on of actions related to noncompliance with any considered to have been taken when the con- which the Secretary of Agriculture declines environmental law at or related to the Arse- struction and installation of the approved re- immediate transfer of the parcel and shall nal or related to the presence, release, or medial design is completed and the remedy include a schedule for the completion of the threat of release of any hazardous substance, is demonstrated to the satisfaction of the required actions as soon as practicable. pollutant or contaminant, hazardous waste, Administrator to be operating properly and (2) EVENTUAL TRANSFER.—In the case of a or hazardous material of any kind at or re- successfully. parcel of Arsenal property that the Sec- lated to the Arsenal, including contamina- (b) SPECIAL TRANSFER REQUIREMENTS FOR retary of Agriculture declines immediate tion resulting from migration of a hazardous CERTAIN PARCELS.—Subject to subsection (d), transfer under paragraph (1), the Secretary substance, pollutant or contaminant, hazard- the Secretary of the Army shall transfer, may accept transfer of the parcel at any ous waste, hazardous material, or petroleum without reimbursement, to the Secretary of time after the original finding with respect products or their derivatives. Agriculture the Arsenal property known as to the parcel that all response actions have (3) Costs or performance of actions nec- LAP Area Sites L2, L3, and L5 and Manufac- been taken under CERCLA necessary to pro- essary to remedy noncompliance or another turing Area Site 1. The transfer shall occur tect human health and the environment with problem specified in paragraph (2). H 472 CONGRESSIONAL RECORD — HOUSE January 22, 1996

(c) LIABILITY OF OTHER PERSONS.—Nothing management plan for the Midewin National tional Tallgrass Prairie, use of the lands for in this title shall be construed to effect, Tallgrass Prairie, the Secretary of Agri- agricultural purposes shall be permitted sub- modify, amend, repeal, alter, limit or other- culture shall consult with the Illinois De- ject to the following terms and conditions: wise change, directly or indirectly, the re- partment of Natural Resources and local (1) If at the time of transfer of jurisdiction sponsibilities or liabilities under any envi- governments adjacent to the MNP and pro- under section 2912 or 2916 there exists any ronmental law of any person (including the vide an opportunity for public comment. Any lease issued by the Secretary of the Army or Secretary of Agriculture), except as provided parcel transferred to the Secretary of Agri- the Secretary of Defense for agricultural in subsection (b) with respect to the Sec- culture under this title after the develop- purposes upon the parcel transferred, the retary of Agriculture. ment of a land and resource management Secretary of Agriculture shall issue a special (d) PAYMENT OF RESPONSE ACTION COSTS.— plan for the MNP may be managed in accord- use authorization to supersede the lease. The A Federal agency that had or has operations ance with such plan without need for an terms of the special use authorization shall at the Arsenal resulting in the release or amendment to the plan. be identical in substance to the lease that threatened release of a hazardous substance (c) PURPOSES OF THE MIDEWIN NATIONAL the special use authorization is superseding, or pollutant or contaminant for which that TALLGRASS PRAIRIE.—The Midewin National including the expiration date and any pay- agency would be liable under any environ- Tallgrass Prairie is established to be man- ments owed the United States. On issuance mental law, subject to the provisions of this aged for National Forest System purposes, of the special use authorization, the lease subtitle, shall pay the costs of related re- including the following: shall become void. sponse actions and shall pay the costs of re- (1) To manage the land and water resources (2) In addition to the authority provided in lated actions to remediate petroleum prod- of the MNP in a manner that will conserve paragraph (1), the Secretary of Agriculture ucts or the derivatives of the products, in- and enhance the native populations and may issue special use authorizations to per- cluding motor oil and aviation fuel. habitats of fish, wildlife, and plants. (e) CONSULTATION.— sons for use of the Midewin National (2) To provide opportunities for scientific, Tallgrass Prairie for agricultural purposes. (1) RESPONSIBILITY OF SECRETARY OF AGRI- environmental, and land use education and CULTURE.—The Secretary of Agriculture Special use authorizations issued pursuant research. to this paragraph shall include terms and shall consult with the Secretary of the Army (3) To allow the continuation of agricul- with respect to the management by the Sec- conditions as the Secretary of Agriculture tural uses of lands within the MNP consist- may deem appropriate. retary of Agriculture of real property in- ent with section 2915(b). cluded in the Midewin National Tallgrass (3) No agricultural special use authoriza- (4) To provide a variety of recreation op- tion shall be issued for agricultural purposes Prairie subject to any response action or portunities that are not inconsistent with other action at the Arsenal being carried out which has a term extending beyond the date the preceding purposes. 20 years from the date of the enactment of by or under the authority of the Secretary of (d) OTHER LAND ACQUISITION FOR MNP.— this title, except that nothing in this title the Army under any environmental law. The (1) AVAILABILITY OF LAND ACQUISITION shall preclude the Secretary of Agriculture Secretary of Agriculture shall consult with FUNDS.—Notwithstanding section 7 of the from issuing agricultural special use author- the Secretary of the Army prior to undertak- Land and Water Conservation Fund Act of izations or grazing permits which are effec- ing any activities on the Midewin National 1965 (16 U.S.C. 460l–9), the Secretary of Agri- tive after twenty years from the date of en- Tallgrass Prairie that may disturb the prop- culture may use monies appropriated from actment of this title for purposes primarily erty to ensure that such activities will not the Land and Water Conservation Fund es- related to erosion control, provision for food exacerbate contamination problems or inter- tablished under section 2 of such Act (16 and habitat for fish and wildlife, or other re- fere with performance by the Secretary of U.S.C. 460l–5) for the acquisition of lands and source management activities consistent the Army of response actions at the prop- interests in land for inclusion in the Midewin with the purposes of the Midewin National erty. National Tallgrass Prairie. (2) RESPONSIBILITY OF SECRETARY OF THE Tallgrass Prairie. (2) ACQUISITION OF LANDS.—The Secretary ARMY.—In carrying out response actions at (c) TREATMENT OF RENTAL FEES.—Monies of Agriculture may acquire lands or interests the Arsenal, the Secretary of the Army shall received under a special use authorization is- therein for inclusion in the Midewin Na- consult with the Secretary of Agriculture to sued under subsection (b) shall be subject to tional Tallgrass Prairie by donation, pur- ensure that such actions are carried out in a distribution to the State of Illinois and af- chase, or exchange, except that the acquisi- manner consistent with the purposes for fected counties pursuant to the Act of May tion of private lands for inclusion in the which the Midewin National Tallgrass Prai- 23, 1908, and section 13 of the Act of March 1, MNP shall be on a willing seller basis only. rie is established, as specified in section 1911 (16 U.S.C. 500). All monies not distrib- (e) COOPERATION WITH STATES, LOCAL GOV- 2914(c), and the other provisions of sections uted pursuant to such Acts shall be covered ERNMENTS AND OTHER ENTITIES.—In the man- into the Treasury and shall constitute a spe- 2914 and 2915. agement of the Midewin National Tallgrass SEC. 2914. ESTABLISHMENT AND ADMINISTRA- cial fund (to be known as the ‘‘MNP Rental Prairie, the Secretary of Agriculture is au- Fee Account’’). The Secretary of Agriculture TION OF MIDEWIN NATIONAL thorized and encouraged to cooperate with TALLGRASS PRAIRIE. may use amounts in the fund, until expended appropriate Federal, State and local govern- (a) ESTABLISHMENT.—On the effective date and without fiscal year limitation, to cover mental agencies, private organizations and of the initial transfer of jurisdiction of por- the cost to the United States of prairie im- corporations. Such cooperation may include tions of the Arsenal to the Secretary of Agri- provement work at the Midewin National cooperative agreements as well as the exer- culture under section 2912(a), the Secretary Tallgrass Prairie. Any amounts in the fund cise of the existing authorities of the Sec- of Agriculture shall establish the Midewin that the Secretary of Agriculture determines retary under the Cooperative Forestry As- National Tallgrass Prairie. The MNP shall— to be in excess of the cost of doing such work sistance Act of 1978 (16 U.S.C. 2101 et seq.) (1) be administered by the Secretary of Ag- shall be transferred, upon such determina- and the Forest and Rangeland Renewable Re- riculture; and tion, to miscellaneous receipts, Forest Serv- sources Research Act of 1978 (16 U.S.C. 1641 et (2) consist of the real property so trans- ice Fund, as a National Forest receipt of the seq.). The objects of such cooperation may ferred and such other portions of the Arsenal include public education, land and resource fiscal year in which the transfer is made. subsequently transferred under section (d) USER FEES.—The Secretary of Agri- protection, and cooperative management 2912(b) or 2916 or acquired under section culture is authorized to charge reasonable among government, corporate, and private 2914(d). fees for the admission, occupancy, and use of landowners in a manner which furthers the (b) ADMINISTRATION.— the Midewin National Tallgrass Prairie and purposes for which the Midewin National (1) IN GENERAL.—The Secretary of Agri- may prescribe a fee schedule providing for Tallgrass Prairie is established. culture shall manage the Midewin National reduced or a waiver of fees for persons or Tallgrass Prairie as a part of the National SEC. 2915. SPECIAL MANAGEMENT REQUIRE- groups engaged in authorized activities in- MENTS FOR MIDEWIN NATIONAL Forest System in accordance with this title TALLGRASS PRAIRIE. cluding those providing volunteer services, and the laws, rules, and regulations pertain- (a) PROHIBITION AGAINST THE CONSTRUCTION research, or education. The Secretary shall ing to the National Forest System, except OF NEW THROUGH ROADS.—No new construc- permit admission, occupancy, and use at no that the Bankhead-Jones Farm Tenant Act tion of any highway, public road, or any part additional charge for persons possessing a of 1937 (7 U.S.C. 1010–1012) shall not apply to of the interstate system, whether Federal, valid Golden Eagle Passport or Golden Age the MNP. State, or local, shall be permitted through or Passport. (2) INITIAL MANAGEMENT ACTIVITIES.—In across any portion of the Midewin National (e) SALVAGE OF IMPROVEMENTS.—The Sec- order to expedite the administration and Tallgrass Prairie. Nothing in this title shall retary of Agriculture may sell for salvage public use of the Midewin National Tallgrass preclude construction and maintenance of value any facilities and improvements which Prairie, the Secretary of Agriculture may roads for use within the MNP, the granting have been transferred to the Secretary pur- conduct management activities at the MNP of authorizations for utility rights-of-way suant to this title. to effectuate the purposes for which the under applicable Federal law, or such access (f) TREATMENT OF USER FEES AND SALVAGE MNP is established, as set forth in sub- as is necessary. Nothing in this title shall RECEIPTS.—Monies collected pursuant to section (c), in advance of the development of preclude necessary access by the Secretary subsections (d) and (e) shall be covered into a land and resource management plan for the of the Army for purposes of restoration and the Treasury and constitute a special fund MNP. cleanup as provided in this title. (to be known as the ‘‘Midewin National (3) LAND AND RESOURCE MANAGEMENT (b) AGRICULTURAL LEASES AND SPECIAL USE Tallgrass Prairie Restoration Fund’’). The PLAN.—In developing a land and resource AUTHORIZATIONS.—Within the Midewin Na- Secretary of Agriculture may use amounts January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 473

in the fund, in such amounts as are provided (c) OFFER OF TRANSFER.—Not later than 180 Subtitle B—Other Land Conveyances in advance in appropriation Acts, for res- days after the date on which information is Involving Joliet Army Ammunition Plant toration and administration of the Midewin provided under subsection (b)(1) with regard SEC. 2921. CONVEYANCE OF CERTAIN REAL National Tallgrass Prairie, including con- to a parcel of the Arsenal property described PROPERTY AT ARSENAL FOR A NA- struction of a visitor and education center, in subsection (a), the Secretary of the Army TIONAL CEMETERY. restoration of ecosystems, construction of shall offer the Secretary of Agriculture the (a) CONVEYANCE AUTHORIZED.—Subject to recreational facilities (such as trails), con- option of accepting a transfer of the parcel, section 2931, the Secretary of the Army may struction of administrative offices, and oper- without reimbursement, to be added to the transfer, without reimbursement, to the Sec- ation and maintenance of the MNP. The Sec- Midewin National Tallgrass Prairie. The retary of Veterans Affairs the parcel of real retary of Agriculture shall include the MNP transfer shall be subject to the terms and property at the Arsenal described in sub- among the areas under the jurisdiction of conditions of this subtitle, including the li- section (b) for use as a national cemetery op- the Secretary selected for inclusion in any ability provisions contained in section 2913. erated as part of the National Cemetery Sys- cost recovery or any pilot program of the The Secretary of Agriculture has the option tem of the Department of Veterans Affairs Secretary for the collection, use, and dis- to accept or decline the offered transfer. The under chapter 24 of title 38, United States tribution of user fees. transfer of property under this section may Code. ESCRIPTION OF ROPERTY SEC. 2916. SPECIAL TRANSFER RULES FOR CER- be made on a parcel-by-parcel basis. (b) D P .—The real TAIN ARSENAL PARCELS INTENDED (d) EFFECT OF ENVIRONMENTAL ASSESS- property authorized to be transferred under FOR MNP. MENT.— subsection (a) is a parcel of real property at (a) DESCRIPTION OF PARCELS.—The follow- (1) AUTHORITY OF SECRETARY OF AGRI- the Arsenal consisting of approximately 982 ing areas of the Arsenal may be transferred CULTURE TO DECLINE TRANSFER.—If a parcel of acres, the approximate legal description of under this section: Arsenal property described in subsection (a) which includes part of sections 30 and 31, (1) Study Area 2, explosive burning ground. includes property for which the assessment Jackson Township, Township 34 North, (2) Study Area 3, flashing ground. under subsection (b)(2) concludes further ac- Range 10 East, and part of sections 25 and 36, (3) Study Area 4, lead azide area. tion is required under any other environ- Channahon Township, Township 34 North, (4) Study Area 10, toluene tank farms. mental law, the Secretary of Agriculture Range 10 East, Will County, Illinois, as de- (5) Study Area 11, landfill. may decline any transfer of the parcel. Al- picted in the Arsenal land use concept. (6) Study Area 12, sellite manufacturing ternatively, the Secretary of Agriculture (c) SECURITY MEASURES.—The Secretary of area. may decline immediate transfer of the parcel Veterans Affairs shall provide and maintain (7) Study Area 14, former pond area. and enter into a memorandum of under- physical and other security measures on the (8) Study Area 15, sewage treatment plan. standing with the Secretary of the Army real property transferred under subsection (9) Study Area L1, load assemble packing providing for the performance by the Sec- (a). Such security measures (which may in- area, group 61. retary of the Army of the required actions clude fences and natural barriers) shall in- (10) Study Area L4, landfill area. identified in the Army assessment with re- clude measures to prevent members of the (11) Study Area L7, group 1. spect to the parcel. The memorandum of un- public from gaining unauthorized access to (12) Study Area L8, group 2. derstanding shall be entered into within 90 the portion of the Arsenal that is under the (13) Study Area L9, group 3. days, or such later date as the Secretaries administrative jurisdiction of the Secretary (14) Study Area L10, group 3A. may establish, after the date on which the of Veterans Affairs and that may endanger (15) Study Area L14, group 4. Secretary of Agriculture declines immediate health or safety. (d) SURVEYS.—All costs of necessary sur- (16) Study Area L15, group 5. transfer of the parcel and shall include a veys for the transfer of jurisdiction of Arse- (17) Study Area L18, group 8. schedule for the completion of the required nal properties from the Secretary of the (18) Study Area L19, group 9. actions as soon as practicable. Army to the Secretary of Veterans Affairs (19) Study Area L33, PVC area. (2) EVENTUAL TRANSFER.—The Secretary of shall be borne solely by the Secretary of Vet- (20) Any other lands proposed for transfer Agriculture may accept or decline at any erans Affairs. as depicted on the map described in section time for any reason the transfer of a parcel 2912(e)(1) and not otherwise specifically iden- covered by this section. However, if the Sec- SEC. 2922. CONVEYANCE OF CERTAIN REAL retary of Agriculture and the Secretary of PROPERTY AT ARSENAL FOR A tified for transfer under this subtitle. COUNTY LANDFILL. the Army enter into a memorandum of un- (b) INFORMATION REGARDING ENVIRON- (a) CONVEYANCE AUTHORIZED.—Subject to MENTAL CONDITION OF PARCELS; ASSESSMENT derstanding under paragraph (1) providing section 2931, the Secretary of the Army may OF REQUIRED ACTIONS UNDER OTHER ENVIRON- for transfer of the parcel, the Secretary of convey, without compensation, to Will Coun- MENTAL LAWS.— Agriculture shall accept transfer of the par- ty, Illinois, all right, title, and interest of (1) INFORMATION.—Not later than 180 days cel as soon as possible after the date on the United States in and to the parcel of real after the date on which the Secretary of the which all required further actions identified property at the Arsenal described in sub- Army and the Administrator concur in find- in the assessment have been taken and the section (b), which shall be operated as a ing that, with respect to a parcel of Arsenal requirements of the memorandum of under- landfill by the County. property described in subsection (a), all re- standing have been satisfied. (b) DESCRIPTION OF PROPERTY.—The real sponse actions have been taken under (e) RULE OF CONSTRUCTION REGARDING CON- property authorized to be conveyed under CERCLA necessary to protect human health CURRENCES.—For the purpose of the reaching subsection (a) is a parcel of real property at and the environment with respect to any the concurrence required by subsection the Arsenal consisting of approximately 455 hazardous substance remaining on the par- (b)(1), if a response action requires construc- acres, the approximate legal description of cel, the Secretary of the Army and the Ad- tion and installation of an approved reme- which includes part of sections 8, 9, 16, and ministrator shall provide to the Secretary of dial design, the response action shall be con- 17, Florence Township, Township 33 North, Agriculture all information that exists on sidered to have been taken when the con- Range 10 East, Will County, Illinois, as de- such date regarding the environmental con- struction and installation of the approved re- picted in the Arsenal land use concept. dition of the parcel and the implementation medial design is completed and the remedy (c) CONDITION ON CONVEYANCE.—The con- of any response action, including informa- is demonstrated to the satisfaction of the veyance shall be subject to the condition tion regarding the effectiveness of the re- Administrator to be operating properly and that the Department of the Army, the De- sponse action. successfully. partment of Veterans Affairs, and the De- (2) ASSESSMENT.—At the same time as in- (f) INCLUSIONS AND EXCEPTIONS.— partment of Agriculture (or their agents or formation is provided under paragraph (1) (1) INCLUSIONS.—The parcels of Arsenal assigns) may use the landfill established on with regard to a parcel of Arsenal property property described in subsection (a) shall in- the real property conveyed under subsection described in subsection (a), the Secretary of clude all associated inventoried buildings (a) for the disposal of construction debris, the Army shall provide to the Secretary of and structures as identified in the Joliet refuse, and other materials related to any Agriculture an assessment, based on infor- Army Ammunition Plant Plantwide Building restoration and cleanup of Arsenal property. mation in existence at the time the assess- and Structures Report and the contaminate Such use shall be subject to applicable envi- ment is provided, indicating what further ac- study sites for both the manufacturing and ronmental laws and at no cost to the Federal tion, if any, is required under any environ- load assembly and packing sites of the Arse- Government. mental law (other than CERCLA) with re- nal as shown in the Dames and Moore Final (d) REVERSIONARY INTEREST.—If, at the end spect to the parcel. Report, Phase 2 Remedial Investigation Man- of the five-year period beginning on the date (3) SUBMISSION OF ADDITIONAL INFORMA- ufacturing (MFG) Area Joliet Army Ammu- of the conveyance under subsection (a), the TION.—The Secretary of the Army and the nition Plant, Joliet, Illinois (May 30, 1993, Secretary of Agriculture determines that the Administrator shall have a continuing obli- Contract No. DAAA15–90–D–0015 task order conveyed property is not opened for oper- gation to provide to the Secretary of Agri- No. 6 prepared for the United States Army ation as a landfill, then, at the option of the culture any additional information regard- Environmental Center). Secretary of Agriculture, all right, title, and ing the environmental condition of a parcel (2) EXCEPTION.—The parcels described in interest in and to the property, including im- of the Arsenal property described in sub- subsection (a) shall not include the property provements thereon, shall revert to the Unit- section (a) as such information becomes at the Arsenal designated for transfer or con- ed States. Upon any such reversion, the available. veyance under subtitle B. property shall be included in the Midewin H 474 CONGRESSIONAL RECORD — HOUSE January 22, 1996 National Tallgrass Prairie. In the event the ket value of the reconveyed property as of taminant, hazardous material, or petroleum United States exercises its option to cause the time of the reconveyance, excluding the products or their derivatives; the property to revert, the United States value of any improvements made to the (3) other purposes related to any response shall have the right of immediate entry onto property by the State. action at the Arsenal; and the property. (3) DETERMINATION OF FAIR MARKET (4) other actions required at the Arsenal (e) INFORMATION REGARDING ENVIRON- VALUE.—The Secretary of the Army shall de- under any environmental law to remediate MENTAL CONDITIONS.—At the request of the termine fair market value in accordance contamination or conditions of noncompli- Secretary of Agriculture, Will County, the with Federal appraisal standards and proce- ance with any environmental law. Secretary of the Army, and the Adminis- dures. (b) CONDITIONS.—The Secretary of the trator shall provide to the Secretary of Agri- (4) TREATMENT OF LEASES.—The Secretary Army shall consult with the Secretary of Ag- culture all information in their possession at of the Army may treat a lease of the prop- riculture regarding the identification and the time of the request regarding the envi- erty within such 20-year period as a management of the real property retained ronmental condition of the real property to reconveyance if the Secretary determines under this section and ensure that activities be conveyed under this section. The liability that the lease is being used to avoid applica- carried out on that property are consistent, and responsibility of any person under any tion of paragraph (2). to the extent practicable, with the purposes environmental law shall remain unchanged (5) DEPOSIT OF PROCEEDS.—The Secretary of for which the Midewin National Tallgrass with respect to the landfill, except as pro- the Army shall deposit any proceeds received Prairie is established, as specified in section vided in this title, including section 2913. under this subsection in the special account 2914(c), and with the other provisions of sec- (f) SURVEYS.—All costs of necessary sur- established pursuant to section 204(h)(2) of tions 2914 and 2915. (c) PRIORITY OF RESPONSE ACTIONS.—In the veys for the conveyance of real property the Federal Property and Administrative under this section shall be borne by Will case of any conflict between management of Services Act of 1949 (40 U.S.C. 485(h)(2)). the property by the Secretary of Agriculture County, Illinois. (d) CONDITIONS OF CONVEYANCE.— (g) ADDITIONAL TERMS AND CONDITIONS.— and any response action required under (1) REDEVELOPMENT AUTHORITY.—The con- CERCLA, or any other action required under The Secretary of the Army may require such veyance under subsection (a) shall be subject additional terms and conditions in connec- any other environmental law, including ac- to the condition that the Governor of the tions to remediate petroleum products or tion with the conveyance under this section State of Illinois, in consultation with the as the Secretary of the Army considers ap- their derivatives, the response action or Mayor of the Village of Elwood, Illinois, and other action shall take priority. propriate to protect the interests of the the Mayor of the City of Wilmington, Illi- DIVISION C—DEPARTMENT OF ENERGY United States. nois, establish a redevelopment authority to NATIONAL SECURITY AUTHORIZATIONS SEC. 2923. CONVEYANCE OF CERTAIN REAL be responsible for overseeing the develop- AND OTHER AUTHORIZATIONS PROPERTY AT ARSENAL FOR INDUS- ment of the industrial parks on the conveyed TRIAL PARKS. property. TITLE XXXI—DEPARTMENT OF ENERGY (a) CONVEYANCE AUTHORIZED.—Subject to NATIONAL SECURITY PROGRAMS (2) TIME FOR ESTABLISHMENT.—To satisfy section 2931, the Secretary of the Army may the condition specified in paragraph (1), the Subtitle A—National Security Programs convey to the State of Illinois, all right, redevelopment authority shall be established Authorizations title, and interest of the United States in within one year after the date of the enact- SEC. 3101. WEAPONS ACTIVITIES. and to the parcels of real property at the Ar- ment of this title. (a) STOCKPILE STEWARDSHIP.—Subject to senal described in subsection (b), which shall (e) SURVEYS.—All costs of necessary sur- subsection (d), funds are hereby authorized be used as industrial parks to replace all or veys for the conveyance of real property to be appropriated to the Department of En- a part of the economic activity lost at the under this section shall be borne by the ergy for fiscal year 1996 for stockpile stew- Arsenal. State of Illinois. ardship in carrying out weapons activities (b) DESCRIPTION OF PROPERTY.—The real (f) ADDITIONAL TERMS AND CONDITIONS.— necessary for national security programs in property at the Arsenal authorized to be The Secretary of the Army may require such the amount of $1,567,175,000, to be allocated transferred under subsection (a) consists of additional terms and conditions in connec- as follows: the following parcels: tion with the conveyance under this section (1) For core stockpile stewardship, (1) A parcel of approximately 1,900 acres, as the Secretary considers appropriate to $1,159,708,000, to be allocated as follows: the approximate legal description of which protect the interests of the United States. (A) For operation and maintenance, includes part of section 30, Jackson Town- $1,078,403,000. Subtitle C—Miscellaneous Provisions ship, Township 34 North, Range 10 East, and (B) For plant projects (including mainte- sections or parts of sections 24, 25, 26, 35, and SEC. 2931. DEGREE OF ENVIRONMENTAL CLEAN- nance, restoration, planning, construction, 36, Township 34 North, Range 9 East, in UP. acquisition, modification of facilities, and Channahon Township, an area of 9.77 acres (a) IN GENERAL.—Nothing in this title shall the continuation of projects authorized in around the Des Plaines River Pump Station be construed to restrict or lessen the degree prior years, and land acquisition related located in the southeast quarter of section of cleanup at the Arsenal required to be car- thereto), $81,305,000, to be allocated as fol- 15, Township 34 North, Range 9 East of the ried out under provisions of any environ- lows: Third Principal Meridian, in Channahon mental law. Project 96–D–102, stockpile stewardship fa- Township, and an area of 511 feet by 596 feet (b) RESPONSE ACTION.—The establishment cilities revitalization, Phase VI, various lo- around the Kankakee River Pump Station in of the Midewin National Tallgrass Prairie cations, $2,520,000. the Northwest Quarter of section 5, Town- under subtitle A and the additional real Project 96–D–103, ATLAS, Los Alamos Na- ship 33 North, Range 9 East, east of the Third property transfers or conveyances authorized tional Laboratory, Los Alamos, New Mexico, Principal Meridian in Wilmington Township, under subtitle B shall not restrict or lessen $8,400,000. containing 6.99 acres, located along the eas- in any way any response action or degree of Project 96–D–104, processing and environ- terly side of the Kankakee Cut-Off in Will cleanup under CERCLA or other environ- mental technology laboratory (PETL), County, Illinois, as depicted in the Arsenal mental law, or any action required under Sandia National Laboratories, Albuquerque, land use concept, and the connecting piping any environmental law to remediate petro- New Mexico, $1,800,000. to the northern industrial site, as described leum products or their derivatives (including Project 96–D–105, contained firing facility by the United States Army Report of Avail- motor oil and aviation fuel), required to be addition, Lawrence Livermore National Lab- ability, dated 13 December 1993. carried out under the authority of the Sec- oratory, Livermore, California, $6,600,000. (2) A parcel of approximately 1,100 acres, retary of the Army at the Arsenal and sur- Project 95–D–102, Chemical and Metallurgy the approximate legal description of which rounding areas. Research Building upgrades project, Los Ala- includes part of sections 16, 17, and 18 in (c) ENVIRONMENTAL QUALITY OF PROP- mos National Laboratory, Los Alamos, New Florence Township, Township 33 North, ERTY.—Any contract for sale, deed, or other Mexico, $9,940,000. Range 10 East, Will County, Illinois, as de- transfer of real property under subtitle B Project 94–D–102, nuclear weapons re- picted in the Arsenal land use concept. shall be carried out in compliance with all search, development, and testing facilities (c) CONSIDERATION.— applicable provisions of section 120(h) of revitalization, Phase V, various locations, (1) DELAY IN PAYMENT OF CONSIDERATION.— CERCLA and other environmental laws. $12,200,000. After the end of the 20-year period beginning SEC. 2932. RETENTION OF PROPERTY USED FOR Project 93–D–102, Nevada support facility, on the date on which the conveyance under ENVIRONMENTAL CLEANUP. North Las Vegas, Nevada, $15,650,000. subsection (a) is completed, the State of Illi- (a) RETENTION OF CERTAIN PROPERTY.—Un- Project 90–D–102, nuclear weapons re- nois shall pay to the United States an less and until the Arsenal property described search, development, and testing facilities amount equal to fair market value of the in this subsection is actually transferred or revitalization, Phase III, various locations, conveyed property as of the time of the con- conveyed under this title or other applicable $6,200,000. veyance. law, the Secretary of the Army may retain Project 88–D–106, nuclear weapons re- (2) EFFECT OF RECONVEYANCE BY STATE.—If jurisdiction, authority, and control over real search, development, and testing facilities the State of Illinois reconveys all or any property at the Arsenal to be used for— revitalization, Phase II, various locations, part of the conveyed property during such 20- (1) water treatment; $17,995,000. year period, the State shall pay to the Unit- (2) the treatment, storage, or disposal of (2) For inertial fusion, $240,667,000, to be al- ed States an amount equal to the fair mar- any hazardous substance, pollutant or con- located as follows: January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 475 (A) For operation and maintenance, restoration and waste management activi- Project 86–D–103, decontamination and $203,267,000. ties necessary for national security pro- waste treatment facility, Lawrence Liver- (B) For the following plant project (includ- grams in the amount of $1,635,973,000. more National Laboratory, Livermore, Cali- ing maintenance, restoration, planning, con- (b) WASTE MANAGEMENT.—Subject to sub- fornia, $8,885,000. struction, acquisition, and modification of section (h), funds are hereby authorized to be Project 83–D–148, nonradioactive hazardous facilities, and land acquisition related there- appropriated to the Department of Energy waste management, Savannah River Site, to), $37,400,000: for fiscal year 1996 for waste management in Aiken, South Carolina, $1,000,000. Project 96–D–111, national ignition facility, carrying out environmental restoration and (c) TECHNOLOGY DEVELOPMENT.—Subject to location to be determined, $37,400,000. waste management activities necessary for subsection (h), funds are hereby authorized (3) For technology transfer and education, national security programs in the amount of to be appropriated to the Department of En- $160,000,000. $2,470,598,000, to be allocated as follows: ergy for fiscal year 1996 for technology devel- (4) For Marshall Islands, $6,800,000. (1) For operation and maintenance, opment in carrying out environmental res- $2,295,994,000. (b) STOCKPILE MANAGEMENT.—Subject to toration and waste management activities (2) For plant projects (including mainte- subsection (d), funds are hereby authorized necessary for national security programs in nance, restoration, planning, construction, to be appropriated to the Department of En- the amount of $440,510,000. ergy for fiscal year 1996 for stockpile man- acquisition, modification of facilities, and the continuation of projects authorized in (d) TRANSPORTATION MANAGEMENT.—Sub- agement in carrying out weapons activities ject to subsection (h), funds are hereby au- necessary for national security programs in prior years, and land acquisition related thereto), $174,604,000, to be allocated as fol- thorized to be appropriated to the Depart- the amount of $2,025,083,000, to be allocated ment of Energy for fiscal year 1996 for trans- as follows: lows: portation management in carrying out envi- (1) For operation and maintenance, Project 96–D–406, spent nuclear fuels can- ronmental restoration and waste manage- $1,911,458,000. ister storage and stabilization facility, Rich- ment activities necessary for national secu- (2) For plant projects (including mainte- land, Washington, $42,000,000. rity programs in the amount of $13,158,000. nance, restoration, planning, construction, Project 96–D–407, mixed waste/low-level (e) NUCLEAR MATERIALS AND FACILITIES acquisition, modification of facilities, and waste treatment projects, Rocky Flats STABILIZATION.—Subject to subsection (h), the continuation of projects authorized in Plant, Golden, Colorado, $2,900,000. funds are hereby authorized to be appro- prior years, and land acquisition related Project 96–D–408, waste management up- priated to the Department of Energy for fis- thereto), $113,625,000, to be allocated as fol- grades, various locations, $5,615,000. cal year 1996 for nuclear materials and facili- lows: Project 95–D–402, install permanent elec- ties stabilization in carrying out environ- Project 96–D–122, sewage treatment quality trical service, Waste Isolation Pilot Plant, mental restoration and waste management upgrade (STQU), Pantex Plant, Amarillo, Carlsbad, New Mexico, $4,314,000. activities necessary for national security Texas, $600,000. Project 95–D–405, industrial landfill V and programs in the amount of $1,561,854,000 to be Project 96–D–123, retrofit heating, ventila- construction/demolition landfill VII, Phase allocated as follows: tion, and air conditioning and chillers for III, Y–12 Plant, Oak Ridge, Tennessee, (1) For operation and maintenance, ozone protection, Y–12 Plant, Oak Ridge, $4,600,000. $1,447,108,000. Tennessee, $3,100,000. Project 95–D–406, road 5–01 reconstruction, (2) For plant projects (including mainte- Project 96–D–125, Washington measure- area 5, Nevada Test Site, Nevada, $1,023,000. nance, restoration, planning, construction, ments operations facility, Andrews Air Force Project 95–D–407, 219–S secondary contain- acquisition, modification of facilities, and Base, Camp Springs, Maryland, $900,000. ment upgrade, Richland Washington, the continuation of projects authorized in Project 96–D–126, tritium loading line $1,000,000. prior years, and land acquisition related modifications, Savannah River Site, South Project 94–D–400, high explosive thereto), $114,746,000, to be allocated as fol- Carolina, $12,200,000. wastewater treatment system, Los Alamos National Laboratory, Los Alamos, New Mex- lows: Project 95–D–122, sanitary sewer upgrade, ico, $4,445,000. Project 96–D–457, thermal treatment sys- Y–12 Plant, Oak Ridge, Tennessee, $6,300,000. Project 94–D–402, liquid waste treatment tem, Richland Washington, $1,000,000. Project 94–D–124, hydrogen fluoride supply system, Nevada Test Site, Nevada, $282,000. Project 96–D–458, site drainage control, system, Y–12 Plant, Oak Ridge, Tennessee, Project 94–D–404, Melton Valley storage Mound Plant, Miamisburg, Ohio, $885,000. $8,700,000. tank capacity increase, Oak Ridge National Project 96–D–461, electrical distribution up- Project 94–D–125, upgrade life safety, Kan- Laboratory, Oak Ridge, Tennessee, grade, Idaho National Engineering Labora- sas City Plant, Kansas City, Missouri, $11,000,000. tory, Idaho, $1,539,000. $5,500,000. Project 94–D–407, initial tank retrieval sys- Project 96–D–464, electrical and utility sys- Project 94–D–127, emergency notification tems, Richland, Washington, $12,000,000. tems upgrade, Idaho Chemical Processing system, Pantex Plant, Amarillo, Texas, Project 94–D–411, solid waste operation Plant, Idaho National Engineering Labora- $2,000,000. complex, Richland, Washington, $6,606,000. tory, Idaho, $4,952,000. Project 94–D–128, environmental safety and Project 93–D–178, building 374 liquid waste Project 96–D–468, residue elimination health analytical laboratory, Pantex Plant, treatment facility, Rocky Flats Plant, Gold- project, Rocky Flats Plant, Golden, Colo- Amarillo, Texas, $4,000,000. en, Colorado, $3,900,000. rado, $33,100,000. Project 93–D–122, life safety upgrades, Y–12 Project 93–D–181, radioactive liquid waste Project 96–D–471, chlorofluorocarbon heat- Plant, Oak Ridge, Tennessee, $7,200,000. line replacement, Richland, Washington, ing, ventilation, and air conditioning and Project 93–D–123, complex–21, various loca- $5,000,000. chiller retrofit, Savannah River Site, Aiken, tions, $41,065,000. Project 93–D–182, replacement of cross-site South Carolina, $1,500,000. Project 88–D–122, facilities capability as- transfer system, Richland, Washington, Project 95–D–155, upgrade site road infra- surance program, various locations, $19,795,000. structure, Savannah River Site, South Caro- $8,660,000. Project 93–D–187, high-level waste removal lina, $2,900,000. Project 88–D–123, security enhancement, from filled waste tanks, Savannah River Project 95–D–156, radio trunking system, Pantex Plant, Amarillo, Texas, $13,400,000. Site, South Carolina, $19,700,000. Savannah River Site, South Carolina, (c) PROGRAM DIRECTION.—Subject to sub- section (d), funds are hereby authorized to be Project 92–D–171, mixed waste receiving $6,000,000. appropriated to the Department of Energy and storage facility, Los Alamos National Project 95–D–454, 324 facility compliance/ for fiscal year 1996 for program direction in Laboratory, Los Alamos, New Mexico, renovation, Richland, Washington, $3,500,000. carrying out weapons activities necessary $1,105,000. Project 95–D–456, security facilities up- for national security programs in the Project 92–D–188, waste management envi- grade, Idaho Chemical Processing Plant, amount of $115,000,000. ronmental, safety and health (ES&H) and Idaho National Engineering Laboratory, (d) ADJUSTMENTS.—The total amount au- compliance activities, various locations, Idaho, $8,382,000. thorized to be appropriated pursuant to this $1,100,000. Project 94–D–122, underground storage section is the sum of the amounts authorized Project 90–D–172, aging waste transfer tanks, Rocky Flats Plant, Golden, Colorado, to be appropriated in subsections (a) through lines, Richland, Washington, $2,000,000. $5,000,000. (c) reduced by the sum of— Project 90–D–177, RWMC transuranic (TRU) Project 94–D–401, emergency response facil- (1) $37,200,000, for savings resulting from waste characterization and storage facility, ity, Idaho National Engineering Laboratory, procurement reform; and Idaho National Engineering Laboratory, Idaho, $5,074,000. (2) $209,744,000, for use of prior year bal- Idaho, $1,428,000. Project 94–D–412, 300 area process sewer ances. Project 90–D–178, TSA retrieval enclosure, piping upgrade, Richland, Washington, SEC. 3102. ENVIRONMENTAL RESTORATION AND Idaho National Engineering Laboratory, $1,000,000. WASTE MANAGEMENT. Idaho, $2,606,000. Project 94–D–415, medical facilities, Idaho (a) ENVIRONMENTAL RESTORATION.—Subject Project 89–D–173, tank farm ventilation up- National Engineering Laboratory, Idaho, to subsection (h), funds are hereby author- grade, Richland, Washington, $800,000. $3,601,000. ized to be appropriated to the Department of Project 89–D–174, replacement high-level Project 94–D–451, infrastructure replace- Energy for fiscal year 1996 for environmental waste evaporator, Savannah River Site, ment, Rocky Flats Plant, Golden, Colorado, restoration in carrying out environmental Aiken, South Carolina, $11,500,000. $2,940,000. H 476 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Project 93–D–147, domestic water system the continuation of projects authorized in tion project may not be started or additional upgrade, Phase I and II, Savannah River prior years, and land acquisition related obligations incurred in connection with the Site, Aiken, South Carolina, $7,130,000. thereto), $29,600,000, to be allocated as fol- project above the total estimated cost, when- Project 92–D–123, plant fire/security alarm lows: ever the current estimated cost of the con- systems replacement, Rocky Flats Plant, Project GPN–101, general plant projects, struction project, which is authorized by sec- Golden, Colorado, $9,560,000. various locations, $6,600,000. tions 3101, 3102, or 3103, or which is in support Project 92–D–125, master safeguards and se- Project 95–D–200, laboratory systems and of national security programs of the Depart- curity agreement/materials surveillance hot cell upgrades, various locations, ment of Energy and was authorized by any task force security upgrades, Rocky Flats $11,300,000. previous Act, exceeds by more than 25 per- Plant, Golden, Colorado, $7,000,000. Project 95–D–201, advanced test reactor ra- cent the higher of— Project 92–D–181, fire and life safety im- dioactive waste system upgrades, Idaho Na- (A) the amount authorized for the project; provements, Idaho National Engineering tional Engineering Laboratory, Idaho, or Laboratory, Idaho, $6,883,000. $4,800,000. (B) the amount of the total estimated cost Project 91–D–127, criticality alarm and Project 93–D–200, engineering services fa- for the project as shown in the most recent plant annunciation utility replacement, cilities, Knolls Atomic Power Laboratory, budget justification data submitted to Con- Rocky Flats Plant, Golden, Colorado, Niskayuna, New York, $3,900,000. gress. $2,800,000. Project 90–N–102, expended core facility dry (2) An action described in paragraph (1) (f) COMPLIANCE AND PROGRAM COORDINA- cell project, Naval Reactors Facility, Idaho, may be taken if— TION.—Subject to subsection (h), funds are $3,000,000. (A) the Secretary of Energy has submitted hereby authorized to be appropriated to the (b) ADJUSTMENT.—The total amount au- to the congressional defense committees a Department of Energy for fiscal year 1996 for thorized to be appropriated pursuant to this report on the actions and the circumstances compliance and program coordination in car- section is the amount authorized to be ap- making such action necessary; and rying out environmental restoration and propriated in subsection (a) reduced by (B) a period of 30 days has elapsed after the waste management activities necessary for $70,000,000, for use of prior year balances. date on which the report is received by the national security programs in the amount of SEC. 3104. DEFENSE NUCLEAR WASTE DISPOSAL. committees. $46,251,000, to be allocated as follows: Funds are hereby authorized to be appro- (3) In the computation of the 30-day period (1) For operation and maintenance, priated to the Department of Energy for fis- under paragraph (2), there shall be excluded $31,251,000. cal year 1996 for payment to the Nuclear any day on which either House of Congress is (2) For the following plant project (includ- Waste Fund established in section 302(c) of not in session because of an adjournment of ing maintenance, restoration, planning, con- the Nuclear Waste Policy Act of 1982 (42 more than 3 days to a day certain. struction, acquisition, modification of facili- U.S.C. 10222(c)) in the amount of $248,400,000. (b) EXCEPTION.—Subsection (a) shall not ties, and the continuation of a project au- Subtitle B—Recurring General Provisions apply to any construction project which has thorized in prior years, and land acquisition SEC. 3121. REPROGRAMMING. a current estimated cost of less than related thereto): (a) IN GENERAL.—Until the Secretary of $5,000,000. Project 95–E–600, hazardous materials Energy submits to the congressional defense SEC. 3124. FUND TRANSFER AUTHORITY. training center, Richland, Washington, committees the report referred to in sub- (a) TRANSFER TO OTHER FEDERAL AGEN- $15,000,000. section (b) and a period of 30 days has CIES.—The Secretary of Energy may transfer (g) ANALYSIS, EDUCATION, AND RISK MAN- elapsed after the date on which such com- funds authorized to be appropriated to the AGEMENT.—Subject to subsection (h), funds mittees receive the report, the Secretary Department of Energy pursuant to this title are hereby authorized to be appropriated to may not use amounts appropriated pursuant to other Federal agencies for the perform- the Department of Energy for fiscal year 1996 to this title for any program— ance of work for which the funds were au- for analysis, education, and risk manage- (1) in amounts that exceed, in a fiscal thorized. Funds so transferred may be ment in carrying out environmental restora- year— merged with and be available for the same tion and waste management activities nec- (A) 110 percent of the amount authorized purposes and for the same period as the au- essary for national security programs in the for that program by this title; or thorizations of the Federal agency to which amount of $78,522,000. (B) $1,000,000 more than the amount au- the amounts are transferred. (h) ADJUSTMENTS.—The total amount au- thorized for that program by this title; or (b) TRANSFER WITHIN DEPARTMENT OF EN- thorized to be appropriated pursuant to this (2) which has not been presented to, or re- ERGY; LIMITATIONS.—(1) Subject to paragraph section is the sum of the amounts specified quested of, Congress. (2), the Secretary of Energy may transfer in subsections (a) through (g) reduced by the (b) REPORT.—(1) The report referred to in funds authorized to be appropriated to the sum of— subsection (a) is a report containing a full Department of Energy pursuant to this title (1) $652,334,000, for use of prior year bal- and complete statement of the action pro- between any such authorizations. Amounts ances; and posed to be taken and the facts and cir- of authorizations so transferred may be (2) $37,000,000, for Savannah River Pension cumstances relied upon in support of such merged with and be available for the same Refund. proposed action. purposes and for the same period as the au- SEC. 3103. OTHER DEFENSE ACTIVITIES. (2) In the computation of the 30-day period thorization to which the amounts are trans- under subsection (a), there shall be excluded (a) OTHER DEFENSE ACTIVITIES.—Subject to ferred. any day on which either House of Congress is subsection (b), funds are hereby authorized (2) Not more than five percent of any such not in session because of an adjournment of to be appropriated to the Department of En- authorization may be transferred between more than 3 days to a day certain. ergy for fiscal year 1996 for other defense ac- authorizations under paragraph (1). No such (c) LIMITATIONS.—(1) In no event may the authorization may be increased or decreased tivities in carrying out programs necessary total amount of funds obligated pursuant to by more than five percent by a transfer for national security in the amount of this title exceed the total amount authorized under such paragraph. $1,351,975,600, to be allocated as follows: to be appropriated by this title. (1) For verification and control technology, (2) Funds appropriated pursuant to this (3) The authority provided by this section $428,205,600, to be allocated as follows: title may not be used for an item for which to transfer authorizations— (A) For nonproliferation and verification Congress has specifically denied funds. (A) may only be used to provide funds for items relating to weapons activities nec- research and development, $224,905,000. SEC. 3122. LIMITS ON GENERAL PLANT (B) For arms control, $160,964,600. PROJECTS. essary for national security programs that (C) For intelligence, $42,336,000. (a) IN GENERAL.—The Secretary of Energy have a higher priority than the items from (2) For nuclear safeguards and security, may carry out any construction project which the funds are transferred; and $83,395,000. under the general plant projects authorized (B) may not be used to provide authority (3) For security investigations, $20,000,000. by this title if the total estimated cost of the for an item that has been denied funds by (4) For security evaluations, $14,707,000. construction project does not exceed Congress. (5) For the Office of Nuclear Safety, $2,000,000. (c) NOTICE TO CONGRESS.—The Secretary of $17,679,000. (b) REPORT TO CONGRESS.—If, at any time Energy shall promptly notify the Committee (6) For worker and community transition during the construction of any general plant on Armed Services of the Senate and the assistance, $82,500,000. project authorized by this title, the esti- Committee on National Security of the (7) For fissile materials disposition, mated cost of the project is revised because House of Representatives of any transfer of $70,000,000. of unforeseen cost variations and the revised funds to or from authorizations under this (8) For emergency management, $23,321,000. cost of the project exceeds $2,000,000, the Sec- title. (9) For naval reactors development, retary shall immediately furnish a complete SEC. 3125. AUTHORITY FOR CONCEPTUAL AND $682,168,000, to be allocated as follows: report to the congressional defense commit- CONSTRUCTION DESIGN. (A) For operation and infrastructure, tees explaining the reasons for the cost vari- (a) REQUIREMENT FOR CONCEPTUAL DE- $652,568,000. ation. SIGN.—(1) Subject to paragraph (2) and except (B) For plant projects (including mainte- SEC. 3123. LIMITS ON CONSTRUCTION PROJECTS. as provided in paragraph (3), before submit- nance, restoration, planning, construction, (a) IN GENERAL.—(1) Except as provided in ting to Congress a request for funds for a acquisition, modification of facilities, and paragraph (2), construction on a construc- construction project that is in support of a January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 477 national security program of the Depart- 1 of each year, the Secretary of Energy shall the Secretary as of the date of the enact- ment of Energy, the Secretary of Energy submit to Congress a report on each obliga- ment of this Act; and shall complete a conceptual design for that tion during the preceding six months of (C) assessments related to the environ- project. funds appropriated for a program described mental impact statements referred to in sub- (2) If the estimated cost of completing a in subsection (a). paragraphs (A) and (B). conceptual design for a construction project (2) Each such report shall specify— (e) REPORT.—Not later than 45 days after exceeds $3,000,000, the Secretary shall submit (A) the activities and forms of assistance the date of the enactment of this Act, the to Congress a request for funds for the con- for which the Secretary of Energy has obli- Secretary shall submit to the Committee on ceptual design before submitting a request gated funds; Armed Services of the Senate and the Com- for funds for the construction project. (B) the amount of the obligation; mittee on National Security of the House of (3) The requirement in paragraph (1) does (C) the activities and forms of assistance Representatives a report on the tritium pro- not apply to a request for funds— for which the Secretary anticipates obligat- duction program established pursuant to (A) for a construction project the total es- ing funds during the six months immediately subsection (a). The report shall include a timated cost of which is less than $2,000,000; following the report, and the amount of each specification of— or such anticipated obligation; and (1) the planned expenditures of the Depart- (B) for emergency planning, design, and (D) the projected involvement (if any) of ment during fiscal year 1996 for any of the al- construction activities under section 3126. any department or agency of the United ternative means for tritium production as- (b) AUTHORITY FOR CONSTRUCTION DESIGN.— States (in addition to the Department of En- sessed under subsection (a)(2); (1) Within the amounts authorized by this ergy) and of the private sector of the United (2) the amount of funds required to be ex- title, the Secretary of Energy may carry out States in the activities and forms of assist- pended by the Department, and the program construction design (including architectural ance for which the Secretary of Energy has milestones (including feasibility demonstra- and engineering services) in connection with obligated funds referred to in subparagraph tions) required to be met, during fiscal years any proposed construction project if the (A). 1997 through 2001 to ensure tritium produc- total estimated cost for such design does not SEC. 3132. NATIONAL IGNITION FACILITY. tion beginning not later than 2005 that is exceed $600,000. None of the funds authorized to be appro- adequate to meet the tritium requirements (2) If the total estimated cost for construc- priated pursuant to this title for construc- of the United States for nuclear weapons; tion design in connection with any construc- tion of the National Ignition Facility may be and tion project exceeds $600,000, funds for such obligated until— (3) the amount of such funds to be ex- design must be specifically authorized by (1) the Secretary of Energy determines pended and such program milestones to be law. that the construction of the National Igni- met during such fiscal years to ensure such SEC. 3126. AUTHORITY FOR EMERGENCY PLAN- tion Facility will not impede the nuclear tritium production beginning not later than NING, DESIGN, AND CONSTRUCTION nonproliferation objectives of the United 2011. ACTIVITIES. States; and (f) TRITIUM TARGETS.—Of the funds made (a) AUTHORITY.—The Secretary of Energy (2) the Secretary of Energy notifies the available pursuant to subsection (b), not may use any funds available to the Depart- congressional defense committees of that de- more than $5,000,000 shall be available for the ment of Energy pursuant to an authorization termination. Idaho National Engineering Laboratory for in this title, including those funds author- SEC. 3133. TRITIUM PRODUCTION PROGRAM. the test and development of nuclear reactor ized to be appropriated for advance planning (a) ESTABLISHMENT OF PROGRAM.—The Sec- tritium targets for the types of reactors as- and construction design under sections 3101, retary of Energy shall establish a tritium sessed under subsection (a)(2)(A). 3102, and 3103, to perform planning, design, production program that is capable of meet- SEC. 3134. PAYMENT OF PENALTIES. and construction activities for any Depart- ing the tritium requirements of the United The Secretary of Energy may pay to the ment of Energy national security program States for nuclear weapons. In carrying out Hazardous Substance Superfund established construction project that, as determined by the tritium production program, the Sec- under section 9507 of the Internal Revenue the Secretary, must proceed expeditiously in retary shall— Code of 1986 (26 U.S.C. 9507), from funds ap- order to protect public health and safety, to (1) complete the tritium supply and recy- propriated to the Department of Energy for meet the needs of national defense, or to pro- cling environmental impact statement in environmental restoration and waste man- tect property. preparation by the Secretary as of the date agement activities pursuant to section 3102, (b) LIMITATION.—The Secretary may not of the enactment of this Act; and stipulated civil penalties in the amount of exercise the authority under subsection (a) (2) assess alternative means for tritium $350,000 assessed under the Comprehensive in the case of any construction project until production, including production through— Environmental Response, Compensation, and the Secretary has submitted to the congres- (A) types of new and existing reactors, in- Liability Act of 1980 (42 U.S.C. 9601 et seq.) sional defense committees a report on the cluding multipurpose reactors (such as ad- against the Rocky Flats Site, Colorado. activities that the Secretary intends to vanced light water reactors and gas turbine SEC. 3135. FISSILE MATERIALS DISPOSITION. carry out under this section and the cir- gas-cooled reactors) capable of meeting both (a) IN GENERAL.—Of the funds authorized cumstances making such activities nec- the tritium production requirements and the to be appropriated to the Department of En- essary. plutonium disposition requirements of the ergy for fiscal year 1996 pursuant to section (c) SPECIFIC AUTHORITY.—The requirement United States for nuclear weapons; 3103, $70,000,000 shall be available only for of section 3125(b)(2) does not apply to emer- (B) an accelerator; and purposes of completing the evaluation of, gency planning, design, and construction ac- (C) multipurpose reactor projects carried and commencing implementation of, the tivities conducted under this section. out by the private sector and the Govern- interim- and long-term storage and disposi- SEC. 3127. FUNDS AVAILABLE FOR ALL NA- ment. tion (including storage and disposition TIONAL SECURITY PROGRAMS OF (b) FUNDING.—Of funds authorized to be ap- through the use of advanced light water re- THE DEPARTMENT OF ENERGY. propriated to the Department of Energy pur- actors and gas turbine gas-cooled reactors) Subject to the provisions of appropriations suant to section 3101, not more than of fissile materials (including plutonium, Acts and section 3121, amounts appropriated $50,000,000 shall be available for the tritium highly enriched uranium, and other fissile pursuant to this title for management and production program established pursuant to materials) that are excess to the national se- support activities and for general plant subsection (a). curity needs of the United States. projects are available for use, when nec- (c) LOCATION OF TRITIUM PRODUCTION FA- (b) AVAILABILITY OF FUNDS FOR MULTIPUR- essary, in connection with all national secu- CILITY.—The Secretary shall locate any new POSE REACTORS.—Of funds made available rity programs of the Department of Energy. tritium production facility of the Depart- pursuant to subsection (a), sufficient funds shall be made available for the complete con- SEC. 3128. AVAILABILITY OF FUNDS. ment of Energy at the Savannah River Site, sideration of multipurpose reactors for the When so specified in an appropriation Act, South Carolina. disposition of fissile materials in the pro- amounts appropriated for operation and (d) COST-BENEFIT ANALYSIS.—(1) The Sec- grammatic environmental impact statement maintenance or for plant projects may re- retary shall include in the statements re- of the Department. main available until expended. ferred to in paragraph (2) a comparison of the costs and benefits of carrying out two (c) LIMITATION.—Of funds made available Subtitle C—Program Authorizations, projects for the separate performance of the pursuant to subsection (a), $10,000,000 shall Restrictions, and Limitations tritium production mission of the Depart- be available only for a plutonium resource SEC. 3131. AUTHORITY TO CONDUCT PROGRAM ment and the plutonium disposition mission assessment. RELATING TO FISSILE MATERIALS. of the Department with the costs and bene- SEC. 3136. TRITIUM RECYCLING. (a) AUTHORITY.—The Secretary of Energy fits of carrying out one multipurpose project (a) IN GENERAL.—Except as provided in may conduct programs designed to improve for the performance of both such missions. subsection (b), the following activities shall the protection, control, and accountability (2) The statements referred to in paragraph be carried out at the Savannah River Site, of fissile materials in Russia. (1) are— South Carolina: (b) SEMI-ANNUAL REPORTS ON OBLIGATION (A) the environmental impact statement (1) All tritium recycling for weapons, in- OF FUNDS.—(1) Not later than 30 days after referred to in subsection (a)(1); cluding tritium refitting. the date of the enactment of this Act, and (B) the plutonium disposition environ- (2) All activities regarding tritium for- thereafter not later than April 1 and October mental impact statement in preparation by merly carried out at the Mound Plant, Ohio. H 478 CONGRESSIONAL RECORD — HOUSE January 22, 1996

(b) EXCEPTION.—The following activities SEC. 3139. LIMITATION ON AUTHORITY TO CON- ant to section 3102, there shall be available may be carried out at the Los Alamos Na- DUCT HYDRONUCLEAR TESTS. to the Secretary of Energy to respond effec- tional Laboratory, New Mexico: Nothing in this Act may be construed to tively to new requirements for managing (1) Research on tritium. authorize the conduct of hydronuclear tests spent nuclear fuel— (2) Work on tritium in support of the de- or to amend or repeal the requirements of (1) not more than $30,000,000, for the Savan- fense inertial confinement fusion program. section 507 of the Energy and Water Develop- nah River Site for the development and im- (3) Provision of technical assistance to the ment Appropriations Act, 1993 (Public Law plementation of a program for the process- Savannah River Site regarding the weapons 102–377; 106 Stat. 1343; 42 U.S.C. 2121 note). ing, reprocessing, separation, reduction, iso- surveillance program. SEC. 3140. FELLOWSHIP PROGRAM FOR DEVEL- lation, and interim storage of high-level nu- OPMENT OF SKILLS CRITICAL TO SEC. 3137. MANUFACTURING INFRASTRUCTURE clear waste associated with aluminum clad THE DEPARTMENT OF ENERGY NU- spent fuel rods and foreign spent fuel rods; FOR REFABRICATION AND CERTIFI- CLEAR WEAPONS COMPLEX. CATION OF NUCLEAR WEAPONS and (a) IN GENERAL.—The Secretary of Energy STOCKPILE. (2) not more than $15,000,000, for the Idaho shall conduct a fellowship program for the (a) MANUFACTURING PROGRAM.—The Sec- National Engineering Laboratory for the de- development of skills critical to the ongoing retary of Energy shall carry out a program velopment and implementation of a program mission of the Department of Energy nuclear for the treatment, preparation, and condi- for purposes of establishing within the Gov- weapons complex. Under the fellowship pro- ernment a manufacturing infrastructure tioning of high-level nuclear waste and spent gram, the Secretary shall— nuclear fuel (including naval spent nuclear that has the capabilities of meeting the fol- (1) provide educational assistance and re- lowing objectives as specified in the Nuclear fuel), nonaluminum clad fuel rods, and for- search assistance to eligible individuals to eign fuel rods for interim storage and final Posture Review: facilitate the development by such individ- (1) To provide a stockpile surveillance en- disposition. uals of skills critical to maintaining the on- (b) IMPLEMENTATION PLAN.—Not later than gineering base. going mission of the Department of Energy (2) To refabricate and certify weapon com- April 30, 1996, the Secretary shall submit to nuclear weapons complex; Congress a five-year plan for the implemen- ponents and types in the enduring nuclear (2) employ eligible individuals at the facili- weapons stockpile, as necessary. tation of the programs referred to in sub- ties described in subsection (c) in order to fa- section (a). The plan shall include— (3) To fabricate and certify new nuclear cilitate the development of such skills by warheads, as necessary. (1) an assessment of the facilities required these individuals; or to be constructed or upgraded to carry out (4) To support nuclear weapons. (3) provide eligible individuals with the as- the processing, separation, reduction, isola- (5) To supply sufficient tritium in support sistance and the employment. tion and interim storage of high-level nu- of nuclear weapons to ensure an upload (b) ELIGIBLE INDIVIDUALS.—Individuals eli- clear waste; hedge in the event circumstances require. gible for participation in the fellowship pro- (2) a description of the technologies, in- (b) REQUIRED CAPABILITIES.—The manufac- gram are the following: cluding stabilization technologies, that are turing infrastructure established under the (1) Students pursuing graduate degrees in required to be developed for the efficient program under subsection (a) shall include fields of science or engineering that are re- conduct of the programs; the following capabilities (modernized to at- lated to nuclear weapons engineering or to (3) a projection of the dates upon which ac- tain the objectives referred to in that sub- the science and technology base of the De- tivities under the programs are sufficiently section): partment of Energy. completed to provide for the transfers of (1) The weapons assembly capabilities of (2) Individuals engaged in postdoctoral such waste to permanent repositories; and the Pantex Plant. studies in such fields. (4) a projection of the total cost to com- (2) The weapon secondary fabrication capa- (c) COVERED FACILITIES.—The Secretary plete the programs. bilities of the Y–12 Plant, Oak Ridge, Ten- shall carry out the fellowship program at or (c) ELECTROMETALLURGICAL WASTE TREAT- nessee. in connection with the following facilities: MENT TECHNOLOGIES.—Of the amount appro- (3) The tritium production, recycling, and (1) The Kansas City Plant, Kansas City, priated pursuant to section 3102(c), not more other weapons-related capabilities of the Sa- Missouri. than $25,000,000 shall be available for devel- vannah River Site. (2) The Pantex Plant, Amarillo, Texas. opment of electrometallurgical waste treat- (4) The non-nuclear component capabilities (3) The Y–12 Plant, Oak Ridge, Tennessee. ment technologies at the Argonne National of the Kansas City Plant. (4) The Savannah River Site, Aiken, South Laboratory. (c) NUCLEAR POSTURE REVIEW.—For pur- Carolina. (d) USE OF FUNDS FOR SETTLEMENT AGREE- poses of subsection (a), the term ‘‘Nuclear (d) ADMINISTRATION.—The Secretary shall MENT.—Funds made available pursuant to Posture Review’’ means the Department of carry out the fellowship program at a facil- subsection (a)(2) for the Idaho National Engi- Defense Nuclear Posture Review as con- ity referred to in subsection (c) through the neering Laboratory shall be considered to be tained in the Report of the Secretary of De- stockpile manager of the facility. funds made available in partial fulfillment of fense to the President and the Congress (e) ALLOCATION OF FUNDS.—The Secretary the terms and obligations set forth in the dated February 19, 1995, or subsequent such shall, in consultation with the Assistant settlement agreement entered into by the reports. Secretary of Energy for Defense Programs, United States with the State of Idaho in the (d) FUNDING.—Of the funds authorized to be allocate funds available for the fellowship actions captioned Public Service Co. of Colo- appropriated under section 3101(b), program under subsection (f) among the fa- rado v. Batt, Civil No. 91–0035–S–EJL, and $143,000,000 shall be available for carrying cilities referred to in subsection (c). The Sec- United States v. Batt, Civil No. 91–0054–S– out the program required under this section, retary shall make the allocation after evalu- EJL, in the United States District Court for of which— ating an assessment by the weapons program the District of Idaho and the consent order (1) $35,000,000 shall be available for activi- director of each such facility of the person- of the United States District Court for the ties at the Pantex Plant; nel and critical skills necessary at the facil- District of Idaho, dated October 17, 1995, that (2) $30,000,000 shall be available for activi- ity for carrying out the ongoing mission of effectuates the settlement agreement. ties at the Y–12 Plant, Oak Ridge, Tennessee; the facility. SEC. 3143. PROTECTION OF WORKERS AT NU- (3) $35,000,000 shall be available for activi- (f) FUNDING.—Of the funds authorized to be CLEAR WEAPONS FACILITIES. ties at the Savannah River Site; and appropriated to the Department of Energy Of the funds authorized to be appropriated (4) $43,000,000 shall be available for activi- for fiscal year 1996 under section 3101(b), to the Department of Energy under section ties at the Kansas City Plant. $10,000,000 may be used for the purpose of car- 3102, $10,000,000 shall be available to carry out activities authorized under section 3131 (e) PLAN AND REPORT.—The Secretary shall rying out the fellowship program under this of the National Defense Authorization Act develop a plan for the implementation of section. for Fiscal Years 1992 and 1993 (Public Law this section. Not later than March 1, 1996, SEC. 3141. LIMITATION ON USE OF FUNDS FOR 102–190; 105 Stat. 1571; 42 U.S.C. 7274d), relat- the Secretary shall submit to Congress a re- CERTAIN RESEARCH AND DEVELOP- MENT PURPOSES. ing to worker protection at nuclear weapons port on the obligations the Secretary has in- Funds appropriated or otherwise made facilities. curred, and plans to incur, during fiscal year available to the Department of Energy for SEC. 3144. DEPARTMENT OF ENERGY DECLAS- 1996 for the program referred to in subsection fiscal year 1996 under section 3101 may be ob- SIFICATION PRODUC- (a). ligated and expended for activities under the TIVITY INITIATIVE. SEC. 3138. HYDRONUCLEAR EXPERIMENTS. Department of Energy Laboratory Directed Of the funds authorized to be appropriated Of the funds authorized to be appropriated Research and Development Program or to the Department of Energy under section to the Department of Energy pursuant to under Department of Energy technology 3103, $3,000,000 shall be available for the De- section 3101, $30,000,000 shall be available to transfer programs only if such activities sup- classification Productivity Initiative of the prepare for the commencement of a program port the national security mission of the De- Department of Energy. of hydronuclear experiments at the nuclear partment. Subtitle D—Other Matters weapons design laboratories at the Nevada SEC. 3142. PROCESSING AND TREATMENT OF SEC. 3151. REPORT ON FOREIGN TRITIUM PUR- Test Site, Nevada. The purpose of the pro- HIGH-LEVEL NUCLEAR WASTE AND CHASES. gram shall be to maintain confidence in the SPENT NUCLEAR FUEL RODS. (a) REPORT.—Not later than May 1, 1996, reliability and safety of the nuclear weapons (a) PROCESSING OF SPENT NUCLEAR FUEL the President shall submit to the congres- stockpile. RODS.—Of the amounts appropriated pursu- sional defense committees a report on the January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 479 feasibility of, the cost of, and the policy, (2) For purposes of paragraph (1), the term (1) an individual acting within the scope of legal, and other issues associated with pur- ‘‘restricted data’’ has the meaning provided that individual’s employment with a Federal chasing tritium from various foreign suppli- by section 11 y. of the Atomic Energy Act of agency should not be personally subject to ers in order to ensure an adequate supply of 1954 (42 U.S.C. 2014(y)). civil or criminal sanctions (to the extent tritium in the United States for nuclear (b) EXTENSION OF NOTICE-AND-WAIT RE- such sanctions are provided for by law) as a weapons. QUIREMENT REGARDING PROPOSED COOPERA- result of the failure to comply with an envi- (b) FORM OF REPORT.—The report shall be TION AGREEMENTS.—Section 3155(b) of the Na- ronmental cleanup requirement under the submitted in unclassified form, but may con- tional Defense Authorization Act for Fiscal Solid Waste Disposal Act or the Comprehen- tain a classified appendix. Year 1995 (Public Law 103–337; 108 Stat. 3092) sive Environmental Response, Compensa- SEC. 3152. STUDY ON NUCLEAR TEST READINESS is amended by striking out ‘‘December 31, tion, and Liability Act or an analogous re- POSTURES. 1995’’ and inserting in lieu thereof ‘‘October quirement under a comparable Federal, Not later than February 15, 1996, the Sec- 1, 1996’’. State, or local law, in any circumstance retary of Energy shall submit to Congress a SEC. 3155. REVIEW OF CERTAIN DOCUMENTS BE- under which such failure to comply is due to report on the costs, programmatic issues, FORE DECLASSIFICATION AND RE- an insufficiency of funds appropriated to LEASE. and other issues associated with sustaining carry out such requirement; the capability of the Department of Energy— (a) IN GENERAL.—The Secretary of Energy (2) Federal and State enforcement authori- (1) to conduct an underground nuclear test shall ensure that, before a document of the ties should refrain from an enforcement ac- 6 months after the date on which the Presi- Department of Energy that contains na- tion in a circumstance described in para- dent determines that such a test is necessary tional security information is released or de- graph (1); and to ensure the national security of the United classified, such document is reviewed to de- (3) if funds appropriated for a fiscal year States; termine whether it contains restricted data. after fiscal year 1995 are insufficient to carry (2) to conduct such a test 18 months after (b) LIMITATION ON DECLASSIFICATION.—The out any such environmental cleanup require- such date; and Secretary may not implement the automatic ment, Congress should elicit the views of (3) to conduct such a test 36 months after declassification provisions of Executive Federal agencies, affected States, and the such date. Order 12958 if the Secretary determines that such implementation could result in the public, and consider appropriate legislative SEC. 3153. MASTER PLAN FOR THE CERTIFI- automatic declassification and release of action to address personal criminal liability CATION, STEWARDSHIP, AND MAN- AGEMENT OF WARHEADS IN THE NU- documents containing restricted data. in a circumstance described in paragraph (1) CLEAR WEAPONS STOCKPILE. (c) RESTRICTED DATA DEFINED.—In this sec- and any related issues pertaining to poten- (a) MASTER PLAN REQUIREMENT.—Not later tion, the term ‘‘restricted data’’ has the tial liability of a Federal agency. than March 15, 1996, the President shall sub- meaning provided by section 11 y. of the SEC. 3158. RESPONSIBILITY FOR DEFENSE PRO- mit to Congress a master plan for maintain- Atomic Energy Act of 1954 (42 U.S.C. 2014(y)). GRAMS EMERGENCY RESPONSE ing the nuclear weapons stockpile. The SEC. 3156. ACCELERATED SCHEDULE FOR ENVI- PROGRAM. President shall submit to Congress an update RONMENTAL RESTORATION AND The Office of Military Applications under of the master plan not later than March 15 of WASTE MANAGEMENT ACTIVITIES. the Assistant Secretary of Energy for De- each year thereafter. (a) ACCELERATED CLEANUP.—The Secretary fense Programs shall retain responsibility (b) PLAN ELEMENTS.—The master plan and of Energy shall accelerate the schedule for for the Defense Programs Emergency Re- each update of the master plan shall set environmental restoration and waste man- sponse Program within the Department of forth the following: agement activities and projects for a site at Energy. (1) The numbers of weapons (including ac- a Department of Energy defense nuclear fa- SEC. 3159. REQUIREMENTS FOR DEPARTMENT tive and inactive weapons) for each type of cility if the Secretary determines that such OF ENERGY WEAPONS ACTIVITIES weapon in the nuclear weapons stockpile. an accelerated schedule will achieve mean- BUDGETS FOR FISCAL YEARS AFTER ingful, long-term cost savings to the Federal FISCAL YEAR 1996. (2) The expected design lifetime of each Government and could substantially acceler- (a) IN GENERAL.—The weapons activities weapon type, the current age of each weapon ate the release of land for local reuse. budget of the Department of Energy shall be type, and any plans (including the analytical (b) CONSIDERATION OF FACTORS.—In making developed in accordance with the Nuclear basis for such plans) for lifetime extensions a determination under subsection (a), the Posture Review, the Post Nuclear Posture of a weapon type. Secretary shall consider the following: Review Stockpile Memorandum currently (3) An estimate of the lifetime of the nu- (1) The cost savings achievable by the Fed- under development, and the programmatic clear and nonnuclear components of the eral Government. and technical requirements associated with weapons (including active weapons and inac- (2) The amount of time for completion of the review and memorandum. tive weapons) in the nuclear weapons stock- environmental restoration and waste man- (b) REQUIRED DETAIL.—The Secretary of pile, and any plans (including the analytical agement activities and projects at the site Energy shall include in the materials that basis for such plans) for lifetime extensions that can be reduced from the time specified the Secretary submits to Congress in support of such components. for completion of such activities and of the budget for a fiscal year submitted by (4) A schedule of the modifications, if any, projects in the baseline environmental man- the President pursuant to section 1105 of required for each weapon type (including ac- agement report required to be submitted for title 31, United States Code, a long-term pro- tive and inactive weapons) in the nuclear 1995 under section 3153 of the National De- gram plan, and a near-term program plan, weapons stockpile and the cost of such modi- fense Authorization Act for Fiscal Year 1994 for the certification and stewardship of the fications. (42 U.S.C. 7274k). nuclear weapons stockpile. (5) The process to be used in recertifying (3) The potential for reuse of the site. (c) DEFINITION.—In this section, the term the safety, reliability, and performance of (4) The risks that the site poses to local ‘‘Nuclear Posture Review’’ means the De- each weapon type (including active weapons health and safety. partment of Defense Nuclear Posture Review and inactive weapons) in the nuclear weap- (5) The proximity of the site to populated as contained in the report of the Secretary of ons stockpile. areas. Defense to the President and the Congress (6) The manufacturing infrastructure re- (c) REPORT.—Not later than May 1, 1996, dated February 19, 1995, or in subsequent quired to maintain the nuclear weapons the Secretary shall submit to Congress a re- such reports. stockpile stewardship and management pro- port on each site for which the Secretary has SEC. 3160. REPORT ON HYDRONUCLEAR TESTING. grams, including a detailed project plan that accelerated the schedule for environmental (a) REPORT.—The Secretary of Energy shall demonstrates the manner by which the Gov- restoration and waste management activi- direct the joint preparation by the Directors ties and projects under subsection (a). The ernment will develop by 2002 the capability of the Lawrence Livermore National Labora- report shall include an explanation of the to refabricate and certify warheads in the tory and the Los Alamos National Labora- basis for the determination for that site re- nuclear weapons stockpile and to design, fab- tory of a report on the advantages and dis- quired by such subsection, including an ex- ricate, and certify new warheads. advantages with respect to the safety and re- (c) FORM OF PLAN.—The master plan and planation of the consideration of the factors liability of the nuclear weapons stockpile of each update of the master plan shall be sub- described in subsection (b). permitting alternative limits to the current mitted in unclassified form, but may contain (d) SAVINGS PROVISION.—Nothing in this a classified appendix. section may be construed to affect a specific limit on the explosive yield of hydronuclear and other explosive tests. The report shall SEC. 3154. PROHIBITION ON INTERNATIONAL IN- statutory requirement for a specific environ- SPECTIONS OF DEPARTMENT OF EN- mental restoration or waste management ac- address the following explosive yield limits: ERGY FACILITIES UNLESS PROTEC- tivity or project or to modify or otherwise (1) 4 pounds (TNT equivalent). TION OF RESTRICTED DATA IS CER- affect applicable statutory or regulatory en- (2) 400 pounds (TNT equivalent). TIFIED. vironmental restoration and waste manage- (3) 4,000 pounds (TNT equivalent). (a) PROHIBITION ON INSPECTIONS.—(1) The ment requirements, including substantive (4) 40,000 pounds (TNT equivalent). Secretary of Energy may not allow an in- standards intended to protect public health (5) 400 tons (TNT equivalent). spection of a nuclear weapons facility by the and the environment. (b) FUNDING.—The Secretary shall make International Atomic Energy Agency until SEC. 3157. SENSE OF CONGRESS REGARDING available funds appropriated to the Depart- the Secretary certifies to Congress that no CERTAIN ENVIRONMENTAL RES- ment of Energy pursuant to section 3101 for restricted data will be revealed during such TORATION REQUIREMENTS. preparation of the report required under sub- inspection. It is the sense of Congress that— section (a). H 480 CONGRESSIONAL RECORD — HOUSE January 22, 1996 SEC. 3161. APPLICABILITY OF ATOMIC ENERGY of the Navy to meet responsibilities that are term ‘‘domestic ferroalloy upgrader’’ means COMMUNITY ACT OF 1955 TO LOS AL- important to the national security interests a company or other business entity that, as AMOS, NEW MEXICO. of the United States. determined by the President— (a) DATE OF TRANSFER OF UTILITIES.—Sec- (4) Authorizations and appropriations of (1) is engaged in operations to upgrade tion 72 of the Atomic Energy Community funds will be necessary in order to provide chromite or manganese ores of metallurgical Act of 1955 (42 U.S.C. 2372) is amended by for fulfillment of the terms and obligations grade or chromium ferro and manganese striking out ‘‘not later than five years after set forth in the settlement agreement. metal electrolytic; and the date it is included within this Act’’ and (b) SENSE OF CONGRESS.—(1) Congress rec- (2) conducts a significant level of its re- inserting in lieu thereof ‘‘not later than ognizes the need to implement the terms, search, development, engineering, and up- June 30, 1998’’. conditions, rights, and obligations contained grading operations in the United States. (b) DATE OF TRANSFER OF MUNICIPAL IN- in the settlement agreement referred to in SEC. 3304. RESTRICTIONS ON DISPOSAL OF MAN- STALLATIONS.—Section 83 of such Act (42 subsection (a)(1) and the consent order of the GANESE FERRO. U.S.C. 2383) is amended by striking out ‘‘not United States District Court for the District (a) DISPOSAL OF LOWER GRADE MATERIAL later than five years after the date it is in- of Idaho, dated October 17, 1995, that effec- FIRST.—The President may not dispose of cluded within this Act’’ and inserting in lieu tuates the settlement agreement in accord- high carbon manganese ferro in the National thereof ‘‘not later than June 30, 1998’’. ance with those terms, conditions, rights, Defense Stockpile that meets the National (c) RECOMMENDATION FOR FURTHER ASSIST- and obligations. Defense Stockpile classification of Grade ANCE PAYMENTS.—Section 91d. of such Act (42 (2) It is the sense of Congress that funds re- U.S.C. 2391) is amended— One, Specification 30(a), as revised on May quested by the President to carry out the (1) by striking out ‘‘, and the Los Alamos 22, 1992, until completing the disposal of all settlement agreement and such consent School Board;’’ and all that follows through manganese ferro in the National Defense order should be appropriated for that pur- ‘‘county of Los Alamos, New Mexico’’ and in- Stockpile that does not meet such classifica- pose. serting in lieu thereof ‘‘; or not later than tion. The President may not reclassify man- June 30, 1996, in the case of the Los Alamos TITLE XXXII—DEFENSE NUCLEAR ganese ferro in the National Defense Stock- School Board and the county of Los Alamos, FACILITIES SAFETY BOARD pile after the date of the enactment of this Act. New Mexico’’; and SEC. 3201. AUTHORIZATION. (b) REQUIREMENT FOR REMELTING BY DO- (2) by adding at the end the following new There are authorized to be appropriated for MESTIC FERROALLOY PRODUCERS.—Manganese sentence: ‘‘If the recommendation under the fiscal year 1996, $17,000,000 for the operation ferro in the National Defense Stockpile that preceding sentence regarding the Los Alamos of the Defense Nuclear Facilities Safety does not meet the classification specified in School Board or the county of Los Alamos, Board under chapter 21 of the Atomic Energy subsection (a) may be sold only for remelting New Mexico, indicates a need for further as- Act of 1954 (42 U.S.C. 2286 et seq.). by a domestic ferroalloy producer unless the sistance for the school board or the county, TITLE XXXIII—NATIONAL DEFENSE President determines that a domestic as the case may be, after June 30, 1997, the STOCKPILE ferroalloy producer is not available to ac- recommendation shall include a report and Subtitle A—Authorization of Disposals and quire the material. plan describing the actions required to elimi- Use of Funds (c) DOMESTIC FERROALLOY PRODUCER DE- nate the need for further assistance for the FINED.—For purposes of this section, the school board or the county, including a pro- SEC. 3301. DEFINITIONS. term ‘‘domestic ferroalloy producer’’ means posal for legislative action to carry out the For purposes of this subtitle: a company or other business entity that, as plan.’’. (1) The term ‘‘National Defense Stockpile’’ determined by the President— (d) CONTRACT TO MAKE PAYMENTS.—Sec- means the stockpile provided for in section 4 tion 94 of such Act (42 U.S.C. 2394) is amend- of the Strategic and Critical Materials Stock (1) is engaged in operations to upgrade ed— Piling Act (50 U.S.C. 98c). manganese ores of metallurgical grade or (1) by striking out ‘‘June 30, 1996’’ each (2) The term ‘‘National Defense Stockpile manganese ferro; and place it appears in the proviso in the first Transaction Fund’’ means the fund in the (2) conducts a significant level of its re- sentence and inserting in lieu thereof ‘‘June Treasury of the United States established search, development, engineering, and up- 30, 1997’’; and under section 9(a) of the Strategic and Criti- grading operations in the United States. (2) by striking out ‘‘July 1, 1996’’ in the sec- cal Materials Stock Piling Act (50 U.S.C. SEC. 3305. TITANIUM INITIATIVE TO SUPPORT ond sentence and inserting in lieu thereof 98h(a)). BATTLE TANK UPGRADE PROGRAM. During each of the fiscal years 1996 ‘‘July 1, 1997’’. SEC. 3302. AUTHORIZED USES OF STOCKPILE through 2003, the Secretary of Defense shall SEC. 3162. SENSE OF CONGRESS REGARDING FUNDS. transfer from stocks of the National Defense SHIPMENTS OF SPENT NUCLEAR (a) OBLIGATION OF STOCKPILE FUNDS.—Dur- FUEL. ing fiscal year 1996, the National Defense Stockpile up to 250 short tons of titanium (a) FINDINGS.—Congress makes the follow- Stockpile Manager may obligate up to sponge to the Secretary of the Army for use ing findings: $77,100,000 of the funds in the National De- in the weight reduction portion of the main (1) The United States has entered into a fense Stockpile Transaction Fund for the au- battle tank upgrade program. Transfers settlement agreement with the State of thorized uses of such funds under section under this section shall be without charge to Idaho in the actions captioned Public Serv- 9(b)(2) of the Strategic and Critical Materials the Army, except that the Secretary of the ice Co. of Colorado v. Batt, Civil No. 91–0035– Stock Piling Act (50 U.S.C. 98h(b)(2)). Army shall pay all transportation and relat- ed costs incurred in connection with the S–EJL, and United States v. Batt, Civil No. (b) ADDITIONAL OBLIGATIONS.—The Na- 91–0054–S–EJL, in the United States District tional Defense Stockpile Manager may obli- transfer. Court for the District of Idaho, regarding gate amounts in excess of the amount speci- Subtitle B—Programmatic Change shipment of naval spent nuclear fuel to fied in subsection (a) if the National Defense SEC. 3311. TRANSFER OF EXCESS DEFENSE-RE- Idaho, examination and storage of such fuel Stockpile Manager notifies Congress that ex- LATED MATERIALS TO STOCKPILE in Idaho, and other matters. traordinary or emergency conditions neces- FOR DISPOSAL. (2) Under this court enforceable agree- sitate the additional obligations. The Na- (a) TRANSFER AND DISPOSAL.—Section 4 of ment— tional Defense Stockpile Manager may make the Strategic and Critical Materials Stock (A) the State of Idaho has agreed— the additional obligations described in the Piling Act (50 U.S.C. 98c) is amended by add- (i) to accept 575 shipments of naval spent notification after the end of the 45-day pe- ing at the end the following new subsection: nuclear fuel from the Navy into Idaho be- riod beginning on the date Congress receives ‘‘(c)(1) The Secretary of Energy, in con- tween October 17, 1995 and 2035; the notification. sultation with the Secretary of Defense, (ii) to accept certain shipments of spent (c) LIMITATIONS.—The authorities provided shall transfer to the stockpile for disposal in nuclear fuel from the Department of Energy by this section shall be subject to such limi- accordance with this Act uncontaminated into Idaho between October 17, 1995 and 2035; tations as may be provided in appropriations materials that are in the Department of En- and Acts. ergy inventory of materials for the produc- (iii) to allow the Navy and the Department SEC. 3303. DISPOSAL OF CHROMITE AND MAN- tion of defense-related items, are excess to of Energy, on an interim basis, to store the GANESE ORES AND CHROMIUM the requirements of the Department for that spent nuclear fuel in Idaho over the next 40 FERRO AND MANGANESE METAL purpose, and are suitable for transfer to the years; and ELECTROLYTIC. stockpile and disposal through the stockpile. (B) the United States has made commit- (a) DOMESTIC UPGRADING.—In offering to ‘‘(2) The Secretary of Defense shall deter- ments— enter into agreements pursuant to any provi- mine whether materials are suitable for (i) to remove all spent nuclear fuel (except sion of law for the disposal from the Na- transfer to the stockpile under this sub- certain quantities for testing) from Idaho by tional Defense Stockpile of chromite and section, are suitable for disposal through the 2035; and manganese ores or chromium ferro and man- stockpile, and are uncontaminated.’’. (ii) to facilitate the cleanup and stabiliza- ganese metal electrolytic, the President (b) CONFORMING AMENDMENT.—Subsection tion of radioactive waste at the Idaho Na- shall give a right of first refusal on all such (a) of such section is amended by adding at tional Engineering Laboratory. offers to domestic ferroalloy upgraders. the end the following: (3) The settlement agreement allows the (b) DOMESTIC FERROALLOY UPGRADER DE- ‘‘(10) Materials transferred to the stockpile Department of Energy and the Department FINED.—For purposes of this section, the under subsection (c).’’. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 481 TITLE XXXIV—NAVAL PETROLEUM of the known oil and gas zones in Naval Pe- sistent with commercial practices and in a RESERVES troleum Reserve Numbered 1 in the manner manner that maximizes sale proceeds to the Subtitle A—Administration of Naval provided by this subsection. Government, the sale of Naval Petroleum Petroleum Reserves (2) The Secretary shall retain the services Reserve Numbered 1 under this section. of an independent petroleum engineer, mutu- Costs and fees of retaining the investment SEC. 3401. AUTHORIZATION OF APPROPRIA- ally acceptable to the equity owners, who banker or financial adviser may be paid out TIONS. shall prepare a recommendation on final eq- of the proceeds of the sale of the reserve. There is hereby authorized to be appro- uity figures. The Secretary may accept the (2) Not later than 11 months after the ef- priated to the Secretary of Energy recommendation of the independent petro- fective date, the investment banker or finan- $148,786,000 for fiscal year 1996 for the purpose leum engineer for final equity in each known cial adviser retained under paragraph (1) of carrying out activities under chapter 641 oil and gas zone and establish final equity in- shall complete a draft contract or contracts of title 10, United States Code, relating to terest in Naval Petroleum Reserve Numbered for the sale of Naval Petroleum Reserve the naval petroleum reserves (as defined in 1 in accordance with the recommendation, or Numbered 1, which shall accompany the so- section 7420(2) of such title). Funds appro- the Secretary may use such other method to licitation of offers and describe the terms priated pursuant to such authorization shall establish final equity interest in the reserve and provisions of the sale of the interest of remain available until expended. Of the as the Secretary considers appropriate. the United States in the reserve. amount appropriated pursuant to the au- (3) If, on the effective date, there is an on- (3) The draft contract or contracts shall thorization of appropriations in the preced- going equity redetermination dispute be- identify— ing sentence, the Secretary may use not tween the equity owners under section 9(b) of (A) all equipment and facilities to be in- more than $7,000,000 for carrying out activi- the unit plan contract, the dispute shall be cluded in the sale; and ties related to the sale of Naval Petroleum resolved in the manner provided in the unit (B) any potential claim or liability (includ- Reserve Numbered 1 under section 3412. plan contract within eight months after the ing liability for environmental restoration SEC. 3402. PRICE REQUIREMENT ON SALE OF effective date. The resolution shall be con- and remediation), and the extent of any such CERTAIN PETROLEUM DURING FIS- sidered final for all purposes under this sec- claim or liability, for which the United CAL YEAR 1996. tion. States is responsible under subsection (g). Notwithstanding section 7430(b)(2) of title (c) NOTICE OF SALE.—Not later than two (4) The draft contract or contracts, includ- 10, United States Code, during fiscal year months after the effective date, the Sec- ing the terms and provisions of the sale of 1996, any sale of any part of the United retary shall publish a notice of intent to sell the interest of the United States in the re- States share of petroleum produced from Naval Petroleum Reserve Numbered 1. The serve, shall be subject to review and approval Naval Petroleum Reserves Numbered 1, 2, Secretary shall make all technical, geologi- by the Secretary, the Secretary of the Treas- and 3 shall be made at a price not less than cal, and financial information relevant to ury, and the Director of the Office of Man- 90 percent of the current sales price, as esti- the sale of the reserve available to all inter- agement and Budget. Each of those officials mated by the Secretary of Energy, of com- ested and qualified buyers upon request. The shall complete the review of, and approve or parable petroleum in the same area. Secretary, in consultation with the Adminis- disapprove, the draft contract or contracts SEC. 3403. EXTENSION OF OPERATING CONTRACT trator of General Services, shall ensure that not later than 12 months after the effective FOR NAVAL PETROLEUM RESERVE the sale process is fair and open to all inter- date. NUMBERED 1. ested and qualified parties. (f) SOLICITATION OF OFFERS.—(1) Not later Section 3503 of the National Defense Au- (d) ESTABLISHMENT OF MINIMUM SALE than 13 months after the effective date, the thorization Act of Fiscal Year 1995 (Public PRICE.—(1) Not later than seven months Secretary shall publish the solicitation of of- Law 103–337; 108 Stat. 3111) is amended by after the effective date, the Secretary shall fers for Naval Petroleum Reserve Numbered striking out ‘‘two years’’ in the first sen- retain the services of five independent ex- 1. tence and inserting in lieu thereof ‘‘three perts in the valuation of oil and gas fields to (2) Not later than 18 months after the ef- years’’. conduct separate assessments, in a manner fective date, the Secretary shall identify the Subtitle B—Sale of Naval Petroleum Reserve consistent with commercial practices, of the highest responsible offer or offers for pur- value of the interest of the United States in chase of the interest of the United States in SEC. 3411. DEFINITIONS. Naval Petroleum Reserve Numbered 1. The Naval Petroleum Reserve Numbered 1 that, For purposes of this subtitle: independent experts shall complete their as- in total, meet or exceed the minimum ac- (1) The terms ‘‘Naval Petroleum Reserve sessments within 11 months after the effec- ceptable price determined under subsection Numbered 1’’ and ‘‘reserve’’ mean Naval Pe- tive date. In making their assessments, the (d)(3). troleum Reserve Numbered 1, commonly re- independent experts shall consider (among (3) The Secretary shall take such action ferred to as the Elk Hills Unit, located in other factors)— immediately after the effective date as is Kern County, California, and established by (A) all equipment and facilities to be in- necessary to obtain from an independent pe- Executive order of the President, dated Sep- cluded in the sale; troleum engineer within 10 months after tember 2, 1912. (B) the estimated quantity of petroleum that date a reserve report prepared in a man- (2) The term ‘‘naval petroleum reserves’’ and natural gas in the reserve; and ner consistent with commercial practices. has the meaning given that term in section (C) the net present value of the anticipated The Secretary shall use the reserve report in 7420(2) of title 10, United States Code, except revenue stream that the Secretary and the support of the preparation of the solicitation that the term does not include Naval Petro- Director of the Office of Management and of offers for the reserve. leum Reserve Numbered 1. Budget jointly determine the Treasury (g) FUTURE LIABILITIES.—To effectuate the (3) The term ‘‘unit plan contract’’ means would receive from the reserve if the reserve sale of the interest of the United States in the unit plan contract between equity own- were not sold, adjusted for any anticipated Naval Petroleum Reserve Numbered 1, the ers of the lands within the boundaries of increases in tax revenues that would result if Secretary may extend such indemnities and Naval Petroleum Reserve Numbered 1 en- the reserve were sold. warranties as the Secretary considers rea- tered into on June 19, 1944. (2) The independent experts retained under sonable and necessary to protect the pur- (4) The term ‘‘effective date’’ means the paragraph (1) shall also determine and sub- chaser from claims arising from the owner- date of the enactment of this Act. mit to the Secretary the estimated total ship in the reserve by the United States. (5) The term ‘‘Secretary’’ means the Sec- amount of the cost of any environmental res- (h) MAINTAINING PRODUCTION.—Until the retary of Energy. toration and remediation necessary at the sale of Naval Petroleum Reserve Numbered 1 (6) The term ‘‘appropriate congressional reserve. The Secretary shall report the esti- is completed under this section, the Sec- committees means the Committee on Armed mate to the Director of the Office of Manage- retary shall continue to produce the reserve Services of the Senate and the Committee on ment and Budget, the Secretary of the at the maximum daily oil or gas rate from a National Security and the Committee on Treasury, and Congress. reservoir, which will permit maximum eco- Commerce of the House of Representatives. (3) The Secretary, in consultation with the nomic development of the reservoir consist- SEC. 3412. SALE OF NAVAL PETROLEUM RE- Director of the Office of Management and ent with sound oil field engineering practices SERVE NUMBERED 1. Budget, shall set the minimum acceptable in accordance with section 3 of the unit plan (a) SALE OF RESERVE REQUIRED.—Subject price for the reserve. The Secretary may not contract. to section 3414, not later than two years set the minimum acceptable price below the (i) NONCOMPLIANCE WITH DEADLINES.—At after the effective date, the Secretary of En- higher of— any time during the two-year period begin- ergy shall enter into one or more contracts (A) the average of the five assessments pre- ning on the effective date, if the Secretary for the sale of all right, title, and interest of pared under paragraph (1); and determines that the actions necessary to the United States in and to all lands owned (B) the average of three assessments after complete the sale of the reserve within that or controlled by the United States inside excluding the high and low assessments. period are not being taken or timely com- Naval Petroleum Reserve Numbered 1. Chap- (e) ADMINISTRATION OF SALE; DRAFT CON- pleted, the Secretary shall transmit to the ter 641 of title 10, United States Code, shall TRACT.—(1) Not later than two months after appropriate congressional committees a not apply to the sale of the reserve. the effective date, the Secretary shall retain written notification of that determination (b) EQUITY FINALIZATION.—(1) Not later the services of an investment banker or an together with a plan setting forth the ac- than eight months after the effective date, appropriate equivalent financial adviser to tions that will be taken to ensure that the the Secretary shall finalize equity interests independently administer, in a manner con- sale of the reserve will be completed within H 482 CONGRESSIONAL RECORD — HOUSE January 22, 1996

that period. The Secretary shall consult with the end of the 31-day period beginning on the (d) RELEASE OF CLAIMS.—Acceptance of the the Director of the Office of Management date on which the Secretary submits to the settlement offer made under subsection (c) and Budget in preparing the plan for submis- appropriate congressional committees a shall be subject to the condition that all sion to the committees. written notification— claims against the United States by the (j) OVERSIGHT.—The Comptroller General (1) describing the conditions of the pro- State of California for the Teachers’ Retire- shall monitor the actions of the Secretary posed sale; and ment Fund of the State be released with re- relating to the sale of the reserve and report (2) containing an assessment by the Sec- spect to lands in Naval Petroleum Reserve to the appropriate congressional committees retary of whether it is in the best interests Numbered 1, including sections 16 and 36 of any findings on such actions that the Comp- of the United States to sell the reserve under township 30 south, range 23 east, Mount Dia- troller General considers appropriate to re- such conditions. blo Principal Meridian, California, or pro- port to the committees. (b) AUTHORITY TO SUSPEND SALE.—(1) The duction or proceeds of sale from the reserve. (k) ACQUISITION OF SERVICES.—The Sec- Secretary may suspend the sale of Naval Pe- SEC. 3416. STUDY OF FUTURE OF OTHER NAVAL retary may enter into contracts for the ac- troleum Reserve Numbered 1 under section PETROLEUM RESERVES. quisition of services required under this sec- 3412 if the Secretary and the Director of the (a) STUDY REQUIRED.—The Secretary of En- tion under the authority of paragraph (7) of Office of Management and Budget jointly de- ergy shall conduct a study to determine section 303(c) of the Federal Property and termine that— which of the following options, or combina- Administrative Services Act of 1949 (41 (A) the sale is proceeding in a manner in- tions of options, regarding the naval petro- U.S.C. 253(c)), except that the notification consistent with achievement of a sale price leum reserves (other than Naval Petroleum required under subparagraph (B) of such that reflects the full value of the reserve; or Reserve Numbered 1) would maximize the paragraph for each contract shall be submit- (B) a course of action other than the imme- value of the reserves to the United States: ted to Congress not less than 7 days before diate sale of the reserve is in the best inter- (1) Retention and operation of the naval the award of the contract. ests of the United States. petroleum reserves by the Secretary under (2) Immediately after making a determina- SEC. 3413. EFFECT OF SALE OF RESERVE. chapter 641 of title 10, United States Code. tion under paragraph (1) to suspend the sale (a) EFFECT ON EXISTING CONTRACTS.—(1) In (2) Transfer of all or a part of the naval pe- of Naval Petroleum Reserve Numbered 1, the the case of any contract, in effect on the ef- troleum reserves to the jurisdiction of an- Secretary shall submit to the appropriate fective date, for the purchase of production other Federal agency for administration congressional committees a written notifica- from any part of the United States’ share of under chapter 641 of title 10, United States tion describing the basis for the determina- Naval Petroleum Reserve Numbered 1, the Code. tion and requesting a reconsideration of the sale of the interest of the United States in (3) Transfer of all or a part of the naval pe- merits of the sale of the reserve. the reserve shall be subject to the contract troleum reserves to the Department of the (c) EFFECT OF RECONSIDERATION NOTICE.— for a period of three months after the closing After the Secretary submits a notification Interior for leasing in accordance with the date of the sale or until termination of the under subsection (b), the Secretary may not Mineral Leasing Act (30 U.S.C. 181 et seq.) contract, whichever occurs first. The term of complete the sale of Naval Petroleum Re- and surface management in accordance with any contract entered into after the effective serve Numbered 1 under section 3412 or any the Federal Land Policy and Management date for the purchase of the production shall other provision of law unless the sale of the Act (43 U.S.C. 1701 et seq.). not exceed the anticipated closing date for reserve is authorized in an Act of Congress (4) Sale of the interest of the United States the sale of the reserve. enacted after the date of the submission of in the naval petroleum reserves. (2) The Secretary shall exercise the termi- the notification. (b) CONDUCT OF STUDY.—The Secretary nation procedures provided in the contract shall retain an independent petroleum con- SEC. 3415. TREATMENT OF STATE OF CALIFOR- between the United States and Bechtel Pe- NIA CLAIM REGARDING RESERVE. sultant to conduct the study. troleum Operation, Inc., Contract Number (a) RESERVATION OF FUNDS.—After the (c) CONSIDERATIONS UNDER STUDY.—An ex- DE–ACO1–85FE60520 so that the contract ter- costs incurred in the conduct of the sale of amination of the value to be derived by the minates not later than the date of closing of Naval Petroleum Reserve Numbered 1 under United States from the transfer or sale of the sale of Naval Petroleum Reserve Num- section 3412 are deducted, nine percent of the the naval petroleum reserves shall include bered 1 under section 3412. remaining proceeds from the sale of the re- an assessment and estimate of the fair mar- (3) The Secretary shall exercise the termi- serve shall be reserved in a contingent fund ket value of the interest of the United States nation procedures provided in the unit plan in the Treasury for payment to the State of in the naval petroleum reserves. The assess- contract so that the unit plan contract ter- California for the Teachers’ Retirement ment and estimate shall be made in a man- minates not later than the date of closing of Fund of the State in the event that, and to ner consistent with customary property the sale of reserve. the extent that, the claims of the State valuation practices in the oil and gas indus- (b) EFFECT ON ANTITRUST LAWS.—Nothing against the United States regarding produc- try. in this subtitle shall be construed to alter tion and proceeds of sale from Naval Petro- (d) REPORT AND RECOMMENDATIONS REGARD- the application of the antitrust laws of the leum Reserve Numbered 1 are— ING STUDY.—Not later than June 1, 1996, the United States to the purchaser or purchasers (1) settled by agreement with the United Secretary shall submit to Congress a report (as the case may be) of Naval Petroleum Re- States under subsection (c); or describing the results of the study and con- serve Numbered 1 or to the lands in the re- (2) finally resolved in favor of the State by taining such recommendations (including serve subject to sale under section 3412 upon a court of competent jurisdiction, if a settle- proposed legislation) as the Secretary con- the completion of the sale. ment agreement is not reached. siders necessary to implement the option, or (c) PRESERVATION OF PRIVATE RIGHT, (b) DISPOSITION OF FUNDS.—In such combination of options, identified in the TITLE, AND INTEREST.—Nothing in this sub- amounts as may be provided in appropriation study that would maximize the value of the title shall be construed to adversely affect Acts, amounts in the contingent fund shall naval petroleum reserves to the United the ownership interest of any other entity be available for paying a claim described in States. having any right, title, and interest in and to subsection (a). After final disposition of the TITLE XXXV—PANAMA CANAL lands within the boundaries of Naval Petro- claims, any unobligated balance in the con- COMMISSION leum Reserve Numbered 1 and which are sub- tingent fund shall be credited to the general Subtitle A—Authorization of Appropriations ject to the unit plan contract. fund of the Treasury. If no payment is made (d) TRANSFER OF OTHERWISE from the contingent fund within 10 years SEC. 3501. SHORT TITLE. NONTRANSFERABLE PERMIT.—The Secretary after the effective date, amounts in the con- This subtitle may be cited as the ‘‘Panama may transfer to the purchaser or purchasers tingent fund shall be credited to the general Canal Commission Authorization Act for (as the case may be) of Naval Petroleum Re- fund of the Treasury. Fiscal Year 1996’’. serve Numbered 1 the incidental take permit (c) SETTLEMENT OFFER.—Not later than 30 SEC. 3502. AUTHORIZATION OF EXPENDITURES. regarding the reserve issued to the Secretary days after the date of the sale of Naval Pe- (a) IN GENERAL.—Subject to subsection (b), by the United States Fish and Wildlife Serv- troleum Reserve Numbered 1 under section the Panama Canal Commission is authorized ice and in effect on the effective date if the 3412, the Secretary shall offer to settle all to make such expenditures within the limits Secretary determines that transfer of the claims of the State of California against the of funds and borrowing authority available permit is necessary to expedite the sale of United States with respect to lands in the re- to it in accordance with law, and to make the reserve in a manner that maximizes the serve located in sections 16 and 36 of town- such contracts and commitments without re- value of the sale to the United States. The ship 30 south, range 23 east, Mount Diablo gard to fiscal year limitations, as may be transferred permit shall cover the identical Principal Meridian, California, and produc- necessary under the Panama Canal Act of activities, and shall be subject to the same tion or proceeds of sale from the reserve, in 1979 (22 U.S.C. 3601 et seq.) for the operation, terms and conditions, as apply to the permit order to provide proper compensation for the maintenance, and improvement of the Pan- at the time of the transfer. State’s claims. The Secretary shall base the ama Canal for fiscal year 1996. SEC. 3414. CONDITIONS ON SALE PROCESS. amount of the offered settlement payment (b) LIMITATIONS.—For fiscal year 1996, the (a) NOTICE REGARDING SALE CONDITIONS.— from the contingent fund on the fair value Panama Canal Commission may expend from The Secretary may not enter into any con- for the State’s claims, including the mineral funds in the Panama Canal Revolving Fund tract for the sale of Naval Petroleum Re- estate, not to exceed the amount reserved in not more than $50,741,000 for administrative serve Numbered 1 under section 3412 until the contingent fund. expenses, of which— January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 483 (1) not more than $15,000 may be used for bers, one of whom shall be the Secretary of ‘‘(4) Power systems, water systems, and a official reception and representation ex- Defense or an officer of the Department of telephone system. penses of the Supervisory Board of the Com- Defense designated by the Secretary. Not ‘‘(5) Construction facilities. mission; less than five members of the Board shall be ‘‘(6) Living quarters and other buildings. (2) not more than $10,000 may be used for nationals of the United States and the re- ‘‘(7) Warehouses, storehouses, a printing official reception and representation ex- maining members of the Board shall be na- plant, and manufacturing, processing, or penses of the Secretary of the Commission; tionals of the Republic of Panama. Three service facilities in connection therewith. and members of the Board who are nationals of ‘‘(8) Recreational facilities. (3) not more than $45,000 may be used for the United States shall hold no other office ‘‘(c) The Commission may use the United official reception and representation ex- in, and shall not be employed by, the Gov- States mails in the same manner and under penses of the Administrator of the Commis- ernment of the United States, and shall be the same conditions as the executive depart- sion. chosen for the independent perspective they ments of the Federal Government. (c) REPLACEMENT VEHICLES.—Funds avail- can bring to the Commission’s affairs. Mem- ‘‘(d) The Commission may take such ac- able to the Panama Canal Commission shall bers of the Board who are nationals of the tions as are necessary or appropriate to be available for the purchase of not to exceed United States shall cast their votes as di- carry out the powers specifically conferred 38 passenger motor vehicles (including large rected by the Secretary of Defense or a des- upon it.’’. heavy-duty vehicles to be used to transport ignee of the Secretary of Defense.’’. (b) CLERICAL AMENDMENT.—The table of Commission personnel across the isthmus of SEC. 3524. GENERAL AND SPECIFIC POWERS OF contents in section 1 of such Act is amended Panama) at a cost per vehicle of not more COMMISSION. by inserting after the item relating to sec- (a) IN GENERAL.—The Panama Canal Act of than $19,500. A vehicle may be purchased tion 1102 the following new items: 1979 (22 U.S.C. 3601 et seq.) is amended by in- with such funds only as necessary to replace ‘‘1102a. General powers of Commission. serting after section 1102 the following new another passenger motor vehicle of the Com- ‘‘1102b. Specific powers of Commission.’’. sections: mission. SEC. 3525. CONGRESSIONAL REVIEW OF BUDGET. ‘‘GENERAL POWERS OF COMMISSION SEC. 3503. EXPENDITURES IN ACCORDANCE WITH Section 1302 of the Panama Canal Act of OTHER LAWS. ‘‘SEC. 1102a. (a) The Commission may 1979 (22 U.S.C. 3712) is amended— Expenditures authorized under this sub- adopt, alter, and use a corporate seal, which (1) in subsection (c)— title may be made only in accordance with shall be judicially noticed. (A) by striking out ‘‘and subject to para- ‘‘(b) The Commission may by action of the the Panama Canal Treaties of 1977 and any graph (2)’’ in paragraph (1); Board of Directors adopt, amend, and repeal law of the United States implementing those (B) by striking out paragraph (2); and bylaws governing the conduct of its general treaties. (C) by redesignating paragraph (3) as para- business and the performance of the powers graph (2); and Subtitle B—Reconstitution of Commission as and duties granted to or imposed upon it by (2) by striking out subsection (e) and in- Government Corporation law. serting in lieu thereof the following new sub- SEC. 3521. SHORT TITLE. ‘‘(c) The Commission may sue and be sued in its corporate name, except that— section (e): This subtitle may be cited as the ‘‘Panama ‘‘(e) In accordance with section 9104 of title Canal Amendments Act of 1995’’. ‘‘(1) the amenability of the Commission to suit is limited by Article VIII of the Panama 31, United States Code, Congress shall review SEC. 3522. RECONSTITUTION OF COMMISSION AS the annual budget of the Commission.’’. GOVERNMENT CORPORATION. Canal Treaty of 1977, section 1401 of this Act, SEC. 3526. AUDITS. (a) IN GENERAL.—Section 1101 of the Pan- and otherwise by law; (a) IN GENERAL.—Section 1313 of the Pan- ama Canal Act of 1979 (22 U.S.C. 3611) is ‘‘(2) an attachment, garnishment, or simi- ama Canal Act of 1979 (22 U.S.C. 3723) is amended to read as follows: lar process may not be issued against sala- ries or other moneys owed by the Commis- amended— ‘‘ESTABLISHMENT, PURPOSES, OFFICES, AND sion to its employees except as provided by (1) by striking out the heading for the sec- RESIDENCE OF COMMISSION section 5520a of title 5, United States Code, tion and inserting in lieu thereof the follow- ‘‘SEC. 1101. (a) For the purposes of manag- and sections 459, 461, and 462 of the Social Se- ing: ‘‘AUDITS’’; ing, operating, and maintaining the Panama curity Act (42 U.S.C. 659, 661, 662), or as oth- (2) in subsection (a)— Canal and its complementary works, instal- erwise specifically authorized by the laws of (A) by striking out ‘‘Financial trans- lations and equipment, and of conducting op- the United States; and actions’’ and inserting in lieu thereof ‘‘Not- erations incident thereto, in accordance with ‘‘(3) the Commission is exempt from the withstanding any other provision of law, and the Panama Canal Treaty of 1977 and related payment of interest on claims and judg- subject to subsection (d), financial trans- agreements, the Panama Canal Commission ments. actions’’; (hereinafter in this Act referred to as the ‘‘(d) The Commission may enter into con- (B) by striking out ‘‘pursuant to the Ac- ‘Commission’) is established as a wholly tracts, leases, agreements, or other trans- counting and Auditing Act of 1950 (31 U.S.C. owned government corporation (as that term actions. 65 et seq.)’’; is used in chapter 91 of title 31, United States ‘‘(e) The Commission— (C) by striking out ‘‘audit pursuant to such Code) within the executive branch of the ‘‘(1) may determine the character of, and Act’’ in the second sentence and inserting in Government of the United States. The au- necessity for, its obligations and expendi- lieu thereof ‘‘such audit’’; thority of the President with respect to the tures and the manner in which they shall be (D) by striking out ‘‘An audit pursuant to Commission shall be exercised through the incurred, allowed, and paid; and such Act’’ in the last sentence and inserting Secretary of Defense. ‘‘(2) may incur, allow, and pay its obliga- in lieu thereof ‘‘Any such audit’’; and ‘‘(b) The principal office of the Commission tions and expenditures, subject to pertinent (E) by adding at the end the following new shall be located in the Republic of Panama provisions of law generally applicable to sentence: ‘‘An audit performed under this in one of the areas made available for use of Government corporations. section is subject to the requirements of the United States under the Panama Canal ‘‘(f) The Commission shall have the prior- paragraphs (2), (3), and (5) of section 9105(a) Treaty of 1977 and related agreements, but ity of the Government of the United States of title 31, United States Code.’’; the Commission may establish branch offices in the payment of debts out of bankrupt es- (3) in subsection (b), by striking out ‘‘The in such other places as it considers necessary tates. Comptroller General’’ in the first sentence or appropriate for the conduct of its busi- ‘‘(g) The authority of the Commission and inserting in lieu thereof ‘‘Subject to sub- ness. Within the meaning of the laws of the under this section and section 1102B is sub- section (d), the Comptroller General’’; and United States relating to venue in civil ac- ject to the Panama Canal Treaty of 1977 and (4) by adding at the end the following new tions, the Commission is an inhabitant and related agreements, and to chapter 91 of title subsections: resident of the District of Columbia and the 31, United States Code. ‘‘(d) At the discretion of the Board pro- eastern judicial district of Louisiana.’’. ‘‘SPECIFIC POWERS OF COMMISSION vided for in section 1102, the Commission (b) CLERICAL AMENDMENT.—The item relat- ‘‘SEC. 1102b. (a) The Commission may man- may hire independent auditors to perform, in ing to such section in the table of contents age, operate, and maintain the Panama lieu of the Comptroller General, the audit in section 1 of such Act is amended to read Canal. and reporting functions prescribed in sub- as follows: ‘‘(b) The Commission may construct or ac- sections (a) and (b). ‘‘1101. Establishment, Purposes, Offices, and quire, establish, maintain, and operate such ‘‘(e) In addition to auditing the financial Residence of Commission.’’. activities, facilities, and appurtenances as statements of the Commission, the Comp- troller General (or the independent auditor if SEC. 3523. SUPERVISORY BOARD. necessary and appropriate for the accom- plishment of the purposes of this Act, includ- one is employed pursuant to subsection (d)) Section 1102 of the Panama Canal Act of ing the following: shall, in accordance with standards for an 1979 (22 U.S.C. 3612) is amended by striking ‘‘(1) Docks, wharves, piers, and other examination of a financial forecast estab- out so much as precedes subsection (b) and shoreline facilities. lished by the American Institute of Certified inserting in lieu thereof the following: ‘‘(2) Shops and yards. Public Accountants, examine and report on ‘‘SUPERVISORY BOARD ‘‘(3) Marine railways, salvage and towing the Commission’s financial forecast that it ‘‘SEC. 1102. (a) The Commission shall be su- facilities, fuel-handling facilities, and motor will be in a position to meet its financial li- pervised by a Board composed of nine mem- transportation facilities. abilities on December 31, 1999.’’. H 484 CONGRESSIONAL RECORD — HOUSE January 22, 1996

(b) CLERICAL AMENDMENT.—The item relat- full and open competition is implemented in erwise be included in the competitive range ing to such section in the table of contents a manner that is consistent with the need to under subparagraph (A)(i) exceeds the num- in section 1 of such Act is amended to read efficiently fulfill the Government’s require- ber at which an efficient competition can be as follows: ments.’’. conducted, the contracting officer may limit ‘‘1313. Audits.’’. (b) CIVILIAN AGENCY ACQUISITIONS.—Sec- the number of proposals in the competitive tion 303 of the Federal Property and Admin- range, in accordance with the criteria speci- SEC. 3527. PRESCRIPTION OF MEASUREMENT istrative Services Act of 1949 (41 U.S.C. 253) RULES AND RATES OF TOLLS. fied in the solicitation, to the greatest num- is amended— Section 1601 of the Panama Canal Act of ber that will permit an efficient competition (1) by redesignating subsection (h) as sub- 1979 (22 U.S.C. 3791) is amended to read as fol- among the offerors rated most highly in ac- section (i); and lows: cordance with such criteria.’’. (2) by inserting after subsection (g) the fol- (b) CIVILIAN AGENCY ACQUISITIONS.—Sec- ‘‘PRESCRIPTION OF MEASUREMENT RULES AND lowing new subsection (h): tion 303B(d) of the Federal Property and Ad- RATES OF TOLLS ‘‘(h) The Federal Acquisition Regulation ministrative Services Act of 1949 (41 U.S.C. ‘‘SEC. 1601. The Commission may, subject shall ensure that the requirement to obtain 253b(d)) is amended— to the provisions of this Act, prescribe and full and open competition is implemented in (1) by redesignating paragraph (2) as para- from time to time change— a manner that is consistent with the need to graph (3); and ‘‘(1) the rules for the measurement of ves- efficiently fulfill the Government’s require- (2) by inserting before paragraph (3) (as so sels for the Panama Canal; and ments.’’. redesignated) the following new paragraph EVISIONS TO NOTICE THRESHOLDS.—Sec- ‘‘(2) the tolls that shall be levied for use of (c) R (2): tion 18(a)(1)(B) of the Office of Federal Pro- the Panama Canal.’’. ‘‘(2) If the contracting officer determines curement Policy Act (41 U.S.C. 416(a)(1)(B)) SEC. 3528. PROCEDURES FOR CHANGES IN that the number of offerors that would oth- is amended— RULES OF MEASUREMENT AND erwise be included in the competitive range (A) by striking out ‘‘subsection (f)—’’ and RATES OF TOLLS. under paragraph (1)(A) exceeds the number all that follows through the end of the sub- Section 1604 of the Panama Canal Act of at which an efficient competition can be con- paragraph and inserting in lieu thereof ‘‘sub- 1979 (22 U.S.C. 3794) is amended— ducted, the contracting officer may limit the section (b); and’’; and (1) in subsection (a), by striking out number of proposals in the competitive (B) by inserting after ‘‘property or serv- ‘‘1601(a)’’ in the first sentence and inserting range, in accordance with the criteria speci- ices’’ the following: ‘‘for a price expected to in lieu thereof ‘‘1601’’; fied in the solicitation, to the greatest num- exceed $10,000, but not to exceed $25,000,’’. (2) by striking out subsection (c) and in- ber that will permit an efficient competition serting in lieu thereof the following new sub- SEC. 4102. EFFICIENT APPROVAL PROCEDURES. among the offerors rated most highly in ac- section (c): (a) ARMED SERVICES ACQUISITIONS.—Sec- cordance with such criteria.’’. tion 2304(f)(1)(B) of title 10, United States ‘‘(c) After the proceedings have been con- SEC. 4104. PREAWARD DEBRIEFINGS. ducted pursuant to subsections (a) and (b), Code, is amended— (a) ARMED SERVICES ACQUISITIONS.—Sec- the Commission may change the rules of (1) in clause (i)— tion 2305(b) of title 10, United States Code, is measurement or rates of tolls, as the case (A) by striking out ‘‘$100,000 (but equal to amended— may be. The Commission shall publish notice or less than $1,000,000)’’ and inserting in lieu (1) by striking out subparagraph (F) of of any such change in the Federal Register thereof ‘‘$500,000 (but equal to or less than paragraph (5); not less than 30 days before the effective $10,000,000)’’; and (2) by redesignating paragraph (6) as para- date of the change.’’; and (B) by striking out ‘‘(ii), (iii), or (iv)’’ and graph (9); and (3) by striking out subsections (d) and (e) inserting in lieu thereof ‘‘(ii) or (iii)’’; (3) by inserting after paragraph (5) the fol- and redesignating subsection (f) as sub- (2) in clause (ii)— lowing new paragraphs: section (d). (A) by striking out ‘‘$1,000,000 (but equal to or less than $10,000,000)’’ and inserting in lieu ‘‘(6)(A) When the contracting officer ex- SEC. 3529. MISCELLANEOUS TECHNICAL AMEND- cludes an offeror submitting a competitive MENTS. thereof ‘‘$10,000,000 (but equal to or less than $50,000,000)’’; and proposal from the competitive range (or oth- The Panama Canal Act of 1979 is amend- erwise excludes such an offeror from further ed— (B) by adding ‘‘or’’ at the end; (3) by striking out clause (iii); and consideration prior to the final source selec- (1) in section 1205 (22 U.S.C. 3645), by strik- tion decision), the excluded offeror may re- ing out ‘‘appropriation’’ in the last sentence (4) by redesignating clause (iv) as clause (iii). quest in writing, within three days after the and inserting in lieu thereof ‘‘fund’’; date on which the excluded offeror receives (2) in section 1303 (22 U.S.C. 3713), by strik- (b) CIVILIAN AGENCY ACQUISITIONS.—Sec- tion 303(f)(1)(B) of the Federal Property and notice of its exclusion, a debriefing prior to ing out ‘‘The authority of this section may Administrative Services Act of 1949 (41 award. The contracting officer shall make not be used for administrative expenses.’’; U.S.C. 253(f)(1)(B)) is amended— every effort to debrief the unsuccessful (3) in section 1321(d) (22 U.S.C. 3731(d)), by (1) in clause (i)— offeror as soon as practicable but may refuse striking out ‘‘appropriations or’’ in the sec- (A) by striking out ‘‘$100,000 (but equal to the request for a debriefing if it is not in the ond sentence; or less than $1,000,000)’’ and inserting in lieu best interests of the Government to conduct (4) in section 1401(c) (22 U.S.C. 3761(c)), by thereof ‘‘$500,000 (but equal to or less than a debriefing at that time. striking out ‘‘appropriated for or’’ in the $10,000,000)’’; and ‘‘(B) The contracting officer is required to first sentence; (B) by striking out ‘‘(ii), (iii), or (iv);’’ and debrief an excluded offeror in accordance (5) in section 1415 (22 U.S.C. 3775), by strik- inserting in lieu thereof ‘‘(ii) or (iii); and’’; with paragraph (5) of this section only if that ing out ‘‘appropriated or’’ in the second sen- (2) in clause (ii)— offeror requested and was refused a preaward tence; and (A) by striking out ‘‘$1,000,000 (but equal to debriefing under subparagraph (A) of this (6) in section 1416 (22 U.S.C. 3776), by strik- or less than $10,000,000)’’ and inserting in lieu paragraph. ing out ‘‘appropriated or’’ in the third sen- thereof ‘‘$10,000,000 (but equal to or less than ‘‘(C) The debriefing conducted under this tence. $50,000,000)’’; and subsection shall include— SEC. 3530. CONFORMING AMENDMENT TO TITLE (B) by striking out the semicolon after ‘‘ci- ‘‘(i) the executive agency’s evaluation of 31, UNITED STATES CODE. vilian’’ and inserting in lieu thereof a the significant elements in the offeror’s Section 9101(3) of title 31, United States comma; and offer; Code, is amended by adding at the end the (3) in clause (iii), by striking out ‘‘(ii) a summary of the rationale for the following: ‘‘$10,000,000’’ and inserting in lieu thereof offeror’s exclusion; and ‘‘(P) the Panama Canal Commission.’’. ‘‘$50,000,000’’. ‘‘(iii) reasonable responses to relevant DIVISION D—FEDERAL ACQUISITION SEC. 4103. EFFICIENT COMPETITIVE RANGE DE- questions posed by the debriefed offeror as to REFORM TERMINATIONS. whether source selection procedures set SEC. 4001. SHORT TITLE. (a) ARMED SERVICES ACQUISITIONS.—Para- forth in the solicitation, applicable regula- This division may be cited as the ‘‘Federal graph (4) of 2305(b) of title 10, United States tions, and other applicable authorities were Acquisition Reform Act of 1996’’. Code, is amended— followed by the executive agency. (1) in subparagraph (C), by striking out ‘‘(D) The debriefing conducted pursuant to TITLE XLI—COMPETITION ‘‘(C)’’, by transferring the text to the end of this subsection may not disclose the number SEC. 4101. EFFICIENT COMPETITION. subparagraph (B), and in that text by strik- or identity of other offerors and shall not (a) ARMED SERVICES ACQUISITIONS.—Sec- ing out ‘‘Subparagraph (B)’’ and inserting in disclose information about the content, tion 2304 of title 10, United States Code, is lieu thereof ‘‘This subparagraph’’; ranking, or evaluation of other offerors’ pro- amended— (2) by redesignating subparagraph (B) as posals. (1) by redesignating subsection (j) as sub- subparagraph (C); and ‘‘(7) The contracting officer shall include a section (k); and (3) by inserting before subparagraph (C) (as summary of any debriefing conducted under (2) by inserting after subsection (i) the fol- so redesignated) the following new subpara- paragraph (5) or (6) in the contract file. lowing new subsection (j): graph (B): ‘‘(8) The Federal Acquisition Regulation ‘‘(j) The Federal Acquisition Regulation ‘‘(B) If the contracting officer determines shall include a provision encouraging the use shall ensure that the requirement to obtain that the number of offerors that would oth- of alternative dispute resolution techniques January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 485 to provide informal, expeditious, and inex- tion of a public building, facility, or work ered in the evaluations of proposals in ac- pensive procedures for an offeror to consider when a determination is made under sub- cordance with paragraphs (2), (3), and (4) of using before filing a protest, prior to the section (b) that the procedures are appro- section 2305(a) of this title. award of a contract, of the exclusion of the priate for use. The contracting officer separately evaluates offeror from the competitive range (or other- ‘‘(b) CRITERIA FOR USE.—A contracting offi- the submissions described in subparagraphs wise from further consideration) for that cer shall make a determination whether two- (A) and (B). contract.’’. phase selection procedures are appropriate ‘‘(5) The agency awards the contract in ac- (b) CIVILIAN AGENCY ACQUISITIONS.—Sec- for use for entering into a contract for the cordance with section 2305(b)(4) of this title. tion 303B of the Federal Property and Ad- design and construction of a public building, ‘‘(d) SOLICITATION TO STATE NUMBER OF ministrative Services Act of 1949 (41 U.S.C. facility, or work when the contracting offi- OFFERORS TO BE SELECTED FOR PHASE TWO 253b) is amended— cer anticipates that three or more offers will REQUESTS FOR COMPETITIVE PROPOSALS.—A (1) by striking out paragraph (6) of sub- be received for such contract, design work solicitation issued pursuant to the proce- section (e); must be performed before an offeror can de- dures described in subsection (c) shall state (2) by redesignating subsections (f), (g), (h), velop a price or cost proposal for such con- the maximum number of offerors that are to and (i) as subsections (i), (j), (k), and (l), re- tract, the offeror will incur a substantial be selected to submit competitive proposals spectively; and amount of expense in preparing the offer, pursuant to subsection (c)(4). The maximum and the contracting officer has considered (3) by inserting after subsection (e) the fol- number specified in the solicitation shall not information such as the following: lowing new subsections: exceed 5 unless the agency determines with ‘‘(1) The extent to which the project re- ‘‘(f)(1) When the contracting officer ex- respect to an individual solicitation that a quirements have been adequately defined. cludes an offeror submitting a competitive specified number greater than 5 is in the ‘‘(2) The time constraints for delivery of proposal from the competitive range (or oth- Government’s interest and is consistent with the project. erwise excludes such an offeror from further the purposes and objectives of the two-phase ‘‘(3) The capability and experience of po- consideration prior to the final source selec- selection process. tential contractors. tion decision), the excluded offeror may re- ‘‘(e) REQUIREMENT FOR GUIDANCE AND REGU- ‘‘(4) The suitability of the project for use of quest in writing, within 3 days after the date LATIONS.—The Federal Acquisition Regula- the two-phase selection procedures. on which the excluded offeror receives notice tion shall include guidance— ‘‘(5) The capability of the agency to man- of its exclusion, a debriefing prior to award. ‘‘(1) regarding the factors that may be con- age the two-phase selection process. The contracting officer shall make every ef- sidered in determining whether the two- ‘‘(6) Other criteria established by the agen- fort to debrief the unsuccessful offeror as phase contracting procedures authorized by cy. subsection (a) are appropriate for use in indi- soon as practicable but may refuse the re- ‘‘(c) PROCEDURES DESCRIBED.—Two-phase quest for a debriefing if it is not in the best vidual contracting situations; selection procedures consist of the following: ‘‘(2) regarding the factors that may be used interests of the Government to conduct a de- ‘‘(1) The agency develops, either in-house briefing at that time. in selecting contractors; and or by contract, a scope of work statement for ‘‘(3) providing for a uniform approach to be ‘‘(2) The contracting officer is required to inclusion in the solicitation that defines the debrief an excluded offeror in accordance used Government-wide.’’. project and provides prospective offerors (2) The table of sections at the beginning of with subsection (e) of this section only if with sufficient information regarding the that offeror requested and was refused a chapter 137 of such title is amended by add- Government’s requirements (which may in- ing after the item relating to section 2305 the preaward debriefing under paragraph (1) of clude criteria and preliminary design, budget this subsection. following new item: parameters, and schedule or delivery re- ‘‘2305a. Design-build selection procedures.’’. ‘‘(3) The debriefing conducted under this quirements) to enable the offerors to submit (b) CIVILIAN AGENCY ACQUISITIONS.—(1) subsection shall include— proposals which meet the Government’s Title III of the Federal Property and Admin- ‘‘(A) the executive agency’s evaluation of needs. If the agency contracts for develop- istrative Services Act of 1949 (41 U.S.C. 251 et the significant elements in the offeror’s ment of the scope of work statement, the seq.) is amended by inserting after section offer; agency shall contract for architectural and 303L the following new section: ‘‘(B) a summary of the rationale for the engineering services as defined by and in ac- offeror’s exclusion; and cordance with the Brooks Architect-Engi- ‘‘SEC. 303M. DESIGN-BUILD SELECTION PROCE- DURES. ‘‘(C) reasonable responses to relevant ques- neers Act (40 U.S.C. 541 et seq.). ‘‘(a) AUTHORIZATION.—Unless the tradi- tions posed by the debriefed offeror as to ‘‘(2) The contracting officer solicits phase- whether source selection procedures set tional acquisition approach of design-bid- one proposals that— build established under the Brooks Archi- forth in the solicitation, applicable regula- ‘‘(A) include information on the offeror’s— tions, and other applicable authorities were tect-Engineers Act (title IX of this Act) is ‘‘(i) technical approach; and used or another acquisition procedure au- followed by the executive agency. ‘‘(ii) technical qualifications; and ‘‘(4) The debriefing conducted pursuant to thorized by law is used, the head of an execu- ‘‘(B) do not include— tive agency shall use the two-phase selection this subsection may not disclose the number ‘‘(i) detailed design information; or or identity of other offerors and shall not procedures authorized in this section for en- ‘‘(ii) cost or price information. tering into a contract for the design and con- disclose information about the content, ‘‘(3) The evaluation factors to be used in ranking, or evaluation of other offerors’ pro- struction of a public building, facility, or evaluating phase-one proposals are stated in work when a determination is made under posals. the solicitation and include specialized expe- ‘‘(g) The contracting officer shall include a subsection (b) that the procedures are appro- rience and technical competence, capability summary of any debriefing conducted under priate for use. to perform, past performance of the offeror’s subsection (e) or (f) in the contract file. ‘‘(b) CRITERIA FOR USE.—A contracting offi- team (including the architect-engineer and ‘‘(h) The Federal Acquisition Regulation cer shall make a determination whether two- construction members of the team) and shall include a provision encouraging the use phase selection procedures are appropriate other appropriate factors, except that cost- of alternative dispute resolution techniques for use for entering into a contract for the related or price-related evaluation factors to provide informal, expeditious, and inex- design and construction of a public building, are not permitted. Each solicitation estab- pensive procedures for an offeror to consider facility, or work when the contracting offi- lishes the relative importance assigned to using before filing a protest, prior to the cer anticipates that three or more offers will the evaluation factors and subfactors that award of a contract, of the exclusion of the be received for such contract, design work must be considered in the evaluation of offeror from the competitive range (or other- must be performed before an offeror can de- phase-one proposals. The agency evaluates wise from further consideration) for that velop a price or cost proposal for such con- phase-one proposals on the basis of the contract.’’. tract, the offeror will incur a substantial phase-one evaluation factors set forth in the amount of expense in preparing the offer, SEC. 4105. DESIGN-BUILD SELECTION PROCE- solicitation. DURES. and the contracting officer has considered ‘‘(4) The contracting officer selects as the information such as the following: (a) ARMED SERVICES ACQUISITIONS.—(1) most highly qualified the number of offerors ‘‘(1) The extent to which the project re- Chapter 137 of title 10, United States Code, is specified in the solicitation to provide the quirements have been adequately defined. amended by inserting after section 2305 the property or services under the contract and ‘‘(2) The time constraints for delivery of following new section: requests the selected offerors to submit the project. ‘‘§ 2305a. Design-build selection procedures phase-two competitive proposals that in- ‘‘(3) The capability and experience of po- ‘‘(a) AUTHORIZATION.—Unless the tradi- clude technical proposals and cost or price tential contractors. tional acquisition approach of design-bid- information. Each solicitation establishes ‘‘(4) The suitability of the project for use of build established under the Brooks Archi- with respect to phase two— the two-phase selection procedures. tect-Engineers Act (41 U.S.C. 541 et seq.) is ‘‘(A) the technical submission for the pro- ‘‘(5) The capability of the agency to man- used or another acquisition procedure au- posal, including design concepts or proposed age the two-phase selection process. thorized by law is used, the head of an agen- solutions to requirements addressed within ‘‘(6) Other criteria established by the agen- cy shall use the two-phase selection proce- the scope of work (or both), and cy. dures authorized in this section for entering ‘‘(B) the evaluation factors and subfactors, ‘‘(c) PROCEDURES DESCRIBED.—Two-phase into a contract for the design and construc- including cost or price, that must be consid- selection procedures consist of the following: H 486 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(1) The agency develops, either in-house ‘‘(2) regarding the factors that may be used required to be submitted under this section or by contract, a scope of work statement for in selecting contractors; and for a contract, subcontract, or modification inclusion in the solicitation that defines the ‘‘(3) providing for a uniform approach to be of a contract or subcontract, the contracting project and provides prospective offerors used Government-wide.’’. officer shall require submission of data other with sufficient information regarding the (2) The table of sections at the beginning of than certified cost or pricing data to the ex- Government’s requirements (which may in- such Act is amended by inserting after the tent necessary to determine the reasonable- clude criteria and preliminary design, budget item relating to section 303L the following ness of the price of the contract, sub- parameters, and schedule or delivery re- new item: contract, or modification of the contract or quirements) to enable the offerors to submit ‘‘Sec. 303M. Design-build selection proce- subcontract. Except in the case of a contract proposals which meet the Government’s dures.’’. or subcontract covered by the exceptions in needs. If the agency contracts for develop- TITLE XLII—COMMERCIAL ITEMS subsection (b)(1)(A), the data submitted shall ment of the scope of work statement, the SEC. 4201. COMMERCIAL ITEM EXCEPTION TO include, at a minimum, appropriate informa- agency shall contract for architectural and REQUIREMENT FOR CERTIFIED tion on the prices at which the same item or engineering services as defined by and in ac- COST OR PRICING DATA. similar items have previously been sold that cordance with the Brooks Architect-Engi- (a) ARMED SERVICES ACQUISITIONS.—(1) is adequate for evaluating the reasonable- neers Act (40 U.S.C. 541 et seq.). Subsections (b), (c), and (d) of section 2306a ness of the price for the procurement. ‘‘(2) The contracting officer solicits phase- of title 10, United States Code, are amended ‘‘(2) LIMITATIONS ON AUTHORITY.—The Fed- one proposals that— to read as follows: eral Acquisition Regulation shall include the ‘‘(A) include information on the offeror’s— ‘‘(b) EXCEPTIONS.— following provisions regarding the types of ‘‘(i) technical approach; and ‘‘(1) IN GENERAL.—Submission of certified information that contracting officers may ‘‘(ii) technical qualifications; and cost or pricing data shall not be required require under paragraph (1): ‘‘(B) do not include— under subsection (a) in the case of a con- ‘‘(A) Reasonable limitations on requests ‘‘(i) detailed design information; or tract, a subcontract, or modification of a for sales data relating to commercial items. ‘‘(ii) cost or price information. contract or subcontract— ‘‘(B) A requirement that a contracting offi- ‘‘(3) The evaluation factors to be used in ‘‘(A) for which the price agreed upon is cer limit, to the maximum extent prac- evaluating phase-one proposals are stated in based on— ticable, the scope of any request for informa- the solicitation and include specialized expe- ‘‘(i) adequate price competition; or tion relating to commercial items from an rience and technical competence, capability ‘‘(ii) prices set by law or regulation; offeror to only that information that is in to perform, past performance of the offeror’s ‘‘(B) for the acquisition of a commercial the form regularly maintained by the offeror team (including the architect-engineer and item; or in commercial operations. construction members of the team) and ‘‘(C) in an exceptional case when the head ‘‘(C) A statement that any information re- other appropriate factors, except that cost- of the procuring activity, without delega- ceived relating to commercial items that is related or price-related evaluation factors tion, determines that the requirements of exempt from disclosure under section 552(b) are not permitted. Each solicitation estab- this section may be waived and justifies in of title 5 shall not be disclosed by the Fed- lishes the relative importance assigned to writing the reasons for such determination. eral Government.’’. the evaluation factors and subfactors that ‘‘(2) MODIFICATIONS OF CONTRACTS AND SUB- CONTRACTS FOR COMMERCIAL ITEMS.—In the (2) Section 2306a of such title is further must be considered in the evaluation of amended— phase-one proposals. The agency evaluates case of a modification of a contract or sub- contract for a commercial item that is not (A) by striking out subsection (h); and phase-one proposals on the basis of the covered by the exception to the submission (B) by redesignating subsection (i) as sub- phase-one evaluation factors set forth in the of certified cost or pricing data in paragraph section (h). solicitation. (1)(A) or (1)(B), submission of certified cost ‘‘(4) The contracting officer selects as the (b) CIVILIAN AGENCY ACQUISITIONS.—(1) or pricing data shall not be required under most highly qualified the number of offerors Subsections (b), (c) and (d) of section 304A of subsection (a) if— specified in the solicitation to provide the the Federal Property and Administrative ‘‘(A) the contract or subcontract being property or services under the contract and Services Act of 1949 (41 U.S.C. 254b) are modified is a contract or subcontract for requests the selected offerors to submit amended to read as follows: which submission of certified cost or pricing phase-two competitive proposals that in- ‘‘(b) EXCEPTIONS.— data may not be required by reason of para- clude technical proposals and cost or price ‘‘(1) IN GENERAL.—Submission of certified graph (1)(A) or (1)(B); and information. Each solicitation establishes cost or pricing data shall not be required ‘‘(B) the modification would not change with respect to phase two— under subsection (a) in the case of a con- the contract or subcontract, as the case may ‘‘(A) the technical submission for the pro- tract, a subcontract, or a modification of a be, from a contract or subcontract for the posal, including design concepts or proposed contract or subcontract— acquisition of a commercial item to a con- solutions to requirements addressed within ‘‘(A) for which the price agreed upon is tract or subcontract for the acquisition of an the scope of work (or both), and based on— item other than a commercial item. ‘‘(B) the evaluation factors and subfactors, ‘‘(i) adequate price competition; or ‘‘(c) COST OR PRICING DATA ON BELOW- ‘‘(ii) prices set by law or regulation; including cost or price, that must be consid- THRESHOLD CONTRACTS.— ‘‘(B) for the acquisition of a commercial ered in the evaluations of proposals in ac- ‘‘(1) AUTHORITY TO REQUIRE SUBMISSION.— cordance with subsections (b), (c), and (d) of Subject to paragraph (2), when certified cost item; or section 303A. or pricing data are not required to be sub- ‘‘(C) in an exceptional case when the head The contracting officer separately evaluates mitted by subsection (a) for a contract, sub- of the procuring activity, without delega- the submissions described in subparagraphs contract, or modification of a contract or tion, determines that the requirements of (A) and (B). subcontract, such data may nevertheless be this section may be waived and justifies in ‘‘(5) The agency awards the contract in ac- required to be submitted by the head of the writing the reasons for such determination. cordance with section 303B of this title. procuring activity, but only if the head of ‘‘(2) MODIFICATIONS OF CONTRACTS AND SUB- ‘‘(d) SOLICITATION TO STATE NUMBER OF the procuring activity determines that such CONTRACTS FOR COMMERCIAL ITEMS.—In the OFFERORS TO BE SELECTED FOR PHASE TWO data are necessary for the evaluation by the case of a modification of a contract or sub- REQUESTS FOR COMPETITIVE PROPOSALS.—A agency of the reasonableness of the price of contract for a commercial item that is not solicitation issued pursuant to the proce- the contract, subcontract, or modification of covered by the exception to the submission dures described in subsection (c) shall state a contract or subcontract. In any case in of certified cost or pricing data in paragraph the maximum number of offerors that are to which the head of the procuring activity re- (1)(A) or (1)(B), submission of certified cost be selected to submit competitive proposals quires such data to be submitted under this or pricing data shall not be required under pursuant to subsection (c)(4). The maximum subsection, the head of the procuring activ- subsection (a) if— number specified in the solicitation shall not ity shall justify in writing the reason for ‘‘(A) the contract or subcontract being exceed 5 unless the agency determines with such requirement. modified is a contract or subcontract for which submission of certified cost or pricing respect to an individual solicitation that a ‘‘(2) EXCEPTION.—The head of the procuring specified number greater than 5 is in the activity may not require certified cost or data may not be required by reason of para- Government’s interest and is consistent with pricing data to be submitted under this para- graph (1)(A) or (1)(B); and the purposes and objectives of the two-phase graph for any contract or subcontract, or ‘‘(B) the modification would not change selection process. modification of a contract or subcontract, the contract or subcontract, as the case may ‘‘(e) REQUIREMENT FOR GUIDANCE AND REGU- covered by the exceptions in subparagraph be, from a contract or subcontract for the LATIONS.—The Federal Acquisition Regula- (A) or (B) of subsection (b)(1). acquisition of a commercial item to a con- tract or subcontract for the acquisition of an tion shall include guidance— ‘‘(3) DELEGATION OF AUTHORITY PROHIB- item other than a commercial item. ‘‘(1) regarding the factors that may be con- ITED.—The head of a procuring activity may sidered in determining whether the two- not delegate functions under this paragraph. ‘‘(c) COST OR PRICING DATA ON BELOW- phase contracting procedures authorized by ‘‘(d) SUBMISSION OF OTHER INFORMATION.— THRESHOLD CONTRACTS.— subsection (a) are appropriate for use in indi- ‘‘(1) AUTHORITY TO REQUIRE SUBMISSION.— ‘‘(1) AUTHORITY TO REQUIRE SUBMISSION.— vidual contracting situations; When certified cost or pricing data are not Subject to paragraph (2), when certified cost January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 487 or pricing data are not required to be sub- greater than the simplified acquisition ‘‘(2) may not conduct the purchase on a mitted by subsection (a) for a contract, sub- threshold but not greater than $5,000,000 with sole source basis unless the need to do so is contract, or modification of a contract or respect to which the contracting officer rea- justified in writing and approved in accord- subcontract, such data may nevertheless be sonably expects, based on the nature of the ance with section 2304 of title 10, United required to be submitted by the head of the property or services sought and on market States Code, or section 303 of the Federal procuring activity, but only if the head of research, that offers will include only com- Property and Administrative Services Act of the procuring activity determines that such mercial items.’’; and 1949 (41 U.S.C. 253), as applicable; and data are necessary for the evaluation by the (B) by adding at the end the following new ‘‘(3) shall include in the contract file a agency of the reasonableness of the price of paragraph: written description of the procedures used in the contract, subcontract, or modification of ‘‘(4) The head of an agency shall comply awarding the contract and the number of of- a contract or subcontract. In any case in with the Federal Acquisition Regulation pro- fers received.’’. which the head of the procuring activity re- visions referred to in section 31(g) of the Of- (d) SIMPLIFIED NOTICE.—(1) Section 18 of quires such data to be submitted under this fice of Federal Procurement Policy Act (41 the Office of Federal Procurement Policy subsection, the head of the procuring activ- U.S.C. 427).’’. Act (41 U.S.C. 416) is amended— (2) Section 2305 of title 10, United States ity shall justify in writing the reason for (A) in subsection (a)(6), by inserting before Code, is amended in subsection (a)(2) by in- such requirement. ‘‘submission’’ the following: ‘‘issuance of so- serting after ‘‘(other than for’’ the following: ‘‘(2) EXCEPTION.—The head of the procuring licitations and the’’; and ‘‘a procurement for commercial items using activity may not require certified cost or (B) in subsection (b)(6), by striking out pricing data to be submitted under this para- special simplified procedures or’’. (b) CIVILIAN AGENCY ACQUISITIONS.—(1) Sec- ‘‘threshold—’’ and inserting in lieu thereof graph for any contract or subcontract, or ‘‘threshold, or a contract for the procure- modification of a contract or subcontract, tion 303(g) of the Federal Property and Ad- ministrative Services Act of 1949 (41 U.S.C. ment of commercial items using special sim- covered by the exceptions in subparagraph plified procedures—’’. (A) or (B) of subsection (b)(1). 253(g)) is amended— (A) in paragraph (1), by striking out ‘‘shall (e) EFFECTIVE DATE.—The authority to ‘‘(3) DELEGATION OF AUTHORITY PROHIB- provide for special simplified procedures for issue solicitations for purchases of commer- ITED.—The head of a procuring activity may cial items in excess of the simplified acquisi- not delegate the functions under this para- purchases of’’ and all that follows through the end of the paragraph and inserting in tion threshold pursuant to the special sim- graph. plified procedures authorized by section ‘‘(d) SUBMISSION OF OTHER INFORMATION.— lieu thereof the following: ‘‘shall provide for— 2304(g)(1) of title 10, United States Code, sec- ‘‘(1) AUTHORITY TO REQUIRE SUBMISSION.— tion 303(g)(1) of the Federal Property and Ad- When certified cost or pricing data are not ‘‘(A) special simplified procedures for pur- ministrative Services Act of 1949, and section required to be submitted under this section chases of property and services for amounts 31(a) of the Office of Federal Procurement for a contract, subcontract, or modification not greater than the simplified acquisition Policy Act, as amended by this section, shall of a contract or subcontract, the contracting threshold; and expire three years after the date on which officer shall require submission of data other ‘‘(B) special simplified procedures for pur- chases of property and services for amounts such amendments take effect pursuant to than certified cost or pricing data to the ex- greater than the simplified acquisition section 4401(b). Contracts may be awarded tent necessary to determine the reasonable- threshold but not greater than $5,000,000 with pursuant to solicitations that have been is- ness of the price of the contract, sub- respect to which the contracting officer rea- sued before such authority expires, notwith- contract, or modification of the contract or sonably expects, based on the nature of the standing the expiration of such authority. subcontract. Except in the case of a contract property or services sought and on market or subcontract covered by the exceptions in SEC. 4203. INAPPLICABILITY OF CERTAIN PRO- research, that offers will include only com- subsection (b)(1)(A), the data submitted shall CUREMENT LAWS TO COMMER- mercial items.’’; and CIALLY AVAILABLE OFF-THE-SHELF include, at a minimum, appropriate informa- (B) by adding at the end the following new ITEMS. tion on the prices at which the same item or paragraph: (a) LAWS LISTED IN THE FAR.—The Office similar items have previously been sold that ‘‘(5) An executive agency shall comply with of Federal Procurement Policy Act (41 U.S.C. is adequate for evaluating the reasonable- the Federal Acquisition Regulation provi- 401) et seq.) is amended by adding at the end ness of the price for the procurement. sions referred to in section 31(g) of the Office the following: ‘‘(2) LIMITATIONS ON AUTHORITY.—The Fed- of Federal Procurement Policy Act (41 U.S.C. ‘‘SEC. 35. COMMERCIALLY AVAILABLE OFF-THE- eral Acquisition Regulation shall include the 427).’’. following provisions regarding the types of SHELF ITEM ACQUISITIONS: LISTS (2) Section 303A of such Act (41 U.S.C. 253a) OF INAPPLICABLE LAWS IN FED- information that contracting officers may is amended in subsection (b) by inserting ERAL ACQUISITION REGULATION. require under paragraph (1): after ‘‘(other than for’’ the following: ‘‘a pro- ‘‘(a) LISTS OF INAPPLICABLE PROVISIONS OF ‘‘(A) Reasonable limitations on requests curement for commercial items using special LAW.—(1) The Federal Acquisition Regula- for sales data relating to commercial items. simplified procedures or’’. tion shall include a list of provisions of law ‘‘(B) A requirement that a contracting offi- (c) ACQUISITIONS GENERALLY.—Section 31 of that are inapplicable to contracts for the cer limit, to the maximum extent prac- the Office of Federal Procurement Policy procurement of commercially available off- ticable, the scope of any request for informa- Act (41 U.S.C. 427) is amended— the-shelf items. tion relating to commercial items from an (1) in subsection (a), by striking out ‘‘shall ‘‘(2) A provision of law that, pursuant to offeror to only that information that is in provide for special simplified procedures for paragraph (3), is properly included on a list the form regularly maintained by the offeror purchases of’’ and all that follows through referred to in paragraph (1) may not be con- in commercial operations. the end of the subsection and inserting in strued as being applicable to contracts re- ‘‘(C) A statement that any information re- lieu thereof the following: ‘‘shall provide ferred to in paragraph (1). Nothing in this ceived relating to commercial items that is for— section shall be construed to render inap- exempt from disclosure under section 552(b) ‘‘(1) special simplified procedures for pur- plicable to such contracts any provision of of title 5 shall not be disclosed by the Fed- chases of property and services for amounts law that is not included on such list. eral Government.’’. not greater than the simplified acquisition (2) Section 304A of such Act is further threshold; and ‘‘(3) A provision of law described in sub- amended— ‘‘(2) special simplified procedures for pur- section (b) shall be included on the list of in- (A) by striking out subsection (h); and chases of property and services for amounts applicable provisions of law required by (B) by redesignating subsection (i) as sub- greater than the simplified acquisition paragraph (1) unless the Administrator for section (h). threshold but not greater than $5,000,000 with Federal Procurement Policy makes a writ- SEC. 4202. APPLICATION OF SIMPLIFIED PROCE- respect to which the contracting officer rea- ten determination that it would not be in DURES TO CERTAIN COMMERCIAL sonably expects, based on the nature of the the best interest of the United States to ex- ITEMS. property or services sought and on market empt such contracts from the applicability (a) ARMED SERVICES ACQUISITIONS.—(1) Sec- research, that offers will include only com- of that provision of law. Nothing in this sec- tion 2304(g) of title 10, United States Code, is mercial items.’’; and tion shall be construed as modifying or su- amended— (2) by adding at the end the following new perseding, or as being intended to impair or (A) in paragraph (1), by striking out ‘‘shall subsection: restrict authorities or responsibilities provide for special simplified procedures for ‘‘(g) SPECIAL RULES FOR COMMERCIAL under— purchases of’’ and all that follows through ITEMS.—The Federal Acquisition Regulation ‘‘(A) section 15 of the Small Business Act the end of the paragraph and inserting in shall provide that, in the case of a purchase (15 U.S.C. 644); or lieu thereof the following: ‘‘shall provide of commercial items using special simplified ‘‘(B) bid protest procedures developed for— procedures, an executive agency— under the authority of subchapter V of chap- ‘‘(A) special simplified procedures for pur- ‘‘(1) shall publish a notice in accordance ter 35 of title 31, United States Code; sub- chases of property and services for amounts with section 18 and, as provided in sub- sections (e) and (f) of section 2305 of title 10, not greater than the simplified acquisition section (b)(4) of such section, permit all re- United States Code; or subsections (h) and (i) threshold; and sponsible sources to submit a bid, proposal, of section 303B of the Federal Property and ‘‘(B) special simplified procedures for pur- or quotation (as appropriate) which shall be Administrative Services Act of 1949 (41 chases of property and services for amounts considered by the agency; U.S.C. 253b). H 488 CONGRESSIONAL RECORD — HOUSE January 22, 1996

‘‘(b) COVERED LAW.—Except as provided in (C) in subsection (b)(1)— in a procurement regulation of an executive subsection (a)(3), the list referred to in sub- (i) by striking out subparagraph (A); agency unless— section (a)(1) shall include each provision of (ii) by redesignating subparagraph (B) as ‘‘(i) the certification requirement is spe- law that, as determined by the Adminis- subparagraph (A) and in that subparagraph cifically imposed by statute; or trator, imposes on persons who have been by striking out ‘‘such certification by failing ‘‘(ii) written justification for such certifi- awarded contracts by the Federal Govern- to carry out’’; and cation requirement is provided to the head of ment for the procurement of commercially (iii) by redesignating subparagraph (C) as the executive agency by the senior procure- available off-the-shelf items Government- subparagraph (B). ment executive of the agency, and the head unique policies, procedures, requirements, or (b) ELIMINATION OF CERTAIN REGULATORY of the executive agency approves in writing restrictions for the procurement of property CERTIFICATION REQUIREMENTS.— the inclusion of such certification require- or services, except the following: (1) CURRENT CERTIFICATION REQUIRE- ment. ‘‘(1) A provision of law that provides for MENTS.—(A) Not later than 210 days after the ‘‘(B) For purposes of subparagraph (A), the criminal or civil penalties. date of the enactment of this Act, the Ad- term ‘head of the executive agency’ with re- ‘‘(2) A provision of law that specifically re- ministrator for Federal Procurement Policy spect to a military department means the fers to this section and provides that, not- shall issue for public comment a proposal to Secretary of Defense.’’. withstanding this section, such provision of amend the Federal Acquisition Regulation to (B) The item relating to section 29 in the law shall be applicable to contracts for the remove from the Federal Acquisition Regu- table of contents for the Office of Federal procurement of commercial off-the-shelf lation certification requirements for con- Procurement Policy Act (contained in sec- items. tractors and offerors that are not specifi- tion 1(b)) (41 U.S.C. 401 note) is amended to ‘‘(c) DEFINITION.—(1) As used in this sec- cally imposed by statute. The Administrator read as follows: tion, the term ‘commercially available off- may omit such a certification requirement ‘‘Sec. 29. Contract clauses and certifi- the-shelf item’ means, except as provided in from the proposal only if— cations.’’. paragraph (2), an item that— (i) the Federal Acquisition Regulatory (c) POLICY OF CONGRESS.—Section 29 of the ‘‘(A) is a commercial item (as described in Council provides the Administrator with a Office of Federal Procurement Policy Act (41 section 4(12)(A)); written justification for the requirement and U.S.C. 425) is further amended by adding ‘‘(B) is sold in substantial quantities in the a determination that there is no less burden- after subsection (a) the following new sub- commercial marketplace; and some means for administering and enforcing section: ‘‘(C) is offered to the Government, without the particular regulation that contains the ‘‘(b) CONSTRUCTION OF CERTIFICATION RE- modification, in the same form in which it is certification requirement; and QUIREMENTS.—A provision of law may not be sold in the commercial marketplace. (ii) the Administrator approves in writing construed as requiring a certification by a ‘‘(2) The term ‘commercially available off- the retention of the certification require- contractor or offeror in a procurement made the-shelf item’ does not include bulk cargo, ment. or to be made by the Federal Government as defined in section 3 of the Shipping Act of (B)(i) Not later than 210 days after the date unless that provision of law specifically pro- 1984 (46 U.S.C. App. 1702), such as agricul- of the enactment of this Act, the head of vides that such a certification shall be re- each executive agency that has agency pro- tural products and petroleum products.’’. quired.’’. curement regulations containing one or (b) CLERICAL AMENDMENT.—The table of SEC. 4302. AUTHORITIES CONDITIONED ON contents in section 1(b) of such Act is more certification requirements for contrac- FACNET CAPABILITY. tors and offerors that are not specifically im- amended by inserting after the item relating (a) COMMENCEMENT AND EXPIRATION OF AU- posed by statute shall issue for public com- to section 34 the following: THORITY TO CONDUCT CERTAIN TESTS OF PRO- ‘‘Sec. 35. Commercially available off-the- ment a proposal to amend the regulations to CUREMENT PROCEDURES.—Subsection (j) of remove the certification requirements. The shelf item acquisitions: lists of section 5061 of the Federal Acquisition head of the executive agency may omit such inapplicable laws in Federal Ac- Streamlining Act of 1994 (41 U.S.C. 413 note; a certification requirement from the pro- quisition Regulation.’’. 108 Stat. 3355) is amended to read as follows: posal only if— ‘‘(j) COMMENCEMENT AND EXPIRATION OF AU- SEC. 4204. AMENDMENT OF COMMERCIAL ITEMS (I) the senior procurement executive for THORITY.—The authority to conduct a test DEFINITION. the executive agency provides the head of under subsection (a) in an agency and to Section 4(12)(F) of the Office of Federal the executive agency with a written jus- award contracts under such a test shall take Procurement Policy Act (41 U.S.C. 403(12)(F)) tification for the requirement and a deter- effect on January 1, 1997, and shall expire on is amended by inserting ‘‘or market’’ after mination that there is no less burdensome January 1, 2001. A contract entered into be- ‘‘catalog’’. means for administering and enforcing the fore such authority expires in an agency pur- SEC. 4205. INAPPLICABILITY OF COST ACCOUNT- particular regulation that contains the cer- suant to a test shall remain in effect, in ac- ING STANDARDS TO CONTRACTS tification requirement; and AND SUBCONTRACTS FOR COMMER- cordance with the terms of the contract, the CIAL ITEMS. (II) the head of the executive agency ap- notwithstanding of expiration the authority Paragraph (2)(B) of section 26(f) of the Of- proves in writing the retention of such cer- to conduct the test under this section.’’. fice of Federal Procurement Policy Act (41 tification requirement. (b) USE OF SIMPLIFIED ACQUISITION PROCE- U.S.C. 422(f)) is amended— (ii) For purposes of clause (i), the term DURES.—Subsection (e) of section 31 of the (1) by striking out clause (i) and inserting ‘‘head of the executive agency’’ with respect Office of Federal Procurement Policy Act (41 in lieu thereof the following: to a military department means the Sec- U.S.C. 427) is amended— ‘‘(i) Contracts or subcontracts for the ac- retary of Defense. (1) by striking out ‘‘ACQUISITION PROCE- quisition of commercial items.’’; and (2) FUTURE CERTIFICATION REQUIREMENTS.— DURES.—’’ and all that follows through ‘‘(B) (2) by striking out clause (iii). (A) Section 29 of the Office of Federal Pro- The simplified acquisition’’ in paragraph curement Policy Act (41 U.S.C. 425) is amend- (2)(B) and inserting in lieu thereof ‘‘ACQUISI- TITLE XLIII—ADDITIONAL REFORM ed— TION PROCEDURES.—The simplified acquisi- PROVISIONS (i) by amending the heading to read as fol- tion’’; and Subtitle A—Additional Acquisition Reform lows: (2) by striking out ‘‘pursuant to this sec- Provisions ‘‘SEC. 29. CONTRACT CLAUSES AND tion’’ in the remaining text and inserting in SEC. 4301. ELIMINATION OF CERTAIN CERTIFI- CERTIFICATIONS.’’; lieu thereof ‘‘pursuant to section CATION REQUIREMENTS. (ii) by inserting ‘‘(a) NONSTANDARD CON- 2304(g)(1)(A) of title 10, United States Code, (a) ELIMINATION OF CERTAIN STATUTORY TRACT CLAUSES.—’’ before ‘‘The Federal Ac- section 303(g)(1)(A) of the Federal Property CERTIFICATION REQUIREMENTS.—(1) Section quisition’’; and and Administrative Services Act of 1949 (41 2410b of title 10, United States Code, is (iii) by adding at the end the following new U.S.C. 253(g)(1)(A)), and subsection (a)(1) of amended in paragraph (2) by striking out subsection: this section’’. ‘‘certification and’’. ‘‘(c) PROHIBITION ON CERTIFICATION RE- SEC. 4303. INTERNATIONAL COMPETITIVENESS. (2) Section 1352(b)(2) of title 31, United QUIREMENTS.—(1) A requirement for a certifi- (a) ADDITIONAL AUTHORITY TO WAIVE RE- States Code, is amended— cation by a contractor or offeror may not be SEARCH, DEVELOPMENT, AND PRODUCTION (A) by striking out subparagraph (C); and included in the Federal Acquisition Regula- COSTS.—Subject to subsection (b), section (B) by inserting ‘‘and’’ after the semicolon tion unless— 21(e)(2) of the Arms Export Control Act (22 at the end of subparagraph (A). ‘‘(A) the certification requirement is spe- U.S.C. 2761(e)(2)) is amended— (3) Section 5152 of the Drug-Free Work- cifically imposed by statute; or (1) by inserting ‘‘(A)’’ after ‘‘(2)’’; and place Act of 1988 (41 U.S.C. 701) is amended— ‘‘(B) written justification for such certifi- (2) by adding at the end the following new (A) in subsection (a)(1), by striking out cation requirement is provided to the Ad- subparagraphs: ‘‘has certified to the contracting agency that ministrator for Federal Procurement Policy ‘‘(B) The President may waive the charge it will’’ and inserting in lieu thereof ‘‘agrees by the Federal Acquisition Regulatory Coun- or charges which would otherwise be consid- to’’; cil, and the Administrator approves in writ- ered appropriate under paragraph (1)(B) for a (B) in subsection (a)(2), by striking out ing the inclusion of such certification re- particular sale if the President determines ‘‘contract includes a certification by the in- quirement. that— dividual’’ and inserting in lieu thereof ‘‘indi- ‘‘(2)(A) A requirement for a certification by ‘‘(i) imposition of the charge or charges vidual agrees’’; and a contractor or offeror may not be included likely would result in the loss of the sale; or January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 489 ‘‘(ii) in the case of a sale of major defense or source selection information before the tracts for that contractor that are valued in equipment that is also being procured for the award of a Federal agency procurement con- excess of $10,000,000; use of the Armed Forces, the waiver of the tract to which the information relates. ‘‘(iii) a decision to approve issuance of a charge or charges would (through a resulting ‘‘(c) ACTIONS REQUIRED OF PROCUREMENT contract payment or payments in excess of increase in the total quantity of the equip- OFFICERS WHEN CONTACTED BY OFFERORS RE- $10,000,000 to that contractor; or ment purchased from the source of the equip- GARDING NON-FEDERAL EMPLOYMENT.—(1) If ‘‘(iv) a decision to pay or settle a claim in ment that causes a reduction in the unit cost an agency official who is participating per- excess of $10,000,000 with that contractor. of the equipment) result in a savings to the sonally and substantially in a Federal agen- ‘‘(2) Nothing in paragraph (1) may be con- United States on the cost of the equipment cy procurement for a contract in excess of strued to prohibit a former official of a Fed- procured for the use of the Armed Forces the simplified acquisition threshold contacts eral agency from accepting compensation that substantially offsets the revenue fore- or is contacted by a person who is a bidder or from any division or affiliate of a contractor gone by reason of the waiver of the charge or offeror in that Federal agency procurement that does not produce the same or similar charges. regarding possible non-Federal employment products or services as the entity of the con- ‘‘(C) The President may waive, for particu- for that official, the official shall— tractor that is responsible for the contract lar sales of major defense equipment, any in- ‘‘(A) promptly report the contact in writ- referred to in subparagraph (A), (B), or (C) of crease in a charge or charges previously con- ing to the official’s supervisor and to the such paragraph. sidered appropriate under paragraph (1)(B) if designated agency ethics official (or des- ‘‘(3) A former official who knowingly ac- the increase results from a correction of an ignee) of the agency in which the official is cepts compensation in violation of this sub- estimate (reasonable when made) of the pro- employed; and section shall be subject to penalties and ad- ministrative actions as set forth in sub- duction quantity base that was used for cal- ‘‘(B)(i) reject the possibility of non-Federal section (e). culating the charge or charges for purposes employment; or ‘‘(ii) disqualify himself or herself from fur- ‘‘(4) A contractor who provides compensa- of such paragraph.’’. tion to a former official knowing that such (b) CONDITIONS.—Subsection (a) shall be ef- ther personal and substantial participation compensation is accepted by the former offi- in that Federal agency procurement until fective only if— cial in violation of this subsection shall be such time as the agency has authorized the (1) the President, in the budget of the subject to penalties and administrative ac- official to resume participation in such pro- President for fiscal year 1997, proposes legis- tions as set forth in subsection (e). lation that if enacted would be qualifying curement, in accordance with the require- ‘‘(5) Regulations implementing this sub- offsetting legislation; and ments of section 208 of title 18, United States section shall include procedures for an offi- (2) there is enacted qualifying offsetting Code, and applicable agency regulations on cial or former official of a Federal agency to legislation. the grounds that— request advice from the appropriate des- (c) EFFECTIVE DATE.—If the conditions in ‘‘(I) the person is no longer a bidder or ignated agency ethics official regarding subsection (b) are met, then the amendments offeror in that Federal agency procurement; whether the official or former official is or made by subsection (a) shall take effect on or would be precluded by this subsection from the date of the enactment of qualifying off- ‘‘(II) all discussions with the bidder or accepting compensation from a particular setting legislation. offeror regarding possible non-Federal em- contractor. (d) DEFINITIONS.—For purposes of this sec- ployment have terminated without an agree- ‘‘(e) PENALTIES AND ADMINISTRATIVE AC- tion: ment or arrangement for employment. TIONS.— (1) The term ‘‘qualifying offsetting legisla- ‘‘(2) Each report required by this sub- ‘‘(1) CRIMINAL PENALTIES.—Whoever en- tion’’ means legislation that includes provi- section shall be retained by the agency for gages in conduct constituting a violation of sions that— not less than two years following the sub- subsection (a) or (b) for the purpose of ei- (A) offset fully the estimated revenues lost mission of the report. All such reports shall ther— as a result of the amendments made by sub- be made available to the public upon re- ‘‘(A) exchanging the information covered section (a) for each of the fiscal years 1997 quest, except that any part of a report that by such subsection for anything of value, or through 2005; is exempt from the disclosure requirements ‘‘(B) obtaining or giving anyone a competi- (B) expressly state that they are enacted of section 552 of title 5, United States Code, tive advantage in the award of a Federal for the purpose of the offset described in sub- under subsection (b)(1) of such section may agency procurement contract, paragraph (A); and be withheld from disclosure to the public. shall be imprisoned for not more than 5 (C) are included in full on the PayGo score- ‘‘(3) An official who knowingly fails to years or fined as provided under title 18, card. comply with the requirements of this sub- United States Code, or both. (2) The term ‘‘PayGo scorecard’’ means the section shall be subject to the penalties and ‘‘(2) CIVIL PENALTIES.—The Attorney Gen- estimates that are made by the Director of administrative actions set forth in sub- eral may bring a civil action in an appro- the Congressional Budget Office and the Di- section (e). priate United States district court against rector of the Office of Management and ‘‘(4) A bidder or offeror who engages in em- any person who engages in conduct con- Budget under section 252(d) of the Balanced ployment discussions with an official who is stituting a violation of subsection (a), (b), Budget and Emergency Deficit Control Act subject to the restrictions of this subsection, (c), or (d). Upon proof of such conduct by a of 1985. knowing that the official has not complied preponderance of the evidence, the person is SEC. 4304. PROCUREMENT INTEGRITY. with subparagraph (A) or (B) of paragraph subject to a civil penalty. An individual who (1), shall be subject to the penalties and ad- (a) AMENDMENT OF PROCUREMENT INTEGRITY engages in such conduct is subject to a civil ministrative actions set forth in subsection PROVISION.—Section 27 of the Office of Fed- penalty of not more than $50,000 for each vio- eral Procurement Policy Act (41 U.S.C. 423) (e). lation plus twice the amount of compensa- ‘‘(d) PROHIBITION ON FORMER OFFICIAL’S AC- is amended to read as follows: tion which the individual received or offered CEPTANCE OF COMPENSATION FROM CONTRAC- ‘‘SEC. 27. RESTRICTIONS ON DISCLOSING AND for the prohibited conduct. An organization TOR.—(1) A former official of a Federal agen- OBTAINING CONTRACTOR BID OR that engages in such conduct is subject to a PROPOSAL INFORMATION OR cy may not accept compensation from a con- civil penalty of not more than $500,000 for SOURCE SELECTION INFORMATION. tractor as an employee, officer, director, or each violation plus twice the amount of com- ‘‘(a) PROHIBITION ON DISCLOSING PROCURE- consultant of the contractor within a period pensation which the organization received or MENT INFORMATION.—(1) A person described of one year after such former official— offered for the prohibited conduct. in paragraph (2) shall not, other than as pro- ‘‘(A) served, at the time of selection of the ‘‘(3) ADMINISTRATIVE ACTIONS.—(A) If a Fed- vided by law, knowingly disclose contractor contractor or the award of a contract to that eral agency receives information that a con- bid or proposal information or source selec- contractor, as the procuring contracting offi- tractor or a person has engaged in conduct tion information before the award of a Fed- cer, the source selection authority, a mem- constituting a violation of subsection (a), eral agency procurement contract to which ber of the source selection evaluation board, (b), (c), or (d), the Federal agency shall con- the information relates. or the chief of a financial or technical eval- sider taking one or more of the following ac- ‘‘(2) Paragraph (1) applies to any person uation team in a procurement in which that tions, as appropriate: who— contractor was selected for award of a con- ‘‘(i) Cancellation of the Federal agency ‘‘(A) is a present or former official of the tract in excess of $10,000,000; procurement, if a contract has not yet been United States, or a person who is acting or ‘‘(B) served as the program manager, dep- awarded. has acted for or on behalf of, or who is advis- uty program manager, or administrative ‘‘(ii) Rescission of a contract with respect ing or has advised the United States with re- contracting officer for a contract in excess of to which— spect to, a Federal agency procurement; and $10,000,000 awarded to that contractor; or ‘‘(I) the contractor or someone acting for ‘‘(B) by virtue of that office, employment, ‘‘(C) personally made for the Federal agen- the contractor has been convicted for an of- or relationship has or had access to contrac- cy— fense punishable under paragraph (1), or tor bid or proposal information or source se- ‘‘(i) a decision to award a contract, sub- ‘‘(II) the head of the agency that awarded lection information. contract, modification of a contract or sub- the contract has determined, based upon a ‘‘(b) PROHIBITION ON OBTAINING PROCURE- contract, or a task order or delivery order in preponderance of the evidence, that the con- MENT INFORMATION.—A person shall not, excess of $10,000,000 to that contractor; tractor or someone acting for the contractor other than as provided by law, knowingly ob- ‘‘(ii) a decision to establish overhead or has engaged in conduct constituting such an tain contractor bid or proposal information other rates applicable to a contract or con- offense. H 490 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(iii) Initiation of suspension or debarment petitive procedures and awarding a contract) (4) Subsection (c) of section 32 of the Office proceedings for the protection of the Govern- of goods or services (including construction) of Federal Procurement Policy Act (41 U.S.C. ment in accordance with procedures in the from non-Federal sources by a Federal agen- 428). Federal Acquisition Regulation. cy using appropriated funds. (5) The first section 19 of the Federal Non- ‘‘(iv) Initiation of adverse personnel ac- ‘‘(5) The term ‘contracting officer’ means a nuclear Energy Research and Development tion, pursuant to the procedures in chapter person who, by appointment in accordance Act of 1974 (42 U.S.C. 5918). 75 of title 5, United States Code, or other ap- with applicable regulations, has the author- (6) Part A of title VI of the Department of plicable law or regulation. ity to enter into a Federal agency procure- Energy Organization Act and its catchline ‘‘(B) If a Federal agency rescinds a con- ment contract on behalf of the Government (42 U.S.C. 7211, 7212, and 7218). tract pursuant to subparagraph (A)(ii), the and to make determinations and findings (7) Section 308 of the Energy Research and United States is entitled to recover, in addi- with respect to such a contract. Development Administration Appropriation tion to any penalty prescribed by law, the ‘‘(6) The term ‘protest’ means a written ob- Authorization Act for Fiscal Year 1977 (42 amount expended under the contract. jection by an interested party to the award U.S.C. 5816a). ‘‘(C) For purposes of any suspension or de- or proposed award of a Federal agency pro- (8) Section 522 of the Energy Policy and barment proceedings initiated pursuant to curement contract, pursuant to subchapter Conservation Act (42 U.S.C. 6392). subparagraph (A)(iii), engaging in conduct V of chapter 35 of title 31, United States (c) CLERICAL AMENDMENTS.— constituting an offense under subsection (a), Code. (1) The table of sections at the beginning of (b), (c), or (d) affects the present responsibil- ‘‘(7) The term ‘official’ means the follow- chapter 141 of title 10, United States Code, is ity of a Government contractor or sub- ing: amended by striking out the items relating contractor. ‘‘(A) An officer, as defined in section 2104 of to sections 2397, 2397a, 2397b, and 2397c. ‘‘(f) DEFINITIONS.—As used in this section: title 5, United States Code. (2) The table of sections at the beginning of ‘‘(1) The term ‘contractor bid or proposal ‘‘(B) An employee, as defined in section chapter 15 of title 18, United States Code, is information’ means any of the following in- 2105 of title 5, United States Code. amended by striking out the item relating to formation submitted to a Federal agency as ‘‘(C) A member of the uniformed services, section 281. part of or in connection with a bid or pro- as defined in section 2101(3) of title 5, United (3) Section 32 of the Office of Federal Pro- posal to enter into a Federal agency procure- curement Policy Act (41 U.S.C. 428) is amend- ment contract, if that information has not States Code. ed by redesignating subsections (d), (e), (f), been previously made available to the public ‘‘(g) LIMITATION ON PROTESTS.—No person and (g) as subsections (c), (d), (e), and (f), re- or disclosed publicly: may file a protest against the award or pro- spectively. ‘‘(A) Cost or pricing data (as defined by posed award of a Federal agency procure- (4) The table of contents for the Depart- section 2306a(h) of title 10, United States ment contract alleging a violation of sub- ment of Energy Organization Act is amended Code, with respect to procurements subject section (a), (b), (c), or (d), nor may the Comp- to that section, and section 304A(h) of the troller General of the United States consider by striking out the items relating to part A Federal Property and Administrative Serv- such an allegation in deciding a protest, un- of title VI including sections 601 through 603. ices Act of 1949 (41 U.S.C. 254b(h)), with re- less that person reported to the Federal (5) The table of contents for the Energy spect to procurements subject to that sec- agency responsible for the procurement, no Policy and Conservation Act is amended by tion). later than 14 days after the person first dis- striking out the item relating to section 522. ‘‘(B) Indirect costs and direct labor rates. covered the possible violation, the informa- SEC. 4305. FURTHER ACQUISITION STREAMLIN- ‘‘(C) Proprietary information about manu- tion that the person believed constitutes evi- ING PROVISIONS. facturing processes, operations, or tech- dence of the offense. (a) PURPOSE OF OFFICE OF FEDERAL PRO- niques marked by the contractor in accord- ‘‘(h) SAVINGS PROVISIONS.—This section CUREMENT POLICY.— ance with applicable law or regulation. does not— (1) REVISED STATEMENT OF PURPOSE.—Sec- ‘‘(D) Information marked by the contrac- ‘‘(1) restrict the disclosure of information tion 5(a) of the Office of Federal Procure- tor as ‘contractor bid or proposal informa- to, or its receipt by, any person or class of ment Policy Act (41 U.S.C. 404) is amended to tion’, in accordance with applicable law or persons authorized, in accordance with appli- read as follows: regulation. cable agency regulations or procedures, to ‘‘(a) There is in the Office of Management ‘‘(2) The term ‘source selection informa- receive that information; and Budget an Office of Federal Procurement tion’ means any of the following information ‘‘(2) restrict a contractor from disclosing Policy (hereinafter referred to as the ‘Of- prepared for use by a Federal agency for the its own bid or proposal information or the fice’) to provide overall direction of Govern- purpose of evaluating a bid or proposal to recipient from receiving that information; ment-wide procurement policies, regula- enter into a Federal agency procurement ‘‘(3) restrict the disclosure or receipt of in- tions, procedures, and forms for executive contract, if that information has not been formation relating to a Federal agency pro- agencies and to promote economy, effi- previously made available to the public or curement after it has been canceled by the ciency, and effectiveness in the procurement disclosed publicly: Federal agency before contract award unless of property and services by the executive ‘‘(A) Bid prices submitted in response to a the Federal agency plans to resume the pro- branch of the Federal Government.’’. Federal agency solicitation for sealed bids, curement; (2) REPEAL OF FINDINGS, POLICIES, AND PUR- or lists of those bid prices before public bid ‘‘(4) prohibit individual meetings between POSES.—Sections 2 and 3 of such Act (41 opening. a Federal agency official and an offeror or U.S.C. 401 and 402) are repealed. ‘‘(B) Proposed costs or prices submitted in potential offeror for, or a recipient of, a con- (b) REPEAL OF REPORT REQUIREMENT.—Sec- response to a Federal agency solicitation, or tract or subcontract under a Federal agency tion 8 of the Office of Federal Procurement lists of those proposed costs or prices. procurement, provided that unauthorized Policy Act (41 U.S.C. 407) is repealed. ‘‘(C) Source selection plans. disclosure or receipt of contractor bid or pro- (c) OBSOLETE PROVISIONS.— ‘‘(D) Technical evaluation plans. posal information or source selection infor- (1) RELATIONSHIP TO FORMER REGULA- ‘‘(E) Technical evaluations of proposals. mation does not occur; TIONS.—Section 10 of the Office of Federal ‘‘(F) Cost or price evaluations of proposals. ‘‘(5) authorize the withholding of informa- Procurement Policy Act (41 U.S.C. 409) is re- ‘‘(G) Competitive range determinations tion from, nor restrict its receipt by, Con- pealed. that identify proposals that have a reason- gress, a committee or subcommittee of Con- (2) AUTHORIZATION OF APPROPRIATIONS.— able chance of being selected for award of a gress, the Comptroller General, a Federal Section 11 of such Act (41 U.S.C. 410) is contract. agency, or an inspector general of a Federal amended to read as follows: ‘‘(H) Rankings of bids, proposals, or com- agency; petitors. ‘‘(6) authorize the withholding of informa- ‘‘SEC. 11. AUTHORIZATION OF APPROPRIATIONS. ‘‘(I) The reports and evaluations of source tion from, nor restrict its receipt by, the ‘‘There is authorized to be appropriated for selection panels, boards, or advisory coun- Comptroller General of the United States in the Office of Federal Procurement Policy cils. the course of a protest against the award or each fiscal year such sums as may be nec- ‘‘(J) Other information marked as ‘source proposed award of a Federal agency procure- essary for carrying out the responsibilities of selection information’ based on a case-by- ment contract; or that office for such fiscal year.’’. case determination by the head of the agen- ‘‘(7) limit the applicability of any require- (d) CLERICAL AMENDMENTS.—The table of cy, his designee, or the contracting officer ments, sanctions, contract penalties, and contents for the Office of Federal Procure- that its disclosure would jeopardize the in- remedies established under any other law or ment Policy Act (contained in section 1(b)) tegrity or successful completion of the Fed- regulation.’’. is amended by striking out the items relat- eral agency procurement to which the infor- (b) REPEALS.—The following provisions of ing to sections 2, 3, 8, and 10. mation relates. law are repealed: SEC. 4306. VALUE ENGINEERING FOR FEDERAL ‘‘(3) The term ‘Federal agency’ has the (1) Sections 2397, 2397a, 2397b, and 2397c of AGENCIES. meaning provided such term in section 3 of title 10, United States Code. (a) USE OF VALUE ENGINEERING.—The Office the Federal Property and Administrative (2) Section 33 of the Federal Energy Ad- of Federal Procurement Policy Act (41 U.S.C. Services Act of 1949 (40 U.S.C. 472). ministration Act of 1974 (15 U.S.C. 789). 401 et seq.), as amended by section 4203, is ‘‘(4) The term ‘Federal agency procure- (3) Section 281 of title 18, United States further amended by adding at the end the ment’ means the acquisition (by using com- Code. following new section: January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 491

‘‘SEC. 36. VALUE ENGINEERING. ‘‘(e) APPLICABILITY TO ACQUISITION tion requirements and make prescriptions ‘‘(a) IN GENERAL.—Each executive agency WORKFORCE.—The programs established by under paragraph (1) that are comparable to shall establish and maintain cost-effective this section shall apply to the acquisition those established for the same or equivalent value engineering procedures and processes. workforce of each executive agency. For pur- positions pursuant to chapter 87 of title 10, ‘‘(b) DEFINITION.—As used in this section, poses of this section, the acquisition United States Code, with appropriate modi- the term ‘value engineering’ means an analy- workforce of an agency consists of all em- fications. sis of the functions of a program, project, ployees serving in acquisition positions list- ‘‘(3) APPROVAL OF REQUIREMENTS.—The Ad- system, product, item of equipment, build- ed in subsection (g)(1)(A). ministrator shall submit any requirement ing, facility, service, or supply of an execu- ‘‘(f) CAREER DEVELOPMENT.— established or prescription made under para- tive agency, performed by qualified agency ‘‘(1) CAREER PATHS.—The head of each exec- graph (1) to the Director of the Office of Per- or contractor personnel, directed at improv- utive agency shall ensure that appropriate sonnel Management for approval. If the Di- ing performance, reliability, quality, safety, career paths for personnel who desire to pur- rector does not disapprove a requirement or and life cycle costs.’’. sue careers in acquisition are identified in prescription within 30 days after the date on (b) CLERICAL AMENDMENT.—The table of terms of the education, training, experience, which the Director receives it, the require- contents for such Act, contained in section and assignments necessary for career pro- ment or prescription is deemed to be ap- 1(b), is amended by adding at the end the fol- gression to the most senior acquisition posi- proved by the Director. lowing new item: tions. The head of each executive agency ‘‘(h) EDUCATION AND TRAINING.— ‘‘Sec. 36. Value engineering.’’. shall make information available on such ca- reer paths. ‘‘(1) FUNDING LEVELS.—(A) The head of an SEC. 4307. ACQUISITION WORKFORCE. executive agency shall set forth separately (a) ACQUISITION WORKFORCE.—(1) The Office ‘‘(2) CRITICAL DUTIES AND TASKS.—For each the funding levels requested for education of Federal Procurement Policy Act (41 U.S.C. career path, the head of each executive agen- and training of the acquisition workforce in 401 et seq.), as amended by section 4306, is cy shall identify the critical acquisition-re- the budget justification documents submit- further amended by adding at the end the lated duties and tasks in which, at mini- ted in support of the President’s budget sub- following new section: mum, employees of the agency in the career path shall be competent to perform at full mitted to Congress under section 1105 of title ‘‘SEC. 37. ACQUISITION WORKFORCE. 31, United States Code. ‘‘(a) APPLICABILITY.—This section does not performance grade levels. For this purpose, ‘‘(B) Funds appropriated for education and apply to an executive agency that is subject the head of the executive agency shall pro- training under this section may not be obli- to chapter 87 of title 10, United States Code. vide appropriate coverage of the critical du- gated for any other purpose. ‘‘(b) MANAGEMENT POLICIES.— ties and tasks identified by the Director of ‘‘(2) TUITION ASSISTANCE.—The head of an ‘‘(1) POLICIES AND PROCEDURES.—The head the Federal Acquisition Institute. of each executive agency, after consultation ‘‘(3) MANDATORY TRAINING AND EDU- executive agency may provide tuition reim- with the Administrator for Federal Procure- CATION.—For each career path, the head of bursement in education (including a full- ment Policy, shall establish policies and pro- each executive agency shall establish re- time course of study leading to a degree) in cedures for the effective management (in- quirements for the completion of course accordance with section 4107 of title 5, Unit- cluding accession, education, training, ca- work and related on-the-job training in the ed States Code, for personnel serving in ac- reer development, and performance incen- critical acquisition-related duties and tasks quisition positions in the agency.’’. tives) of the acquisition workforce of the of the career path. The head of each execu- (2) The table of contents for such Act, con- agency. The development of acquisition tive agency shall also encourage employees tained in section 1(b), is amended by adding workforce policies under this section shall be to maintain the currency of their acquisition at the end the following new item: knowledge and generally enhance their carried out consistent with the merit system ‘‘Sec. 37. Acquisition workforce.’’. principles set forth in section 2301(b) of title knowledge of related acquisition manage- 5, United States Code. ment disciplines through academic programs (b) ADDITIONAL AMENDMENTS.—Section 6(d) ‘‘(2) UNIFORM IMPLEMENTATION.—The head and other self-developmental activities. of the Office of Federal Procurement Policy of each executive agency shall ensure that, ‘‘(4) PERFORMANCE INCENTIVES.—The head Act (41 U.S.C. 405), is amended— to the maximum extent practicable, acquisi- of each executive agency shall provide for an (1) by redesignating paragraphs (6), (7), (8), tion workforce policies and procedures estab- enhanced system of incentives for the en- (9), (10), (11), and (12) (as transferred by sec- lished are uniform in their implementation couragement of excellence in the acquisition tion 4321(h)(1)) as paragraphs (7), (8), (9), (10), throughout the agency. workforce which rewards performance of em- (11), (12), and (13), respectively; ‘‘(3) GOVERNMENT-WIDE POLICIES AND EVAL- ployees that contribute to achieving the (2) in paragraph (5)— UATION.—The Administrator shall issue poli- agency’s performance goals. The system of (A) in subparagraph (A), by striking out cies to promote uniform implementation of incentives shall include provisions that— ‘‘Government-wide career management pro- this section by executive agencies, with due ‘‘(A) relate pay to performance (including grams for a professional procurement work regard for differences in program require- the extent to which the performance of per- force’’ and inserting in lieu thereof ‘‘the de- ments among agencies that may be appro- sonnel in such workforce contributes to velopment of a professional acquisition priate and warranted in view of the agency achieving the cost goals, schedule goals, and workforce Government-wide’’; and mission. The Administrator shall coordinate performance goals established for acquisi- (B) in subparagraph (B)— with the Deputy Director for Management of tion programs pursuant to section 313(b) of (i) by striking out ‘‘procurement by the’’ the Office of Management and Budget to en- the Federal Property and Administrative and inserting in lieu thereof ‘‘acquisition by sure that such policies are consistent with Services Act of 1949 (41 U.S.C. 263(b))); and the’’; the policies and procedures established and ‘‘(B) provide for consideration, in personnel (ii) by striking out ‘‘and’’ at the end of the enhanced system of incentives provided pur- evaluations and promotion decisions, of the subparagraph; and suant to section 5051(c) of the Federal Acqui- extent to which the performance of person- (iii) by striking out subparagraph (C) and sition Streamlining Act of 1994 (41 U.S.C. 263 nel in such workforce contributes to achiev- inserting in lieu thereof the following: note). The Administrator shall evaluate the ing such cost goals, schedule goals, and per- ‘‘(C) collect data and analyze acquisition implementation of the provisions of this sec- formance goals. workforce data from the Office of Personnel tion by executive agencies. ‘‘(g) QUALIFICATION REQUIREMENTS.— Management, the heads of executive agen- ‘‘(c) SENIOR PROCUREMENT EXECUTIVE AU- ‘‘(1) IN GENERAL.—(A) Subject to paragraph cies, and, through periodic surveys, from in- THORITIES AND RESPONSIBILITIES.—Subject to (2), the Administrator shall establish quali- dividual employees; the authority, direction, and control of the fication requirements, including education ‘‘(D) periodically analyze acquisition ca- head of an executive agency, the senior pro- requirements, for the following positions: reer fields to identify critical competencies, curement executive of the agency shall carry ‘‘(i) Entry-level positions in the General duties, tasks, and related academic pre- out all powers, functions, and duties of the Schedule Contracting series (GS–1102). requisites, skills, and knowledge; head of the agency with respect to imple- ‘‘(ii) Senior positions in the General Sched- ‘‘(E) coordinate and assist agencies in iden- mentation of this section. The senior pro- ule Contracting series (GS–1102). tifying and recruiting highly qualified can- curement executive shall ensure that the ‘‘(iii) All positions in the General Schedule didates for acquisition fields; policies of the head of the executive agency Purchasing series (GS–1105). ‘‘(F) develop instructional materials for established in accordance with this section ‘‘(iv) Positions in other General Schedule acquisition personnel in coordination with are implemented throughout the agency. series in which significant acquisition-relat- private and public acquisition colleges and ‘‘(d) MANAGEMENT INFORMATION SYSTEMS.— ed functions are performed. training facilities; The Administrator shall ensure that the ‘‘(B) Subject to paragraph (2), the Adminis- ‘‘(G) evaluate the effectiveness of training heads of executive agencies collect and trator shall prescribe the manner and extent and career development programs for acqui- maintain standardized information on the to which such qualification requirements sition personnel; acquisition workforce related to implemen- shall apply to any person serving in a posi- ‘‘(H) promote the establishment and utili- tation of this section. To the maximum ex- tion described in subparagraph (A) at the zation of academic programs by colleges and tent practicable, such data requirements time such requirements are established. universities in acquisition fields; shall conform to standards established by ‘‘(2) RELATIONSHIP TO REQUIREMENTS APPLI- ‘‘(I) facilitate, to the extent requested by the Office of Personnel Management for the CABLE TO DEFENSE ACQUISITION WORKFORCE.— agencies, interagency intern and training Central Personnel Data File. The Administrator shall establish qualifica- programs; and H 492 CONGRESSIONAL RECORD — HOUSE January 22, 1996 ‘‘(J) perform other career management or (1) An assessment of the effect on industry, serting in lieu thereof ‘‘in paragraph (1) and research functions as directed by the Admin- including small businesses and local dealers, ‘, rent,’ after ‘sell’ in paragraph (2).’’. istrator.’’; and of providing for the use of Federal supply (9) Section 5092(b) (108 Stat. 3362) is amend- (3) by inserting before paragraph (7) (as so schedules by the entities described in section ed by inserting ‘‘of paragraph (2)’’ after ‘‘sec- redesignated) the following new paragraph 201(b)(2)(A) of the Federal Property and Ad- ond sentence’’. (6): ministrative Services Act of 1949. (10) Section 6005(a) (108 Stat. 3364) is ‘‘(6) administering the provisions of section (2) An assessment of the effect on such en- amended by striking out the closing 37;’’. tities of providing for the use of Federal sup- quotation marks and second period at the SEC. 4308. DEMONSTRATION PROJECT RELAT- ply schedules by them. end of subsection (e)(2) of the matter in- ING TO CERTAIN PERSONNEL MAN- (c) COMMENTS ON REPORT BY ADMINIS- serted by the amendment made by that sec- AGEMENT POLICIES AND PROCE- TRATOR.—Not later than 30 days after receiv- tion. DURES. ing the report of the Comptroller General re- (11) Section 10005(f)(4) (108 Stat. 3409) is (a) COMMENCEMENT.—The Secretary of De- quired by subsection (b), the Administrator amended in the second matter in quotation fense is encouraged to take such steps as of General Services shall submit to Congress may be necessary to provide for the com- marks by striking out ‘‘ ‘SEC. 5. This Act’’ comments on the report, including the Ad- mencement of a demonstration project, the and inserting in lieu thereof ‘‘ ‘SEC. 7. This ministrator’s comments on whether the Ad- purpose of which would be to determine the title’’. ministrator plans to provide any Federal feasibility or desirability of one or more pro- supply schedule for the use of any entity de- (b) TITLE 10, UNITED STATES CODE.—Title posals for improving the personnel manage- scribed in section 201(b)(2)(A) of the Federal 10, United States Code, is amended as fol- ment policies or procedures that apply with lows: respect to the acquisition workforce of the Property and Administrative Services Act of (1) Section 2220(b) is amended by striking Department of Defense. 1949. out ‘‘the date of the enactment of the Fed- (b) TERMS AND CONDITIONS.— (d) CALCULATION OF 30-DAY PERIOD.—For eral Acquisition Streamlining Act of 1994’’ (1) IN GENERAL.—Except as otherwise pro- purposes of subsection (a)(2)(C), the calcula- vided in this subsection, any demonstration tion of the 30-day period shall exclude Satur- and inserting in lieu thereof ‘‘October 13, project described in subsection (a) shall be days, Sundays, and holidays, and any day on 1994’’. subject to section 4703 of title 5, United which neither House of Congress is in session (2)(A) The section 2247 added by section States Code, and all other provisions of such because of an adjournment sine die, a recess 7202(a)(1) of Public Law 103–355 (108 Stat. title that apply with respect to any dem- of more than 3 days, or an adjournment of 3379) is redesignated as section 2249. onstration project under such section. more than 3 days. (B) The item relating to that section in the (2) EXCEPTIONS.—Subject to paragraph (3), SEC. 4310. PROCUREMENT NOTICE TECHNICAL table of sections at the beginning of sub- in applying section 4703 of title 5, United AMENDMENT. chapter I of chapter 134 is revised to conform States Code, with respect to a demonstration Section 18(c)(1)(E) of the Office of Federal to the redesignation made by subparagraph project described in subsection (a)— Procurement Policy Act (41 U.S.C. (A). (A) ‘‘180 days’’ in subsection (b)(4) of such 416(c)(1)(E)) is amended by inserting after (3) Section 2302(3)(K) is amended by adding section shall be deemed to read ‘‘120 days’’; ‘‘requirements contract’’ the following: ‘‘, a a period at the end. (B) ‘‘90 days’’ in subsection (b)(6) of such task order contract, or a delivery order con- (4) Section 2304(f)(2)(D) is amended by section shall be deemed to read ‘‘30 days’’; tract’’. striking out ‘‘the Act of June 25, 1938 (41 and SEC. 4311. MICRO-PURCHASES WITHOUT COM- U.S.C. 46 et seq.), popularly referred to as the (C) subsection (d)(1)(A) of such section PETITIVE QUOTATIONS. Wagner-O’Day Act,’’ and inserting in lieu shall be disregarded. Section 32(c) of the Office of Federal Pro- thereof ‘‘the Javits-Wagner-O’Day Act (41 (3) CONDITION.—Paragraph (2) shall not curement Policy Act (41 U.S.C. 428), as redes- U.S.C. 46 et seq.),’’. apply with respect to a demonstration ignated by section 4304(c)(3), is amended by (5) Section 2304(h) is amended by striking project unless it— striking out ‘‘the contracting officer’’ and out paragraph (1) and inserting in lieu there- (A) involves only the acquisition workforce inserting in lieu thereof ‘‘an employee of an of the following: of the Department of Defense (or any part executive agency or a member of the Armed ‘‘(1) The Walsh-Healey Act (41 U.S.C. 35 et thereof); and Forces of the United States authorized to do seq.).’’. (B) commences during the 3-year period be- so’’. (6)(A) The section 2304a added by section ginning on the date of the enactment of this Subtitle B—Technical Amendments 848(a)(1) of Public Law 103–160 (107 Stat. 1724) Act. SEC. 4321. AMENDMENTS RELATED TO FEDERAL is redesignated as section 2304e. (c) DEFINITION.—For purposes of this sec- (B) The item relating to that section in the tion, the term ‘‘acquisition workforce’’ re- ACQUISITION STREAMLINING ACT OF 1994. table of sections at the beginning of chapter fers to the persons serving in acquisition po- (a) PUBLIC LAW 103–355.—Effective as of Oc- 137 is revised to conform to the redesignation sitions within the Department of Defense, as tober 13, 1994, and as if included therein as made by subparagraph (A). designated pursuant to section 1721(a) of enacted, the Federal Acquisition Streamlin- (7) Section 2306a is amended— title 10, United States Code. ing Act of 1994 (Public Law 103–355; 108 Stat. (A) in subsection (d)(2)(A)(ii), by inserting SEC. 4309. COOPERATIVE PURCHASING. 3243 et seq.) is amended as follows: ‘‘to’’ after ‘‘The information referred’’; (a) DELAY IN OPENING CERTAIN FEDERAL (1) Section 1073 (108 Stat. 3271) is amended (B) in subsection (e)(4)(B)(ii), by striking SUPPLY SCHEDULES TO USE BY STATE, LOCAL, by striking out ‘‘section 303I’’ and inserting out the second comma after ‘‘parties’’; and AND INDIAN TRIBAL GOVERNMENTS.—The Ad- ministrator of General Services may not use in lieu thereof ‘‘section 303K’’. (C) in subsection (i)(3), by inserting ‘‘(41 the authority of section 201(b)(2) of the Fed- (2) Section 1202(a) (108 Stat. 3274) is amend- U.S.C. 403(12))’’ before the period at the end. eral Property and Administrative Services ed by striking out the closing quotation (8) Section 2323 is amended— Act of 1949 (40 U.S.C. 481(b)(2)) to provide for marks and second period at the end of para- (A) in subsection (a)(1)(C), by inserting a the use of Federal supply schedules of the graph (2)(B) of the subsection inserted by the closing parenthesis after ‘‘1135d–5(3))’’ and General Services Administration until after amendment made by that section. after ‘‘1059c(b)(1))’’; the later of— (3) Section 1251(b) (108 Stat. 3284) is amend- (B) in subsection (a)(3), by striking out (1) the date on which the 18-month period ed by striking out ‘‘Office of Federal Pro- ‘‘(issued under’’ and all that follows through beginning on the date of the enactment of curement Policy Act’’ and inserting in lieu ‘‘421(c))’’; this Act expires; or thereof ‘‘Federal Property and Administra- (C) in subsection (b), by inserting ‘‘(1)’’ (2) the date on which all of the following tive Services Act of 1949’’. after ‘‘AMOUNT.—’’; and conditions are met: (4) Section 2051(e) (108 Stat. 3304) is amend- (D) in subsection (i)(3), by adding at the (A) The Administrator has considered the ed by striking out the closing quotation end a subparagraph (D) identical to the sub- report of the Comptroller General required marks and second period at the end of sub- paragraph (D) set forth in the amendment by subsection (b). section (f)(3) in the matter inserted by the made by section 811(e) of Public Law 103–160 (B) The Administrator has submitted com- amendment made by that section. (107 Stat. 1702). ments on such report to Congress as required (5) Section 2101(a)(6)(B)(ii) (108 Stat. 3308) (9) Section 2324 is amended— by subsection (c). is amended by replacing ‘‘regulation’’ with (A) in subsection (e)(2)(C)— (C) A period of 30 days after the date of ‘‘regulations’’ in the first quoted matter. (i) by striking out ‘‘awarding the contract’’ submission of such comments to Congress (6) Section 2351(a) (108 Stat. 3322) is amend- at the end of the first sentence; and has expired. ed by inserting ‘‘(1)’’ before ‘‘Section 6’’. (ii) by striking out ‘‘title III’’ and all that (b) REPORT.—Not later than one year after (7) The heading of section 2352(b) (108 Stat. follows through ‘‘Act)’’ and inserting in lieu the date of the enactment of this Act, the 3322) is amended by striking out ‘‘PROCE- thereof ‘‘the Buy American Act (41 U.S.C. Comptroller General shall submit to the Ad- DURES TO SMALL BUSINESS GOVERNMENT CON- 10b–1)’’; and ministrator of General Services and to Con- TRACTORS.—’’ and inserting in lieu thereof (B) in subsection (h)(2), by inserting ‘‘the gress a report on the implementation of sec- ‘‘PROCEDURES.—’’. head of the agency or’’ after ‘‘in the case of tion 201(b) of the Federal Property and Ad- (8) Section 3022 (108 Stat. 3333) is amended any contract if’’. ministrative Services Act of 1949. The report by striking out ‘‘each place’’ and all that fol- (10) Section 2350b is amended— shall include the following: lows through the end of the section and in- (A) in subsection (c)(1)— January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 493 (i) by striking out ‘‘specifically—’’ and in- (1) Section 8(d) (15 U.S.C. 637(d)) is amend- ‘‘SEC. 314A. DEFINITIONS RELATING TO PRO- serting in lieu thereof ‘‘specifically pre- ed— CUREMENT OF COMMERCIAL scribes—’’; and (A) in paragraph (1), by striking out the ITEMS.’’. (ii) by striking out ‘‘prescribe’’ in each of second comma after ‘‘small business con- (8) Section 315(b) (41 U.S.C. 265(b)) is subparagraphs (A), (B), (C), and (D); and cerns’’ the first place it appears; and amended by striking out ‘‘inspector general’’ (B) in subsection (d)(1), by striking out (B) in paragraph (6)(C), by striking out both places it appears and inserting in lieu ‘‘subcontract to be’’ and inserting in lieu ‘‘and small business concerns owned and con- thereof ‘‘Inspector General’’. thereof ‘‘subcontract be’’. trolled by the socially and economically dis- (9) The heading for section 316 (41 U.S.C. (11) Section 2372(i)(1) is amended by strik- advantaged individuals’’ and inserting in lieu 266) is amended by inserting at the end a pe- ing out ‘‘section 2324(m)’’ and inserting in thereof ‘‘, small business concerns owned and riod. lieu thereof ‘‘section 2324(l)’’. controlled by socially and economically dis- (f) WALSH-HEALEY ACT.— (12) Section 2384(b) is amended— advantaged individuals, and small business (1) The Walsh-Healey Act (41 U.S.C. 35 et (A) in paragraph (2)— concerns owned and controlled by women’’. seq.) is amended— (i) by striking ‘‘items, as’’ and inserting in (2) Section 8(f) (15 U.S.C. 637(f)) is amended (A) by transferring the second section 11 lieu thereof ‘‘items (as’’; and by inserting ‘‘and’’ after the semicolon at (as added by section 7201(4) of Public Law (ii) by inserting a closing parenthesis after the end of paragraph (5). 103–355) so as to appear after section 10; and ‘‘403(12))’’; and (3) Section 15(g)(2) (15 U.S.C. 644(g)(2)) is (B) by redesignating the three sections fol- (B) in paragraph (3), by inserting a closing amended by striking out the second comma lowing such section 11 (as so transferred) as parenthesis after ‘‘403(11))’’. after the first appearance of ‘‘small business sections 12, 13, and 14. (13) Section 2400(a)(5) is amended by strik- concerns’’. (2) Such Act is further amended in section ing out ‘‘the preceding sentence’’ and insert- (d) TITLE 31, UNITED STATES CODE.—Title 10— ing in lieu thereof ‘‘this paragraph’’. 31, United States Code, is amended as fol- (A) in subsection (b), by striking out ‘‘sec- (14) Section 2405 is amended— lows: tion 1(b)’’ and inserting in lieu thereof ‘‘sec- (A) in paragraphs (1) and (2) of subsection (1) Section 3551 is amended— tion 1(a)’’; and (a), by striking out ‘‘the date of the enact- (A) by striking out ‘‘subchapter—’’ and in- (B) in subsection (c), by striking out the ment of the Federal Acquisition Streamlin- serting in lieu thereof ‘‘subchapter:’’; and comma after ‘‘ ‘locality’ ’’. ing Act of 1994’’ and inserting in lieu thereof (B) in paragraph (2), by striking out ‘‘or (g) ANTI-KICKBACK ACT OF 1986.—Section ‘‘October 13, 1994’’; and proposed contract’’ and inserting in lieu 7(d) of the Anti-Kickback Act of 1986 (41 (B) in subsection (c)(3)— thereof ‘‘or a solicitation or other request U.S.C. 57(d)) is amended— (i) by striking out ‘‘the later of—’’ and all for offers’’. (1) by striking out ‘‘such Act’’ and insert- that follows through ‘‘(B)’’; and (2) Section 3553(b)(3) is amended by strik- ing in lieu thereof ‘‘the Office of Federal (ii) by redesignating clauses (i), (ii), and ing out ‘‘3554(a)(3)’’ and inserting in lieu Procurement Policy Act’’; and (iii) as subparagraphs (A), (B), and (C), re- thereof ‘‘3554(a)(4)’’. (2) by striking out the second period at the spectively, and realigning those subpara- (3) Section 3554(b)(2) is amended by strik- end. graphs accordingly. ing out ‘‘section 3553(d)(2)(A)(i)’’ and insert- (h) OFFICE OF FEDERAL PROCUREMENT POL- (15) Section 2410d(b) is amended by striking ing in lieu thereof ‘‘section ICY ACT.—The Office of Federal Procurement out paragraph (3). 3553(d)(3)(C)(i)(I)’’. Policy Act (41 U.S.C. 401 et seq.) is amended (16) Section 2410g(d)(1) is amended by in- (e) FEDERAL PROPERTY AND ADMINISTRA- as follows: serting before the period at the end the fol- TIVE SERVICES ACT OF 1949.—The Federal (1) Section 6 (41 U.S.C. 405) is amended by lowing: ‘‘(as defined in section 4(12) of the Of- Property and Administrative Services Act of transferring paragraph (12) of subsection (d) fice of Federal Procurement Policy Act (41 1949 is amended as follows: (as such paragraph was redesignated by sec- U.S.C. 403(12)))’’. (1) The table of contents in section 1 (40 tion 5091(2) of the Federal Acquisition (17) Section 2424(c) is amended— U.S.C. 471 prec.) is amended— Streamlining Act of 1994 (P.L. 103–355; 108 (A) by inserting ‘‘EXCEPTION.—’’ after (A) by striking out the item relating to Stat. 3361)) to the end of that subsection. ‘‘(c)’’; and section 104; (2) Section 6(11) (41 U.S.C. 405(11)) is (B) by striking out ‘‘drink’’ the first and (B) by striking out the item relating to amended by striking out ‘‘small business’’ third places it appears in the second sen- section 201 and inserting in lieu thereof the and inserting in lieu thereof ‘‘small busi- tence and inserting in lieu thereof ‘‘bev- following: nesses’’. erage’’. ‘‘Sec. 201. Procurements, warehousing, and (3) Section 18(b) (41 U.S.C. 416(b)) is amend- (18) Section 2431 is amended— related activities.’’; ed by inserting ‘‘and’’ after the semicolon at (A) in subsection (b)— the end of paragraph (5). (C) by inserting after the item relating to (i) by striking out ‘‘Any report’’ in the (4) Section 26(f)(3) (41 U.S.C. 422(f)(3)) is section 315 the following new item: first sentence and inserting in lieu thereof amended in the first sentence by striking out ‘‘Any documents’’; and ‘‘Sec. 316. Merit-based award of grants for ‘‘Not later than 180 days after the date of en- (ii) by striking out ‘‘the report’’ in para- research and development.’’; actment of this section, the Administrator’’ graph (3) and inserting in lieu thereof ‘‘the (D) by striking out the item relating to and inserting in lieu thereof ‘‘The Adminis- documents’’; and section 603 and inserting in lieu thereof the trator’’. (B) in subsection (c), by striking ‘‘report- following: (i) OTHER LAWS.— ing’’ and inserting in lieu thereof ‘‘docu- ‘‘Sec. 603. Authorizations for appropriations (1) The National Defense Authorization mentation’’. and transfer authority.’’; Act for Fiscal Year 1994 (Public Law 103–160) (19) Section 2461(e)(1) is amended by strik- is amended as follows: and ing out ‘‘the Act of June 25, 1938 (41 U.S.C. (A) Section 126(c) (107 Stat. 1567) is amend- (E) by inserting after the item relating to 47), popularly referred to as the Wagner- ed by striking out ‘‘section 2401 of title 10, section 605 the following new item: O’Day Act’’ and inserting in lieu thereof United States Code, or section 9081 of the De- ‘‘the Javits-Wagner-O’Day Act (41 U.S.C. ‘‘Sec. 606. Sex discrimination.’’. partment of Defense Appropriations Act, 1990 47)’’. (2) Section 303(f)(2)(D) (41 U.S.C. (10 U.S.C. 2401 note).’’ and inserting in lieu (20) Section 2533(a) is amended by striking 253(f)(2)(D)) is amended by striking out ‘‘the thereof ‘‘section 2401 or 2401a of title 10, out ‘‘title III of the Act’’ and all that follows Act of June 25, 1938 (41 U.S.C. 46 et seq.), pop- United States Code.’’. through ‘‘such Act’’ and inserting in lieu ularly referred to as the Wagner-O’Day Act,’’ (B) Section 127 (107 Stat. 1568) is amended— thereof ‘‘the Buy American Act (41 U.S.C. and inserting in lieu thereof ‘‘the Javits- (i) in subsection (a), by striking out ‘‘sec- 10a)) whether application of such Act’’. Wagner-O’Day Act (41 U.S.C. 46 et seq.),’’. tion 2401 of title 10, United States Code, or (21) Section 2662(b) is amended by striking (3) The heading for paragraph (1) of section section 9081 of the Department of Defense out ‘‘small purchase threshold’’ and insert- 304A(c) (41 U.S.C. 254b(c)) is amended by Appropriations Act, 1990 (10 U.S.C. 2401 ing in lieu thereof ‘‘simplified acquisition changing each letter that is capitalized note).’’ and inserting in lieu thereof ‘‘section threshold’’. (other than the first letter of the first word) 2401 or 2401a of title 10, United States Code.’’; (22) Section 2701(i)(1) is amended— to lower case. and (A) by striking out ‘‘Act of August 24, 1935 (4) Subsection (d)(2)(A)(ii) of section 304A (ii) in subsection (e), by striking out ‘‘sec- (40 U.S.C. 270a–270d), commonly referred to (41 U.S.C. 254b) is amended by inserting ‘‘to’’ tion 9081 of the Department of Defense Ap- as the ‘Miller Act’,’’ and inserting in lieu after ‘‘The information referred’’. propriations Act, 1990 (10 U.S.C. 2401 note).’’ thereof ‘‘Miller Act (40 U.S.C. 270a et seq.)’’; (5) Section 304C(a)(2) is amended by strik- and inserting in lieu thereof ‘‘section 2401a of and ing out ‘‘section 304B’’ and inserting in lieu title 10, United States Code.’’. (B) by striking out ‘‘such Act of August 24, thereof ‘‘section 304A’’. (2) The National Defense Authorization 1935’’ and inserting in lieu thereof ‘‘the Mil- (6) Section 307(b) is amended by striking Act for Fiscal Years 1990 and 1991 (Public ler Act’’. out ‘‘section 305(c)’’ and inserting in lieu Law 101–189) is amended by striking out sec- (c) SMALL BUSINESS ACT.—The Small Busi- thereof ‘‘section 305(d)’’. tion 824. ness Act (15 U.S.C. 632 et seq.) is amended as (7) The heading for section 314A (41 U.S.C. (3) Section 117 of the National Defense Au- follows: 264a) is amended to read as follows: thorization Act, Fiscal Year 1989 (Public Law H 494 CONGRESSIONAL RECORD — HOUSE January 22, 1996 100–456; 10 U.S.C. 2431 note) is amended by (6) Section 6 of the Contract Disputes Act entered into before the date specified in the striking out subsection (c). of 1978 (41 U.S.C. 605) is amended in sub- regulations pursuant to section 4401(b)(3) ex- (4) The National Defense Authorization sections (d) and (e) by inserting after ‘‘Unit- cept to the extent and in the manner pre- Act for Fiscal Years 1988 and 1989 (Public ed States Code’’ each place it appears the scribed in such regulations. Law 100–180) is amended by striking out sec- following: ‘‘(as in effect on September 30, (2) RENEGOTIATION AND MODIFICATION OF tion 825 (10 U.S.C. 2432 note). 1995)’’. PREEXISTING CONTRACTS.—Except as specifi- (5) Section 11 of Public Law 101–552 (5 (7) Section 13 of the Contract Disputes Act cally provided in this division, nothing in U.S.C. 581 note) is amended by inserting of 1978 (41 U.S.C. 612) is amended— this division shall be construed to require ‘‘under’’ before ‘‘the amendments made by (A) in subsection (a), by striking out ‘‘sec- the renegotiation or modification of con- this Act’’. tion 1302 of the Act of July 27, 1956, (70 Stat. tracts in existence on the date of the enact- (6) The last sentence of section 6 of the 694, as amended; 31 U.S.C. 724a)’’ and insert- ment of this Act. Federal Power Act (16 U.S.C. 799) is repealed. ing in lieu thereof ‘‘section 1304 of title 31, (3) CONTINUED APPLICABILITY OF PREEXIST- (7) Section 101(a)(11)(A) of the Rehabilita- United States Code’’; and ING LAW.—Except as otherwise provided in tion Act of 1973 (29 U.S.C. 721(a)(11)(A)) is (B) in subsection (c), by striking out ‘‘sec- this division, a law amended by this division amended by striking out ‘‘the Act entitled tion 1302 of the Act of July 27, 1956, (70 Stat. shall continue to be applied according to the ‘An Act to create a Committee on Purchases 694, as amended; 31 U.S.C. 724a)’’ and insert- provisions thereof as such law was in effect of Blind-made Products, and for other pur- ing in lieu thereof ‘‘section 1304 of title 31, on the day before the date of the enactment poses’, approved June 25, 1938 (commonly United States Code,’’. of this Act until— known as the Wagner-O’Day Act; 41 U.S.C. 46 TITLE XLIV—EFFECTIVE DATES AND (A) the date specified in final regulations et seq.)’’ and inserting in lieu thereof ‘‘the IMPLEMENTATION implementing the amendment of that law (as Javits-Wagner-O’Day Act (41 U.S.C. 46 et promulgated pursuant to this section); or seq.)’’. SEC. 4401. EFFECTIVE DATE AND APPLICABILITY. (B) if no such date is specified in regula- (8) The first section 5 of the Miller Act (40 (a) EFFECTIVE DATE.—Except as otherwise tions, January 1, 1997. U.S.C. 270a note) is redesignated as section 7 provided in this division, this division and and, as so redesignated, is transferred to the the amendments made by this division shall DIVISION E—INFORMATION TECHNOLOGY end of that Act. take effect on the date of the enactment of MANAGEMENT REFORM (9) Section 3737(g) of the Revised Statutes this Act. SEC. 5001. SHORT TITLE. of the United States (41 U.S.C. 15(g)) is (b) APPLICABILITY OF AMENDMENTS.— amended by striking out ‘‘rights of obliga- (1) SOLICITATIONS, UNSOLICITED PROPOSALS, This division may be cited as the ‘‘Infor- tions’’ and inserting in lieu thereof ‘‘rights AND RELATED CONTRACTS.—An amendment mation Technology Management Reform Act or obligations’’. made by this division shall apply, in the of 1996’’. (10) The Act of June 15, 1940 (41 U.S.C. 20a; manner prescribed in the final regulations Chapter 367; 54 Stat. 398), is repealed. promulgated pursuant to section 4402 to im- SEC. 5002. DEFINITIONS. plement such amendment, with respect to (11) The Act of November 28, 1943 (41 U.S.C. In this division: any solicitation that is issued, any unsolic- 20b; Chapter 328; 57 Stat. 592), is repealed. (1) DIRECTOR.—The term ‘‘Director’’ means ited proposal that is received, and any con- (12) Section 3741 of the Revised Statutes of the Director of the Office of Management tract entered into pursuant to such a solici- the United States (41 U.S.C. 22), as amended and Budget. tation or proposal, on or after the date de- by section 6004 of Public Law 103–355 (108 (2) EXECUTIVE AGENCY.—The term ‘‘execu- scribed in paragraph (3). Stat. 3364), is amended by striking out ‘‘No tive agency’’ has the meaning given that (2) OTHER MATTERS.—An amendment made member’’ and inserting in lieu thereof ‘‘SEC. term in section 4(1) of the Office of Federal by this division shall also apply, to the ex- 3741. No Member’’. Procurement Policy Act (41 U.S.C. 403(1)). tent and in the manner prescribed in the (13) Section 5152(a)(1) of the Drug-Free (3) INFORMATION TECHNOLOGY.—(A) The final regulations promulgated pursuant to Workplace Act of 1988 (41 U.S.C. 701(a)(1)) is term ‘‘information technology’’, with respect section 4402 to implement such amendment, amended by striking out ‘‘as defined in sec- to an executive agency means any equipment with respect to any matter related to— tion 4 of the Office of Federal Procurement or interconnected system or subsystem of (A) a contract that is in effect on the date Policy Act (41 U.S.C. 403)’’ and inserting in equipment, that is used in the automatic ac- described in paragraph (3); lieu thereof ‘‘(as defined in section 4(12) of quisition, storage, manipulation, manage- (B) an offer under consideration on the such Act (41 U.S.C. 403(12)))’’. ment, movement, control, display, switch- date described in paragraph (3); or SEC. 4322. MISCELLANEOUS AMENDMENTS TO ing, interchange, transmission, or reception (C) any other proceeding or action that is FEDERAL ACQUISITION LAWS. of data or information by the executive ongoing on the date described in paragraph (a) OFFICE OF FEDERAL PROCUREMENT POL- agency. For purposes of the preceding sen- (3). ICY ACT.—The Office of Federal Procurement tence, equipment is used by an executive (3) DEMARCATION DATE.—The date referred Policy Act (41 U.S.C. 401 et seq.) is amended agency if the equipment is used by the exec- to in paragraphs (1) and (2) is the date speci- as follows: utive agency directly or is used by a contrac- fied in such final regulations. The date so (1) Section 6(b) (41 U.S.C. 405(b)) is amend- tor under a contract with the executive specified shall be January 1, 1997, or any ear- ed by striking out the second comma after agency which (i) requires the use of such lier date that is not within 30 days after the ‘‘under subsection (a)’’ in the first sentence. equipment, or (ii) requires the use, to a sig- date on which such final regulations are pub- (2) Section 25(b)(2) (41 U.S.C. 421(b)(2)) is nificant extent, of such equipment in the lished. amended by striking out ‘‘Under Secretary performance of a service or the furnishing of of Defense for Acquisition’’ and inserting in SEC. 4402. IMPLEMENTING REGULATIONS. a product. lieu thereof ‘‘Under Secretary of Defense for (a) PROPOSED REVISIONS.—Proposed revi- (B) The term ‘‘information technology’’ in- Acquisition and Technology’’. sions to the Federal Acquisition Regulation cludes computers, ancillary equipment, soft- (b) OTHER LAWS.— and such other proposed regulations (or revi- ware, firmware and similar procedures, serv- (1) Section 11(2) of the Inspector General sions to existing regulations) as may be nec- ices (including support services), and related Act of 1978 (5 U.S.C. App.) is amended by essary to implement this Act shall be pub- resources. striking out the second comma after ‘‘Com- lished in the Federal Register not later than (C) Notwithstanding subparagraphs (A) and munity Service’’. 210 days after the date of the enactment of (B), the term ‘‘information technology’’ does (2) Section 908(e) of the Defense Acquisi- this Act. not include any equipment that is acquired tion Improvement Act of 1986 (10 U.S.C. 2326 (b) PUBLIC COMMENT.—The proposed regula- by a Federal contractor incidental to a Fed- note) is amended by striking out ‘‘section tions described in subsection (a) shall be eral contract. 2325(g)’’ and inserting in lieu thereof ‘‘sec- made available for public comment for a pe- (4) INFORMATION RESOURCES.—The term tion 2326(g)’’. riod of not less than 60 days. ‘‘information resources’’ has the meaning (3) Effective as of August 9, 1989, and as if (c) FINAL REGULATIONS.—Final regulations given such term in section 3502(6) of title 44, included therein as enacted, Public Law 101– shall be published in the Federal Register United States Code. 73 is amended in section 501(b)(1)(A) (103 not later than 330 days after the date of en- (5) INFORMATION RESOURCES MANAGEMENT.— Stat. 393) by striking out ‘‘be,’’ and inserting actment of this Act. The term ‘‘information resources manage- in lieu thereof ‘‘be;’’ in the second quoted (d) MODIFICATIONS.—Final regulations pro- ment’’ has the meaning given such term in matter therein. mulgated pursuant to this section to imple- section 3502(7) of title 44, United States Code. (4) Section 3732(a) of the Revised Statutes ment an amendment made by this Act may (6) INFORMATION SYSTEM.—The term ‘‘infor- of the United States (41 U.S.C. 11(a)) is provide for modification of an existing con- mation system’’ has the meaning given such amended by striking out the second comma tract without consideration upon the request term in section 3502(8) of title 44, United after ‘‘quarters’’. of the contractor. States Code. (5) Section 2 of the Contract Disputes Act (e) SAVINGS PROVISIONS.— (7) COMMERCIAL ITEM.—The term ‘‘commer- of 1978 (41 U.S.C. 601) is amended in para- (1) VALIDITY OF PRIOR ACTIONS.—Nothing in cial item’’ has the meaning given that term graphs (3), (5), (6), and (7), by striking out this division shall be construed to affect the in section 4(12) of the Office of Federal Pro- ‘‘The’’ and inserting in lieu thereof ‘‘the’’. validity of any action taken or any contract curement Policy Act (41 U.S.C. 403(12)). January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 495

TITLE LI—RESPONSIBILITY FOR ACQUISITIONS(i) OFTRAINING INFORMATION.—The Director TECHNOLOGY shall monitor tions management process, to enforce ac- ion system’’ has the meaning given such term in sectionthe 3502(8)development of title 44, Unitedand implementationStates Code. of countability of the head of an executive Subtitle A—General Authority training in information resources manage- agency for information resources manage- ment for executive agency personnel. ment and for the investments made by the SEC. 5101. REPEAL OF CENTRAL AUTHORITY OF (j) INFORMING CONGRESS.—The Director THE ADMINISTRATOR OF GENERAL executive agency in information technology. SERVICES. shall keep Congress fully informed on the ex- (B) SPECIFIC ACTIONS.—Actions taken by Section 111 of the Federal Property and tent to which the executive agencies are im- the Director in the case of an executive proving the performance of agency programs Administrative Services Act of 1949 (40 agency may include— and the accomplishment of agency missions U.S.C. 759) is repealed. (i) recommending a reduction or an in- through the use of the best practices in in- crease in any amount for information re- Subtitle B—Director of the Office of formation resources management. Management and Budget sources that the head of the executive agen- (k) PROCUREMENT POLICY AND ACQUISITIONS cy proposes for the budget submitted to Con- OF INFORMATION TECHNOLOGY.—The Director SEC. 5111. RESPONSIBILITY OF DIRECTOR. gress under section 1105(a) of title 31, United shall coordinate the development and review In fulfilling the responsibility to admin- States Code; by the Administrator of the Office of Infor- ister the functions assigned under chapter 35 (ii) reducing or otherwise adjusting appor- mation and Regulatory Affairs of policy as- of title 44, United States Code, the Director tionments and reapportionments of appro- sociated with Federal acquisition of informa- shall comply with this title with respect to priations for information resources; tion technology with the Office of Federal the specific matters covered by this title. (iii) using other authorized administrative Procurement Policy. SEC. 5112. CAPITAL PLANNING AND INVESTMENT controls over appropriations to restrict the CONTROL. SEC. 5113. PERFORMANCE-BASED AND RESULTS- availability of funds for information re- BASED MANAGEMENT. (a) FEDERAL INFORMATION TECHNOLOGY.— sources; and The Director shall perform the responsibil- (a) IN GENERAL.—The Director shall en- courage the use of performance-based and re- (iv) designating for the executive agency ities set forth in this section in fulfilling the an executive agent to contract with private responsibilities under section 3504(h) of title sults-based management in fulfilling the re- sponsibilities assigned under section 3504(h), sector sources for the performance of infor- 44, United States Code. mation resources management or the acqui- (b) USE OF INFORMATION TECHNOLOGY IN of title 44, United States Code. sition of information technology. FEDERAL PROGRAMS.—The Director shall pro- (b) EVALUATION OF AGENCY PROGRAMS AND mote and be responsible for improving the INVESTMENTS.— Subtitle C—Executive Agencies acquisition, use, and disposal of information (1) REQUIREMENT.—The Director shall SEC. 5121. RESPONSIBILITIES. technology by the Federal Government to evaluate the information resources manage- In fulfilling the responsibilities assigned improve the productivity, efficiency, and ef- ment practices of the executive agencies under chapter 35 of title 44, United States fectiveness of Federal programs, including with respect to the performance and results Code, the head of each executive agency through dissemination of public information of the investments made by the executive shall comply with this subtitle with respect and the reduction of information collection agencies in information technology. to the specific matters covered by this sub- burdens on the public. (2) DIRECTION FOR EXECUTIVE AGENCY AC- title. (c) USE OF BUDGET PROCESS.—The Director TION.—The Director shall issue to the head of SEC. 5122. CAPITAL PLANNING AND INVESTMENT shall develop, as part of the budget process, each executive agency clear and concise di- CONTROL. a process for analyzing, tracking, and evalu- rection that the head of such agency shall— (a) DESIGN OF PROCESS.—In fulfilling the ating the risks and results of all major cap- (A) establish effective and efficient capital responsibilities assigned under section ital investments made by an executive agen- planning processes for selecting, managing, 3506(h) of title 44, United States Code, the cy for information systems. The process and evaluating the results of all of its major head of each executive agency shall design shall cover the life of each system and shall investments in information systems; and implement in the executive agency a include explicit criteria for analyzing the (B) determine, before making an invest- process for maximizing the value and assess- projected and actual costs, benefits, and ment in a new information system— ing and managing the risks of the informa- risks associated with the investments. At (i) whether the function to be supported by tion technology acquisitions of the executive the same time that the President submits the system should be performed by the pri- agency. the budget for a fiscal year to Congress vate sector and, if so, whether any compo- (b) CONTENT OF PROCESS.—The process of under section 1105(a) of title 31, United nent of the executive agency performing that an executive agency shall— States Code, the Director shall submit to function should be converted from a govern- (1) provide for the selection of information Congress a report on the net program per- mental organization to a private sector orga- technology investments to be made by the formance benefits achieved as a result of nization; or executive agency, the management of such major capital investments made by execu- (ii) whether the function should be per- investments, and the evaluation of the re- tive agencies in information systems and formed by the executive agency and, if so, sults of such investments; how the benefits relate to the accomplish- whether the function should be performed by (2) be integrated with the processes for ment of the goals of the executive agencies. a private sector source under contract or by making budget, financial, and program man- (d) INFORMATION TECHNOLOGY STANDARDS.— executive agency personnel; agement decisions within the executive The Director shall oversee the development (C) analyze the missions of the executive agency; and implementation of standards and guide- agency and, based on the analysis, revise the (3) include minimum criteria to be applied lines pertaining to Federal computer sys- executive agency’s mission-related processes in considering whether to undertake a par- tems by the Secretary of Commerce through and administrative processes, as appropriate, ticular investment in information systems, the National Institute of Standards and before making significant investments in in- including criteria related to the quan- Technology under section 5131 and section 20 formation technology to be used in support titatively expressed projected net, risk-ad- of the National Institute of Standards and of those missions; and justed return on investment and specific Technology Act (15 U.S.C. 278g–3). (D) ensure that the information security quantitative and qualitative criteria for (e) DESIGNATION OF EXECUTIVE AGENTS FOR policies, procedures, and practices are ade- comparing and prioritizing alternative infor- ACQUISITIONS.—The Director shall designate quate. mation systems investment projects; (as the Director considers appropriate) one (3) GUIDANCE FOR MULTIAGENCY INVEST- (4) provide for identifying information sys- or more heads of executive agencies as exec- MENTS.—The direction issued under para- tems investments that would result in utive agent for Government-wide acquisi- graph (2) shall include guidance for under- shared benefits or costs for other Federal tions of information technology. taking efficiently and effectively inter- agencies or State or local governments; (f) USE OF BEST PRACTICES IN ACQUISI- agency and Government-wide investments in (5) provide for identifying for a proposed TIONS.—The Director shall encourage the information technology to improve the ac- investment quantifiable measurements for heads of the executive agencies to develop complishment of missions that are common determining the net benefits and risks of the and use the best practices in the acquisition to the executive agencies. investment; and of information technology. (4) PERIODIC REVIEWS.—The Director shall (6) provide the means for senior manage- (g) ASSESSMENT OF OTHER MODELS FOR implement through the budget process peri- ment personnel of the executive agency to MANAGING INFORMATION TECHNOLOGY.—The odic reviews of selected information re- obtain timely information regarding the Director shall assess, on a continuing basis, sources management activities of the execu- progress of an investment in an information the experiences of executive agencies, State tive agencies in order to ascertain the effi- system, including a system of milestones for and local governments, international organi- ciency and effectiveness of information tech- measuring progress, on an independently zations, and the private sector in managing nology in improving the performance of the verifiable basis, in terms of cost, capability information technology. executive agency and the accomplishment of of the system to meet specified require- (h) COMPARISON OF AGENCY USES OF INFOR- the missions of the executive agency. ments, timeliness, and quality. MATION TECHNOLOGY.—The Director shall (5) ENFORCEMENT OF ACCOUNTABILITY.— SEC. 5123. PERFORMANCE AND RESULTS-BASED compare the performances of the executive (A) IN GENERAL.—The Director may take MANAGEMENT. agencies in using information technology any authorized action that the Director con- In fulfilling the responsibilities under sec- and shall disseminate the comparisons to the siders appropriate, including an action in- tion 3506(h) of title 44, United States Code, heads of the executive agencies. volving the budgetary process or appropria- the head of an executive agency shall— H 496 CONGRESSIONAL RECORD — HOUSE January 22, 1996

(1) establish goals for improving the effi- (b) GENERAL RESPONSIBILITIES.—The Chief ‘‘Chief Information Officer, Department of ciency and effectiveness of agency oper- Information Officer of an executive agency Health and Human Services. ations and, as appropriate, the delivery of shall be responsible for— ‘‘Chief Information Officer, Department of services to the public through the effective (1) providing advice and other assistance to Housing and Urban Development. use of information technology; the head of the executive agency and other ‘‘Chief Information Officer, Department of (2) prepare an annual report, to be included senior management personnel of the execu- Interior. in the executive agency’s budget submission tive agency to ensure that information tech- ‘‘Chief Information Officer, Department of to Congress, on the progress in achieving the nology is acquired and information resources Justice. goals; are managed for the executive agency in a ‘‘Chief Information Officer, Department of (3) ensure that performance measurements manner that implements the policies and Labor. are prescribed for information technology procedures of this division, consistent with ‘‘Chief Information Officer, Department of used by or to be acquired for, the executive chapter 35 of title 44, United States Code, State. agency and that the performance measure- and the priorities established by the head of ‘‘Chief Information Officer, Department of ments measure how well the information the executive agency; Transportation. technology supports programs of the execu- (2) developing, maintaining, and facilitat- ‘‘Chief Information Officer, Department of tive agency; ing the implementation of a sound and inte- Treasury. (4) where comparable processes and organi- grated information technology architecture ‘‘Chief Information Officer, Department of zations in the public or private sectors exist, for the executive agency; and Veterans Affairs. quantitatively benchmark agency process (3) promoting the effective and efficient de- ‘‘Chief Information Officer, Environmental performance against such processes in terms sign and operation of all major information Protection Agency. of cost, speed, productivity, and quality of resources management processes for the ex- ‘‘Chief Information Officer, National Aero- outputs and outcomes; ecutive agency, including improvements to nautics and Space Administration. (5) analyze the missions of the executive work processes of the executive agency. ‘‘Chief Information Officer, Agency for agency and, based on the analysis, revise the (c) DUTIES AND QUALIFICATIONS.—The Chief International Development. executive agency’s mission-related processes Information Officer of an agency that is list- ‘‘Chief Information Officer, Federal Emer- and administrative processes as appropriate ed in section 901(b) of title 31, United States gency Management Agency. before making significant investments in in- Code, shall— ‘‘Chief Information Officer, General Serv- formation technology that is to be used in (1) have information resources manage- ices Administration. support of the performance of those mis- ment duties as that official’s primary duty; ‘‘Chief Information Officer, National sions; and (2) monitor the performance of information Science Foundation. (6) ensure that the information security technology programs of the agency, evaluate ‘‘Chief Information Officer, Nuclear Regu- policies, procedures, and practices of the ex- the performance of those programs on the latory Agency. ecutive agency are adequate. basis of the applicable performance measure- ‘‘Chief Information Officer, Office of Per- SEC. 5124. ACQUISITIONS OF INFORMATION ments, and advise the head of the agency re- sonnel Management. TECHNOLOGY. garding whether to continue, modify, or ter- ‘‘Chief Information Officer, Small Business (a) IN GENERAL.—The authority of the head minate a program or project; and Administration.’’. of an executive agency to conduct an acqui- (3) annually, as part of the strategic plan- sition of information technology includes SEC. 5126. ACCOUNTABILITY. ning and performance evaluation process re- the following authorities: quired (subject to section 1117 of title 31, The head of each executive agency, in con- (1) To acquire information technology as United States Code) under section 306 of title sultation with the Chief Information Officer authorized by law. 5, United States Code, and sections and the Chief Financial Officer of that exec- (2) To enter into a contract that provides 1105(a)(29), 1115, 1116, 1117, and 9703 of title 31, utive agency (or, in the case of an executive for multiagency acquisitions of information United States Code— agency without a Chief Financial Officer, technology in accordance with guidance is- (A) assess the requirements established for any comparable official), shall establish poli- sued by the Director. agency personnel regarding knowledge and cies and procedures that— (3) If the Director finds that it would be ad- skill in information resources management (1) ensure that the accounting, financial, vantageous for the Federal Government to and the adequacy of such requirements for and asset management systems and other in- do so, to enter into a multiagency contract facilitating the achievement of the perform- formation systems of the executive agency for procurement of commercial items of in- ance goals established for information re- are designed, developed, maintained, and formation technology that requires each ex- sources management; used effectively to provide financial or pro- ecutive agency covered by the contract, (B) assess the extent to which the positions gram performance data for financial state- when procuring such items, either to procure and personnel at the executive level of the ments of the executive agency; the items under that contract or to justify agency and the positions and personnel at (2) ensure that financial and related pro- an alternative procurement of the items. management level of the agency below the gram performance data are provided on a re- (b) FTS 2000 PROGRAM.—Notwithstanding liable, consistent, and timely basis to execu- any other provision of this or any other law, executive level meet those requirements; (C) in order to rectify any deficiency in tive agency financial management systems; the Administrator of General Services shall and continue to manage the FTS 2000 program, meeting those requirements, develop strate- gies and specific plans for hiring, training, (3) ensure that financial statements sup- and to coordinate the follow-on to that pro- port— gram, on behalf of and with the advice of the and professional development; and (D) report to the head of the agency on the (A) assessments and revisions of mission- heads of executive agencies. related processes and administrative proc- SEC. 5125. AGENCY CHIEF INFORMATION OFFI- progress made in improving information re- sources management capability. esses of the executive agency; and CER. (B) performance measurement of the per- (a) DESIGNATION OF CHIEF INFORMATION OF- (d) INFORMATION TECHNOLOGY ARCHITEC- formance in the case of investments made by FICERS.—Section 3506 of title 44, United TURE DEFINED.—In this section, the term the agency in information systems. States Code, is amended— ‘‘information technology architecture’’, with (1) in subsection (a)— respect to an executive agency, means an in- SEC. 5127. SIGNIFICANT DEVIATIONS. (A) in paragraph (2)(A), by striking out tegrated framework for evolving or main- The head of an executive agency shall iden- ‘‘senior official’’ and inserting in lieu thereof taining existing information technology and tify in the strategic information resources ‘‘Chief Information Officer’’; acquiring new information technology to management plan required under section (B) in paragraph (2)(B)— achieve the agency’s strategic goals and in- 3506(b)(2) of title 44, United States Code, any (i) by striking out ‘‘senior officials’’ in the formation resources management goals. major information technology acquisition first sentence and inserting in lieu thereof (e) EXECUTIVE LEVEL IV.—Section 5315 of program, or any phase or increment of such ‘‘Chief Information Officers’’; title 5, United States Code, is amended by a program, that has significantly deviated (ii) by striking out ‘‘official’’ in the second adding at the end the following: from the cost, performance, or schedule sentence and inserting in lieu thereof ‘‘Chief ‘‘Chief Information Officer, Department of goals established for the program. Information Officer’’; and Agriculture. (iii) by striking out ‘‘officials’’ in the sec- ‘‘Chief Information Officer, Department of SEC. 5128. INTERAGENCY SUPPORT. ond sentence and inserting in lieu thereof Commerce. Funds available for an executive agency ‘‘Chief Information Officers’’; and ‘‘Chief Information Officer, Department of for oversight, acquisition, and procurement (C) in paragraphs (3) and (4), by striking Defense (unless the official designated as the of information technology may be used by out ‘‘senior official’’ each place it appears Chief Information Officer of the Department the head of the executive agency to support and inserting in lieu thereof ‘‘Chief Informa- of Defense is an official listed under section jointly with other executive agencies the ac- tion Officer’’; and 5312, 5313, or 5314 of this title). tivities of interagency groups that are estab- (2) in subsection (c)(1), by striking out ‘‘of- ‘‘Chief Information Officer, Department of lished to advise the Director in carrying out ficial’’ in the matter preceding subparagraph Education. the Director’s responsibilities under this (A) and inserting in lieu thereof ‘‘Chief Infor- ‘‘Chief Information Officer, Department of title. The use of such funds for that purpose mation Officer’’. Energy. shall be subject to such requirements and January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 497

limitations on uses and amounts as the Di- (e) TECHNICAL AMENDMENTS.—Chapter 35 of TITLE LII—PROCESS FOR ACQUISITIONS rector may prescribe. The Director shall pre- title 44, United States Code, is amended— OF INFORMATION TECHNOLOGY scribe any such requirements and limita- (1) in section 3504(g)— SEC. 5201. PROCUREMENT PROCEDURES. tions during the Director’s review of the ex- (A) in paragraph (2), by striking out ‘‘the The Federal Acquisition Regulatory Coun- ecutive agency’s proposed budget submitted Computer Security Act of 1987 (40 U.S.C. 759 cil shall ensure that, to the maximum extent to the Director by the head of the executive note)’’ and inserting in lieu thereof ‘‘sections practicable, the process for acquisition of in- agency for purposes of section 1105 of title 31, 20 and 21 of the National Institute of Stand- formation technology is a simplified, clear, United States Code. ards and Technology Act (15 U.S.C. 278g–3 and understandable process that specifically Subtitle D—Other Responsibilities and 278g–4), section 5131 of the Information addresses the management of risk, incremen- Technology Management Reform Act of 1996, SEC. 5131. RESPONSIBILITIES REGARDING EFFI- tal acquisitions, and the need to incorporate CIENCY, SECURITY, AND PRIVACY OF and sections 5 and 6 of the Computer Secu- commercial information technology in a FEDERAL COMPUTER SYSTEMS. rity Act of 1987 (40 U.S.C. 759 note)’’; and timely manner. (a) STANDARDS AND GUIDELINES.— (B) in paragraph (3), by striking out ‘‘the SEC. 5202. INCREMENTAL ACQUISITION OF IN- (1) AUTHORITY.—The Secretary of Com- Computer Security Act of 1987 (40 U.S.C. 759 FORMATION TECHNOLOGY. merce shall, on the basis of standards and note)’’ and inserting in lieu thereof ‘‘the (a) POLICY.—The Office of Federal Procure- guidelines developed by the National Insti- standards and guidelines promulgated under ment Policy Act (41 U.S.C. 401 et seq.) is tute of Standards and Technology pursuant section 5131 of the Information Technology amended by adding at the end the following to paragraphs (2) and (3) of section 20(a) of Management Reform Act of 1996 and sections new section: the National Institute of Standards and 5 and 6 of the Computer Security Act of 1987 ‘‘SEC. 35. MODULAR CONTRACTING FOR INFOR- Technology Act (15 U.S.C. 278g–3(a)), promul- (40 U.S.C. 759 note)’’; and MATION TECHNOLOGY. gate standards and guidelines pertaining to (2) in section 3518(d), by striking out ‘‘Pub- ‘‘(a) IN GENERAL.—The head of an executive Federal computer systems. The Secretary lic Law 89–306 on the Administrator of the agency should, to the maximum extent prac- shall make such standards compulsory and General Services Administration, the Sec- ticable, use modular contracting for an ac- binding to the extent to which the Secretary retary of Commerce, or’’ and inserting in quisition of a major system of information determines necessary to improve the effi- lieu thereof ‘‘section 5131 of the Information technology. ciency of operation or security and privacy Technology Management Reform Act of 1996 ‘‘(b) MODULAR CONTRACTING DESCRIBED.— of Federal computer systems. The President and the Computer Security Act of 1987 (40 Under modular contracting, an executive may disapprove or modify such standards U.S.C. 759 note) on the Secretary of Com- agency’s need for a system is satisfied in suc- and guidelines if the President determines merce or’’. cessive acquisitions of interoperable incre- ments. Each increment complies with com- such action to be in the public interest. The SEC. 5132. SENSE OF CONGRESS. President’s authority to disapprove or mod- mon or commercially accepted standards ap- It is the sense of Congress that, during the ify such standards and guidelines may not be plicable to information technology so that next five-year period beginning with 1996, ex- delegated. Notice of such disapproval or the increments are compatible with other in- ecutive agencies should achieve each year at modification shall be published promptly in crements of information technology com- least a 5 percent decrease in the cost (in con- the Federal Register. Upon receiving notice prising the system. stant fiscal year 1996 dollars) that is incurred of such disapproval or modification, the Sec- ‘‘(c) IMPLEMENTATION.—The Federal Acqui- by the agency for operating and maintaining retary of Commerce shall immediately re- sition Regulation shall provide that— information technology, and each year a 5 scind or modify such standards or guidelines ‘‘(1) under the modular contracting proc- percent increase in the efficiency of the as directed by the President. ess, an acquisition of a major system of in- agency operations, by reason of improve- (2) EXERCISE OF AUTHORITY.—The authority formation technology may be divided into ments in information resources management conferred upon the Secretary of Commerce several smaller acquisition increments by the agency. by this section shall be exercised subject to that— direction by the President and in coordina- Subtitle E—National Security Systems ‘‘(A) are easier to manage individually tion with the Director to ensure fiscal and than would be one comprehensive acquisi- policy consistency. SEC. 5141. APPLICABILITY TO NATIONAL SECU- tion; RITY SYSTEMS. (b) APPLICATION OF MORE STRINGENT ‘‘(B) address complex information tech- STANDARDS.—The head of a Federal agency (a) IN GENERAL.—Except as provided in nology objectives incrementally in order to may employ standards for the cost-effective subsection (b), this title does not apply to enhance the likelihood of achieving work- security and privacy of sensitive information national security systems. able solutions for attainment of those objec- tives; in a Federal computer system within or (b) EXCEPTIONS.— ‘‘(C) provide for delivery, implementation, under the supervision of that agency that (1) IN GENERAL.—Sections 5123, 5125, and are more stringent than the standards pro- 5126 apply to national security systems. and testing of workable systems or solutions in discrete increments each of which com- mulgated by the Secretary of Commerce (2) CAPITAL PLANNING AND INVESTMENT CON- prises a system or solution that is not de- under this section, if such standards contain, TROL.—The heads of executive agencies shall at a minimum, the provisions of those appli- apply sections 5112 and 5122 to national secu- pendent on any subsequent increment in cable standards made compulsory and bind- rity systems to the extent practicable. order to perform its principal functions; and ‘‘(D) provide an opportunity for subsequent ing by the Secretary of Commerce. (3) PERFORMANCE AND RESULTS OF INFORMA- increments of the acquisition to take advan- (c) WAIVER OF STANDARDS.—The standards TION TECHNOLOGY INVESTMENTS.—(A) Subject determined under subsection (a) to be com- to subparagraph (B), the heads of executive tage of any evolution in technology or needs pulsory and binding may be waived by the agencies shall apply section 5113 to national that occur during conduct of the earlier in- Secretary of Commerce in writing upon a de- security systems to the extent practicable. crements; termination that compliance would ad- (B) National security systems shall be sub- ‘‘(2) a contract for an increment of an in- versely affect the accomplishment of the ject to section 5113(b)(5) except for subpara- formation technology acquisition should, to mission of an operator of a Federal computer graph (B)(iv) of that section. the maximum extent practicable, be awarded system, or cause a major adverse financial within 180 days after the date on which the SEC. 5142. NATIONAL SECURITY SYSTEM DE- solicitation is issued and, if the contract for impact on the operator which is not offset by FINED. Government-wide savings. The Secretary that increment cannot be awarded within may delegate to the head of one or more Fed- (a) DEFINITION.—In this subtitle, the term such period, the increment should be consid- eral agencies authority to waive such stand- ‘‘national security system’’ means any tele- ered for cancellation; and ards to the extent to which the Secretary de- communications or information system op- ‘‘(3) the information technology provided termines such action to be necessary and de- erated by the United States Government, the for in a contract for acquisition of informa- sirable to allow for timely and effective im- function, operation, or use of which— tion technology should be delivered within 18 plementation of Federal computer system (1) involves intelligence activities; months after the date on which the solicita- standards. The head of such agency may (2) involves cryptologic activities related tion resulting in award of the contract was redelegate such authority only to a Chief In- to national security; issued.’’. formation Officer designated pursuant to (3) involves command and control of mili- (b) CLERICAL AMENDMENT.—The table of section 3506 of title 44, United States Code. tary forces; contents in section 1(b) of such Act is Notice of each such waiver and delegation (4) involves equipment that is an integral amended by inserting after the item relating shall be transmitted promptly to Congress part of a weapon or weapons system; or to section 34 the following new item: ‘‘Sec. 35. Modular contracting for informa- and shall be published promptly in the Fed- (5) subject to subsection (b), is critical to tion technology.’’. eral Register. the direct fulfillment of military or intel- (d) DEFINITIONS.—In this section, the terms ligence missions. TITLE LIII—INFORMATION TECHNOLOGY ‘‘Federal computer system’’ and ‘‘operator of (b) LIMITATION.—Subsection (a)(5) does not ACQUISITION PILOT PROGRAMS a Federal computer system’’ have the mean- include a system that is to be used for rou- Subtitle A—Conduct of Pilot Programs ings given such terms in section 20(d) of the tine administrative and business applica- SEC. 5301. AUTHORITY TO CONDUCT PILOT PRO- National Institute of Standards and Tech- tions (including payroll, finance, logistics, GRAMS. nology Act (15 U.S.C. 278g–3(d)). and personnel management applications). (a) IN GENERAL.— H 498 CONGRESSIONAL RECORD — HOUSE January 22, 1996

(1) PURPOSE.—The Administrator for Fed- SEC. 5304. RECOMMENDED LEGISLATION. tions toward attainment of the desired re- eral Procurement Policy (hereinafter re- If the Director determines that the results sults identified in the acquisition plan. ferred to as the ‘‘Administrator’’), in con- and findings under a pilot program under (B) A small source selection team com- sultation with the Administrator for the Of- this title indicate that legislation is nec- posed of representatives of the specific mis- fice of Information and Regulatory Affairs, essary or desirable in order to improve the sion or administrative area to be supported may conduct pilot programs in order to test process for acquisition of information tech- by the information technology to be ac- alternative approaches for acquisition of in- nology, the Director shall transmit the Di- quired, together with a contracting officer formation technology by executive agencies. rector’s recommendations for such legisla- and persons with relevant expertise. (2) MULTIAGENCY, MULTI-ACTIVITY CONDUCT tion to Congress. (4) USE OF SOURCE SELECTION FACTORS EM- OF EACH PROGRAM.—Except as otherwise pro- SEC. 5305. RULE OF CONSTRUCTION. PHASIZING SOURCE QUALIFICATIONS AND vided in this title, each pilot program con- Nothing in this title shall be construed as COSTS.—Use of source selection factors that ducted under this title shall be carried out in authorizing the appropriation or obligation emphasize— not more than two procuring activities in of funds for the pilot programs authorized (A) the qualifications of the offeror, in- each of the executive agencies that are des- under this title. cluding such factors as personnel skills, pre- vious experience in providing other private ignated by the Administrator in accordance Subtitle B—Specific Pilot Programs with this title to carry out the pilot pro- or public sector organizations with solutions SEC. 5311. SHARE-IN-SAVINGS PILOT PROGRAM. gram. The head of each designated executive for attaining objectives similar to the objec- (a) REQUIREMENT.—The Administrator may agency shall, with the approval of the Ad- tives of the acquisition, past contract per- authorize the heads of two executive agen- ministrator, select the procuring activities formance, qualifications of the proposed pro- cies to carry out a pilot program to test the of the executive agency that are to partici- gram manager, and the proposed manage- feasibility of— pate in the test and shall designate a pro- ment plan; and (1) contracting on a competitive basis with curement testing official who shall be re- (B) the costs likely to be associated with a private sector source to provide the Fed- sponsible for the conduct and evaluation of the conceptual approach proposed by the eral Government with an information tech- the pilot program within the executive agen- offeror. nology solution for improving mission-relat- cy. (5) OPEN COMMUNICATIONS WITH CONTRACTOR ed or administrative processes of the Federal COMMUNITY.—Open availability of the follow- (b) LIMITATIONS.— Government; and ing information to potential offerors: (1) NUMBER.—Not more than two pilot pro- (2) paying the private sector source an (A) The agency mission to be served by the grams may be conducted under the authority amount equal to a portion of the savings de- acquisition. of this title, including one pilot program rived by the Federal Government from any (B) The functional process to be performed each pursuant to the requirements of sec- improvements in mission-related processes by use of information technology. tions 5311 and 5312. and administrative processes that result (C) The process improvements to be at- (2) AMOUNT.—The total amount obligated from implementation of the solution. tained. for contracts entered into under the pilot (b) LIMITATIONS.—The head of an executive (6) SIMPLE SOLICITATION.—Use of a simple programs conducted under the authority of agency authorized to carry out the pilot pro- solicitation that sets forth only the func- this title may not exceed $750,000,000. The gram may, under the pilot program, carry tional work description, the source selection Administrator shall monitor such contracts out one project and enter into not more than factors to be used in accordance with para- and ensure that contracts are not entered five contracts for the project. graph (4), the required terms and conditions, into in violation of the limitation in the pre- (c) SELECTION OF PROJECTS.—The projects instructions regarding submission of offers, ceding sentence. shall be selected by the Administrator, in and the estimate of the Federal Govern- (c) PERIOD OF PROGRAMS.— consultation with the Administrator for the ment’s budget for the desired work. (1) IN GENERAL.—Subject to paragraph (2), Office of Information and Regulatory Af- (7) SIMPLE PROPOSALS.—Submission of oral any pilot program may be carried out under fairs. presentations and written proposals that are this title for the period, not in excess of five SEC. 5312. SOLUTIONS-BASED CONTRACTING limited in size and scope and contain infor- years, that is determined by the Adminis- PILOT PROGRAM. mation on— trator as being sufficient to establish reli- (a) IN GENERAL.—The Administrator may (A) the offeror’s qualifications to perform able results. authorize the heads of any of the executive the desired work; (2) CONTINUING VALIDITY OF CONTRACTS.—A agencies, in accordance with subsection (B) past contract performance; contract entered into under the pilot pro- (d)(2), to carry out a pilot program to test (C) the proposed conceptual approach; and gram before the expiration of that program the feasibility of using solutions-based con- (D) the costs likely to be associated with shall remain in effect according to the terms tracting for acquisition of information tech- the proposed conceptual approach. of the contract after the expiration of the nology. (8) SIMPLE EVALUATION.—Use of a sim- program. (b) SOLUTIONS-BASED CONTRACTING DE- plified evaluation process, to be completed SEC. 5302. EVALUATION CRITERIA AND PLANS. SCRIBED.—For purposes of this section, solu- within 45 days after receipt of proposals, (a) MEASURABLE TEST CRITERIA.—The head tions-based contracting is an acquisition which consists of the following: of each executive agency conducting a pilot method under which the acquisition objec- (A) Identification of the most qualified program under section 5301 shall establish, tives are defined by the Federal Government offerors that are within the competitive to the maximum extent practicable, measur- user of the technology to be acquired, a range. able criteria for evaluating the effects of the streamlined contractor selection process is (B) Issuance of invitations for at least procedures or techniques to be tested under used, and industry sources are allowed to three and not more than five of the identi- the program. provide solutions that attain the objectives fied offerors to make oral presentations to, effectively. and engage in discussions with, the evaluat- (b) TEST PLAN.—Before a pilot program (c) PROCESS REQUIREMENTS.—The Adminis- ing personnel regarding, for each offeror— may be conducted under section 5301, the Ad- trator shall require use of a process with the (i) the qualifications of the offeror, includ- ministrator shall submit to Congress a de- following aspects for acquisitions under the ing how the qualifications of the offeror re- tailed test plan for the program, including a pilot program: late to the approach proposed to be taken by detailed description of the procedures to be (1) ACQUISITION PLAN EMPHASIZING DESIRED the offeror in the acquisition; and used and a list of any regulations that are to RESULT.—Preparation of an acquisition plan (ii) the costs likely to be associated with be waived. that defines the functional requirements of the approach. SEC. 5303. REPORT. the intended users of the information tech- (C) Evaluation of the qualifications of the (a) REQUIREMENT.—Not later than 180 days nology to be acquired, identifies the oper- identified offerors and the costs likely to be after the completion of a pilot program ational improvements to be achieved, and associated with the offerors’ proposals on the under this title, the Administrator shall— defines the performance measurements to be basis of submissions required under the proc- (1) submit to the Director a report on the applied in determining whether the informa- ess and any oral presentations made by, and results and findings under the program; and tion technology acquired satisfies the de- any discussions with, the offerors. (2) provide a copy of the report to Con- fined requirements and attains the identified (9) SELECTION OF MOST QUALIFIED gress. results. OFFEROR.—A selection process consisting of (b) CONTENT.—The report shall include the (2) RESULTS-ORIENTED STATEMENT OF the following: following: WORK.—Use of a statement of work that is (A) Identification of the most qualified (1) A detailed description of the results of limited to an expression of the end results or source, and ranking of alternative sources, the program, as measured by the criteria es- performance capabilities desired under the primarily on the basis of the oral proposals, tablished for the program. acquisition plan. presentations, and discussions, and written (2) A discussion of any legislation that the (3) SMALL ACQUISITION ORGANIZATION.—As- proposals submitted in accordance with Administrator recommends, or changes in sembly of a small acquisition organization paragraph (7). regulations that the Administrator considers consisting of the following: (B) Conduct for 30 to 60 days of a program necessary, in order to improve overall infor- (A) An acquisition management team, the definition phase (funded, in the case of the mation resources management within the members of which are to be evaluated and re- source ultimately awarded the contract, by Federal Government. warded under the pilot program for contribu- the Federal Government)— January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 499 (i) during which the selected source, in for the economic and efficient procurement the date on which the pilot program is estab- consultation with one or more intended of information technology and other com- lished, the Comptroller General of the Unit- users, develops a conceptual system design mercial items, the Administrator of General ed States shall review the pilot program and and technical approach, defines logical Services shall provide through the Federal report to the Congress on the results of the phases for the project, and estimates the Acquisition Computer Network (in this sec- pilot program. total cost and the cost for each phase; and tion referred to as ‘‘FACNET’’), not later (B) The report shall include the following: (ii) after which a contract for performance than January 1, 1998, Government-wide on- (i) An evaluation of the extent to which of the work may be awarded to that source line computer access to information on prod- there is competition for the orders placed on the basis of cost, the responsiveness, rea- ucts and services that are available for or- under the pilot program. sonableness, and quality of the proposed per- dering under the multiple award schedules. If (ii) The effect that the streamlined proce- formance, and a sharing of risk and benefits the Administrator determines it is not prac- dures under the pilot program have on prices between the source and the Government. ticable to provide such access through charged under multiple award schedule con- (C) Conduct of as many successive program FACNET, the Administrator shall provide tracts. definition phases with alternative sources (in such access through another automated sys- (iii) The effect that such procedures have the order ranked) as is necessary in order to tem that has the capability to perform the on paperwork requirements for multiple award a contract in accordance with sub- functions listed in subsection (b)(1) and award schedule contracts and orders. paragraph (B). meets the requirement of subsection (b)(2). (iv) The impact of the pilot program on (b) ADDITIONAL FACNET FUNCTIONS.—(1) In (10) SYSTEM IMPLEMENTATION PHASING.— small businesses and socially and economi- addition to the functions specified in section System implementation to be executed in cally disadvantaged small businesses. 30(b) of the Office of Federal Procurement phases that are tailored to the solution, with (4) WITHDRAWAL OF SCHEDULE OR PORTION Policy Act (41 U.S.C. 426(b)), the FACNET ar- various contract arrangements being used, OF SCHEDULE FROM PILOT PROGRAM.—The Ad- chitecture shall have the capability to per- as appropriate, for various phases and activi- ministrator may withdraw a multiple award form the following functions: ties. schedule or portion of a schedule from the (A) Provide basic information on prices, (11) MUTUAL AUTHORITY TO TERMINATE.— pilot program if the Administrator deter- features, and performance of all products and Authority for the Federal Government or the mines that (A) price competition is not services available for ordering through the contractor to terminate the contract with- available under such schedule or portion multiple award schedules. out penalty at the end of any phase defined thereof, or (B) the cost to the Government (B) Provide for updating that information for the project. for that schedule or portion thereof for the to reflect changes in prices, features, and (12) TIME MANAGEMENT DISCIPLINE.—Appli- previous year was higher than it would have performance as soon as information on the cation of a standard for awarding a contract been if the contracts for such schedule or changes becomes available. within 105 to 120 days after issuance of the portion thereof had been awarded using pro- (C) Enable users to make on-line computer solicitation. cedures that would apply if the pilot pro- comparisons of the prices, features, and per- (d) PILOT PROGRAM DESIGN.— gram were not in effect. The Administrator formance of similar products and services of- (1) JOINT PUBLIC-PRIVATE WORKING GROUP.— shall notify Congress at least 30 days before The Administrator, in consultation with the fered by various vendors. (2) The FACNET architecture shall be used the date on which the Administrator with- Administrator for the Office of Information to place orders under the multiple award draws a schedule or portion thereof under and Regulatory Affairs, shall establish a schedules in a fiscal year for an amount this paragraph. The authority under this joint working group of Federal Government equal to at least 60 percent of the total paragraph may not be delegated. personnel and representatives of the infor- amount spent for all orders under the mul- (5) TERMINATION OF PILOT PROGRAM.—Un- mation technology industry to design a plan tiple award schedules in that fiscal year. less reauthorized by law, the authority of for conduct of any pilot program carried out (c) STREAMLINED PROCEDURES.— the Administrator to award contracts under under this section. (1) PILOT PROGRAM.—Upon certification by the pilot program shall expire four years (2) CONTENT OF PLAN.—The plan shall pro- the Administrator of General Services that after the date on which the pilot program is vide for use of solutions-based contracting in the FACNET architecture meets the require- established. Contracts entered into before the Department of Defense and not more ments of subsection (b)(1) and was used as re- the authority expires shall remain in effect than two other executive agencies for a total quired by subsection (b)(2) in the fiscal year in accordance with their terms notwith- of— preceding the fiscal year in which the certifi- standing the expiration of the authority to (A) not more than 10 projects, each of cation is made, the Administrator for Fed- award new contracts under the pilot pro- which has an estimated cost of between eral Procurement Policy may establish a gram. $25,000,000 and $100,000,000; and pilot program to test streamlined procedures (d) DEFINITION.—In this section, the term (B) not more than 10 projects, each of for the procurement of information tech- ‘‘FACNET’’ means the Federal Acquisition which has an estimated cost of between nology products and services available for Computer Network established under section $1,000,000 and $5,000,000, to be set aside for ordering through the multiple award sched- 30 of the Office of Federal Procurement Pol- small business concerns. ules. icy Act (41 U.S.C. 426). (3) COMPLEXITY OF PROJECTS.—(A) Subject (2) APPLICABILITY TO MULTIPLE AWARD to subparagraph (C), each acquisition project SEC. 5402. IDENTIFICATION OF EXCESS AND SCHEDULE CONTRACTS.—Except as provided in SURPLUS COMPUTER EQUIPMENT. under the pilot program shall be sufficiently paragraph (4), the pilot program shall be ap- complex to provide for meaningful evalua- plicable to all multiple award schedule con- Not later than six months after the date of tion of the use of solutions-based contracting tracts for the purchase of information tech- the enactment of this Act, the head of an ex- for acquisition of information technology for nology and shall test the following proce- ecutive agency shall inventory all computer executive agencies. dures: equipment under the control of that official. (B) In order for an acquisition project to (A) A procedure under which negotiation of After completion of the inventory, the head satisfy the requirement in subparagraph (A), the terms and conditions for a covered mul- of the executive agency shall maintain, in the solution for attainment of the executive tiple award schedule contract is limited to accordance with title II of the Federal Prop- agency’s objectives under the project should terms and conditions other than price. erty and Administrative Services Act of 1949 not be obvious, but rather shall involve a (B) A procedure under which the vendor es- (40 U.S.C. 481 et seq.), an inventory of any need for some innovative development and tablishes the prices under a covered multiple such equipment that is excess or surplus systems integration. award schedule contract and may adjust property. (C) An acquisition project should not be so those prices at any time in the discretion of SEC. 5403. ACCESS OF CERTAIN INFORMATION extensive or lengthy as to result in undue the vendor. IN INFORMATION SYSTEMS TO THE delay in the evaluation of the use of solu- (C) A procedure under which a covered DIRECTORY ESTABLISHED UNDER tions-based contracting. multiple award schedule contract is awarded SECTION 4101 OF TITLE 44, UNITED (e) MONITORING BY GAO.—The Comptroller to any responsible offeror that— STATES CODE. General of the United States shall— (i) has a suitable record of past perform- Notwithstanding any other provision of (1) monitor the conduct, and review the re- ance, which may include past performance this division, if in designing an information sults, of acquisitions under the pilot pro- on multiple award schedule contracts; technology system pursuant to this division, gram; and (ii) agrees to terms and conditions that the the head of an executive agency determines (2) submit to Congress periodic reports Administrator determines as being required that a purpose of the system is to dissemi- containing the views of the Comptroller Gen- by law or as being appropriate for the pur- nate information to the public, then the eral on the activities, results, and findings chase of commercial items; and head of such executive agency shall reason- under the pilot program. (iii) agrees to establish and update prices, ably ensure that an index of information dis- TITLE LIV—ADDITIONAL INFORMATION features, and performance and to accept or- seminated by such system is included in the RESOURCES MANAGEMENT MATTERS ders electronically through the automated directory created pursuant to section 4101 of SEC. 5401. ON-LINE MULTIPLE AWARD SCHEDULE system established pursuant to subsection title 44, United States Code. Nothing in this CONTRACTING. (a). section authorizes the dissemination of in- (a) AUTOMATION OF MULTIPLE AWARD (3) COMPTROLLER GENERAL REVIEW AND RE- formation to the public unless otherwise au- SCHEDULE CONTRACTING.—In order to provide PORT.—(A) Not later than three years after thorized. H 500 CONGRESSIONAL RECORD — HOUSE January 22, 1996 TITLE LV—PROCUREMENT PROTEST AU- SEC. 5602. AMENDMENTS TO TITLE 28, UNITED erty and Administrative Services Act of 1949 THORITY OF THE COMPTROLLER GEN- STATES CODE. (40 U.S.C. 757)’’. ERAL (a) REFERENCES TO BROOKS AUTOMATIC (d) COLLECTION OF INFORMATION.—Section SEC. 5501. PERIOD FOR PROCESSING PROTESTS. DATA PROCESSING ACT.—Section 612 of title 3507(j)(2) of such title is amended by striking Title 31, United States Code, is amended as 28, United States Code, is amended— out ‘‘90 days’’ in the second sentence and in- follows: (1) in subsection (f), by striking out ‘‘sec- serting in lieu thereof ‘‘180 days’’. (1) Section 3553(b)(2)(A) is amended by tion 111 of the Federal Property and Admin- SEC. 5606. AMENDMENT TO TITLE 49, UNITED striking out ‘‘35’’ and inserting in lieu there- istrative Services Act of 1949 (40 U.S.C. 759)’’ STATES CODE. Section 40112(a) of title 49, United States of ‘‘30’’. and inserting in lieu thereof ‘‘the provisions Code, is amended by striking out ‘‘or a con- (2) Section 3554 is amended— of law, policies, and regulations applicable to tract to purchase property to which section (A) in subsection (a)(1), by striking out executive agencies under the Information 111 of the Federal Property and Administra- ‘‘125’’ and inserting in lieu thereof ‘‘100’’; and Technology Management Reform Act of tive Services Act of 1949 (40 U.S.C. 759) ap- (B) in subsection (e)— 1996’’; plies’’. (i) in paragraph (1), by striking out ‘‘Gov- (2) in subsection (g), by striking out ‘‘sec- ernment Operations’’ and inserting in lieu tions 111 and 201 of the Federal Property and SEC. 5607. OTHER LAWS. (a) NATIONAL INSTITUTE OF STANDARDS AND thereof ‘‘Government Reform and Over- Administrative Services Act of 1949 (40 TECHNOLOGY ACT.—Section 20 of the National sight’’; and U.S.C. 481 and 759)’’ and inserting in lieu Institute of Standards and Technology Act (ii) in paragraph (2), by striking out ‘‘125’’ thereof ‘‘section 201 of the Federal Property (15 U.S.C. 278g–3) is amended— and inserting in lieu thereof ‘‘100’’. and Administrative Services Act of 1949 (40 U.S.C. 481)’’; (1) in subsection (a)— SEC. 5502. AVAILABILITY OF FUNDS FOLLOWING (A) by striking out ‘‘section 3502(2) of title GAO RESOLUTION OF CHALLENGE (3) by striking out subsection (l); and TO CONTRACTING ACTION. (4) by redesignating subsection (m) as sub- 44’’ each place it appears in paragraphs (2) (a) IN GENERAL.—Section 1558 of title 31, section (l). and (3)(A) and inserting in lieu thereof ‘‘sec- United States Code, is amended— (b) REFERENCES TO AUTOMATIC DATA PROC- tion 3502(9) of title 44’’; and (1) in the first sentence of subsection (a)— ESSING.—Section 612 of title 28, United States (B) in paragraph (4), by striking out ‘‘sec- (A) by inserting ‘‘or other action referred Code, is further amended— tion 111(d) of the Federal Property and Ad- to in subsection (b)’’ after ‘‘protest’’ the first (1) in the heading, by striking out the sec- ministrative Services Act of 1949’’ and in- place it appears; ond word and inserting in lieu thereof ‘‘Infor- serting in lieu thereof ‘‘section 5131 of the In- (B) by striking out ‘‘90 working days’’ and mation Technology’’; formation Technology Management Reform inserting in lieu thereof ‘‘100 days’’; and (2) in subsection (a), by striking out ‘‘Judi- Act of 1996’’; (C) by inserting ‘‘or other action’’ after ciary Automation Fund’’ and inserting in (2) in subsection (b)— ‘‘protest’’ the second place it appears; and lieu thereof ‘‘Judiciary Information Tech- (A) by striking out paragraph (2); (2) by striking out subsection (b) and in- nology Fund’’; and (B) in paragraph (3), by striking out ‘‘sec- serting in lieu thereof the following: (3) by striking out ‘‘automatic data proc- tion 111(d) of the Federal Property and Ad- ‘‘(b) Subsection (a) applies with respect essing’’ and inserting in lieu thereof ‘‘infor- ministrative Services Act of 1949’’ and in- to— mation technology’’ each place it appears in serting in lieu thereof ‘‘section 5131 of the In- ‘‘(1) any protest filed under subchapter V subsections (a), (b), (c)(2), (e), (f), and (h)(1). formation Technology Management Reform of chapter 35 of this title; or SEC. 5603. AMENDMENT TO TITLE 31, UNITED Act of 1996’’; and ‘‘(2) an action commenced under adminis- STATES CODE. (C) by redesignating paragraphs (3), (4), (5), trative procedures or for a judicial remedy Section 3552 of title 31, United States Code, and (6) as paragraphs (2), (3), (4), and (5); and if— is amended by striking out the second sen- (3) in subsection (d)— ‘‘(A) the action involves a challenge to— tence. (A) in paragraph (1)(B)(v), by striking out ‘‘(i) a solicitation for a contract; SEC. 5604. AMENDMENTS TO TITLE 38, UNITED ‘‘as defined’’ and all that follows and insert- ‘‘(ii) a proposed award of a contract; STATES CODE. ing in lieu thereof a semicolon; and ‘‘(iii) an award of a contract; or Section 310 of title 38, United States Code, (B) in paragraph (2)— ‘‘(iv) the eligibility of an offeror or poten- is amended to read as follows: (i) by striking out ‘‘system’—’’ and all that follows through ‘‘means’’ in subparagraph tial offeror for a contract or of the contrac- ‘‘§ 310. Chief Information Officer tor awarded the contract; and (A) and inserting in lieu thereof ‘‘system’ ‘‘(a) The Chief Information Officer for the ‘‘(B) commencement of the action delays means’’; and Department is designated pursuant to sec- or prevents an executive agency from mak- (ii) by striking out ‘‘; and’’ at the end of tion 3506(a)(2) of title 44. ing an award of a contract or proceeding subparagraph (A) and all that follows ‘‘(b) The Chief Information Officer per- with a procurement.’’. through the end of subparagraph (B) and in- forms the duties provided for chief informa- (b) CONFORMING AMENDMENT.—The heading serting in lieu thereof a semicolon. of such section is amended to read as follows: tion officers of executive agencies under (b) COMPUTER SECURITY ACT OF 1987.— chapter 35 of title 44 and the Information (1) PURPOSES.—Section 2(b)(2) of the Com- ‘‘§ 1558. Availability of funds following resolu- Technology Management Reform Act of tion of a formal protest or other challenge’’. puter Security Act of 1987 (Public Law 100– 1996.’’. 235; 101 Stat. 1724) is amended by striking out (c) CLERICAL AMENDMENT.—The item relat- SEC. 5605. PROVISIONS OF TITLE 44, UNITED ‘‘by amending section 111(d) of the Federal ing to such section in the table of sections at STATES CODE, RELATING TO PAPER- Property and Administrative Services Act of the beginning of chapter 15 of title 31, United WORK REDUCTION. 1949 (40 U.S.C. 759(d))’’. States Code, is amended to read as follows: (a) DEFINITION.—Section 3502 of title 44, (2) SECURITY PLAN.—Section 6(b) of such ‘‘1558. Availability of funds following resolu- United States Code, is amended by striking Act (101 Stat. 1729; 40 U.S.C. 759 note) is tion of a formal protest or out paragraph (9) and inserting in lieu there- amended— other challenge.’’. of the following: (A) by striking out ‘‘Within one year after TITLE LVI—CONFORMING AND CLERICAL ‘‘(9) the term ‘information technology’ has the date of enactment of this Act, each such AMENDMENTS the meaning given that term in section 5002 agency shall, consistent with the standards, SEC. 5601. AMENDMENTS TO TITLE 10, UNITED of the Information Technology Management guidelines, policies, and regulations pre- STATES CODE. Reform Act of 1996 but does not include na- scribed pursuant to section 111(d) of the Fed- (a) PROTEST FILE.—Section 2305(e) is tional security systems as defined in section eral Property and Administrative Services amended by striking out paragraph (3). 5142 of that Act;’’. Act of 1949,’’ and inserting in lieu thereof (b) MULTIYEAR CONTRACTS.—Section 2306b (b) DEVELOPMENT OF STANDARDS AND ‘‘Each such agency shall, consistent with the of such title is amended— GUIDELINES BY NATIONAL INSTITUTE OF standards, guidelines, policies, and regula- (1) by striking out subsection (k); and STANDARDS AND TECHNOLOGY.—Section tions prescribed pursuant to section 5131 of (2) by redesignating subsection (l) as sub- 3504(h)(1)(B) of such title is amended by the Information Technology Management section (k). striking out ‘‘section 111(d) of the Federal Reform Act of 1996,’’; and (c) LAW INAPPLICABLE TO PROCUREMENT OF Property and Administrative Services Act of (B) by striking out ‘‘Copies’’ and all that INFORMATION TECHNOLOGY.—Section 2315 of 1949 (40 U.S.C. 759(d))’’ and inserting in lieu follows through ‘‘Code.’’. title 10, United States Code, is amended by thereof ‘‘section 5131 of the Information (c) FEDERAL PROPERTY AND ADMINISTRA- striking out ‘‘Section 111’’ and all that fol- Technology Management Reform Act of TIVE SERVICES ACT OF 1949.—Section 303B(h) lows through ‘‘use of equipment or services 1996’’. of the Federal Property and Administrative if,’’ and inserting in lieu thereof the follow- (c) COMPLIANCE WITH DIRECTIVES.—Section Services Act of 1949 (41 U.S.C. 253b(h)) is ing: ‘‘For the purposes of the Information 3504(h)(2) of such title is amended by striking amended by striking out paragraph (3). Technology Management Reform Act of 1996, out ‘‘sections 110 and 111 of the Federal Prop- (d) OFFICE OF FEDERAL PROCUREMENT POL- the term ‘national security systems’ means erty and Administrative Services Act of 1949 ICY ACT.—Section 6(h)(1) of the Office of Fed- those telecommunications and information (40 U.S.C. 757 and 759)’’ and inserting in lieu eral Procurement Policy Act (41 U.S.C. systems operated by the Department of De- thereof ‘‘the Information Technology Man- 405(h)(1)) is amended by striking out ‘‘of fense, the functions, operation or use of agement Reform Act of 1996 and directives automatic data processing and telecommuni- which’’. issued under section 110 of the Federal Prop- cations equipment and services or’’. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 501

(e) NATIONAL ENERGY CONSERVATION POLICY same extent that such proceeding could have The House amendment to the text of the ACT.—Section 801(b)(3) of the National En- been discontinued or modified if this Act had bill struck all of the Senate bill after the en- ergy Conservation Policy Act (42 U.S.C. not been enacted. acting clause and inserted a substitute text. 8287(b)(3)) is amended by striking out the (4) OTHER AUTHORITY AND PROHIBITION.— The Senate recedes from its disagreement second sentence. Section 1558(a) of title 31, United States to the amendment of the House with an (f) CENTRAL INTELLIGENCE AGENCY ACT OF Code, and the second sentence of section 3552 amendment that is a substitute for the Sen- 1949.—Section 3 of the Central Intelligence of such title shall continue to apply with re- ate bill and the House amendment. The dif- Agency Act of 1949 (50 U.S.C. 403c) is amend- spect to a protest process in accordance with ed by striking out subsection (e). this subsection. ferences between the Senate bill, the House amendment, and the substitute agreed to in SEC. 5608. CLERICAL AMENDMENTS. (5) REGULATIONS FOR TRANSFER OF PROCEED- INGS.—The Director may prescribe regula- conference are noted below, except for cleri- (a) FEDERAL PROPERTY AND ADMINISTRA- tions providing for the orderly transfer of cal corrections, conforming changes made TIVE SERVICES ACT OF 1949.—The table of con- proceedings continued under paragraph (1). necessary by agreements reached by the con- tents in section 1(b) of the Federal Property (c) STANDARDS AND GUIDELINES FOR FED- ferees, and minor drafting and clerical and Administrative Services Act of 1949 is ERAL COMPUTER SYSTEMS.—Standards and changes. amended by striking out the item relating to guidelines that are in effect for Federal com- section 111. All references in this joint statement to puter systems under section 111(d) of the (b) TITLE 38, UNITED STATES CODE.—The provisions of the House bill refer to the pro- Federal Property and Administrative Serv- table of sections at the beginning of chapter visions of H.R. 1530 (The National Defense ices Act of 1949 (40 U.S.C. 759(d)) on the day 3 of title 38, United States Code, is amended Authorization Act for Fiscal Year 1996), as before the effective date of this division shall by striking out the item relating to section passed by the House on June 15, 1995. All ref- remain in effect until modified, terminated, 310 and inserting in lieu thereof the follow- erences to provisions of the Senate amend- superseded, revoked, or disapproved under ing: ment refer to the Senate amendment to the the authority of section 5131 of this Act. ‘‘310. Chief Information Officer.’’. text of H.R. 1530, as passed by the Senate on SEC. 5703. RULES OF CONSTRUCTION. TITLE LVII—EFFECTIVE DATE, SAVINGS September 6, 1995. (a) RELATIONSHIP TO TITLE 44, UNITED PROVISIONS, AND RULES OF CON- STATES CODE.—Nothing in this division shall The conference report on H.R. 1530 is set STRUCTION be construed to amend, modify, or supersede forth in House Report 104–406. The President SEC. 5701. EFFECTIVE DATE. any provision of title 44, United States Code, vetoed H.R. 1530 on December 28, 1995. This division and the amendments made by other than chapter 35 of such title. In those cases in which the conference this division shall take effect 180 days after (b) RELATIONSHIP TO COMPUTER SECURITY agreement requires the submission of a re- the date of the enactment of this Act. ACT OF 1987.—Nothing in this division shall port to Congress or a committee of Congress, SEC. 5702. SAVINGS PROVISIONS. affect the limitations on authority that is the report shall be submitted not later than (a) REGULATIONS, INSTRUMENTS, RIGHTS, provided for in the administration of the the later of the date established in the Act AND PRIVILEGES.—All rules, regulations, con- Computer Security Act of 1987 (Public Law or the statement of managers language for tracts, orders, determinations, permits, cer- 100–235) and the amendments made by such submission of the report or the date that is tificates, licenses, grants, and privileges— Act. 45 days after the date of the enactment of And the House agree to the same. (1) which have been issued, made, granted, this Act. The reason for this extension is That the Senate recede from its disagree- or allowed to become effective by the Admin- that, while the conferees expect that reports ment to the amendment of the House to the istrator of General Services or the General will be submitted in a timely fashion, they title of the bill and agree to the same with Services Board of Contract Appeals, or by a recognize that the circumstances associated court of competent jurisdiction, in connec- an amendment as follows: with this legislation may in some cases tion with an acquisition activity carried out In lieu of the House amendment, amend make compliance with deadlines imprac- under the section 111 of the Federal Property the title so as to read: ‘‘An Act to authorize tical. The conferees intend that this author- and Administrative Services Act of 1949 (40 appropriations for fiscal year 1996 for mili- ity be used sparingly and only in those few U.S.C. 759), and tary activities of the Department of Defense, (2) which are in effect on the effective date for military construction, and for defense ac- cases where an extension in filing the report of this division, tivities of the Department of Energy, to pre- is essential. shall continue in effect according to their scribe personnel strengths for such fiscal SUMMARY STATEMENT OF CONFERENCE ACTION terms until modified, terminated, super- year for the Armed Forces, to reform acqui- seded, set aside, or revoked in accordance sition laws and information technology man- The conferees recommend authorizations with law by the Director or any other au- agement of the Federal Government, and for for the Department of Defense for procure- thorized official, by a court of competent ju- other purposes.’’. ment, research and development, test and risdiction, or by operation of law. And the House agree to the same. evaluation, operation and maintenance, (b) PROCEEDINGS.— FLOYD SPENCE, working capital funds, military construction (1) PROCEEDINGS GENERALLY.—This division BOB STUMP, and family housing, weapons programs of the and the amendments made by this division DUNCAN HUNTER, Department of Energy, and civil defense that shall not affect any proceeding, including HERBERT H. BATEMAN, have a budget authority implication of $264.7 any proceeding involving a claim, applica- CURT WELDON, billion. tion, or protest in connection with an acqui- G.V. MONTGOMERY, sition activity carried out under section 111 JOHN M. SPRATT, Jr., SUMMARY TABLE OF AUTHORIZATIONS Managers on the Part of the House. of the Federal Property and Administrative The defense authorization act provides au- Services Act of 1949 (40 U.S.C. 759) that is STROM THURMOND, thorizations for appropriations but does not pending before the Administrator of General JOHN WARNER, generally provide budget authority. Budget Services or the General Services Board of BILL COHEN, authority is generally provided in appropria- Contract Appeals on the effective date of TRENT LOTT, tion acts. this division. SAM NUNN, (2) ORDERS.—Orders may be issued in any Managers on the Part of the Senate. In order to relate the conference rec- such proceeding, appeals may be taken JOINT EXPLANATORY STATEMENT OF ommendations to the Budget Resolution, therefrom, and payments may be made pur- THE COMMITTEE OF CONFERENCE matters in addition to the dollar authoriza- suant to such orders, as if this division had tions contained in this bill must be taken The managers on the part of the House and not been enacted. An order issued in any into account. A number of programs in the the Senate at the conference on the disagree- such proceeding shall continue in effect until defense function are authorized permanently ing votes of the two Houses on the amend- modified, terminated, superseded, or revoked or, in certain instances, authorized in other ments of the House to the bill (S. 1124) to au- in accordance with law by the Director or annual legislation. In addition, this author- thorize appropriations for fiscal year 1996 for any other authorized official, by a court of ization bill would establish personnel levels military activities of the Department of De- competent jurisdiction, or by operation of and include a number of legislative provi- fense, to prescribe personnel strengths for law. sions affecting military compensation. (3) DISCONTINUANCE OR MODIFICATION OF such fiscal year for the Armed Forces, and PROCEEDINGS NOT PROHIBITED.—Nothing in for other purposes, submit the following The following table summarizes authoriza- this subsection prohibits the discontinuance joint statement to the House and the Senate tions included in the bill in fiscal year 1996 or modification of any such proceeding under in explanation of the effect of the action and, in addition, summarizes the implica- the same terms and conditions and to the agreed upon by the managers and rec- tions of the conference action for the budget ommended in the accompanying conference totals for national defense (budget function report: 050). H 502 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 503 H 504 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 505 H 506 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 507 Congressional defense committees DIVISION A: DEPARTMENT OF DEFENSE fense. The House bill would authorize AUTHORIZATIONS $44,117.0 million. The Senate amendment The term ‘‘congressional defense commit- TITLE I—PROCUREMENT would authorize $45,043.8 million. The con- tees’’ is often used in this statement of the Overview ferees recommended an authorization of managers. It means the Defense Authoriza- $44,878.1 million. Unless noted explicitly in tion and Appropriations Committees of the The budget request for fiscal year 1996 con- tained an authorization of $39,697.8 million the statement of managers, all changes are Senate and House of Representatives. for procurement in the Department of De- made without prejudice. H 508 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 509 Overview Aircraft Procurement, Army in the Depart- conferees recommended an authorization of ment of Defense. The House bill would au- $1,558.8 million. Unless noted explicitly in The budget request for fiscal year 1996 con- thorize $1,423.1 million. The Senate amend- the statement of managers, all changes are tained an authorization of $1,223.1 million for ment would authorize $1,396.5 million. The made without prejudice. H 510 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 511 H 512 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Airborne reconnaissance low UH–60 Black Hawk helicopter vide authority for multiyear procurement The budget request included $18.4 million The budget request included $526.0 million for the Black Hawk helicopter program. to procure one additional aircraft. for the procurement of 60 Black Hawk heli- The House bill and the Senate amendment copters in the final year of a five-year Overview would approve the budget request. multiyear procurement. No funds were re- The budget request for fiscal year 1996 con- The conferees agree to authorize the budg- quested for advance procurement. tained an authorization of $676.4 million for et request and express a continued strong The House bill would approve the budget support for the Airborne Reconnaissance request and add $75.0 million for advance Missile Procurement, Army in the Depart- Low (ARL) program, to include the procure- procurement. ment of Defense. The House bill would au- ment of a total of 9 aircraft as soon as pos- The Senate amendment would decrease thorize $862.8 million. The Senate amend- sible. procurement funds to $475.8 million to pro- ment would authorize $894.4 million. The The conferees expect the Department to cure 50 helicopters, and would not provide conferees recommended an authorization of evaluate the advantages of linking the air- funds for advance procurement. $865.6 million. Unless noted explicitly in the borne workstations of the ARL to an Un- The conferees agree to authorize $526.0 mil- statement of managers, all changes are made manned Aerial Vehicle, to provide for air- lion for the procurement of 60 Black Hawk without prejudice. borne analysis and assured dissemination of helicopters and $70.0 million for advance pro- information. curement. The conferees also agree to pro- January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 513 H 514 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Hellfire missile prior year TOW missile deliveries. No funds $48.0 million to recondition sufficient MLRS The budget request included $197.5 million were requested for additional missile produc- launchers and ancillary equipment for one to procure 352 Longbow Hellfire missiles and tion. additional National Guard MLRS battalion. $12.0 million for post-production support. The House bill and the Senate amendment The conferees agree to authorize $98.6 mil- The House bill and the Senate amendment would authorize an increase of $20.0 million would provide an additional $40.0 million, for procurement of 1,000 TOW 2B missiles. lion to provide sufficient reconditioned which when combined with $12.0 million of The conferees agree to authorize an in- MLRS launchers and ancillary equipment to post-production funds, would enable the crease of $5.0 million for procurement of 500 complete the fielding of the National Guard Army to buy 750 Hellfire II missiles. TOW 2B missiles. battalion authorized in fiscal year 1995, and The conferees agree to provide an addi- Multiple launch rocket system to fully equip another National Guard bat- tional $37.2 million for the procurement of The budget request included $48.2 million talion in fiscal year 1996. 750 Hellfire II missiles. for annual support and fielding of the Army’s Overview Javelin medium anti-tank weapon Multiple Launch Rocket System (MLRS), The budget request included $171.4 million but this amount did not include funding for The budget request for fiscal year 1996 con- to procure 557 Javelin missiles. procurement of any new launchers. tained an authorization of $1,298.9 million for The House bill and the Senate amendment The House bill would authorize an increase Weapons and Tracked Combat Vehicles Pro- would authorize an increase of $39.0 million of $16.4 million to procure MLRS launchers curement, Army in the Department of De- for an additional 453 Javelin missiles. to complete equipping a National Guard fense. The House bill would authorize $1,359.7 The conferees agree to authorize an addi- MLRS battalion, for which funds were au- million. The Senate amendment would au- tional $35.5 million, which when added to the thorized in fiscal year 1995. budget request of $171.4 million, will procure The Senate amendment would authorize an thorize $1,547.9 million. The conferees rec- a total of 1,010 Javelin missiles. increase of $16.4 million to complete fielding ommended an authorization of $1,652.7 mil- TOW missile the same National Guard battalion described lion. Unless noted explicitly in the state- The budget request included $7.4 million in the House bill. In addition, the Senate ment of managers, all changes are made for plant closure and production support of amendment would authorize an increase of without prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 515 H 516 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 517 Direct support electronic system test sets The conferees agree to authorize an in- (AAE) regarding the need to maintain an ap- The budget request included $1.5 million crease of $81.8 million to procure an addi- propriate balance between the heavy and me- for calibration of the direct support elec- tional 48 Paladin retrofits to equip two addi- dium portions of the tracked combat vehicle tronic system test sets (DSESTS). tional National Guard battalions and to ret- fleets, included in the Senate report (S. The House bill included no additional fund- rofit the fire control processor for 340 sys- Rept. 104–112). The conferees expect the AAE ing for DSESTS. tems. to comply with that guidance and direction. The Senate amendment would authorize an Improved Recovery Vehicle Mark–19 universal mounting bracket increase of $15.0 million for additional pro- The budget request included $23.5 million curement of DSESTS for M1 Abrams series The budget request included $1.4 million to procure nine M88A1E1 Improved Recovery tanks and Bradley infantry fighting vehicles. for program modifications under $2.0 million. Vehicles (IRV). The conferees agree to authorize an in- The Senate amendment would recommend crease of $15.0 million for DSESTS for both The House bill would approve the budget request. an increase of $1.5 million to begin initial procurement and research and development, production of a nondevelopmental universal as indicated below: The Senate amendment would authorize an increase of $33.9 million to procure an addi- bracket. Procurement: Million tional 12 IRVs. The House bill would authorize the budget M1 Abrams tank series ...... $3.0 request. Armored Gun System ...... 6.0 The House recedes. Research & Development: M1 Abrams tank upgrade program The Senate recedes. PE23735A Abrams Block Improve- The budget request included $473.8 million The conferees encourage the Army to re- ments ...... 4.0 for 100 M1A2 tank upgrades for the Army. program funds to provide $1.5 million to ini- PE23735A Armored Gun System ...... 2.0 The House bill would approve the budget tiate production of a nondevelopmental uni- M113 Carrier modifications request. versal mounting bracket for the Mark–19 The budget request included $48.1 million The Senate amendment would authorize an automatic grenade launcher. for modification of M113 personnel carriers. increase of $110.0 million for 24 additional The conferees provide $.5 million in PE The House bill and the Senate amendment M1A2 tank upgrades and, in accordance with 64802A to type classify this bracket. would approve the budget request. the Statement of Managers accompanying The conferees agree to authorize an in- the National Defense Authorization Act of Overview crease of $1.6 million for an additional 12 car- Fiscal Year 1995 (H. Rept. 103–701), would di- The budget request for fiscal year 1996 con- rier modification upgrades to be used as op- rect the Army to transfer 24 M1A1 tanks to tained an authorization of $795.0 million for posing force vehicles at the National Train- the Marine Corps Reserve. Ammunition Procurement, Army in the De- ing Center. The House recedes. partment of Defense. The House bill would M109A6 Paladin 155mm howitzer, self-propelled The conferees continue to support a authorize $1,062.7 million. The Senate The budget request included $220.2 million multiyear procurement for M1A2 tank up- amendment would authorize $1,120.1 million. for retrofitting 215 M109A6 Paladin howitzer grades, as authorized in the National Defense The conferees recommended an authoriza- systems. Authorization Act of Fiscal Year 1995. How- tion of $1,093.9 million. Unless noted explic- The House bill and the Senate amendment ever, the conferees agree with guidance and itly in the statement of managers, all would approve the budget request. direction to the Army Acquisition Executive changes are made without prejudice. H 518 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 519 H 520 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Overview Other Procurement, Army in the Depart- conferees recommended an authorization of ment of Defense. The House bill would au- $2,763.4 million. Unless noted explicitly in The budget request for fiscal year 1996 con- thorize $2,545.6 million. The Senate amend- the statement of managers, all changes are tained an authorization of $2,256.6 million for ment would authorize $2,811.1 million. The made without prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 521 H 522 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 523 H 524 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 525 H 526 CONGRESSIONAL RECORD — HOUSE January 22, 1996

High mobility multipurpose wheeled vehicle Dollars ize an increase of $9.0 million to the budget (in mil- Quantity request for procurement and integration of The budget request included $57.7 million lions) for 546 high mobility multipurpose wheeled tactical information broadcast service to vehicles (HMMWVs). Palletized loading system ...... 52.0 147 provide this capability for existing GUARD- The House bill would authorize an increase RAIL aircraft. Medium truck extended service program of $39.0 million to procure approximately 700 Nonsystem training devices additional HMMWVs. The budget request did not include funds The Senate amendment would authorize an for the medium truck extended service pro- The budget request included $71.6 million increase of $72.0 million to procure approxi- gram (ESP). for nonsystem training devices. mately 1300 additional HMMWVs. The House bill would not authorize funds The House bill and the Senate amendment The House recedes. for medium truck ESP. authorized the request. The conferees agree that additional The Senate amendment would authorize The conferees are concerned that the Army HMMWVs are required for both the Army $30.0 million for medium truck ESP. is currently training firefighters using fossil- and the Marine Corps, and expect the mili- The conferees agree to authorize $20.0 mil- fueled techniques that are not only hazard- tary services to include in future budget re- lion for medium truck ESP. The conferees ous to the trainees but, in some cases, in vio- quests adequate funds to procure sufficient express their concern regarding the possibil- lation of environmental regulations. More- HMMWVs to meet validated service require- ity of initiating multiple truck remanufac- over, the conferees are aware that there are ments and to meet minimum annual re- ture programs, thereby creating excess ca- computer-controlled natural gas/propane quired production rates necessary to sustain pacity in the industry. The conferees prefer firefighter training systems, currently used the essential elements of the HMMWV indus- that maximum use be made of the medium by other services, that provide safe training trial base. truck ESP currently underway, that sepa- for individuals and minimize destruction to rate, additional procurements be kept to a Family of heavy tactical vehicles the environment. Accordingly, the conferees minimum to avoid industrial overcapacity, authorize $4.5 million to procure an initial The budget request included $0.6 million and that, for future procurements, consider- set of these systems. for the family of heavy tactical vehicles ation be given to reliable manufacturers Further, the conferees believe that the (FHTV). with demonstrated capabilities to produce Army should develop a plan to replace cur- The House bill would authorize an increase military trucks. of $100.0 million for the FHTV program. rent firefighting training sites in regions GUARDRAIL tactical information broadcast where multiple commands can take advan- The Senate amendment would authorize an service increase of $125.0 million for the FHTV pro- tage of a single site. The budget request included $48.9 million gram. Overview for the GUARDRAIL common sensor pro- The House recedes. gram. The budget request for fiscal year 1996 con- The conferees agree to authorize an in- Both the House bill and the Senate amend- tained an authorization of $3,886.5 million for crease to the budget request of $125.0 million ment would authorize funding at the re- Aircraft Procurement, Navy in the Depart- to procure the heavy tactical vehicles, as in- quested level. ment of Defense. The House bill would au- dicated below: The conferees have determined that there thorize $4,106.5 million. The Senate amend- Dollars is a need for GUARDRAIL aircraft to be ment would authorize $4,916.6 million. The (in mil- Quantity equipped with improved intelligence data conferees recommended an authorization of lions) dissemination capability and interoper- $4,572.4 million. Unless noted explicitly in Heavy equipment transporter ...... $40.0 83 ability with other intelligence data produc- the statement of managers, all changes are Heavy expanded mobility tactical transporter ...... 33.0 115 ers. Therefore, the conferees agree to author- made without prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 527 H 528 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 529 AV–8B remanufacture (3) $25.0 million for 30 USQ–113 enhanced The House bill would approve the budget The budget request included $148.2 million radio countermeasure sets. request for F–14 modifications. for the remanufacture of four Marine Corps The conferees also authorize an increase of After completion of the House bill, the AV–8B aircraft. $10.0 million to Navy EW development (PE Navy informed the Senate that the require- The House bill would add $160.0 million for 64270N), to develop a low-cost, reactive jam- ments validation process had documented an the remanufacture of eight additional air- ming capability for the EA–6B. The conferees operational requirement for a FLIR/laser craft. are especially interested in the Navy’s com- designator system for the F–14, in lieu of the The Senate amendment would authorize an pletion of an affordable upgrade to the EA– JDAM integration. The Senate considered additional $100.0 million for the remanufac- 6B reactive processor capability. this requirement to be a high priority for ture of four more aircraft. The conferees note the inconsistent nature carrier operations. Therefore, the Senate The conferees agree to authorize a total of of the Navy’s actions regarding airborne tac- amendment would authorize an increase of $229.4 million, $81.3 million above the budget tical EW in recent years and are deeply con- $17.1 million for F–14 aircraft modifications request, for the remanufacture of four addi- cerned with the Navy’s vacillating commit- in fiscal year 1996. This action was taken tional aircraft. ment and support for meaningful upgrades to with the understanding that the Department Electronic warfare the EA–6B aircraft. Accordingly, the Sec- of Defense would provide funding for the sys- The budget request included no funds to ei- retary of the Navy is directed to: tem in future budget requests. ther expand the Navy’s fleet of EA–6B Block (1) initiate the EA–6B modifications identi- The conferees agree to provide $101.5 mil- 89 aircraft to accommodate the retirement of fied above. lion for F–14 modifications, with an increase the EF–111 jammer aircraft or to improve (2) provide the congressional defense com- of $42.5 million provided for the FLIR/laser mittees with the following: the capabilities of the existing Block 89 EA– designator effort. The conferees also agree to (a) a program and budget plan for complet- 6B fleet. reduce the F–14 research and development re- ing the directed modifications. The House bill would approve the budget quest by $25.4 million. request. (b) the Joint Tactical Airborne EW Study The Senate amendment would authorize (JTAEWS). Additionally, the conferees agree to invite $216.0 million to modernize airborne elec- In addition, the conferees agree that the the Navy to reprogram funds originally au- tronic warfare (EW) capabilities of the EA– Secretary of the Navy shall not obligate thorized for JDAM integration into the 6B Block 89 aircraft and to expand the num- more than 75 percent of funds appropriated FLIR/laser designator procurement effort, to ber of Block 89 aircraft by 20. for procurement of the F/A–18C/D for fiscal expedite meeting the need for improving F– The conferees agree that modernization of year 1996 until he has accomplished the ac- 14 strike capability. the Department’s tactical electronic warfare tions specified above. Overview aircraft fleet is a priority item of special in- F–14 modifications terest. Accordingly, the conferees agree to The budget request for fiscal year 1996 con- authorize $165.0 million to initiate procure- The budget request included $59.0 million tained an authorization of $1,787.1 million for ment of EA–6B modifications, as set forth for F–14 modifications. This amount did not Weapons Procurement, Navy in the Depart- below: include any funds for a forward-looking in- ment of Defense. The House bill would au- (1) $100.0 million to modernize up to 20 frared (FLIR)/laser designator system for the thorize $1,626.4 million. The Senate amend- older EA–6B Block 82 aircraft to the newer F–14. The budget request included $25.4 mil- ment would authorize $1,771.4 million. The Block 89 configuration to offset EF–111 re- lion in research and development funds for a conferees recommended an authorization of tirements; precision strike upgrade, an effort to inte- $1,659.8 million. Unless noted explicitly in (2) $40.0 million to procure 60 band 9/10 grate the joint direct attack munition the statement of managers, all changes are transmitters; and (JDAM) into the F–14. made without prejudice. H 530 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 531 H 532 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Overview Navy in the Department of Defense. The an authorization of $6,643.9 million. Unless The budget request for fiscal year 1996 con- House bill would authorize $6,227.9 million. noted explicitly in the statement of man- tained an authorization of $5,051.9 million for The Senate amendment would authorize agers, all changes are made without preju- Shipbuilding and Conversion Procurement, $7,111.9 million. The conferees recommended dice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 533 H 534 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Overview Procurement, Navy and Marine Corps in the ferees recommended an authorization of Department of Defense. The House bill would $430.1 million. Unless noted explicitly in the The budget request for fiscal year 1996 con- authorize $461.8 million. The Senate amend- statement of managers, all changes are made tained no authorization for Ammunition ment contained no authorization. The con- without prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 535 H 536 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Overview Other Procurement, Navy in the Department ferees recommended an authorization of of Defense. The House bill would authorize $2,414.8 million. Unless noted explicitly in The budget request for fiscal year 1996 con- $2,461.5 million. The Senate amendment the statement of managers, all changes are tained an authorization of $2,396.1 million for would authorize $2,471.9 million. The con- made without prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 537 H 538 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 539 H 540 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 541 H 542 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 543 Submarine navigation sets The conferees are aware that there is a to plan for the tactical employment of the The budget request included $4.1 million commercial off-the-shelf (COTS) variant of conventional Tomahawk land attack missile for the electrically suspended gyro navigator the AN/BPS–16 that could be procured and (TLAM). APS is also an integral part of the (ESGN), the navigation system currently in- installed at a substantially lower cost than Joint Service Imagery Processing System— stalled on Navy submarines. It also included the AN/BPS–16 built to military specifica- Navy (JSIPS–N) and Challenge Athena sys- $17.7 million for other navigation equipment. tions. The conferees are also aware that the tems. These systems support Tomahawk reliability and maintenance challenges asso- strike planning, but can also provide mission The House bill would reduce ESGN funding ciated with the existing AN/BPS–15 have in- planning support for other precision guided by $4.1 million and increase funding for other duced many Navy submarine crews to pro- munitions. navigation equipment by $10.0 million to cure inexpensive commercial navigation ra- purchase and install MK–49 ring laser gyro The conferees encourage the Department dars with limited capability. (RLG) navigators on Navy submarines. of Defense to: Based on these considerations, the con- (1) continue support and funding for APS; The Senate amendment would reduce ferees agree to authorize an increase of $9.0 and ESGN funding by $2.5 million, the amount million for the procurement and installation (2) consider extending APS’s targeting and budgeted for ESGN reliability modifications. of AN/BPS–16 submarine radar sets. The con- mission planning capabilities to other tac- It would also increase funding for other navi- ferees encourage the Navy to take advantage tical command echelons, in order to meet gation equipment by $10.0 million to pur- of the new COTS variant of the AN/BPS–16 to the expanding requirement for tactical utili- chase and install MK–49 RLG navigators on achieve the maximum benefit from this addi- zation of the Tomahawk system and improve Navy submarines. tional funding. its responsiveness to the demands of land The Senate recedes. Afloat planning system battle. AN/BPS–16 submarine radar The conferees have fully supported the Overview The budget request included $0.5 million Tomahawk cruise missile program and the The budget request for fiscal year 1996 con- for ship radar support . associated support systems necessary for em- tained an authorization of $474.1 million for The House bill would add $9.0 million for ployment of Tomahawk for precision strike Marine Corps Procurement, Navy in the De- procurement of AN/BPS–16 submarine radar missions. The conferees note that the Toma- partment of Defense. The House bill would systems because of a concern about the reli- hawk afloat planning system (APS) com- authorize $399.2 million. The Senate amend- ability and operational suitability of the ex- plements the Tomahawk mission planning ment would authorize $683.4 million. The isting AN/BPS–15 submarine navigation system, located at the shore-based mission conferees recommended an authorization of radar. planning centers, and provides afloat battle $458.9 million. Unless noted explicitly in the The Senate amendment would authorize group and battle force commanders or de- statement of managers, all changes are made the budget request. ployed joint staffs with an organic capability without prejudice. H 544 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 545 H 546 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 547 Commander’s Tactical Terminal The conferees believe the Marine Corps requirement nor budgeted any resources The budget request included no funding for should have more responsibility over its own against a possible requirement. procurement actions, and therefore agree to USMC procurement of Commander’s Tactical Therefore, the conferees direct the Sec- authorize an increase of $16.5 million for Ma- Terminal (CTT) radios. retary of the Navy to report to the congres- rine procurement of two JSTARS ground Neither the House bill nor the Senate sional defense committees on whether the amendment authorized additional funding support modules. Marine Corps will translate the MNS into an for CTT radios. Light reconnaissance/strike vehicles operational requirement and the risks the The conferees note that the Department’s Fleet Marine Force will incur if an LRV is integrated (intelligence) broadcast service The budget request did not include funds plan included migration to an interoperable for procurement of any light reconnaissance/ not procured. The conferees expect the Sec- family of transceivers known as the Joint strike vehicles (LRV/LSV). retary to submit this report by February 28, Tactical Terminal. The conferees have been The House bill would add $2.0 million to 1996. buy LRVs for the Marine Corps and $6.0 mil- informed that Marine Corps procurement of Overview CTTs will play a vital role in this plan, and lion to buy LSVs for the special operations therefore authorize an increase of $12.5 mil- forces. The budget request for fiscal year 1996 con- lion for this purpose. The conferees agree to authorize $6.0 mil- tained an authorization of $6,183.9 million for Marine Corps intelligence support equipment lion for LSVs for the special operations Aircraft Procurement, Air Force in the De- The budget request included no funding for forces. partment of Defense. The House bill would Marine Corps procurement of Joint Surveil- The conferees understand that the Marine authorize $7,032.0 million. The Senate lance and Target Attack Radar System Corps has completed a mission needs state- amendment would authorize $6,318.6 million. (JSTARS) ground support module. ment (MNS) for an LRV. The MNS calls for The conferees recommended an authoriza- Neither the House bill nor the Senate fielding an LRV with the Fleet Marine tion of $7,349.8 million. Unless noted explic- amendment included additional funds for Forces by fiscal year 1995. However, the Ma- itly in the statement of managers, all this purpose. rine Corps has neither established a formal changes are made without prejudice. H 548 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 549 H 550 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 551 Air Force fighter aircraft data link Defense support program procurement tiveness that could be provided by re- The budget request included $79.5 million The budget request included $102.9 million engining the existing fleet of RIVET JOINT for F–15 modifications. for Defense Support Program (DSP) procure- aircraft and agree to authorize an increase of The House bill would authorize the re- ment. $48.0 million to procure and install re- quested amount based on assurances from The Senate amendment would authorize engining kits for two existing RIVET JOINT the Department of Defense that Air Force ef- $67.0 million, a reduction of $35.9 million to aircraft. forts to procure a tactical information data the budget request. The conferees note that the theater Com- link for a portion of the F–15 fleet would be The House bill would authorize the budget manders-in-Chief (CINCs) have addressed ad- conducted within the scope of the Depart- request. ditional RIVET JOINT aircraft as one of The House recedes. The conferees are ment’s multifunction information distribu- their highest intelligence priorities. The aware that $35.9 million in fiscal year 1995 tion system (MIDS) program. need for additional RIVET JOINT aircraft is funds are excess and subject to consideration The Senate amendment would authorize further reinforced by the extremely high for reprogramming for non-DSP purposes. the budget request. The Senate report (S. operational tempo currently experienced by Therefore, the conferees agree to reduce the Rept. 104–112) expressed support for the Air this reconnaissance asset. The conferees sup- fiscal year 1996 DSP procurement budget by Force’s efforts to equip its fighter aircraft port the theater CINCs’ requirements for ad- with ‘‘Link 16’’ data link capability, but $35.9 million, leaving $67.0 million. The con- ferees direct the Air Force to use the excess ditional RIVET JOINT aircraft and strongly questioned the Air Force’s decision to pursue urge the Department to seek reprogramming this capability for only a portion of the F–15 fiscal year 1995 funds currently identified as a source on the fiscal year 1995 omnibus authority to modify other existing C–135 as- fleet. The Senate report also recommended reprogramming request to fulfill fiscal year sets to the RC–135 configuration. that the Department continue MIDS acquisi- 1996 DSP requirements. Given that the fiscal tion and stated that it would not support SR–71 year 1995 DSP procurement source has been any Air Force effort to start a new program, denied as part of this year’s omnibus The conferees agree to provide an addi- redundant to MIDS, to meet similar require- reprogramming, the conferees direct that the tional $5.0 million for costs associated with ments. full amount be restored to DSP. the refurbishment of SR–71 aircraft. The conferees note that the Under Sec- RC–135 re-engining retary of Defense for Acquisition and Tech- ENGINE COMPONENT IMPROVEMENT PROGRAM nology has terminated the F–15 data link The budget request included no funding for procurement and that the Air Force now in- the Defense Airborne Reconnaissance Pro- The conferees agree to authorize $133.2 mil- tends to pursue a MIDS variant data link to gram (DARP) modifications line (P–1, line lion for the engine component improvement meet its requirements. The Department has 57) in the Aircraft Procurement, Air Force program, an increase of $29.5 million, con- informed the conferees that this program is account. sisting of two adjustments: (1) an additional to be a competitive solicitation that will re- The House bill would authorize an increase $31.5 million for the integration activity de- quire adherence to the MIDS architecture, of $37.0 million for modification of an exist- scribed in the Senate report (S. Rept. 104– MIDS software modularity, and MIDS hard- ing C–135 aircraft to the RC–135 RIVET 112); and (2) a reduction of the $2.0 million re- ware modulatory as a design objective, and, JOINT configuration. quested for the B–2 engine. The Senate amendment would authorize an for the F–15, reduced hardware and software Overview functionality to reduce costs. increase of $48.0 million for re-engining of The conferees agree to authorize $78.3 mil- two existing RIVET JOINT aircraft. The The budget request for fiscal year 1996 con- lion for F–15 modifications. The conferees di- Senate amendment would also authorize an tained an authorization of $3,647.7 million for rect the Under Secretary of Defense for Ac- increase of $31.5 million in PE 64268F for non- Missile Procurement, Air Force in the De- quisition and Technology to ensure that the recurring integration activity to facilitate partment of Defense. The House bill would Department uses a competitive acquisition an affordable program for converting two re- authorize $3,430.1 million. The Senate strategy for fighter data link procurement. tired EC–135 aircraft to the RIVET JOINT amendment would authorize $3,627.5 million. The strategy should promote full oppor- configuration. The conferees recommended an authoriza- tunity for U.S. companies to compete within ENGINES AND INSTALLATION tion of $2,938.9 million. Unless noted explic- the competitive solicitation outlined by the The conferees concur with the cost effec- itly in the statement of managers, all Under Secretary. tiveness and increase in operational effec- changes are made without prejudice. H 552 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 553 H 554 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Overview Procurement, Air Force in the Department ommended an authorization of $343.8 million. of Defense. The House bill would authorize Unless noted explicitly in the statement of The budget request for fiscal year 1996 con- $321.3 million. The Senate amendment con- managers, all changes are made without tained no authorization for Ammunition tained no authorization. The conferees rec- prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 555 H 556 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Overview Other Procurement, Air Force in the Depart- conferees recommended an authorization of ment of Defense. The House bill would au- $6,268.4 million. Unless noted explicitly in The budget request for fiscal year 1996 con- thorize $6,784.8 million. The Senate amend- the statement of managers, all changes are tained an authorization of $6,804.7 million for ment would authorize $6,516.0 million. The made without prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 557 H 558 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 559 H 560 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 561 H 562 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Overview Defense-wide Procurement in the Depart- conferees recommended an authorization of ment of Defense. The House bill would au- $2,124.4 million. Unless noted explicitly in The budget request for fiscal year 1996 con- thorize $2,205.9 million. The Senate amend- the statement of managers, all changes are tained an authorization of $2,179.9 million for ment would authorize $2,118.3 million. The made without prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 563 H 564 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 565 H 566 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Defense airborne reconnaissance program pro- conferees direct that the Department use $4.5 However, the conferees are concerned with curement million to equip nine Pioneer UAV systems the Department’s plan for using $10.0 million The budget request included $179.3 million with the common automatic landing and re- of these funds for ‘‘bulk’’ conversion pur- in procurement for the Defense airborne re- covery system (CARLS). poses, since these funds were specifically ap- connaissance program (DARP). The conferees note the Department’s con- propriated for the purchase of ADCS equip- The House bill would approve the budget tinuing failure to equip UAVs with the ment. The conferees are concerned that request. CARLS system. The conferees are concerned there may be a greater requirement for The Senate amendment would increase the with this result, particularly since the De- ADCS software and equipment than the De- requested amount by $4.5 million, and would partment agrees that CARLS installation on partment currently has planned and that direct the Department to change the prior- UAVs in general, and Pioneer in particular, some or all of the funds planned for bulk ities of some program elements. The con- would reduce landing accidents and associ- conversion may be needed for software and ated losses. ferees agree to an authorization of $161.6 mil- equipment. Should the results of the Depart- lion, a reduction of $17.7 million from the Automated document conversion system ment’s ongoing conversion survey confirm budget request. The budget request did not include any ad- that additional software and equipment is JOINT TACTICAL UAV ditional funds for the automated document needed, the conferees feel that the Depart- The conferees agree to authorize a total of conversion system (ADCS). This is a program ment should address first the needs of UNIX- $42.4 million for the joint tactical UAV (JT– for converting the Department of Defense’s based engineering systems as the UNIX- engineering drawings from hard copy to elec- UAV), a reduction of $17.7 million from the based system has undergone extensive test- tronic format. budget request. ing per Congressional direction. The con- The House bill would authorize $20.0 mil- The conferees are particularly concerned ferees direct that the Secretary of Defense lion for this purpose. about the continuing problems with the Hun- provide a report to the congressional defense The Senate amendment would approve the ter UAV in the JT–UAV program. Therefore, committees by March 29, 1996, on the results budget request. the conferees direct that none of the funds of the PC-based system testing. The conferees are concerned with the lack appropriated for fiscal year 1996 be used to of progress by the Department toward procure production Hunter systems or addi- Overview achieving major cost savings through the tional low-rate initial production units, be- adoption of automated document conversion The budget request for fiscal year 1996 con- yond those already ordered, until the Sec- technology. The conferees are encouraged, tained no authorization for National Guard retary of Defense provides to the Congres- however, that the Department has recently and Reserve Procurement in the Department sional defense committees the results of the acknowledged such savings and has produced of Defense. The House bill would authorize Defense Acquisition Board (DAB) review of a roadmap to realize these savings by chang- $770.0 million. The Senate amendment would the Hunter program. ing from raster to vector conversion. The authorize $777.4 million. The conferees rec- PIONEER UAV conferees also understand this plan brings an ommended an authorization of $777.0 million. Of the funds authorized and appropriated upgrade and expansion of UNIX-based sys- Unless noted explicitly in the statement of for defense-wide procurement, Defense Air- tems and will test several personal computer managers, all changes are made without borne Reconnaissance Programs (DARP), the (PC)-based systems. prejudice. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 567 H 568 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 569 Overview Army in the Department of Defense. The an authorization of $672.3 million. Unless The budget request for fiscal year 1996 con- House bill would authorize $746.7 million. noted explicitly in the statement of man- tained an authorization of $746.7 million for The Senate amendment would authorize agers, all changes are made without preju- Chemical Agent and Munitions Destruction, $671.7 million. The conferees recommended dice. H 570 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 571

ITEMS OF SPECIAL INTEREST The conferees direct the Secretary of the Dollars Quan- Aerial targets Navy to evaluate the cost effectiveness of a (mil- lions) tity The budget request included $68.6 million modification program for the AQS–13F dip- for aerial targets. ping sonars that will not be replaced in con- M4 carbine ...... 6.5 12,000 The House bill and the Senate amendment junction with the SH–60R program, and re- M9 personal defense weapon ...... 2.0 4,660 port the results to the congressional defense M249 squad automatic weapon ...... 28.5 10,265 authorized the request. MK–19 grenade launcher ...... 33.9 2,100 The conferees understand the Navy’s cur- committees by March 15, 1996. Medium machine gun (mod kits) ...... 6.5 1,434 rent acquisition strategy for subscale sub- LEGISLATIVE PROVISIONS sonic aerial targets is to procure only the LEGISLATIVE PROVISIONS ADOPTED The conferees express their concern that BQM–74E. However, the conferees understand Subtitle A—Authorization of Appropriations the Army did not include funds for small the contractor may have taken some recent arms programs in the fiscal year 1996 budget Subtitle B—Army Programs cost reduction initiatives on the BQM–34S request, despite specific direction regarding subscale target. Therefore, the conferees be- Procurement of OH–58D Armed Kiowa Warrior multiyear procurement for small arms in- lieve that the Navy’s non-competitive pro- helicopters (sec. 111) cluded in the Statement of Managers accom- curement of the BQM–74E may not provide The House bill contained a provision (sec. panying the National Defense Authorization the service with the best value target. Ac- 111) that would modify current law to permit Act for Fiscal Year 1995 (S. Rept. 103–701). cordingly, the conferees urge the Navy to re- procurement of twenty additional OH–58D The conferees expect the Secretary of the assess its acquisition strategy for this target AHIP scout helicopters. Army to comply with both the letter and in- and conduct a competition based upon meet- The Senate amendment contained an iden- tent of the law in this regard. The conferees ing a performance specification. The con- tical provision (sec. 122). further expect the Secretary of the Army to ferees believe that such a competition could The conferees understand that the procure- ensure that small arms programs are funded result in buying a target that truly rep- ment of twenty additional OH–58D Armed at levels approximating those in this report resents the best value to the Navy. Kiowa Warrior helicopters will cost up to until requirements for each separate class of $140.0 million and agree to amend the provi- AN/ALE–47 small arms are fully achieved and that ap- sion to authorize $140.0 million to procure propriate multiyear contracts are executed. The conferees are concerned that the cur- these helicopters. The conferees include a provision (sec. 116) rent Air Force acquisition strategy for the Repeal of requirements for armored vehicle up- that would direct the Secretary of the Army follow-on production of lots IV through VII grades (sec. 112) to enter into multiyear procurement con- of the AN/ALE–47 Countermeasure Dispenser tracts during fiscal year 1997, in accordance System may involve significant and unneces- The House bill contained a provision (sec. with section 115(b)(2) of the National Defense sary risks for the program. The conferees di- 112) that would repeal subsection (j) of sec- Authorization Act for Fiscal Year 1995. rect the Air Force to delay any procurement tion 21 of the Arms Export Control Act (22 action regarding lots IV through VII of the U.S.C. 2761). Subtitle C—Navy Programs The Senate amendment contained no simi- AN/ALE–47 until 14 days after the date on Nuclear attack submarines (sec. 131) lar provision. which the Air Force has provided the con- The budget request reflected a policy, The Senate recedes. gressional defense committees with a report adopted by the Department of Defense as a that assesses the cost and acquisition strat- Multiyear procurement of helicopters (sec. 113) consequence of its Bottom Up Review, that egy related to the introduction of new sup- The budget request included $354.0 million would cause all future nuclear submarines to pliers for the system. to buy 18 AH–64D aircraft and 13 Longbow be constructed by General Dynamics Electric Engineer construction equipment fire control radars. Boat Division (Electric Boat). The budget re- The House bill would authorize the budget quest included the following funding for sub- The conferees are aware of the significant request. contribution National Guard engineer con- marine construction programs: The Senate amendment contained a provi- (1) $1.5 billion for SSN–23, the final incre- struction units have made to securing the sion (sec. 111) that would authorize an in- southwest border. The construction efforts of ment required for full funding of this Seawolf crease of $82.0 million and the multiyear pro- class submarine; the National Guard have been of singular as- curement of Longbow Apache helicopters. sistance in providing for increased safety for (2) $704.5 million advance procurement for The House recedes with an amendment. the first of a new class of nuclear attack sub- U.S. Border Patrol agents and in facilitating The conferees agree to authorize an in- marines, designated as the new attack sub- the U.S. Border Patrol efforts to counter il- crease of $76.2 million for the Longbow marine (NAS), whose construction would legal drugs and illegal immigration along Apache attack helicopter program and begin in fiscal year 1998; and the southwest border. The conferees agree multiyear procurement contracts for both (3) a total of $455.4 million for research, de- that sufficient funds should be allocated by the AH–64D Longbow Apache attack heli- velopment, test, and evaluation for the NAS the National Guard to purchase appropriate copter program and the UH–60 Black Hawk loaders, dozers, and road-grading equipment program. utility helicopter program. The House report (H. Rept. 104–131) re- for use by National Guard engineer construc- Report on AH–64D engine upgrades (sec. 114) flected the view that changes in the Navy’s tion units that rotate to continue construc- The Senate amendment contained a provi- plan for acquisition of nuclear attack sub- tion on projects along the United States- sion (sec. 114) that would require the Sec- marines should be made to incorporate ad- Mexican border. The conferees have indicated elsewhere in retary of the Army to submit a report to vanced technologies into these submarines’ this statement of managers, that the Depart- Congress on plans to procure T700–701C en- designs. These recommendations were based ment of Defense should, through normal gine upgrade kits for Army AH–64D heli- on an underlying premise that the Navy’s reprogramming procedures, use available copters. NAS program would not provide an adequate The House bill contained no similar provi- funds provided for counterdrug activities to technological advantage over foreign sub- sion. marines presently under construction or in continue construction to extend the fence The House recedes. constructed by the National Guard on the design. The House bill would: southwest border. Requirement for use of previously authorized (1) not authorize SSN–23; multiyear procurement authority for Army (2) authorize $550.0 million for Electric LPD–17 radio communications systems engineer- small arms procurement (sec. 115) Boat to design, build, and incorporate a hull ing support The budget request did not include any section into SSN–22 to create a lengthened, The conferees note that, as a result of the funds for procurement of small arms. expanded capability variant of the basic base realignment and closure decisions, the The House bill and the Senate amendment Seawolf design, while retaining its full weap- Navy has reorganized and consolidated its would authorize funds for the following ons load; radio communications systems (RCS) engi- small arms programs as indicated below: (3) authorize $704.5 million advance pro- neering, production, testing, integration, [In millions of dollars] curement for the fiscal year 1998 submarine and training support activities. In assigning that would be built by Electric Boat; RCS engineering support workload for the House Senate (4) authorize $300.0 million for Electric LPD–17 class of ships, the conferees expect Boat to design and build a second hull sec- that the Navy will assign such workload to M–16 rifle ...... $13.5 $13.5 M4 carbine ...... 6.5 13.5 tion that would be incorporated into a fiscal the most appropriate facility. M9 personal defense weapon ...... 2.0 4.0 year 1998 submarine, and convert that sub- SH–60 modifications M249 squad automatic weapon ...... 28.5 28.5 marine from the lead ship of a serial-produc- MK–19 grenade launcher ...... 20.0 33.9 The conferees understand that there are at Medium machine gun (mod kits) ...... 6.5 6.5 tion class, based on the current NAS design, least 60 AN/AQS–13F dipping sonars cur- into an additional, one-of-a-kind, expanded rently installed in the Navy’s SH–60F heli- The conferees agree to provide funds for capability platform that would be derived copters that will not be replaced under the small arms programs as indicated below: from the current NAS design; SH–60R program. These sonars could be up- (5) directs that $10.0 million of the funds in graded to meet current shallow water oper- Dollars Quan- the budget request for NAS detailed design (mil- work be used only for establishing and main- ational requirements based on a modifica- lions) tity tion already developed through the FMS pro- taining a cadre of Newport News submarine gram. M–16 rifle ...... $13.5 27,500 designers at Electric Boat and for transfer of H 572 CONGRESSIONAL RECORD — HOUSE January 22, 1996 all NAS design data from Electric Boat’s de- The conferees agree to adopt a new provi- (iv) designate the fifth submarine procured sign data base to Newport News’; sion dealing with the design and procure- after SSN–23 to be the lead ship in a next (6) authorize $150.0 million to begin an ef- ment of future Navy attack submarines. This generation submarine class, unless the Sec- fort at Newport News to design, develop, and provision would: retary of the Navy, in consultation with the build prototype versions of major submarine (1) authorize the SSN–23 at $700.0 million; special congressional submarine review components that would result in a follow-on (2) authorize $804.5 million in fiscal year panel, determines that more submarines submarine design for serial production that 1996 for design and advance procurement of should be built before the design of a new represents a substantial improvement in af- the fiscal year 1998 and fiscal year 1999 sub- class of submarines is fixed, in which case fordability and capability over the current marines (previously designated by the Navy the fifth and each successive submarine NAS design; as the NAS), of which; would be procured after a competition based (7) direct the Advanced Research Projects (a) $704.5 million would be available only on price; and Agency (ARPA) and the national labora- for long-lead and advance construction and (v) identify the impact of the submarine tories to make new technologies available to procurement for the fiscal year 1998 sub- program on the remainder of the Navy’s both Electric Boat and Newport News that marine, which would be built by Electric shipbuilding account; show potential for achieving a follow-on sub- Boat; and (6) impose certain limits on the amounts marine design for serial production that rep- (b) $100.0 million would be available only that can be obligated and expended on the for long-lead and advance construction and resents a substantial improvement over the SSN–23 and the fiscal year 1998 and 1999 sub- procurement for the fiscal year 1999 sub- current NAS design; and marines until: marine, which would be built by Newport (8) include a provision (sec. 133) that would (a) the Secretary of the Navy has certified News; direct the Secretary of the navy to award, on in writing to the Committee on Armed Serv- (3) authorize $10.0 million only for partici- a competitive basis, contracts for attack ices of the Senate and the Committee on Na- pation of Newport News in the design of the submarines built after the fiscal year 1998 tional Security of the House that procure- submarine. submarine previously designated by the Navy as the NAS; ment of future nuclear attack submarines, The Senate amendment reflected an alter- (4) establish a special bipartisan congres- except as stipulated elsewhere in this provi- nate view on how to acquire nuclear attack sional panel that would be briefed, at least sion, would be accomplished through a com- submarines. It contained a provision (sec. annually, by the Secretary of the Navy on petition based on price; and 121) that would: the status of the submarine modernization (b) the Secretary of Defense, not later than (1) authorize the SSN–23 at $1.5 billion, the program and submarine-related research and March 15, 1996, has: budget request; development; (i) submitted the submarine design and (2) limit the ability of the Secretary of the (5) direct the Secretary of Defense, not procurement plan that would be required by Navy to obligate or expend funds for SSN–23 later than March 15, 1996, to accomplish the the provision; until he restructures the NAS program to following: (ii) directed the Under Secretary of De- provide for: (a) develop and submit a detailed plan for fense (Comptroller) to incorporate the costs (a) procurement of the lead NAS from development of a program that will lead to of the submarine design and procurement Electric Boat in fiscal year 1998; production of more capable, less expensive plan into the future years defense program, (b) procurement of the second NAS from submarines than the submarine previously even if the total cost of the plan’s program Newport News Shipbuilding and Drydock designated as the NAS; exceeds the President’s budget; and (Newport News) in fiscal year 1999; and (b) ensure the plan includes a program for (iii) directed that the Under Secretary of (c) competitive procurement of any addi- the design, development, and procurement of Defense for Acquisition and Technology con- tional NAS vessels after the second. Poten- four nuclear attack submarines that would duct oversight of the development and im- tial competitors for these additional vessels be procured during fiscal years 1998 through provement of the nuclear attack submarine would be contractors that have been awarded 2001 with each successive submarine being program of the Navy and established report- a contract by the Secretary of the Navy for more capable and more affordable; ing procedures to ensure that officials of the construction of nuclear attack submarines (c) structure the program so that: Department of the Navy, who exercise man- during the past 10 years; (i) one of the four submarines would be agement oversight of the program, report to (3) place additional limits on the total constructed with funds appropriated for each the Under Secretary of Defense for Acquisi- amount of funds that may be expended for fiscal year from fiscal year 1998 through fis- tion and Technology with respect to that SSN–23 in fiscal years 1996, 1997, 1998, and cal year 2001; program; 1999; (ii) to ensure flexibility for innovation, the (7) direct the Secretary of Defense to use (4) direct the Secretary of the Navy to so- fiscal year 1998 and the fiscal year 2000 sub- streamlined acquisition policies to reduce licit competitive proposals and award the marines would be constructed by Electric the cost and increase the efficiency of the contract or contracts for NAS, after the sec- Boat and the fiscal year 1999 and the fiscal submarine program; ond NAS, on the basis of price; year 2001 submarines would be constructed (8) direct the Secretary of Defense to sub- (5) direct the Secretary of the Navy to take by Newport News; mit to Congress an annual update of the sub- no action that would impair the design, engi- (iii) the design previously designated as marine design and procurement plan with neering, construction, and maintenance the NAS would be used as the base design by the submission of the President’s budget, for competencies of either Electric Boat or New- both contractors: each of fiscal years 1998 through 2002; port News to construct the NAS; (iv) each contractor would be called on to (9) direct that funds authorized for fiscal (6) direct the Secretary of the Navy to re- propose improvements, including design im- year 1996 by this provision may not be obli- port every six months to the Committee on provements, for each successive submarine gated or expended during fiscal year 1996 for Armed Services of the Senate and the Com- so that each of them would be more capable, the fiscal year 1998 submarine unless funds mittee on National Security of the House the more affordable, and their design would lead are also obligated and expended during fiscal obligation and expenditure of funds for SSN– to a design for a future class of nuclear at- year 1996 for the fiscal year 1999 submarine; 23 and the NAS; tack submarines that would possess the lat- (10) authorize the Secretary of the Navy to (7) authorize $814.5 million in fiscal year est, best, and most affordable technology; enter into contracts with Electric Boat and 1996 for design and advance procurement of and Newport News, and suppliers of components the lead and second NAS, of which $10.0 mil- (v) the fifth and subsequent nuclear attack during fiscal year 1996 for: lion would be available only for participa- submarines, proposed for construction after (a) the procurement of long-lead compo- tion of Newport News in the NAS design, and SSN–23, would be procured after a competi- nents for the fiscal year 1998 submarine and $100.0 million would be available only for ad- tion based on price; the fiscal year 1999 submarine; and vance procurement and design of the second (d) the Secretary of Defense’s plan would (b) advance construction of long-lead com- submarine under the NAS program; also: ponents and other components for such sub- (8) place limits on the expenditure of ad- (i) set forth a program to accomplish the marines; vance procurement funds in fiscal year 1996 design, development, and construction of the (11) authorize that, of the amount provided for the lead NAS, unless funds are also obli- four submarines that would take maximum in section 201(4) of this Act for ARPA, that gated or expended for the second NAS; advantage of a streamlined acquisition proc- $100.0 million would be available only for de- (9) authorized $802.0 million in fiscal year ess; velopment and demonstration of advanced 1997 for advance procurement of the lead and (ii) culminate in selection of a design for a technologies for incorporation into the sub- second NAS, of which $75.0 million would be next submarine for serial production not ear- marines constructed as part of the sub- available only for participation by Newport lier than fiscal year 2003 with procurement marine design and procurement plan speci- News in the design of the NAS, and $427.0 to occur after a competition based on price; fied under this provision, to include electric million would be available only for advance (iii) identify advanced technologies that drive, hydrodynamic quieting, ship control procurement and design of the second sub- are in various phases of research and devel- automation, solid-state power electronics, marine under the NAS program; and opment, as well as those that are commer- wake reduction technologies, superconductor (10) authorized $455.4 million, the budget cially available off-the-shelf, that are can- technologies, torpedo defense technologies, request, for research, development, test, and didates for incorporation into the plan to de- advanced control concepts, fuel cell tech- evaluation for the NAS program. sign, develop, and procure the submarines; nologies, and propulsors; January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 573 (12) direct that the Director of ARPA shall Burke class destroyers in accordance with a The conferees recommend $45.0 million for implement a rapid prototype acquisition split funding provision (sec. 124) that was in- purchasing T–39N aircraft, subject to certain strategy for both land-based and at-sea sub- cluded elsewhere in the Senate amendment; conditions. The conferees believe that the system and system demonstrations of ad- and proposal deserves further review before pur- vanced technologies in concert with Electric (2) express the sense of Congress that the chasing these aircraft. The conferees expect Boat and Newport News: and Secretary of the Navy should plan for and re- the Department’s analysis to answer, at a (13) define potential competitors, for the quest the final increment of funding for the minimum, the following questions: purposes of this provision, as those that have two Arleigh Burke class destroyers in fiscal (1) What would be the status of the train- been awarded a contract by the Secretary of year 1997, also in accordance with the split ing program for which T–39Ns are currently the Navy for construction of nuclear attack funding provision (sec. 124) of the Senate leased? submarines during the past 10 years. amendment. (2) For what purpose would the Navy spend Research for advanced submarine technology The House bill contained no similar provi- procurement funds in fiscal year 1996? (sec. 132) sion. (3) Is funding for this project contained The conferees adopt a new provision that The conferees agree to adopt a new provi- anywhere in the future years defense pro- would: sion that would direct that, of the amount gram (FYDP)? If there is funding, how much? (1) authorize six Arleigh Burke class de- appropriated for fiscal year 1996 for the na- (4) Is there an approved requirement in the stroyers; Navy for acquiring this capability? Does this tional defense sealift fund, $50.0 million (2) authorize $2.17 billion, the budget re- would be available only for the Director of requirement supplant or supplement the cur- quest, for the construction, including ad- rent mission that is being filled by the T–39N the Advance Research Projects Agency for vance procurement, for Arleigh Burke class advanced submarine technology activities. leasing program? destroyers; (5) How much funding beyond $45.0 million Cost limitation for Seawolf submarine program (3) authorize the Secretary of the Navy to would be required to enable the T–39N sys- (sec. 133) enter into contracts in fiscal year 1996 for tem to meet future training requirements? If The Senate amendment would authorize the construction of three Arleigh Burke class additional funds are required, how much of the third Seawolf class submarine SSN–23. destroyers; the additional cost is budgeted in the FYDP? Consistent with this authorization, the Sen- (4) authorize the Secretary of the Navy to (6) What savings, in terms of both current ate amendment included a provision (sec. enter into contracts in fiscal year 1997 for and constant dollars, would accrue to the 125) that would establish a combined cost cap the construction of three Arleigh Burke class Navy by purchasing aircraft for this require- on all three Seawolf submarines (SSN–21, destroyers, subject to the availability of ap- ment on a non-competitive basis in fiscal SSN–22 and SSN–23). This cost cap would be propriations for such destroyers; in addition to a cost cap that Congress im- (5) continue the contract award pattern year 1996, rather than selecting an aircraft posed on the first two Seawolf class sub- and sequence used by the Navy for the pro- under competitive procedures when the cur- marines, SSN–21 and SSN–22, in fiscal year curement of Arleigh Burke class destroyers in rent lease program expires in fiscal year 1995. fiscal years 1994 and 1995; 1998? If savings will accrue, are they attrib- The House bill included a provision (sec. (6) limit the liability of the government for utable to factors other than inflation? Are 132) that would repeal the cost cap on SSN– these vessels to the amounts appropriated there savings in life cycle support costs be- 21 and SSN–22. for them; and yond the initial acquisition costs? The conferees agree to adopt a new provi- (7) encourage, subject to a prior notifica- (7) Would additional funding for the sion that would: tion to the congressional defense commit- project now interfere with the Navy’s oppor- (1) establish a combined cost cap on the tees, the Secretary of the Navy to use ship- tunity to conduct a competitive procure- three Seawolf submarines (SSN–21, SSN–22, building and conversion savings, that be- ment or better define the program’s require- and SSN–23); and come excess to the needs of the Navy from ments? (2) repeal the combined cost cap on SSN–21 other programs, to fully fund Arleigh Burke (8) Are there other reasons that would pre- and SSN–22 that was imposed by the Na- class destroyer contracts entered into under vent executing the program in fiscal year tional Defense Authorization Act for Fiscal the terms of the provision. 1996? Year 1995. Acquisition program for crash attenuating seats (9) The conferees understand that the T– Repeal of prohibition on backfit of Trident sub- (sec. 136) 39N leasing contract provided for amortizing the full purchase price of the aircraft over marines (sec. 134) The Senate amendment contained a provi- the first five years of the lease. Since the The House bill contained a provision (sec. sion (sec. 126) that would allow the Secretary contractor has already been reimbursed in 131) that would repeal the provision of law of the Navy to establish a program to pro- full for purchase price, why would it be in that prohibits the backfit of Trident II (D–5) cure and install commercially developed, en- the government’s interests to pay more than missiles into Trident I (C–4) missile-carrying ergy absorbing, crash attenuating seats in H- a nominal amount for aircraft? submarines. 53E helicopters. The Senate provision would The conferees believe that the proposal to The Senate amendment contained an iden- allow the Secretary to use up to $10.0 million buy the aircraft could have merit; however, tical provision (sec. 122). for the program out of unobligated balances the conferees recommend a provision that The conference agreement contains this in the Legacy Resource Management Pro- would prohibit obligation of these acquisi- provision. gram. The conferees endorse an all D–5 fleet of The House bill contained no similar provi- tion funds until 60 days after the Under Sec- Trident submarines. But the conferees also sion. retary of Defense for Acquisition and Tech- believe that it is premature to rule out the The House recedes with an amendment nology has submitted the analysis described option of retaining all 18 Trident sub- that would require the Secretary to establish above and has certified to the Armed Serv- marines. Although the Nuclear Posture Re- such a program. ices Committee of the Senate and the Na- view recommended a force of 14 Trident sub- The conferees acknowledge the potential tional Security Committee of the House of marines equipped with the D–5 missile, cir- value of crash attenuating seats for pas- Representatives that acquisition of the T– cumstances may require the United States sengers in military helicopters, and expect 39N aircraft is in the best interest of the gov- to retain a higher number of such sub- the Department to proceed quickly to define ernment and is the most cost effective alter- marines or, alternatively, reduce to a lower the technical specification and qualification native in meeting the requirements for level. for non-developmental seats. The conferees training naval flight officers. Given this uncertainty, the conferees di- further expect the Department to ensure the Pioneer unmanned aerial vehicle program (sec. rect the Secretary of the Navy to take sev- acquisition program incorporates full and 138) eral actions: (1) fully fund all activities nec- open competition. The Senate amendment contained a provi- essary for the backfitting of Trident II mis- T–39N trainer aircraft (sec. 137) sion (sec. 132) that would prohibit the Sec- siles into at least four west coast Trident The budget request did not include funds retary of the Navy from spending more than submarines on the schedule recommended in to purchase the T–39N aircraft the Depart- one-sixth of the funds appropriated for fiscal the Nuclear Posture Review; and (2) continue ment of the Navy now uses to train naval year 1996, or any unobligated balances avail- to fund, in the fiscal year 1997 budget and in flight officers. The government leases these able from previous years, until the Secretary the Future Years Defense Program, adequate aircraft as part of a service contract. The certifies that funds have been obligated to operational support for Trident I missiles to lessor has offered to sell these aircraft to the equip nine Pioneer Unmanned Aerial Vehicle ensure the option of retaining all 18 Trident government, rather than continue the cur- systems with the Common Automatic Land- submarines on full operational status, as- rent leasing arrangement. ing and Recovery System (CARLS). suming backfits of the final four submarines The House bill and the Senate amendment The House bill contained no similar provi- with D–5 missiles following the completion would support the budget request. sion. of the first four conversions. The Senate report (S. Rept 104–112) would The House recedes. Arleigh Burke class destroyer program (sec. 135) direct the Secretary of the Navy to provide Subtitle D—Air Force Programs The Senate amendment contained a provi- an analysis of the contractor’s proposal to sion (sec. 123) that would: the Armed Services Committee of the Sen- Repeal of limitations (secs. 141 and 142) (1) authorize $650.0 million as the first in- ate, so the proposal and the analysis could be The budget request included $279.9 million crement of split funding for two Arleigh reviewed for possible further action. for B–2 procurement and $623.6 million for B– H 574 CONGRESSIONAL RECORD — HOUSE January 22, 1996 2 research and development for a B–2 pro- In order to compare force capabilities with within the continental United States, and re- gram consisting of twenty aircraft. The relative costs, the conferees urge the Sec- view and evaluate issues associated with clo- House bill contained a provision (sec. 141) retary of Defense to provide a summary and sure and reuse of the Department of Defense that would repeal limitations on the B–2 pro- detailed listing of program reductions and facilities that are co-located with the uni- gram, and provide an increase of $553 million adjustments to the fiscal year 1997 budget re- tary chemical stockpile and demilitarization for B–2 procurement. The House bill would quest and the future years’ defense program operations. The Senate report (S. Rept. 104– repeal: (FYDP) required by the possible acquisition 112) would recommend the use of unobligated Section 112 of the National Defense Act for of additional B–2 bombers. The Secretary fiscal years 1994 and 1995 procurement funds Fiscal Years 1990 and 1991, which requires should use the standard cost analysis ap- for procurement of equipment at Pine Bluff, certification from the Secretary of Defense proach used in the March 1995 Air Force cost Arkansas and Umatilla, Oregon. that the B–2 is meeting certain performance estimate for further B–2 acquisition of one The conferees agree to provisions that criteria. and one-half and three aircraft per year. would authorize $672.3 million for the defense Section 151(c) of the National Defense Au- chemical agents and munitions program, to thorization Act for Fiscal Year 1993, which MC–130H Aircraft Program (sec. 143) include: $265.0 million for procurement; $353.8 limits B–2 procurement to 20 bombers and The conference agreement includes a new million for operations and maintenance; and one test aircraft. provision that would amend section 161 of $53.4 million for research and development. Section 131(c) of the National Defense Au- the National Defense Authorization Act for The provision would repeal the legislative thorization Act for Fiscal Year 1994, which Fiscal Years 1990 and 1991 (P.L. 101–189) to requirement to develop a chemical demili- reaffirms the twenty one aircraft limitation. enable obligation of funds for award fee and tarization cryofracture facility. Section 131(d) of the National Defense Au- procurement of contractor furnished equip- Further, the conferees agree to provisions thorization Act for Fiscal Year 1994, which ment. that would direct the Secretary of Defense to limits the total program costs to The conferees understand that the Air proceed with the destruction of the U.S. $28,968,000,000 in Fiscal Year 1981 constant Force desires to grant an award fee to the chemical stockpile using the current base- dollars. MC–130H Combat Talon II development con- line technology. The conferees would also re- Section 133(e) of the National Defense Au- tractor, but is prohibited from doing so by a quire the Secretary to ensure that support thorization Act for Fiscal Year 1995, which provision of Public Law 101–189. The con- measures have been provided at each instal- provides that none of the $125.0 million au- ferees note that the prohibitive legislative lation where a chemical agent and munitions thorized and appropriated for the Enhanced provision requires the Director of Oper- demilitarization facility would be con- Bomber Capability Fund may be obligated ational Test and Evaluation (DOT&E) to cer- structed, as required by the Department of for advance procurement of new B–2 aircraft tify that the MC–130H Combat Talon II ter- Defense and the Department of Army regula- (including long lead items). rain avoidance radar performs in accordance tions, the chemical demilitarization plans, The Senate amendment contained no addi- with requirements outlined in the test and and the Solid Waste Disposal Act permit. The conferees direct the Secretary to con- tional funds, nor did it contain any repeal of Evaluation Master Plan (TEMP) approved by the limitations provision. duct an assessment of the current chemical the DOT&E in September 1988. The conferees The conferees agree to an amendment that demilitarization program and recommend have been informed that the aircraft cannot would repeal the limitations imposed on the measures that could reduce the total cost of be certified as having met TEMP criteria be- scope of the B–2 program, while retaining re- the program. The provision would also direct quirements for B–2 performance compliance cause a specific test criterion referred to in the Secretary to review and evaluate issues in both the present authorization and any the TEMP has been determined to be associated with the closure and reutilization possible future acquisition of the aircraft. unmeasurable. of Department of Defense facilities co-lo- The conferees agree to authorize the budg- The conferees agree to include a provision cated with continuing chemical stockpile et request for research and development and that would allow the DOT&E to certify to and chemical demilitarization operations. to increase the authorization for procure- the congressional defense committees that The conferees agree to authorize the use of ment by $493.0 million. The conferees further the MC–130H terrain avoidance radar is oper- funds appropriated for the defense chemical agree that the $493.0 million may not be ationally effective in order to release the agents and munitions destruction program spent until March 31, 1996. award fee for the MC–130H. The conferees di- to support travel and associated travel costs The conferees believe that the B–2 bomber rect the DOT&E to include in his report a of Commissioners of the Citizens’ Advisory represents a major technological advance in statement that all unmeasurable test cri- Commissions, when such travel is conducted strategic bomber capabilities. However, if a teria included in the September 1988 TEMP at the invitation of the Assistant Secretary decision were made to acquire additional B– have been appropriately corrected. of the Army for Research, Development and 2 bombers, their high cost would result in Subtitle E—Chemical Demilitarization Acquisition. The provision would modify ex- funding reductions in the Administration’s Program isting law to permit the appointment of a ci- five year defense program. Therefore, the vilian as project manager for the chemical Chemical agents and munitions destruction pro- Senate conferees believe that the increased agent and munitions destruction program. gram (secs. 107, 151–153) authorization of $493.0 million provided for The Department would also be required to the B–2 bomber program may be expended The budget request contained $746.7 mil- provide a quarterly report to Congress on the only for procurement of B–2 components, up- lion for operation and maintenance, research use of such funds to pay for the travel and grades, and modifications that would be of and development and procurement, for the associated travel costs. value for the existing fleet of B–2 bombers. defense chemical agents and munitions de- COST OF THE CHEMICAL AGENTS AND MUNITIONS The conferees are concerned over the cost struction program. DESTRUCTION PROGRAM The House bill contained a series of provi- of producing modern, highly capable, long The conferees remain concerned about the sions (secs. 106, 151–153, and 2407) that would: range bombers, and therefore strongly urge escalating costs associated with the chemi- authorize the budget request; repeal a legis- the Secretary of Defense to: (1) complete the cal agents and munitions destruction pro- lative requirement to develop a chemical de- study called for in section 133(d)(3) of the Na- gram. The program has grown from its origi- militarization cryofracture facility; express tional Defense Act of 1995 (Public Law 103– nal estimate of $1.7 billion in 1986 to the cur- congressional concern about the cost growth 337) for requirements formulation and con- rent estimated cost of $11.9 billion, with ex- of destroying the unitary chemical stockpile ceptual studies for a conventional-conflict- pectations that costs will further increase. oriented, lower-cost, next generation bomb- and express a view that the Secretary of De- Continued delays in proceeding with the de- er; and (2) explore options, including adop- fense should consider measures to reduce the militarization and destruction of the chemi- tion of streamlined acquisition policies and overall cost; direct the Secretary of Defense cal stockpile have added to the overall in- procedures, for reducing the costs of produc- to conduct a review and evaluation of issues creases in the program. The conferees be- ing long-range bombers. Accordingly, the associated with closure and reuse of the De- lieve that the program should proceed expe- conferees agree to repeal the requirements partment of Defense facilities that are co-lo- ditiously and utilize technology that mini- contained in section 133(d)(3), which states cated with the unitary chemical stockpile mizes risks to the public and the environ- that such a study may be carried out only if and demilitarization operations; and pro- ment. the previously-produced bomber force study hibit the obligation or expenditure of fiscal The conferees are concerned that contin- found bomber capabilities to be inadequate. year 1996 funds, prior to March 1, 1996, for the ued delays, related to site operation The conferees note that section 133(d) per- construction of a chemical munitions incin- systemization, environmental permits, and mitted the Secretary to obligate up to $25.0 erator facility at Umatilla Army Depot, Or- construction of the demilitarization and de- million of the $125.0 million authorized and egon. struction facilities, would increase the over- appropriated in fiscal year 1995 for the En- The Senate amendment contained provi- all program costs and risks to the public and hanced Bomber Capability Fund for such a sions (sec. 107 and 1099C) that would author- the environment. study. The conferees direct that any remain- ize $671.7 million for the chemical agents and Finally, as the Department reviews meas- ing unobligated fiscal year 1995 funds from munitions destruction program, and direct ures that could be implemented to reduce the $125.0 million made available for B–2 the Department of Defense to review and as- the growth of the program costs, the con- bomber industrial base preservation and sess the risk associated with the transpor- ferees expect the Secretary to consider the next-generation bomber study shall prompt- tation of any portion of the unitary chemical potential for reconfiguration of the stock- ly be merged with the $493.0 million in addi- stockpile, such as drained chemical agents pile, as described in the October 19, 1995 let- tional B–2 funds authorized in this Act. or munitions from one location to another ter from the Assistant Secretary of the January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 575 Army for Research, Development and Acqui- Competition required for selection of shipyards (4) the procurement of naval torpedoes and sition, and to ensure protection of the public for construction of vessels for next genera- related support equipment. and environment. tion attack submarine program The House provision would not apply to funding classified as advance procurement ALTERNATIVE TECHNOLOGIES The House bill contained a provision (sec. 133) that would: funding. The Department of the Army is currently (1) require the Secretary of the Navy to se- These provisions were not included in the conducting research and development of lect on a competitive basis the shipyard for conference agreement. chemical neutralization and biodegradation, construction of each vessel of the next gen- Tier II predator unmanned aerial vehicle pro- in conjunction with neutralization, for use eration attack submarine program; and gram at the bulk-only storage sites. The conferees (2) stipulate that the next generation at- believe there is potential for the implemen- tack submarine program shall begin with the The Senate amendment contained a provi- tation of these processes at future demili- first submarine that is programmed to be sion (sec. 131) that would prohibit the obliga- tarization and destruction sites, which could constructed after the submarine that is pro- tion of funds appropriated or otherwise made reduce the requirement for a liquid inciner- grammed to be constructed in fiscal year available for the Department of Defense in ator. The conferees support the National Re- 1998. fiscal year 1996 for the Tier II Predator Un- search Council’s (NRC’s) recommendation The Senate amendment contained a provi- manned Aerial Vehicle. that the Army continues its current baseline sion (sec. 121) that would address competi- The House bill contained no similar provi- incineration program until such time as the tion as an integral part of the broader issue sion. evaluation of these alternative technologies of current and future nuclear submarine con- The Senate recedes. is concluded. struction programs. Joint primary aircraft training system program If the evaluation of the alternative tech- The House recedes. The conferees agree to incorporate the The budget request included $55.0 million nologies research and development program for three joint primary aircraft training sys- proves successful, the conferees would sup- issue of competition for future submarines into a new, more comprehensive provision tem (JPATS) aircraft. At the time of the port inclusion of this process into the base- budget submission, the Department of De- line process. In conducting the chemical de- dealing with future submarine development and procurement. fense (DOD) had not completed the JPATS militarization and destruction program and competition. This amount was derived from assessing measures to significantly reduce Sonobuoy programs an estimate of funding required to procure program costs, the conferees expect the De- The budget request included $8.9 million three aircraft from any of the potential com- partment to consider a wide range of alter- for the procurement of AN/SSQ–53 sonobuoys petitors. After source selection, the Depart- natives to the current baseline incineration and no funding for the procurement of AN/ ment determined that it could procure eight program, to include the use of alternative SSQ–110 sonobuoys. JPATS aircraft with the requested funds. technologies. The House bill contained a provision (sec. The Senate amendment contained a provi- Additionally, the conferees expect the Sec- 134) that would: sion (sec. 133) that would increase the num- retary’s assessment of the current chemical (1) stipulate that no fiscal year 1996 funds ber of aircraft that the Department could demilitarization program and measures to could be used for procurement of AN/SSQ–53 procure, from three to eight, without chang- reduce the overall cost of the program, to in- sonobuoys; and ing the amount of the authorization. clude a risk analysis specific to each chemi- (2) authorize $8.9 million for AN/SSQ–110 The House bill contained no similar provi- cal stockpile storage and demilitarization sonobuoys. sion. site, the results of the stockpile surveillance While the Senate amendment contained no The Senate recedes. and stability analysis related to the physical similar provision, it did recommend funding The conferees agree that the Air Force and chemical integrity of the stockpile, and adjustments to these two sonobuoy programs should buy up to eight aircraft with author- the potential reconfiguration of the chemi- that would accomplish the intent underlying ized funds. cal stockpile. In making such an assessment, the House provision. the Secretary shall ensure the maximum The conferees agree that the funding ad- Weapons industrial facilities protection of the environment, the general justment included in the House provision The budget request included $13.1 million public, and the personnel involved in the de- should be adopted, but do not believe that a for naval weapons industrial facilities. struction of the chemical stockpile, while legislative provision to that effect is nec- The Senate amendment included a provi- minimizing total program costs. The con- essary. sion (sec. 391) that would authorize an in- ferees expect the assessment to yield poten- The House recedes. crease of $2.0 million in operations and main- tial revisions to the chemical agents and mu- Split funding for construction of naval vessels tenance accounts for essential safety func- nitions destruction program that could re- and incremental funding of procurement tions for the Allegany Ballistics Laboratory. duce program costs and increase public safe- items The House bill contained no similar provi- ty. The Senate amendment contained a provi- sion. LEGISLATIVE PROVISIONS NOT ADOPTED sion (sec. 124) that would authorize the Sec- The Senate recedes. The conferees agree to retary of Defense to employ split funding for provide an increase of $30.0 million for naval Repeal of limitation on total cost for SSN–21 and construction of certain naval vessels when weapons industrial facilities for continu- SSN–22 Seawolf submarines developing the future years defense program. ation of the facility restoration program at The budget request included $1.5 billion for The provision would permit the Secretary to Allegany Ballistics Laboratory. provide funding for these vessels over two construction of the third Seawolf class sub- TITLE II—RESEARCH, DEVELOPMENT, TEST, marine, SSN–23. years, but enter into a contract based on the AND EVALUATION first increment of funding. The intent of the The House bill would not authorize SSN– provision would be to provide the Secretary Overview 23. However, consistent with other actions with more flexibility to develop a uniform The budget request for fiscal year 1996 con- taken by the House on SSN–22, the House bill and cost effective shipbuilding program. tained an authorization of $34,331.9 million contained a provision (sec. 132) that would The House bill contained a provision (sec. for Research and Development in the Depart- eliminate the existing cost cap on the first 1007) that would prohibit the use of incre- ment of Defense. The House bill would au- two Seawolf class submarines. mental funding, including split funding, for: thorize $35,934.5 million. The Senate amend- The Senate amendment would authorize (1) the procurement of aircraft, missiles, or ment would authorize $35,959.9 million. The SSN–23. It did not contain a provision that naval vessels; conferees recommended an authorization of would repeal the cost cap on SSN–21 and (2) the procurement of tracked combat ve- $35,730.4 million. Unless noted explicitly in SSN–22. hicles; the statement of managers, all changes are The House recedes. (3) the procurement of other weapons; and made without prejudice. H 576 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 577 Overview Army, Research and Development in the De- The conferees recommended an authoriza- partment of Defense. The House bill would tion of $4,737.6 million. Unless noted explic- The budget request for fiscal year 1996 con- authorize $4,774.9 million. The Senate itly in the statement of managers, all tained an authorization of $4,444.2 million for amendment would authorize $4,845.1 million. changes are made without prejudice. H 578 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 579 H 580 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 581 H 582 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 583 Passive millimeter wave camera Environmental policy simulation laboratory command, control, and communications The budget request did not include funds The conferees agree that $3.0 million of the technology. for the passive millimeter wave camera. funds appropriated in PE 62720A shall be au- The House bill would authorize the re- The House bill would add $6.0 million in PE thorized for the establishment of an environ- quested amount. 62120A for continuation of the program. mental policy simulation lab under the di- The Senate amendment would authorize an The Senate amendment contained no simi- rection of the Army Environmental Policy additional $3.0 million to partially address lar provision. Institute. The conferees further direct the funding shortfalls in the Army technology The Senate recedes. Department of Defense to comply with the base for fiscal year 1996. The Senate amend- Tractor rose direction contained in the Senate report (S. ment would also authorize an increase of $4.0 The budget request included $4.5 million Rept. 104–112) regarding the establishment of million in PE 63006A to develop and test for Tractor Rose. this lab. wave net technology for possible application The House bill would authorize the re- to the Army’s digitization initiatives. Command, control, and communications tech- The conferees agree to authorize the addi- quested amount. nology The Senate amendment would authorize an tional $4.0 million to PE 63006A for develop- additional $13.5 million. The budget request included $15.7 million ment and testing of wave net technology. The conferees are aware of recent progress in PE 62782A for the exploratory develop- Space applications technology program ment of command, control, and communica- in the activities related to this program. As The budget request included $16.9 million a consequence, the conferees recommend au- tions technology. The House bill would authorize the re- in PE 63006A for command, control, and com- thorization of this project at the level of munications advanced technology, including funds appropriated in fiscal year 1996. In ad- quested amount. The Senate amendment would authorize an $498,000 for the Army’s space applications dition, the conferees urge the Department of technology program. the Army to consider reprogramming funds additional $2.0 million in PE 62782A as part of a general increase to address underfunding Both the House bill and the Senate amend- below threshold to capitalize on the poten- ment would authorize the budget request for tial of this technology. in the Army technology base. The Senate recedes. the Army’s space applications technology Electric gun technology The conferees agree that the Army tech- program. The budget request included $9.0 million nology base has been underfunded in recent The conferees agree to an additional $5.0 for the electric gun exploratory development years. The conferees urge the Army leader- million in PE 63006A for the space applica- program. ship and the Office of the Secretary of De- tions technology program. The conferees are The House bill would authorize an addi- fense provide for balanced funding of the aware of the program’s success in dem- tional $6.0 million in PE 62618A to complete Army technology base program, as related to onstrating global positioning system and research team data gathering and assess- other Defense program accounts in the fiscal Wrasse weather data receivers during Oper- ment in order to refocus the effort on the year 1997 budget request. ation Desert Storm/Desert Shield and other most promising technologies. space technology applications, such as, the The conferees agree to authorize an addi- Medical advanced technology location of high value targets using tional $7.0 million for electric gun tech- The budget request included $11.8 million hyperspectral sensing techniques, high data nology and an additional $1.0 million for the for medical advanced technology. rate satellite communications on the move, electrothermal chemical gun. The House bill would include an additional and down link weather satellite technology. Objective individual combat weapon (OICW) $5.0 million for continuation of the battle- The conferees encourage the Army to con- The budget request included $5.1 million in field tissue replacement program. tinue support to the program in future budg- The Senate amendment would include an PE 62623A and $4.5 million in PE 63607A for et requests. additional $3.0 million for telemedicine. continuation of the joint service small arms Acquired immune deficiency syndrome The conferees agree to authorize an addi- program. The budget request included $2.9 million in The House bill would authorize an addi- tional $8.0 million for both of these programs and an additional $1.0 million for Army PE 63105A. tional $2.0 million in PE 63607A for an ad- Both the House bill and the Senate amend- vanced technology demonstration of light- standardized testing of Trichloromelamine (TCM) in PE 63002A. ment authorized the requested amount. weight, medium caliber, multi-shot, anti- The conferees agree to authorize the re- armor weapon technology for application to Aviation advanced technology quested amount and concur with the Senate a next-generation objective individual com- The budget request included $48.6 million report (S. Rept. 104–112) that directed at bat weapon system (OICW) for the Army and for aviation advanced technology. least $1.0 million of the authorized amount the Marines. The House report (H. Rept. 104– The House bill provided an additional au- be used to continue domestic clinical HIV 131) expressed the concern that funds re- thorization of $6.5 million for evaluation of programs. quested for the OICW in fiscal year 1996 are the Starstreak missile and $10.0 million for Joint precision strike demonstration programs insufficient to adequately conduct this ad- tactical mobility technologies and designs, vanced technology program. The House re- particularly related to the CH–47. The budget request included $34.1 million port also encouraged the Secretary of the The Senate amendment would authorize in PE 63238A for the joint air-land-sea preci- Army to examine the current development the budget request. sion strike demonstration (JPSD) program. strategy for the OICW to support the joint The conferees agree to authorize an addi- The House bill would direct that the JPSD small arms master plan (JSAMP) and to re- tional $4.0 million in PE 63003A for the com- program be expanded into a jointly manned quest reprogramming of funds to carry out pletion of the phase II air-to-air test and program, with participation by all military the plan. evaluation for Starstreak during fiscal year services, and would recommend an increase The Senate amendment would authorize 1996 and $4.0 for modernization technologies of $4.0 million for this purpose. The Senate amendment would authorize the requested amount. and improvement designs for the CH–47D. The House recedes. The conferees strongly The Army is encouraged to provide suffi- the requested amount. The House recedes. The conferees agree support the development of advanced tech- cient funding in its fiscal year 1997 budget with the views expressed in the House report nology for advanced individual weapons sys- request for completion of the air-to-air (H. Rept. 104–131) on the progress made by tems, as outlined in the JSAMP, and share Starstreak evaluation program and continu- the Army in demonstrating advanced con- the concerns expressed in the House report ation of the CH–47D modernization program. cepts for attack of time-critical targets. The regarding adequacy of funding for develop- Weapons and munitions-advanced technology ment of the OICW. The conferees encourage conferees also agree with the House report the Secretary of the Army to request The budget request included $18.8 million recommendations for increased participation reprogramming of additional funds to com- for weapons and munitions advanced tech- by the other military services in the JPSD. pensate for any fiscal year 1996 funding nology. Attack of time-critical targets on the battle- shortfalls in the OICW program. The con- The House bill would authorize an addi- field is a joint issue which requires the co- ferees also encourage the Secretary to in- tional $2.0 million for the XM 982/155mm pro- ordinated efforts of all the military services. clude additional funds in the fiscal year 1997 jectile development. Missile and rocket advanced technology The Senate amendment would authorize budget request for OICW. The budget request included $123.9 million the request. Advanced battery technology in PE 63313A for missile and rocket advanced The conferees agree to authorize $2.0 mil- technology. The budget request did not include funding lion for the XM 982/155mm projectile develop- The House bill would reduce the requested for advanced batteries. ment, an additional $6.0 million for the pre- amount by $12.1 million by making the fol- The House bill would authorize $3.0 million cision guided mortar munition, and an addi- lowing adjustments: adding $2.5 million for in PE 62705A for non-metallic lithium and tional $1.0 million for electrorheological low cost autonomous attack submunition low-cost reusable alkaline batteries. fluid recoil in PE 63004A. The Senate amendment contained no simi- (LOCAAS) and $5.0 million for low-cost guid- lar provision. Command, control, and communications-ad- ance development for the multiple launch The conferees agree to the House author- vanced technology rocket system (MLRS); and reducing the ization, but agree to provide only $2.0 mil- The budget request included $16.9 million amount requested for the rapid force projec- lion in PE 62705A. in PE 63006A for advanced development of tion initiative by $19.6 million. H 584 CONGRESSIONAL RECORD — HOUSE January 22, 1996 The Senate amendment would increase the The Senate amendment would add $10.0 $20.0 million for development of an improved requested amount by $12.0 million, with $5.0 million to PE 64604A for initiation of a five- data modem and satellite communications million for LOCAAS and $7.0 million for low- ton truck extended service program (ESP), capability. cost guidance for MLRS. and $9.4 million to PE 26624M for additional The Senate amendment would authorize no The conferees agree to authorize a total of medium truck variants and development of additional funding for these programs. $118.9 million in PE 63313A. The conferees simulation models and testing. The conferees agree to authorize an addi- agree to reduce the requested amount by $7.5 The conferees agree to provide $1.5 million tional $9.5 million in PE 64770A for the Army million for the Enhanced-Fiber Optic Guided in PE 64604A for the Army’s five-ton ESP and Ground Station Module, in support of the (E–FOG) missile system, as a result of con- $3.5 million for the Marine Corps in PE NATO Alliance Ground Surveillance pro- cerns expressed in the House report (H. Rept. 26624M for initiation of a medium tactical gram, and an additional $24.5 million in PE 104–131), and to add $2.5 million for LOCAAS vehicle replacement (MTVR). 64770F, with $4.5 million for the Air Force within PE 63313A. The conferees would also The conferees agree with the section of the portion of the JSTARS NATO Alliance increase the requested amount by $2.5 mil- Senate Report (S. Rept. 104–112) that deals Ground Surveillance program and $20.0 mil- lion for LOCAAS in PE 63601F for the Air with the medium tactical truck extended lion for development of an improved data Force. The conferees continue to support service program, including the requirements modem and satellite communications capa- low-cost guidance for the MLRS and urge the for a report from the Secretary of the Army bility. Army to reprogram funds for this program in on the medium truck ESP. Weapons and munitions-engineering develop- As the manager of tactical vehicles for the fiscal year 1996 and to request adequate ment funds in the fiscal year 1997 budget request. Department of Defense, the conferees expect the Army to manage the Army five-ton The budget request included $15.9 million Landmine warfare and barrier advanced tech- for weapons and munitions-engineering de- nology truck ESP and the Marine Corps MTVR pro- gram and ensure that Air Force and Navy re- velopment. The budget request included $18.8 million quirements are included in executing the The House bill would authorize an addi- for landmine warfare, and barrier advanced Army ESP. The conferees expect the Army tional $2.7 million for type classification of a technology. to take maximum advantage of medium soft mount for the MK–19 and $1.6 million for The House bill would authorize an addi- truck ESP currently underway, to minimize the 120mm practice cartridge XM–931 train- tional $10.0 million for continuation of the additional procurements to avoid industrial ing round. landmine neutralization program. overcapacity, and to give consideration to The Senate amendment would authorize The Senate amendment would approve the reliable manufacturers that have dem- $0.5 million for type classification of a non- budget request. onstrated capabilities to produce military developmental universal mounting bracket The conferees agree to authorize an in- trucks. for the MK–19 grenade machine gun. crease of $6.0 million for PE 63606A. Of this The conferees agree to authorize $0.5 mil- Heavy tactical vehicles increase, $3.0 million will be used for land- lion for the type classification of the MK–19 mine detection and clearance technology de- The House bill would provide an increase of mounting bracket and $1.6 million for the velopment, and $3.0 million will be used for $2.75 million in PE 64622A, $1.9 million for 120mm practice cartridge in PE 64802A. the accelerated development and testing of water heater/chiller development for the Battlefield combat identification system (BCIS) the Ground Penetrating Radar. Army’s water tank semitrailer, and $.85 mil- The conferees are disappointed with the Intelligence fusion analysis demonstration lion for a palletized loading system tech- nology demonstration. fiscal constraints that precluded full funding The budget request included $2.9 million in The Senate amendment would provide an of the administration’s $30.5 million request PE 63745A for the Intelligence Fusion Analy- increase of $1.9 million in PE 64622A for for non-cooperative target recognition (PE sis Demonstration program. water heater/chiller development for the 64817A), particularly in relation to the bat- The House bill would authorize an addi- Army’s water tank semitrailer. tlefield combat identification system (BCIS). tional $3.0 million for development and eval- The Senate recedes. Fratricide on the battlefield is of great con- uation in Army Warfighter Experiments and High mobility multipurpose wheeled vehicle ex- cern to our fighting forces, and BCIS is ex- the joint precision strike demonstration pro- tended service program pected to significantly enhance the Army’s gram of advanced large screen, automated ability to deal with this critical issue. The The Senate amendment would include an graphical displays that would provide en- system has performed extremely well in increase of $5.0 million in PE 64642A to initi- hanced situational awareness for tactical Army testing to date, and the program en- ate an extended service program (ESP) for commanders. joys widespread support, both within the the high mobility multipurpose wheeled ve- The Senate amendment would authorize military services and the warfighting Com- hicle (HMMWV). the requested amount. manders-in-Chief. The conferees encourage The conferees recognize that the HMMWV The Senate recedes. the Secretary of the Army to aggressively fleet is reaching age and mileage levels lead- Aviation advanced development pursue the program, and would entertain a ing to increased maintenance and operating reprogramming request to fund additional The budget request contained $8.4 million costs and lower reliability. The conferees BCIS units or accelerated BCIS development. for aviation advanced development. agree to provide an increase of $2.0 million The House bill would authorize an addi- for initiation and prototype development for Joint warfighter interoperability demonstration tional $6.0 million for the common helicopter HMMWV ESP. The budget request included $46.5 million helmet development in PE 63801A. The conferees direct the Secretary of the in PE 65712A for support of Army operational The Senate amendment would authorize Army to submit, with the fiscal year 1997 testing. the budget request. budget request, a report to the congressional The House bill would recommend an addi- The Senate recedes. defense committees that describes a program tional $1.5 million for support of a joint Comanche helicopter (RAH–66) to develop and test prototypes, and to initi- warfighter interoperability demonstration, The budget request included $199.1 million ate a joint program to remanufacture one of the key fiscal year 1996 funding short- to continue development of the Comanche HMMWV’s for the Army and the Marine falls identified during evaluation of the De- scout/attack helicopter. Corps, harmonizing their requirements for partment of the Army budget request. The House bill would authorize an increase ESP. The conferees further direct the Sec- The Senate amendment would authorize of $100.0 million for Comanche research and retary of the Army and the Secretary of the the budget request. development. Navy to ensure this program is fully funded The conferees agree to authorize an addi- The Senate amendment would authorize an in future budgets. tional $1.5 million in PE 23758A for support increase of $174.0 million and require the De- Automated test equipment development of the joint warfighting interoperability partment of Defense and the Department of The budget request included $5.4 million demonstration, as recommended in the the Army to develop a plan to provide for for automated test equipment development. House bill. procurement of Comanche helicopters, not The House bill would authorize an addi- Missile/air defense product improvement later than fiscal year 2001, with initial oper- tional $10.0 million in PE 64746A for the inte- The budget request included $17.1 million ating capability by fiscal year 2003. grated family of test equipment. for the missile/air defense product improve- The Senate recedes. The Senate amendment contained no simi- ment program element. The conferees agree to authorize an in- lar provision. The House bill would authorize an increase crease of $100.0 million to accelerate develop- The Senate recedes. of $9.8 million for the evaluation of Stinger ment of the electro-optical system and inte- Joint surveillance target attack radar system block II. grated communication navigation package, The budget request included $18.8 million The Senate amendment would also author- and mission equipment software develop- for the Army and $169.7 million for the Air ize $9.8 million for Stinger, and an additional ment for the second aircraft. Force for the Joint Surveillance Target At- $35.0 million for Patriot cruise missile de- Medium truck extended service program tack Radar System (JSTARS). fense. The House bill would authorize an addi- The House bill would authorize an increase The conferees agree to authorize $61.9 mil- tional $9.4 million for the Marine Corps me- in the Air Force requested amount, $14.0 mil- lion in PE 23801A, an increase of $44.8 million dium truck variant. lion to establish a NATO program office and for both programs. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 585 Instrumented factory for gear development The House bill would fence $1.5 million of The conferees believe that the Army must The budget request did not include funding the Army MANTECH program for tech- examine and consider a full range of alter- for the continuation of the instrumented fac- nologies related to industrial-academic part- natives, including expansion of the dis- tory gear (INFAC). nerships for repair technology development mounted soldier system of the applique pro- The House bill would authorize an addi- and insertion for rotary winged aircraft. gram, execution of the Land Warrior pro- The Senate amendment contained no simi- tional $5.0 million for INFAC in PE 78045A. gram, and acceleration of the GEN II ad- The Senate amendment contained no simi- lar provision. vanced technology demonstrator, to the ex- lar provision. The conferees agree to authorize $1.5 mil- The Senate recedes. lion for the program in PE 78045A. tent that they support the new consolidated Polycrylonitrile carbon fibers Task force XXI soldier program. The budget request did not include funding The conferees agree to authorize $30.0 mil- Overview for polycrylonitrile (PAN) fiber develop- lion for a program that consolidates the ment. Army’s Land warrior and Generation II (GEN The budget request for fiscal year 1996 con- The House bill would authorize an addi- II) soldier programs. The conferees agree to tained an authorization of $8,204.5 million for tional $4.0 million for PAN fibers in the the following adjustment for the purpose of Navy, Research and Development in the De- Army MANTECH program. program consolidation: partment of Defense. The House bill would The Senate amendment would authorize an Millions authorize $8,516.5 million. The Senate additional $4.0 million for PAN fibers in the PE 63001A—Logistics Advanced Tech- amendment would authorize $8,624.2 million. Army materials technology program. nology ...... ¥$4.9 The conferees agree to authorize an addi- the conferees recommended an authorization PE 63710A—Night Vision Advanced tional $4.0 million for this PAN fibers pro- of $8,474.8 million. Unless noted explicitly in Technology ...... ¥4.2 gram in PE 78045A. the statement of managers, all changes are PE 63772A—Advanced Tactical Com- made without prejudice. Rotary winged aircraft repair puter Science and Technology ...... ¥5.0 The budget request included no funding for PE 63747A—Soldier Support and Sur- manufacturing technology related to rotary vivability ...... ¥25.9 winged aircraft repair. Task Force XXI Soldier ...... +30.0 H 586 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 587 H 588 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 589 H 590 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 591 Long-range guided projectile technology satellite communications research in the POAM III payload on the SPOT 4 spacecraft. The budget request contained $32.7 million areas of integrated antenna systems, com- The conferees encourage the Secretary of the for development and demonstration of the munications hardware design, communica- Navy to reprogram those funds necessary to advanced global positioning system/inertial tion algorithm development and high-fre- complete the program and launch the POAM navigation system (GPS/INS) guidance and quency device modeling and measurements. III payload on the SPOT 4 spacecraft in 1997. control technology for long range precision The Senate amendment contained no simi- Air crew protective clothing and devices guided munitions used by Navy surface fire lar recommendation. The budget request included $1.7 million in support and Army long-range artillery. The House recedes. The conferees recognize PE 63216N for demonstration and validation The House bill would authorize an addi- the importance of continued wireless and of air crew protective clothing and devices. tional $9.0 million to accelerate the develop- satellite communications research in the The House bill would authorize an addi- ment and demonstration of the GPS/INS. areas recommended in the House report (H. tional $7.4 million to the budget request to The Senate amendment contained no simi- Rept. 104–131). continue development of the advanced inte- lar provision. Air crew adaptive automation technology grated life support system and of an ad- The Senate recedes with an amendment. The budget request included $40.5 million vanced technology escape system for air The conferees agree to an additional $2.0 in PE 62233N for exploratory development of crews. The House report (H. Rept. 104–131) million in PE 62111N for the purposes indi- enabling readiness, training, and environ- also directed the Navy to provide, by March cated in the House report (H. Rept. 104–131). mental technologies that support the man- 2, 1996, a report that would describe the pro- The conferees are aware of a demonstrated ning, operation, and maintenance of fleet as- gram plan for these two programs and the rapid progress in the development and dem- sets, and that provide the necessary train- coordination of each plan with programs onstration of miniaturized, gun-hardened ing, facilities, and equipment to maintain under consideration in the Air Force and the GPS/INS technology in the Army’s Low-Cost operational forces in a high state of readi- Army. Competent Munition (LCCM) Program, the ness. The Senate amendment would authorize Navy’s advanced technology demonstration The House bill would authorize an addi- the budget request. program for an extended range guided pro- tional $2.7 million to continue development The Senate recedes. jectile, and the cooperative LCCM tech- of adaptable automation technology for The conferees direct the Secretary of the nology program established between Depart- management of air crew workloads. Navy to submit the report described in the ments of the Army and the Navy. The con- The Senate amendment would authorize House report (H. Rpt. 104–131). ferees believe that the technology may sig- the budget request. Air systems and weapons advanced technology nificantly improve the accuracy of existing The House recedes. The budget request included $17.1 million and future gun-fired projectiles, missiles, Embedded sensors for air systems advanced technology in PE and rockets, and that an opportunity exists The budget request included $74.8 million 63217N. The request contained no specific to accelerate development and demonstra- funding for the maritime avionics sub- tion in these areas. The conferees strongly in PE 62234N for exploratory development in the areas of materials, electronics, and com- systems and technology (MAST) program. encourage increased funding in this area in MAST is a fiscal year 1995 ‘‘new start’’ that future Army and Navy budget requests. puter technology in support of Navy ad- vanced weapon and platform systems. focuses on the development of scaleable, Surface ship technology The House bill would authorize an addi- open, fault-tolerant, and common avionics The budget request included $36.8 million tional $3.0 million to complete the explor- architectures. for surface ship technology. atory development of embedded, remotely The House bill would authorize an addi- The House bill would authorize an addi- queried, microelectromechanical sensors in tional $35.0 million for the advanced anti-ra- tional $6.0 million for power electronics thick composites, which would be suitable diation guided missile (AARGM). The House building blocks and $10.0 million for ad- for use in submarine, ships, and armored ve- report (H. Rept. 104–131) encouraged the Navy vanced submarine technology development. hicles. and the Air Force to pursue the technology The Senate amendment would authorize an The Senate amendment would authorize objectives of the MAST program under re- additional $6.0 million for power electronics the budget request. spective avionics technology development building blocks. The Senate recedes. programs and the Joint Advanced Strike The conferees agree to authorize $67.8 mil- Technology (JAST) program. Parametric airborne dipping sonar lion in PE 62121N; an increase of $31.0 mil- The Senate amendment would authorize an lion. That authorization includes $6.0 million The budget request included $51.2 million additional $9.0 million for rapid response for power electronics building blocks, $10.0 for exploratory development of undersea sur- technologies. million for advanced submarine technology veillance and weapons technology. The conferees agree to authorize an addi- development and $15.0 million for curved The Senate amendment would authorize an tional $35.0 million in PE 63217N for AARGM plate technology for ship construction. additional $4.8 million in PE 62314N to ex- and $9.0 million for rapid response tech- pand the current scope of the demonstration Power electronic building blocks nologies for the specific purposes detailed in and evaluation of parametric sonar tech- the respective House and Senate reports (H. The budget request did not include funding nology to provide three dimensional sta- Rept. 104–131; S. Rept. 104–112). The conferees for the power electronic building blocks bilized steerable beams, around 360 degrees, also agree to authorize an additional $10.0 project. at full source level, further characterize the million for continuation of the MAST pro- Both the House bill and the Senate amend- technology for mine avoidance implications, gram in fiscal year 1996, and recommend that ment contained $6.0 million in PE 62121N to and evaluate whether parametric sonar tech- the Secretary of the Navy consider require- initiate a power electronics program based nology merits further development. ments for continuation of the MAST pro- on metal oxide semiconductor (MOS) control The House bill contained no similar provi- gram in the Navy’s fiscal year 1997 budget re- thyristors for high speed switching. sion. The conferees agree that the program quest. The House recedes. The conferees agree Mobile off-shore base (MOBS) should be affiliated with academic institu- that the Navy should complete evaluation of tions and, as recommended by the Senate, the limited capability laboratory prototype, The budget request included $14.7 million involve a computational test bed for system in-depth technical review and assessment of in PE 63238N to begin using ARPA developed simulation. The conferees agree that at least the potential of parametric sonar for heli- technology for a mobile offshore base (MOB) one-third of the funding should be for univer- copter application, and in-water testing and and to initiate sub-scale tests of a complete sity participation. evaluation of the parametric airborne dip- system for the purpose of evaluating risks Flat panel, helmet-mounted display ping sonar prototype. associated with full scale construction. The House bill would authorize the budget The budget request included $7.0 million in Polar Ozone Aerosol Monitor III request. The House report (H. Rept. 104–131), PE 62122N for exploratory development of air The budget request included $45.5 million citing the potential cost of the MOBS sys- vehicle technology. for exploratory development of oceano- tem, noted that the Department of Defense The House bill would authorize an addi- graphic and atmospheric technology, in sup- had failed to comply with guidance provided tional $2.5 million to continue exploratory port of joint warfare mission area capabili- in the Statement of Managers (H. Rept. 103– development of flat panel, helmet-mounted ties. 701) accompanying the National Defense Au- displays for air crew helmets. The House bill would authorize an addi- thorization Act for Fiscal Year 1995 (Public The Senate amendment would authorize tional $5.0 million to complete engineering, Law 103–337). The House report directed that the budget request. integration and test of the Polar Ozone Aero- any fiscal year 1996 funds authorized and ap- The Senate recedes. sol Monitor (POAM) III payload on the SPOT propriated for MOBS or for the Landing Ship Communications technology 4 spacecraft, in anticipation of system Quay/Causeway not be obligated until the The budget request included $9.2 million in launch in 1997. Department provides the reports and certifi- PE 62232N to continue development of key The Senate amendment included no simi- cation previously directed by Congress. communications technologies for air, ship, lar provision. The Senate amendment would authorize and submarine platforms. The conferees agree to authorize an addi- the budget request. The House bill would authorize an addi- tional $2.5 million in PE 62435N to continue The House recedes from its restriction on tional $4.0 million for support of wireless and engineering, integration and test of the the obligation of fiscal year 1996 funds for H 592 CONGRESSIONAL RECORD — HOUSE January 22, 1996 the MOBS project. The conferees note, how- acoustic antisubmarine warfare (NAASW) this plan to the congressional defense com- ever, the point made in the House report (H. program in PE 63528N that would be on par mittees no later than March 15, 1996. Rept. 104–131) about the large potential cost with the Department of Defense’s advanced Intercooled recuperated gas turbine engine of the MOBS program if carried to comple- sensor applications program. The budget request included $25.6 million tion. The conferees further note that, in ac- The Senate amendment contained no fund- in PE 63508N, a technology base program ele- cordance with section 2430, title 10, United ing for a Navy specific research and develop- ment, for continued development of the States Code, MOBS qualifies as an Acquisi- ment program. However, the Senate amend- intercooled recuperated (ICR) gas turbine. tion Category I major defense acquisition ment did provide $10.0 million of additional The House bill expressed concern that the program. Therefore, it is subject to the re- funding in PE 63714D, the Department of De- budget request had transferred the ICR gas view and approval procedures for major de- fense’s advanced sensor applications pro- turbine engine from the Advanced Surface fense acquisition programs established in gram, to continue development for a NAASW Machinery (ASM) Program (PE 63573N), Department of Defense instructions, regula- program, ATD–111, that is being executed by where it had been previously budgeted, be- tions, and procedures. Under these review the Navy. cause of the possibility of disruption in the and approval procedures, a Milestone 0 (con- The conferees authorize an increase of $10.0 relationship between the ICR program and cept exploration and definition) review of million in PE 63528N for the ATD–111 other elements of the ASM program. In order the MOBS project is required by the Defense NAASW program. The funding is authorized to restore ASM program integrity, the House Acquisition Board (DAB). The conferees di- to: (1) test system upgrades; (2) correct sys- bill would direct the transfer of $25.6 million rect the Secretary of Defense to report to tem defects identified during field tests; (3) from PE 63508N to PE 63573N. Additionally, the congressional defense committees, by bring the test systems to a common configu- the House bill would increase funding for the March 31, 1996, the plan and schedule for in- ration; and (4) evaluate carriage on alternate ICR engine by $21.5 million to support ICR corporating MOBS into the DAB process and airborne platforms. engine tests at the Navy’s land-based test accomplishing a Milestone 0 review. The conferees recommend that the Navy site and, based on elements of the Navy’s re- Medical development conduct a comparative evaluation of the vised ICR development plan, direct the Navy The conferees agreed to authorize an addi- ATD–111 laser radar (LIDAR) system with to proceed with a second 500 hour engine test tional $1.0 million (PE 63706N) for accelera- other approaches. Comparative testing of and other associated testing at the site. tion of blood storage development and an ad- competing non-acoustic approaches to anti- The Senate amendment also directed ditional $3.0 million (PE 63706N) for the submarine warfare and other applications transfer of $25.6 million from PE 63508N to Naval Biodynamics Laboratory (NBDL) for should provide a basis for establishing a firm PE 63573N, but did not increase funding for infrastructure transfer activities. requirement for follow-on systems. the ICR engine. Sensor integration and decision support systems The conferees also agree that there is a The conferees agree to a funding level of The budget request contained $17.8 million need for two viable, independent, but coordi- $82.9 million in PE 63573N. The conferees di- in PE 63707N for advanced development of nated and complementary NAASW programs, rect that, of the total amount authorized for manpower, personnel, and training tech- one in the Navy and one in the Office of the PE 63573N, $41.0 million is authorized for the nology, including $1.1 million for air human Secretary of Defense. To reestablish the ICR program. factors engineering. Navy’s independent NAASW program, the Cooperative engagement capability The House bill would authorize an addi- conferees encourage the Secretary of the The budget request included $180.0 million tional $1.5 million in PE 63707N for develop- Navy to provide funding for it in the fiscal in PE 63755N for development of the coopera- ment and evaluation of intelligent, multi- year 1997 budget request. Further guidance tive engagement capability (CEC). source, multi-platform sensor integration with respect to the NAASW program is con- The House bill would authorize the re- and cockpit decision support systems. tained in the classified annex. quested amount, but would direct that no The Senate amendment would authorize Advanced submarine technology development more than $102.0 million be obligated until the budget request. the Secretary of Defense notifies the con- The budget request included $18.4 million The House recedes. gressional defense committees that the test in PE 62121N for exploratory development of Navy advanced technology demonstration and evaluation master plan for the CEC pro- The budget request included $96.8 million submarine systems technology and $30.9 mil- gram has been approved by the Director, in PE 63792N for advanced development and lion in PE 63561N for advanced submarine Operational Test and Evaluation. demonstration of high payoff, emerging systems development. The Senate amendment would add $22.5 technologies that could significantly im- The House bill would authorize an increase million to continue accelerated development prove Navy warfighting capabilities. of $10.0 million in PE 62121N. Of this amount, of the airborne component of CEC and an ad- Both the House bill and the Senate amend- $7.0 million is to continue the transfer of ditional $20.0 million to accelerate joint ment would authorize the budget request. technology to the Navy for active control of Army-Navy and Air Force-Navy exploitation The conferees agree that the program for machinery platforms demonstrated in the of CEC for cruise missile defense and theater advanced technology demonstration of low Advanced Research Projects Agency’s missile defense. cost, highly accurate guidance and control (ARPA’s) Project M. The House bill would The conferees agree to an additional $42.5 for improved naval surface fire support from also authorize an additional $13.1 million in million for CEC for the purposes described in surface 5″ guns shall be fully funded at the PE 63561N. The House report (H. Rept. 104– Senate amendment. The House recedes from level established in the budget request. 131) expressed concern over the overall re- its funding limitation. The conferees note Remote controlled minehunting vehicle duction in submarine research and develop- the concerns expressed in the House report The budget request included $7.6 million in ment funding, reflecting in the budget re- (H. Rept. 104–131) regarding developmental PE 63502N for development and demonstra- quest, and the belief that this level of fund- testing and independent operational testing tion of improvements in minehunting sonar ing would be inadequate to support the type required to insure that the CEC is operation- and remotely controlled minehunting sys- of long-term research necessary to ensure ally effective and suitable when deployed to tems. the availability of advanced technologies the fleet. They direct the Secretary of the The House bill would authorize an addi- that could maintain the superior techno- Navy to submit to the congressional defense tional $1.65 million in PE 63502N to acceler- logical capability of the U.S. submarine committees, by March 31, 1996, a report on ate the remote minehunting operational pro- force. The House report directed the Sec- the status of plans for developmental and totype (RMOP) development program and retary of Defense to develop a plan for long- independent operational testing of the CEC. provide an interim operational capability to term submarine research and development Naval surface fire support the fleet. aimed at ensuring U.S. technological superi- The Navy’s budget request included $12.0 The Senate amendment would authorize an ority and to report this plan to the congres- million in PE 63795N to develop the gun additional $7.5 million in PE 63502N to accel- sional defense committees with the submis- weapon system technology needed by the erate development of RMOP. sion of the fiscal year 1997 budget request. Navy to resolve major deficiencies in its The Senate recedes. The conferees agree The Senate amendment would approve the ability to provide naval surface fire support that the mine detection and location capa- budget request. (NSFS) to amphibious operations. bility demonstrated by the RMOP vehicle The conferees agree to an increase of $10.0 The House report (H. Rept. 104–131) noted during a joint amphibious exercise in March– million in PE 62121N. This increase would that the budget request was sharply reduced April 1995 suggests that it has the potential not include any reservations for ARPA’s during the budget formulation process. It to fill a gap in the Navy’s mine counter- Project M. The conferees would authorize further observed that the future years de- measures operational capabilities. Therefore, the transition effort associated with Project fense plan for gun system technology had the conferees conclude that the RMOP pro- M in PE 63569E. The conferees also agree to been left under funded by over $160 million gram should be accelerated to provide a con- an increase of $20.0 million in PE 63561N. The and did not include an adequate plan to meet tingency capability for fleet use. The con- conferees would also adopt a provision, dis- long-term requirements for advanced NSFS ferees encourage the Secretary of the Navy cussed in greater detail in the procurement weapons systems. To address these concerns to include additional funds for this purpose section of the conference report, that would the House bill would increase funding in PE in the fiscal year 1997 budget request. direct the Secretary of the Defense to de- 63795N by $25.0 million to: Non-acoustic antisubmarine warfare program velop a plan for long-term submarine re- (1) accelerate the development of a long The House bill would authorize $23.2 mil- search and development aimed at ensuring range guided projectile that would incor- lion to reestablish a separate Navy non- U.S. technological superiority and to report porate advanced low cost global positioning January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 593 system/inertial navigation system (GPS/INS) conferees also affirm the need for an updated S–3B Project Gray Wolf guidance; COEA that considers all available gun and The budget request included $12.9 million (2) improve the existing MK–45 5-inch naval missile alternatives, including extended in PE 64217N for continued development of gun; and range multiple launch rockets and existing weapon system improvements for the S–3 (3) permit the Navy to place increased em- and improved 5-inch guns, to support future aircraft. phasis on satisfying long-term requirements acquisition milestone decisions related to The House bill would authorize an addi- for advanced gun systems in addition to its the Navy’s near-term and long-term pro- tional $15.0 million for continued evaluation near-term focus on modifications to the MK– grams. and potential establishment of an advanced 45 gun. AH–1W integrated weapons system upgrade concept technology demonstration of The Senate amendment would add $19.2 The budget request included $14.9 million ‘‘Project Gray Wolf’’, a fleet proof of concept million to PE 63795N. The Senate’s evalua- in PE 64212N for engineering and manufac- demonstration of the ability of an S–3B air- tion noted in the Senate report (S. Rept. 104– turing development of upgrades to the AH– craft equipped with a multi-mode synthetic 112) of the Navy’s NSFS program, as re- 1W Cobra attack helicopter for the Marine aperture radar designed to provide real time flected in the budget request, yielded conclu- Corps. stand-off surveillance, targeting, and strike sions similar to those of the House. The House bill recommended a reduction of support for littoral operations. The conferees note that in May 1995 the $11.6 million to the budget request, based on The Senate amendment would authorize an Secretary of the Navy, based on a recently the understanding that the Marine Corps had additional $13.2 million for the same purpose. completed cost and operational effectiveness decided to suspend development of the inte- The conferees agree to authorize the re- analysis (COEA), reported the following con- grated weapon systems (IWS) for the AH–1W. quested amount. clusions to Congress regarding NSFS: The Senate amendment would authorize The conferees agree that ‘‘Project Gray (1) a 155 millimeter/60-caliber naval gun, the budget request. Wolf’’ demonstrates potential for providing employing precision guided munitions, is the The House recedes. The conferees under- the Department of the Navy with a versatile most cost effective NSFS solution; and stand that the Department of the Navy has carrier-based capability to provide real time, (2) a combination of guns, missiles, and suspended the IWS upgrade, based on identi- stand-off surveillance, targeting, and strike tactical aviation is needed to fully meet fication of other urgent requirements for support. The conferees encourage the Sec- NSFS requirements. modification of Marine Corps helicopters. retary of the Navy to consider a The Secretary also reported that, as a re- The upgrade program would now focus on the reprogramming request to support this pro- sult of the NSFS COEA, the Navy’s NSFS adaptation of both the AH–1W attack heli- gram, should any funds become available program had been structured to: copter and the UH–1N utility helicopter, and during fiscal year 1996. The conferees further (1) proceed with the long-term develop- their respective power trains, to a 4-blade encourage the Secretary to include funds for ment of a 155 millimeter gun; rotor system which will increase the oper- the program in his fiscal year 1997 budget re- (2) develop a gun-launched precision guided ational safety power margin and useful mis- quest. munition; and sion payload of both helicopters. The IWS P–3 maritime patrol aircraft sensor integration (3) modify the Navy’s existing MK–45, 5- upgrade for the AH–1W will be deferred until The budget request included $1.9 million in inch gun to deal with long-term and near- later in the program. The conferees further PE 64221N for the P–3 maritime patrol air- term challenges. understand, based upon the Department’s craft (MPA) modernization program. However, as reflected in the budget re- analysis, that the revised program will pro- The House bill would authorize an increase quest, affordability constraints and a desire vide growth potential to bridge the gap until of $15.0 million to the budget request. That to field an enhanced NSFS capability prior the joint replacement aircraft would become increase would include $12.0 million to re- to Fiscal Year 2001 have moved the Navy to available around the year 2020, and is report- store the schedule for integration of the im- embrace a near-term program reflecting the edly more cost effective than the adoption of proved extended echo ranging (IEER) and the following priorities: other, more modern attack and utility heli- anti-surface warfare improvement program (1) develop a global positioning system/in- copters that have already been fielded or are (AIP) capabilities in the P–3, and $3.0 million ertial navigation system 5-inch guided pro- under development. jectile; The conferees note that the Department for upgrade of P–3 stores management, to (2) improve the existing MK–45 5-inch gun; plans a defense acquisition milestone II deci- permit integration of advanced weapons sys- and sion to proceed with engineering and manu- tems. In relation to the fiscal year 1995 budg- (3) demonstrate the NSFS capabilities of facturing development in late fiscal year 1996 et projections for fiscal year 1996, the House Army Tactical Missile System (ATACMS), and also plans to use the fiscal year 1996 report (H. Rept. 104–131) noted that sharp Sea Standoff Land Attack Missile (SLAM), funds made available for the program for funding reductions in the P–3 modernization and STANDARD Missiles. pre-milestone IV/II engineering studies. The program would result in an overall program To confirm the cost effectiveness of this conferees are aware of a Department of the cost increase and multi-year delays in field- near-term approach, which was not thor- Navy experience with harmonic coupling ing capability improvements needed to offset oughly evaluated in the NSFS COEA, the problems encountered during a previous decreases in MPA force structure. The House Navy has directed the Center for Naval Anal- major helicopter power train upgrade that report also expressed the House’s expecta- ysis to perform supplemental analysis to contributed to a number of aircraft mishaps. tion that the Navy’s future budget requests evaluate its cost effectiveness. The need for Accordingly, this issue must be addressed in would include the increased funding nec- this supplemental analysis was reinforced by detail during pre-milestone engineering essary to complete the IEER and AIP capa- the General Accounting Office, which strong- studies and in the milestone II decision proc- bilities integration in the P–3, the P–3 stores ly recommended in May 1995 that the Navy ess, and the absence of the problem dem- management upgrades, and procurement of revalidate its NSFS requirements and con- onstrated prior to milestone III. The Sec- sufficient quantities of the AIP and update duct a comprehensive supplemental analysis retary of the Navy is directed to report the III kits to appropriately outfit the active to the COEA that would include all available results of these engineering studies and the and reserve MPA force. gun and missile alternatives. milestone II decision with the submission of The Senate amendment would authorize The conferees agree to authorize $34.0 mil- the fiscal year 1998 budget request. the budget request. The Senate recedes. lion, an increase of $22.0 million, in PE AV–8B Harrier weapons system improvements Air crew systems development 63795N. Over the past several years, the con- The budget request included $11.3 million ferees have repeatedly stressed the issue of in PE 64214N for integration and testing of The budget request included $9.8 million in NSFS, but have found the Navy’s response to weapons and aircraft improvements for the PE 64264N for the development of aviation be highly variable as new programs or ap- AV–8B Harrier aircraft. life support systems for air crews. proaches have succeeded one another from The House bill would authorize an increase The House bill would authorize an increase year to year. Because of a strong need and of $15.6 million to the budget request to sup- of $7.9 million to transition the Navy’s Day/ the Navy’s apparent commitment to pursue port the United States’ share of the AV–8B Night/All Weather Helmet Mounted Display the program to completion, the conferees are production memorandum of understanding to operational evaluation in F/A–18 and AV– willing to provide initial support, in fiscal between the United States, Spain, and Italy, 8B aircraft, to upgrade current escape sys- year 1996, to the Navy’s effort to upgrade the and for concurrent integration of the AIM– tems, and to develop crashworthy troop capability of its 5-inch guns and projectiles. 120 missile and 1760 data bus during remanu- seats in the H–1, H–3 and H–46 helicopters. The conferees take this action based on the facture of the day-only AV–8As to the AV–8B The Senate amendment would authorize Navy leadership’s assurances that the Navy radar configuration. the budget request. will follow through with consistent, stable, The Senate amendment would authorize The Senate recedes. and adequate future years funding. the budget request. AEGIS combat systems engineering The conferees affirm their conclusion that The Senate recedes. The conferees agree to The budget request included $105.9 million the Navy needs to place increased emphasis authorize the increase of $15.6 million to the in PE 64307N, including $90.0 million for con- on pursuing a long-term program to satisfy budget request with the understanding that tinued development of improvements in the NSFS mission requirements. The conferees the Department of the Navy would include in AEGIS combat system. direct that the Secretary of the Navy include the fiscal year 1997 budget request the bal- The House bill would authorize $89.9 mil- a report on the plans for such a program in ance of the $11.7 million required by the lion, a reduction of $15.8 million from the re- the fiscal year 1997 budget submission. The memorandum of understanding. quested amount. In support of the funding H 594 CONGRESSIONAL RECORD — HOUSE January 22, 1996 reduction, the House report (H. Rept. 104–131) in the acquisition strategy, and significant opment of improvements to the payload cited the deferred release of fiscal year 1995 revisions in the program schedule. These needed to counter improvements in anti-ship funds, which led to a corresponding, but un- concerns raise questions regarding how well missile technology. The conferees strongly necessary, increase in the Navy’s budget re- the operational requirement is defined and support these objectives and authorize an in- quest. The House report (H. Rept. 104–131) whether the system should continue in engi- crease of $8.0 million in PE 64755N. also expressed concern about the Navy’s re- neering and manufacturing systems develop- BARAK 1 vised strategy for development of the AEGIS ment, or whether a demonstration/validation The Senate report expressed concern about baseline 6. program would be more appropriate. the need to protect Navy ships from the pro- The Senate amendment would authorize The Senate amendment would authorize liferation of maneuvering, sea-skimming, the requested amount. the requested amount. low observable, anti-ship cruise missiles. It The conferees agree to a reduction of $11.0 The House recedes. also recognizes the fact that the Navy’s eval- The conferees agree that the concerns ex- million in PE 64307N for AEGIS combat sys- uation of existing systems, such as the pressed by the House should be addressed fol- tems engineering. The conferees note that BARAK 1 missile, as candidates for the LPD– lowing submission of the fiscal year 1997 de- the Navy included the $11.0 million in its 17 class’s self-defense suite, could produce fense budget request. budget request in anticipation of losing $15.8 the most cost-effective solution to this million of fiscal year 1995 funds through the Ship self-defense system threat. Development costs could be avoided omnibus reprogramming process. The use of SUMMARY through such an approach. these fiscal year 1995 funds as a While addressing ship self-defense in some reprogramming source has been specifically The budget request included $166.0 million in PE 64755N for the ship self-defense pro- detail, the House report did not discuss this denied by Congress. The conferees direct the aspect of the requirement. Office of the Secretary of Defense to return gram. The House bill would approve the budget The conferees agree that the incorporation these funds to the Navy without delay to of weapons systems that are already in pro- permit orderly execution of the AEGIS pro- request. The House report (H. Rept. 104–131) expressed concern that the Navy had failed duction, such as BARAK 1, into the combat gram. Further, the navy should review its systems of active or new construction ships program for development of the AEGIS base- to include funding in its budget request to continue development of either the infrared could be a cost effective means to deal with line 6 with a view to minimizing a rapidly proliferating and evolving cruise concurrency. search and track (IRST) system or NULKA, an electronic warfare countermeasures sys- missile threat. The conferees desire to be Enhanced modular signal processor tem, despite the apparently high priority kept informed on the progress and results of The budget request included $8.3 million in that the Navy has placed on these systems in the LPD–17 cost and operational effective- PE 64507N for development and risk mitiga- the past. The House report argued that such ness analysis (COEA). Furthermore, the con- tion testing of the AN/UYS–2 enhanced mod- funding lapses point to the absence of clearly ferees direct the Navy to present, by Feb- ular signal processor (EMSP) and software defined program baselines in the ship self-de- ruary 1996, a plan that could lead to testing development, integration, testing, and criti- fense programs. of the BARAK 1 system in the United States cal engineering design support in the air- The Senate amendment would authorize during fiscal year 1996, should the LPD–17 borne low-frequency sonar (ALFS), surveil- $184.5 million in PE 64755N, an increase of COEA demonstrate that self-defense systems lance towed array sensor system $18.5 million. It would authorize an addi- such as BARAK 1 would be cost effective. (SURTASS), AN/SQQ–89 surface combat sys- tional $9.5 million for IRST and $9.0 million Because of the advantage to the fleet of an tem, and AN/BSY–2 submarine combat sys- for NULKA. The Senate report (S. Rept. 104– early deployment of a robust ship self-de- tem. 112) also discussed evaluation of existing fense system, the committee directs the Both the House bill and the Senate amend- self-defense systems, such as the BARAK 1 Navy to also examine and report on BARAK ment would authorize the budget request. missile system, for installation on active and 1 applicability to other ship classes. The re- The conferees understand that the Navy is new construction Navy ships. sults of this analysis should be provided to considering development of a commercial- The conferees agree to authorize $183.5 mil- the congressional defense committees by off-the-shelf (COTS) variant of the EMSP, as lion for the ship self-defense program in PE February 1996. discussed in the House report (H. Rept. 104– 64755N. Funding increases and areas of em- Fixed distributed system—deployable 131). The conferees authorize an increase of phasis are discussed in the following para- The budget request included $93.5 million $6.5 million in PE 64507N for development of graphs. The conferees also agree that the in PE 64784N for the fixed distribution sur- this COTS variant. The conferees encourage year-to-year volatility of the Navy’s budget veillance system (FDS), but included no the Navy to include additional funds that requests for ship self-defense programs ap- funding for the deployable (FDS–D) proto- may be required to complete the EMSP pear to contradict the Navy’s oft stated em- type. COTS development in its fiscal year 1997 phasis on littoral warfare. Therefore, the The House bill would add $10.0 million to budget request. conferees direct the Secretary of the Navy to the budget request to refurbish the FDS–D Submarine combat system provide to the congressional defense commit- prototype and improve its capability to pro- The budget request included $42.3 million tees, as a part of the annual update of the vide an interim deployable undersea surveil- in PE 64524N for development of the AN/ ‘‘Ship Anti-Air Warfare (AAW) Report’’, an lance, until the Advanced Deployable Sys- BSY–2 submarine combat system. assessment of progress in establishing pro- tem becomes available. The House bill would reduce the authoriza- gram baselines for the ship self-defense pro- The Senate amendment would authorize tion by $6.2 million, the amount requested gram and the degree to which these baselines the budget request. The conferees authorize $103.5 million in for delivery of the AN/BSY–2 system for the are being met. PE 64784N, of which $10.0 million would be SSN–23. IRST used to refurbish the FDS–D prototype and The Senate amendment would authorize The budget requested reduced funding for improve its surveillance capability. Further the budget request. and restructured the infrared search and guidance is contained in the classified annex. The House recedes. track (IRST) program for affordability rea- SSBN security and survivability program Submarine tactical warfare system sons. The conferees believe that the IRST The budget request included $25.1 million The budget request included $38.5 million system has the potential to play a very im- in PE 12224N for the SSBN security and sur- in PE 64562N for continued development of portant role in defending naval ships against vivability program. improvements in SSN combat control sys- sea skimming antiship missiles. A recently completed cost and operational effectiveness The House bill would provide an increase of tems. $9.5 million to the budget request. The House The House bill recommended a reduction of analysis (COEA) supports this conclusion. bill would also direct the Secretary of the $18.0 million to the budget request. The conferees agree that the Navy should Navy to provide to the congressional defense The Senate amendment would authorize emphasize early integration of the IRST sys- committees, within 60 days of enactment, an the requested amount. tem with both Aegis and non-Aegis ships, assessment of the potential threat to the The House recedes. and place priority on early completion of its U.S. SSBN force an analysis of the SSBN se- Advanced tactical air command central development. Therefore, the conferees au- thorize an increase of $9.5 million in PE curity program needed to counter that The budget request included $8.4 million in 64755N to accelerate plans for combat system threat. PE 604719M to continue development of the The Senate amendment would authorize integration and design of the IRST system. advanced tactical air command central the budget request. (ATACC) for the Marine Corps. NULKA The conferees agree to authorize an addi- The House bill would reduce the PE by $5.0 NULKA is a joint United States/Australian tional $5.5 million in PE 12224N for the SSBN million and direct that the details of the project to develop an anti-ship missile decoy security and survivability program. The con- operational requirement and a revised pro- system. Increased funding in fiscal year 1996 ferees agree with the House direction to the gram plan be provided with the fiscal year would allow the Navy to integrate NULKA Secretary of Defense regarding the SSBN se- 1997 budget request. The house report (H. with the ship self-defense system (SSDS), for curity program, contained in the House re- Rept. 104–131) expressed concerns regarding installation on amphibious ships and other port (H. Rept. 104–131). Further guidance re- the marked growth in program costs for fis- self-defense ships, to conduct testing of the garding the program is provided in the clas- cal year 1996 and succeeding years, changes integrated system, and to commence devel- sified annex. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 595 Cryptologic system trainer purposes discussed in the House report (H. an additional $2.0 million for advanced bulk The budget request included $7.0 million in Rept. 104–131). manufacturing of mercury cadmium tellu- PE 24571N to continue development and eval- Optoelectronics ride (MCT) for low cost sensors, also in PE uation of the Navy’s surface tactical team The budget request did not include funding 78011N. trainer. for optoelectronics manufacturing. Overview The House bill would authorize an addi- The House bill would provide $10.0 million tional $3.0 million for: to initiate partnerships with industry, gov- The budget request for fiscal year 1996 con- (1) integration and evaluation of the ernment laboratories and other research or- tained an authorization of $12,598.4 million cryptologic systems trainer in the battle ganizations to allow the development of for Air Force, Research and Development in force tactical training system; and manufacturing technologies that would sup- the Department of Defense. The House bill (2) the development of related information port optoelectronics devices and compo- would authorize $13,184.1 million. The Senate warfare/command and control warfare ship- nents. board training systems. The Senate amendment contained no simi- amendment would authorize $13,087.4 mil- The Senate amendment would authorize lar provision. lion. The conferees recommended an author- the budget request. The conferees agree to authorize an addi- ization of $12,914.9 million. Unless noted ex- The conferees authorize $10.0 million in PE tional $10.0 million for this program in PE plicitly in the statement of managers, all 24571N. Of this amount, $3.0 million is for the 78011N. The conferees also agree to authorize changes are made without prejudice. H 596 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 597 H 598 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 599 H 600 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 601 H 602 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Defense research sciences security systems, as specified in the House The House bill would authorize an addi- The budget request included $239.893 mil- report (H. Rept. 104–131). tional $8.0 million to fund the initial integra- lion for defense research sciences in PE Aircraft ejection seats tion design and testing of the capability to integrate the Mk21 warhead on the new Min- 61102F. The budget request included $19.0 million uteman guidance set. The House report (H. The House bill would authorize an addi- in PE 63231F for crew systems and personnel Rept. 104–131) endorsed using the Mk21, the tional $5.0 million for adaptive optics re- protection technology. safest warhead in the inventory, on the Min- search. The House bill would authorize an addi- uteman, if and when it becomes available as The Senate amendment would reduce the tional $3.0 million to test existing Navy, Ma- a result of arms control treaties. The House budget request by $9.0 million and authorize rine Corps, and Air Force front-line trainer report expressed concern that the current $5.0 million for adaptive optics research. and tactical aircraft ejection seats. Ejection guidance replacement program fails to fund The conferees agree, that of the $249.5 mil- seat tests would be conducted to verify pre- the design and testing necessary to ensure lion authorized in this program element, $5.0 dicted performance and to identify existing the Mk21 capability prior to initiation of the million shall be authorized for adaptive op- problems and the required corrective action. tics research. guidance set production. The Senate amendment had no similar pro- The Senate amendment would authorize Robotics corrosion inspection system vision. the budget request. The House bill would authorize $8.0 million The conferees agree to authorize an addi- The conferees agree to authorize the budg- in PE 62102F to conduct a competitive pro- tional $3.0 million in PE 63231F for the pur- et request. The conferees, however, reiterate gram to demonstrate the feasibility of non- poses specified in the House report (H. Rept. the concerns expressed in the House report contact robotic corrosion inspection for de- 104–131). (H. Rept. 104–131), and support the rec- tection of hidden corrosion and metal fa- Micro-satellite development program ommendations made therein. The conferees tigue. The budget request included $32.6 million are concerned that the Department of De- The Senate amendment did not include in PE 63401F for Advanced Spacecraft Tech- fense and the Air Force have failed to take such authorization. nology. the necessary action to ensure that the The conferees strongly encourage the Air The Senate amendment would authorize an safest nuclear warheads are compatible with Force to consider environmentally benign additional $20.0 million for a micro-satellite the new Minuteman guidance sets. There- technologies that demonstrate the potential development program. fore, the conferees direct that, of the funds to provide a 25 percent savings in cargo and The House bill would authorize the budget authorized for fiscal year 1996 in PE 64851F, fighter aircraft inspection and repair costs request. up to $4.0 million shall be available to initi- through the use of non-contact robotic cor- The House recedes. ate efforts to ensure that the new Minute- rosion inspection. The Air Force Phillips Laboratory, in con- man guidance sets are capable of accommo- Firefighting clothing junction with the Air Force Space Com- dating the Mk21 warhead. The conferees fur- The conferees encourage the Department mand’s Space Warfare Center, has initiated a ther direct the Secretary of Defense to en- of Defense to continue to make greater use small satellite program to develop and dem- sure that the funds necessary to continue of commercial off-the-shelf technologies that onstrate a variety of miniaturized space this effort are included in the fiscal year 1997 meet military requirements without exten- technologies. The micro-satellite program budget request. sive development programs. The conferees builds upon the highly successful Clementine REENTRY VEHICLE MATERIALS are aware of recent commercial develop- satellite program. The conferees strongly The Senate amendment would authorize ments in thermal absorbing materials that support this effort and direct that it be $750,000 above the budget request in PE would have the potential to significantly in- placed under the control of the Space War- 62102F for the Thermal Protection Materials crease personnel protection for fighting air- fare Center and be executed by the Clem- Reentry Vehicle project to purchase, test, craft, ship-board, and chemical fires. Accord- entine Team (Phillips Laboratory, Naval Re- and evaluate three nose tip billets and relat- ingly, the conferees authorize an additional search Laboratory, and Lawrence Livermore ed technologies. $1.25 million in PE 62201F for the develop- National Laboratory). The House bill would not authorize addi- ment of a firefighting suit that would incor- Intercontinental ballistic missile (ICBM) re- tional funds for reentry vehicle materials. porate these technologies. search and development and associated is- The Senate recedes. Nevertheless, the con- ferees reiterate the concerns expressed in the Aerospace propulsion sues Senate report (S. Rept. 104–112) regarding the ICBM DEMONSTRATION/VALIDATION The budget request included $3.7 million in adequacy of the reentry vehicle applications PE 62203F for the high thermal stability and The budget request included $20.3 million program, and, in particular, the reentry ve- the endothermic hydrocarbon fuels project in PE 63851F for six Minuteman-related hicle materials program. Therefore, the con- 3048. projects. ferees direct that, of the funds available in The House bill and Senate amendment The House bill would authorize an addi- PE 62102F, up to $750,000 shall be available would authorize an additional $3.0 million tional $14.5 million to complete acquisition for the Thermal Protection Materials Re- for the acceleration of this project. and requirement documentation efforts and entry Vehicle project to purchase, test, and The conferees agree that of the $75.0 mil- to conduct missile guidance technology ex- evaluate three ICBM reentry vehicle nose tip lion authorized for this program element periments. The House report (H. Rept. 104– billets and related thermal technologies. that $6.7 million be authorized for project 131) expressed concern that the budget re- BALLISTIC MISSILE TECHNOLOGY 3048. quest failed to include pre-milestone 0 and phase 0 funding for the command signal de- The budget request contained $3.1 million High frequency active auroral research program in PE 63311F to conduct guidance and range (HAARP) coder, the modified miniature receive termi- nal for launch control centers, the safety en- safety technology experiments. The conferees agree to a $5.0 million in- hanced reentry vehicle, and inertial meas- The House bill would authorize an addi- crease in PE 62601F for the high frequency urement modifications. tional $5.7 million for Minuteman class range active auroral research program (HAARP). The Senate amendment would authorize an tracking and safety equipment based on Rocket propulsion technology additional $4.3 million to bolster the Air Global Positioning System (GPS) equipment The House bill would authorize an addi- Force reentry vehicle applications project. developments. The Senate amendment would authorize an tional $13.0 million for rocket propulsion The Senate report (S. Rept. 104–112) ex- additional $5.0 million for suborbital flight technology programs in PE 62601F, PE pressed concern that the reentry vehicle testing conducted at White Sands Missile 63302F, and PE 62111N. nose tip requirements were not adequately Range for ballistic missile guidance, range The Senate amendment contained no simi- funded. tracking, and safety equipment, based on ex- lar provision. The conferees agree to authorize the budg- isting GPS equipment. The conferees agree to provide an addi- et request. The conferees also reiterate the The conferees agree to authorize $5.7 mil- tional $13.0 million, as specified in the House concerns expressed in the House and Senate lion above the budget request to enhance report (H. Rept. 104–131). reports. The conferees understand that the ballistic missile technology experiments and Air Force is considering options to address Computer security to proceed with a follow-on to the successful these concerns from within their existing fis- The budget request included $98.5 million Missile Technology Demonstration Flight 1 cal year 1996 budget, in particular the docu- for Command, Control, and Communications (MTD–1). The conferees commend the par- mentation issues identified in the House re- in PE 62702F. ticipants in this joint effort and encourage port. The conferees strongly urge the Air The House bill would authorize an addi- the Air Force, the Ballistic Missile Defense Force to fulfill these requirements. tional $3.0 million to evaluate voice recogni- Organization, the Defense Nuclear Agency, tion computer security systems. ICBM ENGINEERING AND MANUFACTURING and the Phillips Laboratory to continue to The Senate amendment contained no simi- DEVELOPMENT pursue such joint efforts. Prior to complet- lar authorization. The budget request contained $192.7 mil- ing plans for a MTD follow-on, the conferees The conferees direct that, of the $96.5 mil- lion in PE 64851F to fund the Minuteman direct the Air Force to consult with the Sen- lion authorized, $3.0 million be authorized guidance and propulsion replacement pro- ate Committee on Armed Services and the for evaluation of voice recognition computer grams. House Committee on National Security on January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 603 the issues and options associated with the partment of Defense would establish a joint and the long-term plan for development of a following: (1) the technologies to be tested; program to meet Air Force and Navy needs TSSAM replacement that will meet the re- (2) the type of booster configuration to be for a replacement for TSSAM. quirements of both services. The conferees employed; and (3) the test range to be used. The House recedes with an amendment. expect that the Department would establish PEACEKEEPER CONTINGENCY PLANNING The conferees agree to: the following for JASSM weapons system at the next milestone: design-to-unit cost goals; The conferees direct the Secretary of the (1) authorize the SLAM–ER budget request; minimum performance parameters; and Air Force to submit a report to the congres- (2) provide $25.0 million for JASSM in the interface requirements between JASSM and sional defense committees, by March 1, 1996, Air Force budget; and launch platforms. that outlines the Air Force’s current plans (3) require the Department to report on for retiring Peacekeeper, and maintaining plans for meeting near-term and long-term Mobile missile launch detection and tracking the system in the interim. The report should Air Force and Navy requirements for stand- off weapons systems. The conferees are aware of a proposal to also address the additional actions and fund- use specialized processing techniques on syn- ing that would be required to maintain the JOINT AIR-TO-SURFACE STAND-OFF MISSILE thetic aperture radar data to detect medium- option of retaining up to 50 Peacekeeper (JASSM) rage ballistic missiles shortly after launch. ICBMs in an operational status beyond 2003. In testimony before the Congress this year, The conferees urge the Air Force to consider The report should include a timetable that the Air Force and the Navy continued to sup- this promising concept and agree to author- outlines when such actions and funding port the requirement for a survivable, preci- ize the use of up to $1.0 million in funds would be needed. sion strike stand-off weapon. The DOD deci- made available in PE 28060F to demonstrate Weapon impact assessment system sion to cancel the TSSAM program exacer- the feasibility of this concept. bated an already significant shortfall in this The conferees are aware of innovative Rivet joint technology transfer program technologies that may significantly resolve capability. The conferees stress the urgent The Senate amendment recommended a the battlefield damage assessment problems need for the operational capability that $28.0 million increase to the theater missile related to tactical aviation. The conferees would be provided by the TSSAM, and expect defense program element (PE 28060F) to ini- support the priorities established in the fis- the Secretary of Defense to establish a joint tiate the migration of the Cobra Ball me- cal year 1996 Department of Defense Small program in the Air Force and the Navy for dium wave infrared acquisition technology Business Innovative Research Program solic- development of a TSSAM replacement, as for the Rivet Joint RC–135 tactical recon- itation (96.1) to expeditiously pursue weapon recommended in both the House report (H. naissance fleet. impact assessment technology. Accordingly, Rept. 104–131) and the Senate report (S. Rept. the conferees authorize $950,000, distributed 104–112). The House bill did not contain a similar equally between PE 64618N and PE 64618F, for The conferees are concerned about the ap- recommendation. a joint Navy-Air Force flight demonstration proach the services may pursue to fulfill the The Senate recedes. of a weapon impact assessment system that JASSM requirement. The conferees note The conferees encourage the Air Force to uses a video sensor-transmitter with preci- that there are a number of competing alter- move forward with this near term, cost effec- sion guided munitions. natives upon which the JASSM could be tive program. With the transfer of this ma- based. The conferees believe that JASSM Stand-off land attack missiles ture technology, the Rivet Joint fleet would could evolve from a existing, or planned in- offer early deployment and provide a signifi- The budget request contained $40.5 million terim weapons system. The conferees believe cant improvement to the Department of De- in PE 64603N for continued development of that, if the Department decides that a new fense’s capabilities in long range surveil- the stand-off land attack missile-enhanced weapon development is appropriate, the new lance, warning, rapid cueing for attack oper- response (SLAM–ER) as an interim replace- development program should be based on ations, and impact point prediction. To ment for the canceled tri-service stand-off technologies that have already been devel- achieve this goal, the conferees would con- attack missile (TSSAM) for the Navy. oped in the TSSAM program, or in other ex- sider a reprogramming in fiscal year 1996. The House bill would authorize the budget isting or planned stand-off weapons systems, The conferees understand that funds for the request for SLAM–ER. However, the House including technologies relating to low and completion of this technology migration are report (H. Rept. 104–131) would prohibit the very low observability/stealth. included in the Air Force future year defense Navy from obligating more than $10.0 million The conferees note that there are a number plans for this program. for the program without specific approval by of competing alternatives upon which the Information systems security the congressional defense committees. JASSM could be based, and want to ensure The House bill would also provide an addi- that due consideration is given to all com- The budget request included $11.3 million tional $37.5 million in PE 64312N for the Navy peting approaches. Therefore, the conferees in PE 33140F for the Air Force’s Information and an additional $37.5 million in PE 27160F direct the Department to consider the fol- Systems Security program. for the Air Force to establish a joint pro- lowing in conducting the JASSM program: The Senate amendment would authorize an gram for accelerated development and eval- (1) the results of the TSSAM development additional $1.5 million to complete research uation of candidate joint air-to-surface program, and the potential for using tech- and development of the Trusted RUBIX stand-off missile (JASSM) systems as a near- nology and components derived from that multi-level security database management term replacement for TSSAM. The House re- program; and (2) the results of programs for system. port would direct the Secretary of Defense to development of other stand-off weapons sys- The House bill would authorize the budget establish immediately such a program and tems, and the potential for using tech- request. would further direct the Secretary to report nologies derived from those programs. The The House recedes. to the congressional defense committees conferees direct the Secretary of Defense to Computer-assisted technology transfer within 60 days of the enactment of the Act include, in his report on precision guided on: munitions, information on the extent to The conferees agree to authorize $7.2 mil- (1) the Department’s plan to address near- which the Department may avail itself of lion in PE 78011F to continue the computer- term Navy and Air Force requirements for TSSAM-derivative components and tech- assisted technology transfer program. an interim TSSAM replacement; nology, as well as, components and tech- (2) the Department’s plans to satisfy these Overview nologies derived from other stand-off weap- near-term requirements; and The budget request for fiscal year 1996 con- ons programs, in meeting the JASSM re- (3) the long-term plan for development of a tained an authorization of $8,802.9 million for quirement. TSSAM replacement that will satisfy the re- Defense-Wide, Research and Development in quirements of both services. REQUIRED REPORT the Department of Defense. The House bill The Senate amendment would authorize The conferees direct the Secretary of De- would authorize $9,287.1 million. The Senate the budget request in PE 64603N for contin- fense to include in the report on the analysis amendment would authorize $9,271.2 million. ued development of SLAM–ER, and would required by the provision on precision guided The conferees recommended an authoriza- provide an additional $50.0 million for the munitions, the Department’s plan for meet- tion of $9,419.5 million. Unless noted Air Force in PE 27160F to initiate a JASSM ing near-term Navy and Air Force require- explicity in the statement of managers, all program, with the expectation that the De- ments for an interim TSSAM replacement changes are made without prejudice. H 604 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 605 H 606 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 607 H 608 CONGRESSIONAL RECORD — HOUSE January 22, 1996 University research initiative The House bill would reduce the budget re- to selecting a particular technical approach The budget request included $236.2 million quest by $25.0 million. The House bill would or acquisition strategy. in PE 61103D. authorize an additional $11.0 million for ac- Once the congressional defense committees The House bill would authorize an addi- celerated development of improved nuclear have received the report described above, the tional $20.0 million above the requested detection and forensic analysis capabilities. conferees would consider a reprogramming amount for the continuation of the Defense The Senate amendment would authorize an request to satisfy any outstanding fiscal Experimental Program to Stimulate Com- additional $3.0 million for software reuse ac- year 1996 funding requirements. The con- petitive Research (DEPSCoR). tivities and $30.0 million in procurement for ferees’ approval of such a request would de- The Senate amendment would apply a gen- the global broadcast service. pend largely on the content of the report eral reduction of $15.0 million to the re- The conferees agree to authorize $396.3 mil- submitted, the offsets identified, and the de- quested amount and would add $10.0 million lion in PE 62301E, to include: $11.0 million for gree to which the chosen GBS acquisition for the acceleration of research activities at nuclear monitoring and detection; $8.0 mil- strategy is funded in the Secretary of De- universities affecting combat readiness. The lion for global broadcast service; $7.5 million fense’s fiscal year 1997 budget request and Senate amendment would also authorize for software reuse; and a general reduction of Future Years Defense Program. $10.0 million within the authorized amount $29.6 million. Materials and electronics technology for the continuation of the DODDS Direc- Global broadcast service The budget request included $226.1 million tor’s fund for Science, Mathematics, and En- The budget request contained no funds for for material and electronics technology. gineering. The House bill would authorize an addi- global broadcast service (GBS). The conferees agree to an authorization of tional $3.0 million for chemical vapor deposi- $231.2 million in PE 61103D, of which $20.0 The Senate amendment would authorize tion (CVD) and $2.0 million for chemical million shall be for the continuation of the $30.0 million in weapons procurement, Navy, vapor composite (CVC) deposition. The bill DEPSCoR program and $10.0 million for the for a GBS pilot program. The Senate report would also provide an additional $5.0 million continuation of the DODDS Director’s fund (S. Rept. 104–112) endorsed insertion of this for higher transition temperature for Science, Mathematics and Engineering. technology into the military communica- superconducting (HTS) materials, $7.5 mil- The conferees also agree to authorize an ad- tions master plan and the Navy’s proposal to lion for seamless high off-chip connectivity ditional $10.0 million for the Combat Readi- use the ultra-high frequency follow-on (UFO) (SHOCC) and $10.0 million for non-woven ness Research program described on page 169 satellite system as a host for an interim GBS aramide fiber packaging. of the Senate report (104–112) and direct that capability. The Senate amendment would authorize an an institution awarded a contract, grant or Neither the House bill nor the House re- additional $8.0 million for CVD and $8.0 mil- agreement under the program be required to port (H. Rept. 104–131) addressed the subject. lion for HTS. contribute at least three times the amount The Senate recedes on the $30.0 million au- The conferees agree to authorize $242.0 mil- provided by the Federal government to exe- thorization in weapons procurement, Navy. lion in PE 62712E, an increase of $16.0 mil- cute the program. The conferees, however, agree to authorize lion. This increase provides $4.0 million each Chemical-biological defense program $8.0 million for fiscal year 1996 in PE 62301E for CVC deposition and CVD diamond mate- The budget request contained $383.5 mil- to support this effort. rial development and $8.0 million for HTS. lion for the Department of Defense chemical- The conferees endorse the Senate language The HTS authorization shall include HTS biological defense program, including $243.0 regarding the insertion of DBS/GBS tech- wire applications and precision band pass fil- million for research, development, test and nology into the communications master ters and high ‘‘Q’’ antennae for military evaluation and $140.5 million for procure- plan. The conferees, however, do not believe communication systems that operate in sig- ment of chemical and biological defense non- that the Department of Defense (DOD) has nal rich environments. medical and medical systems. adequately evaluated all alternatives and as- Counterterror technical support The House bill would authorize a $57.1 mil- sociated issues. The conferees support pro- The budget request included $12.0 million lion increase to the budget request for the ceeding swiftly with this program, but re- for the counterterror technical support pro- following chemical-biological defense re- quire additional information before endors- search and development programs: $4.6 mil- gram. ing any particular technical approach or ac- The House bill would authorize the budget lion for PE 61384BP; $23.5 million for PE quisition strategy. 62384BP; $12.6 million for PE 63384BP; $4.4 request. The conferees are aware of the time-sen- The Senate amendment would authorize an million for PE 63884BP; and $12.0 million for sitivity surrounding the Navy’s proposal to increase of $2.0 million to the budget request PE 64384BP. The House bill would also au- use UFO satellites 8, 9, and 10 as host plat- for the continued development of pulsed fast thorize a total of an additional $50.0 million forms, and that a protracted period of study neutron analysis (PFNA) cargo inspection in operations and maintenance funding for and review may preclude this option (insofar technology. chemical defense training and chemical med- as it is dependent on use of satellite 8, which The House recedes. ical defense training in the Army, Navy, Ma- is currently scheduled to be launched no Joint Department of Defense/Department of En- rine Corps, and Air Force. later than December 1997). The conferees are The Senate amendment would authorize ergy munitions technology development also aware that the Deputy Under Secretary the budget request. The budget request included $16.8 million The conferees agree to authorize an in- of Defense for Space has tentatively en- for the joint Department of Defense and De- crease to the budget request in the following dorsed the UFO approach as an interim partment of Energy munitions program. program elements: $4.6 million for PE bridge to an objective GBS system. The House bill would authorize $31.8 mil- 61384BP; $7.8 million for PE 62384BP; $10.0 Nonetheless, the conferees remain con- lion for the program, a $15.0 million increase million for PE 63384BP; and $1.6 million for cerned that no detailed analysis of options to the budget request for environmentally PE 63884BP. The increased authorizations and requirements has been presented to Con- compliant demilitarization and disposal of would augment and accelerate research and gress. Not wanting to prematurely endorse unserviceable, obsolete, or non-treaty com- development in medical and non-medical any particular GBS option nor preclude any pliant munitions, rocket motors, and explo- chemical and biological defense. Prior to ob- promising alternative, the conferees direct sives. ligation or expenditure of funds authorized the Under Secretary of Defense for Acquisi- The Senate amendment would authorize above the budget request, the conferees di- tion and Technology to submit a report to the budget request. rect the Department to report on the pro- the congressional defense committees that The conferees agree to a $5.0 million in- jected use of these funds. addresses the following issues regarding the crease to the budget request for joint DOD/ The conferees also agree to a $50.0 million development and deployment of interim and DOE munitions technology development (PE increase in the military services operations objective GBS capabilities: (1) the military 63225D). In addition, the conferees agree to and maintenance accounts for chemical de- requirement to be satisfied; (2) the cost, provide $15.0 million for explosives demili- fense training and chemical medical defense schedule, technical risk, and operational ef- tarization technology (PE 63104D), discussed training. The conferees direct the Depart- fectiveness of all hosted and free-flyer op- elsewhere in the report. ment to provide a report to Congress on the tions; (3) the issues involved with the use of Experimental evaluation of major innovative use of this increased funding in the Depart- competitive procedures or other than com- technologies (EEMIT) ment’s chemical defense training and chemi- petitive procedures; and (4) the role of GBS The budget request included $618.0 million cal medical defense training. Additionally, capabilities in the DOD’s future military sat- for Experimental Evaluation of Major Inno- the Department is directed to notify Con- ellite communications architecture and the vative Technologies (EEMIT). gress 15 days in advance of obligation or ex- Department’s strategy for acquiring and in- The House bill would authorize an addi- penditure of funds, and to provide a justifica- tegrating such capabilities. tional $55.8 million for several programs, to tion for the use of such funds in connection The conferees encourage early involvement include: global grid communications ($5.0 with the procurement of chemical-biological by the Commanders-in-Chief (CINCs) to en- million); safety and survivability ($2.0 mil- defense equipment. sure that GBS capabilities support a broad lion); synthetic theater of war ($6.8 million); Computing systems and communications tech- range of joint missions in the CINCs’ areas of cruise missile defense ($35.0 million); and nology responsibility. The conferees also believe antisubmarine warfare (ASW) ($7.0 million). The budget request included $403.9 million that the Under Secretary for Acquisition and The Senate amendment would authorize an for computing systems and communications Technology should conduct a broad survey of increase of $18.0 million for several pro- technology in PE 62301E. the capabilities and views of industry prior grams, to include: cruise missile defense January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 609 ($10.0 million); thermophotovoltaics ($5.0 The conferees agree to authorize an addi- Advanced sensor applications program million); and funding for a large millimeter tional $6.5 million in PE 63226E for comple- The budget request included $17.4 million wave telescope ($3.0 million). The Senate tion of the tactical landing system project in PE 63714D for the advanced sensor applica- would also authorize a general reduction of and an additional $7.0 million in PE 63226E tions program. $10.0 million to the EEMIT program element. for a high resolution, mobile multiple object The House bill would authorize an increase The conferees agree to authorize $613.7 mil- tracking system. of $10.0 million to the budget request, includ- lion in PE 63226E, the highest level of appro- Advanced submarine technology development ing $5.0 million for continued development of priation, and specifically identify the follow- The budget request included $7.5 million in a research prototype laser radar anti-sub- ing programs for authorization: cruise mis- PE 63569E for the Advanced Research marine warfare (LIDAR ASW) system con- sile defense ($10.0 million); large millimeter Projects Agency’s (ARPA’s) advanced sub- cept, which is being investigated by the Of- wave telescope ($3.0 million); safety and sur- marine technology program. fice of the Secretary of Defense advanced vivability ($2.0 million); ASW ($5.0 million); The House bill would authorize an addi- sensor applications program (OSD ASAP), deep ocean relocation ($2.5 million); and tional $23.0 million in PE 63569E. This in- and $5.0 million for continued development Crown Royal ($5.0 million). crease would permit ARPA to pursue innova- of the Navy ATD–111 LIDAR ASW system. Safety and survivability tive technologies that could improve the ca- The House bill would encourage comparative The House bill would authorize an addi- pability of Navy submarines to operate in testing of the two systems as a basis for es- tional $2.0 million in PE 65864N and an addi- littoral regions, develop and demonstrate tablishing the requirement for a follow-on tional $2.0 million in PE 63226E for safety new concepts for structural acoustics and system. and survivability enhancements. management of submarine signatures, and The Senate amendment would authorize an The Senate amendment contained no addi- enhance the multi-mission capabilities of additional $10.0 million for upgrade test and tional authorization for these purposes. Navy submarines. evaluation of the ATD–111 system, and would The conferees direct that of the funds au- The Senate amendment would authorize direct the Secretary of the Navy to prepare thorized in PE 64864N and PE 63226E, $2.0 the budget request. a plan for acquisition and deployment of the million each shall be used for safety and sur- The conferees agree to authorize $30.5 mil- ATD–111. vivability enhancements, as specified in the lion in PE 63569E, an increase of $23.0 mil- The conferees have agreed to provide $10.0 House report (H. Rept. 104–131). lion. Of the $23.0 million, $7.0 million shall million in PE 63528N for the Navy ATD–111 Shallow water anti-submarine warfare only be available to continue transfer of non-acoustic anti-submarine warfare pro- The budget request included $16.5 million technology to the Navy for active control of gram, as discussed elsewhere in this state- in PE 63226E for development and demonstra- machinery platforms demonstrated in ment of managers. The conferees strongly tion of advanced technologies for shallow ARPA’s Project M. support the comparative evaluation of the water anti-submarine warfare operations. Rapid acquisition of manufactured parts LIDAR ASW alternatives, and direct the De- The House bill would authorize an addi- The House bill would authorize an increase partment of the Navy and the OSD ASAP to tional $7.0 million to begin an assessment by of $12.0 million above the requested amount develop jointly a plan for testing these two ARPA and the Navy of the use of newly de- of $21.5 million in PE 63712N for the continu- alternative approaches to LIDAR ASW. The veloped and maturing multi-static acoustic, ation of the rapid acquisition of manufac- conferees expect that funds to complete the electromagnetic and electro-optic sensor tured parts (RAMP) program. evaluation will be included in the fiscal year technologies integrated into existing air- The Senate amendment would authorize an 1997 defense budget request. craft, ship, and submarine platforms in a increase of $12.0 million above the requested Industrial preparedness (manufacturing tech- combined system of sensors to provide the amount of $6.5 million in PE 63736D for the nology) programs joint amphibious operational commander an RAMP program. The budget request included $17.8 million integrated picture of the littoral maritime The House recedes. for the Army, $41.2 million for the Navy, environment. Advanced lithography program $53.3 million for the Air Force, and $7.0 mil- The Senate amendment contained no simi- The budget request included $39.0 million lion for the Defense Agencies to fund the lar provision. in PE 63739E for advanced lithography pro- manufacturing technology (MANTECH) pro- The Senate recedes with an amendment. grams. grams within these agencies. The conferees agree to authorize an addi- The House bill would authorize an addi- The House bill would include an additional tional $5.0 million to the budget request to tional $25.0 million in PE 63739E for advanced $10.0 million for the Army, an additional continue the development and demonstra- lithography programs. $10.0 million for the Navy, and approve the tion of advanced technologies for shallow The Senate amendment would authorize requested amount for the Air Force and the water anti-submarine warfare. the requested amount. Defense. The House bill would also transfer Synthetic theater of war The conferees agree to authorize $60.0 mil- funding from advanced development (6.3) The budget request included $79.1 million lion, an additional $21.0 million, in PE program elements to industrial preparedness in PE 63226E for the Advanced Distributed 63739E, for advanced lithography programs. (7.8) program elements. Simulation program. Advanced electronics technologies The Senate amendment would authorize The House bill would authorize an addi- The budget request included $420.0 million all the manufacturing technology programs tional $6.8 million to maintain the program for advanced electronics technologies in PE at the requested amounts and would transfer and schedule for the 1997 Synthetic Theater 63739E. the funding from the program elements in of War (STOW–97) advanced concept tech- The House bill would authorize an addi- the budget request. nology demonstration. tional $25.0 million for advanced lithography The conferees agree to authorize funding The Senate amendment would authorize and a reduction of $23.6 million in project for manufacturing technology programs, as the budget request. MT–07. follows: The House recedes. The conferees are im- The Senate amendment reduced the budget pressed by the results of the STOW–95 dem- Millions request by a cumulative $50.0 million for Army (PE 78045A) ...... $26.8 onstration and the potential to meet the three separate programs. Navy (PE 78011N) ...... 88.0 warfighting commanders’ requirements for The conferees agree to a funding level of Air Force (PE 78011F) ...... 60.9 development and integration of improved $409.0 million, which includes an additional Def. Ag. (PE 78011S) ...... 7.0 simulation technologies for training and $21.0 million for advanced lithography, $7.5 Integrated bridge system for MK V special oper- mission rehearsal. The conferees recognize million for seamless high off-chip ations craft that the STOW program could prove to be connectivity, and full funding for project the foundation for the future Joint Simula- MT–08. The conferees consider the work of The budget request included $13.3 million tions System for all the military services. the Center for Advanced Technologies to be in PE 1160402BB for special operations ad- The conferees strongly encourage the Sec- worthy of continuation. The conferees note vanced technology development. retary of Defense to maintain funding levels that the Department of Defense may, at its The House bill would authorize an addi- necessary to sustain the objectives and discretion, use funds authorized in PE 61101E tional $1.5 million for development of a pro- schedule of the STOW–97 advanced concept to continue the program at the requested totype maritime integrated bridge system technology demonstration. level. for the MK V special operations craft to demonstrate the potential for advanced dis- Tactical technology Joint robotics program play and control technologies to enhance The budget request included $113.2 million The budget request included $17.4 million mission performance. for this tactical technology program. for the joint robotics program. The Senate amendment would authorize The House bill would authorize an addi- The House bill would authorize an addi- the budget request. tional $7.0 million for the tactical landing tional $10.0 million for the mobile detection The Senate recedes. system project and an additional $7.0 million assessment response system (MDARS). for a high resolution, mobile multiple object The Senate amendment contained no simi- Quiet Knight advanced concept and technology tracking system project. lar provision. demonstration The Senate amendment would authorize an The conferees agree to an increased fund- The budget request included $101.6 million additional $6.5 million for the tactical land- ing authorization of $5.0 million for MDARS in PE 1160404BB for Special Operations tac- ing system project. in PE 63709D. tical systems development, to include $3.5 H 610 CONGRESSIONAL RECORD — HOUSE January 22, 1996 million allocated by the U.S. Special Oper- The House bill would authorize an addi- tion in the procurement account for special ations Command to continue the Quiet tional $4.0 million to complete evaluation of warfare equipment to offset the increase. Knight advanced avionics technology dem- the ASDS employed on the SSN–688 class The House recedes. The conferees under- onstration. submarine. stand that the $4.3 million increase in PE The House bill would authorize the budget The Senate amendment contained a simi- 1160404BB for this purpose will support the request. The House report (H. Rept. 104–131) lar provision. competitive procurement of three to four expressed strong support for a Phase I (com- The conferees are pleased with the joint ef- prototype RHIBs for developmental testing ponent development and demonstration) of forts of the U.S. Special Operations Com- and early operational assessment. The re- an advanced concept technology demonstra- mand and the Navy in the development of maining $5.8 million authorized for procure- tion of Quiet Knight for both fixed and ro- ASDS. The conferees agree to increase the ment of special warfare RHIBs will be used tary wing aircraft, and the continuation to a budget request by $4.0 million to complete to procure approximately 30 interim 24-foot Phase II full scale demonstration and flight evaluation of the ASDS. RHIBs to alleviate deficiencies caused by the test of the integrated Quiet Knight capabil- Rigid hull inflatable boat estimated three-year delay in initial oper- ity. The House report also expressed the ex- ation capability for the new RHIBs. pectation that funding requirements for The budget request contained $11.7 million completion of the Phase II demonstration for procurement of special warfare equip- Ballistic missile defense funding and pro- would be included in the fiscal year 1997 ment, including $10.1 million for procure- grammatic guidance budget request. ment of the Naval Special Warfare 10 meter The budget request contained $2,912.9 mil- The Senate amendment would authorize Rigid Hull Inflatable Boat (RHIB). lion for the Ballistic Missile Defense Organi- the budget request. The House bill would authorize the budget zation (BMDO), including $2,442.2 million for The conferees support completion of the request. Research, Development, Test, and Evalua- Quiet Knight technology demonstration, and The Senate amendment noted that the tion (RDT&E), $453.7 million for Procure- encourage the Department of Defense to U.S. Special Operations Command had re- ment, and $17.0 million for Military Con- validate the requirements for advanced low ported that the 10 meter RHIB, on which ini- struction. probability of intercept/low probability of tial developmental effort had been focused, The House bill would authorize an addi- detection avionics for special operations air- performed unsatisfactorily during oper- tional $628.0 million for BMDO. craft. ational testing. As a result, a new strategy The Senate amendment would authorize an Advanced SEAL delivery system was adopted for development of a RHIB to additional $490.5 million for BMDO. The budget request included $24.6 million meet Special Operations Forces’ require- The conferees agree to authorize a total of in PE 1160404BB to complete fabrication and ments. The Senate amendment would au- $3,516.9 million for BMDO, an increase of integration of the first Advanced SEAL De- thorize an increase of $4.3 million in PE $603.9 million above the budget request. The livery System (ASDS) and begin system 1160404BB to support this developmental ef- conferees set forth specific funding alloca- level testing. fort and would direct a corresponding reduc- tions and programmatic guidance below. BMDO FUNDING ALLOCATION [In thousands of dollars]

Budget House Senate Conference Conference Program Request Change Change Change Outcome

Support Tech ...... 93,308 ...... 93,308 Support Tech ...... 79,387 ...... +70,000 +50,000 129,387 THAAD Dem/Val ...... 576,327 ...... 576,327 Hawk ...... 23,188 ...... 23,188 BM/C3 Dem/Val ...... 24,231 ...... 24,231 Navy LT Dem/Val ...... +185,000 185,000 Navy UT Dem/Val ...... 30,442 +170,000 +170,000 +170,000 200,442 Corps SAM ...... 30,442 ¥10,000 +4,558 ¥10,000 20,442 BPI ...... 49,061 ¥20,000 ¥49,061 ¥49,061 ...... NMD ...... 370,621 +450,000 +300,000 +450,000 820,621 Other TMD ...... 460,470 ¥37,000 +15,000 ¥22,000 438,470 THAAD EMD ...... +50,000 ...... BM/C3 EMD ...... 14,301 ...... 14,301 PAC-3 EMD ...... 247,921 ...... +104,500 +104,500 352,421 PAC-3 EMD/RR ...... 19,485 ...... 19,485 Navy LT EMD ...... 237,473 +45,000 +45,000 ¥140,000 97,473 Management ...... 185,542 ¥20,000 ¥30,000 ¥30,000 155,542 Patriot Proc ...... 399,463 ...... ¥104,500 ¥104,500 294,963 Navy LT Proc ...... 16,897 ...... 16,897 Hawk Proc ...... 5,106 ...... 5,106 BM/C3 Proc ...... 32,242 ...... 32,242 BMDO Milcon ...... 17,009 ...... 17,009

Theater High Altitude Area Defense lease the THAAD engineering and manufac- ings and recommendations (as available) of (THAAD)—The conferees agree to authorize turing development (EMD) request for pro- these analyses. The Director of BMDO should the budget request of $576.3 million in PE posal. Finally, the conferees direct the Sec- include in such report an assessment of op- 63861C for THAAD Demonstration/Validation retary of Defense to promptly initiate devel- tions for reducing risk and enhancing com- (Dem/Val). opment of all battle management software petition in the Navy Upper Tier program, in- The conferees endorse the language in the for the THADD system, including that nec- cluding the option of establishing a competi- House report (H. Rept. 104–131) and the Sen- essary to receive cuing information from ex- tive development and flight test program be- ate report (S. Rept. 104–112) regarding the ternal sensors. tween the Lightweight Exoatomospheric THAAD User Operational Evaluation System Navy Upper Tier—The budget request in- Projectile (LEAP) and THAAD kill vehicles. (UOES) option, and the need to ensure a cluded $30.4 million in PE 63868C for the The conferees believe that competition smooth and timely transition from the Dem/ Navy Upper Tier program. within the Navy Upper Tier program is desir- Val phase to the Engineering and Manufac- The conferees agree to authorize an in- able, but do not support the notion of com- turing Development (EMD) phase. The con- crease of $170.0 million for a total Navy petition between the Navy Upper Tier and ferees direct the Secretary of Defense to re- Upper Tier authorization of $200.4 million. THAAD programs. The conferees are con- structure the THAAD program so as to The conferees direct the Secretary of De- vinced that the United States can and should achieve a First Unit Equipped (FUE) by fis- fense to include the Navy Upper Tier pro- develop and deploy both sea-based and land- cal year 2000. The conferees believe that this gram in the core theater missile defense based upper tier programs. Although there objective can be facilitated by making only (TMD) program and to structure the Navy minor modifications to the UOES design and Upper Tier development and acquisition pro- may be an opportunity to reduce the number beginning Low-Rate Initial Production as gram so as to achieve an initial operational of TMD programs being developed by the De- soon as the EMD missiles have been ade- capability (IOC) not later than fiscal year partment of Defense, the conferees strongly quately tested. Subsequent performance im- 2001, with a UOES capability not later than oppose the notion of a competition and provements to the initial system configura- fiscal year 1999. The conferees look forward down-select between the THAAD and Navy tion should be incorporated through block to receiving the results of the various stud- Upper Tier systems. The conferees view upgrades, as appropriate and necessary. The ies that are assessing Navy Upper Tier tech- these as critical and complementary sys- conferees note that this approach would re- nical issues and deployment options. The tems. duce overall THAAD development costs conferees agree to require the Director of Patriot—The budget request included $247.9 while significantly accelerating fielding of BMDO to provide a status report to the con- in PE 64865C for PAC–3 EMD, $19.5 million in an operational system. Therefore, the con- gressional defense committees, not later PE 64866C for PAC–3 risk reduction, and ferees urge the Secretary of Defense to re- than March 1, 1996, that summarizes the find- $399.5 million for Patriot procurement. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 611 The conferees agree to authorize the over- to submit a report to the congressional de- BMDO is required to set aside 2.15 percent all amount requested for the Patriot pro- fense committees, not later than February 1, of extramural research, development, test, gram and related activities. Within this 1996, that summarizes the findings and rec- and evaluation authorized and appropriated overall authorization, the conferees agree to ommendations of the Department’s BPI (RDT&E) funds for Small Business Innova- transfer $104.5 million from Patriot procure- study. This report should also address prom- tive Research (SBIR) efforts. Since the con- ment to PAC–3 EMD, a total authorization of ising options and technical approaches asso- ferees recommend a level of funding for BMD $352.4 million in PE 64865C. ciated with a UAV BPI program. programs exceeding the budget request, and Navy Lower Tier—The budget request in- Other TMD—The budget request contained programmed funding for SBIR represents a cluded $237.5 million in PE 64867C for Navy $460.5 million in PE 63872C for OTMD pro- level below the mandated percentage, the Di- Lower Tier EMD and $16.9 million for Navy grams, projects, and activities. rector of BMDO is authorized to transfer Lower Tier procurement. The House bill would authorize $423.5 mil- such funds as necessary from BMD program The conferees agree to authorize an in- lion for OTMD. elements into PE 62173C to achieve the re- crease of $45.0 million for Navy Lower Tier The Senate amendment would authorize quired percentage for SBIR. Dem/Val and to transfer $140.0 million from $475.5 million, including the $15.0 million for BMDO Management—The budget request Navy Lower Tier EMD to Navy Lower Tier the UAV–BPI program cited above. contained $185.5 million in PE 65218C for Dem/Val, a total of $185.0 million in PE The conferees agree to authorize $438.5 mil- BMD Management. 63867C. lion for OTMD. Of this amount, the conferees The House bill would authorize $165.5 mil- Corps SAM—The budget request included authorize the use of up to $15.0 million to ex- lion for BMDO Management. $30.4 million in PE 63869C for the Corps Sur- plore a UAV–BPI program and up to $30.0 The Senate amendment would authorize face to Air Missile (Corps SAM) system. million to continue the AIT advanced kill $155.5 million for BMDO Management. The conferees agree to authorize $20.4 mil- vehicle program. The conferees agree to authorize $155.5 mil- lion for Corps SAM, a reduction of $10.0 mil- National Missile Defense—The budget re- lion for BMDO Management. The conferees lion. Although the conferees support the quest contained $370.6 million in PE 63871C recognize that BMDO must maintain the in- Corps SAM requirement, they remain con- for National Missile Defense (NMD). tegrity of its oversight of the overall BMD cerned by several aspects of the current The House bill would authorize $820.6 mil- program. The conferees are concerned, how- Corps SAM program, now known as the me- lion for NMD. ever, that BMD management infrastructure The Senate amendment would authorize dium extended air defense system (MEADS). may be unnecessarily duplicated in one or $670.6 million for NMD. more of the services. Therefore, the con- The conferees support an effort to explore al- The conferees agree to authorize $820.6 mil- ternative means to satisfy the Corps SAM re- lion for NMD. ferees direct that BMDO identify any such quirement. Given the investments that have Support Technologies—The budget request duplication and take actions to eliminate it. already been made in developing systems contained $93.3 million in PE 62173C and $79.4 The conferees request that the Director of such as PAC–3 and THAAD, reintegration of million in PE 63173C for ballistic missile de- BMDO consult with the Senate Committee existing systems and technologies may offer fense (BMD) support technologies. on Armed Services and the House Committee an achievable, cost-effective, and expeditious The House bill would authorize the budget on National Security regarding the Direc- alternative. The conferees direct the Sec- request for BMD Support Technologies. tor’s findings and proposed actions. The con- retary of Defense to submit a report to the The Senate amendment would authorize an ferees further direct that BMDO show no in- congressional defense committees on the op- increase of $70.0 million in PE 63173C for the crease in fiscal year 1997, after adjustments tions associated with the use of existing sys- Space-Based Laser (SBL) program. for inflation and any change in mission, over tems, technologies, and program manage- The conferees agree to authorize the budg- the level appropriated for management in ment mechanisms to satisfy the Corps SAM et request in PE 62173C and to authorize an fiscal year 1996. requirement, including an assessment of cost increase in the SBL program of $50.0 million, Cruise missile defense funding and schedule implications. The conferees di- for a total authorization of $129.4 million in The House bill would authorize an increase rect that, of the funds authorized in fiscal PE 63173C. The conferees believe that it is of $76.0 million above the budget request for year 1996 for the Corps SAM program, not critical for the United States to continue de- cruise missile defense programs, projects, more than $15.0 million may be obligated veloping the technology for space-based de- and activities. until such report has been submitted to the fenses, to preserve the option of deploying The Senate amendment would authorize an congressional defense committees. highly effective global defenses in the future. increase of $145.0 million above the budget Boost-Phase Intercept—The budget request The conferees note that a space-based laser request for a similar group of programs, included $49.1 million in PE 63870C for the ki- would likely be the most effective system for projects, and activities. netic energy Boost-Phase Intercept (BPI) intercepting ballistic missiles of virtually all The conferees agree to authorize an in- program. ranges in the boost phase. Therefore, the crease of $85.0 million above the budget re- The House bill would authorize $29.1 mil- conferees direct the Secretary of Defense to quest for cruise missile defense programs, lion for the kinetic BPI program. take the following actions: (1) continue inte- projects, and activities. The conferees pro- The Senate amendment would authorize no gration and testing of the laser, mirror, and vide additional guidance in the classified funds for the kinetic BPI program in PE beam control components of the Alpha-Lamp annex. 63870C. However, the Senate amendment Integration program; (2) accelerate design ITEMS OF SPECIAL INTEREST would authorize $15.0 million in the Other activities on the StarLITE space demonstra- Anti-submarine warfare program TMD (OTMD) program element (PE 63872C) tion configuration; (3) produce the concept of to initiate a joint United States-Israel BPI operations and design requirements for a fol- The conferees share the concerns raised in program based on unmanned aerial vehicles low-on operational space-based laser deploy- the House report (H. Rept. 104–131), and in (UAVs). ment; and (4) revitalize the technology de- the classified annex to that report, regarding The conferees agree to authorize no funds velopment efforts most likely to yield sig- the apparent decline in priority of the for the kinetic BPI program due to continu- nificant cost and weight savings for a future Navy’s anti-submarine warfare (ASW) pro- ing skepticism about the operational and SBL spacecraft. The conferees direct the gram. The conferees agree that there is a technical effectiveness of a BPI system based Secretary of Defense to ensure that suffi- need for an assessment of the nation’s over- on a manned tactical aircraft. However, the cient funds are provided in the outyears for all ASW program. The conferees’ concerns conferees agree to authorize the use of up to continuation of a robust SBL effort, and sub- are addressed further in the classified annex $15.0 million, from within funds made avail- mit to the congressional defense commit- to this Statement of Managers. able in the OTMD program element, for a tees, by March 1, 1996, a report that outlines The conferees direct the Secretary of De- UAV-based BPI program. The conferees sup- a program and funding profile that could fense to assess the current and projected port a joint U.S.-Israel UAV–BPI program fo- lead to an on-orbit test of a demonstration United States ASW capability in light of the cused on risk mitigation, provided that an system by the end of 1999 if approved. continuing development of quieter nuclear equitable cost-sharing arrangement can be The conferees note that the Director, submarines, the proliferation of very capable reached and that the program will be struc- BMDO, has testified to Congress that diesel submarines, the sale of sophisticated, tured to satisfy the BPI requirements of BMDO’s follow-on technology programs are submarine launched weapons, and the declin- both sides. The conferees also support con- severely under-funded and that the Director ing trend in budget resources associated with tinuation of the Atmospheric Interceptor is seeking to increase such funding to ap- ASW programs. This assessment should iden- Technology (AIT) program, which is being proximately 12 percent of the overall BMDO tify both short-term and long-term improve- developed as an advanced multi-purpose kill budget. The conferees support the efforts of ments that are needed to cope with the vehicle. The conferees authorize the use of the Director of BMDO to increase funding for evolving submarine threat in both littoral up to $30.0 million, from within funds made advanced technology development. However, and open ocean areas. The results of this as- available in the OTMD program element, to the conferees note that such increases will sessment and the plan for the United States continue the AIT program. The conferees are require an overall increase in the funds allo- ASW program shall be reported to the con- disappointed that the Department has not cated to BMDO. The conferees support such gressional defense committees by July 1, completed its review of BPI programs and an increase in order to reinvigorate and ad- 1996. options in time to inform the conferees’ de- vanced technology programs and to help sus- Geosat follow-on program liberations and decisions. Therefore, the con- tain the development and acquisition activi- The House report (H. Rept. 104–131) ad- ferees agree to require the Director of BMDO ties endorsed by the conferees. dressed the issue of converging the Navy’s H 612 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Geosat Follow-On (GFO) altimetry program architecture machine tool controller. The ture that will result from such consolida- with the National Aeronautics and Space Ad- conferees encourage the Secretary of Defense tion; and (e) the degree to which effective- ministration’s TOPEX/Poseidon Follow-On to develop a plan to ensure a thorough eval- ness and efficiency will be enhanced by the (TPFO) altimetry program. uation of the technology and its application new structure and associated procedures. The Senate report (S. Rept. 104–112) did not to the specific needs of defense contractors. The conferees are aware that the Depart- address the issue. National security space policy, management, ment has established a Space Architect Of- The conferees share the concerns raised in and oversight fice as part of the space management reorga- the House report. The conferees are dis- The House report (H. Rept. 104–131) and the nization. Given that this is a new function mayed that the report to Congress on altim- Senate report (S. Rept. 104–112) each con- and organization, budget planning was not etry convergence was submitted more than tained reporting requirements concerning completed prior to submittal of the amended three months later than an already extended policy, management, and oversight of U.S. fiscal year 1996 budget request. Therefore, deadline. The conferees are also troubled national security space programs. In lieu of the conferees agree to authorize the use of that the report recommends proceeding with the reporting requirements contained in up to $10.0 million in Air Force research, de- the TPFO option, despite the fact that this those reports, the conferees direct the Sec- velopment, test, and evaluation funds to op- approach would cost more, not involve U.S. retary of Defense to submit a report to the erate the Space Architect Office in fiscal construction and control of the satellite, and Congress, not later than April 15, 1996, that year 1996. not provide the same level of data security. addresses in detail the following matters: Shortstop The TPFO option would require the Navy to (1) The results of the Administration’s reviews The conferees stress the need to move for- spend an additional $5.2 million, for which it of U.S. national and military space policies— ward without delay on the Shortstop coun- has not budgeted, to add global positioning The conferees direct that copies of any up- termeasure system, and encourage the Sec- system (GPS) and direct downlink capabili- dated policy directives (including unclassi- retary of the Army to maintain funding for ties critical for satisfying Navy require- fied and classified forms) that result from the currently planned program leading to ments. The conferees direct that no funds the reviews be included as attachments to procurement. authorized for the Department of Defense be the Secretary’s report. The conferees view Softwar operations obligated or expended during fiscal year 1996 the Administration’s decision to initiate for activities associated with adding GPS such reviews as appropriate in light of The conferees direct the Air Force’s Phil- and direct downlink capabilities to TPFO. changes in the international security envi- lips Laboratory Combat Space Operations High performance computing modernization pro- ronment, and expect the reviews will be com- Program Office to examine the use of com- gram pleted in time to permit Departmental wit- mercially developed Information Warfare Systems that use television enhanced situa- In addition to supporting efforts to reduce nesses to discuss the results in hearings on tional awareness for ‘‘softwar’’ operations. the RDT&E infrastructure, the conferees the President’s fiscal year 1997 budget re- The Secretary of the Air Force shall report continue to support investment in high per- quest. to the congressional defense committees by formance computing (HPC) resources for use (2) The activities of the Joint Department of January 1, 1996 on the results of the Phillips in the developmental test and evaluation Defense Intelligence Community Space Manage- Laboratory examination and the possibility (DT&E) community and recognize the need ment Board (JSMB)—The report shall include to fund a technology demonstration in for a transition to HPC-based resources, in- a copy of the charter for the Board and a de- ‘‘softwar’’ operations. The conferees direct tegrated DT&E, and operational test and scription of its planned functions, oper- the Secretary to pursue this technology if evaluation (OT&E). The conferees direct the ations, and staffing. The report shall address the examination results in a favorable rec- Secretary of Defense to prepare a long-term the responsibilities for the development of ommendation. plan for modernization of HPC resources at an integrated national security space archi- test and evaluation centers, and for the inte- tecture and the integrated acquisition of na- LEGISLATIVE PROVISIONS gration of HPC-based models, advanced data tional security space systems. In addition, LEGISLATIVE PROVISIONS ADOPTED bases, and other decision support resources the report shall describe the Board’s plans Subtitle A—Authorization of Appropriations into the RDT&E infrastructure. In preparing for reviewing military and intelligence sat- Modifications to strategic environmental re- the plan, the Secretary should rely on the ellite communications architectures and sys- search and development program (sec. 203) collaborative input from the Director of De- tems. The conferees endorse the establish- The House bill contained a provision (sec. fense Research and Engineering, the Director ment of the JSMB, noting that improved in- 203) that would make certain modifications of Test Systems Engineering and Evaluation, tegration of military and intelligence sat- to chapter 172 of title 10, United States Code, and the Director of Operational Test and ellite architectures and systems can result which governs the Strategic Environmental Evaluation. The plan shall address budgeting in significant cost-savings and efficiencies in Research and Development Program. options that provide for a realistic program the acquisition and operation of those sys- Senate amendment contained no similar and propose financing methods that can in- tems. provision. sure that needed infrastructure investments (3) The status of and plans for completing a The Senate recedes with an amendment are made in a timely manner. The conferees national security space master plan to guide in- that would streamline and simplify program direct the Secretary to submit the proposed vestments in military and intelligence space ar- activities, facilitate program management, plan with the Department of Defense budget chitectures and systems for the coming decade— and promote cost effectiveness. The existing recommendations to the congressional de- The conferees note with concern that the De- annual reporting requirement would con- fense committees, no later than March 31, partment failed in a similar, but more nar- tinue until fiscal year 1997, at which point an 1996. rowly focused, undertaking when, in the abbreviated annual reporting requirement Low-low frequency acoustics Statement of Managers to accompany the National Defense Authorization Act for Fis- would become effective. The Senate amend- The conferees share the understanding ex- cal Year 1993 (H. Rept. 102–966), the conferees ment would ensure that the level of partici- pressed in the House report (H. Rept. 104–131) directed the Department to develop ‘‘a com- pation by the Secretary of Energy would not that of the funds authorized and appro- prehensive acquisition strategy for develop- be subject to change. The conferees agree priated in fiscal year 1994 and 1995 for the ing, fielding, and operating DOD space pro- that there is a continuing need for Depart- low-low frequency acoustics (LLFA) tech- grams.’’ Nonetheless, the conferees applaud ment of Energy participation in the pro- nology program approximately $30.0 million the decision of the Deputy Under Secretary gram, and the retention of some reporting remain available and are sufficient to con- of Defense for Space to begin drafting such a requirements. tinue the program through fiscal year 1996. master plan, and request that the report in- Defense dual-use technology initiative (sec. 204) The conferees further understand that the clude an estimated completion date for the The House bill would deny the entire fund- fiscal year 1996 program will focus on oper- plan. ing request of $500.0 million for the Defense ational concepts for the LLFA, technical (4) The Department’s plans for ensuring that, Reinvestment Program (PE 63570E). performance, command and control, environ- even as oversight of national security space ac- The Senate amendment would rename the mental considerations, and the transition of quisition and planning is centralized, each of program the Defense Dual-Use Technology the LLFA technology to existing fleet plat- the military services is able to influence deci- Initiative and reduce the requested author- forms. The conferees agree with the House sions regarding space architectures and sys- ization for the program by $262.0 million. that based on the emerging results of the fis- tems—The conferees direct that the report in- The conferees agree to change the name of cal year 1996 program consideration of addi- clude: (a) an assessment of progress to date the program and to authorize $195.0 million tional funding for LLFA technology pro- in centralizing DOD space management; (b) for the program. The conferees have included gram, should be deferred until the fiscal year the organizational structure that will be a provision that would limit the availability 1997 budget request. achieved upon completion of the planned of the funds authorized in PE 63570E only for Machine tool controller consolidation, and an estimated completion the purpose of continuation or completion of The conferees are aware of a recent cooper- date for such consolidation; (c) a description projects initiated before October 1, 1995. The ative research and development agreement, of how the DOD plans to protect service- conferees have also included language that entered into by the Department of Energy, unique interests and other equities in the would require the Secretary of Defense, prior two national laboratories, and a private sec- new centralized organization; (d) the antici- to obligation of funds, to provide the con- tor consortium, to develop and test an open- pated reductions in personnel and infrastruc- gressional defense committees with notice January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 613 regarding the projects to be funded with (2) evaluate at least two propulsion con- The House bill contained no similar $145.0 million of the amount authorized for cepts from competing engine companies as provision. the program. The conferees have also re- part of those demonstrations. The House recedes with an amendment quired that, for the remaining $50.0 million Subsequent to passage of the Senate that would establish fiscal years 1996 of the total amount authorized, the Sec- amendment and the House bill, the Depart- through 1999 as the period for exercise of the retary should certify, prior to obligation of ment redefined the JAST program. Although responsibility. funds, that the projects that would be car- additional resources will be necessary, from The conferees note that section 216(b) of ried out using such funds have been deter- fiscal year 1997 onward, to execute this new the National Defense Authorization Act for mined by the Joint Requirements Oversight program, these changes have led to fiscal Fiscal Years 1992 and 1993 (Public Law 102– Council to be of significant military prior- year 1996 deferral of $131.0 million. 190) provides that the Secretary of Defense ity. The conferees share the concerns expressed may waive this assignment of responsibility Subtitle B—Program Requirements, in the Senate report (S. Rept. 104–112) re- if he annually certifies the adequacy of: Restrictions, and Limitations garding the lack of engine competition and (1) the mine countermeasures master plan prepared by the Department of the Navy; and Space launch modernization (sec. 211) the size of flying prototypes. The conferees direct the Under Secretary of Defense (Ac- (2) the budget resources provided for imple- The House bill contained a provision (sec. quisition & Technology) (USD (A&T)) to en- mentation of the plan. 211) that would authorize $100.0 million for a sure that: (1) the Department’s JAST pro- Space-Based Infrared System (sec. 216) competitive reusable rocket technology pro- gram plan provides for adequate engine com- gram, and $7.5 million for evaluation of pro- The Senate amendment contained a provi- petition in the program; and (2) the scale of totype hardware of low-cost expendable sion (sec. 214) that would accelerate develop- the proposed demonstrator aircraft is con- launch vehicles. ment and deployment of the Space and Mis- The Senate amendment contained no simi- sistent with both adequately demonstrating sile Tracking System (SMTS), formerly lar provision. JAST concepts and lowering the risk of en- known as Brilliant Eyes, and that would re- The Senate recedes with an amendment tering engineering and manufacturing devel- quire the Secretary of the Air Force to ob- that would authorize $50.0 million for a com- opment (EMD). The conferees direct the Sec- tain the concurrence of the Director of the petitive reusable rocket technology pro- retary of Defense to include in the report re- Ballistic Missile Defense Organization gram, provided that the National Aero- quired by section 213(d) the Department’s (BMDO) before implementing any decision nautics and Space Administration allocates plan for competitive engine programs and that would impact the SMTS program. at least an equal amount for its reusable demonstrator aircraft. The House bill contained no similar provi- space launch program. The conferees recommend authorization of sion. funds reflecting these changes, and agree to The House recedes with an amendment Tactical manned reconnaissance (sec. 212) a provision (sec. 213) that would: that would require the Secretary of Defense The House bill contained a provision (sec. (1) require that the Secretary of Defense to establish a program baseline for the over- 213) that would prohibit the Air Force from provide a report to the congressional defense all Space-Based Infrared System (SBIRS) conducting any research and development on committees specifying the: program. The baseline would include the fol- tactical manned reconnaissance systems. (a) the numbers and capabilities of JAST- lowing: The Senate amendment contained no simi- derivative aircraft and related weapons sys- (1) overall program structure, including: lar provision. tems required to support two major regional (A) program cost and an estimate of the The Senate recedes with an amendment contingencies; and funds required in each fiscal year in which that would require a report explaining the (b) the department’s plan for competitive development and acquisition activities are Air Force’s planned uses of funds for the tac- engine programs and demonstrator aircraft; planned, (B) a comprehensive schedule with tical manned reconnaissance mission. (2) limit obligations for the JAST program program milestones and exit criteria, and (C) Joint advanced strike technology (JAST) pro- to no more than 75 per cent of fiscal year 1996 optimized performance parameters for each gram (sec. 213) appropriations, until the Secretary of De- segment of the integrated system; The budget request included three requests fense provides this report; (2) a development schedule for SMTS for research and development funding for the (3) authorize up to $25.0 million from Navy structured to achieve the first launch of a joint advanced strike technology (JAST) Research, Development, Test and Evaluation Block I satellite in fiscal year 2002, and ini- program: $149.3 million for the Navy, $151.2 to conduct a six month program definition tial operational capability (IOC) of the sys- million for the Air Force, and $30.7 million phase for the A/F–117X to determine whether tem in fiscal year 2003; for the Advanced Research Projects Agency. such an aircraft could affordably meet the (3) full integration of SMTS into the over- The House bill contained a provision (sec. Navy’s next generation aircraft strike re- all SBIRS architecture; and 216) that would reduce the request for JAST quirements; (4) establishment of the performance pa- by $51.0 million, evenly divided between the (a) if the USD (A&T) determines that a six rameters of all space segment components so Navy and the Air Force, and limit to 75 per- month definition phase is warranted, he as to optimize the performance of the inte- cent the obligation of fiscal year 1996 appro- shall provide a report on the results of the grated system while minimizing unnecessary priations until the Secretary of Defense pro- concept definition phase to the congressional redundancy and cost. vides a report to the congressional defense defense committees, not later than May 1, The provision adopted by the conferees committees. The provision would require 1996; would require the Secretary of Defense to that the Secretary’s report specify the num- (b) if the USD (A&T) determines otherwise provide a report to the congressional defense bers and capabilities of JAST-derivative air- and certifies that an A/F–117X aircraft is not committees on the SBIRS program baseline craft and related weapons systems necessary needed to meet the Navy requirements and is not later than 60 days after the enactment of to support two major regional contingencies. not a cost effective approach to meeting this Act. The Senate amendment would approve the Navy needs, the provision would allow the The conference provision would also estab- JAST request. The Senate amendment also Department to use the $25.0 million for other lish the following program elements for the contained a provision (sec. 211) that would JAST activities. SBIRS program: require the Navy to evaluate a variant of the (4) authorize $7.0 million for competitive (1) Space Segment High; F–117 stealth fighter to fulfill Navy require- engine concepts. (2) Space Segment Low (SMTS); and ments within the JAST program. The Senate Continous wave, superconducting radio fre- (3) Ground Segment. amendment would add $175.0 million to the The conference provision requires the quency, free electron laser (sec. 214) Navy program for this propose, with $25.0 SBIRS baseline to include an SMTS IOC by million to provide initial engineering analy- The House bill contained a provision (sec. fiscal year 2003 to support national and thea- sis and specific risk reduction efforts, and 217) that would authorize $9.0 million in PE ter missile defenses. The conferees under- $150.0 million to develop a flying prototype. 62111N for the establishment of a continuous stand that the Air Force has defined this IOC Authorization of a flying prototype would be wave, superconducting radio frequency, free as consisting of 12–18 satellites. The con- contingent on approval by the Secretary of electron laser program within the Office of ferees urge the Air Force to make every ef- the Navy’s approval of results of initial ana- the Secretary of the Navy. fort to achieve an 18 satellite IOC by fiscal The Senate amendment contained no simi- lytical efforts. year 2003. The Senate report (S. Rept. 104–112) ques- lar provision. In accelerating the SMTS program, it is The Senate recedes. tioned whether the program could fulfill the not the conferees’ intent to reduce the prior- needs of the three services, and directed the Navy mine countermeasure program (sec. 215) ity and importance of the SBIRS High com- Department to include two separate ap- The Senate amendment contained a provi- ponents. The conferees endorse the schedule proaches in the JAST program to reduce pro- sion (sec. 212) that would transfer primary that the Air Force has established for the gram risk. The Senate amendment directed responsibility for developing and testing SBIRS High components. The SBIRS pro- the Secretary of the Navy to: naval mine countermeasures from the Direc- gram should feature complementary and mu- (1) ensure that the JAST program leads to tor, Defense Research and Engineering to the tually supportive elements that do not in- competitive demonstration involving tests of Under Secretary of Defense for Acquisition clude excessive technical and functional re- full scale, full thrust aircraft by competitors and Technology. It would provide for the ex- dundancy. to provide test data for evaluation by the ercise of this responsibility during fiscal Although SMTS can, over time, become a services; and years 1997 through 1999. multi-functional sensor system capable of H 614 CONGRESSIONAL RECORD — HOUSE January 22, 1996 fulfilling missions such as technical intel- Defense Nuclear Agency programs (sec. 217) be available to the Special Operations Com- ligence and battlespace characterization, the The budget request contained $219.0 mil- mand (SOCOM) for purposes of broadening conferees direct the Air Force to ensure that lion for research and development at the De- SOCOM’s counterproliferation activities and the SMTS Flight Demonstration System fense Nuclear Agency. $30.0 million would be available for the con- (FDS) and Block I system be designed pri- The Senate amendment contained a provi- tinuation of the Army tactical antisatellite marily to satisfy the missile defense mis- sion (sec. 216) that would authorize $242.0 technologies (ASAT) program (PE 63392A) for sion. Missions not related to theater and/or million for fiscal year 1996 for research and a user operation evaluation system (UOES) national ballistic missile defense should not development programs (PE 62715H), a $23.0 contingency capability. The provision would be allowed to add significant cost, weight or increase to the budget request. The increase authorize the Department of Defense to delay to the SMTS FDS or Block I system. would provide: $3.0 million for the establish- transfer up to $50.0 million from fiscal year This scaled-down approach will ameliorate ment of the tunnel characterization/neutral- 1996 defense research and development ac- the technical challenges associated with an ization program; $6.0 million for the estab- counts for counterproliferation support ac- accelerated schedule while contributing to lishment of a long-term radiation tolerant tivities. The House bill would authorize the budget overall affordability. microelectronics program and require the request for the counterproliferation support Secretary to report to Congress on the pro- To support this schedule and missile de- program and include $11.0 million for the de- gram and future year funding; $4.0 million fense focus, the conferees direct the Sec- velopment of improved nuclear detection and for the electro-thermal gun program; and retary of Defense to commence SMTS pre- forensics analysis by the Advanced Projects transfer the Air Force thermionics program engineering and manufacturing development Research Agency (ARPA). (EMD) activities in fiscal year 1996 and to en- and any unobligated funds to the DNA and The conferees agree to a provision that sure that the FDS and Block I satellites are provide $10.0 to accelerate that program. would authorize $138.2 million for the equipped with long-wave infrared sensors. The House report (H. Rept. 104–131) would counterproliferation support program, of The conferees endorse the design character- provide a $4.0 million increase to the budget which $30.0 million shall be available for the istics specified in the Senate report (S. Rept. request for the electro-thermal gun tech- continuation of the Army tactical antisat- 104–112) regarding the objective SMTS sys- nology. ellite technologies program. Of the funds au- tem. The conferees have authorized suffi- The conferees agree to a provision that thorized in fiscal year 1996, the conferees rec- cient funds in fiscal year 1996 to commence would authorize $241.7 million, including a ommend that $1.5 million be available for these activities and to prepare the way for a reduction of $5.0 for environmental pollutant the exploration of the ‘‘deep digger’’ concept fiscal year 1998 FDS launch. research. This represents a $27.7 million in- for hard target characterization, and that crease over the budget request. Of that Over time, as the Air Force gains oper- $5.0 million be available for the high fre- amount, $3.0 million shall be used for a tun- ational experience with the High and Low quency active auroral research program nel characterization/neutralization program, Block I systems, it is likely that SMTS will (HAARP). $4.0 million shall be available for the electro- be able to assume a much larger share of the The conferees acknowledge concerns raised thermal gun technology program, $6.0 mil- SBIRS requirements burden. In the mean- in the Senate report (S. Rept. 104–112) re- lion shall be available for the establishment time, the conferees urge the Secretary of De- garding the need for the Department to con- of a long-term radiation tolerant microelec- fense to initiate technical and cost trade tinue the aggressive pursuit of discriminate tronics program and development of long studies among the SBIRS space systems and detection and attack capabilities of deep un- pulse, high power microwave technology, $10 include any preliminary findings and rec- derground structures. The Department million shall be available for the ommendations in the SBIRS baseline report. should continue to develop the capability to thermionics program; and $4.0 million shall detect and defend against biological agents The budget request for SBIRS included be available for the counterterror explosives through the use of technologies, available $130.7 million for demonstration/validation research program. Additionally, the Sec- through universities and non-profit indus- (Dem/Val), $152.2 million for EMD, and $19.9 retary is directed to provide a report to Con- tries, that have been developed for biological million for procurement. Of the funds re- gress, 120 days after enactment of this Act, detection, emergency preparedness and re- quested for Dem/Val, $114.8 million was for on the conduct of the long-term radiation sponse. The Department should also con- SMTS. The conferees agree on the following tolerant microelectronics program and fu- tinue to develop a capability to counter authorizations: ture years funding for this program. The re- technological gains by proliferant countries (1) $265.7 million in PE 63441F for SBIRS mainder of the increase should be used to that could gain access to a broad mix of com- Dem/Val, of which $249.8 million is for SMTS; supplement the tunnel characterization/neu- mercial-off-the-shelf space technologies and tralization program and the long-term radi- which could provide these countries with sig- (2) $162.2 million in PE 64441F for SBIRS ation tolerant microelectronics program, as nificant space capabilities or access to space- EMD, of which $9.4 million is for the Minia- appropriate. derived data and could negatively impact a ture Sensor Technology Integration (MSTI) TUNNEL CHARACTERIZATION/NEUTRALIZATION spectrum of multi-service and joint program. PROGRAM warfighting capabilities. The conferees are aware of a recent pro- The conferees understand that the Depart- TACTICAL ANTISATELLITE TECHNOLOGY posal to increase competition and reduce ment of Defense has allocated $10.0 million The conferees direct the Secretary of De- risk in the SMTS program through a low- of funds requested in the budget for the fense to include sufficient resources in fiscal cost flight experiment. The conferees direct counterproliferation support program for a year 1997, and throughout the future year de- the Air Force and BMDO to carefully assess tunnel characterization/neutralization pro- fense plan (FYDP), for the following: a user the merits of this concept and to include gram. Although the DNA tunnel character- operation evaluation system (UOES) contin- their joint findings and recommendations in ization/neutralization target tests and pro- gency capability to produce 10 kill vehicles the SBIRS baseline report. If the Air Force gram would be executed independently of the with the appropriate boosters by fiscal year Acquisition Executive and the Director of Department’s counterproliferation efforts, 1999; a review to determine the appropriate BMDO certify to the congressional defense the conferees expect close coordination be- management structure and military service committees that such a flight experiment is tween the two programs to ensure that com- responsibility; report on the current status in the overall interest of the SMTS program mon concerns are addressed. The conferees of antisatellite development worldwide and (measured in terms of risk reduction and urge the DNA to utilize, to the maximum ex- the degree to which United States antisat- schedule acceleration), the conferees author- tent possible, the Nevada Test Site infra- ellite development efforts may contribute to ize the use of up to $40.0 million of the funds structure for the tunnel target characteriza- similar development among other nations authorized for SMTS in fiscal year 1996 to tion/neutralization tests and program. and their impact on U.S. operational capa- begin a low-cost flight experiment. bilities; and to report the Department’s rec- THERMIONICS The conferees congratulate the Air Force ommendations to Congress in the fiscal year and BMDO for reaching agreement on the ac- The conferees directed the transfer of the 1997 budget request. To avoid significant or quisition management relationship for exe- thermionics conversion technology from the lengthy delays in developing a needed capa- cution of the SMTS program. In light of the Air Force Weapons program (PE 62601F), to- bility, the conferees direct the Department Memorandum of Agreement between the Air gether with all unobligated funds authorized to leverage, or build upon the current Army Force Acquisition Executive and the Direc- and appropriated in prior years, totalling up tactical antisatellite technology program. tor of BMDO, the Senate recedes on its lan- to $12.0 million, to the Defense Nuclear The conferees note that authorization of guage dealing with management oversight of Agency program (PE 62715H). funds for continued development of the tac- the SMTS program. As with all aspects of Counterproliferation support program (sec. 218) tical antisatellite system does not constitute the SMTS program, however, the conferees The budget request contained $108.2 mil- a decision to deploy the system. will continue to monitor management over- lion for the defense counterproliferation sup- MISSION PLANNING AND ANALYSIS sight with great interest. If the present man- port program. The conferees recommend that $2.5 million agement structure does not fulfill the expec- The Senate amendment contained a provi- from Air Force operation and maintenance tations of the conferees, or lead to imple- sion (sec. 217) that would authorize $144.5 (O&M) be made available for Strategic Air mentation of the guidance provided above, million for the program, a $36.3 million in- Command (STRATCOM) mission planning the conferees will reconsider transferring crease to the budget request. Of the funds and analysis. The STRATCOM program pro- SMTS back to BMDO. authorized in this section, $6.3 million would vides support to the regional commanders- January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 615 in-chief (CINCs) in advance planning for to Congress by February 15, 1996 on the des- The House recedes with an amendment. counterproliferation contingencies. This pro- ignation of the executive agent for oversight The conferees agree to authorize up to $10.0 gram aids commanders in identifying and of the program, the acquisition plan, the million for full qualification and operational characterizing current and emerging pro- time frame for fielding systems, current and platform certification of a Hydra–70 rocket liferation threats. In instances in which pro- anticipated military requirements, and the with a 2.75-inch rocket motor with composite liferation activities challenge the interests Department of Defense policy regarding the propellant, for use on the AH–64D Apache of the United States and its military forces nonlethal weapons program. helicopter. and operations, STRATCOM mission plan- Federally-Funded Research and Development Limitation on obligation of funds until receipt ning and analysis capabilities allow defense Centers (sec. 220) of electronic combat consolidation master planners to: identify a variety of potential The House bill contained a provision (sec. plan (sec. 223) military targets; assess the effectiveness, 257) that would require the Secretary of De- consequences and costs of military options; The conferees agree to a provision that fense and the Secretaries of the Army, Navy, limits the obligation of appropriations for and develop alternative contingency plans and Air Force to reevaluate the functions of that would maximize mission effectiveness, PE 65896A, PE 65864N, PE 65807F, and PE Federally-Funded Research and Develop- 65804D until 14 days after the Department of and minimize the risks, costs, and collateral ment Centers (FFRDCs) and to achieve cer- effects. Defense submits to the congressional defense tain reductions, consolidations and manage- committees its master plan for the consoli- IMPROVED NUCLEAR DETECTION AND FORENSIC ment goals. The provision would limit dation of electronic combat test and evalua- ANALYSIS CAPABILITIES FFRDC funding to $1.15 billion and reduce tion assets. funding for FFRDCs and University-Affili- Due to an increase in international terror- The House report (H. Rept. 103–499) di- ated Research Centers (UARC) by $90.1 mil- ism and attempts by criminal elements to rected the Secretary of Defense to develop a lion. acquire weapons-grade nuclear material, the master plan for future consolidation of all The Senate amendment contained a provi- conferees recommend $11.0 million to accel- DOD electronic combat test and evaluation sion (sec. 219) that would require an undis- erate the development of improved nuclear assets. Further, the House report directed tributed reduction in FFRDC funding of $90.0 detection and forensic analysis capabilities that no fiscal year 1995 or prior year funds be million, below the ceiling for fiscal year 1995, in PE 62301E, project ST23. The conferees di- used to transfer or consolidate electronic and would establish a statutory ceiling for rect the ARPA to closely coordinate its ef- combat test and evaluation assets until 30 FFRDCs of $1.2 billion in fiscal year 1996. forts in this area closely coordinate with the days after the submission of the master plan counterproliferation support program man- The Senate recedes with an amendment. The conferees agree to reduce the funding for to the congressional defense committees. To ager in the Department of Defense and the date, the master plan has not been provided interagency group on counterproliferation. FFRDCs and UARCs by $90.0 million in fiscal year 1996 and direct that not more than $9.0 to the congressional defense committees and Nonlethal Weapons Program (sec. 219) million of this reduction be applied to fund- funds continue to be obligated for purposes The Senate bill contained a provision (sec. ing for UARCs. The conferees have included that contravene the House report language. 218) that would establish a new, consolidated language that would require the Secretary of Requirement for report on reductions in re- program for non-lethal systems and tech- Defense to manage the UARCs at the fiscal search, development, test, and evaluation nology. The program would be managed by year 1995 level. The conferees direct the Sec- (sec. 225) the Office of Strategic and Tactical Systems retary of Defense to ensure adequate funding The conferees agree to a provision that re- of the Under Secretary of Defense for Acqui- in fiscal year 1996 for those FFRDCs that en- sition and Technology. The provision would quires the Under Secretary of Defense gage in studies and analysis for the Office of (Comptroller) to submit a report to the con- create a new program element within the de- the Secretary of Defense and the services. fense budget for this program, and transfer gressional defense committees by March 15, The conferees also direct the Secretary to 1996 detailing the allocation of the following funds from PE 603570D, PE 603750D, PE examine the possibility of increasing the use 603702E, and PE 603226E into this new pro- reductions in research, development, test, of the Software Engineering Institute in sup- and evaluation required by the Department gram element. port of command, control, communications, The House bill contained no similar provi- of Defense Appropriations Act of 1996: (1) computing, and intelligence programs man- sion. general reductions; (2) reductions to reflect The House recedes with an amendment aged by the Office of the Secretary of De- savings from revised economic assumptions; that would express congressional recognition fense. (3) reductions to reflect the funding ceiling of the U.S. armed forces increasing role in Joint seismic program and global seismic net- for federally funded research and develop- operations other than war, recognition of work (sec. 221) ment centers; and (4) reductions for savings support for the use of nonlethal weapons and The Senate amendment contained a provi- through improved management of contractor systems across the spectrum of conflict, and sion (sec. 224) that would authorize $9.5 mil- automatic data processing cost charged concern that development of these tech- lion of unobligated fiscal year 1995 funds in through indirect rates on Department of De- nologies is being spread across the budgets of Air Force research and development for the fense acquisition contracts. the military services and defense agencies. joint seismic program (JSP) and the global Advanced field artillery system (Crusader) (sec. The conferees direct the Department of De- seismic network (GSN) to provide more ro- 226) bust monitoring research and expanded seis- fense to submit a report to Congress by Feb- The House bill contained a provision (sec. mic monitoring of potential nuclear tests. ruary 15, 1996 and direct the Secretary of De- 255) that would impose spending authority The House bill contained no similar provi- fense to assign responsibility for the limitations on the Secretary of the Army, nonlethal weapons program to an existing of- sion. The conferees agree to a provision that unless certain technical performance criteria fice within the Office of the Secretary of De- are achieved in the Crusader program. The fense or designate an executive agent from would authorize $9.5 million in fiscal year 1996 for the joint seismic and global seismic provision would permit the Secretary to sig- the military services, to establish central- nificantly alter the Crusader acquisition ized responsibility for development and field- network programs. The conferees understand that no future year funds would be required plan for the cannon propellant, if it is re- ing of nonlethal weapons technology. The quired to achieve the objectives of the Ad- conferees authorize $37.2 million in a new de- for this program. Further, the conferees di- rect the Department of Defense Comptroller vanced Field Artillery System, provided no- fense program element for nonlethal weap- tification is given to the defense committees ons programs and nonlethal technologies to release the funds in a timely manner so that the programs can be completed. of the Senate and House of Representatives. programs. The Senate amendment contained no simi- The conferees believe that centralized re- Hydra–70 rocket product improvement program lar provision. sponsibility for the nonlethal weapons pro- (sec. 222) The Senate recedes with an amendment gram will ensure effective program manage- The Senate amendment contained a provi- that would terminate funding for the liquid ment and expeditious development, acquisi- sion (sec. 113) that would prohibit the obliga- propellant portion of the Crusader program tion, and fielding of nonlethal weapons and tion of funds to procure Hydra–70 rockets in the event that the Secretary fails to pro- systems. The conferees further understand until the Secretary of the Army submitted vide a report to the congressional defense that both the Department of the Army and certifications regarding: identification of committees by August 1, 1996, documenting the Marine Corps are the primary users of causes and technical corrections of Hydra–70 that significant progress has been made in these technologies and recommend the des- rocket failures; comparative cost of correct- the liquid propellant and regenerative liquid ignation of either military service as the ex- ing all Hydra–70 rockets versus the non-re- propellant gun, in accordance with the ac- ecutive agent for this important program. curring costs of acquiring improved rockets; quisition program baseline objectives. Further, the conferees understand that the review and qualification of commercial, Department of the Army and the Marine nondevelopmental systems to replace Hydra– Demilitarization of conventional munitions, Corps have closely coordinated their efforts 70 rockets; the availability of training rock- rockets, and explosives (sec. 227) in this area and expect this coordination to ets to meet Army requirements; and the at- The House bill contained a provision (sec. continue to ensure centralized management tainment of competition in future procure- 263) that would authorize $15.0 million for and improved budgetary focus for the ments of training rockets. the establishment of an integrated program nonlethal weapons program. The provision The House bill contained no similar provi- for the development and demonstration of would also require the Department to report sion. environmentally compliant technologies for H 616 CONGRESSIONAL RECORD — HOUSE January 22, 1996 the demilitarization of conventional muni- hicle (UAV) systems to the Department of cessful efforts. The conferees agree to au- tions, explosives, and rocket motors, and in- Defense’s (DOD) reconnaissance missions. thorize an additional $12.5 million to support dicated specific technologies that should be However, the conferees remain unwilling to continued development and evaluation of considered in the program. sacrifice proven manned systems in the near- VTOL JT–UAV variants, as detailed in the The Senate amendment contained no simi- term for the promise of unproven future sys- Senate report (S. Rept. 104–112). The con- lar provision. tems. Further, the conferees believe five ferees intend that the Department limit its The Senate recedes with an amendment major UAV programs are overly redundant. air vehicle evaluation to items that are low that would delete reference to specific tech- The conferees are aware of the Department’s risk, currently available off-the-shelf, and nologies that should be considered in the intent to reduce the number of UAVs to sat- have the demonstrated potential to meet program. The amendment reflects a con- isfy the tactical, theater, and strategic mis- joint tactical UAV interoperability and per- ference agreement to authorize $15.0 million sions. The conferees agree that it is impor- formance requirements. in PE 63104D for the Conventional Munitions, tant for the Department to satisfy these Rockets, and Explosives Demilitarization ac- MEDIUM ALTITUDE ENDURANCE UAV (PREDATOR) three distinct missions. count. The House bill would authorize an addi- Further, the conferees believe the Depart- The conferees are concerned about require- tional $25.9 million for the Tier II medium ment’s endurance UAV programs must be ments for disposal by the military services altitude endurance UAV (Predator). viewed in the larger context of the broad and defense agencies of growing numbers of The Senate amendment included a provi- area search/wide area surveillance missions. unserviceable, obsolete, or non-treaty com- sion (sec. 131) that would deny funds for the The conferees are concerned that the current pliant munitions, rocket motors and explo- Tier II system. sives. As environmental constraints increas- and projected array of sensors (including The Senate recedes. ingly restrict the traditional disposal meth- Tier II+ and Tier III¥ UAVs, SR–71, U–2, and The conferees agree to authorize an addi- ods of open burning or open detonation, de- national systems) are not simply ‘‘com- tional $25.3 million for another Predator sys- velopment and demonstration of environ- plementary’’, but are ‘‘duplicative’’. The tem (air vehicles and ground station) and re- mentally compliant technologies for this conferees will, therefore, remain extremely placement air vehicles. The conferees are en- purpose become even more urgent. interested in the Department’s future direc- couraged by the successes of the Predator The conferees believe that a centralized tions with respect to high altitude endurance advanced concept technology program, and conventional munitions and explosives dis- UAV efforts. particularly by the theater commanders’ posal program should be established for this MANEUVER UAV praise for its contributions in the Bosnia purpose within the Department of Defense The budget request included $36.8 million area. The conferees strongly support con- (DOD) under a single program element, and for the maneuver UAV. tinuation of this ACTD, and encourage the that consideration should be given to the The House will would deny any authoriza- Department to take the necessary steps to model of the Large Rocket Motor Demili- tion for the maneuver UAV because the De- make a full production decision. The con- tarization program, centrally managed by partment had failed to provide either a joint ferees believe this vehicle could satisfy mul- the Army as executive agent, with the re- operational requirements document (JORD) tiple operational roles, including the theater quirements of the military services inte- and maritime roles. The conferees encourage grated through the Joint Ordnance Com- or a cost and operational effectiveness anal- manders’ Group. In such a program, the con- ysis (COEA) in a timely manner. the Department to develop plans for a mari- ferees encourage the consideration of a range The Senate amendment would approve the time use of this vehicle. Such planning of competitively selected potential resource budget request. should include conducting an operational recovery and alternative demilitarization The conferees agree to authorize $26.8 mil- demonstration at sea. Finally, the conferees technologies, including (but not limited to) lion for the maneuver UAV. The conferees agree to authorize all prior year allocated cryogenic washout, supercritical water oxi- are disappointed that the Department took funds. dation, molten metal pyrolysis, plasma arc, so long to complete the JORD and the COEA. HIGH ALTITUDE ENDURANCE UAVS The conferees hope that the results of the catalytic fluid bed oxidation, molten salt py- The House bill would authorize an addi- ongoing review of the various UAV programs rolysis, plasma arc, catalytic fluid bed oxida- tional $60.0 million for the Tier II+ and $35.0 will be provided to the congressional defense tion, molten salt oxidation, incineration, million for the Tier III–. and intelligence committees in a more time- critical fluid extraction and ingredient re- The Senate amendment would authorize ly fashion. covery, and underground contained burning. the budget request for both programs. The conferees direct the Secretary of De- JOINT TACTICAL UAV The House recedes on Tier II+. The Senate fense to submit a report of the DOD plan for The conferees remain particularly con- recedes on the Tier III–. The conferees agree the establishment of such a program to the cerned about the Department’s inability to to authorize an additional $18.0 million for congressional defense committees by March develop and pursue a cohesive joint tactical Tier III–. 31, 1996. UAV (JT–UAV) master plan for longer than a As with the JT–UAV, the conferees expect Defense airborne reconnaissance program (sec. four month period. The conferees direct the the Department to make acquisition deci- 228) Department not to use appropriated fiscal sions on this issue based on operational re- The budget request included $525.2 million year 1996 funds to procure production Hunter quirements. However, the conferees empha- for research and development for the Defense UAV systems or additional low rate initial size that the Department needs a more capa- airborne reconnaissance program (DARP). production units beyond those already or- ble, low observable vehicle. The conferees The House bill would add a total of $121.6 dered. The conferees intend that this prohi- agree that the Department should use the million to the requested amount. The Senate bition remain in effect until the Department additional $18.0 million for Tier III– to buy amendment would increase the request by provides the congressional defense and intel- the third air vehicle in fiscal year 1996, in- $33.0 million. Details of the adjustments in ligence committees with the results of its stead of fiscal year 1997. The conferees direct the House bill and the Senate amendment, as UAV program review. Accordingly, if the De- the Department to provide the congressional well as the final conference agreement, are partment’s review results in the cancellation defense and intelligence committees with a displayed in the table below: of one or more of the currently planned UAV report on the operational user needs for such Con- programs, the conferees direct the Depart- a vehicle. If the current estimate of the Tier Senate ment to seek reprogramming actions to use III– system capabilities fall short of those Budget House amend- ference request bill ment agree- those funds to satisfy other CINC near-term needs, the Department should outline its ment reconnaissance support requirements. Any technical proposals to improve this vehicle, Total ...... $525.2 +$121.6 +$33.0 +$114.8 funds made available as a result of Depart- in response to those user requirements. ment decisions on UAVs will remain within U–2 SENSOR UPGRADES UAV programs: the DARP account. Of any resources made Joint tactical maneuver ...... ¥36.8 ...... ¥10.0 The House bill would authorize an addi- available from UAV restructuring, the con- Hunter ...... tional $14.0 million to upgrade all Senior Navy variant (VTOL) ...... +12.5 ferees direct that the Department use them Year electro-optical reconnaissance sensors Tier II ...... +25.9 ...... +25.3 to fully fund the U–2 sensor upgrades de- Tier II+ ...... +60.0 ...... (SYERS) to the newest configuration, up- Tier III ...... +35.0 ...... +18.0 scribed later in this section. Any additional grade existing ground stations, and improve U–2 upgrade programs: excess resources over those used for U–2 sen- SYERS ...... +14.0 ...... +14.0 geolocational accuracy through various sor upgrades may be used for the naval vari- Defensive systems ...... +13.0 +10.0 product improvements. SIGINT ...... +20.0 +20.0 ant (VTOL). Further, the conferees specifi- The Senate amendment would authorize an PGMs ...... ¥10 ...... cally deny authorization of any fiscal year Other programs: additional $20.0 million to initiate the re- 1996 funds for marinization of the Hunter CIGGS ...... +16.0 ...... +11.0 mote airborne SIGINT system upgrade pro- Common data link ...... +0.5 ...... UAV. EO framing sensors ...... +5.0 ...... +7.0 gram. MSAG ...... +12.0 ...... +8.0 NAVAL VARIANT UAV The Senate report (S. Rept. 104–112) con- The conferees agree that development and tained a technical error in the table for Re- MANNED AND UNMANNED RECONNAISSANCE evaluation of a joint tactical UAV (JT–UAV) search, Development, Test, and Evaluation SYSTEMS short or vertical take-off and landing (STOL/ (RDT&E), Defense-Wide, that shows an in- The conferees remain optimistic about the VTOL) variant for naval applications should crease in the DARP PE 35154D, line 102, rath- future contributions of unmanned aerial ve- be continued and structured on existing suc- er than in line 124. This error was facilitated January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 617 by the Department’s budget exhibit for pixel and the 25 mega-pixel sensor initia- grades, provided there is compliance with an RDT&E programs (R–1) in which both of tives. overall migration to the JASA architecture. these budget lines are associated with the MULTI-FUNCTION SELF-ALIGNED GATE Ballistic missile defense policy (secs. 231–253) same program element. The conferees en- TECHNOLOGY The House bill contained eight provisions courage the Defense Airborne Reconnais- The conferees agree to authorize $8.0 mil- (secs. 231–238) that collectively would be sance Office (DARO) to carry a single R–1 lion for multi-function self-aligned gate called the ‘‘Ballistic Missile Defense Act of line for an individual program element in (MSAG) technology for the purposes speci- 1995.’’ The House bill contained four addi- the future. fied in the House report (H. Rept. 104–131). tional provisions (secs. 241–244) that would The conferees view with concern the JOINT AIRBORNE SIGINT ARCHITECTURE also deal with matters related to ballistic DARO’s lack of emphasis on manned recon- missile defense (BMD). naissance upgrades, and include a provision The budget request included $88.8 million The Senate amendment contained eleven that requires the Director of the DARO to for the joint airborne signals intelligence provisions (secs. 231–241) that collectively expeditiously carry out those upgrades. The (SIGINT) architecture (JASA) program. would be called the ‘‘Missile Defense Act of conferees agree to authorize $34.0 million to The House bill would restrict obligation of 1995.’’ The Senate amendment contained two meet U–2 sensor upgrade requirements, and fiscal year 1996 funds for JASA to no more additional provisions (secs. 227 and 243) that direct the Secretary of Defense to provide a than 25 percent of available funds until the would also deal with matters related to report on the Department’s plans to obligate Department submits an analysis and report BMD. funds for U–2 upgrades prior to February 1, that includes a comparison of future years The conference agreement combines the 1996. defense programs (FYDP) and life cycle costs for development and fielding of the joint air- House and the Senate BMD provisions into U–2 DEFENSIVE SYSTEMS borne SIGINT system (JASS), and that ad- two subtitles as described below. The conferees agree to authorize $10.0 mil- dress a more conventional, evolutionary, Subtitle C—Ballistic Missile Defense Act of lion to upgrade U–2 defensive systems for the product-improvement approach. 1995 purposes specified in the Senate Report (S. The Senate amendment would authorize Short title (sec. 231) Rept. 104–112). the requested amount. COMMON IMAGERY GROUND/SURFACE SYSTEM The House recedes on the funding restric- The House bill contained a provision (sec. (CIGSS) tions. 231) that would entitle this group of provi- sions the ‘‘Ballistic Missile Defense Act of The budget request included $161.8 million Despite their support for the evolving con- 1995.’’ for the CIGSS effort. cept and development of JASA, the conferees The Senate amendment contained a provi- The House bill would authorize an addi- remain concerned about several issues: sion (sec. 231) that would use a different tional $16.0 million. This increase would be (1) the Department’s ability to sustain cur- title—‘‘Missile Defense Act of 1995’’—reflect- used to mitigate a near-term funding short- rent operational systems; ing the fact that the Senate version included fall for DARO’s ‘‘migration’’ of the various (2) elimination of the potential for air- a provision dealing with cruise missile de- imagery ground stations to a common archi- borne SIGINT modernization gaps prior to fense. tecture. fielding JASA components; The Senate recedes. The Senate amendment would approve the (3) the projected costs of the JASS pro- budget request. gram; and Findings (sec. 232) The conferees agree to authorize an addi- (4) the risk that current approaches may The Senate amendment contained a provi- tional $11.0 million for this effort. sacrifice near and mid-term operational re- sion (sec. 232) that would establish a series of quirements for promised long-term common INTELLIGENCE DISSEMINATION congressional findings as the rationale for solutions. developing and deploying theater and na- The budget request included funds for nu- The conferees believe that there is a need merous intelligence dissemination systems tional ballistic missile defenses. to continue interim, affordable, incremental The House bill contained a provision (sec. and data links. upgrades, and to provide quick reaction ca- The House bill would restrict the use of 242) that would make several similar find- pability improvements to meet emerging re- ings. funds pending the Department’s development quirements, while continuing the JASA ar- of a coherent, long-term intelligence dis- The House recedes with an amendment chitectural approach. The conferees encour- merging the House and Senate findings. semination architecture and a plan for devel- age competitive evolutionary solutions to opment of a joint tactical transceiver (JTT). satisfy existing and projected SIGINT re- Ballistic Missile Defense Policy (sec. 233) The Senate amendment would authorize quirements, and urge the earliest delivery of The House bill contained a provision (sec. the requested amounts. architecturally compliant components for 232) that would establish a United States pol- The House recedes. evolving current and future systems. The icy to: (1) deploy at the earliest practical The conferees are pleased with the Depart- conferees expect future budget requests for date highly effective theater missile de- ment’s response to the House bill provision. the DARO to include funding for these ef- fenses; and (2) deploy at the earliest prac- The conferees believe that the Department is forts. The conferees direct the DARO Direc- tical date a national missile defense (NMD) moving in the right direction to ensure serv- tor to certify to the congressional defense system that is capable of providing a highly ice interoperability and to reduce the num- and intelligence committees that the indi- effective defense of the United States ber of unique tactical intelligence vidual SIGINT systems will be upgraded to against limited ballistic missile attacks. transceivers. Additionally, the conferees are incorporate these interim needs, as identi- The Senate amendment contained a simi- aware that the Assistant Secretary of De- fied by the operational users. lar provision (sec. 233) that would establish a fense for Command, Control, Communica- The conferees direct the Department to United States policy to: (1) deploy as soon as tions, and Intelligence is monitoring efforts provide an interim report by March 1, 1996, possible affordable and operationally effec- to develop advanced software with a completed report by August 1, 1996, tive theater missile defenses; (2) develop for reprogrammable radios. The conferees that includes: deployment a multiple-site national missile strongly encourage continued involvement (1) an independent cost and operational ef- defense system (that can be augmented to a in this technology development, as it ap- fectiveness analysis that compares the layered defense over time) while initiating pears to have great potential for future ap- FYDP and life-cycle costs of the JASS pro- negotiations to amend the Anti-Ballistic plication in the JTT program. The conferees gram to an evolutionary product improve- Missile (ABM) Treaty; (3) ensure congres- will continue to monitor the progress of the ment approach, based on equivalent system sional review prior to a decision to deploy Department’s approach. performance; the NMD system; (4) improve existing cruise ELECTRO-OPTICAL FRAMING SENSOR (2) an evaluation of cost, technical and missile defense systems and deploy as soon DEVELOPMENT schedule risks, as well as a comparison of as practical defenses against advanced cruise The House would authorize an additional technical requirements and JASS perform- missiles; (5) pursue a focused research and $5.0 million to continue development and ance; and development program to provide follow-on evaluation of airborne electro-optic framing (3) the Department’s assessment of its abil- ballistic missile defense options; (6) employ sensor and multi-spectral framing tech- ity to predict both the future threat and streamlined acquisition procedures in devel- nologies with on-chip forward motion com- technology environments necessary to deter- oping and deploying missile defenses; (7) pensation. These improved capabilities could mine whether a single approach is viable and seek a cooperative transition to a regime be used to support precision targeting. in the nation’s best interests. that does not feature mutual assured de- The Senate amendment included no simi- Finally, to ensure that there are no air- struction and an offense-only form of deter- lar adjustment. borne SIGINT capability gaps during the rence as the basis for strategic stability; and The conferees agree to authorize $7.0 mil- transition to JASA, DARO is directed to de- (8) carry out the policies, programs, and re- lion for this purpose. termine and implement necessary quick-re- quirements of the Missile Defense Act The conferees are pleased with the results action improvements to existing airborne through processes specified within, or con- of the four million picture element (four systems. The conferees intend that the De- sistent with, the ABM Treaty. mega-pixel) framing demonstration. The partment pursue a balanced approach to The House recedes with an amendment to conferees encourage the Department to pro- JASA development that allows the services establish a United States policy to: (1) de- gram funding to accelerate the four mega- to program funds for such evolutionary up- ploy affordable and operationally effective H 618 CONGRESSIONAL RECORD — HOUSE January 22, 1996 theater missile defenses to protect forward- in the area of ballistic missile defense be- (3) The economy and effectiveness of con- deployed and expeditionary elements of the tween the United States and its allies and tinued acquisition of ‘‘interim’’ PGMs. armed forces of the United States and to coalition partners, and that would urge the The House bill contained no legislative complement and support the missile defense President to: (1) pursue high-level discus- provision on PGMs, but directed the Sec- capabilities of the forces of coalition part- sions with allies of the United States and se- retary to conduct a similar analysis in its re- ners and allies of the United States; and (2) lected other states on the means and meth- port (H. Rept. 104–131) accompanying the bill. seek a cooperative transition to a regime ods by which the parties can cooperate in the The conferees agree to the Senate provi- that does not feature mutual assured de- development, deployment, and operation of sion, with an amendment that would extend struction and an offense-only form of deter- ballistic missile defenses; (2) take the initia- the reporting deadline to April 15, 1996. rence as the basis of strategic stability. tive within the North Atlantic Treaty Orga- Review of C4I by National Research Council Theater Missile Defense Architecture (sec. 234) nization to develop a consensus for deploy- (sec. 262) ment of BMD by the Alliance; and (3) seek The House bill contained a provision (sec. The House bill contained a provision (sec. agreement with U.S. allies and selected 233) that, in part, would direct the Secretary 256) that would direct the Secretary of De- other states on steps the parties can take to of Defense to develop and deploy at the earli- fense to enter into a contract with the Na- reduce the risks posed by the threat of lim- est practical date advanced theater missile tional Research Council of the National ited ballistic missile attacks. defense (TMD) systems. The House bill con- Academy of Sciences to conduct a review of The Senate amendment contained no simi- tained another provision (sec. 236) that Department of Defense programs for com- lar provision. would establish a ballistic missile defense The Senate recedes with an amendment to mand, control, communications, computers, program accountability report. include the House language on BMD coopera- and intelligence. The study would be con- The Senate amendment contained a provi- tion with allies as a free-standing provision. ducted over a two-year period and $900.0 sion (sec. 234) that would provide detailed thousand would be available for the cost of policy guidance related to theater missile ABM Treaty Defined (sec. 237) the study. defense. The provision would establish a core The House bill contained a provision (sec. The Senate amendment contained no simi- theater missile defense program (the Theater 237) that would define the ABM Treaty. lar provision. High Altitude Area Defense system, the The Senate amendment contained a simi- The Senate recedes. Navy Upper Tier system, the Patriot PAC–3 lar provision. The Senate recedes with a technical Analysis of consolidation of basic research ac- system, and the Navy Lower Tier system) amendment. counts of military departments (sec. 263) with programmatic milestones for each core Repeal of Missile Defense Act of 1991 (sec. 238) The House bill contained a provision (sec. system, require that the systems in the core 252) that would direct the Secretary of De- The House bill contained a provision, (sec. program be interoperable and mutually sup- fense to fund the equivalent of a cost and 238) that would repeal the Missile Defense porting, establish guidelines for creating new operational effectiveness study of the con- core systems, and require the Secretary of Act of 1991. The Senate amendment contained a simi- solidation of the indivdiual services’ basic Defense to provide the congressional defense research accounts to determine potential in- committees a TMD Architecture report lar provision (sec. 241(1)). The Senate recedes. frastructure savings. along with the fiscal year 1997 budget sub- The Senate amendment contained no simi- Subtitle D—Other Ballistic Missile Defense mission. lar provision. Provisions The House recedes with an amendment to The Senate recedes. integrate elements of the House’s ballistic Ballistic Missile Defense Program Elements (sec. Change in the annual reporting period, from missile defense program accountability pro- 251) vision into a revised TMD reporting require- calendar to fiscal year, on certain contracts The Senate amendment contained a provi- with colleges and universities. (sec. 264) ment, and to make technical and clarifying sion (sec. 239) that would establish seven pro- changes. Included is a requirement that the gram elements for the Ballistic Missile De- The House bill contained a provision (sec. Secretary of Defense report on the following fense Organization’s budget. 253) that would amend section 2361 of title 10, matters to the Senate Committee on Armed The House bill contained no similar provi- United States Code, to change the annual re- Services and the House Committee on Na- sion. porting period from the preceding ‘‘cal- tional Security whenever the Secretary is- The House recedes with an amendment cre- endar’’ year to each preceding ‘‘fiscal’’ year sues an ABM Treaty compliance certifi- ating eight program elements. on the use of competitive procedures for cation for any TMD system: (1) the compli- Testing of theater missile defense interceptors awards of research and development con- ance policy applied in preparing such a cer- (sec. 252) tracts, and the award of construction con- tification; (2) how the policy applied differs tracts to colleges and universities. The House bill contained a provision (sec. The Senate amendment contained no simi- from the policy stated in section 235(b)(1) of 243) that would amend subsection (a) of sec- this Act (the so-called ‘‘demonstrated stand- lar provision. tion 237 of Public Law 103–160, pertaining to The Senate recedes. ard’’); and (3) how the application of that the testing of theater missile defense inter- compliance policy (rather than the ‘‘dem- ceptors. Aeronautical research and test capabilities as- onstrated standard’’) will affect the cost, The Senate amendment contained a simi- sessment (sec. 265) schedule, and performance of the TMD sys- lar provision (sec. 227) that also would relate The House bill contained a provision (sec. tem being considered. to the testing of theater missile defense 260) that would require the Secretary of De- Prohibition on use of funds to implement an interceptors. fense to assess aeronautical research and international agreement concerning theater The Senate recedes. test facilities and capabilities of the United missile defense systems (sec. 235) Repeal of missile defense provisions (sec. 253) States, and to provide a report to the con- The House bill contained a provision (sec. The Senate amendment contained a provi- gressional defense committees detailing the 235) that would establish a theater missile sion (sec. 241) that would repeal ten outdated findings and recommendations of the assess- defense demarcation standard (the so-called BMD-related provisions of law. ment. ‘‘demonstrated standard’’ based on the range The House bill contained a similar provi- The Senate amendment contained no simi- and speed of the target) and would prohibit sion (sec. 244) that would repeal six outdated lar provision. the obligation or expenditure of funds appro- BMD-related provisions of law. The Senate recedes. priated for the Department of Defense to im- The House recedes with an amendment. Subtitle F—Other Matters plement or employ any other standard. The Conferees agree to repeal nine outdated Advanced lithography program (sec. 271) BMD-related provisions of law. The Senate amendment contained a relat- The House bill contained a provision (sec. ed provision (sec. 238) that would: (1) express Subtitle E—Miscellaneous Reviews, Studies, 214) that would amend section 216 of the Na- the sense of Congress that the ‘‘dem- and Reports tional Defense Authorization Act for Fiscal onstrated standard’’ is the appropriate Precision guided munitions (sec. 261) Year 1995 (Public Law 103–337). The provision standard for defining a TMD demarcation; The Senate amendment contained a provi- would permit the Director of the Advanced and (2) prohibit the use of funds appropriated sion (sec. 215) that would require the Sec- Research Projects Agency (ARPA) to con- for the Department of Defense in fiscal year retary of Defense, not later than February 1, sider Semiconductor Industry Association 1996 to implement an international agree- 1996, to submit a report that contains an and Semiconductor Technology Council rec- ment that is inconsistent with this standard, analysis of the full range of precision guided ommendations as advisory and would allow unless such agreement receives Senate ad- munitions (PGM) in production, and in re- ARPA to establish priorities and funding lev- vice and consent to ratification, or is specifi- search, development, test and evaluation. els for the program, consistent with the best cally approved in a subsequent Act. The analysis would address the following: interests of national security. The provision The House recedes with a clarifying (1) The types of precision guided munitions would also add a goal that the program en- amendment. needed to destroy various service target sure that the use of lithographic processes, Ballistic missile defense cooperation with allies classes; being developed by American-owned manu- (sec. 236) (2) The feasibility of joint development facturers in the United States, would lead to The House bill contained a provision (sec. programs to meet the needs of various Serv- superior performance electronics systems for 242) that, in part, would endorse cooperation ices; and the Department of Defense. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 619 The Senate amendment contained no simi- cent of the program appropriation, and The Senate amendment contained no simi- lar provision. eliminate cost share for academic institu- lar provision. The Senate recedes with an amendment tions. The Senate recedes. that would clarify the term ‘‘American- The Senate amendment contained a provi- Global Positioning System (sec. 279) owned manufacturer’’ to mean that it would sion (sec. 222) that would amend section 2525 The Senate amendment contained a provi- be consistent with the definition of ‘‘United of title 10, United States Code, in two ways. sion (sec. 1081) that would require the Sec- States-owned company’’ and ‘‘United States The provision clarified the role of the Joint retary of Defense to suspend use of the selec- incorporated company’’ in section 278 (n) of Directors of Laboratories in establishing the tive availability feature of the Global Posi- title 15, United States Code. Manufacturing Science and Technology Pro- tioning System (GPS) by May 1, 1996, unless Enhanced fiber optic guided missile system (sec. gram. The provision included a requirement the Secretary develops a plan for dealing 272) that manufacturing equipment producers be with the challenges associated with GPS more directly involved in projects funded The House bill contained a provision (sec. jamming and denial. under this program. The House bill contained no similar provi- 215) that would require the Secretary of the The conferees agree to an amendment that sion. Army to certify whether there is a require- would combine the House and Senate provi- The House recedes with a clarifying ment for the enhanced fiber optic guided sions. amendment. missile (EFOG–M) system, and whether there The conferees support the transfer of the Army support for the National Science Center is a cost and effectiveness analysis support- MANTECH program from advanced develop- for Communications and Engineering (sec. ing such requirement. The provision would ment to a Research, Development, Test & 280) also limit funding for the EFOG–M program Evaluation (RDT&E) production support ac- if the test of operational missiles and associ- count to ensure direct impact of manufactur- The Senate amendment contained a provi- ated fire units are not delivered on time and ing technology on reduction of production sion (sec. 1085) that would modify the au- within current cost estimates. and repair costs for todays systems. How- thority of the Army to provide support to The Senate amendment contained no simi- ever, the conferees direct that a balance be the National Science Center outreach pro- lar provision. maintained between near-term manufactur- gram. The Senate recedes with an amendment ing solutions for weapons systems and the The House bill contained no similar provi- that would require the certification of the long range manufacturing design needs, such sion. The House recedes. Secretary of the Army regarding a require- as implementing Integrated Products and ment and a cost and effectiveness analysis to Process Development (IPPD) in future sys- LEGISLATIVE PROVISIONS NOT ADOPTED support the requirement for the EFOG–M tems. Maneuver variant unmanned aerial vehicle system to be provided following completion The conferees would include the House pro- The House bill contained a provision (sec. of the Advanced Concept Technology Dem- vision to set aside 25 percent of the funding 212) that would prohibit the obligation of onstration (ACTD), instead of before the for the manufacturing technology program funds appropriated or otherwise made avail- ACTD, as proposed by the House. for entering into contracts and cooperative able pursuant to authorizations in fiscal States eligible for assistance under Defense Ex- agreements, on a cost-share basis, in which year 1996 for the Maneuver Variant Un- the ration of funding provided by non-federal perimental Program to Stimulate Competi- manned Aerial Vehicle. and federal participants is 2 to 1. The con- The Senate amendment contained no simi- tive Research (DEPSCoR) (sec. 273) ferees have included a provision that would lar provision. The Senate amendment contained a provi- allow the Under Secretary of Defense for Ac- The House recedes. sion (sec. 220) that would modify the gradua- quisition and Technology to waive the re- National missile defense tion criteria for states participating in the quirement after July 15 of each fiscal year. The House bill contained a provision (sec. Department of Defense EPSCoR program. The conferees direct that contracts and co- 233) that, in part, would direct the Secretary The House bill contained no similar provi- operative agreements awarded to meet this of Defense to develop for deployment at the sion. requirement be on a project-by-project basis. earliest practical date a national missile de- The House recedes with an amendment The conferees direct that the Department fense system consisting of: (1) up to 100 that would provide for the use of a three maximize the number of contracts and coop- ground-based interceptors at a single site or year average to determine, on a state-by- erative agreements, to the extent prac- a greater number of interceptors at a num- state basis, whether a state institution of ticable. ber of sites, as determined necessary by the higher learning receives 60 percent of the av- The conferees expect the Department of Secretary; (2) fixed, ground-based radars; (3) erage amounts for research and engineering Defense and the services to request an ag- space based sensors, including those sensor obligated by the Department of Defense. gressive fiscal year 1997 MANTECH budget systems that are capable of cuing ground- Cruise missile defense initiative (sec. 274) that reflects program needs. As a goal, the based interceptors and providing initial The Senate amendment contained a provi- Department should consider funding this targeting vectors; and (4) battle manage- program at approximately one percent of the sion (sec. 236) that would establish a cruise ment, command, control, and communica- services’ RDT&E budgets. The conferees also missile defense initiative. The provision tions. believe that the Secretary of Defense should would require the Secretary of Defense to The Senate amendment contained a provi- place the highest priority on addressing the strengthen and coordinate the cruise missile sion (sec. 235) that would direct the Sec- management and budget process issues that defense programs of the Department of De- retary of Defense to take the following steps have adversely affected the MANTECH pro- fense, and provide Congress with a report de- regarding national missile defense (NMD): (1) gram. scribing the Secretary’s plans for imple- develop for deployment an affordable and menting this provision. Five-year plan for consolidation of defense lab- operationally effective NMD system (consist- The House bill contained no similar provi- oratories and test and evaluation centers ing of ground-based interceptors capable of sion. (sec. 277) being deployed at multiple sites, ground- The House recedes with a clarifying The House bill contained a provision (sec. based radars, space-based sensors, and battle amendment. 259) that would require the Secretary of De- management, command, control, and com- munications) to counter a limited, University research initiative support program fense to prepare a five year strategic plan to accidential, or unauthorized ballistic missile (sec. 275) consolidate and restructure the Depart- ment’s research and development labora- attack, and which is capable of attaining ini- The House bill contained a provision (sec. tories and test and evaluation centers. tial operational capability by the end of 2003; 254) that would amend Section 802 of the Na- The Senate amendment contained no simi- (2) develop an interim operational capability tional Defense Authorization Act for Fiscal lar provision. plan that would give the United States the Year 1994 (Public Law 103–160). The provision The Senate recedes with an amendment to ability to field a limited NMD system by the would change the university research initia- include additional study parameters and to end of 1999; (3) prescribe and use streamlined tive support program from a mandatory pro- adjust the limitation on funding obligations; acquisition procedures; (4) employ additional gram to a voluntary program and provide for from 40 percent to 75 percent for the central cost saving measures; and (5) report on his improved review procedures. test and evaluation investment development plan for NMD deployment and an analysis of The Senate amendment contained no simi- program pending submission of the report to options for supplementing the initial NMD lar provision. Congress. architecture to improve cost and operational The Senate recedes. Limitation on T–38 avionics upgrade program effectiveness. The Senate amendment also Revisions of manufacturing of science and tech- (sec. 278) contained a provision (sec. 235(d)(2)) that nology program (sec. 276) The House bill contained a provision (sec. would prohibit the use of Minuteman boost- The House bill contained a provision that 261) that would allow the Department of the ers in any NMD architecture. would eliminate the technology-based focus Air Force to consider foreign companies for The conference agreement does not include for the manufacturing of science and tech- the award of the contract for the T–38 air- a provision on national missile defense. nology program, and provide new emphasis craft avionics upgrade program only if such Ballistic missile defense follow-on technology re- on near-term cost reduction applications. companies are headquartered in countries search and development The provision would also require a larger that allow equal access to United States The House bill contained a provision (sec. non-federal government cost share for 25 per- companies for such contracts. 234) that would provide guidance on follow-on H 620 CONGRESSIONAL RECORD — HOUSE January 22, 1996 technology development for theater and na- Fiber optic acoustic sensor system than fifty percent of the funds appropriated tional ballistic missile defense programs. The budget request included $21.3 million in fiscal year 1996 for the Tomahawk Base- The Senate amendment contained no simi- in PE 63504N for the advanced submarine line Improvement Program to be obligated lar provision. combat systems development program. until the Secretary of the Navy certifies that The House recedes. The House bill contained a provision (sec. a program has been established and fully Policy regarding the ABT Treaty 264) that would authorize $28.2 million for funded. That program would lead to a live the advanced submarine combat systems de- fire test of an Army Extended Range Mul- The Senate amendment contained a provi- velopment program in fiscal year 1996, in- tiple Launch Rocket from an Army launcher sion (sec. 237) that would clarify that the cluding $6.9 million for research and develop- on a Navy ship before October 1, 1997. policies, programs, and requirements of the ment for a fiber optic acoustic sensor system The House bill contained no similar provi- ‘‘Missile Defense Act of 1995’’ (subtitle C of and common optical towed array. The provi- sion. title II of the Senate amendment) can be ac- sion also reduced funding for the advanced The Senate recedes. Further guidance rel- complished through processes specified in submarine systems development program ative to the consideration of the Army Ex- the ABM Treaty, and that would express the (PE 63561N) by $6.9 million. tended Range Multiple Launch Rocket Sys- sense of Congress that the Senate should re- The Senate amendment contained no simi- tem in the Navy Surface Fire Support pro- view the continuing value and validity of the lar provision. gram is contained elsewhere in the State- ABM Treaty. The House recedes. ment of Managers. The House bill contained a provision (sec. The conferees agree to the authorization of 242(c)(2)) that would urge the President to an additional $6.9 million above the budget Depressed altitude guided gun round (DAGGR) pursue high-level discussions with Russia to request in PE 63504N for advanced develop- The budget request contained no funds for amend the ABM Treaty. ment of fiber optic acoustic sensor systems, the depressed altitude guided gun round The conference agreement does not include including the development of common opti- (DAGGR). either provision. cal towed arrays. The Senate amendment contained a provi- sion (sec. 225) that would authorize $5.0 mil- Ballistic missile defense funding Joint targeting support system testbed lion for continued development of the The budget request included $141.4 million The House bill contained a provision (sec. DAGGR system. in PE 24229N for the Tomahawk missile and 241) that would authorize $3.070 billion in The House bill contained no similar provi- the Tomahawk mission planning center pro- Defensewide research, development, test, and sion. evaluation (RDT&E) funds for ballistic mis- grams. The House bill contained a provision (sec. The Senate recedes. DAGGR technology sile defense programs. has indicated potential capability which The Senate amendment contained no simi- 265) that would reallocate project funding within PE 24229N. The provision would in- might be used to counter threats such as 122- lar provision. crease funding for Tomahawk theater mis- millimeter rockets and cruise missiles. The The House recedes. The conferees discuss sion planning by $10.0 million in order to es- conferees encourage the Secretary of the funding for ballistic missile defense pro- tablish a joint targeting support system Army to include this program in the fiscal grams elsewhere in this Statement of Man- testbed and would reduce funding for Toma- year 1997 budget request, and, if warranted, agers. hawk missile development by $10.0 million, consider a reprogramming request to provide Allocation of funds for medical countermeasures as an offset. funding for DAGGR in fiscal year 1996. against biowarfare threats The Senate amendment contained no simi- Army echelon above corps communication The House bill contained a provision (sec. lar provision. The budget request included $5.9 million 251) that would amend section 2370a of title The House recedes. for Army echelon above corps communica- The conferees agree to an additional au- 10, United States Code, to permit the obliga- tions. thorization of $4.0 million in PE 24229N to tion or expenditure of up to 50 percent of The House bill would authorize the budget initiate development of a joint targeting funds authorized for the medical component request. support system testbed (JTSST) for dem- of the Department of Defense Biological De- The Senate amendment included a provi- onstration of potential joint targeting oper- fense Research program for product develop- sion (sec. 226) that would provide an increase ations. The conferees understand that an ini- ment, or for research, development, test, or of $40.0 million to procure additional com- tial study would investigate the relative evaluation of medical countermeasures re- munications equipment for the Army’s eche- roles of the existing systems installed in the lated to mid-term or far-term validated lons above corps. Tomahawk mission planning center and biowarfare threat agents. The Senate recedes. other mission planning systems that are The Senate amendment contained no simi- The conferees agree to authorize the in- being developed by the individual military lar provision. crease of $40.0 million for the procurement of services. It is recognized that these systems The House recedes. additional communications equipment for are projected to have embedded precision The conferees note with concern that the the Army’s echelons above corps. weapons planning capabilities. recent progress in bio-technology could po- The conferees expect that the results of Sense of the Senate on the Director of Oper- tentially lead to the development of new bio- the initial JTSST study and follow-on dem- ational Test and Evaluation logical warfare agents and capabilities onstrations will contribute to the definition The Senate amendment contained a provi- among potential adversaries of the United of long-term objectives, guidelines, and sion (sec. 242) that would express a sense of States. The conferees direct that the Depart- schedule milestones for convergence of the the Senate that would discourage any at- ment report to the congressional defense Navy/Marine Corps tactical aircraft mission tempt to diminish or eliminate the Office of committees by March 1, 1996 on the national planning systems and the Air Force mission the Director of Operational Test and Evalua- security threats posed by such potential de- support system, and should lead to the devel- tion or its functions. velopments of new agents through advances opment of a joint mission planning system The House bill contained no similar provi- in bio-technology and genetic engineering. architecture for the military services. sion. The report should also include recommenda- The conferees direct the Secretary of De- The Senate recedes. tions related to reducing the impact of fense to report to the congressional defense Ballistic missile defense technology center progress in these areas, examine the utility committees as soon as possible, but no later of increased emphasis on research and devel- than the submission of the fiscal year 1998 The Senate amendment contained a provi- opment of medical countermeasures related budget request. This report shall describe sion (sec. 243) that would establish a ballistic to mid-term or far-term biowarfare threat the Secretary’s plan for implementing the missile defense technology center within the agents; and identify other measures that recommendations that result from the study. Space and Strategic Defense Command of the Army. could reduce the threat of these techno- Battlefield Integration Center logical advances and reduce the threat of bi- The House bill contained no similar provi- The Senate amendment contained a provi- ological agent and weapons proliferation. sion. sion (sec. 201(4)(C)) that would authorize the The Senate recedes. Cross reference to congressional defense policy use of up to $25.0 million in Defensewide re- TITLE III—OPERATION AND MAINTENANCE concerning national technology and indus- search, development, test, and evaluation trial base, reinvestment, and conversion in (RDT&E) funds made available for Other Overview operation of defense research and develop- Theater Missile Defense activities for the The budget request for fiscal year 1996 con- ment programs Army’s Battlefield Integration Center (BIC). tained an authorization of $91,634.4 million The House bill contained a provision (sec. The House bill contained no similar provi- for Operation and Maintenance in the De- 262) that would cross-reference sections sion. partment of Defense and $1,852.9 for Working 2358(a)(2)(B) and 2371(a) with section 2501 of The Senate recedes. Capital Fund Accounts in fiscal year 1996. title 10, United States Code, to encourage The conferees agree to authorize an in- The House bill would authorize $94,420.2 mil- the use of dual-use technology programs in crease of $21.0 million in PE 63308A for the lion for Operation and Maintenance and defense research and technology programs. BIC. $2,452.9 for Working Capital Fund Accounts. The Senate amendment contained no simi- Marine Corps shore fire support The Senate amendment would authorize lar provision. The Senate amendment contained a provi- $91,408.8 million for Operation and Mainte- The House recedes. sion (sec. 213) that would not allow more nance and $1,962.9 for Working Capital Fund January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 621 Accounts. The conferees recommended an ation and Maintenance and $1,902.9 for Work- 1996. Unless noted explicitly in the state- authorization of $92,616.4 million for Oper- ing Capital Fund Accounts for fiscal year ment of managers, all changes are made without prejudice. H 622 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 623 H 624 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 625 H 626 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 627 H 628 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 629 H 630 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 631 H 632 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 633 H 634 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 635 H 636 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 637 H 638 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 639 H 640 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 641 H 642 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 643 H 644 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 645 H 646 CONGRESSIONAL RECORD — HOUSE January 22, 1996 PACER COIN of Department of Defense inventories. The for the procurement and modification of The budget request included $5.5 million in conferees direct that $180.0 million be trans- RRF RO/RO vessels as follows: procurement and $19.5 million in operations ferred from the DBOF to the following O&M (1) $20.0 million to modify RO/RO vessels and maintenance funding for the PACER accounts: Army, $60.0 million; Navy, $60.0 purchased in fiscal year 1995; and COIN aircraft. million; Air Force, $60.0 million. (2) $50.0 million to procure and install de- The House bill would deny all funding, ef- Restriction on devolving the Defense Environ- fense features on commercial RO/RO vessels fectively terminating this program. mental Restoration Account to the military that would be built in United States ship- The Senate amendment would authorize services yards. the Department’s request. In a memorandum dated May 3, 1995, the The conferees agree that, of the amount The House recedes. Deputy Secretary of Defense announced a authorized for the NDSF, $50.0 million shall The conferees agree to authorize the budg- proposal to devolve the Defense Environ- be for the procurement and installation of et request. Nevertheless, the conferees have mental Restoration Account (DERA), a sin- NDF and $20.0 million shall be for modifica- serious reservations about whether the gle transfer account administered by the De- tion of the RRF RO/RO vessels purchased in PACER COIN program, within its current partment of Defense, to four separate trans- fiscal year 1995. The conferees also restrict mission tasking, provides such unique intel- fer accounts administered by the individual the obligation of the $20.0 million authorized ligence collection as to justify continued military services. The execution of the Dep- for the modification of RRF RO/RO vessels spending of limited resources on this mis- uty Secretary of Defense’s proposal would re- until 30 days after the Secretary of Defense sion. However, the conferees agree that: quire modification of the DERA statutory has notified the congressional defense com- (1) terminating the PACER COIN program framework. mittees that a NDF program has been for- immediately this fiscal year would place un- The conferees are concerned the devolution mally established and that at least $50.0 mil- acceptable stresses on the personnel system; of DERA would impede congressional over- lion has been made available to fund it. (2) the Department has already obligated sight of the management and use of funds MARITIME PREPOSITIONING SHIP ENHANCEMENT fiscal year 1996 funds for this mission; and authorized for and appropriated to the ac- (3) the Air Force would need funds to ter- count. In relation to devolvement, the con- The budget request of $974.2 million for the minate the program and provide proper air- ferees desire a thorough description of the national defense sealift fund (NDSF) did not craft/equipment disposition. means by which the Department of Defense include funding for any enhancements to the The conferees direct the Department to de- would ensure consistent funding and ac- Marine Corps’ maritime prepositioning force. termine whether or not the PACER COIN countability for environmental restoration In order to continue a program initiated aircraft could be used in a dual use role. The activities. Moreover, the Department of De- last year, the Senate amendment would au- conferees believe that the analysis should fense needs to identify the monetary savings thorize $110.0 million above the NDSF budget answer several questions, including at least and administrative efficiencies associated request to purchase and convert an addi- the following: with DERA devolvement. The Department of tional MPS ship. (1) Could the aircraft be used, without cer- Defense also must specify funding and staff- The House bill would authorize the budget tain PACER COIN systems, in an air drop ing reductions for the office of the Deputy request. It did not address the issue of MPS role? Under Secretary of Defense for Environ- enhancement. (2) Could the aircraft be configured to si- mental Security that would result from The conferees would not authorize funds multaneously perform the PACER COIN mis- DERA devolution. for MPS enhancement in the conference sion and carry the SENIOR SCOUT tactical The conferees agree that, in the event that agreement. However, the conferees reaffirm intelligence system? the Department of Defense intends to pursue their strong support for the MPS enhance- (3) What alternatives are there for filling legislation to authorize devolvement for fis- ment program. This program will enable the the requirements of the regional Commander cal year 1997, the Secretary of Defense must Marine Corps to add additional tanks, an ex- in Chief if the PACER COIN program is ter- submit a report to Congress, no later than peditionary airfield, additional Navy con- minated? March 31, 1996. The report should provide full struction battalion equipment, a fleet hos- (4) What would be the effects of failing to justification for DERA devolvement and ad- pital, and other supplies to each MPS squad- meet the requirements of the regional Com- dress the matters outlined above. In the ab- ron, to better sustain the Marine Corps as an mander in Chief for the PACER COIN capa- sence of the requested information this year, expeditionary force. bility? the conferees decline to authorize a change The conferees believe that there are sub- The conferees direct the Secretary of De- to the existing statutory scheme for DERA stantial benefits inherent in an MPS en- fense to report to the congressional defense at this time. hancement program. Consequently, the con- and intelligence committees on the results National defense sealift fund ferees are troubled by the department’s fail- of this analysis by May 1, 1995. ure to include funding for a second MPS en- SUMMARY If the Department determines that dual hancement ship in the fiscal year 1996 budget use of the aircraft is not practical, the con- The budget request included $974.2 million request, and by the lack of progress in ac- ferees direct the Department to determine in the national defense sealift fund (NDSF) quiring and converting the MPS enhance- proper disposition of the PACER COIN mis- for the procurement of two new strategic ment ship authorized and appropriated in fis- sion aircraft (e.g. permanent aircraft storage sealift ships, operations and maintenance of cal year 1995. or deconfiguration from the current mission the national defense reserve fleet (NDRF), The conferees note, however, that the configuration). acquisition and modification of additional Navy appears to have made some recent If the Department determines that dual ships for the ready reserve force (RRF) of the progress in developing a well-defined pro- use of the aircraft is practical, and that the NDRF, and research and development of mid- gram. In view of the above, the conferees operational unit can fulfill multiple mis- term sealift ship technologies. strongly encourage the Secretary of Defense The House bill would authorize $974.2 mil- sions, the conferees direct the department to accelerate the pace at which additional lion for the NDSF, the budget request. to: sealift capability is acquired (to include The Senate amendment would authorize (1) maintain the PACER COIN aircraft in a funding for a second MPS enhancement ship $1.08 billion for the NDSF, an increase of reconfigurable state for use in those mul- in fiscal year 1997). However, the conferees $110.0 million. This increase would be for the tiple roles and retain the PACER COIN mis- expect the Secretary to adhere to the purpose of purchasing and converting one ad- sion equipment for future contingency or na- prepositioning, surge, and RRF priorities es- ditional ship for enhancement of the Marine tional disaster mission uses; and tablished by the Mobility Requirements Corps’ maritime prepositioning ship (MPS) (2) begin training for those appropriate Study (MRS) and validated by the MRS Bot- program. new missions, including air drop, as soon as The conferees agree to authorize $1.02 bil- tom Up Review Update. possible to ensure a smooth transition from lion for the NDSF, an increase of $50.0 mil- The conferees also expect the Navy to ag- the PACER COIN-unique mission. lion. Items of special interest are discussed gressively pursue all possible procurement ITEMS OF SPECIAL INTEREST in the following sections. options, including multi-ship and commer- cial procurement, to achieve the cost savings DBOF transfers NATIONAL DEFENSE FEATURES associated with the acquisition, conversion, The conferees reduced the civilian person- The House bill did not authorize the $70.0 and delivery of MPS enhancement vessels. nel funding request by $226.0 million. Of this million included in the NDSF budget request The Secretary of Defense is directed to re- amount, the conferees expect that $96.0 mil- for the procurement and modification of ad- port on the progress made in meeting this lion will be realized from projected savings ditional roll-on/roll-off (RO/RO) ships for the goal when he submits the fiscal year 1997 from Defense Business Operations Fund RRF. Instead, it would authorize $70.0 mil- budget request. (DBOF) activities. The conferees direct that lion for the procurement and installation of $96.0 million be transferred from the DBOF national defense features (NDF) on commer- ADVANCED SUBMARINE TECHNOLOGY RESEARCH to the accounts from which the reductions cial vehicle carriers built in and documented The conferees agree that, of the amount are taken. under the laws of the United States, as re- appropriated for fiscal year 1996 for the The conferees also reduced the operation quired by section 2218, title 10, United States NDSF, $50.0 million shall be available only and maintenance (O&M) accounts of the Code. for the Director of the Advanced Research services by $180.0 million, in anticipation of The Senate amendment dealt with the $70.0 Projects Agency for advanced submarine savings from efficiencies in the management million included in the NDSF budget request technology activities. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 647 National Security Agency oversight count for a substantial share of moving in- eration of the AFRH than is available from The budget request included $5.0 million in dustry work, DOD should be able to imple- income. The corpus of the trust fund is being operations and maintenance (O&M) funds ment simple, cost-effective procedures which depleted, and the conferees recognize the and 82 new personnel billets for National Se- simultaneously assure first class service for need to implement changes to prevent insol- curity Agency (NSA) oversight of tactical customers. vency. The conferees believe it would be signals intelligence (SIGINT) system devel- However, current DOD practices do not re- easier, preferable, and more advantageous to opment. flect best industry practices, such that the implement corrective measures in the next The House bill would not authorize the $5.0 DOD operation should be reengineered, rath- few years, rather than wait for the problem million O&M request. er than simply reorganized. The conferees di- to become much more serious. The Senate amendment would authorize rect the Secretary of Defense to initiate a The conferees note that Congress addressed the budget request. pilot program to reengineer household goods the funding problem in the National Defense The conferees question the necessity for 82 moves. The Secretary should direct the in- Authorization Act for Fiscal Year 1995 by persons to perform a function that could be corporation of commercial practices, and re- providing authority for an increase in the significantly facilitated by automation and port on the program not later than February monthly assessment. The 1995 provision also improved electronic connectivity, but recog- 15, 1996, prior to implementation of any ele- established a schedule of increases for resi- nize both the importance of the program and ment of the pilot program. The report should dent fees and required a comprehensive the commitment of the Deputy Secretary of be accompanied by comments from the in- study by the Board on funding alternatives Defense and the Director of NSA to this ef- dustry. for the AFRH. However, the study will not be fort. Accordingly, the conferees agree to au- The Secretary may not implement any ele- completed until December 1995, and the De- thorize the budget request, but direct that ment of the pilot program that could ad- partment of Defense has declined to increase the 82 billets be transferred from the Con- versely affect small businesses, including ex- the assessment prior to completion of the solidated Cryptological Program (CCP) to tension or application of Federal Acquisition study. The conferees note that an increase in the Defense Cryptological Program (DCP), Regulations into this matter, until 90 days the assessment, from 50 cents to one dollar resulting in no net gain in United States after the submission of the report. per month, may not of itself resolve the cash SIGINT System activities. The conferees un- LEGISLATIVE PROVISIONS flow problem. A combination of efficiencies and funding program changes may be appro- derstand that this billet transfer may tempo- LEGISLATIVE PROVISIONS ADOPTED rarily force NSA to exceed its personnel ceil- priate. Subtitle A—Authorization of Appropriations ings. The conferees agree to authorize NSA The conferees strongly support the fine to remain above its personnel ceiling Armed Forces Retirement Home (sec. 303) work of the Board, and agree to wait for the through fiscal year 1997 for this purpose, but The House bill contained a provision (sec. outcome of the study in order not to restrict expect that, as of September 30, 1997, NSA 303) that would authorize an appropriation the consideration of efficiencies. The con- will meet its congressionally mandated 17.5 from the Armed Forces Retirement Home ferees encourage the Secretary of Defense percent reduction target. The conferees also (AFRH) Trust Fund for operation of the and the Board to continue their efforts to ex- urge NSA to review the requirements for AFRH in fiscal year 1996. amine alternative methods of meeting the each of these billets for validity and consist- The Senate amendment contained a provi- long-term financial requirements of the ency. sion (sec. 303) that would authorize an iden- AFRH, while maintaining high quality serv- ice for the residents. Department of Defense next generation weather tical appropriation from the trust fund, and radar-doppler authorize a new appropriation of $45.0 mil- Transfer from National Defense Stockpile lion to the trust fund. The recommendation Transaction Fund (sec. 304) The Department of the Air Force operates for this new appropriation directly to the 21 next generation weather radar-doppler The Senate amendment contained a provi- trust fund would address the problem of its (NEXRAD) weather radar equipment in sion (sec. 304) that would authorize the potential insolvency due to unanticipated CONUS that primarily function to protect transfer of $150.0 million from the National decreases in the long-established funding military locations. Additionally, Depart- Defense Stockpile Transition fund to the op- stream approved by Congress for operation of ment of Defense (DOD) radar provides sup- eration and maintenance accounts of the the AFRH. plementary data to the National Weather services. The Senate recedes. Service (NWS) and its national radar net- The House bill contained no similar provi- Congress established a funding program work. sion. whereby the AFRH would be self-sustaining, The House recedes. DOD NEXRADs are maintained at oper- and not dependent on public funds. The U.S. ational standards that meet military re- Civil Air Patrol (sec. 305) Soldiers’ and Airmen’s Home in Washington, quirements. Due to increasing NWS reliance The Senate amendment contained a provi- DC, has operated successfully according to on the DOD NEXRADS for primary and sion (sec. 305) that would reduce the level of this program since its inception in 1851. The back-up coverage, efforts have been made to Department of Defense support to the Civil U.S. Naval Home (established in 1834 and lo- increase the reliability of the DOD radar to Air Patrol (CAP) by $2.9 million from the cated since 1976 in Gulfport, MS) had been meet NWS operating standards. budget request of $27.5 million. funded differently, relying on public funds The conferees direct the Secretary of the The House bill contained no similar provi- from 1935 until 1991, when both homes were Air Force to report by March 31, 1996, on the sion. incorporated into the AFRH (Armed Forces measures needed to conform the operation of The House recedes with a clarifying Retirement Home Act of 1991; P.L. 101–510). the NEXRADS to the NWS operating stand- amendment. The Act brought both homes under the uni- ards. The report should address any resource This reduction would realize savings by ac- fied management of the Armed Forces Re- requirements, including personnel and funds. celerating a CAP reorganization in which tirement Home Board and merged the trust Reengineering household goods moves many of the functions performed by Air funds of the two homes. Force personnel in the past would then be The conferees commend the Department of Subsequent to incorporation, the annual performed by employees of the CAP. This re- Defense for initiating efforts to incorporate operating costs for both homes of the AFRH organization, which was originally planned efficient business practices in its household have been authorized by Congress, to be to be completed in fiscal year 1997, will now goods moving operations. The objective of drawn (appropriated) from a single trust be completed during fiscal year 1996. these efforts should be to procure commer- fund. Since the funding program provided cial services at the lowest possible cost while that interest from the trust fund, fines and Subtitle B—Depot-Level Activities ensuring service members and their families forfeitures, and a monthly assessment from Policy regarding performance of depot-level receive the best possible service. the pay of active duty enlisted service mem- maintenance and repair for the Department Current procurement practices are cum- bers and warrant officers would maintain the of Defense (sec. 311) bersome and inefficient, resulting in clearly solvency of the trust fund, no appropriation The House bill contained a provision (sec. unacceptable costs for both DOD and the outside the fund was envisioned to be nec- 395) that would amend current law to estab- moving industry. It is not apparent that the essary. lish the importance to national security of time and expense associated with processing However, Congress did not anticipate the maintaining a core depot-level maintenance redundant paperwork and administering a magnitude of reductions in the armed forces and repair capability within Department of government-unique system are necessary to prompted by the end of the Cold War. These Defense (DOD) facilities. The provision ensure a level of service for DOD customers reductions caused a decrease in the funding would address core work determinations, that meets the industry standard. stream as the income derived from assess- interservicing, competition, and an exclu- Further, current practices are structured ments decreased. The high quality of the sion from workload limitations for large in- in such a way that service members and force resulted in fewer disciplinary problems, dividual maintenance projects. It would also their families are subjected to unnecessary which in turn resulted in less income from repeal two limitations on the performance of administrative burdens. Claims procedures fines and forfeitures. This is significant be- depot-level work (10 U.S.C. 2466 and 2469), ef- and the evaluation system are outdated and cause fines and forfeitures account for more fective December 31, 1996. seemingly disconnected from the concept of than half the income. The Senate amendment contained a provi- quality control, and can be frustrating to The trust fund now has a negative cash sion (sec. 311) that would require the Sec- customers. Because military relocations ac- flow because more money is required for op- retary of Defense to develop a comprehensive H 648 CONGRESSIONAL RECORD — HOUSE January 22, 1996 policy on the performance of depot-level 10, United States Code, concerning notifica- ance are the Defense Environmental Res- maintenance and repair, and submit a report tion to Congress regarding the effective date toration Account (DERA) and the Base Re- on the policy to the congressional defense of the subject waiver. alignment and Closure Account (BRAC). Sec- committees by March 31, 1996. The provision The Senate amendment contained no simi- tion 2705(e)(3)(B) provides a $7.5 million limit would condition the repeal of the two cur- lar provision. on the use of DERA and BRAC funds to pay rent limitations on congressional approval of The Senate recedes. for RAB technical assistance and community the recommended policy. Subtitle C—Environmental Provisions participation in fiscal year 1995. Under sec- The House recedes with an amendment tion 2705(d)(3), routine administrative ex- that would clarify both the content of the Revision of requirements for agreements for penses for RABs may be paid out of funds policy and considerations to be made by the services under the defense environmental available for the operation and maintenance Secretary. The amendment would also affirm restoration program (sec. 321) of an installation, without any limit on the that it is the sense of Congress that DOD The Senate amendment contained a provi- amount of funds that may be expended for must articulate core workload requirements sion (sec. 321) that would amend section that purpose. as a necessary first step toward developing a 2701(d) of title 10, United States Code, to en- The Senate amendment would amend sec- policy. sure Department of Defense accountability tion 2705 to limit funding sources to BRAC The conferees believe that it would be ex- for reimbursements provided to states or ter- and DERA, not to exceed $4.0 million in fis- tremely difficult for Congress to approve a ritories. The Senate amendment would limit cal year 1996. Funds would be made available policy that does not provide for the perform- the basis for state reimbursement. First, only for routine administrative expenses and ance of core depot-level workload in public states or territories participating in agree- technical assistance. The installation com- facilities. ments under the defense environmental res- mander could obtain technical assistance for Although the conferees do not wish to pre- toration program would only receive reim- a RAB to interpret scientific and engineering scribe more than a broad outline of the areas bursement for providing technical and sci- issues related to the environmental restora- to be addressed by the Secretary, the con- entific services. Second, the provision would tion activities at the installation where the ferees believe it is useful to direct the Sec- require the submission of a reprogramming RAB is functioning. retary to consider numerous matters in de- The House bill contained no similar provi- veloping the policy, and to report on items of request for amounts in excess of $5.0 million. The House bill contained no similar provi- sion. interest. The House recedes with an amendment The conferees believe it is both preferable sion. The House recedes with an amendment that would increase the funding authoriza- and entirely possible for DOD to develop an tion to $6.0 million. As part of the amend- acceptable, comprehensive policy that will that would increase the funding authoriza- tion to $10.0 million. ment, the conferees have included language serve the best interests of national security. that would make funds unavailable after The conferees also believe that such a policy Addition of amounts creditable to the defense September 15, 1996, unless the Secretary of could achieve efficiencies, and result in re- environmental remediation account (sec. Defense publishes proposed final or interim solving the constant debate over how to ap- 322) final regulations. Based on section 2705(d)(2) portion work between the public and private The House bill contained a provision (sec. of title 10, United States Code, the conferees sectors. 322) that would provide for transfer account With respect to the exclusion for large in- anticipate that the Department would al- credit of amounts recovered under section dividual maintenance projects contained in ready have made some progress in the pro- the House provision, the conferees note that 107 of the Comprehensive Environmental Re- mulgation of regulations. Funding for private sector sources of tech- certain projects may account for a large sponse, Compensation and Liability Act of nical assistance would be contingent on the share of a military department’s mainte- 1980 (CERCLA) (42 U.S.C. 9601, et seq.) or following: (1) a demonstration that the exist- nance and repair budget. This is the case from other reimbursements to the Depart- with respect to complex overhauls of naval ment of Defense for environmental restora- ing technical resources of the Federal, state, vessels, particularly nuclear-powered air- tion activities. and local agencies responsible for overseeing craft carriers, whose overhaul and refueling The Senate amendment contained no simi- environmental restoration at an installation can absorb a large percentage of the Navy’s lar provision. could not serve the objective for which tech- maintenance and repair budget in a given The Senate recedes with a technical nical assistance is requested; or (2) outside fiscal year. Amounts expended for such large amendment. assistance is likely to contribute to the effi- projects could, if counted against the limita- Sense of Congress on use of defense environ- ciency, effectiveness, or timeliness of envi- tion prescribed under current law (10 U.S.C. mental restoration account (sec. 323) ronmental restoration at an installation; and (3) outside assistance is likely to con- 2466), affect the application of the formula The House bill contained a provision (sec. for the apportionment of work between the tribute to community acceptance of environ- 326) that would express the sense of Congress mental restoration activities at an installa- public and private sectors. that by the end of fiscal year 1997 no more The conferees note that the impact of large tion. than 20 percent of the annual funding for the maintenance projects could have unintended The conferees intend that the funds au- consequences on the application of section Defense Environmental Restoration Account thorized pursuant to this section would be 2466. Until the workload limitations are re- should be spent for administration, support, the primary funding source for technical as- pealed, the conferees direct the Secretary of studies, and investigations. sistance and administrative expenses associ- the Navy to monitor the assignment of large The Senate amendment contained no simi- ated with RABs. The conferees strongly en- individual maintenance projects closely and lar provision. courage the Secretary of Defense to ensure continue to administer depot maintenance The Senate recedes with an amendment that funds authorized for RABs are expended programs to avoid unintended imbalances in that would establish a goal that by the end in a manner that is consistent with obtain- workload distribution insofar as practicable. of fiscal year 1997 no more than 20 percent of ing technical assistance and with payment of Management of depot employees (sec. 312) the annual funding for the Defense Environ- administrative expenses, and is dispensed in mental Restoration Account should be spent The House bill contained a provision (sec. accordance with the funding mechanism es- for administration, support, studies, and in- 332) that would prohibit the management of tablished in this section. The RAB program vestigations. The amendment would also re- depot employees by endstrength constraints. should not serve as a drain on the Superfund. quire the Department of Defense to submit a The Senate amendment contained no simi- Discharge from vessels of the Armed Forces (sec. report to Congress by April 1, 1996. The re- lar provision. 325) The Senate recedes. port would specify issues related to attaining the 20 percent goal. The Senate amendment contained a provi- Extension of authority for aviation depots and sion (sec. 322) that would address incidental naval shipyards to engage in defense-relat- Revision of authorities relating to restoration discharges from vessels of the armed forces ed production and services (sec. 313) advisory boards (sec. 324) through the development of uniform na- The Senate amendment contained a provi- The Senate amendment contained a provi- tional discharge standards. The Federal sion (sec. 312) that would extend through fis- sion (sec. 323) that would amend section 2705 Water pollution Control Act, 33 U.S.C. 1251 et cal year 1996 the authority provided by sec- of title 10, United States Code, which author- seq., and implementing regulations cur- tion 1425 of the National Defense Authoriza- izes establishment of restoration advisory rently exempt incidental vessel discharges tion Act of 1991, as amended, for naval ship- boards (RABs) to assist the Department of from permitting requirements. Incidental yards and aviation depots of all the services Defense with environmental restoration ac- discharges remain subject to varying state to bid on defense-related production and tivities at military installations. Section regulation. The lack of uniformity has pre- services. 2705 also provides a funding framework for sented operational problems for the Navy. The House bill contained no similar provi- local community members of RABs and ex- The Senate amendment is modeled after sion. isting technical review committees. section 312 of the Federal Water Pollution The House recedes. About 200 Restoration Advisory Boards Control Act, 33 U.S.C. 1322, which establishes Modification of notification requirement regard- have been established at operational and uniform national discharge standards for ing use of core logistics functions waiver closing installations and formerly used de- sewage discharges from all vessels. The (sec. 314) fense sites. Under current law, the RAB standards provision would extend this model The House bill contained a provision (sec. funding sources for local community mem- to regulate non-sewage incidental discharges 374) that would modify section 2464(b) to title ber participation and for technical assist- from vessels of the armed forces. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 649 The House bill contained no similar provi- The Senate recedes. recognition of the unique direct appropria- sion. Demonstration project for uniform funding of tion nature of commissaries as an entity of The House recedes with a clarifying morale, welfare, and recreation activities at the Defense Business Operations Fund, the amendment. certain military installations (sec. 335) conferees direct that the military exchanges, Subtitle D—Commissaries and The House bill contained a provision (sec. other nonappropriated fund instrumental- Nonappropriated Fund Instrumentalities 346) that would require the Secretary of De- ities, and commissaries be permitted to be Operation of commissary system (sec. 331) fense to conduct a demonstration program at included in the Department of Defense for- six military installations under which funds eign currency fluctuation fund. The House bill contained a provision (sec. Associated with the drawdown in Europe appropriated for the support of morale, wel- 341) that would revise the operation of the was an initiative to transfer operations of fare, and recreation programs at the instal- commissary store system, allow contracts the Stars and Stripes Bookstores to the mili- lations are combined with nonappropriated with other agencies, and revise payments to tary exchanges. This transfer has a residual funds available for these programs and treat- vendor agents. impact upon certain employees. The con- ed as nonappropriated funds. The Senate amendment contained no simi- ferees direct that the Army and Air Force The Senate amendment contained no simi- lar provision. Exchange Service accept responsibility for The Senate recedes with an amendment lar provision. resolving the issue of employment, sever- that would eliminate the revision of pay- The Senate recedes with an amendment ance, and back pay for the 15 local national ments to vendor agents. which would extend the test to two years. employees formerly employed by the Stars The conferees are concerned about the high Operation of combined exchange and com- and Stripes. The conferees expect that the cost of the Defense Finance and Accounting missary stores (sec. 336) Army and Air Force Exchange Service can, Service procedures to process the 1.5 million The House bill contained a provision (sec. in conjunction with the Army and Air Force annual commissary invoices. The conferees 347) that would permit the continued oper- headquarters in Europe, resolve the current believe that innovative practices need to be ation of the base exchange mart at Fort job action concerning these 15 local national pursued to reduce this burden. The adminis- Worth Naval Air Station, Texas, and would employees using funds provided in this sec- trative costs consume funding that could allow for the expansion of the Base Exchange tion. otherwise be used to improve patron services Mart Program. or reduce costs. Study regarding improving efficiencies in oper- The Senate amendment contained no simi- ation of military exchanges and other mo- The conferees direct the Secretary of De- lar provision. fense to conduct a review of innovative prac- rale, welfare, and recreation activities and The Senate recedes with a clarifying commissary stores (sec. 339) tices to reduce this cost. Included in this re- amendment. view should be an examination of the rela- The conferees approve this expansion with The House bill contained a provision (sec. tionship between the current distribution the understanding that they do not intend 350) that would require the Secretary of De- and invoicing practices. The Secretary of De- that exchange marts replace viable com- fense to conduct a study and submit a report fense should report to the Senate Committee missaries. When a commissary is identified to Congress regarding the manner in which on Armed Services and the House Committee for closure, the exchange system will be per- greater efficiencies can be achieved in the on National Security by February 15, 1996 on mitted to conduct a market survey to deter- operation of military exchanges, commissary the recommended actions, if any, to reduce mine the viability of an exchange mart in stores, and other morale, welfare, and recre- these costs and how any savings will be used. the closing commissary facility. The con- ation activities. The Senate amendment contained no simi- Additionally, the conferees note that the ferees do not expect that an exchange mart lar provision. Defense Commissary Information System would be in direct competition with a com- and the Point-of-Sale Modernization pro- The Senate recedes. missary operating in close proximity to a The conferees agree with the findings and grams are essentially off-the-shelf commer- proposed exchange mart. cial grocery systems designed to improve pa- scope of the study called for in the House re- The conferees expect that exchange marts port (H. Rept 104–131). The conferees believe tron service and increase efficiency of com- will operate in a manner in which missary operations. As such, the conferees that the Department of Defense should seek nonappropriated funds are not required to opportunities to reduce labor costs in resale believe the Secretary of Defense should get sustain their operation. The conferees expect these systems on line and operating with the activities and to reduce excessive overhead. that every effort will be made to operate the Additionally, the conferees agree that sig- minimum of review required to ensure inter- exchange marts in a manner which requires face with other government data systems nificant economies and revenue potential only a minimal amount of appropriated fund can be realized in the area of management and compliance with legislation and regula- support. tions essential to protect the interests of the and oversight of overseas slot machine oper- Deferred payment programs of military ex- government. ations. The conferees direct the Secretary of changes (sec. 337) Defense consider and, if appropriate, submit Limited release of commissary store sales infor- The House bill contained a provision (sec. a plan to have one service serve as the execu- mation to manufacturers, distributors, and 348) that would require the Secretary of De- tive agent for the consolidated management other vendors doing business with Defense fense to establish a uniform exchange credit and operation of this function. Commissary Agency (sec. 332) program that could use commercial banking Repeal of requirement to convert ships’ stores to The House bill contained a provision (sec. institutions to fund and operate the deferred nonappropriated fund instrumentalities 343) that would amend the procedures for the payment programs of the Army and Air (sec. 340) release of commissary stores sales informa- Force Exchange Service and the Navy Ex- The House bill contained a provision (sec. tion. change Service. 351) that would extend, to December 31, 1996, The Senate amendment contained no simi- The Senate amendment contained no simi- the deadline for the conversion of all Navy lar provision. lar provision. The Senate recedes. ships’ stores to operate as nonappropriated The Senate recedes with an amendment fund activities. Economical distribution of distilled spirits by that would clarify the provision by ensuring The Senate amendment contained a provi- nonappropriated fund instrumentalities that any proposal be competitively awarded sion (sec. 373) that would repeal section 371 (sec. 333) and that prior to entering into any commer- of the National Defense Authorization Act The House bill contained a provision (sec. cial program the Secretary determine that it for Fiscal Year 1994 (Public Law 103–160) re- 344) that would amend the procedures for the is in the best interests of the exchange sys- quiring the Navy to convert ships’ stores op- determination of the most economical dis- tems. erations to a Navy Exchange System agency. tribution of distilled spirits. Availability of funds to offset expenses incurred The House recedes with an amendment The Senate amendment contained no simi- by Army and Air Force Exchange Service on that would require the Inspector General of lar provision. account of troop reductions in Europe (sec. the Department of Defense to complete a re- The Senate recedes with a technical 338) view of the Navy Audit Agency report re- amendment. The House bill contained a provision (sec. garding the conversion of the Ships Stores Transportation by commissaries and exchanges 349) that would require that the Secretary of pursuant to section 374 of the National De- to overseas locations (sec. 334) Defense transfer not more than $70 million fense Authorization Act for Fiscal Year 1995 The House bill contained a provision (sec. to the Army and Air Force Exchange Service (Public Law 103–337). 345) that would allow officials responsible for to offset expenses incurred by the Army and Disposition of excess morale, welfare, and recre- the operation of commissaries and military Air Force Exchange Service on account of re- ation (MWR) funds (sec. 341) exchanges the authority to negotiate di- ductions in the number of military personnel The Senate amendment contained a provi- rectly with private carriers for the most in Europe. sion (sec. 371) that would amend section 373 cost-effective transportation of supplies by The Senate amendment contained no simi- of the National Defense Authorization Act sea, without relying on the Military Sealift lar provision. for Fiscal Year 1995 to permit the Marine Command or the Military Traffic Manage- The Senate recedes with a technical Corps to retain the MWR funds transferred ment Command. amendment. from Marine Corps installations. The Senate amendment contained no simi- In order to avoid disruption of operations The House bill contained no similar provi- lar provision. associated with currency fluctuations and, in sion. H 650 CONGRESSIONAL RECORD — HOUSE January 22, 1996 The House recedes. audit accounting and procurement records of The Senate recedes. Clarification of entitlement to use of morale, the Department of Defense. Restatement of requirement for semiannual re- welfare, and recreation facilities by members The Senate amendment contained no simi- ports to Congress on transfers from high- of Reserve components and dependents (sec. lar provision. priority readiness appropriations (sec. 362) The Senate recedes. 342) The House bill contained a provision (sec. The Senate amendment contained a provi- Pilot program on private operation of defense 373) that would amend section 361 of the Na- sion (sec. 633) that would amend section 1065 dependents’ schools (sec. 355) tional Defense Authorization Act for Fiscal of title 10, United States Code, to give mem- The House bill contained a provision (sec. Year 1995 in order to provide more detailed bers of the retired reserve who would be eli- 364) that would allow the Secretary of De- guidance on the report required. gible for retired pay but for the fact that fense to conduct a pilot program to assess The Senate amendment contained no simi- they are under 60 years of age the same pri- the feasibility of using private contractors lar provision. ority of use of morale, welfare, and recre- to operate overseas dependents’ schools and The Senate recedes with a clarifying ation facilities of the military services as to report the results of the pilot program to amendment. The conferees are disappointed members who retired after active duty ca- Congress. that the Department of Defense has not been reers. The Senate amendment contained no simi- sufficiently thorough in reporting on trans- The House bill contained no similar provi- lar provision. fers from high-priority readiness appropria- sion. The Senate recedes. tions and expect future reports to be more The House recedes. Program for improved travel process for the De- substantive. Subtitle E—Performance of Functions by partment of Defense (sec. 356) Report regarding reduction of costs associated Private-Sector Sources The House bill contained a provision (sec. with contract management oversight (sec. Competitive procurement of printing and dupli- 365) that would require the Secretary of De- 363) cation services (sec. 351) fense to conduct a pilot program including The House bill contained a provision (sec. The House bill contained a provision (sec. two prototype tests of commercial travel ap- 376) that would require the Comptroller Gen- 359) that would direct the Defense Printing plications to improve management of the eral to submit a report to Congress that Service to procure at least 70 percent of Department of Defense Travel System. would identify methods to reduce the cost of printing and duplication work competi- The Senate amendment contained no simi- Department of Defense management and tively. lar provision. oversight of contracts in connection with The Senate amendment contained no simi- The Senate recedes with an amendment major defense acquisition programs. lar provision. that would direct the Secretary to conduct a The Senate amendment contained no simi- The Senate recedes with an amendment two-year test at a minimum of three sites lar provision. that would exempt classified printing and and a maximum of six sites, and to report to The Senate recedes. duplication work from this calculation. the Senate Committee on Armed Services Reviews of management of inventory control Direct vendor delivery system for consumable in- and the House Committee on National Secu- points and Material Management Standard ventory items of Department of Defense (sec. rity at the conclusion of the first year. System (sec. 364) 352) The conferees do not intend this provision The House bill contained a provision (sec. to be viewed as authority for the Secretary The House bill contained a provision (sec. 391) that would direct the Secretary of De- of Defense to circumvent the requirement for 360) that would require the Department of fense to conduct a review regarding consoli- civilians to use adequate government quar- Defense (DOD) to arrange for delivery of dation of all inventory control points (ICP) ters where they are available. consumable inventory items directly from under the Defense Logistics Agency. The vendors to military installations in the Unit- Increased reliance on private-sector sources for provision would also prohibit implementa- ed States. Complete implementation of this commercial products and services (sec. 357) tion of the Materiel Management Standard system would be required by September 30, The House bill contained a provision (sec. System (MMSS) until submission of the Sec- 1997. 367) that would require the Secretary of De- retary’s report to the Congressional defense The Senate amendment contained no simi- fense to endeavor to obtain products and committees. lar provision. services from the private sector. The provi- The Senate amendment contained no simi- The Senate recedes with an amendment sion would require the Secretary of Defense lar provision. that would require DOD to use direct vendor to describe functions that can be performed The Senate recedes with an amendment delivery of consumable inventory items by the private sector and specify impedi- that would require the Secretary to report whenever practicable. ments to outsourcing. by March 31, 1996, on the advisability of con- Payroll, finance, and accounting functions of The Senate amendment contained a provi- solidating all ICP. The General Accounting the Department of Defense (sec. 353) sion (sec. 386) that would require the Sec- Office would review the Secretary’s report, and review the MMSS. The amendment The House bill contained a provision (sec. retary to report on the use of private sector would not impose a restriction on implemen- 362) that would require the Secretary of De- contractors to perform functions not essen- tation of the MMSS. fense to submit a plan to Congress for the tial to the warfighting mission of the De- privatization of the payroll functions for ci- partment of Defense. Report on private performance of certain func- vilian employees of the Department of De- The Senate recedes with an amendment. tions performed by military aircraft (sec. fense and to implement the plan not later The conferees agree that DOD should make 365) than October 1, 1996. a maximum effort to rely upon the private The Senate amendment contained a provi- The House bill contained a provision (sec. sector for commercial functions whenever sion (sec. 390) that would require the Sec- 368) that would require the Secretary of De- the same level of service can be obtained at retary of Defense to report on the feasibility fense to conduct a pilot program to test and a reduced cost to the government, and the of meeting requirements of VIP transpor- evaluate the cost savings and efficiencies of national security does not require the activ- tation, airlift, air cargo, in-flight refueling private operation of accounting and payroll ity to be retained in-house. The conferees and other functions by using private con- functions of nonappropriated fund instru- note with approval the many steps the De- tractors in lieu of military aircraft. mentalities of the Department of Defense. partment has already taken in this direction The House bill contained no similar provi- The Senate amendment contained a provi- and encourage the Department to continue sion. sion (sec. 352) that would require the depart- in its efforts. The conferees urge the Depart- The House recedes with a clarifying ment of Defense to conduct a review of the ment to maintain close coordination with amendment. the Committee on Armed Services of the need for further expansion of Defense Fi- Strategy and report on automated information Senate and the Committee on National Secu- nance and Accounting Service (DFAS) oper- systems of Department of Defense (sec. 366) ating locations, and to report to the appro- rity of the House regarding its efforts to The House bill contained a provision (sec. priate committees of the Congress prior to downsize the federal government while plac- 375) that would prohibit the Secretary of De- establishing any new DFAS operating loca- ing greater reliance upon the private sector. fense from obligating or expending amounts tions. Subtitle F—Miscellaneous Reviews, Studies, greater than $2.4 billion for the development The House recedes with an amendment and Reports and modernization of automated data proc- that would combine and clarify the three Quarterly readiness reports (sec. 361) essing programs pending a report by the In- provisions. The House bill contained a provision (sec. spector General of the Department of De- Demonstration program to identify overpay- 371) that would require the Secretary of De- fense (DOD). ments made to vendors (sec. 354) fense to report quarterly to the Committee The Senate amendment contained no simi- The House bill contained a provision (sec. on Armed Services of the Senate and the lar provision. 363) that would require the Secretary of De- Committee on National Security of the The Senate recedes with an amendment fense to conduct a demonstration program at House of Representatives on the military that would remove the restriction on obliga- the Defense Personnel Support Center, readiness of the armed forces. tion of funds. The conferees believe that off- Philadelphia, Pennsylvania, to evaluate the The Senate amendment contained no simi- the-shelf automated information systems feasibility of using private contractors to lar provision. can improve DOD property management. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 651 This includes software, laminate barcode direct the Secretary of Defense to annotate Secretary of Defense in regard to jamborees printers, barcode readers, and storage de- the justification books accompanying subse- conducted by the Boy Scouts of America on vices. quent budget submissions for DBOF activi- military installations. The conferees also endorse the requirement ties, to reflect the total costs for both mili- The Senate amendment contained no simi- contained in Title III of the House report (H. tary and civilian personnel. These costs lar provision. Rept. 104–131) in a paragraph of the Items of should include items such as salaries, bene- The Senate recedes. Special Interest section, entitled ‘‘Off-the- fits, and retirement plans. The conferees be- Retention of monetary awards (sec. 377) shelf systems.’’ The conferees direct the Sec- lieve it is necessary for Congress to evaluate The House bill contained a provision (sec. retary to include in this report a discussion the consequences of including such costs in 386) that would permit the Secretary of De- of functional processes that can use existing DBOF rates and pricing. fense to accept any monetary award for ex- private sector technology. Clarification of services and property exchanged cellence, given to the Department of Defense Subtitle G—Other Matters to benefit the historical collection of the by a nongovernmental entity, as an award in Codification of Defense Business Operations armed forces (sec. 372) a competition recognizing excellence or in- Fund (sec. 371) The House bill contained a provision (sec. novation in providing services or administer- The House bill contained several provisions 321) that would clarify the law concerning ing programs. Such an award would be cred- pertaining to the Defense Business Oper- the exchange of services and property for the ited to the appropriation of the command, ations Fund (DBOF). benefit of the historical collection of the installation, or activity that is recognized in Section 311 would modify DBOF by adding armed services. the award, as provided in appropriation acts. or precluding various DBOF activities. The The Senate amendment contained no simi- Not more than 50 percent of the monetary provision would also require certain costs to lar provision. award may be disbursed to the persons who be included in DBOF charges, and revise the The Senate recedes. are responsible for earning the award, up to capital purchase authority threshold from Defense Business Management University (sec. $10.0 thousand per person. $50,000 to $15,000. Further, the provision 373) The Senate amendment contained no simi- would extend discretionary authority to the The House bill contained a provision (sec. lar provision. Secretary of Defense or the Secretary of a 381) that would prohibit the use of funds for The Senate recedes with an amendment military department to purchase goods and any lease with respect to the Center for Fi- that would permit the Secretary to accept services from non-DBOF activities, if they nancial Management Education and Training such monetary awards and disburse the are available at a more competitive rate. of the Defense Business Management Univer- award to the morale, welfare, and recreation Section 312 would require the Secretary of sity (DBMU) if the lease would be treated as nonappropriated fund account of the com- Defense to manage DBOF under the imme- a capital lease for budgetary purposes. mand, installation, or activity involved in diate authority of the Under Secretary of The Senate amendment contained a provi- earning the award. Certain incidental ex- Defense (Comptroller). This would include sion (sec. 351) that would require the Sec- penses could be reimbursed from the award central management of cash balances. The retary of Defense to certify the need for the amount. provision would also prohibit further expan- Center for Financial Management Education Provision of equipment and facilities to assist in sion of the DBOF by adding new functions, and Training of the DBMU, and report on De- emergency response actions (sec. 378) activities, funds or accounts to the DBOF. partment of Defense financial management The House bill contained a provision (sec. Section 313 would require the inclusion of training, 90 days prior to obligating funds for 383) that would amend section 372 of title 10, the costs of military personnel, who perform a capital lease. United States Code, to authorize the Depart- duty in industrial fund activities, in deter- The House recedes with an amendment ment of Defense to provide assistance in the mining costs in DBOF activities. The provi- that would require the Secretary of Defense form of training facilities, sensors, protec- sion would also terminate the practice of to make the determination of the location of tive clothing, antidotes, and other materials billing in advance for goods and services pro- the center using a merit-based selection and expertise to appropriate federal, state, vided through the DBOF. process and report to the Committee on or local law enforcement agencies for re- The Senate amendment contained no simi- Armed Services of the Senate and the Com- sponding to emergencies involving chemical lar provisions. mittee on National Security of the House of or biological agents. The Senate recedes with a single amend- Representatives on the details of this selec- The Senate amendment did not contain a ment that would codify DBOF, but amend tion process at least 30 days prior to entering similar provision. the activities listed in the House bill (sec. into a capital lease. The Senate recedes with a technical 312), not revise the capital purchase thresh- Permanent authority for use of proceeds from amendment. old, and retain the prohibition on further ex- the sale of certain lost, abandoned, or un- pansion. Department of Defense military and civil de- claimed property (sec. 374) fense preparedness to respond to emer- The amendment also would direct the The House bill contained a provision (sec. Comptroller General of the United States to gencies resulting from a chemical, biologi- 388) that would provide permanent authority cal, radiological, or nuclear attack (sec. 379) determine the advisability of managing for a successful demonstration program for The Senate amendment contained a provi- DBOF at the Department of Defense (DOD) the disposal of certain personal property. sion (sec. 223) that would require the Sec- level. The conferees recommend the defense The Senate amendment contained a provi- retaries of the Departments of Defense and committees review this matter in fiscal year sion (sec. 383) that would provide similar per- Energy, in consultation with the Federal 1996 and consider the advisability of central manent authority, but would provide further Emergency Management Agency (FEMA), to management in light of the Comptroller authority to credit the operation and main- submit a report to Congress that would de- General’s report and improvements in the tenance account of a relevant installation scribe the military and civil defense plans condition of the DBOF. for the costs incurred to collect, transport, and programs to respond to the use of chemi- The amendment would permit advance store, protect, or sell such property. Net pro- cal, biological, nuclear, and radiological billing for compelling reasons, but require ceeds from a sale would be covered into the agents or weapons against a civilian popu- DOD to notify the defense committees of the Treasury. A mechanism for subsequent lation located in the United States or near a Congress after September 30, 1996 in the claims by an owner, heir, etc., would also be U.S. military installation. event the aggregate total of advance billing provided. The House bill did not contain a similar exceeds $100.0 million subsequent to enact- The House recedes with a clarifying provision. ment of the National Defense Authorization amendment. Act for Fiscal Year 1996. Another report The House recedes with an amendment. Sale of military clothing and subsistence and would be required each time the aggregate EGISLATIVE PROVISIONS NOT ADOPTED other supplies of the Navy and Marine L amount of advance billing increases by $100.0 Corps (sec. 375) Office of Economic Adjustment million after the date of the preceding re- The House bill contained a provision (sec. port. The House bill contained a provision (sec. 304) that would increase the amount of funds The conferees previously expressed support 393) that would provide to Navy and Marine available to the Office of Economic Adjust- for the DOD plan to eliminate advance bill- Corps personnel the same authority that ment by $1.5 million. ing in fiscal year 1995 in the conference re- Army an Air Force personnel currently have The Senate amendment contained no simi- port accompanying the National Defense Au- to purchase replacement subsistence and lar provision. thorization Act for Fiscal Year 1995. The other supplies. The House recedes. practice of advance billing appears to cause The Senate amendment contained a simi- DBOF customers to refrain from purchasing lar provision (sec. 384). Annual proposed budget for operation of de- goods and services and it appears to promote The House recedes with a technical amend- fense business operations fund confusion, rather than good business, at the ment. The House bill contained a provision (sec. unit or installation level. Personnel services and logistical support for cer- 314) that would require that the budget re- The conferees also support the effort to tain activities held on military installations quest for the Department of Defense include capture total costs in order to conduct busi- (sec. 376) the amount of funds necessary to cover the ness operations in accordance with generally The House bill contained a provision (sec. operating losses of the Defense Business Op- accepted business practices. The conferees 385) that would clarify the authority of the erations Fund for the previous year. H 652 CONGRESSIONAL RECORD — HOUSE January 22, 1996 The Senate amendment contained no simi- rect that the Secretary of Defense submit a The Senate amendment contained no simi- lar provision. report to the Senate Committee on Armed lar provision. The House recedes. Services and the House Committee on Na- The House recedes. The conferees expect the Secretary to ad- Reduction in requests for transportation funded tional Security not later than May 1, 1996 de- dress the privatization of DRMS functions as through Defense Business Operations Fund scribing how a variable pricing policy would be implemented; the estimated savings, if part of the DOD-wide review and report, re- The House bill contained a provision (sec. any; the impact on customers and suppliers; garding increased reliance on private sector 315) that would direct a reduction in requests and a recommended legislative proposal, if sources for commercial products and serv- for purchasing transportation through the appropriate. ices, required elsewhere in this bill. Defense Business Operations Fund during fis- Pilot program for private operation of consoli- cal year 1996 by $70.0 million from the Procurement of electricity from most economical source dated information technology functions of amount purchased in fiscal year 1995. The Department of Defense provision would also require a report on The House bill contained a provision (sec. The House bill contained a provision (sec. achieving certain efficiencies. 357) that would require the Department of 366) that would require the Secretary of De- The Senate amendment contained no simi- Defense (DOD) to procure electricity from fense to enter into negotiations for contract- lar provision. the most economical source. ing-out the workload of three Defense The House recedes. The Senate amendment contained no simi- Megacenters. This effort would serve as a The conferees are concerned about the lar provision. three-year pilot program to determine the amount of overhead carried by the Depart- The House recedes. advisability of having this type of work per- ment of Defense (DOD) to support its trans- The conferees direct the Department of De- formed by the private sector. The goal of the portation infrastructure. The conferees di- fense to consult with the Federal Energy program would be to achieve savings of at rect the Secretary of Defense to submit a re- Regulatory Commission (FERC) on methods least 35 percent over current practices. Fur- port to Congress by March 1, 1996. The Sec- to obtain lower prices for the electricity pro- ther consolidation of megacenters, to fewer retary should address changes to the trans- cured by the DOD, including procurement of than the 16 currently identified, would be portation infrastructure and implementation such electricity through competitive prohibited until completion of the pilot pro- of consolidation proposals, such as the elimi- sources. Decisions with regard to procure- gram. nation of duplication in component com- ment of electricity by the DOD and the The Senate amendment contained no simi- mand structure. The Secretary should also FERC should take into consideration the lar provision. address measures to reduce transportation cost savings potential to the DOD and the re- The House recedes. overhead without adversely affecting oper- covery of the specific cost of utility invest- The conferees believe there is significant ational and mobilization requirements. The ment that is directly attributable to existing potential to make improvements in the effi- conferees recommend a $70.0 million reduc- arrangements and understandings with the ciency and effectiveness of the Department tion in anticipation of savings from improve- DOD. of Defense (DOD) data processing operations, ments and efficiencies. The conferees direct the Department of De- to include the data megacenters. The con- ferees also believe there may be significant Repeal of certain environmental education pro- fense to submit a report to Congress by potential to achieve savings from contract- grams March 1, 1996 on the feasibility of attaining the most economical price for electricity ing-out work that is not military-essential The House bill contained a provision (sec. under existing statutes. In addition, the DOD or otherwise unique to government. How- 323) that would repeal sections 1333 and 1334 shall report on all legislative or regulatory ever, judgments on the advantages of con- of the National Defense Authorization Act impediments to procuring electricity from tracting-out work should be based on eco- for Fiscal Year 1994 (Public Law 103–160; 10 the most economical source and the poten- nomic and mission analyses, which the DOD U.S.C. 2701, note). tial cost savings inherent to the elimination has not performed. The Senate amendment contained no simi- The conferees direct the Secretary to sub- of such impediments. The report shall also lar provision. mit a report on this matter to the defense identify those bases or facilities that are in The House recedes. committees by May 31, 1996. The report the best position to use competitive sources should include: the rationale for contracting- Repeal of limitation on obligation of amounts of electricity. transferred from environmental restoration out work; an analysis of the costs and bene- Procurement of certain commodities from most transfer account fits of contracting-out a portion of the work- economical source load; a detailed description of information The House bill contained a provision (sec. The House bill contained a provision (sec. technology functions and services performed 324) that would eliminate the statutory 358) that would enable the Department of De- by megacenters that are not considered mili- ‘‘fence’’ that precludes the transfer of funds fense (DOD) to procure commodities from a tary essential; and the amount of savings an- from the Defense Environmental Restoration source other than the General Services Ad- ticipated to be achieved by contracting-out. Account (DERA) for purposes unrelated to ministration (GSA) if the source can provide The conferees note that functions considered environmental remediation. the commodities at a lower cost. to be military-essential, and those that per- The Senate amendment contained no simi- The Senate amendment contained no simi- tain to information security, military readi- lar provision. lar provision. ness, certain aspects of training, and The House recedes. The House recedes. warfighting, are not required to be addressed Elimination of authority to transfer amounts for The conferees are aware that the require- in this report. toxicological profiles ment for DOD to purchase commodities from Authority of Inspector General over investiga- The House bill contained a provision (sec. GSA denies DOD the flexibility to pursue tions of procurement fraud 325) that would amend section 2704 of title 10, good business practices by preventing DOD The House bill contained a provision (sec. United States Code. The provision would from procuring items at the lowest cost. 382) that would consolidate responsibility for eliminate authority for the Department of This inflexibility seems to run counter to all investigations of procurement fraud with- Defense to use Defense Environmental Res- the desire of Congress, and it does not pro- in the Department of Defense under the In- toration Account funds to reimburse the mote good business practices within DOD. spector General. Agency for Toxic Substance and Disease Encouraging managers at all levels to make The Senate amendment contained no simi- Registry (ATSDR), a branch of the U.S. Pub- sound business decisions is an underlying lar provision. lic Health Service. Reimbursement is cur- fundamental of the Defense Business Oper- The House recedes. Under the Inspector rently provided to ATSDR for performing ations Fund concept. General Act of 1978, as amended, the overall statutorily required health assessments and The conferees direct the Secretary of De- responsibility for investigations within the health risk studies at Defense installations fense to report to the congressional defense DOD, including procurement fraud investiga- listed on the National Priorities List (NPL). committees by March 1, 1996, regarding the tions, rests with the Inspector General. The The Senate amendment contained no simi- advisability of obtaining the authority to Inspector General has full authority to in- lar provision. bypass GSA. The Secretary should identify vestigate any allegations of procurement The House recedes. any statutory relief necessary. fraud involving a DOD contractor. Day-to- day responsibility for the conduct of pro- Pricing policies for commissary store merchan- Private operation of functions of Defense curement fraud investigations is divided dise Reutilization and Marketing Service among the investigative organizations of the The House bill contained a provision (sec. The House bill contained a provision (sec. Department of Defense and each of the mili- 342) that would reduce administrative costs 361) that would require the Secretary of De- tary departments. The Inspector General in pricing commissary merchandise. fense to solicit for performance, by commer- also has full authority to assume responsibil- The Senate amendment contained no simi- cial entities, of selected functions of the De- ity for any procurement fraud investigation lar provision. fense Reutilization and Marketing Service initiated by one or more of the military de- The House recedes. (DRMS). The provision would require the partments. The conferees recognize that there may be Secretary to report on those functions that The Defense Advisory Board on the Inves- potential savings for the Defense Com- should continue to be performed by Depart- tigative Capabilities of the DOD unani- missary Agency (DeCA) if variable pricing ment of Defense (DOD) civilian employees mously recommended that fraud investiga- was permitted. Therefore, the conferees di- not later than July 1, 1996. tions be consolidated into the Office of the January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 653 Inspector General. The recommendation was law enforcement agencies in identifying and lion for the Troops-to-Teachers program and based on several objectives that would in- obtaining such equipment. The Secretary $10.0 million for the Troops-to-Cops program clude eliminating joint investigations, elimi- should consider Memoranda of Understand- from amounts authorized for military per- nating confusion over joint investigations, ing as a means to effect transfers. sonnel for fiscal year 1996. and increasing the capability to identify The Secretary should also give high prior- The House bill contained no similar provi- multiple acts of fraud by the same contrac- ity consideration to state and federal law en- sion. tors. forcement agencies that demonstrate their The Senate recedes. The conferees note that there have been need for such equipment. The conferees recognize that these pro- continuing concerns about duplication and Development and implementation of innovative grams address the economic dislocation coordination between the Department of De- processes to improve operation and mainte- among service members caused by the de- fense Inspector General and the investigative nance fense drawdown. Therefore, the conferees in- components of the military departments The House bill contained a provision (sec. vite the Department of Defense to determine with respect to major procurement fraud in- 390) that would direct that $350.0 million, of whether use of existing resources, if avail- vestigations. The conferees agree that the the funds authorized and appropriated for de- able, is appropriate to continue these pro- Department must endeavor to concentrate fense-wide operation and maintenance, be grams. procurement fraud efforts on investigations available for the development or acquisition Authorization of amounts requested in the rather than jurisdictional disputes. There- of information technologies and budget for Junior ROTC fore, the conferees believe that the Secretary reengineered functional processes. of Defense should make every effort to en- The Senate amendment contained no simi- The Senate amendment contained a provi- sure that this important function is per- lar provision. sion (sec. 389) that would restore the author- formed in the most efficient and effective The House recedes. ization to fund Junior Reserve Officer’s manner, avoiding the necessity for joint in- Sale of 50 percent of current war reserve fuel Training Corps (JROTC) at the budget re- vestigations to the maximum extent prac- stocks and prepositioned war reserves quest. The House bill authorized the JROTC pro- ticable. The House bill contained a provision (sec. gram at the budget request. The conferees are encouraged to note that 392) that would require the Secretary of De- The Senate recedes. the Department recently established a co- fense to reduce war reserve fuel stocks of the The conferees agree to authorize the ordinating council, headed by the DOD In- Department of Defense to a level equal to 50 JROTC program at the budget request. spector General, to address some of the con- percent of the level of such stocks on Janu- cerns raised by the Defense Advisory Board. ary 1, 1995. Use of commissary stores by members of the To ensure the effectiveness of the new proce- The Senate amendment contained no simi- ready reserve dures, the conferees direct that the Sec- lar provision. The Senate amendment contained a provi- retary review the newly constituted Sec- The House recedes. sion (sec. 631) that would permit members of retary’s Board on Investigations, with a par- The conferees believe that the DOD has the ready reserve to use commissaries on the ticular emphasis on maximizing the effi- made considerable progress in identifying its same basis as members on active duty. ciency and effectiveness of major procure- fuel requirements necessary for wartime op- The House bill contained no similar provi- ment fraud investigations. As part of this re- erations. This has led to a reduction in the sion. required level of war reserves. The conferees view, the Secretary should assess: (1) the op- The Senate recedes. timal level of resources required to ensure a urge the DOD to continue its efforts in this robust oversight function within the Depart- area in order to save money while maintain- Use of commissary stores by retired reserves ment; (2) which DOD investigative compo- ing military readiness. under age 60 and their survivors nents should conduct procurement fraud in- The conferees further believe that there is The Senate amendment contained a provi- vestigations; and (3) the optimal organiza- considerable opportunity to address critical sion (sec. 632) that would permit survivors of tion required to increase the DOD capability afloat and ashore war reserve deficiencies. ‘‘gray area’’ retirees, members of the retired to maximize procurement fraud recoveries The conferees agree to add $60 million for reserve who have not attained the age of 60 and indictments. purchases of critical war reserve stocks. This years, to use commissaries as if the sponsor The conferees direct the Secretary to pro- funding is authorized in the operation and had attained 60 years of age and was receiv- vide a report by May 1, 1996, to the congres- maintenance, defense-wide activities ac- ing retirement benefits. sional defense committees on the results of count for application to high priority war re- The House bill contained no similar provi- this review. The conferees will assess this re- serve requirements. The Secretary of De- sion. port to ascertain whether further legislation fense is requested to report on the expendi- The Senate recedes. ture of these funds to the congressional de- is necessary to address remaining concerns TITLE IV—MILITARY PERSONNEL fense committees prior to their allocation over duplication and coordination problems AUTHORIZATIONS among the DOD investigative components. and should seek the views of theater com- ITEMS OF SPECIAL INTEREST Transfer of excess personal property to support manders-in-chief in determining the applica- Minimum force structure levels for Navy Light law enforcement activities tion of these resources. Southwest border states anti-drug information Airborne Multipurpose System helicopters The House bill contained a provision (sec. system The conferees note that the Navy Light 389) that would amend section 1208(a)(1)(A) of Airborne Multipurpose System (LAMPS) the National Defense Authorization Act for The House bill included a provision (sec. antisubmarine warfare helicopter fleet pro- Fiscal Years 1990 and 1991, concerning the 396) that indicated that the Southwest Bor- vides an essential element to the Nation’s transfer of excess personal property. This der States Anti-Drug Information Systems overall antisubmarine warfare capability. provision would expand current authority to program is an important element of the De- The conferees understand that the Navy has permit the Secretary of Defense to transfer partment of Defense support of law enforce- no plans to reduce the number of active or excess property to state and other federal ment agencies in the fight against illegal reserve LAMPS squadrons below the 14 cur- agencies for use in law enforcement activi- trafficking of narcotics. rently in the force structure during fiscal ties. Current authority contained in the The Senate amendment contained no simi- years 1996 or 1997. The conferees believe that above section addresses only transfers to lar provision. The House recedes. The Southwest Border 14 LAMPS squadrons is the minimum struc- such agencies for their use in counter-drug States Anti-Drug Information System is ad- ture necessary and fully expect the Navy to activities. dressed elsewhere in this statement of man- The Senate amendment contained no simi- continue to support that level of force struc- agers. lar provision. ture. The House recedes. Elimination of certain restrictions on purchases LEGISLATIVE PROVISIONS and sales of items by exchange stores and The conferees note that numerous avenues LEGISLATIVE PROVISIONS ADOPTED other morale, welfare, and recreation currently exist to transfer excess property to Subtitle A—Active Forces state and other federal agencies, including (MWR) facilities law enforcement agencies which do not have The Senate amendment contained a provi- End strengths for active forces (sec. 401) explicit counternarcotics responsibilities. sion (sec. 372) that would eliminate the cost, The House bill contained a provision (sec. However, there appears to be no coherent price, size, and country of origin limitations 401) that would establish active duty end policy, priority, or central data base which on purchases and sales of items sold in the strengths for fiscal year 1996. allows such agencies to learn what is avail- military exchanges and morale, welfare, and The Senate amendment contained a simi- able at a given time, or to effect a transfer recreation facilities. lar provision (sec. 401), but would include an without inordinate administrative work. The House bill contained no similar provi- increase of 340, of which 65 would be officers, The conferees direct the Secretary of De- sion. in Navy end strength to permit the Navy to fense to review this matter and report to the The Senate recedes. retain an active P–3 squadron scheduled for defense committees of the Congress not later Funding for Troops to Teachers and Troops to inactivation in fiscal year 1996. than March 30, 1996, on developing a com- Cops Programs The following table summarizes the au- prehensive policy and establishing proce- The Senate amendment contained a provi- thorized active duty end strengths for fiscal dures which would assist state and federal sion (sec. 388) that would authorize $42.0 mil- year 1996. H 654 CONGRESSIONAL RECORD — HOUSE January 22, 1996

Fiscal year mandant of the Marine Corps from being in- tion that the authorized number or reserv- cluded in the number of general and flag offi- ists on active duty in support of the Marine 1995 Author- 1996 Rec- ization 1996 Request ommendation cers on active duty, authorized to be serving Corps Reserve be increased. in the grade of general and admiral, during The conferees have approved an increase in Army: the period when they would complete those the Air National Guard end strength, which Total ...... 510,000 495,000 495,000 Officer ...... 81,300 81,300 activities necessary to transition to the re- reflects the conferees’ recommendation that Navy: tired list after they have been relieved from the Air Force maintain the PAA squadrons Total ...... 441,641 428,000 428,340 their former position. at 15 aircraft per squadron in fiscal year 1996. Officer ...... 58,805 58,870 Marine Corps: The House bill contained no similar provi- End strengths for the Reserves on active duty in Total ...... 174,000 174,000 174,000 sion. support of the Reserves (sec. 412) Officer ...... 17,978 17,978 The House recedes with a clarifying The House bill contained a provision (sec. Air Force: amendment. Total ...... 400,051 388,200 388,200 412) that would authorize reserve full-time The conferees agree that the five positions Officer ...... 75,928 75,928 support end strength levels for fiscal year Total ...... 1,525,692 1,485,200 1,485,540 in this provision represent the totality of the 1996. Officer ...... 234,011 234,076 critical positions for which an exemption of this type is appropriate. The conferees ex- The Senate amendment contained a simi- The House bill also contained a provision pect that the Department will not request lar provision (sec. 412). (sec. 521) that would establish permanent end exemptions for any additional general/flag The following table summarizes the re- strength levels beginning in fiscal year 1996. officer positions. serve full-time support end strength levels The Senate amendment contained no simi- The conferees intend that this authority for fiscal year 1996. lar provision. would not be used for more than 60 calendar Fiscal year The Senate recedes with an amendment days. that would integrate the House bill provision 1996 Subtitle B—Reserve Forces 1995 (sec. 521) into this section. author- 1996 re- rec- End strengths for selected reserve (sec. 411) quest ommen- Temporary variation in DOPMA authorized end ization dation strength limitations for active duty Air The House bill contained a provision (sec. The Army National Guard of the United Force and Navy officers in certain grades 411) that would authorize selected reserve States ...... 23,650 23,390 23,390 (sec. 402) end strength levels for fiscal year 1996. The Army Reserve ...... 11,940 11,575 11,575 The Senate amendment contained a simi- The Naval Reserve ...... 17,510 17,490 17,587 The House bill contained a provision (sec. The Marine Corps Reserve ...... 2,285 2,285 2,559 402) that would authorize a temporary in- lar provision (sec. 411). The Air National Guard of the United crease in the number of officers who can The following table summarizes the au- States ...... 9,389 9,817 10,066 serve on active duty in the grade of major in thorized end strength levels for the selected The Air Force Reserve ...... 648 628 628 the Air Force and in the grades of lieutenant reserve for fiscal year 1996. The conferees have approved an increase in commander, commander, and captain in the Fiscal year the authorized number of reservists on ac- Navy until September 30, 1997. tive duty (AR’s) in support of the Marine The Senate amendment contained a simi- 1996 1995 Au- Corps Reserve. The conferees note that this lar provision (sec. 402). thoriza- 1996 Re- Rec- quest ommen- increase is intended to complement existing The House recedes. tion dation active duty support, and is not a substitute The conferees fully expect the Secretary of The Army National Guard of the United for any portion of the active duty support Defense to provide a comprehensive proposal States ...... 400,000 373,000 373,000 that is part of the Inspector-Instructor sys- to restructure the authorized strength tables The Army Reserve ...... 242,000 230,000 230,000 tem. Therefore, the conferees direct that the for commissioned officers on active duty in The Naval Reserve ...... 102,960 98,602 98,894 The Marine Corps Reserve ...... 42,000 42,000 42,274 Inspector-Instructor support system not be time for the committee to address, in the The Air National Guard of the United reduced as a result of any AR increase. Fur- National Defense Authorization Act for Fis- States ...... 115,581 109,458 112,707 ther, the conferees direct that the AR in- cal Year 1997, a permanent solution to per- The Air Force Reserve ...... 78,706 73,969 73,969 The Coast Guard Reserve ...... 8,000 8,000 8,000 crease of 274 personnel be utilized to the ex- ceived recurring shortages of officers in con- tent that it is supported by a specific appro- trolled grades for each service. The conferees have approved an increase in priation. The conferees do not support in- Certain general and flag officers awaiting re- the Naval Reserve end strength, which re- creasing the AR program if it means reduc- tirement not to be counted (sec. 403) flects the recommendation that the Navy re- ing any other reserve programs. The Senate amendment contained a provi- tain one reserve P–3 squadron currently The increases in the number of reservists sion (sec. 403) that would exempt a retiring scheduled for inactivation in fiscal year 1996. on active duty in support of the Naval Re- Chairman of the Joint Chiefs, Chief of Staff The conferees have approved an increase in serve reflects the conferees’ approval of addi- of the Army, Chief of Naval Operations, the Marine Corps Reserve end strength, tional selected reserve strength to enable the Chief of Staff of the Air Force, or Com- which reflects the conferees’ recommenda- Navy to retain a reserve P–3 squadron. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 655 The increase in the number of reservists on section 168, for over 180 days, from counting The conferees recognize that there is fierce active duty in support of the Air National against the end strengths for members of the competition within the Department of De- Guard reflects the conferees’ approval of se- armed services on active duty, authorized by fense, and among the services, for scarce op- lected reserve strength to enable the Air Na- section 115(a)(1) of title 10, United States erations and maintenance funds. The con- tional Guard to retain the PAA squadrons at Code. ferees are concerned that the FAP and NPSP 15 aircraft per squadron. The House bill contained no similar provi- funding may be used for other purposes. If Counting of certain active component personnel sion. the Department or a service attempt to re- assigned in support of Reserve component The House recedes. duce, divert, or reprogram the FAP or NPSP training (sec. 413) Subtitle C—Military Training Student Loads funding for some other purpose, the con- ferees would consider such an action to be in The House bill contained a provision (sec. Authorization of training student loads (sec. direct contravention of congressional intent. 413) that would permit active duty personnel 421) assigned to active duty units, that have been The House bill contained a provision (sec. LEGISLATIVE PROVISIONS and continue to be established for the prin- 421) that would approve the training stu- LEGISLATIVE PROVISIONS ADOPTED cipal purpose of providing dedicated training dents loads contained in the President’s Subtitle A—Officer Personnel Policy support to reserve component units, to be budget. counted toward the number of advisers re- The Senate amendment contained an iden- Joint officer management (sec. 501) quired by section 414(c) of the National De- tical provision (sec. 421). fense Authorization Act for Fiscal Years 1992 The Senate amendment contained a provi- The conference agreement includes this and 1993 (Public Law 102–190). sion (sec. 501) that would amend joint officer provision. The Senate amendment contained no simi- management policies in four areas: (1) the lar provision. Subtitle D—Authorization of Appropriations number of required critical joint duty as- The Senate recedes. Authorization for increase in active duty end signment positions; (2) joint duty assign- ment credit for certain qualifying joint task Increase in the number of members in certain strengths (sec. 432) force positions; (3) the education and experi- grades authorized to serve on active duty in The House bill contained a provision (sec. ence sequencing requirement for the award support of the Reserves (sec. 414) 432) that would authorize $112.0 million in of the joint specialty to general and flag offi- additional funds available for increasing The Senate amendment contained a provi- cers; and (4) tour length requirements for military personnel end strengths within the sion (sec. 413) that would temporarily in- certain officers on a second joint tour. crease the number of members of certain Department of Defense above those levels re- The House bill contained no similar grades authorized to serve on active duty in quested by the President’s budget. amendment. support of the reserves. The Senate amendment contained no simi- The House bill contained no similar provi- lar provision. The House recedes with a clarifying sion. The Senate recedes. amendment. The House recedes. TITLE V—MILITARY PERSONNEL POLICY The conferees note that this amendment is intended to provide to the civilian and mili- Reserves on active duty in support of Coopera- ITEMS OF SPECIAL INTEREST tive Threat Reduction Programs not to be tary leadership of the Department of Defense Funding for the Family Advocacy Program and counted (sec. 415) some flexibility to manage the various joint the New Parent Support Program officer programs, without undermining the The Senate amendment contained a provi- The conferees are concerned about the ade- fundamental tenets and goals of the Gold- sion (sec. 414) that would exempt members of quacy of funding requested by the Depart- water-Nichols Department of Defense Reor- a reserve component who participate in Co- ment of Defense for the Family Advocacy ganization Act of 1986. Therefore, none of the operative Threat Reduction Act programs Program (FAP) and the lack of funding for changes included in the conference agree- from being counted against the authorized the New Parent Support Program (NPSP). ment should be perceived as diminishing the active duty end strength. The conferees agree to provide an increase of importance of joint duty assignments or the The House bill contained no similar provi- $30.0 million for the FAP and $25.6 for the importance of rigorous preparation before sion. NPSP. The conferees direct that the NPSP the award of the joint specialty or the need The House recedes. increase be allocated as follows: Army—$10.0 for judicious management of those officers Reserves on active duty for military-to-military million; Navy—$7.0 million; Marine Corps— to whom that designator has been awarded. contacts and comparable activities not to be $5.0 million; Air Force—$3.6 million. The The conferees revised the Department’s counted (sec. 416) conferees take this action in response to the original proposal to preclude the Department The Senate amendment contained a provi- significant strains placed on military fami- from rapidly rotating officers through joint sion (sec. 415) that would amend section 168 lies as a result of the high operations tempo task force assignments and thereby cir- of title 10, United States Code, to exempt in all services. The conferees consider the cumventing the fundamental intent of the members of a reserve component who par- FAP and the NPSP critical to the readiness Goldwater-Nichols Department of Defense ticipate in activities or programs specified in and retention of quality people. Reorganization Act of 1986. H 656 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Regarding credit for service in joint task 3036, 5137, and 8036 of title 10, United States end strength to nearly the fiscal year 1995 force and multinational force positions, the Code, to permit educationally and profes- level and require that the Secretary of De- conferees recognize that certain positions sionally qualified officers, such as dentists, fense, in the future, manage military techni- will provide real-world joint experience nurses, and clinical psychologists, as well as cians by annual end strength. This section equal to or greater than that provided by doctors, to be appointed as surgeon general would also prohibit military technicians in some positions on the Joint Duty Assign- of an armed force. certain high priority units and activities, ment List. Additionally, the conferees be- The House bill contained no similar provi- but not those at management-level head- lieve that authorizing the Secretary of De- sion. quarters, from being subject to broad civil- fense to award joint duty credit for certain The House recedes with a clarifying ian personnel reductions. In addition, this officers serving in joint task force positions amendment. section would require the Secretary of De- will permit deserving in-service assignments Deputy Judge Advocate General of the Air Force fense, within six months of enactment, to to receive joint duty assignment credit. The (sec. 507) initiate measures to consolidate and stream- conferees fully expect the Secretary of De- The Senate amendment contained a provi- line management-level headquarters at the fense to closely manage the award of joint sion (sec. 504) that would amend section 8037 National, regional, and state level in the Air duty credit for such positions. of title 10, United States Code, to adjust the Force and Army Reserve and National Retired grade for officers in grades above major tenure of the Deputy Judge Advocate Gen- Guard. This section would also require that, general and rear admiral (sec. 502) eral of the Air Force from two years to four after the date of enactment, only dual-status technicians be hired. The Senate amendment contained a provi- years and authorize the grade of major gen- The Senate amendment contained a provi- sion (sec. 505) that would permit the retire- eral for that position. sion (sec. 331) that would establish a floor for ment of three- and four-star generals and The House bill contained no similar provi- military technicians in the Army and Air flag officers to be considered under the same sion. Force Reserve and National Guard for fiscal standards and procedures as general and flag The House recedes. years 1996 and 1997. officer retirements at the one- and two-star Authority for temporary promotions for certain The Senate recedes with an amendment level. Navy lieutenants with critical skills (sec. that would establish a floor for military The House bill contained no similar provi- 508) technicians in the Army and Air Force Re- sion. The House bill contained a provision (sec. serve and National Guard at the House level. The House recedes with a technical amend- 552(d)) that would extend the authority for The conferees recognize the critical impor- ment. the Navy to ‘‘spot promote’’ certain lieuten- tance of military technicians to reserve com- Wearing of insignia for higher grade before pro- ants serving in positions involving critical ponent readiness, and direct the use of end- motion (sec. 503) skills. strength floors to manage this special cat- The Senate amendment contained a provi- The Senate amendment contained no simi- egory of personnel. The conferees urge the sion (sec. 507) that would define ‘‘frocking’’ lar provision. Secretary of Defense and the Secretaries of and limit the numbers of officers that could The Senate recedes with an amendment the military departments to provide the req- be frocked to grades 0–4 through 0–7. that would extend the authority until Sep- uisite funding to ensure that the correct Frocking is the practice of allowing an of- tember 30, 1996 and limit the number of posi- number of qualified military technicians are ficer to wear the insignia of a higher grade tions to which an officer could be promoted available to ensure a significant contribu- prior to appointment to that higher grade. under this authority. tion to operational readiness. While the Department of Defense has at- Retirement for years of service of Directors of Revisions to Army Guard combat reform initia- tempted to control the extent of frocking Admissions of Military and Air Force Acad- tive to include Army reserve under certain through regulation, the practice remains a emies (sec. 509) provisions and to make certain revisions means by which the services routinely cir- The Senate amendment contained a provi- (sec. 514) cumvent the statutory limits on the number sion (sec. 508) that would authorize the Sec- The House bill contained a provision (sec. of officers authorized to serve in certain retary of the Army to involuntarily retire 513) that would change the requirement of grades. the Director of Admissions, United States section 1111 of the Army National Guard The House bill contained no similar provi- Military Academy, after 30 years of service Combat Readiness Reform Act of 1992 (title sion. as a commissioned officer. XI, Public Law 102–484). As revised, the sec- The House recedes with a clarifying The House bill contained no similar provi- tion would require the Army to annually amendment. sion. provide at least 150 officers and 1,000 soldiers, The House recedes with an amendment Authority to extend transition period for officers with at least two years prior active duty ex- that would make the Air Force Academy selected for early retirement (sec. 504) perience, to national guard units. The House bill contained a provision (sec. subject to the application of the provision. This section would also expand the Army 501) that would authorize the secretaries of Subtitle B—Matters Relating to Reserve selected reserve requirements of sections the military departments to defer the date of Components 1112(b), 1113, 1115, 1116, and 1120 of the Army retirement for officers selected for early re- Extension of certain reserve officer management National Guard Combat Readiness Reform tirement for up to 90 days, to avoid personal authorities (sec. 511) Act of 1992 (title XI, Public Law 102–484). hardship or for other humanitarian reasons. The House bill contained a provision (sec. The Senate amendment contained no simi- The Senate amendment contained no simi- 552) that would extend authorities that pro- lar provision. lar provision. vide for the appointment, promotion, and re- The Senate recedes. The Senate recedes with an amendment tirement of reserve officers (sec. 552 a–c), and Active duty associate unit responsibility (sec. that would require the service secretary to the promotion of certain officers on active 515) make the decision on a case-by-case basis duty in the Navy (sec. 552d). The House bill contained a provision (sec. and would prohibit any delegation of this au- The Senate amendment contained an iden- 519) that would amend section 1131 of the thority. tical provision (sec. 506), except for the au- Army National Guard Combat Readiness Re- The conferees expect the Secretary of De- thority to provide for the promotion of cer- form Act of 1992 (title XI, Public Law 102– fense and the service secretaries to modify tain officers on active duty in the Navy. 484). As revised, the provision would require the instructions, regulations, and policies The conference agreement includes the that each Army National Guard brigade and pertaining to enlisted personnel in order to identical provisions. Army Selected Reserve unit, considered es- provide an equivalent benefit for enlisted The promotion of certain officers on active sential for execution of the national strat- personnel. duty in the Navy is addressed elsewhere in egy, be associated with an active duty unit. Army officer manning levels (sec. 505) the conference report. The Senate amendment contained no simi- The House bill contained a provision (sec. Mobilization Income Insurance Program for lar provision. 522) that would require that, beginning in fis- members of Ready Reserve (sec. 512) The Senate recedes. cal year 1999 and thereafter, the annual The House bill contained a provision (sec. Leave for members of reserve components per- Army end strength be sufficient to meet at 517) that would authorize an income protec- forming public safety duty (sec. 516) least 90 percent of active Army officer man- tion insurance plan for members of the The Senate amendment contained a provi- power requirements. Ready Reserve. sion (sec. 513) that would amend section The Senate amendment contained no simi- The Senate amendment contained a simi- 6323(b) of title 5, United States Code, that lar provision. lar provision (sec. 511). would permit employees who elect, when The Senate recedes with a clarifying The conference agreement includes this performing public safety duty, to use either amendment. provision. military leave, annual leave, or compen- Authority for medical department officers other Military technician full-time support program satory time, to which they are otherwise en- than physicians to be appointed as Surgeon for Army and Air Force Reserve components titled. General (sec. 506) (sec. 513) The House bill contained no similar provi- The Senate amendment contained a provi- The House bill contained a provision (sec. sion. sion (sec. 503) that would amend sections 511) that would restore military technician The House recedes. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 657 Department of Defense funding for National Salvador, during the period beginning on program for determining the cost effective- Guard participation in joint disaster and January 1, 1981, and ending on February 1, ness of transferring, in whole or in part, the emergency assistance exercises (sec. 517) 1992, as an area and a period of time in which mission of the military academy preparatory The Senate amendment contained a provi- members of the Armed forces participated in schools to the private sector. sion (sec. 361) that would provide funding au- operations in significant numbers and other- The House bill contained no similar provi- thority for National Guard units to partici- wise met the general requirements for award sion. pate in joint exercises to prepare them to re- of the Armed Forces Expeditionary Medal. The House recedes with a technical amend- spond to civil emergencies or disasters. The Senate amendment contained no simi- ment. The House bill contained no similar provi- lar provision. ROTC access to campuses (sec. 541) The Senate recedes. sion. The House bill contained a provision (sec. The House recedes. Procedure for consideration of military decora- 1034) that would deny Department of Defense tions not previously submitted in timely Subtitle C—Decorations and Awards grants and contracts to any institution that fashion (sec. 526) Award of Purple Heart to persons wounded has an anti-ROTC policy, as determined by while held as prisoners of war before April The conference agreement includes a pro- the Secretary of Defense. 25, 1962 (sec. 521) vision that would establish procedures under The Senate amendment contained no simi- The Senate amendment contained a provi- which Members of Congress can forward to lar provision. sion (sec. 541) that would authorize award of the secretary of a military department a rec- The Senate recedes. ommendation for a military award or deco- the Purple Heart to prisoners of war cap- ROTC scholarships for the National Guard (sec. ration, including an upgrade of a previously tured before April 1962 who were injured or 542) wounded in conjunction with their capture approved award or decoration, for consider- ation by the Secretary, without regard to The House bill contained a provision (sec. or imprisonment. 514) that would authorize the Secretary of The House bill contained no similar provi- time limits established in law or policy. The the Army, with the agreement of the ROTC sion. secretary concerned will make a rec- The House recedes with a clarifying ommendation concerning the merits of the cadet involved, to redesignate ongoing schol- amendment. request to the Senate Committee on Armed arships as scholarships leading toward serv- ice in the Army National Guard and to make Authority to award decorations recognized acts Services and the House Committee on Na- other technical changes. of valor performed in combat during the tional Security. In accordance with established standards, The Senate amendment contained no simi- Vietnam conflict (sec. 522) the conferees believe that the burden and lar provision. The Senate amendment contained a provi- costs for researching and assembling docu- The Senate recedes. sion (sec. 542) that would authorize the Sec- mentation to support approval of requested Delay in reorganization of Army ROTC regional retary of Defense or the secretaries of the awards and decorations should rest with the headquarters structure (sec. 543) military departments to award a decoration requestor and should not cause an undue ad- The House bill contained a provision (sec. for an act, achievement, or service per- ministrative burden within the Legislative formed during the Vietnam era for which 518) that would delay the closure of an Army or Executive Branch. ROTC regional headquarters until the Sec- there was no award provided. The provision The conferees note that the Department of retary of the Army determines whether such would establish a one-year period in which Defense has traditionally avoided consider- closure is in the best interests of the Army. award recommendations could be submitted ation of requests for review of military The Senate amendment contained a simi- for consideration and existing award review awards on the merits by citing the expira- lar provision (sec. 560). procedures would be used. At the end of one tion of various time limits. The conferees, in The conference agreement includes this year, the Secretary would be required to re- general, do not support the provision of mili- provision. port to the Congress on the results on this tary awards or decorations through private review. relief bills. The conferees intend that the Duration of field training or practice cruise re- The House bill contained no similar provi- secretaries’ recommendations would be the quired under the Senior ROTC program sion. basis for consideration of a waiver of time (sec. 544) The House recedes with an amendment to limits, if appropriate. The Senate amendment contained a provi- limit consideration of decorations for acts of Subtitle D—Officer Education Programs sion (sec. 554) that would permit the sec- valor. retary of a military department to prescribe Military intelligence personnel prevented by se- Revision of service obligation for graduates of the services academies (sec. 531) the length of the field training portion or crecy from being considered for decorations practice cruise that must be completed for and awards (sec. 523) The Senate amendment contained a provi- enrollment in the Reserve Officers’ Training The Senate amendment contained a provi- sion (sec. 502) that would reduce the service Corps Advance Course by persons who have sion (sec. 543) that would require the sec- obligation for graduates of the service acad- not participated in the first two years of Re- retaries of the military departments, upon emies from six years to five years. serve Officers’ Training Corps. The House bill contained no similar provi- application, to review the records of person- The House bill contained no similar provi- nel who performed military intelligence du- sion. The House recedes. sion. ties during the Cold War period. The House recedes. Nomination to service academies from Common- The House bill contained no similar provi- Active duty officers detailed to ROTC duty at sion. wealth of the Northern Marianas Islands senior military colleges to serve as com- The House recedes. (sec. 532) mandant and assistant commandant of ca- The conferees expect the secretaries of the The House bill contained a provision (sec. dets and as tactical officers (sec. 545) military departments to take reasonable ac- 564) that would authorize the Resident Rep- tions to widely publicize the opportunity to resentative of the Commonwealth of the The House bill contained a provision (sec. submit requests for consideration of awards Northern Marianas Islands to nominate one 516) that would require that, upon the re- and decorations under this provision. cadet for attendance at each of the service quest of any of the six senior military col- Review regarding upgrading of Distinguished academies. leges, the Secretary of Defense shall detail Service Crosses and Navy Crosses awarded The Senate amendment contained no simi- active duty officers to serve as the com- to Asian Americans and Native American lar provision. mandant or assistant commandant of cadets, Pacific Islanders for World War II Service The Senate recedes. and as tactical officers at the institution. (sec. 524) Repeal of requirement for athletic director and The Senate amendment contained no simi- lar provision. The Senate amendment contained a provi- nonappropriated fund account for the ath- The Senate recedes with an amendment sion (sec. 544) that would require the Sec- letics programs at the service academies that would provide the Secretary discretion retary of Defense to review that records of (sec. 533) in responding to a request from a senior Asian Americans who received the Distin- The Senate amendment contained a provi- military college. guished Service Cross during World War II to sion (sec. 557) that would repeal sections 4357 The conferees expect that the service sec- determine if, except for racial prejudice, the and 9356 of title 10, United States Code, and retaries will respond positively to any re- act(s) would have merited award of the subsections (b), (d), and (e) of sections 556 of quest, from a senior military college, to pro- Medal of Honor. the National Defense Authorization Act for vide an officer to serve as the commandant The House bill contained no similar provi- Fiscal Year 1995 (Public Law 103–337). sion. The House bill contained a similar provi- or assistant commandant, or as a tactical of- The House recedes with an amendment sion (sec. 1032r). ficer. which would make all the services subject to The conference report includes this provi- Subtitle E—Miscellaneous Reviews, Studies, the application of the provision. sion. and Reports Eligibility for Armed Forces Expeditionary Repeal of requirement for program to test pri- Report concerning appropriate forum for judi- Medal based upon service in El Salvador vatization of service academy preparatory cial review of Department of Defense per- (sec. 525) schools (sec. 534) sonnel actions (sec. 551) The House bill contained a provision (sec. The Senate amendment contained a provi- The Senate amendment contained a provi- 559) that would designate the country of El sion (sec. 558) that would terminate any test sion (sec. 559) that would establish a panel to H 658 CONGRESSIONAL RECORD — HOUSE January 22, 1996 examine whether the existing practices with Criminal Investigation Organizations to the tional Defense Authorization Act for Fiscal regard to judicial review of DOD administra- Federal Bureau of Investigation. Year 1993 to modify the limitations on reduc- tive personnel actions are appropriate and The Senate amendment contained no simi- tions in medical personnel. adequate, whether a centralized judicial re- lar provision. The House bill contained no similar provi- view of administrative personnel actions The Senate recedes with a clarifying sion. should be established, and whether the Unit- amendment. The House recedes with a clarifying ed States Court of Appeals for the Armed Subtitle F—Other Matters amendment. Forces should conduct such reviews. This ap- Equalization of accrual of service credit for offi- Sense of Congress concerning personnel tempo proach has been recommended by the Amer- cers and enlisted members (sec. 561) rates (sec. 565) ican Bar Association. The House bill contained a provision (sec. The House bill contained no similar provi- The House bill contained a provision (sec. 525) that would express the sense of Congress sion. 551) that would make the criteria for accrual that the Secretary of Defense should con- The House recedes with an amendment of service credit for officers consistent with tinue to improve the Department’s personnel that would require the panel to examine the criteria established for enlisted mem- tempo management techniques so that all whether a single federal court should con- bers. personnel can expect a reasonable personnel duct such reviews, and, if so, which federal The Senate amendment contained a simi- tempo rate. court should be assigned that responsibility. lar provision (sec. 552). The Senate amendment contained no simi- The amendment would provide the Secretary The conference agreement includes this lar provision. of Defense with the responsibility to estab- provision. The Senate recedes. lish the panel. The conference agreement re- Army ranger training (sec. 562) quired that the Secretary consult with the Separation benefits during force reduction for The House bill contained a provision (sec. officers of the commissioned corps of Na- Attorney General and the Chief Justice of 557) that would establish a baseline number the United States concerning appointments tional Oceanic and Atmospheric Adminis- of officers and enlisted personnel that would tration (sec. 566) to the panel. The conferees also required have to be assigned to the Army Ranger that the Secretary consult with the Attor- Training Brigade and would give the Sec- The House bill contained a provision (sec. ney General prior to sending the report to retary of the Army one year to achieve that 566) that would, at the discretion of the Sec- Congress. level. This provision would also require that retary of Commerce, authorize for officers of Comptroller General review of proposed Army training safety cells be established in each of the Commissioned Corps of the National Oce- end strength allocations (sec. 552) the three major phases of the Ranger train- anic and Atmospheric Administration, the The House bill contained a provision (sec. ing course. separation benefits available to the other 523) that would require the Comptroller Gen- The Senate amendment contained no simi- uniformed services. eral of the United States to determine the lar provision. The Senate amendment contained no simi- extent to which the Army is able to fully The Senate recedes with an amendment lar provision. man the combat and support forces required which would require the Ranger Training The Senate recedes. to carry out the national security strategy Brigade to be manned at 90 percent of the re- Discharge of members of the armed forces who and operations other than war for fiscal quirements for two years, at which time the have the HIV–1 virus (sec. 567) years 1996 through 2001. statutory requirement would expire. The The House bill contained a provision (sec. The Senate amendment contained no simi- amendment would also require the Comp- 561) that would require the Secretary of De- lar provision. troller General to assess the effectiveness of fense to separate or retire service members The Senate recedes. corrective actions taken by the Army as a who are identified as HIV-positive. Report on manning status of highly deployable result of the February 1995 accident at the The Senate amendment contained no simi- support units (sec. 553) Florida Ranger Training Camp. The amend- lar provision The House bill contained a provision (sec. ment also expresses the sense of the Con- The Senate recedes with an amendment 524) that would direct each of the secretaries gress that the Secretary of Defense review that would provide the discharged member of the military departments to conduct a and enhance, if necessary, oversight of all with an entitlement to medical and dental study to determine whether high-priority high-risk training and consider establish- care within the Military Health Care Sys- support units, that would deploy early in a ment of safety cells similar to those pre- tem, to the same extent and under the same crisis, are, as a matter of policy, manned at scribed in the Ranger Training Brigade. conditions as a military retiree. less than 100 percent of authorized strengths. The conferees direct the secretary of de- Revision and codification of Military Family The provision would further require the sec- fense to undertake a comprehensive analysis Act and Military Child Care Act (sec. 568) of high-risk training activities, to include, retaries of the military departments to re- The House bill contained a provision (sec. but not limited to the following: Army- port the findings of their studies not later 560) that would codify in title 10, United Ranger; Navy SEAL; Navy and Air Force than September 30, 1996. States Code, updated provisions of The Mili- Survival, Evasion, Resistance, and Escape; The Senate amendment contained no simi- tary Family Act of 1985 (title VII, Public and Airborne training. The study should lar provision. Law 99–145), and The Military Child Care Act identify key contributing factors prejudicial The Senate recedes. of 1989 (title XV, Public Law 101–189), which to personnel safety. This study shall include Review of system for correction of military were instrumental in focusing Department of sensitivity analysis for each high-risk train- records (sec. 554) Defense attention on the needs of military ing program, with particular emphasis on of- families and on the importance of effective The Senate amendment contained a provi- ficer-enlisted ratios and instructor-student child care programs. sion (sec. 555) that would require the sec- ratios. The conferees direct the Secretary to The Senate amendment contained no simi- retaries of the military departments to re- submit the study results to the Senate Com- lar provision. view the composition of the Boards for the mittee on Armed Services and the House The Senate recedes with an amendment Correction of Military Records and the pro- Committee on National Security not later that would eliminate a reporting require- cedures used by those boards. The provision than December 31, 1996. would require the submission of a report to ment. Separation in cases involving extended confine- the appropriate committees of the Senate Determination of whereabouts and status of ment (sec. 563) and the House of Representatives by April 1, missing persons (sec. 569) The Senate amendment contained a provi- 1996. The House bill contained a provision (sec. sion (sec. 553) that would authorize the ad- The House bill contained no similar provi- 563) that would require the Secretary of De- ministrative separation of a service member sion. fense to centralize at the Department of De- who is sentenced by court-martial to a pe- The House recedes with a clarifying fense level, the oversight and policy respon- riod of confinement for one year or more. amendment. sibility for accounting for missing persons. The House bill contained no similar provi- The conferees are concerned that the The Senate amendment contained a simi- sion. Boards for the Correction of Military lar provision (sec. 551). The House recedes with an amendment Records are perceived to be unresponsive, bu- The Senate recedes with an amendment that would authorize such a separation if the reaucratic extensions of the uniformed serv- that would clarify and integrate the two pro- member has been sentenced to a period of ices. visions. confinement for more than six months. Report on the consistency of reporting of finger- The conferees’ intention in requiring the print cards and final disposition forms to Limitations on reductions in medical personnel creation of the Office for Missing Persons the Federal Bureau of Investigation (sec. (sec. 564) (section 1501) is that this office will have a 555) The Senate amendment contained a provi- broad range of responsibilities that include The House bill contained a provision (sec. sion (sec. 556) that would amend section 711 those of all the individual offices that cur- 565) that would require the Secretary of De- of the National Defense Authorization Act rently have responsibilities for POW/MIA fense to submit a report on the consistency for Fiscal Year 1991, section 718 of the Na- matters. with which fingerprint cards and final dis- tional Defense Authorization Act for Fiscal The conferees expect that the Secretary of position forms are reported by the Defense Years 1992 and 1993, and section 518 of the Na- Defense will organize this new office to serve January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 659 as the single focal point in the Department Regarding the repeal of specific authority The House recedes. of Defense for POW/MIA matters and consoli- for the Civil-Military Cooperative Program TITLE VI—COMPENSATION AND OTHER date the formulation and oversight of search, and the absence of an extension of the Pilot PERSONNEL BENEFITS rescue, escape and evasion and accountabil- Outreach Program to Reduce the Demand for LEGISLATIVE PROVISIONS ity policies. The conferees further expect Illegal Drugs, the conferees note that the that the Secretary of Defense will make Young Marines, the Seaborne Conservation LEGISLATIVE PROVISIONS ADOPTED every effort to ensure a close working rela- Corps, and other programs operated under Subtitle A—Pay and Allowances tionship with the national intelligence agen- Department of Defense and service policy Military pay raise for fiscal year 1996 (sec. 601) cies. prior to the October 1992 enactment of the The House bill contained a provision (sec. In relation to the Special Rule for Persons statutory authorities for the various civil- 601) that would provide a 2.4 percent military Classified as KIA/BNR, the conferees believe military programs. The conferees expect pay raise for all the uniformed services, ex- that the evidence referred to in section that the Young Marines, the Seaborne Con- cept the National Oceanic and Atmospheric 1509(c) should be compelling evidence, such servation Corps and other similar programs Administration. Additionally, the provision as post-incident letters written by the sup- should be able to continue operations in ac- would increase by 5.2 percent the rates of the posedly-dead person while in captivity or cordance with the pre-October 1992 authori- basic allowance for quarters for members of United States or other archival evidence ties. the uniformed services. These increases that directly contradicts earlier United The conferees intend that the 18-month ex- would be effective January 1, 1996. States Government determinations. tension of the National Guard Youth Oppor- The Senate amendment contained a simi- tunities Program would permit these pro- Associate Director of Central Intelligence for lar provision that would apply to all uni- grams to develop non-Department of Defense Military Support (sec. 570) formed services (sec. 601). sources of funding in order to continue oper- The Senate amendment contained a provi- The House recedes with an amendment. ation after the authority in this extension sion (sec. 1096) that would exempt the posi- The conferees note that the President is- expires. tion of Associate Director of Central Intel- sued an Executive Order on December 28, 1995 ligence for Military Support from counting Regarding support and services for eligible organizations and activities outside of the to provide a 2.0 percent pay raise to military against the numbers and percentages of offi- personnel under section 1009, title 10, United cers authorized to be serving in the rank and Department of Defense, the conferees intend that the ‘‘customary community relations States Code to correspond with an increase grade of such officer for the armed force of in federal civilian pay effective January 1, which such officer is a member when neither and public affairs activities’’, referred to in section 572(b)(1), provide for the use of De- 1996. Consequently, the conferees agree to the Director for Central Intelligence or the amend the original provision to rescind the Deputy Director for Central Intelligence is a partment of Defense resources to support public events, including such activities as Executive Order and provide authority for an military officer. increase of 2.4 percent in the rates of mili- The House bill contained no similar provi- the honor guards, static displays of equip- ment, bands, and demonstrations, and rely tary basic pay and basic allowance for sub- sion. sistence and 5.2 percent in the basic allow- The House recedes. heavily on volunteer support. Department of Defense resources should be considered avail- ance for quarters retroactively to January 1, Subtitle G—Support for Non-Department of 1996. Defense Activities able for community relations support only after all military needs have been met. Addi- Limitation on basic allowance for subsistence Repeal and revision of certain Civil-Military tionally, the conferees expect that, concern- for members residing without dependents in Programs (secs. 571, 572, 573 and 574) ing the exception to the relationship to mili- government quarters (sec. 602) The House bill contained a provision (sec. tary training, referred to in section 572(d)(2), The House bill contained a provision (sec. 558) that would repeal the authority for most manpower requests for assistance 602) that would require the secretaries of the three programs established by the National under this exception will be met by volun- military departments to allow no more than Defense Authorization Act for Fiscal Year teers, and that any assistance other than 12 percent of the service members without 1993 (Public Law 102–484): the Civil-Military manpower will be extremely limited. With dependents who reside in government quar- Cooperative Action Program; the National respect to such exception, Government vehi- ters to receive basic allowance for subsist- Guard Youth Opportunities Program; and cles may be used, but only to provide trans- ence (BAS). The provision would also require the Pilot Outreach Program to Reduce the portation of military manpower to and from the Secretary of Defense to submit a report Demand for Illegal Drugs. Additionally, this the work site. The use of government air- to confirm the current number of service provision would preclude Department of De- craft in assistance under this exception is members in this category and to establish a fense support to the Civilian Conservation prohibited. standard for the appropriate percentage of Corps. personnel who are eligible to receive BAS. The Senate amendment contained several LEGISLATIVE PROVISIONS NOT ADOPTED The Senate amendment contained no simi- provisions that would address Civil-Military Report on feasibility of providing education lar provision. Programs as follows: (1) prohibit the use of benefits protection insurance for service The Senate recedes. funds for the Office of Civil-Military Pro- academy and ROTC scholarship students grams within the Office of the Assistant Sec- who become medically unable to serve Election of basic allowance for quarters instead retary of Defense for Reserve Affairs (sec. The House bill contained a provision (sec. of assignment to inadequate quarters (sec. 362); (2) revise section 410 of title 10, United 515) that would require the Secretary of De- 603) States Code, the Civil-Military Cooperative fense to conduct a study on the need and fea- The Senate amendment contained a provi- Action Program (sec. 363); (3) extend the au- sibility of establishing a no cost to the gov- sion (sec. 602) that would authorize payment thorization for the National Guard Youth ernment disability insurance plan for service of the basic allowance for quarters (BAQ) Opportunities Program through Fiscal Year academy and Reserve Officers’ Training and variable housing allowance (VHA) (and 1997 (sec. 1083); and (4) extend the duration of Corps scholarship students. overseas housing allowance (OHA) if assigned the Pilot Outreach Program to Reduce the The Senate amendment contained no simi- overseas) to single members in the paygrade Demand for Illegal Drugs for two additional lar provision. E–6 and above who have been assigned to years (sec. 1099A). The House recedes. quarters that do not meet minimum ade- The conference agreement includes several The conferees believe that private insur- quacy standards established by the Depart- provisions (secs. 571, 572, 573, and 574) that ance companies could provide the needed ment of Defense. would: (1) replace section 410 of title 10, Unit- coverage without requiring further study by The House bill contained no similar provi- ed States Code, with a new section, that the Secretary of Defense. Accordingly, the sion. would authorize support and services for cer- conferees direct the Secretary to cooperate The House recedes. with private insurers and to make insurance tain eligible organizations and activities Payment of basic allowance for quarters to information available to students in a man- outside of the Department of Defense (sec. members in pay grade E–6 who are assigned ner that the Secretary determines to be es- 2012); (2) prohibit the use of funds for the Of- to sea duty (sec. 604) fice of Civil-Military Programs within the sentially consistent with the way private in- The House bill contained a provision (sec. Office of the Assistant Secretary of Defense surance information is handled elsewhere 603) that would authorize payment of basic for Reserve Affairs or for any other entity within the Department of Defense. allowance for quarters and variable housing within the Office of the Secretary of Defense Authority to appoint Brigadier General Charles allowance to single E–6 personnel assigned to that has an exclusive or principal mission of E. Yeager, United States Air Force (retired) shipboard sea duty. providing centralized direction for activities to the grade of major general on the retired The Senate amendment contained a simi- under section 572 of this Act; (3) extend that list lar provision (sec. 603). authorization for the National Guard Youth The House bill contained a provision (sec. The conference agreement includes this Opportunities Program for 18 months from 562) that would authorize the President to provision. enactment and limit the number of programs advance Brigadier General Charles E. Yeager to the number in effect on September 30, (retired) to the grade of major general on the Limitation on reduction of variable housing al- 1995. The Conference Agreement did not ex- retired list. lowance for certain members (sec. 605) tend the duration of the Pilot Outreach Pro- The Senate amendment contained no simi- The House bill contained a provision (sec. gram to Reduce Demand for Illegal Drugs. lar provision. 604) that would authorize the Secretary of H 660 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Defense to establish a minimum amount of for certain health professionals who serve in 104(d)(1)(A) of title 37, United States Code, to variable housing allowance (VHA) to meet the selected reserve and the nuclear career repeal the requirement that travel mileage the cost of adequate housing in high cost annual incentive bonus to October 1, 1998. tables be prepared under the direction of the areas. The provision would also prevent the The Senate amendment contained a simi- Secretary of Defense. reduction of the amount of VHA paid to an lar provision (sec. 613) that would provide for The House bill contained no similar provi- individual, as long as the member retains un- extensions to September 30 and October 1, sion. interrupted eligibility to receive VHA in the 1997. The House recedes. housing area and the member’s housing costs The House recedes with a clarifying Departure allowances (sec. 622) are not reduced. amendment. The Senate amendment contained a provi- The Senate amendment contained a provi- Codification and extension of special pay for sion (sec. 622) that would equalize evacuation sion (sec. 604) that would prevent reduction critically short wartime health specialists in allowances to ensure equitable treatment of of the amount of variable housing allowance the selected reserves (sec. 614) military dependents, civilians and their de- (VHA) paid to an individual, as long as the The House bill contained a provision (sec. pendents, when officially authorized or or- service member retains uninterrupted eligi- 614) that would amend title 37, United States dered to evacuate an overseas area. bility to receive VHA in the housing area Code, to include authorization of special pay The House bill contained no similar provi- and the service member’s housing costs are for critically short wartime health special- sion. not reduced. ists in the selected reserves and extend the The House recedes. The House recedes with a technical amend- authority for the special pay to September Transportation of nondependent child from ment. 30, 1998. member’s station overseas after loss of de- The conferees believe that, if the current The Senate amendment contained no simi- pendent status while overseas (sec. 623) mechanism for determining VHA rates is in- lar provision. The House bill contained a provision (sec. adequate, the Secretary of Defense should The Senate recedes with an amendment to 621) that would authorize dependent chil- notify the Committee on Armed Services of limit the extension of authority to Septem- dren, who lose eligibility as dependents for the Senate and the Committee on National ber 30, 1997. any reason while overseas, to return to the Security of the House. Such notification Hazardous duty incentive pay for warrant offi- United States one time at government ex- should include a recommended solution and cers and enlisted members serving as air pense prior to the sponsor receiving perma- all appropriate justification. weapons controllers (sec. 615) nent-change-of-station orders. Clarification of limitation on eligibility for Fam- The Senate amendment contained a provi- The Senate amendment contained a simi- ily Separation Allowance (sec. 606) sion (sec. 614) that would authorize special lar provision (sec. 624). The House bill contained a provision (sec. hazardous duty incentive pay for enlisted The conference agreement includes this 605) that would authorize the payment of members serving as air weapons controllers provision. family separation allowance to service mem- aboard airborne warning and control sys- Authorization of dislocation allowance for bers on board a ship that is away from home- tems. moves in connection with base realignments port, even though the service member elect- The House bill contained no similar provi- and closures (sec. 624) ed to remain unaccompanied by dependents sion. The House bill contained a provision (sec. at the permanent duty station. The House recedes. 622) that would authorize the payment of dis- The Senate amendment contained a simi- Aviation career incentive pay (sec. 616) location allowance for service members di- lar provision (sec. 605) that also authorized The House bill contained a provision (sec. rected to move as a result of the closure or payment of family separation allowance 615) that would reduce the initial operational realignment of an installation. when members are on temporary duty away flying requirement for Aviation Career In- The Senate amendment contained a simi- from permanent duty station. centive Pay from 9 of the first 12 years to 8 lar provision (sec. 623). The House recedes. of the first 12 years of aviation service. The conference agreement includes this Subtitle B—Bonuses and Special and The Senate amendment contained a simi- provision. Incentive Pays lar provision (sec. 615) that would also re- Subtitle D—Retired Pay, Survivor Benefits, Extension of certain bonuses for reserve forces strict to the service secretary the authority and Related Matters (sec. 611) to grant waivers of the number of years. Effective date for military retiree cost-of-living The House recedes. The House bill contained a provision (sec. adjustments for fiscal years 1996, 1997 and 611) that would extend until September 30, Clarification of authority to provide special pay 1998 (sec. 631) 1998 the authority for the selected reserve re- for nurses (sec. 617) The House bill contained a provision (sec. enlistment bonus, the selected reserve en- The Senate amendment contained a provi- 633) that would conform the military retired listment bonus, the selected reserve affili- sion (sec. 616) that would add military nurses pay cost-of-living adjustment (COLA) pay- ation bonus, the ready reserve enlistment to the list of health care professionals who ment date with the payment date established and reenlistment bonus, and the prior serv- are eligible to receive a special pay for being for Federal civilian retirees by making the ice enlistment bonus. board certified in their specialty. military retired pay COLA first payable dur- The Senate amendment contained a simi- The House bill contained no similar provi- ing March 1996, rather than September 1996. lar provision (sec. 611) that would provide for sion. The Senate amendment contained a provi- extensions to September 30, 1997. The House recedes. sion (sec. 641) that would provide that the The House recedes. Continuous entitlement to career sea pay for 1996 military retired pay cost-of-living ad- justment be effective the first day of March Extension of certain bonuses and special pay for crew members of ships designated as tenders 1996. In subsequent years, the cost-of-living nurse officer candidates, registered nurses, (sec. 618) adjustment would be effective the first day and nurse anesthetists (sec. 612) The House bill contained a provision (sec. of December of each year. 616) that would authorize personnel assigned The House bill contained a provision (sec. The House recedes with an amendment to tenders to receive career sea pay. 612) that would extend until September 30, that would provide that the military retired The Senate amendment contained a simi- 1998 the authority for the nurse officer can- pay COLAs for fiscal years 1996 and 1997 be lar provision (sec. 617). didate accession program, the accession effective the first day of March, 1996, and the bonus for registered nurses, and the incen- The conference agreement includes this provision. first day of December, 1996, respectively. The tive special pay for nurse anesthetists. provision would also require that the effec- The Senate amendment contained a simi- Increase in maximum rate of special duty as- tive date for COLAs during fiscal year 1998 lar provision (sec. 612) that would provide for signment pay for enlisted members serving conform to the date prescribed for Federal extensions to September 30, 1997. as recruiters (sec. 619) civilian retirees. The House recedes. The House bill contained a provision (sec. The conferees acknowledge that restoring Extension of authority relating to payment of 617) that would authorize payment of a maxi- equity to the payment of COLAs to military other bonuses and special pays (sec. 613) mum monthly rate of $375 of additional spe- retirees has been a priority concern since cial duty assignment pay to recruiters. The House bill contained a provision (sec. passage of the Omnibus Budget Reconcili- The Senate amendment contained an iden- 613) that would extend until September 30, ation Act of 1993 which caused military retir- tical provision (sec. 618). 1998 the authority for the aviation officer re- ees to receive their COLAs later than their The conference agreement includes this civilian counterparts. The solution specified tention bonus, the reenlistment bonus for ac- provision. tive members, enlistment bonuses for criti- in this provision is a welcome end to the in- cal skills, special pay for enlisted members Subtitle C—Travel and Transportation equity between the two groups of retirees. of the selected reserve assigned to certain Allowances Denial of non-regular service retired pay for re- high-priority units, special pay for nuclear- Repeal of requirement regarding calculation of serves receiving certain court-martial sen- qualified officers extending the period of ac- allowances on basis of mileage tables (sec. tences (sec. 632) tive service, and the nuclear career accession 621) The Senate amendment contained a provi- bonus. The provision would also extend the The Senate amendment contained a provi- sion (sec. 642) that would authorize the Sec- authority for repayment of education loans sion (sec. 621) that would amend section retaries of the military departments to deny January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 661 retired pay to non-regular service members Repeal of reporting requirements regarding com- payment of lodging expenses when adequate who are convicted of an offense under the pensation matters (sec. 642) government quarters are available. Uniform Code of Military Justice and whose The House bill contained a provision (sec. The Senate amendment contained no simi- sentence includes death, a dishonorable dis- 631) that would eliminate a report on depend- lar provision. charge, a bad conduct discharge, or dismis- ents accompanying members on assignments The House recedes. sal. The provision would treat both regular to overseas locations and simplify the re- TITLE VII—HEALTH CARE PROVISIONS and non-regular service members equitably. quirement for the President to submit to the ITEMS OF SPECIAL INTEREST The House bill contained no similar provi- Congress recommendations on military pay Follow-on medical care for certain members of sion. matters. former members of the Armed Forces and The House recedes with a clarifying The Senate amendment contained a simi- their dependents amendment. lar provision (sec. 1072(d)). The conferees note that some service mem- The Senate recedes with an amendment Report on payment of annuities for certain mili- bers, as a result of receiving transfusions at that would combine the two provisions. tary surviving spouses (sec. 633) military hospitals were placed at risk of con- The Senate amendment contained a provi- Recoupment of administrative expenses in gar- tracting a serious communicable disease and sion (sec. 648) that would require the Sec- nishment actions (sec. 643) subsequently transmitting it to their de- retary of Defense to determine the number of The Senate amendment contained a provi- pendents. surviving spouses of retired careerists who sion (sec. 643) that would amend section 5502 The case of Douglas Simon of Eden Prairie, died before March 21, 1974 and retired pay eli- of title 5, United States Code, to shift the Minnesota, and his family, is an example of gible reserve retirees under age 60 who died burden for payment of administrative costs, the very tragic situation that can arise fol- before September 30, 1978, and report to the incurred incident to garnishment actions, lowing a transfusion of contaminated blood. Senate Committee on Armed Services and from the employee to the creditor. In 1983, while serving in the Army National the House Committee on National Security. The House bill contained no similar provi- Guard, Mr. Simon was infected with the These groups of surviving spouses have be- sion. AIDS virus after undergoing a blood trans- come known as ‘‘Forgotten Widows’’ since The House recedes. fusion at Fort Benning, Georgia. Subse- they were widowed before provisions of the Report on extending to junior noncommissioned quently, he unknowingly transmitted the Survivor Benefit Plan were applicable to officers privileges provided for senior non- virus to his spouse, Nancy, who in turn, them. commissioned officers (sec. 644) transmitted the virus to their daughter The House bill contained no similar provi- Candace. Candace became ill and died of The Senate amendment contained a provi- sion. AIDS in 1993 at the age of five. Both Mr. and sion (sec. 646) that would require the Sec- The House recedes. Mrs. Simon are now in the terminal stages of retary of Defense to study and report to the AIDS and their two remaining children Payment of back quarters and subsistence al- Congress on methods of improving the work- Brian, 11, and Eric, 9, will be orphaned. To lowances to World War II veterans who ing conditions of noncommissioned officers date, the Department of Defense has not ac- served as guerrilla fighters in the Phil- in pay grades E–5 and E–6. This report, and cepted any financial responsibility for the ippines (sec. 634) the accompanying legislative recommenda- treatment of Mr. or Mrs. Simon, or the fu- The conference agreement includes a pro- tions, should provide the committee a road ture of the two children. The conferees direct vision that would require the service sec- map to continue quality of life improve- the Secretary of Defense to review the De- retaries, on request, to pay the quarters and ments. partment’s role in this case and to determine subsistence allowance that was not paid to The House bill contained no similar provi- whether the Department of Defense should certain guerrilla fighters in the Philippines sion. provide fair compensation to these and other during World War II. The House recedes. similarly affected persons. Study regarding joint process for determining lo- Authority for relief from previous overpayments LEGISLATIVE PROVISIONS under minimum income widows program cation of recruiting stations (sec. 645) LEGISLATIVE PROVISIONS ADOPTED (sec. 635) The House bill contained a provision (sec. Subtitle A—Health Care Services The conference agreement includes a pro- 632) that would require the Secretary of De- vision that would permit the Secretary of fense to conduct a study of the process for Modifications of requirements regarding routine Defense to waive the recovery of any over- determining the location and manning of re- physical examinations and immunizations payment made before enactment of the con- cruiting stations. The study would be based under CHAMPUS (sec. 701) ference report and that is attributable to a on market research and analysis conducted The House bill contained a provision (sec. failure by the Department of Defense to jointly by the military departments. 701) that would amend section 1079(a) of title apply eligibility requirements correctly. The Senate amendment contained no simi- 10, United States Code, by expanding ‘‘well- The conferees expect the Secretary of De- lar provision. baby visits’’ and immunizations to depend- fense to direct the Defense Finance and Ac- The Senate recedes. ents under the age of six, by authorizing im- counting Service to stop sending collection Automatic maximum coverage under Service- munizations at age six and above and by add- letters to widows expected to be covered men’s Group Life Insurance (sec. 646) ing coverage of health promotion and disease under this provision. The Senate amendment contained a provi- prevention visits associated with immuniza- Transitional compensation for dependents of sion (sec. 644) that would automatically en- tions, pap smears and mammograms. The Senate amendment contained a simi- members of the armed forces separated for roll service members at the maximum insur- lar provision (sec. 703). dependent abuse (sec. 636) ance level of $200,000, instead of the $100,000 The conference agreement includes this level currently in law. The House bill contained a provision (sec. provision. The House bill contained no similar provi- 556) that would require the Secretary of De- Correction of inequities in medical and dental fense to retroactively provide compensation sion. The House recedes with an amendment care and death and disability benefits for to certain eligible dependents inadvertently certain reservists (sec. 702) excluded from the program. that would delay implementation until April The Senate amendment contained a provi- 1, 1996. The House bill contained a provision (sec. sion (sec. 649) that would amend section Termination of servicemen’s group life insur- 702) that would authorize reservists the same 1059(d) of title 10, United States Code, to in- ance for members of the Ready Reserve who death and disability benefits as active duty clude transitional compensation for depend- fail to pay premiums (sec. 647) members, during off-duty periods between successive inactive duty training periods ents whose sponsor forfeited all pay and al- The Senate amendment contained a provi- performed at locations outside the reason- lowances, but was not separated from the sion (sec. 645) that would authorize the Sec- able commuting distance from the member’s service. retary of Defense to terminate coverage The Senate recedes with a clarifying residence. under the Servicemen’s Group Life Insurance The Senate amendment contained no simi- amendment. for members of the ready reserve who fail to lar provision. Subtitle E—Other Matters make premium payments for 120 days. The Senate recedes. The House bill contained no similar provi- Payment to survivors of deceased members for Medical care for surviving dependents of retired all leave accrued (sec. 641) sion. The House recedes with an amendment Reserves who die before age 60 (sec. 703) The Senate amendment contained a provi- that would delay implementation until April The Senate amendment contained a provi- sion (sec. 647) that would permit survivors of 1, 1996. sion (sec. 701) that would permit survivors of deceased members of the uniformed services ‘‘gray area’’ retirees, members of the retired LEGISLATIVE PROVISIONS NOT ADOPTED to be paid for all leave accrued. This provi- reserve who have not attained the age of 60 sion will enable survivors to be paid for leave Repeal of prohibition on payment of lodging ex- years, to receive medical care as if the spon- accrued above the 60 day limit. penses when adequate Government quarters sor had attained 60 years of age and was re- The House bill contained no similar provi- are available ceiving retirement benefits. sion. The House bill contained a provision (sec. The House bill contained no similar provi- The House recedes. 623) that would repeal the prohibition on sion. H 662 CONGRESSIONAL RECORD — HOUSE January 22, 1996 The House recedes. The Senate recedes with an amendment that the Department of Defense be reim- Medical and dental care for members of the Se- limiting the payments to a quarterly basis. bursed for those services. lected Reserve assigned to early deploying The conferees direct the Secretary of De- The house bill contained no similar provi- units of the Army Selected Reserve (sec. 704) fense to establish procedures for retired serv- sion. and dental insurance for members of the Se- ice members to pay enrollment fees by allot- The House recedes with an amendment lected Reserve (sec. 705) ment. that makes the provision a sense of Con- gress. The House bill contained a provision (sec. Requirement of budget neutrality for TRICARE 703) that would require the Secretary of the program to be based on entire program (sec. Subtitle C—Uniformed Services Treatment Army to provide medical and dental 714) Facilities screenings, physical exams for members over The House bill contained a provision (sec. Delay of termination of status of certain facili- 40, and the dental care required to meet den- 713) that would clarify the requirement for ties as Uniformed Services Treatment Facili- tal readiness standards for units scheduled the TRICARE HMO option to be budget neu- ties (sec. 721) for deployment within 75 days of mobiliza- tral by requiring that the combined effect of The Senate amendment contained a provi- tion. all three TRICARE options be budget neu- sion (sec. 721) that would extend until Sep- The provision would also require the Sec- tral. tember 30, 1997, the designation of Uniformed retary of Defense to conduct a demonstra- The Senate amendment contained no simi- Services Treatment Facilities (USTF) as tion program to offer members of the se- lar provision. military treatment facilities (MTF). lected reserve dental readiness insurance on The Senate recedes. The House bill amendment contained no a voluntary basis, at no cost to the Depart- Training in health care management and ad- similar provision. ment of Defense. ministration for TRICARE lead agents (sec. The House recedes. The Senate amendment contained a provi- 715) Limitation on expenditures to support Uni- sion (sec. 702) that would require the Sec- formed Services Treatment Facilities (sec. The House bill contained a provision (sec. retary of Defense to establish a dental insur- 722) 714) that would direct the Secretary of De- ance plan for members of the selected re- fense to ensure that military medical treat- The House bill contained a provision (sec. serve. The provision would require a plan, ment facility commanders, selected to serve 721) that would amend the National Defense similar to the active duty dependent dental as lead agents for the Department’s managed Authorization Act for Fiscal Year 1984 (Pub- insurance plan, with voluntary enrollment health-care program, TRICARE, receive ap- lic Law 98–94) to limit the amount author- and premium sharing by the member. propriate training in health-care manage- ized to $300.0 million for the Department of The House recedes with two amendments. ment and administration. Defense Uniformed Services Treatment Fa- One requires the Secretary of Defense to es- The Senate amendment contained no simi- cilities (USTFs) managed care plan. This tablish a dental insurance plan for members lar provision. section would limit beneficiary enrollment of the selected reserve in fiscal year 1997. The Senate recedes with an amendment in the USTF program to the number enrolled The amendment also provides authority for that would add key subordinates to the as of September 30, 1995. the Secretary to conduct the necessary sur- training requirement. The Senate amendment contained no simi- veys, preparation work, and a test of the lar provision. plan in fiscal year 1996. The other amend- Pilot program of individualized residential men- The Senate recedes with an amendment ment requires the Secretary of the Army to tal health services (sec. 716) that would eliminate the limit on the num- provide medical and dental care to members The House bill contained a provision (sec. ber of enrollees. of early deploying units of the selective re- 746) that would direct the Secretary of De- Application of CHAMPUS payment rules in cer- serve. fense to study the feasibility of expanding tain cases (sec. 723) mental health services to include ‘‘wrap- Permanent authority to carry out Specialized The Senate amendment contained a provi- around’’ services, and to include the require- Treatment Facility Program (sec. 706) sion (sec. 723) that would amend section 1074 ment that providers share financial risk The Senate amendment contained a provi- of title 10, United States Code, to include the through case-rate reimbursement, and then sion (sec. 704) that would amend section 1105 Uniformed Services Treatment Facilities to report the results of the study to Congress of title 10, United States Code, by repealing (USTF) in the authority under which a by March 1, 1996. subsection (h), the sunset provision, to make USTF could be reimbursed for care provided The Senate amendment contained a provi- the Specialized Treatment Facility Program to a Department of Defense eligible enrollee sion (sec. 714) that would direct the Sec- permanent. who receives care out of the local area of the retary of Defense to implement a program of The House bill contained no similar provi- USTF in which they are enrolled. residential treatment for seriously emotion- sion. The House bill contained no similar provi- ally disturbed and complex-needs adoles- The House recedes. sion. cents. This treatment would incorporate the The House recedes. Subtitle B—TRICARE Program concept of ‘‘wraparound services’’ in one Definition of TRICARE Program (sec. 711) TRICARE region. The Secretary would be re- Application of federal acquisition regulation to participation agreements with Uniformed The Senate amendment contained a provi- quired to report on the evaluation of this Services Treatment Facilities (sec. 724) sion (sec. 711) that would define the program not later than eighteen months TRICARE program and other terms of art in after the program is implemented. The House bill contained a provision (sec. the statute. The House recedes with a clarifying 722) that would amend the National Defense The House bill contained no similar provi- amendment. Authorization Act for Fiscal Year 1991 (Pub- sion. Evaluation and report on TRICARE program ef- lic Law 101–510) by repealing the Federal Ac- The House recedes with a clarifying fectiveness (sec. 717) quisition Regulation (FAR) exemption amendment. granted to the Uniformed Services Treat- The House bill contained a provision (sec. ment Facilities (USTFs). Priority use of military treatment facilities for 715) that would require the Secretary of De- The Senate amendment contained a simi- persons enrolled in managed care initiatives fense to obtain an ongoing independent eval- lar provision (sec. 722). (sec. 712) uation of the TRICARE program and to pro- The Senate recedes. The House bill contained a provision (sec. vide an annual report to Congress on the re- Development of plan for integrating Uniformed 711) that would amend title 10, United States sults of the evaluation. The evaluation Services Treatment Facilities in managed Code, to require the Secretary of Defense, as should report on efforts to make TRICARE care programs of Department of Defense an incentive for enrollment, to establish rea- Prime, the HMO option, available in non- (sec. 725) sonable priorities for services provided at catchment and rural areas. The House bill contained a provision (sec. military treatment facilities for TRICARE- The Senate amendment contained no simi- 723) that would amend section 718(c) of the enrolled beneficiaries. lar provision. National Defense Authorization Act for Fis- The Senate amendment contained no simi- The Senate recedes with a clarifying cal Year 1991 (Public Law 101–510) to require lar provision. amendment. The Senate recedes. the Secretary of Defense to submit to Con- Sense of Congress regarding access to health gress a plan under which the 10 Uniformed Staggered payment of enrollment fees for care under TRICARE program for covered Services Treatment Facilities (USTFs) TRICARE program (sec. 713) beneficiaries who are Medicare eligible (sec. would be integrated into the Department of The House bill contained a provision (sec. 718) Defense’s managed health-care program by 712) that would amend section 1097(e) of title The Senate amendment contained a provi- September 30, 1997. In addition, this section 10, United States Code, to require the Sec- sion (sec. 713) that would express the sense of would require the Secretary to assess the retary of Defense to allow beneficiaries to the Senate that the Secretary of Defense feasibility of implementing a modified ver- pay any required enrollment fees on a should develop a program to ensure that cov- sion of USTF option II. monthly or quarterly basis, at no additional ered beneficiaries who are eligible for Medi- The Senate amendment contained no simi- cost to the beneficiary. care and who reside in a region in which lar provision. The Senate amendment contained no simi- TRICARE has been implemented have access The Senate recedes with a clarifying lar provision. to health care services under TRICARE and amendment. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 663 Equitable implementation of uniform cost shar- The Senate recedes. permit current students to complete the ing requirements for Uniformed Services Redesignation of Military Health Care Account training, and require a General Accounting Treatment Facilities (sec. 726) as Defense Health Program Account and Office evaluation of the program. The House bill contained a provision (sec. two-year availability of certain account Waiver of collection of payments due from cer- 724) that would direct the Secretary of De- funds (sec. 735) tain persons unaware of loss of CHAMPUS fense to apply uniform cost shares to each of The House bill contained a provision (sec. eligibility (sec. 743) the 10 Uniformed Services Treatment Facili- 734) that would amend section 1100 of title 10, The House bill contained a provision (sec. ties (USTFs) only upon regional implemen- United States Code, to allow the Secretary 742) that would authorize the Secretaries of tation of the TRICARE managed health care of Defense to carry over three percent of the Defense, Transportation and Health and program in the USTF’s service area. It would defense health plan annual operation and Human Services to waive the collection of also direct the GAO to evaluate the effect of maintenance appropriations to the end of the certain payments described for beneficiaries TRICARE cost shares on USTFs. next fiscal year. of the Civilian Health and Medical Program The Senate amendment contained a provi- The Senate amendment contained a simi- of the Uniformed Services (CHAMPUS). This sion (sec. 712) that would require the Uni- lar provision (sec. 731). waiver would apply to CHAMPUS bene- formed Services Treatment Facilities to im- The conference agreement includes this ficiaries who lost their CHAMPUS eligibility plement the TRICARE uniform benefit con- provision. prior to Medicare entitlement because of a current with the implementation of Expansion of financial assistance program for disability or end-stage renal disease. TRICARE in that region. The recommended health care professionals in reserve compo- The Senate amendment contained no simi- provision would exempt a covered bene- nents, to include dental specialties (sec. 736) lar provision. ficiary who has been continuously enrolled The Senate recedes. on and after January 1, 1995. The House bill contained a provision (sec. The Senate recedes with a technical 735) that would authorize financial assist- Demonstration program to train military medi- amendment. ance for qualified dentists engaged in train- cal personnel in civilian shock trauma units ing for a dental specialty which is critically (sec. 744) Elimination of unnecessary annual reporting re- needed in wartime. quirements regarding Uniformed Services The House bill contained a provision (sec. The Senate amendment contained a simi- Treatment Facilities (sec. 727) 744) that would require the Secretary of De- lar provision (sec. 512). The House bill contained a provision (sec. fense to conduct a demonstration program, The conference agreement includes this through arrangements with civilian hos- 736) that would eliminate unnecessary an- provision. nual reporting requirements regarding mili- pitals, to evaluate the feasibility of provid- Applicability of limitation on prices of pharma- tary health care. ing additional shock trauma training for The Senate amendment contained no simi- ceuticals procured for Coast Guard (sec. 737) military medical personnel. lar provision. The Senate amendment contained in provi- The Senate amendment contained no simi- The Senate recedes. sion (sec. 743) that would include the Coast lar provision. The Senate recedes. Subtitle D—Other Changes to Existing Laws Guard in the pharmaceutical purchase pro- The conferees expect the Secretary of De- Regarding Health Care Management gram administered by the Department of Veterans Affairs. fense to ensure that the program would be Maximum allowable payments to individual The House bill contained no similar provi- budget neutral and that the Department health-care providers under CHAMPUS sion. would receive compensation, payment in (sec. 731) The House recedes with a clarifying kind, or services of equivalent value to the The House bill contained a provision (sec. amendment. government costs for providing services to 731) that would amend title 10, United States Expansion of existing restriction on use of de- the non-DOD agencies. The conferees further Code, to codify a provision of the Depart- fense funds for abortions (sec. 738) direct the Comptroller General to evaluate ment of Defense Appropriations Act for Fis- the costs and value of services or reimburse- The House bill contained a provision (sec. cal Year 1995 (Public Law 103–335) that estab- ments to the government. 732) that would amend section 1093 of title 10, lishes a process for gradually reducing Study regarding Department of Defense efforts CHAMPUS maximum payment amounts to United States Code, to restrict the Depart- ment of Defense (DOD) from using medical to determine appropriate force levels of war- those limits for similar services under Medi- time medical personnel (sec. 745) care. treatment facilities or other DOD facilities, The Senate amendment contained a simi- as well as DOD funds, to perform abortions, The House bill contained a provision (sec. lar provision (sec. 732). unless necessary to save the life of the moth- 745) that would direct the Comptroller Gen- The conference agreement includes this er. eral of the United States to evaluate the ef- provision. The Senate amendment contained no simi- fectiveness of the modeling efforts of each of Notification of certain CHAMPUS covered bene- lar provision. the three service surgeons general related to ficiaries of loss of CHAMPUS eligibility (sec. The Senate recedes with an amendment determination of the appropriate wartime 732) that would prohibit the use of Department of military medical force-level requirements, Defense facilities to perform abortions ex- and then to submit to Congress a report on The House bill contained a provision (sec. cept in cases where the pregnancy is the re- this evaluation, not later than March 1, 1996. 743) that would direct the administering sec- sult of rape or incest or in cases when the The Senate amendment contained no simi- retaries to develop a mechanism for notify- life of the mother is endangered. The amend- lar provision. ing beneficiaries of their ineligibility for ment would retain the prohibition on the use The Senate recedes. CHAMPUS health benefits when the loss of of Department of Defense funds for abortions CHAMPUS eligibility is due to disability Report on improved access to military health except in cases when the life of the mother care for covered beneficiaries entitled to status. in endangered. The Senate amendment contained no simi- Medicare (sec. 746) lar provision. Subtitle E—Other Matters The House bill contained a provision (sec. The Senate recedes. Tri-service nursing research (sec. 741) 747) that would require the Secretary of De- Personal services contracts for medical treat- The Senate amendment contained a provi- fense to report on possible alternatives to ment facilities of the Coast Guard (sec. 733) sion (sec. 741) that would authorize establish- improving access to the military health care The Senate amendment contained a provi- ment of a tri-service research program at the system for those beneficiaries who are Medi- sion (sec. 733) that would authorize the Sec- Uniformed Services University of the Health care eligible and ineligible for the Civilian retary of Transportation to use the personal Sciences. Health and Medical Program of the Uni- services contract authority, currently avail- The House bill contained no similar provi- formed Services (CHAMPUS). able to the Secretary of Defense, to contract sion. The Senate amendment contained no simi- for health care providers in support of the The House recedes. lar provision. Coast Guard. Termination of program to train military psy- The Senate recedes. The House bill contained no similar provi- chologists to prescribe psychotropic medica- Report on effect of closure of Fitzsimons Army sion. tions (sec. 742) Medical Center, Colorado, on provision of The House recedes. The House bill contained a provision (sec. care to military personnel, retired military Identification of third-party payer situations 741) that would direct the Department of De- personnel, and their dependents (sec. 747) (sec. 734) fense to terminate the pilot demonstration The Senate amendment contained a provi- The House bill contained a provision (sec. program and to withdraw the authority to sion (sec. 744) that would require the Sec- 733) that would authorize the Secretary of prescribe psychotropic drugs from psycholo- retary of Defense to report to the Congress Defense to prescribe regulations for the col- gists who participated in the demonstration on the effect of the closure of Fitzsimons lection of information from covered bene- program. Army Medical Center, Colorado, on the capa- ficiaries regarding insurance, medical serv- The Senate amendment contained no simi- bility of the Department of Defense to pro- ice, or health plans of third-party payers. lar provision. vide health care for members and former The Senate amendment contained no simi- The Senate recedes with an amendment members of the armed services, and their de- lar provision. that would prohibit any new enrollments, pendents who suffer from undiagnosed illness H 664 CONGRESSIONAL RECORD — HOUSE January 22, 1996 as a result of service in the Persian Gulf and urge the Navy to monitor this problem The conference agreement includes this War. carefully and explore available remedies to provision. The House bill contained no similar provi- ensure that Navy ship repair subcontractors Coordination and communication of defense re- sion. are properly and promptly compensated for search activities (sec. 805) The House recedes with an amendment their services. The House bill contained a provision (sec. that would expand the requirement to in- The conferees are similarly concerned with 824) that would amend section 2364 of title 10, clude a report on the effect of the closure of the Navy’s practice of bundling ship repair United States Code, to require that papers Fitzsimons Army Medical Center on the ca- contracts that include only a small number prepared by a defense research facility on a pability of the Department of Defense to pro- of drydocking requirements within several technological issue relating to a major weap- vide health care for all military members, ship repair availabilities. The conferees are on system be available for consideration at retired military personnel, and their depend- concerned that this may unnecessarily pre- all decision reviews. ents. clude competition for repair work that does The Senate amendment contained an iden- Sense of Congress on continuity of health care not require a drydock. The conferees believe tical provision (sec. 807). services for covered beneficiaries adversely that if the Navy continues to bundle multi- The conference agreement includes this affected by closures of military medical year ship repair contracts that would in part provision. require the use of a drydock, the Navy treatment facilities (sec. 748) Addition of certain items to domestic source lim- should give strong consideration to making The House bill contained a provision (sec. itation (sec. 806) available, at a reasonable cost, a public dry- 748) that would express the sense of Congress dock, to ensure adequate competition. The House bill contained a provision (sec. that the Secretary of Defense should take all 825) that would add certain named vessel Worker’s compensation coverage on overseas appropriate steps to ensure the continuation components to domestic source limitations, contracts of medical and pharmaceutical benefits for as provided in section 2534(a) of title 10, covered beneficiaries adversely affected by The conferees agree with the requirement United States Code. The provision would also the closure of military facilities. contained in the Senate report (S. Rept. 104– extend, through October 1, 2000, current limi- The Senate amendment contained no simi- 112) that would direct the Secretary of De- tations related to anti-friction bearings and lar provision. fense to review the efforts of the State De- would require that these limitations be ap- The Senate recedes. partment and the Agency for International plicable to contracts and subcontracts below State recognition of military advance medical Development to consolidate worker’s com- the simplified acquisition threshold, as well directives (sec. 749) pensation insurance coverage on overseas as for commercial subcontracts. contracts. The conferees note that chapter 12 The House bill contained a provision (sec. The Senate contained no similar provision. of title 42, United States Code, mandates 555) that would ensure advanced medical di- The Senate recedes with an amendment that all United States citizens and legal per- rectives, prepared by members of the armed that would modify the list of vessel compo- manent residents, employed for any duration forces, their spouses, or other persons eligi- nents to be added to the domestic source by a defense contractor, be covered by uni- ble for legal assistance, are recognized as limitations in section 2534 of title 10, United form worker’s compensation insurance. valid by all states and possessions of the States Code. The provision includes language United States. LEGISLATIVE PROVISIONS that would restrict the application of the do- mestic source limitations to the additional The Senate amendment contained a simi- LEGISLATIVE PROVISIONS ADOPTED vessel components for contracts entered into lar provision (sec. 1092). Subtitle A—Acquisition Reform The Senate recedes with a clarifying after March 31, 1996. Limitation on expenditure of appropriations The conferees have included language that amendment. (sec. 801) would require, for a two-year period begin- LEGISLATIVE PROVISIONS NOT ADOPTED The House bill contained a provision (sec. ning on the date of enactment of this Act, a Waiver of Medicare Part B late enrollment pen- 821(b)) that would repeal section 2207 of title similar limitation on the purchase of propel- alty and establishment of special enrollment 10, United States Code. lers with a diameter of six feet or more. The period for certain military retirees and de- The Senate amendment contained no simi- conferees direct the Secretary of the Navy to pendents lar provision. provide the congressional defense commit- The Senate amendment contained a provi- The Senate recedes with an amendment tees by March 1, 1996 with an assessment of sion (sec. 705) that would amend the Social that would apply section 2207 of title 10, the impact on the Navy’s ability to maintain Security Act to authorize a waiver of the United States Code, solely to contracts val- and modernize the fleet, and address the im- penalty for late enrollment in Medicare Part ued above the simplified acquisition thresh- pact of the limitation on the purchase of and B for Medicare-eligible Department of De- old. the castings for such propellers. The con- ferees also remain concerned over the press- fense beneficiaries who reside in geographic Delegation authority (sec. 802) areas affected by the closure of military hos- ing need to sustain a robust ship propeller The Senate amendment contained a provi- pitals under the Base Realignment and Clo- repair and maintenance commercial base. sion (sec. 806) that would repeal section 2356 sure process. Therefore, the conferees strongly urge the of title 10, United States Code, which The House bill contained no similar provi- Navy to take this critical objective fully unnessarily duplicates inherent authority of sion. into account in allocating propeller repair the Secretary of Defense to delegate re- The Senate recedes. work in the future. search contracting authorities. Encouragement of use of leasing authority for Disclosure of information in Medicare and Med- The House bill contained an identical pro- commercial vehicles (sec. 807) icaid coverage data bank to improve collec- vision. tion from responsible parties for health care The conference agreement includes this The House bill contained a provision (sec. services furnished under CHAMPUS provision. 827) that would direct the Secretary of De- fense to use lease agreements for acquisition The Senate amendment contained a provi- Critical spare parts (sec. 803) sion (sec. 734) that would amend section 1144 of equipment, whenever practicable and oth- The House bill contained a provision (sec. of the Social Security Act to extend to the erwise authorized by law. The House provi- 821(d)) that would repeal section 2383 of title Department of Defense access to information sion would also direct the Secretary to sub- 10, United States Code, regarding quality re- in the data bank to enhance the effectiveness mit to Congress, within 90 days after enact- quirements for critical spare parts of ships of the Department of Defense third party ment of this bill, a report indicating changes or aircraft. The provision was intended to as- collection program. in legislation required to facilitate the De- sist the Department of Defense in shifting The House bill contained no similar provi- partment of Defense use of leases for the ac- from reliance on outdated military specifica- sion. quisition of equipment. tions and standards to the use of modern in- The Senate recedes. The Senate amendment contained a provi- dustrial manufacturing methods that would sion (sec. 392), similar to the House provi- TITLE VIII—ACQUISITION POLICY, ACQUISITION ensure quality in critical spare parts. sion, that would also provide authority for MANAGEMENT, AND RELATED MATTERS The Senate amendment contained an iden- the Secretary of Defense to conduct a pilot ITEMS OF SPECIAL INTEREST tical provision (sec. 809). program for lease of commercial utility Ship repair contracts The conference agreement includes this cargo vehicles under certain prescribed con- provision. The conferees are concerned with contin- ditions. ued reports that Navy ship repair contrac- Fees for certain testing services (sec. 804) The House recedes with a clarifying tors are not being paid by the prime contrac- The House bill contained a provision (sec. amendment. tor in a timely manner. The House report ac- 822) that would provide flexibility for the Cost reimbursement rules for indirect costs at- companying H.R. 1530 (H. Rept. 104–131) ad- Secretary of Defense to require reimburse- tributable to private sector work of defense dressed this issue by asking the Navy to pur- ment of indirect, as well as direct costs, from contractors (sec. 808) sue remedies necessary to ensure that the private sector uses of Department of Defense The House bill contained a provision (sec. subcontractor community will be able to testing facilities. 844) that would authorize the Secretary of support the United States Navy fleet prop- The Senate amendment contained an iden- Defense to enter into agreements with con- erly. The conferees support this language tical provision (sec. 812). tractors performing or seeking to perform January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 665 private sector work. The House provision The House bill contained no similar provi- United States Code, regarding requirements would apply modified accounting rules with sion. for operational testing in defense acquisition respect to the allocation of indirect costs as- The House recedes. programs. sociated with a contractor’s private sector Construction, repair, alteration, furnishing, and The Senate amendment contained no simi- work. equipping of naval vessels (sec. 815) lar provision. The Senate amendment contained no simi- The Senate amendment contained a provi- The House recedes. lar provision. sion (sec. 813) that would restore the policy Waivers from cancellation of funds The Senate recedes with an amendment regarding the application of the Walsh- The Senate amendment contained a provi- that would clarify the method for allocation Healey Act, repealed by the Federal Acquisi- sion (sec. 801) that would make funds avail- of indirect costs to contractor private sector tion Streamlining Act 1994, to contracts for able for satellite on-orbit incentive fees until work and would require the Secretary of De- the construction, alteration, furnishing, or such fees would be earned. fense to report on the use of the authority equipping of naval vessels. The House bill contained no similar provi- contained in this provision. The conferees The House bill contained no similar provi- sion expect the Secretary to act expeditiously on sion. The Senate recedes. each defense contractor application for an The House recedes with a clarifying agreement under this section. amendment. Repeal of duplicative authority for simplified acquisition purchases Subcontracts for ocean transportation services Subtitle B—Other Matters (sec. 809) Procurement technical assistance programs (sec. The Senate amendment contained a provi- sion (sec. 817) that would repeal the author- The Senate amendment contained a provi- 821) ity for simplified acquisition purchases in sion (sec. 802(b)) that would delay, until May The Senate amendment contained a provi- section 427 of title 41, United States Code. 1, 1996, the inclusion of section 1241(b) of title sion (sec. 821) that would add $12.0 million to The House bill contained no similar provi- 46, United States Code, or section 2631 of continue the procurement technical assist- sion. ance center program in fiscal year 1996. title 10, United States Code, on a list pro- The Senate recedes. mulgated under section 430(b) of title 41, The House bill contained no similar provi- United States Code. sion, but authorized $10.0 million to continue Restriction on reimbursement of costs The House bill contained no similar provi- the program in fiscal year 1996. The Senate amendment contained a provi- sion. The House recedes. sion (sec. 819) that would prohibit reimburse- The House recedes. Additional Department of Defense pilot pro- ment of allowable costs above $250,000 for in- Prompt resolution of audit recommendations grams (sec. 822) dividual compensation in fiscal year 1996. (sec. 810) The conferees have adopted a provision The provision also expressed the sense of the The Senate amendment contained a provi- that would set forth criteria for designating Senate that Congress should consider mak- sion (sec. 803) that would conform section a facility to participate in a Department of ing such prohibition permanent. 6009 of the Federal Acquisition Streamlining Defense pilot program and require that the The House bill contained no similar provi- Act of 1994 to the reporting requirements of Congress approve the designation in legisla- sion. the Inspector General Act of 1978. tion enacted after the enactment of the Na- The Senate recedes. The House bill contained no similar provi- tional Defense Authorization Act for Fiscal The conferees question the appropriateness sion. Year 1996. The conferees intended that the of the level of industry executive compensa- The House recedes. pilot program be used to test, among other tion reimbursement as an allowable expense initiatives, the expansion of commercial under government contracts. The conferees Test programs for negotiation of comprehensive practices throughout a facility in which direct the Secretary of Defense to conduct a subcontracting plans (sec. 811) work is being performed under contracts thorough assessment of its current policies The Senate amendment contained a provi- with the Department of Defense. Nothing in and procedures regarding standards of allow- sion (sec. 804) that would amend the test au- this provision is intended to authorize or ability, allocability, and reasonableness of thority to remove the limitation on the ac- award a contract, or to exempt a facility compensation reimbursement by the Depart- tivities that may be included in a test. The from competition requirements in the award ment of Defense. In carrying out such assess- provision would also reduce the number of of a contract. ment, the Secretary should conduct a survey contracts and the aggregate dollar value of Treatment of Department of Defense cable tele- of the executive compensation practices of those contracts required to establish a condi- vision franchise agreements (sec. 823) comparable non-defense firms involved with tion for a contractor’s participation in the The Senate amendment included a provi- similar industries, taking into consideration test program. sion (sec. 822) that would require cable tele- size and geographic location. The House bill contained no similar provi- vision franchise agreements between cable The conferees direct the Secretary to sub- sion. mit a report to the congressional defense The House recedes. television operators and the Department of Defense to be considered contracts for the committees not later than March 31, 1996. Authority to procure for test or experimental telecommunications services under Part 49 The report should detail the results of the purposes (sec. 812) of the Federal Acquisition Regulation (FAR). Secretary’s assessment and any changes to The Senate amendment contained a provi- The House bill contained no similar provi- current policies and procedures, imple- sion (sec. 808) that would amend section 2373 sion. mented as a result of the assessment. of title 10, United States Code, to conform The House recedes with an amendment. TITLE IX—DEPARTMENT OF DEFENSE the newly-codified section to the scope of the The amendment would require the United ORGANIZATION AND MANAGEMENT service-specific statutes it replaced. States Court of Federal Claims to render an The House bill contained no similar provi- advisory opinion to Congress on the power of LEGISLATIVE PROVISIONS sion. the executive branch to treat cable franchise LEGISLATIVE PROVISION ADOPTED The House recedes. agreements as contracts under the FAR and, Subtitle A—General Matters Use of funds for acquisition of rights to use de- if so, whether the executive branch is re- Reorganization of the Office of the Secretary of signs, processes, technical data and com- quired by law to treat these agreements as Defense (sec. 901–903 and 905) puter software (sec. 813) contracts under the FAR. If the answer to both questions is affirmative, the conferees The House bill contained a provision (sec. The Senate amendment contained a provi- 901) that would require that direct support sion (sec. 810) that would clarify section 2386 expect the Department of Defense to imple- ment regulations treating cable franchise activities and similar functions be included of title 10, United States Code, regarding the in the mandated personnel reduction. This types of information the Secretary of De- agreements as contracts for purposes of the FAR. If the Court renders an affirmative an- provision would also reduce the number of fense may acquire from Department of De- authorized assistant secretaries of defense by fense contractors. swer to the first question, the conferees will regard that as significant basis for enacting two and require that the Secretary of De- The House bill contained no similar provi- fense provide Congress with a comprehensive sion. a provision similar to that in the Senate amendment. reorganization plan for the office. Addition- The House recedes. ally, it would repeal a number of the current Mentor-protege program authority (sec. 824) Independent cost estimates for major defense ac- statutorily mandated offices and positions quisition programs (sec. 814) The conferees have adopted a provision within OSD. The Senate amendment contained a provi- that would extend for one year the authority The Senate amendment contained no simi- sion (sec. 811) that would permit the military for eligible businesses under the Mentor-Pro- lar provision. departments or defense agencies, independ- tege program to enter into new agreements. The Senate recedes with an amendment ent of their respective acquisition execu- The conferees agree that this extension does that would require the Secretary of Defense tives, to prepare independent cost estimates not prejudge the outcome of ongoing reviews to conduct a detailed review of the organiza- for major defense acquisitions assigned to in- of programs with similar objectives. tion and functions of the Office of the Sec- dividual components for oversight. The pro- LEGISLATIVE PROVISIONS NOT ADOPTED retary of Defense, including the Washington vision would align the responsibility for Testing of defense acquisition programs Headquarters Service and the Defense Sup- independent cost estimates with the level of The House bill contained a provision (sec. port Agencies. The amendment would also the decision authority. 823) that would amend section 2366 of title 10, direct the following: a 25 percent reduction H 666 CONGRESSIONAL RECORD — HOUSE January 22, 1996 of the Office of the Secretary of Defense over and development, as compared with similar funds on the books of the Treasury for Fisher five years; reduction of the number of Assist- DoD operations; and (3) the fulfillment of Houses. The interest earned by these trust ant Secretaries of Defense by one, from elev- DOE’s Nuclear Posture Review requirements. funds would be used for the administration, en to ten; and, on January 31, 1997, repeal The Senate recedes with an amendment operation, and maintenance of Fisher Houses certain statutory mandated offices and posi- that combines both provisions. within the Army and Air Force. tions within the Office of the Secretary of Redesignation of Advanced Research Projects The House bill contained no similar provi- Defense. Additionally, the amendment would Agency (sec. 908) sion. establish a charter for the Joint Require- The House bill contained a provision (sec. The House recedes with a technical amend- ments Oversight Council (JROC) effective 908) that would change the designation of the ment. January 31, 1997. Advanced Research Projects Agency to the Limitation on use of authority to pay for emer- The conferees, while agreeing to provide Defense Advanced Research Projects Agency. gency and extraordinary expenses (sec. 915) the Secretary with broad latitude in rec- The Senate amendment contained no simi- The House bill contained a provision (sec. ommending changes to the existing OSD lar provision. 372) that would require the Secretary of De- structure, continue to strongly believe that The Senate recedes. fense to submit to Congress a quarterly re- the functional responsibilities associated Subtitle B—Financial Management port of expenditures for emergency and ex- with Special Operations and Low Intensity Transfer authority regarding funds available traordinary expenses. The provision would (SOLIC) should be carried out under a senior for foreign currency fluctuation (sec. 911) also require the Secretary of Defense to pro- civilian official who can maintain clear and The Senate amendment contained a provi- vide congressional notification prior to an unambiguous civilian control over that ele- obligation or expenditure of $1.0 million or ment of the military. Therefore, the con- sion (sec. 1006) that would authorize a for- eign currency fluctuation account for the more. ferees urge that the Secretary, in formulat- The Senate amendment included a provi- ing the plan required by this provision, vest military personnel appropriation. This au- thorization would be limited to fiscal year sion (sec. 1005) that would require the Sec- the SOLIC responsibility in an official whose retary of Defense to notify Congress five appointment is subject to the advice and 1996 and subsequent appropriations. The House bill contained no similar provi- days prior to an obligation or expenditure of consent of the Senate and for whom the emergency and extraordinary expenses au- SOLIC function shall be a principal respon- sion. The House recedes. thority in excess of $500,000 and 15 days prior sibility. Defense Modernization Account (sec. 912) to an obligation or expenditure of $1.0 mil- Redesignation of the position of Assistant to the lion. The provision would allow the Sec- The Senate amendment contained a provi- Secretary of Defense for Atomic Energy (sec. retary of Defense to waive the time period sion (sec. 1003) that would establish a De- 904) required for notification prior to obligation fense Modernization Account to encourage The Senate amendment contained a provi- or expenditure of funds if a determination savings within the Department of Defense sion (sec. 901) that would change the name of were made that such prior notification would and to make those savings available to ad- the Assistant to the Secretary of Defense for compromise national security objectives. In dress the serious shortfall in funding for Atomic Energy to be the Assistant to the the event the Secretary uses the authority modernization. to waive notification for national security Secretary of Defense for Nuclear and Chemi- The House bill contained no similar provi- reasons, notification would be required 30 cal and Biological Defense Programs. sion. The House bill contained no similar provi- The House recedes with a clarifying days after the expenditure of funds or on the sion. amendment. date the activity is completed. The House recedes. Under the conference agreement, the Sec- The House recedes with an amendment Restructuring of Department of Defense acquisi- retary of Defense could place in the Defenses that would require the Secretary of Defense tion organization and workforce (sec. 906) Modernization Account funds saved from to notify the congressional defense commit- tees five days in advance of obligation or ex- The House bill contained a provision (sec. achieving economies and efficiencies in: (1) penditure of funds in excess of $500,000 or 15 902) that would require the Secretary of De- investment programs; and (2) installation days in advance of obligation or expenditure fense to submit a report to Congress includ- management (to the extent that unobligated of funds in excess of $1.0 million. In the event ing a plan for restructuring the current ac- balances in installation management are the Secretary determines that prior notifica- quisition organizations in the Department of available during the last 30 days of the fiscal tion of the obligation or expenditure of funds Defense as well as an assessment of specified year). The conferees fully expect the Depart- would compromise national security objec- restructuring options. The provision would ment to protect current readiness of the tives, the provision would allow the Sec- also mandate a reduction of the acquisition forces, particularly in regard to funds for retary to waive the waiting period. In the workforce by 25 percent from October 1, 1995 budget activities one and two in the oper- event a national security waiver is nec- to October 1, 1998, and require a reduction of ation and maintenance appropriations ac- essary, the Secretary shall immediately no- 30,000 acquisition workforce positions in the counts. tify the congressional defense committees of Department of Defense in fiscal year 1996. In order to encourages savings by the mili- the need to expend funds, and provide the The Senate amendment contained no simi- tary departments and the Department of De- chairman and ranking member, or their des- lar provision. fense, funds placed in the account would be ignees, with any relevant information, in- The Senate recedes with an amendment re- reserved for use by the department or com- cluding the amount and purposes for the ob- quiring the Secretary to submit the report ponent that generated the savings. No funds ligation or expenditure. on a plan to reduce by October 1, 1998 the ac- could be made available from the account by The conferees remain concerned about the quisition workforce, as defined by the Sec- the department of defense except through es- use of Department of Defense funds for pur- retary, 25 percent below the baseline of Octo- tablished reprogramming procedures. poses that are more appropriately funded ber 1, 1994. The provision would also require Reprogramming procedures could not be through the international affairs budget. the Secretary to reduce the number of acqui- used to exceed the statutory funding author- The conferees urge the administration to re- sition personnel by 15,000 in fiscal year 1996. ization or statutory quantity ceiling applica- frain recommending the use of the Depart- Report on nuclear posture review and on plans ble to a given program. The amount of funds that could be reprogrammed by the Depart- ment of Defense emergency and extraor- for nuclear weapons management in event dinary expenses authority for non-defense of abolition of Department of Energy (sec. ment of Defense could not exceed $500.0 mil- lion in any one fiscal year. purposes. The conferees also caution the De- 907) partment to exercise minimal and judicious The House bill contained a provision (sec. Disbursing and certifying officials (sec. 913) use of the national security waiver. The House bill contained a provision (sec. 903) that would require the Secretary of De- LEGISLATIVE PROVISIONS NOT ADOPTED 1004) that would provide for the designation fense to prepare and submit a report to Con- Change in titles of certain Marine Corps general gress that describes the Secretary’s plan to and appointment of disbursing and certifying officials within the Department of Defense. officer billets resulting from reorganization incorporate the national security programs of the Headquarters, Marine Corps of the Department of Energy (DOE) into the The Senate bill contained a similar provi- Department of Defense. In developing the sion (sec. 1002) that would authorize the des- The House bill contained a provision (sec. plan the Secretary would be required to ignation and appointment of disbursing and 904) that would change references in current make every effort to preserve the integrity, certifying officials, and would grant relief law to reflect the reorganization of Head- mission, and functions of these programs. from liability in certain specific cir- quarters, Marine Corps. The Senate amendment contained a provi- cumstances. Relief from liability would be The Senate amendment contained no simi- sion (sec. 3151) that would require the Sec- based on demonstrated accountability for lar provision. The House recedes. retary of Defense to provide the congres- the loss is determined and diligent efforts to sional defense committees with an assess- collect money owed to the government has Inclusion of Information Resources Manage- ment of the effectiveness of the DOE. The as- been made. ment College in the National Defense Uni- sessment should include: (1) maintaining the The House recedes. versity nuclear weapons stockpile; (2) management Fisher House Trust Funds (sec. 914) The House bill contained a provision (sec. of its environmental, health, and safety re- The Senate amendment contained a provi- 905) that would authorize the Secretary of quirements, and national security research sion (sec. 742) that would establish trust Defense to establish a personnel system for January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 667 the Information Resources Management Col- the Naval Air Warfare Center Weapons Divi- ation. The authorization includes both mili- lege that is consistent with the personnel sion, China Lake, California, and the Naval tary personnel and operations and mainte- system for other institutions within the Na- Command, Control, and Ocean Center, San nance funding. tional Defense University. Diego, California, and at successor organiza- The conferees have observed with concern, The Senate amendment contained no simi- tions resulting from the reorganization of the continuing growth of the Department of lar provision. Naval Air Warfare Center Weapons Division Defense involvement in unbudgeted peace- The House recedes. or the Naval Command, Control, and Ocean keeping and humanitarian contingency oper- Employment of civilians at the Asia-Pacific Cen- Center. Additionally, the National Defense ations that negatively impact upon military ter for Security Studies Authorization Act for Fiscal Year 1995 pro- readiness. The Secretary of Defense initially vided expanded authority for the Secretary estimated the unbudgeted fiscal year 1996 The House bill contained a provision (sec. of Defense to conduct personnel demonstra- costs to the Department for ongoing oper- 906) that would authorize the Secretary of tion projects at Science and Technology ations in Iraq, Haiti and Bosnia to be $1.2 bil- Defense to establish a personnel system for Reinvention Laboratories. lion. This amount excludes the estimated the Asia-Pacific Center for Security Studies. $1.5 billion incremental cost of the proposed The Senate amendment contained no simi- The conferees are concerned about what appears to be a lack of real progress in this deployment of U.S. ground forces to Bosnia. lar provision. Lacking the budgeted resources, the Depart- The House recedes. area over the past year. Therefore, the con- ferees direct the Department of Defense to ment has resorted to the practice of financ- Naval nuclear propulsion program report to the Senate Committee on Armed ing the cost of these operations from the The House bill contained a provision (sec. Services and the House Committee on Na- military services’ operational readiness ac- 909) that would establish that no department tional Security, not later than February 1, counts. This practice has resulted in the can- or agency may regulate or direct any Propul- 1996, the extent to which these expanded au- cellation or deferral of some training exer- sion Program unless otherwise permitted or thorities have been used in each of the mili- cises, necessary equipment maintenance, and specified by law. It contained a second provi- tary departments. As a minimum, this re- other routine activities that degrade the sion (sec. 1032(m)) that would repeal section port should include those demonstration readiness of the force. Depending on what ac- 1634 of the National Defense Authorization projects proposed by the military depart- tivities are foregone, this adverse impact Act for Fiscal Year 1985 (Public Law 98–525, ments, the status of each such proposal, and could be significant. 42 U.S.C. 7158 note). Section 1634 stipulates the projected date for final action on each In recognition of this problem, the Admin- that the provisions of Executive Order 12344, proposal. istration’s fiscal year 1996 legislative pro- posal contained a request to grant the Sec- dated February 1, 1982, pertaining to the LEGISLATIVE PROVISIONS Naval Nuclear Propulsion Program, shall re- retary of Defense extraordinary authority to main in force until changed by law. LEGISLATIVE PROVISIONS ADOPTED transfer funds between accounts. The con- The Senate amendment contained no simi- Subtitle A—Financial Matters ferees instead recommend a provision that lar provision. Transfer authority (sec. 1001) would more fully address this matter by pro- viding new funding mechanisms for unfore- The House recedes on both section 909 and The House bill contained a provision (sec. section 1032(m). seen and unbudgeted contingency operations. 1001) that would allow the Department of De- To address unforeseen and unbudgeted op- Aviation testing consolidation fense to transfer up to $2.0 billion between erations, the provision would revise existing The House bill contained a provision (sec. accounts using normal reprogramming pro- provisions of law to require the Secretary of 910) that would prevent the Secretary of the cedures. Defense to draw upon the Defense Business Army from consolidating the Aviation Tech- The Senate amendment contained a simi- Operating Fund (DBOF) to provide much of nical Test Center, Fort Rucker, Alabama, lar provision (sec. 1001). the funding for these operations. In addition, with any other aviation testing facility until The House recedes. the provision authorizes a targeted transfer 60 days after the date on which a report was Incorporation of classified annex (sec. 1002) authority of $200.0 million from non-readi- received. The House bill contained a provision (sec. ness accounts. These accounts are intended The Senate amendment contained no simi- 1002) that would incorporate by reference the to serve as interim funding mechanisms lar provision. classified annex to the bill. In addition, the until Congress approves a supplemental ap- The House recedes. provision would authorize the expenditure of propriations package to replenish the DBOF Office of Humanitarian and Refugee Affairs funds made available for programs, projects, cash balances or other accounts from which The Senate amendment contained a provi- and activities referred to in the classified funds were transferred. sion (sec. 364) that would eliminate the Of- annex according to the terms, conditions, To address ongoing operations in southern fice of Humanitarian and Refugee Affairs limitations, restrictions, and requirements Iraq, the conferees recommend a provision within the Office of the Assistant Secretary of those programs, projects, and activities. that would authorize $503.8 million for En- of Defense for Special Operations and Low The Senate amendment contained no simi- hanced Southern Watch during fiscal year Intensity Conflict. lar provision. 1996 and would require that before obligating The House bill contained no similar provi- The Senate recedes with a technical more than $250 million of this amount, the sion. amendment. Secretary of Defense shall provide the Con- gressional Defense Committees with a report The Senate recedes. Improved funding mechanisms for unbudgeted designating any elements of Operation En- TITLE X—GENERAL PROVISIONS operations (sec. 1003), Operation Provide hanced Southern Watch that are semi- Comfort (sec. 1004), and Operation En- ITEMS OF SPECIAL INTEREST permanent in nature as forward presence op- hanced Southern Watch (sec. 1005) Assistance to local educational agencies when erations that should be budgeted in the fu- installation housing is located on leased The House Bill contained a provision (sec. ture in the same manner as other forward land 1003) that would establish a procedure for the presence operations routinely budgeted as funding of contingency operations out of ac- The conferees note that the Secretary of part of the annual defense budget. The con- counts other than those which are normally Education has declined to recognize military ferees believe that the aftermath of the Per- known as operational readiness accounts. connected students as residing on Federal sian Gulf War has fundamentally altered the This provision would also require the Presi- property if the government owned housing in security situation in the region in a manner dent to budget for any operations that are which they reside is located on leased land. that will require a significant U.S. presence ongoing in the first quarter of a fiscal year In one case, recognition of on-installation for years to come. and are expected to continue into the next residency was denied even though the hous- To address the operation designated as fiscal year. If the President were to fail to ing is located within the security perimeter Provide Comfort, the conferees recommend a request the necessary funds in his annual of the installation and is managed in the provision that would authorize $143.3 million budget, then funding for these operations same manner as government housing located in fiscal year 1996. This provision would also would be denied at the start of the next fis- on government owned land. require the Secretary of Defense to submit a cal year. The conferees believe that, for purposes of report that details the expected fiscal year The Senate amendment contained no simi- assistance to local educational agencies, 1996 costs of that operation, and the missions lar provision. residents of government owned housing, lo- and functions expected to be performed by The Senate recedes with an amendment cated on land leased by the government and the Department of Defense and other agen- that would include three separate provisions managed in the same manner as government cies of the Federal Government. In addition, that would: (1) modify the funding mecha- housing on government owned land, shall be this report should discuss the options related nism proposed by the House for contingency considered residents of federal property. to reduction of the level of the military in- operations; (2) authorize $503.8 million for volvement in the operation, and include an Authority to conduct personnel demonstration Enhanced Southern Watch and require that exit strategy for the United States. projects semi-permanent elements of this operation Finally, the conferees express the view The National Defense Authorization Act be designated as forward presence oper- that costs borne by the Department of De- for Fiscal Year 1995 made permanent the au- ations; and (3) authorize $143.3 million for fense in conducting contingency operations thority of the Secretary of the Navy to con- Provide Comfort and require the Secretary in support of another agency’s mission, such tinue personnel demonstration projects at of Defense to provide a report on this oper- as humanitarian relief, law enforcement and H 668 CONGRESSIONAL RECORD — HOUSE January 22, 1996 immigration control, should not be assessed ment to provide for the surface fire support The House recedes with an amendment against the defense budget topline. The con- capability necessary for amphibious as- that would: ferees are concerned with the increasing cost saults. The ability of the Marine Corps and (1) clarify that NDRF vessels would not re- of these operations at a time of declining de- the Navy to conduct forcible entry by am- quire retrofit to a double hull configuration fense budgets and the negative impact this phibious assault is an essential element of as a consequence of this change in budgeting has had upon military readiness. The con- the Department of the Navy’s strategic con- procedure; ferees endorse the historical principle of cept for littoral warfare. (2) clarify that NDSF funds shall not be maintaining a peacetime defense budget de- The House bill contained no similar provi- used for the acquisition of ships for the signed to adequately fund the activities of sion. NDRF that are built in foreign shipyards; the Department of Defense to organize, train The House recedes with an amendment. and and equip military forces in a manner suffi- The conferees believe that the Department (3) permit the use of NDSF funds to com- cient to meet national security require- of the Navy’s future years defense program, plete the modifications needed to prepare ments. presented with the fiscal year 1996 budget, two roll-on/roll-off ships that were purchased In addition, the conferees note that the could not produce a replacement fire support in fiscal year 1995 for incorporation into the five year defense program remains under- capability comparable to the battleships ready reserve force of the NDRF. funded relative to the national security until well into the next century. The con- The conferees intend that the Department strategy and recommended military force ferees consider retention of two battleships of Defense seek and obtain specific legisla- structure. The negative impact of these in the fleet’s strategic reserve a prudent tive authorization prior to obligating and ex- shortfalls will grow in the years ahead and measure. pending any funds for the acquisition of any threaten our ability to maintain adequate Transfer of naval vessels to certain foreign vessels for the NDRF. levels of short and long-term readiness, in- countries (sec. 1012) The conferees are aware of the importance cluding sorely needed equipment moderniza- of strategic sealift to national security. The The Senate amendment included a provi- conferees will revisit the prohibition on pro- tion. Therefore, the conferees believe that sion (sec. 1012) that would authorize the Sec- funding for contingency operations should be curement of ships built in foreign shipyards retary of the Navy to transfer eight FFG–7 but will only do so when the Department has provided in addition to what would have oth- class guided missile frigates to various coun- erwise been made available for the Depart- established and funded a national defense tries. Seven of the frigates would be trans- features program, and they have had an op- ment of Defense for its normal peacetime ac- ferred by grant, and one by lease. tivities. portunity to evaluate its effectiveness as an The House bill contained no similar provi- alternative source of strategic sealift. Unauthorized appropriations for fiscal year 1995 sion. Naval salvage facilities (sec. 1015) (sec. 1006) The House recedes with an amendment that would: The Senate amendment contained a provi- The House bill contained a provision (sec. sion (sec. 805) that would consolidate all sec- 1005) that would allow the Department of De- (1) reduce the number of grant transfers from seven to four, and the remaining frig- tions in chapter 637 of title 10, United States fense to obligate funds for all fiscal year 1995 Code, relating to naval salvage facilities. ates would be transferred by lease or sale; programs, projects, and activities for which The House bill contained no similar provi- (2) require that, as a condition of the the amount appropriated exceeded the sion. amount authorized. transfer of the eight frigates, any repair or The House recedes with an amendment. refurbishment needed before the transfer, be The Senate amendment contained no such Vessels subject to repair under phased mainte- performed at a shipyard located in the Unit- provision. nance contracts (sec. 1016) The Senate recedes. ed States; The House bill contained a provision (sec. Authorization of prior year emergency supple- (3) amend section 2763 of title 22, United States Code, to permit foreign countries to 1022) that would require the Secretary of the mental appropriations for fiscal year 1995 Navy to ensure that vessels or classes of ves- (sec. 1007) use foreign assistance funds to lease vessels; and sels, covered by phased maintenance con- The House bill contained a provision (sec. (4) amend section 2321j of title 22, United tracts while in active Navy service, would 1006) that would authorize the emergency States Code, to prohibit future grant trans- continue to be covered by those contracts supplemental appropriations enacted in the fers of any vessel that is in excess of 3,000 after being transferred to other operating Emergency Supplemental Appropriations tons or that is less than 20 years old. commands, such as the Military Sealift Com- and Rescissions for the Department of De- The conferees are aware that in some cases mand. The Senate amendment contained no simi- fense to Preserve and Enhance Military U.S. national security will be best served by lar provision. Readiness Act of 1995 (Public Law 104–6). a grant transfer, particularly when the recip- This Act provided funding for fiscal year 1995 The Senate recedes with an amendment ient is an important coalition defense part- that would restrict this requirement to type expenses related to military operations in ner that is making valuable contributions to Southwest Asia, Haiti, Cuba, Somalia, AE ships covered by phased maintenance U.S. security or lacks the resources to ob- contracts as of the date of enactment of the Bosnia, and Korea. tain a vessel by lease or sale. Accordingly, The Senate amendment contained a simi- National Defense Authorization Act for Fis- the amendment to section 2321j would permit cal Year 1996. lar provision (sec. 1004). the President to request a future grant The Senate recedes. transfer if it is determined that it is in the Clarification of requirements relating to repairs Authorization reductions to reflect savings from national security interest of the United of vessels (sec. 1017) revised economic assumptions (sec. 1008) States. Section 7310 of title 10, United States Code, places limits on the type of repairs that can The conferees agree to a provision that Contract options for LMSR vessels (sec. 1013) be performed by foreign shipyards on Navy would reflect revised economic assumptions The House bill contained a provision (sec. ships that are homeported in the United that were not available prior to the con- 1021) that would recommend that the Sec- States. The House bill contained a provision ference report. retary of the Navy negotiate a contract op- (sec. 1023) that would amend section 7310 by Subtitle B—Naval Vessels and Shipyards tion price for a seventh large medium speed designating Guam a United States homeport Iowa class battleships (sec. 1011) roll-on/roll-off (LMSR) strategic sealift ship for purposes of that section. In February 1995, the Secretary of the at each of the two shipyards that currently The Senate recedes. Navy made a decision to strike the Navy’s have construction contracts. Naming amphibious ships (sec. 1018) The Senate amendment contained no simi- four inactive Iowa class battleships from the The Senate amendment contained a provi- lar provision. naval register. The Senate amendment con- sion (sec. 1013) that would make the follow- The Senate recedes with an amendment tained a provision (sec. 1011) that would di- ing findings: that would clarify that the provision would rect the Secretary of the Navy to restore at (1) this is the fiftieth anniversary of the not preclude the Secretary of the Navy from least two Iowa class battleships to the naval battle of Iwo Jima, one of the greatest vic- competing these two contract options be- register in an inactive status. The Secretary tories in the Marine Corps’ illustrious his- tween the two shipyards that currently have would be required to retain them on the reg- tory; construction contracts. ister until he is prepared to certify that the (2) the Navy has recently retired the ship Navy has within the fleet an operational sur- National Defense Reserve Fleet (sec. 1014) that honored that battle, U.S.S. Iwo Jima face fire support capability that equals or ex- The Senate amendment contained a provi- (LPH–2), the first ship in a class of amphib- ceeds the fire support capability that the sion (sec. 381) that would permit the use of ious assault ships; battleships could provide if returned to ac- the National Defense Sealift Fund (NDSF) to (3) this Act authorizes the LHD–7, the final tive service. budget for expenses of the national defense ship of the Wasp class of amphibious assault The Senate provision would recognize the reserve fleet (NDRF). Beginning with the fis- ships, to replace the Iwo Jima class of ships; fact that battleships could provide a surface cal year 1996 request, funds for NDRF ex- (4) the Navy is planning to start building a fire support capability unmatched by any penses would be included in the NDSF budg- new class of amphibious transport docks, other Navy weapons system and that there is et request within budget function 051. now called the LPD–17 class, and this Act an ongoing concern regarding the Depart- The House bill contained no similar provi- also authorizes funds that will lead to pro- ment of the Navy’s apparent lack of commit- sion. curement of these vessels; January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 669 (5) there has been some confusion in the ra- Coast Initiative and a $2.5 million increase used to support intelligence activities at tionale behind naming new naval vessels, for the Southwest Border States Information NDIC as of the date of enactment of this bill. with traditional naming conventions fre- System. The conferees support continued The House bill contained no similar provi- quently violated; and DOD assistance for the Southwest Border sion. (6) although there have been good and suf- States Anti-Drug Information System and The House recedes. ficient reasons to depart from naming con- urge the Secretary of Defense to continue to Subtitle D—Civilian Personnel ventions in the past, the rationale for such monitor and support this system through Management of Department of Defense civilian departures has not always been clear. completion of the current program. personnel (sec. 1031) The Senate amendment would also express The conferees further agree to authorize an the sense of the Senate that: additional increase of $28.0 million for other The House bill contained a provision (sec. (1) the LHD–7, authorized in the Senate Law Enforcement Agency Support. The con- 331) that would prohibit the use of full-time amendment, should be named the U.S.S. Iwo ferees urge the Secretary of Defense, through equivalent personnel ceilings in the manage- Jima; and normal reprogramming procedures, to use up ment of the Department of Defense’s civilian (2) the ships of the LPD–17 class amphib- to $25.0 million of these funds to procure low- workforce. ious ships should be named after a Marine energy/backscatter x-ray equipment for use The Senate amendment contained a simi- Corps battle or a member of the Marine as non-intrusive inspection devices. The con- lar provision (sec. 332). Corps. ferees are aware that 70 percent of the illegal The Senate recedes with a clarifying The House bill contained no similar provi- drugs that enter the United States come, pri- amendment. sion. marily by air, into Mexico and then across The conferees direct the Secretary of De- The House recedes with an amendment. the southwest border by truck and auto- fense to report to the Senate Committee on The conferees agree to endorse the sense of mobile. The conferees believe that the field- Armed Services and the House Committee on the Senate expressed as a sense of Congress. ing of non-intrusive inspection devices at the National Security by February 15, 1996, on southwest border would significantly con- plans to manage civilian personnel in consid- Naming of naval vessel (sec. 1019) eration of this provision. The House bill contained a provision (sec. tribute to the fight against illegal drug traf- ficking across the United States-Mexican Conversion of military positions to civilian posi- 1024) that would express the sense of Con- tions (sec. 1032) gress that the Secretary of the Navy should border. The conferees also urge the Sec- name an appropriate naval vessel the U.S.S. retary of Defense, through normal The House bill contained a provision (sec. Joseph Vittori. reprogramming procedures, to consider using 333) that would require the Secretary of De- The Senate amendment contained no simi- available funds for improvements and exten- fense to convert not less than 10,000 military lar provision. sion of the existing fence along the San positions to performance by civilian employ- The Senate recedes. Diego Border Patrol Sector. ees of the Department of Defense. Allocation of funds for counterdrug activi- The Senate amendment contained no simi- Transfer of riverine patrol craft (sec. 1020) ties are indicated below: lar provision. The House bill contained a provision (sec. Drug interdiction and counterdrug activities, The Senate recedes with an amendment 1025) that would authorize the Secretary of operations and maintenance that would permit the conversion to be the Navy to transfer one Swift class riverine phased over two fiscal years. patrol craft to the Tidewater Community Thousands Elimination of 120-day limitation on details of College, Portsmouth, Virginia, for scientific Fiscal year 1996 drug and certain employees (sec. 1033) and educational purposes. counterdrug request ...... $680,400 The Senate amendment contained no simi- Source nation support ...... 127,300 The Senate amendment contained a provi- lar provision. Dismantling cartels ...... 64,300 sion (sec. 338) that would amend section 3341 The Senate recedes. Detection and monitoring ..... 111,700 of title 5, United States Code, to eliminate Law enforcement agency sup- the requirement that the administration of Subtitle C—Counter-Drug Activities port ...... 279,300 details for civilian employees be managed in Counter-drug activities Demand reduction ...... 97,800 120-day increments. The budget request for drug interdiction Reductions: The House bill contained no similar provi- and counter-drug activities totals $680.4 mil- Community outreach pro- sion. lion, plus $131.5 million for operational grams ...... 8,236 The House recedes with a clarifying tempo which is included within the operat- National Drug Intelligence amendment. ing budgets of the military services. Center ...... 14,000 Authority of civilian employees of the Depart- Undistributed reduction ...... 12,264 Both the House bill and the Senate amend- ment of Defense to participate voluntarily Increases, law enforcement ment would authorize the budget request of in reductions in force (sec. 1034) $680.4 million, with marginal differences in agency support: The Senate amendment contained a provi- the allocation of these funds. Gulf States counterdrug ini- sion (sec. 340) that would allow employees Both the House bill and the Senate amend- tiative ...... 4,000 who are not affected by a reduction-in-force ment would delete funding for the Commu- Southwest border States in- (RIF) to volunteer to be RIF separated in nity Outreach Programs ($8.2 million). In ad- formation system ...... 2,500 place of other employees who are scheduled dition, the Senate amendment included a Other (non-intrusive inspection for RIF separation. provision (sec. 1022) that would prohibit con- devices, Southwest border The House bill contained no similar provi- tinued Department of Defense (DOD) funding fence) ...... 28,000 sion. of the National Drug Intelligence Center The House recedes with a clarifying (NDIC) ($34.0 million). Total ...... 680,400 amendment. The House bill would authorize increased Revision and clarification of authority for Fed- Authority to pay severance payments in lump funding for the Tethered Aerostat Radar eral support of drug interdiction and sums (sec. 1035) System ($1.5 million), Counterdrug Analysis counter-drug activities of the National ($1.2 million), Southcom Radars ($1.5 mil- Guard (sec. 1021) The Senate amendment contained a provi- lion), Special Operations Forces (SOF) sion (sec. 341) that would amend section 5595 The Senate amendment contained a provi- Counterdrug Support ($2.5 million), and of title 5, United States Code, to permit the sion (sec. 1021) that would revise and clarify CARIBROC Communications ($1.5 million). lump-sum payment of severance pay. authority for federal support of drug inter- The Senate amendment would authorize an The House bill contained no similar provi- diction and counter-drug activities of the increase in funding for procurement of non- sion. National Guard. intrusive inspection devices for the Customs The House recedes. The House bill contained no similar provi- Service ($25.0 million), Source Nation Sup- sion. Continued health insurance coverage (sec. 1036) port Initiatives ($15.2 million) and the Gulf The House recedes with an amendment The House bill contained a provision (sec. States Counterdrug Initiative ($2.0 million). which would further clarify the legal status 337) that would extend continued health in- The conferees agree to delete DOD funding of National Guard personnel participating in surance coverage for certain employees af- for the Community Outreach Programs and these programs. fected by a force reduction or a base realign- to reduce funding for the National Drug In- ment and closure action. telligence Center to $20.0 million. The con- National Drug Intelligence Center (sec. 1022) The Senate amendment contained a simi- ferees also agree to an undistributed reduc- The Senate amendment included a provi- lar provision (sec. 337). tion of $12.3 million. Offsets to comply with sion (sec. 1022) that would prohibit further The Senate recedes. the undistributed reduction may not be Department of Defense (DOD) funding of the taken from items where increases have been National Drug Intelligence Center (NDIC), Revision of authority for appointments of invol- provided. but would allow the Secretary of Defense to untarily separated military reserve techni- The conferees agree to authorize additional continue to provide DOD intelligence person- cians (sec. 1037) funding for Law Enforcement Agency Sup- nel to support intelligence activities at The Senate amendment contained a provi- port, with a $4.0 million increase to expand NDIC, as long as the number of personnel sion (sec. 336) that would amend section 3329 the intelligence activities of the Gulf States provided by DOD does not exceed the number of title 5, United States Code, to eliminate H 670 CONGRESSIONAL RECORD — HOUSE January 22, 1996 the requirement regarding separated techni- service employee; (3) government-wide eligi- partment of Defense to prepare a report list- cians. bility; and (4) creditability of ing certain boards and commissions. The De- The House bill amendment contained no nonappropriated fund service for reduction- partment would be required to indicate similar provision. in-force purposes. whether each board or commission merits The House recedes. Extension of temporary authority to pay civilian continued support. Wearing of uniform by National Guard techni- employees with respect to the evacuation The House bill contained no similar provi- cians (sec. 1038) from Guantanamo, Cuba (sec. 1044) sion. The House recedes with a clarifying The Senate amendment contained a provi- The Senate amendment contained a provi- amendment. sion (sec. 333) that would require military sion (sec. 334) that would extend the author- technicians to wear military uniforms in ization for the Navy to continue to pay evac- Change in reporting date (sec. 1055) their jobs. The provision would also place uation allowances until January 31, 1996 to The Senate amendment contained a provi- technician officers on the same footing as civilian employees whose dependents were sion in its classified annex that would Active Guard and Reserve officers for pur- evacuated from Guantanamo, Cuba, in Au- change the date that the Department of De- poses of qualifying for a uniform allowance. gust and September 1994. The provision fense is required to submit annually its The House bill contained no similar provi- would also require a monthly report which budget materials for Special Access Pro- sion. would include the actions that the Secretary grams, from February 1 to March 1. The House recedes. of the Navy is taking to eliminate the condi- The House bill contained no similar provi- Military leave for military reserve technicians tions making the payments necessary. sion. for certain duty overseas (sec. 1039) The House bill contained no similar provi- The House recedes. The House bill contained a provision (sec. sion. Subtitle F—Repeal of Certain Reporting and 512) that would authorize military techni- The House recedes. Other Requirements and Authorities cians an additional 44 workdays of leave, Subtitle E—Miscellaneous Reporting Miscellaneous provisions of law (sec. 1061) without loss of pay and other benefits, for Requirements The House bill contained a provision (sec. periods the technician would serve on active Report on budget submission regarding reserve 1032) that would repeal numerous provisions duty, without pay, while in support of non- components (sec. 1051) of law that have expired or are obsolete, or combat operations outside the United The Senate amendment contained a provi- that were inconsistent with other provisions States. sion (sec. 1007) that would require the Sec- recommended by the House. The Senate amendment contained no simi- retary of Defense to submit a report that de- The Senate amendment contained no simi- lar provision. scribes measures taken within the Depart- lar provision. The Senate recedes. ment of Defense to ensure that the reserve The Senate recedes with an amendment Personnel actions involving employees of components are appropriately funded, and, that would retain portions of the suggested nonappropriated fund instrumentalities for fiscal year 1997, lists the major weapons deletions. (sec. 1040) and items of equipment, as well as, the mili- Reports required by Title 10, United States Code The House bill contained a provision (sec. tary construction projects provided for the (sec. 1062) 334) that would clarify the definition of National Guard and Reserves. The Senate amendment contained seven nonappropriated fund instrumentality em- The House bill included no similar provi- provisions (secs. 1071–1077) that would delete ployees and permit the direct reporting of sion. a total of 67 reports currently required of the violations by nonappropriated fund employ- The House recedes with an amendment. Department of Defense. ees to the Department of Defense Inspector The conferees agree to a provision that The House bill contained no similar provi- General. would require the report included in the sion. The Senate amendment contained no simi- original Senate provision, and would require The House recedes with an amendment lar provision. the Secretary of Defense to display in all fu- that would retain several of the reporting re- The Senate recedes. ture-years defense programs the amounts re- quirements. Coverage of nonappropriated fund employees quested for procurement of equipment and Subtitle G—Department of Defense under authority for flexible and compressed military construction for each of the reserve Education Programs work schedules (sec. 1041) components. Continuation of the Uniformed Services Univer- The House bill contained a provision (sec. Report on desirability and feasibility of provid- sity of the Health Sciences (sec. 1071) 336) that would provide the same overtime ing authority for use of funds derived from exemption for nonappropriated fund employ- recovered losses resulting from contractor The House bill contained a provision (sec. ees as applies to other civilian employees of fraud (sec. 1052) 907) that would require the Secretary of De- the Department of Defense. The Senate amendment contained a provi- fense to budget for ongoing operations at the The Senate amendment contained a simi- sion (sec. 382) that would allow the secretary Uniformed Services University of the Health lar provision (sec. 343). of a military department to receive an allo- Sciences. The House recedes. cation from funds recovered in contractor The Senate amendment contained a simi- Limitation on provision of overseas living quar- fraud cases, for use by installations that car- lar provision (sec. 1031) that would reaffirm ters allowances for nonappropriated fund ried out or supported investigations or liti- the prohibition of the closure of the Univer- instrumentality employees (sec. 1042) gation involving contractor fraud. sity, and establish minimum staffing levels. The House bill contained no similar provi- The House recedes with a clarifying The House bill contained a provision (sec. sion. amendment. 335) that would, as of September 30, 1997, con- The House recedes with an amendment form the allowance for overseas living quar- Additional graduate schools and programs at that would require the Secretary of Defense ters for nonappropriated fund employees to the Uniformed Services University of the to report on the desirability and feasibility that provided for civilian employees of the Health Sciences (sec. 1072) of authorizing the retention and use of a por- Department of Defense paid from appro- The Senate amendment contained a provi- tion of such recovered amounts. priate funds. sion (sec. 1032) that would authorize addi- The Senate amendment contained no simi- Review of national policy on protecting the na- tional graduate schools and programs at the lar provision. tional information infrastructure against Uniformed Services University of the Health The Senate recedes with a clarifying strategic attack (sec. 1053) Sciences. This provision would permit the amendment. The Senate amendment contained a provi- Board of Regents to establish a graduate Elections relating to retirement coverage (sec. sion (sec. 1097) that would require the Presi- school of nursing at the University. 1043) dent to submit a report that would set forth The House bill contained no similar provi- the national policy and architecture govern- sion. The House bill contained a provision (sec. ing plans to protect the national information The House recedes. 338) that would increase the number of em- infrastructure against strategic attack. ployees eligible to transfer between Funding for adult education programs for mili- The House bill contained no similar provi- nonappropriated fund and appropriated fund tary personnel and dependents outside the sion. morale, welfare, recreation programs with- United States (sec. 1073) The House recedes. out significant loss of benefits. The Senate amendment contained a provi- The conferees intend that the President The Senate amendment contained no simi- sion (sec. 1033) that would authorize appro- rely, to the maximum extent practicable, on lar provision. priations for the military continuing edu- the executive agent for the national commu- The Senate recedes with an amendment cation programs of the armed services, and nications system in the preparation and sub- that would provide for portability of retire- for adult members of military families sta- mission of the report. ment benefits by allowing: (1) election by tioned or residing outside the United States. employees of the nonappropriated fund or Report on Department of Defense boards and The House bill contained no similar provi- the Federal Employees Retirement System; commissions (see 1054) sion. (2) credit for years of service either as a The Senate amendment contained a provi- The House recedes with a technical amend- nonappropriated fund employee or a civil sion (sec. 1084) that would require the De- ment. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 671 Assistance to local educational agencies that lege is appropriate, he should forward such a Disclosure of information concerning unac- benefit dependents of members of the armed recommendation, complete with justifica- counted for United States personnel from forces and Department of Defense civilian tion, to the Congress. the Korean Conflict, the Vietnam Era and employees (sec. 1074) Amendments to education loan repayment pro- the Cold War (sec. 1085) The House bill contained a provision (sec. grams (sec. 1079) The conference agreement includes a pro- 394) that would authorize the appropriation vision that would modify section 1082 of the The House bill contained a provision (sec. of $58.0 million for assistance to local edu- National Defense Authorization Act for Fis- 554) that would authorize the repayment of cational agencies in areas where there is an cal Years 1992 and 1993 (Public Law 102–190) loans that were made under the William D. impact to school systems caused by depend- to change the criteria under which limita- Ford Federal Direct Loan Program. ents of members of the armed forces and De- tions to disclosure of information concerning partment of Defense (DOD) civilians. The Senate amendment contained no simi- United States personnel classified as pris- The Senate amendment contained a provi- lar provision. oner of war or missing in action during the sion (sec. 387) that would prohibit the Sec- The Senate recedes. Vietnam conflict would not apply and to retary of Education from considering pay- Subtitle H—Other Matters change the date by which a report is required ments to a local educational agency from to be delivered to the Congress. Termination and modification of authorities re- DOD funds when determining the amount of garding national defense technology and in- Operational support airlift aircraft fleet (sec. impact aid to be paid from Department of dustrial base, defense reinvestment, and de- 1086) Education funds. Additionally, the rec- fense conversion programs (sec. 1081) The Senate amendment contained a provi- ommended provision would make technical sion (sec. 1099E) that would require the Sec- The House bill contained a provision (sec. changes to the previous year authorizations retary of Defense to submit a Joint Chiefs of 1031) that would repeal portions of chapter of impact aid. Staff report on operational support aircraft 148 of title 10, United States Code, that The conferees agree to combine and clarify (OSA) to the congressional defense commit- would establish authorities similar to those the two provisions and to change the author- tees, and to reduce the flying hours of such provided elsewhere in law. ized funding to $35.0 million. aircraft in fiscal year 1996. Sharing of personnel of Department of Defense The Senate amendment contained a simi- The House bill contained no similar provi- domestic dependent schools and defense de- lar provision (sec. 221). sion. pendents’ education system (sec. 1075) The conferees agree to a provision that The House recedes with an amendment The Senate amendment contained a provi- would adopt both House and Senate provi- that would require the Secretary to examine sion (sec. 335) that would authorize the Sec- sions, with an amendment. The conferees central scheduling and management of such retary of Defense to direct the sharing of have included a provision that would repeal aircraft in the report. personnel resources between the Department subsection 2501 (b) and sections 2512, 2513, The conferees believe that the review of of Defense Overseas School System and the 2516, 2520, 2521, 2522, 2523, and 2524 of title 10, OSA operations should focus on savings and Defense Dependents’ Education System, and United States Code. The provision would also scheduling rationalization. The conferees be- to provide other support services to either amend section 2525 of title 10, United States lieve that the Department of Defense can system, for a period to be prescribed by the Code, by adding a series of guidelines to the achieve efficiencies by revamping the cur- Secretary. requirement for the preparation of the man- rent OSA program, and have included a re- The House bill contained no similar provi- ufacturing science and technology master duction in OSA flying hours for fiscal year sion. plan. Finally, the conferees have included 1996 in this provision. The House recedes with a technical amend- language that would modify the defense While prior studies of OSA organization ment. dual-use critical technology program author- have recommended realigning OSA manage- ized by section 2511 of title 10, United States Increase in reserve component Montgomery GI ment, the conferees refrain from directing Code. In using the authority under this sec- the Department to make specific organiza- Bill educational assistance allowance with tion, the conferees expect the Secretary of respect to skills or specialties for which tional changes at this time. Defense to give equal consideration to the Civil Reserve Air Fleet (sec. 1087) there is a critical shortage of personnel (sec. development of both product and process 1076) technologies. The House bill contained a provision (sec. The House bill contained a provision (sec. 387) that would clarify the conditions under Ammunition industrial base (sec. 1082) 553) that would authorize increased rates of which a contractor under the Civil Reserve educational assistance allowance for reserve The Senate amendment contained a provi- Air Fleet program is required to commit air- members with specialties or skills in which sion (sec. 823) that would require the Sec- craft for use by the Department of Defense. there are critical shortages. retary of Defense to review ammunition pro- The Senate amendment contained a simi- The Senate amendment contained no simi- curement and management programs and re- lar provision (sec. 814). lar provision. port the findings to the congressional de- The House recedes. The Senate recedes with an amendment fense committees by April 1, 1996. Damage or loss to personal property due to that would expand the authority to include The House bill contained no similar provi- emergency evacuation or extraordinary cir- certain former active duty personnel with sion. cumstances (sec. 1088) critical specialties or skills who become The House recedes. The Senate amendment contained a provi- members of a selected reserve unit. Policy concerning excess defense industrial ca- sion (sec. 1087) that would provide for an in- Date for annual report on reserve component pacity (sec. 1083) creased level of reimbursement for claims Montgomery GI Bill educational assistance that arise from emergency evacuations or program (sec. 1077) The House bill contained a provision (sec. extraordinary circumstances. The new limits 1033) that would prohibit the use of appro- The Senate amendment contained a provi- would be retroactive to June 1, 1991. priated funds for capital investment in, or The House contained no similar provision. sion (sec. 1035) that would change the date on the development and construction of, a gov- which the annual report on selected reserve The House recedes with an amendment ernment-owned, government-operated de- that would provide for retroactive applica- educational assistance program is due to the fense industrial facility unless the Secretary Congress, from December 15 to March 1 of tion of the increased level of reimbursement of Defense certifies to Congress that no simi- when certain conditions are met. each year. lar capability or minimally used capability Authority to suspend or terminate collection ac- The House bill contained no similar provi- exists in another similar facility. sion. tions against deceased members (sec. 1089) The Senate amendment contained no simi- The House recedes. lar provision. The Senate amendment contained a provi- sion (sec. 1086) that would amend section 3711 Scope of the education programs of Community The Senate recedes with an amendment. College of the Air Force (sec. 1078) of title 31, United States Code, to authorize Sense of Congress concerning access to second- The Senate amendment contained a provi- the Secretary of Defense to suspend or ter- ary school student information for recruit- minate collection action against the estates sion (sec. 1034) that would amend section 9315 ing purposes (sec. 1084) of title 10, United States Code, to limit the of service members who die on active duty scope of the Community College of the Air The Senate amendment contained a provi- while indebted to the government. The House bill contained no similar provi- Force (CCAF) to Air Force personnel. sion (sec. 1091) that would express the sense sion. The House bill contained no similar provi- of the Senate that educational institutions, The House recedes. sion. including secondary schools, should not deny The House recedes with a clarifying military recruiters the same access to their Check cashing and exchange transactions for amendment. campuses and directory information that is dependents of United States Government The conferees do not consider expanding allowed other employers. personnel (sec. 1090) the CCAF as an appropriate means of estab- The House bill contained no similar provi- The Senate amendment contained a provi- lishing a defense-wide community college. If sion. sion (sec. 1088) that would authorize United the Secretary of Defense believes that estab- The House recedes with an amendment ex- States disbursing personnel to extend check- lishment of a defense-wide community col- pressing the sense of Congress. cashing and currency exchange services to H 672 CONGRESSIONAL RECORD — HOUSE January 22, 1996 the dependents of military and civilian per- 6103(b)(2) of title 5, United States Code, to tion-building with the military organiza- sonnel at government installations that do authorize agencies some discretion in des- tions of allied and friendly nations. IMET not have adequate banking facilities. ignating holidays for employees whose basic has suffered in recent years from being part The House bill contained no similar provi- work week is other than Monday through of the State Department’s budget which has sion. Friday. become increasingly unpopular with the The House recedes with a technical amend- The House bill contained no similar provi- American public and their elected represent- ment. sion. atives. The conferees are pleased to note, National Maritime Center (sec. 1091) The Senate recedes. however, that the Foreign Operations Appro- The Senate amendment contained a provi- Assistance to Customs Service priations Conference Report for Fiscal Year sion (sec. 1099D) that would designate the The Senate amendment included a provi- 1996 fully funds the administration’s IMET Nauticus building, located at one Waterside sion (sec. 1023) that would authorize the De- request. The conferees intend to address this mat- Drive, Norfolk, Virginia, as the National partment of Defense to procure or transfer ter next year with a view towards transfer- Maritime Center. funds to the Customs service for procure- The House bill contained no similar provi- ment of non-intrusive inspection devices for ring budgetary and execution responsibility sion. use at the ports of entry on the southwest for IMET to the Department of Defense. Ac- The House recedes. border of the United States. cordingly, the conferees encourage the Sec- The House bill contained no similar provi- retary of Defense and the Secretary of State Sense of Congress regarding historic preserva- to work out a process for such a transfer to tion of Midway Islands (sec. 1092) sion. The Senate recedes. The conferees agree, ensure smooth and effective functioning with The Senate amendment contained a provi- as stated elsewhere in this statement of robust future funding. sion (sec. 1099b) that would express the sense managers, to urge the Secretary of Defense Sense of the Senate on protection of United of the Senate that Midway Island be memori- to procure non-intrusive inspection devices States from ballistic missile attack alized and the historic structures relating to with funds available through reprogramming The Senate amendment contained a provi- the Battle of Midway be maintained in ac- procedures. sion (sec. 1062) that would express the Sense cordance with the National Historic Preser- of the Senate that all Americans should be vation Act. Establishment of Junior ROTC units in Indian The House bill contained no similar provi- reservation schools protected from accidental, intentional, or sion. The Senate amendment contained a provi- limited ballistic missile attack, and that The House recedes with an amendment sion (sec. 1036) that would express the Sense front line troops of the United States should that would make the provision a Sense of the of the Congress that secondary schools on In- be protected from missile attacks. The Sen- Congress. dian reservations be afforded full oppor- ate provision would also provide funding for tunity to be selected as locations for estab- the Corps surface-to-air missile (SAM) pro- Sense of the Senate regarding federal spending gram. (sec. 1093) lishing new Junior Reserve Officers’ Train- ing Corps units. The House bill contained no similar provi- The Senate amendment contained a provi- The House bill contained no similar provi- sion. sion (sec. 1095) that would express a sense of sion. The Senate recedes. Although the con- the Senate regarding federal spending. The Senate recedes. ferees fully support the views expressed in The House bill contained no similar provi- The conferees agree that current law af- the Senate provision, they believe that such sion. fords full opportunity for secondary schools views are adequately represented elsewhere The House recedes. on Indian reservations to be selected as loca- in the conference report. The conferees also Extension of authority for vessel war risk insur- tions for establishing new Junior Reserve Of- address the Corps SAM issue elsewhere in ance (sec. 1094) ficers’ Training Corps units. the conference report. The conferees agree to a new provision Defense cooperation between the United States Travel of disabled veterans on military aircraft that would amend section 1214 of the Mer- and Israel The Senate amendment contained a provi- chant Marine Act, 1936 (46 App. U.S.C. 1294) The Senate amendment contained a provi- sion (sec. 1089) that would permit veterans to extend the Secretary of Transportation’s sion (sec. 1055) that would express the Sense eligible for compensation for a service-con- authority to provide insurance against loss of Congress for continued cooperation be- nected disability the same entitlement to or damage as a result of marine war risks tween the United States and Israel in mili- space-available transportation as retired from June 30, 1995 to June 30, 2000. The con- tary and technical areas. members of the Armed Forces. ferees acknowledge the cooperation of the The House bill contained no similar provi- The House bill contained no similar provi- Committee on Commerce, Science, and sion. sion. Transportation of the Senate, the committee The Senate recedes. The conferees note The Senate recedes. of jurisdiction in the Senate, for permitting that a provision virtually identical to that The conferees note the unreliable nature of inclusion of this important authority in the contained in the Senate amendment exists in space-available flight, and that such flights National Defense Authorization Act for Fis- the National Defense Authorization Act for would normally involve cargo-type aircraft, cal Year 1996. Fiscal Year 1995 (Public Law 103–337). The which are not equipped for handicapped ac- LEGISLATIVE PROVISIONS NOT ADOPTED conferees recognize the numerous benefits to cess, seating and care. The conferees agree the United States resulting from our strate- that concerns for the safety of disabled vet- Application of Buy America Act principles erans were overriding in this decision. The House bill contained a provision (sec. gic relationship with Israel. The conferees strongly commend the United States’ con- Transportation of crippled children in the Pa- 1035) that would apply Buy American prin- cific Rim region to Hawaii for medical care ciples to reciprocal defense procurement tinuing commitment to maintaining Israel’s memoranda of understanding with other qualitative edge over any combination of ad- The Senate amendment contained a provi- countries. versaries. Despite the great progress made in sion (sec. 1090) that would authorize the Sec- The Senate amendment contained no simi- the Middle East peace process, Israel contin- retary of Defense to permit space-available lar provision. ues to face an unstable and highly dangerous transportation of crippled children in the Pa- The House recedes. environment, compounded by the prolifera- cific Rim region to Hawaii for medical care The conferees note that section 849 of the tion of weapons of mass destruction and bal- in non-military medical facilities. National Defense Authorization Act for Fis- listic missiles. The House bill contained no similar provi- cal Year 1994 (Public Law 103–160) contains International military education and training sion. The Senate recedes. identical language that is the operative law The Senate amendment contained a provi- The conferees direct the Secretary of De- in this area. sion (sec. 1058) that would, subject to the fense to conduct a study, consulting with the provisions of the Foreign Assistance Act of Repeal of requirements for part-time career op- Shriners Hospitals in the Pacific region, to 1961, grant discretionary authority to the portunity employment reports determine the viability and potential liabil- Secretary of Defense to provide up to $20.0 The Senate amendment contained a provi- ities of such a program. The report should be million for the provision of international sion (sec. 339) that would eliminate the re- provided to the Senate Committee on Armed military education and training (IMET) for quirement in section 3407 of title 5, United Services and the House Committee on Na- countries allied and friendly with the United States Code, that agencies provide progress tional Security not later than May 1, 1996. reports on the part-time career employment States. The House bill contained no similar provi- Sense of Senate regarding Ethics Committee in- program. sion. vestigations The House bill contained no similar provi- The Senate recedes. The Senate amendment contained a provi- sion. The conferees strongly support Depart- sion (sec. 1094) expressing the Sense of the The Senate recedes. ment of Defense funding for and manage- Senate concerning proceedings before the Holidays for employees whose basic work week ment of the IMET program. IMET is a Senate Ethics Committee with respect to is other than Monday through Friday unique military program that fosters mili- Senator Packwood. The Senate amendment contained a provi- tary-to-military relationships and contrib- The House bill contained no similar provi- sion (sec. 342) that would amend section utes to greater inter-operability and coali- sion. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 673 The Senate recedes. would be limited to two-thirds of the pay such other matters under Article 60, and a TITLE XI—UNIFORM CODE OF MILITARY due, which is the maximum punishment lim- convening authority’s decision to refuse con- JUSTICE itation of a special court-martial. sideration of matters other than written sub- missions is not subject to review. The con- LEGISLATIVE PROVISIONS Deferment of confinement (sec. 1123) ferees direct the Secretary of Defense to en- LEGISLATIVE PROVISIONS ADOPTED The Senate amendment contained a provi- sion (sec. 527) that would allow for the sure that the explanatory ‘‘Discussion’’ ac- References to Uniform Code of Military Justice deferment of confinement adjudged by companying the Manual for Courts-Martial (sec. 1102) courts-martial in two situations beyond reflect that this amendment does not re- The House bill contained a provision (sec. those authorized under current law. One strict the ability of the convening authority 541) that would clarify references to the Uni- would permit deferment of confinement to consider communications from the ac- form Code of Military Justice in the bill. while the case is being reviewed by the Unit- cused that are not written submissions. The Senate amendment contained an iden- ed States Court of Appeals for the Armed Commitment of accused to treatment facility by tical provision (sec. 521). Forces under Article 67(a)(2). The other cir- reason of lack of mental capacity or mental The conference agreement includes this cumstance that would lead to deferment con- responsibility (sec. 1133) provision. cerns individuals who are serving civilian The Senate amendment contained a provi- Subtitle A—Offenses confinement while they have a sentence sion (sec. 525) that would establish proce- Refusal to testify before courts-martial (sec. pending that has been adjudged by a court- dures for handling individuals who are men- 1111) martial. The Senate amendment would defer tally incompetent to stand trial or found not The Senate amendment contained a provi- the running of the court-martial sentence guilty by reason of lack of mental respon- sion (sec. 524) that would provide Federal until completion of the civilian sentence, if sibility. District Courts the same power to punish in- the convening authority so directs. The House bill contained no similar provi- dividuals who fail to appear at courts-mar- The House bill contained no similar sion. tial as they currently have to punish individ- amendment. The House recedes. uals who do not appear in civilian cases. The House recedes. This provision is in no way intended to The House bill contained no similar provi- Subtitle C—Pretrial and Post-Trial Actions conflict with Rule 706 of the Rules for Courts-Martial. To the extent that there is a sion. Article 32 investigations (sec. 1131) The House recedes. provisions overlap, section 706 should be re- The Senate amendment contained a provi- viewed to make certain that it conforms Flight from apprehension (sec. 1112) sion (sec. 523) that would revise the proce- with the new provision. dures for authorizing investigation of mis- The House bill contained a provision (sec. Subtitle D—Appellate Matters 544) that would make it clear that the of- conduct uncovered during a pretrial inves- fense of ‘‘resisting apprehension’’ under Arti- tigation under Article 32 of the Uniform Appeals by the United States (sec. 1141) cle 95 of the Uniform Code of Military Jus- Code of Military Justice. The Senate amendment contained a provi- tice includes flight from apprehension. The House bill contained no similar provi- sion (sec. 530) that would apply to courts- The Senate amendment contained an iden- sion. martial the same protections with regard to tical provision (sec. 531). The House recedes. Under Article 32 of the classified information as apply to orders or The conference agreement includes this Uniform Code of Military Justice, a formal rulings issued in Federal District Courts provision. pretrial investigation is conducted when a under the Classified Information Procedures Carnal knowledge (sec. 1113) court-martial convening authority refers Act (18 U.S.C. App. 7). This section incor- charges to an Article 32 investigating officer. porates Senate amendment section 522 con- The Senate amendment contained a provi- Under current law, if the Article 32 officer cerning certain definitions. sion (sec. 532) that would amend Article uncovers evidence of additional misconduct The House bill contained no similar provi- 120(b) of the Uniform Code of Military Jus- in the course of the investigation, the infor- sion. tice (10 U.S.C. 920 (b)) by making the crime mation must be provided to the convening The House recedes with an amendment. of carnal knowledge gender neutral, bringing authority and then referred back to the Arti- Repeal of termination of authority for Chief Article 120 into conformance with the Sexual cle 32 officer before it can be investigated by Justice of United States to designate Article Abuse Act of 1986. The provision also would the Article 32 investigating officer. III judges for temporary service on Court of add an affirmative defense of mistake of fact The conferees agree that current law Appeals for the Armed Forces. (sec. 1142) to conform Article 120 to federal civilian law should be changed to permit the investigat- The House bill contained a provision (sec. (18 U.S.C. 2243). ing officer to investigate new misconduct The House bill contained a similar provi- 549) that would make permanent the author- uncovered during the Article 32 investigation ity of the Chief Justice of the United States sion (sec. 545). without requiring further administrative ac- The House recedes. to fill temporary vacancies on the United tion by the convening authority. This States Court of Appeals for the Armed Subtitle B—Sentences change should reduce the time, delay, and Forces. Section 1301 of the National Defense Effective date for forfeitures of pay and allow- administrative burden associated with ob- Authorization Act for Fiscal Years 1990 and ances and reductions in grade by sentence taining the convening authority’s approval 1991 authorized the Chief Judge of the United of court-martial (secs. 1121 and 1122) for investigation of additional misconduct. States Court of Appeals for the Armed The Senate amendment contained provi- The conferees emphasize, however, that the Forces to request the Chief Justice to make sions (secs. 526(a) and 526(b)) that would re- additional misconduct may not be inves- such appointments through September 30, quire those portions of a court-martial sen- tigated under Article 32 unless the accused is 1995. This provision would eliminate the tence extending to forfeiture of pay and al- afforded the same rights as under current ‘‘sunset’’ provision. lowances or reduction in grade to be effec- law with respect to investigation of the The Senate amendment contained a simi- tive 14 days after the date the sentence is ad- charges, presentation of evidence in defense lar provision (sec. 535). judged or upon approval by the convening or mitigation, and cross-examination as The Senate recedes. authority, whichever occurs earlier. The apply to the charges that were the basis of the Article 32 investigation. Subtitle E—Other Matters amendment would also require that sen- Advisory committee on criminal law jurisdiction tences containing a punitive discharge, Submission of matters to the convening author- ity for consideration (sec. 1132) over civilians accompanying the Armed death, or more than 6 months confinement, Forces in time of armed conflict (sec. 1151) result in total forfeitures of pay and allow- The Senate amendment contained a provi- ances. If an accused were to make applica- sion (sec. 528) that would require all post- The Senate amendment contained a provi- tion to the convening authority, the forfeit- trial material submitted to the convening sion (sec. 536) that would create an advisory ures of pay and allowances, or reduction in authority by the accused to be in writing. panel to determine which courts should have grade or both could be deferred until the Current law does not specify the medium for criminal jurisdiction over civilians accom- date on which the sentence is approved. Also such submissions. panying the military outside the United under this provision, when convening au- The House bill contained no similar provi- States during times of armed conflict, in- thorities take action on sentences, any or all sion. cluding conflicts other than a declared war. The House bill contained no similar provi- of the forfeitures of pay and allowances to be The House recedes. The conferees agree sion. forfeited could be used to provide transi- that the intent of this section is not to re- The House recedes with a clarifying tional compensation for the dependents of strict the accused’s communications with amendment. the accused. the convening authority, but to ensure that The House bill contained a similar provi- formal submissions under Article 60(b) are Time after accession for initial instruction in sion (sec. 542). made through a standard medium. The con- the Uniform Code of Military Justice (sec. The House recedes with an amendment vening authority, in his or her discretion, 1152) which would apply the automatic forfeitures may take into consideration other commu- The House bill contained a provision (sec. to a sentence of death, punitive discharge, or nications by the accused, such as a personal 546) that would increase the time after acces- confinement in excess of six months. The for- appearance or a videotape. The convening sion for initial instruction in the Uniform feiture in the case of a special court-martial authority, however, is not required to review Code of Military Justice. H 674 CONGRESSIONAL RECORD — HOUSE January 22, 1996 The Senate amendment (sec. 533) contained The House bill contained provisions (secs. or Belarus. The provision would also prohibit an identical provision. 1101–1108) related to the CTR program that obligation of more than half the funds au- The conference agreement includes this would include the following: authorize $200.0 thorized for chemical weapons destruction- provision. million for the CTR program, a $171.0 million related activities in Russia, pending a presi- Technical amendment (sec. 1153) reduction to the budget request (sec. 1101); dential certification. place specific limitations on all CTR pro- The House bill contained a provision (sec. The conferees direct that none of the funds grams for fiscal year 1996 (sec. 1102); repeal 550) that would amend article 66(f) of the authorized for CTR in fiscal year 1996 may be authority for the Demilitarization Enter- Uniform Code of Military Justice (10 U.S.C. used to reimburse other departments and prise Fund (DEF) (sec. 1103); prohibit the use agencies for the travel and other expenses in- 866) by striking out ‘‘Courts of Military Re- of CTR funds for peacekeeping exercises and view’’ in both places it appears, and insert- curred by employees of those departments related activities with Russia (sec. 1104); re- and agencies, even if those employees are en- ing in lieu thereof ‘‘Courts of Criminal Ap- vise authority for assistance for weapons de- peals.’’ gaged in CTR-related activities. struction (sec. 1105); require prior notice of The Conventional Forces in Europe (CFE) The Senate amendment contained an iden- obligation of funds (sec. 1106); require an an- tical provision (sec. 534). Treaty requires signatories to be in full com- nual accountability report to ensure that as- pliance with their obligations to reduce trea- The conference agreement includes this sistance is being used for its intended pur- provision. ty limited equipment by November 16, 1995. pose (sec. 1107); and prohibit the obligation The Russian government has generally been LEGISLATIVE PROVISIONS NOT ADOPTED or expenditure of fiscal year 1996 funds until in overall compliance with its obligations Persons who may appear before the United the President provides written certification since the treaty has been in force provision- States Court of Appeals for the Armed to Congress that Russia has terminated its ally. Russia’s compliance with the limits in Forces offensive biological weapons program. the northern and southern flank zones has The Senate amendment included several The House bill contained a provision (sec. caused concern for a number of the signato- provisions (sec. 1041–1044) related to the CTR 547) that would provide that only attorneys ries. Russian officials have indicated that program that would include the following: and properly certified law students could they will not be in compliance with the flank authorize $365.0 million for the CTR pro- practice and appear before the United States limits in these zones because of the instabil- gram, a $6.0 million reduction to the budget Court of Appeals for the Armed Forces. ity along their southern borders. request (sec. 1041); limit the obligation of The Senate amendment contained no simi- If Russia refuses to honor its legal and po- CTR funds that would assist nuclear weapons litical obligations under the CFE Treaty, the lar provision. scientists in the former Soviet Union, pend- conferees question the ability of the Presi- The House recedes. The conferees believe ing a written certification from the Sec- that the question of who should be author- retary of Defense that funds would not con- dent to certify Russia’s commitment to com- ized to appear before the Court of Appeals for tribute to the modernization of strategic nu- plying with its arms control obligations, the Armed Forces normally should be ad- clear forces or for research, development or necessary to make it eligible to receive CTR dressed through the rules promulgated by production of weapons of mass destruction assistance. Further, the conferees believe the court, rather than through legislation. (sec. 1042); limit the obligation of $50.0 mil- that the President would only be in a posi- The conferees are concerned, however, that lion, pending a written certification from tion to certify Russia’s commitment to com- the Court has permitted undergraduate stu- the President that Russia is in compliance ply with its arms control obligations under dents to appear before the Court as amicus with its obligations under the Biological the following circumstances: (1) through an curiae. However laudable it may be to afford Weapons Convention (BWC); and limit the agreement to comply with a NATO-endorsed such students practical experience appearing use of more than $52.0 million of fiscal year flank limit proposal and substantial progress before a federal court, the conferees believe 1996 funds available for CTR, pending a presi- toward withdrawing any excess equipment such considerations are outweighed by the dential certification that a joint laboratory by the May 1996 Treaty Review Conference; requirement that the Court of Appeals for study to evaluate the Russian neutralization (2) demonstrated fulfillment of obligations the Armed Forces maintain the highest proposal has been completed and the United to meet agreed-upon reductions in levels of standards of judicial practice and procedure. States agrees with that proposal, that Russia military equipment in the naval infantry The conferees are aware that the Court pres- is in the process of preparing a comprehen- and coastal defense forces, and in holdings ently has this matter under review and look sive destruction and dismantlement plan for east of the Ural mountains; and (3) through forward to a change in the Court’s rules of its chemical weapons stockpile, and that an agreement on an offset package that procedure that will obviate the need for leg- Russia is committed to resolving outstand- would add to the flank limit proposal addi- islation on this subject. ing issues under the 1989 Wyoming Memoran- tional verification measures, additional in- Discretionary representation by government ap- dum of Understanding and the 1990 Bilateral formation sharing arrangements on the pellate defense counsel in petitioning the Destruction Agreement. flank areas, and additional constraints on Supreme Court for writ of certiorari The conferees agree to the CTR provisions, Treaty-limited equipment contained in areas formerly defined as flank areas. The House bill contained a provision (sec. as follows: authorize $300.0 million in fiscal 548) that would amend section 870 of title 10, year 1996 for CTR and place limitations on TITLE XIII—MATTERS RELATING TO OTHER United States Code, to provide that represen- the CTR projects in fiscal year 1996; provide NATIONS authority for individual limitations to be ex- tations of an accused, in the preparation of a ITEMS OF SPECIAL INTEREST ceeded by a specified percentage; authorize petition for a writ of certiorari before the Waiver of foreign assistance reimbursement re- United States Supreme Court, shall be at the use of CTR funds to reimburse pay accounts for U.S. military reserve members partici- quirements to the Department of Defense discretion of military appellate defense and the armed forces counsel. Current law requires appellate de- pating in CTR activities; prohibit the use of fense counsel to represent the accused before CTR funds for peacekeeping activities and The conferees are concerned about the in- the Supreme Court when requested by the related activities with Russia; require a pres- adequate funding in the fiscal year 1996 accused. idential determination that each recipient international affairs budget for activities The Senate amendment contained no simi- country is observing the criteria for assist- identified by the administration as presi- lar provision. ance provided under the CTR program; re- dential priorities, such as drawdown author- The House recedes. quire the Secretary of Defense to provide ity for defense articles and services for Jor- congressional defense committees with ad- dan and the transfer of non-lethal defense ar- Proceedings in revision vance notification of obligation of funds; re- ticles to Central European countries. The Senate amendment contained a provi- quire an annual audit and examination re- While the conferees are generally support- sion (sec. 529) that would authorize a pro- port; limit assistance to nuclear weapons sci- ive of both activities, the conferees do not ceeding in revision at courts-martial prior to entists; and limit the obligation of $60.0 mil- support efforts to waive requirements under authentication of the record under certain lion in fiscal year 1996 CTR funds for Russia, Sections 519(f) and 632(d) of the Foreign As- conditions. pending presidential certification that Rus- sistance Act of 1961. Those provisions of the The House bill contained no similar provi- sia is complying with its BWC obligations Foreign Assistance Act require reimburse- sion. and that Russia has agreed to, and imple- ment of the Department of Defense and mili- The Senate recedes. mented, agreements and visits per the Sep- tary services for costs to transport defense TITLE XII—COOPERATIVE THREAT REDUCTION tember 14, 1992 Joint Statement on Biologi- articles, or replace defense items that are WITH STATES OF FORMER SOVIET UNION cal Weapons and that visits to the four de- not excess to the military services. LEGISLATIVE PROVISIONS clared military biological facilities of Russia The conferees appreciate the role that Jor- by officials of the U.S. and United Kingdom dan played in the Middle East peace process LEGISLATIVE PROVISIONS ADOPTED have occurred. If the President is unable to and believe that the Government of Jordan Cooperative threat reduction program (secs. certify Russian compliance with its BWC ob- should have the defense items, services, and 1201–1209) ligations, or that visits agreed to under the military training, that would enable them to The budget request included $371.0 million Joint Statement have not occurred, he may protect their borders and respond to terror- in defense operation and maintenance for the certify that fact and related funds would ist threats. However, the conferees are con- Cooperative Threat Reduction (CTR) Pro- then be available for strategic offensive cerned by the use of defense funds to pay for gram. weapons elimination in Ukraine, Kazakhstan this authority. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 675 In a letter supporting the special civic assistance authorities in section 401 of Missile Technology Control Regime (MTCR) drawdown authority for Jordan, the Sec- title 10 United States Code to include hu- and the New Forum absent a record of com- retary of Defense stated that military readi- manitarian demining activities. pliance with the spirit of these regimes prior ness would suffer unless the non-excess de- The Senate amendment contained a provi- to their inclusion. fense items are replaced and the military sion (sec. 1054) that would amend section 1413 Two years ago in the House report (H. services are reimbursed for transportation of the National Defense Authorization Act Rept. 103–357), the conferees expressed con- and other costs. The conferees direct the for Fiscal Year 1995 (Public Law 103–337) to cern that ‘‘. . . loosening the restrictions on Secretary of Defense to provide a report to include the following: require the Secretary space launch vehicle technology within the the congressional defense committees 60 of Defense to certify to the Congress that hu- MTCR could, over time, result in the pro- days after enactment of this Act that would manitarian activities satisfy military train- liferation of offensive ballistic missiles . . .’’ address the cost to replace non-excess de- ing requirements for the personnel involved; and expressed particular concern about the fense items provided to Jordan and an identi- authorize $20.0 million in fiscal year 1996 for new MTCR members being permitted to re- fication of funds included in the President’s the humanitarian landmine clearing assist- tain space launch vehicle programs. Despite fiscal year 1997 budget for this purpose. ance program; terminate authority for the written administration assurances that Con- LEGISLATIVE PROVISIONS Department of Defense to provide funds for gress would be consulted on MTCR-related issues, to include the addition of new mem- LEGISLATIVE PROVISIONS ADOPTED the humanitarian landmine clearing assist- bers, the conferees were disappointed to ance program after fiscal year 1996; and re- Subtitle A—Peacekeeping Provisions learn in the summer of 1995 that new coun- vise the definition of a landmine. Limitation on use of Department of Defense tries would be admitted to the MTCR, de- The conferees agree to a provision that funds for international peacekeeping assess- spite retention of a SLV program and a his- ments and drawdown of Department of De- would amend section 401 of title 10 United tory of evading program controls. The con- fense articles (sec. 1301) States Code to include humanitarian ferees believe that the current administra- The House bill contained a provision (sec. demining activities; limit activities of Unit- tion approach facilitates a growing and per- 1202) that would amend chapter 20 of title 10, ed States military personnel participating in haps irreversible danger that the MTCR, de- United States Code, to prohibit the use of humanitarian landmine clearing activities; spite its auspicious early history, will in- Department of Defense funds for voluntary and, repeal section 1413 of the National De- creasingly become an avenue for technology or assessed financial contributions to the fense Authorization Act for Fiscal Year 1995 proliferation. United Nations for the United States share (Public Law 103–337). The conferees strongly encourage the ad- of peacekeeping costs, effective October 1, Unlike other types of humanitarian and ministration to emphasize the use of con- 1995. civic assistance activities, the conferees re- trols on sensitive technologies in any new The Senate amendment contained no simi- alize that the activities of detection and administration proposals to reauthorize the lar provision. clearing of landmines will often be the sole Export Administration Act, and that no at- The Senate recedes. or primary focus of the military operation in tempts be made to repeal or substantially Subtitle B—Humanitarian Assistance question. In such cases, the approving au- alter the missile sanction provisions in Title Programs thority would have to determine that the XVII of the National Defense Authorization Overseas humanitarian, disaster, and civic aid specific operational readiness skills of the Act for Fiscal Year 1991, as was the case in (secs. 1311–1312) participating United States forces—usually the administration proposal submitted in the special operations forces whose skills are The House bill contained a provision (sec. last Congress. based upon the activities listed in section American firms are conducting discussions 1211) that would specify five programs oper- and negotiations with a number of foreign ated by the Department of Defense to be 167(j) of title 10, United States Code—will be governments, or other entities, on the pur- funded through the budget account known as promoted by participation in those activi- chase of high-resolution U.S. commercial re- Overseas Humanitarian, Disaster, and Civic ties. Aid (OHDACA). Subtitle C—Arms Export and Military connaissance and imaging satellites and The House bill also contained a provision Assistance high-resolution imagery or imagery distribu- tion systems. The conferees understand that (sec. 1212) that would eliminate the current Defense export loan guarantees (sec. 1321) authority to transfer funds from DOD to the the Secretary of Defense is authorized under Department of State to provide for the ad- The House bill contained a provision (sec. Presidential Directive/National Security ministrative costs associated with the trans- 1224) that would require the Secretary of De- Council-23 and the Remote Sensing Act of portation of humanitarian supplies. In addi- fense to create a defense export loan guaran- 1992 to determine when national security in- tion, this provision would remove the Sec- tee program for certain eligible countries. terests call for controls on such satellite im- retary of State’s authority over the DOD’s The Senate amendment contained a simi- agery. The Secretary of State is similarly program for the transportation of humani- lar provision (sec. 1053) with different cri- empowered to determine when international tarian relief, and it would provide for tech- teria for eligible countries. obligations would require imagery controls. nical changes to the existing reporting re- The House recedes with an amendment The conferees emphasize the following: that quirements for the DOD’s humanitarian pro- that would authorize use of fees generated determinations on national security and grams. under the program for payment of start-up international obligations should be commu- The Senate amendment contained a provi- costs for administration of the program and nicated to U.S. firms in discussions regard- sion (sec. 365) that would require the General for payment of ongoing administrative ex- ing issuance of operating licenses to U.S. Accounting Office (GAO) to submit a report penses. The conferees intend to monitor the firms, to the extent such determinations can to Congress on existing funding mechanisms administration of this program closely to en- be made in advance of the actual operation that would facilitate the funding of pro- sure that the method of funding the adminis- of the satellites; that the Secretary of De- grams within the OHDACA account through trative fees does not impact the process of fense or the Secretary of State should ensure the Department of State or the Agency for approval of the loan guarantees. that license agreements and distribution International Development. If such mecha- National security implications of United States agreements include adequate provisions to nisms do not currently exist, the GAO would export control policy (sec. 1322–1323) ensure that the sharing of imagery or pro- be required to identify those actions nec- curement of U.S. commercial imagery sys- essary to institute such mechanisms. The Senate amendment contained a provi- tems or products with foreign governments The conference agreement includes these sion (sec. 1052) that would express the sense or foreign entities would not be used against provisions. of Congress regarding the national security U.S. military forces deployed overseas; and The conferees agree that although the DOD implications of maintaining effective export that provisions in the license agreements is uniquely capable of performing some hu- controls on dual-use items and technologies should deny terrorist governments and enti- manitarian or disaster relief operations, that are critical to the military capabilities ties controlled by these governments access these operations are fundamentally the re- of the United States. This provision would to imagery of neighboring countries. The sponsibility of the Department of State and require the Department to review export li- conferees continue to be concerned that the the Agency for International Development censes for class 2, 3, and 4 biological patho- national security issues involved in the pro- and, in general, are more appropriately fund- gens with a potential use in biological war- liferation of high-resolution satellites and ed through these agencies. Therefore, the fare programs and to determine if export satellite imagery have not been adequately conferees have reduced the amount of DOD would be contrary to U.S. national security thought through by the executive branch and funds available to the OHDACA account for interests. hope that the report mandated by this sec- fiscal year 1996 and have requested that the The House bill did not contain a similar tion will serve to clarify DoD policy on these GAO provide a report that would identify provision. issues. necessary changes in existing law or regula- The House recedes. The conferees concur The conferees also note the recent decision tions to transfer the funding responsibility with concerns identified in the Senate report to relax export restrictions on for these programs, where appropriate, to (S. Rept. 104–112) that the lowering of export supercomputers and are concerned about the other federal agencies, beginning in fiscal controls on dual-use items and technologies potential impact of this decision on the year 1997. may place current U.S. technologies and de- United States’ nonproliferation efforts and Landmine clearance program (sec. 1313) fense capabilities at risk. The conferees con- the maintenance of the U.S. military techno- The House bill contained a provision (sec. tinue to be concerned with administration logical edge. The conferees direct the Sec- 1213) that would amend humanitarian and support for admittance of nations into the retary of Defense to submit a report, not H 676 CONGRESSIONAL RECORD — HOUSE January 22, 1996 later than December 31, 1995, that describes tic Treaty Organization (NATO) countries national Tribunals for Yugoslavia and Rwan- the impact of the export decision on the abil- during fiscal years 1996–1999. Military person- da, pursuant to the agreement between the ity of nations to acquire and use high-per- nel would be reduced by 1,000 for each sched- Government of the United States and the formance computing capabilities to develop uled percentage point that allied contribu- International Tribunals. advanced conventional weaponry, weapons of tions in cash and in-kind payments fail to The House bill did not contain a similar mass destruction, and delivery vehicles, in- offset U.S. non-personnel costs of operating provision. cluding missiles. military installations in Europe. The House recedes with a technical amend- Reports on arms export control and military as- The Senate amendment contained no simi- ment. sistance (sec. 1324) lar provision. United States-China Joint Defense Conversion The Senate recedes with an amendment. Commission (sec. 1343) The Senate amendment contained a provi- The conferees agree to a provision that sion (sec. 1064) that would require the follow- The House bill included a provision (sec. would amend section 1304 of the National De- ing reports to be submitted to Congress: (1) 1223) that would prohibit the use of funds au- fense Authorization Act of 1995 (Public Law a report by the Secretary of State on the thorized in fiscal year 1996 for the Depart- 103–337) to require the President to seek an firms that are on the Department of State ment of Defense activities associated with agreement with European member states of watch list for export of sensitive or dual use the United States-People’s Republic of China NATO to increase to 42.5 percent by Septem- technologies, and a description of the meas- Joint Defense Conversion Commission. ber 30, 1997 their share of the nonpersonnel ures taken to strengthen United States ex- The Senate bill did not include a similar costs for United States military installa- port controls; (2) an evaluation of the watch provision. tions in those nations. The House recedes with an amendment. list screening process by the Department of The conferees agree to a provision that State Inspector General; and (3) an annual Exclusion of certain forces from European end strength limitation (sec. 1334) would require the Secretary of Defense to report on the aggregate dollar value and submit semi-annual reports to Congress on The conference agreement includes a pro- quantity of defense articles, services, and the United States-People’s Republic of China vision that would exclude personnel perform- military education and training furnished by (PRC) Joint Defense Conversion Commis- ing duties in Europe for more than 179 days the United States to each foreign country sion. The report shall include: a description under a military-to-military contact pro- and international organization. of activities that could directly, or indi- The House bill did not contain a similar gram. rectly, assist the military modernization ef- provision. Cooperative research and development agree- forts of the PRC; information on the activi- The conferees agree to a provision that ments with NATO organizations (sec. 1335) ties and operations of the Commission; a dis- would require the Department of State and The Senate bill contained a provision (sec. cussion of the relationship of PRC defense the Department of Commerce, in consulta- 1051) that would make a technical and con- conversion activities and PRC defense mod- tion with the Department of Defense, to re- forming amendment to section 2350b of title ernization efforts; steps taken by the United port jointly to the Congress on United States 10, United States Code, to make it consistent States to safeguard against use of western export control mechanisms and measures with section 2350a, which was amended in the technology to modernize the PRC military taken to strengthen export controls. The National Defense Authorization Act for Fis- industrial base; and an assessment of U.S. provision would also require the President to cal Year 1995. benefits derived from participation in the submit a report to Congress on military as- The House bill did not contain a similar commission, to include an increase in the sistance and military exports authorized or provision. transparency of the military budget and doc- furnished to foreign countries and inter- The House recedes. trine of the PRC. In preparing the reports re- national organizations. Support services for the Navy at the Port of quired by this section, the Secretary shall Report on personnel requirements for control of Haifa (sec. 1336) seek and obtain the views of appropriate U.S. transfer of certain weapons (sec. 1325) The Senate amendment contained a provi- intelligence agencies and shall be consulted The Senate amendment contained a provi- sion (sec. 1056) that would express the sense on the matters assessed in the reports and sion (sec. 1093) that would require the Sec- of Congress that the Secretary of the Navy those views shall be included as an annex to retary of Defense and the Secretary of En- should promptly undertake actions to: the reports. The conferees agree that a continued dia- ergy to report to the Congress on the person- (1) improve the services available to the logue on security matters between the Unit- nel resources necessary to implement non- Navy at the Port of Haifa; and ed States and the PRC can promote stability proliferation policy responsibilities of both (2) ensure that the continuing increase in in the region, and help protect American in- departments and would require both Sec- commercial activities at the Port of Haifa terests and the interests of America’s Asian retaries to explain the failure to provide the does not have an adverse impact on the serv- allies. The conferees note that the Senate report, as previously required by legislation. ices required by the Navy at Haifa. The House bill did not contain a similar The House bill contained no similar provi- Armed Services Committee and the House provision. sion. National Security Committee intend to re- The House recedes. The House recedes with an amendment. view the status of the U.S.–PRC security dia- logue on a regular basis to determine the ex- Subtitle D—Burdensharing and Other Coop- Subtitle E—Other Matters erative Activities Involving Allies and tent to which the dialogue has produced tan- NATO Prohibition on financial assistance to terrorist gible results in the areas of human rights, countries (sec. 1341) transparency in military spending and doc- Accounting for burdensharing contributions trine, missile and nuclear nonproliferation, (sec. 1331) The Senate amendment contained a provi- sion (sec. 1057) that would prohibit the use of and other important security issues. The House bill contained a provision (sec. any Department of Defense funds to assist LEGISLATIVE PROVISION NOT ADOPTED 1225) that would authorize the United States nations that support acts of terrorism. A de- Placement of United States forces under United to accept burdensharing contributions in the termination to prohibit funds may be based currency of the host nation or in United Nations operational or tactical control on a determination by the Secretary of State The House bill contained a provision (sec. States dollars. This provision would main- under section 6(j)(1)(A) of the Export Admin- tain this funding in a separate account that 1201) that would limit the use of Department istration Act of 1979; or that a nation pro- of Defense funds and the circumstances would be available until expended. vided significant support for international The Senate bill contained no similar provi- under which the President could commit terrorism, as identified in a report to Con- U.S. armed forces to United Nations (UN) sion. gress, pursuant to section 140 of the Foreign The Senate recedes. command and control, and provide excep- Relations Authorization Act, Fiscal Year Authority to accept contributions for expenses tions under which armed forces could be 1988 and 1989; or a determination by the placed under UN command and control. The of relocation within host nations of United President that a nation has supported inter- States armed forces overseas (sec. 1332) President would be required to certify to the national terrorism or has granted sanctuary Congress, prior to the placement of U.S. The House bill contained a provision (sec. from prosecution to a group or individual armed forces under UN command and con- 1226) that would establish authorization and that has committed an act of international trol, the following: that U.S. national secu- procedures to accept contributions from host terrorism. rity interests require the placement of nations for the purpose of relocating United The House bill contained no similar provi- Armed Forces under UN command and con- States armed forces within the host nation. sion. trol; that U.S. armed forces commander The House recedes with a technical amend- The Senate amendment contained no simi- would retain the right to report independ- ment. lar provision. ently to U.S. military authorities and de- The Senate recedes. Judicial assistance to the International Tribu- cline orders that are illegal, militarily im- Revised goal for allied share of costs for United nal for Yugoslavia and to the International prudent, or beyond the scope of the mission; States installations in Europe (sec. 1333) Tribunal for Rwanda (sec. 1342) that U.S. forces would remain under U.S. ad- The House bill contained a provision (sec. The Senate amendment contained a provi- ministrative command; and that U.S. forces 1228) that would require the Department of sion (sec. 1098) that would provide authority involved would retain the authority to with- Defense to reduce United States military for the United States to surrender persons draw and take necessary protective actions, personnel assigned in European North Atlan- and provide judicial assistance to the Inter- if engaged by hostile forces. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 677 The Senate amendment contained a provi- 1996, the authorities in section 1505 of title Additionally, the conferees believe that it sion (sec. 1061) that would express the sense XV of the National Defense Authorization is prudent to delay, beyond fiscal year 1996, of Congress that: U.S. armed forces should Act for Fiscal Year 1993 (Public Law 102–484). the decision to retire or dismantle 28 B–52H not be placed under the operational control The provision would authorize the Depart- bombers, as currently planned by the De- of the UN without close and prior consulta- ment of Defense to provide up to $15.0 mil- partment of Defense. At the same time, the tion with Congress; U.S. armed forces should lion to support international nonprolifera- conferees do not believe that the Air Force only be placed under UN command and con- tion activities, such as, the United Nations should take any action that prejudge a deci- trol when clearly in the national interest; Special Commission on Iraq (UNSCOM). Au- sion in fiscal year 1997 to retire or dismantle U.S. armed forces should only be placed thority for the Secretary of Defense to pro- those 28 B–52H bombers. Therefore, the con- under qualified commanders with clear and vide assistance under this section would ter- ferees direct the Secretary of Defense to re- effective command and control; and that minate at the end of fiscal year 1996. tain 94 B–52H bombers during fiscal year U.S. armed forces should only be placed The Senate bill contained no similar provi- 1996, while minimizing additional expendi- under operational control of foreign com- sion. tures on the 28 aircraft that may be retired manders in peace enforcement missions, ex- The Senate recedes. in the near future. cept in the most extraordinary cir- The conferees understand that the exten- The conferees understood that the Air cumstances. sion of authority in fiscal year 1996 for the Force would require $17.4 million in procure- The conference agreement did not include Department of Defense support of inter- ment funds, $45.3 million in operations and either provision. national nonproliferation activities would be maintenance funds, and $4.3 million in mili- The conferees remain gravely concerned used primarily to support the United Nations tary personnel funds to retain the 28 B–52H over the administration’s stated willingness, Special Commission on Iraq (UNSCOM). The as articulated by Presidential Decision Di- bombers in a fully operational status and to rective 25, to place U.S. forces under UN conferees do not intend to provide the De- provide them with system updates and modi- operational control during peacekeeping op- partment of Defense with authority to use fications. The conferees believe that with erations. The conferees are pleased to note defense funds to support chemical weapons system updates and modifications. The con- that the peacekeeping deployment to Bosnia and ballistic missile dismantlement, nuclear ferees believe that this level of funding may does not involve such an arrangement. The materials control and removal, or to destroy not be required merely to preserve the op- conferees strongly urge the Secretary of De- weapons of mass destruction and their deliv- tion of retaining the 28 aircraft for one more fense to ensure that clearly defined and ef- ery systems in foreign countries, such as year. In particular, it may not be necessary fective command and control relationships Brazil, South Africa, or countries in Africa to expand procurement funds on aircraft are maintained for U.S. forces participating or the Middle East generally. These disar- that may be retired in fiscal year 1997. in this deployment. mament activities are more appropriately Therefore, the conferees agree to authorize TITLE XIV—ARMS CONTROL MATTERS funded from the international affairs budget. the use of up to $17.4 million in Air Force Authorities for dismantlement of weapons of procurement funds, up to $45.3 million in Air LEGISLATIVE PROVISIONS mass destruction in the former Soviet Union Force operations and maintenance funds, LEGISLATIVE PROVISIONS ADOPTED are provided elsewhere in this Act. and up to $4.3 million in Air Force personnel Revision of definition of landmine for purposes In accordance with the conference report funds to retain in an attrition reserve status of landmine export moratorium (sec. 1401) to accompany the National Defense Author- the 28 B–52H bombers that would otherwise The House bill contained a provision (sec. ization Act for Fiscal Year 1994, the con- be retired in fiscal year 1996. 1221) that would amend the definition of ferees direct the Secretary of Defense to pro- Congressional findings and Sense of Congress ‘‘anti-personnel landmine’’, contained in sec- vide to the congressional defense commit- concerning treaty violations (sec. 1405) tion 1423(d)(3) of the National Defense Au- tees, 30 days in advance of any U.S. commit- The House bill contained a provision (sec. thorization Act for Fiscal Year 1994 (Public ment to support international nonprolifera- 1227) that would express a sense of Congress Law 103–160), by deleting ‘‘remote controlled, tion activities, a report on the international that the government of the former Soviet manually-emplaced munitions or devices’’. nonproliferation activities which the Depart- The Senate amendment contained a provi- Union intentionally violated its legal obliga- ment seeks to support. The report should tion under the 1972 Anti-Ballistic Missile sion (sec. 1054) that would include a sub- identify potential future funding for this section to redefine the definition of an anti- Treaty in order to advance its national secu- support, the extent to which the United rity interests, and that the United States personnel landmine. States is obligated to provide such support, The conferees agree to an amendment that should remain vigilant to ensure compliance the extent to which funds are provided for in would amend section 1423(d) of the National with arms control obligations. the international affairs budget, and the na- Defense Authorization Act for Fiscal Year The Senate amendment contained no simi- tional security objective for providing the 1994 (Public Law 103–160), to redefine an anti- lar provision. support. personnel landmine to exclude command det- The Senate recedes with a clarifying onated anti-personnel landmines, such as Limitation on retirement or dismantlement of amendment that would outline the legisla- M18A1 ‘‘Claymore’’ mines, from the defini- strategic nuclear delivery systems (sec. 1404) tive history behind the provision. tion. The Senate amendment contained a provi- Sense of Congress on ratification of the Chemi- Reports on moratorium on use by Armed Forces sion (sec. 1082) that would express the sense cal Weapons Convention and the Strategic of antipersonnel landmines (sec. 1402) of Congress that until the START II Treaty Arms Reduction Talks (sec. 1406) The Senate amendment contained a provi- enters into force, the Secretary of Defense The House bill contained a provision (sec. sion (sec. 1099) that would express the sense should not retire or dismantle any B–52H 1230) that would express the sense of Con- of Congress that the President should ac- bombers, Trident ballistic missile sub- gress that the United States should ratify tively support proposals to modify protocol marines, Minuteman III intercontinental the Chemical Weapons Convention (CWC) as II on landmines in the 1980 Conventional ballistic missiles (ICBMs), or Peacekeeper a signal of its commitment to reduce the Weapons Convention at the United Nations ICBMs. The provision would also prohibit the threat posed by chemical weapons. Conference, to immediately implement the use of funds appropriated to the Department The Senate amendment contained a provi- United States goal of eventual elimination of Defense during fiscal year 1996 for retiring sion (sec. 1099F) that would express the sense of antipersonnel landmines, and place a one or dismantling any such systems. of Congress that it is in the national secu- year moratorium on the use of antipersonnel The House bill contained a similar provi- rity interests of the United States and Rus- landmines by the United States military, ex- sion (sec. 1229) that would express the sense sia, as signatories of the Strategic Arms Re- cept along internationally recognized bor- of Congress that the Secretary of Defense duction Talks (START II), and the United ders and demilitarized zones. Consistent with should not implement any reduction in stra- States and all parties to the Chemical Weap- the provision, the President should also en- tegic forces that is called for in the START ons Convention (CWC), to ratify and fully courage governments of other nations to im- II Treaty unless and until that treaty enters implement the agreements, as negotiated. plement a moratorium on the use of anti- into force. The conferees agree to a provision that personnel landmines. The House recedes. would express the sense of Congress that it is The House bill did not contain a similar The conferees reiterate the importance of in the national security interests of the provision. not having the United States unilaterally United States, that the United States and The House recedes with amendment. and prematurely begin to implement reduc- Russia, as parties to START II and the CWC, The conferees agree to a provision that tions under the START II Treaty. Until it is and all other signatories to the CWC, to rat- would require the Chairman of the Joint clear that the treaty will actually enter into ify and fully implement these arms control Chiefs of Staff to provide an annual report to force, the United States must retain options agreements, as negotiated. Congress on the projected effects of a mora- for maintaining a larger force of strategic The conferees note that a full Senate de- torium on the defensive use of antipersonnel nuclear delivery systems, to include 500 Min- bate on the ratification of START and the landmines and antitank mines by the United uteman III ICBMs, 50 Peacekeeper ICBM’s 18 CWC treaties has not taken place. It is not States military forces. Trident II ballistic missile submarines, and the intention of the Congress, through this Extension and amendment of counter- 94 B–52H bombers. The conferees believe that provision, to predetermine the outcome of proliferation authorities (sec. 1403) by retaining such options, the United States the Senate debate on the advice and consent The House bill contained a provision (sec. increases Russia’s incentives to ratify and to ratification of the two arms control trea- 1222) that would extend, through fiscal year fully implement the START II Treaty. ties. H 678 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Implementation of arms control agreements (sec. In a September 21, 1994 letter from the Sec- numerous technical and clerical amend- 1407) retary of Defense to Congress, the Secretary ments to existing laws. The budget request included $261.9 million emphasized that the policy statements ex- The House bill contained no similar provi- in procurement, operation and maintenance, changed between the United States and the sion. and research and development in the defense three Parties expressed ‘‘. . . strictly a policy The House recedes. and military service accounts for the imple- understanding.’’ He also stated ‘‘that they TITLE XVI—CORPORATION FOR THE PROMOTION mentation of arms control agreements. are not legally binding’’ and that no treaty OF RIFLE PRACTICE AND FIREARMS SAFETY provisions would be changed. Further, the The Senate amendment contained a provi- LEGISLATIVE PROVISIONS Secretary stated ‘‘[T]he Administration sion (sec. 1060) that would authorize $228.9 LEGISLATIVE PROVISIONS ADOPTED million for implementing arms control would not consider this to be a precedent for Corporation for the Promotion of Rifle Practice agreements, a $33.0 million reduction to the any other area of START implementation.’’ The conferees express their continuing and Firearms Safety (secs. 1601–1624) budget request. The provision would also concern that arms control consultative com- prohibit the use of defense funds to reim- The House bill contained a provision (sec. missions are being used to facilitate changes burse expenses of signatories to arms control 384) that would convert the Civilian Marks- or modifications to arms control treaties and treaties, other than the United States, pur- manship Program (CMP) to a federally char- agreements that should be brought to the suant to treaties or agreements with the tered nonprofit corporation. Senate for its review and subsequent advice United States that have entered into force, if The Senate amendment contained a simi- and consent. There may be very good reasons the Congress has not received 30-day notice lar provision (sec. 385) that would convert for changes in implementation of specific the CMP to a nonappropriated fund instru- prior to agreement between the parties. arms control treaties or agreements. How- The House bill did not contain a similar mentality. ever, if a change or modification to the trea- The Senate recedes with an amendment provision, but would provide $261.9 million ty or agreement would result in a change to for implementation of arms control agree- that would convert the CMP to a private, the understanding under which the Senate nonprofit corporation. The provision would ments. provided its advice and consent to ratifica- The House recedes with an amendment require the Secretary of the Army to provide tion, the Congress must be consulted about for the transition of the CMP from an appro- that would make available up to $239.9 mil- the recommended change or modification in lion for implementing arms control agree- priated fund activity of the Department of advance of any agreement in the consult- Defense to a viable nonprofit corporation. ments, a $22.0 million reduction to the budg- ative commissions, and must provide its sub- et request. The reductions are reflected in The conferees recognize the value of the sequent agreement to the change or modi- CMP, and believe the program should con- the following table. The conferees endorse fication. the views stated in the Senate report (S. tinue as a non-federal government entity. Rept. 104–112), that reiterate the concern ex- FISCAL YEAR 1996 ARMS CONTROL IMPLEMENTATION DIVISION B—MILITARY CONSTRUCTION AUTHORIZATIONS pressed in the conference report accompany- BUDGET ing the National Defense Authorization Act OVERVIEW for Fiscal Year 1994 (H. Rept. 103–357). That Account Program Request Recomm Rec Auth The budget request for fiscal year 1996 in- conference report required the Congress to cluded $10,697,955,000 for military construc- be notified 30 days in advance of a U.S. WPN ...... Arms control com- 14.800 0.000 14.800 pliance. tion and family housing. agreement to accept the recommendations of OPAF ...... Spares & repairs .... 0.467 0.000 0.467 The House bill would authorize any consultative commissions that result in PDA ...... OSIA ...... 2.941 0.000 2.941 $11,197,995,000 for military construction and either technical changes to a treaty or RDT&E, AF ...... Arms control imple- 0.998 0.000 0.998 mentation. family housing. agreement affecting inspections and mon- RDT&E, DA ...... Ver tech dem, DNA 33.971 0.000 33.971 The Senate amendment would provide itoring provisions, or that result in increased (603711). $10,902,988,000 for this purpose. U.S. implementation costs. O&M, Army ...... 40.778 ¥6.000 34.778 The conferees recommend authorization of O&M, Navy ...... 35.354 ¥2.000 33.354 The conferees limit the expenditure of O&M, AF ...... 34.645 ¥2.000 32.645 appropriations of $11,177,009,000 for military funds to provide reimbursement for arms O&M, DA ...... OSIA ...... 97.987 ¥12.000 85.987 construction and family housing, including control implementation inspections costs general reductions and termination of prior Total ...... 261.941 ¥22.000 239.941 borne by the inspected party to a treaty or year projects. agreement. Funds may only be expended if Iran and Iraq arms nonproliferation (sec. 1408) The conferees are deeply concerned about the Congress has been notified 30 days in ad- The Senate amendment included a provi- the current quality of facilities at military vance of an agreement by the President to a sion (sec. 1063) that would amend sections installations and the condition of the hous- policy or policy agreement, and that policy 1604(a) and 1605(a) of Title XVI of the Na- ing stock for military families and unaccom- or policy agreement does not modify any ob- tional Defense Authorization Act for Fiscal panied personnel. The conferees are con- ligation imposed by the arms control agree- Year 1993 (Public Law 102–484), to apply sanc- cerned about the possible long-term delete- ment. tions and controls to persons or countries rious effects of deteriorating military infra- The provision would not prohibit the use of who transfer or retransfer goods or tech- structure and military housing on the readi- funds to implement two policy agreements nology that would contribute to the Iran or ness of the armed forces and the retention of under the Intermediate-Range Nuclear Iraq efforts to acquire chemical, biological, personnel. The conferees are especially con- Forces (INF) Treaty and strategic Arms Re- or nuclear weapons, in addition to sanctions cerned about the backlog of construction, re- ductions Treaty (START), concluded in May and controls on the acquisition of destabiliz- pair, and maintenance required to resolve se- 1994 and February 1995. The conferees under- ing advanced conventional weapons. The pro- rious problems affecting the quality of life stand that the Department of Defense agreed vision would also amend section 1608(7) to for personnel and their families. The in- to reimburse Belarus, Kazakhstan, and clarify the meaning of ‘‘United States assist- creases in funding recommended by the con- Ukraine for the costs of U.S. inspections con- ance’’ to conform to the definition of such ferees is targeted at enhancing quality of life ducted within those territories for each six- term in the Foreign Assistance Act of 1961 programs, particularly housing and needed month period, expenses for which those (section 2151 et seq. of Title 10, United States operational requirements for the military countries are obligated under the treaties, if Code). services. Belarus, Kazakhstan, and Ukraine do not The House bill did not contain a similar The conferees are pleased with the atten- conduct inspections in the United States. provision. tion the Secretary of Defense has devoted to Further, the conferees understand that if The House recedes with an amendment. improving family housing, housing for unac- Belarus, Kazakhstan, or Ukraine conduct an The conferees also agree to an amendment companied personnel, and other quality of inspection of a U.S. facility, the U.S. will not to section 73(e)(2) of the Arms Export Con- life improvements. The conferees note the provide reimbursement during the applicable trol Act (section 2797b(e)(2) of title 22, United Secretary’s proposal to establish new au- six-month time period. States Code) that would require that the no- thorities for alternative means to construct The Intermediate Range Nuclear Forces tification of certain waivers under the Mis- or improve military housing. The conferees Treaty and Strategic Arms Reduction Trea- sile Technology Control Regime procedures have worked closely with the Secretary in ty permit the United States to conduct in- be submitted to the congressional defense the development of the proposal and have spections to verify compliance with the trea- committees and the congressional foreign re- agreed to include these authorities in this ties within the territories of Belarus, lations committees, not less than 45 working Act. Kazakhstan, and Ukraine. The conferees are days before issuance of the waiver. The conferees have also included a provi- concerned about assertions by the adminis- TITLE XV—TECHNICAL AND CLERICAL sion to expand the authority previously tration that failure to reimburse Belarus, AMENDMENTS granted to the Department of the Navy to Kazakhstan, and Ukraine would prevent the enter into limited partnerships with the pri- LEGISLATIVE PROVISIONS United States from conducting INF and vate sector to acquire family housing. The START inspections in these countries in the LEGISLATIVE PROVISIONS ADOPTED conferees note the efforts of the Navy to uti- future. The Senate provided its advice and Technical and clerical amendments (sec. 1501– lize existing authority to provide critically consent to ratification of INF and START 1506) needed housing in Corpus Christi, Texas and based on the ability of the United States to The Senate amendment contained eight Everett, Washington. The conferees under- fully exercise its inspection rights. sections (secs. 1101 through 1108) that made stand that agreements to provide housing in January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 679 those two locations may be ready for con- by the Department of Veterans’ Affairs. The critically needed housing for the armed tract execution in fiscal year 1996. conferees encourage the Secretary of Defense forces. To rectify immediate problems, the In addition to these new initiatives, the to promote this program and to continue ex- conferees recommend $417,169,000 above the conferees also support a pilot program that ploring creative ways to stimulate interest Administration’s budget request for family provides qualified junior enlisted and junior in and availability of home ownership among housing, unaccompanied personnel housing, officer personnel with greater access to pri- servicemembers. child development centers, health care facili- vate home ownership opportunities through The conferees recognize that these authori- ties, and other projects to enhance the qual- an interest rate buydown program managed ties have the long-term potential to produce ity of life for currently serving personnel. H 680 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 681 H 682 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 683 H 684 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 685 H 686 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 687 H 688 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 689 H 690 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 691 H 692 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 693 H 694 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 695 H 696 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 697

TITLE XXI—ARMY TITLE XXII—NAVY 2201(a) of the National Defense Authorization FISCAL YEAR 1996 FISCAL YEAR 1996 Act for Fiscal Year 1993 to authorize the Sec- Overview retary of the Navy to acquire 191 acres of Overview land in Hampton Roads, Virginia. This ac- The House bill would authorize The House bill would authorize quisition is in addition to the land acquisi- $2,164,861,000 for Navy military construction $2,167,190,000 for Army military construction tion at Dam Neck, Virginia, authorized in and family housing programs for fiscal year and family housing programs for fiscal year the National Defense Authorization Act for 1996. 1996. Fiscal Year 1993. The Senate amendment would authorize The House bill contained no similar provi- The Senate amendment would authorize $2,077,459,000 for this purpose. $2,027,613,000 for this purpose. sion. The conferees recommend authorization of The House recedes with a clarifying The conferees recommend authorization of $2,119,317,000 for Navy military construction $2,147,427,000 for Army military construction amendment. and family housing for fiscal year 1996. The conferees direct the Secretary of Navy and family housing for fiscal year 1996. The conferees agree to a general reduction to make every possible attempt to acquire The conferees agree to a general reduction of $6,385,000 in the authorization of appro- both parcels of land using the $4.5 million of $6,385,000 in the authorization of appro- priations for the Navy military construction previously authorized. If additional funds are priations for the Army military construction account. The general reduction is to be offset required, the conferees expect the Secretary account. The general reduction is to be offset by savings from favorable bids, reduction in to utilize cost variation and reprogramming by savings from favorable bids, reduction in overhead costs, and cancellation of projects procedures. overhead costs, and cancellation of projects due to force structure changes. The general Acquisition of land, Henderson Hall, Arlington, due to force structure changes. The general reduction shall not cancel and military con- Virginia (sec. 2207) reduction shall not cancel any military con- struction authorized by title XXII of this struction authorized by title XXI of this Act. Act. The Senate amendment contained a provi- sion (sec. 2207) that would authorize the Sec- Planning and design, Navy Planning and design, Army retary of the Navy to acquire a 0.75 acre par- The conferees direct that, within author- The conferees direct that, within author- cel of land located at Henderson Hall, Arling- ized amounts for planning and design, the ized amounts for planning and design, the ton, Virginia. The parcel, which is currently Secretary of the Army conduct planning and Secretary of the Navy conduct planning and occupied by an abandoned and vandalized design activities for the following project: design activities for the following projects: mausoleum, is required to construct a public Pohakuloa Training Site, Hawaii, Road Naval Station, Mayport, Florida, Wharf works complex to support the Headquarters Improvement—$2,000,000. Improvements—$2,340,000. Battalion, United States Marine Corps. The Naval Air Station, Fallon, Nevada, Gal- The conferees note that this project is re- provision would authorize the demolition of ley—$50,000. the mausoleum and the use of appropriated quired to correct hazardous road conditions Naval Air Station, Fallon, Nevada, Child which impact readiness. The conferees urge funds to remove and provide appropriate dis- Development Center—$150,000. posal of the remains abandoned in the mau- the Secretary to make every effort to in- The conferees note that the projects at soleum. clude this project in the fiscal year 1997 Naval Air Station, Fallon, Nevada, are nec- budget request. The House bill contained no similar provi- essary to correct facility deficiencies which sion. Aerial Port and Intermediate Staging Base, The impact readiness, quality of life, and produc- The House recedes with a technical amend- National Training Center, Fort Irwin, Cali- tivity. The conferees urge the Secretary to ment. fornia make every effort to include these projects Acquisition or construction of military family The budget request included no military in the fiscal year 1997 budget request. housing in the vicinity of San Diego, Cali- construction funds to expand the airport at Improvements to military family housing units fornia (sec. 2208) Barstow-Daggett, California, to meet the (sec. 2203) The conferees include a new section that operational and training requirements of the The conferees direct that, within author- would direct the Secretary of the Treasury National Training Center, Fort Irwin, Cali- ized amounts for construction improvements to make available, upon request from the fornia. of military family housing and facilities, the Secretary of the Navy, funds paid to the The House bill would authorize $10.0 mil- Secretary of the Navy execute the following United States upon final settlement in the lion for phase II of the Barstow-Daggett ex- projects: case of Rossmoor Liquidating Trust, initi- pansion project. Naval Station, Mayport, Florida, Whole ated against the United States, in the United The Senate amendment included no fund- House Revitalization—$7,300,000. States District Court for the Central District ing for phase II of this project. Public Works Center, Great Lakes, Illinois, of California. From those funds, the Sec- The conferees agree to authorize $10.0 mil- Whole House Revitalization—$15,300,000. retary of the Navy would be authorized to lion for phase II of the Barstow-Daggett ex- Naval Education Training Command, New- acquire or construct no more than 150 mili- pansion project, contingent upon the Sec- port, Rhode Island, Whole House Improve- tary family housing units in the San Diego, retary of Defense’s certification that the ments—$8,795,000. California region for the Department of the Marine Corps Air Station, Beaufort, South project best meets the operational and train- Navy. The authority would be subject to the Carolina, Whole House Rehabilitation— ing requirements of the National Training expiration of a 21-day period, beginning on $6,784,000. Center, Fort Irwin, California. the day on which the Secretary transmits to Naval Submarine Base, Bangor, Washing- the congressional defense committees a re- LEGISLATIVE PROVISIONS ton, Construction Improvements—$4,890,000. port containing the details of the contract to LEGISLATIVE PROVISIONS ADOPTED LEGISLATIVE PROVISIONS acquire or construct the units authorized by Improvements to military family housing units LEGISLATIVE PROVISIONS ADOPTED this section. (sec. 2103) Revision of fiscal year 1995 authorization of ap- TITLE XXIII—AIR FORCE The conferees direct that, within author- propriations to clarify availability of funds FISCAL YEAR 1996 ized amounts for construction improvements for large anechoic chamber, Patuxent River Overview of military family housing and facilities, the Naval Warfare Center, Maryland (sec. 2205) The House bill would authorize Secretary of the Army execute the following The Senate amendment contained a provi- $1,727,557,000 for Air Force military construc- projects: sion (sec. 2205) that would amend section 2204 tion and family housing programs for fiscal Fort Wainwright, Alaska, Whole Neighbor- of the National Defense Authorization Act year 1996. hood Revitalization—$7,300,000. for Fiscal Year 1995 (Public Law 103–307) to The Senate amendment would authorize Fort Campbell, Kentucky, Whole Neighbor- authorize the $10.0 million appropriated for $1,724,699,000 for this purpose. hood Revitalization—$17,356,000. the Large Anechoic Chamber Facility at the The conferees recommend authorization of Fort Bragg, North Carolina, Whole Neigh- Naval Air Warfare Center, Patuxent River, $1,735,086,000 for Air Force military construc- borhood Revitalization—$10,000,000. Maryland in the Military Construction Ap- tion and family housing for fiscal year 1996. propriations Act for Fiscal Year 1995 (Public The conferees agree to a general reduction LEGISLATIVE PROVISIONS NOT ADOPTED Law 103–307). of $6,385,000 in the authorization of appro- Reduction in amounts authorized to be appro- The Senate provision would permit the priations for the Air Force military con- priated for fiscal year 1992 military con- Navy to proceed with the award of a contract struction account. The general reduction is struction projects in the amount of $30.0 million for the first to be offset by savings from favorable bids, The Senate amendment contained a provi- phase of the $61.0 million project. reduction in overhead costs, and cancellation sion (sec. 2105) that would rescind $6.25 mil- The House bill contained no similar provi- of projects due to force structure changes. lion from the amount authorized for the De- sion. The general reduction shall not cancel any partment of the Army in section 2105 of the The House recedes with a clarifying military construction authorized by title National Defense Authorization Act for Fis- amendment. XXIII of this Act. cal Year 1992 (Public Law 102–190). Authority to carry out land acquisition project, Improvements to military family housing units The House bill amendment contained no Hampton Roads, Virginia (sec. 2206) (sec. 2303) similar provision. The Senate amendment contained a provi- The conferees direct that, within author- The Senate recedes. sion (sec. 2206) that would amend section ized amounts for construction improvements H 698 CONGRESSIONAL RECORD — HOUSE January 22, 1996 of military family housing and facilities, the LEGISLATIVE PROVISIONS LEGISLATIVE PROVISIONS NOT ADOPTED Secretary of the Air Force execute the fol- LEGISLATIVE PROVISIONS ADOPTED Limitation of expenditures for a construction lowing project: project at Umatilla Army Depot, Oregon Military family housing private investment (sec. Wright-Patterson Air Force Base, $5,900,000 2402) The House bill contained a provision (sec. Ohio, Family Housing Im- 2407) that would prohibit the expenditure of provements The House bill contained a provision (sec. funds prior to March 1, 1996, for the construc- 2402) that would authorize the Secretary of tion of a chemical weapons and munitions ITEMS OF SPECIAL INTEREST Defense to enter into agreements to con- incinerator facility at Umatilla Army Depot, Bonaire housing complex, Presque Isle, Maine struct, acquire, and improve family housing, Oregon. for the purpose of encouraging private in- The conferees are aware of the economic The Senate amendment contained no simi- vestment, in the amount of $22,000,000. impact and the difficult redevelopment ef- lar provision. The Senate amendment contained a simi- fort facing Limestone, Maine, as a result of The House recedes. lar provision. the closure of Loring Air Force Base. To en- TITLE XXV—NORTH ATLANTIC TREATY sure that the community has maximum The House recedes. ORGANIZATIONS INFRASTRUCTURE flexibility in its redevelopment effort, the Energy conservation projects (sec. 2404) FISCAL YEAR 1996 conferees direct the Secretary of the Air The House bill contained a provision (sec. Overview Force to obtain written concurrence of the 2404) that would authorize the Secretary of The House bill would authorize $161,000,000 designated local reuse authority, or its des- Defense to carry out energy conservation for the U.S. contribution to the NATO Infra- ignee, before any land, tangible property or projects using funds authorized pursuant to structure program for fiscal year 1996. interest in the Air Force property known as the authorization of appropriations in sec- The Senate amendment would authorize the Bonaire housing complex in Presque Isle, tion 2405. $179,000,000 for this purpose. Maine, is transferred to the Department of The Senate amendment contained a simi- The conferees authorize $161,000,000 for the Interior, or to any other entity. The con- lar provision. U.S. contribution to the NATO Infrastruc- ferees believe that a cooperative effort The Senate recedes. ture program. should be maintained by all parties seeking LEGISLATIVE PROVISIONS property and that the designated local rede- Limitations on use of Department of Defense velopment authority is the most appropriate Base Closure Account 1990 (sec. 2406) LEGISLATIVE PROVISIONS ADOPTED entity to coordinate reuse efforts. The conferees include a new section that Authorization of appropriations, NATO (sec. 2502) LEGISLATIVE PROVISIONS would prohibit the obligation of funds au- thorized for appropriation in section 2405 The House bill contained a provision (sec. LEGISLATIVE PROVISIONS ADOPTED (a)(10) of this Act, to carry out a construc- 2502) that would authorize funding for the Retention of accrued interest on funds deposited tion project with respect to military instal- North Atlantic Treaty Organization Infra- for construction of family housing, Scott Air lations approved for closure or realignment structure program in the amount of $161.0 Force Base, Illinois (sec. 2305) in 1995, until after the date the Secretary of million. Defense submits to Congress a five-year pro- The Senate amendment contained a provi- The House bill contained a provision (sec. sion (sec. 2502) that would authorize funding 2305) that would amend section 2310 of the gram for executing the 1995 base realignment and closure plan. The limitation would not for the North Atlantic Treaty Organization Military Construction Authorization Act for Infrastructure program in the amount of Fiscal Year 1994 (Division B of Public Law preclude any activities associated with envi- ronmental cleanup activities or planning and $179.0 million. 103–160) to permit the retention of accrued The Senate recedes. interest on funds previously transferred to design for such construction projects. TITLE XXVI—GUARD AND RESERVE FORCES the County of St. Clair, Illinois, for the pur- Modification of authority to carry out fiscal FACILITIES pose of constructing military family housing year 1995 projects (sec. 2407) FISCAL YEAR 1996 at Scott Air Force Base. Upon completion of The House bill contained a provision (sec. construction all funds remaining, and any 2406) that would amend the table in section Overview interest accrued thereon, shall be deposited 2401 of the Military Construction Authoriza- The House bill would authorize $284,924,000 in the general fund of the United States tion Act for Fiscal Year 1995 (Division B of for military construction and land acquisi- Treasury. Public Law 103–337) to provide for full au- tion for fiscal year 1996 for the National The Senate amendment contained no simi- thorization of projects to support chemical Guard and reserve components. lar provision. weapons and munitions destruction at Pine The Senate amendment would authorize The Senate recedes with an amendment Bluff Arsenal, Arkansas and Umatilla Army $432,339,000 for this purpose. that would require the Secretary of the Air Depot, Oregon. The conferees recommend authorization of Force to submit to congressional defense The Senate amendment contained a simi- $436,522,000 for military construction and committees an annual report describing the lar provision. land acquisition for fiscal year 1996. This au- thorization would be distributed as follows: amount of interest accrued and retained by The Senate recedes. Army National Guard ..... $134,802,000 the County for the housing project. The Sec- Reduction in amounts authorized to be appro- retary would be required to submit the re- Army Reserve ...... 73,516,000 priated for fiscal year 1994 contingency con- Naval/Marine Corps Re- port by March 1 of each year, until the con- struction projects (sec. 2408) struction project is completed. serve ...... 19,055,000 The Senate amendment contained a provi- Air National Guard ...... 170,917,000 LEGISLATIVE PROVISIONS NOT ADOPTED sion (sec. 2407) that would terminate author- Air Force Reserve ...... 36,232,000 ization of appropriations for prior year Reduction in amounts authorized to be appro- Planning and design, Guard and Reserve Forces priated for fiscal year 1992 military con- projects including: struction projects (1) $3.2 million from the amount authorized The conferees direct that, within author- ized amounts for planning and design, the The Senate amendment contained a provi- for the Department of Defense in section 2405(a) of the Military Construction Author- Guard and Reserve Forces conduct planning sion (sec. 2305) that would rescind $16.0 mil- and design activities for the following lion from the amount authorized for the De- ization Act for Fiscal Year 1991 (Division B of Public Law 101–510); projects: partment of the Air Force in section 2305 of Army Reserve: the National Defense Authorization Act for (2) $6.8 million from the amount authorized for the Department of Defense in section Fort Dix, New Jersey, In- Fiscal Year 1992 (Public Law 102–190). telligence Training The House bill contained no similar provi- 2404(a) of the Military Construction Author- ization Act for Fiscal Year 1992 (Division B Center ...... $788,000 sion. Army National Guard: of Public Law 102–190); and The Senate recedes. Lincoln, Nebraska, Medi- (3) $8.6 million from the amount authorized cal Training Facility ... $200,000 TITLE XXIV—DEFENSE AGENCIES for the Department of Defense in section Fort Dix, New Jersey, FISCAL YEAR 1996 2403(a) of the Military Construction Author- Technical Training Fa- ization Act for Fiscal Year 1993 (Division B Overview cility ...... $750,000 of Public Law 102–484). Billings, Montana, The House bill would authorize The House bill contained no similar provi- Armed Forces Reserve $4,692,463,000 for Defense Agencies military sion. Center ...... $1,200,000 construction and family housing programs The House recedes with an amendment Air National Guard: for fiscal year 1996. that would reduce $8.1 million from the Robins Air Force Base, The Senate amendment would authorize amount authorized to be appropriated for the Georgia, B–1 Site and $4,456,883,000 for this purpose. Department of Defense in section 2403(a) of Utility Upgrades ...... $270,000 The conferees recommend authorization of the Military Construction Authorization Act Hickam Air Force Base, $4,629,491,000 for Air Force military construc- for Fiscal Year 1994 (Division B of Public Hawaii, Squadron Oper- tion and family housing for fiscal year 1996. Law 103–160). ations Facility ...... $790,000 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 699 The conferees note that these projects are thorities, as alternative methods of acquir- military construction project any military required to accommodate new missions and ing and improving family housing and sup- construction project intended solely to cor- to correct facility deficiencies that impact port facilities for the armed forces. Such au- rect a life, health, or safety deficiency, if the readiness, quality of life, and productivity. thorities would include the ability to con- approved cost is equal to or less than $3.0 The conferees urge the service secretaries to tract and lease family housing. Use of the million. The provision would authorize the make every effort to include these projects authorities would be targeted at installa- expenditure of operation and maintenance in the fiscal year 1997 budget request. tions where there is a shortage of suitable funds to carry out projects to correct a life, LEGISLATIVE PROVISIONS family housing. For housing acquired under health, or safety deficiency costing no more the authorities provided in this section, the than $1.0 million. LEGISLATIVE PROVISIONS ADOPTED unit size and type limitations in current law The House bill contained a similar provi- Reduction in amount authorized to be appro- would be waived to encourage private sector sion. priated for fiscal year 1994 Air National development of military family housing. The The House recedes. Guard Projects (sec. 2602) Department of Defense (DOD) would be au- Clarification of scope of unspecified minor con- The Senate amendment contained a provi- thorized to contribute up to 35 percent of the struction authority (sec. 2812) sion (sec. 2602) that would rescind funds au- investment cost in any project. Such invest- The Senate amendment contained a provi- thorized for appropriation by the National ment could take a number of forms, includ- sion (sec. 2802) that would amend section Defense Authorization Act for Fiscal Year ing cash, existing housing, and/or real prop- 2805(a)(1) of title 10, United States Code, to 1994 (Public Law 103–160) for land acquisition erty. The provision would also establish the clarify the definition of minor military con- for the Idaho Training Range. Defense Family Housing Improvement Fund struction. The House bill contained no similar provi- as the sole source of funding for projects con- The House bill contained a similar provi- sion. structed or renovated under the authorities sion. The House recedes. of this provision. The provision would re- The House recedes. quire DOD to submit a 21-day notice-and- Correction in authorized uses of funds for Army Temporary authority to waive net floor area wait announcement to Congress before enter- National Guard projects in Mississippi (sec. limitation for family housing acquired in ing into contract agreements associated with 2603) lieu of construction (sec. 2813) these new authorities and would require The House bill contained a provision (sec. The Senate amendment contained a provi- 2602) that would clarify amounts authorized DOD to submit a 30-day notice-and-wait an- nouncement before transferring funds from sion (sec. 2803) that would waive, for a five to be appropriated in section 2601(1)(A) of the year period, beginning in fiscal year 1996, the Military Construction Authorization Act for the family housing construction accounts to the Fund. Each of the authorities contained net floor area limitation established in sec- Fiscal Year 1994 (Division B of Public Law tion 2826 of title 10, United States Code, if 103–360) for the addition or alteration of in this provision would expire on September 30, 2000. existing family housing is acquired in lieu of Army National Guard Armories at various construction. locations in the State of Mississippi. The The Senate amendment contained a simi- lar provision (sec. 2811) that would expand The House bill contained no similar provi- House provision would direct the use of au- sion. thorized funds for the addition, alteration, or the authorities to include acquisition or ren- ovation of unaccompanied housing on or The House recedes with an amendment new construction of armory facilities and an that would give the service secretary discre- operations and maintenance shop, including near military installations. The provision would also establish a Department of De- tionary authority to waive the floor limita- the acquisition of land for such facilities at tion. such locations. fense Housing Improvement Fund, for use as The Senate amendment contained no simi- the sole source to finance costs associated Reestablishment of authority to waive net floor lar provision. with the acquisition of housing and support area limitation on acquisition by purchase The Senate recedes with an amendment facilities. of certain military family housing (sec. 2814) that would direct the Secretary of the Army The House recedes with an amendment The Senate amendment contained a provi- to submit a report to congressional defense that would establish the Department of De- sion (sec. 2804) that would make permanent committees that would describe the intended fense Family Housing Improvement Fund section 2826(e) of title 10, United States Code, use of funds and to wait 21 days before any of and the Department of Defense Military Un- that allows a waiver for a 20 percent increase the funds could be obligated. accompanied Housing Improvement Fund as in the square footage limitation when ac- the sources to finance costs associated with quiring, through purchase, military family TITLE XXVIII—GENERAL PROVISIONS the acquisition of housing and supporting fa- housing units for members of the Armed ITEMS OF SPECIAL INTEREST cilities, including costs defined in section Forces in pay grades below O–6. Damage to facilities from Hurricane Opal 502(5) of the Federal Credit Reform Act of The House bill contained no similar provi- The conferees note that, on October 5, 1995, 1990 (2 U.S.C. 661a(5)). The provision would sion. military facilities in the Southeastern Unit- also establish certain reporting require- The House recedes with a technical amend- ed States sustained damage as a direct result ments for the DOD and would limit the ment. of Hurricane Opal. The conferees direct the transfer of funds previously authorized and Temporary authority to waive limitations on Secretary of Defense to conduct a com- appropriated to funds associated with the space by pay grade for military family hous- prehensive assessment of infrastructure and construction of family housing or unaccom- ing units (sec. 2815) panied housing. The provision would also facilities at installations affected by Hurri- The Senate amendment contained a provi- limit the obligation of funds by DOD to cane Opal, to include: Fort Benning and Fort sion (sec. 2805) that would waive section 2826 $850.0 million for family housing and $150.0 McPherson in Georgia; Fort Rucker, Fort of title 10, United States Code, for housing million for unaccompanied housing. McClellan, and Anniston Army Depot in Ala- authorized for construction for five years, bama; Tyndall Air Force Base, Eglin Air Expansion of authority for limited partnerships beginning in fiscal year 1996. The waiver Force Base, and Hulbert Field and facilities for development of military family housing would permit the construction of family in and around Naval Air Station, Pensacola, (sec. 2802) housing units without regard to space limi- Florida. The Secretary shall submit a report The Senate amendment contained a provi- tations, as long as the total number of hous- on the Department’s findings to the congres- sion (sec. 2807) that would provide each of ing units is the same as authorized by law. sional defense committees, no later than the military services with the limited part- The House bill contained no similar provi- February 15, 1996. nership authority provided to the Depart- sion. The assessment should include: ment of the Navy by section 2803 of the Na- The House recedes with an amendment (1) a report on all property damage; tional Defense Authorization Act for Fiscal that would give the service secretary discre- (2) the estimated cost to repair or replace Year 1995 (Public Law 103–337). The provision tion to waive the authority for five years be- damaged or destroyed facilities; would also extend the expiration of the au- ginning in fiscal year 1996. (3) the impact on operations and readiness thority to September 30, 2000. Rental of family housing in foreign countries caused by any loss of facilities; The House bill contained a similar provi- (sec. 2816) (4) any actions taken to repair or replace sion. damaged or destroyed facilities; and The House bill contained a provision (sec. The House recedes with a technical amend- 2805) that would authorize an increase in the (5) recommendations for funding the re- ment. quired facility repairs or replacements. number of high-cost family housing units Subtitle B—Other Military Construction that may be leased in foreign countries. LEGISLATIVE PROVISIONS Program and Military Family Housing The Senate amendment contained a simi- LEGISLATIVE PROVISIONS ADOPTED Changes lar provision. Subtitle A—Military Housing Privatization Special threshold for unspecified minor con- The Senate recedes. Initiative struction projects to correct life, health, or Clarification of scope of report requirement on Alternative authority for construction and im- safety deficiencies (sec. 2811) cost increases under contracts for military provement of military housing (sec. 2801) The Senate amendment contained a provi- family housing construction (sec. 2817) The House bill contained a provision (sec. sion (sec. 2801) that would amend 2805 of title The Senate amendment contained a provi- 2801) that would authorize a series of au- 10, United States Code, to include as a minor sion (sec. 2808) that would amend section 2853 H 700 CONGRESSIONAL RECORD — HOUSE January 22, 1996 to title 10, United States Code, by eliminat- down the interest rate on VA home loans for tion would provide that section 120(h)(3)(B) ing the requirement for congressional notifi- qualified applicants. The Secretary of De- of the Comprehensive Environmental Re- cation on cost increases that exceed estab- fense would reimburse the VA for the costs sponse Compensation and Liability Act of lished limitations when the increase is relat- of the interest rate buy down. Authorization 1980 (CERCLA) (42 U.S.C. 9620(h)(3)(B)) does ed to settlement of a court ordered contract of the program would be limited to $10.0 mil- not apply to leases at Department of Defense claim. lion and could only be utilized at military installations. The provision would also pro- The House bill contained no similar provi- installations which the Secretary of Defense vide for Environmental Protection Agency sion. considers to have a military family housing consultation on the determination that prop- The House recedes with a clarifying deficit. erty is suitable for lease in those instances amendment. The Senate amendment contained no simi- involving long term leases at installations Authority to convey damaged or deteriorated lar provision. approved for closure under a base closure military family housing (sec. 2818) The Senate recedes with an amendment law. that would limit the scope of the program to The House bill contained no similar provi- The Senate amendment contained a provi- active duty enlisted members, warrant offi- sion. sion (sec. 2809) that would authorize the sec- cers, and officers at a pay grade of O–3 and The House recedes. retaries of the military departments to sell, below. The conferees agree that the provision is at fair market value, family housing facili- necessary to ensure that the Department ties at non-base closure installations that Subtitle C—Defense Base Closure and Realignment may enter into long-term leases while clean- have deteriorated beyond economical repair, up is ongoing. The provision addresses a re- or are no longer required. The sale may in- Deposit of proceeds from leases of property lo- cent federal district court decision that clude the parcel of land on which the family cated at installations being closed or re- could undermine reuse plans at military in- housing facilities are located. aligned (sec. 2831) stallations selected for closure with similar The provision directs that the proceeds The House bill contained a provision (sec. reuse plans. The provision serves to clarify from the sale of the property be used to re- 2812) that would authorize the Secretary of the legislative intent on this issue. place or revitalize housing at the existing in- Defense to deposit proceeds from leases of stallation, or at another installation. The Final funding for Defense Base Closure and Re- property located at installations being alignment Commission (sec. 2835) provision also requires the secretary con- closed or realigned into the relevant account The Senate amendment contained a provi- cerned to notify Congress before proceeding established in the Defense Authorization sion (sec. 2825) that would amend section with conveyance of family housing facilities Amendments and Base Closure and Realign- 2902(k) of the Defense Base Closure and Re- under this authority. ment Act (Public Law 100–526) or the Defense alignment Act of 1990 (part A of title XXIX The House bill contained no similar provi- Base Closure and Realignment Act of 1990 of Public Law 101–510, 10 U.S.C. 2657) to au- sion. (Public Law 101–510). thorize the Secretary of Defense to transfer The House recedes with a technical amend- The Senate amendment contained a simi- unobligated funds from the Department of ment. lar provision. Defense Base Closure Account to fund the Energy and water conservation savings for the The Senate recedes. Department of Defense (sec. 2819) operations of the Defense Base Closure and In-kind consideration for leases at installations Realignment Commission until December 31, The Senate amendment contained a provi- to be closed or realigned (sec. 2832) 1995. sion (sec. 2810) that would amend section 2865 The Senate amendment contained a provi- The House bill contained no similar provi- of title 10, United States Code, to include sion (sec. 2821) that would permit the service sion. water conservation in the Department of De- secretaries to accept in-kind services (im- The House recedes with an amendment fense’s comprehensive energy conservation provements, maintenance, protection, re- that would limit the transfer authority to plan. pair, or restoration services performed on $300,000. The House bill contained no similar provi- any portion of the installation) from a lessee Exercise of authority delegated by the Adminis- sion. in lieu of cash rental payments for leases of trator of General Services (sec. 2836) The House recedes. property that will be disposed of as a result The Senate amendment contained a provi- Extension of authority to enter into leases of of a base closure or realignment. sion (sec. 2827) that would amend the Defense land for special operations activities (sec. The House bill contained no similar provi- Base Closure and Realignment Act of 1990 2820) sion. (Public Law 101–510) to expand the authority The Senate amendment contained a provi- The House recedes with a technical amend- of the Secretary of Defense, with the concur- sion (sec. 2812) that would make permanent ment. rence of the Administrator of the General the authority provided in section 2680 of title Interim leases of property approved for closure Services Administration, to prescribe gen- 10, United States Code, which grants the Sec- or realignment (sec. 2833) eral policies and issue regulations for utiliz- retary of Defense the authority to lease The Senate amendment contained a provi- ing excess property and disposing of surplus property required for special operations ac- sion (sec. 2830B) that would facilitate the use property. The provision would also make cer- tivities conducted by the Special Operations of limited term leases (one to five years) by tain technical changes. Command. the Department of Defense in connection The House bill contained no similar provi- The House bill contained no similar provi- with reuse of military installations selected sion. sion. for closure. The provision would make it The House recedes with a technical amend- The House recedes with an amendment clear that any environmental impact analy- ment. that would extend the authority to lease sis prepared in connection with an interim Lease back of property disposed from installa- property required for special operations until lease of Department of Defense property ap- tions approved for closure or realignment September 30, 2000. proved for closure or realignment shall be (sec. 2837) Disposition of amounts recovered as a result of limited to the scope of environmental con- The Senate amendment contained a provi- damage to real property (sec. 2821) sequences related to the lease activities. sion (sec. 2828) that would amend the Defense The House bill contained a provision (sec. The House bill contained no similar provi- Base Closure and Realignment Act of 1990 2804) that would authorize the military de- sion. (Public Law 101–510) to allow base closure partments to retain the proceeds recovered The House recedes. property that is still needed by the Depart- as a result of damages to real property in- The conferees agree that under current law ment of Defense or another federal agency to stead of depositing those proceeds into the the Department of Defense has been reluc- be transferred to the local redevelopment au- miscellaneous receipts account in the United tant to enter into limited term leases before thority, providing that the redevelopment States Treasury. Such proceeds would be an environmental review has been com- authority leases back the property to the made available for repair or replacement of pleted, pursuant to the National Environ- Department of Defense or federal agency. damages to real property. mental Policy Act (42 U.S.C. 4321, et. seq.), Such a lease should not exceed 50 years and The Senate amendment contained no simi- that would address the disposal of the entire could not require rental payments by the lar provision. installation. Such concerns have impeded United States. The Senate recedes. private sector use of base closure property The House bill contained no similar provi- Pilot program to provide interest rate buy down for short term capital investments. sion. authority on loans for housing within hous- Authority to lease property requiring environ- The House recedes with a clarifying ing shortage areas at military installations mental remediation at installations ap- amendment. (sec. 2822) proved for closure or realignment (sec. 2834) Improvement of base closure and realignment The House bill contained a provision (sec. The Senate amendment contained a provi- process regarding disposal of property (sec. 2806) that would authorize a three-year pilot sion (sec. 2824) that would allow the Depart- 2838) program to provide additional housing as- ment of Defense to enter into long-term The House bill contained a provision (sec. sistance to military personnel. Under the lease agreements at military installations 2814) that would amend the Defense Author- program, as administered by the Secretary selected for closure, while environmental ization Amendments and Base Closure and of Veterans Affairs (VA), the VA would buy restoration is ongoing. Specifically, the sec- Realignment Act (Public Law 100–526; 10 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 701 U.S.C. 2687 note) and the Defense Base Clo- Subtitle D—Land Conveyances Generally ing improvements thereon, at Fort Belvoir, sure and Realignment Act of 1990 (Part A of PART I—ARMY CONVEYANCES Virginia, consisting of approximately 820 title XXIX of Public Law 101–510; 10 U.S.C. acres and known as the Engineer Proving Transfer of jurisdiction, Fort Sam Houston, 2687). The provision would preclude consider- Ground. In consideration, the County shall Texas (sec. 2851) ation of Section 501 of the Stewart B. McKin- construct facilities for the Department of ney Homeless Assistance Act (42 U.S.C. 11411) The House bill contained a provision (sec. the Army; grant title, free of liens and other in the transfer or disposal of real property 2821) that would authorize the Secretary of encumbrances, to the facilities and, if not al- located at military installations closed or the Army to transfer, without reimburse- ready owned by the Department, to the un- realigned under the base closure law. ment, approximately 53 acres, with improve- derlying land; and make infrastructure im- The Senate amendment contained a provi- ments, to the Secretary of Veterans Affairs. provements for the Department of the Army, sion (sec. 2826) that would amend the Defense The property would be conveyed for use as a as may be specified by the Secretary of the Base Closure and Realignment Act of 1990 national cemetery. Army. The value of the consideration pro- (Part A of title XXIX of Public Law 101–510; The Senate amendment contained no simi- vided by the County shall not be less than 10 U.S.C. 2687) to authorize the Secretary of lar provision. the fair market value of the property con- Defense to approve local redevelopment au- The Senate recedes with an amendment de- veyed to the County, as determined by the thorities’ base reuse plans. Before making leting the reversionary interest of the Sec- Secretary. The amendment would prohibit any property disposal decisions, the Sec- retary of the Army in the property. the Secretary from entering into any agree- retary of Defense would be required to con- Transfer of jurisdiction, Fort Bliss, Texas (sec. ment under this provision until the expira- sult with the Secretary of Housing and 2852) tion of 60 days following the date on which Urban Development to determine if the The House bill contained a provision (sec. the Secretary transmits to the congressional needs of the homeless were appropriately 2838) that would authorize the Secretary of defense committees a report containing de- considered. In reviewing disposal plans, the the Army to transfer to the Secretary of tails of the agreement between the Army and Secretary of Defense could give deference to Veteran Affairs jurisdiction of approxi- the County. local communities’ plans in making the final mately 22 acres, comprising a portion of Fort Land exchange, Fort Lewis, Washington (sec. property disposal decisions. Bliss, Texas. The property transferred would 2855) The House recedes with a technical amend- be used as an addition to the Fort Bliss Na- ment that would recognize the preeminence The House bill contained a provision (sec. tional Cemetery. of local redevelopment authorities’ plans for 2836) that would authorize the Secretary of The Senate amendment contained no simi- reuse of properties and facilities on installa- the Army to convey to Weyerhaeuser Real lar provision. tions closed or realigned under the base clo- Estate Company, Tacoma, Washington two The Senate recedes with an amendment sure procedures. The amendment would fur- parcels of real property at Fort Lewis, Wash- that would delete the Secretary of the ther enhance the ability of the Secretary of ington totaling 1.26 acres. As consideration Army’s reversionary interest in the prop- Defense to give final approval of local com- the Weyerhaeuser Real Estate Company erty. munities’ base reuse plans. would convey 0.39 acres located within the Tranfer of jurisdiction and land conveyance, boundaries of Fort Lewis together with other Agreements for certain services at installations Fort Devens Military Reservation, Massa- considerations acceptable to the Secretary. being closed (sec. 2839) chusetts (sec. 2853) The total consideration conveyed to the The House bill contained a provision (sec. The House bill contained a provision (sec. United States would be no less than the fair 2813) that would clarify current law that au- market value of the property conveyed by thorizes the Secretary of Defense to enter 2831) that would require the Secretary of the Army to convey to the Secretary of the Inte- the Army. into agreements with local governments for The Senate amendment contained a simi- the provision of police, security, fire protec- rior, without reimbursement, a portion of the Fort Devens Military Reservation, Mas- lar provision. tion, air field operations, or other commu- The Senate recedes with a technical sachusetts, at any time after the date on nity services provided by such governments amendment. at military installations scheduled to be which the property is determined to be ex- cess to the needs of the Department of De- Land exchange, Army Reserve Center, closed. Gainsville, Georgia (sec. 2856) The Senate amendment contained a simi- fense. The property is to be conveyed for in- lar provision. clusion in the Oxbow National Wildlife Ref- The Senate amendment contained a provi- The Senate recedes with a technical uge. The cost of any surveys necessary for sion (sec. 2846) that would authorize the Sec- amendment. the conveyance shall be borne by the Sec- retary of the Army to convey to the City of Gainesville, Georgia, a 4.2 acre parcel of real Authority to transfer property at military in- retary of the Interior. property, including a reserve center, located stallations to be closed to persons who con- This section would also require the Sec- on Shallowford Road in Gainsville, Georgia. struct or provide military family housing retary of the Army to convey to the Town of As consideration, the City of Gainesville (sec. 2840) Lancaster, Massachusetts, without reim- bursement, a parcel of real property consist- would convey to the Secretary approxi- The House bill contained a provision (sec. ing of approximately 100 acres of the parcel mately 8 acres of real property located in the 2811) that would authorize the Secretary of available for transfer to the Secretary of the Atlas Industrial Park in Gainesville. The Defense to enter into an agreement to trans- Interior. The cost of any surveys necessary City would construct replacement facilities fer property or facilities at a closed installa- for the conveyance would be borne by the in accordance with the requirements of the tion, or an installation designated to be town. Secretary of the Army for training activities closed, under current law, to a person who The Senate amendment contained no simi- of the Army Reserve, and fund the costs of agrees to provide, in exchange for the prop- lar provision. relocating the Reserve units to the new loca- erty or facilities, housing units located at The Senate recedes with a technical tion. The City’s contribution of land and fa- another military installation where there is amendment. cilities would be no less than the fair market a shortage of suitable housing. Under the value of the property conveyed by the Sec- provision, the Secretary would not be per- Modification of land conveyance, Fort Belvoir, Virginia (sec. 2854) retary. mitted to select property or facilities for The House amendment contained no simi- transfer that have been identified in the re- The Senate amendment contained a provi- lar provision. development plan for the installation as es- sion (sec. 2863) that would require the Sec- The House recedes with a technical amend- sential for base reuse and development. retary of the Army to submit a report to the ment. The Senate amendment contained no simi- Senate Armed Services Committee and the Land conveyance, Holston Army Ammunition lar provision. House National Security Committee on the Plant, Mount Carmel, Tennessee (sec. 2857) The Senate recedes with a clarifying status of the negotiations related to the land amendment. conveyance at the Engineer Proving The House bill contained a provision (sec. Use of single base closure authorities for dis- Grounds, Fort Belvoir, Virginia authorized 2829) that would authorize the Secretary of posal of property and facilities at Fort by subsection (a) of section 2821 of the Mili- the Army to convey to the City of Mount Holabird, Maryland (sec. 2841) tary Construction Authorization Act for Fis- Carmel, Tennessee, without reimbursement, a parcel of real property consisting of ap- The Senate amendment contained a provi- cal Years 1990 and 1991 (Public Law 101–189). proximately 6.5 acres. The property would be sion (sec. 2830) that would consolidate dis- The House bill contained no similar provi- conveyed for expansion of the existing posal of all property affected by the 1988 and sion. Mount Carmel Cemetery. 1995 base closure actions at Fort Holabird, The House recedes with an amendment The Senate amendment contained no simi- Maryland under the provisions of the Base that would delete the reporting requirement and would amend section 2821 of the Military lar provision. Closure Community Redevelopment and The Senate recedes. Homeless Assistance Act of 1994 (Public Law Construction Authorization Act for Fiscal 103–421). Years 1990 and 1991 to authorize the Sec- Land conveyance, Indiana Army Ammunition The House bill contained no similar provi- retary of the Army to convey to the County Plant, Charlestown, Indiana (sec. 2858) sion. of Fairfax, Virginia, all right, title and inter- The House bill contained a provision (sec. The House recedes with a technical amend- est of the United States in and to all or a 2825) that would authorize the Secretary of ment. portion of the parcel of real property, includ- the Army to convey to the State of Indiana, H 702 CONGRESSIONAL RECORD — HOUSE January 22, 1996 without consideration, a parcel of real prop- Land conveyance, Army Reserve property, Fort The Senate recedes with a technical erty, with improvements, consisting of ap- Sheridan, Illinois (sec. 2862) amendment. proximately 1,125 acres. The property to be The Senate amendment contained a provi- Modification of land conveyance, Naval Weap- conveyed would be used for recreational pur- sion (sec. 2843) that would authorize the Sec- ons Industrial Reserve Plant, Calverton, poses. retary of the Army to convey to a transferee, New York (sec. 2866) The Senate amendment contained no simi- selected through a competitive process, all The House bill contained a provision (sec. lar provision. right, title, and interest of the United States 2835) that would modify the condition of con- The Senate recedes. in a parcel of real property, and improve- veyance of the Naval Weapons Industrial Re- Land conveyance, Fort Ord, California (sec. ments thereon, at Fort Sheridan, Illinois, serve Plant, Calverton, New York, as author- 2859) consisting of approximately 114 acres and ized in the Military Construction Authoriza- The House bill contained a provision (sec. comprising two Army Reserve areas. As con- tion Act for Fiscal 1995 (Division B of Public 2824) that would authorize the Secretary of sideration, the transferee would convey to Law 103–335; 108 Stat. 3061). The modification the Army to convey to the City of Seaside, the United States a parcel of land, accept- would amend the purpose of the conveyance. California, at fair market value, all right, able to the Secretary, located not more than The provision would also strike the Depart- title, and interest in approximately 477 acres 25 miles from Fort Sheridan and in an area ment of Navy’s reversionary interest in the of real property (comprising the Black House having similar social and economic condi- property, and, in lieu thereof, authorize the and Bayonet gold courses and a portion of tions as the area in which Fort Sheridan is Secretary to lease the facility to the Com- the Hayes Housing Facilities) comprising a located. The transferee would also be re- munity Development Agency, in exchange portion of the former Fort Ord Military quired to construct replacement facilities for security, fire protection, and mainte- Complex. From the amount paid by the City and infrastructure, and pay the cost of relo- nance services, until the property is con- in consideration for the conveyance, the Sec- cating the Army personnel. The Secretary of veyed by deed. retary would deposit in the Morale, Welfare, the Army would be required to ensure that The Senate amendment contained no simi- and Recreation Fund (MWR) account of the the fair market value of the consideration lar provision. The Senate recedes with an amendment Department of the Army an amount equal to provided by the transferee is not less than that would retain the purpose of the convey- the fair market value of the golf courses con- the fair market value of the real property ance, as currently authorized by law. veyed under this section. The balance of the conveyed by the Secretary. amount paid by the City would be deposited The House bill contained no similar provi- Land conveyance alternative to existing lease in the Department of Defense Base Closure sion. authority, Naval Supply Center, Oakland, Account 1990. The House recedes with a clarifying California (sec. 2867) The Senate amendment contained a provi- amendment. The House bill contained a provision (sec. sion (sec. 2841) that would require the Sec- Land conveyance, property underlying 2833) that would amend section 2834(b) of the retary of Defense, within 60 days after the Cummins Apartment Complex, Fort Military Construction Authorization Act for date of enactment of the National Defense Holabird, Maryland (sec. 2863) Fiscal Year 1993, (Division B of Public Law Authorization Act for Fiscal Year 1996, to The Senate amendment contained a provi- 103–160) and section 2821 of the Military Con- provide to Congress a report that would de- sion (sec. 2830A) that would authorize the struction Authorization Act for Fiscal Year scribe the disposal plans for the 477 acres of Secretary of the Army to convey to the 1995 (Division B of Public Law 103–337) to au- property at the former Fort Ord Military owner of the Cummins Apartment Complex, thorize the Secretary of the Navy to convey to the City of Oakland, California, the Port Complex. at fair market value, six acres of real prop- of Oakland, California, or the City of Ala- The Senate recedes to Senate amendment, erty at Fort Holabird, Maryland that meda, California, without consideration, in section 2841. The Senate recedes with an underlies the Cummins Apartment Complex. amendment to House bill section 2824. The The House bill contained no similar provi- lieu of an existing lease, property at the amendment to section 2824 would direct the sion. Naval Supply Center, under such terms as Secretary to deposit into the MWR account The House recedes. the Secretary considers appropriate. The exact acreage of the real property that would only those proceeds from the sale of golf Modification of existing land conveyance, Army be conveyed would be determined by a sur- courses that are required to support MWR property, Hamilton Air Force Base, Califor- vey that is satisfactory to the Secretary, and activities in the vicinity of Fort Ord for the nia (sec. 2864) next five years. The amount deposited into the cost for such survey shall be borne by the The House bill contained a provision (sec. the MWR account would not exceed the fair recipient of the property. 2837) that would modify section 9099(e) of the market value of golf courses conveyed to the The Senate amendment contained no simi- National Defense Appropriations Act for Fis- City. The amendment would also require the lar provision. cal Year 1993 (Public Law 102–396), which per- The Senate recedes with an amendment Secretary to certify his findings on the dis- mitted the Secretary of the Army to sell cer- that would include the City of Richmond, position of the proceeds in a report to Con- tain parcels of property at the former Hamil- California as an authorized recipient of the gress 90 days after the date of the convey- ton Air Force Base, California, as described property to be conveyed. ance. in the Agreement and Modification, dated Land conveyance, Naval Weapons Industrial Land conveyance, Parks Reserve Forces Train- September 25, 1990, between the Department Reserve Plant, McGregor, Texas (sec. 2868) ing Area, Dublin, California (sec. 2860) of the Defense, the General Services Admin- The House bill contained a provision (sec. The House bill contained a provision (sec. istration, and the purchaser. The House pro- 2830) that would authorize the Secretary of 2828) that would authorize the Secretary of vision would authorize the Secretary of the the Navy to convey to the City of McGregor, the Army to convey to the County of Ala- Army to convey to the City of Novato, Cali- Texas, without consideration, all right, title, meda, California, approximately 42 acres, fornia, any unpurchased property described and interest of the United States in a parcel with improvements, located at the Parks Re- in section 9099(e) of the National Defense Ap- of real property, including improvements serve Forces Training Area, Dublin, Califor- propriations Act for Fiscal Year 1993 (Public thereon, containing the Naval Weapons In- nia. The conveyance shall not include any Law 102–396), for use in establishing schools dustrial Reserve Plant. The conveyed prop- oil, gas, or mineral interests of the United and park areas. Under this provision, the erty would be used for purposes of economic States, and shall be subject to the condition City would be required to provide any pro- redevelopment. Until the real property is that the County would pay for road improve- ceeds received from subsequent sale of the conveyed by deed, the Secretary would be ments, utility upgrades, and construction property, within the next ten years, to the permitted to lease the facility of the City in improvements at the portion of the Army Secretary of the Army. exchange for security, fire protection, and Training Area retained by the Army. The Senate amendment contained no simi- maintenance services. The Secretary would The Senate bill contained no similar provi- lar provision. be authorized to convey other fixtures lo- The Senate recedes with technical amend- sion. cated on the property if such equipment can ment. The Senate recedes with a a technical be reinstituted after the conveyance. amendment. PART II—NAVY CONVEYANCES The Senate amendment contained no simi- Land conveyance, Army Reserve Center, Transfer of jurisdiction, Naval Weapons Indus- lar provision. Youngstown, Ohio (sec. 2861) trial Reserve Plant, Calverton, New York The Senate recedes. The House bill contained a provision (sec. (sec. 2865) Land conveyance, Naval Surface Warfare Cen- 2834) that would authorize the Secretary of The House bill contained a provision (sec. ter, Memphis, Tennessee (sec. 2869) the Army to convey to the City of Youngs- 2823) that would authorize the Secretary of The Senate amendment contained a provi- town, Ohio, without consideration, a parcel the Navy to transfer to the Secretary of Vet- sion (sec. 2838) that would authorize the Sec- of real property. The property is located at erans Affairs, without reimbursement, ap- retary of the Navy to convey to the Memphis 399 Miller Street in Youngstown, Ohio, and proximately 150 acres at the Naval Weapons and Shelby County Port Commission, Mem- comprises the vacant Kefurt Army Reserve Industrial Reserve Plant, Calverton, New phis, Tennessee, 26 acres of land, including a Center. York. The property would be conveyed for 1250 ton stiff leg derrick crane, located at the The Senate amendment contained no simi- use as a national cemetery. Carderock Division, Naval Surface Warfare lar provision. The Senate amendment contained no simi- Center, Memphis Detachment, President’s Is- The Senate recedes. lar provision. land, Memphis, Tennessee. As consideration January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 703 for the conveyance, the Port Commission ment. The conferees intend that the Sec- out consideration, approximately 24 acres, shall grant a restrictive easement consisting retary would not carry out the conveyance with improvements, comprising the support of approximately 100 acres that is adjacent unless it is determined that no department complex, recreational areas, and housing fa- to the Memphis Detachment. If the value of or agency of the Federal Government will ac- cilities at the former Radar Bomb Scoring the easement granted by the Port is less cept the transfer of the property. Site, Powell, Wyoming. The conveyance than the fair market value of the real prop- Lease of property, Naval Air Station and Ma- would be subject to the condition that the erty conveyed by the Navy, the Secretary rine Corps Air Station, Miramar, California Board use the property conveyed for housing and the Port would jointly determine the ap- (sec. 2872) and recreational purposes, and for such other propriate additional compensation. The Sec- The conferees include a new section that purposes as the Secretary and the Board retary would deposit any cash proceeds re- would authorize the Secretary of the Navy to jointly determine appropriate. The House bill contained no similar provi- ceived as part of the transaction, into the enter into a lease agreement with the City of sion. special account established under section San Diego, California, that would provide for The House recedes. 204(h)(2) of the Federal Property and Admin- the City’s use of land at the Naval Air Sta- istrative Services Act of 1949. tion or Marine Corps Air Station Miramar, Land conveyance, Avon Park Air Force Range, The House bill contained no similar provi- California, as a municipal solid waste land- Florida (sec. 2878) sion. The House bill contained a provision (sec. The House recedes. fill, and for other purposes related to the management of solid waste. The provision 2827) that would authorize the Secretary of Land conveyance, Navy property, Fort Sheri- would also allow the Secretary to receive in- the Air Force to convey, without consider- dan, Illinois (sec. 2870) kind consideration under the lease, and to ation, a parcel of real property, with im- The Senate amendment contained a provi- use any rental money received to carry out provements, within the boundaries of the sion (sec. 2842) that would authorize the Sec- environmental programs or improvement Avon Park Air Force Range near Sebring, retary of the Navy to convey to a transferee, projects to enhance quality of life programs Florida to Highlands County, Florida. The selected through a competitive process, all for personnel stationed at the Naval Air Sta- property would be conveyed for the oper- right, title, and interest of the United States tion or Marine Corps Air Station. This provi- ation of a juvenile or other correctional fa- in a parcel of real property, and improve- sion would provide the sole authority for en- cility. ments thereon, at Fort Sheridan, Illinois, tering into the described lease with the City The Senate amendment contained no simi- consisting of approximately 182 acres and of San Diego. lar provision. comprising the Navy housing areas at Fort The Senate recedes with a clarifying PART III—AIR FORCE CONVEYANCES Sheridan. As consideration, the transferee amendment. Land acquisition or exchange, Shaw Air Force would convey to the United States a parcel Subtitle E—Land Conveyances Involving Base, South Carolina (sec. 2874) of land, acceptable to the Secretary, located Utilities The House bill contained a provision (sec. not more than 25 miles from the Great Lakes Conveyance of resources recovery facility, Fort 2822) that would authorize the Secretary of Naval Training Center, Illinois, and located Dix, New Jersey (sec. 2881) in an area having similar social and eco- the Air Force to acquire, by means of an ex- The House bill contained a provision (sec. nomic conditions as the area in which Fort change of property, acceptance as a gift, or 2841) that would authorize the Secretary of Sheridan is located. The transferee would other means that would not require the use the Army to convey to Burlington County, also be required to: construct replacement of appropriated funds, all right, title, and in- New Jersey, a parcel of real property at Fort housing, support facilities, and infrastruc- terest in a parcel of real property, with im- Dix, New Jersey, consisting of approximately ture; pay the cost of relocating the Navy per- provements, consisting of approximately two acres and containing the Fort Dix re- sonnel; and provide for the education of de- 1,100 acres adjacent to Shaw Air Force Base, source recovery facility. pendents in schools that meet, and would Sumter, South Carolina. The Senate amendment contained a simi- continue to meet, standards established by The Senate amendment contained an iden- lar provision. the Secretary of the Navy, even after the en- tical provision. The conference agreement includes this provision. The Senate recedes with an amendment rollment of dependents, regardless of the re- that would increase the acreage to be con- ceipt of federal impact aid by such schools or Land conveyance, Elmendorf Air Force Base, veyed to six acres and would make other school districts. The Secretary of the Navy Alaska (sec. 2875) technical corrections. would be required to ensure that the fair The House bill contained a provision (sec. market value of the consideration provided Conveyance of water and wastewater treatment 2832) that would authorize the Secretary of plants, Fort Gordon, Georgia (sec. 2882) by the transferee is not less than the fair the Air Force to sell to a private person a The House bill contained a provision (sec. market value of the real property conveyed parcel of real property consisting of approxi- 2842) that would authorize the Secretary of by the Secretary. mately 32 acres located at Elmendorf Air the Army to convey to the City of Augusta, The House bill contained no similar provi- Force Base, Alaska. As consideration for the Georgia, all rights, title, and interest of the sion. sale, the purchaser would be required to pro- United States in several parcels of real prop- The House recedes with technical amend- vide appropriate maintenance for the apart- erty consisting of approximately seven acres ment. ment complex located on the property to be each and containing water and wastewater Land conveyance, Naval Communications Sta- conveyed and used by members of the armed treatment plants and distribution and collec- tion, Stockton, California (sec. 2871) forces and their dependents stationed at the tion systems. In consideration of the convey- The Senate amendment contained a provi- Elmendorf Air Force Base. The cost of any ance, the City of Augusta would accept the sion (sec. 2844) that would authorize the Sec- surveys necessary for the sale of real prop- water and wastewater treatment plants and retary of the Navy, with the concurrence of erty would be borne by the purchaser. the Administrator of General Services and The Senate amendment contained no simi- distribution and collection systems in their the Secretary of Housing and Urban Develop- lar provision. existing condition and provide water and ment, to convey to the Port of Stockton, The Senate recedes with a clarifying sewer service to Fort Gordon, Georgia at a California, all right, title, and interest in ap- amendment. rate established by the appropriate State or proximately 1,450 acres of real property at Federal regulatory authority. Land conveyance, Radar Bomb Scoring Site, The Senate amendment contained a simi- the Naval Communications Station, Stock- Forsyth, Montana (sec. 2876) lar provision. ton, California. The conveyance may be as a The Senate amendment contained a provi- The Senate recedes with a technical public benefit conveyance if the Port satis- sion (sec. 2839) that would authorize the Sec- amendment. fies the criteria established in section 203 of retary of the Air Force to convey to the City the Federal Property and Administrative Conveyance of electricity distribution system, of Forsyth, Montana, without consideration, Services Act of 1949 (40 U.S.C. 484). If the Fort Irwin, California (sec. 2883) approximately 58 acres, with improvements, Port does not satisfy such criteria, the con- The House bill contained a provision (sec. comprising the support complex and rec- veyance would be for fair market value. As a 2843) that would authorize the Secretary of reational facilities of the former Radar condition for the conveyance, the Port would the Army to convey to the Southern Califor- Bomb Scoring Site, Forsyth, Montana. The be required to agree to maintain, under cur- nia Edison Company, California, all right, conveyance would be subject to the condi- rent terms and conditions, existing Federal title, and interest of the United States in the tion that the City use the property for hous- leases of property at the Station. The Sec- electrical distribution system located at ing and recreational purposes. Fort Irwin, California. In consideration for retary would be authorized to lease the prop- The House bill contained no similar provi- the conveyance, the Southern California Edi- erty to the Port until the property is con- sion. son Company would be required to accept the veyed by deed. The House recedes. The House bill contained no similar provi- electrical distribution system in its existing sion. Land conveyance, Radar Bomb Scoring Site, condition and provide electrical service to The House recedes with an amendment Powell, Wyoming (sec. 2877) Fort Irwin at a rate established by the ap- that would delete the requirement that the The Senate amendment contained a provi- propriate State or Federal regulatory au- conveyance be subject to the concurrence of sion (sec. 2840) that would authorize the Sec- thority. the Administrator of General Service and retary of the Air Force to convey to the The Senate amendment contained a simi- the Secretary of Housing and Urban Develop- Northwest College Board of Trustees, with- lar provision. H 704 CONGRESSIONAL RECORD — HOUSE January 22, 1996 The Senate recedes with a technical and associated improvements comprising up ommendations of the Defense Base Closure amendment. to 50 acres located at the Naval Construction and Realignment Commission, or other ap- Conveyance of water treatment plant, Fort Battalion Center, Gulfport, Mississippi. The plicable laws. Pickett, Virginia (sec. 2884) requirement would be for a period not to ex- LEGISLATIVE PROVISIONS NOT ADOPTED ceed 15 years, and the Port Authority would The Senate amendment contained a provi- be required to pay fair market rental value Land conveyance, Naval Air Station, Pensacola, sion (sec. 2835) that would authorize the Sec- as determined by the Secretary. The Sec- Florida retary of the Army to convey to the Town of retary could not enter into any agreement The House bill contained a provision (sec. Blackstone, Virginia, without reimburse- until after the end of a 21-day period begin- 2826) that would authorize the Secretary of ment, the water treatment plant located at ning on the date on which the Secretary sub- the Navy to convey to West Florida Devel- Fort Pickett, Virginia. In exchange, the mits a report to Congress explaining the opers, Inc. a parcel of unimproved real prop- town would provide water and sewer services terms of the proposed agreement and de- erty, consisting of approximately 135 acres. to Fort Pickett, at a rate negotiated by the scribing the consideration that the Sec- As consideration for the conveyance of real Secretary of the Army and approved by the retary would expect to receive under the property, West Florida Developers, Inc. appropriate federal and state regulatory au- agreement. would agree to restrict the use of all lands thorities. The Senate amendment contained a simi- located within the Accident Potential Zone The House bill contained no similar provi- lar provision. of Naval Air Station Pensacola, owned by sion. The Senate recedes. West Florida Developers, Inc. The cost of The House recedes with an amendment any surveys necessary for the conveyance that would authorize the Secretary of the Prohibition on joint use of Naval Air Station shall be borne by West Florida Developers, Army to convey to the Town of Blackstone, and Marine Corps Air Station, Miramar, Inc. Virginia, the water treatment plant located California (sec. 2894) The Senate amendment contained no simi- at Fort Pickett, Virginia. The amendment The House bill contained a provision (sec. lar provision. would also modify paragraph (c) by clarify- 2853) that would prohibit the Secretary of ing that the water rights granted to the the Navy from entering into any agreement The House recedes. town would be determined pursuant to the that would provide for the regular use of Expansion of authority to sell electricity Naval Air Station, Miramar, California, by law of the Commonwealth of Virginia. The House bill contained a provision (sec. civil aircraft. SUBTITLE F—OTHER MATTERS 2851) that would amend section 2483(a) of The Senate amendment contained a simi- title 10, United States Code, to expand the Authority to use funds for certain educational lar provision. authority of the Department of Defense to purposes (sec. 2891) The Senate recedes with a clarifying permit the military departments to take ad- The Senate amendment contained a provi- amendment. vantage of changing electric power market- sion (sec. 2813) that would amend section 2008 Report regarding Army water craft support fa- ing conditions by increasing the available of title 10, United States Code, to authorize cilities and activities (sec. 2895) option to outsource for energy on military the Department of Defense to continue the The House bill contained a provision (sec. installations. use of appropriated funds for repair, mainte- 2854) that would require the Secretary of the The Senate amendment contained no simi- nance, and construction of Department of Army to submit, not later than February 15, Education school facilities located on mili- lar provision. 1996, a report describing the Army’s water The House recedes. tary installations. craft support facilities and activities. The The House bill contained no similar provi- report would include actions that can be Clarification of funding for environmental res- sion. taken to close the Army Reserve Facility lo- toration at installations approved for clo- The House recedes with a clarifying cated in Marcus Hook, Pennsylvania. sure or realignment in 1995 amendment. The Senate amendment contained no simi- The Senate amendment contained a provi- Department of Defense Laboratory Revitaliza- lar provision. sion (sec. 2823) that would authorize the De- tion Demonstration Program (sec. 2892) The Senate recedes with a technical partment of Defense to fund environmental The Senate amendment contained a provi- amendment. restoration at installations selected for clo- sion (sec. 2861) that would establish a test Residual value reports (sec. 2896) sure by the 1995 Defense Base Closure and Realignment Commission with funds author- program to allow the heads of selected de- The Senate amendment contained a provi- ized for the Defense Environmental Restora- fense laboratories greater flexibility to un- sion (sec. 2864) that would require the Sec- tion Account for fiscal year 1996. After fiscal dertake facility modernization initiatives. retary of Defense, in coordination with the year 1996, environmental restoration for For test program laboratories, the provision Director of the Office of Management and these installations would be funded using the would raise the minor construction thresh- Budget, to submit to the congressional de- Defense Base Closure and Realignment Ac- old, from $1.5 million to $3.0 million, for fense committees a status report on the re- count. projects that the Secretary of Defense may sults of residual value negotiations between carry out without specific authorization. the United States and Germany. The report The House bill contained no similar provi- The provision would also raise the threshold would be provided within 30 days after the sion. for minor military construction projects re- Office of Management and Budget receives The Senate recedes. quiring prior approval of the Secretary of the results of the negotiations. Report on the disposal of property, Fort Ord Defense, from $500,000 to $1.5 million. Fi- The House bill contained no similar provi- Military Complex, California nally, the provision would raise, for the se- sion. The Senate amendment contained a provi- lected laboratories, the threshold, from The House recedes with a technical amend- $300,000 to $1.0 million, for the value of any sion (sec. 2841) that would require the Sec- ment. retary of Defense to submit a report to the unspecified military construction project for Sense of Congress and report regarding which operation and maintenance funds may Congress describing the plans for the dis- Fitzsimons Army Medical Center, Colorado posal of a parcel of real property consisting be used. (sec. 2897) The provision would provide for the expira- of approximately 477 acres at the former tion of the test authority on September 30, The Senate amendment contained a provi- Fort Ord Military Complex. 2000. It would also require the Secretary of sion (sec. 2830C) that would express the Sense The House bill contained no similar provi- Defense to designate participating labora- of Congress that the Secretary of the mili- sion. tories before the test may begin, establish a tary departments should consider the expe- The Senate recedes. dited transfer of facilities to local redevelop- review procedure for each project to be fund- Land conveyance, William Langer Jewel Bear- ment authorities while the facilities are still ed under this section, and report to Congress ing Plant, Rolla, North Dakota operational. The provision would also re- on the lessons learned from the test program The Senate amendment contained a provi- one year before the program is terminated. quire the Secretary of the Army to provide a report, within 180 days of enactment of the sion (sec. 2845) that would authorize the Ad- The House bill contained no similar provi- ministrator of the General Services Adminis- sion. National Defense Authorization Bill for Fis- cal Year 1996, on the actions taken to convey tration to convey to the Job Development The House recedes with a technical amend- Authority of the City of Rolla, without con- ment. the Fitzsimons Army Medical Center, Colo- rado. sideration, approximately 9.77 acres of real Authority for Port Authority of State of Mis- The House bill contained no similar provi- property, comprising the former Army- sissippi to use Navy property at Naval Con- sion. owned William Langer Jewel Bearing Plant, struction Battalion Center, Gulfport, Mis- The House recedes with a clarifying Rolla, North Dakota. The property and facil- sissippi (sec. 2893) amendment. ity are to be used for economic development The House bill contained a provision (sec. The conferees agree that this section is in- in order to replace economic activity lost at 2852) that would authorize the Secretary of tended to support current efforts to rede- the plant. the Navy to enter into an agreement with velop the Fitzsimons Army Medical Center. The House bill contained no similar provi- the Port Authority of the State of Mis- The conferees agree that this section is not sion. sissippi to permit joint use of real property intended to circumvent the 1995 rec- The Senate recedes. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 705 Renovation of the Pentagon Reservation Army Ammunition Plant to establish the sideration, 455 acres of real property for use The Senate amendment contained a provi- Midewin Tallgrass Prairie. The provision as a landfill; sion (sec. 2865) that would require the Sec- would also authorize the Secretary of the (4) authorize the Secretary of the Army to retary of Defense to take such actions nec- Army to convey, without compensation, to convey to the State of Illinois, at fair mar- essary to reduce the total cost of the renova- the Secretary of Veterans Affairs 910 acres of ket value, 3,000 acres of real property to the tion of the Pentagon Reservation to not land at Joliet Army Ammunition Plant to State of Illinois for economic redevelopment. more than $1.1 billion. establish a national cemetery. The State of Illinois would be required to The House bill contained no similar provi- The provision would further authorize the pay the Army fair market value for the prop- sion. Secretary of the Army to convey to the erty within twenty years after the date of The Senate recedes. County of Will, Illinois, without consider- the conveyance; The conferees note that, as required by ation, 425 acres of land at Joliet Army Am- (5) require the Governor of the State of Il- section 8149 of the Fiscal Year 1995 Depart- munition Plant to be used for a landfill. As linois to consult with the Mayors of the Vil- ment of Defense Appropriations Act (Public a part of this conveyance, the County of Will lage of Elwood, Illinois, and the City of Wil- Law 103–335), the Secretary of Defense cer- would be required to permit Federal Govern- mington, Illinois, in establishing a redevel- tified on December 19, 1994 that the total ment use of the landfill at no cost. opment authority to oversee the develop- cost of the renovation would not exceed $1.2 The provision would also authorize the ment of the real property conveyed to the billion. Although the department is in the Secretary of the Army to convey, at fair State; and fifth year of a 15 year renovation of the Pen- market value, 1,900 acres and 1,100 acres of (6) clarify the responsibility of the Depart- tagon, the conferees reiterate their view that land located at the Joliet Army Ammunition ment of the Army, and other parties to the this project should be executed at the lowest Plant to the Village of Elwood, Illinois, and conveyance, for environmental remediation cost possible. Earlier this year, the Sec- the City of Wilmington, Illinois, respec- and restoration of the real property compris- retary of Defense appointed a steering com- tively, to establish industrial parks. All pro- ing the Joliet Army Ammunition Plant. ceeds from any future sale of these parcels or mittee to review the ongoing renovation DIVISION C—DEPARTMENT OF ENERGY portions of these parcels would be remitted project. The Secretary of Defense is directed NATIONAL SECURITY AUTHORIZA- to submit a report to the Senate Committee to the Secretary of the Army. TIONS AND OTHER AUTHORIZATIONS on Armed Services and the House Committee The House bill contained no similar provi- on National Security by February 15, 1996 on sion. TITLE XXXI—DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS the findings of the steering committee re- The House recedes with an amendment view and on opportunities to achieve further that would incorporate the language con- Overview savings. tained in H.R. 714, an act that would estab- The budget request for fiscal year 1996 con- TITLE XXIX—LAND CONVEYANCES INVOLVING lish the Midewin National Tallgrass Prairie tained an authorization of $11,178.5 million JOLIET ARMY AMMUNITION PLANT in the State of Illinois, as passed by the for the Department of Energy National Secu- House of Representatives in the 104th Con- LEGISLATIVE PROVISIONS rity Programs. The House bill would author- gress. The House amendment would modify ize $10,403.6 million. The Senate amendment LEGISLATIVE PROVISIONS ADOPTED H.R. 714 to: would authorize $11,178.7 million. The con- Title XXIX—Land Conveyances involving Joliet (1) make technical corrections; ferees recommended an authorization of Army Ammunition Plant, Illinois (2) authorize the Secretary of the Army to $10,618.2 million. The funding level was large- The Senate amendment contained provi- transfer 982 acres of real property to the Sec- ly due to a reduced funding in Environ- sions (secs. 2851–2857) that would authorize retary of Veterans Affairs to establish a na- mental Restoration and Waste Management. the Secretary of the Army to transfer to the tional cemetery; Unless noted explicitly in the statement of Secretary of Agriculture approximately (3) authorize the Secretary of the Army to managers, all changes are made without 19,000 acres of land located at the Joliet convey to Will County, Illinois, without con- prejudice. H 706 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 707 H 708 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 709 H 710 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 711 H 712 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 713 H 714 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 715 H 716 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 717 H 718 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 719 H 720 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 721 H 722 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 723 H 724 CONGRESSIONAL RECORD — HOUSE January 22, 1996 January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 725 H 726 CONGRESSIONAL RECORD — HOUSE January 22, 1996

LEGISLATIVE PROVISIONS The conferees agree to authorize an addi- sponsibilities with respect to the processing, LEGISLATIVE PROVISIONS ADOPTED tional $118.2 million for stockpile manage- treatment, and interim storage of foreign Subtitle A—National Security Programs ment activities. The increase is necessary to and domestic sourced spent fuel rods. There- Authorizations remedy weapons refabrication planning defi- fore, the conferees direct, elsewhere in this ciencies identified at the DOE production statement of managers, the initiation of sev- Weapons Activities (sec. 3101) complex. These remedies are required to eral projects to mitigate these effects. The The budget request included $3.540 billion begin meeting the objectives of the Nuclear conferees also direct the initiation of the for weapons activities. The House bill con- Posture Review. preconstruction design and engineering for tained a provision (sec. 3101) that would au- The conferees recommend that in following dry storage and advanced mixed waste treat- thorize $3.599 billion for operating expenses, fiscal years the Department request the full ment facilities at the Idaho National Engi- plant projects, and capital equipment for ac- amount required to meet Department of De- neering Laboratory. In this regard, the con- tivities necessary to carry out the Depart- fense and programmatic requirements for ferees agree to authorize additional funding ment of Energy stockpile stewardship and weapons activities. The conferees find that for the spent nuclear fuels canister storage stockpile management programs. the DOE Five Year National Security Budget and stabilization facility at Hanford, Wash- The Senate amendment contained a provi- Plan, which assigns major, arbitrary, out- ington. sion (sec. 3101) that would authorize Depart- year budget cuts to weapons activities, and Prior to, and during conference, the De- ment of Energy weapons activity funding for to other critical programs within Atomic partment submitted to the Congress several fiscal year 1996 in the amount of $3.654 bil- Energy Defense Activities, does not ade- separate amendments (additions and dele- lion. quately address the budget requirements tions) to the list of projects included in the The conferees agree to authorize $3.460 bil- necessary to implement the Nuclear Posture original budget request. Consistent with the lion for weapons activities, a reduction of Review. amended budget submission, the conferees $80.0 million from the requested amount. agree to provide additional funding for cer- This overall net reduction is the result of a Environmental restoration and waste manage- ment (sec. 3102) tain projects and to delete a number of other $55.7 million increase to the requested projects. Given the lead times associated The budget request included $6.008 billion amount for all authorized weapons activi- with budget preparation, the conferees rec- for environmental restoration and waste ties, combined with $135.6 million in adjust- ognize that it is difficult to accurately management. ment reductions. The adjustment reductions project the status or requirements for every The House bill contained a provision (sec. are primarily based on larger amounts of activity. However, the conferees encourage 3102) that would authorize $5.265 billion for prior year balances than those proposed in the Department to refrain from submitting operating expenses, plant projects, and cap- the Department of Energy (DOE) budget re- multiple amendments to budget requests ital equipment for defense environmental quest. The $55.7 million increase in weapons during conference. activities is necessary to fund the require- restoration and waste management activi- In an effort to track carryover balances, ments levied on the DOE as a result of the ties. the conferees direct the Department to sub- The Senate amendment contained a provi- Nuclear Posture Review. The increase is re- mit a report to the congressional defense sion (sec. 3102) that would authorize $5.906 quired for two major reasons: to fund a mod- committees, contemporaneous with the fis- billion. ern stockpile refabrication capacity sized to cal year 1997 budget request. The report The conferees authorize $5.557 billion for the requirements of the Nuclear Posture Re- should contain the following: (1) an end of defense environmental restoration and waste view and to fund a means to assure con- current fiscal year projection of uncosted management activities, a reduction of $451.0 fidence in stockpile reliability and safety and unobligated carryover balances; (2) tar- million from the request. The reduction without full-scale, underground nuclear test- get end of current fiscal year carryover bal- would be partially offset by the availability ing. The increase is also appropriate given ances, by program, based on a model of the of prior year funds that have not been obli- the historic downward trend in funding for minimum amount necessary for program op- gated, or if obligated, have not been ex- weapons activities (75% from fiscal year 1985 erations and continuity; (3) a comparison of pended and would not be needed for the to fiscal year 1995). the differences between the projected and projects that were the basis for obligation. The conferees remain concerned about the target carryover balances, by program; (4) a The conferees support the recent Depart- near-term viability of U.S. strategic deter- justification for the difference between the ment of Energy strategic realignment initia- rence, particularly if the United States re- projected and targeted carryover balances; tives, taken in connection with the Depart- frains from remanufacturing the weapons in and (5) the amount of unjustified carryover ment’s headquarters functions, to include the nuclear stockpile with the most efficient balances, based on the calculation in (2). The the consolidation of space, the elimination fabrication techniques. In relation to the conferees direct the Department to report of duplication between field and head- needs of nuclear weapons refabrication and the carryover balances within the Environ- quarters activities, and the reduction of recertification, the conferees recommend mental Restoration and Waste Management headquarters support service contractors. that the DOE laboratories and plants enter Program, and those balances across all The conferees direct that funding cuts, to into appropriate industrial partnerships of Atomic Energy Defense Activities accounts. the maximum extent possible, continue to be mutual benefit. The conferees believe that unjustified carry- absorbed through reduction of headquarters The budget request included $1.016 billion over balances should be applied to reduce the personnel and activities. With limited budg- for core stockpile stewardship. The conferees Department’s budget request for the next fis- ets, it is critical that every available dollar agree to authorize $1.078 billion for core cal year. stockpile stewardship. The conferees author- be used for actual cleanup activities in the ize the use of stockpile stewardship funds, as field and that the Department continue its Other Defense Activities (sec. 3103) follows: (1) accelerated strategic computing efforts to reduce bureaucratic layers and or- The budget request included $1.432 billion initiative, $40.0 million (2) hydronuclear ex- ganizational redundancies at headquarters. for Other Defense Activities of the Depart- periment preparation, $30.0 million; (3) dual The conferees understand that the Depart- ment of Energy (DOE) for fiscal year 1996. revalidation, $10.0 million. ment has employed support service contrac- The House bill contained a provision (sec. Of the $150.0 million authorized for a redi- tors to perform inherently governmental or 3104) that would authorize $1.329 billion for rected technology transfer program, the con- core governmental functions at the head- Other Defense Activities. ferees recommend the following amounts: (1) quarters level. The conferees direct the De- The Senate amendment contained a provi- advanced design & production technology partment to discontinue that practice and to sion (sec. 3103) that would authorize $1.408 (ADAPT), $20.0 million; (2) AMTEX, $10.0 transfer savings to field operations. The con- billion for this group of programs, a decrease million; (3) enhanced stockpile surveillance, ferees recognize that in some cases it may be of $24.0 million below the requested amount. $20.0 million; (4) industrial partnerships in more cost effective to seek outside technical The conferees agree to authorize $1.352 bil- direct support of stockpile stewardship pro- expertise rather than employ permanent lion for these programs. gram, $25.0 million; (5) industrial partner- government personnel. The conferees also direct that the five-year ships in direct support of stockpile manage- The conferees authorize an additional $60.0 plans for the following activities be pro- ment program, $25.0 million; (6) completion million above the budget request in the envi- vided, not later than January 15, 1996, to the of highest priority CRADA’s that remain ronmental restoration sub-account to initi- congressional defense committees: security from fiscal year 1995, $50.0 million. ate an accelerated cleanup program at sites investigations; nuclear safeguards and secu- The budget request included $1.907 billion where such action could result in long-term rity; nuclear safety; worker and community for the stockpile management program. The cost savings to the Department. The con- transition; fissile materials disposition; conferees agree to authorize $2.025 billion for ferees intend for the Department to carefully naval reactors; nonproliferation; and arms the stockpile management program. The evaluate opportunities for such savings at all control. conferees authorize the following: (1) manu- Department of Energy sites. Guidelines for Naval Reactors facturing infrastructure/technology mod- selection of sites that are eligible for accel- The conferees urge the Naval Reactors ernization at the four production plants, erated cleanup are discussed elsewhere in Program to maintain the high health and $143.0 million; (2) fellowship program (four this report. safety standards that have resulted in both plants), $10.0 million; (3) radiological/nuclear The conferees are particularly concerned an unprecedented record of safe operation accident response, $70.9 million; (4) tritium about the projected use of several Depart- and have become the standard for safe nu- source, $50.0 million. ment of Energy facilities for additional re- clear power operations around the world. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 727 The conferees also support the program’s Program does not have a wide range of tech- and therefore, no funds are authorized to continued use of the Advanced Test Reactor nology and cost effectiveness assessments in conduct this study from nonproliferation and (ATR). This facility is completely unique in its programmatic environmental impact verification research and development or the United States and is essential to the con- statement (PEIS). Specific direction is pro- any other Atomic Energy Defense Activities tinuation of the advanced materials vided in this Act to consider a variety of nu- account. subprogram. This subprogram provides ex- clear reactors in this regard. The commit- Defense nuclear waste disposal (sec. 3104) perimental data that is the basis for both tees of jurisdiction intend to explore these The budget request included $198.4 million present safety standards and future power issues in greater depth with the Department for defense nuclear waste disposal activities plant designs. of Energy during future congressional hear- of the Department of Energy for fiscal year ings. Other National Security Programs 1996. Nuclear Safeguards and Security Emergency Response The House bill contained a provision (sec. The conferees believe that the Secretary of The conferees direct that the funds for the 3105) that would authorize $198.4 million for Energy should carefully balance investment Office of Emergency Response, within the Of- this purpose. within the sub-programs of the Nuclear Safe- fice of Non-proliferation and National Secu- The Senate amendment contained an iden- guards and Security Program to safeguard rity, shall be allocated within the Other De- tical provision. Department of Energy nuclear weapons, nu- fense Programs category, not from within The conference agreement includes a pro- clear materials, and facilities against theft, any other part of the Atomic Energy Defense vision that would authorize $248.4 million for sabotage, and terrorist activity. Such a bal- Activities. The conferees further direct that defense nuclear waste disposal activities of anced approach should remain the highest in fiscal year 1997, and subsequent fiscal the Department of Energy for fiscal year priority of the program. The conferees au- years, the funding requested for Atomic En- 1996. thorize additional funding for declassifica- ergy Defense Activities Program Direction Subtitle B—Recurring General Provisions should be allocated separately within each of tion activities elsewhere in this statement of Reprogramming (sec. 3121) managers, but this should not be construed the four top level categories of that account, and not aggregated within one such cat- The House bill contained a provision (sec. as an indication that the Congress in any 3121) that would prohibit the reprogramming way is indifferent to the protection of these egory, as was done in the fiscal year 1996 budget request. of funds in excess of 110 percent of the DOE properties. In view of the growing se- amount authorized for the program con- Nonproliferation and verification research and verity of domestic and international terror- cerned, or in excess of $1.0 million above the development and arms control ism, the conferees urge the DOE to take in- amount authorized for the program unless creased steps to safeguard the weapons grade The budget request included $226.1 million the Secretary of Energy notifies the congres- material and weapons under its control. for nonproliferation and verification re- sional defense committees and a period of 30 Office of Security Investigations search and development, and $162.3 million days has elapsed subsequent to the receipt of for arms control. notification. Should the Department dem- As a result of recent major incidents of do- The House bill would authorize $163.5 mil- mestic and international terrorism, the con- onstrate that it has improved its procedures lion for nonproliferation and verification re- for handling reprogramming requests, the ferees believe that the Office of Security In- search and development, a $62.6 million re- vestigations should determine the need for Armed Services Committee of the Senate duction to the budget request; and $147.4 mil- and the National Security Committee of the more frequent reinvestigations of individuals lion for arms control, a $14.9 million reduc- with actual access to weapons grade mate- House would consider a return to a more tion to the budget request. flexible reprogramming process. rial. The conferees direct that the Secretary The Senate amendment would authorize The Senate amendment contained a simi- provide the congressional defense commit- the budget request. lar provision. tees with a description of the determination The conferees authorize $224.9 million for The Senate recedes. rendered, not later than March 30, 1996. The nonproliferation and verification research Secretarial submission should include the and development, consistent with the Limits on general plant projects (sec. 3122) Department’s recommendations and the ra- amended budget request from the Depart- The House bill contained a provision (sec. tionale for the determination. The conferees ment of Energy, and $161.0 million for arms 3122) that would limit the initiation of ‘‘gen- also recommend a more detailed treatment control. eral plant projects’’ authorized by the bill if of any new initiatives and emphases in the Due to the increase in international terror- the current estimated cost for any project fiscal year 1997 budget submission. ism and attempts to acquire weapons grade exceeds $2.0 million. However, the provision Office of Security Evaluations nuclear materials by criminal organizations, would require the Secretary of Energy to The conferees believe that the Office of Se- the conferees authorize $3.0 million be avail- provide the congressional defense commit- curity Evaluations should reevaluate its able from nonproliferation and verification tees with notification and an explanation for present policies, and evaluate and develop research and development for the develop- a general plant project cost variation that new policies and actions, if required, to im- ment of forensics capability to detect and raises the cost of any project above $2.0 mil- prove the effectiveness of its program. The track shipments abroad. Further, the con- lion. conferees direct that the Secretary provide ferees direct the Secretary of Energy to The Senate amendment contained a simi- an explanation of the results of this reevalu- broaden involvement in this area to include lar provision. ation to the appropriate congressional de- the entire Department of Energy weapons The Senate recedes. fense committees, not later than March 30, complex, including the Savannah River Site, Limits on construction projects (sec. 3123) Pacific Northwest Laboratory, Idaho Na- 1996. The conferees also recommend a more The House bill contained a provision (sec. tional Engineering Laboratory, and indus- detailed treatment of the results of its poli- 3123) that would permit initiation and con- try. cies in the fiscal year 1997 budget submis- tinuation of a Department of Energy con- The conferees direct the Secretary of En- sion. struction project if the estimated cost for ergy to submit a five-year nonproliferation the project does not exceed 125 percent of the Office of Nuclear Safety research and development program plan to higher of: (1) the funds authorized for the The conferees believe that the Office of Nu- Congress by March 30, 1996. The plan shall in- project; or (2) the most recent total esti- clear Safety should implement the program clude a program strategy, description of the mated cost presented to the Congress as jus- with an overall cost/benefit analysis applied program and project objectives, deliverables, tification for such project. The Secretary of as a major consideration. That approach and milestones for each project within the Energy would submit a detailed report to the would ensure that available resources would program. The plan shall also identify the congressional defense committees for any be used in a fiscally responsible manner, and specific organization customers for each project that exceeds such limits, and the re- provide reductions in significant risks to em- project and subprogram. ployees. Resources should not be used to The conferees concur with recommenda- port would be submitted within the 30 legis- fund marginal improvements that provide tions in the Senate report (S. Rept. 104–112) lative days following a decision to initiate or minimal safety benefits. The conferees direct that the Department of Energy, in coordina- continue such a project. the Secretary to implement cost/benefit per- tion with the International Atomic Energy The House provision would also specify formance as a criterion for the Office of Nu- Agency (IAEA), should conduct a study on that the 125 percent limitation would not clear Safety. nuclear reactor safety issues in the Ukraine apply to any project with an estimated cost and report, with recommendations, to Con- below $5.0 million. Worker and Community Transition The Senate amendment contained a simi- gress on the safety issues that need to be ad- The conferees direct the Worker and Com- lar provision. dressed. The conferees direct that the report munity Transition program to provide more The Senate recedes. be broadened to include nuclear reactors in detailed information on the effectiveness of Russia. However, the conferees agree that Fund transfer authority (sec. 3124) its activities, through the end of fiscal year funding to conduct a study on nuclear reac- The Senate amendment contained a provi- 1995, in the fiscal year 1997 budget request. tor safety study in Ukraine and Russia would sion (sec. 3124) that would authorize the Fissile Materials Control and Disposition more appropriately be funded in the inter- transfer of Department of Energy funds to The conferees are concerned that the national affairs budget and the civilian nu- other agencies of the government for per- Fissile Materials Control and Disposition clear reactor portion of the energy budget, formance of work for which the funds were H 728 CONGRESSIONAL RECORD — HOUSE January 22, 1996 authorized and appropriated. The provision The Senate recedes with an amendment. The Senate recedes. would permit another agency to merge the The conferees agree to a provision that As indicated in the Senate report (S. Rept. transferred funds with that agency’s author- would authorize the Secretary of Energy to 104–112), the conferees are concerned about ized and appropriated funds. conduct a program to improve fissile mate- the diversion of Department of Energy funds The provision would also authorize the De- rial protection, control, and accountability for payment of fines and penalties. The con- partment to transfer funds internally among in Russia. The provision would also require ferees agree that this is an issue that war- its appropriations accounts, up to a limit of the Secretary to provide a semi-annual re- rants continued monitoring. five percent of the authorized amount. port to Congress on the obligation of funds Fissile materials disposition (sec. 3135) The House bill contained a similar provi- for the preceding six month period and on The budget request included $70.0 million sion. the plans for obligation of those funds. for the fissile materials disposition program. The House recedes with an amendment The conferees direct that each report shall The Senate amendment contained a provi- that would stipulate that, for any such inter- include the following: a forecast of planned sion (sec. 3132) that would authorize $70.0 nal transfers or reprogrammings pursuant to expenditures, broken out by major program million for the storage and disposition of this section, weapons activities shall be re- elements and program achievements; and a fissile materials that are excess to U.S. na- garded by the Department as having higher description of procedures to ensure that tional security needs. Of this amount, $10.0 priority than environmental management funds are used for the purposes and activities million would be available for a plutonium activities or other defense activities. for which they were authorized. The report resource assessment. Authority for conceptual and construction de- shall be submitted in classified and unclassi- fied forms. The House bill contained a provision (sec. sign (sec. 3125) 3133(b)) that would authorize $70.0 million for The House bill contained a provision (sec. National Ignition Facility (sec. 3132) plutonium storage and disposition, including 3125) that would limit the Secretary of Ener- The House bill contained a provision (sec. the multipurpose advanced light water reac- gy’s authority to request construction fund- 3132) that would limit the expenditure of tor. Of that amount, $5.0 million would be ing until the Secretary has certified a con- funds appropriated for the National Ignition available for evaluating the conversion of ceptual design. If the cost of the conceptual Facility (NIF) until the Secretary of Energy plutonium to oxide fuel material for the design exceeds $3.0 million, the Secretary determines that the NIF does not impede multipurpose reactor. Sufficient funds would must request the amount from Congress be- U.S. nuclear non-proliferation objectives and also be made available to fully assess the fore submitting a request for the construc- then notifies the Congress. multipurpose reactor in the Department of tion project. The Secretary may carry out The Senate amendment contained no simi- Energy’s (DOE’s) programmatic environ- construction design services if their cost is lar provision. mental impact statement on fissile mate- less than $0.6 million. Greater costs for con- The Senate recedes with an amendment rials disposition. struction design would be required to be au- that would limit the expenditure of con- The Senate recedes with an amendment. thorized by law. struction funds for the NIF until the Sec- The conferees authorize $70.0 million be The Senate amendment contained a simi- retary makes the determination and notifies made available for evaluation and implemen- lar provision. the Congress. tation of interim- and long-term storage and The Senate recedes. Tritium production program (sec. 3133) disposition of plutonium, highly enriched Authority for emergency planning, design, and The House bill contained a provision (sec. uranium, and other fissile materials that are construction activities (sec. 3126) 3133a) that would authorize $50.0 million, for excess to the national security needs of the a project that would provide a long-term The House bill contained a provision (sec. U.S. The conferees direct that the evaluation source of tritium, subsequent to the Sec- 3126) that would permit the Secretary of En- include full consideration of light water and retary of Energy’s completion of a record of ergy to utilize available funds to perform gas turbine reactors. The conferees further decision on the tritium production program planning and design for any unauthorized direct that sufficient funds be made avail- and the conclusion of congressional hearings. Department of Energy national security pro- able for the complete consideration of multi- The Senate amendment contained a provi- purpose reactors in the DOE programmatic gram construction project based on the Sec- sion (sec. 3131) that would authorize $50.0 retary’s determination that the design must environmental impact statement on fissile million to conduct an assessment of various materials disposition. The conferees endorse proceed expeditiously for the protection of types of reactors and an accelerator. The public health, safety, and property, or to the views expressed in the House Report (H. provision would ensure that any new tritium Rept. 104–131) regarding the National Re- meet the needs of the national defense. production facility would be located at the The Senate amendment contained a simi- source Center for Plutonium. Savannah River Site. It would also authorize lar provision (sec. 3126). Tritium recycling (sec. 3136) $5.0 million from weapons activity funds for The Senate recedes. tritium target work in reactors. The Senate amendment contained a provi- Funds available for all national security pro- The Senate recedes with an amendment sion (sec. 3133) that would require Depart- grams of the Department of Energy (sec. that would provide for: $50.0 million to estab- ment of Energy weapons program tritium re- 3127) lish a program to provide a tritium produc- cycling to be carried out at the Savannah The House bill contained a provision (sec. tion source; $5.0 million for tritium target River Site. The Senate provision would allow 3127) that would authorize amounts appro- work to be administered by the Idaho Na- the Los Alamos National Laboratory to con- priated for management and support activi- tional Engineering Laboratory; a new trit- duct the following activities related to trit- ties and for general plant projects to be ium facility at the Savannah River Site; the ium: (1) research on tritium properties; (2) made available for use, when necessary, in Secretary’s cost/benefit comparison between inertial confinement fusion tritium research; connection with all national security pro- performance of the tritium production mis- (3) technical assistance for the Savannah grams of the Department of Energy. sion and the fissile materials disposition River Site regarding the weapons surveil- The Senate amendment contained a simi- mission with a single multi-purpose reactor lance program, as directed by the Savannah lar provision. project and performance of these missions River Site Office. Except as noted above, the The Senate recedes. with two separate projects; and a long-term Savannah River Site Office and its on-site contractor would be responsible for all trit- Availability of funds (sec. 3128) tritium production funding plan to Congress within 45 days of enactment of this Act. ium-related national security activities of The House bill contained a provision (sec. The conferees direct the Secretary of En- the U.S. Department of Energy. 3128) that would authorize amounts appro- ergy to establish both headquarters and field The House bill contained no similar provi- priated for operating expenses or for plant offices for the national tritium production sion. and capital equipment to remain available program within Defense Programs. The con- The House recedes. until expended. ferees direct that these offices be adequately Manufacturing infrastructure for refabrication The Senate amendment contained a simi- staffed by Federal technical experts in accel- and certification of nuclear weapons stock- lar provision. erators, reactors, and other relevant areas of pile (sec. 3137) The Senate recedes. science and technology. The conferees fur- The Senate amendment included a provi- Subtitle C—Program Authorizations, ther direct that the Savannah River Oper- sion (sec. 3134) that would authorize $143.0 Restrictions, and Limitations ations Office be designated as the tritium million to carry out a program to meet the Authority to conduct a program relating to production field office. manufacturing infrastructure requirements fissile materials (sec. 3131) Payment of penalties assessed against Rocky of the President’s Nuclear Posture Review The House bill contained a provision (sec. Flats site (sec. 3134) through near-term modernization of tech- 3131) that would authorize the Secretary of The House bill contained a provision (sec. nology at the four production plants cited in Energy to conduct a program to improve 3103) that would authorize the Secretary of this section. fissile material protection, control, and ac- Energy to pay for civil penalties assessed in The House bill contained no similar provi- countability in Russia. The provision would accordance with a federal facility agreement sion. also require notification to the Congress and consent order against the Rocky Flats The House recedes with an amendment. prior to obligation of funds. site in Colorado. The conferees require that this initiative The Senate amendment did not contain a The Senate amendment contained a simi- provide for enhanced stockpile surveillance, similar provision. lar provision (sec. 3105). advanced manufacturing, and core stockpile January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 729 management activities at these plants. This tion of fiscal year 1996 Atomic Energy De- The Senate amendment contained a provi- requirement includes fundamental initia- fense Activity funds for the Department of sion (sec. 3140) that would authorize $3.0 mil- tives in advanced manufacturing, and addi- Energy laboratory directed research and de- lion from other national security programs tional emphasis on advanced computerized velopment (LDRD) program and the Depart- for the Declassification Productivity Initia- manufacturing and revalidation techniques ment of Energy technology transfer pro- tive (DPI) at the Department of Energy. at these plants. The conferees direct the Sec- grams, unless such activities support the na- The House bill contained no similar provi- retary of Energy to ensure that require- tional security missions of the Department. sion. ments for primary pit refabrication are ad- The House bill contained no similar provi- The House recedes. dressed in the on-going Programmatic Envi- sion. The conferees note that Executive Order ronmental Impact Statement (PEIS) on The House recedes. 12958, signed by the President on April 9, Stockpile Stewardship and Management. The conferees believe the scientific and en- 1995, mandates that millions of classified Should it be determined, based on the PEIS, gineering challenges embodied in the emerg- documents be declassified by the year 2000. that there is a need for such a capacity, the ing stockpile stewardship and stockpile man- While it remains paramount that the Depart- conferees require the Secretary to undertake agement programs are more than sufficient ment maintain the integrity of its national a conceptual design study of an appro- to maintain the laboratories’ preeminence in security information, the conferees agree priately sized weapon primary pit science and engineering. Therefore, the lab- that substantial savings can be realized by refabrication, manufacturing and reuse facil- oratories should expeditiously begin to focus reducing the volumes of unduly classified ity and to consider the Savannah River Site the program resources on the pressing needs documents, and by modifying unnecessary for that role. Up to $5.0 million would be of the nuclear weapons program. available for this study from the stockpile and overly-burdensome classification poli- Processing and treatment of high level nuclear cies. The conferees authorize $3.0 million for management program resources. waste and spent nuclear fuel rods (sec. 3142) The conferees direct the Secretary to treat the DPI and recommend that the Depart- this initiative as a high weapons activity The Senate amendment contained a provi- ment request appropriate funding for the ini- program priority with new budget authority. sion (sec. 3139) that would recommend $2.5 tiative in future budget submissions. Further, the conferees authorize $118.2 mil- million for the electrometallurgical process- Subtitle D—Other Matters ing activities at the Idaho National Engi- lion above the DOE Stockpile Management Report on foreign tritium purchases (sec. 3151) budget request to pursue this initiative in neering Laboratory. This amendment would fiscal year 1996 at the four production plants, also recommend $45.0 million to develop The House bill contained a provision (sec. without an impact on the current planned technologies for the processing of spent fuel 3141) that would require the President to program activities at these plants. The con- rods at the Savannah River Site and at the submit a report to Congress by February, ferees further direct that the remaining $24.8 Idaho National Engineering Laboratory. 1996, on the feasibility, cost, and ramifica- million required for this initiative be made The House bill contained no similar provi- tions of purchasing tritium for the nuclear available from core stockpile management, sion. weapons program from foreign suppliers. reconfiguration and materials surveillance The House recedes with an amendment The Senate amendment contained a simi- funds. The conferees recommend that the that would authorize $45.0 million for the de- lar provision (sec. 3163) that would require rate of expenditure for this initiative at each velopment of a program to respond effec- the President to submit the same report to plant be proportionate to the plant’s alloca- tively to the new management requirements the congressional defense committees by tion of the entire initiative. for spent fuel. These new requirements are May 30, 1997. Hydronuclear experiments (sec. 3138) the result of a decision set forth in the De- The Senate recedes with an amendment partment of Energy’s Record of Decision, The Senate amendment contained a provi- that would require the report by May 1, 1996. dated May 30, 1995, prepared in relation to sion (sec. 3135) that would authorize $50.0 Study on nuclear test readiness postures (sec. the Department’s spent nuclear fuel manage- million in fiscal year 1996 to prepare the Ne- 3152) ment program. That decision provided for vada Test Site for hydronuclear experiments the consolidation at the Savannah River Site The House bill contained a provision (sec. that would yield four pounds (TNT equiva- 3142) that would require the Secretary of En- lent) or less. The experiments would be con- and at the Idaho National Engineering Lab- oratory of spent nuclear fuel that has been ergy to submit a report to Congress by Feb- ducted to maintain confidence in the safety ruary 15, 1996. The report would address cost and reliability of the nuclear weapons stock- transported from various sites in the United States, spent fuel from naval reactors, and and other issues related to the Department pile. Zero yield experiments could be in- of Energy’s capability to conduct under- cluded in the fiscal year 1996 experiments as spent fuel from foreign reactors. The con- ferees authorize $30.0 million for the Savan- ground nuclear testing within 6 months, 18 part of the test site preparation. months, and 36 months from the date that The House bill contained no similar provi- nah River Site for the development of a pro- the President determines that such testing is sion. gram for the processing and interim storage The House recedes with an amendment of aluminum clad spent fuel rods and foreign necessary to ensure the national security of providing $30.0 million for such purposes. spent fuel rods. The conferees authorize $15.0 the United States. The Senate amendment contained no simi- Limitation on authority to conduct million for the Idaho National Engineering lar provision. hydronculear tests (sec. 3139) Laboratory for a similar program for The Senate recedes. The Senate amendment contained a provi- nonaluminum clad spent fuel rods, foreign sion (sec. 3108) that would limit this Act by spent fuel rods, and naval spent fuel. The Master plan for the certification, stewardship, confirming that nothing in this Act author- conferees require the Secretary of Energy to and management of warheads in the nu- izes hydronuclear tests and that nothing in submit to Congress a detailed five-year im- clear weapons stockpile (sec. 3153) this Act amends or repeals the Exon-Hatfield plementation plan that would provide cost The House bill contained a provision (sec. Amendment (section 507 of Public Law 102– estimates, completion dates, and techno- 3143) that would require the Secretary of De- 377) which places limitations on U.S. nuclear logical requirements for completion of the fense, in consultation with the Secretary of testing. program. Energy, to submit a plan to Congress that The House bill contained no similar provi- The conferees also authorize, from tech- would describe in detail the proposed means sion. nology development program funds within of demonstrating the capability to The House recedes with an amendment. Environmental Restoration and Waste Man- refabricate and certify old warheads and to Fellowship program for development of skills agement, $25.0 million for the development design and build new warheads. The provi- critical to the Department of Energy nuclear of electrometallurgical waste treatment sion would require submission of the report weapons complex (sec. 3140) technologies at the Argonne National Lab- not later than March 15, 1996. oratory. The Senate amendment contained a provi- The Senate amendment contained a provi- sion (sec. 3136) that would provide $10.0 mil- Protection of workers at nuclear weapons facili- sion (sec. 3165) that would require the Sec- lion from Stockpile Management funds to ties (sec. 3143) retary of Energy to produce, by March 15, begin a science and engineering fellowship The Senate amendment contained a provi- 1996, and every year thereafter, a plan for program for the Pantex Plant, the Kansas sion (sec. 3142) that would authorize $10.0 maintaining the enduring nuclear weapons City Plant, the Savannah River Site and the million from the operations and mainte- stockpile. That plan would involve at least Y–12 Plant. The program would provide edu- nance resources of the Environmental Res- six specific elements, to include a plan for cational and research assistance to attract toration and Waste Management Program to the manufacturing infrastructure, necessary scientists and engineers with the skills most carry out activities related to worker protec- to maintain the nuclear weapons stockpile relevant to plant employment opportunities tion at nuclear weapons facilities. stewardship and management programs. and mission requirements. The House bill contained no similar provi- The House recedes with an amendment The House bill contained no similar provi- sion. that would explicitly incorporate the re- sion. The House recedes. quirements of the House provision into the The House recedes. Department of Energy declassification produc- manufacturing infrastructure requirements Limitation on use of funds for certain research tivity initiative (sec. 3144) section of the Senate provision. Both sets of and development purposes (sec. 3141) The budget request did not identify fund- requirements are based on the Department of The Senate amendment contained a provi- ing for the Declassification Productivity Ini- Energy infrastructure requirements section sion (sec. 3138) that would limit the obliga- tiative that began in fiscal year 1995. of the Nuclear Posture Review. H 730 CONGRESSIONAL RECORD — HOUSE January 22, 1996 Prohibition on international inspections of De- Sense of Congress on certain environmental res- The House bill contained no similar provi- partment of Energy facilities unless protec- toration requirements (sec. 3157) sion. tion of restricted data is certified (sec. 3154) The Senate amendment contained a provi- The House recedes. The House bill included a provision (sec. sion (sec. 3107) that would express the sense Sense of Congress regarding shipments of spent 3144) that would prohibit international in- of Congress that individuals in the executive nuclear fuel (sec. 3162) spections of Department of Energy facilities branch should not be held personally liable The Senate amendment contained a provi- unless the Secretary of Energy certifies that for failure to comply with an environmental sion (sec. 3167) that would express a sense of sensitive and/or restricted data has been ade- cleanup requirement when the failure to the Senate that the Secretary of Defense, quately safeguarded. comply is due to congressional appropria- the Secretary of Energy, and the Governor of The Senate amendment did not contain a tions decisions. the State of Idaho should continue good similar provision. The House bill contained no similar provi- faith negotiations for the purpose of reach- The Senate recedes with an amendment. sion. ing an agreement on the issue of shipments The conferees agree to a provision that The House recedes with a clarifying of spent nuclear fuel from naval reactors. would prohibit an inspection of a nuclear amendment. The House bill included no similar provi- weapons facility by the International Atom- The conferees agree that no individual act- sion. ic Energy Agency (IAEA) until the Secretary ing within the scope of employment with a The House recedes with an amendment of Energy certifies to Congress that no re- Federal agency or department should be per- that would express the sense of Congress stricted data would be revealed during the sonally subject to civil or criminal sanctions that: (1) the Congress recognizes the need to inspection. for any failure to comply with an environ- implement the terms, conditions, rights, and The conferees direct the Secretary to en- mental cleanup requirement that is the re- obligations contained in the settlement sure that the certification to Congress is sult of inadequate funding. agreement reached between the United made prior to the inspection. If the Sec- Responsibility for defense programs emergency States and the State of Idaho regarding ship- retary of Energy cannot provide certification response program (sec. 3158) ment, examination, and storage of naval in advance of an inspection because of a The Senate amendment contained a provi- spent nuclear fuel at Idaho; and (2) that short-notice (24-hour) request, the Secretary sion (sec. 3161) that would require the Assist- funds requested by the President to carry shall provide certification no later than ant Secretary of Energy for Defense Pro- out the settlement agreement and consent seven days after the inspection has been con- grams to retain the responsibility for the De- order should be appropriated for that pur- ducted. The certification shall also describe fense Programs Radiological/Nuclear Acci- pose. the steps taken by the Secretary to ensure dent Response Program. That program in- LEGISLATIVE PROVISIONS NOT ADOPTED the protection of the restricted data during cludes the seven emergency response assets the inspection. Education program for personnel critical to the needed to carry out the mission: the Aerial nuclear weapons complex Review of certain documents before declassifica- Measuring System; the Atmospheric Release The Senate amendment contained a provi- tion and release (sec. 3155) Advisory Capability; the Accident Response sion (sec. 3137) that would authorize $10.0 The conference agreement includes this Group; the Federal Radiological Monitoring million from the Stockpile Stewardship Pro- provision to strongly urge the President to and Assessment Center; the Nuclear Emer- gram to conduct an education program de- immediately review and revise Executive gency Search Team; the Radiological Assist- signed to establish a long-term supply of per- Order 12958, which provides for the auto- ance Program; and the Radiation Emergency sonnel with skills critical to the nuclear matic declassification and public release of Assistance Center/Training Site. weapons complex. The program would: (1) en- documents containing National Security In- The House bill contained no similar provi- courage and assist students in the study of formation within five years, regardless of sion. science, mathematics, and engineering; (2) prior review. Included under this order are The House recedes. enhance teaching skills in critical areas; and Department of Energy documents that po- Requirements for Department of Energy weap- (3) increase scientific understanding of the tentially contain restricted data on nuclear ons activities budgets for fiscal years after general public. weapons design, production and testing, and fiscal year 1996 (sec. 3159) The House bill contained no similar provi- Department of Defense documents that po- The Senate amendment contained a provi- sion. tentially contain information on nuclear sion (sec. 3162) that would require the De- The Senate recedes. weapons operations and support. Automatic partment of Energy (DOE) to remedy past The conferees agree to authorize $10.0 mil- declassification thereby creates the risk of and present items of congressional criticism lion from the Stockpile Stewardship Pro- releasing nuclear weapons information to po- related to the clarity of the Department’s gram. The conferees note that because exist- tential proliferators. This would constitute a budget submission. The Senate provision ing legislation authorizes such activities, up grave risk to U.S. national security and to would require the Department to explicitly to $10.0 million would be authorized for this non-proliferation efforts. relate its budget submission to the require- purpose, without a separate authorization The conferees believe that the automatic ments of the Nuclear Posture Review. provision. declassification of national security records The House bill contained no similar provi- that contain restricted data would con- Applicability of Atomic Energy Community Act sion. stitute a violation of the legal protections of 1955 to Los Alamos, New Mexico (sec. The House recedes. for restricted data, mandated by the Atomic 3161) Energy Act of 1954, as amended. The con- Report on hydronuclear testing (sec. 3160) The Senate amendment contained a provi- ferees recognize that the Executive Order The Senate amendment contained a provi- sion (sec. 3166) that would amend and specify provides an exemption for the automatic de- sion (sec. 3164) that would require the Sec- certain requirements of the Atomic Energy classification of restricted data. However, retary of Energy to direct the Los Alamos Community Act of 1955 for the community of the conferees are concerned that some classi- and Lawrence Livermore National Labora- Los Alamos, New Mexico. fied documents may contain restricted data tories to prepare a report that would assess The House bill contained no similar provi- information without reflecting that fact on the advantages and disadvantages of permit- sion. the classification records. Therefore, there is ting alternative limits for nuclear test The House recedes. no practical means to ensure the protection yields, from at least four pounds to 20 tons, Authority to reprogram funds for disposition of of restricted data and apply an automatic de- as related to the safety and reliability of the certain spent nuclear fuel classification system. nuclear weapons stockpile. In addition to the The Senate amendment contained a provi- yields explicitly cited, the report would ad- Accelerated schedule for environmental manage- sion (sec. 3141) that would authorize the Sec- dress other yields, as appropriate, but would ment activities (sec. 3156) retary of Energy to reprogram up to $5.0 mil- remain focused on the advantages and dis- The House bill contained a provision (sec. lion in fiscal year 1996 funds available to the advantages of sub-kiloton testing, as related 3145) that would permit the Secretary of En- Department for the disposition of spent nu- to stockpile safety and reliability. ergy to accelerate the schedule for environ- clear fuel in the Democratic People’s Repub- The House bill contained no similar provi- mental management activities and projects lic of Korea (DPRK), in order to meet Inter- sion. for any specific Department of Energy de- national Atomic Energy Agency (IAEA) safe- The House recedes with an amendment fense nuclear facility site, if such efforts guard standards and fulfill the October 21, that adjusts the nuclear test yields of inter- would yield substantial long-term cost sav- 1994 agreement between the United States est. ings and speed up the release of land for de- and the DPRK. velopment. Applicability of Atomic Energy Community Act The House bill did not contain a similar The Senate amendment contained no simi- of 1955 to Los Alamos, New Mexico (sec. provision. lar provision. 3161) The Senate recedes. The Senate recedes with a clarifying The Senate amendment contained a provi- In order to meet International Atomic En- amendment. The amended provision would sion (sec. 3166) that would amend and specify ergy Agency safeguard standards and fulfill require the Secretary of Energy to submit a certain requirements of the Atomic Energy the October 21, 1994 agreement between the report to Congress by May 1, 1996 regarding Community Act of 1955 for the community of United States and the DPRK, the conferees site selection for the accelerated program. Los Alamos, New Mexico. recommend $3.6 million for the disposition of January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 731 spent nuclear fuel. In authorizing these The Senate recedes. erating costs and several hundred million funds, the conferees make no judgment re- The defense committees and the conferees dollars in interest payments. These savings garding the merits of the October 1994 agree- have recommended that new disposal author- are in addition to the increased tax revenues ment. ity be granted in the reconciliation process, and the $1.5 to $2.5 billion in receipts that TITLE XXXII—DEFENSE NUCLEAR FACILITIES rather than authorization. will result from the sale. Even after deduct- SAFETY BOARD TITLE XXXIV—NAVAL PETROLEUM RESERVES ing the lost annual revenues resulting from the sale, these savings and receipts will re- LEGISLATIVE PROVISIONS LEGISLATIVE PROVISIONS sult in a substantial net increase to the LEGISLATIVE PROVISIONS ADOPTED LEGISLATIVE PROVISIONS ADOPTED Treasury. Authorization (sec. 3201) Subtitle A—Administration of Naval The conference agreement contains a num- The House bill contained a provision (sec. Petroleum Reserves ber of safeguards so that the sale of NPR–1 3201) that would authorize $17.0 million for Authorization of appropriations (sec. 3401) will ensure the government realizes the max- the Defense Nuclear Facilities Safety Board. imum amount of revenues possible. The pro- The House bill contained a provision (sec. The Senate amendment contained an iden- visions would require the Secretary of En- 3401) that would authorize fiscal year 1996 ap- tical provision (sec. 3201). ergy to obtain credible appraisals of the propriations for the operation of the Naval the conferees recommend $17.0 million for value of the reserve before setting a mini- Petroleum Reserves. the Board. mum acceptable sales price. In addition, the The Senate amendment contained no simi- valuation must include all existing infra- TITLE XXXIII—NATIONAL DEFENSE STOCKPILE lar provision. structure, the estimated quantity of petro- LEGISLATIVE PROVISIONS The Senate recedes with a clarifying leum and natural gas in the reserve, and the amendment. LEGISLATIVE PROVISIONS ADOPTED anticipated revenue stream that the Treas- Subtitle A—Authorization of Disposals and Price requirement on sale of certain petroleum ury would receive if the reserve was not sold. Use of Funds during fiscal year 1996 (sec. 3402) The Secretary could not accept bids lower Disposal of chromite and manganese ores and The House bill contained a provision (sec. than the minimum acceptable price and chromium ferro and manganese metal elec- 3402) that would require that the sale of any could not enter into contracts for sale until trolytic (sec. 3303) oil produced at the Naval Petroleum Re- the end of a 31-day period following notifica- The House bill contained a provision (sec. serves be transacted for a price that is not tion to Congress. The proceeds from the sale 3302) that would require the granting of right less than 90 percent of the sales price of com- would be deposited in the Treasury. of first refusal to domestic ferroalloy parable petroleum from the same area, as es- In addition, if the Secretary of Energy and upgraders, for certain disposals. timated by the Secretary of Energy. the Director of the Office of Management The Senate amendment contained a simi- The Senate amendment contained no simi- and Budget jointly determine that the sale lar provision (sec. 3403). lar provision. of NPR–1 is proceeding in a manner that is The House recedes with a technical amend- The Senate recedes. inconsistent with the best interests of the ment regarding the definition of a domestic Extension of operating contract for naval petro- United States, the Secretary may suspend ferroalloy upgrader. leum reserve numbered 1. (sec. 3403) the sale. The Secretary must then wait for further legislation authorizing the continu- Restrictions on disposal of manganese ferro (sec. The conference agreement contains a pro- ation of the sale. The conferees believe the 3304) vision which amends Section 3503 of the Na- Secretary should suspend the sale only after tional Defense Authorization Act of Fiscal The House bill contained a provision (sec. all efforts have been made to ameliorate any Year 1995 (Public Law 103–337; 108 Stat. 3111) 3303) that would require that certain grade difficulties in the sale of the reserve. to extend the Department of Energy’s au- manganese ferro not be disposed of from the In the event the Secretary is not able to thority to operate the Naval Petroleum Re- National Defense Stockpile until the dis- comply with the deadlines included in these serve Numbered 1. posal of lower grade inventory material had provisions, the Secretary and the Director of been completed. The provision would also re- Subtitle B—Sale of Naval Petroleum Reserve the OMB would be required to notify Con- quire that certain grade manganese ferro Future of Naval Petroleum and Oil Shale Re- gress and submit a plan of alternative ac- only be sold for remelting in a submerged arc serves (secs. 3411–3416) tion. ferromanganese furnace. The House bill contained a provision (sec. The conference agreement provides for the The Senate amendment contained a simi- transfer of a current environmental permit lar provision (sec. 3404) that would require 3403) that would provide for the sale of the Naval Petroleum Reserve Numbered 1 (NPR– (50 CFR 13.25) in order to allow the purchaser certain grade manganese ferro to be sold to continue the operation of the field with only for remelting by a domestic ferroalloy 1), also known as Elk Hills located in Kern County, California. The House bill also con- all the environmental safeguards provided by producer. the federal government. In addition, the con- The House recedes. tained a provision (sec. 3404) that would re- quire the Secretary of Energy to conduct a ferees expect that this will ensure that the Titanium initiative to support battle tank up- study to determine what should be done with value of the field will not be diminished by grade program (sec. 3305) the other five remaining reserves in the the uncertain timing of obtaining a new per- The House bill contained a provision (sec. Naval Petroleum and Oil Shale Reserves. mit. 3304) that would direct the transfer of tita- The Senate amendment contained similar In response to a potential legal claim by nium sponge from the National Defense provisions (secs. 3301 and 3302). the State of California, on behalf of the Cali- Stockpile to the Army for use in the weight The conference agreement includes several fornia State Teachers Retirement Fund, the reduction portion of the main battle tank provisions related to the future of the Naval provisions would set aside nine percent of upgrade program. The transfer would be Petroleum and Oil Shale Reserves that the net proceeds in a contingent fund. These without cost to the Army, except for trans- would provide for the sale of NPR–1 by com- funds would be available, subject to appro- portation and similar costs. petitive bid within two years of enactment. priations, for the payment of any valid The Senate amendment contained no simi- The agreement would also require the Sec- claims resulting from a settlement between lar provision. retary of Energy to submit a report that the Secretary of Energy and the State of The Senate recedes. would recommend a course of action that California or a judgement by a court of com- Subtitle B—Programmatic Change would maximize the value of the five remain- petent jurisdiction. The conferees expect Transfer of excess defense-related materials to ing reserves to the federal government. that California’s release of its claim would stockpile for disposal (sec. 3311) The conferees believe that the sale of NPR– be contingent upon an appropriation of funds 1 can be justified based on the fact that there per any settlement agreement or court deci- The Senate amendment contained a provi- sion. sion (sec. 3405) that would direct the transfer is no longer a military need for these re- of suitable, uncontaminated Department of serves. Since the Arab oil embargo, the like- TITLE XXXV—PANAMA CANAL COMMISSION Energy inventory items to the National De- lihood of a sustained interruption in supply LEGISLATIVE PROVISIONS has fallen and the market has shown itself to fense Stockpile for disposal. LEGISLATIVE PROVISIONS ADOPTED be responsive in pricing and allocating oil The House bill contains no similar provi- Panama Canal Commission (Title XXXV) sion. during periods of uncertain supply. The House recedes. In addition, the conferees are concerned The House call contained several provi- about the long-term implications of govern- sions (secs. 3501–3503) that would provide the LEGISLATIVE PROVISIONS NOT ADOPTED ment participation in what has become a authorization of expenditures for the Pan- Disposal of obsolete and excess materials con- commercial oil business. The conferees be- ama Canal Commission revolving fund. tained in the National Defense Stockpile lieve that producing and selling oil and natu- The Senate amendment contained similar The Senate amendment contained a provi- ral gas should be performed within the pri- provisions (secs. 3501–3502). sion (sec. 3402) that would authorize the dis- vate sector. That belief is shared by the ad- The Panama Canal Commission does not posal of materials from the National Defense ministration which also proposed the sale of draw from U.S. taxpayer funds for operation Stockpile. the reserve. of the Canal, but operates on a self-sustain- The House bill contained no similar provi- The sale of NPR–1 will help save the fed- ing basis, utilizing tolls and other revenues sion. eral government over a billion dollars in op- to cover its operating, administrative, and H 732 CONGRESSIONAL RECORD — HOUSE January 22, 1996 capital improvements expenses. The Senate tion among the most highly rated competi- that the flexible notice provision be imple- amendment would provide for slightly great- tors. The conferees intend that the deter- mented in a manner that would provide er allowances for official representation ex- mination of the competitive range be made offerors with a reasonable opportunity to re- penses than the House bill. The Senate after the initial evaluation of the proposals, spond. The provision would also prohibit sole amendment would also limit the cost of ve- on the basis of the rating of those proposals. source procurement unless the need is justi- hicles purchased for use by the Commission. The rating shall be made on the basis of fied in writing in accordance with section The House bill contained a requirement that price, quality and other factors specified in 2304 of title 10 or section 253 of title 41, Unit- the vehicles be built in the United States. the solicitation for the evaluation of the pro- ed States Code. The authority for the use of The House recedes on these items. How- posals. simplified procedures under this section ever, the conferees note that the Commission Preaward debriefings (sec. 4104) would expire at the end of the three-year pe- has in the past purchased vehicles built in riod, beginning on the date of the issuance of The conference agreement includes a pro- the United States and would encourage that the final implementing regulations. vision that would require that, prior to a practice to continue. Inapplicability of certain procurement laws to The House bill included additional provi- contract award, a contracting officer provide commercially available off-the-shelf items sions (secs. 3521–3531), not in the Senate a debriefing to any interested offerors on the (sec. 4203) amendment, that would facilitate the transi- reasons for that offeror’s exclusion from the tion and the operation of the Canal as an au- competitive range in a competitive negotia- The conference agreement includes a pro- tonomous entity after it is transferred to tion. The provision would specify informa- vision that would require that the Federal Panama at the end of 1999. Section 3522 of tion that must be provided to an unsuccess- Acquisition Regulation include a list of pro- the National Defense Authorization Act for ful offeror upon written request for a debrief- visions that are inapplicable to contracts for Fiscal Year 1993 (Public Law 102–484) re- ing, as well as limitations on the types of in- the procurement of commercially available quired that the President review and report formation that may be provided. The provi- off-the-shelf items. The list would be re- on possible changes that would ease the sion also would require the Federal Acquisi- quired to include each provision of law that, transition process. The legislative provisions tion Regulation to include a provision en- in the opinion of the Administrator of the contained in sections 3521–3531 of the House couraging the use of alternative dispute res- Office of Federal Procurement Policy, im- bill would implement, with only minor clari- olution techniques to provide informal, expe- poses on persons who have been awarded con- fying changes, the administration’s rec- ditious, and inexpensive procedures for an tracts by the federal government for the pro- ommendations contained in the report trans- offeror to consider using before filing a pro- curement of commercially available off-the- mitted to the Congress on April 12, 1994. test. shelf products government-unique policies, The Senate recedes with an amendment Design-build selection procedures (sec. 4105) procedures, requirements, or restrictions for that would delete section 3524 of the House The conference agreement includes a pro- the procurement of property or services un- bill entitled ‘‘International Advisors’’. vision that would authorize the use of two- less the Administrator determines that to do The conferees agree that the Canal’s gov- phase selection procedures for entering into so would not be in the best interest of the erning board of supervisors can consult with contracts for the design and construction of United States. The list would include provi- and obtain expert advice from those in the a public building, facility, or work. The pro- sions of law uniquely applicable to govern- international shipping and financial commu- vision details the considerations that would ment contractors, but would not include gen- nity without the necessity of a legislative be used by a contracting officer to determine erally applicable provisions of law. The pro- provision. whether to use two-phase selection proce- vision would specifically preclude several DIVISION D—FEDERAL ACQUISITION REFORM dures and describes the process to be fol- categories of statutes from being included on the list, such as any provision of law that LEGISLATIVE PROVISIONS lowed under the two-phase selection proce- dure. The provision would also limit the provides for civil or criminal penalties. The LEGISLATIVE PROVISIONS ADOPTED number of proposals to be considered in the provision would define commercially avail- Overview second phase to no more than five, unless the able off-the-shelf items as commercial items Acquisition reform provisions with govern- agency determines that a greater number is that are sold in substantial quantities to the ment-wide application were included in title in the government’s interest. This provision general public and that are offered to the VIII of the House bill. Subsequently, the is not intended to modify the Brooks Archi- federal government in the same form in House passed H.R. 1670, a freestanding bill tect-Engineers Act. which they have been sold to the general which addressed many of the same, as well public. The provision would specifically ex- TITLE XLII—COMMERCIAL ITEMS as, other issues. The Senate amendment con- clude from that definition bulk cargo such as tained a number of acquisition policy provi- Commercial item exception to requirement for agricultural products and petroleum prod- sions. The conferees considered all of these cost or pricing data (sec. 4201) ucts. provisions before agreeing to include the fol- The conference agreement includes a pro- Amendment to commercial items definition (sec. lowing legislation in the conference agree- vision that would amend section 2306a of 4204) ment. The following is a section-by-section title 10 and section 254b of title 41, United description of the provisions adopted by the States Code, to exempt suppliers of commer- The conference agreement includes a pro- conferees. cial items under contracts and subcontracts vision that would make a clarifying amend- ment to the definition of ‘‘commercial serv- TITLE XLI—COMPETITION with federal agencies from the requirement to submit certified cost and pricing data. ices’’ in section 403(12)(F) of title 41, United Efficient competition (sec. 4101) The provision would include the requirement States Code. For the purpose of this section, The conference agreement includes a pro- that, in the cases of such contracts or sub- market prices are current prices that are es- vision that would amend section 2304 of title contracts, contracting officers shall require tablished in the course of ordinary trade be- 10 and section 253 of title 41. United States the submission of data other than certified tween buyers and sellers free to bargain and Code. The provision would direct that the cost or pricing data to the extent necessary that can be substantiated from sources inde- Federal Acquisition Regulation ensure that to determine price reasonableness. In rec- pendent of the offeror. the requirement to obtain full and open com- ognition of the authority of the General Ac- Inapplicability of cost accounting standards to petition is implemented in a manner that is counting Office to audit contractor records, contracts and subcontracts for commercial consistent with the need to efficiently fulfill the conferees have removed the specific items (sec. 4205) the government’s requirements. This provi- audit authorities in the Federal Acquisition The conference agreement includes a pro- sion makes no change to the requirement for Streamlining Act of 1994 (Public Law 103–355) vision that would exempt contracts and sub- full and open competition or to the defini- that relate to information supplied by com- contracts for commercial items from the ap- tion of full and open competition. mercial suppliers in lieu of certified cost and plication of the cost accounting standards Efficient approval procedures (sec. 4102) pricing data. promulgated under section 422 of title 41, The conference agreement includes a pro- Application of simplified procedures to certain United States Code. The Cost Accounting vision that would amend section 2304 of title commercial items (sec. 4202) Standards Board, in consultation with the 10 and section 253 of title 41, United States The conference agreement includes a pro- Director of the Defense Contract Audit Code, by raising the dollar thresholds for vision that would allow the use of simplified Agency, shall establish guidance, consistent contracts that require the approval of the procedures for the acquisition of commercial with commercial accounting systems and use of other than competitive procedures by items with a purchase value of $5.0 million or practices, to ensure that contractors appro- higher level agency officials. less when a contracting officer reasonably priately assign costs to contracts (other Efficient competitive range determinations (sec. expects that offers in response to a solicita- than firm, fixed-price contracts) that are 4103) tion would only include commercial items. covered by the exemption for contracts or The conference agreement includes a pro- The provision would specify that implement- subcontracts where the price negotiated is vision that would allow a contracting officer, ing regulations provide that all responsible based on established catalog or market in procurements involving competitive nego- offerors in procurements conducted under prices of commercial items sold in substan- tiations, to limit the number of proposals in this authority be permitted to submit a bid, tial quantities to the general public. The the competitive range to the greatest num- proposal, or quotation that shall be consid- conferees direct that the Board issue stand- ber that would permit an efficient competi- ered by the agency. The conferees intend ards to implement this provision. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 733

TITLE XLIII—ADDITIONAL REFORM tions on obtaining or disclosing contractor trol of the senior procurement executive of PROVISIONS bid or proposal information or source selec- each agency. The provision would establish Subtitle A—Additional Acquisition Reform tion information. The provision would pro- statutory standards for the executive agen- Provisions hibit, except as provided by law, present or cies in areas such as career development and former federal employees from knowingly worker qualification requirements. The pro- Elimination of certain certification requirements obtaining or disclosing such information be- vision would also require each agency to es- (sec. 4301) fore the award of a contract to which infor- tablish separate funding levels for acquisi- The conference agreement includes a pro- mation relates. This provision would author- tion workforce education and training, and vision that would eliminate a number of ize criminal penalties for a violation of such would authorize tuition reimbursement pro- statutory certification requirements for con- prohibition when such information is ex- grams for personnel serving in acquisition tractors and subcontractors with the federal changed for something of value or for the positions. government. The conferees note that the un- purpose of allowing anyone to obtain a com- Demonstration project relating to certain per- derlying requirement to comply with the petitive advantage in the award of a federal sonnel management policies and procedures specified statutes is not affected by the contract. The provision would authorize civil (sec. 4308) elimination of the contractor or subcontrac- and administrative penalties for such viola- tor certification requirements. The conferees The conference agreement includes a pro- tions as well. vision that would encourage the Secretary of have included a general requirement that the The provision would also replace the cur- Defense to embark on a demonstration pro- Administrator of the Office of Federal Pro- rent agency-specific recusal and post-em- gram, or programs, to test the feasibility curement Policy (OFPP) amend the Federal ployment restrictions applicable to agency and desirability of proposals to improve per- Acquisition Regulation to remove regula- employees involved in certain specified pro- sonnel management policies or procedures tion-based certification requirements after a curement actions with uniform standards ap- for the Department of Defense acquisition suitable period for public notice and com- plicable to all federal agencies. The post-em- workforce. The provision would modify au- ment. The provision would mandate the ployment restrictions would apply to des- thority under section 4703 of title 5, United heads of executive agencies to follow a simi- ignated officials involved in procurements States Code, with respect to a demonstration lar process. The provision also includes a over $10.0 million for a one-year period. project carried out under this section for the prohibition on the imposition of future con- The recusal requirements apply to employ- three-year period, beginning on the date of tractor and subcontractor certification re- ees who are participating personally and sub- enactment of this Act. quirements, unless such certification is im- stantially in a procurement. These require- posed by statute or is justified in writing and ments cover employees who participate per- Cooperative purchasing (sec. 4309) approved by the Federal Acquisition Regu- sonally and substantially in one or more of The conference agreement includes a pro- latory Council and the Administrator of the following activities: the drafting of a vision that would suspend the authority of OFPP. specification developed for that procure- the Administrator of General Services under Authorities conditioned on Federal Acquisition ment; the review and approval of a specifica- section 481(b)(2) of title 40, United States Computer Network (FACNET) capability tion developed for that procurement; the Code, to allow state and local governments (sec. 4302) preparation or issuance of a procurement so- to use the federal supply schedules. The pro- vision would suspend the authority until the The conference agreement includes a pro- licitation in that procurement; the evalua- later of the period ending 18 months after vision that would amend section 5061 of the tion of bids or proposals for that procure- the date of enactment of this Act or the pe- Federal Acquisition Streamlining Act of 1994 ment; the selection of sources for that pro- riod ending 30 days after the date after the (Public Law 103–484) to allow a test of alter- curement; the conduct of negotiations in the Administrator has reviewed a General Ac- native procurement procedures. The amend- procurement; the review and approval of the counting Office report that assesses the ef- ment would remove a requirement that the award, modification, or extension of a con- fects of state and local governments use of test of alternative procurement procedures tract in that procurement; such other spe- the federal supply schedules and has submit- be contingent on the implementation of full cific procurement actions as may be speci- ted the report and comments on the report federal acquisition computer network fied in implementing regulations. to Congress. The conferees direct that the (FACNET) electronic commerce procedures. The provision also would provide civil and General Accounting Office include an assess- The Provision would also amend subsection administrative penalties for contractors as ment of the impact on costs to federal agen- (e) of section 427 of title 41, United States well as for agency employees who violate the cies from the use of federal supply schedules Code, to limit the linkage between full recusal requirements or the post-employ- by state and local governments. FACNET implementation and federal agency ment restrictions. use of simplified acquisition procedures to a Further acquisition streamlining provisions (sec. Procurement notice technical amendment (sec. requirement that an agency must deploy a 4305) 4310) full FACNET capability by December 31, 1999 The conference agreement includes a pro- The conference agreement includes a pro- or revert back to a threshold of $50,000 on the vision that would consolidate a number of vision that would make a clarifying amend- value of procurements below which sim- provisions in the Office of Federal Procure- ment to section 18(c)(1)(E) to the Office of plified procedures are authorized. ment Policy Act concerning findings, poli- Federal Procurement Policy Act. International competitiveness (sec. 4303) cies, and purposes. The provision would also Micro-purchases without competitive quotations The conference agreement includes a pro- repeal the reporting requirements in section (sec. 4311) vision that would amend section 21(e)(2) of 8 of the Act as well as make clarifying The conference agreement includes a pro- the Arms Export Control Act to allow the changes to section 11 of the Act regarding vision that would amend section 428 of title President to waive recoupment charges for the permanent authorization of appropria- 41, United States Code, to provide greater non-recurring research and development tions for the Office of Federal Procurement flexibility to executive agencies in determin- costs on foreign military sales of major de- Policy. ing who may make purchases below $2,500 fense equipment under certain conditions. Value engineering for federal agencies (sec. without being required to receive competi- The provision would authorize the presi- 4306) tive quotations. dential waiver if it is determined that the The conference agreement includes a pro- Subtitle B—Technical Amendments levy of charges would likely result in the vision that would amend the Office of Fed- Amendments related to Federal Acquisition loss of a sale or the elimination of charges eral Procurement Policy Act by adding a Streamlining Act of 1994 (sec. 4321) would result in savings to the government in new section that would require federal agen- The conference agreement includes a pro- the form of lower per unit costs for a par- cies to establish and maintain cost-effective vision that would make a series of technical ticular item of equipment. Under this provi- value engineering procedures and processes. and clarifying changes to the Federal Acqui- sion, the President would also be authorized Acquisition workforce (sec. 4307) sition Streamlining Act of 1994 (Public Law to waive any portion of a recoupment charge The conference agreement includes a pro- 103–355). attributable to a correction in an earlier es- vision that would establish a series of poli- timate of a production quantity base used to Miscellaneous amendments to federal acquisi- cies and procedures for the management of calculate the pro rata recoupment charges tion laws (sec. 4322) the acquisition workforce in executive agen- for a particular item. The provision includes The conference agreement includes a pro- cies other than the Department of Defense. language that would render the use of the vision that would make a series of clarifying The provision would require the head of each waiver subject to the President’s identifica- and technical changes to acquisition stat- executive agency, after consultation with tion and Congressional appropriation of an utes throughout the United States Code. the Administrator of the Office of Federal offset for any revenue lost as a result of the Procurement Policy, to establish procedures TITLE XLIV—EFFECTIVE DATES AND waiver authority, from fiscal year 1997 and policies for the accession, education, IMPLEMENTATION through fiscal year 2005. training, and career development and per- Effective date and applicability (sec. 4401) Procurement integrity (sec. 4304) formance incentives for the acquisition The conference agreement includes a pro- The conference agreement includes a pro- workforce of the agency. The provision vision that would provide that amendments vision that would amend section 423 of title would place primary management authority made by this division would take effect on 41, United States Code, to revise the restric- for the acquisition workforce under the con- the date of enactment except as otherwise H 734 CONGRESSIONAL RECORD — HOUSE January 22, 1996 provided. The provision would provide that improve Federal Government operations, in- TITLE LI—RESPONSIBILITY FOR ACQUISITION amendments made by this division apply to cluding the delivery of services to the public; OF INFORMATION TECHNOLOGY solicitations issued, unsolicited proposals re- and, Subtitle A—General Authority ceived, any contract entered into pursuant (12) structural changes in the federal gov- Repeal of central authority of the Administrator to such a solicitation or proposal, and ongo- ernment, including elimination of the of General Services (sec. 5101) ing contracting actions, on or after the date Brooks Act (section 111 of the Federal Prop- The conference agreement includes a pro- 30 days after final implementing regulations erty and Administrative Services Act of 1949, vision that would repeal section 111 of the are published but no later than January 1, as amended), are necessary in order to im- Federal Property and Administrative Serv- 1997. prove federal information management and ices Act of 1949, as amended. to facilitate federal government acquisition Implementing regulations (sec. 4402) Subtitle B—Director of the Office of of the state-of-the-art information tech- The conference agreement includes a pro- Management and Budget nology that is critical for improving the effi- vision that would establish a regulatory im- Responsibility of Director (sec. 5111) plementation schedule for the amendments ciency and effectiveness of federal govern- The conference agreement includes a pro- within this division. ment operations. vision that would require the Director of the DIVISION E—INFORMATION The conferees agree that action is nec- Office of Management and Budget to comply TECHNOLOGY MANAGEMENT REFORM essary on the part of Congress in order to: with this title. The conferees anticipate that LEGISLATIVE PROVISIONS (1) create incentives for the federal govern- these provisions will be reviewed upon reau- ment to strategically use information tech- LEGISLATIVE PROVISIONS ADOPTED thorization of the Paperwork Reduction Act nology in order to achieve efficient and ef- Overview prior to September 30, 2001. fective operations of the federal government, The conferees agree that in undertaking The Senate amendment contained provi- and to provide cost effective and efficient de- activities and issuing guidance in accordance sions with government-wide acquisition and livery of federal government services to the with this subtitle, the Director shall pro- management issues related to information taxpayers; mote the integration of information tech- technology. The House bill also contained (2) provide for the cost effective and timely nology management with the broader infor- provisions relating to bid protest jurisdic- acquisition, management, and use of effec- mation resource management processes in tions. The conferees considered all of these tive information technology solutions; the agencies. provisions before agreeing to include Divi- (3) transform the process-oriented procure- The conferees encourage the establishment sion E in the conference agreement. ment system of the federal government, as it of interagency groups to support the Direc- The conferees agree that: relates to the acquisition of information tor by examining areas of information tech- (1) federal information systems are critical technology, into a results-oriented procure- nology, to include: telecommunications, to the lives of every American; ment system; software engineering, common administra- (2) the efficiency and effectiveness of the (4) increase the responsibility and author- tive and programmatic applications, com- federal government is dependent upon the ef- ity of officials of the Office of Management puter security and information policy, all of fective use of information; and Budget and other federal government which would benefit from a government-wide (3) the federal government annually spends agencies, and the accountability of such offi- or multi-agency perspective; the promotion billions of dollars operating obsolete infor- cials to Congress and the public, in the use of of cooperation among agencies in informa- mation systems; information technology and other informa- tion technology matters; the review of major (4) the use of obsolete information systems tion resources in support of agency missions; or high risk information technology acquisi- severely limits the quality of the services (5) ensure that federal government agen- tions; and the promotion of the efficient use that the federal government provides, the ef- cies are responsible and accountable for of information technology that supports ficiency of federal government operations, achieving service delivery levels and project agency missions. The interagency groups and the capabilities of the federal govern- management performance comparable to the should: identify common goals and require- ment to account for how taxpayer dollars are best in the private sector; ments; develop a coordinated approach to spent; (6) promote the development and operation meeting certain agency requirements, such (5) the failure to modernize federal govern- of multiple-agency and government-wide, as budget estimates and procurement pro- ment information systems and the oper- inter-operable, shared information resources grams; identify opportunities to share infor- ations they support, despite efforts to do so, to support the performance of federal gov- mation that would improve the agency per- has resulted in the waste of billions of dol- ernment missions; formance and reduce costs of agency pro- lars that cannot be recovered; (7) reduce fraud, waste, abuse, and errors grams; make recommendations regarding (6) despite improvements achieved through resulting from a lack of, or poor implemen- protocols and other standards for informa- implementation of the Chief Financial Offi- tation of, federal government information tion technology, including security stand- cers Act of 1990, most federal agencies can- systems; ards; and make recommendations concerning not track the expenditures of Federal dollars (8) increase the capability of the federal interoperability among agency information and, thus, expose the taxpayers to billions of government to restructure and improve proc- systems. The conferees also encourage the dollars in waste, fraud, abuse, and mis- esses before applying information tech- establishment of temporary special advisory management; nology; groups, composed of experts from industry, (7) poor planning and program manage- (9) increase the emphasis placed by federal academia, and the Federal Government, to ment and an overburdened acquisition proc- agency managers on completing effective review government-wide information tech- ess have resulted in the American taxpayers capital planning and process improvement nology programs, major or high risk infor- not getting their money’s worth from the ex- before applying information technology to mation technology acquisitions, and infor- penditure of $200,000,000,000 on information the executing of plans and the performance mation technology policy. systems during the decade preceding the en- of agency missions; Capital planning and investment control (sec. actment of this Act; (10) coordinate, integrate, and, to the ex- 5112) (8) the federal government’s investment tent practicable, establish uniform federal The conference agreement includes a pro- control processes focus too late in the sys- information resources management policies vision that would describe the Director’s re- tem lifecycle, lack sound capital planning, and practices in order to improve the produc- sponsibilities under 44 USC 3504(h) that re- and pay inadequate attention to business tivity, efficiency, and effectiveness of federal late to promoting and sustaining responsibil- process improvement, performance measure- government programs and the delivery of ity and accountability for improvement of ment, project milestones, or benchmarks services to the public; the acquisition, use, and disposal of informa- against comparable organizations; (11) strengthen the partnership between tion technology by executive agencies. (9) many federal agencies lack adequate the federal government and state, local, and The conferees agree that the Director, in personnel with the basic skills necessary to tribal governments for achieving federal gov- developing a process related to major agency effectively and efficiently use information ernment missions, goals, and objectives; capital investments, should: ensure that the technology and other information resources (12) provide for the development of a well- process identifies opportunities for inter- in support of agency programs and missions; trained core of professional federal govern- agency cooperation; ensure the success of (10) federal regulations governing informa- ment information resources managers; and, high risk and high return investments; de- tion technology acquisitions are outdated, (13) improve the ability of agencies to velop requirements for agency submission of focus on paperwork and process rather than share expertise and best practices and co- investment information needed to execute results, and prevent the federal government ordinate the development of common appli- the process; ensure that agency information from taking timely advantage of the rapid cation systems and infrastructure. resources management plans are integrated advances taking place in the competitive into the agency’s program plans, financial and fast changing global information tech- The following is a section-by-section de- management plans, and budgets for the ac- nology industry; scription of the provisions adopted by the quisition and use of information technology (11) buying, leasing, or developing informa- conferees. Section 5001 sets forth a short designed to improve agency performance and tion systems should be a top priority for fed- title ‘‘The Information Technology Manage- the accomplishment of agency missions; and eral agency management because of the high ment Reform Act of 1996’’ and Section 5002 identify three categories of information sys- potential for the systems to substantially sets forth definitions. tems investments—(1) high risk—those January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 735 projects that, by virtue of their size, com- agency head about information systems pro- sess knowledge of, and practical experience plexity, use of innovative technology, or grams. in, information and information technology other factors, have an especially high risk of Capital planning and investment control (sec. management practices of business or govern- failure; (2) high return—those projects that 5122) ment entities. The conferees also intend that deputy chief information officers be ap- by virtue of their total potential benefits, in The conference agreement includes a pro- pointed by agency heads that have addi- proportion to their costs, have particularly vision that would require agencies to develop tional experience in business process analy- unique value to the public; and (3) cross- a process for furthering their responsibilities sis, software and information systems devel- cutting—those projects of individual agen- under 44 U.S.C. 3506(h). The head of the agen- cies, with shared benefit to or impact on opment, design and management of informa- cy is required to design and develop a process tion technology architectures, data and tele- other federal agencies and state or local gov- for maximizing the value and assessing and ernments, that require enforcement of oper- communications management at govern- managing the risk of the agency’s informa- ment or business entities. The conferees in- ational standards or elimination of tion technology acquisitions. redundancies. Finally, the conferees also tend that CIOs, in agencies other than those Performance and results-based management agree that the Director, to encourage the use listed in 31 U.S.C. 901(b), perform essentially (sec. 5123) of best business and administrative prac- the same duties as CIOs in agencies listed in tices, should identify and collect informa- The conference agreement includes a pro- 31 U.S.C. 901(b). The conferees expect that an agency’s CIO tion regarding best practices, to include in- vision that would require agencies to estab- will meet periodically with other appro- formation on the development and imple- lish goals for and report on the progress of priate agency officials to advise and coordi- mentation of best practices by the executive improving efficiency and effectiveness of nate the information technology and other agencies. The Director should provide the ex- agency operations through use of informa- tion technology, as required by 44 U.S.C. information resources management activi- ecutive agencies with information on best ties of the various agencies. practices, and advice and assistance regard- 3506(h). The head of an executive agency Accountability (sec. 5126) ing the use of best practices. must ensure that performance measures are established to support evaluating the results The conference agreement includes a pro- Performance-based and results-based manage- and benefits of information technology in- vision that would require the head of each ment (sec. 5113) vestments. agency, in consultation with agency Chief The conference agreement includes a pro- The conferees agree that, in fulfilling the Information Officers and Chief Financial Of- vision that would require the Director to en- responsibilities under this section, agency ficers, to ensure the integration of financial courage performance and results-based man- heads should ensure that: (1) before investing and information systems. The conferees in- agement for agency information technology in information technology to support a func- tend that the information resources manage- programs. The Director is required to review tion, the agency determines whether that ment plan, required under 44 U.S.C. agency management practices based on the function should be performed in the private 3506(b)(2), support the performance of agency performance and results of its information sector or by an agency of the federal govern- missions through the application of informa- technology programs and investments. The ment; (2) the agency adequately provides for tion technology and other information re- Director is required to issue clear and con- the integration of the agency’s information sources, and include the following: (1) a cise directions to ensure that agencies have resources management plans, strategic plans statement of goals to improve the extent to effective and efficient capital planning proc- prepared pursuant to 5 U.S.C. 306, perform- which information resources contribute to esses that are used to select, control, and ance plans prepared pursuant to 31 U.S.C. program productivity, efficiency, and effec- evaluate the results of major information 1115, financial management plans prepared tiveness; (2) the development of methods to systems investments and to ensure that pursuant to 31 U.S.C. 902(a)(5), and ade- measure progress toward achieving the agency information security is adequate. quately prepares budgets for the acquisition goals; (3) the establishment of clear roles, re- The conferees agree that the Director’s di- and use of information technology; (3) the sponsibilities, and accountability to achieve rection to agencies regarding performance agency maintains a current and adequate in- the goals; (4) a description of an agency’s and results-based management of informa- formation resources management plan, and major existing and planned information tion technology resources shall contain the to the maximum extent practicable, specifi- technology components (such as information following: (1) that each executive agency and cally identifies how acquired information systems and telecommunications networks); its major subcomponents institute effective technology would improve agency operations (5) the relationship among the information and efficient capital planning processes for and otherwise benefit the agency; and (4) the technology components, and the information selecting, controlling, and evaluating the re- agency invests in efficient and effective architecture; and (6) a summary of the sults of all of its major information systems interagency and government-wide informa- project’s status and any changes in name, di- investments; (2) that the agency maintain a tion technology to improve the accomplish- rection or scope, quantifiable results current and adequate information resources ment of common agency missions or func- achieved, and current maintenance expendi- management plan, and to the maximum ex- tions. tures for each ongoing or completed major tent practicable, specifically identify the information systems investment from the Acquisitions of information technology (sec. previous year. The conferees also intend that method for acquisition of information tech- 5124) nology expected to improve agency oper- agency heads will periodically evaluate and The conference agreement includes a pro- ations, and otherwise benefit the agency; (3) improve the accuracy, security, complete- vision that would authorize the head of an that the agency provide for adequate inte- ness, and reliability of information main- executive agency to acquire information gration of the agency’s information re- tained by or for the agency. technology and, upon approval of the Direc- sources management plans, strategic plans Significant deviations (sec. 5127) tor of OMB, enter into multi-agency infor- prepared pursuant to 5 U.S.C. 306, perform- The conference agreement includes a pro- mation technology investments. The con- ance plans prepared pursuant to 31 U.S.C. vision that would require agencies to iden- ferees intend that the requirements and limi- 1115, financial management plans prepared tify in their information resources manage- tations of the Economy Act, and other provi- pursuant to 31 U.S.C. 902(a)(5), and the agen- ment plans any major information tech- sions of law, apply to these multiagency ac- cy budgets for the acquisition and use of in- nology acquisition program, or phase or in- quisitions. This section also authorizes the formation technology and other information crement of such program, that has signifi- General Services Administration (GSA) to resources. In addition, the conferees agree cantly deviated from the established cost, continue the management of the FTS–2000 that OMB shall provide the needed oversight, performance, or schedule baseline. program and coordinate the follow-on effort through the budget process and other means, Interagency support (sec. 5128) to FTS–2000. to ensure that executive agencies assume re- The conference agreement includes a pro- Agency chief information officer (sec. 5125) sponsibility, and effectively implement suit- vision that would authorize the utilization of able performance and results-based manage- The conference agreement includes a pro- funds for interagency activities in support of ment practices. vision that would amend the Paperwork Re- the Information Technology Reform Act. Subtitle C—Executive Agencies duction Act of 1995 by replacing the ‘‘senior Subtitle D—Other Responsibilities. information resources management official Responsibilities (sec. 5121) position’’ established within each executive Responsibilities regarding efficiency, security, The conference agreement includes a pro- agency with an agency Chief Information Of- and privacy of federal computer systems vision that would require the head of each ficer (CIO). The agency CIO is responsible for (sec. 5131) executive agency to comply with this sub- providing information and advice regarding The conference agreement includes a pro- title. The conferees anticipate that these information technology and information re- vision that would set forth the authority for provisions will be reviewed upon reauthoriza- sources management to the head of the agen- the Secretary of Commerce, in consultation tion of the Paperwork Reduction Act prior cy, and for ensuring that the management with the National Institute of Standards and to September 30, 2001. and acquisition of agency information tech- Technology, to promulgate standards to im- The conferees encourage the establishment nology is implemented consistent with the prove the operation, security, and privacy of and support of independent technical review provisions of this law. Federal information technology systems. committees, composed of diverse agency per- The conferees anticipate that agencies Sense of Congress (sec. 5132) sonnel (including users) and outside experts may establish CIOs for major subcomponents The conference agreement includes a pro- selected by the agency head, to advise an or bureaus, and expect agency CIOs will pos- vision stating that agencies, over the next H 736 CONGRESSIONAL RECORD — HOUSE January 22, 1996 five years, should achieve a five percent per porate its information technology multiple to Federal public information through a di- year decrease in costs incurred for operation award schedules into Federal Acquisition versity of compatible sources. and maintenance of information technology, Computer Network (FACNET) by January 1, TITLE LV—PROCUREMENT PROTEST and a five percent increase in operational ef- 1998, and would make the pilot program dis- AUTHORITY OF THE COMPTROLLER GENERAL ficiency through improvements in informa- cretionary. The conferees agree that the pro- The conference agreement includes a pro- tion resources management. cedures established by the Administrator for vision that would require the Comptroller Subtitle E—National Security Systems use of FACNET be consistent with the Fed- eral Property and Administrative Services General to issue a decision relating to a bid The conference agreement includes a pro- Act requirements regarding the multiple protest within 100 days. vision that would exclude national security award schedule (41 U.S.C. 259(B)(3)). If the TITLE LVI—CONFORMING AND CLERICAL systems from provisions of this Act, unless Administrator determines it is not prac- AMENDMENTS otherwise provided in this Act. ticable to provide such access through The conference agreement includes a series TITLE LII—PROCESS FOR ACQUISITIONS OF FACNET, the Administrator shall provide of clarifying and technical changes to acqui- INFORMATION TECHNOLOGY such access through another automated sys- sition statutes throughout the United States Procurement procedures (sec. 5201) tem that has the capability to perform the Code. functions listed in subsection 259(b)(1) and The conference agreement includes a pro- TITLE LVII—EFFECTIVE DATE, SAVINGS meets the requirement of subsection vision that would direct the Federal Acquisi- PROVISIONS, AND RULE OF CONSTRUCTION tion Regulatory Council to ensure, to the 259(b)(2). Effective date (sec. 5701) maximum extent practicable, that the infor- Disposal of excess computer equipment (sec. mation technology process is simplified, 5402) The conference agreement includes a pro- clear, and understandable. The process The conference agreement includes a pro- vision that would provide for this division should specifically address the management vision that would require agencies to inven- and the amendments made by this division of risk, incremental acquisitions, and the tory all agency computer equipment and to to take effect 180 days after the date of the need to incorporate commercial information identify excess or surplus property. The con- enactment of this Act. technology in a timely manner. ferees direct that the Administrator of Gen- Savings provisions (sec. 5702) The conferees agree that, in performing eral Services, in exercising current authority The conference agreement includes a pro- oversight of information technology acquisi- under title II of the Federal Property and vision that would allow selected information tions, the Director of the Office of Manage- Administrative Services Act of 1949 (40 technology actions and acquisition proceed- ment and Budget, agency heads, and agency U.S.C. 481 et seq.), donate federal surplus ings, including claims or applications, that inspectors general should emphasize pro- personal property to public organizations. have been initiated by, or are pending before, gram results and established performance The conferees direct the Administrator to Administrator of the General Services or the measurements, rather than reviews of the prescribe regulations that establish a prior- General Services Administration Board of acquisition process. ity for the donation of surplus computer Contract Appeals to be continued under Incremental acquisition of information tech- equipment in the following sequence: (1) ele- original terms, until terminated, revoked, or nology (sec. 5202) mentary and secondary schools, and schools superseded in accordance with law, by the The conference agreement includes a pro- funded by the Bureau of Indian Affairs; (2) Director of OMB, by a court, or by operation vision that would provide for procedures in public libraries; (3) public colleges and uni- of law. The Director of OMB is authorized to the Federal Acquisition Regulations for the versities; and (4) other entities eligible for establish regulations for transferring such incremental acquisition of major informa- donation of federal surplus personal property actions and proceedings. tion technology systems by the Department under title II of that Act. FLOYD SPENCE, of Defense and the civilian executive agen- Access of certain information in information BOB STUMP, cies. systems to the directory established under DUNCAN HUNTER, section 4101 of title 44, United States Code HERBERT H. BATEMAN, TITLE LIII—INFORMATION TECHNOLOGY (sec. 5403) CURT WELDON, ACQUISITION PILOT PROGRAMS The conference agreement includes a pro- G.V. MONTGOMERY, Subtitle A—Conduct of Pilot Programs vision that would ensure that, for agency in- JOHN M. SPRATT, Jr., The conference agreement includes provi- formation systems that disseminate infor- Managers on the Part of the House. sions that would authorize the Adminis- mation to the public, an index of informa- trator of Office of Federal Procurement Pol- STROM THURMOND, tion is included in the Government Printing JOHN WARNER, icy, in consultation with the Administrator Office (GPO) directory established under 44 of Office of Information and Regulatory Af- BILL COHEN, U.S.C. 4101. TRENT LOTT, fairs, to: conduct pilot programs to test al- In 1993, Congress directed the GPO to cre- ternative acquisition approaches for infor- SAM NUNN, ate an online directory, of federal public in- Managers on the Part of the Senate. mation technology; conduct no more than formation in electronic form (Public Law two pilots, not to exceed $750 million for a 103–40). Today, that system is accessible to f period not to exceed five years; require agen- the general public directly and through the SPECIAL ORDERS GRANTED cy heads to develop evaluation and test Federal Depository Libraries. Yet, in the two plans; prepare and submit test plans to Con- years since enactment of the GPO access By unanimous consent, permission to gress prior to implementation; report on re- bill, technology has moved forward dramati- address the House, following the legis- sults within 180 days after completion; and cally in its ability to support location and lative program and any special orders make recommendations for legislation. search of the physically-distributed, locally- heretofore entered, was granted to: Subtitle B—Specific Pilot Programs maintained databases. Congress recognized (The following Members (at the re- The conference agreement includes provi- this shift in the Paperwork Reduction Act of quest of Mr. BENTSEN) to revise and ex- sions that would provide for two specific 1995 (Public Law 104–13). That Act requires tend their remarks and include extra- Federal agencies to ensure access to agency pilot programs, the share-in-savings pilot neous material:) program and the solutions-based contracting public information by ‘‘encouraging a diver- pilot program. sity of public and private sources’’. It also Mr. POMEROY, for 5 minutes, today. directs the Office of Management and Budget Mr. BENTSEN, for 5 minutes, today. TITLE LIV—ADDITIONAL INFORMATION to establish a distributed, electronic, agen- Mrs. CLAYTON, for 5 minutes, today. RESOURCES MANAGEMENT MATTERS cy-based Government Information Locator f On-line multiple award schedule contracting Service (GILS) to identify the major infor- (sec. 5401) mation dissemination products of each agen- EXTENSION OF REMARKS The conference agreement includes a pro- cy. As the Senate report noted (S. Rept. 104– By unanimous consent, permission to vision that would require the Administrator 112), GILS: ‘‘* * * will provide multiple ave- revise and extend remarks was granted of General Services to provide for on-line ac- nues for public access to government infor- cess to multiple award schedules for infor- mation by pointing to specific agency infor- to: mation technology. The system would pro- mation holdings. To make this possible, Mr. GINGRICH, (at the request of Mr. vide basic information on prices, features, agencies’ systems must be compatible. Thus, SMITH of Texas) notwithstanding the and similar matters, allow for information agency GILS information should be available fact that it exceeds two pages and is es- updates, enable comparison of product infor- to the public through the Government Print- timated to cost $4,982. mation, enable on-line ordering and ing Office Locator System (established pur- (The following Members (at the re- invoicing, permit on-line payment, and ar- suant to Public Law 103–40) in addition to quest of Mr. BENTSEN) and to include chive order data. The provision would also any other required methods, agencies may extraneous matters:) authorize a pilot program to test stream- choose to efficiently and effectively provide lined procedures for the automated system. public and agency access to GILS.’’ Mr. BERMAN. The conference agreement directs the Ad- Section 5403 further clarifies the intent of Mr. STARK, in four instances. ministrator of General Services to incor- Congress to ensure the widest possible access Mr. KANJORSKI. January 22, 1996 CONGRESSIONAL RECORD — HOUSE H 737

Ms. DELAURO, in two instances. the Committee on Government Reform and PUBLIC BILLS AND RESOLUTIONS (The following Members (at the re- Oversight. 1935. A letter from the Acting Chairman, Under clause 5 of rule X and clause 4 quest of Mr. SMITH of Texas) and to in- of rule XXII, public bills and resolu- clude extraneous matter:) National Bankruptcy Review Commission, transmitting, the annual report under the tions were introduced and severally re- Mr. OXLEY. Federal Managers’ Financial Integrity Act ferred as follows: Mr. RADANOVICH. for fiscal year 1995, pursuant to 31 U.S.C. By Mrs. KENNELLY (for herself, Mr. (The following Member (at the re- 3512(c)(3); to the Committee on Government SABO, Mr. GIBBONS, Mr. MATSUI, Mr. quest of Mr. OWENS) and to include ex- Reform and Oversight. KLECZKA, Mr. STARK, Mr. NEAL of traneous matter:) 1936. A letter from the Chief Administra- Massachusetts, Mr. MCDERMOTT, Mr. Mr. BONIOR. tive Officer, Postal Rate Commission, trans- LEVIN, Mr. RANGEL, Mr. FORD, Mr. mitting, a report of activities under the f CARDIN, Mr. PAYNE of Virginia, Mr. Freedom of Information Act for calendar COYNE, Mr. LEWIS of Georgia, and Mr. BILLS PRESENTED TO THE year 1995, pursuant to 5 U.S.C. 552(d); to the GEPHARDT): PRESIDENT Committee on Government Reform and H.R. 2862. A bill to permanently increase Oversight. the public debt limit; to the Committee on Mr. THOMAS, from the Committee 1937. A letter from the Secretary, Postal Ways and Means. on House Oversight, reported that that Rate Commission, transmitting, a copy of By Ms. MCKINNEY. committee did on the following date the annual report in compliance with the H.R. 2863. A bill making appropriations for present to the President, for his ap- Government in the Sunshine Act during the foreign operations, export financing, and re- proval, a bill of the House of the fol- calendar year 1995, pursuant to 5 U.S.C. lated programs for the fiscal year ending 552b(j); to the Committee on Government Re- lowing title: September 30, 1996, and for other purposes; to form and Oversight. the Committee on Appropriations. On January 6, 1996: 1938. A letter from the Secretary of En- H.R. 1358. An act to require the Secretary ergy, transmitting, the annual report under f of Commerce to convey to the Common- the Federal Managers; Financial Integrity wealth of Massachusetts the National Ma- Act for fiscal year 1995, pursuant to 31 U.S.C. rine Fisheries Service laboratory located on 3512(c)(3); to the Committee on Government MEMORIALS Emerson Avenue in Gloucester, Massachu- Reform and Oversight. setts. 1939. A letter from the Chairman, U.S. Under clause 4 of rule XXII, memori- f Merit Systems Protection Board, transmit- als were presented and referred as fol- ting a copy of the annual report in compli- lows: ADJOURNMENT ance with the Government in the Sunshine 193. By the SPEAKER. Memorial of the Mr. OWENS. Mr. Speaker, I move Act during the calendar year 1995, pursuant General Assembly of the State of California, that the House do now adjourn. to 5 U.S.C. 552b; to the Committee on Gov- relative to the enactment of a National ernment Reform and Oversight. The motion was agreed to; accord- Spaceport Program; to the Committee on 1940. A letter from the Special Counsel, Science. ingly (at 3:30 p.m.), under its previous U.S. Office of Special Counsel, transmitting 194. Also, memorial of the General Assem- order, the House adjourned until Tues- the annual report under the Federal Man- bly of the State of California, relative to the day, January 23, 1996, at 12:30 p.m. agers’ Financial Integrity Act for fiscal year Veterans’ hospital facilities at Travis Air f 1995, pursuant to 31 U.S.C. 3512(c)(3); to the Force Base; to the Committee on Veterans’ Committee on Government Reform and Affairs. EXECUTIVE COMMUNICATIONS, Oversight. ETC. 1941. A letter from the Assistant Attorney f General of the United States, transmitting a Under clause 2 of rule XXIV, execu- draft of proposed legislation entitled, the tive communications were taken from ‘‘Enhanced Prosecution of Dangerous Juve- ADDITIONAL SPONSORS the Speaker’s table and referred as fol- nile Offenders Act of 1995’’; to the Committee Under clause 4 of rule XXII, sponsors lows: on the Judiciary. were added to public bills and resolu- f 1931. A letter from the Director, the Office tions as follows: of Management and Budget, transmitting REPORTS OF COMMITTEES ON the cumulative report on rescissions and de- H.R. 42: Mr. KENNEDY of Massachusetts. ferrals of budget authority as of January 1, PUBLIC BILLS AND RESOLUTIONS H.R. 205: Ms. HARMAN. 1996, pursuant to 2 U.S.C. 685(e), (H. Doc. No. Under clause 2 of rule XIII, reports of H.R. 1143: Ms. HARMAN. 104–166); to the Committee on Appropriations committees were delivered to the Clerk H.R. 1144: Ms. HARMAN. H.R. 1145: Ms. HARMAN. and ordered to be printed. for printing and reference to the proper H.R. 1189: Mr. MEEHAN. 1932. A letter from the Adjutant General, calendar, as follows: the Veterans of Foreign Wars of the United H.R. 1462: Mr. OLVER, Mr. KILDEE, Mrs. States, transmitting proceedings of the 96th Mr. SPENCE: Committee of Conference. JOHNSON of Connecticut, Mr. VOLKMER, Mr. National Convention of the Veterans of For- conference report on S. 1124. An act to au- MANTON, and Mr. STOCKMAN. eign Wars of the United States, held in Phoe- thorize appropriations for fiscal year 1996 for H.R. 1547: Mr. DEFAZIO. nix, AZ, August 19 to 25, 1995, pursuant to 36 military activities of the Department of De- H.R. 1573: Mr. LOBIONDO. U.S.C. 118 and 44 U.S.C. 1332 (H. Doc. No. 104– fense, to prescribe personnel strengths for H.R. 1771: Mr. LEWIS of Georgia. 163); to the Committee on National Security such fiscal year for the Armed Forces, and H.R. 2270: Mr. BACHUS, Mr. COOLEY, Mr. and ordered to be printed. for other purposes (Rept. 104–450). Ordered to COBLE, and Mr. MCKEON. 1933. A communication from the President be printed. H.R. 2276: Mr. STARK, Mr. SISISKY, and Mr. of the United States, transmitting notifica- f PICKETT. tion that the national emergency regarding H.R. 2364: Mr. CRAPO. terrorists who threaten to disrupt the Middle TIME LIMITATION OF REFERRED H.R. 2463: Mrs. MINK of Hawaii. East peace process is to continue in effect BILL H.R. 2618: Mr. STARK. beyond January 23, 1996, pursuant to 50 Pursuant to clause 5 of rule X the fol- H.R. 2657: Mr. MARTINI. U.S.C. 1622(d) (H. Doc. No. 104–167); to the lowing action was taken by the Speak- H.R. 2697: Mr. MCDERMOTT, Mr. DEFAZIO, Committee on International Relations and er: and Mr. FRANK of Massachusetts. ordered to be printed. H.R. 2755: Mr. GEJDENSON and Mrs. SCHROE- 1934. A letter from the Chairman, Defense [The following action occurred on January 12, DER. Nuclear Facilities Safety Board, transmit- 1996] H. Con. Res. 63: Mr. BARR and Mr. DORNAN. ting the annual report under the Federal H.R. 1816. Referral to the Committee on H. Res. 30: Mr. BREWSTER and Mrs. LIN- Managers’ Financial Integrity Act for fiscal Commerce extended for a period ending not COLN. year 1995, pursuant to 31 U.S.C. 3512(c)(3); to later than July 1, 1996. H. Res. 333: Mr. LUTHER and Mr. HAMILTON. E PL UR UM IB N U U S Congressional Record United States th of America PROCEEDINGS AND DEBATES OF THE 104 CONGRESS, SECOND SESSION

Vol. 142 WASHINGTON, MONDAY, JANUARY 22, 1996 No. 7 Senate The Senate met at 12 noon, and was am not anticipating any rollcall votes morning expressing his concern that called to order by the President pro for the remainder of the week. If a roll- the Federal Emergency Management tempore [Mr. THURMOND]. call vote becomes necessary, ample no- Administration has not been as helpful tification will be given to all Members. as Pennsylvania had hoped. I under- PRAYER We will, obviously, turn to any mat- stand that is being worked out. I hope ters we can clear by unanimous con- The Chaplain, Dr. Lloyd John it is, and I hope FEMA does their usual sent on the Legislative Calendar. There Ogilvie, offered the following prayer: good job, as they have in the past. We Almighty God, who calls strategic will be a continuing resolution coming will follow that closely. leaders to shape history, we pray for over from the House on, I believe, the women and men of this Senate. Wednesday of this week, and it is my I would expect that once Federal offi- Once again, today, may they feel awe hope that we can dispose of that by cials look at the devastation caused by and wonder that You have chosen them consent. If not, we would have to give the flooding, they will provide the nec- through the voice of Your people. May Members at least 24 hours’ notice on essary assistance. I know the Senate they live this day humbly on the knees each side. I am not certain how many stands ready to work with our Gov- of their hearts, honestly admitting Members plan to be in town this week. ernors and with the President to en- Many are back in their States doing of- their human inadequacy and gratefully sure that that occurs as quickly as pos- acknowledging Your power. Dwell in ficial business. But the continuing res- sible. the secret places of their hearts to give olution expires Friday, January 26. them inner peace and security. Help Therefore, we need to act on it before Not only was much of America frozen them in their offices, with their staffs, that date. this past week and a half, but so, too, in committee meetings, and when they It is also my understanding that the were the negotiations for a balanced are here together in this sacred, his- Presiding Officer would like to bring budget. We do have from the President, toric Chamber. Remind them of their up this week the conference report on finally, a certified CBO balanced budg- accountability to You for all they say the Defense authorization bill. Again, et. But I must say to my colleagues it is our hope that if that does come and do. Reveal Yourself to them. Be that, unfortunately, if you take a close up, as I understand it, it now has bipar- the unseen friend beside them in every look at that budget—and I commend changing circumstance. Give them a tisan support. The conference report the President for submitting it—much fresh experience of Your palpable and has been signed by Senators NUNN and of the savings do not take place until powerful spirit. Banish weariness and KENNEDY on that side and by all the worry, discouragement and disillusion- Republican conferees, as I understand the next century. This is 1996. If the ment. Often today may we all hear it. It is our hope that if that comes up, President were reelected, he would be Your voice saying, ‘‘Come to me, all it can be done by consent. If not, we long gone before most of the savings in who are weary and heavy laden and I would either have to postpone that the discretionary spending occur. Nine- will give you rest.’’ Lord, help us to vote or give our colleagues notice, be- ty-five percent of the savings in the rest in You and receive the incredible cause we have indicated we would do President’s proposal in discretionary resiliency You provide. Thank You in that, and we will follow through on spending occur in the last 2 years, 2001, advance for a truly productive day. In that. 2002. the name of our Lord. Amen. f We were concerned about our budget f THE SENATE RETURNS TO because we think ours is a little bit RECOGNITION OF THE MAJORITY SESSION backloaded, but I do not believe, know- LEADER Mr. DOLE. Mr. President, we do re- ing the Congress as I do, that it would The PRESIDENT pro tempore. The turn to session today ending a recess be possible for the appropriators to do able majority leader, Senator DOLE, is that began on January 10. Much of that much cutting in the final 2 years. recognized. what has occurred across America Ninety-five percent of $295 billion f these past 12 days has to do with the would have to be done in the last 2 weather. I know all Senators join me in years. SCHEDULE saying that our thoughts and prayers Mr. DOLE. Mr. President, there will are with all those who were victims of So it seems to me that there is still be a period for morning business until ‘‘The Blizzard of ’96.’’ One of the hard- some glimmer of hope that we might the hour of 1 p.m. We will not have any est hit States was Pennsylvania. I saw come together on a balanced budget rollcall votes during today’s session. I Governor Ridge on television this agreement. It is not that we have not

∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor.

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VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00001 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S172 CONGRESSIONAL RECORD — SENATE January 22, 1996 tried. We have spent over 50 hours and, in this case the Federal employees AGRICULTURE CONCERNS as far as I am concerned, everyone was were willing workers and were prepared Mr. COCHRAN. Mr. President, one of there in good faith. The discussions to go to work. the things that I learned when I was were long, frank, and candid. In fact, I Our response this week is clear: Keep back in my State was that there is se- read about a lot of them in the Wash- faith with our principles and keep our rious concern in the agriculture com- ington Post. If I had missed all the word to the American people and also munity about the failure to have a meetings, I would have known all to keep faith with Federal employees farm bill in place before this new crop about them because they were fairly who should not be the pawns in this season begins. accurate renditions of what happened. game, I think, as the Washington Post Already, farmers are having to make It was in four installments. It did not said in an editorial 2, 3, or 4 weeks ago. decisions about the kinds of activity have everything in there, but almost. That is what we have coming up this that they will pursue on their lands I think the basic problem is just this week. The President will address the this year, and without the guidance of fundamental difference we have on Congress and the American people to- the provisions as to agriculture pro- each side of the aisle on the role of morrow night on the State of the grams from the Government, a lot are Government and giving power back to Union. I think I will respond to that. I put in a position of having to guess and the States, letting the Governors and think that will happen. to simply operate on the basis of faith legislatures, whether it is on welfare or Then, as far as I know, if we can in the fact that Government might Medicaid, make the decisions, and work it out, there will be no votes the come to some agreement on agri- whether or not we should have tax cuts remainder of the week. We will let culture programs sometime this crop for families with children—not for the Members know on each side. I will dis- year. rich, but for families with children. I cuss this with the Democratic leader, It was one of the casualties of the must say, in that area both the Presi- Senator DASCHLE. Then we will also veto by the President of the Balanced dent and the Republicans have a tax outline plans for the next week and the Budget Act that we do not have in credit. So it is not that we think tax week after that as we go into Feb- place now commodity programs to credits are bad. We cap ours. The Presi- ruary. guide our agriculture producers in dent caps his. We are trying to get the making their decisions. Lenders are re- f package together. We also know we are luctant to make loans for funds to not going to be successful unless we PROVIDING FOR THE STATE OF begin the operations of this crop year deal with entitlements. Everybody will THE UNION ADDRESS BY THE without that same kind of certainty, as recognize, including the entitlement PRESIDENT OF THE UNITED well. commission, which was chaired by Sen- STATES What I am suggesting is that another ator KERREY of Nebraska and Senator high priority for legislative action, as Mr. DOLE. Mr. President, I ask unan- Danforth of Missouri, who recognized soon as possible, in addition to the con- imous consent that the Senate proceed that entitlements were out of hand and ference report on the defense author- to the immediate consideration of Sen- needed to be addressed. If we do not do ization bill mentioned by our majority ate Concurrent Resolution 39, sub- something to preserve and strengthen leader, is action on a farm bill, or ac- mitted earlier today. Medicare, it is going to be in real trou- tion that will put in place some tem- The PRESIDING OFFICER (Mr. ble in a few years. porary arrangement for income protec- GRAMS). The clerk will report. So if there is movement—again, I say tion, the other provisions that are usu- The assistant legislative clerk read this without any criticism—I think the ally found in commodity programs in as follows: movement has to come from the Presi- the Agriculture Act. dent. We have indicated many, many A concurrent resolution (S. Con. Res. 39) One suggestion that I know is being times that we have moved substan- providing for the State of the Union Address discussed today among House and Sen- by the President of the United States. tially on the Republican side, whether ate Members is whether or not this it was on Medicare or Medicaid, or The PRESIDING OFFICER. Is there continuing resolution that could come whether it was the earned income tax objection to the immediate consider- over from the House include provisions credit, or whether it was tax reduc- ation of the concurrent resolution? of the Balanced Budget Act as they tions. All those four programs we put There being no objection, the Senate pertain to the agriculture programs. in a little box and we have indicated proceeded to consider the concurrent That is something that is being dis- how much we have come in the Presi- resolution. cussed. dent’s direction and how little he has The PRESIDING OFFICER. The I do not know how that will come out come in our direction. question is on agreeing to the concur- in terms of trying to get bipartisan So if there is to be an agreement— rent resolution. agreement. I support that. We have and I say it as fairly as I can—I think The concurrent resolution (S. Con. passed that twice now in the House and the President needs to make a re- Res. 39) was agreed to, as follows: in the Senate. It was part of the Bal- sponse. Until that happens, I do not see S. CON. RES. 39 anced Budget Act sent to the Presi- any real reason to sit down for addi- Resolved by the Senate (the House of Rep- dent. I hope we can come to some reso- tional meetings. There is still an op- resentatives concurring), That the two Houses lution of this. I urge the Senate and portunity and still some glimmer of of Congress assemble in the Hall of the particularly those on our Committee hope, as I said. House of Representatives on Tuesday, Janu- on Agriculture to weigh in with their With reference to the continuing res- ary 23, 1996, at 9 p.m., for the purpose of re- thoughts and advice and counsel on olution, which is currently funding ceiving such communication as the Presi- dent of the United States shall be pleased to this subject so we can reach a decision Government, it does expire at the end make to them. at the earliest possible time. of this week. I do not find much sup- We will put at risk, Mr. President, a Mr. DOLE. I move to reconsider that port, as I travel around the country, lot of farmers all over the country—not motion, and I move to lay that motion for another Government shutdown. We just in my State but all over the coun- on the table. can point our fingers at the President try—who do not know what the pro- The motion to lay on the table was for vetoing three major appropriations gram is going to be. Is there going to agreed to. bills, which would have put nearly be a program? The Secretary says he every one of the workers back to work. f will implement himself a rice program He can point his finger at us saying we if no action is taken by the Congress. permitted the Government to shut MORNING BUSINESS In my State, that is an important com- down. The PRESIDING OFFICER. Under modity. What is the program going to I think the American people really do the previous order, there will now be a be? We do not know. not understand. They do not like it. I period for the transaction of morning I think it is an obligation, and it know the Federal employees do not business not to extend beyond the hour would be a very serious act of irrespon- like it, and others do not know why we of 1 p.m., with Senators permitted to sibility if this Congress does not soon pay people for not working, although speak therein for up to 5 minutes each. settle on a farm program for this crop

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00002 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S173 year, put it in place in the statute Again, I share most of the issues and through some New Year’s resolutions, book, and let this agriculture sector of concerns expressed by the Senator one of which ought to be for all of us in ours, which has become so productive from Mississippi. the Congress, both in the House and and so important to our national pride, Mr. COCHRAN. Will the Senator the Senate, and for all of us on both continue to flourish and to do so in an yield? sides of the political aisle, to see if we environment of partnership with the Mr. DORGAN. I am happy to yield to cannot, in 1996, solve problems rather Federal Government to make sure that the Senator. than create problems. it continues to be a successful part of Mr. COCHRAN. Will the Senator It has been a year in which we have our national economy. yield for a response? had shutdowns, threatened defaults, Mr. DORGAN. Mr. President, I came Mr. DORGAN. I will be happy to and chaos, and a year in which there to the floor to speak about a number of yield. were days when this looked a lot more issues. I ask unanimous consent to be Mr. COCHRAN. I appreciate the kind like a food fight than it did serious leg- allowed to proceed for 10 minutes. comments of the Senator from North islating in the U.S. Congress. I think The PRESIDING OFFICER. Without Dakota. I just want to say, too, I agree most of us coming back would believe objection, it is so ordered. with him that some changes are indi- it would serve the country’s interests if f cated. We just do not want the status there were less rancor, if there were a quo. I think we can do better than the little more understanding, and if we FARM PROGRAM status quo. There is too much insist- turned down the volume just a bit. Mr. DORGAN. Mr. President, the ence on the status quo right now from It does not mean that these are not statement by the Senator from Mis- the administration on a number of sub- very important issues that are being sissippi is absolutely correct. I do not ject areas, vetoing a number of initia- debated. But it does mean you cannot, agree with the conclusion that we tives for change and for improvement in a democracy, create a situation ought to include the provisions that of programs. where you say, ‘‘Here is the way we ap- were in the last Balanced Budget Act We have some very good improve- proach our legislative duties. You are as to the next farm plan, but I cer- ments in the agriculture programs in- all wrong, and we are all right.’’ That tainly agree with him that this Con- cluded in that Balanced Budget Act, does not make sense. That is not the gress owes a decision on what kind of a and to just say that we are not going to way it works. One side is not all right farm program we will have for the fam- consider that I think would be a big and the other side is not all wrong. ily farmers in this country—not just mistake. So I was heartened by the There are good ideas on both sides of the family farmers, but especially for comments the Senator made about the the political aisle. But you cannot, in them—for the lenders, for the agri- fact that he would suggest in his legis- this process, say it is all or nothing, it businesses that rely on them. They lation changes for more flexibility, for is our way or no way, and we have seen need to understand as they head to- more sensitivity to the realities of the too much of that in 1995. ward spring planting what kind of a current situation in agriculture. We Both political parties, in my judg- farm program do we have in this coun- have had a lot of changes. We have had ment, contribute to the well-being of try. higher commodity prices in a number this country. I have said it a dozen We did not enact a 5-year farm plan of areas. But we do need to get on with times and I will say it again: The Re- last year. There are a lot of reasons for it. publicans do this country a service by that. We do owe them, it seems to me, I applaud the Senator and assure him advancing and continuing to push on a response; if nothing else, an expanded that my interest, this Senator’s inter- the issue of Federal deficits. The and accelerated debate now to try to est, is working in a positive way to Democrats do a service to this country figure out what we could agree on for a reach agreement so we can put it in by saying, yes, let us balance the budg- decent farm program. I support that, place. I am glad he is going to intro- et, let us deal with the deficit, but let although the Senate will not be in ses- duce legislation along that line. us also worry about the priorities, let sion with votes for some days and some Mr. DORGAN. Mr. President, I have us worry about a program like Medi- weeks, perhaps, so that may not be never indicated that I do not believe care, which is important to low-income possible. there are changes that are necessary. elderly people in this country. Both It will be my intention tomorrow to There are changes needed. The current sides do us a service. But we ought to, introduce a piece of legislation in the farm program is frightfully com- it seems to me, be willing to engage in Senate to extend the current farm pro- plicated. It has the Government hip more thoughtful discussion about how gram for 1 year and provide some addi- deep in trying to tell farmers where to we get the best from each rather than tional flexibility for planting decisions plant, what to plant, and when to ending up with the worst of both. by farmers in that extension and, addi- plant. We can have, in my judgment, a Most of all, we ought not be in a cir- tionally, to provide forgiveness for much better farm program that has cumstance in January 1996, again, in some of the advance deficiency pay- much greater flexibility for producers. which we see another Government ments for those farmers who suffered a I do not like the so-called Freedom shutdown. That, it seems to me, pokes crop failure last year. To Farm Act in terms of where it taxpayers in the eye by saying to tax- I do not necessarily think the best leaves us after 7 years, because my fear payers, ‘‘We are going to insist you pay solution is to extend the previous farm is we are in a situation, then, where for work that we prevent from being program or the current farm program, there is no safety net at all and when completed,’’ and dangles Federal work- but it is a solution that is preferable to international prices drop and stay ers out there on the end of a string say- doing nothing. I do believe we owe an down, family farmers just get washed ing, ‘‘You are the pawns in this dispute answer to farmers, to their lenders, to away. That is my major concern. But we have about the Federal budget.’’ agribusinesses and others, and I appre- there are some aspects of the plan that The majority leader talked about the ciate the Senator from Mississippi rais- was put in the reconciliation bill which budget debate. He did so, in my judg- ing the issue. I could support. Flexibility is one of ment, in very thoughtful terms. I just All of us have a responsibility to them. So I hope we can get together want to respond to a couple of points. work together to provide some cer- and have a thoughtful debate and do If you simply took the offers of the tainty. My best guess is that the way this the right way. Republicans and Republicans and the Democrats that to provide certainty at this point Democrats can join hands here and were last laid on the table in these ne- would be to extend the current farm reach a common solution. gotiations and said we will accept the program for 1 year, then during this f least savings in each of these cat- year to have a substantial debate about egories offered by either Republicans what kind of farm policy we want in A BUDGET COMPROMISE or Democrats, and just took the lowest the future, for Republicans and Demo- Mr. DORGAN. I did want to mention amount of savings from each proposal, crats to reach some consensus and a couple of other points on the floor you end up in 7 years with $711 billion agreement, and then move forward today. This is a new year. It is Janu- in savings. That is sufficient to balance with it. ary. I hope all of us have thought the budget, if you simply take the

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00003 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S174 CONGRESSIONAL RECORD — SENATE January 22, 1996 lower of both offers that have been laid dends and interest and capital gains, I hope that all of us, no matter how on the table in the last meetings that your tax rate is not flat, it is zero— passionately we feel about all of these occurred on the balanced budget. zero. So it is not appropriately called a issues this year, will decide that we We are not so far apart. But the flat tax. It is flat for people who work can work together. We might have deep major difference is over the tax cut, and zero for people who invest. disagreements about a lot of issues. about $130 billion extra in tax breaks That might sound good, I guess, if But democracy only works if all of us especially for upper income people. I you are a millionaire or billionaire and in this room decide to work together to am not talking about the lower tax cut you might debate, if you are a million- try to bridge our differences. We can for children. I am talking about the aire or a billionaire, about which plan spend all of our time building walls, or upper income tax breaks in the cor- gets you to a zero rate first. But, in my we can spend some of our time starting porate welfare area and $132 billion in judgment, the more the American peo- to build bridges. It makes a whole lot extra cuts for Medicare, Medicaid, and ple dissect this they will understand of sense for us to tone down the rhet- the earned income tax credit. That more what Mr. Forbes and others are oric just a bit and have the deep dis- really represents the see-saw, the dif- talking about, that they really want to agreements and work through these ference between the two positions in say, if you work for a wage you pay an things but start solving problems for negotiations. income tax, but if you get your money the American people rather than cre- There ought to be a way to bridge through capital gains or interest or ating problems for the American peo- that, and I hope there will be. I hope, dividends and get $10 million a year or ple. in the next month or so, this issue will $1 million a year or $50 million a year, I hope that at the end of 1996 the leg- be put behind us and we will have bal- guess what, you do not have to pay acy will have been that we turned the anced the budget and we will have bal- taxes in this country because you are corner and created a much more pro- anced the budget with a plan that does going to get an exemption. ductive role in the life of this country it in the right way for this country. I tell you, I think our tax system is than we did in 1995. frightfully complicated. It needs to be f Mr. President, I yield the floor. radically simplified. But we do not Mr. President, I suggest the absence FLAT TAX need a plan that says, if you work you of a quorum. Mr. DORGAN. Mr. President, in just pay taxes, and if you invest you have a The PRESIDING OFFICER. The a couple of moments I wanted to make massive exemption. That is not a fair clerk will call the roll. an observation about the topic of the tax plan. They might call it flat, but it The legislative clerk proceeded to week last week, and I expect the topic is flat and no tax, a flat tax and no tax, call the roll. for the next couple of months, that will flat tax for those who work, no tax for Mr. MURKOWSKI. Mr. President, I generate a lot of interest. That is the those who invest. I think when the ask unanimous consent that the order so-called flat tax, or the ‘‘Grey Poupon American people dissect it and take a for the quorum call be rescinded. plan,’’ I call it. The flat tax is a fas- good look at it, they are going to say, The PRESIDING OFFICER. Without cinating one. I call it that because it is no, let us radically simplify the tax objection, it is so ordered. Mr. MURKOWSKI. Mr. President, I kind of entertaining, always, for some- program, but let us have everybody pay ask unanimous consent that I may one who comes from a small town of a little something. If you make $10 mil- speak as in morning business for a few 300 people to watch a debate between lion from interest, dividends, or capital minutes. millionaires and billionaires about who gains, you pay a tax. Maybe it is flat, maybe it is not, but it seems to me ev- The PRESIDING OFFICER. Without can propose a tax plan that will allow objection, it is so ordered. investors to get to a zero tax rate the erybody ought to contribute. I find it interesting in this discussion most quickly. f We have the Armey plan, the Forbes that we always hear people say, ‘‘Why THE PRESIDENT’S BUDGET plan, and some others. I just wanted to should you penalize success?’’ When- PROPOSAL ever they use those terms, they all de- mention, in case people hear about flat fine success as someone who has had a Mr. MURKOWSKI. Mr. President, I taxes and they think, ‘‘Gee, that capital gain or gets a dividend or inter- recently returned from my State of sounds like a good idea, flat, curved, est. What about the success of someone Alaska, where I had the opportunity to rolling hills, up or down,’’ I mean, I do working? What about someone who speak to our legislature in a joint ses- not know what the geometry of all of goes to work every day all year and sion and visit constituents in Juneau, this is. But if you think that we should takes care of his or her family and Anchorage, and Fairbanks. not allow a deduction for your home earns a wage; is that not success? Of Mr. President, what I heard from my mortgage interest on your tax return, course it is. Working is achieving suc- constituents was, I think, best re- then you would really like the flat tax cess as well. Work, investing, man- flected in their inability to simply un- because the flat tax says you cannot aging, entrepreneurship, all of that is derstand why we could not reach an ac- deduct your home interest mortgage. If success. It is not just investment that cord on a balanced budget. We have you think you ought to be required to is successful. Work is successful. Let us seen from the administration several take your fringe benefits, like your just make sure we have a tax system budgets come before the Congress. I health insurance that your employer that recognizes that all of those folks think we all recall the first one that might provide and now start paying in this country are successful. came before this body, which did not taxes on that, declare it as income and We do not want to create a cir- receive one vote, neither Republican or pay taxes, then you would really like cumstance where we say America has Democrat. the flat tax because that is what you an income tax, but it only applies to Subsequently, we have had a series of would have to do. No home mortgage those who work for a wage. Those who more than five budgets, until the ad- interest deduction, no charitable de- are fortunate enough to have inherited ministration has progressed to the duction, and they would take all your $100 million or reached a position in point where they claim they have sub- fringe benefits, add them up, and you life where they have $50 million and mitted a balanced budget. But vir- start paying taxes on that income. they collect $1 million or $10 million a tually everyone is aware of the reality Then they say flat tax, except it is year in dividends, they have decided that the sixth and seventh years are not flat. It is a tax that has a flat rate that they do not have to pay taxes. where the Clinton cuts occur. As a con- for those who work and a zero tax rate So I hope, as we think through this sequence, I think it is fair to say that for those who invest. Here is the way it this year, that we will come to an un- virtually everyone who analyzes that works. You go to work every day and derstanding of what all these proposals proposal finds it unrealistic. work and you are going to pay what- are and how they affect various parts It is unrealistic for two reasons. ever flat tax rate they talk about. But of this country. First of all, in the sixth or seventh if you happen to have an enormous Let me end where I began, Mr. Presi- year, whatever Members are in office amount of money and your income dent. I know that no one is waiting for clearly are not going to have the abil- comes from dividends and interest and time, and you have been generous with ity to make those cuts in just 2 years. you make $10 million a year in divi- the time today. Those are going to be draconian cuts,

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00004 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S175 and the political fallout, obviously, ment from the administration to ad- it. But it was not a cut; it was a reduc- will make such cuts unacceptable. dress a balanced budget that is attain- tion of the rate of growth. Those re- The other realization, Mr. President, able and that is real. cipients of Medicare would receive an is that regardless of the outcome of the Mr. President, as we enter this week increase this year over last year and Presidential election, President Clin- where the President will be giving his next year over this year. Yet, the ton will not be in office when those State of the Union Message, and as we American people, the elderly and those cuts arrive in 2001 and 2002. Nor will he enter this week, further, where we are dependent on Medicare, I think, were bear any responsibility as a President asked to reauthorize an extension of frightened by the misleading state- in office. Government because the continuing ments from the White House and the So what the President has sent us is resolution is voted, I point out a few inability of the national media to ad- basically a proposal that amounts to a things relative to cause and effect, be- dress the alternative, Mr. President. charade because, as you and I both cause when I was home there was con- The alternative was that if we did not know, if you are going to be realistic, cern about why Government was shut reduce the rate of growth, the system you are going to have a proportionate down and who bore that responsibility. would be bankrupt, and then what is reduction in each of those 7 years so Some suggested it was the responsi- the capability of the system to meet you can reach a balanced budget in the bility of Congress alone. its obligation for those who are recipi- seventh year. It just points up another I remind the President that this body ents of Medicare? That was simply ex- instance where we will do anything or and the House passed a series of appro- cluded from the discussions, excluded go to any length to ensure that we do priations bills. About 12 of those appro- from the conversations, and of course not have to make the tough decisions priations bills were passed, and the excluded from the wire stories, blam- up front, take the tough medicine and President vetoed about half of them. In ing the Republicans for this dilemma. address the cure up front. vetoing, the President bore the respon- Mr. President, it has been said time I think it is fair to say we all know sibility of basically not funding those and time again on this floor that this from our own personal experience if we particular agencies. The consequences is the opportunity to redirect America, have a tough situation, you make the of this, Mr. President, are a difference to reduce Government control, to re- decisions early and do not put them of opinion between the administration duce Government spending, and bring off. That is just what has happened and the Congress as to the adequacy or Government back to the people. with the President’s proposal, where in inadequacy of those various appropria- Now, the Republicans have dug in the 7-year so-called balanced budget, tions bills. To suggest it was all the and said if we do not do it now, it prob- all the cuts are basically in the last fault of Congress is unrealistic. Con- ably will not be done. Our children and year. gress did its job. grandchildren are going to share the Now, Mr. President, we are going When you look at the vote on the increasing burden. At some point in into a situation on January 26 where welfare reform bill, Mr. President, I time, somebody will have to take that we will have to address the merits of think it deserves particular examina- medicine, Mr. President, because as reauthorizing the extension of Govern- tion because many of us assume that you go back and reflect on that 4.9 tril- ment to operate. And then, by probably we have negotiated with the adminis- lion dollars’ worth of accumulated debt in March, we will have to face the re- tration to a point that was acceptable. and the realization that we cannot af- ality that we will have to increase the I think it passed this body, Mr. Presi- ford to put this Nation in default, the debt ceiling. dent, about 87 to 12. It is fairly signifi- only alternative is to reduce the rate of As we reflect in the extended debate cant that those on the other side of the growth of that debt and that simply and discussion in this country over the aisle felt we had a pretty good bill, but mandates a balanced budget. balanced budget on the one hand, and the President saw fit, kind of in the That is what this is all about. It is then find that in order to keep Govern- dark of night, to veto that bill. One has redefining the direction of our Govern- ment from being in default, when one to wonder just what the objection of ment to make it simple, to make it thinks of the merits of that, the Fed- that veto message was. I never did smaller, to make it more responsive, to eral Government being in default, by quite understand it. put control back where it belongs, back increasing the debt ceiling from the Now, we have heard time and time to the States, back to the people. current authorization of $4.9 trillion, it again from the White House that this I urge my colleagues as we address really marks the reality of the serious- is the fault of an unresponsive Repub- the significance of several events tak- ness of the problem. lican-controlled Senate and House who ing place this week that we keep our Make no mistake about it, Mr. Presi- are proposing to balance the budget on eye on our objective and the realiza- dent: We are in dire straits. It is one the backs of the elderly and on the tion, Mr. President, that if we do not thing to talk about the $4.9 trillion backs of the low-income groups, on the do it now, then the question is, When? debt, which is the maximum debt ceil- backs of children; it will affect edu- If it is not now, it may be too late. ing; the other is to recognize we will be cation and it will affect the environ- I suggest the absence of a quorum. asked to increase that to $5.3, $5.4, or ment. Yet, the President’s own mem- The PRESIDING OFFICER. The $5.6 trillion. bers of his Cabinet, several members of clerk will call the roll. That is not the end of it, Mr. Presi- his Cabinet, earlier did an evaluation The legislative clerk proceeded to dent. The realization is we have to pay of the Medicare Program and found call the roll. interest on that debt, and the interest, that the Medicare Program would be in Mr. DOLE. Mr. President, I ask unan- Mr. President, currently is more than default, it would be broke, if it was not imous consent that the order for the our annual deficit. Think about that. addressed at this time. quorum call be rescinded. The interest on the $4.9 trillion is more In 7 years we would not be able to The PRESIDING OFFICER (Mr. than our annual deficit, and our annual meet our obligations with regard to KYL). Without objection, it is so or- deficit is a consequence of spending Medicare. After an extended discussion dered. more than we generate in revenue. with the leadership of both the House (The remarks of Mr. DOLE pertaining A member of my staff is expecting a and the Senate, negotiations took to the introduction of S. 1519 are lo- child in May. It is estimated that this place, and the only alternative avail- cated in today’s RECORD under ‘‘State- child will inherit approximately able to address the runaway increase in ments on Introduced Bills and Joint $158,000 as his or her portion of that ac- Medicare was simply to reduce the rate Resolutions.’’) cumulated $4.9 trillion. Now, if we do of Medicare’s growth. It had been grow- The PRESIDING OFFICER (Mr. not turn this thing around now, Mr. ing at a rate of almost 10 percent. The COVERDELL). The Senator from Utah. President, at some point in time it will agreement finally came down to reduc- f be too late. ing that rate of growth from approxi- I know there are many Members here mately 10 percent to just under 6 per- KEMP TAX COMMISSION REPORT who feel very strongly that they are cent. Mr. BENNETT. Mr. President, last not going to vote for an increase in the How did the administration respond year, I delivered a rather lengthy debt ceiling unless there is a commit- to this? ‘‘Draconian cuts,’’ they called speech on the issue of taxes. I talked

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00005 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S176 CONGRESSIONAL RECORD — SENATE January 22, 1996 about flat taxes. I talked about capital W–2 form, you as the employer know So, Mr. President, on this occasion I gains taxes. I talked about the rela- that he is actually going to cost you rise to commend the Kemp Commission tionship of tax revenue to tax rates and $30,000 a year because you have to pay for the work they have done. I think mentioned at that time the work of the these payroll taxes, unemployment they have done a first-class job of open- Kemp Commission that was studying compensation taxes to the State, Medi- ing the debate and laying out basic all of these issues. In the time that we care taxes, et cetera, on behalf of that principles. I rise to commend them on have been in recess the Kemp Commis- employee. So you never think in terms their adoption of the five basic prin- sion has reported, and I wish to make a of a $20,000 employee. You think in ciples: that taxes should be neutral, brief comment now, perhaps reserving terms of a $30,000 employee. simple, stable, fair, and visible. I rise the right to make a longer comment at That means that in order for you to to commend them on their opening some point in the future. hire him, he has to produce at least wedge, if you will, on the issue of fair- I salute the Kemp Commission for $30,000 worth of economic benefit to ness of payroll taxes. the work that they have done. I note your firm. If he cannot generate at But I make the point that we have in with some degree of pride and satisfac- least $30,000 benefit to you, you cannot fact just opened the door to deal with tion that in my statement on the floor afford him, even though his paycheck payroll taxes, and, if we are going to I talked about four basic principles stub shows that he is earning $20,000. truly start with a clean sheet of paper that should guide our tax system: neu- So if he is earning $30,000 for your com- and build a tax system in this country trality, simplicity, stability, and fair- pany, clearly the employer’s share is that makes sense, we are not only ness. In its report, the Kemp Commis- really money that he has earned and it going to have to toy with the idea of sion incorporated all four of those but is deposited in his name in the various abolishing the IRS and the present in- added a fifth that I wish I had thought trust funds that are set up around here come Tax Code, we are also going to of, and that is visibility. That is, they to handle the entitlements. have to address the question of what pointed out that people should know So that means in the economic value we do about payroll taxes that have be- how much taxes they are paying. Taxes that employee is generating not 7.5 come so burdensome and, in many should be visible so that the average percent, 8 percent, whatever is taken ways, so unfair in the way they operate American will be aware of what is hap- out of that value for taxes, but twice in the lives of the people who live pening. that amount—the amount he puts in below that center line that divides the The Kemp Commission did another and the amount the employer puts in income taxpayers from the other half thing that I find salutary. They talked in his name. This means that for our of the country. about the impact of payroll taxes on lowest paid workers in this country, This, I think, is perhaps the source of the lives of Americans. In all of our they are sending to Uncle Sam and to greatest anger on the part of people discussion, both here and out on the State legislatures and State tax collec- who recognize that the tax burden is campaign trail, among those who are tors approximately 25 percent of the crushing and unfair, and they feel a seeking the Presidency of the United gross economic value that their earn- sense of helplessness as they deal with States, the entire focus is on the in- ings represent—25 percent. Yet none of it. If you are a person living below that come tax. I wish to talk a little bit that is dealt with when we are talking 50 percent line, you have absolutely no about that this afternoon and point out about income tax reform because none options. If you are above the 50 percent the wisdom of the Kemp Commission’s of those payments are income tax pay- line and someone comes along and focus not only on the income tax but ments. changes the tax law, you are earning also on the payroll tax. What are they for? It is interesting, enough money that you can change If you were to draw a line between all the debate we are having on the floor your behavior to take advantage of the Americans at roughly 50 percent, you about slashing Medicare—I should put could with fairness say everyone above changes in the tax law. ‘‘slashing’’ in quotation marks be- I pointed out here on the floor before that line in terms of his or her earning cause, of course, everyone knows that a study by Dr. Feldstein—and it has power pays income taxes, and everyone every proposal dealing with Medicare been placed in the RECORD—that the below that line does not. Now, it is not proposes increasing the spending on tax increase supported by President exactly that clear, but roughly 97 per- Medicare—but in all of this discussion Clinton and pushed through the Con- cent of the taxes paid as income taxes about Medicare, where does the money gress in 1993 has in fact produced only are paid by people in the top 50 percent come from? The money going into one-third of the amount of revenue of our wage earners, which means that Medicare does not come from the in- that was promised at the time it was the bottom 50 percent of our wage come taxpayer; it comes from the pay- formed. earners pay virtually no income tax at roll taxpayer. Why? Clearly because the people in all. That means then that if you focus It is payroll taxes that support the the top 50 percent changed their behav- all of your attention on the income tax Social Security trust fund, so when ior in reaction to that bill, did other and the various flat tax proposals that Ross Perot starts to draw Social Secu- things with their money, and avoided are out there, you are leaving out any rity, on top of the benefits and bless- paying taxes, an activity which the Su- kind of tax relief for roughly 50 percent ings that he has by virtue of being a preme Court of the United States says of America’s wage earners and that 50 billionaire, that will be paid for by is perfectly appropriate and legal. Tax percent that are doing the most poorly someone in the lowest half of the earn- avoidance, they have said, is not ille- in terms of the amount of money they ings scale making his or her payroll gal. Tax evasion is. That is a different are bringing home. tax contributions to the Government thing. But changing the way you han- Now, let us talk about the tax burden every pay period. dle your money to avoid taxes has be- of the payroll tax on that bottom 50 That is why I say it is salutary that come a time-honored American activ- percent. Some will say, well, the pay- the Kemp Commission not only focused ity. roll tax is only 7.5 percent or some on income tax, but spent some time The bill was passed on this floor. such number, depending on where you talking about the payroll tax, saying President Clinton signed it with great fall. It may be a little more when you that the payroll tax should be made de- fanfare. ‘‘Now we’re going to get this add the Medicare taxes to it. The other ductible for the individual as it now is additional revenue to deal with the is paid by the employer. The fact, of for the corporation or the employer. budget deficit.’’ course, is, Mr. President, all of that Yet there is a problem with that, Mr. The study by Dr. Feldstein says they money is paid by the employee. I have President, because, as I say, it is only only got one-third as much revenue as run a business. I know that when the the top 50 percent that pay any income they projected. That makes the people time comes to decide whether or not taxes at all. So, if your payroll taxes who live in that top 50 percent feel you are going to hire a new employee, are deductible from your income tax kind of smart that they were able to do you look at the total cost of that em- but you are not paying any income tax, different things with their investments ployee. If this is an employee that is the deductibility of payroll taxes, and avoid the taxes. But the people at going to be earning $20,000 a year in while a nice concept, does not do you the bottom 50 percent have no such op- pay that shows up on that employee’s any good. tions. Their taxes are entirely payroll

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00006 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S177 taxes. If they get a raise, their taxes go gether a system that works better than budget debate, Mr. President, has fo- up automatically because it is a per- the one that was crafted roughly 70 cused on the spending side at the Fed- centage of everything they earn up to years ago. eral level, watching our pennies, how the level in which they can cross the So, Mr. President, again, I commend can we reduce the growth in spending line into the top 50 percent. That is the Kemp Commission for the contribu- each year, how can we begin to save where much of the anger is coming tion that it has made in prying open money at the Federal Government from. That is where much of the frus- these issues and the principles it has level so that we get our budget into tration is. And, frankly, it is appro- laid down and look forward to the time balance. We are focused on the savings priate anger and frustration. when we can have this debate through side there, primarily. So I hope as we deal with this issue this Congress, and, as a partisan, if I We also need to focus on the revenue in our debates here on the floor, we may say so, I look forward to the time side of it. For those of us who do not will include, as I have not done but the when a new President will help us support new tax revenues, tax in- Kemp Commission has opened the door tackle this in a very serious legislative creases, we look at what kind of funda- for us to do, the people in the lower 50 way in January 1997. mental changes might not only percent as well as the people in the I yield the floor. produce a simpler and fairer tax sys- upper 50 percent. Mr. KYL addressed the Chair. tem but also one which, ironically, Mr. President, it is very clear we will The PRESIDING OFFICER. The might bring in more Federal revenue not have a structural reform of the tax Chair recognizes the Senator from Ari- without raising taxes. system in either area, income taxes or zona. One thing that the Senator from payroll taxes, in this Congress. We do Mr. KYL. Mr. President, I would like Utah did not mention but I know he not have time for it. The Finance Com- to begin by complimenting the Senator knows is that for the last 40 or 50 years, whether we have had Repub- mittee calendar is jammed. We have from Utah for presenting, I think, a licans or Democrats in power, war or long since learned that this kind of leg- very erudite discussion of the need for peace, good times or bad times eco- islation is very complex and requires a revisions in our tax policy and for his nomically, the Federal Government great deal of study and work. All we comments on the so-called Kemp Com- has collected about 19 percent of the mission for the report which it released can do is open the dialog, begin the de- gross national product in revenues to bate in this Congress, and look for the last week. the Federal Treasury. In other words, I think he indicated the reasons why time in the next Congress when we will what the American people are willing have an opportunity for genuine tax re- it is time to begin this debate. I will to contribute to the Government has structuring. not repeat those. But he also showed remained virtually static as a relation- I was asked by a newsman today, will his extensive knowledge in the area, ship or percent of the gross national we have serious restructuring of the and I appreciate the experience and the product or the gross domestic product. tax system in 1997? Well, my crystal expertise which he brings to the Senate The reason is, as the Senator from ball is as cloudy as everybody else’s. I on this important topic and look for- Utah pointed out, because people make cannot make a prediction of that kind ward to his continued counsel as we de- changes in their behavior to adjust to with any sort of accuracy. But I did bate these issues during the next year tax policy. make this comment, and I repeat it and, hopefully, begin actual legislative When the Government decided to col- here, debate over the tax structure, I work in fundamentally changing the lect more revenue on raising the lux- believe, will be a central issue in the Tax Code beginning in 1997. ury tax on yachts, furs, and cars, it did 1996 Presidential and congressional I thank the Senator from Utah. not bring in more revenue, it brought campaigns. It will become one of the Mr. BENNETT. Mr. President, if I in less, because people adjusted their defining issues in that debate. may, I thank the Senator from Arizona behavior and they stopped buying the If I may, should the Republican for his kind words. fancy fur coats and the yachts. The re- nominee prevail in the 1996 election, f sult was, not only did the Federal Gov- then a serious attempt to restructure FUNDAMENTAL TAX POLICY AND ernment lose the revenue they made the tax system will indeed begin in before, they did not make more rev- January 1997. Should President Clinton BALANCING THE FEDERAL BUDGET enue. People lost their jobs and paid prevail in the elections this fall, then I less in the way of taxes. believe that conversation about re- Mr. KYL. Mr. President, let me dis- So changing tax rates up has not pro- structuring the tax system will remain cuss in the context of the budget im- duced more revenue. By the same conversation and nothing will happen passe, with which we are currently token, as John F. Kennedy learned in beyond that which we have seen for the faced, both the Kemp Commission re- the early 1960’s and as Ronald Reagan last 40 years, which is tax reform by port and a few items with respect to confirmed in the 1980’s, a tax cut can name, tinkering around the edges, in this budget impasse, because, frankly, actually produce just as much revenue fact, with the basic tax system that we they represent two sides of the same as a higher level tax rate, because currently have remaining intact, ex- coin. I do not think we have adequately when tax rates are reduced, let us say cept for those marginal changes for the identified the relationship between capital gains tax, for example, the remainder of President Clinton’s sec- fundamental tax policy on the one commercial intercourse which raises ond term, should he receive one. hand, as addressed by the Kemp Com- the money increases to the point that This is a fundamental issue. We have mission, and on the other hand our ef- even with a lower rate, the Federal a tax system now that is clearly unfair, forts to balance the Federal budget. Government makes the same or more that has spun out of control to the There are some people who spend, I revenue. It is a lot like a sale at the point where it is unpredictable in think, most of their time focusing on holiday time. The retailer does not in- terms of Government policy and which the need for a balanced budget, and tend to lose money when he puts all of creates tremendous antagonism and that is important, but that is only half his items on sale. He knows he will anger on the part of the citizens who of the equation. The other half is the make up in volume what he may lose are subjected to it. revenue side of the equation. in terms of the price for each par- The time has come to begin the seri- As we, as families, look at how we ticular item. That is much the way ous debate of restructuring it, top to can continue to sustain our standard of with tax rates. So we know reducing bottom, not just income taxes, but also living, to pay our bills, to make sure tax rates can actually produce more payroll taxes. And while we are at it, we come out right at the end of the revenue. we might as well look at the user fees year and to make decisions with re- As we begin to look at how we are we charge and the tariff structure. spect to savings and investment, we going to fundamentally revise the Tax Let us take a completely clean sheet really look at two separate things. Code, as the Kemp Commission did, I of paper for every way in which the First of all, we look at how much in- think we can anticipate that we can Government raises revenue and see if come we are making in the year, and produce as much or more revenue with we are not smart enough, as we look then we also look at how much we are lower tax rates than is currently being forward to the next century, to put to- going to spend. Much of the balanced produced with our current rates.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00007 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S178 CONGRESSIONAL RECORD — SENATE January 22, 1996 That is why the Kemp Commission about $8 billion further away from our both tax relief and balance the Federal concludes that if we can provide for a position. The net result is about a $400 budget in 7 years. Yet, that, too, re- simpler and fairer single rate kind of billion movement by the Republicans mains a substantial area of disagree- tax, and if we can eliminate, as it rec- and very little movement by the Presi- ment between the White House and ommends, the tax on estates, the tax dent. congressional negotiators. So this, too, on capital gains and provide a deduc- So as I say, that represents very lit- will fail to take place. tion for the payroll tax, it is likely tle opportunity, it seems to me, for a Now, what does that mean? The that the economy will grow substan- negotiated settlement at this point un- President has been fond of saying that tially and that we can, in effect, at a less the President is willing to sit down the Republican plan is a ‘‘tax cut for relatively low income tax rate produce and say, ‘‘All right, you met me half- the rich.’’ Here is one thing that it at least the same amount of revenues. way, now I’ll do the same.’’ From the means. The $500 per child tax credit That is why I think it is important, President’s rhetoric, it does not appear means that in the State of Arizona Mr. President, as we look at the oppor- he is willing to do that. over 47,000 low-income taxpayers will tunities for growth and economic ex- So what is the consequence of not not have to pay any more income tax pansion in the future, that we not just reaching a budget agreement this year? because that $500 child tax credit is focus on balancing the Federal budget. First of all, the four or five key areas just enough to take them from the po- That has been pretty much what we of reform, of policy, which are em- sition of taxpayer to the position of have been talking about in the last 3 or bodied in the budget will not be trans- being able to deduct enough not to pay 4 months in the House and Senate, but lated into public policy, into legisla- any taxes. It is about 3.5 million people it is really only half of the equation. tion and, therefore, America will forgo in the United States. A tax cut for the The other half is how we can continue the benefits of those policy changes rich, when 3.5 million low-income fami- to produce at least as much revenue over the course of the next year, and lies in this country will literally have with lower tax rates, a simpler and depending upon how the elections, per- their income tax liability eliminated fairer tax rate structure. I hope that haps for a long, long time. as a result of the Republican tax relief? debate will continue throughout the The President campaigned saying he That does not sound like tax cuts for Presidential campaigns and actually would like to end welfare as we know the rich to me, Mr. President. That take root in the congressional action it. The Senate passed a bill ending wel- sounds like Republicans trying to do that we will engage in in the early part fare as we know it with 87 votes, with something for the low-income people in of 1997. Democrats and Republicans alike sup- this country, who have children and I said I want to talk about both sub- porting welfare reform. Yet, the Presi- who can really use that $500 child tax jects, because we not only have the dent vetoed the bill. So failing to ar- credit. issue of the Kemp Commission report rive at a budget agreement will mean In fact, about three-fourths of the and what it begins in terms of a de- that we will not have reformed welfare tax relief benefits go to families mak- bate—and I think that will dominate and we will extend for another year a ing less than $75,000 a year. With two- much of the Presidential campaign— system which most people in this coun- income families in this country today, but we also have the probable failure of try believe is broken and is desperately I do not think there are a lot of people the budget negotiations, and I want to in need of fixing; we will not have made in this country that think if you are present the second half of my remarks the fundamental changes necessary to making $75,000, you are necessarily on that point. preserve and strengthen and save Medi- rich. In any event, about three-fourths I think it is very unlikely now that care. Again, almost all of us recognize of the benefits go to families making there will be a budget agreement, be- the need to do that, including the less than that. cause the congressional negotiators President. His ideas are, in many re- I think, too, most people realize that have conceded about all that they can spects, not substantially different from since, as the Senator from Utah was concede, as a recent article in the Wall ours. Nonetheless, he says that that is just pointing out, the wealthy in our Street Journal noted, and the Presi- veto bait, and he does not support our society pay most of the taxes, it is dent has come very little distance to- fundamental reform of Medicare in pretty hard to design a tax relief pro- ward the Republican position, with the order to save that program and keep it gram that does not benefit those who result that it is not likely that there is from going bankrupt, which his own pay most of the taxes, and that is the going to be a successful conclusion to trustees say will happen within the wealthier in society. Is that bad for the budget talks. next 7 years unless we take action people that are less well off? No, be- What does that mean for America for today. cause it takes capital and it takes the next year? Why is it so important We need fundamental reforms like money to invest in our free enterprise that we get to a balanced budget, that more choice to be offered to seniors, economy in order to promote growth in we do that in 7 years using honest such as the Medisave account, physi- businesses, to provide job opportuni- numbers? What do we give up if we do cian-hospital networks, and other ties. That is what John F. Kennedy re- not do that? And what are some of the things, creating products, creating ferred to when he said that ‘‘a rising myths that surround this debate? competition, and keeping the costs tide lifts all boats.’’ In other words, if I think it is important for us to un- down. That is another consequence of you have the entrepreneurs, capitalists derstand that, because then as we the failure to reach a budget agree- who can create a business and provide begin to point fingers of blame—and in- ment. job opportunities, that helps every- evitably that will happen because we A third area is Medicaid. My State of body, including those looking for a job are not going to have a budget deal—at Arizona has handled the Medicaid Pro- or greater job opportunities. least our colleagues and the American gram through a program it calls Access So if we fail to reach a budget agree- people will appreciate the direction in from virtually the very beginning, ment, we will have failed to reform which that finger ought to point. through waivers from the Federal Gov- welfare, Medicare, Medicaid, our tax It will not come as any surprise that ernment to provide for managed care structure, and the Republican plan will I think that finger needs to be pointed for those needy in our population that clearly help the poor in our society. at the President. I am hoping if enough qualify for Medicare. Yet, this funda- Also, we will fail to create about 2 mil- public pressure is applied to the White mental change will also fail to be put lion jobs, which is the estimate that House that the President might relent into effect. We will not be block grant- can be created by capital gains tax re- and actually sit down and seriously ne- ing the Medicaid funds because that is lief. gotiate with the Speaker and the ma- part of the overall budget reform. On the negative side, Mr. President, jority leader. That really has not oc- A fourth area is in the area of tax re- we will have consigned ourselves to yet curred up to this point. lief for working families. Again, the another year of payment for more and As the Wall Street Journal article President had assured the American more interest on the national debt— noted on January 10, the Republicans people that he wanted tax relief for money that could be used to spend on have moved about $390 billion toward working families. We provided for that other things. There will be $233 billion the President’s position. He has moved in our budget. The CBO said we can do in interest payments on the Federal

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00008 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S179 debt this year. It is money that could ing, beginning today, beginning tomor- Washington, DC, with amazement and be spent on job training, education, or row, if we cannot commit to a balanced frequently revulsion at our failure to medical relief for needy citizens, or budget over the next 7 years. That is come to some terms. even tax relief, or reducing the Federal why, Mr. President, I think it is a very I go back to a wise statement made debt. But, no, that is money that we sad and disappointing thing that the by the former distinguished Senator have to pay as interest on the ever-in- President has not been willing to nego- from Maine, Margaret Chase Smith, creasing debt. It is a lost and missed tiate in good faith with the congres- who said, ‘‘We have to distinguish be- opportunity. Yet, it is one more year sional Representatives. We are trying tween the compromise of principle and we will have to make those kinds of very hard to get him to commit to the principle of compromise,’’ and payments. some of these fundamental reforms and when we are talking about the budget It also means something else. My agree to a 7-year balanced budget. We issues, we are talking really about grandson, Jonathan, was born last year are forgoing so much that would im- compromising mostly on a dollars-and- and, in effect, we handed Jonathan a prove our lives and our children’s lives. cents basis. credit card and said, ‘‘You owe $187,000 It is not fair, it is not right, and it does There are some structural issues to the Federal Government.’’ That is not support the values that the Presi- which have to be addressed, and it is how much he is going to have to pay in dent purports to support and which we my sense that they can be solved as his lifetime to just pay the interest on have all committed ourselves to here. I well, but we are not talking about first the Federal debt that exists today. It think that, as a result, it will be a very amendment issues, freedom of speech, does not count what he will have to sad day if we finally conclude that we or freedom of religion, so we are not pay for defense, Medicaid, Medicare, are not able to reach a budget agree- compromising principle. We do have to Social Security, education, or anything ment with the President. have the principle of compromise and else. The debt is even getting bigger. In conclusion, Mr. President, as accommodation in Washington, DC, to That is just what he owes today as his President Clinton gives his State of the come out of this matter. share of interest on the national debt. Union speech tomorrow night—and I As I look at the figures overall, the It is not fair to Jonathan or our other am sure challenges America to a great- parties have come much closer to- two grandchildren, or all of the chil- er tomorrow, since most of us believe gether than they were at the original dren and grandchildren in this country that our best days are ahead of us as a stage. With respect to Medicare, ini- who, in effect, are being handed the country and as a people—and we re- tially the conference report adopted by credit card bill for what we run up in spond, as I am sure we will, to a very the Congress called for cuts in Medi- obligations. positive message of the President, we care of $270 billion, with the adminis- We also know that we are missing also ought to be asking him what he tration at one point insisting that the out on a wonderful opportunity that we can do to help today to provide a better cuts—rather it is not cuts, but it is a can begin to pocket, literally begin- tomorrow by sitting down and seri- reduction in the growth of increase. ning tomorrow. There are an awful lot ously negotiating with the congres- That is a characterization which is of people in this country who have sional negotiators for a budget agree- very, very hard to avoid. home mortgages, a student loan, or a ment that reaches a balanced budget in Before going further on that point, car loan, and who appreciate what in- 7 years, which commits us to true wel- Mr. President, let me cite some statis- terest costs them. By most experts’ fare reform, Medicaid, Medicare, and tics which are very, very frequently analyses, if we are able to pass a bal- tax relief for working families in overlooked as too often the Medicare anced budget in the next 7 years, inter- America. situation and the Medicaid situation est costs will go down at least 2 per- If we do that, we will truly be able to has been characterized as proposals, es- cent. One of the estimates is about 2.7 say that our best days are ahead of us. pecially by the Republican Congress, percent. DRI-McGraw/Hill, one of the I suggest the absence of a quorum. for cuts when the fact of the matter is economic forecasters, provided data to The PRESIDING OFFICER. The that there are very, very substantial the Heritage Foundation, which made clerk will call the roll. increases. What we are really talking estimates. According to the estimates, The legislative clerk proceeded to about is slowing the rate of increase. that kind of rate reduction would, in call the roll. In fiscal year 1996, for example, Medi- my own State of Arizona, save the av- Mr. SPECTER. Mr. President, I ask care expenditures will be $193 billion. erage Arizona homeowner about $2,655 unanimous consent that the order for These are figures from the Congres- every year. The average home mort- the quorum call be rescinded. sional Budget Office which have been gage in Arizona is a little over $98,000. The PRESIDING OFFICER. Without rescored as recently as last month. Therefore, that kind of an interest rate objection, it is so ordered. After an expenditure of $193 billion in reduction would save over $2,600 for the f 1996, the figures are as follows: 1997, average Arizona homeowner. That is a $207 billion; 1998, $218 billion; 1999, $229 CONCERN OVER FAILED BUDGET lot of money, Mr. President. For the billion; the year 2000, $248 billion; 2001, TALKS average student loan, it is like $547 in $267 billion; 2002, $289 billion. So that my State. This is money in your pock- Mr. SPECTER. Mr. President, during from 1996 until the year 2002, on Medi- et, money that you would not have to the course of the past several weeks, care expenditures it is projected to pay if the Federal Government can bal- there has been an opportunity to talk move from $193 to $289 billion for a 50- ance the budget, because interest rates to constituents at home to discuss the percent increase. would go down if we do that. When in- problems in Washington, DC, and, as Similarly, in Medicaid, where there terest rates go down, it reduces many of my colleagues have reported, I is frequently talk about cuts, there everybody’s cost of living. have found great concern about the in- are, in fact, not cuts but there are in- Lawrence Lindsey, one of the Federal ability, the failure, of the negotiators creases. What we are dealing with is Reserve Board Governors, said, ‘‘We to come to an agreement on the budget trying to slow the rate of increase. In can bring interest rates down to where talks. fiscal year 1996, Medicaid expenditures people today could have 5.5 percent I urge the negotiators to continue to totaled $97 billion; 1997, $104 billion; mortgage loans like we used to have.’’ talk. As I have reviewed the details as 1998, $109 billion; 1999, $113 billion; the My first mortgage loan was 53⁄4 percent. to what has been undertaken, talking year 2000, $118 billion; the year 2001, That may tell you how old I am, but it to my colleagues in the Senate and the $122 billion; the year 2002, $127 billion, may also suggest what would happen House, talking to administration offi- for a total increase from 1996 to the because that is about 2.5 percent below cials, it is my view that the parties are year 2002 of some 31 percent. where you could get a 30-year fixed- not too far apart. I believe that the ab- I think it is very important to focus rate home mortgage for today. Think sence of an agreement is a lose-lose sit- on that basic fact. There are not cuts, about what that would save in terms of uation for everyone in Washington. but what we are talking about are ways money. There is no real opportunity, as I see to slow the rate of increase. As the ne- So we are forgoing a tremendous op- it, for political advantage, and the gotiators have discussed the matters, portunity for a higher standard of liv- American people watch what goes on in they have come much closer together.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00009 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S180 CONGRESSIONAL RECORD — SENATE January 22, 1996 In the original conference report for final passage because I think the many of the items and retaining con- agreed to by the House and Senate, the balanced budget is that important. I gressional control on specific require- rate of increase on Medicare would understand there are many in Con- ments as to some others. But we are at have been slowed by some $270 billion. gress, some in the Senate and even this point very, very close and yet The initial position taken by the ad- more in the House, who do not like the very, very far. ministration was to slow the rate of in- present arrangement and who want to Last week on the Senate floor I made crease by $102 billion. Now, in the most have more by way of tax cuts and who a few comments about the necessity to recent proposals advanced by the nego- want to have more by way of decreases continue funding the Government with tiators for the Congress, as recent as in Medicare and Medicaid, on their rate a continuing resolution without an- January 6, the figure is cutting the of increase. But I believe that the bal- other threat of a shutdown on the Gov- rate of increase to $168 billion, and the anced budget is so important that ernment, and that if, in fact, we are ul- administration now talks about cut- when the administration agreed to the timately unable to come to terms on a ting the rate of increase to $124 billion. balanced budget in 7 years with the budget agreement, that I believe today, So the gap has been very, very materi- Congressional Budget Office figures, as I articulated on this floor from this ally narrowed. Originally, the gap was that was the time to declare a victory, podium back on November 14th on the $168 billion. Now it has been narrowed to say we will accept the deal, and then second day of the first shutdown, that to $44 billion. to work out the balance of the arrange- we ought to crystallize the issues and Similarly, on cutting the rate of in- ments as best we could. But the core of submit them to the American people in crease in Medicaid, the original con- the arrangement was in place. I believe the 1996 election. But the way to do ference report from the House and Sen- we ought to do that yet. That ought to business is not to have a shutdown of ate placed the curtailment of the rate be our principal objective, to obtain the Federal Government which makes of growth by $133 billion. In the most the balanced budget within 7 years. the Congress and the administration recent negotiations advanced by the We are talking about structural really the laughingstock of the coun- congressional negotiators, the rate of changes in addition, but I believe that try. increase was at $85 billion, with the ad- they are not well understood. After At that time, I expressed the hope ministration at $59 billion. So, there talking to key people in the adminis- that we would not use the debt ceiling as a lever, as a blackjack, or as black- again, the figures are much, much clos- tration as well as my colleagues in the mail; that the full faith and credit of er. Congress, going through these struc- Similarly, on the tax cut, the origi- tural changes, it is my view that there the United States is too important to nal conference report was at $245 bil- can be a reasonable accommodation. I be maintained, so that it ought not to be used to try to coerce concessions lion. That has been reduced to $203 bil- am in the process of putting together a from the administration in the context lion, with the administration at a tax side-by-side comparison, which I will of political blackmail; that the Amer- cut of $130 billion, so that difference share with my colleagues in the course ican people can well discern the dif- has been narrowed quite considerably. of the next several days, with a sugges- ference between legitimate political When we talk about the objective of tion as to what ought to be middle pressure and what is political black- a balanced budget, we are talking ground. There is a philosophical difference mail. about something which is really crit- One of the illustrations is from the between the block grants, where we ical for the future financial stability of very famous statement by former Su- give more authority to the States, and this country. That is an objective preme Court Justice Potter Stewart the categorical requirements, where which is very important to reach and is about obscenity, saying that he could the Congress of the United States es- worth an accommodation. When this not define it but that he knew it when body, the U.S. Senate, took up the rec- tablishes the rules and regulations. My he saw it. Or I think of the famous onciliation bill, this Senator was very own sense is that it is time to give statement by Justice Oliver Wendell concerned about a number of items in more authority to the States under the Holmes that even a dog knows the dif- it and disagreed with the majority on 10th amendment, that the States are ference between being kicked and being many of the items. For example, it much closer to the problems than we stumbled over. When there is inappro- seemed to me that there ought not to are here in Washington, DC. I am going priate political pressure, when it is po- be a tax cut at all. I took that position to talk about that in a few minutes litical blackmail by coercing the Fed- not because I did not want a tax cut, under a separate topic on the problems eral Government, or political black- because I would very much like to see of the disaster across the northeastern mail by attempting to have the debt a tax cut. I favored the IRA’s, the inde- part of the United States, and espe- ceiling as a hostage, the American peo- pendent retirement accounts, when we cially my home State of Pennsylvania, ple are well aware of what is going on. voted them out, back in 1986. I would why disaster relief could be much bet- And although some in this body and like to see a child tax credit. But at a ter handled at the local level than out some in the other body may have time when we are seeking to balance of Washington, DC. But I think we see thought that there was political advan- the budget, it seems to me it is inap- opportunities to do that, especially in tage to closing the Government, the propriate, when we are asking so many the welfare line, where the Senate American people responded with a re- Americans to tighten their belts, to passed a welfare reform bill with a sounding no. talk about a tax cut for some Ameri- very, very substantial majority, and we With the polls showing that more cans at the same time. It is my view had block grants on AFDC and emer- people favor the President’s handling that Americans are willing to have gency assistance and the jobs program of the emergency than the Congress, shared sacrifice and to balance the into a single mandatory block grant. the figures were close. But with the budget so long as it is fair. But when We had separate allocations for child Presidential advantage of 50 to 46—50 we are asking people, with the earned- care. We had the maintenance of the percent approved of what the President income tax credit, earning about foster care and the adoption system did, 46 percent disapproved—when it $20,000, to pay more taxes at a time which is retained as an entitlement. came to the Congress, only 22 percent when we are offering certain tax cuts But I believe as we go through these approved and 78 percent disapproved. to those who earn $120,000, then it is lines one by one on the many consider- So that when we were really articu- bad public policy, and it is very bad ations as to how we deal with the ille- lating bad public policy on closing the politics. gal immigrants, how we deal with chil- Government, we were articulating bad So that when many accommodations dren under SSI, addicts under SSI, teen politics as well. have been made and many of us have mothers, how we deal with education So it is my hope that we will not seen the reconciliation bill come for under the student loan provisions and close the Government again, that we final passage, with many provisions the direct lending programs, and what will have a continuing resolution that individually we did not like, none- we are going to do with many of these which will maintain the status quo, theless we supported that with a ma- structural matters, that there is mid- difficult as that is, without cherry jority vote. After having voted against dle ground. There is middle ground on picking and trying to fix some pro- many of the individual items, I voted allowing flexibility to the States on grams that some may like better than

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00010 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S181 others, because once we get into that rivers in Pittsburgh, water was all the fall 2 weeks ago today of 30 inches. In kind of a selection process, there will way up to the Hilton Hotel and was ex- Philadelphia, it measured 30.7 inches. be no end to it. If the House sends us a traordinarily serious. And then with the high temperatures bill financing programs which some of Later on Saturday, I saw the swollen last Thursday into the sixties, with the them like but eliminating programs Susquehanna in Wilkes-Barre, where tremendous melting and flooding, there that they do not like, when the issue some 100,000 people had been evacuated, is a very serious situation indeed. So I comes to the Senate with our oppor- and the flooding had spread through urge FEMA and the Department of tunity for unlimited amendments, we Pennsylvania, and what a very, very Transportation to take all action pos- will never agree to that kind of cherry serious situation it is. sible to bring relief to those people who picking with financing programs that As of this morning, only 6 counties are in need of emergency assistance. one group likes and eliminating all had been declared disaster areas in I thank the Chair, and in the absence others; and that we will keep the Gov- Pennsylvania, which I found just a lit- of any other Senator in the Chamber, I ernment going as it need be, crystallize tle surprising. On Saturday, I talked to suggest the absence of a quorum. the issue for the 1996 election, and not Mr. James Lee Witt, who is the FEMA The PRESIDING OFFICER (Mr. BEN- use the debt ceiling as political black- national director. Mr. Witt was on the NETT). The clerk will call the roll. mail. job and promised to have the emer- The bill clerk proceeded to call the But most fundamentally, Mr. Presi- gency declaration promptly executed. roll. Mr. SANTORUM. Mr. President, I dent, as I look over these complex And, in fact, it was done on Sunday ask unanimous consent that the order charts and look over the figures, they morning, with some question, some misunderstanding, perhaps, about how for the quorum call be rescinded. are very, very close indeed. And even The PRESIDING OFFICER. Without fast the facts and figures got through. with the structural changes, there is objection, it is so ordered. middle ground available. But as of this morning, only 6 counties Mr. SANTORUM. I thank the Chair. So it is my hope that the negotiators had been declared a disaster area, and will continue talking. There is a bipar- 19 counties were added. Yet, we do not f tisan group of some 20 U.S. Senators have all the appropriate counties iden- FLOODING IN PENNSYLVANIA evenly divided—almost evenly divided tified. Mr. SANTORUM. Mr. President, I between Democrats and Republicans— In western Pennsylvania, Beaver wanted to follow up the remarks of my who will seek to come to middle County, immediately north of Alle- senior Senator from Pennsylvania [Mr. ground and to accommodate these dif- gheny County, was not declared a dis- SPECTER], and talk about the problems ferences of opinion, most of which boil aster area. I can attest personally to that we are having in Pennsylvania down to dollars and cents, and struc- the disaster there. Nor was Greene today. The first thing I wanted to do tural changes themselves boil down to County so declared. It is important was make sure the record is very clear dollars and cents, remembering the that those counties be extended, and in my use of the word ‘‘liberal.’’ I sug- foremost point that there is agreement that the Federal emergency relief be gested that FEMA be more liberal than on a balanced budget within 7 years moved in there very expeditiously on what they have been to date, as of with the real figures, the Congressional temporary housing, on the grants that early this morning, in declaring coun- Budget Office figures; and we ought to are available, on the low SBA loans ties in Pennsylvania eligible for indi- declare victory on both sides, make it which are available, and on the exten- vidual assistance, for emergency dis- a win-win situation, and not try to sion of unemployment compensation aster relief funds. I think that was an achieve political advantage in the con- when people lose out on their work be- appropriate call given the fact that the text where it is a lose-lose for all par- cause of this flood damage. Governor of Pennsylvania, who knows ties if we continue this stalemate. I might share with you one factor as a little bit about the Emergency Relief But, as I say, to repeat very briefly, to how serious the situation is. I de- Act that is in place here because he I intend to put before the Senate a clared this with my distinguished col- helped write it several years ago and side-by-side comparison showing how league, Senator SANTORUM. But on the knows it cover to cover, declared 58 of close we are on the figures themselves banks of the Susquehanna earlier Pennsylvania’s 67 counties disaster and on the structural changes. today, Senator SANTORUM said that he areas and was seeking Federal grant f hoped FEMA would be ‘‘liberal.’’ But I recognition for, if not all, certainly a quickly modified that to ‘‘moderate.’’ great majority of those counties. EMERGENCY RELIEF There we have the ‘‘L’’ word from Sen- Senator SPECTER, I know, has been Mr. SPECTER. Mr. President, during ator SANTORUM. May the RECORD show traveling the State extensively, as the course of the past few days, I have a smile coming to the face of the dis- have I. We have seen the tremendous been touring Pennsylvania looking at tinguished Presiding Officer. But it is damage done by this heavy snowfall very, very extensive damage from the that serious that a call has been made and subsequent quick melting and heavy snows and from the flood. for that kind of treatment by the Fed- floods and then freezing again, causing Earlier today I came from Harris- eral management corps. ice jams and horrible damage on our burg, where I was present with my col- As I have earlier today on some of Commonwealth’s rivers and streams. league, Senator SANTORUM, looking the radio networks, I would like to re- We do believe that several more coun- over the tremendous damage which has peat the 800 number which people can ties should be included in the list that been inflicted at several points from call for assistance. They can make ap- are eligible for individual assistance, the swollen Susquehanna River. It is a plication by telephone. It is 1–800–462– and obviously the process will com- very distressing sight. The walk bridge 9029. I will repeat that. It is 1–800–462– mence to determine whether those which spans the Susquehanna from 9029, where applications can be made counties and municipalities will be eli- Harrisburg over to the island has been on the phone. gible for public assistance, for reim- destroyed in part. Many houses have Yesterday, I also talked to Secretary bursing municipalities and counties for been destroyed. My staff director of of Transportation Pen˜ a, who has ad- the cost of cleanup and dealing with northern Pennsylvania, Tom Bowman, vanced $1 million for highway cleanup the problems of this horrible storm. in Potter County, has several feet of and bridge cleanup, and urged that a I understand that the senior Senator water in his basement. His furnace is more realistic figure be assessed be- has already talked about how today ruined. Appliances are ruined. And that cause of the tremendous damage done James Lee Witt, the head of FEMA, is characteristic as well and has been to the highways and bridges in Penn- has been up to the State of Pennsyl- going on over all of the State. sylvania. vania and he has added to the list of 6 On Saturday early, I flew to Pitts- Last year, the Congress appropriated counties an additional 19 counties, burgh, where I met Pennsylvania Gov. $6.4 billion largely for the earthquakes bringing to 25 the number of counties Tom Ridge looking at the tremendous in California but also for emergencies that will now be eligible for some as- devastation and destruction which is such as are now plaguing Pennsylvania sistance. present there. At Three Rivers Sta- and many other States in the mid-At- We were in Harrisburg this morning. dium, at the confluence of the three lantic area where we sustained a snow- I know he mentioned we saw some of

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00011 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S182 CONGRESSIONAL RECORD — SENATE January 22, 1996 the devastation on City Island, which entire time working on it. He showed I was in Marietta which was flooded, is a recreational park in Harrisburg us the Walnut Street bridge, which is at least the parts nearest the river that is just literally covered with big the oldest—I am not going to get this were flooded. Their big concern right boulders of ice and destroying all the right—it is the oldest of some type of now is the freezing that is going on. public buildings there that I would say bridge having to do with metal con- They were flooded. They have some- are relatively brand new. They in the struction. That bridge was expected to thing like a dike. It is actually a rail- last 10 years constructed a AA baseball collapse during the 1972 flood when ac- road track that runs between the river stadium there that is severely damaged tually the river went up over the plat- and the town that is very high up and from ice. form of the bridge. serves like a dike. But they got flooded That has really made this disaster a In this case it was several feet below through their storm sewers, and the lot different because Harrisburg was it. But a section of the bridge—you water reaching its level filled up both hit back in 1972 with very severe flood- may have seen on television—was sides of the dike. Now they are con- ing as a result of Hurricane Agnes. In knocked away. The reason was not be- cerned with the storm sewers. Because fact, the mayor and others have been cause of the water flow. Again, it was of the very cold temperatures, they are telling us that while the flood levels the ice jams. An ice jam had a large now frozen. If they get any more rain, were not as high as Hurricane Agnes, amount of ice collected at this one which is anticipated tomorrow, or any although in some areas they were al- abutment, and eventually with all the other precipitation, they will have the most as high, the damage, they believe, pressure it was knocked over, was same problem all over again. actually will be more because of the knocked into the river. They expect Many counties and many cities, they ice. Literally, Senator SPECTER and I another one of those pillars to fall rel- have that same problem with either were walking around an area that was atively soon. frozen surface areas that prevent water 5 feet underwater just 24 hours before, So there has been a severe amount of from draining or the infrastructure un- and sitting there all over the place damage. Senator SPECTER and I are derneath the ground itself containing were boulders of ice almost my size and very concerned about the Federal re- ice and frozen debris is going to cause probably bigger, with trees frozen to sponse to the damage across Pennsyl- a real problem with drainage. them. It was really a rather gruesome vania. We believe that in some in- So we are not out of the woods yet. picture. You could actually see the stances the response was delayed. I There is unfortunately still a lot of water level because on the houses and know the President would like to see snow on the ground. The possibility ex- the fences and on the trees you could all the people and communities that ists, with the warm weather today, we see where the ice had frozen around the have been severely hurt by this storm could even see some more problems. So tree, around the houses, sort of jutting to get the kind of assistance that they I want to congratulate Governor Ridge out from the houses. So you could pret- need to begin to clean up and rebuild and Lt. Gov. Mark Schweiker for their ty well tell everywhere where the their lives. tremendous role in responding to this water levels had risen to. I am hopeful that we can move for- emergency. They have been all over the We were through that area and saw ward. As Senator SPECTER said, ini- State, have been very aggressive in the damage that the ice had caused to tially only six counties were listed as trying to seek aid, and have also been streets and to houses, the buckling ef- qualifying for this assistance. One of very aggressive in trying to help mu- fect of having water there and then the counties that did not qualify origi- nicipalities trying to deal with the freezing and then unfreezing. It looks nally, and did not qualify until this problems that have beset them. almost like an earthquake on some of afternoon, was a county where there I think we have seen a very good ef- the roads; they are just sort of warped, were 6 people known dead, 75 people fort on the part of locally elected offi- with big sinkholes and things like that missing from an area that was a large cials, and the Governor and Lieutenant as a result of this freezing and thawing housing development that was literally Governor. I think—at least I hope that and freezing again and the amount of just swept away. Water rose rapidly. we can be proud of the Federal role water pressure. People were given no warning. The con- that is being played in Pennsylvania. I In fact, Senator SPECTER and I met sequences were terrible. Yet that coun- think we are coming along a little with Mayor Reed of Harrisburg, whom ty was not listed originally on the dis- slowly, but maybe today with some fly- I have to commend; he has done a tre- aster list, which amazed many of us arounds and other things that are mendous job in rallying the troops in and frankly was very discouraging. going on, we can impress upon officials Harrisburg, one of our hardest hit cit- I had occasion to talk to people up in here in Washington and in the regional ies, and is doing an outstanding job Williamsport, Lycoming County. And office that this is a true emergency, a personally. He is someone whom I have they were very discouraged. Somehow disaster that needs to be attended to, known for quite some time and know they were suffering to this degree, and and the Federal Government has a role he puts every ounce of his person in his in fact accounted, from my under- to play in helping those individuals and job. I am sure he has not slept for days. standing, for over half the deaths re- municipalities that were affected by it. He met us in boots and blue jeans and lated to this storm in the Northeast, Mr. President, I suggest the absence looked like he had not been able to get and yet were not listed as a county eli- of a quorum. into his house, probably even to eat a gible for disaster assistance. That The PRESIDING OFFICER. The meal, in a few days. He has really just caused some legitimate uneasiness to clerk will call the roll. been on the go. where actually their needs and con- The bill clerk proceeded to call the They had a horrible fire in this area cerns were being paid attention to. I roll. I was talking about that was 5 feet am happy to report they were listed in Mr. PELL. Mr. President, I ask unan- under water. They had, unfortunately, the second round. imous consent that the order for the a fire break out last night that de- There are other counties that we quorum call be rescinded. stroyed four historic town homes. And need to look at that I believe have le- The PRESIDING OFFICER. Without luckily no one was injured. The area gitimate needs to be met. Hopefully we objection, it is so ordered. was evacuated obviously and no one can do that, we can do that expedi- f was injured as a resident. But several tiously. I want to join Senator SPECTER of the firefighters, they had to cut in congratulating Secretary Pen˜ a and WORST OILSPILL IN RHODE their way through the ice and wade Director Witt for being up in Pennsyl- ISLAND HISTORY through water, waist high at that time, vania today to survey the damage, to Mr. PELL. Mr. President, I rise to and fight the fire without obviously see the extent of what seemed to be share with my colleagues the latest any fire hoses. They had to string them just a flood. news on what has been identified as the literally blocks to get fire hoses there. I remind you the compounding effect worst oilspill in Rhode Island’s history. My understanding is that a dozen of the ice is something I do not think As many of you may know from news firefighters were carried from the scene anyone recognized. I was in Lancaster accounts, the barge North Cape, car- with hypothermia—a horrible situa- County, which unfortunately has yet to rying a cargo of about 4 million gallons tion. I know Mayor Reed was there the be declared a disaster county. of heating oil, and the tug Scandia

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00012 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S183 grounded off the southern Rhode Island dangered piping plover and the newspapers, but as of yet has been in- coast in the early evening on Friday. Trustom Pond National Wildlife Ref- sufficiently remarked about among the The grounding followed a fire that uge, an environmentally fragile habi- denizens here in the village of Wash- broke out Friday afternoon on the tug, tat. An estimated 75,000 waterfowl live ington. later engulfed the vessel and required in the refuge area, including rare har- Lately we have been in the midst of the subsequent last minute evacuation lequin ducks. one horrific battle over the budget, of the captain and crew by the U.S. Fishing also was banned in a 105 gnashing our teeth, wailing, and howl- Coast Guard. square-mile area, from Point Judith ing to the heavens—it would be the That evacuation was successful be- south to waters east of Block Island. A envy of King Lear—and referring to cause of the enormous courage and number of shellfishing areas also were each other by every manner of cruel skill of the Coast Guard rescue team, closed. epithets. who did not hesitate to put themselves The good news is that Rhode Island- What are the differences that divide at great personal risk to rescue the ers rose to the occasion. Hundreds of us, to occasion this level of hysteria, captain and crew. Rhode Islanders, their efforts coordi- hype, and hoorah and fingerpointing? Coast Guard Fireman Adam Cravey nated by Save the Bay, volunteered to Often the differences are in reality and Seaman Walt Trimble, who were help the emergency response crews by very minimal, such as a difference of the first to arrive at the scene aboard cleaning everything from beaches to all of the sum of $7 as to where Medi- a 44-foot Coast Guard boat, found six birds. The Coast Guard was magnifi- care part B premium should be in the men wearing survival suits huddled on cent in its response. year 2002. That was the entirety of the the bow of the tug—which was engulfed Additional good news came with a difference between the President’s first by fire. phone call from President Clinton to position and the Congress’ position. The six jumped into the water to Governor Almond, assuring him that That is where we drew the first ‘‘battle swim to the Coast Guard boat and Fire- funds would be made available for the line,’’ the first line, the first gauntlet man Cravey, who was in a wet suit and cleanup and fishing industries. thrown. was tethered to the Coast Guard boat, This tragedy has not yet played itself In my view, it would be just as silly jumped in to assist them. All were safe- out, but we should ask some hard ques- to let this difference sink a budget ly ashore about 21⁄2 hours after the first tions when we have all the facts. agreement as it would be to let the size emergency call. Among the most obvious questions, of the tax cut sink an agreement. Mr. President, I want to emphasize that have crossed my mind: Why were These are not sufficient causes, in my that this rescue was conducted under the tug and barge underway in such estimation, to fail to meet our obliga- extremely difficult conditions, includ- treacherous and dangerous weather tion to future generations. ing high winds and rough seas, in the conditions? Should we have weather re- One would know little of the minimal frigid waters of the North Atlantic. lated restrictions on the transpor- size of this difference from watching I understand that the Coast Guard tation of toxic or hazardous materials the evening news, but coincidentally, 7 had warned mariners from Maine to in coastal waterways? Could this inci- bucks was the amount that part B pre- New Jersey of a period of potentially dent have been avoided by better fire- mium stood to go up next year, from dangerous winds from 40 to 50 knots, safety procedures or by a more rapid $46 a month to $53 a month, regardless with higher gusts, and seas from 15 to response? Could it have been mitigated of one’s net worth or income, really 25 feet. by more aggressive prevention and con- not too destructive in society, espe- It was under extraordinarily difficult tainment measures? cially when we do not have any test of winter storm conditions that the Coast It is unfortunate, Mr. President, that income or wealth. Guard effected the rescue and at- this barge was not of the new double- I wonder if all of my colleagues fully tempted, unsuccessfully, to prevent the hulled design—which I have long advo- realize what has been happening out barge and burning tug from running cated. I understand that it leaked from there in the private insurance market aground. The barge, dragging the burn- 9 of its 14 containment holds. A double- while these wretched hostilities have ing tug, grounded in shallow water off hull might have made all the difference been taking place here in Washington. Matunuck Point Beach, near Point Ju- between an incident and a disaster. We have seen some most remarkable dith. Finally, I think that everyone would increases in insurance premiums, and Pounded by strong winds and high benefit from a thorough review of the one of them, ironically enough, comes seas, the 340-foot, single-hull barge coordination of our emergency re- to our gentle citizens courtesy of the began to spill oil early Saturday from sponse to oilspills. We should make American Association of Retired Per- holes in at least two places. Current es- sure that every agency with a role in sons, the AARP. You have heard me timates of the spill are in the range of this crisis, worked smoothly with speak of them before. Yes, I have from 828,000 gallons. every other agency. time to time gently touched upon their Transporation Secretary Frederico It has been a difficult time in Rhode activities. Pen˜ a, Coast Guard Commandant Admi- Island and, unfortunately, our difficul- Now I have in hand an article de- ral Kramek, and other Federal officials ties are not over. We do not yet know scribing how this determined, dedi- came to us in Rhode Island to evaluate the extent of our disaster. On the Fed- cated and obsessed nonprofit organiza- the spill on Saturday, as efforts contin- eral level, we should do all we can to tion is raising its medigap insurance ued to contain the escaping oil and off- expedite the assistance and expertise premiums for the next 6 months, after load what oil remained aboard the that is required for that recovery. which, who knows, they might even barge. In closing, I emphasize the fine job rise again. This is the same AARP, I Rhode Island Gov. Lincoln Almond the Coast Guard did and my own re- remind my colleagues, the courageous appealed for Federal help on Sunday, spect for their gallant service. and dogged defenders of the poor, the declaring a state of emergency and I yield the floor. downtrodden, and the elderly, these are identifying the spill as ‘‘the worst in f the very same folks who descend upon Rhode Island’s history and one of the Washington in droves and hordes to worst ever off the coast of New Eng- HYPOCRISY tell us if Medicare part B premiums land.’’ Mr. SIMPSON. Mr. President, I rise were to go up—these being voluntary The toll on marine life apparently to call the attention of my colleagues premiums, please recall, voluntary pre- has already been heavy. Thousands of today to an item or two that have been miums; you do not have to join—but oil-coated lobsters, dead and living, in the news of late. The theme that that when this terrible thing happens, have washed up along several hundred unites them loosely is the theme of mind you, going from $46 to $53 next yards of beach near the barge. Dozens ‘‘hypocrisy.’’ ‘‘Hypocrisy,’’ I have said, year regardless of your net worth or of seabirds have died and scores more may well be the ‘‘original sin’’ in your income—and you were not forced have been coated in oil. American political life. into it and it was not any part of an The barge is close to Moonstone The first of these subjects has been original contract, you got in because it Beach, a breeding ground for the en- reported upon in many of this Nation’s was the best deal in town—and if it

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00013 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S184 CONGRESSIONAL RECORD — SENATE January 22, 1996 goes up 7 bucks, seniors will be hurled creases, perhaps they will share the word about the condition of America’s public out into the streets in their ragamuffin great secret with us and then we can pension system. garb. Now, that is bah humbug. logically do the same and avoid any Reich’s current campaign means to help Meanwhile—hear this—according to changes in Medicare part B premiums. workers ‘‘know what to look for’’ so they can But so long as the AARP continues ‘‘ask the right questions’’ about their pen- this article, a typical medigap cus- sions. tomer of the AARP will see his or her to rake in hundreds of millions annu- Yet he must know that Americans would monthly premiums rise from $147 to ally in tax-exempt insurance income, I be well-advised to be at least as concerned $178 next year, an increase of $31 a trust they will see the unseemliness of with Social Security. After all, as a member month. any further disgustingly patronizing of its Board of Trustees, he is well-ac- Now, this was very striking to me. lecture to our Government about quainted with the trouble that lies ahead. Let me read from their letter to their ‘‘what to do with Medicare.’’ Fraud in a handful of 401(k) plans deserves aggrieved legions of customers: Let me remind my colleagues again attention, but it is trivial next to the poten- that the AARP is getting a huge share tial for Social Security failure. Without re- ‘‘ * * * because of rising claim costs, a form, Social Security will surely either go rate increase will become necessary as of the take of this premium increase. bankrupt or bankrupt the nation. And trou- of January 1, 1996. Your new rates are They pull in more than $100 million an- ble begins in just 10 years. guaranteed for six months.’’ nually—their current share of the take, In 2005, the Social Security trust fund sur- Let me be sure that every one of us their take—from the contract with pluses are expected to start declining. In understands. If there is any increase at Prudential Insurance. They could, I other words, the program will begin to spend all in Medicare part B premiums, a vol- readily note, give up that pile of new more than it takes in. Instead of masking untary program in which 69 percent of cash and return that money right to the true size of the budget deficit, as it does their membership to offset some of the now, it will begin to add to it. the cost is paid by the ordinary, By 2012, entitlement costs and interest on unbenefited taxpayer, this is decried as effects of this premium increase. It the debt together will consume all federal a ‘‘benefit cut’’ says the AARP. In seems fair. It certainly does. tax revenues. their own propaganda, pumping their Does anyone believe that they will? By 2013, Social Security’s surpluses will health care program, premiums must Would any of my colleagues ever be- turn into deficits. And the overall federal inevitably skyrocket because of inevi- lieve that the AARP will give up its budget deficit will explode. tably, unavoidably—choke, gasp, sob— share of the profit from this lucrative The numbers are staggering. By the year insurance business and return it to the 2020, annual Social Security obligations will ‘‘rising costs.’’ What unadulterated hy- exceed income from payroll taxes by an esti- pocrisy. membership, 3.2 million of their own members, who are getting stuck with mated $232 billion. That grows to $766 billion I do not see anything said here about by 2030. a ‘‘benefit cut’’ to AARP’s members al- this increase? No. For this might make The demographic outlook tells why. In though they are sticking it to their it a little tougher for the AARP to 1940, the average American lived to the age customers more than twice as severely meet the annual—you want to hear of 61, yet today average life expectancy is 76. as anything yet contemplated here for this one—the annual payments of $17 In the next 35 years the number of Ameri- Medicare part B. No, with Medicare million in rent each year on its pala- cans over age 70 will double to 48 million. tial building downtown genially dubbed That leaves just 2.2 workers to support one part B, their yowling answer, eternally retiree, as opposed to 3.3 today and 159 in hurled into the heavens, is always, just the ‘‘Taj Mahal,’’ or the payment of more than $69 million a year in salaries 1940. keep sticking it to the general tax- Part of the problem is the looming retire- payers, never the beneficiary, regard- to themselves—many of them in ment of the Baby Boom. But it goes much less of their wealth, net worth or in- chunks of more than $100,000 per year deeper, to Social Security’s pay-as-you-go come. But when the AARP’s own fi- per person. There are many on the system—less charitably, a Ponzi scheme. nances are right on the line, their cus- AARP payroll who make over $100,000 a The private pension funds that so concern tomers are simply told curtly they are year. And they lease their building for Secretary Reich are funded programs. Social Security is a mere promise to pay. going to have to ‘‘pay up.’’ 17 million big ones every year on a 20- year lease. Figure that up for $8 a Yes, that promise is backed up by the full Yes, Mr. President, health care costs taxation power of the federal government. are going up. Who missed that in month dues. That will run the string But because the trust fund is filled with America? Some of that burden has to for you. IOUs from the government to the govern- be shared. Who has missed that? With No, I suspect they will continue to ment, it is no more capable of paying future Medicare, most of it will be taken up live in splendor here on E Street and benefits than a dry well is of yielding water. by taxpayers, but the beneficiaries leave their poor old customers scram- The notion of a trust fund, therefore, is at need to pick up some of that burden, bling to pay out the extra hundreds of best misleading. At worst, it is accounting dollars a year which they will have to gimmickry of the highest order. too, if this country is going to avoid Future retirees have little chance of re- bankruptcy. That is the truth, and ev- shell out for this premium increase. I trust my colleagues will remember ceiving benefits on a scale anything like eryone in Washington knows it. those of today. Benefits such as they are will It has always been the height of de- this action the next time the AARP be paid either from borrowed money, from ception for the AARP or the National wanders in here—led by ‘‘Edna the En- new debt piled onto the existing $5 trillion Committee for the Preservation of So- forcer’’—claiming to represent the in- national debt or from tax receipts. cial Security and Medicare, or all of terests of America’s elderly. The bot- Because the federal government’s ability the similar tub-thumpers or anyone tom line for this organization is big to borrow is finite, however, increased taxes business, and big profit, pure, and sim- will be the inevitable last resort. else to claim that it is some God-given Current projections assume workers will be right for beneficiaries to be held com- ple. Believe it. The other item which I wish to de- squeezed by taxes to prop up a failing sys- pletely harmless in this process, or tem. Social Security payroll taxes will have scribe for my genial colleagues is an even to pretend that any sharing of to rise from today’s 12.4% of pay to 16.5% in Medicare cost increases is a ‘‘benefit excellent editorial by Gerald Eickhoff 2030. Under less optimistic assumptions, they cut.’’ We see so well here from the in Investor’s Business Daily, entitled could run as high as 37%. AARP’s own actions that they know ‘‘What About Social Security?’’ Contrast this with the fact that in 1950, the I ask unanimous consent this article average family of four paid just 2% of its in- full well that their own stance has been be printed in the RECORD. come to the federal government. That in- stunningly hypocritical. There being no objection, the mate- cluded income and Social Security taxes. I do now have a sensible proposal for rial was ordered to be printed in the You’d get hardly an inkling of this from a the AARP. If they can find a way to casual reading of the Social Security Trust- RECORD, as follows: bring their own membership’s pre- ee’s report. Rather than blowing the whistle [From the Investor’s Business Daily] miums back down to where they were on the trust fund illusion, the Trustees con- WHAT ABOUT SOCIAL SECURITY? before, then only, and only then, can fidently report that the fund ‘‘will be able to (By Gerald E. Eickhoff) they rightly continue to fight so vehe- pay benefits for about 36 years.’’ The picture of Social Security’s future is mently against all premium increases Labor Secretary Reich’s worthy campaign against pension fraud begs a more serious disturbing. But action now can avert a crisis. in Medicare part B. If and when the question: Where is he on Social Security? Lawmakers can prevent Social Security AARP find this presently unknown and The secretary is sounding the alarm on pri- bankruptcy, devastating taxes, job loss and occult way to avoid all premium in- vate pension fraud. Yet he has said nary a an uncertain retirement for millions. With

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00014 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S185 determination and a clear goal, it is possible is. ‘‘But it will need some attention in much opium smoke. That is a phony.’’ to not only save, but to vastly improve So- the years to come.’’ They cannot possibly care if they will cial Security and its ultimate value to You betcha it will. It is $360 billion a not allow us to make the adjustments, Americans. year and we are not even touching it. or at least begin to make the adjust- No other issue has greater potential for fu- ture prosperity or calamity than Social Se- We have a COLA attached to it that ments now. And we all know what we curity reform. We must act now. can be between $4 and $8 billion a year have to do, all of us. And everybody Reich’s educational campaign on private which goes out to people regardless of downtown knows it. And the people of pensions is a good place to start. Social Se- their net worth or their income. It can- America, if they cannot figure all this curity is where we need to end up. not possibly succeed because it was out in the next 10 months, then get Mr. SIMPSON. Mr. Eickhoff notes never a pension. It was an income sup- into the old booth and pull the trigger again the hypocrisy of Washington’s plement. People are living longer and for the other party and say, ‘‘Well, we concern about private pension fraud eating it all up. Now, every day, almost have had enough of that. I do not know while, at the same time, ignoring the 8,000 people, since the 1st of January, what that great experiment was, but, massive problems looming in Social will become 50 years old and they—not boy, when they touched Medicare, oh, Security. As Mr. Eickhoff notes, ‘‘the intentionally—will destroy the system. God, I tell you I rose up. I showed private pension funds that so concern And we know it. And they know it. The them. And Medicaid and Federal retire- Secretary Reich are funded programs. trustees know it. ment and Social Security.’’ Social Security is a mere promise to At least I hope, again, as we open So, in that scenario, those of the pay.’’ That is correct—it is only a this session, that my good colleagues other faith will come into the Halls of promise. The payments promised bear will take a good look at the bipartisan Congress, take over the majority no relation to contributions made by work of Senator BOB KERREY and my- party, and say, ‘‘Boy, aren’t we glad we past or current workers. self, eight bills to restore the solvency saved you from them because now we As the article notes, ‘‘Future retirees of Social Security in the years to are really going to get back to where will have little chance of receiving ben- come, starting now. Now—not 10 years we were before. We are going to let efits on a scale anything like those of from now, not 20 years from now—ex- Medicare go up 10.5 to 12 percent per today. Benefits such as they are will be tending the age of retirement over the year. We will show them. Never do that cruel thing where we are going to let it paid either from borrowed money, from next 30 years so it is an easy step, al- go up only 7 percent a year, or 6.4. We new debt piled onto the existing $5 tril- lowing people to invest 2 percent of are going to let Medicare and Medicaid lion national debt or from tax re- that contribution in a personal invest- go up 10 percent a year. Those were evil ceipts.’’ ment plan and the other 4.5 percent can people trying to let it go up only 6 per- Absolutely. That is the way it will go into, then, the system. cent. We are not going to touch Social be. And let us not forget the projec- ‘‘That means a reduction of bene- Security. We are just going to—well, tions we currently have, that under fits.’’ we might—just add a little payroll tax. current law, if we did everything of the Indeed it does. Doing something with the current ratios with regard to re- That will fall on the people in society hideous programs presented by the ma- tirement, not only for ourselves as who are not organized, who are not jority party, we will still be saddled Congresspersons but all Federal retir- paying $8 a year dues to some organiza- $6.2 trillion in debt by the end of this ees. Doing 30-year budgeting in this tion which is dedicated to seeing how century. We are not doing any heavy particular area. Doing something with much more they can get out of the lifting of any great import. Treasury.’’ ‘‘Tax receipts,’’ that is the phrase. the Consumer Price Index. This is ab- surd. This is a no-brainer. So, that is what is out there and this That is what will darned sure be sought We heard testimony from everyone in can all be averted if, as Mr. Eickhoff to pay for the benefits that have been the United States, the CPI [Consumer notes, we act now to prevent a crisis. promised—especially that pressure to Price Index] was overestimated, from We simply cannot keep waiting until pay it from tax receipts will come from the figure of 0.5 to 2.2. If you just made after the next election. We cannot keep the various seniors’ lobbies. We will the change and let it come down minus saying that Social Security should be just hike the old payroll tax again, just half a percent it comes $157 or $158 bil- ‘‘off the table.’’ We have to adjust to as we did in 1983, and keep hiking it lion in the year 2002. But 10 years out the Consumer Price Index, as more and and keep hiking it on up to 30 percent it is nearly $700 billion in savings. more are beginning to recognize, from of payroll by the year 2030, unless we These are small items now that will the bipartisan Senate group to the ‘‘do something’’ about the growth of overwhelm us 10 or 15 years from now. ‘‘Blue Dog’’ Democrats to the Wash- Social Security and Medicare benefits. And no one is doing anything about it. ington Post, for Heaven’s sake, and we Everybody knows that, too. And the I say again, for the life of me I can- have to phase upward the retirement people who are telling us about the de- not understand what happened to the age and make a number of other mise of Social Security are the trust- people in society between the ages of 18 changes if we are to have any chance of ees of Social Security, one of whom is and 45. They must be totally asleep or repairing this situation. my friend, Robert Reich, whom I enjoy numb, or gone, because they will be So I am very pleased to be working thoroughly. A delightful gentleman. He gone when they are my age because continually with my colleague and and I do not concur on various philo- there will be nothing there unless we friend from Nebraska, BOB KERREY, in sophical items or ideologically. An- begin to make the corrections. And this effort. I continue to hold very seri- other one is Donna Shalala, I have a that is the trustees telling us that, not ous hearings on this matter in the So- similar regard for her, a very able lady. some leftover specter of the past, some cial Security Subcommittee which I And Robert Rubin, another very capa- right-wing cuckoo from 20 years back chair. But I will be having individuals ble person, even though we disagree or some left-wing zany. That is the there before us between the ages of 18 heartily. trustees telling us this is what is going and 50 coming to testify, rather than a Those are the trustees. Those are to happen to Social Security, and we continual stream of people over 60 com- three of them, telling us about the do not even touch it. The President ing to testify. I remind my colleagues doomsday coming. While the present does not touch it. Congress does not that Social Security is a promise to Commissioner of Social Security does touch it. And there are groups out them, too. It does not exist simply to nothing, nothing to tell us how do we there dedicated to see that you do not harvest the votes from today’s retirees. get out of this box. Quit joshing us. touch it. That is what it has become. What are your recommendations? You So, I always say to them, ‘‘Do you We all know that even the Wash- are the Commissioner, Shirley Chater. care about your children and grand- ington Post has been noting of late You are free of the influence of Con- children?″ that it is folly to say that Social Secu- gress and the President. You are an They always say, ‘‘Oh, yes, that is rity is ‘‘off the table.’’ A $360 billion independent agency, so tell us. And we the purpose of our existence, caring for program headed toward certain bank- have nothing coming back except re- our children and grandchildren.’’ ruptcy is ‘‘off the table’’? It is absurd. sounding speeches, tales, anecdotal ma- I say, ‘‘Forget it. I do not want to It is stupid. That cannot work. The terial about how great Social Security hear that one anymore. That is so very least

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00015 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S186 CONGRESSIONAL RECORD — SENATE January 22, 1996 we can do now is to fix the CPI. As I without someone charging that you touching thing. My colleague might say, groups are working to do at the were out to destroy Social Security. surely be most intrigued to know that. present time. Others have lately joined Yet, this plan received five votes from But this Kerrey-Simpson-style pro- in these suggestions. these advisory council members. I posal is now viewed by the advisory So I do hope my colleagues will read think that shows a deep recognition of council itself as a compromise between that article and recall that everything the need for fundamental reform of the differing approaches to reform of the and all things we are doing right now system. system. Who would believe it? on this budget is, or should be, for the Another plan was backed by former So I trust that my colleagues will benefit of future generations. I tell Social Security Commissioner Robert give their earnest attention to the de- people at my town meetings; they do Ball. He would stick very close to some liberations of the Social Security Advi- not hear it always. I tell it wherever I of the more traditional solutions, as sory Council, and note that all those am. Nobody over 60 is going to get Mr. Ball has always done in the past. It who study this issue have concluded dinged at all in this process unless they would turn to increased taxation: im- that fundamental reforms need to be are loaded. And if they are loaded, they posing existing payroll taxes on State made, starting at the very least with might get stuck 20 to 40 bucks more a and local employees; imposing higher reforming the Consumer Price Index. month. If they are not loaded, they will taxes on Social Security benefits, and, I look forward to working with my not get hit at all. People cannot even of course, raising the payroll tax rate. colleagues in the year to come with re- hear that. We cannot go on to ignore We have heard so much of that before. gard to those issues that will come be- this ghastly problem in Social Security But I draw my colleagues’ attention fore the subcommittee which I chair. and yet ever be able to continue to to some of their other proposals. One is I thank the Chair. I thank my col- claim that we have done right by them. to reform the Consumer Price Index. leagues. Finally, Mr. President, I wish to call Bear in mind that this is from the old I yield the floor. the attention of my colleagues to a re- guard, the most traditional defenders f cent article in the Washington Post re- of the existing Social Security system, garding the recommendations forth- the people on this committee, this ad- CHARLES L. KADES—A FOUNDING coming from the Social Security Advi- visory committee, saying now that the FATHER OF MODERN JAPAN sory Council. This is very important. CPI needs to be reformed for the sake Mr. KENNEDY. Mr. President, 50 People are ignoring these things be- of Social Security solvency. We need to years ago next month, Col. Charles L. cause you are not supposed to mention hear that. If we cannot get that done at Kades, an aide on the staff of Gen. these two detonating words—Social Se- all in our current budget process, we Douglas MacArthur, was placed in curity. are truly ‘‘missing the boat.’’ charge of an historic project to mon- But that council was unable to agree Here is something else they suggest. itor and assist in the drafting of a new upon a prescribed solution to the im- Having the Government invest the So- constitution for Japan. Colonel Kades pending Social Security solvency cri- cial Security trust funds in stock mar- worked in obscurity at the time, but he sis, and that is a similar experience ket index funds as opposed to simply did his work brilliantly, and the result- with which I am very familiar. I served buying Government bonds. That is ing constitution he helped draft laid on the President’s Bipartisan Commis- something which Senator KERREY and I the groundwork for Japan to recover sion on Entitlement and Tax Reform. have also proposed here in the Senate. from the ashes of World War II and be- We have no difficulty defining the That would have been absolute heresy come one of the world’s strongest de- problem, and by a vote of 30 to 1 we a short time ago. These members of the mocracies and one of the world’s agreed that it certainly existed. I have advisory council will not go so far as to strongest economies. In no small meas- just shared with you moments ago set up individual accounts; they would ure, that historic success is the result what it is. But when it came time to retain the pooled nature of the pro- of the vision, talent, and commitment solve it, only a hardy few were willing gram. But, still, this would represent a of Charles Kades. to give answers—Senator Bob KERREY, most significant shift from current After his landmark service in Japan, Senator Jack Danforth, Congressman practice. Colonel Kades returned to the United Alex McMillan, Congressman PORTER So I review all of that for my able States and practiced law with great GOSS, PETE PETERSON, and myself, to colleagues so that they will see that distinction for many years in New name a few of them—out of a 32–Mem- the entire spectrum and scholars and York City. He retired in 1976, and ber commission. So I do know what it ‘‘experts’’ on this issue tell us that fun- moved to Heath, MA, where he now is like to struggle for a year to get col- damental reform is absolutely nec- lives at the age of 89. leagues to confront a most serious essary in order for Social Security to Over the years, the true magnitude of problem, only to be overcome and over- survive. At the very least we must re- his historic contribution to Japanese whelmed by the ponderous difficulty of form the CPI and get these retirement democracy has become better known. getting a majority to face before us po- funds somewhere else other than where As the golden anniversary of his golden litical perils inherent in the solution. they are currently are, either into achievement approaches, it is a privi- Although the advisory council was stock funds, or into private retirement lege for me to take this opportunity to unable to develop a consensus solution, accounts, if we are ever to generate the commend the extraordinary leadership there is much that is worth noting in return that will be critically necessary he demonstrated 50 years ago. The dra- the work that they have done. My col- to fund future benefits. matic story of his work was told in de- leagues would do well to study it. I my- I would also note that a third option tail in an excellent article last year in self again plan to have serious hearings was described in this article as a ‘‘half- the Springfield Sunday Republican, on this subject this year in my Finance way house’’ measure. This plan would and I ask unanimous consent that the Committee’s capacity as the chairman provide for two percentage points of article may be printed in the RECORD. of the Subcommittee on Social Secu- the payroll tax to go into a 401(k) or an There being no objection, the article rity and Family Policy. IRA-style plan. And the chairman of was ordered to be printed in the Three plans were voted on by the the council voted for that one. That in- RECORD, as follows: council. One is called the privatization trigued me greatly because I had also [From the Sunday Republican, Springfield, plan, which would take roughly half of joined Senator KERREY in offering a MA, Feb. 19, 1995] the existing contributions to Social Se- plan which had exactly this option as HEATH RETIREE AN UNLIKELY FOUNDING FA- curity and refund them to taxpayers to one of its components. Here they have THER OF JAPAN—LAWS WRITTEN 49 YEARS be invested in IRA’s or 401(k)-type ac- described it as a ‘‘halfway house’’ AGO counts which would earn retirement in- measure. (By Eric Goldscheider) come for them while their previous So- So I, Mr. President—and you have HEATH.—In recent years scores of Japanese cial Security benefits would be cut ac- known me a lifetime—have become, I journalists and constitutional scholars have cordingly. whimsically conjecture, a ‘‘moderate’’ made the trek up to this Western Massachu- A few years ago, you could not even now when it comes to Social Security setts hill town to see an 89-year-old retiree pose a discussion about such a plan reform, which is touching. It is a named Charles L. Kades.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00016 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S187 Not only did he write the Japanese con- As it happens, just before the Japanese MacArthur feared that their work would be stitution but he owns one of the only readily government was caught with its pants down hampered because, with the passage of time, accessible transcripts of the proceedings that by an alert reporter, Kades was in the proc- China and the Soviet Union would get into led to its ratification 49 years ago. ess of preparing a memo arguing that Gen. the position of being able to veto any new Kades (pronounced KAY-dees) is an un- MacArthur had the legal authority to revise constitution. likely founding father of the country that the constitution. This argument rested on FINISHED ON SCHEDULE today boasts the world’s second biggest econ- the text of the Potsdam Declaration in Kades’ group finished their work on sched- omy. Before arriving there as a colonel in which the leaders of the United States, Eng- ule. On Feb. 13 Whitney met with the Japa- Gen. Douglas A. MacArthur’s occupation land and China proclaimed that among the nese group telling Matsumoto that their re- force two weeks after VJ Day in August 1945 terms under which hostilities would cease vision was ‘‘wholly unacceptable to the su- he had never even read anything about the Japanese government had to ‘‘remove all preme commander as a document of freedom Japan. obstacles to the revival and strengthening of and democracy’’ before handing him a copy ‘‘I wasn’t in Japan because I knew any- democratic tendencies among the Japanese of the document drafted by the Americans. thing about Japan, I didn’t know a damn people. (And that) freedom of speech, of reli- The next weeks were devoted to meetings thing about Japan,’’ he said during a recent gion, and of thought, as well as respect for with the Japanese constitutional commis- interview in his unassuming house a couple the fundamental human rights, shall be es- sion to hammer out the final wording of the of miles from the Vermont border. tablished.’’ document that would be submitted to the Nor did he have any special expertise in STANDARDS LACKING Japanese Diet (the equivalent of the U.S. Congress) for ratification. constitutional law. He had studied law and The document the Japanese were working practiced in New York City before the war. The last negotiating session went 34 hours on didn’t live up to this standard. At first without a break. He had some knowledge of the New York Whitney wanted Kades to prepare a memo State constitution because he had to learn it They finished on March 4. Two days later outlining the American objections to the the cabinet and the Emperor accepted it and for some of the corporate cases he handled. draft. Then word came down from Mac- He had also served as the assistant general it was approved by MacArthur that night. Arthur that this would only be a waste of OVERSAW RATIFICATION counsel under two cabinet secretaries in the time ‘‘ending up with a lot of exchanged But this isn’t the end of the story. Roosevelt administration. memos.’’ The decision was made that the None of this adequately prepared him, he In the following months and through the Americans would prepare their own draft. said, for a day he remembers well—February summer, Kades was responsible for over- This is the point at which a mystery about seeing the ratification process of new the 3, 1946. That was the day Major General the Japanese constitution ensued that re- Courtney Whitney put him in charge of a 16- constitution. His instructions were to let the mains unsolved to this day. newly elected legislature amend his docu- member task force assigned to write a draft When Whitney charged Kades and his constitution for the country they were occu- ment in any way as long as they didn’t vio- group with the task of writing the constitu- late the basic principles laid out in the Pots- pying. tion within the week, he handed him some ‘‘I said, ‘When do you want it?’’’ Kades re- dam Declaration. hand-written notes for him to use as a start- Kades recalls that he would be asked what calls. ‘‘He said you better give it to me by ing point. Scholars are still curious whether the end of the week.’’ That was six or seven kinds of changes would violate these prin- these notes reflected the thoughts of Whit- ciples. His response was along the lines of days. ‘‘I was completely flabbergasted be- ney or MacArthur. Justice Stewart Potter’s observations on cause I thought he was going to say ‘a few There are three possibilities, said Kades: pornography, ‘‘I can’t define it but I know it months or June or something like that,’’’ the notes were written by MacArthur, they when I see it.’’ said Kades. were written by Whitney or they were dic- A number of things were changed, such as The story of how he came to be in this po- tated to Whitney by MacArthur. Kades said the striking of a clause under which aliens sition is more involved than simply being he kept those notes in his field safe until the would be accorded equal protection under called into his boss’s office and being given a 1 end of his 3 ⁄2-year tour of duty. When he left the law. Kades was sorry to see that go but task to perform. Kades is glad to tell it but Japan he returned them to Whitney and they he didn’t think he had the mandate to inter- he imposes one rule on himself. He abso- have since disappeared. His hunch is that the vene on such questions. lutely will not comment on current Japanese notes reflected MacArthur’s thinking. The deliberations of the Diet were tran- political debates even though he is often CONSTITUTION TEAM scribed and sent to Kades every day. He kept called upon to do so. those documents and has since had them When Kades and his group set to work on ‘‘They’re none of my business,’’ he tells all bound. Unlike in the U.S. where the Congres- the constitution, the first thing they did was comers. sional Record publishes the proceedings of When Kades arrived in Japan as a member to divide up the task according to their var- Congress, under Japanese law only members of the Government Section of the General ious talents and areas of expertise. Five of of the Diet have access to transcripts of leg- Headquarters of the Supreme Commander of the 16 officers had been lawyers in civilian islative deliberations and they are not al- the Allied Powers (SCAP) there was no talk life. There was a former congressman, the lowed to remove or copy those transcripts. of his office being involved in the business of editor and publisher of a chain of weekly That is how Kades came to be in possession constitution writing. That was to be a job newspapers in North Dakota who had also of one of the only sources scholars interested for the Japanese to do themselves in a com- served as the public relations officer for the in the proceedings can go to. There are other mission headed by Joji Matsumoto, a cor- Norwegian embassy in Washington. A few copies but they are in disarray. porate lawyer and a professor of law at the university professors, a foreign service offi- Once the draft constitution was debated, Tokyo Imperial University. cer and a partner in a Wall Street invest- revised and ultimately ratified by the Diet it ment firm were also part of the team. was promulgated by the Emperor on Novem- PROGRESS WAS NIL Committees comprised of one to three peo- ber 3, 1946, nine months to the day after it The problem was that they weren’t making ple were formed to draft articles on such was conceived by MacArthur, Kades wrote in very much progress. Then an even bigger things as the roles of the executive, the leg- an account of the process published in an problem emerged. A reporter from a leading islature and the judiciary. An academic who American academic journal six years ago. Japanese newspaper swiped a copy of the had at one time edited a journal on the Far The process by which it was introduced by draft they were working on and published it. East headed the committee on the executive. the emperor to take effect six months later ‘‘That is what you would call a ‘scoop,’’’ The foreign service officer was told to deal was in accordance with the process for Kades recounts as a grin spreads across his with questions surrounding treaties. A social amending the constitution laid out by the face. ‘‘The commissioners left a draft on the science professor dealt with civil rights, the Meiji constitution of 1889. ‘‘We wanted as table and went to lunch.’’ banker was the sole member of the finance much legal continuity as possible,’’ said The Americans had this purloined docu- committee and so it went. Kades, in order to give the new document ment translated and found that it was short Between them they collected constitutions ‘‘more force.’’ on democratic reforms and that it didn’t sub- of a dozen other countries from libraries LAWS NEEDED REWRITE stantially revise the Meiji constitution of around Tokyo. Some of them were familiar Still Kades’ work wasn’t finished. After 1889 under which militarism flourished that with various state constitutions from the the constitution was in place, many of the led to the war. For example, in the Meiji United States. Kades emphasizes, though, laws had to be rewritten in order to bring constitution the emperor’s rule was ‘‘sacred that the primary sources they drew on for them into line with the new order. Kades had and inviolable,’’ and in the revised version their work was the existing Japanese con- a hand in this process and was sent a team of the emperor’s rule was to be ‘‘supreme and stitution of 1889 as well as drafts prepared by legal experts from the U.S. to help him. inviolable.’’ some of the political parties in existence at Among them was Alfred Oppler, a judge in The government protested and said that the time. prewar Germany who had been purged by the published draft didn’t accurately reflect Kades isn’t sure why MacArthur was in Hitler. He went to the United States and the work of the commission. ‘‘When the gov- such a hurry for his group to finish the draft. worked as a gardener while teaching himself ernment denied that was the correct version His best guess is that elections had been set English. His help was invaluable, Kades says, we asked them to hand over the correct for the middle of March 1946 and that it was because of his knowledge of German law. The version—it wasn’t very different,’’ says anticipated that the constitution would be- Meiji constitution Kades had taken as a tem- Kades. come a campaign issue. Also, if they delayed, plate was based on the Prussian constitution

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00017 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S188 CONGRESSIONAL RECORD — SENATE January 22, 1996 of its time and was grounded in statutory he shares the view of one of his former as- HONORING LAUZON MAXWELL FOR law rather than the common law traditions sistants, Beate Sirota-Gordon. She main- HIS WORK ON BEHALF OF THE of England and the United States. tains that the Japanese have undergone re- MID-CONTINENT LIBRARIES DURABLE DOCUMENT markable political and economic develop- Mr. ASHCROFT. Mr. President, The Kades constitution has been remark- ment for 49 years under the old document ably durable, a point Kades offers to support that precludes all but a minimal defense today I rise to salute the tireless ef- his contention that it reflected substantive force. ‘‘Article 9 is really a model for peace forts of a Missourian who has worked input from those who would later live under that should not be amended, rather it should and given of his time, and himself for it. ‘‘I don’t think it could have lasted 50 be copied by other countries . . . changing one of our country’s most precious re- years’’ had it been forced on the Japanese, he Article 9 would be a very sad thing,’’ says source, our libraries. The Mid-Con- says. Another reason for its durability, he Sirota-Gordon who, at the age of 22, drafted tinent Public Libraries serve Clay, the women’s rights section of the Kades con- says, is that there are enough groups such as Jackson, and Platte counties in the women, labor unions, and local government stitution. Sirota-Gordon gives Kades a lot of credit Kansas City, MO, area and provide a entities who could stand to lose protection if valuable service to the community. the constitution were tampered with. for what she considers to be a shining mo- ‘‘Women have more rights under the Japa- ment in world history. ‘‘It is an unusual situ- Lauzon Maxwell was selected as nese constitution than in the U.S.,’’ Kades ation when an occupation force is inclined to building manager for the Mid-Con- says. do something beneficent rather than venge- tinent Public Libraries in 1985, after Whenever the idea of revision is raised, all ful,’’ she said in an interview from her home the library was given authority to these groups band together to forestall it. in New York. oversee its own building projects. In The strongest push to revise the constitu- When pressed on Kades’ reactions to at- the next 8 years, Mr. Maxwell oversaw tion came out of the Gulf War in 1990. tempts to update the constitution Takagi One of the most unusual aspects of the said, ‘‘he gave us a very delicate reply.’’ the task of building and remodeling 25 Kades document is Article 9 which prevents Takagi said his paper didn’t publish Kades’ facilities, many times having between Japan from having an army other than a thoughts because ‘‘we are trying to push up three and five projects under construc- minimal self-defense force. This is the basis our revision to our leaders . . . this is a very tion at the same time. Most projects on which the Japanese say they are pre- delicate political and psychological issue so were completed under budget. These cluded from participating in multi-national we are holding on to Mr. Kades’ reply for projects translated into an additional military operations like Desert Storm. now.’’ four branch libraries, four expanded REVISIONS PUSHED After the war, Kades returned to the rel- buildings, and a warehouse for the Mid- A leading Tokyo newspaper, Yomiuri ative obscurity of a New York City lawyer. He bought the house in Heath in 1967 as a Continent Library system totaling an Shimbun, (not the same paper that published additional 381,769 square feet of new or the unauthorized copy of the draft constitu- summer residence and moved there full time when he retired in 1978. He lives there now remodeled facilities between 1985–95. tion 49 years ago) is pushing to revise the Through his hard work and leader- Kades constitution so as to allow the Japa- with his wife Phyllis. nese to increase the strength and scope of its Asked what he likes to do when he isn’t ship in the Mid-Continent Library’s ex- armed forces. A think tank associated with fielding questions about the Japanese con- pansion project, the libraries have pro- that newspaper has even drafted a revised stitution Kades smiles and says, ‘‘drink vided better library services to their constitution. beer.’’ Then he adds, ‘‘in the summer time I clientele in the Kansas City area. Our Partly as a result of this controversy, have to take care of some of the grass libraries are an investment in our com- Kades has become a much sought after inter- around here.’’ He also likes to read about current events and he keeps up on the books munities, and the outstanding services view subject in recent years. Television of Mid-Continent Libraries are a credit crews from England, Australia and the U.S. that come out about Japan. He has been to in addition to several from Japan have come the Far East sometimes visiting the children to their communities. I commend to his home. He estimates that he has given of people he knew when he was there during Lauzon Maxwell for his outstanding 60 interviews in the last several years. the occupation. One of them took him to the service and dedication in the leader- He was invited to Japan where he was office where he and his team wrote the con- ship of the building projects of the li- interviewed by a documentary film crew. He stitution. It now houses the Dai Ichi Insur- braries of Kansas City. They are note- also appeared on the equivalent of one of our ance Co. worthy and exemplary. Sunday morning political talk shows on Reflecting on the heady days 49 years ago, which two leading politicians debated the Kades looks briefly into the fireplace warm- f issue. He has also been sought out by jour- ing his living room and says matter of TRIBUTE TO THE LATE TOM nalists and scholars seeking comments on factly, ‘‘it certainly has changed my retire- GARTH aspects of the post-war occupation about ment.’’ which he has no particular expertise such as Mr. THURMOND. Mr. President, the educational reform and civil liberties. Study f new year started out sadly for the of the occupation ‘‘is a whole industry in members, friends, staff, and alumni of Japan,’’ Kades says. the Boys & Girls Clubs of America THE BAD DEBT BOXSCORE Out of these experiences, Kades has learned when the president of that organiza- that anything he says about current debates Mr. HELMS. Mr. President, before tion, Mr. Tom Garth, passed away. can be distorted. Statements he has made in discussing today’s bad news about the What is today the Boys & Girls Clubs his home in Heath, he says, have resulted in Federal debt, how about another go, as ‘‘indignant’’ phone calls from half way of America can trace its history back around the globe. Even if his statements the British put it, with our pop quiz. to 1860, when the first Boys Club was aren’t distorted, he says, he feels he simply Remember—one question, one answer. opened in Hartford, CT. The streets of isn’t competent to be involved in current The question: How many millions of America’s cities during that period controversies. dollars in a trillion? While you are were not friendly places, they were To make it easier for him to stick to his thinking about it, bear in mind that it often dirty, crowded, and dangerous. self-imposed rule not to talk about potential was the U.S. Congress that ran up the The establishment of Boys and Girls revisions of his constitution, he keeps next enormous Federal debt that is now Clubs gave young men and women not to his phone a typed message that he took about $12 billion shy of $5 trillion. from a speech by former Secretary of State only a safe haven from the temptations Cyrus Vance saying that ‘‘outsiders should To be exact, as of the close of busi- and evils of urban settings, but also al- keep their hands off’’ Japan’s internal af- ness Friday, January 19, the total Fed- lowed them to pursue activities that fairs. eral debt—down to the penny—stood at developed their minds and bodies. One of the people most interested in Kades’ $4,988,397,941,589.45. Another depressing While our Nation has grown and comments was Kikuro Takagi, a senior edi- figure means that on a per capita basis, changed in many ways in the last 136 tor of Yomiuri Shimbun—the largest circu- every man, woman, and child in Amer- years, much remains the same. Con- lating newspaper in the world. Takagi lives ica owes $18,934.39. temporary America is a place with an in New York City and he is among those who trekked to Heath to seek a comment on the Mr. President, back to our quiz—how abundance of obstacles for our young- new draft constitution his newspaper is pro- many million in a trillion?: There are a est citizens. In our cities, drugs and moting. Kades refused to even read it in his million million in a trillion, which gangs present a deadly lure to urban presence. means that the Federal Government children; and in our suburbs, teenagers MODEL FOR PEACE will shortly owe $5 million million. are easily bored by the stale environ- Reached in New York, Takagi says he Now who’s not in favor of balancing ment which monotonous suburbs cre- thinks Kades opposes the revisions and that the Federal budget? ate and juveniles are often enticed into

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00018 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S189 destructive activities. If anything, TRIBUTE TO THE LATE ADRIENNE Brown, dressed in black and wearing sun- there is an equal, and perhaps even BROWN glasses, blew a kiss to the 100 or so people greater, need for Boys & Girls Clubs in lining the street outside who were unable to Mr. THURMOND. Mr. President, ear- get a seat in the theater. the United States of today. As the lier this month a tragedy befell James He did not speak during the funeral. president of the Boys and Girls Clubs of Brown, one of South Carolina’s most ‘‘She loved James very much,’’ said Al Mil- America, Tom Garth recognized that famous sons and one of America’s most ler, a family friend. He was so distraught he fact, and he worked hard to create an beloved entertainers, when his wife could speak only a few words. organization that would effectively Adrienne passed away. The glossy black casket was covered with reach out to today’s children and offer James and ‘‘Alfie,’’ as Adrienne was a hugh spray of red roses, and scores of other them an attractive alternative to run- affectionately called, had been married flower arrangements covered the stage around it. ning afoul of the law. for 10 years and were fixtures of Au- gusta, Georgia and the ‘‘Georgialina’’ A large portrait of Mrs. Brown was sus- Mr. Garth began his career with the pended over the casket, and a white cross area, a region of the Savannah River was projected on the curtain at the back of Boys & Girls Clubs as the games room Valley which includes a number of cit- director of the Boys Club in East Saint the stage. ies and towns on both sides of the After the service, Mrs. Brown was buried Louis, a city well known for being a South Carolina and Georgia stateline. at Walker Memorial Gardens. tough town where opportunities for its The two met back in 1981 when James Nancy Thurmond, wife of Sen. Strom citizens, especially its children, are Brown appeared on the popular syn- Thurmond, R-S.C., and a close friend of Mrs. scarce. Working in such an environ- dicated television show ‘‘Solid Gold’’. Brown, said she had ‘‘devoted herself to help- ment had a tremendous effect on Mr. A native of California, Adrienne was ing James Brown continue leading the world Garth and would help influence how he working in the entertainment industry as the Godfather of Soul.’’ would run the Boys & Girls Clubs of ‘‘She showed great courage in combining at that time, contributing to the pro- the public arena with private life. She was America when he became president of duction of programs such as ‘‘Days of often in the lonely fringe throughout it all. that organization in 1988. Our Lives’’ and ‘‘The Young and the She had a tremendous giving heart,’’ Mrs. By all accounts, the tenure of Tom Restless’’, as well as being employed as Thurmond said. Garth was a successful period in the an artist by NBC television. The Rev. Reginald D. Simmons, who offi- After their courtship began, Adrienne ciated at the service, said the Browns’ 10- history of the Boys & Girls Clubs of became very active in Mr. Brown’s en- year marriage was strong despite some tu- America. Under his leadership, this or- tertainment ventures, and some have mult. ganization established hundreds of new even credited her as being a key ele- He said he talked to her two days before clubs in areas where positive activities ment in his becoming popular with a she died, and she was looking forward to for children were desperately needed, coming home. whole new generation of music lovers. ‘‘God gave her a husband. Despite things contributions to the organization in- Her passion for the entertainment in- creased, and most significantly, the down, up or turned around, he was steadfast dustry and sense for business led her to and unyielding,’’ Simmons said. ‘‘Their rela- membership of the organization has become chief executive officer of Alfie tionship was going to be for better or for more than doubled, growing to include Enterprises and the James Brown worse. Her life was filled with mostly good 2,300,000 boys and girls. This is an im- Dancing Stars, as well as the executive things.’’ pressive accomplishment and a proud producer of the ‘‘James Brown’s Living Mrs. Brown had accused her husband at legacy for Mr. Garth to have achieved. in America’’ pay-per-view television least three times of assault, but each time show. The Browns were married in 1985, she either withdrew the accusations or the Mr. President, I have long been a sup- charges were dismissed. porter of the Boys & Girls Clubs of and their decade long marriage was one Brown, 62, denied beating his wife and said America, and it was a pleasure to come that was filled with strong feelings be- in November that she was being treated for to know Mr. Garth over the many tween husband and wife, and many drug addiction. years he was with the organization. He marveled at the bonds that held the The Browns met in 1981 on the set of the was a man with a clear vision of what two together. TV music show ‘‘Solid Gold,’’ where she was On January 16, after a memorial a hair stylist. he wanted the Boys & Girls Clubs to be service that was attended by an over- They lived in nearby Beech Island, but and what it would take to meet those flow crowd of more than 800 family, Brown maintained his offices and recording goals. I am told that one of his last re- friends, and admirers, Alfie Brown was studio in Augusta, where he got his start. quests was to those who he left behind A memorial service was held last week in laid to rest. The Charleston Post & at the Boys & Girls Clubs of America, Los Angeles, Mrs. Brown’s hometown. Courier carried an article about the urging them to work to ensure that by Several stars, including singer Little Rich- service which I think captures the es- ard, attended. the year 2000, 3 million children would teem in which this woman was held f be served by the clubs. That is a wor- and I ask unanimous consent that it be thy goal and one which each of us in included in the RECORD following my NOTICE OF ADOPTION OF this Chamber would do well to support remarks. PROCEDURAL RULES and help bring to fruition. There being no objection, the article Mr. THURMOND. Mr. President, pur- Tom Garth was a man with tremen- was ordered to be printed in the suant to the Congressional Account- dous drive and determination, and RECORD, as follows: ability Act of 1995, a Notice of Adop- without question, he could have risen [From the Charleston Post & Courier, Jan. tion of Regulations and Submission for to head any of America’s leading cor- 16, 1996] Approval and Issuance of Interim Reg- porations. Instead of being motivated SOUL SINGER BROWN BURIES HIS WIFE ulations, together with a copy of the by the notion of a successful and finan- AUGUSTA.—Soul singer James Brown bur- adopted regulations, was submitted by cially rewarding business career, Tom ied his wife Tuesday after a funeral in a his- toric theater overflowing with mourners. the Office of Compliance, U.S. Con- Garth was motivated by a desire to New York activist the Rev. Al Sharpton gress. These regulations relate to irreg- make a difference and to make sure was among the more than 800 friends, rel- ular work schedules and interns. The that the young people of the United atives and fans who filled the Imperial The- notice announces the adoption of the States who needed a helping hand, a atre to console Brown on the death of his final regulation as an interim regula- safe haven, or a role model, were given wife, Adrienne. tion on the same matters. The Congres- them. Through his 40-year career with ‘‘She was one of the few people around him who didn’t want anything from him except sional Accountability Act specifies the Boys & Girls Clubs, he gave mil- to be James Brown,’’ Sharpton said. that the Notice and regulations be lions of children more than a fighting ‘‘Mr. Brown, you face a lonely time. Re- printed in the CONGRESSIONAL RECORD, chance to grow into productive mem- member you have what most stars never therefore I ask unanimous consent that bers of society, and he has truly had a have—someone who loves you,’’ he said. the notice and adopted regulations be Mrs. Brown, 45, died in Los Angeles Jan. 6, positive impact on this Nation through printed in the RECORD. two days after undergoing cosmetic surgery. his work. He will be missed by all those Officials at the Los Angeles County coro- There being no objection, the mate- who knew him, and we join his widow, ner’s office have ruled out foul play, but they rial was ordered to be printed in the Irene, in mourning his loss. haven’t determined what caused her death. RECORD, as follows:

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00019 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S190 CONGRESSIONAL RECORD — SENATE January 22, 1996

OFFICE OF COMPLIANCE—THE CONGRESSIONAL schedules regulation. Comments were re- ment would exclude arrangements consid- ACCOUNTABILITY ACT OF 1995: EXTENSION OF ceived from employing offices, trade and pro- ered valid under current internship practice. RIGHTS AND PROTECTIONS UNDER THE FAIR fessional associations, advocacy organiza- The Board does not believe Congress in- LABOR STANDARDS ACT OF 1938 (INTERNS; tions, a labor organization, and Members of tended to preclude internships during a IRREGULAR WORK SCHEDULES) Congress. In addition, the Office has sought teacher’s sabbatical year or between under- NOTICE OF ADOPTION OF REGULATIONS AND SUB- consultations with the Department of Labor graduate and graduate school. Therefore, the MISSION FOR APPROVAL AND ISSUANCE OF IN- regarding the proposed regulations, pursuant Board does not recommend that such a re- TERIM REGULATIONS to section 304(g) of the CAA. After consid- quirement be imposed. Instead, the Board Summary: The Board of Directors, Office ering the comments received in response to shall modify subpart (a) of the regulation to of Compliance, after considering comments the proposed rule, the Board has adopted and state that an employee must be performing to its general Notice of Proposed Rule- is submitting these regulations for approval services in the employing office as part of a making published October 11, 1995 in the by the Congress. Moreover, pursuant to sec- demonstrated educational plan which should Congressional Record, has adopted, and is tions 411 and 304, the Board is issuing such be in writing and signed by both. In the submitting for approval by the Congress, regulations as interim regulations. The Board’s view, this requirement would be sat- final regulations to implement sections Board is also adopting and issuing such regu- isfied where the intern is enrolled in a degree 203(a)(2) and 203(c)(3) of the Congressional lations as interim regulations for the House, program at an educational institution or Accountability Act of 1995 (‘‘CAA’’). The the Senate and the employing offices of the where the intern’s employment is part of an Board is also adopting and issuing such regu- instrumentalities effective on January 23, educational program or plan agreed upon be- lations as interim regulations for the House, 1996 or on the dates upon which appropriate tween the employing office and the intern. In the Senate and the employing offices of the resolutions are passed, whichever is later. the Board’s view, these requirements will instrumentalities effective on January 23, The interim regulations shall expire on April satisfactorily decrease the risk of abuse of 1996 or on the dates upon which appropriate 15, 1996 or on the dates on which appropriate this provision by any employing office. resolutions are passed, whichever is later. resolutions concerning the Board’s final reg- 2. Subpart (b): Requirement that the indi- The interim regulations shall expire on April ulations are passed by the House and the vidual be appointed ‘‘on a temporary basis for 15, 1996 or on the dates on which appropriate Senate, respectively. a period not to exceed one academic semester resolutions concerning the Board’s final reg- I. DEFINITION OF ‘‘INTERNS’’ (including the period between semesters); pro- vided that an intern may be reappointed for one ulations are passed by the House and the A. Summary of Proposed Regulation Senate, respectively. succeeding temporary period’’ The proposed regulation defined the term Subpart (b) of the proposed rule set out the For Further Information Contact: Execu- ‘‘intern’’ to be any individual who: ‘‘(a) is tive Director, Office of Compliance, Room second criterion for determining whether an performing services in an employing office as individual in an employing office would be LA 200, Library of Congress, Washington, part of the pursuit of the individual’s edu- D.C. 20540–1999. Telephone: (202) 724–9250. an ‘‘intern’’: that the individual be appointed cational objectives,’’ and ‘‘(b) is appointed on ‘‘on a temporary basis for a period not to ex- Background and Summary a temporary basis for a period not to exceed ceed one academic semester (including the Supplementary Information: The Congres- one academic semester (including the period period between semesters); provided that an sional Accountability Act of 1995 (‘‘CAA’’), between semesters); provided that an intern intern may be reappointed for one suc- Pub. L. 104–1, 109 Stat. 3, was enacted on Jan- may be reappointed for one succeeding tem- ceeding temporary period.’’ uary 23, 1995. 2 U.S.C. sections 1301 et seq. In porary period.’’ All six commenters suggested that the general, the CAA applies the rights and pro- B. Summary of Comments Board modify the proposed regulation to de- tections of eleven federal labor and employ- Six comments were received regarding the fine a specific, determinative time limit for ment law statutes to covered employees and proposed definition of ‘‘intern’’ in the Notice an internship to qualify under the regula- employing offices within the legislative of Proposed Rulemaking. The commenters tion’s definition. The commenters suggested branch. In addition, the statute establishes agreed with the approach taken in the pro- that the length of time for a qualifying in- the Office of Compliance (‘‘Office’’) with a posed regulation. However, commenters sug- ternship (and any extension thereof) under Board of Directors (‘‘Board’’) as ‘‘an inde- gested that the proposed definition of ‘‘in- this part be expressed as a defined term of pendent office within the legislative branch terns’’ was vague or overbroad in one or days or months. Commenters suggested peri- of the Federal Government.’’ Section 203(a) more respects. After considering these com- ods ranging from ‘‘120 days in any 12-month of the CAA applies the rights and protections ments, the Board has decided to modify the period,’’ to ‘‘5 months,’’ to ‘‘9 months.’’ of subsections a(1) and (d) of section 6, sec- regulation, as discussed below. Three commenters suggested that the term tion 7, and section 12(c) of the Fair Labor ‘‘academic semester’’ is ambiguous because Standards Act of 1938 (‘‘FLSA’’) (29 U.S.C. 1. Subpart (a): Requirement that an intern many educational institutions divide their 206(a)(1) and (d), 207, and 212(c)) to covered ‘‘perform[] service as part of the pursuit of the academic calendars into ‘‘trimesters’’ or employees and employing offices. 2 U.S.C. individual’s educational objectives’’ ‘‘terms’’ of varying duration as well as ‘‘se- section 1313. Sections 203(c) and 304 of the Subpart 1(a) of the proposed regulation es- mesters.’’ Similarly, some commenters CAA directs the Board to issue regulations tablished as the first criterion for eligibility found the provision that an intern may be to implement the section. 2 U.S.C. sections as an ‘‘intern’’ that the individual must be reappointed for one succeeding ‘‘temporary 1313(c), 1384. ‘‘performing services in an employing office period’’ ambiguous because the term ‘‘tem- Section 203(c)(2) of the CAA directs the as part of the pursuit of the individual’s edu- porary period’’ was not defined and could be Board to issue substantive regulations that cational objectives’’ (emphasis added). subject to varying interpretations. ‘‘shall be the same as substantive regula- Two commenters expressly approved of One commenter quoted the following pro- tions issued by the Secretary of Labor . . . this subpart, and recommended that the vision of section 3 of H.Res. 359, contained in except insofar as the Board may determine, Board not change it. One commenter argued 2 U.S.C. section 92 (Note): ‘‘interns shall be for good cause shown . . . that a modification that this criterion was overbroad and would employed primarily for their educational ex- of such regulations would be more effective be subject to potential abuse by employing perience in Washington, District of Colum- for the implementation of the rights and pro- offices because the intern need not be en- bia, for a period not to exceed one hundred tections under’’ the CAA. 2 U.S.C. section rolled in an educational program in a degree- and twenty days in one year . . .’’ This com- 1313(c)(2). However, section 203(a)(2) excludes awarding institution. This commenter menter suggested that the reference to one ‘‘interns’’ as defined by Board regulations opined that virtually all employees view academic semester be changed to ‘‘120 days from the definition of ‘‘covered employee’’ their employment as a way to achieve some in any 12 month period’’ to ensure consist- for the purpose of FLSA rights and protec- ‘‘educational objective,’’ since most hope to ency with this provision. tions. Additionally, section 203(c)(3) of the get on-the-job experience that will qualify One commenter stated that the one semes- CAA directs the Board to issue regulations them for better paying opportunities. In the ter time limit may be too short, since many for employees ‘‘whose work schedules di- view of this commenter, an employing office of the schools from which employing offices rectly depend on the schedule of the House of could easily characterize the individual’s recruit interns administer their internship Representatives or the Senate’’ that shall be work as ‘‘in pursuit of educational objec- programs on an annual, as opposed to semes- ‘‘comparable to’’, rather than ‘‘the same as’’, tives’’ to avoid its FLSA obligations. This ter, basis. This commenter suggested that, the provisions of the FLSA that apply to em- commenter recommended that an alter- under the current definition, employing of- ployees who have irregular work schedules. native definition of ‘‘intern’’ be adopted—one fices will be unable to attract top-level in- On October 11, 1995, the Board published a that would be modeled on the elements used terns and the efficiency of the offices will be Notice of Proposed Rulemaking (‘‘NPR’’) in to determine the status of ‘‘trainees’’ under undermined. The commenter suggested the the Congressional Record (141 Cong. R. the FLSA, which specifies that the indi- applicable time limit for an intern position S15025 (daily ed., October 11, 1995)), inviting vidual must be a student enrolled in a degree should be one year, defined as two consecu- comments from interested parties on the program at an educational institution to tive semesters. proposed regulations relating to ‘‘interns’’ qualify. Another commenter suggested the regula- and ‘‘irregular work schedules.’’ Six com- In the Board’s considered judgment, re- tion should specify that summer internships ments were received responding to the pro- quiring an intern to be enrolled in a degree are acceptable under the rule. This com- posed regulatory definition of ‘‘interns,’’ and program at an educational institution would menter also recommended that the regula- thirteen on the proposed irregular work be unduly restrictive because such a require- tion expressly state that the definition of

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00020 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S191 ‘‘intern’’ ‘‘is not intended to cover other fices could provide compensatory time off in considered the sole irregular work schedule similar job positions such as volunteers or lieu of overtime compensation to employees provision applicable to covered employees or fellows, nor does it cover pages,’’ which is whose work schedules ‘‘directly depended’’ whether, in addition, section 203 of the CAA stated in the Summary section of the NPR on the schedules of the House or the Senate. applies the irregular hours provision of sec- regarding this proposed regulation (141 Cong. (See 29 U.S.C section 207 (o)). tion 7(f) of the FLSA to covered employees R. S15025 (daily ed., October 11, 1995)). In addition to inviting general comments whose work schedules do not directly depend The Board agrees that subpart (b) of the on the regulation proposed in the NPR, the on the schedule of the House or Senate. proposed regulation should be modified (1) to Board invited comments on four specific Two commenters believed that the CAA al- allow for the appointment and reappoint- issues: (1) whether the regulation should be lows an irregular work schedule provision ment of interns for periods of varying length considered the sole irregular work schedules only for employees whose work schedules di- and (2) to state a definite maximum term for provision applicable to covered employees or rectly depend on the schedules of the House the entire internship, including any re- whether, in addition, section 203 of the CAA or the Senate. Thus, the proposed regulation appointment periods. After considering the applies the irregular hours provision of sec- should be the sole irregular work schedule alternatives suggested by the commenters, tion 7(f) of the FLSA with respect to covered provision. the Board shall modify the proposed regula- employees whose work schedules do not di- Conversely, three commenters suggested that the proposed rule should not be the sole tion to state that an intern may be ap- rectly depend on the schedules of the House irregular work schedule provision but that pointed for periods of any length, so long as or the Senate; (2) whether the contracts and the Board should implement a second rule on the total period of internship does not exceed agreements referenced in section 2 of the irregular work schedules which applies to 12 months. This definition expresses the proposed regulation (so-called ‘‘Belo’’ agree- covered employees other than those whose Board’s understanding of the term ‘‘aca- ments) can or should be permitted to provide schedules directly depend on the schedule of demic semester’’ in the proposed regulation for a guaranty of pay for more than 60 hours the House or Senate. These commenters and adopts the suggestion that the intern- and whether the terms and use of such con- noted that section 203 of the CAA expressly ship be subject to a defined time period tracts and agreements should differ in some applies the entirety of section 7 of the FLSA unconnected to the academic calendar of any other matter from those permitted in the to covered employees. Consequently, under particular educational institution. private sector; (3) whether and to what ex- the view of these commenters, section 7(f), The Board notes that, since the final regu- tent the regulations may and should vary in the irregular work schedule provision of the lation allows internships for periods of any other respect from the provisions of sec- FLSA, should apply to all covered employ- longer than 120 days in one year, under tion 7(f) of the FLSA; and (4) whether and to ees, not just to those whose schedules di- H.Res. 359, a Member who chooses to employ what extent section 7(o) of the FLSA is an rectly depend on that of the House or Sen- an intern for longer than 120 days in a year appropriate model for the Board’s compen- ate. may be required by House rules to count satory time off regulations and whether and In addition to the issue of the general ap- that intern against the 18 permanent clerk- to what extent the Board’s regulations plicability of 7(f), the NPR posed the more hire allotment. However, nothing in the should vary from the provisions of section specific questions of (1) whether the con- Board’s final regulation requires an employ- 7(o) of the FLSA. tracts or agreements referenced in 7(f) can or ing office to employ an intern for the entire The Board has carefully reviewed the pub- should be incorporated into the CAA’s regu- period permitted by the definition; the final lic comments received in response to the lations so as to provide for a guaranty of pay regulation simply sets a maximum period NPR and has further studied both the text for more than 60 hours; and (2) whether the within which an internship may qualify to and the legislative history of sections terms and use of such contracts or agree- meet the exclusion of section 203(a)(2) of the 203(a)(3) and 203(c)(3), as well as the provi- ment should differ in some other manner CAA. Employing offices (or the House itself) sions governing overtime compensation from those permitted in the private sector. are free to impose more stringent limita- under section 7 of the FLSA. After doing so, Three commenters specifically stated that tions on their employment of interns. The the Board has concluded that the regulations the 60-hour maximum should apply to the definition of ‘‘intern’’ in the final regulation relating to irregular work schedules should, proposed regulation, again relying on the ra- establishes only the CAA’s ceiling on the pe- consistent with both the special rules of sec- tionale that the CAA requires that the riod of time an intern may be employed and tions 203(a)(3) and 203(c)(3) and established Board’s rules be the same as those which still meet the exclusion of section 203(a)(2) of interpretations of the FLSA, be as follows: apply to the private sector. Further, several the CAA. First, for employees whose schedules di- commenters stated that, in general, the The regulation shall also state that the rectly depend upon the schedules of the Board’s regulations which implement the definition of ‘‘intern’’ does not cover volun- House of Representatives or the Senate, the CAA should not deviate from those regula- teers, fellows or pages, as suggested by a substantive regulations shall provide that an tions applicable under the FLSA to the pri- commenter. The Board believes that, as eligible employee is entitled to overtime vate sector—which implicitly includes modified, this definition makes clear that compensation for working in excess of 40 ‘‘Belo’’ plans. summer internships may meet the defini- hours but less than 60 hours in a workweek Several commenters addressed the ques- tion, provided that the other criteria of the and is further entitled to overtime com- tion of whether, as a general matter, the rule on irregular work schedules should vary regulation are met. Therefore, the explicit pensation or compensatory time off for hours from section 7(f) of the FLSA. All agreed statement to that effect suggested by a com- worked in excess of 60 hours in a workweek. that the regulation should not vary from menter is unnecessary. An employee’s schedule shall be deemed to section 7(f) of the FLSA. Two commenters ‘‘directly depend’’ upon the schedule of the II. IRREGULAR WORK SCHEDULES contended that the CAA applies the FLSA to House or the Senate where the eligible em- A. Introduction the legislative branch in the identical man- ployee performs work that directly supports Section 203(c)(3) of the CAA directs the ner that the FLSA applies to the private sec- the conduct of legislative or other business Board to issue regulations for employees tor. One commenter argued that the rule on in the chamber and works hours that regu- ‘‘whose work schedules directly depend on irregular work schedules should include pro- larly change in response to the schedule of the schedule of the House of Representatives visions for compensatory time off because the House or the Senate. the Board’s rule need only be ‘‘comparable’’ or the Senate that shall be comparable to Second, for other employees whose sched- to section 7(f) of the FLSA. the provisions of the Fair Labor Standards ules do not ‘‘directly depend’’ upon the Act of 1938 that apply to employees who have House or Senate schedule but who neverthe- 2. Definition of ‘‘directly depends’’ under irregular schedules.’’ Section 203(a)(3) states less work irregular or fluctuating work section 1 of the proposed regulation that, ‘‘[e]xcept as provided in regulations schedules, the provisions of sections 203(a)(3) Section 1 of the proposed regulation stated under subsection (c)(3), covered employees and 203(c)(3) of the CAA do not apply and that a covered employee’s work schedule ‘‘di- may not receive compensatory time in lieu compensatory time off should not be avail- rectly depends’’ on the schedule of the House of overtime compensation.’’ able. Employing offices may nevertheless of Representatives ‘‘only if the employee’s Section 1 of the rule proposed in the NPR adopt any of several options, generally avail- workweek arrangement requires that the developed a standard for determining wheth- able under the FLSA, which satisfy overtime employee be scheduled to work during the er an individual’s work schedule ‘‘directly payment requirements in the context of ir- hours that the House or Senate is in session depends’’ on the schedule of the House of regular or fluctuating work schedules. The and the employee may not schedule vaca- Representatives or the Senate.’’ In sections 2 availability of these options addresses many tion, personal or other leave or time off dur- and 3 of the rule proposed in the NPR, the of the concerns expressed in the comments ing those hours, absent emergencies and Board proposed two irregular work schedule received in response to the NPR. leaves mandated by law.’’ The proposed rule provisions which would be applicable to such further stated that an employee’s schedule B. Summary of Comments employees. Section 2 of the proposed regula- on days the House or the Senate is not in tion, which allowed for the use of so-called 1. Applicability of 7(f) of the FLSA under the session does not affect the question of ‘‘Belo’’ agreements, was modeled almost ver- CAA whether the employee’s schedule directly de- batim on the requirements of section 7(f) of In the NPR the Board asked several ques- pends on that of the House or the Senate. the FLSA. (See 29 U.S.C. section 207(f)). Sec- tions regarding the applicability of section Seven commenters had concerns about the tion 3 of the proposed regulation, which was 7(f) of the FLSA under the CAA. The com- definition of when an employee’s work sched- modeled on section 7(o) of the FLSA, estab- menters were divided on the question of ule ‘‘directly depends’’ on the schedule of the lished conditions under which employing of- whether the proposed regulation should be House or the Senate.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00021 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S192 CONGRESSIONAL RECORD — SENATE January 22, 1996 Four commenters found the definition too work week.’’ According to this commenter, jected. Finally, these commenters cite var- narrow, citing examples of covered employ- section 774.406 of those regulations states ious floor statements given during the de- ees who work for committees or support of- that, if the employee’s hours fluctuate only bate on the CAA, which, they claim, state fices or agencies who they thought would not above the maximum workweek prescribed in that compensatory time off is not available fit into a strict reading of the proposed regu- the statute, the employee’s schedule is not under the CAA. lation. These commenters said that employ- considered irregular. This commenter in- One commenter argued that section ees of those offices who frequently must sisted that the Board’s proposed rule failed 203(c)(3) of the CAA gives the Board discre- serve the Senate or the House ‘‘until the to include a provision that would require the tion to authorize the use of compensatory conclusion of specified legislative sessions or employee’s hours, at some point, to fall time only if the ‘‘provisions of the [FLSA] specified legislative business’’ have sched- below the normal workweek schedule. This that apply to employees who have irregular ules that are determined by the House or the commenter saw this omission as creating an schedules’’ authorize such overtime. This Senate, and not by their employing offices. opportunity for employing offices simply to commenter pointed to the Interpretative Further, these commenters said that em- mandate that these employees be at work Bulletin found at 29 C.F.R. section 778.114, ploying offices frequently limit severely whenever the House or the Senate is in ses- which allows fixed salaries for fluctuating their employees’’ ability to take leave dur- sion, as well as working a regular forty-hour workweeks, and argued that the Board is not ing these times, absent an emergency. The week when the House or the Senate is not in permitted to authorize compensatory time commenters claimed that, because the pro- session. off under its irregular work schedule regula- posed rule requires that the employee’s posi- A second commenter read the proposed tion except insofar as time off would have to tion must require them to be on duty when- rule as potentially allowing employing of- be offered and utilized pursuant to this In- ever the House or the Senate is in session, it fices to include employees under the irreg- terpretative Bulletin, i.e., not at all. excludes the employees of those offices and ular work schedule provision when, in fact, Conversely, five commenters suggested committees whose schedules are clearly those employees do not work irregular hours that authorizing compensatory time off in mandated by that of the House or the Senate or have workweeks of fewer than forty lieu of overtime pay under the proposed reg- but who are not necessarily required to be at hours. This commenter suggested that the ulations is appropriate under the FLSA as work during every hour the House or the Board should clarify the rule to provide that applied by section 203 of the CAA. Further, Senate is in session. These commenters fur- an employee’s schedule ‘‘directly depends’’ three of these commenters specifically stat- ed that section 7(o) of the FLSA is an appro- ther asserted that these employees may, on on the schedule of the House or the Senate priate model for the Board’s regulations on occasion, take leave while the House or the when ‘‘the employees must, as a result of compensatory time off. One commenter, cit- Senate is in session, when their issue areas that schedule, actually work workweeks ing a report that accompanied H.R. 4822, in or responsibilities are not scheduled for de- which fluctuate significantly.’’ the 103rd Congress, the predecessor to the bate and that this too would make them in- Finally, one commenter read the proposed CAA (S. Rep. No. 397, 103d Cong., 2d Sess. 18 eligible under the proposed irregular work definition as either too narrow, or too broad, (1994)), stated that the question of compen- schedule provision. These commenters ex- depending on the intended meaning of the satory time off was specifically addressed by pressed concern that, if such employees do phrase ‘‘during the hours that the House or the Congress and that section 7(o) of the not qualify for the irregular work schedule Senate is in session.’’ This commenter ob- FLSA was approved as the appropriate model provision, many employing offices will not served that, if one interprets this phrase as for determining accrual and use of compen- be able to afford the overtime their employ- requiring only that some of the employee’s satory time off. Since H.R. 4822 was substan- ees presently put in on a regular basis. Apart work hours coincide with the hours the tially the same as S.2, the bill which ulti- from the actual monetary cost, these com- House or the Senate is in session, the defini- mately was enacted as the CAA, this com- menters could not see how such offices would tion is too broad because virtually every be able to anticipate adequately the amounts menter concluded that this ‘‘legislative his- House or Senate employee that works on tory’’ suggests that a regulation authorizing of overtime they will have to pay when plan- Capitol Hill would qualify. This commenter ning their budgets because of the uncer- compensatory time off and modeled after also observed that, if the phrase is read section 7(o) must also be acceptable under tainty in their schedules. strictly to mean that an employee must Another commenter suggested that the the CAA. work all of the hours that the House or the One commenter offered two further com- rule should also make clear that employees Senate is in session, the definition is too can be granted time away from work, or ments on the proposed rule. First, this com- narrow, for the same reasons given by the menter suggested that compensatory time work on a reduced hour schedule, while the four commenters discussed above. This com- House or the Senate is not in session, and off earned prior to January 23, 1996, should be menter suggested that a better definition of used in accordance with the policies in effect still be covered by the irregular work sched- when an employee’s schedule ‘‘directly de- ule provision. This commenter also sug- at the time that the compensatory time was pends’’ on the schedule of the House or the accrued, including policies governing pay- gested that the regulations should give em- Senate is when ‘‘the employee’s work sched- ment for unused compensatory time upon ploying offices authority to determine ule is dictated primarily by the schedule of termination of employment. According to whether schedules for their employees di- the [House or the] Senate.’’ this commenter, if no prior policies existed rectly depend on the schedule of the House for use of compensatory time off, then the or the Senate. 3. Availability of compensatory time off and A third commenter suggested that the the applicability of section 7(o) of the FLSA use of that accrued compensatory time Board specifically state in the rule that the In the regulations proposed in the NPR, should be governed by the new regulations. irregular work schedule provisions apply to the Board also invited comment on the pro- Further, this commenter argued that the 240-hour cap on accrued compensatory time employees of committees, joint committees, priety and advisability of using section 7(o) should only apply to compensatory time ac- and (presumably) other offices in similar sit- of the FLSA, which authorizes public sector crued as of January 23, 1996 and that any- uations. Alternatively, this commenter sug- employees to give compensatory time off in thing earned prior to that date (under the gested that, if the Board does not wish to lieu of overtime compensation to public sec- old system) should not count toward the 240- take that approach, the rule should be tor employees, as the model for determining hour cap. changed to state that the employee’s work whether employees whose schedules directly schedule ‘‘directly depends’’ on the schedule depend on the schedule of the House or the C. Final Regulation: The Board shall author- of the House or the Senate if that employee’s Senate should receive compensatory time ize employing offices to provide compen- ‘‘normal workweek schedule is determined off. The commenters were divided on this satory time off, subject to limitations, for based in whole or in part on the hours the issue. employees whose work schedules ‘‘directly House or Senate is in session and on the leg- Six commenters opposed the provision of depend’’ on the schedule of the House or islative calendar of the House or the Sen- compensatory time off, asserting that the the Senate. In addition, the provisions of ate.’’ Board should not use section 7(o) as a model the FLSA as applied to covered employers Conversely, two commenters believed that for the Board’s regulations. These com- under section 203 of the CAA authorize em- the definition in the proposed regulation of menters stated that authorization of com- ploying offices to utilize several methods when an employee’s schedule ‘‘directly de- pensatory time off under section 203(c)(3) of of computing pay for employees who work pends’’ on that of the House or the Senate the CAA would be inconsistent with the irregular or fluctuating hours. was too broad. One of these commenters sug- strict private sector prohibition against the In addition to the options available to pri- gested that the definition in the NPR (1) is use of compensatory time off in lieu of over- vate sector employers under the FLSA for not in keeping with what the Secretary of time compensation under the FLSA. addressing irregular or fluctuating work Labor deems an irregular work schedule in In these commenters’ view, compensatory hours, the regulations adopted by the Board the private sector and (2) is subject to abuse time off under section 7(o) is not available to shall allow employing offices additional by employing offices because it is too easy to the private sector and, consequently, should flexibility in the case of employees whose meet, in this commenter’s view. not be available to Congress, since the CAA work schedules ‘‘directly depend’’ on the This commenter asserted that the Depart- allegedly requires Congress to ‘‘live by the schedule of the House or the Senate. Specifi- ment of Labor’s regulations make it clear rules of the private sector.’’ Moreover, these cally, for these employees, the Board’s regu- that employees who fall within the irregular commenters cite legislative activity of the lations shall provide for compensatory time work schedule provisions must have sched- 103rd Congress, in which various compen- off in lieu of overtime compensation to a ules that ‘‘fall above and below the normal satory time provisions were proposed and re- limited extent.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00022 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S193 1. Compensatory time-off satory time off for state and local govern- The Board continues to find that the use of At the outset, the Board rejects the argu- ment employees. See H.R. 4822, section compensatory time off in lieu of overtime ment made by several commenters that al- 103(a)(3); S. Rep. 103–397 (103d Cong., 2d Sess.) pay should be allowed in the context of em- lowing compensatory time off in lieu of over- at p. 18 (1994). Finally, H.R. 4822, as reported ployees whose schedules ‘‘directly depend’’ time pay is not within the Board’s discre- by the House, gave the Office of Compliance upon the schedules of the House or the Sen- tion. Section 203(c)(3) provides that the authority to consider the appropriate rule ate. The import of section 203(a)(3) is that Board may issue regulations for covered em- for employees with irregular schedules. See Congress contemplated that compensatory ployees whose schedules ‘‘directly depend’’ H.Rep. 103–650 (Part 2) (103d Cong., 2d Sess.) time off could be allowed in this unique con- on the schedule of the House or the Senate at p. 15 (1994). Clearly, to the extent that it text. Moreover, section 203(c)(3) suggests a ‘‘that shall be comparable to the provisions is relevant, the available legislative history special concern and desire by Congress for of the [FLSA] that apply to employees who from the 103rd Congress does not reflect an providing flexibility in connection with em- have irregular schedules.’’ In turn, section intent categorically to prohibit the Board ployees whose schedules ‘‘directly depend’’ 203(a)(3) of the CAA provides that, ‘‘[e]xcept from allowing compensatory time off for em- on the schedules of the House and the Sen- ate. The comments received confirm that the as provided in regulations under subsection ployees with schedules that directly depend work schedules of these unique employees (c)(3), covered employees may not receive on the schedules of the House or the Senate. Some commenters also referred to state- justify special rules that both protect these compensatory time in lieu of overtime com- ments of legislators written after the CAA employees’ rights and yet allow for flexi- pensation.’’ The plain import of this statu- was passed regarding Congress’s alleged in- bility and cost-control on the part of their tory language is that the Board may provide tent regarding compensatory time off. How- employing offices. In the Board’s judgment, for compensatory time off in its irregular ever, courts do not view after-the-fact state- use of compensatory time off is thus appro- work schedule regulations; indeed, any other ments by proponents of a particular inter- priate in this context. construction of the statute would render the pretation of a statute as a reliable indication The Board is now convinced, however, that exception clause of section 203(a)(3) meaning- of what Congress intended when it passed a section 7(o) of the FLSA is not the proper less, which traditional canons of construc- law, even assuming that extra-textual model for compensatory time off regulations tion generally forbid. sources are to any extent reliable for this in this context. Section 7(o) was not designed While legislative history cannot in any purpose. See Gustafson v. Alloyd Co., Inc., 115 for and is not limited to employees with ir- event rewrite such statutory text, the Board S.Ct. 1061, 1071 (1995). The Board thus does regular work schedules; nor was section 7(o) also notes that, contrary to the argument of not find such statements to limit its discre- designed for or limited to employees whose some commenters, nothing in the CAA’s leg- tion under the statute as enacted. schedules directly depend upon the schedules islative history in fact forbids the Board The Board also does not agree with the of the House and the Senate. Accordingly, from authorizing compensatory time off in commenters who asserted that the CAA uni- the Board has concluded, as a matter of dis- lieu of overtime compensation for employees formly adopts all aspects of private sector cretion, that its regulations in this context whose schedules directly depend on the law in applying rights and protections to should not be modeled after section 7(o). schedule of the House or the Senate. The covered employees and employing offices Rather, the Board has concluded that sec- only legislative materials of the 104th Con- within the legislative branch. The Board tion 7(f) of the FLSA is the more appropriate gress referenced by these commenters are a notes, for example, that section 225(c) of the starting point for integrating compensatory floor statement by a Senator and the sec- CAA prohibits any award of civil penalties or time off into the CAA scheme. Section 7(f) tion-by-section analysis submitted during punitive damages against offending employ- was expressly designed for employees with the Senate’s consideration of the CAA. See ers, even though such penalties and damages irregular work schedules. It thus provides a 141 Cong. Rec. S445 (daily ed., Jan. 5, 1995); would be available in private sector actions. more apt starting point for the development 141 Cong. Rec. S623-S624 (daily ed., Jan. 9, Similarly, the Board notes that section of regulations concerning employees whose 1995). However, the referenced floor state- 203(a)(2) excludes ‘‘interns’’ from the rights irregular work schedules arise from the ment and section-by-section analysis were and protections of the FLSA, even though in schedules of the House and the Senate. More- made in the context of discussing the general many cases such interns would be entitled to over, using section 7(f) as the starting point prohibition of compensatory time off under such rights and protections under the same for regulations has the advantage of building section 203(a)(3) of the CAA (and under sec- circumstances in the private sector. The on a structure that already attempts to ac- tion 7(a) of the FLSA). They were not made Board further notes that covered employees commodate the needs of employers of em- in reference to the specific terms of sections asserting FLSA rights and protections must ployees with irregular work schedules and 203(a)(3), which explicitly do not proscribe first exhaust confidential counseling and me- the FLSA rights of those employees. the authorization of compensatory time off diation remedies prior to filing an action in Of course, section 7(f) was not explicitly in the context of employees whose schedules federal court; in contrast, private sector designed for employers of employees whose directly depend on the schedule of the House FLSA plaintiffs may proceed directly to schedules directly depend on the schedules of or the Senate. Indeed, not only do these sec- court. In addition, the Board notes that, the House or the Senate. And section tions not explicitly proscribe the authoriza- whereas private sector FLSA plaintiffs enjoy 203(c)(3) instructs that the Board’s regula- tion of compensatory time-off in this con- a limitations period of two years (three in tions for those employees need only be ‘‘com- text, they in fact implicitly authorize com- the case of willful violations), 29 U.S.C. sec- parable’’ and not the ‘‘same as’’ the provi- pensatory time-off in this one specified cir- tion 255, covered employees must initiate sions of the FLSA that address employees cumstance. claims within 180 days of an alleged viola- with irregular work schedules. Thus, the pro- Some commenters referred to legislative tion. See sections 402 and 225(d)(1) of the visions of section 7(f) may properly be ad- activity of the 103rd Congress in arguing CAA. In short, private sector employers and justed in order best to address the FLSA that compensatory time-off may not be al- employing offices under the CAA are treated rights and obligations under the CAA of em- lowed. But, as noted above, legislative his- differently in several instances; and sections ployees and employing offices in this special tory is not law and cannot properly be used 203 (a)(3) and (c)(3) indicate that the use of context. Upon both further reflection and consider- to rewrite statutory text. Moreover, to the compensatory time off in the context of em- ation of the comments received, the Board in extent that legislative history of a prior ployees whose schedules directly depend on its considered judgment has concluded that Congress is relevant in determining the the schedules of the House and the Senate is the irregular work schedule provisions of meaning of an act passed by the current Con- one of the allowable differences. section 7(f) should be modified for employees gress (but see Landgraf v. USI Film Products, That the CAA does not foreclose the Board whose work schedules ‘‘directly depend’’ on 114 S.Ct. 1483, 1496 (1994)), the ‘‘legislative from authorizing compensatory time off, of the schedule of the House or Senate as fol- history’’ cited is, in all events, consistent course, does not end the inquiry. The ques- lows: with the approach taken by the Board. tion remains whether the Board in its discre- (1) No agreement between the employee For example, S. 1824, which was considered tion should allow the use of compensatory and the employing office should be required by the 103rd Congress, applied the protec- time off in connection with employees whose in this context; the authorization for dif- tions of the FLSA to the Senate, but ex- schedules directly depend on the schedules of ferential treatment of such employees de- empted employees whose work schedules are the House and the Senate, and if so, to what rives from section 203(c)(3) and the Board’s dependent on the legislative schedule of the extent it should do so. In the rule proposed regulations implementing that section of the Senate. See S. 1824, section 304(b); S. Rep. in the NPR, the Board proposed to do so and CAA; 103–297 (103d Cong., 2d Sess.) at p. 31 (1994). to use section 7(o) as the model for doing so. (2) The employee’s duties need not neces- Because employees whose schedules are ‘‘de- However, in the NPR, the Board also specifi- sitate irregular hours of work within the pendent’’ on the Senate’s schedule were com- cally invited comment on both its approach meaning of section 7(f); instead, the em- pletely excluded from FLSA protections and the advisability of using section 7(o) as ployee need only be one of those employees under S. 1824, there was no need to consider the regulatory model for this purpose. Upon whose work ‘‘directly depends’’ on the sched- the compensatory time off issue for those both further reflection and consideration of ule of the House or the Senate (as defined in employees. Similarly, H.R. 4822, which was the comments received, the Board has deter- these regulations); sent to the Senate on August 12, 1994, ex- mined that, while use of compensatory time (3) The employee’s hours may permissibly pressly allowed compensatory time off for all off should still be allowed in this context, fluctuate only in the overtime range, as the covered employees to the same extent that section 7(o) may not be the most apt anal- statutory concern here is obviously the un- section 7(o) of the FLSA authorized compen- ogy. predictability in work schedules that derives

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00023 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S194 CONGRESSIONAL RECORD — SENATE January 22, 1996 from the conduct of the nation’s federal leg- Members of Congress, much like the ripple trol the House voting system or that track islative business; effect of a pebble tossed into water. Thus, an the proceedings, and those, like the staff of (4) Compensatory time off may be paid in expansive interpretation of ‘‘directly de- the legislative counsel’s offices, who must be lieu of overtime compensation for any hours pends’’—i.e., if it need only be demonstrated available to address substantive matters worked in excess of 60 hours in a workweek. that an employee’s work hours at any point that may arise in the course of deliberations. For overtime hours over 40 and up to 60 were influenced to some extent by a daily These personnel must generally be in attend- hours, the employing office must pay appro- session of either legislative body—would ance, and their employing offices open and priate overtime compensation as otherwise make compensatory time off almost univer- staffed, if the two Houses of Congress are to required by the CAA. Of course, if the re- sally available. conduct legislative business. By the same quirements of section 7(f) are met, pay for There is no reason to believe that Congress token, during those periods when the House the first 60 hours of employment could be intended such an expansive interpretation of or the Senate is not in session, the level of governed by that section. This limited use of the statutory phrase. The term ‘‘directly’’ required work may be considerably dimin- compensatory time off rules is consistent connotes a narrower rather than a broader ished, thus affording such employees ample with the language and evident purpose of meaning and, indeed, suggests that a rel- opportunity to utilize accrued compensatory sections 203 (a)(3) and (c)(3); it provides em- atively immediate connection between the time-off. ploying offices with some flexibility and con- employee’s work schedule and changes in the The Board recognizes that, in a sense, the trol over costs in this context; and, by re- schedule of the House or the Senate was con- work of employing offices such as legislative quiring employing offices to pay overtime templated. Moreover, since sections 203(a)(3) committees and joint committees is linked for the first 20 hours of overtime in a week, and 203(c)(3) textually refer to each other, to the schedules of the House and the Sen- it provides sufficient disincentives for em- and since the allowance of compensatory ate—at least when legislation reported out of ploying offices to abuse the use of the provi- time off in the context of regulations imple- such committees is placed on the calendar sion; and, menting section 203(c)(3) was to be the excep- for debate. The Board also recognizes that, (5) An employee who has accrued compen- tion rather than the rule, a narrower defini- in the same sense, employees of committee satory time off under section 2, upon his or tion of ‘‘directly depend’’ is necessary to offices may sometimes have irregular work her request, shall be permitted by the em- honor the statutory text and structure (as hours that balloon with protracted consider- ation of their bills on the floor. However, it ploying office to use such time within a rea- well as the general legislative history on the is also true that the work of such offices and sonable period after making the request, un- limited availability of compensatory time employees tends not to ebb and flow in the less the employing office makes a bona fide off). The question remains, of course, how the same sense or to the same degree as that of determination that the needs of the oper- term ‘‘directly depend’’ should be defined. In those offices and employees more closely ations of the office do not allow the taking the Board’s judgment, the following consid- tied to floor activity. Moreover, during those of compensatory time off at the time of re- erations are relevant: days when the House or the Senate is not in quest. An employee may renew the request First, in making the ‘‘schedule’’ of the session or has only an abbreviated pro forma at a subsequent time. An employing office House and the Senate determinative, Con- session, these committees still conduct hear- may, upon reasonable notice, require an em- gress appears to have been focusing on the ings or at the very least their staffs are like- ployee to use accrued compensatory time- floor activities that occur in each chamber. ly to be engaged in a full range of activities off. Upon termination of employment, the Each body’s ‘‘schedule’’ generally has mean- associated with considering legislation for employee shall be paid for any unused com- ing only in reference to the times at which hearing, for markup or for oversight. These pensatory time at the rate earned by the em- each House’s respective leadership plans to employing offices, thus, maintain a schedule ployee at the time the employee receives convene a daily session in order to conduct of activities that is separate from and inde- such payment. legislative business. While the congressional pendent of the schedule of the House or the The above rules are sufficiently similar to leaders can decide when to convene a session Senate. It, therefore, makes much less sense the provisions of section 7(f) as to be ‘‘com- and what to place on the calendar, the dy- to say that their employees have schedules parable’’ within the meaning of section namic nature of the legislative process often that ‘‘directly depend’’ upon the schedule of 203(c)(3). See Webster’s Third New Inter- makes it difficult to control when business either body, as contemplated by section national Dictionary 461 (1968) (‘‘comparable’’ will be concluded. For example, a session of 203(c)(3). defined as ‘‘having enough like characteris- Based on these considerations, the Board the Senate may be unexpectedly protracted tics or qualities to make comparison appro- shall adopt a definition of ‘‘directly de- by unlimited debate on an issue. Similarly, priate,’’ ‘‘permitting or inviting comparison pends’’ that requires the eligible employee to the schedule of the House may be upset if a often in one or two salient points,’’ ‘‘equiva- perform work that directly supports the con- bill is brought to the floor under an ‘‘open lent, similar’’). In the Board’s judgment, duct of business in legislative areas in the rule’’ that allows unlimited amendments. these rules also best balance and accommo- chamber and to work hours that regularly Also, as recent experience has demonstrated date the rights and obligations of covered change in response to the schedules of the once again, both Houses are often required to employees and employing offices under the House or the Senate. remain in session for extended hours in an CAA. 3. The provisions of the FLSA as applied effort to resolve differences between the two Finally, as to issues relating to compen- under section 203 of the CAA authorize em- Houses or between the Congress and the satory time off that accrued under other ploying offices to utilize several methods President. This dynamic makes the sched- rules prior to January 23, 1996, the effective to compute overtime for employees who ules of the House and the Senate highly ir- date of the CAA, the Board concludes that work irregular or fluctuating hours regular and, at times, long, thereby requir- its regulations do not apply. Disputes over ing certain employees to work in excess of In so framing its rules, the Board under- the use of such accrued time off, even if they the maximum workweek prescribed by the stands that its regulations under section arise after January 23, 1996, are not governed FLSA. 203(c)(3) will not themselves resolve all of by these regulations and should be directed Second, in using the adverb ‘‘directly’’ to the concerns raised by commenters regard- to the authorities previously responsible for modify ‘‘depend,’’ Congress also appears to ing the ability of employing offices to antici- such rules. have required a relatively close nexus be- pate and control payroll costs associated 2. The standard for determining when an em- tween the floor activities of each body and with employees who work fluctuating or ir- regular hours. But the Board frankly finds ployee’s schedule ‘‘directly depends’’ on the work schedule of an eligible covered em- that many of these concerns are simply con- the schedule of the House or the Senate ployee. (See the floor statement of Senator cerns with the obligations that the CAA has Just as it is clear that the Board may au- Grassley at 141 Cong. Rec. S624, Jan. 9, 1995: imposed on employing offices (just as the ‘‘ ‘Directly’ is to be strictly limited to those thorize compensatory time off in lieu of FLSA imposes them on other employers); overtime compensation for employees whose employees who are essentially floor staff.’’) and the Board must reiterate that it gen- schedules ‘‘directly depend’’ upon the sched- From a functional standpoint, the practical erally cannot and should not, in the absence ules of the House or the Senate, it is equally reality is that the conduct of legislative of authority to do so, attempt to resolve for evident that Congress did not intend that it business in each chamber requires the efforts employing offices cost and other such con- be made available to all covered employees. of those who literally work in or adjacent to cerns that derive from FLSA compliance ob- Using words of limitation, the CAA states each chamber—such as the legislative clerks, ligations under the CAA. Moreover, many of that only those employees whose work those who staff the cloakrooms, those who the concerns that have been raised may be schedules ‘‘directly depend’’ on the schedule provide security, the reporters of debates, addressed by employing offices by resort to of the House or the Senate may qualify for and the parliamentarians’ staff. Practically, methods available under the FLSA to em- compensatory time off in lieu of overtime the conduct of legislative business also re- ployers generally to potentially control their pay. quires the efforts of some who are not lo- total payroll and to offset costs due to over- Of course, as the comments demonstrate, cated in either chamber but whose work is time compensation obligations incurred in a the phrase ‘‘directly depend’’ is not entirely directly linked to floor activity on a day-to- particular workweek. Such methods are also free of ambiguity. In a broad sense, the times day basis—such as those who operate the available to employing offices under the in which the House or the Senate convene to microphones or the remote cameras that CAA, and many of the concerns raised by conduct legislative business will impact in televise the proceedings, those in the Docu- employing offices may be adequately ad- varying degrees on the schedule of prac- ment Rooms, those who maintain the var- dressed through the use of these mecha- tically all who work on Capitol Hill or for ious legislative computer systems that con- nisms.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00024 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S195 a. Section 7(f) of the FLSA and ‘‘Belo 1950; Wage and Hour Opinion letter dated De- essary and appropriate, the most relevant Contracts’’ cember 27, 1968. Thus, employing offices are substantive executive agency regulation pro- One method of reducing overtime costs authorized to use such plans under section mulgated to implement the statutory provi- available in some situations under the FLSA 203 of the CAA. sion at issue in the proceeding,’’ covered em- is the so-called ‘‘Belo’’ contract, a form of c. Fixed salary for fluctuating hours ployees, employing offices and the Office of guaranteed compensation that includes a A third approach for dealing with fluc- Compliance staff might not know what regu- certain amount of overtime. Codified by sec- tuating or irregular work schedules of a sala- lation, if any, would be found applicable in tion 7(f) of the FLSA, Belo contracts allow ried employee is for an employer to have an particular circumstances absent the proce- an employer ‘‘to pay the same total com- understanding with the employee that the dures suggested here. The resulting confu- pensation each week to an employee who fixed salary amount is to be considered sion and uncertainty on the part of covered works overtime and whose hours of work straight time pay for all hours, whatever the employees and employing offices would be vary from week to week.’’ 29 CFR section number, worked in a week. The FLSA per- contrary to the purposes and objectives of 778.403. See 29 CFR section 778.404, citing mits such an arrangement where two condi- the CAA, as well as to the interests of those Walling v. A.H. Belo Co., 316 U.S. 624 (1942). tions are satisfied: (1) the salary is sufficient whom it protects and regulates. Moreover, Such a contract affords to the employee the to provide compensation to the employee at since the House and the Senate will likely security of a regular weekly income and ben- a rate not less than the applicable minimum act on the Board’s final regulations within a efits the employer by enabling it to antici- wage rate for every hour worked in those short period of time, covered employees and pate and control in advance at least some workweeks in which the number of hours employing offices would have to devote con- part of its labor costs. A guaranteed wage that the employee works is greatest; and (2) siderable attention and resources to learn- plan also provides a means of limiting over- the employee receives extra compensation, ing, understanding, and complying with a time computation costs so that wide leeway in addition to such salary, for all overtime whole set of default regulations that would is provided for having employees work over- hours worked at a rate not less than one-half then have no future application. These in- time without increasing the cost to the em- the employee’s regular rate of pay. Since the terim regulations prevent such a waste of re- ployer. 29 CFR section 778.404. salary in such a situation is intended to sources. Belo contracts may be used by employers compensate the employee at straight time The Board’s authority to issue such in- where the following four requirements of rates for whatever hours are worked in the terim regulations derives from sections 411 section 7(f) are met: workweek, the regular rate of the employee and 304 of the CAA. Section 411 gives the (1) the arrangement is pursuant to a spe- will vary from week to week and is deter- Board authority to determine whether, in cific agreement between the employee and mined by dividing the number of hours the absence of the issuance of a final regula- the employer or to a collective bargaining worked in the workweek into the amount of tion by the Board, it is necessary and appro- agreement; the salary to obtain the applicable hourly priate to apply the substantive regulations of the executive branch in implementing the (2) the employee’s duties necessitate irreg- rate for the week. Payment for overtime provisions of the CAA. Section 304(a) of the ular hours of work; hours at one-half such rate in addition to the CAA in turn authorizes the Board to issue (3) the fluctuation in the employee’s hours salary satisfies the overtime pay require- substantive regulations to implement the is not entirely in the overtime range; and ment because such hours have already been Act. Moreover, section 304(b) of the CAA in- (4) the contract guarantees a weekly over- compensated at the straight time regular time payment not to exceed 60 hours per structs that the Board shall adopt sub- rate under the salary arrangement. stantive regulations ‘‘in accordance with the week and the employee receives that pay- As with time off plans, fixed salaries for principles and procedures set forth in section ment regardless of the number of hours actu- fluctuating hours are permitted under sec- 553 of title 5, United States Code,’’ which ally worked. tion 7(a) of the FLSA. See generally 29 CFR have in turn traditionally been construed by 29 U.S.C. section 207(f); 29 C.F.R. sections section 778.114. Thus, employing offices are courts to allow an agency to issue ‘‘interim’’ 778.406, 778.407. authorized to implement such schedules rules where the failure to have rules in place Section 7(f) of the FLSA is applicable to under the CAA, provided that they meet the in a timely manner would frustrate the effec- covered employees and employing offices requirements thereunder. tive operation of a federal statute. See, e.g., under section 203(a) of the CAA. Therefore, II. Adoption of Proposed Rules as Final Reg- Philadelphia Citizens in Action v. Schweiker, an employing office may utilize a ‘‘Belo’’ ulations under Section 304(b)(3) and as In- 669 F.2d 877 (3d Cir. 1982). As noted above, in contract where the above-referenced require- terim Regulations the absence of the Board’s adoption and ments of section 7(f) are satisfied. Having considered the public comments to issuance of these interim rules, such a frus- b. Time off plans the proposed rules, the Board pursuant to tration of the effective operation of the CAA An alternative approach that is less com- section 304(b) (3) and (4) of the CAA is adopt- would occur here. plex than a ‘‘Belo’’ contract is a time off ing these final regulations and transmitting In so interpreting its authority, the Board plan. Under such a plan, an employer lays off them to the House and the Senate with rec- recognizes that in section 304 of the CAA, the employee a sufficient number of hours ommendations as to the method of approval Congress specified certain procedures that during some other week or weeks of the pay by each body under section 304(c). However, the Board must follow in issuing substantive period to offset the amount of overtime the rapidly approaching effective date of the regulations. In section 304(b), Congress said worked (i.e., at the one and one-half rate) so CAA’s implementation necessitates that the that, except as specified in section 304(e), the that the desired wage or salary for the pay Board take further action with respect to Board must follow certain notice and com- period covers the total amount of compensa- these regulations. For the reasons explained ment and other procedures. The interim reg- tion, including the overtime compensation, below, the Board is also today adopting and ulations in fact have been subject to such no- tice and comment and such other procedures due the employee for each workweek taken issuing these rules as interim regulations of section 304(b). separately. that will be effective as of January 23, 1996 or In issuing these interim regulations, the A simple illustration of such a plan is as the time upon which appropriate resolutions Board also recognizes that section 304(c) follows: An employee is paid on a biweekly of approval of these interim regulations are specifies certain procedures that the House basis of $400 at the rate of $200 per week for passed by the House and/or the Senate, and the Senate are to follow in approving the a 40 hour workweek. In the first week of the whichever is later. These interim regulations Board’s regulations. The Board is of the view pay period, the employee works 44 hours and will remain in effect until the earlier of that the essence of section 304(c)’s require- would be due 40 hours times $5 plus 4 hours April 15, 1996 or the dates upon which the ments are satisfied by making the effective- times $7.50, for a total of $230 for the week. House and Senate complete their respective ness of these interim regulations conditional Payment of $400 at the end of the biweekly consideration of the final regulations that on the passage of appropriate resolutions of pay period satisfies the monetary require- the Board is herein adopting. approval by the House and/or the Senate. ments of the FLSA, if the employer permits The Board finds that it is necessary and Moreover, section 304(c) appears to be de- the employee to work only 34 hours during appropriate to adopt such interim regula- signed primarily for (and applicable to) final the second week of the pay period. tions and that there is ‘‘good cause’’ for regulations of the Board, which these in- The control of earnings by control of the making them effective as of the later of Jan- terim regulations are not. In short, section number of hours that an employee is per- uary 23, 1996, or the time upon which appro- 304(c)’s procedures should not be understood mitted to work is the essential principle of priate resolutions of approval of them are to prevent the issuance of interim regula- the time off plan. For this reason, such a passed by the House and the Senate. In the tions that are necessary for the effective im- plan cannot be applied to an employee whose absence of the issuance of such interim regu- plementation of the CAA. pay period is weekly, nor to a salaried em- lations, covered employees, employing of- Indeed, the promulgation of these interim ployee who is paid a fixed salary to cover all fices, and the Office of Compliance staff regulations clearly conforms to the spirit of hours that the employee may work in any itself would be forced to operate in regu- section 304(c) and, in fact promotes its prop- particular workweek or pay period. Further, latory uncertainty. While section 411 of the er operation. As noted above, the interim the overtime hours cannot be accumulated CAA provides that, ‘‘if the Board has not regulations shall become effective only upon and the time off given in another pay period. issued a regulation on a matter for which the passage of appropriate resolutions of ap- Time off plans are authorized under sec- this Act requires a regulation to be issued, proval, which is what section 304(c) con- tion 7(a) of the FLSA. See, e.g., Wage and the hearing officer, Board, or court, as the templates. Moreover, these interim regula- Hour Administrator Opinion Letter, issued case may be, shall apply, to the extent nec- tions allow more considered deliberation by

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00025 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S196 CONGRESSIONAL RECORD — SENATE January 22, 1996 the House and the Senate of the Board’s final (May 5, 1978, as amended by S. Res. 96, April ability Act of 1995, a Notice of Adop- regulations under section 304(c). 9, 1991), but does not include volunteers, fel- tion of Regulations and Submission for The House has in fact already signalled its lows or pages. Approval and Issuance of Interim Reg- approval of such interim regulations both for Duration of interim regulations ulations, together with a copy of the itself and for the instrumentalities. On De- These interim regulations for the House, cember 19, 1995, the House adopted H. Res. adopted regulations, was submitted by the Senate and the employing offices of the 311 and H. Con. Res. 123, which approve ‘‘on the Office of Compliance, U.S. Con- instrumentalities are effective on January a provisional basis’’ regulations ‘‘issued by gress. These final rules implement the 23, 1996 or on the dates upon which appro- the Office of Compliance before January 23, rights and protections of the following priate resolutions are passed, whichever is 1996.’’ The Board believes these resolutions later. The interim regulations shall expire statutes made applicable by the Con- are sufficient to make these interim regula- on April 15, 1996 or on the dates on which ap- gressional Accountability Act: Family tions effective for the House on January 23, propriate resolutions concerning the Board’s and Medical Leave Act, Worker Adjust- 1996, though the House might want to pass final regulations are passed by the House and ment and Retraining Notification Act, new resolutions of approval in response to the Senate. Fair Labor Standards Act, Employee this pronouncement of the Board. To the Board’s knowledge, the Senate has ADOPTED REGULATIONS—AS INTERIM Polygraph Protection Act. The final not yet acted on H. Con. Res. 123, nor has it REGULATIONS AND AS FINAL REGULATIONS rules also implement regulations re- passed a counterpart to H. Res. 311 that Regulation concerning employees whose work garding the use of the lie detector tests would cover employing offices and employees schedules directly depend on the schedule of by the Capitol Police. of the Senate. As stated herein, it must do so the House of Representatives or the Senate The notice announces the adoption of if these interim regulations are to apply to (implementing section 203(c)(3) of the CAA) the final regulation as an interim regu- the Senate and the other employing offices Section 1. For the purposes of this Part, a lation on the same matters. Addition- of the instrumentalities (and to prevent the covered employee’s work schedule ‘‘directly ally, these notices include the Board’s default rules of the executive branch from depends’’ on the schedule of the House of recommendation as to the method of applying as of January 23, 1996). Representatives [the Senate] only if the eli- House and Senate approval of the final III. METHOD OF APPROVAL gible employee performs work that directly regulations. The Board received no comments on the supports the conduct of legislative or other The Congressional Accountability method of approval for these regulations. business in the chamber and works hours that regularly change in response to the Act specifies that the notice and regu- Therefore, the Board continues to rec- lations be printed in the CONGRES- ommend that (1) the version of the proposed schedule of the House and the Senate. SIONAL RECORD. Therefore, I ask unani- regulations that shall apply to the Senate Section 2. No employing office shall be and employees of the Senate should be ap- deemed to have violated section 203(a)(1) of mous consent that the notice and proved by the Senate by resolution; (2) the the CAA, which applies the protections of adopted regulations be printed in the version of the proposed regulations that section 7(a) of the Fair Labor Standards Act RECORD. shall apply to the House of Representatives (‘‘FLSA’’) to covered employees and employ- There being no objection, the mate- and employees of the House of Representa- ing office, by employing any employee for a rial was ordered to be printed in the workweek in excess of the maximum work- tives should be approved by the House of RECORD, as follows: Representatives by resolution; and (3) the week applicable to such employee under sec- tion 7(a) of the FLSA where the employee’s OFFICE OF COMPLIANCE—THE CONGRESSIONAL version of the proposed regulations that ACCOUNTABILITY ACT OF 1995: EXTENSION OF shall apply to other covered employees and work schedule directly depends on the sched- ule of the House of Representatives [Senate] RIGHTS AND PROTECTIONS UNDER THE FAM- employing offices should be approved by the ILY AND MEDICAL LEAVE ACT OF 1993 Congress by concurrent resolution. within the meaning of section 1, and: (a) the NOTICE OF ADOPTION OF REGULATIONS AND SUB- With respect to the interim version of employee is compensated at the rate of time- MISSION FOR APPROVAL AND ISSUANCE OF IN- these regulations, the Board recommends and-a-half in pay for all hours in excess of 40 TERIM REGULATIONS that the Senate approve them by resolution and up to 60 hours in a workweek, and (b) the Summary: The Board of Directors of the insofar as they apply to the Senate and em- employee is compensated at the rate of time- Office of Compliance, after considering com- ployees of the Senate. In addition, the Board and-a half in either pay or in time off for all ments to its general Notice of Proposed recommends that the Senate approve them hours in excess of 60 hours in a workweek. Rulemaking published on November 28, 1995 by concurrent resolution insofar as they Section 3. An employee who has accrued in the Congressional Record, has adopted, apply to other covered employees and em- compensatory time off under section 2, upon and is submitting for approval by the Con- ploying offices. It is noted that the House his or her request, shall be permitted by the gress, final regulations to implement section has expressed its approval of the regulations employing office to use such time within a 202 of the Congressional Accountability Act insofar as they apply to the House and its reasonable period after making the request, of 1995 (‘‘CAA’’) (2 U.S.C. §§ 1301 et seq.), employees through its passage of H. Res. 311 unless the employing office makes a bona which applies certain rights and protections on December 19, 1995. The House also ex- fide determination that the needs of the op- of the Family and Medical Leave Act of 1993. pressed its approval of the regulations inso- erations of the office do not allow the taking The Board is also adopting and issuing such far as they apply to other employing offices of compensatory time off at the time of the regulations as interim regulations for the through passage of H. Con. Res. 123 on the request. An employee may renew the request House of Representatives, the Senate, and same date; this concurrent resolution is at a subsequent time. An employing office the employing offices of the pending before the Senate. may also, upon reasonable notice, require an intstrumentalities effective on January 23, Accordingly, the Board of Directors of the employee to use accrued compensatory time- 1996 or on the dates upon which appropriate Office of Compliance hereby adopts and sub- off. resolutions are passed, whichever is later. mits for approval by the Congress and issues Section 4. An employee who has accrued The interim regulations shall expire on April on an interim basis the following regula- compensatory time authorized by this regu- 15, 1996 or on the dates on which appropriate tions: lation shall, upon termination of employ- ment, be paid for the unused compensatory resolutions concerning the Board’s final reg- ADOPTED REGULATIONS—AS INTERIM time at the rate earned by the employee at ulations are passed by the House and the REGULATIONS AND AS FINAL REGULATIONS the time the employee receives such pay- Senate, respectively, whichever is earlier. Regulation defining ‘‘Interns’’ (implementing ment. For Further Information Contact: Execu- tive Director, Office of Compliance, Room section 203(a)(3) of the CAA) Duration of interim regulations LA 200, John Adams Building, 110 Second Section 1. An intern is an individual who: These interim regulations for the House, (a) is performing services in an employing Street, S.E., Washington, D.C. 20540–1999. the Senate and the employing offices of the Telephone (202) 724–9250. office as part of a demonstrated educational instrumentalities are effective on January Background and summary plan, and 23, 1996 or on the dates upon which appro- (b) is appointed on a temporary basis for a priate resolutions are passed, whichever is Supplementary Information: The Congres- period not to exceed 12 months; provided later. The interim regulations shall expire sional Accountability Act of 1995 (‘‘CAA’’), that if an intern is appointed for a period on April 15, 1996 or on the dates on which ap- Pub. L. 104–1, 109 Stat. 3 (2 U.S.C. §§ 1301 et shorter than 12 months, the intern may be propriate resolutions concerning the Board’s seq.), was enacted January 23, 1995. In general reappointed for additional periods as long as final regulations are passed by the House and the CAA applies the rights and protections of the total length of the internship does not the Senate. eleven federal labor and employment laws to exceed 12 months. covered employees and employing offices Section 2. The definition of intern does not f within the legislative branch. In addition, include volunteers, fellows or pages. NOTICE OF ADOPTION OF the statute establishes the Office of Compli- [Senate version:] Section 2. An intern for PROCEDURAL RULES ance (‘‘Office’’) with a Board of Directors the purposes of section 203(a)(2) of the Act (‘‘Board’’) as ‘‘an independent office within also includes an individual who is a senior Mr. THURMOND. Mr. President, pur- the legislative branch of the Federal Govern- citizen intern appointed under S. Res. 219 suant to the Congressional Account- ment.’’ 2 U.S.C. § 1381(a).

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00026 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S197 Section 202 of the CAA (2 U.S.C. § 1312) ap- uous when considered in isolation; it could purposes of determining family and medical plies the rights and protections of certain mean in any one employing office, or it leave eligibility for Senate employees. sections of the Family and Medical Leave could mean that months and hours may be Finally, the history of the Senate’s consid- Act of 1993 (‘‘FMLA’’) (29 U.S.C. §§ 2611 et aggregated from every employing office eration of congressional accountability leg- seq.). The FMLA generally requires employ- where an employee worked. The Board ex- islation shows that the position advocated ers to permit covered employees to take up plained in the NPR that the better reading of by the commenter was considered by the to 12 weeks of unpaid, job-protected leave the CAA language is the latter one, and the Senate and was not adopted. The version of during a 12-month period for the birth of a Board adheres to that view. the Congressional Accountability Act re- child and to care for the newborn; placement The definition of ‘‘eligible employee’’ in ported by the Senate Governmental Affairs of a child for adoption or foster care; care of the FMLA states explicitly that the required Committee in 1994 (H.R. 4822, 103d Cong., 2d a spouse, child, or parent with a serious 12 months must have been served with ‘‘the Sess., as reported, S. Rep. No. 397, 103d Cong., health condition; or an employee’s own seri- employer with respect to whom leave is re- 2d Sess., 17 (Oct. 3, 1994)) provided that a Sen- ous health condition. quested,’’ and that the requisite 1,250 hours ate employee would be eligible for family Sections 202(d) and 304 of the CAA (2 U.S.C. must also have been served with ‘‘such em- and medical leave after 12 months of non- §§ 1312(d), 1384) direct the Board to issue regu- ployer.’’ However, in the CAA, Congress sub- temporary employment by ‘‘any employing lations implementing section 202. Section stituted the phrase ‘‘any employing office’’ office of the Senate.’’ The CAA, as enacted a 202(d)(2) further directs the Board to issue in place of the FMLA’s specific references to few months later, provides that eligibility of substantive regulations that ‘‘shall be the the employer from whom leave is requested. all covered employees, including Senate em- same as substantive regulations promulgated This substitution suggests that eligibility ployees, depends on the months and hours by the Secretary of Labor to implement the should be determined on the basis of months worked ‘‘in any employing office’’—without statutory provisions referred to in sub- and hours worked for ‘‘any employing of- the limiting phrase ‘‘of the Senate.’’ Fur- section (a) [of section 202] except insofar as fice,’’ including offices other than just the thermore, while the 1994 Senate Committee the Board may determine, for good cause one from which leave is requested. This in- report explained that an eligible ‘‘Senate shown and stated together with the regula- terpretation, in fact, conforms to the inter- employee’’ would retain FMLA eligibility tion, that a modification of such regulations pretation stated in the section-by-section ‘‘irrespective of whether he or she changes would be more effective for the implementa- analysis that the principal Senate sponsors employing offices within the Senate,’’ the tion of the rights and protections under this of the CAA placed into the Congressional section-by-section analysis published in the section.’’ Record during Senate consideration of this Congressional Record in 1995, when the CAA On September 28, 1995, the Board issued an legislation. 141 Cong. Rec. S623 (daily ed., was under consideration in the Senate, ex- Advance Notice of Proposed Rulemaking Jan. 9, 1995) (section-by-section analysis). plained that an eligible ‘‘covered employee’’ (‘‘ANPR’’) soliciting comments from inter- One commenter stated that, in its view, would retain FMLA eligibility ‘‘irrespective ested parties in order to obtain information each employing office is a separate, inde- of whether he or she changes employing of- and participation early in the rulemaking pendent employer and that employees there- fices.’’ Compare S. Rep. No. 397, at 17, with process. 141 Cong. Rec. S14542 (daily ed., fore should not be able to aggregate the 141 Cong. Rec. S623 (daily ed. Jan. 9, 1995) Sept. 28, 1995). Based on the comments re- months and hours worked for more than one (section-by-section analysis). Unlike the ex- ceived on the ANPR and consultations with employing office to establish or maintain planation of the earlier Senate bill, the ex- interested parties, the Board published in FMLA eligibility. The commenter acknowl- planation of the CAA was not limited to Sen- the Congressional Record a Notice of Pro- edged that the Board’s proposed regulations ate employees and did not limit employees’’ posed Rulemaking (‘‘NPR’’) on November 28, do not adopt that position and urged that, at accrual and maintenance of leave eligibility 1995. 141 Cong. Rec. S17627–S17652 (daily ed., a minimum, the Board should consider the to employment ‘‘within the Senate.’’ In Nov. 28, 1995). In response to the NPR, the Senate to be a separate employer from the short, the commenter’s suggestion is not Board received 5 written comments, of which other entities covered by the CAA. The com- consistent with the Senate’s own delibera- four were from offices of the Congress and menter argued that, in its view, this alter- tive history. congressional instrumentalities and one was native position is supported by the fact that from a labor organization. The comments in- section 304(a)(2) of the CAA requires the B. Joint employers and designation of cluded specific recommendations to either Board to issue three separate bodies of regu- primary employer supplement or modify regulations proposed lations, including one body of regulations The Secretary’s regulations provide that, in the NPR, or to clarify how certain regula- that shall apply to the Senate and employees whenever an employee is employed jointly tions would apply in fact-specific instances. of the Senate. Therefore, according to the by more than one employer, the ‘‘primary’’ In addition, the Office has sought consulta- commenter, the Board’s regulations for the employer is solely responsible for giving re- tions with the Department of Labor regard- Senate must define ‘‘employing office’’ to in- quired notices, providing FMLA leave, and ing the proposed regulations, pursuant to clude only Senate offices and should not maintaining health benefits, and is ‘‘pri- section 304(g) of the CAA. allow months and hours worked at employ- marily’’ responsible for job restoration. 29 After full consideration of the comments ing offices outside of the Senate to be consid- C.F.R. § 825.106(c). Comments on the ANPR received, the Board has adopted and is sub- ered in determining employee eligibility for indicated that, in the context of congres- mitting these regulations for approval by the family and medical leave. sional employment, there may not always be Congress. Moreover, pursuant to sections 411 But the definition of ‘‘eligible employee’’ a primary employer, and joint employers and 304 of the CAA, the Board is adopting in the CAA uses the term ‘‘employing of- should be authorized to designate one em- and issuing such regulations as interim regu- fice,’’ not the term ‘‘employer,’’ and the ploying office to be responsible for compli- lations for the House, the Senate, and the issue is whether this definition in the CAA ance with FMLA obligations. The Board ac- employing offices of the instrumentalities requires aggregation of months and hours cepted this view and, in section 825.106(c) of effective on January 23, 1996 or on the dates worked in ‘‘any employing office.’’ Whether the regulations, the Board proposed to adopt upon which appropriate resolutions are different employing offices are separate, such a provision. passed, whichever is later. The interim regu- independent ‘‘employers,’’ and whether the One commenter now asks for clarification lations shall expire on April 15, 1996 or on the Senate is a separate ‘‘employer,’’ begs reso- as to whether employing offices that are dates on which appropriate resolutions con- lution of this question. joint employers may always designate which cerning the Boards final regulations are Moreover, the provision of the CAA cited of them will be responsible for FMLA com- passed by the House and the Senate, respec- by the commenter, entitled ‘‘Rulemaking pliance, or whether this power exists only tively, whichever is earlier. procedure,’’ is part of the CAA section that when there is no ‘‘primary’’ employer. The I. SUMMARY AND BOARD CONSIDERATION OF establishes the procedures for adoption, ap- commenter also stated that section COMMENTS proval, and issuance of the Board’s sub- 825.106(e), which describes the secondary em- A. Eligibility for family and medical leave stantive regulations. 2 U.S.C. § 1384(a)(2). The ployer’s responsibility for job restoration, Under section 202(a)(2)(B) of the CAA, an cited provision requires the Board to divide should apply only in the case of detailees. ‘‘eligible employee’’ is defined as a covered its substantive regulations into three parts— The Board agrees that the proposed regula- employee who has been employed in ‘‘any for the Senate, for the House of Representa- tions should be clarified. Section 826.106, as employing office for 12 months and for at tives, and for other employing offices—in adopted by the Board, provides that, in any least 1,250 hours of employment during the order to enable the Office of Compliance, and instance of joint employment, the employing previous 12 months.’’ 2 U.S.C. § 1312(a)(2)(B). to enable the Senate and the House them- offices may designate which office shall be Section 825.110 of the Board’s proposed regu- selves, to exercise their respective statu- the primary employer. Such a designation lations provided that, if an employee worked torily assigned roles in the proposal, adop- must be made in writing to the employee. If for two or more employing offices, the time tion, and approval of regulations. See 2 such a designation is not made, the employee worked would be aggregated to determine U.S.C. § 1384(a)(2). These procedural provi- may elect which of the joint employing of- whether it equals 12 months, and the hours sions of the CAA do not alter the meaning of fices will be required to perform certain re- of service would be aggregated to determine substantive provisions of the CAA; nor do sponsibilities of a primary employer. This whether the minimum of 1,250 hours has been they specifically prevent the Board’s regula- approach should afford administrative flexi- reached. tions from including hours and months bility to employing offices, eliminate uncer- As explained in the NPR, the statutory worked with employing offices outside of the tainty and fact-specific disputes, and protect phrase ‘‘in any employing office’’ is ambig- Senate in defining ‘‘eligible employee’’ for the rights of eligible employees.. The Board

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00027 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S198 CONGRESSIONAL RECORD — SENATE January 22, 1996 finds good cause under section 202(d)(2) to joint employees that is different from the viding unpaid leave in the Senate of which make these modifications to the Secretary’s leave year that any of the joint employing the Board is not aware. If so, a petition to regulations, because joint employment with- offices selects for its non-joint employees. amend these regulations under section 304(f) out a clear primary employer appears rel- This issue is addressed in the Board’s regu- of the CAA (2 U.S.C.§ 1384(f)) might be appro- atively common in congressional employ- lations, albeit in a somewhat different man- priate. ment (whereas it is not in the private sec- ner from that suggested by the commenter. E. Health benefits As discussed above, the Board’s regulations tor). The Secretary’s regulations make a num- Section 825.106(e) of the proposed regula- authorize employing offices to designate a ber of references to title X of the Consoli- tions assigned to the primary employer ‘‘pri- primary employer in all instances of joint dated Omnibus Budget Reconciliation Act of mary’’ responsibility for job restoration, but employment. The Board has also provided in 1986, which requires continuation coverage also assigned the secondary employer re- section 825.200(g) of the regulations that, if under group health plans (29 U.S.C. §§ 1161- sponsibility for accepting an employee who the primary employer has chosen a leave 1168) (‘‘COBRA’’). However, COBRA does not returns from FMLA leave. The commenter year under the regulations, the primary em- apply to government insurance plans. Con- stated that this subsection ‘‘appears to be ployer must apply the leave year uniformly tinuation coverage similar to that under applicable’’ only in the situation where a to the joint employee as well as to the pri- COBRA was enacted for federal employees in detailee is supplied to an employing office. mary employer’s non-joint employees. If the the Federal Employees Health Benefits The commenter further urged that certain joint employing offices do not designate a Amendments Act of 1988, codified at 5 U.S.C. language from the Secretary’s regulations be primary employer, then the employee may § 8905a. The Federal Employees Health Bene- restored to the Board’s regulations to limit select one of the joint employing offices to fits Program, which includes the continu- the circumstances under which a secondary be the primary employer for the purpose of ation coverage provided by the 1988 Act, is employer must accept an employee return- the application of its leave year under appli- available to all federal employees, including ing from FMLA leave. cable regulations. Under applicable rules in congressional employees. In some provisions Several aspects of the Secretary’s regula- paragraph (e), if the selected employing of- of the proposed regulations, the Board re- tions set forth at 29 C.F.R. § 826.106(e) are ap- fice has not chosen a leave year option, the tained references to COBRA and added plicable only to temporary and leasing agen- employee may use any of the allowable leave phrases like ‘‘or by other applicable law,’’ cies. However, temporary and leasing agen- year options. and in other provisions the Board referred to cies and their employees are not covered by Finally, a commenter has suggested that, ‘‘applicable requirements of law’’ without the CAA, and there is not a precise analogy upon an employee’s transfer to or from joint reference to COBRA. between inter-office details of covered em- employment, if the applicable leave year One commenter stated that references to ployees and placement of employees by tem- changes, the procedures under section COBRA should remain and that references to porary or leasing agencies. Therefore, the 825.200(d)(1) of the Board’s regulations should ‘‘other applicable laws’’ should not be added. Board omitted from the proposed regulations be made applicable. That section provides The commenter explained that the Sec- certain clauses that refer specifically to that, when an employing office changes to a retary’s regulations accurately delineate temporary and leasing agencies, and the new leave year, it must provide 60 days’’ no- when an employer’s obligations to maintain Board did not otherwise modify the Sec- tice to all employees. However, section health benefits during leave cease under the retary’s regulations to make them applica- 825.200(d)(1) of the Board’s regulations would FMLA. Another commenter stated that it is ble to detailees. However, the Board sought not apply where an individual employee the commenter’s understanding that COBRA to retain in subsection (e) the general prin- changes to or from being jointly employed or applies to congressional employees, and rec- ciples regarding job restoration. when a primary employer is designated. ommended that the Board’s regulations be The final regulations attempt to accommo- Such changes are analogous to a transfer consistent with respect to references to date the commenter’s concerns in some re- from one employing office to another, and COBRA. A third commenter asked for clari- spects. Certain language from the Sec- should not trigger the requirements of sec- fication of the applicability of COBRA. A retary’s regulations that was retained in the tion 825.200(d)(1). commenter also requested that section Board’s proposed regulations, but that D. Minimally paid leave in the Senate 825.211 of the Secretary’s regulations, which makes sense only in the context of tem- In response to the ANPR, a commenter ad- provides special rules for multi-employer porary or leasing agencies, has now been vised the Board that the Senate currently health plans, be included in the Board’s regu- omitted, and the limits on job restoration re- provides ‘‘minimally paid’’ FMLA leave lations. sponsibilities are stated more explicitly. rather than unpaid leave. In the NPR, the The Board finds good cause under section However, the Board has retained the general Board stated that granting minimally paid 202(d) of the CAA to refer in its regulations requirement of job restoration in situations leave in lieu of unpaid leave would not pre- to 5 U.S.C. § 8905a, as well as to COBRA. See of joint employment, as originally promul- vent the leave from being considered FMLA- sections 825.209(f), 825.210(c)(2), 825.309(b), and gated in the Secretary’s regulations. qualifying leave and, therefore, the situation 825.700(a) of the Board’s regulations. If the Furthermore, in section 825.106(b) of its of minimally paid leave did not need to be regulations referred only to COBRA, which proposed regulations, the Board identified addressed in the Board’s regulations. applies to few if any employing offices, the inter-office details as an example where joint The commenter has responded that Senate intent of the provisions as originally promul- employment will ordinarily be found. This minimally paid leave needs to be specifically gated by Secretary (i.e., to delineate an em- example had been inserted as a replacement addressed and treated as unpaid FMLA leave ployer’s obligations to maintain health bene- for a provision in the Secretary’s regulations in order for an employing office to be able to fits) would be negated. which identified temporary and leasing agen- recover its share of health care insurance The one exception is section 825.213(e) of cies as such an example. However, as noted premiums from an employee when such re- the Board’s regulations. The Secretary’s reg- above, the Board does not believe that a pre- covery would be appropriate if the employee ulation limits premiums that a self-insured cise analogy exists between these two situa- were on unpaid FMLA leave. Similarly, the employer may recover from an employee tions; accordingly, the reference to detailees commenter indicated that, where an em- who does not return from FMLA leave. The is omitted from the final regulations. ployee or employing office may substitute subsection allows recovery of premiums ‘‘as C. Designation of leave year by joint paid leave for unpaid FMLA leave, a Senate would be calculated under COBRA’’ (exclud- employers employee or employing office should be enti- ing the 2% administration fee). Because 5 Based on the Secretary’s regulations, the tled to substitute paid leave for minimally U.S.C. § 8905a does not provide for self-insur- Board proposed in section 825.200(b) that an paid leave. In addition, the commenter as- ance by individual Government employing employing office be permitted to choose one serted that minimally paid leave should also agencies or offices, and since the regulation of several methods for determining an eligi- be treated as unpaid leave in calculating who uses the subjunctive ‘‘would be calculated ble employee’s ‘‘leave year’’—i.e., the 12- is a ‘‘key employee’’ under section 825.217(c) under COBRA,’’ it is appropriate to reference month period within which a particular em- of the Board’s regulations. only COBRA in this section of the regula- ployee’s 12 weeks of leave may be taken. The The commenter has provided reasons why tions. Board also endorsed two methods that had it may matter to an employing office wheth- The Board is not currently aware of any been suggested by commenters by which er minimally paid leave is treated as paid provisions other than 5 U.S.C. § 8905a that re- joint employing offices might choose a leave or as unpaid leave within the meaning quire COBRA-like continuation coverage for ‘‘leave year’’ for their joint employees. of the regulations. But the good cause need- government group health plans to which A commenter noted that, although the ed to justify a change in the regulations COBRA does not apply. However, if any such Board has allowed joint employing offices to under section 202(d) of the CAA does not provision does exist that might apply to any choose a leave year for joint employees, sec- exist simply because regulations may, as the employing office, a petition to amend these tion 825.200(d)(1) requires that, if an employ- commenter suggests, impose an undesirable regulations under section 304(f) of the CAA (2 ing office selects a leave year method, the of- expense or inflexibility on employing offices. U.S.C. § 1384(f)) might be appropriate. fice must apply the method consistently and Thus, the commenter has not offered a good Finally, the Board agrees with the com- uniformly to all of its employees. The com- cause justification for changing the Sec- menter’s suggestion that 29 C.F.R. § 825.211 of menter suggested that the Board should ex- retary’s regulations. the Secretary’s regulations be included in pressly state an exception to this rule where However, the Board fully realizes that the Board’s regulations, in order to cover po- joint employers select a leave year for their there may be some legal impediment to pro- tential future situations where an employing

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00028 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S199 office might contribute to a multi-employer ‘‘1,250 hours of service during the 12-month 3. Definitions health plan. period immediately preceding the com- A commenter suggested that a definition F. Whether special rules apply to House Page mencement of the leave.’’ of COBRA be added to the Board’s regula- School The Board agrees that the use of the tions. Such a definition is provided in the phrase ‘‘immediately preceding’’ may add The proposed regulations included special Secretary’s regulations, and has been added some additional precision to the regulation. to section 825.800 of the Board’s regulations. rules that are applicable only to certain However, the CAA uses the term ‘‘previous 12 kinds of educational institutions. Two com- A definition of ‘‘employ’’ is also included months,’’ while the FMLA uses the term in the final regulations, meaning ‘‘to suffer menters stated that the Board’s regulations ‘‘previous 12-month period’’, 29 U.S.C. or permit to work.’’ This definition is con- should state explicitly that the special rules 2611(2)(A)(ii). Accordingly, a new second sen- tained in the Secretary’s regulations, but apply to the House Page School. However, tence has been added to section 825.110(d) to was omitted from the Board’s proposed regu- the commenters have not provided any, state that the ‘‘previous 12 months’’ means lations. This definition is established under much less sufficient, justification for finding ‘‘the 12 months immediately preceding the the Fair Labor Standards Act, 29 U.S.C. good cause to modify the Secretary’s regula- commencement of the leave.’’ tion under section 202(d) of the CAA. In fact, § 203(g), and is incorporated by reference into 2. References to ‘‘State law,’’ ‘‘federal law,’’ the commenters do not appear to be asking the FMLA, 29 U.S.C. § 2611(3). and ‘‘applicable law’’ for a change in the regulation, but rather for 4. Cross references to regulations and interpre- In several instances, the Secretary’s regu- a clarification that the House Page School is tations under the Fair Labor Standards Act lations refer to applicable State law, and in within its scope. But they have not provided (‘‘FLSA’’) and the Americans with Disabilities some instances the regulations refer to ap- the Board with any factual or legal mate- Act (‘‘ADA’’) rials upon which such an interpretive judg- plicable federal or State (or sometimes local) law. The Board’s proposed regulations omit- The Secretary’s regulations under the ment could be based. Moreover, they have ted most references to State law but re- FMLA contain several cross references to not identified any authority in the CAA that tained certain references where appropriate. the Secretary’s regulations implementing or would allow the Board to make such an in- In some instances, the proposed regulations interpreting the Fair Labor Standards Act terpretive judgment in the context of a rule- removed references to applicable federal or (‘‘FLSA’’). Where the Board has adopted ap- making proceeding. Indeed, as explained in State law, and replaced them with references plicable FLSA regulations under the CAA, detail in the preamble to the Board’s final to applicable law. those Board regulations are now referenced regulations implementing the rights and pro- One commenter stated agreement with the in the Board’s FMLA regulations. See, e.g., tections of the Fair Labor Standards Act, it Board’s omission of references to State laws, sections 825.206, 825.217(b) of the Board’s reg- would be improper for the Board to do so. because State laws do not apply to the Sen- ulations. G. Notice posting and recordkeeping ate, but objected to the Boards omission of However, a number of the Secretary’s in- In the NPR, the Board did not propose regu- the word ‘‘federal’’ before reference to some terpretive bulletins that interpret the FLSA, lations specifying notice posting or record- laws, on the ground that it might lead to which the Board has not adopted, are cross keeping requirements for employing of- confusion. The commenter stated in one in- referenced in the Secretary’s regulations fices. The Board also declined to propose stance that regulations should refer only to under the FMLA. In these instances, the sub- regulations stating that, in determining ‘‘applicable federal wage payment laws,’’ not ject of the referenced interpretation is sum- whether the requisite hours have been to ‘‘applicable wage payment or other laws,’’ marized in the Board’s FMLA regulations in worked for eligibility, the burden of proof because only those federal laws specifically place of the cross reference. This same ap- would lie with an employing office that made applicable to the Senate by resolution proach is used where the Secretary’s regula- does not keep adequate time records. or statute are applicable to the Senate. A tions under the FMLA contain cross ref- commenter also suggested that one reference A commenter argued that: (1) enforcement erences to regulations by the Equal Employ- to State law that the Board had retained in of the law will be greatly enhanced by re- ment Opportunity Commission interpreting the proposed regulations should be omitted. the Americans with Disabilities Act quiring notice posting and recordkeeping Several regulatory provisions promulgated under the FMLA, and (2) it is a fair enforce- (‘‘ADA’’), as the Board has not adopted these by the Secretary referring to State laws that regulations. See sections 825.110(c), ment mechanism for the burden of proof to are clearly inapplicable to employing offices lie with the employer when the records 825.113(c)(2), 825.115, 825.205, 825.800 of the were omitted from the Board’s proposed reg- Board’s regulations. maintained by the employer are inadequate. ulations. However, the proposed regulation The Board thoroughly considered these 5. Corrections and clarifications retained a reference in section 825.200(b)(2) to points in preparing the NPR. The Board sees leave years required by State law. This ref- Commenters suggested a number of tech- no reason to alter its previous conclusions. erence is omitted from the final regulations. nical corrections and clarifications in the H. Prospective application of reductions in The proposed regulations also retained ref- proposed regulations. For example, a com- FMLA benefits erences to State law that may appropriately menter pointed out that section 825.200(b)(4) One commenter noted that the Senate and apply to FMLA rights and protections as of the Secretary’s regulations was inadvert- House currently have more generous FMLA made applicable by the CAA. These include, ently omitted from the Board’s proposed reg- policies than those mandated by the Board’s for example, State laws on certification of ulations. This subparagraph describes the proposed regulations. The commenter stated medical care providers, State laws on ap- fourth optional method that an employing that, where an employing office chooses to proval of foster care, and State laws deter- office may choose for determining leave reduce FMLA benefits as allowed by the new mining who is a spouse. These references are years, sometimes called the rolling looking- regulations, the Board’s regulations need to retained in the final regulations. backwards method. This subparagraph is re- clarify that any policy changes may only be In a few instances where the Secretary’s stored in the final regulation. applied prospectively. regulations referred to applicable federal or A commenter suggested that section The Board disagrees. The Board’s regula- State law, the Board retained the reference 825.213(a) of the proposed regulations be tions may apply only to FMLA rights under to applicable law, but omitted the mention amended to clarify that references to an em- the CAA; they may not apply to FMLA of ‘‘federal’’ or ‘‘State.’’ The Board is not in ploying office’s share of health plan pre- rights under pre-existing statutory and regu- a position to determine whether any State miums, which may be recovered under cer- latory regimes. Disputes under such pre-ex- law might be applicable in some instances tain circumstances, encompasses monies isting regimes, even if they are raised after with respect to these provisions. Nor should paid out of a Senate fund, as opposed to from January 23, 1996, are not governed by these these provisions cause confusion with re- appropriations of the employing office. The regulations and should be directed to the au- spect to the possibility of State law apply- proposed regulations, like the Secretary’s thorities previously responsible for such ing. The phrase ‘‘applicable law’’ certainly regulations, authorized the employing office rules. does not cause State law to apply where it to ‘‘recover its share’’ of the premiums. In light of the centralized manner in which the I. Miscellaneous Drafting Issues otherwise would not; the phrase simply means that, if a law does apply to the em- payment of health care insurance premiums 1. Clarification of the 12 months during which ploying office, such a law is referenced by is handled in the government, it is appro- 1,250 hours of service must have occurred the regulations. Accordingly, the references priate to expressly accommodate the situa- In defining which covered employee is an to applicable laws and requirements in sec- tion where premiums may be paid and recov- ‘‘eligible employee’, section 825.110(a) of the tions 825.213(f) and 825.301(e) of the Board’s ered on behalf of an employing office rather proposed regulations quoted from the defini- regulations are adopted as proposed. than by the employing office itself. tion of ‘‘eligible employee’’ set forth in sec- Section 824.204(b) of the Secretary’s regula- A number of other typographical, gram- tion 202(a)(2)(B) of the CAA (2 U.S.C. tions refers to applicable federal law and matical, and similar corrections were sug- § 1312(a)(2)(B)). This definition includes a re- State law, and the provision as proposed by gested. The Board has made corrections as quirement of ‘‘at least 1,250 hours of employ- the Board retained the reference to ‘‘federal’’ appropriate. However, by making these ment during the previous 12 months.’’ but not ‘‘State’’ law. To be consistent with changes, the Board does not intend a sub- A commenter stated that this wording is the foregoing principles, section 824.204(b) of stantive difference between these sections ambiguous. The commenter suggested the the Board’s regulations as adopted includes a and those of the Secretary from which they addition of language from the corresponding reference to applicable law, without limiting are derived. Moreover, such changes, in and regulation promulgated by the Secretary: the reference to ‘‘federal’’ law. of themselves, are not intended to constitute

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00029 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S200 CONGRESSIONAL RECORD — SENATE January 22, 1996 an interpretation of the regulation or of the priate resolutions of approval of them are 304(c)’s procedures should not be understood statutory provisions of the CAA upon which passed by the House and the Senate. In the to prevent the issuance of interim regula- they are based. absence of the issuance of such interim regu- tions that are necessary for the effective im- K. Board Determination on Regulations ‘‘Re- lations, covered employees, employing of- plementation of the CAA. quired’’ To Be Issued In Connection With fices, and the Office of Compliance staff Indeed, the promulgation of these interim Section 411 itself would be forced to operate in regu- regulations clearly conforms to the spirit of Section 411 of the CAA provides in perti- latory uncertainty. While section 411 of the section 304(c) and, in fact promotes its prop- nent part that ‘‘if the Board has not issued a CAA provides that, ‘‘if the Board has not er operation. As noted above, the interim regulation on a matter for which [the CAA] issued a regulation on a matter for which regulations shall become effective only upon the passage of appropriate resolutions of ap- requires a regulation to be issued the hear- this Act requires a regulation to be issued, proval, which is what section 304(c) con- ing officer, Board, or court, as the case may the hearing officer, Board, or court, as the templates. Moreover, these interim regula- be, shall apply, to the extent necessary and case may be, shall apply, to the extent nec- tions allow more considered deliberation by appropriate, the most relevant substantive essary and appropriate, the most relevant the House and the Senate of the Board’s final executive agency regulation promulgated to substantive executive agency regulation pro- mulgated to implement the statutory provi- regulations under section 304(c). implement the statutory provision at issue.’’ The House has in fact already signaled its 2 U.S.C. § 1411. By its own terms, this provi- sion at issue in the proceeding,’’ covered em- ployees, employing offices and the Office of approval of such interim regulations both for sion comes into play only where it is deter- Compliance staff might not know what regu- itself and for the instrumentalities. On De- mined that the Board has not issued a regu- lation, if any, would be found applicable in cember 19, 1995, the House adopted H. Res. lation that is required by the CAA. Thus, be- particular circumstances absent the proce- 311 and H. Con. Res. 123, which approve ‘‘on fore a Department of Labor regulation can dures suggested here. The resulting confu- a provisional basis’’ regulations ‘‘issued by be invoked, an adjudicator must make a sion and uncertainty on the part of covered the Office of Compliance before January 23, threshold determination that the regulation employees and employing offices would be 1996.’’ The Board believes these resolutions concerns a matter as to which the Board was contrary to the purposes and objectives of are sufficient to make these interim regula- obligated under the CAA to issue a regula- the CAA, as well as to the interests of those tions effective for the House on January 23, tion. whom it protects and regulates. Moreover, 1996, though the House might want to pass Part 825 of 29 C.F.R. contains all the regu- since the House and the Senate will likely new resolutions of approval in response to lations the Secretary of Labor issued to im- act on the Board’s final regulations within a this pronouncement of the Board. plement the FMLA. As noted in the NPR, short period of time, covered employees and To the Board’s knowledge, the Senate has several of those regulations are not legally employing offices would have to devote con- not yet acted on H. Con. Res. 123, nor has it ‘‘required’’ to be issued as CAA regulations siderable attention and resources to learn- passed a counterpart to H. Res. 311 that because the underlying FMLA provisions ing, understanding, and complying with a would cover employing offices and employees were not made applicable under the CAA. whole set of default regulations that would of the Senate. As stated herein, it must do so Additionally, the Board has determined that then have no future application. These in- if these interim regulations are to apply to it has good cause under section 202(d) of the terim regulations prevent such a waste of re- the Senate and the other employing offices CAA not to issue other of the Secretary’s sources. of the instrumentalities (and to prevent the regulations because, for example, they have The Board’s authority to issue such in- default rules of the executive branch from no applicability to legislative branch em- terim regulations derives from sections 411 applying as of January 23, 1996). ployment. Other than the comments dis- and 304 of the CAA. Section 411 gives the IV. METHOD OF APPROVAL cussed above, the commenters did not dis- Board authority to determine whether, in The Board received no comments on the pute the inapplicability of those portions of the absence of the issuance of a final regula- method of approval for these regulations. 29 C.F.R. part 825. tion by the Board, it is necessary and appro- The Board has carefully reviewed the en- Therefore, the Board continues to rec- priate to apply the substantive regulations ommend that (1) the version of the regula- tire corpus of the Secretary’s regulations, of the executive branch in implementing the has sought comment on its proposal con- tions that shall apply to the Senate and em- provisions of the CAA. Section 304(a) of the ployees of the Senate should be approved by cerning the regulations that it should (and CAA in turn authorizes the Board to issue should not) adopt, and has considered those the Senate by resolution; (2) the version of substantive regulations to implement the the regulations that shall apply to the House comments in formulating its final rules. Act. Moreover, section 304(b) of the CAA in- Based on this review and consideration, and of Representatives and employees of the structs that the Board shall adopt sub- House of Representatives should be approved in order to prevent wasteful litigation, the stantive regulations ‘‘in accordance with the Board has included a declaration in these by the House of Representatives by resolu- principles and procedures set forth in section tion; and (3) the version of the regulations regulations that the Board has issued all the 553 of title 5, United States Code,’’ which regulations that it is ‘‘required’’ to promul- that shall apply to other covered employees have in turn traditionally been construed by and employing offices should be approved by gate to implement the statutory provisions courts to allow an agency to issue ‘‘interim’’ of the FMLA that are made applicable to the the Congress by concurrent resolution. rules where the failure to have rules in place With respect to the interim version of legislative branch by the CAA. in a timely manner would frustrate the effec- these regulations, the Board recommends III. ADOPTION OF PROPOSED RULES AS FINAL tive operation of a federal statute. See, e.g., that the Senate approve them by resolution REGULATIONS UNDER SECTION 304(B)(3) AND AS Philadelphia Citizens in Action v. Schweiker, insofar as they apply to the Senate and em- INTERIM REGULATIONS 669 F.2d 877 (3d Cir. 1982). As noted above, in ployees of the Senate. In addition, the Board Having considered the public comments to the absence of the Board’s adoption and recommends that the Senate approve them the proposed rules, the Board pursuant to issuance of these interim rules, such a frus- by concurrent resolution insofar as they section 304(b)(3) and (4) of the CAA is adopt- tration of the effective operation of the CAA apply to other covered employees and em- ing these final regulations and transmitting would occur here. ploying offices. It is noted that the House them to the House of Representatives and In so interpreting its authority, the Board has expressed its approval of the regulations the Senate with recommendations as to the recognizes that in section 304 of the CAA, insofar as they apply to the House and its method of approval by each body under sec- Congress specified certain procedures that employees through its passage of H. Res. 311 tion 304(c). However, the rapidly approaching the Board must follow in issuing substantive on December 19, 1995. The House also ex- effective date of the CAA’s implementation regulations. In section 304(b), Congress said pressed its approval of the regulations inso- necessitates that the Board take further ac- that, except as specified in section 304(e), the far as they apply to other employing offices tion with respect to these regulations. For Board must follow certain notice and com- through passage of H. Con. Res. 123 on the the reasons explained below, the Board is ment and other procedures. The interim reg- same date; this concurrent resolution is also today adopting and issuing these rules ulations in fact have been subject to such no- pending before the Senate. as interim regulations that will be effective tice and comment and such other procedures Accordingly, the Board of Directors of the as of January 23, 1996 or the time upon which of section 304(b). Office of Compliance hereby adopts and sub- appropriate resolutions of approval of these In issuing these interim regulations, the mits for approval by the House of Represent- interim regulations are passed by the House Board also recognizes that section 304(c) atives and the Senate and issues on an in- and/or the Senate, whichever is later. These specifies certain procedures that the House terim basis the following regulations: interim regulations will remain in effect and the Senate are to follow in approving the PART 825—FAMILY AND MEDICAL LEAVE until the earlier of April 15, 1996 or the dates Board’s regulations. The Board is of the view 825.1 Purpose and scope upon which the House and Senate complete that the essence of section 304(c)’s require- 825.2 Duration of interim regulations their respective consideration of the final ments are satisfied by making the effective- regulations that the Board is herein adopt- ness of these interim regulations conditional Subpart A—What is the Family and Medical ing. on the passage of appropriate resolutions of Leave Act, and to Whom Does it Apply The Board finds that it is necessary and approval by the House and/or the Senate. under the Congressional Accountability appropriate to adopt such interim regula- Moreover, section 304(c) appears to be de- Act? tions and that there is ‘‘good cause’’ for signed primarily for (and applicable to) final 825.100 What is the Family and Medical making them effective as of the later of Jan- regulations of the Board, which these in- Leave Act? uary 23, 1996, or the time upon which appro- terim regulations are not. In short, section 825.101 What is the purpose of the FMLA?

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00030 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S201 825.102 When are the FMLA and the CAA ef- 825.212 What are the consequences of an em- 825.603 Is all leave taken during ‘‘periods of fective for covered employees and em- ployee’s failure to make timely health a particular duration’’ counted against ploying offices? plan premium payments? the FMLA leave entitlement? 825.103 How does the FMLA, as made appli- 825.213 May an employing office recover 825.604 What special rules apply to restora- cable by the CAA, affect leave in costs it incurred for maintaining ‘‘group tion to ‘‘an equivalent position?’’ progress on, or taken before, the effec- health plan’’ or other non-health benefits Subpart G—How Do Other Laws, Employing tive date of the CAA? coverage during FMLA leave? Office Practices, and Collective Bargaining 825.104 What employing offices are covered 825.214 What are an employee’s rights on re- Agreements Affect Employee Rights Under by the FMLA, as made applicable by the turning to work from FMLA leave? the FMLA as Made Applicable by the CAA? CAA? 825.215 What is an equivalent position? 825.700 What if an employing office provides 825.105 [Reserved] 825.216 Are there any limitations on an em- more generous benefits than required by 825.106 How is ‘‘joint employment’’ treated ploying office’s obligation to reinstate an FMLA as Made Applicable by the CAA? under the FMLA as made applicable by employee? 825.701 [Reserved] the CAA? 825.217 What is a ‘‘key employee’’? 825.702 How does FMLA affect anti-discrimi- 825.107—825.109 [Reserved] 825.218 What does ‘‘substantial and grievous nation laws as applied by section 201 of 825.110 Which employees are ‘‘eligible’’ to economic injury’’ mean? the CAA? take FMLA leave under these regula- 825.219 What are the rights of a key em- Subpart H—Definitions tions? ployee? 825.111 [Reserved] 825.220 How are employees protected who 825.800 Definitions 825.112 Under what kinds of circumstances request leave or otherwise assert FMLA Appendix A to Part 825—[Reserved] are employing offices required to grant rights? Appendix B to Part 825—Certification of family or medical leave? Physician or Practitioner Subpart C—How Do Employees Learn of 825.113 What do ‘‘spouse,’’ ‘‘parent,’’ and Appendix C to Part 825—[Reserved] Their Rights and Obligations under the ‘‘son or daughter’’ mean for purposes of Appendix D to Part 825—Prototype Notice: FMLA, as Made Applicable by the CAA, an employee qualifying to take FMLA Employing Office Response to Employee and What Can an Employing Office Require leave? Request for Family and Medical Leave of an Employee? 825.114 What is a ‘‘serious health condition’’ Appendix E to Part 825—[Reserved] entitling an employee to FMLA leave? 825.300 [Reserved] § 825.1 Purpose and scope 825.301 What notices to employees are re- 825.115 What does it mean that ‘‘the em- (a) Section 202 of the Congressional Ac- quired of employing offices under the ployee is unable to perform the functions countability Act (CAA) (2 U.S.C. 1312) applies of the position of the employee’’? FMLA as made applicable by the CAA? the rights and protections of sections 101 825.116 What does it mean that an employee 825.302 What notice does an employee have through 105 of the Family and Medical Leave is ‘‘needed to care for’’ a family member? to give an employing office when the Act of 1993 (FMLA) (29 U.S.C. 2611-2615) to 825.117 For an employee seeking intermit- need for FMLA leave is foreseeable? covered employees. (The term ‘‘covered em- tent FMLA leave or leave on a reduced 825.303 What are the requirements for an ployee’’ is defined in section 101(3) of the leave schedule, what is meant by ‘‘the employee to furnish notice to an employ- CAA (2 U.S.C. 1301(3)). See § 825.800 of these medical necessity for’’ such leave? ing office where the need for FMLA leave regulations for that definition.) The purpose 825.118 What is a ‘‘health care provider’’? is not foreseeable? of this part is to set forth the regulations to Subpart B—What Leave Is an Employee En- 825.304 What recourse do employing offices carry out the provisions of section 202 of the titled To Take Under The Family and Med- have if employees fail to provide the re- CAA. ical Leave Act, as Made Applicable by the quired notice? (b) These regulations are issued by the Congressional Accountability Act? 825.305 When must an employee provide Board of Directors, Office of Compliance, medical certification to support FMLA pursuant to sections 202(d) and 304 of the 825.200 How much leave may an employee leave? CAA, which direct the Board to promulgate take? 825.306 How much information may be re- regulations implementing section 202 that 825.201 If leave is taken for the birth of a quired in medical certifications of a seri- are ‘‘the same as substantive regulations child, or for placement of a child for ous health condition? promulgated by the Secretary of Labor to adoption or foster care, when must the 825.307 What may an employing office do if implement the statutory provisions referred leave be concluded? it questions the adequacy of a medical to in subsection (a) [of section 202 of the 825.202 How much leave may a husband and certification? CAA] except insofar as the Board may deter- wife take if they are employed by the 825.308 Under what circumstances may an mine, for good cause shown . . . that a modi- same employing office? employing office request subsequent re- fication of such regulations would be more 825.203 Does FMLA leave have to be taken certifications of medical conditions? effective for the implementation of the all at once, or can it be taken in parts? 825.309 What notice may an employing of- rights and protections under this section.’’ 825.204 May an employing office transfer an fice require regarding an employee’s in- The regulations issued by the Board herein employee to an ‘‘alternative position’’ in tent to return to work? are on all matters for which section 202 of order to accommodate intermittent 825.310 Under what circumstances may an the CAA requires regulations to be issued. leave or a reduced leave schedule? employing office require that an em- Specifically, it is the Board’s considered 825.205 How does one determine the amount ployee submit a medical certification judgment, based on the information avail- of leave used where an employee takes that the employee is able (or unable) to able to it at the time of the promulgation of leave intermittently or on a reduced return to work (i.e., a ‘‘fitness-for-duty’’ these regulations, that, with the exception of leave schedule? report)? regulations adopted and set forth herein, 825.206 May an employing office deduct 825.311 What happens if an employee fails to there are no other ‘‘substantive regulations hourly amounts from an employee’s sal- satisfy the medical certification and/or promulgated by the Secretary of Labor to ary, when providing unpaid leave under recertification requirements? implement the statutory provisions referred FMLA, as made applicable by the CAA, 825.312 Under what circumstances may an to in subsection (a) [of section 202 of the without affecting the employee’s quali- employing office refuse to provide FMLA CAA]. (c) In promulgating these regulations, the fication for exemption as an executive, leave or reinstatement to eligible em- Board has made certain technical and no- administrative, or professional em- ployees? ployee, or when utilizing the fluctuating menclature changes to the regulations as workweek method for payment of over- Subpart D—What Enforcement Mechanisms promulgated by the Secretary. Such changes time, under the Fair Labor Standards Does the CAA Provide? are intended to make the provisions adopted Act? 825.400 What can employees do who believe accord more naturally to situations in the 825.207 Is FMLA leave paid or unpaid? that their rights under the FMLA as legislative branch. However, by making 825.208 Under what circumstances may an made applicable by the CAA have been these changes, the Board does not intend a employing office designate leave, paid or violated? substantive difference between these regula- unpaid, as FMLA leave and, as a result, 825.401—825.404 [Reserved] tions and those of the Secretary from which they are derived. Moreover, such changes, in enable leave to be counted against the Subpart E—[Reserved] employee’s total FMLA leave entitle- and of themselves, are not intended to con- ment? Subpart F—What Special Rules Apply to stitute an interpretation of the regulation or 825.209 Is an employee entitled to benefits Employees of Schools? of the statutory provisions of the CAA upon while using FMLA leave? 825.600 To whom do the special rules apply? which they are based. 825.210 How may employees on FMLA leave 825.601 What limitations apply to the tak- § 825.2 Duration of interim regulations pay their share of group health benefit ing of intermittent leave or leave on a These interim regulations for the House, premiums? reduced leave schedule? the Senate and the employing offices of the 825.211 What special health benefits mainte- 825.602 What limitations apply to the tak- instrumentalities are effective on January nance rules apply to multi-employer ing of leave near the end of an academic 23, 1996 or on the dates upon which appro- health plans? term? priate resolutions are passed, whichever is

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00031 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S202 CONGRESSIONAL RECORD — SENATE January 22, 1996 later. The interim regulations shall expire in preserving family integrity. It was in- underway prior to the effective date of the on April 15, 1996 or on the dates on which ap- tended that the FMLA accomplish these pur- FMLA for the employing office from which propriate resolutions concerning the Board’s poses in a manner that accommodates the le- the leave was taken and continued after the final regulations are passed by the House and gitimate interests of employers, and in a FMLA’s effective date for that office, only the Senate. manner consistent with the Equal Protec- that portion of leave taken on or after the Subpart A—What is the Family and Medical tion Clause of the Fourteenth Amendment in FMLA’s effective date may be counted Leave Act, and to Whom Does it Apply minimizing the potential for employment against the employee’s leave entitlement under the Congressional Accountability discrimination on the basis of sex, while pro- under the FMLA, as made applicable by the Act? moting equal employment opportunity for CAA. men and women. (b) If an employing office-approved leave is § 825.100 What is the Family and Medical (b) The enactment of FMLA was predicated underway when the application of the FMLA Leave Act? on two fundamental concerns ‘‘the needs of by the CAA takes effect, no further notice (a) The Family and Medical Leave Act of the American workforce, and the develop- would be required of the employee unless the 1993 (FMLA), as made applicable by the Con- ment of high-performance organizations. In- employee requests an extension of the leave. gressional Accountability Act (CAA), allows creasingly, America’s children and elderly For leave which commenced on the effective ‘‘eligible’’ employees of an employing office are dependent upon family members who date or shortly thereafter, such notice must to take job-protected, unpaid leave, or to must spend long hours at work. When a fam- have been given which was practicable, con- substitute appropriate paid leave if the em- ily emergency arises, requiring workers to sidering the foreseeability of the need for ployee has earned or accrued it, for up to a attend to seriously-ill children or parents, or leave and the effective date. total of 12 workweeks in any 12 months be- to newly-born or adopted infants, or even to (c) Starting on January 23, 1996, an em- cause of the birth of a child and to care for their own serious illness, workers need reas- ployee is entitled to FMLA leave under these the newborn child, because of the placement surance that they will not be asked to regulations if the reason for the leave is of a child with the employee for adoption or choose between continuing their employ- qualifying under the FMLA, as made appli- foster care, because the employee is needed ment, and meeting their personal and family cable by the CAA, even if the event occa- to care for a family member (child, spouse, obligations or tending to vital needs at sioning the need for leave (e.g., the birth of or parent) with a serious health condition, or home. a child) occurred before such date (so long as because the employee’s own serious health (c) The FMLA is both intended and ex- any other requirements are satisfied). condition makes the employee unable to per- pected to benefit employers as well as their § 825.104 What employing offices are covered by form the functions of his or her job (see employees. A direct correlation exists be- the FMLA, as made applicable by the CAA? § 825.306(b)(4)). In certain cases, this leave tween stability in the family and produc- (a) The FMLA, as made applicable by the may be taken on an intermittent basis rath- tivity in the workplace. FMLA will encour- CAA, covers all employing offices. As used in er than all at once, or the employee may age the development of high-performance or- the CAA, the term ‘‘employing office’’ work a part-time schedule. ganizations. When workers can count on du- (b) An employee on FMLA leave is also en- means— rable links to their workplace they are able (1) the personal office of a Member of the titled to have health benefits maintained to make their own full commitments to their House of Representatives or of a Senator; while on leave as if the employee had contin- jobs. The record of hearings on family and (2) a committee of the House of Represent- ued to work instead of taking the leave. If an medical leave indicate the powerful produc- atives or the Senate or a joint committee; employee was paying all or part of the pre- tive advantages of stable workplace relation- (3) any other office headed by a person mium payments prior to leave, the employee ships, and the comparatively small costs of with the final authority to appoint, hire, dis- would continue to pay his or her share dur- guaranteeing that those relationships will charge, and set the terms, conditions, or ing the leave period. The employing office or not be dissolved while workers attend to privileges of the employment of an employee a disbursing or other financial office of the pressing family health obligations or their of the House of Representatives or the Sen- House of Representatives or the Senate may own serious illness. ate; or recover its share only if the employee does § 825.102 When are the FMLA and the CAA ef- (4) the Capitol Guide Board, the Capitol not return to work for a reason other than fective for covered employees and employing Police Board, the Congressional Budget Of- the serious health condition of the employee offices? fice, the Office of the Architect of the Cap- or the employee’s immediate family mem- (a) The rights and protection of sections itol, the Office of the Attending Physician, ber, or another reason beyond the employee’s 101 through 105 of the FMLA have applied to the Office of Compliance, and the Office of control. certain Senate employees and certain em- Technology Assessment. (c) An employee generally has a right to ploying offices of the Senate since August 5, (b) [Reserved] return to the same position or an equivalent 1993 (see section 501 of FMLA). (c) Separate entities will be deemed to be position with equivalent pay, benefits and (b) The rights and protection of sections parts of a single employer for purposes of the working conditions at the conclusion of the 101 through 105 of the FMLA have applied to FMLA, as made applicable by the CAA, if leave. The taking of FMLA leave cannot re- any employee in an employment position they meet the ‘‘integrated employer’’ test. A sult in the loss of any benefit that accrued and any employment authority of the House determination of whether or not separate en- prior to the start of the leave. of Representatives since August 5, 1993 (see tities are an integrated employer is not de- (d) The employing office has a right to 30 section 502 of FMLA). termined by the application of any single days advance notice from the employee (c) The rights and protections of sections criterion, but rather the entire relationship where practicable. In addition, the employ- 101 through 105 of the FMLA have applied to is to be reviewed in its totality. Factors con- ing office may require an employee to sub- certain employing offices and covered em- sidered in determining whether two or more mit certification from a health care provider ployees other than those referred to in para- entities are an integrated employer include: to substantiate that the leave is due to the graphs (a) and (b) of this section for certain (i) Common management; serious health condition of the employee or periods since August 5, 1993 (see, e.g., Title V (ii) Interrelation between operations; the employee’s immediate family member. of the FMLA, sections 501 and 502). (iii) Centralized control of labor relations; Failure to comply with these requirements (d) The provisions of section 202 of the CAA and may result in a delay in the start of FMLA that apply rights and protections of the (iv) Degree of common financial control. leave. Pursuant to a uniformly applied pol- FMLA to covered employees are effective on § 825.105 [Reserved] icy, the employing office may also require January 23, 1996. § 825.106 How is ‘‘joint employment’’ treated that an employee present a certification of (e) The period prior to the effective date of under the FMLA as made applicable by the fitness to return to work when the absence the application of FMLA rights and protec- CAA? was caused by the employee’s serious health tions under the CAA must be considered in condition (see § 825.311(c)). The employing of- (a) Where two or more employing offices determining employee eligibility. exercise some control over the work or work- fice may delay restoring the employee to § 825.103 How does the FMLA, as made appli- employment without such certificate relat- ing conditions of the employee, the employ- cable by the CAA, affect leave in progress ing offices may be joint employers under ing to the health condition which caused the on, or taken before, the effective date of the employee’s absence. FMLA, as made applicable by the CAA. CAA? Where the employee performs work which si- § 825.101 What is the purpose of the FMLA? (a) An eligible employee’s right to take multaneously benefits two or more employ- (a) FMLA is intended to allow employees FMLA leave began on the date that the ing offices, or works for two or more employ- to balance their work and family life by tak- rights and protections of the FMLA first ing offices at different times during the ing reasonable unpaid leave for medical rea- went into effect for the employing office and workweek, a joint employment relationship sons, for the birth or adoption of a child, and employee (see § 825.102(a)). Any leave taken generally will be considered to exist in situa- for the care of a child, spouse, or parent who prior to the date on which the rights and tions such as: has a serious health condition. The FMLA is protections of the FMLA first became effec- (1) Where there is an arrangement between intended to balance the demands of the tive for the employing office from which the employing offices to share an employee’s workplace with the needs of families, to pro- leave was taken may not be counted for pur- services or to interchange employees; mote the stability and economic security of poses of the FMLA as made applicable by the (2) Where one employing office acts di- families, and to promote national interests CAA. If leave qualifying as FMLA leave was rectly or indirectly in the interest of the

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00032 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S203 other employing office in relation to the em- whether intermittent/occasional/casual em- (1) For birth of a son or daughter, and to ployee; or ployment qualifies as ‘‘at least 12 months,’’ care for the newborn child; (3) Where the employing offices are not 52 weeks is deemed to be equal to 12 months. (2) For placement with the employee of a (c) If an employee was employed by two or completely disassociated with respect to the son or daughter for adoption or foster care; employee’s employment and may be deemed more employing offices, either sequentially to share control of the employee, directly or or concurrently, the hours of service will be (3) To care for the employee’s spouse, son, indirectly, because one employing office con- aggregated to determine whether the min- daughter, or parent with a serious health trols, is controlled by, or is under common imum of 1,250 hours has been reached. condition; and control with the other employing office. Whether an employee has worked the min- (4) Because of a serious health condition (b) A determination of whether or not a imum 1,250 hours of service is determined ac- that makes the employee unable to perform joint employment relationship exists is not cording to the principles established under the functions of the employee’s job. determined by the application of any single the Fair Labor Standards Act (FLSA) , as (b) The right to take leave under FMLA as criterion, but rather the entire relationship applied by section 203 of the CAA (2 U.S.C. made applicable by the CAA applies equally is to be viewed in its totality. For example, 1313), for determining compensable hours of to male and female employees. A father, as joint employment will ordinarily be found to work. The determining factor is the number well as a mother, can take family leave for exist when: (1) an employee, who is employed of hours an employee has worked for one or the birth, placement for adoption or foster by an employing office other than the per- more employing offices. The determination care of a child. sonal office of a Member of the House of Rep- is not limited by methods of record-keeping, resentatives or of a Senator, is under the ac- or by compensation agreements that do not (c) Circumstances may require that FMLA tual direction and control of the Member of accurately reflect all of the hours an em- leave begin before the actual date of birth of the House of Representatives or Senator; or ployee has worked for or been in service to a child. An expectant mother may take (2) two or more employing offices employ the employing office. Any accurate account- FMLA leave pursuant to paragraph (a)(4) of an individual to work on common issues or ing of actual hours worked may be used. For this section before the birth of the child for other matters for both or all of them. this purpose, full-time teachers (see § 825.800 prenatal care or if her condition makes her (c) When employing offices employ a cov- for definition) of an elementary or secondary unable to work. ered employee jointly, they may designate school system, or institution of higher edu- cation, or other educational establishment (d) Employing offices are required to grant one of themselves to be the primary employ- FMLA leave pursuant to paragraph (a)(2) of ing office, and the other or others to be the or institution are deemed to meet the 1,250 hour test. An employing office must be able this section before the actual placement or secondary employing office(s). Such a des- adoption of a child if an absence from work ignation shall be made by written notice to to clearly demonstrate that such an em- ployee did not work 1,250 hours during the is required for the placement for adoption or the covered employee. foster care to proceed. For example, the em- (d) If an employing office is designated a previous 12 months in order to claim that the employee is not ‘‘eligible’’ for FMLA ployee may be required to attend counseling primary employing office pursuant to para- sessions, appear in court, consult with his or graph (c) of this section, only that employ- leave. (d) The determinations of whether an em- her attorney or the doctor(s) representing ing office is responsible for giving required ployee has worked for any employing office the birth parent, or submit to a physical ex- notices to the covered employee, providing for at least 1,250 hours in the previous 12 amination. The source of an adopted child FMLA leave, and maintenance of health ben- months and has been employed by any em- (e.g., whether from a licensed placement efits. Job restoration is the primary respon- ploying office for a total of at least 12 agency or otherwise) is not a factor in deter- sibility of the primary employing office, and months must be made as of the date leave mining eligibility for leave for this purpose. the secondary employing office(s) may, sub- commences. The ‘‘previous 12 months’’ ject to the limitations in § 825.216, be respon- (e) Foster care is 24-hour care for children means the 12 months immediately preceding in substitution for, and away from, their par- sible for accepting the employee returning the commencement of the leave. If an em- from FMLA leave. ents or guardian. Such placement is made by ployee notifies the employing office of need or with the agreement of the State as a re- (e) If employing offices employ an em- for FMLA leave before the employee meets ployee jointly, but fail to designate a pri- sult of a voluntary agreement between the these eligibility criteria, the employing of- parent or guardian that the child be removed mary employing office pursuant to para- fice must either confirm the employee’s eli- graph (c) of this section, then all of these from the home, or pursuant to a judicial de- gibility based upon a projection that the em- termination of the necessity for foster care, employing offices shall be jointly and sever- ployee will be eligible on the date leave ally liable for giving required notices to the and involves agreement between the State would commence or must advise the em- and foster family that the foster family will employee, for providing FMLA leave, for as- ployee when the eligibility requirement is suring that health benefits are maintained, take care of the child. Although foster care met. If the employing office confirms eligi- may be with relatives of the child, State ac- and for job restoration. The employee may bility at the time the notice for leave is re- give notice of need for FMLA leave, as de- tion is involved in the removal of the child ceived, the employing office may not subse- from parental custody. scribed in §§ 825.302 and 825.303, to whichever quently challenge the employee’s eligibility. of these employing offices the employee In the latter case, if the employing office (f) In situations where the employer/em- chooses. If the employee makes a written re- does not advise the employee whether the ployee relationship has been interrupted, quest for restoration to one of these employ- employee is eligible as soon as practicable such as an employee who has been on layoff, ing offices, that employing office shall be (i.e., two business days absent extenuating the employee must be recalled or otherwise primarily responsible for job restoration, and circumstances) after the date employee eligi- be re-employed before being eligible for the other employing office(s) may, subject to bility is determined, the employee will have FMLA leave. Under such circumstances, an the limitations in § 825.216, be responsible for satisfied the notice requirements and the no- eligible employee is immediately entitled to accepting the employee returning from tice of leave is considered current and out- further FMLA leave for a qualifying reason. FMLA leave. standing until the employing office does ad- (g) FMLA leave is available for treatment § 825.107 [Reserved] vise. If the employing office fails to advise for substance abuse provided the conditions § 825.108 [Reserved] the employee whether the employee is eligi- of § 825.114 are met. However, treatment for § 825.109 [Reserved] ble prior to the date the requested leave is to substance abuse does not prevent an employ- § 825.110 Which employees are ‘‘eligible’’ to take commence, the employee will be deemed eli- ing office from taking employment action FMLA leave under these regulations? gible. The employing office may not, then, against an employee. The employing office (a) An ‘‘eligible employee’’ under these deny the leave. Where the employee does not may not take action against the employee regulations means a covered employee who give notice of the need for leave more than because the employee has exercised his or has been employed in any employing office two business days prior to commencing her right to take FMLA leave for treatment. for 12 months and for at least 1,250 hours of leave, the employee will be deemed to be eli- However, if the employing office has an es- employment during the previous 12 months. gible if the employing office fails to advise tablished policy, applied in a non-discrimina- (b) The 12 months an employee must have the employee that the employee is not eligi- tory manner that has been communicated to been employed by any employing office need ble within two business days of receiving the all employees, that provides under certain not be consecutive months. If an employee employee’s notice. circumstances an employee may be termi- worked for two or more employing offices se- (e) The period prior to the effective date of nated for substance abuse, pursuant to that quentially, the time worked will be aggre- the application of FMLA rights and protec- policy the employee may be terminated gated to determine whether it equals 12 tions under the CAA must be considered in whether or not the employee is presently months. If an employee is maintained on the determining employee’s eligibility. taking FMLA leave. An employee may also payroll for any part of a week, including any (f) [Reserved] take FMLA leave to care for an immediate periods of paid or unpaid leave (sick, vaca- § 825.111 [Reserved] family member who is receiving treatment tion) during which other benefits or com- § 825.112 Under what kinds of circumstances are for substance abuse. The employing office pensation are provided by the employer (e.g., employing offices required to grant family or may not take action against an employee workers’ compensation, group health plan medical leave? who is providing care for an immediate fam- benefits, etc.), the week counts as a week of (a) Employing offices are required to grant ily member receiving treatment for sub- employment. For purposes of determining leave to eligible employees: stance abuse.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00033 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S204 CONGRESSIONAL RECORD — SENATE January 22, 1996 § 825.113 What do ‘‘spouse,’’ ‘‘parent,’’ and ‘‘son calendar days, and any subsequent treat- injury or removal of cancerous growths are or daughter’’ mean for purposes of an em- ment or period of incapacity relating to the serious health conditions provided all the ployee qualifying to take FMLA leave? same condition, that also involves: other conditions of this regulation are met. (a) Spouse means a husband or wife as de- (A) Treatment two or more times by a Mental illness resulting from stress or aller- fined or recognized under State law for pur- health care provider, by a nurse or physi- gies may be serious health conditions, but poses of marriage in the State where the em- cian’s assistant under direct supervision of a only if all the conditions of this section are ployee resides, including common law mar- health care provider, or by a provider of met. riage in States where it is recognized. health care services (e.g., physical therapist) (d) Substance abuse may be a serious (b) Parent means a biological parent or an under orders of, or on referral by, a health health condition if the conditions of this sec- individual who stands or stood in loco care provider; or tion are met. However, FMLA leave may parentis to an employee when the employee (B) Treatment by a health care provider on only be taken for treatment for substance was a son or daughter as defined in (c) below. at least one occasion which results in a regi- abuse by a health care provider or by a pro- This term does not include parents ‘‘in law’’. men of continuing treatment under the su- vider of health care services on referral by a (c) Son or daughter means a biological, pervision of the health care provider. health care provider. On the other hand, ab- adopted, or foster child, a stepchild, a legal (ii) Any period of incapacity due to preg- sence because of the employee’s use of the ward, or a child of a person standing in loco nancy, or for prenatal care. substance, rather than for treatment, does parentis, who is either under age 18, or age 18 (iii) Any period of incapacity or treatment not qualify for FMLA leave. (e) Absences attributable to incapacity or older and ‘‘incapable of self-care because for such incapacity due to a chronic serious under paragraphs (a)(2)(ii) or (iii) qualify for of a mental or physical disability.’’ health condition. A chronic serious health FMLA leave even though the employee or (1) ‘‘Incapable of self-care’’ means that the condition is one which: the immediate family member does not re- individual requires active assistance or su- (A) Requires periodic visits for treatment ceive treatment from a health care provider pervision to provide daily self-care in three by a health care provider, or by a nurse or during the absence, and even if the absence or more of the ‘‘activities of daily living’’ physician’s assistant under direct super- does not last more than three days. For ex- (ADLs) or ‘‘instrumental activities of daily vision of a health care provider; (B) Continues over an extended period of ample, an employee with asthma may be un- living’’ (IADLs). Activities of daily living in- time (including recurring episodes of a single able to report for work due to the onset of an clude adaptive activities such as caring ap- underlying condition); and asthma attack or because the employee’s propriately for one’s grooming and hygiene, (C) May cause episodic rather than a con- health care provider has advised the em- bathing, dressing and eating. Instrumental tinuing period of incapacity (e.g., asthma, ployee to stay home when the pollen count activities of daily living include cooking, diabetes, epilepsy, etc.). exceeds a certain level. An employee who is cleaning, shopping, taking public transpor- (iv) A period of incapacity which is perma- pregnant may be unable to report to work tation, paying bills, maintaining a residence, nent or long-term due to a condition for because of severe morning sickness. using telephones and directories, using a which treatment may not be effective. The § 825.115 What does it mean that ‘‘the employee post office, etc. employee or family member must be under (2) ‘‘Physical or mental disability’’ means is unable to perform the functions of the po- the continuing supervision of, but need not sition of the employee’’? a physical or mental impairment that sub- be receiving active treatment by, a health stantially limits one or more of the major An employee is ‘‘unable to perform the care provider. Examples include Alzheimer’s, functions of the position’’ where the health life activities of an individual. See the Amer- a severe stroke, or the terminal stages of a icans with Disabilities Act (ADA), as made care provider finds that the employee is un- disease. able to work at all or is unable to perform applicable by section 201(a)(3) of the CAA (2 (v) Any period of absence to receive mul- U.S.C. 1311(a)(3)). any one of the essential functions of the em- tiple treatments (including any period of re- ployee’s position within the meaning of the (3) Persons who are ‘‘in loco parentis’’ in- covery therefrom) by a health care provider clude those with day-to-day responsibilities Americans with Disabilities Act (ADA), as or by a provider of health care services under made applicable by section 201(a)(3) of the to care for and financially support a child or, orders of, or on referral by, a health care in the case of an employee, who had such re- CAA (2 U.S.C. 1311(a)(3)). An employee who provider, either for restorative surgery after must be absent from work to receive medical sponsibility for the employee when the em- an accident or other injury, or for a condi- ployee was a child. A biological or legal rela- treatment for a serious health condition is tion that would likely result in a period of considered to be unable to perform the essen- tionship is not necessary. incapacity of more than three consecutive (d) For purposes of confirmation of family tial functions of the position during the ab- calendar days in the absence of medical relationship, the employing office may re- sence for treatment. An employing office has intervention or treatment, such as cancer quire the employee giving notice of the need the option, in requiring certification from a (chemotherapy, radiation, etc.), severe ar- for leave to provide reasonable documenta- health care provider, to provide a statement thritis (physical therapy), kidney disease (di- tion or statement of family relationship. of the essential functions of the employee’s alysis). This documentation may take the form of a position for the health care provider to re- (b) Treatment for purposes of paragraph (a) view. For purposes of FMLA, the essential simple statement from the employee, or a of this section includes (but is not limited child’s birth certificate, a court document, functions of the employee’s position are to to) examinations to determine if a serious be determined with reference to the position etc. The employing office is entitled to exam- health condition exists and evaluations of the employee held at the time notice is given ine documentation such as a birth certifi- the condition. Treatment does not include or leave commenced, whichever is earlier. cate, etc., but the employee is entitled to the routine physical examinations, eye examina- return of the official document submitted for § 825.116 What does it mean that an employee is tions, or dental examinations. Under para- ‘‘needed to care for’’ a family member? this purpose. graph (a)(2)(i)(B), a regimen of continuing (a) The medical certification provision § 825.114 What is a ‘‘serious health condition’’ treatment includes, for example, a course of entitling an employee to FMLA leave? that an employee is ‘‘needed to care for’’ a prescription medication (e.g., an antibiotic) family member encompasses both physical (a) For purposes of FMLA, ‘‘serious health or therapy requiring special equipment to re- and psychological care. It includes situations condition’’ entitling an employee to FMLA solve or alleviate the health condition (e.g., where, for example, because of a serious leave means an illness, injury, impairment, oxygen). A regimen of continuing treatment health condition, the family member is un- or physical or mental condition that in- that includes the taking of over-the-counter able to care for his or her own basic medical, volves: medications such as aspirin, antihistamines, hygienic, or nutritional needs or safety, or is (1) Inpatient care (i.e., an overnight stay) in or salves; or bed-rest, drinking fluids, exer- unable to transport himself or herself to the a hospital, hospice, or residential medical cise, and other similar activities that can be doctor, etc. The term also includes providing care facility, including any period of inca- initiated without a visit to a health care pro- psychological comfort and reassurance pacity (for purposes of this section, defined to vider, is not, by itself, sufficient to con- which would be beneficial to a child, spouse mean inability to work, attend school or per- stitute a regimen of continuing treatment or parent with a serious health condition form other regular daily activities due to the for purposes of FMLA leave. who is receiving inpatient or home care. serious health condition, treatment therefor, (c) Conditions for which cosmetic treat- (b) The term also includes situations where or recovery therefrom), or any subsequent ments are administered (such as most treat- the employee may be needed to fill in for treatment in connection with such inpatient ments for acne or plastic surgery) are not others who are caring for the family mem- care; or ‘‘serious health conditions’’ unless inpatient ber, or to make arrangements for changes in (2) Continuing treatment by a health care hospital care is required or unless complica- care, such as transfer to a nursing home. provider. A serious health condition involv- tions develop. Ordinarily, unless complica- (c) An employee’s intermittent leave or a ing continuing treatment by a health care tions arise, the common cold, the flu, ear reduced leave schedule necessary to care for provider includes any one or more of the fol- aches, upset stomach, minor ulcers, head- a family member includes not only a situa- lowing: aches other than migraine, routine dental or tion where the family member’s condition (i) A period of incapacity (i.e., inability to orthodontia problems, periodontal disease, itself is intermittent, but also where the em- work, attend school or perform other regular etc., are examples of conditions that do not ployee is only needed intermittently ‘‘such daily activities due to the serious health meet the definition of a serious health condi- as where other care is normally available, or condition, treatment therefor, or recovery tion and do not qualify for FMLA leave. Re- care responsibilities are shared with another therefrom) of more than three consecutive storative dental or plastic surgery after an member of the family or a third party.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00034 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S205 § 825.117 For an employee seeking intermittent (c) The phrase ‘‘authorized to practice in must take place in such a way that the em- FMLA leave or leave on a reduced leave the State’’ as used in this section means that ployees retain the full benefit of 12 weeks of schedule, what is meant by ‘‘the medical ne- the provider must be authorized to diagnose leave under whichever method affords the cessity for’’ such leave? and treat physical or mental health condi- greatest benefit to the employee. Under no For intermittent leave or leave on a re- tions without supervision by a doctor or circumstances may a new method be imple- duced leave schedule, there must be a med- other health care provider. mented in order to avoid the CAA’s FMLA ical need for leave (as distinguished from Subpart B—What Leave Is an Employee En- leave requirements. voluntary treatments and procedures) and it titled To Take Under the Family and Med- (2) [Reserved] must be that such medical need can be best ical Leave Act, as Made Applicable by the (e) If an employing office fails to select one accommodated through an intermittent or Congressional Accountability Act? of the options in paragraph (b) of this section for measuring the 12-month period, the op- reduced leave schedule. The treatment regi- § 825.200 How much leave may an employee tion that provides the most beneficial out- men and other information described in the take? certification of a serious health condition come for the employee will be used. The em- (a) An eligible employee’s FMLA leave en- (see § 825.306) meets the requirement for cer- ploying office may subsequently select an titlement is limited to a total of 12 work- tification of the medical necessity of inter- option only by providing the 60-day notice to weeks of leave during any 12-month period mittent leave or leave on a reduced leave all employees of the option the employing for any one, or more, of the following rea- schedule. Employees needing intermittent office intends to implement. During the run- sons: ning of the 60-day period any other employee FMLA leave or leave on a reduced leave (1) The birth of the employee’s son or schedule must attempt to schedule their who needs FMLA leave may use the option daughter, and to care for the newborn child; providing the most beneficial outcome to leave so as not to disrupt the employing of- (2) The placement with the employee of a fice’s operations. In addition, an employing that employee. At the conclusion of the 60- son or daughter for adoption or foster care, day period the employing office may imple- office may assign an employee to an alter- and to care for the newly placed child; native position with equivalent pay and ben- ment the selected option. (3) To care for the employee’s spouse, son, (f) For purposes of determining the amount efits that better accommodates the employ- daughter, or parent with a serious health ee’s intermittent or reduced leave schedule. of leave used by an employee, the fact that condition; and, a holiday may occur within the week taken § 825.118 What is a ‘‘health care provider’’? (4) Because of a serious health condition as FMLA leave has no effect; the week is (a)(1) The term ‘‘health care provider’’ that makes the employee unable to perform counted as a week of FMLA leave. However, means: one or more of the essential functions of his if for some reason the employing office’s ac- (i) A doctor of medicine or osteopathy who or her job. tivity has temporarily ceased and employees is authorized to practice medicine or surgery (b) An employing office is permitted to generally are not expected to report for work (as appropriate) by the State in which the choose any one of the following methods for for one or more weeks (e.g., a school closing doctor practices; or determining the ‘‘12-month period’’ in which two weeks for the Christmas/New Year holi- (ii) Any other person determined by the Of- the 12 weeks of leave entitlement occurs: day or the summer vacation or an employing fice of Compliance to be capable of providing (1) The calendar year; office closing the office for repairs), the days (2) Any fixed 12-month ‘‘leave year,’’ such health care services. the employing office’s activities have ceased as a fiscal year or a year starting on an em- (2) In making a determination referred to do not count against the employee’s FMLA ployee’s ‘‘anniversary’’ date; in subparagraph (1)(ii), and absent good leave entitlement. Methods for determining (3) The 12-month period measured forward cause shown to do otherwise, the Office of an employee’s 12-week leave entitlement are from the date any employee’s first FMLA Compliance will follow any determination also described in § 825.205. made by the Secretary of Labor (under sec- leave begins; or (g)(1) If employing offices jointly employ (4) A ‘‘rolling’’ 12-month period measured tion 101(6)(B) of the FMLA, 29 U.S.C. an employee, and if they designate a primary backward from the date an employee uses 2611(6)(B)) that a person is capable of pro- employer pursuant to § 825.106(c), the pri- any FMLA leave (except that such measure viding health care services, provided the Sec- mary employer may choose any one of the may not extend back before the date on retary’s determination was not made at the alternatives in paragraph (b) of this section which the application of FMLA rights and request of a person who was then a covered for measuring the 12-month period, provided protections first becomes effective for the employee. that the alternative chosen is applied con- employing office; see § 825.102). (b) Others ‘‘capable of providing health sistently and uniformly to all employees of (c) Under methods in paragraphs (b)(1) and care services’’ include only: the primary employer including the jointly (b)(2) of this section an employee would be (1) Podiatrists, dentists, clinical psycholo- employed employee. gists, optometrists, and chiropractors (lim- entitled to up to 12 weeks of FMLA leave at (2) If employing offices fail to designated a ited to treatment consisting of manual ma- any time in the fixed 12-month period se- primary employer pursuant to § 825.106(c), an nipulation of the spine to correct a sub- lected. An employee could, therefore, take 12 employee jointly employed by the employing luxation as demonstrated by X-ray to exist) weeks of leave at the end of the year and 12 offices may, by so notifying one of the em- authorized to practice in the State and per- weeks at the beginning of the following year. ploying offices, select that employing office forming within the scope of their practice as Under the method in paragraph (b)(3) of this to be the primary employer of the employee defined under State law; section, an employee would be entitled to 12 for purposes of the application of paragraphs (2) Nurse practitioners, nurse-midwives weeks of leave during the year beginning on (d) and (e) of this section. and clinical social workers who are author- the first date FMLA leave is taken; the next § 825.201 If leave is taken for the birth of a ized to practice under State law and who are 12-month period would begin the first time child, or for placement of a child for adop- performing within the scope of their practice FMLA leave is taken after completion of any tion or foster care, when must the leave be as defined under State law; previous 12-month period. Under the method concluded? (3) Christian Science practitioners listed in paragraph (b)(4) of this section, the ‘‘roll- with the First Church of Christ, Scientist in ing’’ 12-month period, each time an employee An employee’s entitlement to leave for a Boston, Massachusetts. Where an employee takes FMLA leave the remaining leave enti- birth or placement for adoption or foster or family member is receiving treatment tlement would be any balance of the 12 care expires at the end of the 12-month pe- from a Christian Science practitioner, an weeks which has not been used during the riod beginning on the date of the birth or employee may not object to any requirement immediately preceding 12 months. For exam- placement, unless the employing office per- from an employing office that the employee ple, if an employee has taken eight weeks of mits leave to be taken for a longer period. or family member submit to examination leave during the past 12 months, an addi- Any such FMLA leave must be concluded (though not treatment) to obtain a second or tional four weeks of leave could be taken. If within this one-year period. third certification from a health care pro- an employee used four weeks beginning Feb- § 825.202 How much leave may a husband and vider other than a Christian Science practi- ruary 1, 1997, four weeks beginning June 1, wife take if they are employed by the same tioner except as otherwise provided under 1997, and four weeks beginning December 1, employing office? applicable State or local law or collective 1997, the employee would not be entitled to (a) A husband and wife who are eligible for bargaining agreement. any additional leave until February 1, 1998. FMLA leave and are employed by the same (4) Any health care provider from whom an However, beginning on February 1, 1998, the employing office may be limited to a com- employing office or the employing office’s employee would be entitled to four weeks of bined total of 12 weeks of leave during any group health plan’s benefits manager will ac- leave, on June 1 the employee would be enti- 12-month period if the leave is taken: cept certification of the existence of a seri- tled to an additional four weeks, etc. (1) for birth of the employee’s son or ous health condition to substantiate a claim (d)(1) Employing offices will be allowed to daughter or to care for the child after birth; for benefits; and choose any one of the alternatives in para- (2) for placement of a son or daughter with (5) A health care provider listed above who graph (b) of this section provided the alter- the employee for adoption or foster care, or practices in a country other than the United native chosen is applied consistently and to care for the child after placement; or States, who is authorized to practice in ac- uniformly to all employees. An employing (3) to care for the employee’s parent with cordance with the law of that country, and office wishing to change to another alter- a serious health condition. who is performing within the scope of his or native is required to give at least 60 days no- (b) This limitation on the total weeks of her practice as defined under such law. tice to all employees, and the transition leave applies to leave taken for the reasons

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00035 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S206 CONGRESSIONAL RECORD — SENATE January 22, 1996 specified in paragraph (a) of this section as (d) There is no limit on the size of an incre- employee’s normal job location. Any such at- long as a husband and wife are employed by ment of leave when an employee takes inter- tempt on the part of the employing office to the ‘‘same employing office.’’ It would apply, mittent leave or leave on a reduced leave make such a transfer will be held to be con- for example, even though the spouses are em- schedule. However, an employing office may trary to the prohibited-acts provisions of the ployed at two different work sites of an em- limit leave increments to the shortest period FMLA, as made applicable by the CAA. ploying office. On the other hand, if one of time that the employing office’s payroll (e) When an employee who is taking leave spouse is ineligible for FMLA leave, the system uses to account for absences or use of intermittently or on a reduced leave sched- other spouse would be entitled to a full 12 leave, provided it is one hour or less. For ex- ule and has been transferred to an alter- weeks of FMLA leave. ample, an employee might take two hours off native position no longer needs to continue (c) Where the husband and wife both use a for a medical appointment, or might work a on leave and is able to return to full-time portion of the total 12-week FMLA leave en- reduced day of four hours over a period of work, the employee must be placed in the titlement for one of the purposes in para- several weeks while recuperating from an ill- same or equivalent job as the job he/she left graph (a) of this section, the husband and ness. An employee may not be required to when the leave commenced. An employee wife would each be entitled to the difference take more FMLA leave than necessary to ad- may not be required to take more leave than between the amount he or she has taken in- dress the circumstance that precipitated the necessary to address the circumstance that dividually and 12 weeks for FMLA leave for need for the leave, except as provided in precipitated the need for leave. a purpose other than those contained in §§ 825.601 and 825.602. § 825.205 How does one determine the amount of paragraph (a) of this section. For example, if § 825.204 May an employing office transfer an leave used where an employee takes leave each spouse took 6 weeks of leave to care for employee to an ‘‘alternative position’’ in intermittently or on a reduced leave sched- a healthy, newborn child, each could use an order to accommodate intermittent leave or ule? additional 6 weeks due to his or her own seri- a reduced leave schedule? (a) If an employee takes leave on an inter- ous health condition or to care for a child with a serious health condition. (a) If an employee needs intermittent leave mittent or reduced leave schedule, only the or leave on a reduced leave schedule that is amount of leave actually taken may be § 825.203 Does FMLA leave have to be taken all counted toward the 12 weeks of leave to at once, or can it be taken in parts? foreseeable based on planned medical treat- ment for the employee or a family member, which an employee is entitled. For example, (a) FMLA leave may be taken ‘‘intermit- including during a period of recovery from a if an employee who normally works five days tently or on a reduced leave schedule’’ under serious health condition, or if the employing a week takes off one day, the employee certain circumstances. Intermittent leave is office agrees to permit intermittent or re- would use 1/5 of a week of FMLA leave. Simi- FMLA leave taken in separate blocks of time duced schedule leave for the birth of a child larly, if a full-time employee who normally due to a single qualifying reason. A reduced or for placement of a child for adoption or works 8-hour days works 4-hour days under a leave schedule is a leave schedule that re- foster care, the employing office may require reduced leave schedule, the employee would duces an employee’s usual number of work- the employee to transfer temporarily, during use 1⁄2 week of FMLA leave each week. ing hours per work week, or hours per work- (b) Where an employee normally works a day. A reduced leave schedule is a change in the period the intermittent or reduced leave schedule is required, to an available alter- part-time schedule or variable hours, the the employee’s schedule for a period of time, amount of leave to which an employee is en- normally from full-time to part-time. native position for which the employee is qualified and which better accommodates re- titled is determined on a pro rata or propor- (b) When leave is taken after the birth or tional basis by comparing the new schedule placement of a child for adoption or foster curring periods of leave than does the em- ployee’s regular position. See § 825.601 for with the employee’s normal schedule. For care, an employee may take leave intermit- example, if an employee who normally works tently or on a reduced leave schedule only if special rules applicable to instructional em- ployees of schools. 30 hours per week works only 20 hours a the employing office agrees. Such a schedule week under a reduced leave schedule, the reduction might occur, for example, where (b) Transfer to an alternative position may employee’s ten hours of leave would con- an employee, with the employing office’s require compliance with any applicable col- stitute one-third of a week of FMLA leave agreement, works part-time after the birth lective bargaining agreement and any appli- for each week the employee works the re- of a child, or takes leave in several seg- cable law (such as the Americans with Dis- abilities Act, as made applicable by the duced leave schedule. ments. The employing office’s agreement is (c) If an employing office has made a per- not required, however, for leave during CAA). Transfer to an alternative position may include altering an existing job to bet- manent or long-term change in the employ- which the mother has a serious health condi- ee’s schedule (for reasons other than FMLA, tion in connection with the birth of her child ter accommodate the employee’s need for and prior to the notice of need for FMLA or if the newborn child has a serious health intermittent or reduced leave. leave), the hours worked under the new condition. (c) The alternative position must have schedule are to be used for making this cal- (c) Leave may be taken intermittently or equivalent pay and benefits. An alternative culation. on a reduced leave schedule when medically position for these purposes does not have to (d) If an employee’s schedule varies from necessary for planned and/or unanticipated have equivalent duties. The employing office week to week, a weekly average of the hours medical treatment of a related serious may increase the pay and benefits of an ex- worked over the 12 weeks prior to the begin- health condition by or under the supervision isting alternative position, so as to make ning of the leave period would be used for of a health care provider, or for recovery them equivalent to the pay and benefits of calculating the employee’s normal work- from treatment or recovery from a serious the employee’s regular job. The employing week. health condition. It may also be taken to office may also transfer the employee to a provide care or psychological comfort to an part-time job with the same hourly rate of § 825.206 May an employing office deduct hourly immediate family member with a serious pay and benefits, provided the employee is amounts from an employee’s salary, when health condition. not required to take more leave than is providing unpaid leave under FMLA, as (1) Intermittent leave may be taken for a medically necessary. For example, an em- made applicable by the CAA, without affect- serious health condition which requires ployee desiring to take leave in increments ing the employee’s qualification for exemp- treatment by a health care provider periodi- of four hours per day could be transferred to tion as an executive, administrative, or pro- cally, rather than for one continuous period a half-time job, or could remain in the em- fessional employee, or when utilizing the of time, and may include leave of periods ployee’s same job on a part-time schedule, fluctuating workweek method for payment from an hour or more to several weeks. Ex- paying the same hourly rate as the employ- of overtime, under the Fair Labor Standards amples of intermittent leave would include ee’s previous job and enjoying the same ben- Act? leave taken on an occasional basis for med- efits. The employing office may not elimi- (a) Leave taken under FMLA, as made ap- ical appointments, or leave taken several nate benefits which otherwise would not be plicable by the CAA, may be unpaid. If an days at a time spread over a period of six provided to part-time employees; however, employee is otherwise exempt from min- months, such as for chemotherapy. A preg- an employing office may proportionately re- imum wage and overtime requirements of nant employee may take leave intermit- duce benefits such as vacation leave where the Fair Labor Standards Act (FLSA), as tently for prenatal examinations or for her an employing office’s normal practice is to made applicable by the CAA, as a salaried own condition, such as for periods of severe base such benefits on the number of hours executive, administrative, or professional morning sickness. An example of an em- worked. employee (under regulations issued by the ployee taking leave on a reduced leave (d) An employing office may not transfer Board, at part 541), providing unpaid FMLA- schedule is an employee who is recovering the employee to an alternative position in qualifying leave to such an employee will from a serious health condition and is not order to discourage the employee from tak- not cause the employee to lose the FLSA ex- strong enough to work a full-time schedule. ing leave or otherwise work a hardship on emption. This means that under regulations (2) Intermittent or reduced schedule leave the employee. For example, a white collar currently in effect, where an employee meets may be taken for absences where the em- employee may not be assigned to perform la- the specified duties test, is paid on a salary ployee or family member is incapacitated or borer’s work; an employee working the day basis, and is paid a salary of at least the unable to perform the essential functions of shift may not be reassigned to the graveyard amount specified in the regulations, the em- the position because of a chronic serious shift; an employee working in the head- ploying office may make deductions from health condition even if he or she does not quarters facility may not be reassigned to a the employee’s salary for any hours taken as receive treatment by a health care provider. branch a significant distance away from the intermittent or reduced FMLA leave within

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00036 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S207 a workweek, without affecting the exempt choose to substitute paid leave for FMLA able to return to a ‘‘light duty job’’ but is status of the employee. The fact that an em- leave. If an employee does not choose to sub- unable to return to the same or equivalent ploying office provides FMLA leave, whether stitute accrued paid leave, the employing of- job, the employee may decline the employing paid or unpaid, or maintains any records re- fice may require the employee to substitute office’s offer of a ‘‘light duty job’’. As a re- garding FMLA leave, will not be relevant to accrued paid leave for FMLA leave. sult the employee may lose workers’ com- the determination whether an employee is (b) Where an employee has earned or ac- pensation payments, but is entitled to re- exempt within the meaning of the Board’s crued paid vacation, personal or family main on unpaid FMLA leave until the 12- regulations at part 541. leave, that paid leave may be substituted for week entitlement is exhausted. As of the (b) For an employee paid in accordance all or part of any (otherwise) unpaid FMLA date workers’ compensation benefits cease, with a fluctuating workweek method of pay- leave relating to birth, placement of a child the substitution provision becomes applica- ment for overtime, where permitted by sec- for adoption or foster care, or care for a ble and either the employee may elect or the tion 203 of the CAA (2 U.S.C. 1313), the em- spouse, child or parent who has a serious employing office may require the use of ac- ploying office, during the period in which health condition. The term ‘‘family leave’’ as crued paid leave. See also §§ 825.210(f), intermittent or reduced schedule FMLA used in FMLA refers to paid leave provided 825.216(d), 825.220(d), 825.307(a)(1) and 825.702 leave is scheduled to be taken, may com- by the employing office covering the par- (d) (1) and (2) regarding the relationship be- pensate an employee on an hourly basis and ticular circumstances for which the em- tween workers’ compensation absences and pay only for the hours the employee works, ployee seeks leave for either the birth of a FMLA leave. including time and one-half the employee’s child and to care for such child, placement of (e) Paid vacation or personal leave, includ- regular rate for overtime hours. The change a child for adoption or foster care, or care for ing leave earned or accrued under plans al- to payment on an hourly basis would include a spouse, child or parent with a serious lowing ‘‘paid time off,’’ may be substituted, the entire period during which the employee health condition. For example, if the em- at either the employee’s or the employing of- is taking intermittent leave, including ploying office’s leave plan allows use of fam- fice’s option, for any qualified FMLA leave. weeks in which no leave is taken. The hourly ily leave to care for a child but not for a par- No limitations may be placed by the employ- rate shall be determined by dividing the em- ent, the employing office is not required to ing office on substitution of paid vacation or ployee’s weekly salary by the employee’s allow accrued family leave to be substituted personal leave for these purposes. normal or average schedule of hours worked for FMLA leave used to care for a parent. (f) If neither the employee nor the employ- during weeks in which FMLA leave is not (c) Substitution of paid accrued vacation, ing office elects to substitute paid leave for personal, or medical/sick leave may be made unpaid FMLA leave under the above condi- being taken. If an employing office chooses for any (otherwise) unpaid FMLA leave need- tions and circumstances, the employee will to follow this exception from the fluctuating ed to care for a family member or the em- remain entitled to all the paid leave which is workweek method of payment, the employ- ployee’s own serious health condition. Sub- earned or accrued under the terms of the em- ing office must do so uniformly, with respect stitution of paid sick/medical leave may be ploying office’s plan. to all employees paid on a fluctuating work- elected to the extent the circumstances meet (g) If an employee uses paid leave under week basis for whom FMLA leave is taken on the employing office’s usual requirements circumstances which do not qualify as FMLA an intermittent or reduced leave schedule for the use of sick/medical leave. An employ- leave, the leave will not count against the 12 basis. If an employing office does not elect to ing office is not required to allow substi- weeks of FMLA leave to which the employee convert the employee’s compensation to tution of paid sick or medical leave for un- is entitled. For example, paid sick leave used hourly pay, no deduction may be taken for paid FMLA leave ‘‘in any situation’’ where for a medical condition which is not a seri- FMLA leave absences. Once the need for the employing office’s uniform policy would ous health condition does not count against intermittent or reduced scheduled leave is not normally allow such paid leave. An em- the 12 weeks of FMLA leave entitlement. over, the employee may be restored to pay- ployee, therefore, has a right to substitute (h) When an employee or employing office ment on a fluctuating work week basis. paid medical/sick leave to care for a seri- elects to substitute paid leave (of any type) (c) This special exception to the ‘‘salary for unpaid FMLA leave under circumstances basis’’ requirements of the FLSA exemption ously ill family member only if the employ- ing office’s leave plan allows paid leave to be permitted by these regulations, and the em- or fluctuating workweek payment require- ploying office’s procedural requirements for ments applies only to employees of employ- used for that purpose. Similarly, an em- ployee does not have a right to substitute taking that kind of leave are less stringent ing offices who are eligible for FMLA leave, than the requirements of FMLA as made ap- and to leave which qualifies as (one of the paid medical/sick leave for a serious health condition which is not covered by the em- plicable by the CAA (e.g., notice or certifi- four types of) FMLA leave. Hourly or other cation requirements), only the less stringent deductions which are not in accordance with ploying office’s leave plan. (d)(1) Disability leave for the birth of a requirements may be imposed. An employee the Board’s regulations at part 541 or with a child would be considered FMLA leave for a who complies with an employing office’s less permissible fluctuating workweek method of serious health condition and counted in the stringent leave plan requirements in such payment for overtime may not be taken, for 12 weeks of leave permitted under FMLA as cases may not have leave for an FMLA pur- example, where the employee has not worked made applicable by the CAA. Because the pose delayed or denied on the grounds that long enough to be eligible for FMLA leave leave pursuant to a temporary disability the employee has not complied with stricter without potentially affecting the employee’s benefit plan is not unpaid, the provision for requirements of FMLA as made applicable eligibility for exemption. Nor may deduc- substitution of paid leave is inapplicable. by the CAA. However, where accrued paid va- tions which are not permitted by the Board’s However, the employing office may des- cation or personal leave is substituted for regulations at part 541 or by a permissible ignate the leave as FMLA leave and count unpaid FMLA leave for a serious health con- fluctuating workweek method of payment the leave as running concurrently for pur- dition, an employee may be required to com- for overtime be taken from such an employ- poses of both the benefit plan and the FMLA ply with any less stringent medical certifi- ee’s salary for any leave which does not qual- leave entitlement. If the requirements to cation requirements of the employing of- ify as FMLA leave, for example, deductions qualify for payments pursuant to the em- fice’s sick leave program. See §§ 825.302(g), from an employee’s pay for leave required ploying office’s temporary disability plan 825.305(e) and 825.306(c). under an employing office’s policy or prac- are more stringent than those of FMLA as (i) Compensatory time off, if any is author- tice for a reason which does not qualify as made applicable by the CAA, the employee ized under applicable law, is not a form of ac- FMLA leave, e.g., leave to care for a grand- must meet the more stringent requirements crued paid leave that an employing office parent or for a medical condition which does of the plan, or may choose not to meet the may require the employee to substitute for not qualify as a serious health condition; or requirements of the plan and instead receive unpaid FMLA leave. The employee may re- for leave which is more generous than pro- no payments from the plan and use unpaid quest to use his/her balance of compensatory vided by FMLA as made applicable by the FMLA leave or substitute available accrued time for an FMLA reason. If the employing CAA, such as leave in excess of 12 weeks in paid leave. office permits the accrual of compensatory a year. The employing office may comply (2) The FMLA as made applicable by the time to be used in compliance with applica- with the employing office’s own policy/prac- CAA provides that a serious health condition ble Board regulations, the absence which is tice under these circumstances and maintain may result from injury to the employee ‘‘on paid from the employee’s accrued compen- the employee’s eligibility for exemption or or off’’ the job. If the employing office des- satory time ‘‘account’’ may not be counted for the fluctuating workweek method of pay ignates the leave as FMLA leave in accord- against the employee’s FMLA leave entitle- by not taking hourly deductions from the ance with § 825.208, the employee’s FMLA 12- ment. employee’s pay, in accordance with FLSA re- week leave entitlement may run concur- § 825.208 Under what circumstances may an em- quirements, or may take such deductions, rently with a workers’ compensation absence ploying office designate leave, paid or un- treating the employee as an ‘‘hourly’’ em- when the injury is one that meets the cri- paid, as FMLA leave and, as a result, en- ployee and pay overtime premium pay for teria for a serious health condition. As the able leave to be counted against the employ- hours worked over 40 in a workweek. workers’ compensation absence is not unpaid ee’s total FMLA leave entitlement? § 825.207 Is FMLA leave paid or unpaid? leave, the provision for substitution of the (a) In all circumstances, it is the employ- (a) Generally, FMLA leave is unpaid. How- employee’s accrued paid leave is not applica- ing office’s responsibility to designate leave, ever, under the circumstances described in ble. However, if the health care provider paid or unpaid, as FMLA-qualifying, and to this section, FMLA, as made applicable by treating the employee for the workers’ com- give notice of the designation to the em- the CAA, permits an eligible employee to pensation injury certifies the employee is ployee as provided in this section. In the

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00037 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S208 CONGRESSIONAL RECORD — SENATE January 22, 1996 case of intermittent leave or leave on a re- writing, no later than the following payday ness days of returning to work of the reason duced schedule, only one such notice is re- (unless the payday is less than one week for the leave. In the absence of such timely quired unless the circumstances regarding after the oral notice, in which case the no- notification by the employee, the employee the leave have changed. The employing of- tice must be no later than the subsequent may not subsequently assert FMLA protec- fice’s designation decision must be based payday). The written notice may be in any tions for the absence. only on information received from the em- form, including a notation on the employee’s (2) If the employing office knows the rea- ployee or the employee’s spokesperson (e.g., pay stub. son for the leave but has not been able to if the employee is incapacitated, the employ- (c) If the employing office requires paid confirm that the leave qualifies under ee’s spouse, adult child, parent, doctor, etc., leave to be substituted for unpaid leave, or FMLA, or where the employing office has re- may provide notice to the employing office that paid leave taken under an existing leave quested medical certification which has not of the need to take FMLA leave). In any cir- plan be counted as FMLA leave, this decision yet been received or the parties are in the cumstance where the employing office does must be made by the employing office within process of obtaining a second or third med- not have sufficient information about the two business days of the time the employee ical opinion, the employing office should reason for an employee’s use of paid leave, gives notice of the need for leave, or, where make a preliminary designation, and so no- the employing office should inquire further the employing office does not initially have tify the employee, at the time leave begins, of the employee or the spokesperson to as- sufficient information to make a determina- or as soon as the reason for the leave be- certain whether the paid leave is potentially tion, when the employing office determines comes known. Upon receipt of the requisite FMLA-qualifying. that the leave qualifies as FMLA leave if information from the employee or of the (1) An employee giving notice of the need this happens later. The employing office’s medical certification which confirms the for unpaid FMLA leave must explain the rea- designation must be made before the leave leave is for an FMLA reason, the preliminary sons for the needed leave so as to allow the starts, unless the employing office does not designation becomes final. If the medical employing office to determine that the leave have sufficient information as to the em- certifications fail to confirm that the reason qualifies under the FMLA, as made applica- ployee’s reason for taking the leave until for the absence was an FMLA reason, the ble by the CAA. If the employee fails to ex- after the leave commenced. If the employing employing office must withdraw the designa- plain the reasons, leave may be denied. In office has the requisite knowledge to make a tion (with written notice to the employee). many cases, in explaining the reasons for a determination that the paid leave is for an (f) If, before beginning employment with request to use paid leave, especially when FMLA reason at the time the employee ei- an employing office, an employee had been the need for the leave was unexpected or un- ther gives notice of the need for leave or employed by another employing office, the foreseen, an employee will provide sufficient commences leave and fails to designate the subsequent employing office may count information for the employing office to des- leave as FMLA leave (and so notify the em- against the employee’s FMLA leave entitle- ignate the paid leave as FMLA leave. An em- ployee in accordance with paragraph (b)), the ment FMLA leave taken from the prior em- ployee using accrued paid leave, especially employing office may not designate leave as ploying office, except that, if the FMLA vacation or personal leave, may in some FMLA leave retroactively, and may des- leave began after the effective of these regu- cases not spontaneously explain the reasons ignate only prospectively as of the date of lations (or if the FMLA leave was subject to or their plans for using their accrued leave. notification to the employee of the designa- other applicable requirement under which (2) As noted in § 825.302(c), an employee giv- tion. In such circumstances, the employee is the employing office was to have designated ing notice of the need for unpaid FMLA leave subject to the full protections of the FMLA, the leave as FMLA leave), the prior employ- does not need to expressly assert rights as made applicable by the CAA, but none of ing office must have properly designated the under the FMLA as made applicable by the the absence preceding the notice to the em- leave as FMLA under these regulations or CAA or even mention the FMLA to meet his ployee of the designation may be counted other applicable requirement. or her obligation to provide notice, though against the employee’s 12-week FMLA leave the employee would need to state a quali- entitlement. § 825.209 Is an employee entitled to benefits fying reason for the needed leave. An em- (d) If the employing office learns that while using FMLA leave? ployee requesting or notifying the employing leave is for an FMLA purpose after leave has (a) During any FMLA leave, the employing office of an intent to use accrued paid leave, begun, such as when an employee gives no- office must maintain the employee’s cov- even if for a purpose covered by FMLA, tice of the need for an extension of the paid erage under the Federal Employees Health would not need to assert such right either. leave with unpaid FMLA leave, the entire or Benefits Program or any group health plan However, if an employee requesting to use some portion of the paid leave period may be (as defined in the Internal Revenue Code of paid leave for an FMLA-qualifying purpose retroactively counted as FMLA leave, to the 1986 at 26 U.S.C. 5000(b)(1)) on the same con- does not explain the reason for the leave— extent that the leave period qualified as ditions as coverage would have been provided consistent with the employing office’s estab- FMLA leave. For example, an employee is if the employee had been continuously em- lished policy or practice—and the employing granted two weeks paid vacation leave for a ployed during the entire leave period. All office denies the employee’s request, the em- skiing trip. In mid-week of the second week, employing offices are subject to the require- ployee will need to provide sufficient infor- the employee contacts the employing office ments of the FMLA, as made applicable by mation to establish an FMLA-qualifying rea- for an extension of leave as unpaid leave and the CAA, to maintain health coverage. The son for the needed leave so that the employ- advises that at the beginning of the second definition of ‘‘group health plan’’ is set forth ing office is aware of the employee’s entitle- week of paid vacation leave the employee in § 825.800. For purposes of FMLA, the term ment (i.e., that the leave may not be denied) suffered a severe accident requiring hos- ‘‘group health plan’’ shall not include an in- and, then, may designate that the paid leave pitalization. The employing office may no- surance program providing health coverage be appropriately counted against (sub- tify the employee that both the extension under which employees purchase individual stituted for) the employee’s 12-week entitle- and the second week of paid vacation leave policies from insurers provided that: ment. Similarly, an employee using accrued (from the date of the injury) is designated as (1) no contributions are made by the em- paid vacation leave who seeks an extension FMLA leave. On the other hand, when the ploying office; of unpaid leave for an FMLA-qualifying pur- employee takes sick leave that turns into a (2) participation in the program is com- pose will need to state the reason. If this is serious health condition (e.g., bronchitis that pletely voluntary for employees; due to an event which occurred during the turns into bronchial pneumonia) and the em- (3) the sole functions of the employing of- period of paid leave, the employing office ployee gives notice of the need for an exten- fice with respect to the program are, without may count the leave used after the FMLA- sion of leave, the entire period of the serious endorsing the program, to permit the insurer qualifying event against the employee’s 12- health condition may be counted as FMLA to publicize the program to employees, to week entitlement. leave. collect premiums through payroll deductions (b)(1) Once the employing office has ac- (e) Employing offices may not designate and to remit them to the insurer; quired knowledge that the leave is being leave as FMLA leave after the employee has (4) the employing office receives no consid- taken for an FMLA required reason, the em- returned to work with two exceptions: eration in the form of cash or otherwise in ploying office must promptly (within two (1) If the employee was absent for an connection with the program, other than business days absent extenuating cir- FMLA reason and the employing office did reasonable compensation, excluding any cumstances) notify the employee that the not learn the reason for the absence until profit, for administrative services actually paid leave is designated and will be counted the employee’s return (e.g., where the em- rendered in connection with payroll deduc- as FMLA leave. If there is a dispute between ployee was absent for only a brief period), tion; and, an employing office and an employee as to the employing office may, upon the employ- (5) the premium charged with respect to whether paid leave qualifies as FMLA leave, ee’s return to work, promptly (within two such coverage does not increase in the event it should be resolved through discussions be- business days of the employee’s return to the employment relationship terminates. tween the employee and the employing of- work) designate the leave retroactively with (b) The same group health plan benefits fice. Such discussions and the decision must appropriate notice to the employee. If leave provided to an employee prior to taking be documented. is taken for an FMLA reason but the em- FMLA leave must be maintained during the (2) The employing office’s notice to the ploying office was not aware of the reason, FMLA leave. For example, if family member employee that the leave has been designated and the employee desires that the leave be coverage is provided to an employee, family as FMLA leave may be orally or in writing. counted as FMLA leave, the employee must member coverage must be maintained during If the notice is oral, it shall be confirmed in notify the employing office within two busi- the FMLA leave. Similarly, benefit coverage

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00038 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S209 during FMLA leave for medical care, sur- § 825.210 How may employees on FMLA leave tions on behalf of an employee using FMLA gical care, hospital care, dental care, eye pay their share of group health benefit pre- leave as though the employee had been con- care, mental health counseling, substance miums? tinuously employed, unless the plan contains abuse treatment, etc., must be maintained (a) Group health plan benefits must be an explicit FMLA provision for maintaining during leave if provided in an employing of- maintained on the same basis as coverage coverage such as through pooled contribu- fice’s group health plan, including a supple- would have been provided if the employee tions by all employers party to the plan. ment to a group health plan, whether or not had been continuously employed during the (c) During the duration of an employee’s provided through a flexible spending account FMLA leave period. Therefore, any share of FMLA leave, coverage by the group health or other component of a cafeteria plan. group health plan premiums which had been plan, and benefits provided pursuant to the (c) If an employing office provides a new paid by the employee prior to FMLA leave plan, must be maintained at the level of cov- health plan or benefits or changes health must continue to be paid by the employee erage and benefits which were applicable to benefits or plans while an employee is on during the FMLA leave period. If premiums the employee at the time FMLA leave com- FMLA leave, the employee is entitled to the are raised or lowered, the employee would be menced. (d) An employee using FMLA leave cannot new or changed plan/benefits to the same ex- required to pay the new premium rates. be required to use ‘‘banked’’ hours or pay a tent as if the employee were not on leave. Maintenance of health insurance policies greater premium than the employee would For example, if an employing office changes which are not a part of the employing of- have been required to pay if the employee a group health plan so that dental care be- fice’s group health plan, as described in had been continuously employed. comes covered under the plan, an employee § 825.209(a), are the sole responsibility of the (e) As provided in § 825.209(f), group health on FMLA leave must be given the same op- employee. The employee and the insurer plan coverage must be maintained for an em- portunity as other employees to receive (or should make necessary arrangements for ployee on FMLA leave until: obtain) the dental care coverage. Any other payment of premiums during periods of un- (1) the employee’s FMLA leave entitlement plan changes (e.g., in coverage, premiums, paid FMLA leave. is exhausted; deductibles, etc.) which apply to all employ- (b) If the FMLA leave is substituted paid (2) the employing office can show that the ees of the workforce would also apply to an leave, the employee’s share of premiums employee would have been laid off and the employee on FMLA leave. must be paid by the method normally used employment relationship terminated; or, (d) Notice of any opportunity to change during any paid leave, presumably as a pay- (3) the employee provides unequivocal no- plans or benefits must also be given to an roll deduction. tice of intent not to return to work. employee on FMLA leave. If the group (c) If FMLA leave is unpaid, the employing § 825.212 What are the consequences of an em- health plan permits an employee to change office has a number of options for obtaining ployee’s failure to make timely health plan from single to family coverage upon the payment from the employee. The employing premium payments? office may require that payment be made to birth of a child or otherwise add new family (a)(1) In the absence of an established em- the employing office or to the insurance car- members, such a change in benefits must be ploying office policy providing a longer grace rier, but no additional charge may be added made available while an employee is on period, an employing office’s obligations to FMLA leave. If the employee requests the to the employee’s premium payment for ad- maintain health insurance coverage cease changed coverage it must be provided by the ministrative expenses. The employing office under FMLA if an employee’s premium pay- employing office. may require employees to pay their share of ment is more than 30 days late. In order to (e) An employee may choose not to retain premium payments in any of the following drop the coverage for an employee whose group health plan coverage during FMLA ways: premium payment is late, the employing of- (1) Payment would be due at the same time leave. However, when an employee returns fice must provide written notice to the em- as it would be made if by payroll deduction; from leave, the employee is entitled to be re- ployee that the payment has not been re- (2) Payment would be due on the same instated on the same terms as prior to tak- ceived. Such notice must be mailed to the schedule as payments are made under ing the leave, including family or dependent employee at least 15 days before coverage is COBRA or 5 U.S.C. 8905a, whichever is appli- coverages, without any qualifying period, to cease, advising that coverage will be cable; physical examination, exclusion of pre-exist- (3) Payment would be prepaid pursuant to dropped on a specified date at least 15 days ing conditions, etc. See § 825.212(c). a cafeteria plan at the employee’s option; after the date of the letter unless the pay- (f) Except as required by the Consolidated (4) The employing office’s existing rules for ment has been received by that date. If the Omnibus Budget Reconciliation Act of 1986 payment by employees on ‘‘leave without employing office has established policies re- (COBRA) or 5 U.S.C. 8905a, whichever is ap- pay’’ would be followed, provided that such garding other forms of unpaid leave that pro- plicable, and for ‘‘key’’ employees (as dis- rules do not require prepayment (i.e., prior vide for the employing office to cease cov- cussed below), an employing office’s obliga- to the commencement of the leave) of the erage retroactively to the date the unpaid tion to maintain health benefits during leave premiums that will become due during a pe- premium payment was due, the employing (and to restore the employee to the same or riod of unpaid FMLA leave or payment of office may drop the employee from coverage equivalent employment) under FMLA ceases higher premiums than if the employee had retroactively in accordance with that policy, if and when the employment relationship continued to work instead of taking leave; provided the 15-day notice was given. In the would have terminated if the employee had or, absence of such a policy, coverage for the not taken FMLA leave (e.g., if the employ- (5) Another system voluntarily agreed to employee may be terminated at the end of ee’s position is eliminated as part of a non- between the employing office and the em- the 30-day grace period, where the required discriminatory reduction in force and the ployee, which may include prepayment of 15-day notice has been provided. (2) An employing office has no obligation employee would not have been transferred to premiums (e.g., through increased payroll de- regarding the maintenance of a health insur- another position); an employee informs the ductions when the need for the FMLA leave ance policy which is not a ‘‘group health employing office of his or her intent not to is foreseeable). return from leave (including before starting (d) The employing office must provide the plan.’’ See § 825.209(a). (3) All other obligations of an employing the leave if the employing office is so in- employee with advance written notice of the office under FMLA would continue; for ex- formed before the leave starts); or the em- terms and conditions under which these pay- ample, the employing office continues to ployee fails to return from leave or con- ments must be made. (See § 825.301.) have an obligation to reinstate an employee tinues on leave after exhausting his or her (e) An employing office may not require upon return from leave. more of an employee using FMLA leave than FMLA leave entitlement in the 12-month pe- (b) The employing office may recover the riod. the employing office requires of other em- employee’s share of any premium payments (g) If a ‘‘key employee’’ (see § 825.218) does ployees on ‘‘leave without pay.’’ missed by the employee for any FMLA leave (f) An employee who is receiving payments not return from leave when notified by the period during which the employing office as a result of a workers’ compensation injury employing office that substantial or grievous maintains health coverage by paying the em- must make arrangements with the employ- economic injury will result from his or her ployee’s share after the premium payment is ing office for payment of group health plan reinstatement, the employee’s entitlement missed. to group health plan benefits continues un- benefits when simultaneously taking unpaid (c) If coverage lapses because an employee less and until the employee advises the em- FMLA leave. See paragraph (c) of this section has not made required premium payments, ploying office that the employee does not de- and § 825.207(d)(2). upon the employee’s return from FMLA sire restoration to employment at the end of § 825.211 What special health benefits mainte- leave the employing office must still restore the leave period, or FMLA leave entitlement nance rules apply to multi-employer health the employee to coverage/benefits equivalent is exhausted, or reinstatement is actually plans? to those the employee would have had if denied. (a) A multi-employer health plan is a plan leave had not been taken and the premium (h) An employee’s entitlement to benefits to which more than one employer is required payment(s) had not been missed, including other than group health benefits during a pe- to contribute, and which is maintained pur- family or dependent coverage. See riod of FMLA leave (e.g., holiday pay) is to suant to one or more collective bargaining § 825.215(d)(1)-(5). In such case, an employee be determined by the employing office’s es- agreements between employee organiza- may not be required to meet any qualifica- tablished policy for providing such benefits tion(s) and the employers. tion requirements imposed by the plan, in- when the employee is on other forms of leave (b) An employing office under a multi-em- cluding any new preexisting condition wait- (paid or unpaid, as appropriate). ployer plan must continue to make contribu- ing period, to wait for an open season, or to

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00039 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S210 CONGRESSIONAL RECORD — SENATE January 22, 1996 pass a medical examination to obtain rein- ploying office elects to maintain such bene- license, fly a minimum number of hours, etc., statement of coverage. fits during the leave, at the conclusion of as a result of the leave, the employee shall § 825.213 May an employing office recover costs leave, the employing office is entitled to re- be given a reasonable opportunity to fulfill it incurred for maintaining ‘‘group health cover only the costs incurred for paying the those conditions upon return to work. plan’’ or other non-health benefits coverage employee’s share of any premiums whether (c) Equivalent Pay. (1) An employee is enti- during FMLA leave? or not the employee returns to work. tled to any unconditional pay increases (c) An employee who returns to work for at which may have occurred during the FMLA (a) In addition to the circumstances dis- least 30 calendar days is considered to have leave period, such as cost of living increases. cussed in § 825.212(b), the share of health plan ‘‘returned’’ to work. An employee who trans- Pay increases conditioned upon seniority, premiums paid by or on behalf of the em- fers directly from taking FMLA leave to re- length of service, or work performed would ploying office during a period of unpaid tirement, or who retires during the first 30 not have to be granted unless it is the em- FMLA leave may be recovered from an em- days after the employee returns to work, is ploying office’s policy or practice to do so ployee if the employee fails to return to deemed to have returned to work. with respect to other employees on ‘‘leave work after the employee’s FMLA leave enti- (d) When an employee elects or an employ- without pay.’’ In such case, any pay increase tlement has been exhausted or expires, un- ing office requires paid leave to be sub- would be granted based on the employee’s se- less the reason the employee does not return stituted for FMLA leave, the employing of- niority, length of service, work performed, is due to: fice may not recover its (share of) health in- etc., excluding the period of unpaid FMLA (1) The continuation, recurrence, or onset surance or other non-health benefit pre- leave. An employee is entitled to be restored of a serious health condition of the employee miums for any period of FMLA leave covered to a position with the same or equivalent or the employee’s family member which by paid leave. Because paid leave provided pay premiums, such as a shift differential. If would otherwise entitle the employee to under a plan covering temporary disabilities an employee departed from a position aver- leave under FMLA; or (including workers’ compensation) is not un- aging ten hours of overtime (and cor- (2) Other circumstances beyond the em- paid, recovery of health insurance premiums responding overtime pay) each week, an em- ployee’s control. Examples of ‘‘other cir- does not apply to such paid leave. ployee is ordinarily entitled to such a posi- cumstances beyond the employee’s control’’ (e) The amount that self-insured employ- tion on return from FMLA leave. are necessarily broad. They include such sit- ing offices may recover is limited to only the (2) Many employing offices pay bonuses in uations as where a parent chooses to stay employing office’s share of allowable ‘‘pre- different forms to employees for job-related home with a newborn child who has a serious miums’’ as would be calculated under performance such as for perfect attendance, health condition; an employee’s spouse is un- COBRA, excluding the 2 percent fee for ad- safety (absence of injuries or accidents on expectedly transferred to a job location more ministrative costs. the job) and exceeding production goals. Bo- than 75 miles from the employee’s worksite; (f) When an employee fails to return to nuses for perfect attendance and safety do a relative or individual other than an imme- work, any health and non-health benefit pre- not require performance by the employee but diate family member has a serious health miums which this section of the regulations rather contemplate the absence of occur- condition and the employee is needed to pro- permits an employing office to recover are a rences. To the extent an employee who takes vide care; the employee is laid off while on debt owed by the non-returning employee to FMLA leave had met all the requirements leave; or, the employee is a ‘‘key employee’’ the employing office. The existence of this for either or both of these bonuses before who decides not to return to work upon debt caused by the employee’s failure to re- FMLA leave began, the employee is entitled being notified of the employing office’s in- turn to work does not alter the employing to continue this entitlement upon return tention to deny restoration because of sub- office’s responsibilities for health benefit from FMLA leave, that is, the employee may stantial and grievous economic injury to the coverage and, under a self-insurance plan, not be disqualified for the bonus(es) for the employing office’s operations and is not rein- payment of claims incurred during the pe- taking of FMLA leave. See § 825.220 (b) and stated by the employing office. Other cir- riod of FMLA leave. To the extent recovery (c). A monthly production bonus, on the cumstances beyond the employee’s control is allowed, the employing office may recover other hand, does require performance by the would not include a situation where an em- the costs through deduction from any sums employee. If the employee is on FMLA leave ployee desires to remain with a parent in a due to the employee (e.g., unpaid wages, va- during any part of the period for which the distant city even though the parent no cation pay, etc.), provided such deductions do bonus is computed, the employee is entitled longer requires the employee’s care, or a par- not otherwise violate applicable wage pay- to the same consideration for the bonus as ent chooses not to return to work to stay ment or other laws. Alternatively, the em- other employees on paid or unpaid leave (as home with a well, newborn child. ploying office may initiate legal action appropriate). See paragraph (d)(2) of this sec- (3) When an employee fails to return to against the employee to recover such costs. tion. work because of the continuation, recur- (d) Equivalent Benefits. ‘‘Benefits’’ include § 825.214 What are an employee’s rights on re- rence, or onset of a serious health condition, all benefits provided or made available to turning to work from FMLA leave? thereby precluding the employing office employees by an employing office, including from recovering its (share of) health benefit (a) On return from FMLA leave, an em- group life insurance, health insurance, dis- premium payments made on the employee’s ployee is entitled to be returned to the same ability insurance, sick leave, annual leave, behalf during a period of unpaid FMLA leave, position the employee held when leave com- educational benefits, and pensions, regard- the employing office may require medical menced, or to an equivalent position with less of whether such benefits are provided by certification of the employee’s or the family equivalent benefits, pay, and other terms a practice or written policy of an employing member’s serious health condition. Such cer- and conditions of employment. An employee office through an employee benefit plan. tification is not required unless requested by is entitled to such reinstatement even if the (1) At the end of an employee’s FMLA the employing office. The employee is re- employee has been replaced or his or her po- leave, benefits must be resumed in the same quired to provide medical certification in a sition has been restructured to accommodate manner and at the same levels as provided timely manner which, for purposes of this the employee’s absence. See also § 825.106(e) when the leave began, and subject to any section, is within 30 days from the date of for the obligations of employing offices that changes in benefit levels that may have the employing office’s request. For purposes are joint employing offices. taken place during the period of FMLA leave of medical certification, the employee may (b) If the employee is unable to perform an affecting the entire workforce, unless other- use the optional form developed for this pur- essential function of the position because of wise elected by the employee. Upon return pose (see § 825.306(a) and Appendix B of this a physical or mental condition, including the from FMLA leave, an employee cannot be re- part). If the employing office requests med- continuation of a serious health condition, quired to requalify for any benefits the em- ical certification and the employee does not the employee has no right to restoration to ployee enjoyed before FMLA leave began (in- provide such certification in a timely man- another position under the FMLA. However, cluding family or dependent coverages). For ner (within 30 days), or the reason for not re- the employing office’s obligations may be example, if an employee was covered by a turning to work does not meet the test of governed by the Americans with Disabilities life insurance policy before taking leave but other circumstances beyond the employee’s Act (ADA), as made applicable by the CAA. is not covered or coverage lapses during the control, the employing office may recover See § 825.702. period of unpaid FMLA leave, the employee 100% of the health benefit premiums it paid § 825.215 What is an equivalent position? cannot be required to meet any qualifica- during the period of unpaid FMLA leave. (a) An equivalent position is one that is tions, such as taking a physical examina- (b) Under some circumstances an employ- virtually identical to the employee’s former tion, in order to requalify for life insurance ing office may elect to maintain other bene- position in terms of pay, benefits and work- upon return from leave. Accordingly, some fits, e.g., life insurance, disability insurance, ing conditions, including privileges, per- employing offices may find it necessary to etc., by paying the employee’s (share of) pre- quisites and status. It must involve the same modify life insurance and other benefits pro- miums during periods of unpaid FMLA leave. or substantially similar duties and respon- grams in order to restore employees to For example, to ensure the employing office sibilities, which must entail substantially equivalent benefits upon return from FMLA can meet its responsibilities to provide equivalent skill, effort, responsibility, and leave, make arrangements for continued equivalent benefits to the employee upon re- authority. payment of costs to maintain such benefits turn from unpaid FMLA leave, it may be (b) If an employee is no longer qualified for during unpaid FMLA leave, or pay these necessary that premiums be paid continu- the position because of the employee’s in- costs subject to recovery from the employee ously to avoid a lapse of coverage. If the em- ability to attend a necessary course, renew a on return from leave. See § 825.213(b).

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00040 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S211 (2) An employee may, but is not entitled the same or equivalent pay, benefits, and ‘‘both salaried and non-salaried, eligible and to, accrue any additional benefits or senior- terms and conditions of employment does ineligible ‘‘who are employed by the employ- ity during unpaid FMLA leave. Benefits ac- not extend to de minimis or intangible, ing office within 75 miles of the worksite. crued at the time leave began, however, (e.g., unmeasurable aspects of the job. However, (1) In determining which employees are paid vacation, sick or personal leave to the restoration to a job slated for lay-off, when among the highest paid 10 percent, year-to- extent not substituted for FMLA leave) must the employee’s original position is not, date earnings are divided by weeks worked be available to an employee upon return would not meet the requirements of an by the employee (including weeks in which from leave. equivalent position. paid leave was taken). Earnings include (3) If, while on unpaid FMLA leave, an em- § 825.216 Are there any limitations on an em- wages, premium pay, incentive pay, and non- ployee desires to continue life insurance, dis- ploying office’s obligation to reinstate an discretionary and discretionary bonuses. ability insurance, or other types of benefits employee? Earnings do not include incentives whose for which he or she typically pays, the em- (a) An employee has no greater right to re- value is determined at some future date, e.g., ploying office is required to follow estab- instatement or to other benefits and condi- benefits or perquisites. lished policies or practices for continuing tions of employment than if the employee (2) The determination of whether a salaried such benefits for other instances of leave had been continuously employed during the employee is among the highest paid 10 per- without pay. If the employing office has no FMLA leave period. An employing office cent shall be made at the time the employee established policy, the employee and the em- must be able to show that an employee gives notice of the need for leave. No more ploying office are encouraged to agree upon would not otherwise have been employed at than 10 percent of the employing office’s em- arrangements before FMLA leave begins. the time reinstatement is requested in order ployees within 75 miles of the worksite may (4) With respect to pension and other re- to deny restoration to employment. For ex- be ‘‘key employees.’’ tirement plans, any period of unpaid FMLA ample: § 825.218 What does ‘‘substantial and grievous leave shall not be treated as or counted to- (1) If an employee is laid off during the economic injury’’ mean? ward a break in service for purposes of vest- course of taking FMLA leave and employ- (a) In order to deny restoration to a key ing and eligibility to participate. Also, if the ment is terminated, the employing office’s employee, an employing office must deter- plan requires an employee to be employed on responsibility to continue FMLA leave, mine that the restoration of the employee to a specific date in order to be credited with a maintain group health plan benefits and re- employment will cause ‘‘substantial and year of service for vesting, contributions or store the employee ceases at the time the grievous economic injury’’ to the operations participation purposes, an employee on un- employee is laid off, provided the employing of the employing office, not whether the ab- paid FMLA leave on that date shall be office has no continuing obligations under a sence of the employee will cause such sub- deemed to have been employed on that date. collective bargaining agreement or other- stantial and grievous injury. However, unpaid FMLA leave periods need wise. An employing office would have the (b) An employing office may take into ac- not be treated as credited service for pur- burden of proving that an employee would count its ability to replace on a temporary poses of benefit accrual, vesting and eligi- have been laid off during the FMLA leave pe- basis (or temporarily do without) the em- bility to participate. riod and, therefore, would not be entitled to ployee on FMLA leave. If permanent replace- (5) Employees on unpaid FMLA leave are restoration. ment is unavoidable, the cost of then rein- to be treated as if they continued to work for (2) If a shift has been eliminated, or over- stating the employee can be considered in purposes of changes to benefit plans. They time has been decreased, an employee would evaluating whether substantial and grievous are entitled to changes in benefits plans, ex- not be entitled to return to work that shift economic injury will occur from restoration; cept those which may be dependent upon se- or the original overtime hours upon restora- in other words, the effect on the operations niority or accrual during the leave period, tion. However, if a position on, for example, of the employing office of reinstating the immediately upon return from leave or to a night shift has been filled by another em- employee in an equivalent position. the same extent they would have qualified if ployee, the employee is entitled to return to (c) A precise test cannot be set for the no leave had been taken. For example if the the same shift on which employed before level of hardship or injury to the employing benefit plan is predicated on a pre-estab- taking FMLA leave. office which must be sustained. If the rein- lished number of hours worked each year and (b) If an employee was hired for a specific statement of a ‘‘key employee’’ threatens the employee does not have sufficient hours term or only to perform work on a discrete the economic viability of the employing of- as a result of taking unpaid FMLA leave, the project, the employing office has no obliga- fice, that would constitute ‘‘substantial and benefit is lost. (In this regard, § 825.209 ad- tion to restore the employee if the employ- grievous economic injury.’’ A lesser injury dresses health benefits.) ment term or project is over and the employ- which causes substantial, long-term eco- ing office would not otherwise have contin- (e) Equivalent Terms and Conditions of Em- nomic injury would also be sufficient. Minor ued to employ the employee. ployment. An equivalent position must have inconveniences and costs that the employing substantially similar duties, conditions, re- (c) In addition to the circumstances ex- plained above, an employing office may deny office would experience in the normal course sponsibilities, privileges and status as the would certainly not constitute ‘‘substantial employee’s original position. job restoration to salaried eligible employees (‘‘key employees,’’ as defined in paragraph and grievous economic injury.’’ (1) The employee must be reinstated to the (d) FMLA’s ‘‘substantial and grievous eco- (c) of § 825.217) if such denial is necessary to same or a geographically proximate worksite nomic injury’’ standard is different from and prevent substantial and grievous economic (i.e., one that does not involve a significant more stringent than the ‘‘undue hardship’’ injury to the operations of the employing of- increase in commuting time or distance) test under the ADA (see, also § 825.702). from where the employee had previously fice; or may delay restoration to an em- § 825.219 What are the rights of a key employee? been employed. If the employee’s original ployee who fails to provide a fitness for duty worksite has been closed, the employee is en- certificate to return to work under the con- (a) An employing office which believes that titled to the same rights as if the employee ditions described in § 825.310. reinstatement may be denied to a key em- had not been on leave when the worksite (d) If the employee has been on a workers’ ployee, must give written notice to the em- closed. For example, if an employing office compensation absence during which FMLA ployee at the time the employee gives notice transfers all employees from a closed work- leave has been taken concurrently, and after of the need for FMLA leave (or when FMLA site to a new worksite in a different city, the 12 weeks of FMLA leave the employee is un- leave commences, if earlier) that he or she employee on leave is also entitled to transfer able to return to work, the employee no qualifies as a key employee. At the same under the same conditions as if he or she had longer has the protections of FMLA and time, the employing office must also fully continued to be employed. must look to the workers’ compensation inform the employee of the potential con- (2) The employee is ordinarily entitled to statute or ADA, as made applicable by the sequences with respect to reinstatement and return to the same shift or the same or an CAA, for any relief or protections. maintenance of health benefits if the em- equivalent work schedule. § 825.217 What is a ‘‘key employee’’? ploying office should determine that sub- (3) The employee must have the same or an (a) A ‘‘key employee’’ is a salaried FMLA- stantial and grievous economic injury to the equivalent opportunity for bonuses and other eligible employee who is among the highest employing office’s operations will result if similar discretionary and non-discretionary paid 10 percent of all the employees em- the employee is reinstated from FMLA payments. ployed by the employing office within 75 leave. If such notice cannot be given imme- (4) FMLA does not prohibit an employing miles of the employee’s worksite. diately because of the need to determine office from accommodating an employee’s (b) The term ‘‘salaried’’ means paid on a whether the employee is a key employee, it request to be restored to a different shift, salary basis, within the meaning of the shall be given as soon as practicable after schedule, or position which better suits the Board’s regulations at part 541, imple- being notified of a need for leave (or the employee’s personal needs on return from menting section 203 of the CAA (2 U.S.C. commencement of leave, if earlier). It is ex- leave, or to offer a promotion to a better po- 1313) (regarding employees who may qualify pected that in most circumstances there will sition. However, an employee cannot be in- as exempt from the minimum wage and over- be no desire that an employee be denied res- duced by the employing office to accept a time requirements of the FLSA, as made ap- toration after FMLA leave and, therefore, different position against the employee’s plicable by the CAA, as executive, adminis- there would be no need to provide such no- wishes. trative, and professional employees). tice. However, an employing office who fails (f) The requirement that an employee be (c) A ‘‘key employee’’ must be ‘‘among the to provide such timely notice will lose its restored to the same or equivalent job with highest paid 10 percent’’ of all the employees right to deny restoration even if substantial

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00041 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S212 CONGRESSIONAL RECORD — SENATE January 22, 1996 and grievous economic injury will result ceeding relating to a right under the FMLA, responsibilities and the employing office’s from reinstatement. as made applicable by the CAA; policies regarding the FMLA, as made appli- (b) As soon as an employing office makes a (iii) Testified, or is about to testify, in any cable by the CAA. Informational publica- good faith determination, based on the facts inquiry or proceeding relating to a right tions describing the provisions of the FMLA available, that substantial and grievous eco- under the FMLA, as made applicable by the as made applicable by the CAA are available nomic injury to its operations will result if CAA. from the Office of Compliance and may be in- a key employee who has given notice of the (b) Any violations of the FMLA, as made corporated in such employing office hand- need for FMLA leave or is using FMLA leave applicable by the CAA, or of these regula- books or written policies. is reinstated, the employing office shall no- tions constitute interfering with, restrain- (2) If such an employing office does not tify the employee in writing of its deter- ing, or denying the exercise of rights pro- have written policies, manuals, or handbooks mination, that it cannot deny FMLA leave, vided by the FMLA as made applicable by describing employee benefits and leave pro- and that it intends to deny restoration to the CAA. ‘‘Interfering with’’ the exercise of visions, the employing office shall provide employment on completion of the FMLA an employee’s rights would include, for ex- written guidance to an employee concerning leave. It is anticipated that an employing of- ample, not only refusing to authorize FMLA all the employee’s rights and obligations fice will ordinarily be able to give such no- leave, but discouraging an employee from under the FMLA as made applicable by the tice prior to the employee starting leave. using such leave. It would also include ma- CAA. This notice shall be provided to em- The employing office must serve this notice nipulation by covered an employing office to ployees each time notice is given pursuant to either in person or by certified mail. This no- avoid responsibilities under FMLA, for ex- paragraph (b), and in accordance with the tice must explain the basis for the employing ample: provisions of that paragraph. Employing of- office’s finding that substantial and grievous (1) [Reserved]; fices may duplicate and provide the em- economic injury will result, and, if leave has (2) changing the essential functions of the ployee a copy of the FMLA Fact Sheet avail- commenced, must provide the employee a job in order to preclude the taking of leave; able from the Office of Compliance to pro- reasonable time in which to return to work, (3) reducing hours available to work in vide such guidance. taking into account the circumstances, such order to avoid employee eligibility. (b)(1) The employing office shall also pro- as the length of the leave and the urgency of (c) An employing office is prohibited from vide the employee with written notice de- the need for the employee to return. discriminating against employees or pro- tailing the specific expectations and obliga- (c) If an employee on leave does not return spective employees who have used FMLA tions of the employee and explaining any to work in response to the employing office’s leave. For example, if an employee on leave consequences of a failure to meet these obli- notification of intent to deny restoration, without pay would otherwise be entitled to gations. The written notice must be provided the employee continues to be entitled to full benefits (other than health benefits), the to the employee in a language in which the maintenance of health benefits and the em- same benefits would be required to be pro- employee is literate. Such specific notice ploying office may not recover its cost of vided to an employee on unpaid FMLA leave. must include, as appropriate: health benefit premiums. A key employee’s By the same token, employing offices cannot (i) that the leave will be counted against rights under FMLA continue unless and use the taking of FMLA leave as a negative the employee’s annual FMLA leave entitle- until either the employee gives notice that factor in employment actions, such as hir- ment (see § 825.208); he or she no longer wishes to return to work, ing, promotions or disciplinary actions; nor (ii) any requirements for the employee to or the employing office actually denies rein- can FMLA leave be counted under ‘‘no fault’’ furnish medical certification of a serious statement at the conclusion of the leave pe- attendance policies. health condition and the consequences of riod. (d) Employees cannot waive, nor may em- failing to do so (see § 825.305); (d) After notice to an employee has been ploying offices induce employees to waive, (iii) the employee’s right to substitute paid given that substantial and grievous eco- their rights under FMLA. For example, em- leave and whether the employing office will nomic injury will result if the employee is ployees (or their collective bargaining rep- require the substitution of paid leave, and reinstated to employment, an employee is resentatives) cannot ‘‘trade off’’ the right to the conditions related to any substitution; still entitled to request reinstatement at the take FMLA leave against some other benefit (iv) any requirement for the employee to end of the leave period even if the employee offered by the employing office. This does make any premium payments to maintain did not return to work in response to the em- not prevent an employee’s voluntary and health benefits and the arrangements for ploying office’s notice. The employing office uncoerced acceptance (not as a condition of making such payments (see § 825.210), and the must then again determine whether there employment) of a ‘‘light duty’’ assignment possible consequences of failure to make will be substantial and grievous economic in- while recovering from a serious health condi- such payments on a timely basis (i.e., the jury from reinstatement, based on the facts tion (see § 825.702(d)). In such a circumstance circumstances under which coverage may at that time. If it is determined that sub- the employee’s right to restoration to the lapse); stantial and grievous economic injury will same or an equivalent position is available (v) any requirement for the employee to result, the employing office shall notify the until 12 weeks have passed within the 12- present a fitness-for-duty certificate to be employee in writing (in person or by cer- month period, including all FMLA leave restored to employment (see § 825.310); tified mail) of the denial of restoration. taken and the period of ‘‘light duty.’’ (vi) the employee’s status as a ‘‘key em- (e) Covered employees, and not merely eli- ployee’’ and the potential consequence that § 825.220 How are employees protected who re- gible employees, are protected from retalia- restoration may be denied following FMLA quest leave or otherwise assert FMLA tion for opposing (e.g., file a complaint leave, explaining the conditions required for rights? about) any practice which is unlawful under such denial (see § 825.218); (a) The FMLA, as made applicable by the the FMLA, as made applicable by the CAA. (vii) the employee’s right to restoration to CAA, prohibits interference with an employ- They are similarly protected if they oppose the same or an equivalent job upon return ee’s rights under the law, and with legal pro- any practice which they reasonably believe from leave (see §§ 825.214 and 825.604); and, ceedings or inquiries relating to an employ- to be a violation of the FMLA, as made ap- (viii) the employee’s potential liability for ee’s rights. More specifically, the law con- plicable by the CAA or regulations. payment of health insurance premiums paid tains the following employee protections: by the employing office during the employ- Subpart C—How do Employees Learn of (1) An employing office is prohibited from ee’s unpaid FMLA leave if the employee fails Their Rights and Obligations under the interfering with, restraining, or denying the to return to work after taking FMLA leave FMLA, as Made Applicable by the CAA, exercise of (or attempts to exercise) any (see § 825.213). and What Can an Employing Office Require rights provided by the FMLA as made appli- (2) The specific notice may include other of an Employee? cable by the CAA. information—e.g., whether the employing of- (2) An employing office is prohibited from § 825.300 [Reserved] fice will require periodic reports of the em- discharging or in any other way discrimi- § 825.301 What notices to employees are required ployee’s status and intent to return to work, nating against any covered employee (wheth- of employing offices under the FMLA as but is not required to do so. A prototype no- er or not an eligible employee) for opposing made applicable by the CAA? tice is contained in Appendix D of this part, or complaining about any unlawful practice (a)(1) If an employing office has any eligi- or may be obtained from the Office of Com- under the FMLA as made applicable by the ble employees and has any written guidance pliance, which employing offices may adapt CAA. to employees concerning employee benefits for their use to meet these specific notice re- (3) All employing offices are prohibited or leave rights, such as in an employee hand- quirements. from discharging or in any other way dis- book, information concerning both entitle- (c) Except as provided in this subpara- criminating against any covered employee ments and employee obligations under the graph, the written notice required by para- (whether or not an eligible employee) be- FMLA, as made applicable by the CAA, must graph (b) (and by subparagraph (a)(2) where cause that covered employee has— be included in the handbook or other docu- applicable) must be provided to the employee (i) Filed any charge, or has instituted (or ment. For example, if an employing office no less often than the first time in each six- caused to be instituted) any proceeding provides an employee handbook to all em- month period that an employee gives notice under or related to the FMLA, as made ap- ployees that describes the employing office’s of the need for FMLA leave (if FMLA leave plicable by the CAA; policies regarding leave, wages, attendance, is taken during the six-month period). The (ii) Given, or is about to give, any informa- and similar matters, the handbook must in- notice shall be given within a reasonable tion in connection with an inquiry or pro- corporate information on FMLA rights and time after notice of the need for leave is

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00042 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S213 given by the employee—within one or two the individual case. For foreseeable leave vacation leave plan imposes no prior notifi- business days if feasible. If leave has already where it is not possible to give as much as 30 cation requirements for taking such vaca- begun, the notice should be mailed to the days notice, ‘‘as soon as practicable’’ ordi- tion leave, no advance notice may be re- employee’s address of record. narily would mean at least verbal notifica- quired for the FMLA leave taken in these (1) If the specific information provided by tion to the employing office within one or circumstances. On the other hand, FMLA no- the notice changes with respect to a subse- two business days of when the need for leave tice requirements would apply to a period of quent period of FMLA leave during the six- becomes known to the employee. unpaid FMLA leave, unless the employing of- month period, the employing office shall, (c) An employee shall provide at least fice imposes lesser notice requirements on within one or two business days of receipt of verbal notice sufficient to make the employ- employees taking leave without pay. the employee’s notice of need for leave, pro- ing office aware that the employee needs § 825.303 What are the requirements for an em- vide written notice referencing the prior no- FMLA-qualifying leave, and the anticipated ployee to furnish notice to an employing of- tice and setting forth any of the information timing and duration of the leave. The em- fice where the need for FMLA leave is not in subparagraph (b) which has changed. For ployee need not expressly assert rights under foreseeable? example, if the initial leave period were paid the FMLA as made applicable by the CAA, or leave and the subsequent leave period would even mention the FMLA, but may only state (a) When the approximate timing of the be unpaid leave, the employing office may that leave is needed for an expected birth or need for leave is not foreseeable, an em- need to give notice of the arrangements for adoption, for example. The employing office ployee should give notice to the employing making premium payments. should inquire further of the employee if it is office of the need for FMLA leave as soon as (2)(i) Except as provided in subparagraph necessary to have more information about practicable under the facts and cir- (ii), if the employing office is requiring med- whether FMLA leave is being sought by the cumstances of the particular case. It is ex- ical certification or a ‘‘fitness-for-duty’’ re- employee, and obtain the necessary details pected that an employee will give notice to port, written notice of the requirement shall of the leave to be taken. In the case of med- the employing office within no more than be given with respect to each employee no- ical conditions, the employing office may one or two working days of learning of the tice of a need for leave. find it necessary to inquire further to deter- need for leave, except in extraordinary cir- (ii) Subsequent written notification shall mine if the leave is because of a serious cumstances where such notice is not feasible. not be required if the initial notice in the health condition and may request medical In the case of a medical emergency requiring six-month period and the employing office certification to support the need for such leave because of an employee’s own serious handbook or other written documents (if leave (see § 825.305). health condition or to care for a family any) describing the employing office’s leave (d) An employing office may also require member with a serious health condition, policies, clearly provided that certification an employee to comply with the employing written advance notice pursuant to an em- or a ‘‘fitness-for-duty’’ report would be re- office’s usual and customary notice and pro- ploying office’s internal rules and procedures quired (e.g., by stating that certification cedural requirements for requesting leave. may not be required when FMLA leave is in- would be required in all cases, by stating For example, an employing office may re- volved. quire that written notice set forth the rea- that certification would be required in all (b) The employee should provide notice to sons for the requested leave, the anticipated cases in which leave of more than a specified the employing office either in person or by duration of the leave, and the anticipated number of days is taken, or by stating that telephone, telegraph, facsimile (‘‘fax’’) ma- start of the leave. However, failure to follow a ‘‘fitness-for-duty’’ report would be required chine or other electronic means. Notice may such internal employing office procedures in all cases for back injuries for employees be given by the employee’s spokesperson will not permit an employing office to dis- in a certain occupation). Where subsequent (e.g., spouse, adult family member or other allow or delay an employee’s taking FMLA written notice is not required, at least oral responsible party) if the employee is unable leave if the employee gives timely verbal or notice shall be provided. (See § 825.305(a).) to do so personally. The employee need not other notice. (d) Employing offices are also expected to expressly assert rights under the FMLA, as responsively answer questions from employ- (e) When planning medical treatment, the employee must consult with the employing made applicable by the CAA, or even men- ees concerning their rights and responsibil- tion the FMLA, but may only state that ities under the FMLA as made applicable office and make a reasonable effort to sched- ule the leave so as not to disrupt unduly the leave is needed. The employing office will be under the CAA. expected to obtain any additional required (e) Employing offices furnishing FMLA-re- employing office’s operations, subject to the approval of the health care provider. Em- information through informal means. The quired notices to sensory impaired individ- employee or spokesperson will be expected to uals must also comply with all applicable re- ployees are ordinarily expected to consult with their employing offices prior to the provide more information when it can read- quirements under law. ily be accomplished as a practical matter, (f) If an employing office fails to provide scheduling of treatment in order to work out a treatment schedule which best suits the taking into consideration the exigencies of notice in accordance with the provisions of the situation. this section, the employing office may not needs of both the employing office and the take action against an employee for failure employee. If an employee who provides no- § 825.304 What recourse do employing offices to comply with any provision required to be tice of the need to take FMLA leave on an have if employees fail to provide the re- set forth in the notice. intermittent basis for planned medical treat- quired notice? ment neglects to consult with the employing (a) An employing office may waive employ- § 825.302 What notice does an employee have to office to make a reasonable attempt to ar- ees’ FMLA notice obligations or the employ- give an employing office when the need for range the schedule of treatments so as not to ing office’s own internal rules on leave no- FMLA leave is foreseeable? unduly disrupt the employing office’s oper- tice requirements. (a) An employee must provide the employ- ations, the employing office may initiate ing office at least 30 days advance notice be- discussions with the employee and require (b) If an employee fails to give 30 days no- fore FMLA leave is to begin if the need for the employee to attempt to make such ar- tice for foreseeable leave with no reasonable the leave is foreseeable based on an expected rangements, subject to the approval of the excuse for the delay, the employing office birth, placement for adoption or foster care, health care provider. may delay the taking of FMLA leave until at or planned medical treatment for a serious (f) In the case of intermittent leave or least 30 days after the date the employee health condition of the employee or of a fam- leave on a reduced leave schedule which is provides notice to the employing office of ily member. If 30 days notice is not prac- medically necessary, an employee shall ad- the need for FMLA leave. ticable, such as because of a lack of knowl- vise the employing office, upon request, of (c) In all cases, in order for the onset of an edge of approximately when leave will be re- the reasons why the intermittent/reduced employee’s FMLA leave to be delayed due to quired to begin, a change in circumstances, leave schedule is necessary and of the sched- lack of required notice, it must be clear that or a medical emergency, notice must be ule for treatment, if applicable. The em- the employee had actual notice of the FMLA given as soon as practicable. For example, an ployee and employing office shall attempt to notice requirements. This condition would be employee’s health condition may require work out a schedule which meets the em- satisfied by the employing office’s proper leave to commence earlier than anticipated ployee’s needs without unduly disrupting the posting, at the worksite where the employee before the birth of a child. Similarly, little employing office’s operations, subject to the is employed, of the information regarding opportunity for notice may be given before approval of the health care provider. the FMLA provided (pursuant to section placement for adoption. Whether the leave is (g) An employing office may waive employ- 301(h)(2) of the CAA, 2 U.S.C. 1381(h)(2)) by to be continuous or is to be taken intermit- ees’ FMLA notice requirements. In addition, the Office of Compliance to the employing tently or on a reduced schedule basis, notice an employing office may not require compli- office in a manner suitable for posting. Fur- need only be given one time, but the em- ance with stricter FMLA notice require- thermore, the need for leave and the approxi- ployee shall advise the employing office as ments where the provisions of a collective mate date leave would be taken must have soon as practicable if dates of scheduled bargaining agreement or applicable leave been clearly foreseeable to the employee 30 leave change or are extended, or were ini- plan allow less advance notice to the em- days in advance of the leave. For example, tially unknown. ploying office. For example, if an employee knowledge that an employee would receive a (b) ‘‘As soon as practicable’’ means as soon (or employing office) elects to substitute telephone call about the availability of a as both possible and practical, taking into paid vacation leave for unpaid FMLA leave child for adoption at some unknown point in account all of the facts and circumstances in (see § 825.207), and the employing office’s paid the future would not be sufficient.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00043 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S214 CONGRESSIONAL RECORD — SENATE January 22, 1996 § 825.305 When must an employee provide med- no additional information may be required. (c) If the employing office’s sick or medical ical certification to support FMLA leave? In all instances the information on the form leave plan requires less information to be (a) An employing office may require that must relate only to the serious health condi- furnished in medical certifications than the an employee’s leave to care for the employ- tion for which the current need for leave ex- certification requirements of these regula- ee’s seriously ill spouse, son, daughter, or ists. The form identifies the health care pro- tions, and the employee or employing office parent, or due to the employee’s own serious vider and type of medical practice (including elects to substitute paid sick, vacation, per- health condition that makes the employee pertinent specialization, if any), makes max- sonal or family leave for unpaid FMLA leave unable to perform one or more of the essen- imum use of checklist entries for ease in where authorized (see § 825.207), only the em- tial functions of the employee’s position, be completing the form, and contains required ploying office’s lesser sick leave certification supported by a certification issued by the entries for: requirements may be imposed. health care provider of the employee or the (1) A certification as to which part of the § 825.307 What may an employing office do if it employee’s ill family member. An employing definition of ‘‘serious health condition’’ (see questions the adequacy of a medical certifi- office must give notice of a requirement for § 825.114), if any, applies to the patient’s con- cation? dition, and the medical facts which support medical certification each time a certifi- (a) If an employee submits a complete cer- the certification, including a brief statement cation is required; such notice must be writ- tification signed by the health care provider, as to how the medical facts meet the criteria ten notice whenever required by § 825.301. An the employing office may not request addi- of the definition. employing office’s oral request to an em- tional information from the employee’s (2)(i) The approximate date the serious ployee to furnish any subsequent medical health care provider. However, a health care health condition commenced, and its prob- certification is sufficient. provider representing the employing office able duration, including the probable dura- (b) When the leave is foreseeable and at may contact the employee’s health care pro- tion of the patient’s present incapacity (de- least 30 days notice has been provided, the vider, with the employee’s permission, for fined to mean inability to work, attend employee should provide the medical certifi- purposes of clarification and authenticity of school or perform other regular daily activi- cation before the leave begins. When this is the medical certification. ties due to the serious health condition, not possible, the employee must provide the (1) If an employee is on FMLA leave run- treatment therefor, or recovery therefrom) if requested certification to the employing of- ning concurrently with a workers’ compensa- different. fice within the time frame requested by the tion absence, and the provisions of the work- (ii) Whether it will be necessary for the employing office (which must allow at least ers’ compensation statute permit the em- employee to take leave intermittently or to 15 calendar days after the employing office’s ploying office or the employing office’s rep- work on a reduced leave schedule basis (i.e., request), unless it is not practicable under resentative to have direct contact with the part-time) as a result of the serious health the particular circumstances to do so despite employee’s workers’ compensation health condition (see § 825.117 and § 825.203), and if the employee’s diligent, good faith efforts. care provider, the employing office may fol- so, the probable duration of such schedule. (c) In most cases, the employing office low the workers’ compensation provisions. should request that an employee furnish cer- (iii) If the condition is pregnancy or a chronic condition within the meaning of (2) An employing office that has reason to tification from a health care provider at the doubt the validity of a medical certification time the employee gives notice of the need § 825.114(a)(2)(iii), whether the patient is pres- ently incapacitated and the likely duration may require the employee to obtain a second for leave or within two business days there- opinion at the employing office’s expense. after, or, in the case of unforeseen leave, and frequency of episodes of incapacity. (3)(i)(A) If additional treatments will be re- Pending receipt of the second (or third) med- within two business days after the leave ical opinion, the employee is provisionally commences. The employing office may re- quired for the condition, an estimate of the probable number of such treatments. entitled to the benefits of the FMLA as made quest certification at some later date if the applicable by the CAA, including mainte- employing office later has reason to question (B) If the patient’s incapacity will be inter- mittent, or will require a reduced leave nance of group health benefits. If the certifi- the appropriateness of the leave or its dura- cations do not ultimately establish the em- tion. schedule, an estimate of the probable num- ber and interval between such treatments, ployee’s entitlement to FMLA leave, the (d) At the time the employing office re- leave shall not be designated as FMLA leave quests certification, the employing office actual or estimated dates of treatment if known, and period required for recovery if and may be treated as paid or unpaid leave must also advise an employee of the antici- under the employing office’s established pated consequences of an employee’s failure any. (ii) If any of the treatments referred to in leave policies. The employing office is per- to provide adequate certification. The em- mitted to designate the health care provider ploying office shall advise an employee subparagraph (i) will be provided by another provider of health services (e.g., physical to furnish the second opinion, but the se- whenever the employing office finds a cer- lected health care provider may not be em- tification incomplete, and provide the em- therapist), the nature of the treatments. (iii) If a regimen of continuing treatment ployed on a regular basis by the employing ployee a reasonable opportunity to cure any by the patient is required under the super- office. See also paragraphs (e) and (f) of this such deficiency. section. (e) If the employing office’s sick or medical vision of the health care provider, a general description of the regimen (see § 825.114(b)). (b) The employing office may not regularly leave plan imposes medical certification re- contract with or otherwise regularly utilize quirements that are less stringent than the (4) If medical leave is required for the em- ployee’s absence from work because of the the services of the health care provider fur- certification requirements of these regula- nishing the second opinion unless the em- tions, and the employee or employing office employee’s own condition (including ab- sences due to pregnancy or a chronic condi- ploying office is located in an area where ac- elects to substitute paid sick, vacation, per- cess to health care is extremely limited (e.g., sonal or family leave for unpaid FMLA leave tion), whether the employee: (i) is unable to perform work of any kind; a rural area where no more than one or two where authorized (see § 825.207), only the em- (ii) is unable to perform any one or more of doctors practice in the relevant specialty in ploying office’s less stringent sick leave cer- the essential functions of the employee’s po- the vicinity). tification requirements may be imposed. sition, including a statement of the essential (c) If the opinions of the employee’s and § 825.306 How much information may be re- functions the employee is unable to perform the employing office’s designated health care quired in medical certifications of a serious (see § 825.115), based on either information providers differ, the employing office may health condition? provided on a statement from the employing require the employee to obtain certification (a) The Office of Compliance has made office of the essential functions of the posi- from a third health care provider, again at available an optional form (’’Certification of tion or, if not provided, discussion with the the employing office’s expense. This third Physician or Practitioner’’) for employees’ employee about the employee’s job func- opinion shall be final and binding. The third (or their family members’) use in obtaining tions; or health care provider must be designated or medical certification, including second and (iii) must be absent from work for treat- approved jointly by the employing office and third opinions, from health care providers ment. the employee. The employing office and the that meets FMLA’s certification require- (5)(i) If leave is required to care for a fam- employee must each act in good faith to at- ments. (See Appendix B to these regula- ily member of the employee with a serious tempt to reach agreement on whom to select tions.) This optional form reflects certifi- health condition, whether the patient re- for the third opinion provider. If the employ- cation requirements so as to permit the quires assistance for basic medical or per- ing office does not attempt in good faith to health care provider to furnish appropriate sonal needs or safety, or for transportation; reach agreement, the employing office will medical information within his or her or if not, whether the employee’s presence to be bound by the first certification. If the em- knowledge. provide psychological comfort would be ben- ployee does not attempt in good faith to (b) The Certification of Physician or Prac- eficial to the patient or assist in the pa- reach agreement, the employee will be bound titioner form is modeled closely on Form tient’s recovery. The employee is required to by the second certification. For example, an WH–380, as revised, which was developed by indicate on the form the care he or she will employee who refuses to agree to see a doc- the Department of Labor (see 29 C.F.R. Part provide and an estimate of the time period. tor in the specialty in question may be fail- 825, Appendix B). The employing office may (ii) If the employee’s family member will ing to act in good faith. On the other hand, use the Office of Compliance’s form, or Form need care only intermittently or on a re- an employing office that refuses to agree to WH–380, as revised, or another form con- duced leave schedule basis (i.e., part-time), any doctor on a list of specialists in the ap- taining the same basic information; however, the probable duration of the need. propriate field provided by the employee and

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00044 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S215 whom the employee has not previously con- expense unless the employing office provides of an employee’s ability to return to work. A sulted may be failing to act in good faith. otherwise. No second or third opinion on re- health care provider employed by the em- (d) The employing office is required to pro- certification may be required. ploying office may contact the employee’s vide the employee with a copy of the second § 825.309 What notice may an employing office health care provider with the employee’s and third medical opinions, where applica- require regarding an employee’s intent to re- permission, for purposes of clarification of ble, upon request by the employee. Re- turn to work? the employee’s fitness to return to work. No quested copies are to be provided within two (a) An employing office may require an additional information may be acquired, and business days unless extenuating cir- employee on FMLA leave to report periodi- clarification may be requested only for the cumstances prevent such action. cally on the employee’s status and intent to serious health condition for which FMLA (e) If the employing office requires the em- return to work. The employing office’s pol- leave was taken. The employing office may ployee to obtain either a second or third icy regarding such reports may not be dis- not delay the employee’s return to work opinion the employing office must reimburse criminatory and must take into account all while contact with the health care provider an employee or family member for any rea- of the relevant facts and circumstances re- is being made. sonable ‘‘out of pocket’’ travel expenses in- lated to the individual employee’s leave situ- (d) The cost of the certification shall be curred to obtain the second and third med- ation. borne by the employee and the employee is ical opinions. The employing office may not (b) If an employee gives unequivocal notice not entitled to be paid for the time or travel require the employee or family member to of intent not to return to work, the employ- costs spent in acquiring the certification. travel outside normal commuting distance ing office’s obligations under FMLA, as (e) The notice that employing offices are for purposes of obtaining the second or third made applicable by the CAA, to maintain required to give to each employee giving no- medical opinions except in very unusual cir- health benefits (subject to requirements of tice of the need for FMLA leave regarding cumstances. COBRA or 5 U.S.C. 8905a, whichever is appli- (f) In circumstances when the employee or their FMLA rights and obligations as made cable) and to restore the employee cease. a family member is visiting in another coun- applicable by the CAA (see § 825.301) shall ad- However, these obligations continue if an try, or a family member resides in a another vise the employee if the employing office employee indicates he or she may be unable country, and a serious health condition de- will require fitness-for-duty certification to to return to work but expresses a continuing velops, the employing office shall accept a return to work. If the employing office has a desire to do so. medical certification as well as second and (c) It may be necessary for an employee to handbook explaining employment policies third opinions from a health care provider take more leave than originally anticipated. and benefits, the handbook should explain who practices in that country. Conversely, an employee may discover after the employing office’s general policy regard- § 825.308 Under what circumstances may an em- beginning leave that the circumstances have ing any requirement for fitness-for-duty cer- ploying office request subsequent recertifi- changed and the amount of leave originally tification to return to work. Specific notice cations of medical conditions? anticipated is no longer necessary. An em- shall also be given to any employee from (a) For pregnancy, chronic, or permanent/ ployee may not be required to take more whom fitness-for-duty certification will be long-term conditions under continuing su- FMLA leave than necessary to resolve the required either at the time notice of the need pervision of a health care provider (as de- circumstance that precipitated the need for for leave is given or immediately after leave fined in § 825.114(a) (2)(ii), (iii) or (iv)), an em- leave. In both of these situations, the em- commences and the employing office is ad- ploying office may request recertification no ploying office may require that the employee vised of the medical circumstances requiring more often than every 30 days and only in provide the employing office reasonable no- the leave, unless the employee’s condition connection with an absence by the employee, tice (i.e., within two business days) of the changes from one that did not previously re- unless: changed circumstances where foreseeable. quire certification pursuant to the employ- (1) Circumstances described by the pre- The employing office may also obtain infor- ing office’s practice or policy. No second or vious certification have changed signifi- mation on such changed circumstances third fitness-for-duty certification may be cantly (e.g., the duration or frequency of ab- through requested status reports. required. sences, the severity of the condition, com- § 825.310 Under what circumstances may an em- (f) An employing office may delay restora- plications); or ploying office require that an employee sub- tion to employment until an employee sub- (2) The employing office receives informa- mit a medical certification that the employee mits a required fitness-for-duty certification tion that casts doubt upon the employee’s is able (or unable) to return to work (i.e., a unless the employing office has failed to pro- stated reason for the absence. ‘‘fitness-for-duty’’ report)? vide the notices required in paragraph (e) of (b)(1) If the minimum duration of the pe- this section. riod of incapacity specified on a certification (a) As a condition of restoring an employee furnished by the health care provider is more whose FMLA leave was occasioned by the (g) An employing office is not entitled to than 30 days, the employing office may not employee’s own serious health condition certification of fitness to return to duty request recertification until that minimum that made the employee unable to perform when the employee takes intermittent leave duration has passed unless one of the condi- the employee’s job, an employing office may as described in § 825.203. tions set forth in paragraph (c)(1), (2) or (3) of have a uniformly-applied policy or practice (h) When an employee is unable to return this section is met. that requires all similarly-situated employ- to work after FMLA leave because of the (2) For FMLA leave taken intermittently ees (i.e., same occupation, same serious continuation, recurrence, or onset of the em- or on a reduced leave schedule basis, the em- health condition) who take leave for such ployee’s or family member’s serious health ploying office may not request recertifi- conditions to obtain and present certifi- condition, thereby preventing the employing cation in less than the minimum period spec- cation from the employee’s health care pro- office from recovering its share of health ified on the certification as necessary for vider that the employee is able to resume benefit premium payments made on the em- such leave (including treatment) unless one work. ployee’s behalf during a period of unpaid of the conditions set forth in paragraph (b) If the terms of a collective bargaining FMLA leave, the employing office may re- (c)(1), (2) or (3) of this section is met. agreement govern an employee’s return to quire medical certification of the employee’s (c) For circumstances not covered by para- work, those provisions shall be applied. or the family member’s serious health condi- graphs (a) or (b) of this section, an employ- Similarly, requirements under the Ameri- tion. (See § 825.213(a)(3).) The cost of the cer- ing office may request recertification at any cans with Disabilities Act (ADA), as made tification shall be borne by the employee and reasonable interval, but not more often than applicable by the CAA, that any return-to- the employee is not entitled to be paid for every 30 days, unless: work physical be job-related and consistent the time or travel costs spent in acquiring (1) The employee requests an extension of with business necessity apply. For example, the certification. leave; an attorney could not be required to submit (2) Circumstances described by the pre- to a medical examination or inquiry just be- § 825.311 What happens if an employee fails to vious certification have changed signifi- cause her leg had been amputated. The es- satisfy the medical certification and/or re- cantly (e.g., the duration of the illness, the sential functions of an attorney’s job do not certification requirements? nature of the illness, complications); or require use of both legs; therefore such an in- (a) In the case of foreseeable leave, an em- (3) The employing office receives informa- quiry would not be job related. An employing ploying office may delay the taking of tion that casts doubt upon the continuing office may require a warehouse laborer, FMLA leave to an employee who fails to pro- validity of the certification. whose back impairment affects the ability to (d) The employee must provide the re- lift, to be examined by an orthopedist, but vide timely certification after being re- quested recertification to the employing of- may not require this employee to submit to quested by the employing office to furnish fice within the time frame requested by the an HIV test where the test is not related to such certification (i.e., within 15 calendar employing office (which must allow at least either the essential functions of his/her job days, if practicable), until the required cer- 15 calendar days after the employing office’s or to his/her impairment. tification is provided. request), unless it is not practicable under (c) An employing office may seek fitness- (b) When the need for leave is not foresee- the particular circumstances to do so despite for-duty certification only with regard to the able, or in the case of recertification, an em- the employee’s diligent, good faith efforts. particular health condition that caused the ployee must provide certification (or recer- (e) Any recertification requested by the employee’s need for FMLA leave. The certifi- tification) within the time frame requested employing office shall be at the employee’s cation itself need only be a simple statement by the employing office (which must

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00045 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S216 CONGRESSIONAL RECORD — SENATE January 22, 1996 allow at least 15 days after the employing of- ployment relationship continues, for exam- § 825.401 [Reserved] fice’s request) or as soon as reasonably pos- ple, by the employee remaining on paid §825.402 [Reserved] sible under the particular facts and cir- leave. An employee may not be required to § 825.403 [Reserved] cumstances. In the case of a medical emer- take more leave than necessary to address § 825.404 [Reserved] gency, it may not be practicable for an em- the circumstances for which leave was Subpart E—[Reserved] ployee to provide the required certification taken. If the employee is able to return to Subpart F—What Special Rules Apply to within 15 calendar days. If an employee fails work earlier than anticipated, the employee Employees of Schools? to provide a medical certification within a shall provide the employing office two busi- § 825.600 To whom do the special rules apply? reasonable time under the pertinent cir- ness days notice where feasible; the employ- cumstances, the employing office may delay ing office is required to restore the employee (a) Certain special rules apply to employ- the employee’s continuation of FMLA leave. once such notice is given, or where such ees of ‘‘local educational agencies,’’ includ- If the employee never produces the certifi- prior notice was not feasible. ing public school boards and elementary cation, the leave is not FMLA leave. schools under their jurisdiction, and private (c) When requested by the employing office (f) An employing office may deny restora- elementary and secondary schools. The spe- pursuant to a uniformly applied policy for tion to employment, but not the taking of cial rules do not apply to other kinds of edu- similarly-situated employees, the employee FMLA leave and the maintenance of health cational institutions, such as colleges and must provide medical certification at the benefits, to an eligible employee only under universities, trade schools, and preschools. time the employee seeks reinstatement at the terms of the ‘‘key employee’’ exemption. (b) Educational institutions are covered by the end of FMLA leave taken for the employ- Denial of reinstatement must be necessary FMLA as made applicable by the CAA (and ee’s serious health condition, that the em- to prevent ‘‘substantial and grievous eco- these special rules). The usual requirements ployee is fit for duty and able to return to nomic injury’’ to the employing office’s op- for employees to be ‘‘eligible’’ apply. work (see § 825.310(a)) if the employing office erations. The employing office must notify (c) The special rules affect the taking of has provided the required notice (see the employee of the employee’s status as a intermittent leave or leave on a reduced § 825.301(c); the employing office may delay ‘‘key employee’’ and of the employing of- leave schedule, or leave near the end of an restoration until the certification is pro- fice’s intent to deny reinstatement on that academic term (semester), by instructional vided. In this situation, unless the employee basis when the employing office makes these employees. ‘‘Instructional employees’’ are provides either a fitness-for-duty certifi- determinations. If leave has started, the em- those whose principal function is to teach cation or a new medical certification for a ployee must be given a reasonable oppor- and instruct students in a class, a small serious health condition at the time FMLA tunity to return to work after being so noti- group, or an individual setting. This term in- leave is concluded, the employee may be ter- fied. (See § 825.219.) cludes not only teachers, but also athletic minated. See also § 825.213(a)(3). coaches, driving instructors, and special edu- (g) An employee who fraudulently obtains § 825.312 Under what circumstances may an em- cation assistants such as signers for the FMLA leave from an employing office is not hearing impaired. It does not include, and ploying office refuse to provide FMLA leave protected by job restoration or maintenance or reinstatement to eligible employees? the special rules do not apply to, teacher as- of health benefits provisions of the FMLA as sistants or aides who do not have as their (a) If an employee fails to give timely ad- made applicable by the CAA. principal job actual teaching or instructing, vance notice when the need for FMLA leave nor does it include auxiliary personnel such is foreseeable, the employing office may (h) If the employing office has a uniformly- as counselors, psychologists, or curriculum delay the taking of FMLA leave until 30 days applied policy governing outside or supple- specialists. It also does not include cafeteria after the date the employee provides notice mental employment, such a policy may con- workers, maintenance workers, or bus driv- to the employing office of the need for FMLA tinue to apply to an employee while on ers. leave. ( § 825.302.) FMLA leave. An employing office which does See (d) Special rules which apply to restoration (b) If an employee fails to provide in a not have such a policy may not deny benefits to an equivalent position apply to all em- timely manner a requested medical certifi- to which an employee is entitled under ployees of local educational agencies. cation to substantiate the need for FMLA FMLA as made applicable by the CAA on leave due to a serious health condition, an this basis unless the FMLA leave was fraudu- § 825.601 What limitations apply to the taking of employing office may delay continuation of lently obtained as in paragraph (g) of this intermittent leave or leave on a reduced FMLA leave until an employee submits the section. leave schedule? certificate. (See §§ 825.305 and 825.311.) If the (a) Leave taken for a period that ends with Subpart D—What Enforcement Mechanisms employee never produces the certification, the school year and begins the next semester Does the CAA Provide? the leave is not FMLA leave. is leave taken consecutively rather than (c) If an employee fails to provide a re- § 825.400 What can employees do who believe intermittently. The period during the sum- quested fitness-for-duty certification to re- that their rights under the FMLA as made mer vacation when the employee would not turn to work, an employing office may delay applicable by the CAA have been violated? have been required to report for duty is not restoration until the employee submits the counted against the employee’s FMLA leave certificate. (See §§ 825.310 and 825.311.) (a) To commence a proceeding, a covered entitlement. An instructional employee who (d) An employee has no greater right to re- employee alleging a violation of the rights is on FMLA leave at the end of the school instatement or to other benefits and condi- and protections of the FMLA made applica- year must be provided with any benefits over tions of employment than if the employee ble by the CAA must request counseling by the summer vacation that employees would had been continuously employed during the the Office of Compliance not later than 180 normally receive if they had been working at FMLA leave period. Thus, an employee’s days after the date of the alleged violation. the end of the school year. rights to continued leave, maintenance of If a covered employee misses this deadline, (1) If an eligible instructional employee health benefits, and restoration cease under the covered employee will be unable to ob- needs intermittent leave or leave on a re- FMLA, as made applicable by the CAA, if tain a remedy under the CAA. duced leave schedule to care for a family and when the employment relationship ter- (b) The following procedures are available member, or for the employee’s own serious minates (e.g., layoff), unless that relation- under title IV of the CAA for covered em- health condition, which is foreseeable based ship continues, for example, by the employee ployees who believe that their rights under on planned medical treatment, and the em- remaining on paid FMLA leave. If the em- FMLA as made applicable by the CAA have ployee would be on leave for more than 20 ployee is recalled or otherwise re-employed, been violated: percent of the total number of working days an eligible employee is immediately entitled over the period the leave would extend, the to further FMLA leave for an FMLA-quali- (1) counseling; employing office may require the employee fying reason. An employing office must be (2) mediation; and to choose either to: able to show, when an employee requests res- (i) Take leave for a period or periods of a toration, that the employee would not other- (3) election of either— particular duration, not greater than the du- wise have been employed if leave had not (A) a formal complaint, filed with the Of- ration of the planned treatment; or been taken in order to deny restoration to fice of Compliance, and a hearing before a (ii) Transfer temporarily to an available employment. (See § 825.216.) hearing officer, subject to review by the alternative position for which the employee (e) An employing office may require an em- Board of Directors of the Office of Compli- is qualified, which has equivalent pay and ployee on FMLA leave to report periodically ance, and judicial review in the United benefits and which better accommodates re- on the employee’s status and intention to re- States Court of Appeals for the Federal Cir- curring periods of leave than does the em- turn to work. (See § 825.309.) If an employee cuit; or ployee’s regular position. unequivocally advises the employing office (2) These rules apply only to a leave in- (B) a civil action in a district court of the either before or during the taking of leave volving more than 20 percent of the working United States. that the employee does not intend to return days during the period over which the leave to work, and the employment relationship is (c) Regulations of the Office of Compliance extends. For example, if an instructional em- terminated, the employee’s entitlement to describing and governing these procedures ployee who normally works five days each continued leave, maintenance of health ben- are found at [proposed rules can be found at week needs to take two days of FMLA leave efits, and restoration ceases unless the em- 141 Cong. Rec. S17012 (November 14, 1995)]. per week over a period of several weeks, the

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00046 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S217 special rules would apply. Employees taking work shall be charged against the employee’s § 825.701 [Reserved] leave which constitutes 20 percent or less of FMLA leave entitlement. The employing of- § 825.702 How does FMLA affect anti-discrimina- the working days during the leave period fice has the option not to require the em- tion laws as applied by section 201 of the would not be subject to transfer to an alter- ployee to stay on leave until the end of the CAA? native position. ‘‘Periods of a particular du- school term. Therefore, any additional leave (a) Nothing in FMLA modifies or affects ration’’ means a block, or blocks, of time be- required by the employing office to the end any applicable law prohibiting discrimina- ginning no earlier than the first day for of the school term is not counted as FMLA tion on the basis of race, religion, color, na- which leave is needed and ending no later leave; however, the employing office shall be tional origin, sex, age, or disability (e.g., than the last day on which leave is needed, required to maintain the employee’s group Title VII of the Civil Rights Act of 1964, as and may include one uninterrupted period of health insurance and restore the employee to amended by the Pregnancy Discrimination leave. the same or equivalent job including other Act), as made applicable by the CAA. (b) If an instructional employee does not benefits at the conclusion of the leave. FMLA’s legislative history explains that give required notice of foreseeable FMLA FMLA is ‘‘not intended to modify or affect § 825.604 What special rules apply to restoration leave (see § 825.302) to be taken intermit- the Rehabilitation Act of 1973, as amended, to ‘‘an equivalent position?’’ tently or on a reduced leave schedule, the the regulations concerning employment employing office may require the employee The determination of how an employee is which have been promulgated pursuant to to take leave of a particular duration, or to to be restored to ‘‘an equivalent position’’ that statute, or the Americans with Disabil- transfer temporarily to an alternative posi- upon return from FMLA leave will be made ities Act of 1990, or the regulations issued tion. Alternatively, the employing office on the basis of ‘‘established school board under that act. Thus, the leave provisions of may require the employee to delay the tak- policies and practices, private school policies the [FMLA] are wholly distinct from the rea- ing of leave until the notice provision is met. sonable accommodation obligations of em- See § 825.207(h). and practices, and collective bargaining agreements.’’ The ‘‘established policies’’ and ployers covered under the [ADA] * * * or the § 825.602 What limitations apply to the taking of collective bargaining agreements used as a Federal government itself. The purpose of leave near the end of an academic term? basis for restoration must be in writing, the FMLA is to make leave available to eli- (a) There are also different rules for in- must be made known to the employee prior gible employees and employing offices with- structional employees who begin leave more to the taking of FMLA leave, and must in its coverage, and not to limit already ex- than five weeks before the end of a term, less clearly explain the employee’s restoration isting rights and protection.’’ S. Rep. No. 3, than five weeks before the end of a term, and rights upon return from leave. Any estab- 103d Cong., 1st Sess. 38 (1993). An employing less than three weeks before the end of a lished policy which is used as the basis for office must therefore provide leave under term. Regular rules apply except in cir- restoration of an employee to ‘‘an equivalent whichever statutory provision provides the cumstances when: position’’ must provide substantially the greater rights to employees. (1) An instructional employee begins leave same protections as provided in the FMLA, (b) If an employee is a qualified individual more than five weeks before the end of a as made applicable by the CAA, for rein- with a disability within the meaning of the term. The employing office may require the stated employees. See § 825.215. In other Americans with Disabilities Act (ADA), the employee to continue taking leave until the words, the policy or collective bargaining employing office must make reasonable ac- end of the term if— agreement must provide for restoration to commodations, etc., barring undue hardship, (i) The leave will last at least three weeks, an ‘‘equivalent position’’ with equivalent in accordance with the ADA. At the same and employment benefits, pay, and other terms time, the employing office must afford an (ii) The employee would return to work and conditions of employment. For example, employee his or her FMLA rights. ADA’s during the three-week period before the end an employee may not be restored to a posi- ‘‘disability’’ and FMLA’s ‘‘serious health of the term. tion requiring additional licensure or certifi- condition’’ are different concepts, and must (2) The employee begins leave for a purpose cation. be analyzed separately. FMLA entitles eligi- other than the employee’s own serious ble employees to 12 weeks of leave in any 12- health condition during the five-week period Subpart G—How Do Other Laws, Employing month period, whereas the ADA allows an in- before the end of a term. The employing of- Office Practices, and Collective Bargaining determinate amount of leave, barring undue fice may require the employee to continue Agreements Affect Employee Rights Under hardship, as a reasonable accommodation. taking leave until the end of the term if — the FMLA as Made Applicable by the CAA? FMLA requires employing offices to main- (i) The leave will last more than two tain employees’ group health plan coverage § 825.700 What if an employing office provides weeks, and during FMLA leave on the same conditions more generous benefits than required by (ii) The employee would return to work as coverage would have been provided if the FMLA as made applicable by the CAA? during the two-week period before the end of employee had been continuously employed the term. (a) An employing office must observe any during the leave period, whereas ADA does (3) The employee begins leave for a purpose employment benefit program or plan that not require maintenance of health insurance other than the employee’s own serious provides greater family or medical leave unless other employees receive health insur- health condition during the three-week pe- rights to employees than the rights estab- ance during leave under the same cir- riod before the end of a term, and the leave lished by the FMLA. Conversely, the rights cumstances. will last more than five working days. The established by the FMLA, as made applicable (c)(1) A reasonable accommodation under employing office may require the employee by the CAA, may not be diminished by any the ADA might be accomplished by providing to continue taking leave until the end of the employment benefit program or plan. For ex- an individual with a disability with a part- term. ample, a provision of a collective bargaining time job with no health benefits, assuming (b) For purposes of these provisions, ‘‘aca- agreement (CBA) which provides for rein- the employing office did not ordinarily pro- demic term’’ means the school semester, statement to a position that is not equiva- vide health insurance for part-time employ- which typically ends near the end of the cal- lent because of seniority (e.g., provides less- ees. However, FMLA would permit an em- endar year and the end of spring each school er pay) is superseded by FMLA. If an employ- ployee to work a reduced leave schedule year. In no case may a school have more ing office provides greater unpaid family until the equivalent of 12 workweeks of leave than two academic terms or semesters each leave rights than are afforded by FMLA, the were used, with group health benefits main- year for purposes of FMLA as made applica- employing office is not required to extend tained during this period. FMLA permits an ble by the CAA. An example of leave falling additional rights afforded by FMLA, such as employing office to temporarily transfer an within these provisions would be where an maintenance of health benefits (other than employee who is taking leave intermittently employee plans two weeks of leave to care through COBRA or 5 U.S.C. 8905a, whichever or on a reduced leave schedule to an alter- for a family member which will begin three is applicable), to the additional leave period native position, whereas the ADA allows an weeks before the end of the term. In that sit- not covered by FMLA. If an employee takes accommodation of reassignment to an equiv- uation, the employing office could require paid or unpaid leave and the employing of- alent, vacant position only if the employee the employee to stay out on leave until the fice does not designate the leave as FMLA cannot perform the essential functions of the end of the term. leave, the leave taken does not count against employee’s present position and an accom- § 825.603 Is all leave taken during ‘‘periods of a an employee’s FMLA entitlement. modation is not possible in the employee’s particular duration’’ counted against the present position, or an accommodation in FMLA leave entitlement? (b) Nothing in the FMLA, as made applica- the employee’s present position would cause ble by the CAA, prevents an employing office (a) If an employee chooses to take leave for an undue hardship. The examples in the fol- from amending existing leave and employee ‘‘periods of a particular duration’’ in the lowing paragraphs of this section dem- benefit programs, provided they comply with case of intermittent or reduced schedule onstrate how the two laws would interact FMLA as made applicable by the CAA. How- leave, the entire period of leave taken will with respect to a qualified individual with a ever, nothing in the FMLA, as made applica- count as FMLA leave. disability. (b) In the case of an employee who is re- ble by the CAA, is intended to discourage (2) A qualified individual with a disability quired to take leave until the end of an aca- employing offices from adopting or retaining who is also an ‘‘eligible employee’’ entitled demic term, only the period of leave until more generous leave policies. to FMLA leave requests 10 weeks of medical the employee is ready and able to return to (c) [Reserved] leave as a reasonable accommodation, which

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00047 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S218 CONGRESSIONAL RECORD — SENATE January 22, 1996 the employing office grants because it is not permitted but not required to accept the po- (i) Requires periodic visits for treatment an undue hardship. The employing office ad- sition (see § 825.220(d)). As a result, the em- by a health care provider, or by a nurse or vises the employee that the 10 weeks of leave ployee may no longer qualify for payments physician’s assistant under direct super- is also being designated as FMLA leave and from the workers’ compensation benefit vision of a health care provider; will count towards the employee’s FMLA plan, but the employee is entitled to con- (ii) Continues over an extended period of leave entitlement. This designation does not tinue on unpaid FMLA leave either until the time (including recurring episodes of a single prevent the parties from also treating the employee is able to return to the same or underlying condition); and leave as a reasonable accommodation and re- equivalent job the employee left or until the (iii) May cause episodic rather than a con- instating the employee into the same job, as 12-week FMLA leave entitlement is ex- tinuing period of incapacity (e.g., asthma, di- required by the ADA, rather than an equiva- hausted. See § 825.207(d)(2). If the employee abetes, epilepsy, etc.). lent position under FMLA, if that is the returning from the workers’ compensation (4) A period of incapacity which is perma- greater right available to the employee. At injury is a qualified individual with a dis- nent or long-term due to a condition for the same time, the employee would be enti- ability, he or she will have rights under the which treatment may not be effective. The tled under FMLA to have the employing of- ADA. employee or family member must be under fice maintain group health plan coverage (e) If an employing office requires certifi- the continuing supervision of, but need not during the leave, as that requirement pro- cations of an employee’s fitness for duty to be receiving active treatment by, a health vides the greater right to the employee. return to work, as permitted by FMLA under care provider. Examples include Alzheimer’s, (3) If the same employee needed to work a uniform policy, it must comply with the a severe stroke, or the terminal stages of a part-time (a reduced leave schedule) after re- ADA requirement that a fitness for duty disease. turning to his or her same job, the employee physical be job-related and consistent with (5) Any period of absence to receive mul- would still be entitled under FMLA to have business necessity. tiple treatments (including any period of re- group health plan coverage maintained for (f) Under Title VII of the Civil Rights Act covery therefrom) by a health care provider the remainder of the two-week equivalent of of 1964, as amended by the Pregnancy Dis- or by a provider of health care services under FMLA leave entitlement, notwithstanding crimination Act, and as made applicable by orders of, or on referral by, a health care an employing office policy that part-time the CAA, an employing office should provide provider, either for restorative surgery after employees do not receive health insurance. the same benefits for women who are preg- an accident or other injury, or for a condi- This employee would be entitled under the nant as the employing office provides to tion that would likely result in a period of ADA to reasonable accommodations to en- other employees with short-term disabil- incapacity of more than three consecutive able the employee to perform the essential ities. Because Title VII does not require em- calendar days in the absence of medical functions of the part-time position. In addi- ployees to be employed for a certain period intervention or treatment, such as cancer tion, because the employee is working a of time to be protected, an employee em- (chemotherapy, radiation, etc.), severe ar- part-time schedule as a reasonable accom- ployed for less than 12 months by any em- thritis (physical therapy), kidney disease (di- modation, the employee would be shielded ploying office (and, therefore, not an ‘‘eligi- alysis). from FMLA’s provision for temporary as- ble’’ employee under FMLA, as made appli- Covered employee—The term ‘‘covered em- signment to a different alternative position. cable by the CAA) may not be denied mater- ployee’’, as defined in the CAA, means any Once the employee has exhausted his or her nity leave if the employing office normally employee of—(1) the House of Representa- remaining FMLA leave entitlement while provides short-term disability benefits to tives; (2) the Senate; (3) the Capitol Guide working the reduced (part-time) schedule, if employees with the same tenure who are ex- Service; (4) the Capitol Police; (5) the Con- the employee is a qualified individual with a periencing other short-term disabilities. gressional Budget Office; (6) the Office of the disability, and if the employee is unable to (g) For further information on Federal Architect of the Capitol; (7) the Office of the return to the same full-time position at that anti-discrimination laws applied by section Attending Physician; (8) the Office of Com- time, the employee might continue to work 201 of the CAA (2 U.S.C. 1311), including Title pliance; or (9) the Office of Technology As- part-time as a reasonable accommodation, VII, the Rehabilitation Act, and the ADA, in- sessment. barring undue hardship; the employee would dividuals are encouraged to contact the Of- Eligible employee—The term ‘‘eligible em- then be entitled to only those employment fice of Compliance. ployee’’, as defined in the CAA, means a cov- benefits ordinarily provided by the employ- Subpart H—Definitions ered employee who has been employed in any ing office to part-time employees. employing office for 12 months and for at (4) At the end of the FMLA leave entitle- § 825.800 Definitions. least 1,250 hours of employment during the ment, an employing office is required under For purposes of this part: previous 12 months. FMLA to reinstate the employee in the same ADA means the Americans With Disabil- Employ means to suffer or permit to work. or an equivalent position, with equivalent ities Act (42 U.S.C. 12101 et seq.). Employee means an employee as defined in pay and benefits, to that which the employee CAA means the Congressional Account- the CAA and includes an applicant for em- held when leave commenced. The employing ability Act of 1995 (Pub. Law 104-1, 109 Stat. ployment and a former employee. office’s FMLA obligations would be satisfied 3, 2 U.S.C. 1301 et seq.). Employee employed in an instructional capac- if the employing office offered the employee COBRA means the continuation coverage ity. See Teacher. an equivalent full-time position. If the em- requirements of Title X of the Consolidated Employee of the Capitol Police—The term ployee were unable to perform the essential Omnibus Budget Reconciliation Act of 1986 ‘‘employee of the Capitol Police’’ includes functions of that equivalent position even (Pub. Law 99-272, title X, section 10002; 100 any member or officer of the Capitol Police. with reasonable accommodation, because of Stat. 227; as amended; 29 U.S.C. 1161-1168). Employee of the House of Representatives— a disability, the ADA may require the em- Continuing treatment means: A serious The term ‘‘employee of the House of Rep- ploying office to make a reasonable accom- health condition involving continuing treat- resentatives’’ includes an individual occu- modation at that time by allowing the em- ment by a health care provider includes any pying a position the pay for which is dis- ployee to work part-time or by reassigning one or more of the following: bursed by the Clerk of the House of Rep- the employee to a vacant position, barring (1) A period of incapacity (i.e., inability to resentatives, or another official designated undue hardship. work, attend school or perform other regular by the House of Representatives, or any em- (d)(1) If FMLA entitles an employee to daily activities due to the serious health ployment position in an entity that is paid leave, an employing office may not, in lieu of condition, treatment therefor, or recovery with funds derived from the clerk-hire allow- FMLA leave entitlement, require an em- therefrom) of more than three consecutive ance of the House of Representatives but not ployee to take a job with a reasonable ac- calendar days, and any subsequent treat- any such individual employed by any entity commodation. However, ADA may require ment or period of incapacity relating to the listed in subparagraphs (3) through (9) under that an employing office offer an employee same condition, that also involves: ‘‘covered employee’’ above. the opportunity to take such a position. An (i) Treatment two or more times by a Employee of the Office of the Architect of the employing office may not change the essen- health care provider, by a nurse or physi- Capitol—The term ‘‘employee of the Office of tial functions of the job in order to deny cian’s assistant under direct supervision of a the Architect of the Capitol’’ includes any FMLA leave. See § 825.220(b). health care provider, or by a provider of employee of the Office of the Architect of (2) An employee may be on a workers’ com- health care services (e.g., physical therapist) the Capitol, the Botanic Garden, or the Sen- pensation absence due to an on-the-job in- under orders of, or on referral by, a health ate Restaurants. jury or illness which also qualifies as a seri- care provider; or Employee of the Senate—The term ‘‘em- ous health condition under FMLA. The (ii) Treatment by a health care provider on ployee of the Senate’’ includes any employee workers’ compensation absence and FMLA at least one occasion which results in a regi- whose pay is disbursed by the Secretary of leave may run concurrently (subject to prop- men of continuing treatment under the su- the Senate, but not any such individual em- er notice and designation by the employing pervision of the health care provider. ployed by any entity listed in subparagraphs office). At some point the health care pro- (2) Any period of incapacity due to preg- (3) through (9) under ‘‘covered employee’’ vider providing medical care pursuant to the nancy, or for prenatal care. above. workers’ compensation injury may certify (3) Any period of incapacity or treatment Employing Office—The term ‘‘employing of- the employee is able to return to work in a for such incapacity due to a chronic serious fice’’, as defined in the CAA, means: ‘‘light duty’’ position. If the employing of- health condition. A chronic serious health (1) the personal office of a Member of the fice offers such a position, the employee is condition is one which: House of Representatives or of a Senator;

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00048 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S219 (2) a committee of the House of Represent- benefits manager will accept certification of (2) Treatment by a health care provider on atives or the Senate or a joint committee; the existence of a serious health condition to at least one occasion which results in a regi- (3) any other office headed by a person substantiate a claim for benefits. men of continuing treatment under the su- with the final authority to appoint, hire, dis- (6) A health care provider as defined above pervision of the health care provider. charge, and set the terms, conditions, or who practices in a country other than the (B) Any period of incapacity due to preg- privileges of the employment of an employee United States, who is licensed to practice in nancy, or for prenatal care. of the House of Representatives or the Sen- accordance with the laws and regulations of (C) Any period of incapacity or treatment ate; or that country. for such incapacity due to a chronic serious (4) the Capitol Guide Board, the Capitol ‘‘Incapable of self-care’’ means that the in- health condition. A chronic serious health Police Board, the Congressional Budget Of- dividual requires active assistance or super- condition is one which: fice, the Office of the Architect of the Cap- vision to provide daily self-care in several of (1) Requires periodic visits for treatment itol, the Office of the Attending Physician, the ‘‘activities of daily living’’ (ADLs) or by a health care provider, or by a nurse or the Office of Compliance, and the Office of ‘‘instrumental activities of daily living’’ physician’s assistant under direct super- Technology Assessment. (IADLs). Activities of daily living include vision of a health care provider; Employment benefits means all benefits pro- adaptive activities such as caring appro- (2) Continues over an extended period of vided or made available to employees by an priately for one’s grooming and hygiene, time (including recurring episodes of a single underlying condition); and employing office, including group life insur- bathing, dressing and eating. Instrumental (3) May cause episodic rather than a con- ance, health insurance, disability insurance, activities of daily living include cooking, tinuing period of incapacity (e.g., asthma, di- sick leave, annual leave, educational bene- cleaning, shopping, taking public transpor- fits, and pensions, regardless of whether such abetes, epilepsy, etc.). tation, paying bills, maintaining a residence, (D) A period of incapacity which is perma- benefits are provided by a practice or written using telephones and directories, using a policy of an employing office or through an nent or long-term due to a condition for post office, etc. which treatment may not be effective. The employee benefit plan. The term does not in- Instructional employee: See Teacher. employee or family member must be under clude non-employment related obligations Intermittent leave means leave taken in sep- the continuing supervision of, but need not paid by employees through voluntary deduc- arate periods of time due to a single illness be receiving active treatment by, a health tions such as supplemental insurance cov- or injury, rather than for one continuous pe- care provider. Examples include Alzheimer’s, erage. (See § 825.209(a)). riod of time, and may include leave of peri- a severe stroke, or the terminal stages of a FLSA means the Fair Labor Standards Act ods from an hour or more to several weeks. (29 U.S.C. 201 et seq.). disease. Examples of intermittent leave would in- (E) Any period of absence to receive mul- FMLA means the Family and Medical clude leave taken on an occasional basis for Leave Act of 1993, Public Law 103-3 (Feb- tiple treatments (including any period of re- medical appointments, or leave taken sev- covery therefrom) by a health care provider ruary 5, 1993), 107 Stat. 6 (29 U.S.C. 2601 et eral days at a time spread over a period of or by a provider of health care services under seq.). six months, such as for chemotherapy. orders of, or on referral by, a health care Group health plan means the Federal Em- Mental disability: See Physical or mental dis- ployees Health Benefits Program and any provider, either for restorative surgery after ability. an accident or other injury, or for a condi- other plan of, or contributed to by, an em- Office of Compliance means the independent ploying office (including a self-insured plan) tion that would likely result in a period of office established in the legislative branch incapacity of more than three consecutive to provide health care (directly or otherwise) under section 301 of the CAA (2 U.S.C. 1381). to the employing office’s employees, former calendar days in the absence of medical Parent means the biological parent of an intervention or treatment, such as cancer employees, or the families of such employees employee or an individual who stands or (chemotherapy, radiation, etc.), severe ar- or former employees. For purposes of FMLA, stood in loco parentis to an employee when thritis (physical therapy), kidney disease (di- as made applicable by the CAA, the term the employee was a child. alysis). ‘‘group health plan’’ shall not include an in- Physical or mental disability means a phys- (2) Treatment for purposes of paragraph (1) surance program providing health coverage ical or mental impairment that substan- of this definition includes (but is not limited under which employees purchase individual tially limits one or more of the major life ac- to) examinations to determine if a serious policies from insurers provided that: tivities of an individual. See the Americans health condition exists and evaluations of (1) no contributions are made by the em- with Disabilities Act (ADA), as made appli- the condition. Treatment does not include ploying office; cable by section 201(a)(3) of the CAA (2 U.S.C. routine physical examinations, eye examina- (2) participation in the program is com- 1311(a)(3)). tions, or dental examinations. Under para- pletely voluntary for employees; Reduced leave schedule means a leave sched- (3) the sole functions of the employing of- graph (1)(ii)(A)(2) of this definition, a regi- ule that reduces the usual number of hours fice with respect to the program are, without men of continuing treatment includes, for per workweek, or hours per workday, of an endorsing the program, to permit the insurer example, a course of prescription medication employee. to publicize the program to employees, to (e.g., an antibiotic) or therapy requiring spe- Secretary means the Secretary of Labor or collect premiums through payroll deductions cial equipment to resolve or alleviate the authorized representative. health condition (e.g., oxygen). A regimen of and to remit them to the insurer; Serious health condition entitling an em- (4) the employing office receives no consid- continuing treatment that includes the tak- ployee to FMLA leave means: eration in the form of cash or otherwise in ing of over-the-counter medications such as (1) an illness, injury, impairment, or phys- connection with the program, other than aspirin, antihistamines, or salves; or bed- ical or mental condition that involves: reasonable compensation, excluding any rest, drinking fluids, exercise, and other (i) Inpatient care (i.e., an overnight stay) in similar activities that can be initiated with- profit, for administrative services actually a hospital, hospice, or residential medical rendered in connection with payroll deduc- out a visit to a health care provider, is not, care facility, including any period of inca- by itself, sufficient to constitute a regimen tion; and, pacity (for purposes of this section, defined to (5) the premium charged with respect to of continuing treatment for purposes of mean inability to work, attend school or per- such coverage does not increase in the event FMLA leave. form other regular daily activities due to the (3) Conditions for which cosmetic treat- the employment relationship terminates. Health care provider means: serious health condition, treatment therefor, ments are administered (such as most treat- (1) A doctor of medicine or osteopathy who or recovery therefrom), or any subsequent ments for acne or plastic surgery) are not is authorized to practice medicine or surgery treatment in connection with such inpatient ‘‘serious health conditions’’ unless inpatient by the State in which the doctor practices; care; or hospital care is required or unless complica- or (ii) Continuing treatment by a health care tions develop. Ordinarily, unless complica- (2) Podiatrists, dentists, clinical psycholo- provider. A serious health condition involv- tions arise, the common cold, the flu, ear gists, optometrists, and chiropractors (lim- ing continuing treatment by a health care aches, upset stomach, minor ulcers, head- ited to treatment consisting of manual ma- provider includes: aches other than migraine, routine dental or nipulation of the spine to correct a sub- (A) A period of incapacity (i.e., inability to orthodontia problems, periodontal disease, luxation as demonstrated by X-ray to exist) work, attend school or perform other regular etc., are examples of conditions that do not authorized to practice in the State and per- daily activities due to the serious health meet the definition of a serious health condi- forming within the scope of their practice as condition, treatment therefor, or recovery tion and do not qualify for FMLA leave. Re- defined under State law; and therefrom) of more than three consecutive storative dental or plastic surgery after an (3) Nurse practitioners, nurse-midwives calendar days, including any subsequent injury or removal of cancerous growths are and clinical social workers who are author- treatment or period of incapacity relating to serious health conditions provided all the ized to practice under State law and who are the same condition, that also involves: other conditions of this regulation are met. performing within the scope of their practice (1) Treatment two or more times by a Mental illness resulting from stress or aller- as defined under State law; and health care provider, by a nurse or physi- gies may be serious health conditions, but (4) Christian Science practitioners listed cian’s assistant under direct supervision of a only if all the conditions of this section are with the First Church of Christ, Scientist in health care provider, or by a provider of met. Boston, Massachusetts. health care services (e.g., physical therapist) (4) Substance abuse may be a serious (5) Any health care provider from whom an under orders of, or on referral by, a health health condition if the conditions of this sec- employing office or a group health plan’s care provider; or tion are met. However, FMLA leave may

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00049 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S220 CONGRESSIONAL RECORD — SENATE January 22, 1996 only be taken for treatment for substance a less than full schedule as a result of the cian’s assistant under direct supervision of a abuse by a health care provider or by a pro- condition (including for treatment described health care provider, or by a provider of vider of health care services on referral by a in Item 6 below)? llll health care services (e.g., physical therapist) health care provider. On the other hand, ab- If yes, give probable duration: under orders of, or on referral by, a health sence because of the employee’s use of the c. If the condition is a chronic condition care provider: or (condition #4) or pregnancy, state whether substance, rather than for treatment, does (2) Treatment by a health care provider on the patient is presently incapacitated 2 and not qualify for FMLA leave. at least one occasion which results in a regi- the likely duration and frequency of episodes (5) Absences attributable to incapacity men of continuing treatment 4 under the su- under paragraphs (1)(ii)(B) or (C) of this defi- of incapacity 2: 6.a. If additional treatments will be re- pervision of the health care provider. nition qualify for FMLA leave even though 3. Pregnancy.—Any period of incapacity the employee or the immediate family mem- quired for the condition, provide an estimate of the probable number of such treatments: due to pregnancy, or for prenatal care. ber does not receive treatment from a health If the patient will be absent from work or 4. Chronic Conditions Requiring Treat- care provider during the absence, and even if other daily activities because of treatment ments.—A chronic condition which: the absence does not last more than three on an intermittent or part-time basis, also (1) Requires periodic visits for treatment days. For example, an employee with asthma provide an estimate of the probable number by a health care provider, or by a nurse or may be unable to report for work due to the and interval between such treatments, ac- physician’s assistant under direct super- onset of an asthma attack or because the tual or estimated dates of treatment if vision of a health care provider; employee’s health care provider has advised known, and period required for recovery if (2) Continues over an extended period of the employee to stay home when the pollen any: count exceeds a certain level. An employee time (including recurring episodes of a single b. If any of these treatments will be pro- underlying condition); and who is pregnant may be unable to report to vided by another provider of health services (3) May cause episodic rather than a con- work because of severe morning sickness. (e.g., physical therapist), please state the na- tinuing period of incapacity 2 (e.g., asthma, Son or daughter means a biological, adopt- ture of the treatments: ed, or foster child, a stepchild, a legal ward, c. If a regimen of continuing treatment by diabetes, epilepsy, etc.) or a child of a person standing in loco the patient is required under your super- 5. Permanent/Long-term Conditions Requiring parentis, who is under 18 years of age or 18 vision, provide a general description of such Supervision.—A period of incapacity 2 which years of age or older and incapable of self- regimen (e.g., prescription drugs, physical is permanent or long-term due to a condition care because of a mental or physical dis- therapy requiring special equipment): for which treatment may not be effective. ability. 7.a. If medical leave is required for the em- The employee or family member must be Spouse means a husband or wife as defined ployee’s absence from work because of the under the continuing supervision of, but or recognized under State law for purposes of employee’s own condition (including ab- need not be receiving active treatment by, a marriage in the State where the employee sences due to pregnancy or a chronic condi- health care provider. Examples include Alz- resides, including common law marriage in tion), is the employee unable to perform heimer’s, a severe stroke, or the terminal States where it is recognized. work of any kind? llll stages of a disease. State means any State of the United States b. If able to perform some work, is the em- 6. Multiple Treatments (Non-Chronic Condi- or the District of Columbia or any Territory ployee unable to perform any one or more of tions).—Any period of absence to receive or possession of the United States. the essential functions of the employee’s job multiple treatments (including any period of Teacher (or employee employed in an instruc- (the employee or the employer should supply recovery therefrom) by a health care pro- tional capacity, or instructional employee) you with information about the essential job vider or by a provider of health care services means an employee employed principally in functions)? llll If yes, please list the es- under orders of, or on referral by, a health an instructional capacity by an educational sential functions the employee is unable to care provider, either for restorative surgery agency or school whose principal function is perform: llll after an accident or other injury, or for a to teach and instruct students in a class, a c. If neither a. nor b. applies, is it nec- condition that would likely result in a period small group, or an individual setting, and in- essary for the employee to be absent from of incapacity 2 of more than three consecu- cludes athletic coaches, driving instructors, work for treatment? llll tive calendar days in the absence of medical and special education assistants such as 8.a. If leave is required to care for a family intervention or treatment, such as cancer signers for the hearing impaired. The term member of the employee with a serious (chemotherapy, radiation, etc.), severe ar- does not include teacher assistants or aides health condition, does the patient require as- thritis (physical therapy), kidney disease (di- who do not have as their principal function sistance for basic medical or personal needs alysis). actual teaching or instructing, nor auxiliary or safety, or for transportation? llll personnel such as counselors, psychologists, b. If no, would the employee’s presence to FOOTNOTES curriculum specialists, cafeteria workers, provide psychological comfort be beneficial 1 Here and elsewhere on this form, the information maintenance workers, bus drivers, or other to the patient or assist in the patient’s re- sought relates only to the condition for which the primarily noninstructional employees. covery? llll employee is taking FMLA leave. c. If the patient will need care only inter- 2 Appendix A to Part 825—[Reserved] ‘‘Incapacity,’’ for purposes of FMLA as make ap- mittently or on a part-time basis, please in- plicable by the CAA, is defined to mean inability to Appendix B to Part 825—Certification of dicate the probable duration of this need: work, attend school or perform other regular daily Physician or Practitioner (Signature of Health Care Provider) activities due to the serious health condition, treat- Certification of Health Care Provider ment therefore, or recovery therefrom. (Family and Medical Leave Act of 1993 as (Type of Practice) 3 Treatment includes examinations to determine (Address) if a serious health condition exists and evaluations Made Applicable by the Congressional Ac- of the condition. Treatment does not include routine countability Act of 1995) (Telephone number) physical examinations, eye examinations, or dental 1. Employee’s Name: To be completed by the employee needing examinations. 2. Patient’s Name (if different from em- family leave to care for a family member: 4 A regimen of continuing treatment includes, for ployee): State the care you will provide and an esti- example, a course of prescription medication (e.g., 3. The attached sheet describes what is mate of the period during which care will be an antibiotic) or therapy requiring special equip- meant by a ‘‘serious health condition’’ under provided, including a schedule if leave is to ment to resolve or alleviate the health condition. A the Family and Medical Leave Act as made be taken intermittently or if it will be nec- regimen of treatment does not include the taking of applicable by the Congressional Account- over-the-counter medications such as aspirin, anti- essary for you to work less than a full sched- histamines, or salves; or bed-rest, drinking fluids, 1 ability Act. Does the patient’s condition ule: exercise, and other similar activities that can be ini- qualify under any of the categories de- (Employee signature) tiated without a visit to a health care provider. scribed? If so, please check the applicable (Date) Appendix C to Part 825—[Reserved] category. A ‘‘Serious Health Condition’’ means an (1) llll (2) llll (3) llll (4) Appendix D to Part 825—Prototype Notice: illness, injury, impairment, or physical or llll (5) llll (6) llll, or None of Employing Office Response to Employee mental condition that involves one of the the above llll Request for Family and Medical Leave 4. Describe the medical facts which support following: 1. Hospital Care.—Inpatient care (i.e., an Employing office response to employee your certification, including a brief state- overnight stay) in a hospital, hospice, or res- request for family or medical leave ment as to how the medical facts meet the idential medical care facility, including any (Optional use form—see § 825.301(b)(1) of the criteria of one of these categories: 1 5.a. State the approximate date the condi- period of incapacity or subsequent treat- regulations of the Office of Compliance) tion commenced, and the probable duration ment in connection with or consequent to such inpatient care. (Family and Medical Leave Act of 1993, as of the condition (and also the probable dura- 2. Absence Plus Treatment.—(a) A period of made applicable by the Congressional Ac- 2 tion of the patient’s present incapacity if incapacity 2 of more than three consecutive countability Act of 1995) different): calendar days (including any subsequent b. Will it be necessary for the employee to (Date) treatment or period of incapacity 2 relating take work only intermittently or to work on To:llllllllll to the same condition), that also involves: (1) Treatment 3 two or more times by a (Employee’s name) 1 Footnotes at the end of appendix B. health care provider, by a nurse or physi- From:llllllllll

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00050 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S221 (Name of appropriate employing office benefits, when you return from leave you b uary 23, 1995. 2 U.S.C. §§1301 et seq. In gen- representative) will b will not be expected to reimburse us eral, the CAA applies the rights and protec- Subject: Request for Family/Medical Leave for the payments made on your behalf. tions of eleven federal labor and employment Onllll, (date) you notified us of your 6. You b will b will not be required to law statutes to covered employees and em- need to take family/medical leave due to: present a fitness-for-duty certificate prior to ploying offices within the legislative branch. (date) being restored to employment. If such cer- In addition, the statute establishes the Of- the birth of your child, or the placement tification is required but not received, your fice of Compliance (‘‘Office’’) with a Board of of a child with you for adoption or foster return to work may be delayed until the cer- Directors (‘‘Board’’) as ‘‘an independent of- fice within the legislative branch of the Fed- care; or tification is provided. eral Government.’’ Section 203(a) of the CAA a serious health condition that makes you 7(a). You b are b are not a ‘‘key employee’’ applies the rights and protections of sub- unable to perform the essential functions of as described in § 825.218 of the Office of Com- sections a(1) and (d) of section 6, section 7, your job; or pliance’s FMLA regulations. If you are a and section 12(c) of the Fair Labor Standards a serious health condition affecting your ‘‘key employee,’’ restoration to employment may be denied following FMLA leave on the Act of 1938 (‘‘FLSA’’) (29 U.S.C. 206(a)(1) and ‘‘spouse, ‘‘child, ‘‘parent, for which you are (d), 207, and 212(c)) to covered employees and needed to provide care. grounds that such restoration will cause sub- stantial and grievous economic injury to us. employing offices. 2 U.S.C. § 1313. Section You notified us that you need this leave 203(c)(2) of the CAA directs the Board to beginning on llll(date) and that you ex- (b). We b have b have not determined that restoring you to employment at the conclu- issue substantive regulations that ‘‘shall be pect leave to continue until on or the same as substantive regulations issued aboutllll (date). sion of FMLA leave will cause substantial and grievous economic harm to us. (Explain by the Secretary of Labor . . . except insofar Except as explained below, you have a as the Board may determine, for good cause right under the FMLA, as made applicable (a) and/or (b) below. See § 825.219 of the Office of Compliance’s FMLA regulations.) shown . . . that a modification of such regu- by the CAA, for up to 12 weeks of unpaid lations would be more effective for the im- leave in a 12-month period for the reasons 8. While on leave, you b will b will not be required to furnish us with periodic reports plementation of the rights and protections listed above. Also, your health benefits must under’’ the CAA. 2 U.S.C. § 1313(c)(2). On Sep- be maintained during any period of unpaid every llll (indicate interval of periodic re- ports, as appropriate for the particular leave sit- tember 28, 1995, the Board of the Office of leave under the same conditions as if you Compliance issued an Advance Notice of Pro- uation) of your status and intent to return to continued to work, and you must be rein- posed Rulemaking (‘‘ANPR’’) soliciting com- work (see § 825.309 of the Office of Compliance’s stated to the same or an equivalent job with ments from interested parties in order to ob- FMLA regulations). If the circumstances of the same pay, benefits, and terms and condi- tain participation and information early in your leave change and you are able to return tions of employment on your return from the rulemaking process. 141 Cong. Rec. to work earlier than the date indicated on leave. If you do not return to work following S14542 (daily ed., Sept. 28, 1995). FMLA leave for a reason other than: (1) the the reverse side of this form, you b will b On November 28, 1995, the Board published continuation, recurrence, or onset of a seri- will not be required to notify us at least two in the Congressional Record a Notice of Pro- ous health condition which would entitle you work days prior to the date you intend to re- posed Rulemaking (NPR) (141 Cong. Rec. to FMLA leave; or (2) other circumstances port for work. S17603–27 (daily ed.)). In response to the NPR, beyond your control, you may be required to 9. You b will b will not be required to fur- the Board received six written comments, reimburse us for our share of health insur- nish recertification relating to a serious three of which were from offices of the Con- ance premiums paid on your behalf during health condition. (Explain below, if necessary, gress and three of which were from organiza- your FMLA leave. including the interval between certifications as tions associated with the business commu- This is to inform you that: (check appro- prescribed in § 825.308 of the Office of Compli- nity and organized labor. The comments in- priate boxes; explain where indicated) ance’s FMLA regulations.) cluded requests that the Board should pro- 1. You are b eligible b not eligible for Appendix E to Part 825—[Reserved] vide additional guidance to employing of- leave under the FMLA as made applicable by SENATE fices on complying with the CAA and compli- the CAA. ance issues raised by the ambiguities in the FAIR LABOR STANDARDS ACT, FINAL AND IN- 2. The requested leave b will b will not be Secretary of Labor’s regulations. TERIM REGULATIONS RELATING TO THE SEN- counted against your annual FMLA leave en- Parenthetically, it should also be noted ATE AND ITS EMPLOYING OFFICES titlement. that, on October 11, 1995, the Board published 3. You b will b will not be required to fur- a Notice of Proposed Rulemaking in the Con- nish medical certification of a serious health OFFICE OF COMPLIANCE—THE CONGRESSIONAL gressional Record (141 Cong. R. S15025 (daily condition. If required, you must furnish cer- ACCOUNTABILITY ACT OF 1995: EXTENSION OF ed., October 11, 1995) (‘‘NPR’’)), inviting com- tification byllll (insert date) (must be at RIGHTS AND PROTECTIONS UNDER THE FAIR ments from interested parties on the pro- least 15 days after you are notified of this re- LABOR STANDARDS ACT OF 1938 posed FLSA regulations which the CAA di- rected the Board to issue on the definition of quirement) or we may delay the commence- NOTICE OF ADOPTION OF REGULATIONS AND SUB- ‘‘intern’’ and on ‘‘irregular work schedules.’’ ment of your leave until the certification is MISSION FOR APPROVAL AND ISSUANCE OF IN- Final regulations on those matters were sep- submitted. TERIM REGULATIONS 4. You may elect to substitute accrued paid arately adopted by the Board on January 16, Summary: The Board of Directors of the leave for unpaid FMLA leave. We b will 1996. However, because they are regulations Office of Compliance, after considering com- b will not require that you substitute ac- implementing the rights and protections of ments to its general Notice of Proposed crued paid leave for unpaid FMLA leave. If the FLSA made applicable by the CAA, the Rulemaking published on November 28, 1995 paid leave will be used the following condi- Board has incorporated those regulations in the Congressional Record, has adopted, tions will apply: (Explain) into the body of final regulations being and is submitting for approval by the Con- 5(a). If you normally pay a portion of the adopted pursuant to this Notice. The defini- gress, final regulations to implement sec- premiums for your health insurance, these tion of ‘‘intern’’ may be found in section [H tions 203(a) and 203(c) (1) and (2) of the Con- payments will continue during the period of or S]501.102(c) & (h), and the ‘‘irregular work gressional Accountability Act of 1995 FMLA leave. Arrangements for payment schedules’’ regulation may be found in sec- (‘‘CAA’’), which apply certain rights and pro- have been discussed with you and it is agreed tions [H or S or C]553.301–553.304. tections of the Fair Labor Standards Act of that you will make premium payments as II. Consideration of public comments; the 1938. The Board is also adopting and issuing follows: (Set forth dates, e.g., the 10th of each Board’s response and modifications to the such regulations as interim regulations for month, or pay periods, etc. that specifically NPR’s rules the House, the Senate and the employing of- cover the agreement with the employee.) A. Requests that the Board provide addi- fices of the instrumentalities effective on (b). You have a minimum 30-day (or, indi- tional guidance, including interpretative January 23, 1996 or on the dates upon which cate longer period, if applicable) grace period bulletins and opinion letters appropriate resolutions are passed, which- in which to make premium payments. If pay- ever is later. The interim regulations shall The Board first turns to the issue of wheth- ment is not made timely, your group health expire on April 15, 1996 or on the dates on er and in what circumstances the Board can insurance may be cancelled, provided we no- which appropriate resolutions concerning and should give authoritative guidance to tify you in writing at least 15 days before the the Board’s final regulations are passed by employing offices about issues arising from date that your health coverage will lapse, or, the House and the Senate, respectively, ambiguities in and uncertain applications of at our option, we may pay your share of the whichever is earlier. the Secretary’s regulations. Commenters premiums during FMLA leave, and recover For Further Information Contact: Execu- have formally and informally requested such these payments from you upon your return tive Director, Office of Compliance, Room guidance in various forms: that the Board to work. We b will b will not pay your share LA 200, Library of Congress, Washington, change the Secretary’s regulations to clarify of health insurance premiums while you are D.C. 20540–1999. Telephone: (202) 724–9250. ambiguities; that the Board adopt the Sec- on leave. retary’s interpretive bulletins; that the (c). We b will b will not do the same with I. Background and Summary Board issue the Secretary of Labor’s inter- other benefits (e.g., life insurance, disability Supplementary Information: The Congres- pretative bulletins as its own regulations; insurance, etc.) while you are on FMLA sional Accountability Act of 1995 (‘‘CAA’’), that the Board issue opinion letters consti- leave. If we do pay your premiums for other Pub. L. 104–1, 109 Stat. 3, was enacted on Jan- tuting safe harbors from litigation; that

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00051 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S222 CONGRESSIONAL RECORD — SENATE January 22, 1996 the Board give its imprimatur, either for- forth in the Portal-to-Portal Act, an employ- 259, would extend the section 259 exception mally or informally, to employee handbooks ing office that relies in good faith on an ap- beyond its scope’’; ‘‘OPM’s absence from sec- and other human resource activities of em- plicable interpretive bulletin of the Sec- tion 259 prevents the Government from both ploying offices. Mindful that the Board’s retary may in fact have a statutory defense adopting and shielding itself from liability first decisions on these matters will have im- to an enforcement action brought by a cov- for faulty regulations.’’) The final regula- portant institutional and legal implications, ered employee. In short, contrary to the sug- tions so state. the Board has carefully considered these re- gestion of these commenters, the Board need Second, contrary to the assumption of quests, as well as the underlying concerns not adopt the Secretary’s interpretive bul- these commenters, the Board has neither the they reflect. letins in order to give employing offices the legal basis nor the practical ability to issue At the outset, the Board must decline the benefit of them. the kind of interpretive bulletins or advisory suggestion that it modify the Secretary’s One commenter went so far as to suggest opinions being requested. While the Adminis- regulations in order to remove the ambigu- that, by not adopting the Secretary’s inter- trator of the Wage and Hour Division enter- ities and resulting uncertainties that Con- pretive bulletins, the Board has somehow tains questions posed by employers about en- gressional offices will face in complying with signaled its intent to engage in a wholesale forcement-related issues, the Administra- the CAA once it takes effect. The Board’s au- reinterpretation of the FLSA and its imple- tor’s willingness and ability to respond to thority to modify the regulations of the Sec- menting regulations. No such signal was such questions derives from and is con- retary is explicitly limited by the require- sent; no such signal was intended. Since the strained by her investigatory and enforce- ment that the substantive regulations issued CAA does not require adoption of these in- ment responsibilities under the FLSA. As by the Secretary of Labor ‘‘shall be the same terpretive bulletins, and since they are inde- the Supreme Court stated over 50 years ago as substantive regulations issued by the Sec- pendently available to employing offices, the in Skidmore v. Swift & Co., 323 U.S. 134, 137–38 retary of Labor . . . except insofar as the Board merely determined that it need not (1944) (citations omitted): ‘‘Congress did not Board may determine, for good cause shown adopt the Secretary’s interpretative bul- utilize the services of an administrative . . . that a modification of such regulations letins as its own. Moreover, like the Admin- agency to find facts and to determine in the would be more effective for the implementa- istrator and the courts, the Board intends to first instance whether particular cases fall tion of the rights and protections under’’ the depart from the interpretive bulletins only within or without the Act. Instead, it put CAA. As is true of many regulatory issues, where their persuasive force is lacking or the these responsibilities on the courts. But it ambiguity and uncertainty are part of the law otherwise requires (just as courts or the did create the office of Administrator, im- the FLSA regulatory regime that is pres- Administrator would do). See Skidmore v. pose upon him a variety of duties, endow him ently imposed—with much criticism and pro- Swift & Co., 323 U.S. 134, 137-38 (1944); Reich v. with powers to inform himself of conditions test—on private sector and state and local Interstate Brands Corp., 57 F.3d 574, 577 (7th in industries and employments subject to the government employers. Cir. 1995) (‘‘[W]e give the Secretary’s bul- Act, and put on him the duties of bringing The example of the executive, administra- letins the respect their reasoning earns injunction actions to restrain violations. tive and professional employee exemptions them.’’); Dalheim v. KDFW-TV, 918 F.2d 1220, Pursuit of his duties has accumulated a con- illustrates this point. The Board specifically 1228 (5th Cir. 1990) (‘‘the persuasive authority siderable experience in the problems of highlighted this problem and asked for com- of a given interpretation obtains only so ascertaining working time in employments ment in its ANPR (141 Cong. Rec. S14542, long as ‘‘all those factors which give it power involving periods of inactivity and a knowl- S14543) on September 28, 1995. Although the to persuade’’ persist.’’) (quoting Skidmore). edge of the customs prevailing in reference Board received many comments on this issue As an alternative to modifying the regula- to their solution. From these he is obliged to and is sympathetic with the concerns of em- tions and adopting the interpretive bulletins reach conclusions as to conduct without the ploying offices confronting such ambiguity of the Secretary, several commenters also law, so that he should seek injunctions to and uncertainty, the Board has neither been suggested that the Board clarify regulatory stop it, and that within the law, so that he given nor can find appropriate justification ambiguities by issuing interpretive bulletins has no call to interfere. He has set forth his for relieving employing offices of the compli- and advisory opinions of its own and thereby views of the application of the Act under dif- ance burdens that all employers face under confer a Portal-to-Portal Act defense on em- ferent circumstances in an interpretative the FLSA. The CAA was intended not only to ploying offices that rely upon any such bul- bulletin and in informal rulings. They pro- bring covered employees the benefits of the letins or advisory opinions of the Board. In- vide a practical guide to employers and em- FLSA and other incorporated laws, but also deed, at least one commenter suggested that ployees as to how the office representing the to require Congress to experience the same the Board should provide advisory opinions public interest in its enforcement will seek compliance burdens faced by other employ- and other counsel to employing offices that to apply it.’’ In contrast, the Board has no investigative ers so that it could more fairly legislate in pose questions to it concerning, for example, power by which it can inform itself of condi- this area. The Board cannot agree with sug- the propriety of proposed model personnel tions, circumstances and customs of employ- gestions that would rob the CAA of one of its practices, the exempt status of employees ment in the legislative branch; its resources principal intended effects. with specified job descriptions, the legality for finding and considering such information The Board must also decline the sugges- of proposed handbooks, and the qualification are smaller by orders of substantial mag- tion that it adopt, as either formal regula- of certain House and Senate programs (such nitude; and, most importantly, the Board tions or as its own interpretive authority, as the Federal Thrift Savings Plan) for de- has no cause to advise employees and em- the interpretive bulletins found in Subpart B fenses or exemptions recognized in the FLSA ploying offices concerning how it will seek of Part 541 and elsewhere in the Secretary of and the Secretary’s regulations. The Board to enforce the statute, since it has no en- Labor’s regulations. Section 203(c)(2) of the has considered these suggestions and, al- forcement powers under the CAA. CAA requires the Board to promulgate regu- though empathizing with the concerns moti- Indeed, on reflection, it seems unwise, if lations that are the same as the substantive vating these requests, finds these sugges- not legally improper, for the Board to set regulations promulgated by the Secretary. tions raise intractable legal and practical forth its views on interpretive ambiguities in But, as explained in the NPR, the interpre- problems. the regulations outside of the adjudicatory tive bulletins set forth in Subpart B of Part To begin with, the Board upon further context of individual cases. As noted above, 541 and elsewhere in the Secretary of Labor’s study has determined that, contrary to the the Board’s rulemaking authority is quite regulations are not substantive regulations suggestion of the commenters, the Board restricted. Moreover, the Board has no en- within the meaning of the law. Moreover, cannot confer a Portal-to-Portal Act defense forcement authority and, in contrast to the with respect to the concern expressed by on employing offices for any reliance on pro- FLSA scheme (where the Administrator has some commenters that congressional em- nouncements of the Board (as opposed to the no adjudicatory authority to find facts and ploying offices would be at a distinct dis- Secretary). By its own terms, in the context to determine in the first instance whether advantage if the Board does not adopt the of the FLSA, the Portal-to-Portal Act ap- particular cases fall within or without the Secretary’s interpretative bulletins, the plies only to written administrative actions statute), the CAA contemplates that the Board again notes, as it did in the NPR, that of the Wage and Hour Administrator of the Board will adjudicate cases brought by cov- the Board need not adopt the Secretary’s in- Department of Labor. See 29 U.S.C. § 259. The ered employees and that, in such adjudica- terpretive bulletins in order for them to be Portal-to-Portal Act does not mention the tions, the Board must be of independent and available as guidance for employing offices. Board; and the Board’s authority to amend open mind, bound to and limited by a factual While the Board is not adopting these inter- the Secretary’s regulations for ‘‘good cause’’ record developed through an adversarial pretive bulletins, the Board reiterates that, plainly does not extend to amending statutes process governed by rules of law, and subject like the myriad judicial decisions under the such as the Portal-to-Portal Act. Thus, as to judicial review of its decisions. See 2 FLSA that are available as guidance for em- the federal court of appeals which has juris- U.S.C. §§ 1405–1407 (procedure for complaint, ploying offices, the Secretary’s interpretive diction over such matters under the CAA has hearing, board review and judicial review; re- bulletins remain available as part of the cor- held in an almost identical context, the Por- quiring hearings to be conducted in accord- pus of interpretive materials to which em- tal-to-Portal Act would not confer a defense ance with 5 U.S.C. §§ 554–557); 29 U.S.C. §§ 554– ploying offices may look in structuring their upon employing offices that might rely upon 557. These legal safeguards and the institu- FLSA-related compliance activities. Indeed, a pronouncement of the Board. See Berg v. tional objectives they seek to promote—i.e., as the Board also noted in the NPR, since the Newman, 982 F.2d 500, 503-504 (Fed Cir. 1992) the accuracy of the Board’s adjudicative de- CAA may properly be interpreted as incor- (‘‘To apply the statute to a regulation issued cisions and the integrity of the Board’s proc- porating the defenses and exemptions set by OPM, an agency not referred to in section esses—would be undermined if the Board

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00052 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S223 were to attempt to prejudge ambiguous or have rejected the kind of relationship be- ticular model handbooks and policies devel- disputed interpretive matters in advisory tween the Board and employing offices that oped by employing offices, and the qualifica- opinions that were developed in non-adver- is contemplated by this request. The legisla- tion of certain House and Senate programs sarial, non-public proceedings. The Board tive history reflects a recognition that ‘‘the (such as the Federal Thrift Savings Plan) for thus cannot acquiesce in requests for such office must, in appearance and reality, be particular defenses and exemptions that are advisory opinions. independent in order to gain and keep the available under the regulations. Character- Some commenters suggested that the confidence of the employees and employers izing such interpretive activity as ‘‘edu- Board could properly issue such interpretive who will utilize the dispute resolution proc- cational’’ or ‘‘informational’’ does not in any bulletins and advisory opinions under the ru- ess created by this act.’’ 141 Cong. Rec. at way address, much less satisfactorily re- bric of the ‘‘education’’ and ‘‘information’’ S627. The legislative history further reflects solve, the serious legal and institutional con- programs allowed and, indeed, mandated by a recognition that ‘‘laws cannot be enforced cerns that make it unwise, if not improper, section 301(h) of the CAA. Of course, the Of- in a fair and uniform manner—and employ- for the Board to engage in such interpretive fice’s education and information programs ees and the public cannot be convinced that activities outside of the adjudicative proc- are not the subject of this notice and com- the laws are being enforced in a fair and uni- esses established by the CAA. ment and thus a discussion of ‘‘education’’ form manner—unless Congress establishes a The Board recognizes that, by declining to and ‘‘information’’ programs is not nec- single enforcement mechanism that is inde- provide such authoritative advisory opin- essary to this rulemaking effort. But, upon pendent of each House of Congress.’’ 141 ions, the Board is forcing employing offices due consideration of matter, it appears that Cong. Rec. at S444. The statute thus declares to rely to a greater extent upon their own this suggestion is based upon a fundamental that the Office of Compliance is an ‘‘inde- counsel and human resources officials and in misunderstanding of the institutional powers pendent office’’ in the legislative branch; a sense is frustrating the efforts of employ- and responsibilities conferred upon and with- that the Office is governed by a Board of Di- ing offices to obtain desirable safe-harbors. held from the Board and the Office by Con- rectors whose members were appointed on a The FLSA as currently applied to private gress in the CAA. Thus, it is both fair and bi-partisan basis for non-partisan reasons, employers contains few such safe-harbors, prudent to address the issue at this point. who may be removed in only quite limited particularly in the area of exemptions. But At the outset, the Board notes that Sec- circumstances, and whose incomes are large- many knowledgeable labor lawyers and tion 301(h)’s reference to ‘‘education’’ and ly derived from work in the private sector; human resources officials are available to ‘‘information’’ programs is not the broad and that the Board must follow formal pub- provide employing offices with the kind of mandate that these comments suggest. In lic comment and adjudicatory procedures in learned counsel and human resources advice contrast to other statutory schemes, section making any decisions with legal effect. 2 301(h) does not authorize, much less compel, that the employing offices are seeking from U.S.C. §§ 1381(a), (b), (e), (f), (g), 1384, 1405–6. the Board; indeed, the House and Senate the development by the Board or the Office The call for issuing advisory opinions in the of ‘‘training’’ or ‘‘technical assistance’’ pro- have centralized administrations and com- ‘‘education’’ and ‘‘information’’ process— grams such as those that are included in the mittees that can provide this legal support opinions that would be issued in non-public, Americans with Disabilities Act, Title VII of to employing offices. And employing offices non-adversarial proceedings without regard the Civil Rights Act of 1964, the Occupa- have the benefit of the same legal safe-har- to the statutorily-required public comment tional Safety and Health Act of 1970, the Em- bors that the Secretary of Labor has made and adjudicatory procedures—is in intoler- ployee Polygraph Protection Act of 1988, and available to private sector and State and able tension with the institutional independ- the Age Discrimination in Employment Act local government employers. Under the CAA, ence, inclusiveness and procedural regularity of 1967. Nor does the CAA authorize, much they are legally entitled to no more. less compel, the issuance of interpretive bul- contemplated for the Board by the CAA. Even more importantly, however, the In all events, the Board would in the exer- letins, advisory opinions or enforcement Board finds that the long-term institutional cise of its considered judgment decline to guidelines, as agencies with investigative harm to the CAA scheme that would result provide authoritative opinions to employing and prosecutorial powers (and matching re- from the Board’s providing such advisory offices as part of its ‘‘education’’ and ‘‘infor- sources) are sometimes allowed (although al- opinions in non-public, non-adversarial pro- mation’’ programs. Without investigatorial most never compelled) to issue. Rather, sec- ceedings far outweighs whatever short-term and prosecutorial authority (and matching tion 301(h) directs the Office to carry out ‘‘a legal or political benefits might result for resources), the Board has insufficient infor- program of education for members of Con- employing offices. As noted above, provision mation and thus is practicably unable to gress and other employing authorities of the by the Board of such opinions could impair provide such authoritative opinions. With se- legislative branch of the Federal Govern- confidence in the independence, impartiality verely restricted rulemaking authority, the ment respecting the laws made applicable to and irreproachability of the Board’s deci- Board cannot properly provide regulatory them’’; and ‘‘a program to inform individuals sionmaking processes. Such a lack of con- clarifications for employing offices when of their rights under laws applicable to the fidence could unfortunately induce employ- those clarifications have not been provided legislative branch of the Federal Govern- ees to take their cases to court rather than by the Secretary to private sector and state ment.’’ 2 U.S.C. § 1381(h). Such admonitions bring them to the Board’s less costly, con- and local government employers. And, with are, however, contained in almost all federal fidential and expedited alternative dispute its adjudicatory powers, the Board should employment laws; and those experienced in resolution process. Even more seriously, not resolve disputed interpretive matters in the field understand them to concern only such a lack of confidence could cause the the absence of a specific factual controversy, programs that ensure general ‘‘awareness’’ of public and other interested persons to ques- a record developed through an adversarial rights and responsibilities under the perti- tion the Board’s commitment, and thus the nent law. process governed by rules of law, and an op- sincerity of the CAA’s promise, generally to Section 301(h) must be read in the context portunity for judicial review. To do other- provide covered employees the same bene- of the powers granted to and withheld from wise would simply impair the independence, fits, and to subject the legislative branch to the Board in the statutory scheme created impartiality, and irreproachability of the the same legal burdens, as exist with regard by the CAA. The CAA authorizes the Board Board’s actions. In short, for much the same to private sector and State and local govern- to engage in rulemaking, but requires the reasons that federal courts do not issue advi- ment employers that are subject to the Board to follow specified procedures in doing sory opinions or ex parte decisions, neither FLSA. We are confident that, like the bi-par- so and, at least in the context of the FLSA, should the Board. See United States v. tisan Congressional leadership who ap- requires the Board to have ‘‘good cause’’ for Freuhauf, 365 U.S. 146, 157 (1961) (Frankfurter, pointed us and who placed their trust in our departing from the Secretary of Labor’s sub- J.) (discussing vices of advisory opinions). experience and judgment concerning how To be sure, ‘‘education’’ and ‘‘information’’ stantive regulations. Moreover, the CAA au- best to implement this statute, those in Con- programs are of central importance to the thorizes the Board to engage in adjudication, gress who voted for the CAA or who would CAA scheme. Such programs are needed, in but only after a complaint is filed with the support it today would want us to prefer the part, to help employing offices in their ef- Office, a record is properly developed long term viability, integrity, and efficacy of forts to understand and satisfy their compli- through an adversarial process governed by this noble statutory enterprise over the ance obligations under the CAA. And the rules of law, and judicial review is assured. short-term demands of employing offices. Board reiterates its intention, stated in the And the CAA rather pointedly declines to B. Specific comments and Board action. confer upon the Board the investigatory and NPR, that the Office sponsor, and participate prosecutorial authority that is necessary for in, seminars on the obligations of employing 1. §§ 541.1,.2,.3—‘‘White collar’’ exemptions— sound decisionmaking and interpretation offices, distribute a comprehensive manual Use of job descriptions to determine ex- outside of the regulatory and adjudicatory to address frequently arising questions under empt status contexts. Given this statutory scheme, sec- the CAA (including questions relating to The Board received several comments urg- tion 301(h)’s ‘‘education and information’’ FLSA exemptions), and be available gen- ing the Board, on the basis of generic job de- mandate cannot reasonably be construed to erally to discuss compliance-related issues scriptions, to give advice to employing of- require (or even allow) the Board to engage when called upon by employing offices. But fices on whether covered employees are ex- in the kind of advisory counselling requested the Board itself will not and should not in empt as bona fide executive, administrative, here—i.e., authoritative opinions developed this education and information process issue or professional employees under FLSA in nonpublic, nonadversarial proceedings. authoritative opinions about such matters as § 13(a)(1) as applied by the CAA. As noted Indeed, Congress appears effectively to the exemption status of employees with above, it would not be appropriate to at- have considered this issue in the CAA and to specified job duties, the propriety of par- tempt to give such advice in the context of

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00053 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S224 CONGRESSIONAL RECORD — SENATE January 22, 1996 this rulemaking. The Board would note, as a State and local governments. Subparts A and Program does employ minors under the age further point, that submission of such de- B of that Part address a variety of issues, in- of 16. Thus, under the proposed regulations, scriptions which may describe functions of cluding certain exclusions pertaining to there are limitations on the periods and the congressional employees would not, in any elected legislative offices, the use of compen- conditions under which such minors can event, provide the detail necessary to deter- satory time off, recordkeeping, and the em- work. Without disputing the applicability of mine the exempt or nonexempt status of the ployment of volunteers. Subpart C addresses this regulation, the commenter sought to job. Job descriptions that utilize language or the special provisions which Congress en- mitigate its impact by urging the adoption phraseology derived from the regulations acted in § 7(k) in connection with fire protec- of an additional regulation found in 29 C.F.R. today adopted by the Board do not provide tion and law enforcement employees of pub- Part 570, Subpart C, namely the rule that the specificity of conclusions regarding ex- lic agencies. varies some of the provisions of Subpart C in empt or nonexempt status. The Secretary’s Section 7(k) of the FLSA also provides a the context of school-supervised and school- regulations, as adopted by the Board, speak partial overtime exemption for fire protec- administered work-experience or career ex- for themselves. It would serve no purpose, tion and law enforcement employees of a ploration programs that have been individ- and provide no guidance, simply to repeat public agency. Based on tour-of-duty aver- ually approved by the Wage and Hour Ad- the statutory standards for exemption in a ages that were determined by the Secretary ministrator. 29 C.F.R. § 570.35a. job description without reference to the par- of Labor in 1975, an employer need not pay After carefully reviewing the provisions of ticular functions of a particular employee. overtime if, in a work period of 28 consecu- § 570.35a, the Board finds that it would not be The Fair Labor Standards Act is clear that tive days, the employee receives a tour of appropriate to adopt this regulation. There actual function, and not description or job duty which in the aggregate does not exceed is no available ‘‘State Educational Agency’’ title, govern the exempt status of an em- 212 hours for fire protection activity or does in the context of the CAA; State law is not ployee. See, e.g., 29 C.F.R. § 541.201 not exceed 171 hours for law enforcement ac- properly applicable here; and the Board is (3)(b)(1),(2). tivity. Thus, for law enforcement personnel, obviously not competent to set educational 2. § 541.5d—Special rule for ‘‘white collar’’ em- work in excess of 171 hours during the 28-day standards. In short, there are legal and prac- ployees of a public agency period triggers the requirement to pay over- tical reasons why this regulation is unwork- Under § 13(a)(1) of the FLSA, which is in- time compensation. For a work period of at able in the context of Federal legislative corporated by reference under § 225(f)(1) of least 7 but less than 28 consecutive days, branch employment, and the Board thus has the CAA, a salaried employee who is a bona overtime must be paid when the ratio of the ‘‘good cause’’ not to adopt it. fide executive, administrative, or profes- number of hours worked to the number of 5. Board determination on regulations ‘‘re- sional employee need not be paid overtime days in the work period exceeds the 171- quired’’ to be issued in connection with compensation for hours worked in excess of hours-to-28-days ratio (rounded to the near- § 411 default provision est whole hour). the statutory maximum. Sections 541.1, 541.2, Section 411 of the CAA provides in perti- Although the regulations by their terms and 541.3, 29 C.F.R., of the Secretary of La- nent part that ‘‘if the Board has not issued a apply only to ‘‘public agencies’’ of State and bor’s regulations respectively define the cri- regulation on a matter for which [the CAA] local governments, one commenter observed teria for each of these ‘‘white collar’’ exemp- requires a regulation to be issued the hear- that the underlying statutory provisions are tions. Since they are substantive regula- ing officer, Board, or court, as the case may not so limited but rather apply to any ‘‘pub- tions, the Board in its NPR proposed to be, shall apply, to the extent necessary and lic agency,’’ which by definition includes the adopt them. appropriate, the most relevant substantive Federal government (See § 3(x) of the FLSA). Among the regulations not proposed for executive agency regulation promulgated to Accordingly, it was argued that the Board adoption was § 541.5d. This regulation pro- implement the statutory provision at issue.’’ should adopt those regulations imple- vides that an employee shall not lose his or By its own terms, this provision comes into menting the § 7(k) partial overtime exemp- her ‘‘white collar’’ exemption where a ‘‘pub- play only where it is determined that the tion insofar as it would apply to the law en- lic agency’’ employer reduces an exempt em- Board has not issued a regulation that is re- forcement work of the Capitol Police. ployee’s pay or places the employee on un- quired by the CAA. Thus, before a Depart- For the reasons noted above that support paid leave in certain circumstances for par- ment of Labor regulation can be invoked, an adoption of § 541.5d, the Board finds that the tial-day absences.. As explained in the Fed- adjudicator must make a threshold deter- pertinent sections of Subpart C of Part 553 eral Register Notice announcing its adop- mination that the regulation concerns a should also be adopted. Section 7(k) provides tion, the Secretary of Labor issued § 541.5d in matter as to which the Board was obligated a direct textual basis for applying the rel- response to concerns that the application of under the CAA to issue a regulation. evant regulations. Thus, under the regula- the FLSA to State and local governments As noted in the NPR, it was apparent in re- tions, the Capitol Police as an employing of- would undermine well-settled ‘‘policies of viewing Chapter V of 29 C.F.R., which con- fice of law enforcement personnel shall have public accountability’’ that require public tains all the regulations of the Secretary of two options: It may pay such personnel over- employees (including those who would other- Labor issued to implement the FLSA gen- time compensation on the basis of a 40-hour wise be exempt) to incur a reduction in pay erally, many of those regulations were not workweek. Alternatively, it may claim the if they absent themselves from work under legally ‘‘required’’ to be issued as CAA regu- section 7(k) exemption by establishing a certain circumstances. 57 Fed. Reg. 37677 lations because the underlying FLSA provi- valid work period that follows the criteria (Aug. 19, 1992). sions were not made applicable under the set forth in the regulations. The Board originally did not propose adop- CAA. And there are other regulations that The Board is aware that Congress has en- tion of this regulation. However, one com- the Board has ‘‘good cause’’ not to issue be- acted special provisions governing overtime menter pointed out that, by its terms, cause, for example, they have no applica- compensation and compensatory time off for § 541.5d covers a ‘‘public agency,’’ which is a bility to legislative branch employment. Capitol Police officers. 40 U.S.C. § 206b (for statutory term defined in § 3(x) of the FLSA None of the comments to the NPR quar- police on the House’s payroll) and § 206c (for to include ‘‘the government of the United relled with the Board’s conclusion not to police on the Senate’s payroll). However, the States.’’ As a definitional provision, § 3(x) is adopt those regulations that have little prac- regulations being adopted here do not pur- incorporated into the CAA by virtue of tical application. Therefore, the Board is not port to modify those statutory provisions; § 225(f)(1), and Congress is undeniably a issuing regulations predicated upon the fol- and whether 40 U.S.C. §§ 206b–206c grant branch of the ‘‘government of the United lowing Parts of 29 C.F.R.: Parts 519-528, rights and protections to law enforcement States.’’ which authorize subminimum wages for full- The Board finds merit in the commenter’s employees that preclude the Capitol Police time students, student-learners, apprentices, argument. Moreover, the adoption of this from availing itself of § 7(k) of the FLSA is a learners, messengers, workers with disabil- regulation is well in keeping with the question that the Board does not address. ities, and student workers; Part 548, which Board’s mandate to promulgate rules that The regulations simply specify the rules for authorizes in the collective bargaining con- are ‘‘the same as substantive regulations overtime policies that conform to the FLSA. text the establishment of basic wage rates promulgated by the Department of Labor to 4. § 570.35a—Work experience programs for mi- for overtime compensation purposes; and implement’’ those FLSA statutory provi- nors Part 551, which implements an overtime ex- sions made applicable by the CAA. Accord- The CAA makes applicable to the legisla- emption for local delivery drivers and help- ingly, § 541.5d will be adopted with a minor tive branch FLSA § 12(c), which prohibits the ers. change that substitutes for the citation to use of oppressive child labor, and FLSA § 3(l), The comments did identify several indi- § 541.118 (an interpretative bulletin) the which defines ‘‘oppressive child labor.’’ In its vidual regulations as to which there is not phrase ‘‘being paid on a salary basis,’’ which NPR, the Board proposed adopting as part of good cause to not adopt. As explained else- is derived directly from the substantive reg- the CAA rules applicable to the Senate cer- where, those regulations are being included ulations defining the ‘‘white collar’’ exemp- tain substantive regulations of Part 570, 29 in the final rules. However, in the main, the tions (i.e., 29 C.F.R. §§ 541.1,.2,.3). C.F.R., implementing these statutory provi- comments did not dispute the inapplicability 3. Partial overtime exemption for law enforce- sions. This proposal was based on the Board’s of those Parts of 29 C.F.R. deemed legally ir- ment officers understanding that the Senate has a practice relevant. The Board did not propose to adopt any of appointing pages under 18 years of age. Accordingly, in keeping with its an- sections of 29 C.F.R. Part 553, which govern One commenter confirmed this under- nounced intent in the NPR, the Board is in- the application of the FLSA to employees of standing by reporting that the Senate Page cluding in its final rules a declaration to the

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00054 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S225 effect that the Board has issued those regu- itself would be forced to operate in regu- section 304(c) and, in fact promotes its prop- lations that, as both a legal and practical latory uncertainty. While section 411 of the er operation. As noted above, the interim matter, it is ‘‘required’’ to promulgate to im- CAA provides that, ‘‘if the Board has not regulations shall become effective only upon plement the statutory provisions of the issued a regulation on a matter for which the passage of appropriate resolutions of ap- FLSA that are made applicable to the legis- this Act requires a regulation to be issued, proval, which is what section 304(c) con- lative branch by the CAA. the hearing officer, Board, or court, as the templates. Moreover, these interim regula- The Board has carefully reviewed the en- case may be, shall apply, to the extent nec- tions allow more considered deliberation by tire corpus of the Secretary’s regulations, essary and appropriate, the most relevant the House and the Senate of the Board’s final has sought comment on its proposal con- substantive executive agency regulation pro- regulations under section 304(c). cerning the regulations that it should (and mulgated to implement the statutory provi- The House has in fact already signalled its should not adopt), and has considered those sion at issue in the proceeding,’’ covered em- approval of such interim regulations both for comments in formulating its final rules. The ployees, employing offices and the Office of itself and for the instrumentalities. On De- Board has acted based on this review and Compliance staff might not know what regu- cember 19, 1995, the House adopted H. Res. consideration and in order to prevent waste- lation, if any, would be found applicable in 311 and H. Con. Res. 123, which approve ‘‘on ful litigation about whether the omission of particular circumstances absent the proce- a provisional basis’’ regulations ‘‘issued by a regulation from the Secretary in the dures suggested here. The resulting confu- the Office of Compliance before January 23, Board’s regulations was intended or not. sion and uncertainty on the part of covered 1996.’’ The Board believes these resolutions employees and employing offices would be are sufficient to make these interim regula- 6. Recordkeeping and notice posting contrary to the purposes and objectives of tions effective for the House on January 23, One comment essentially requested that the CAA, as well as to the interests of those 1996, though the House might want to pass the Board revisit an issue which it resolved whom it protects and regulates. Moreover, new resolutions of approval in response to after receiving comments to its Advance No- since the House and the Senate will likely this pronouncement of the Board. tice of Proposed Rulemaking (ANPR) pub- act on the Board’s final regulations within a To the Board’s knowledge, the Senate has lished on October 11, 1995. The ANPR had so- short period of time, covered employees and not yet acted on H. Con. Res. 123, nor has it licited public comments on certain questions employing offices would have to devote con- passed a counterpart to H. Res. 311 that to assist the Board in drafting proposed siderable attention and resources to learn- would cover employing offices and employees FLSA regulations, including the question of ing, understanding, and complying with a of the Senate. As stated herein, it must do so whether the FLSA provisions regarding rec- whole set of default regulations that would if these interim regulations are to apply to ordkeeping and the notice posting were made then have no future application. These in- the Senate and the other employing offices applicable by the CAA. As explained in the terim regulations prevent such a waste of re- of the instrumentalities (and to prevent the NPR, after evaluating the comments and sources. default rules of the executive branch from carefully reviewing the CAA, the Board con- The Board’s authority to issue such in- applying as of January 23, 1996). cluded that ‘‘the CAA explicitly did not in- terim regulations derives from sections 411 IV. Method of Approval and 304 of the CAA. Section 411 gives the corporate the notice posting and record- The Board received no comments on the keeping requirements of Section 11, 29 U.S.C. Board authority to determine whether, in the absence of the issuance of a final regula- method of approval for these regulations. § 211 of the FLSA.’’ The most recent com- Therefore, the Board continues to rec- ment offered no further statutory evidence tion by the Board, it is necessary and appro- priate to apply the substantive regulations ommend that (1) the version of the regula- to support a change in the Board’s original tions that shall apply to the Senate and em- conclusion. of the executive branch in implementing the provisions of the CAA. Section 304(a) of the ployees of the Senate should be approved by 7. Technical and nomenclature changes CAA in turn authorizes the Board to issue the Senate by resolution; (2) the version of A commenter suggested a number of tech- substantive regulations to implement the the regulations that shall apply to the House nical and nomenclature changes to the pro- Act. Moreover, section 304(b) of the CAA in- of Representatives and employees of the posed regulations to make them more pre- structs that the Board shall adopt sub- House of Representatives should be approved cise in their application to the legislative stantive regulations ‘‘in accordance with the by the House of Representatives by resolu- branch. The Board has incorporated many of principles and procedures set forth in section tion; and (3) the version of the regulations the suggested changes. However, by making 553 of title 5, United States Code,’’ which that shall apply to other covered employees these changes, the Board does not intend a have in turn traditionally been construed by and employing offices should be approved by substantive difference in meaning of these courts to allow an agency to issue ‘‘interim’’ the Congress by concurrent resolution. With respect to the interim version of sections of the Board’s regulations and those rules where the failure to have rules in place these regulations, the Board recommends of the Secretary from which the Board’s reg- in a timely manner would frustrate the effec- that the Senate approve them by resolution ulations are derived. tive operation of a federal statute. See, e.g., insofar as they apply to the Senate and em- Philadelphia Citizens in Action v. Schweiker, III. Adoption of Proposed Rules as Final Regu- ployees of the Senate. In addition, the Board 669 F.2d 877 (3d Cir. 1982). As noted above, in lations under Section 304(b)(3) and as Interim recommends that the Senate approve them the absence of the Board’s adoption and Regulations by concurrent resolution insofar as they issuance of these interim rules, such a frus- Having considered the public comments to apply to other covered employees and em- tration of the effective operation of the CAA the proposed rules, the Board pursuant to ploying offices. It is noted that the House section 304(b)(3) & (4) of the CAA is adopting would occur here. In so interpreting its authority, the Board has expressed its approval of the regulations these final regulations and transmitting recognizes that in section 304 of the CAA, insofar as they apply to the House and its them to the House and the Senate with rec- Congress specified certain procedures that employees through its passage of H. Res. 311 ommendations as to the method of approval the Board must follow in issuing substantive on December 19, 1995. The House also ex- by each body under section 304(c). However, regulations. In section 304(b), Congress said pressed its approval of the regulations inso- the rapidly approaching effective date of the that, except as specified in section 304(e), the far as they apply to other employing offices CAA’s implementation necessitates that the Board must follow certain notice and com- through passage of H. Con. Res. 123 on the Board take further action with respect to ment and other procedures. The interim reg- same date; this concurrent resolution is these regulations. For the reasons explained ulations in fact have been subject to such no- pending before the Senate. below, the Board is also today adopting and tice and comment and such other procedures ADOPTED REGULATIONS—AS INTERIM AND AS issuing these rules as interim regulations of section 304(b). FINAL REGULATIONS: that will be effective as of January 23, 1996 or In issuing these interim regulations, the Subtitle A—Regulations Relating to the the time upon which appropriate resolutions Board also recognizes that section 304(c) Senate and Its Employing Offices—S Series of approval of these interim regulations are specifies certain procedures that the House Chapter III—Regulations Relating to the passed by the House and/or the Senate, and the Senate are to follow in approving the Rights and Protections Under the Fair whichever is later. These interim regulations Board’s regulations. The Board is of the view Labor Standards Act of 1938 will remain in effect until the earlier of that the essence of section 304(c)’s require- Part S501—General Provisions April 15, 1996 or the dates upon which the ments are satisfied by making the effective- House and Senate complete their respective ness of these interim regulations conditional Sec. consideration of the final regulations that on the passage of appropriate resolutions of S501.00 Corresponding section table of the the Board is herein adopting. approval by the House and/or the Senate. FLSA regulations of the Labor Depart- The Board finds that it is necessary and Moreover, section 304(c) appears to be de- ment and the CAA regulations of the Of- appropriate to adopt such interim regula- signed primarily for (and applicable to) final fice of Compliance. tions and that there is ‘‘good cause’’ for regulations of the Board, which these in- S501.101 Purpose and scope. making them effective as of the later of Jan- terim regulations are not. In short, section S501.102 Definitions. uary 23, 1996, or the time upon which appro- 304(c)’s procedures should not be understood S501.103 Coverage. priate resolutions of approval of them are to prevent the issuance of interim regula- S501.104 Administrative authority. passed by the House and the Senate. In the tions that are necessary for the effective im- S501.105 Effect of Interpretations of the absence of the issuance of such interim regu- plementation of the CAA. Labor Department. lations, covered employees, employing of- Indeed, the promulgation of these interim S501.106 Application of the Portal-to-Portal fices, and the Office of Compliance staff regulations clearly conforms to the spirit of Act of 1947.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00055 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S226 CONGRESSIONAL RECORD — SENATE January 22, 1996 S501.107 Duration of interim regulations. it is the Board’s considered judgment, based the Act with respect to any covered em- § S501.00 Corresponding section table of the on the information available to it at the ployee or covered employer. FLSA regulations of the Labor Department time of the promulgation of these regula- (b) The Board is authorized to promulgate and the CAA regulations of the Office of tions, that, with the exception of regulations substantive regulations in accordance with Compliance. adopted and set forth herein, there are no the provisions of Sections 203(c) and 304 of the CAA. The following table lists the parts of the other ‘‘substantive regulations promulgated Secretary of Labor Regulations at Title 29 of by the Secretary of Labor to implement the § S501.105 Effect of Interpretation of the De- the Code of Federal Regulations under the statutory provisions referred to in sub- partment of Labor. FLSA with the corresponding parts of the section (a) [of section 203 of the CAA].’’ (a) In administering the FLSA, the Wage (e) In promulgating these regulations, the Office of Compliance (OC) Regulations under and Hour Division of the Department of Board has made certain technical and no- Section 203 of the CAA. Labor has issued not only substantive regu- menclature changes to the regulations as lations but also interpretative bulletins. Secretary of Labor regu- OC regulations promulgated by the Secretary. Such changes Substantive regulations represent an exer- lations are intended to make the provisions adopted cise of statutory-delegated lawmaking au- Part 531 Wage payments accord more naturally to situations in the thority from the legislative branch to an ad- under the Fair Labor legislative branch. However, by making ministrative agency. Generally, they are Standards Act of 1938 ..... Part S531 these changes, the Board does not intend a proposed in accordance with the notice-and- Part 541 Defining and de- substantive difference between these regula- comment procedures of the Administrative limiting the terms ‘‘bona tions and those of the Secretary from which Procedure Act (APA), 5 U.S.C. § 553. Once fide executive,’’ ‘‘admin- they are derived. Moreover, such changes, in promulgated, such regulations are consid- istrative,’’ and ‘‘profes- and of themselves, are not intended to con- ered to have the force and effect of law, un- sional’’ employees ...... Part S541 stitute an interpretation of the regulation or less set aside upon judicial review as arbi- Part 547 Requirements of of the statutory provisions of the CAA upon trary, capricious, an abuse of discretion, or a ‘‘Bona fide thrift or which they are based. otherwise not in accordance with law. See savings plan’’ ...... Part S547 Batterton v. Francis, 432 U.S. 416, 425 n.9 Part 553 Application of § S501.102 Definitions. (1977). See also 29 CFR § 790.17(b) (1994). Un- the FLSA to employees For purposes of this chapter: like substantive regulations, interpretative of public agencies ...... Part S553 (a) CAA means the Congressional Account- Part 570 Child labor ...... Part S570 ability Act of 1995 (P.L. 104–1, 109 Stat. 3, 2 statements, including bulletins and other re- U.S.C. §§ 1301–1438). leases of the Wage and Hour Division, are Subpart A—Matters of General Applicability (b) FLSA or Act means the Fair Labor not issued pursuant to the provisions of the § S501.101 Purpose and scope. Standards Act of 1938, as amended (29 U.S.C. APA and may not have the force and effect (a) Section 203 of the Congressional Ac- § 201 et seq.), as applied by section 203 of the of law. Rather, they may only constitute of- countability Act (CAA) provides that the CAA to covered employees and employing of- ficial interpretations of the Department of rights and protections of subsections (a)(1) fices. Labor with respect to the meaning and appli- and (d) of section 6, section 7, and section (c) Covered employee means any employee cation of the minimum wage, maximum 12(c) of the Fair Labor Standards Act of 1938 of the Senate, including an applicant for em- hour, and overtime pay requirements of the (FLSA) (29 U.S.C. §§ 206(a)(1) & (d), 207, 212(c)) ployment and a former employee, but shall FLSA. See 29 C.F.R. § 790.17(c) (citing Final shall apply to covered employees of the leg- not include an intern. Report of the Attorney General’s Committee (d) Employee of the Senate includes any em- islative branch of the Federal government. on Administrative Procedure, Senate Docu- ployee whose pay is disbursed by the Sec- Section 301 of the CAA creates the Office of ment No. 8, 77th Cong., 1st Sess., at p. 27 retary of the Senate, but not any such indi- Compliance as an independent office in the (1941)). The purpose of such statements is to vidual employed by (1) the Capitol Guide legislative branch for enforcing the rights make available in one place the interpreta- Service; (2) the Capitol Police; (3) the Con- and protections of the FLSA, as applied by tions of the FLSA which will guide the Sec- gressional Budget Office; (4) the Office of the the CAA. retary of Labor and the Wage and Hour Ad- (b) The FLSA as applied by the CAA pro- Architect of the Capitol; (5) the Office of the ministrator in the performance of their du- vides for minimum standards for both wages Attending Physician; (6) the Office of Com- ties unless and until they are otherwise di- and overtime entitlements, and delineates pliance; or (7) the Office of Technology As- rected by authoritative decisions of the administrative procedures by which covered sessment. courts or conclude, upon reexamination of an (e) Employing office and employer mean (1) worktime must be compensated. Included interpretation, that it is incorrect. The Su- the personal office of a Senator; (2) a com- also in the FLSA are provisions related to preme Court has observed: ‘‘[T]he rulings, in- mittee of the Senate or a joint committee; or child labor, equal pay, and portal-to-portal terpretations and opinions of the Adminis- (3) any other office headed by a person with activities. In addition, the FLSA exempts trator under this Act, while not controlling the final authority to appoint, hire, dis- specified employees or groups of employees upon the courts by reason of their authority, charge, and set the terms, conditions, or from the application of certain of its provi- do constitute a body of experience and in- privileges of the employment of an employee sions. formed judgment to which courts and liti- of the Senate. (c) This chapter contains the substantive gants may properly resort for guidance. The (f) Board means the Board of Directors of weight of such a judgment in a particular regulations with respect to the FLSA that the Office of Compliance. the Board of Directors of the Office of Com- case will depend upon the thoroughness evi- (g) Office means the Office of Compliance. dent in the consideration, the validity of its pliance has adopted pursuant to Sections (h) Intern is an individual who (a) is per- reasoning, its consistency with earlier and 203(c) and 304 of the CAA, which require that forming services in an employing office as later pronouncements, and all those factors the Board promulgate regulations that are part of a demonstrated educational plan, and which give it power to persuade, if lacking ‘‘the same as substantive regulations pro- (b) is appointed on a temporary basis for a power to control,‘‘ Skidmore v. Swift, 323 U.S. mulgated by the Secretary of Labor to im- period not to exceed 12 months; provided that 134, 140 (1944). plement the statutory provisions referred to if an intern is appointed for a period shorter in subsection (a) [of § 203 of the CAA] except (b) Section 203(c) of the CAA provides that than 12 months, the intern may be re- the substantive regulations implementing insofar as the Board may determine, for good appointed for additional periods as long as cause shown . . . that a modification of such Section 203 of the CAA shall be ‘‘the same as the total length of the internship does not substantive regulations promulgated by the regulations would be more effective for the exceed 12 months; provided further that an in- implementation of the rights and protections Secretary of Labor’’ except where the Board tern for purposes of section 203(a)(2) of the finds, for good cause shown, that a modifica- under this section.’’ CAA also includes an individual who is a sen- (d) These regulations are issued by the tion would more effectively implement the ior citizen appointed under S. Res. 219 (May rights and protections established by the Board of Directors, Office of Compliance, 5, 1978, as amended by S. Res. 96, April 9, pursuant to sections 203(c) and 304 of the FLSA. Thus, the CAA by its terms does not 1991), but does not include volunteers, fel- mandate that the Board adopt the interpre- CAA, which directs the Board to promulgate lows or pages. regulations implementing section 203 that tative statements of the Department of § S501.103 Coverage. are ‘‘the same as substantive regulations Labor or its Wage and Hour Division. The promulgated by the Secretary of Labor to The coverage of Section 203 of the CAA ex- Board is thus not adopting such statements implement the statutory provisions referred tends to any covered employee of an employ- as part of its substantive regulations. to in subsection a [of section 203 of the CAA] ing office without regard to whether the cov- § S501.106 Application of the Portal-to-Portal except insofar as the Board may determine, ered employee is engaged in commerce or the Act of 1947. for good cause shown . . . that a modifica- production of goods for interstate commerce (a) Consistent with Section 225 of the CAA, tion of such regulations would be more effec- and without regard to size, number of em- the Portal to Portal Act (PPA), 29 U.S.C. tive for the implementation of the rights and ployees, amount of business transacted, or §§ 216 and 251 et seq., is applicable in defining protections under this section.’’ The regula- other measure. and delimiting the rights and protections of tions issued by the Board herein are on all §S501.104 Administrative authority. the FLSA that are prescribed by the CAA. matters for which section 203 of the CAA re- (a) The Office of Compliance is authorized Section 10 of the PPA, 29 U.S.C. § 259, pro- quires regulations to be issued. Specifically, to administer the provisions of Section 203 of vides in pertinent part: ‘‘[N]o employer shall

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00056 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S227 be subject to any liability or punishment for § S531.1 Definitions. list is intended to be illustrative rather than or on account of the failure of the employer (a) Administrator means the Administrator exclusive: (i) Tools of the trade and other to pay minimum wages or overtime com- of the Wage and Hour Division or his author- materials and services incidental to carrying pensation under the Fair Labor Standards ized representative. The Secretary of Labor on the employer’s business; (ii) the cost of Act of 1938, as amended, . . . if he pleads and has delegated to the Administrator the func- any construction by and for the employer; proves that the act of omission complained tions vested in him under section 3(m) of the (iii) the cost of uniforms and of their laun- of was in good faith in conformity with and Act. dering, where the nature of the business re- reliance on any written administrative regu- (b) Act means the Fair Labor Standards quires the employee to wear a uniform. lation, order, ruling, approval or interpreta- Act of 1938, as amended. § S531.6 Effects of collective bargaining agree- tion of [the Administrator of the Wage and § S531.2 Purpose and scope. ments Hour Division of the Department of Labor] (a) Section 3(m) of the Act defines the term (a) The cost of board, lodging, or other fa- . . . or any administrative practice or en- cilities shall not be included as part of the forcement policy of such agency with respect ‘wage’ to include the ‘reasonable cost’, as de- termined by the Secretary of Labor, to an wage paid to any employee to the extent it to the class of employers to which he be- is excluded therefrom under the terms of a longed. Such a defense, if established shall employer of furnishing any employee with board, lodging, or other facilities, if such bona fide collective bargaining agreement be a bar to the action or proceeding, not- applicable to the particular employee. withstanding that after such act or omis- board, lodging, or other facilities are cus- tomarily furnished by the employer to his (b) A collective bargaining agreement shall sion, such administrative regulation, order, be deemed to be ‘‘bona fide’’ when pursuant ruling, approval, interpretation, practice or employees. In addition, section 3(m) gives the Secretary authority to determine the to the provisions of section 7(b)(1) or 7(b)(2) enforcement policy is modified or rescinded of the FLSA it is made with the certified or is determined by judicial authority to be ‘fair value.’ of such facilities on the basis of average cost to the employer or to groups of representative of the employees under the invalid or of no legal effect.’’ provisions of the CAA. (b) In defending any action or proceeding employers similarly situated, on average Part S541—Defining and Delimiting the based on any act or omission arising out of value to groups of employees, or other appro- Terms ‘‘Bona Fide Executive,’’ ‘‘Adminis- section 203 of the CAA, an employing office priate measures of ‘fair value.’ Whenever so trative,’’ or ‘‘Professional’’ Capacity (In- may satisfy the standards set forth in sub- determined and when applicable and perti- cluding Any Employee Employed in the section (a) by pleading and proving good nent, the ‘fair value’ of the facilities in- Capacity of Academic Administrative Per- faith reliance upon any written administra- volved shall be includable as part of ‘wages’ sonnel or Teacher in Secondary School) tive regulation, order, ruling, approval or in- instead of the actual measure of the costs of terpretation, of the Administrator of the those facilities. The section provides, how- Subpart A—General regulations Wage and Hour Division of the Department ever, the cost of board, lodging, or other fa- Sec. of Labor: Provided, that such regulation, cilities shall not be included as part of S541.00 Corresponding section table of the order, ruling approval or interpretation had ‘wages’ if excluded therefrom by a bona fide FLSA regulations of the Labor Depart- not been superseded at the time or reliance collective bargaining agreement. Section ment and the CAA regulations of the Of- by any regulation, order, decision, or ruling 3(m) also provides a method for determining fice of Compliance. of the Board or the courts. the wage of a tipped employee. S541.01 Application of the exemptions of sec- (b) This part 531 contains any determina- tion 13(a)(1) of the FLSA. § S501.107 Duration of interim regulations. tions made as to the ‘reasonable cost’ and S541.1 Executive. ‘fair value’ of board, lodging, or other facili- These interim regulations for the House, S541.2 Administrative. ties have general application. the Senate and the employing offices of the S541.3 Professional. instrumentalities are effective on January Subpart B—Determinations of ‘‘reasonable S541.5b Equal pay provisions of section 6(d) 23, 1996 or on the dates upon which appro- cost’’ and ‘‘fair value’’; effects of collective of the FLSA as applied by the CAA ex- priate resolutions are passed, whichever is bargaining agreements tend to executive, administrative, and later. The interim regulations shall expire § S531.3 General determinations of ‘reasonable professional employees. on April 15, 1996 or on the dates on which ap- cost’ S541.5d Special provisions applicable to em- propriate resolutions concerning the Board’s ployees of public agencies. final regulations are passed by the House and (a) The term reasonable cost as used in sec- the Senate, respectively, whichever is ear- tion 3(m) of the Act is hereby determined to Subpart A—General regulations lier. be not more than the actual cost to the em- § S541.00 Corresponding section table of the ployer of the board, lodging, or other facili- FLSA regulations of the Labor Department Part S531—Wage Payments Under the Fair ties customarily furnished by him to his em- Labor Standards Act of 1938 and the CAA regulations of the Office of ployees. Compliance Subpart A—Preliminary matters (b) Reasonable cost does not include a prof- The following table lists the sections of the Sec. it to the employer or to any affiliated per- Secretary of Labor Regulations at Title 29 of S. 531.00 Corresponding section table of the son. the Code of Federal Regulations under the FLSA regulations of the Labor Depart- (c) The reasonable cost to the employer of FLSA with the corresponding sections of the ment and the CAA regulations of the Of- furnishing the employee with board, lodging, Office of Compliance (OC) Regulations under fice of Compliance. or other facilities (including housing) is the section 203 of the CAA: S. 531.1 Definitions. cost of operation and maintenance including Secretary of Labor Regu- OC Regulations S. 531.2 Purpose and scope. adequate depreciation plus a reasonable al- lations lowance (not more than 51⁄2 percent) for in- Subpart B—Determinations of ‘‘reasonable terest on the depreciated amount of capital 541.1 Executive ...... S541.1 costs;’’ effects of collective bargaining invested by the employer: Provided, That if 541.2 Administrative ...... S541.2 agreements the total so computed is more than the fair 541.3 Professional ...... S541.3 S. 531.3 General determinations of ‘reason- rental value (or the fair price of the com- 541.5b Equal pay provisions of able cost’. modities or facilities offered for sale), the section 6(d) of the FLSA apply S. 531.6 Effects of collective bargaining fair rental value (or the fair price of the to executive, administrative, agreements. commodities or facilities offered for sale) and professional employees ...... S541.5b 541.5d Special provisions applica- Subpart A—Preliminary matters shall be the reasonable cost. The cost of op- ble to employees of public agen- eration and maintenance, the rate of depre- § S531.00 Corresponding section table of the cies ...... S541.5d FLSA regulations of the Labor Department ciation, and the depreciated amount of cap- § S541.01 Application of the exemptions of sec- and the CAA regulations of the Office of ital invested by the employer shall be those tion 13 (a)(1) of the FLSA Compliance. arrived at under good accounting practices. As used in this paragraph, the term good ac- (a) Section 13(a)(1) of the FLSA, which pro- The following table lists the sections of the counting practices does not include account- vides certain exemptions for employees em- Secretary of Labor Regulations at Title 29 of ing practices which have been rejected by ployed in a bona fide executive, administra- the Code of Federal Regulations under the the Internal Revenue Service for tax pur- tive, or professional capacity (including any FLSA with the corresponding sections of the poses, and the term depreciation includes ob- employee employed in a capacity of aca- Office of Compliance (OC) Regulations under solescence. demic administrative personnel or teacher in Section 203 of the CAA: (d)(1) The cost of furnishing ‘facilities’ a secondary school), applies to covered em- Secretary of Labor Regu- OC Regulations found by the Administrator to be primarily ployees by virtue of Section 225(f)(1) of the lations for the benefit or convenience of the em- CAA. 531.1 Defintions ...... S531.1 ployer will not be recognized as reasonable (b) The substantive regulations set forth in 531.2 Purpose and scope ...... S531.2 and may not therefore be included in com- this part are promulgated under the author- 531.3 General determinations of puting wages. ity of sections 203(c) and 304 of the CAA, ‘‘reasonable cost’’ ...... S531.3 (2) The following is a list of facilities found which require that such regulations be the 531.6 Effects of collective bar- by the Administrator to be primarily for the same as the substantive regulations promul- gaining agreements ...... S531.6 benefit of convenience of the employer. The gated by the Secretary of Labor except

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00057 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S228 CONGRESSIONAL RECORD — SENATE January 22, 1996 where the Board determines for good cause performance of the work described in para- in the case of an employee who is the holder shown that modifications would be more ef- graphs (a) through (c) of this section; and of the requisite academic degree for the gen- fective for the implementation of the rights (e)(1) Who is compensated for his services eral practice of medicine and is engaged in and protections under § 203. on a salary or fee basis at a rate of not less an internship or resident program pursuant § S541.1 Executive than $155 per week, exclusive of board, lodg- to the practice of medicine or any of its branches, nor in the case of an employee em- The term employee employed in a bona ing or other facilities, or (2) Who, in the case of academic adminis- ployed and engaged as a teacher as provided fide executive * * * capacity in section trative personnel, is compensated for serv- in paragraph (as)(3) of this section: Provided 13(a)(1) of the FSLA as applied by the CAA ices as required by paragraph (e)(1) of this further, That an employee who is com- shall mean any employee: section, or on a salary basis which is at least pensated on a salary or fee basis at a rate of (a) Whose primary duty consists of the not less than $250 per week, exclusive of management of an employing office in which equal to the entrance salary for teachers in the school system, educational establish- board, lodging or other facilities, and whose he is employed or of a customarily recog- primary duty consists of the performance ei- nized department or subdivision thereof; and ment or institution by which employed: Pro- vided, That an employee who is compensated ther of work described in paragraph (a)(1), (b) Who customarily and regularly directs (3), or (4) of this section, which includes the work of two or more other employees on a salary or fee basis at a rate of not less than $250 per week, exclusive of board, lodg- work requiring the consistent exercise of dis- therein; and cretion and judgment, or of work requiring (c) Who has the authority to hire or fire ing or other facilities, and whose primary duty consists of the performance of work de- invention, imagination, or talent in a recog- other employees or whose suggestions and nized field of artistic endeavor, shall be recommendations as to the hiring or firing scribed in paragraph (a) of this section, which includes work requiring the exercise deemed to meet all of the requirements of and as to the advancement and promotion or this section: Provided further, That the salary of discretion and independent judgment, any other change of status of other employ- or fee requirements of this paragraph shall shall be deemed to meet all the requirements ees will be given particular weight; and not apply to an employee engaged in com- of this section. (d) Who customarily and regularly exer- puter-related work within the scope of para- cises discretionary powers; and § S541.3 Professional graph (a)(4) of this section and who is com- (e) Who does not devote more than 20 per- The term employee employed in a bona fide pensated on an hourly basis at a rate in ex- cent, or, in the case of an employee of a re- * * * professional capacity in section 13(a)(1) cess of 61⁄2 times the minimum wage provided tail or service establishment who does not of the FLSA as applied by the CAA shall by section 6 of the FLSA as applied by the devote as much as 40 percent, of his hours of mean any employee: CAA. work in the workweek to activities which (a) Whose primary duty consists of the per- § S541.5b Equal pay provisions of section 6(d) are not directly and closely related to the formance of: of the FLSA as applied by the CAA extend performance of the work described in para- (1) Work requiring knowledge of an ad- to executive, administrative, and profes- graphs (a) through (d) of this section: Pro- vance type in a field of science or learning sional employees vided, That this paragraph shall not apply in customarily acquired by a prolonged course The FLSA, as amended and as applied by the case of an employee who is in sole charge of specialized intellectual instruction and the CAA, includes within the protection of of an independent establishment or a phys- study, as distinguished from a general aca- the equal pay provisions those employees ex- ically separated branch establishment; and demic education and from an apprenticeship, empt from the minimum wage and overtime (f) Who is compensated for his services on and from training in the performance of rou- pay provisions as bona fide executive, admin- a salary basis at a rate of not less than $155 tine mental, manual, or physical processes, istrative, and professional employees (in- per week, exclusive of board, lodging or or cluding any employee employed in the ca- other facilities: Provided, That an employee (2) Work that is original and creative in a pacity of academic administrative personnel who is compensated on a salary basis at a recognized field of artistic endeavor (as op- or teacher in elementary or secondary rate of not less than $250 per week, exclusive posed to work which can be produced by a schools) under section 13(a)(1) of the FLSA. of board, lodging or other facilities, and person endowed with general manual or in- Thus, for example, where an exempt adminis- whose primary duty consists of the manage- tellectual ability and training), and the re- trative employee and another employee of ment of the employing office in which the sult of which depends primarily on the in- the employing office are performing substan- employee is employed or of a customarily vention, imagination, or talent of the em- tially ‘‘equal work,’’ the sex discrimination recognized department or subdivision there- ployee, or prohibitions of section 6(d) are applicable of, and includes the customary and regular (3) Teaching, tutoring, instructing, or lec- with respect to any wage differential be- direction of work of two or more other em- turing in the activity of imparting knowl- tween those two employees. ployees therein, shall be deemed to meet all edge and who who is employed and engaged § S541.5d Special provisions applicable to em- the requirements of this section in this activity as a teacher in the school ployees of public agencies § S541.2 Administrative system, educational establishment or insti- (a) An employee of a public agency who The term employee employed in a bona fide tution by which employed, or otherwise meets the requirement of being * * * administrative * * * capacity in section (4) Work that requires theoretical and paid on a salary basis shall not be disquali- 13(a)(1) of the FLSA as applied by the CAA practical application of highly-specialized fied from exemption under Sec. S541.1, S541.2, shall mean any employee: knowledge in computer systems analysis, or S541.3 on the basis that such employee is (a) Whose primary duty consists of either: programming, and software engineering, and paid according to a pay system established (1) The performance of office or nonmanual who is employed and engaged in these activi- by statute, ordinance, or regulation, or by a work directly related to management poli- ties as a computer systems analyst, com- policy for practice established pursuant to cies or general operations of his employer or puter programmer, software engineer, or principles of public accountability, under his employer’s customers, or other similarly skilled worker in the com- which the employee accrues personal leave (2) The performance of functions in the ad- puter software field; and and sick leave and which requires the public ministration of a school system, or edu- (b) Whose work requires the consistent ex- agency employee’s pay to be reduced or such cational establishment or institution, or of a ercise of discretion and judgment in its per- employee to be placed on leave without pay department or subdivision thereof, in work formance; and for absences for personal reasons or because directly related to the academic instruction (c) Whose work is predominantly intellec- of illness or injury of less than one work-day or training carried on therein; and tual and varied in character (as opposed to when accrued leave is not used by an em- (b) Who customarily and regularly exer- routine mental, manual, mechanical, or ployee because— cises discretion and independent judgment; physical work) and is of such character that (1) permission for its use has not been and the output produced or the result accom- sought or has been sought and denied; (c)(1) Who regularly and directly assists plished cannot be standardized in relation to (2) accrued leave has been exhausted; or the head of an employing office, or an em- a given period of time; and (3) the employee chooses to use leave with- ployee employed in a bona fide executive or (d) Who does not devote more than 20 per- out pay. (b) Deductions from the pay for an em- administrative capacity (as such terms are cent of his hours worked in the workweek to ployee of a public agency for absences due to defined in the regulations of this subpart), or activities which are not an essential part of (2) Who performs under only general super- and necessarily incident to the work de- a budget-required furlough shall not dis- qualify the employee from being paid ‘on a vision work along specialized or technical scribed in paragraphs (a) through (c) of this salary basis’ except in the workweek in lines requiring special training, experience, section; and which the furlough occurs and for which the or knowledge, or (e) Who is compensated for services on a employee’s pay is accordingly reduced. (3) Who executes under only general super- salary or fee basis at a rate of not less than vision special assignments and tasks; and $170 per week, exclusive of board, lodging or Part S547—Requirements of a ‘‘Bona Fide (d) Who does not devote more than 20 per- other facilities: Provided, That this para- Thrift or Savings Plan’’ cent, or, in the case of an employee of a re- graph shall not apply in the case of an em- Sec. tail or service establishment who does not ployee who is the holder of a valid license or S547.00 Corresponding section table of the devote as much as 40 percent, of his hours certificate permitting the practice of law or FLSA regulations of the Labor Depart- worked in the workweek to activities which medicine or any of their branches and who is ment and the CAA regulations of the Of- are not directly and closely related to the actually engaged in the practice thereof, nor fice of Compliance.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00058 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S229 S547.0 Scope and effect of part. the straight-time earnings or total earnings, S553.303 Using compensatory time off. S547.1 Essential requirements of qualifica- base rate of pay, or length of service of the S553.304 Payment of overtime compensation tions. employee. for accrued compensatory time off as of S547.2 Disqualifying provisions. (e) The employer’s total contribution in termination of service. § S547.00 Corresponding section table of the any year may not exceed 15 percent of the Introduction participating employees’ total earnings dur- FLSA regulations of the Labor Department § S553.00 Corresponding section table of the ing that year. In addition, the employer’s and the CAA regulations of the Office of FLSA regulations of the Labor Department total contribution in any year may not ex- Compliance and the CAA regulations of the Office of ceed the total amount saved or invested by The following table lists the sections of the Compliance the participating employees during that Secretary of Labor Regulations under the year. The following table lists the sections of the FLSA with the corresponding sections of the (f) The employer’s contributions shall be Secretary of Labor Regulations under the Office of Compliance (OC) Regulations under apportioned among the individual employees FLSA with the corresponding sections of the Section 203 of the CAA: in accordance with a definite formula or Office of Compliance (OC) Regulations under Secretary of Labor Regu- OC Regulations method of calculation specified in the plan, Section 203 of the CAA: lations which formula or method of calculation is Secretary of Labor Regu- OC Regulations 547.0 Scope and effect of part ..... S547.0 based on the amount saved or the length of lations 547.1 Essential requirements of time the individual employee retains his sav- 553.1 Definitions ...... S553.1 qualifications ...... S547.1 ings or investment in the plan. Provided, 553.2 Purpose and scope ...... S553.2 547.2 Disqualifying provisions .... S547.2 That no employee’s share determined in ac- 553.201 Statutory provisions sec- § S547.0 Scope and effect of part cordance with the plan may be diminished tion 7(k) ...... S553.201 (a) The regulations in this part set forth because of any other remuneration received 553.202 Limitations ...... S553.202 the requirements of a ‘‘bona fide thrift or by him. 553.211 Law enforcement activi- savings plan’’ under section 7(3)(e)(b) of the § S547.2 Disqualifying provisions ties ...... S553.211 Fair Labor Standards Act of 1938, as amend- (a) No employee’s participation in the plan 553.212 Twenty percent limita- ed (FLSA), as applied by the CAA. In deter- shall be on other than a voluntary basis. tion on nonexempt work ...... S553.212 mining the total remuneration for employ- (b) No employee’s wages or salary shall be 553.213 Public agency employees ment which section 7(e) of the FLSA requires dependent upon or influenced by the exist- engaged in both fire protection to be included in the regular rate at which ence of such thrift or savings plan or the em- and law enforcement activities S553.213 an employee is employed, it is not necessary ployer’s contributions thereto. 553.214 Trainees ...... S553.214 to include any sums paid to or on behalf of (c) The amounts any employee may save 553.215 Ambulance and rescue such employee, in recognition of services under the plan, or the amounts paid by the service employees ...... S553.215 performed by him during a given period, employer under the plan may not be based 553.216 Other exemptions ...... S553.216 which are paid pursuant to a bona fide thrift upon the employee’s hours of work, produc- 553.220 ‘‘Tour of duty’’ defined ... S553.220 or savings plan meeting the requirements set tion or efficiency. 553.221 Compensable hours of forth herein. In the formulation of these reg- Part S553—Overtime Compensation: Partial work ...... S553.221 553.222 Sleep time ...... S553.222 ulations due regard has been given to the Exemption for Employees Engaged in Law 553.223 Meal time ...... S553.223 factors and standards set forth in section Enforcement and Fire Protection; Over- 553.224 ‘‘Work period’’ defined .... S553.224 7(e)(3)(b) of the Act. time and Compensatory Time-Off for Em- 553.225 Early relief ...... S553.225 (b) Where a thrift or savings plan is com- ployees Whose Work Schedule Directly De- 553.226 Training time ...... S553.226 bined in a single program (whether in one or pends Upon the Schedule of the House 553.227 Outside employment ...... S553.227 more documents) with a plan or trust for Introduction 553.230 Maximum hours standard providing old age, retirement, life, accident Sec. for work periods of 7 to 28 or health insurance or similar benefits for S553.00 Corresponding section table of the days—section 7(k) ...... S553.230 employees, contributions made by the em- FLSA regulations of the Labor Depart- 553.231 Compensatory time off ... S553.231 ployer pursuant to such thrift or savings ment and the CAA regulations of the Of- 553.232 Overtime pay require- plan may be excluded from the regular rate fice of Compliance. ments ...... S553.232 if the plan meets the requirements of the S553.1 Definitions 553.233 ‘‘Regular rate’’ defined ... S553.233 regulation in this part and the contributions S553.2 Purpose and scope made for the other purposes may be excluded Introduction from the regular rate if they meet the tests Subpart C—Partial exemption for employees § S553.1 Definitions engaged in law enforcement and fire pro- set forth in regulations. (a) Act or FLSA means the Fair Labor tection § S547.1 Essential requirements for qualifica- Standards Act of 1938, as amended (52 Stat. tions S553.201 Statutory provisions: section 7(k). 1060, as amended; 29 U.S.C. 201–219), as ap- S553.202 Limitations. (a) A ‘‘bona fide thrift or savings plan’’ for plied by the CAA. S553.211 Law enforcement activities. the purpose of section 7(e)(3)(b) of the FLSA (b) 1985 Amendments means the Fair Labor S553.212 Twenty percent limitation on non- as applied by the CAA is required to meet all Standards Amendments of 1985 (Pub. L. 99– exempt work. the standards set forth in paragraphs (b) 150). S553.213 Public agency employees engaged through (f) of this section and must not con- (c) Public agency means an employing of- in both fire protection and law enforce- tain the disqualifying provisions set forth in fice as the term is defined in § l 501.102 of ment activities. § S547.2. this chapter, including the Capitol Police. S553.214 Trainees. (b) The thrift or savings plan constitutes a (d) Section 7(k) means the provisions of S553.215 Ambulance and rescue service em- definite program or arrangement in writing, § 7(k) of the FLSA as applied to covered em- ployees. adopted by the employer or by contract as a ployees and employing offices by § 203 of the S553.216 Other exemptions. result of collective bargaining and commu- CAA. S553.220 ‘‘Tour of duty’’ defined. nicated or made available to the employees, § S553.2 Purpose and scope S553.221 Compensable hours of work. which is established and maintained, in good S553.222 Sleep time. The purpose of part S553 is to adopt with faith, for the purpose of encouraging vol- S553.223 Meal time. appropriate modifications the regulations of untary thrift or savings by employees by S553.224 ‘‘Work period’’ defined. the Secretary of Labor to carry out those providing an incentive to employees to accu- S553.225 Early relief. provisions of the FLSA relating to public mulate regularly and retain cash savings for S553.226 Training time. agency employees as they are applied to cov- a reasonable period of time or to save S553.227 Outside employment. ered employees and employing offices of the through the regular purchase of public or S553.230 Maximum hours standard for work CAA. In particular, these regulations apply private securities. section 7(k) as it relates to fire protection (c) The plan specifically shall set forth the periods of 7 to 28 days—section 7(k). S553.231 Compensatory time off. and law enforcement employees of public category or categories of employees partici- agencies. pating and the basis of their eligibility. Eli- S553.232 Overtime pay requirements. Subpart C—Partial Exemption for Employ- gibility may not be based on such factors as S553.233 ‘‘Regular rate’’ defined. ees Engaged in Law Enforcement and Fire hours of work, production, or efficiency of Subpart D—Compensatory time-off for over- Protection the employees: Provided, however, That hours time earned by employees whose work of work may be used to determine eligibility schedule directly depends upon the sched- § S553.201 Statutory provisions: section 7(k) of part-time or casual employees. ule of the House Section 7(k) of the Act provides a partial (d) The amount any employee may save S553.301 Definiton of ‘‘directly depends.’’ overtime pay exemption for fire protection under the plan shall be specified in the plan S553.302 Overtime compensation and com- and law enforcement personnel (including se- or determined in accordance with a definite pensatory time off for an employee curity personnel in correctional institutions) formula specified in the plan, which formula whose work schedule directly depends who are employed by public agencies on a may be based on one or more factors such as upon the schedule of the House. work period basis. This section of the Act

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00059 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S230 CONGRESSIONAL RECORD — SENATE January 22, 1996 formerly permitted public agencies to pay (5) Civilian parking checkers who patrol counted in determining the 20 percent toler- overtime compensation to such employees in assigned areas for the purpose of discovering ance for nonexempt work discussed in para- work periods of 28 consecutive days only parking violations and issuing appropriate graph (a) of this section. after 216 hours of work. As further set forth warnings or appearance notices, § S553.213 Public agency employees engaged in in § S553.230 of this part, the 216-hour stand- (6) Wage and hour compliance officers, both fire protection and law enforcement ac- ard has been replaced, pursuant to the study (7) Equal employment opportunity compli- tivities mandated by the statute, by 212 hours for ance officers, and (a) Some public agencies have employees (8) Building guards whose primary duty is fire protection employees and 171 hours for (often called ‘‘public safety officers’’) who to protect the lives and property of persons law enforcement employees. In the case of engage in both fire protection and law en- within the limited area of the building. such employees who have a work period of at forcement activities, depending on the agen- (e) The term ‘‘any employee in law en- least 7 but less than 28 consecutive days, cy needs at the time. This dual assignment forcement activities’’ also includes, by ex- overtime compensation is required when the would not defeat the section 7(k) exemption, press reference, ‘‘security personnel in cor- ratio of the number of hours worked to the provided that each of the activities per- rectional institutions.’’ Typically, such fa- number of days in the work period exceeds formed meets the appropriate tests set forth cilities may include precinct house lockups. the ratio of 212 (or 171) hours to 28 days. in Secs. S553.210 and S553.211. This is so re- Employees of correctional institutions who § S553.202 Limitations gardless of how the employee’s time is di- qualify as security personnel for purposes of The application of § 7(k), by its terms, is vided between the two activities. However, the section 7(k) exemption are those who limited to public agencies, and does not all time spent in nonexempt activities by have responsibility for controlling and main- apply to any private organization engaged in public safety officers within the work period, taining custody of inmates and of safe- furnishing fire protection or law enforce- whether performed in connection with fire guarding them from other inmates or for su- ment services. This is so even if the services protection or law enforcement functions, or pervising such functions, regardless of are provided under contract with a public with neither, must be combined for purposes whether their duties are performed inside agency. of the 20 percent limitation on nonexempt the correctional institution or outside the work discussed in Sec. S553.212. Exemption requirements institution. These employees are considered § S553.211 Law enforcement activities (b) As specified in Sec. S553.230, the max- to be engaged in law enforcement activities imum hours standards under section 7(k) are (a) As used in § 7(k) of the Act, the term regardless of their rank or of their status as different for employees engaged in fire pro- ‘any employee . . . in law enforcement ac- ‘‘trainee,’’ ‘‘probationary,’’ or ‘‘permanent,’’ tection and for employees engaged in law en- tivities’ refers to any employee (1) who is a and regardless of their assignment to duties forcement. For those employees who perform uniformed or plainclothed member of a body incidental to the performance of their law both fire protection and law enforcement ac- of officers and subordinates who are empow- enforcement activities, or to support activi- tivities, the applicable standard is the one ered by law to enforce laws designed to ties of the type described in paragraph (f) of which applies to the activity in which the maintain public peace and order and to pro- this section, whether or not such assignment employee spends the majority of work time tect both life and property from accidental is for training or familiarization purposes or during the work period. or willful injury, and to prevent and detect for reasons of illness, injury or infirmity. crimes, (2) who has the power to arrest, and (f) Not included in the term ‘‘employee in § S553.214 Trainees (3) who is presently undergoing or has under- law enforcement activities’’ are the so-called The attendance at a bona fide fire or police gone or will undergo on-the-job training and/ ‘‘civilian’’ employees of law enforcement academy or other training facility, when re- or a course of instruction and study which agencies or correctional institutions who en- quired by the employing agency, constitutes typically includes physical training, self-de- gage in such support activities as those per- engagement in activities under section 7(k) fense, firearm proficiency, criminal and civil formed by dispatcher, radio operators, appa- only when the employee meets all the appli- law principles, investigative and law enforce- ratus and equipment maintenance and repair cable tests described in Sec. S553.210 or Sec. ment techniques, community relations, med- workers, janitors, clerks and stenographers. S553.211 (except for the power of arrest for ical aid and ethics. Nor does the term include employees in cor- law enforcement personnel), as the case may (b) Employees who meet these tests are rectional institutions who engage in building be. If the applicable tests are met, then basic considered to be engaged in law enforcement repair and maintenance, culinary services, training or advanced training is considered activities regardless of their rank, or of their teaching, or in psychological, medical and incidental to, and part of, the employee’s fire status as ‘‘trainee,’’ ‘‘probationary,’’ or ‘‘per- paramedical services. This is so even though protection or law enforcement activities. manent,’’ and regardless of their assignment such employees may, when assigned to cor- § S553.215 Ambulance and rescue service em- to duties incidental to the performance of rectional institutions, come into regular ployees their law enforcement activities such as contact with the inmates in the performance Ambulance and rescue service employees equipment maintenance, and lecturing, or to of their duties. of a public agency other than a fire protec- support activities of the type described in § S553.212 Twenty percent limitation on non- tion or law enforcement agency may be paragraph (g) of this section, whether or not exempt work treated as employees engaged in fire protec- such assignment is for training or famil- (a) Employees engaged in fire protection or tion or law enforcement activities of the iarization purposes, or for reasons of illness, law enforcement activities as described in type contemplated by § 7(k) if their services injury or infirmity. The term would also in- Secs. S553.210 and S553.211, may also engage are substantially related to firefighting or clude rescue and ambulance service per- in some nonexempt work which is not per- law enforcement activities in that (1) the sonnel if such personnel form an integral formed as an incident to or in conjunction ambulance and rescue service employees part of the public agency’s law enforcement with their fire protection or law enforcement have received training in the rescue of fire, activities. See Sec. S553.215. activities. For example, firefighters who crime, and accident victims or firefighters or (c) Typically, employees engaged in law law enforcement personnel injured in the enforcement activities include police who work for forest conservation agencies may, during slack times, plant trees and perform performance of their respective, duties, and are regularly employed and paid as such. (2) the ambulance and rescue service employ- Other agency employees with duties not spe- other conservation activities unrelated to their firefighting duties. The performance of ees are regularly dispatched to fires, crime cifically mentioned may, depending upon the scenes, riots, natural disasters and acci- particular facts and pertinent statutory pro- such nonexempt work will not defeat the § 7(k) exemption unless it exceeds 20 percent dents. As provided in Sec. S553.213(b), where visions in that jurisdiction, meet the three employees perform both fire protection and tests described above. If so, they will also of the total hours worked by that employee during the workweek or applicable work pe- law enforcement activities, the applicable qualify as law enforcement officers. Such standard is the one which applies to the ac- employees might include, for example, any riod. A person who spends more than 20 per- cent of his/her working time in nonexempt tivity in which the employee spends the ma- law enforcement employee within the legis- jority of work time during the work period. lative branch concerned with keeping public activities is not considered to be an em- § S553.216 Other exemptions peace and order and protecting life and prop- ployee engaged in fire protection or law en- erty. forcement activities for purposes of this Although the 1974 Amendments to the (d) Employees who do not meet each of the part. FLSA as applied by the CAA provide special three tests described above are not engaged (b) Public agency fire protection and law exemptions for employees of public agencies in ‘law enforcement activities’ as that term enforcement personnel may, at their own op- engaged in fire protection and law enforce- is used in sections 7(k). Employees who nor- tion, undertake employment for the same ment activities, such workers may also be mally would not meet each of these tests in- employer on an occasional or sporadic and subject to other exemptions in the Act, and clude: part-time basis in a different capacity from public agencies may claim such other appli- (1) Building inspectors (other than those their regular employment. The performance cable exemptions in lieu of § 7(k). For exam- defined in Sec. S553.213(a)), of such work does not affect the application ple, section 13(a)(1) as applied by the CAA (2) Health inspectors, of the § 7(k) exemption with respect to the provides a complete minimum wage and (3) Sanitarians, regular employment. In addition, the hours overtime pay exemption for any employee (4) Civilian traffic employees who direct of work in the different capacity need not be employed in a bona fide executive, adminis- vehicular and pedestrian traffic at specified counted as hours worked for overtime pur- trative, or professional capacity, as those intersections or other control points, poses on the regular job, nor are such hours terms are defined and delimited in Part S541.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00060 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S231 The section 13(a)(1) exemption can be be compensable depending on whether the re- Act indicates Congressional intent to man- claimed for any fire protection or law en- strictions placed on the employee preclude date a departure from the usual FLSA forcement employee who meets all of the using the time for personal pursuits. Where, ‘‘hours of work’’ rules and adoption of an tests specified in part S541 relating to duties, for example, a firefighter has returned home overtime standard keyed to the unique con- responsibilities, and salary. Thus, high rank- after the shift, with the understanding that cept of ‘tour of duty’ under which fire- ing police officials who are engaged in law he or she is expected to return to work in the fighters are employed. Where the public enforcement activities, may also, depending event of an emergency in the night, such agency elects to use the section 7(k) exemp- on the facts, qualify for the section 13(a)(1) time spent at home is normally not compen- tion for firefighters, meal time cannot be ex- exemption as ‘‘executive’’ employees. Simi- sable. On the other hand, where the condi- cluded from the compensable hours of work larly, certain criminal investigative agents tions placed on the employee’s activities are where (1) the firefighter is on a tour of duty may qualify as ‘‘administrative’’ employees so restrictive that the employee cannot use of less than 24 hours, and (2) where the fire- under section 13(a)(1). the time effectively for personal pursuits, fighter is on a tour of duty of exactly 24 such time spent on call is compensable. hours. Tour of duty and compensable hours of work (d) In the case of police officers or fire- rules (e) Normal home to work travel is not compensable, even where the employee is ex- fighters who are on a tour of duty of more § S553.220 ‘‘Tour of duty’’ defined pected to report to work at a location away than 24 hours, meal time may be excluded (a) The term ‘‘tour of duty’’ is a unique from the location of the employer’s prem- from compensable hours of work provided concept applicable only to employees for ises. that the statutory tests for exclusion of such whom the section 7(k) exemption is claimed. (f) A police officer, who has completed his hours are met. This term, as used in section 7(k), means the or her tour of duty and who is given a patrol § S553.224 ‘‘Work period’’ defined period of time during which an employee is car to drive home and use on personal busi- (a) As used in section 7(k), the term ‘‘work considered to be on duty for purposes of de- ness, is not working during the travel time period’’ refers to any established and regu- termining compensable hours. It may be a even where the radio must be left on so that larly recurring period of work which, under scheduled or unscheduled period. Such peri- the officer can respond to emergency calls. the terms of the Act and legislative history, ods include ‘‘shifts’’ assigned to employees Of course, the time spent in responding to cannot be less than 7 consecutive days nor often days in advance of the performance of such calls is compensable. more than 28 consecutive days. Except for the work. Scheduled periods also include § S553.222 Sleep time this limitation, the work period can be of time spent in work outside the ‘‘shift’’ which any length, and it need not coincide with the (a) Where a public agency elects to pay the public agency employer assigns. For ex- duty cycle or pay period or with a particular overtime compensation to firefighters and/or ample, a police officer may be assigned to day of the week or hour of the day. Once the law enforcement personnel in accordance crowd control during a parade or other spe- beginning and ending time of an employee’s with section 7(a)(1) of the Act, the public cial event outside of his or her shift. work period is established, however, it re- agency may exclude sleep time from hours (b) Unscheduled periods include time spent mains fixed regardless of how many hours worked if all the conditions for the exclusion in court by police officers, time spent han- are worked within the period. The beginning of such time are met. dling emergency situations, and time spent and ending of the work period may be (b) Where the employer has elected to use working after a shift to complete an assign- changed, provided that the change is in- the section 7(k) exemption, sleep time can- ment. Such time must be included in the tended to be permanent and is not designed not be excluded from the compensable hours compensable tour of duty even though the to evade the overtime compensation require- of work where ments of the Act. specific work performed may not have been (1) The employee is on a tour of duty of assigned in advance. (b) An employer may have one work period less than 24 hours, and applicable to all employees, or different (c) The tour of duty does not include time (2) Where the employee is on a tour of duty spent working for a separate and inde- work periods for different employees or of exactly 24 hours. groups of employees. pendent employer in certain types of special (c) Sleep time can be excluded from com- details as provided in Sec. S553.227. pensable hours of work, however, in the case § S553.225 Early relief § S553.221 Compensable hours of work of police officers or firefighters who are on a It is a common practice among employees engaged in fire protection activities to re- (a) The rules under the FLSA as applied by tour of duty of more than 24 hours, but only lieve employees on the previous shift prior to the CAA on compensable hours of work are if there is an expressed or implied agreement between the employer and the employees to the scheduled starting time. Such early re- applicable to employees for whom the sec- lief time may occur pursuant to employee tion 7(k) exemption is claimed. Special rules exclude such time. In the absence of such an agreement, the sleep time is compensable. In agreement, either expressed or implied. This for sleep time (Sec. S553.222) apply to both practice will not have the effect of increas- law enforcement and firefighting employees no event shall the time excluded as sleep time exceed 8 hours in a 24-hour period. If ing the number of compensable hours of for whom the section 7(k) exemption is work for employees employed under section claimed. Also, special rules for meal time the sleep time is interrupted by a call to duty, the interruption must be counted as 7(k) where it is voluntary on the part of the apply in the case of firefighters (Sec. employees and does not result, over a period S553.223). hours worked. If the sleep period is inter- rupted to such an extent that the employee of time, in their failure to receive proper (b) Compensable hours of work generally compensation for all hours actually worked. include all of the time during which an em- cannot get a reasonable night’s sleep (which, for enforcement purposes means at least 5 On the other hand, if the practice is required ployee is on duty on the employer’s premises by the employer, the time involved must be hours), the entire time must be counted as or at a prescribed workplace, as well as all added to the employee’s tour of duty and hours of work. other time during which the employee is suf- treated as compensable hours of work. § S553.223 Meal time fered or permitted to work for the employer. § S553.226 Training time Such time includes all pre-shift and post- (a) If a public agency elects to pay over- (a) The general rules for determining the shift activities which are an integral part of time compensation to firefighters and law the employee’s principal activity or which compensability of training time under the enforcement personnel in accordance with FLSA apply to employees engaged in law en- are closely related to the performance of the section 7(a)(1) of the Act, the public agency forcement or fire protection activities. principal activity, such as attending roll may exclude meal time from hours worked if (b) While time spent in attending training call, writing up and completing tickets or re- all the statutory tests for the exclusion of required by an employer is normally consid- ports, and washing and re-racking fire hoses. such time are met. ered compensable hours of work, following (c) Time spent away from the employer’s (b) If a public agency elects to use the sec- are situations where time spent by employ- premises under conditions that are so cir- tion 7(k) exemption, the public agency may, ees in required training is considered to be cumscribed that they restrict the employee in the case of law enforcement personnel, ex- noncompensable: from effectively using the time for personal clude meal time from hours worked on tours (1) Attendance outside of regular working pursuits also constitutes compensable hours of duty of 24 hours or less, provided that the hours at specialized or follow-up training, of work. For example, where a police station employee is completely relieved from duty which is required by law for certification of must be evacuated because of an electrical during the meal period, and all the other public and private sector employees within a failure and the employees are expected to re- statutory tests for the exclusion of such particular governmental jurisdiction (e.g., main in the vicinity and return to work after time are met. On the other hand, where law certification of public and private emergency the emergency has passed, the entire time enforcement personnel are required to re- rescue workers), does not constitute compen- spent away from the premises is compen- main on call in barracks or similar quarters, sable hours of work for public employees sable. The employees in this example cannot or are engaged in extended surveillance ac- within that jurisdiction and subordinate ju- use the time for their personal pursuits. tivities (e.g., stakeouts’), they are not con- risdictions. (d) An employee who is not required to re- sidered to be completely relieved from duty, (2) Attendance outside of regular working main on the employer’s premises but is and any such meal periods would be compen- hours at specialized or follow-up training, merely required to leave word at home or sable. which is required for certification of employ- with company officials where he or she may (c) With respect to firefighters employed ees of a governmental jurisdiction by law of be reached is not working while on call. under section 7(k), who are confined to a a higher level of government, does not con- Time spent at home on call may or may not duty station, the legislative history of the stitute compensable hours of work.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00061 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S232 CONGRESSIONAL RECORD — SENATE January 22, 1996 (3) Time spent in the training described in Overtime compensation rules § S553.233 ‘Regular rate’ defined paragraphs (b) (1) or (2) of this section is not § S553.230 Maximum hours standards for work The statutory rules for computing an em- compensable, even if all or part of the costs periods of 7 to 28 days—section 7(k) ployee’s ‘regular rate’, for purposes of the of the training is borne by the employer. (a) For those employees engaged in fire Act’s overtime pay requirements are applica- (c) Police officers or firefighters, who are protection activities who have a work period ble to employees or whom the section 7(k) in attendance at a police or fire academy or of at least 7 but less than 28 consecutive exemption is claimed when overtime com- other training facility, are not considered to days, no overtime compensation is required pensation is provided in cash wages. be on duty during those times when they are under section 7(k) until the number of hours not in class or at a training session, if they Subpart D—Compensatory time-off for over- worked exceeds the number of hours which time earned by employees whose work are free to use such time for personal pur- bears the same relationship to 212 as the suits. Such free time is not compensable. schedule directly depends upon the sched- number of days in the work period bears to ule of the Senate § S553.227 Outside employment 28. § S553.301 Definition of ‘‘directly depends’’ (a) Section 7(p)(1) makes special provision (b) For those employees engaged in law en- for fire protection and law enforcement em- forcement activities (including security per- For the purposes of this Part, a covered ployees of public agencies who, at their own sonnel in correctional institutions) who have employee’s work schedule ‘‘directly de- option, perform special duty work in fire a work period of at least 7 but less than 28 pends’’ on the schedule of the Senate only if protection, law enforcement or related ac- consecutive days, no overtime compensation the eligible employee performs work that di- tivities for a separate and independent em- is required under section 7(k) until the num- rectly supports the conduct of legislative or ployer (public or private) during their off- ber of hours worked exceeds the number of other business in the chamber and works duty hours. The hours of work for the sepa- hours which bears the same relationship to hours that regularly change in response to rate and independent employer are not com- 171 as the number of days in the work period the schedule of the House and the Senate. bined with the hours worked for the primary bears to 28. § S553.302 Overtime compensation and compen- public agency employer for purposes of over- (c) The ratio of 212 hours to 28 days for em- satory time off for an employee whose work time compensation. ployees engaged in fire protection activities schedule directly depends upon the schedule (b) Section 7(p)(1) applies to such outside is 7.57 hours per day (rounded) and the ratio of the Senate employment provided (1) the special detail of 171 hours to 28 days for employees engaged in law enforcement activities is 6.11 hours No employing office shall be deemed to work is performed solely at the employee’s have violated section 203(a)(1) of the CAA, option, and (2) the two employers are in fact per day (rounded). Accordingly, overtime compensation (in premium pay or compen- which applies the protections of section 7(a) separate and independent. of the Fair Labor Standards Act (‘‘FLSA’’) (c) Whether two employers are, in fact, satory time) is required for all hours worked in excess of the following maximum hours to covered employees and employing office, separate and independent can only be deter- by employing any employee for a workweek mined on a case-by-case basis. standards (rounded to the nearest whole hour): in excess of the maximum workweek applica- (d) The primary employer may facilitate ble to such employee under section 7(a) of the employment or affect the conditions of Maximum hours stand- the FLSA where the employee’s work sched- employment of such employees. For exam- ards ule directly depends on the schedule of the ple, a police department may maintain a ros- Work period (days) Fire pro- Law en- Senate within the meaning of § S553.301, and: ter of officers who wish to perform such tection forcement (a) the employee is compensated at the rate work. The department may also select the of time-and-a-half in pay for all hours in ex- officers for special details from a list of 28 ...... 212 171 27 ...... 204 165 cess of 40 and up to 60 hours in a workweek, those wishing to participate, negotiate their 26 ...... 197 159 and (b) the employee is compensated at the pay, and retain a fee for administrative ex- 25 ...... 189 153 rate of time-and-a-half in either pay or in penses. The department may require that the 24 ...... 182 147 23 ...... 174 141 time off for all hours in excess of 60 hours in separate and independent employer pay the 22 ...... 167 134 a workweek. fee for such services directly to the depart- 21 ...... 159 128 ment, and establish procedures for the offi- 20 ...... 151 122 § S553.303 Using compensatory time off 19 ...... 144 116 cers to receive their pay for the special de- 18 ...... 136 110 An employee who has accrued compen- tails through the agency’s payroll system. 17 ...... 129 104 satory time off under § S553.302, upon his or Finally, the department may require that 16 ...... 121 98 her request, shall be permitted by the em- 15 ...... 114 92 the officers observe their normal standards 14 ...... 106 86 ploying office to use such time within a rea- of conduct during such details and take dis- 13 ...... 98 79 sonable period after making the request, un- ciplinary action against those who fail to do 12 ...... 91 73 less the employing office makes a bona fide 11 ...... 83 67 so. 10 ...... 76 61 determination that the needs of the oper- (e) Section 7(p)(1) applies to special details 9 ...... 68 55 ations of the office do not allow the taking even where a State law or local ordinance re- 8 ...... 61 49 of compensatory time off at the time of the 7 ...... 53 43 quires that such work be performed and that request. An employee may renew the request only law enforcement or fire protection em- at a subsequent time. An employing office § S553.231 Compensatory time off ployees of a public agency in the same juris- may also, upon reasonable notice, require an diction perform the work. For example, a (a) Law enforcement and fire protection employee to use accrued compensatory time- city ordinance may require the presence of employees who are subject to the section off. 7(k) exemption may receive compensatory city police officers at a convention center § S553.304 Payment of overtime compensation during concerts or sports events. If the offi- time off in lieu of overtime pay for hours worked in excess of the maximum for their for accrued compensatory time off as of ter- cers perform such work at their own option, mination of service the hours of work need not be combined with work period as set forth in Sec. S553.230. the hours of work for their primary em- (b) Section 7(k) permits public agencies to An employee who has accrued compen- ployer in computing overtime compensation. balance the hours of work over an entire satory time authorized by this regulation (f) The principles in paragraphs (d) and (e) work period for law enforcement and fire shall, upon termination of employment, be of this section with respect to special details protection employees. For example, if a fire- paid for the unused compensatory time at of public agency fire protection and law en- fighter’s work period is 28 consecutive days, the rate earned by the employee at the time forcement employees under section 7(p)(1) and he or she works 80 hours in each of the the employee receives such payment. are exceptions to the usual rules on joint first two weeks, but only 52 hours in the Part S570—Child Labor Regulations third week, and does not work in the fourth employment set forth in part 791 of this Subpart A—General title. week, no overtime compensation (in cash wages or compensatory time) would be re- Sec. (g) Where an employee is directed by the quired since the total hours worked do not S570.00 Corresponding section table of the public agency to perform work for a second exceed 212 for the work period. If the same FLSA regulations of the Labor Depart- employer, section 7(p)(1) does not apply. firefighter had a work period of only 14 days, ment and the CAA regulations of the Of- Thus, assignments of police officers outside overtime compensation or compensatory fice of Compliance. of their normal work hours to perform crowd time off would be due for 54 hours (160 minus S570.1 Definitions. control at a parade, where the assignments 106 hours) in the first 14 day work period. S570.2 Minimum age standards. are not solely at the option of the officers, would not qualify as special details subject § S553.232 Overtime pay requirements Subpart C—Employment of minors between to this exception. This would be true even if If a public agency pays employees subject 14 and 16 years of age (child labor reg. 3) the parade organizers reimburse the public to section 7(k) for overtime hours worked in S570.31 Determination. agency for providing such services. cash wages rather than compensatory time S570.32 Effect of this subpart. (h) Section 7(p)(1) does not prevent a public off, such wages must be paid at one and one- S570.33 Occupations. agency from prohibiting or restricting out- half times the employees’ regular rates of S570.35 Periods and conditions of employ- side employment by its employees. pay. ment.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00062 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S233 Subpart A—General riods, and under the conditions hereafter ments to its general Notice of Proposed § S570.00 Corresponding section table of the specified does not interfere with their Rulemaking published on November 28, 1995 FLSA regulations of the Labor Department schooling or with their health and well-being in the Congressional Record, has adopted, and the CAA regulations of the Office of and shall not be deemed to be oppressive and is submitting for approval by the Con- Compliance. child labor. gress, final regulations to implement sec- The following table lists the sections of the § S570.32 Effect of this subpart tions 203(a) and 203(c) (1) and (2) of the Con- Secretary of Labor Regulations under the In all occupations covered by this subpart gressional Accountability Act of 1995 FLSA with the corresponding sections of the the employment (including suffering or per- (‘‘CAA’’), which apply certain rights and pro- Office of Compliance Regulations under Sec- mitting to work) by an employer of minor tections of the Fair Labor Standards Act of tion 202 of the CAA: employees between 14 and 16 years of age for 1938. The Board is also adopting and issuing such regulations as interim regulations for Secretary of Labor Regu- OC Regulations the periods and under the conditions speci- fied in § S570.35 shall not be deemed to be op- the House, the Senate and the employing of- lations fices of the instrumentalities effective on 570.1 Definitions ...... S570.1 pressive child labor within the meaning of January 23, 1996 or on the dates upon which 570.2 Minimum age standards .... S570.2 the Fair Labor Standards Act of 1938. appropriate resolutions are passed, which- 570.31 Determinations ...... S570.31 § S570.33 Occupations 570.32 Effect of this subpart ...... S570.32 ever is later. The interim regulations shall This subpart shall apply to all occupations 570.33 Occupations ...... S570.33 expire on April 15, 1996 or on the dates on 570.35 Periods and conditions of other than the following: which appropriate resolutions concerning employment ...... S570.35 (a) Manufacturing, mining, or processing the Board’s final regulations are passed by occupations, including occupations requiring the House and the Senate, respectively, § S570.1 Definitions the performance of any duties in work rooms whichever is earlier. As used in this part: or work places where goods are manufac- For Further Information Contact: Execu- (a) Act means the Fair Labor Standards tured, mined, or otherwise processed; tive Director, Office of Compliance, Room Act of 1938, as amended (52 Stat. 1060, as (b) Occupations which involve the oper- LA 200, Library of Congress, Washington, amended; 29 U.S.C. 201-219). ation or tending of hoisting apparatus or of D.C. 20540-1999. Telephone: (202) 724–9250. (b) Oppressive child labor means employ- any power-driven machinery other than of- I. Background and Summary ment of a minor in an occupation for which fice machines; he does not meet the minimum age stand- (c) The operation of motor vehicles or serv- Supplementary Information: The Congres- ards of the Act, as set forth in Sec. S570.2 of ice as helpers on such vehicles; sional Accountability Act of 1995 (‘‘CAA’’), this subpart. (d) Public messenger service; Pub. L. 104–1, 109 Stat. 3, was enacted on Jan- (c) Oppressive child labor age means an age (e) Occupations which the Secretary of uary 23, 1995. 2 U.S.C. §§ 1301 et seq. In gen- below the minimum age established under Labor may, pursuant to section 3(1) of the eral, the CAA applies the rights and protec- the Act for the occupation in which a minor Fair Labor Standards Act and Reorganiza- tions of eleven federal labor and employment is employed or in which his employment is tion Plan No. 2, issued pursuant to the Reor- law statutes to covered employees and em- contemplated. ganization Act of 1945, find and declare to be ploying offices within the legislative branch. (d) [Reserved] hazardous for the employment of minors be- In addition, the statute establishes the Of- (e) [Reserved] tween 16 and 18 years of age or detrimental fice of Compliance (‘‘Office’’) with a Board of (f) Secretary or Secretary of Labor means the to their health or well-being; Directors (‘‘Board’’) as ‘‘an independent of- Secretary of Labor, United States Depart- (f) Occupations in connection with: fice within the legislative branch of the Fed- ment of Labor, or his authorized representa- (1) Transportation of persons or property eral Government.’’ Section 203(a) of the CAA tive. by rail, highway, air, water, pipeline, or applies the rights and protections of sub- (g) Wage and Hour Division means the Wage other means; sections a(1) and (d) of section 6, section 7, and Hour Division, Employment Standards (2) Warehousing and storage; and section 12(c) of the Fair Labor Standards Administration, United States Department (3) Communications and public utilities; Act of 1938 (‘‘FLSA’’) (29 U.S.C. 206(a)(1) and of Labor. (4) Construction (including demolition and (d), 207, and 212(c)) to covered employees and (h) Administrator means the Administrator repair); except such office (including ticket employing offices. 2 U.S.C. § 1313. Section of the Wage and Hour Division or his author- office) work, or sales work, in connection 203(c)(2) of the CAA directs the Board to ized representative. with paragraphs (f)(1), (2), (3), and (4) of this issue substantive regulations that ‘‘shall be §S570.2 Minimum age standards section, as does not involve the performance the same as substantive regulations issued (a) All occupations except in agriculture. of any duties on trains, motor vehicles, air- by the Secretary of Labor . . . except insofar (1) The Act, in section 3(1), sets a general 16- craft, vessels, or other media of transpor- as the Board may determine, for good cause year minimum age which applies to all em- tation or at the actual site of construction shown . . . that a modification of such regu- ployment subject to its child labor provi- operations. lations would be more effective for the im- sions in any occupation other than in agri- § S570.35 Periods and conditions of employment plementation of the rights and protections under’’ the CAA. 2 U.S.C. § 1313(c)(2). On Sep- culture, with the following exceptions: (a) Except as provided in paragraph (b) of (i) The Act authorizes the Secretary of tember 28, 1995, the Board of the Office of this section, employment in any of the occu- Labor to provide by regulation or by order Compliance issued an Advance Notice of Pro- pations to which this subpart is applicable that the employment of employees between posed Rulemaking (‘‘ANPR’’) soliciting com- shall be confined to the following periods: the ages of 14 and 16 years in occupations ments from interested parties in order to ob- (1) Outside school hours; tain participation and information early in other than manufacturing and mining shall (2) Not more than 40 hours in any 1 week not be deemed to constitute oppressive child the rulemaking process. 141 Cong. Rec. when school is not in session; S14542 (daily ed., Sept. 28, 1995). labor, if and to the extent that the Secretary (3) Not more than 18 hours in any 1 week of Labor determines that such employment On November 28, 1995, the Board published when school is in session; in the Congressional Record a Notice of Pro- is confined to periods which will not inter- (4) Not more than 8 hours in any 1 day fere with their schooling and to conditions posed Rulemaking (NPR) (141 Cong. Rec. when school is not in session; S17603–27 (daily ed.)). In response to the NPR, which will not interfere with their health (5) Not more than 3 hours in any 1 day and well-being (see subpart C of this part); the Board received six written comments, when school is in session; three of which were from offices of the Con- and (6) Between 7 a.m. and 7 p.m. in any 1 day, gress and three of which were from organiza- (ii) The Act sets an 18-year minimum age except during the summer (June 1 through tions associated with the business commu- with respect to employment in any occupa- Labor Day) when the evening hour will be 9 nity and organized labor. The comments in- tion found and declared by the Secretary of p.m. Labor to be particularly hazardous for the cluded requests that the Board should pro- employment of minors of such age or detri- HOUSE OF REPRESENTATIVES vide additional guidance to employing of- mental to their health or well-being. FAIR LABOR STANDARDS ACT, FINAL AND IN- fices on complying with the CAA and compli- (2) The Act exempts from its minimum age TERIM REGULATIONS RELATING TO THE ance issues raised by the ambiguities in the requirements the employment by a parent of HOUSE OF REPRESENTATIVES AND ITS EM- Secretary of Labor’s regulations. his own child, or by a person standing in PLOYING OFFICES Parenthetically, it should also be noted place of a parent of a child in his custody, that, on October 11, 1995, the Board published a Notice of Proposed Rulemaking in the Con- except in occupations to which the 18-year OFFICE OF COMPLIANCE—THE CONGRESSIONAL gressional Record (141 Cong. R. S15025 (daily age minimum applies and in manufacturing ACCOUNTABILITY ACT OF 1995: EXTENSION OF ed., October 11, 1995) (‘‘NPR’’)), inviting com- and mining occupations. RIGHTS AND PROTECTIONS UNDER THE FAIR ments from intersted parties on the proposed Subpart B—[Reserved] LABOR STANDARDS ACT OF 1938 FLSA regulations which the CAA directed Subpart C—Employment of minors between NOTICE OF ADOPTION OF REGULATIONS AND SUB- the Board to issue on the definition of ‘‘in- 14 and 16 years of age (child labor reg. 3) MISSION FOR APPROVAL AND ISSUANCE OF IN- tern’’ and on ‘‘irregular work schedules.’’ § S570.31 Determination TERIM REGULATIONS Final regulations on those matters were sep- The employment of minors between 14 and Summary: The Board of Directors of the arately adopted by the Board on January 16, 16 years of age in the occupations, for the pe- Office of Compliance, after considering com- 1996. However, because they are regulations

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00063 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S234 CONGRESSIONAL RECORD — SENATE January 22, 1996 implementing the rights and protections of of Part 541 and elsewhere in the Secretary of and the Secretary’s regulations. The Board the FLSA made applicable by the CAA, the Labor’s regulations. Section 203(c)(2) of the has considered these suggestions and, al- Board has incorporated those regulations CAA requires the Board to promulgate regu- though empathizing with the concerns moti- into the body of final regulations being lations that are the same as the substantive vating these requests, finds these sugges- adopted pursuant to this Notice. The defini- regulations promulgated by the Secretary. tions raise intractable legal and practical tion of ‘‘interim’’ may be found in section [H But, as explained in the NPR, the interpre- problems. or S] 501.102 (c) and (h), and the ‘‘irregular tive bulletins set forth in Subpart B of Part To begin with, the Board upon further work schedules’’ regulation may be found in 541 and elsewhere in the Secretary of Labor’s study has determined that, contrary to the sections [H or S or C] 553.301–553.304. regulations are not substantive regulations suggestion of the commenters, the Board cannot confer a Portal-to-Portal Act defense II. Consideration of public comments; the within the meaning of the law. Moreover, on employing offices for any reliance on pro- Board’s response and modifications to the with respect to the concern expressed by nouncements of the Board (as opposed to the NPR’s rules some commenters that congressional em- ploying offices would be at a distinct dis- Secretary). By its own terms, in the context A. Requests that the Board provide addi- advantage if the Board does not adopt the of the FLSA, the Portal-to-Portal Act ap- tional guidance, including interpretative Secretary’s interpretative bulletins, the plies only to written administrative actions bulletins and opinion letters Board again notes, as it did in the NPR, that of the Wage and Hour Administrator of the The Board first turns to the issue of wheth- the Board need not adopt the Secretary’s in- Department of Labor. See 29 U.S.C.§ 259. The er and in what circumstances the Board can terpretive bulletins in order for them to be Portal-to-Portal Act does not mention the and should give authoritative guidance to available as guidance for employing offices. Board; and the Board’s authority to amend employing offices about issues arising from While the Board is not adopting these inter- the Secretary’s regulations for ‘‘good cause’’ ambiguities in and uncertain applications of pretive bulletins, the Board reiterates that, plainly does not extend to amending statutes the Secretary’s regulations. Commenters like the myriad judicial decisions under the such as the Portal-to-Portal Act. Thus, as have formally and informally requested such FLSA that are available as guidance for em- the federal court of appeals which has juris- guidance in various forms: that the Board ploying offices, the Secretary’s interpretive diction over such matters under the CAA has change the Secretary’s regulations to clarify bulletins remain available as part of the cor- held in an almost identical context, the Por- ambiguities; that the Board adopt the Sec- pus of interpretive materials to which em- tal-to-Portal Act would not confer a defense retary’s interpretive bulletins; that the ploying offices may look in structuring their upon employing offices that might rely upon Board issue the Secretary of Labor’s inter- FLSA-related compliance activities. Indeed, a pronouncement of the Board. See Berg v. pretative bulletins as its own regulations; as the Board also noted in the NPR, since the Newman, 982 F.2d 500, 503-504 (Fed Cir. 1992) that the Board issue opinion letters consti- CAA may properly be interpreted as incor- (‘‘To apply the statute to a regulation issued by OPM, an agency not referred to in section tuting safe harbors from litigation; that the porating the defenses and exemptions set 259, would extend the section 259 exception Board give its imprimatur, either formally forth in the Portal-to-Portal Act, an employ- beyond its scope’’; ‘‘OPM’s absence from sec- or informally, to employee handbooks and ing office that relies in good faith on an ap- tion 259 prevents the Government from both other human resource activities of employ- plicable interpretive bulletin of the Sec- adopting and shielding itself from liability ing offices. Mindful that the Board’s first de- retary may in fact have a statutory defense for faulty regulations.’’) The final regula- cisions on these matters will have important to an enforcement action brought by a cov- tions so state. institutional and legal implications, the ered employee. In short, contrary to the sug- Second, contrary to the assumption of Board has carefully considered these re- gestion of these commenters, the Board need these commenters, the Board has neither the quests, as well as the underlying concerns not adopt the Secretary’s interpretive bul- legal basis nor the practical ability to issue they reflect. letins in order to give employing offices the the kind of interpretive bulletins or advisory At the outset, the Board must decline the benefit of them. opinions being requested. While the Adminis- suggestion that it modify the Secretary’s One commenter went so far as to suggest trator of the Wage and Hour Division enter- regulations in order to remove the ambigu- that, by not adopting the Secretary’s inter- tains questions posed by employers about en- ities and resulting uncertainties that Con- pretive bulletins, the Board has somehow forcement-related issues, the Administra- gressional offices will face in complying with signaled its intent to engage in a wholesale tor’s willingness and ability to respond to the CAA once it takes effect. The Board’s au- reinterpretation of the FLSA and its imple- such questions derives from and is con- thority to modify the regulations of the Sec- menting regulations. No such signal was strained by her investigatory and enforcement retary is explicitly limited by the require- sent; no such signal was intended. Since the responsibilities under the FLSA. As the Su- CAA does not require adoption of these in- ment that the substantive regulations issued preme Court stated over 50 years ago in terpretive bulletins, and since they are inde- by the Secretary of Labor ‘‘shall be the same Skidmore v. Swift & Co., 323 U.S. 134, 137-38 pendently available to employing offices, the as substantive regulations issued by the Sec- (1944) (citations omitted): ‘‘Congress did not Board merely determined that it need not retary of Labor . . . except insofar as the utilize the services of an administrative Board may determine, for good cause shown adopt the Secretary’s interpretative bul- agency to find facts and to determine in the . . . that a modification of such regulations letins as its own. Moreover, like the Admin- first instance whether particular cases fall would be more effective for the implementa- istrator and the courts, the Board intends to within or without the Act. Instead, it put tion of the rights and protections under’’ the depart from the interpretive bulletins only these responsibilities on the courts. But it CAA. As is true of many regulatory issues, where their persuasive force is lacking or the did create the office of Administrator, im- ambiguity and uncertainty are part of the law otherwise requires (just as courts or the pose upon him a variety of duties, endow him the FLSA regulatory regime that is pres- Administrator would do). See Skidmore v. with powers to inform himself of conditions ently imposed—with much criticism and pro- Swift & Co., 323 U.S. 134, 137–38 (1944); Reich v. in industries and employments subject to the test—on private sector and state and local Interstate Brands Corp., 57 F.3d 574, 577 (7th Act, and put on him the duties of bringing government employers. Cir. 1995) (‘‘[W]e give the Secretary’s bul- injunction actions to restrain violations. The example of the executive, administra- letins the respect their reasoning earns Pursuit of his duties has accumulated a con- tive and professional employee exemptions them.’’); Dalheim v. KDFW–TV, 918 F.2d 1220, siderable experience in the problems of illustrates this point. The Board specifically 1228 (5th Cir. 1990) (‘‘the persuasive authority ascertaining working time in employments highlighted this problem and asked for com- of a given interpretation obtains only so involving periods of inactivity and a knowl- ment in its ANPR (141 Cong. Rec. S14542, long as ‘all those factors which give it power edge of the customs prevailing in reference S14543) on September 28, 1995. Although the to persuade’ persist.’’) (quoting Skidmore). to their solution. From these he is obliged to Board received many comments on this issue As an alternative to modifying the regula- reach conclusions as to conduct without the and is sympathetic with the concerns of em- tions and adopting the interpretive bulletins law, so that he should seek injunctions to ploying offices confronting such ambiguity of the Secretary, several commenters also stop it, and that within the law, so that he and uncertainty, the Board has neither been suggested that the Board clarify regulatory has no call to interfere. He has set forth his given nor can find appropriate justification ambiguities by issuing interpretive bulletins views of the application of the Act under dif- for relieving employing offices of the compli- and advisory opinions of its own and thereby ferent circumstances in an interpretative ance burdens that all employers face under confer a Portal-to-Portal Act defense on em- bulletin and in informal rulings. They pro- the FLSA. The CAA was intended not only to ploying offices that rely upon any such bul- vide a practical guide to employers and em- bring covered employees the benefits of the letins or advisory opinions of the Board. In- ployees as to how the office representing the FLSA and other incorporated laws, but also deed, at least one commenter suggested that public interest in its enforcement will seek to require Congress to experience the same the Board should provide advisory opinions to apply it.’’ compliance burdens faced by other employ- and other counsel to employing offices that In contrast, the Board has no investigative ers so that it could more fairly legislate in pose questions to it concerning, for example, power by which it can inform itself of condi- this area. The Board cannot agree with sug- the propriety of proposed model personnel tions, circumstances and customs of employ- gestions that would rob the CAA of one of its practices, the exempt status of employees ment in the legislative branch; its resources principal intended effects. with specified job descriptions, the legality for finding and considering such information The Board must also decline the sugges- of proposed handbooks, and the qualification are smaller by orders of substantial mag- tion that it adopt, as either formal regula- of certain House and Senate programs (such nitude; and, most importantly, the Board tions or as its own interpretive authority, as the Federal Thrift Savings Plan) for de- has no cause to advise employees and em- the interpretive bulletins found in Subpart B fenses or exemptions recognized in the FLSA ploying offices concerning how it will seek

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00064 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S235 to enforce the statute, since it has no en- programs that ensure general ‘‘awareness’’ of the absence of a specific factual controversy, forcement powers under the CAA. rights and responsibilities under the perti- a record developed through an adversarial Indeed, on reflection, it seems unwise, if nent law. process governed by rules of law, and an op- not legally improper, for the Board to set Section 301(h) must be read in the context portunity for judicial review. To do other- forth its views on interpretive ambiguities in of the powers granted to and withheld from wise would simply impair the independence, the regulations outside of the adjudicatory the Board in the statutory scheme created impartiality, and irreproachability of the context of individual cases. As noted above, by the CAA. The CAA authorizes the Board Board’s actions. In short, for much the same the Board’s rulemaking authority is quite to engage in rulemaking, but requires the reasons that federal courts do not issue advi- restricted. Moreover, the Board has no en- Board to follow specified procedures in doing sory opinions or ex parte decisions, neither forcement authority and, in contrast to the so and, at least in the context of the FLSA, should the Board. See United States v. FLSA scheme (where the Administrator has requires the Board to have ‘‘good cause’’ for Freuhauf, 365 U.S. 146, 157 (1961) (Frankfurter, no adjudicatory authority to find facts and departing from the Secretary of Labor’s sub- J.) (discussing vices of advisory opinions). to determine in the first instance whether stantive regulations. Moreover, the CAA au- To be sure, ‘‘education’’ and ‘‘information’’ particular cases fall within or without the thorizes the Board to engage in adjudication, programs are of central importance to the statute), the CAA contemplates that the but only after a complaint is filed with the CAA scheme. Such programs are needed, in Board will adjudicate cases brought by cov- Office, a record is properly developed part, to help employing offices in their ef- ered employees and that, in such adjudica- through an adversarial process governed by forts to understand and satisfy their compli- tions, the Board must be of independent and rules of law, and judicial review is assured. ance obligations under the CAA. And the open mind, bound to and limited by a factual And the CAA rather pointedly declines to Board reiterates its intention, stated in the record developed through an adversarial confer upon the Board the investigatory and NPR, that the Office sponsor, and participate process governed by rules of law, and subject prosecutorial authority that is necessary for in, seminars on the obligations of employing to judicial review of its decisions. See 2 sound decisionmaking and interpretation offices, distribute a comprehensive manual U.S.C. §§ 1405-1407 (procedure for complaint, outside of the regulatory and adjudicatory to address frequently arising questions under hearing, board review and judicial review; re- contexts. Given this statutory scheme, sec- the CAA (including questions relating to quiring hearings to be conducted in accord- tion 301(h)’s ‘‘education and information’’ FLSA exemptions), and be available gen- ance with 5 U.S.C. §§ 554-557); 29 U.S.C. §§ 554- mandate cannot reasonably be construed to erally to discuss compliance-related issues 557. These legal safeguards and the institu- require (or even allow) the Board to engage when called upon by employing offices. But tional objectives they seek to promote—i.e., in the kind of advisory counselling requested the Board itself will not and should not in the accuracy of the Board’s adjudicative de- here—i.e., authoritative opinions developed this education and information process issue cisions and the integrity of the Board’s proc- in nonpublic, nonadversarial proceedings. authoritative opinions about such matters as esses—would be undermined if the Board Indeed, Congress appears effectively to the exemption status of employees with were to attempt to prejudge ambiguous or have considered this issue in the CAA and to specified job duties, the propriety of par- disputed interpretive matters in advisory have rejected the kind of relationship be- ticular model handbooks and policies devel- opinions that were developed in non-adver- tween the Board and employing offices that oped by employing offices, and the qualifica- sarial, non-public proceedings. The Board is contemplated by this request. The legisla- tion of certain House and Senate programs thus cannot acquiesce in requests for such tive history reflects a recognition that ‘‘the (such as the Federal Thrift Savings Plan) for advisory opinions. office must, in appearance and reality, be particular defenses and exemptions that are Some commenters suggested that the independent in order to gain and keep the available under the regulations. Character- Board could properly issue such interpretive confidence of the employees and employers izing such interpretive activity as ‘‘edu- bulletins and advisory opinions under the ru- who will utilize the dispute resolution proc- cational’’ or ‘‘informational’’ does not in any bric of the ‘‘education’’ and ‘‘information’’ ess created by this act.’’ 141 Cong. Rec. at way address, much less satisfactorily re- programs allowed and, indeed, mandated by S627. The legislative history further reflects solve, the serious legal and institutional con- section 301(h) of the CAA. Of course, the Of- a recognition that ‘‘laws cannot be enforced cerns that make it unwise, if not improper, fice’s education and information programs in a fair and uniform manner—and employ- for the Board to engage in such interpretive are not the subject of this notice and com- ees and the public cannot be convinced that activities outside of the adjudicative proc- ment and thus a discussion of ‘‘education’’ the laws are being enforced in a fair and uni- esses established by the CAA. and ‘‘information’’ programs is not nec- form manner—unless Congress establishes a The Board recognizes that, by declining to essary to this rulemaking effort. But, upon single enforcement mechanism that is inde- provide such authoritative advisory opin- due consideration of matter, it appears that pendent of each House of Congress.’’ 141 ions, the Board is forcing employing offices this suggestion is based upon a fundamental Cong. Rec. at S444. The statute thus declares to rely to a greater extent upon their own misunderstanding of the institutional powers that the Office of Compliance is an ‘‘inde- counsel and human resources officials and in and responsibilities conferred upon and with- pendent office’’ in the legislative branch; a sense is frustrating the efforts of employ- held from the Board and the Office by Con- that the Office is governed by a Board of Di- ing offices to obtain desirable safe-harbors. gress in the CAA. Thus, it is both fair and rectors whose members were appointed on a The FLSA as currently applied to private prudent to address the issue at this point. bi-partisan basis for non-partisan reasons, employers contains few such safe-harbors, At the outset, the Board notes that Sec- who may be removed in only quite limited particularly in the area of exemptions. But tion 301(h)’s reference to ‘‘education’’ and circumstances, and whose incomes are large- many knowledgeable labor lawyers and ‘‘information’’ programs is not the broad ly derived from work in the private sector; human resources officials are available to mandate that these comments suggest. In and that the Board must follow formal pub- provide employing offices with the kind of contrast to other statutory schemes, section lic comment and adjudicatory procedures in learned counsel and human resources advice 301(h) does not authorize, much less compel, making any decisions with legal effect. 2 that the employing offices are seeking from the development by the Board or the Office U.S.C. §§ 1381 (a), (b), (e), (f), (g), 1384, 1405–6. the Board; indeed, the House and Senate of ‘‘training’’ or ‘‘technical assistance’’ pro- The call for issuing advisory opinions in the have centralized administrations and com- grams such as those that are included in the ‘‘education’’ and ‘‘information’’ process— mittees that can provide this legal support Americans with Disabilities Act, Title VII of opinions that would be issued in non-public, to employing offices. And employing offices the Civil Rights Act of 1964, the Occupa- non-adversarial proceedings without regard have the benefit of the same legal safe-har- tional Safety and Health Act of 1970, the Em- to the statutorily-required public comment bors that the Secretary of Labor has made ployee Polygraph Protection Act of 1988, and and adjudicatory procedures—is in intoler- available to private sector and State and the Age Discrimination in Employment Act able tension with the institutional independ- local government employers. Under the CAA, of 1967. Nor does the CAA authorize, much ence, inclusiveness and procedural regularity they are legally entitled to no more. less compel, the issuance of interpretive bul- contemplated for the Board by the CAA. Even more importantly, however, the letins, advisory opinions or enforcement In all events, the Board would in the exer- Board finds that the long-term institutional guidelines, as agencies with investigative cise of its considered judgment decline to harm to the CAA scheme that would result and prosecutorial powers (and matching re- provide authoritative opinions to employing from the Board’s providing such advisory sources) are sometimes allowed (although al- offices as part of its ‘‘education’’ and ‘‘infor- opinions in non-public, non-adversarial pro- most never compelled) to issue. Rather, sec- mation’’ programs. Without investigatorial ceedings far outweighs whatever short-term tion 301(h) directs the Office to carry out ‘‘a and prosecutorial authority (and matching legal or political benefits might result for program of education for members of Con- resources), the Board has insufficient infor- employing offices. As noted above, provision gress and other employing authorities of the mation and thus is practicably unable to by the Board of such opinions could impair legislative branch of the Federal Govern- provide such authoritative opinions. With se- confidence in the independence, impartiality ment respecting the laws made applicable to verely restricted rulemaking authority, the and irreproachability of the Board’s deci- them’’; and ‘‘a program to inform individuals Board cannot properly provide regulatory sionmaking processes. Such a lack of con- of their rights under laws applicable to the clarifications for employing offices when fidence could unfortunately induce employ- legislative branch of the Federal Govern- those clarifications have not been provided ees to take their cases to court rather than ment.’’ 2 U.S.C. § 1381(h). Such admonitions by the Secretary to private sector and state bring them to the Board’s less costly, con- are, however, contained in almost all federal and local government employers. And, with fidential and expedited alternative dispute employment laws; and those experienced in its adjudicatory powers, the Board should resolution process. Even more seriously, the field understand them to concern only not resolve disputed interpretive matters in such a lack of confidence could cause the

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00065 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S236 CONGRESSIONAL RECORD — SENATE January 22, 1996 public and other interested persons to ques- The Board originally did not propose adop- The Board is aware that Congress has en- tion the Board’s commitment, and thus the tion of this regulation. However, one com- acted special provisions governing overtime sincerity of the CAA’s promise, generally to menter pointed out that, by its terms, compensation and compensatory time off for provide covered employees the same bene- § 541.5d covers a ‘‘public agency,’’ which is a Capitol Police officers. 40 U.S.C. § 206b (for fits, and to subject the legislative branch to statutory term defined in § 3(x) of the FLSA police on the House’s payroll) and § 206c (for the same legal burdens, as exist with regard to include ‘‘the government of the United police on the Senate’s payroll). However, the to private sector and State and local govern- States.’’ As a definitional provision, § 3(x) is regulations being adopted here do not pur- ment employers that are subject to the incorporated into the CAA by virtue of port to modify those statutory provisions; FLSA. We are confident that, like the bi-par- § 225(f)(1), and Congress is undeniably a and whether 40 U.S.C. §§ 206b–206c grant tisan Congressional leadership who ap- branch of the ‘‘government of the United rights and protections to law enforcement pointed us and who placed their trust in our States.’’ employees that preclude the Capitol Police experience and judgment concerning how The Board finds merit in the commenter’s from availing itself of § 7(k) of the FLSA is a best to implement this statute, those in Con- argument. Moreover, the adoption of this question that the Board does not address. gress who voted for the CAA or who would regulation is well in keeping with the The regulations simply specify the rules for support it today would want us to prefer the Board’s mandate to promulgate rules that overtime policies that conform to the FLSA. long term viability, integrity, and efficacy of are ‘‘the same as substantive regulations 4. § 570.35a—Work experience programs for mi- this noble statutory enterprise over the promulgated by the Department of Labor to nors implement’’ those FLSA statutory provi- short-term demands of employing offices. The CAA makes applicable to the legisla- sions made applicable by the CAA. Accord- B. Specific comments and Board action tive branch FLSA § 12(c), which prohibits the ingly, § 541.5d will be adopted with a minor use of oppressive child labor, and FLSA § 3(l), 1. §§ 541.1,.2,.3—‘‘White collar’’ exemptions— change that substitutes for the citation to which defines ‘‘oppressive child labor.’’ In its Use of job descriptions to determine ex- § 541.118 (an interpretative bulletin) the NPR, the Board proposed adopting as part of empt status phrase ‘‘being paid on a salary basis,’’ which the CAA rules applicable to the Senate cer- The Board received several comments urg- is derived directly from the substantive reg- tain substantive regulations of Part 570, 29 ing the Board, on the basis of generic job de- ulations defining the ‘‘white collar’’ exemp- C.F.R., implementing these statutory provi- scriptions, to give advice to employing of- tions (i.e., 29 C.F.R. §§ 541.1,.2,.3). fices on whether covered employees are ex- sions. This proposal was based on the Board’s 3. Partial overtime exemption for law enforce- understanding that the Senate has a practice empt as bona fide executive, administrative, ment officers or professional employees under FLSA of appointing pages under 18 years of age. The Board did not propose to adopt any § 13(a)(1) as applied by the CAA. As noted One commenter confirmed this under- sections of 29 C.F.R. Part 553, which govern above, it would not be appropriate to at- standing by reporting that the Senate Page the application of the FLSA to employees of tempt to give such advice in the context of Program does employ minors under the age State and local governments. Subparts A and this rulemaking. The Board would note, as a of 16. Thus, under the proposed regulations, B of that Part address a variety of issues, in- further point, that submission of such de- there are limitations on the periods and the cluding certain exclusions pertaining to scriptions which may describe functions of conditions under which such minors can elected legislative offices, the use of compen- congressional employees would not, in any work. Without disputing the applicability of satory time off, recordkeeping, and the em- event, provide the detail necessary to deter- this regulation, the commenter sought to ployment of volunteers. Subpart C addresses mine the exempt or nonexempt status of the mitigate its impact by urging the adoption the special provisions which Congress en- job. Job descriptions that utilize language or of an additional regulation found in 29 C.F.R. acted in § 7(k) in connection with fire protec- phraseology derived from the regulations Part 570, Subpart C, namely the rule that tion and law enforcement employees of pub- today adopted by the Board do not provide varies some of the provisions of Subpart C in lic agencies. the specificity of conclusions regarding ex- the context of school-supervised and school- Section 7(k) of the FLSA also provides a administered work-experience or career ex- empt or nonexempt status. The Secretary’s partial overtime exemption for fire protec- regulations, as adopted by the Board, speak ploration programs that have been individ- tion and law enforcement employees of a ually approved by the Wage and Hour Ad- for themselves. It would serve no purpose, public agency. Based on tour-of-duty aver- and provide no guidance, simply to repeat ministrator. 29 C.F.R. § 570.35a. ages that were determined by the Secretary After carefully reviewing the provisions of the statutory standards for exemption in a of Labor in 1975, an employer need not pay job description without reference to the par- § 570.35a, the Board finds that it would not be overtime if, in a work period of 28 consecu- appropriate to adopt this regulation. There ticular functions of a particular employee. tive days, the employee receives a tour of The Fair Labor Standards Act is clear that is no available ‘‘State Educational Agency’’ duty which in the aggregate does not exceed in the context of the CAA; State law is not actual function, and not description or job 212 hours for fire protection activity or does title, govern the exempt status of an em- properly applicable here; and the Board is not exceed 171 hours for law enforcement ac- obviously not competent to set educational ployee. See, e.g., 29 C.F.R. § 541.201 tivity. Thus, for law enforcement personnel, (3)(b)(1),(2). standards. In short, there are legal and prac- work in excess of 171 hours during the 28-day tical reasons why this regulation is unwork- 2. § 541.5d—Special rule for ‘‘white collar’’ em- period triggers the requirement to pay over- able in the context of Federal legislative ployees of a public agency time compensation. For a work period of at branch employment, and the Board thus has Under § 13(a)(1) of the FLSA, which is in- least 7 but less than 28 consecutive days, ‘‘good cause’’ not to adopt it. corporated by reference under § 225(f)(1) of overtime must be paid when the ratio of the the CAA, a salaried employee who is a bona number of hours worked to the number of 5. Board determination on regulations ‘‘re- fide executive, administrative, or profes- days in the work period exceeds the 171- quired’’ to be issued in connection with sional employee need not be paid overtime hours-to-28-days ratio (rounded to the near- § 411 default provision compensation for hours worked in excess of est whole hour). Section 411 of the CAA provides in perti- the statutory maximum. Sections 541.1, 541.2, Although the regulations by their terms nent part that ‘‘if the Board has not issued a and 541.3, 29 C.F.R., of the Secretary of La- apply only to ‘‘public agencies’’ of State and regulation on a matter for which [the CAA] bor’s regulations respectively define the cri- local governments, one commenter observed requires a regulation to be issued the hear- teria for each of these ‘‘white collar’’ exemp- that the underlying statutory provisions are ing officer, Board, or court, as the case may tions. Since they are substantive regula- not so limited but rather apply to any ‘‘pub- be, shall apply, to the extent necessary and tions, the Board in its NPR proposed to lic agency,’’ which by definition includes the appropriate, the most relevant substantive adopt them. Federal government (See § 3(x) of the FLSA). executive agency regulation promulgated to Among the regulations not proposed for Accordingly, it was argued that the Board implement the statutory provision at issue.’’ adoption was § 541.5d. This regulation pro- should adopt those regulations imple- By its own terms, this provision comes into vides that an employee shall not lose his or menting the § 7(k) partial overtime exemp- play only where it is determined that the her ‘‘white collar’’ exemption where a ‘‘pub- tion insofar as it would apply to the law en- Board has not issued a regulation that is re- lic agency’’ employer reduces an exempt em- forcement work of the Capitol Police. quired by the CAA. Thus, before a Depart- ployee’s pay or places the employee on un- For the reasons noted above that support ment of Labor regulation can be invoked, an paid leave in certain circumstances for par- adoption of § 541.5d, the Board finds that the adjudicator must make a threshold deter- tial-day absences. As explained in the Fed- pertinent sections of Subpart C of Part 553 mination that the regulation concerns a eral Register Notice announcing its adop- should also be adopted. Section 7(k) provides matter as to which the Board was obligated tion, the Secretary of Labor issued § 541.5d in a direct textual basis for applying the rel- under the CAA to issue a regulation. response to concerns that the application of evant regulations. Thus, under the regula- As noted in the NPR, it was apparent in re- the FLSA to State and local governments tions, the Capitol Police as an employing of- viewing Chapter V of 29 C.F.R., which con- would undermine well-settled ‘‘policies of fice of law enforcement personnel shall have tains all the regulations of the Secretary of public accountability’’ that require public two options: It may pay such personnel over- Labor issued to implement the FLSA gen- employees (including those who would other- time compensation on the basis of a 40-hour erally, many of those regulations were not wise be exempt) to incur a reduction in pay workweek. Alternatively, it may claim the legally ‘‘required’’ to be issued as CAA regu- if they absent themselves from work under section 7(k) exemption by establishing a lations because the underlying FLSA provi- certain circumstances. 57 Fed. Reg. 37677 valid work period that follows the criteria sions were not made applicable under the (Aug. 19, 1992). set forth in the regulations. CAA. And there are other regulations that

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00066 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S237 the Board has ‘‘good cause’’ not to issue be- ing these final regulations and transmitting In so interpreting its authority, the Board cause, for example, they have no applica- them to the House and the Senate with rec- recognizes that in section 304 of the CAA, bility to legislative branch employment. ommendations as to the method of approval Congress specified certain procedures that None of the comments to the NPR quar- by each body under section 304(c). However, the Board must follow in issuing substantive relled with the Board’s conclusion not to the rapidly approaching effective date of the regulations. In section 304(b), Congress said adopt those regulations that have little prac- CAA’s implementation necessitates that the that, except as specified in section 304(e), the tical application. Therefore, the Board is not Board take further action with respect to Board must follow certain notice and com- issuing regulations predicated upon the fol- these regulations. For the reasons explained ment and other procedures. The interim reg- lowing Parts of 29 C.F.R.: Parts 519–528, below, the Board is also today adopting and ulations in fact have been subject to such no- which authorize subminimum wages for full- issuing these rules as interim regulations tice and comment and such other procedures time students, student-learners, apprentices, that will be effective as of January 23, 1996 or of section 304(b). learners, messengers, workers with disabil- the time upon which appropriate resolutions In issuing these interim regulations, the ities, and student workers; Part 548, which of approval of these interim regulations are Board also recognizes that section 304(c) authorizes in the collective bargaining con- passed by the House and/or the Senate, specifies certain procedures that the House text the establishment of basic wage rates whichever is later. These interim regulations and the Senate are to follow in approving the for overtime compensation purposes; and will remain in effect until the earlier of Board’s regulations. The Board is of the view Part 551, which implements an overtime ex- April 15, 1996 or the dates upon which the that the essence of section 304(c)’s require- ments are satisfied by making the effective- emption for local delivery drivers and help- House and Senate complete their respective ness of these interim regulations conditional ers. consideration of the final regulations that on the passage of appropriate resolutions of The comments did identify several indi- the Board is herein adopting. approval by the House and/or the Senate. vidual regulations as to which there is not The Board finds that it is necessary and Moreover, section 304(c) appears to be de- good cause to not adopt. As explained else- appropriate to adopt such interim regula- tions and that there is ‘‘good cause’’ for signed primarily for (and applicable to) final where, those regulations are being included regulations of the Board, which these in- in the final rules. However, in the main, the making them effective as of the later of Jan- uary 23, 1996, or the time upon which appro- terim regulations are not. In short, section comments did not dispute the inapplicability 304(c)’s procedures should not be understood of those Parts of 29 C.F.R. deemed legally ir- priate resolutions of approval of them are passed by the House and the Senate. In the to prevent the issuance of interim regula- relevant. tions that are necessary for the effective im- Accordingly, in keeping with its an- absence of the issuance of such interim regu- lations, covered employees, employing of- plementation of the CAA. nounced intent in the NPR, the Board is in- Indeed, the promulgation of these interim cluding in its final rules a declaration to the fices, and the Office of Compliance staff itself would be forced to operate in regu- regulations clearly conforms to the spirit of effect that the Board has issued those regu- section 304(c) and, in fact promotes its prop- latory uncertainty. While section 411 of the lations that, as both a legal and practical er operation. As noted above, the interim CAA provides that, ‘‘if the Board has not matter, it is ‘‘required’’ to promulgate to im- regulations shall become effective only upon issued a regulation on a matter for which plement the statutory provisions of the the passage of appropriate resolutions of ap- this Act requires a regulation to be issued, FLSA that are made applicable to the legis- proval, which is what section 304(c) con- the hearing officer, Board, or court, as the lative branch by the CAA. templates. Moreover, these interim regula- case may be, shall apply, to the extent nec- The Board has carefully reviewed the en- tions allow more considered deliberation by essary and appropriate, the most relevant tire corpus of the Secretary’s regulations, the House and the Senate of the Board’s final substantive executive agency regulation pro- has sought comment on its proposal con- regulations under section 304(c). cerning the regulations that it should (and mulgated to implement the statutory provi- The House has in fact already signalled its should not adopt), and has considered those sion at issue in the proceeding,’’ covered em- approval of such interim regulations both for ployees, employing offices and the Office of comments in formulating its final rules. The itself and for the instrumentalities. On De- Compliance staff might not know what regu- Board has acted based on this review and cember 19, 1995, the House adopted H. Res. lation, if any, would be found applicable in consideration and in order to prevent waste- 311 and H. Con. Res. 123, which approve ‘‘on particular circumstances absent the proce- ful litigation about whether the omission of a provisional basis’’ regulations ‘‘issued by dures suggested here. The resulting confu- a regulation from the Secretary in the the Office of Compliance before January 23, sion and uncertainty on the part of covered Board’s regulations was intended or not. 1996.’’ The Board believes these resolutions employees and employing offices would be are sufficient to make these interim regula- 6. Recordkeeping and notice posting contrary to the purposes and objectives of tions effective for the House on January 23, One comment essentially requested that the CAA, as well as to the interests of those 1996, though the House might want to pass the Board revisit an issue which it resolved whom it protects and regulates. Moreover, new resolutions of approval in response to after receiving comments to its Advance No- since the House and the Senate will likely this pronouncement of the Board. tice of Proposed Rulemaking (ANPR) pub- act on the Board’s final regulations within a To the Board’s knowledge, the Senate has lished on October 11, 1995. The ANPR had so- short period of time, covered employees and not yet acted on H. Con. Res. 123, nor has it licited public comments on certain questions employing offices would have to devote con- passed a counterpart to H. Res. 311 that to assist the Board in drafting proposed siderable attention and resources to learn- would cover employing offices and employees FLSA regulations, including the question of ing, understanding, and complying with a of the Senate. As stated herein, it must do so whether the FLSA provisions regarding rec- whole set of default regulations that would if these interim regulations are to apply to ordkeeping and the notice posting were made then have no future application. These in- the Senate and the other employing offices applicable by the CAA. As explained in the terim regulations prevent such a waste of re- of the instrumentalities (and to prevent the NPR, after evaluating the comments and sources. default rules of the executive branch from carefully reviewing the CAA, the Board con- The Board’s authority to issue such in- applying as of January 23, 1996). cluded that ‘‘the CAA explicitly did not in- terim regulations derives from sections 411 IV. Method of approval corporate the notice posting and record- and 304 of the CAA. Section 411 gives the The Board received no comments on the keeping requirements of Section 11, 29 U.S.C. Board authority to determine whether, in method of approval for these regulations. § 211 of the FLSA.’’ The most recent com- the absence of the issuance of a final regula- Therefore, the Board continues to rec- ment offered no further statutory evidence tion by the Board, it is necessary and appro- ommend that (1) the version of the regula- to support a change in the Board’s original priate to apply the substantive regulations tions that shall apply to the Senate and em- conclusion. of the executive branch in implementing the ployees of the Senate should be approved by 7. Technical and nomenclature changes provisions of the CAA. Section 304(a) of the the Senate by resolution; (2) the version of CAA in turn authorizes the Board to issue A commenter suggested a number of tech- the regulations that shall apply to the House substantive regulations to implement the nical and nomenclature changes to the pro- of Representatives and employees of the Act. Moreover, section 304(b) of the CAA in- posed regulations to make them more pre- House of Representatives should be approved structs that the Board shall adopt sub- cise in their application to the legislative by the House of Representatives by resolu- stantive regulations ‘‘in accordance with the branch. The Board has incorporated many of tion; and (3) the version of the regulations principles and procedures set forth in section the suggested changes. However, by making that shall apply to other covered employees 553 of title 5, United States Code,’’ which these changes, the Board does not intend a and employing offices should be approved by have in turn traditionally been construed by substantive difference in meaning of these the Congress by concurrent resolution. courts to allow an agency to issue ‘‘interim’’ sections of the Board’s regulations and those With respect to the interim version of rules where the failure to have rules in place these regulations, the Board recommends of the Secretary from which the Board’s reg- in a timely manner would frustrate the effec- that the Senate approve them by resolution ulations are derived. tive operation of a federal statute. See, e.g., insofar as they apply to the Senate and em- III. Adoption of Proposed Rules as Final Regu- Philadelphia Citizens in Action v. Schweiker, ployees of the Senate. In addition, the Board lations under Section 304(b)(3) and as Interim 669 F.2d 877 (3d Cir. 1982). As noted above, in recommends that the Senate approve them Regulations the absence of the Board’s adoption and by concurrent resolution insofar as they Having considered the public comments to issuance of these interim rules, such a frus- apply to other covered employees and em- the proposed rules, the Board pursuant to tration of the effective operation of the CAA ploying offices. It is noted that the House section 304(b) (3) and (4) of the CAA is adopt- would occur here. has expressed its approval of the regulations

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00067 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S238 CONGRESSIONAL RECORD — SENATE January 22, 1996 insofar as they apply to the House and its the Board of Directors of the Office of Com- House of Representatives or a joint com- employees through its passage of H. Res. 311 pliance has adopted pursuant to Sections mittee; or (3) any other office headed by a on December 19, 1995. The House also ex- 203(c) and 304 of the CAA, which require that person with the final authority to appoint, pressed its approval of the regulations inso- the Board promulgate regulations that are hire, discharge, and set the terms, condi- far as they apply to other employing offices ‘‘the same as substantive regulations pro- tions, or privileges of the employment of an through passage of H. Con. Res. 123 on the mulgated by the Secretary of Labor to im- employee of the House of Representatives. same date; this concurrent resolution is plement the statutory provisions referred to (f) Board means the Board of Directors of pending before the Senate. in subsection (a) [of § 203 of the CAA] except the Office of Compliance. ADOPTED REGULATIONS—AS INTERIM AND AS insofar as the Board may determine, for good (g) Office means the Office of Compliance. FINAL REGULATIONS cause shown . . . that a modification of such (h) Intern is an individual who (a) is per- forming services in an employing office as Subtitle B—Regulations relating to the regulations would be more effective for the part of a demonstrated educational plan, and House of Representatives and its employ- implementation of the rights and protections (b) is appointed on a temporary basis for a ing offices—H series under this section.’’ (d) These regulations are issued by the period not to exceed 12 months; provided that Chapter III—Regulations Relating to the Board of Directors, Office of Compliance, if an intern is appointed for a period shorter Rights and Protections Under the Fair pursuant to sections 203(c) and 304 of the than 12 months, the intern may be re- Labor Standards Act of 1938 CAA, which directs the Board to promulgate appointed for additional periods as long as Part H501—General provisions regulations implementing section 203 that the total length of the internship does not Sec. are ‘‘the same as substantive regulations exceed 12 months; provided further that the H501.00 Corresponding section table of the promulgated by the Secretary of Labor to defintion of intern does not include volun- FLSA regulations of the Labor Depart- implement the statutory provisions referred teers, fellows or pages. ment and the CAA regulations of the Of- to in subsection a [of section 203 of the CAA] § H501.103 Coverage fice of Compliance. except insofar as the Board may determine, The coverage of Section 203 of the CAA ex- H501.101 Purpose and scope. for good cause shown . . .that a modification tends to any covered employee of an employ- H501.102 Definitions. of such regulations would be more effective ing office without regard to whether the cov- H501.103 Coverage. for the implementation of the rights and pro- ered employee is engaged in commerce or the H501.104 Administrative authority. tections under this section.’’ The regulations production of goods for interstate commerce H501.105 Effect of Interpretations of the issued by the Board herein are on all matters and without regard to size, number of em- Labor Department. for which section 203 of the CAA requires ployees, amount of business transacted, or H501.106 Application of the Portal-to-Portal regulations to be issued. Specifically, it is other measure. Act of 1947. the Board’s considered judgment, based on § H501.104 Administrative authority H501.107 Duration of interim regulations. the information available to it at the time of (a) The Office of Compliance is authorized § H501.00 Corresponding section table of the the promulgation of these regulations, that, to administer the provisions of Section 203 of FLSA regulations of the Labor Department with the exception of regulations adopted the Act with respect to any covered em- and the CAA regulations of the Office of and set forth herein, there are no other ‘‘sub- ployee or covered employer. Compliance stantive regulations promulgated by the Sec- retary of Labor to implement the statutory (b) The Board is authorized to promulgate The following table lists the parts of the provisions referred to in subsection (a) [of substantive regulations in accordance with Secretary of Labor Regulations at Title 29 of section 203 of the CAA].’’ the provisions of Sections 203(c) and 304 of the Code of Federal Regulations under the (e) In promulgating these regulations, the the CAA. FLSA with the corresponding parts of the Board has made certain technical and no- § H501.105 Effect of interpretations of the De- Office of Compliance (OC) Regulations under menclature changes to the regulations as partment of Labor Section 203 of the CAA: promulgated by the Secretary. Such changes (a) In administering the FLSA, the Wage Secretary of Labor regu- OC regulations are intended to make the provisions adopted and Hour Division of the Department of lations accord more naturally to situations in the Labor has issued not only substantive regu- Part 531 Wage payments legislative branch. However, by making lations but also interpretative bulletins. under the Fair Labor these changes, the Board does not intend a Substantive regulations represent an exer- Standards Act of 1938 ..... Part H531 substantive difference between these regula- cise of statutorily-delegated lawmaking au- Part 541 Defining and de- tions and those of the Secretary from which thority from the legislative branch to an ad- limiting the terms ‘‘bona they are derived. Moreover, such changes, in ministrative agency. Generally, they are fide executive,’’ ‘‘admin- and of themselves, are not intended to con- proposed in accordance with the notice-and- istrative,’’ and ‘‘profes- stitute an interpretation of the regulation or comment procedures of the Administrative sional’’ employees ...... Part H541 of the statutory provisions of the CAA upon Procedure Act (APA), 5 U.S.C. § 553. Once Part 547 Requirements of a which they are based. ‘‘Bona fide thrift or sav- promulgated, such regulations are consid- § H501.102 Definitions ings plan’’ ...... Part H547 ered to have the force and effect of law, un- Part 553 Application of the For purposes of this chapter: less set aside upon judicial review as arbi- FLSA to employees of (a) CAA means the Congressional Account- trary, capricious, an abuse of discretion, or public agencies ...... Part H553 ability Act of 1995 (P.L. 104–1, 109 Stat. 3, 2 otherwise not in accordance with law. See U.S.C. §§ 1301–1438). Batterton v. Francis, 432 U.S. 416, 425 n.9 Subpart A—Matters of general applicability (b) FLSA or Act means the Fair Labor (1977). See also 29 C.F.R. § 790.17(b) (1994). Un- § H501.101 Purpose and scope Standards Act of 1938, as amended (29 U.S.C. like substantive regulations, interpretative (a) Section 203 of the Congressional Ac- § 201 et seq.), as applied by section 203 of the statements, including bulletins and other re- countability Act (CAA) provides that the CAA to covered employees and employing of- leases of the Wage and Hour Division, are rights and protections of subsections (a)(1) fices. not issued pursuant to the provisions of the and (d) of section 6, section 7, and section (c) Covered employee means any employee APA and may not have the force and effect 12(c) of the Fair Labor Standards Act of 1938 of the House of Representatives, including an of law. Rather, they may only constitute of- (FLSA) (29 U.S.C. §§ 206(a)(1) & (d), 207, 212(c)) applicant for employment and a former em- ficial interpretations of the Department of shall apply to covered employees of the leg- ployee, but shall not include an intern. Labor with respect to the meaning and appli- islative branch of the Federal government. (d) Employee of the House of Representatives cation of the minimum wage, maximum Section 301 of the CAA creates the Office of includes any individual occupying a position hour, and overtime pay requirements of the Compliance as an independent office in the the pay for which is disbursed by the Clerk FLSA. See 29 C.F.R. § 790.17(c) (citing Final legislative branch for enforcing the rights of the House of Representatives, or another Report of the Attorney General’s Committee and protections of the FLSA, as applied by official designated by the House of Rep- on Administrative Procedure, Senate Docu- the CAA. resentatives, or any employment position in ment No. 8, 77th Cong., 1st Sess., at p. 27 (b) The FLSA as applied by the CAA pro- an entity that is paid with funds derived (1941)). The purpose of such statements is to vides for minimum standards for both wages from the clerk-hire allowance of the House make available in one place the interpreta- and overtime entitlements, and delineates of Representatives but not any such indi- tions of the FLSA which will guide the Sec- administrative procedures by which covered vidual employed by (1) the Capitol Guide retary of Labor and the Wage and Hour Ad- worktime must be compensated. Included Service; (2) the Capitol Police; (3) the Con- ministrator in the performance of their du- also in the FLSA are provisions related to gressional Budget Office; (4) the Office of the ties unless and until they are otherwise di- child labor, equal pay, and portal-to-portal Architect of the Capitol; (5) the Office of the rected by authoritative decisions of the activities. In addition, the FLSA exempts Attending Physician; (6) the Office of Com- courts or conclude, upon reexamination of an specified employees or groups of employees pliance; or (7) the Office of Technology As- interpretation, that it is incorrect. The Su- from the application of certain of its provi- sessment. preme Court has observed: ‘‘[T]he rulings, in- sions. (e) Employing office and employer mean (1) terpretations and opinions of the Adminis- (c) This chapter contains the substantive the personal office of a Member of the House trator under this Act, while not controlling regulations with respect to the FLSA that of Representatives; (2) a committee of the upon the courts by reason of their authority,

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00068 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S239 do constitute a body of experience and in- H531.00 Corresponding section table of the (b) Reasonable cost does not include a prof- formed judgment to which courts and liti- FLSA regulations of the Labor Depart- it to the employer or to any affiliated per- gants may properly resort for guidance. The ment and the CAA regulations of the Of- son. weight of such a judgment in a particular fice of Compliance. (c) The reasonable cost to the employer of case will depend upon the thoroughness evi- H531.1 Definitions. furnishing the employee with board, lodging, dent in the consideration, the validity of its H531.2 Purpose and scope. or other facilities (including housing) is the reasoning, its consistency with earlier and Subpart B—Determinations of ‘‘reasonable cost of operation and maintenance including later pronouncements, and all those factors cost;’’ effects of collective bargaining which give it power to persuade, if lacking adequate depreciation plus a reasonable al- agreements 1 power to control.’’ Skidmore v. Swift, 323 U.S. lowance (not more than 5 ⁄2 percent) for in- H531.3 General determinations of ‘‘reason- 134, 140 (1944). terest on the depreciated amount of capital able cost’’. (b) Section 203(c) of the CAA provides that invested by the employer: Provided, That if H531.6 Effects of collective bargaining the substantive regulations implementing the total so computed is more than the fair agreements. Section 203 of the CAA shall be ‘‘the same as rental value (or the fair price of the com- substantive regulations promulgated by the Subpart A—Preliminary matters. modities or facilities offered for sale), the Secretary of Labor’’ except where the Board § H531.00 Corresponding section table of the fair rental value (or the fair price of the finds, for good cause shown, that a modifica- FLSA regulations of the Labor Department commodities or facilities offered for sale) tion would more effectively implement the and the CAA regulations of the Office of shall be the reasonable cost. The cost of op- rights and protections established by the Compliance eration and maintenance, the rate of depre- FLSA. Thus, the CAA by its terms does not The following table lists the sections of the ciation, and the depreciated amount of cap- mandate that the Board adopt the interpre- Secretary of Labor Regulations at Title 29 of ital invested by the employer shall be those tative statements of the Department of the Code of Federal Regulations under the arrived at under good accounting practices. Labor or its Wage and Hour Division. The FLSA with the corresponding sections of the As used in this paragraph, the term good ac- Board is thus not adopting such statements Office of Compliance (OC) Regulations under counting practices does not include account- as part of its substantive regulations. Section 203 of the CAA: ing practices which have been rejected by § H501.106 Application of the Portal-to-Portal Secretary of Labor Regu- OC Regulations the Internal Revenue Service for tax pur- Act of 1947 lations poses, and the term depreciation includes ob- (a) Consistent with Section 225 of the CAA, 531.1 Definitions ...... H531.1 solescence. the Portal to Portal Act (PPA), 29 U.S.C. 55 (d)(1) The cost of furnishing ‘‘facilities’’ §§ 216 and 251 et seq., is applicable in defining H531.2 Purpose and scope .. H531.2 found by the Administrator to be primarily and delimiting the rights and protections of H553.3 General determina- for the benefit or convenience of the em- the FLSA that are prescribed by the CAA. tions of ‘‘reasonable ployer will not be recognized as reasonable Section 10 of the PPA, 29 U.S.C. § 259, pro- cost’’ ...... H531.3 and may not therefore be included in com- vides in pertinent part: ‘‘[N]o employer shall H531.6 Effects of collective puting wages. be subject to any liability or punishment for bargaining agreements ... H531.6 or on account of the failure of the employer (2) The following is a list of facilities found § H531.1 Definitions to pay minimum wages or overtime com- by the Administrator to be primarily for the pensation under the Fair Labor Standards (a) Administrator means the Administrator benefit of convenience of the employer. The Act of 1938, as amended, . . . if he pleads and of the Wage and Hour Division or his author- list is intended to be illustrative rather than proves that the act or omission complained ized representative. The Secretary of Labor exclusive: (i) Tools of the trade and other of was in good faith in conformity with and has delegated to the Administrator the func- materials and services incidental to carrying tions vested in him under section 3(m) of the reliance on any written administrative regu- on the employer’s business; (ii) the cost of Act. lation, order, ruling, approval or interpreta- any construction by and for the employer; (b) Act means the Fair Labor Standards tion of [the Administrator of the Wage and (iii) the cost of uniforms and of their laun- Act of 1938, as amended. Hour Division of the Department of Labor] dering, where the nature of the business re- . . . or any administrative practice or en- § H531.2 Purpose and scope quires the employee to wear a uniform. forcement policy of such agency with respect (a) Section 3(m) of the Act defines the term to the class of employers to which he be- ‘‘wage’’ to include the ‘‘reasonable cost’’, as § H531.6 Effects of collective bargaining agree- longed. Such a defense, if established, shall determined by the Secretary of Labor, to an ments be a bar to the action or proceeding, not- employer of furnishing any employee with (a) The cost of board, lodging, or other fa- withstanding that after such act or omis- board, lodging, or other facilities, if such cilities shall not be included as part of the sion, such administrative regulation, order, board, lodging, or other facilities are cus- wage paid to any employee to the extent it ruling, approval, interpretation, practice or tomarily furnished by the employer to his is excluded therefrom under the terms of a enforcement policy is modified or rescinded employees. In addition, section 3(m) gives or is determined by judicial authority to be the Secretary authority to determine the bona fide collective bargaining agreement invalid or of no legal effect.’’ ‘‘fair value.’’ Of such facilities on the basis of applicable to the particular employee. (b) In defending any action or proceeding average cost to the employer or to groups of (b) A collective bargaining agreement shall based on any act or omission arising out of employers similarly situated, on average be deemed to be ‘‘bona fide’’ when pursuant section 203 of the CAA, an employing office value to groups of employees, or other appro- to the provisions of section 7(b)(1) or 7(b)(2) may satisfy the standards set forth in sub- priate measures of ‘‘fair value.’’ Whenever so of the FLSA it is made with the certified section (a) by pleading and proving good determined and when applicable and perti- representative of the employees under the faith reliance upon any written administra- nent, the ‘‘fair value’’ of the facilities in- provisions of the CAA. tive regulation, order, ruling, approval or in- volved shall be includable as part of ‘‘wages’’ terpretation, of the Administrator of the instead of the actual measure of the costs of Part H541—Defining and Delimiting the Wage and Hour Division of the Department those facilities. The section provides, how- Terms ‘‘Bona Fide Executive,’’ ‘‘Adminis- of Labor: Provided, that such regulation, ever, that the cost of board, lodging, or other trative,’’ or ‘‘Professional’’ Capacity (In- order, ruling approval or interpretation had facilities shall not be included as part of cluding Any Employee Employed in the not been superseded at the time of reliance ‘‘wages’’ if excluded therefrom by a bona fide Capacity of Academic Administrative Per- by any regulation, order, decision, or ruling collective bargaining agreement. Section sonnel or Teacher in Secondary School) of the Board or the courts. 3(m) also provides a method for determining Subpart A—General Regulations § H501.107 Duration of interim regulations the wage of a tipped employee. These interim regulations for the House, (b) This part 531 contains any determina- Sec. the Senate and the employing offices of the tions made as to the ‘‘reasonable cost’’ and H541.00 Corresponding section table of the instrumentalities are effective on January ‘‘fair value’’ of board, lodging, or other fa- FLSA regulations of the Labor Depart- 23, 1996 or on the dates upon which appro- cilities having general application. ment and the CAA regulations of the Of- fice of Compliance. priate resolutions are passed, whichever is Subpart B—Determinations of ‘‘reasonable H541.01 Application of the exemptions of later. The interim regulations shall expire cost’’ and ‘‘fair value’’; effects of collective section 13(a)(1) of the FLSA. on April 15, 1996 or on the dates on which ap- bargaining agreements propriate resolutions concerning the Board’s H541.1 Executive. § H531.3 General determinations of ‘‘reasonable H541.2 Administrative. final regulations are passed by the House and cost’’ the Senate, respectively, whichever is ear- H541.3 Professional. lier. (a) The term reasonable cost as used in sec- H541.5b Equal pay provisions of section 6(d) tion 3(m) of the Act is hereby determined to of the FLSA as applied by the CAA ex- Part H531—Wage Payments Under the Fair be not more than the actual cost to the em- tend to executive, administrative, and Labor Standards Act of 1938 ployer of the board, lodging, or other facili- professional employees. Subpart A—Preliminary matters ties customarily furnished by him to his em- H541.5d Special provisions applicable to em- Sec. ployees. ployees of public agencies.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00069 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S240 CONGRESSIONAL RECORD — SENATE January 22, 1996 Subpart A—General regulations employee is employed or of a customarily the invention, imagination, or talent of the § H541.00 Corresponding section table of the recognized department or subdivision there- employee, or FLSA regulations of the Labor Department of, and includes the customary and regular (3) Teaching, tutoring, instructing, or lec- and the CAA regulations of the Office of direction of the work of two or more other turing in the activity of imparting knowl- Compliance employees therein, shall be deemed to meet edge and who is employed and engaged in The following table lists the sections of the all the requirements of this section this activity as a teacher in the school sys- Secretary of Labor Regulations at Title 29 of § H541.2 Administrative tem, educational establishment or institu- the Code of Federal Regulations under the The term employee employed in a bona fide tion by which employed, or (4) Work that requires theoretical and FLSA with the corresponding sections of the * * * administrative * * * capacity in section practical application of highly-specialized Office of Compliance (OC) Regulations under 13(a)(1) of the FLSA as applied by the CAA knowledge in computer systems analysis, Section 203 of the CAA: shall mean any employee: (a) Whose primary duty consists of either: programming, and software engineering, and Secretary of Labor regu- OC regulations who is employed and engaged in these activi- lations (1) The performance of office or nonmanual work directly related to management poli- ties as a computer systems analyst, com- 541.1 Executive ...... H541.1 puter programmer, software engineer, or 541.2 Administrative ...... H541.2 cies or general operations of his employer or his employer’s customers, or other similarly skilled worker in the com- 541.3 Professional ...... H541.3 puter software field; and 541.5b Equal pay provi- (2) The performance of functions in the ad- (b) Whose work requires the consistent ex- sions of section 6(d) of ministration of a school system, or edu- ercise of discretion and judgment in its per- the FLSA apply to execu- cational establishment or institution, or of a formance; and tive, administrative, and department or subdivision thereof, in work directly related to the academic instruction (c) Whose work is predominantly intellec- professional employees ... H541.5b tual and varied in character (as opposed to 541.5d Special provisions or training carried on therein; and routine mental, manual, mechanical, or applicable to employees (b) Who customarily and regularly exer- physical work) and is of such character that of public agencies ...... H541.5d cises discretion and independent judgment; and the output produced or the result accom- § H541.01 Application of the exemptions of sec- (c)(1) Who regularly and directly assists plished cannot be standardized in relation to tion 13 (a)(1) of the FLSA the head of an employing office, or an em- a given period of time; and (a) Section 13(a)(1) of the FLSA, which pro- ployee employed in a bona fide executive or (d) Who does not devote more than 20 per- vides certain exemptions for employees em- administrative capacity (as such terms are cent of his hours worked in the workweek to ployed in a bona fide executive, administra- defined in the regulations of this subpart), or activities which are not an essential part of tive, or professional capacity (including any (2) Who performs under only general super- and necessarily incident to the work de- employee employed in the capacity of aca- vision work along specialized or technical scribed in paragraphs (a) through (c) of this demic administrative personnel or teacher in lines requiring special training, experience, section; and a secondary school), applies to covered em- or knowledge, or (e) Who is compensated for services on a ployees by virtue of Section 225(f)(1) of the (3) Who executes under only general super- salary or fee basis at a rate of not less than CAA. vision special assignments and tasks; and $170 per week, exclusive of board, lodging or (b) The substantive regulations set forth in (d) Who does not devote more than 20 per- other facilities: Provided, That this para- this part are promulgated under the author- cent, or, in the case of an employee of a re- graph shall not apply in the case of an em- ity of sections 203(c) and 304 of the CAA, tail or service establishment who does not ployee who is the holder of a valid license or which require that such regulations be the devote as much as 40 percent, of his hours certificate permitting the practice of law or same as the substantive regulations promul- worked in the workweek to activities which medicine or any of their branches and who is gated by the Secretary of Labor except are not directly and closely related to the actually engaged in the practice thereof, nor where the Board determines for good cause performance of the work described in para- in the case of an employee who is the holder shown that modifications would be more ef- graphs (a) through (c) of this section; and of the requisite academic degree for the gen- fective for the implementation of the rights (e)(1) Who is compensated for his services eral practice of medicine and is engaged in and protections under § 203. on a salary or fee basis at a rate of not less an internship or resident program pursuant to the practice of medicine or any of its § H541.1 Executive than $155 per week, exclusive of board, lodg- ing or other facilities, or branches, nor in the case of an employee em- The term employee employed in a bona fide (2) Who, in the case of academic adminis- ployed and engaged as a teacher as provided executive *** capacity in section 13(a) (1) of trative personnel, is compensated for serv- in paragraph (a)(3) of this section: Provided the FLSA as applied by the CAA shall mean ices as required by paragraph (e)(1) of this further, That an employee who is com- any employee: section, or on a salary basis which is at least pensated on a salary or fee basis at a rate of (a) Whose primary duty consists of the equal to the entrance salary for teachers in not less than $250 per week, exclusive of management of an employing office in which the school system, educational establish- board, lodging or other facilities, and whose he is employed or of a customarily recog- ment or institution by which employed: Pro- primary duty consists of the performance ei- nized department of subdivision thereof; and vided, That an employee who is compensated ther of work described in paragraph (a) (1), (b) Who customarily and regularly directs on a salary or fee basis at a rate of not less (3), or (4) of this section, which includes the work of two or more other employees than $250 per week, exclusive of board, lodg- work requiring the consistent exercise of dis- therein; and cretion and judgment, or of work requiring (c) Who has the authority to hire or fire ing or other facilities, and whose primary invention, imagination, or talent in a recog- other employees or whose suggestions and duty consists of the performance of work de- nized field of artistic endeavor, shall be recommendations as to the hiring or firing scribed in paragraph (a) of this section, deemed to meet all of the requirements of and as to the advancement and promotion or which includes work requiring the exercise this section: Provided further, That the salary any other change of status of other employ- of discretion and independent judgment, or fee requirements of this paragraph shall ees will be given particular weight; and shall be deemed to meet all the requirements not apply to an employee engaged in com- (d) Who customarily and regularly exer- of this section. puter-related work within the scope of para- cises discretionary powers; and § H541.3 Professional graph (a)(4) of this section and who is com- (e) Who does not devote more than 20 per- The term employee employed in a bona fide pensated on an hourly basis at a rate in ex- cent, or, in the case of an employee of a re- * * * professional capacity in section 13(a)(1) cess of 6 1/2 times the minimum wage pro- tail or service establishment who does not of the FLSA as applied by the CAA shall vided by section 6 of the FLSA as applied by devote as much as 40 percent, of his hours of mean any employee: the CAA. work in the workweek to activities which (a) Whose primary duty consists of the per- are not directly and closely related to the formance of: § H541.5b Equal pay provisions of section 6(d) of performance of the work described in para- (1) Work requiring knowledge of an ad- the FLSA as applied by the CAA extend to graphs (a) through (d) of this section: Pro- vance type in a field of science or learning executive, administrative, and professional vided, That this paragraph shall not apply in customarily acquired by a prolonged course employees the case of an employee who is in sole charge of specialized intellectual instruction and The FLSA, as amended and as applied by of an independent establishment or a phys- study, as distinguished from a general aca- the CAA, includes within the protection of ically separated branch establishment; and demic education and from an apprenticeship, the equal pay provisions those employees ex- (f) Who is compensated for his services on and from training in the performance of rou- empt from the minimum wage and overtime a salary basis at a rate of not less than $155 tine mental, manual, or physical processes, pay provisions as bona fide executive, admin- per week, exclusive of board, lodging or or istrative, and professional employees (in- other facilities: Provided, That an employee (2) Work that is original and creative in cluding any employee employed in the ca- who is compensated on a salary basis at a character in a recognized field of artistic en- pacity of academic administrative personnel rate of not less than $250 per week, exclusive deavor (as opposed to work which can be pro- or teacher in elementary or secondary of board, lodging or other facilities, and duced by a person endowed with general schools) under section 13(a)(1) of the FLSA. whose primary duty consists of the manage- manual or intellectual ability and training), Thus, for example, where an exempt adminis- ment of the employing office in which the and the result of which depends primarily on trative employee and another employee of

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00070 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S241 the employing office are performing substan- more documents) with a plan or trust for Part H553—Overtime Compensation: Partial tially ‘‘equal work,’’ the sex discrimination providing old age, retirement, life, accident Exemption for Employees Engaged in Law prohibitions of section 6(d) are applicable or health insurance or similar benefits for Enforcement and Fire Protection; Over- with respect to any wage differential be- employees, contributions made by the em- time and Compensatory Time-Off for Em- tween those two employees. ployer pursuant to such thrift or savings ployees Whose Work Schedule Directly De- § H541.5d Special provisions applicable to em- plan may be excluded from the regular rate pends Upon the Schedule of the House ployees of public agencies if the plan meets the requirements of the Introduction (a) An employee of a public agency who regulation in this part and the contributions Sec. otherwise meets the requirement of being made for the other purposes may be excluded H553.00 Corresponding section table of the paid on a salary basis shall not be disquali- from the regular rate if they meet the tests FLSA regulations of the Labor Depart- fied from exemption under Sec. H541.1, set forth in regulations. ment and the CAA regulations of the Of- H541.2, or H541.3 on the basis that such em- § H547.1 Essential requirements for qualifica- fice of Compliance. ployee is paid according to a pay system es- tions H553.1 Definitions tablished by statute, ordinance, or regula- H553.2 Purpose and scope tion, or by a policy or practice established (a) A ‘‘bona fide thrift or savings plan’’ for Subpart C—Partial exemption for employees pursuant to principles of public account- the purpose of section 7(e)(3)(b) of the FLSA engaged in law enforcement and fire pro- ability, under which the employee accrues as applied by the CAA is required to meet all tection personal leave and sick leave and which re- the standards set forth in paragraphs (b) H553.201 Statutory provisions: section 7(k). quires the public agency employee’s pay to through (f) of this section and must not con- H553.202 Limitations. be reduced or such employee to be placed on tain the disqualifying provisions set forth in H553.211 Law enforcement activities. leave without pay for absences for personal § H547.2. H553.212 Twenty percent limitation on non- reasons or because of illness or injury of less (b) The thrift or savings plan constitutes a exempt work. than one work-day when accrued leave is not definite program or arrangement in writing, H553.213 Public agency employees engaged in used by an employee because— adopted by the employer or by contract as a both fire protection and law enforcement (1) permission for its use has not been result of collective bargaining and commu- activities. sought or has been sought and denied; nicated or made available to the employees, H553.214 Trainees. (2) accrued leave has been exhausted; or (3) the employee chooses to use leave with- which is established and maintained, in good H553.215 Ambulance and rescue service em- out pay. faith, for the purpose of encouraging vol- ployees. (b) Deductions from the pay of an em- untary thrift or savings by employees by H553.216 Other exemptions. ployee of a public agency for absences due to providing an incentive to employees to accu- H553.220 ‘‘Tour of duty’’ defined. a budget-required furlough shall not dis- mulate regularly and retain cash savings for H553.221 Compensable hours of work. qualify the employee from being paid ‘on a a reasonable period of time or to save H553.222 Sleep time. salary basis’ except in the workweek in through the regular purchase of public or H553.223 Meal time. which the furlough occurs and for which the private securities. H553.224 ‘‘Work period’’ defined. H553.225 Early relief. employee’s pay is accordingly reduced. (c) The plan specifically shall set forth the H553.226 Training time. category or categories of employees partici- Part H547—Requirements of a ‘‘Bona Fide H553.227 Outside employment. pating and the basis of their eligibility. Eli- Thrift or Savings Plan’’ H553.230 Maximum hours standards for work gibility may not be based on such factors as Sec. periods of 7 to 28 days—section 7(k). hours of work, production, or efficiency of H547.00 Corresponding section table of the H553.231 Compensatory time off. FLSA regulations of the Labor Depart- the employees: Provided, however, That hours H553.232 Overtime pay requirements. ment and the CAA regulations of the Of- of work may be used to determine eligibility H553.233 ‘‘Regular rate’’ defined. of part-time or casual employees. fice of Compliance. Subpart D—Compensatory time-off for over- H547.0 Scope and effect of part. (d) The amount any employee may save time earned by employees whose work H547.1 Essential requirements of qualifica- under the plan shall be specified in the plan schedule directly depends upon the sched- tions. or determined in accordance with a definite ule of the House H547.2 Disqualifying provisions. formula specified in the plan, which formula H553.301 Definition of ‘‘directly depends.’’ may be based on one or more factors such as § H547.00 Corresponding section table of the H553.302 Overtime compensation and com- FLSA regulations of the Labor Department the straight-time earnings or total earnings, pensatory time off for an employee and the CAA regulations of the Office of base rate of pay, or length of service of the whose work schedule directly depends Compliance employee. upon the schedule of the House. The following table lists the sections of the (e) The employer’s total contribution in H553.303 Using compensatory time off. Secretary of Labor Regulations under the any year may not exceed 15 percent of the H553.304 Payment of overtime compensation FLSA with the corresponding sections of the participating employees’ total earnings dur- for accrued compensatory time off as of Office of Compliance (OC) Regulations under ing that year. In addition, the employer’s termination of service. Section 203 of the CAA: total contribution in any year may not ex- Introduction Secretary of Labor regu- OC regulations ceed the total amount saved or invested by § H553.00 Corresponding section table of the lations the participating employees during that FLSA regulations of the Labor Department 547.0 Scope and effect of year. and the CAA regulations of the Office of part ...... H547.0 (f) The employer’s contributions shall be Compliance 547.1 Essential require- apportioned among the individual employees ments of qualifications .. H547.1 The following table lists the sections of the in accordance with a definite formula or Secretary of Labor Regulations under the 547.2 Disqualifying provi- method of calculation specified in the plan, sions ...... H547.2 FLSA with the corresponding sections of the which formula or method of calculation is Office of Compliance (OC) Regulations under § H547.0 Scope and effect of part based on the amount saved or the length of Section 203 of the CAA: (a) The regulations in this part set forth time the individual employee retains his sav- Secretary of Labor regu- OC regulations the requirements of a ‘‘bona fide thrift or ings or investment in the plan: Provided, lations savings plan’’ under section 7(e)(3)(b) of the That no employee’s share determined in ac- 553.1 Definitions ...... H553.1 Fair Labor Standards Act of 1938, as amend- cordance with the plan may be diminished 553.2 Purpose and scope ..... H553.2 ed (FLSA), as applied by the CAA. In deter- because of any other remuneration received 553.201 Statutory provi- mining the total remuneration for employ- by him. sions: section 7(k) ...... H553.201 ment which section 7(e) of the FLSA requires § H547.2 Disqualifying provisions 553.202 Limitations ...... H553.202 to be included in the regular rate at which 553.211 Law enforcement an employee is employed, it is not necessary (a) No employee’s participation in the plan activities ...... H553.211 to include any sums paid to or on behalf of shall be on other than a voluntary basis. 553.212 Twenty percent such employee, in recognition of services limitation on nonexempt (b) No employee’s wages or salary shall be performed by him during a given period, work ...... H553.212 dependent upon or influenced by the exist- which are paid pursuant to a bona fide thrift 553.213 Public agency em- ence of such thrift or savings plan or the em- or savings plan meeting the requirements set ployees engaged in both ployer’s contributions thereto. forth herein. In the formulation of these reg- fire protection and law ulations due regard has been given to the (c) The amounts any employee may save enforcement activities ... H553.213 factors and standards set forth in section under the plan, or the amounts paid by the 553.214 Trainees ...... H553.214 7(e)(3)(b) of the Act. employer under the plan may not be based 553.215 Ambulance and res- (b) Where a thrift or savings plan is com- upon the employee’s hours of work, produc- cue service employees .... H553.215 bined in a single program (whether in one or tion or efficiency. 553.216 Other exemptions ... H553.216

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00071 Fmt 4624 Sfmt 0655 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S242 CONGRESSIONAL RECORD — SENATE January 22, 1996 Secretary of Labor regu- OC regulations Exemption requirements the correctional institution or outside the lations § H553.211 Law enforcement activities institution. These employees are considered 553.220 ‘‘Tour of duty’’ de- to be engaged in law enforcement activities (a) As used in § 7(k) of the Act, the term fined ...... H553.220 regardless of their rank or of their status as ‘‘any employee . . . in law enforcement ac- 553.221 Compensable hours ‘‘trainee,’’ ‘‘probationary,’’ or ‘‘permanent,’’ tivities’’ refers to any employee (1) who is a of work ...... H553.221 and regardless of their assignment to duties uniformed or plainclothed member of a body 553.222 Sleep time ...... H553.222 incidental to the performance of their law of officers and subordinates who are empow- 553.223 Meal time ...... H553.223 enforcement activities, or to support activi- ered by law to enforce laws designed to 553.224 ‘‘Work period’’ de- ties of the type described in paragraph (f) of maintain public peace and order and to pro- fined ...... H553.224 this section, whether or not such assignment tect both life and property from accidental is for training or familiarization purposes or 553.225 Early relief ...... H553.225 or willful injury, and to prevent and detect for reasons of illness, injury or infirmity. 553.226 Training time ...... H553.226 crimes, (2) who has the power to arrest, and (f) Not included in the term ‘‘employee in 553.227 Outside employ- (3) who is presently undergoing or has under- ment ...... H553.227 law enforcement activities’’ are the so-called gone or will undergo on-the-job training and/ ‘‘civilian’’ employees of law enforcement 553.230 Maximum hours or a course of instruction and study which standards for work peri- agencies or correctional institutions who en- typically includes physical training, self-de- gage in such support activities as those per- ods of 7 to 28 days—sec- fense, firearm proficiency, criminal and civil tion 7(k) ...... H553.230 formed by dispatcher, radio operators, appa- law principles, investigative and law enforce- ratus and equipment maintenance and repair 553.231 Compensatory time ment techniques, community relations, med- off ...... H553.231 workers, janitors, clerks and stenographers. ical aid and ethics. Nor does the term include employees in cor- 553.232 Overtime pay re- (b) Employees who meet these tests are rectional institutions who engage in building quirements ...... H553.232 considered to be engaged in law enforcement repair and maintenance, culinary services, 553.233 ‘‘Regular rate’’ de- activities regardless of their rank, or of their teaching, or in psychological, medical and fined ...... H553.233 status as ‘‘trainee,’’ ‘‘probationary,’’ or ‘‘per- paramedical services. This is so even though Introduction manent,’’ and regardless of their assignment such employees may, when assigned to cor- to duties incidental to the performance of § H553.1 Definitions rectional institutions, come into regular their law enforcement activities such as contact with the inmates in the performance (a) Act or FLSA means the Fair Labor equipment maintenance, and lecturing, or to of their duties. Standards Act of 1938, as amended (52 Stat. support activities of the type described in § H553.212 Twenty percent limitation on non- 1060, as amended; 29 U.S.C. 201–219), as ap- paragraph (g) of this section, whether or not exempt work plied by the CAA. such assignment is for training or famil- (a) Employees engaged in fire protection or (b) 1985 Amendments means the Fair Labor iarization purposes, or for reasons of illness, law enforcement activities as described in Standards Amendments of 1985 (Pub. L. 99– injury or infirmity. The term would also in- Sec. H553.210 and H553.211, may also engage 150). clude rescue and ambulance service per- in some nonexempt work which is not per- (c) Public agency means an employing of- sonnel if such personnel form an integral formed as an incident to or in conjunction fice as the term is defined in § 501.102 of this part of the public agency’s law enforcement with their fire protection or law enforcement chapter, including the Capitol Police. activities. See Sec. H553.215. activities. For example, firefighters who (d) Section 7(k) means the provisions of (c) Typically, employees engaged in law work for forest conservation agencies may, § 7(k) of the FLSA as applied to covered em- enforcement activities include police who during slack times, plant trees and perform ployees and employing offices by § 203 of the are regularly employed and paid as such. other conservation activities unrelated to CAA. Other agency employees with duties not spe- their firefighting duties. The performance of § H553.2 Purpose and scope cifically mentioned may, depending upon the such nonexempt work will not defeat the particular facts and pertinent statutory pro- The purpose of part H553 is to adopt with § 7(k) exemption unless it exceeds 20 percent visions in that jurisdiction, meet the three appropriate modifications the regulations of of the total hours worked by that employee tests described above. If so, they will also the Secretary of Labor to carry out those during the workweek or applicable work pe- qualify as law enforcement officers. Such provisions of the FLSA relating to public riod. A person who spends more than 20 per- employees might include, for example, any agency employees as they are applied to cov- cent of his/her working time in nonexempt law enforcement employee within the legis- ered employees and employing offices of the activities is not considered to be an em- lative branch concerned with keeping public CAA. In particular, these regulations apply ployee engaged in fire protection or law en- peace and order and protecting life and prop- section 7(k) as it relates to fire protection forcement activities for purposes of this erty. and law enforcement employees of public part. (d) Employees who do not meet each of the (b) Public agency fire protection and law agencies. three tests described above are not engaged enforcement personnel may, at their own op- Subpart C—Partial Exemption for employees in ‘‘law enforcement activities’’ as that term tion, undertake employment for the same engaged in law enforcement and fire pro- is used in sections 7(k). Employees who nor- employer on an occasional or sporadic and tection mally would not meet each of these tests in- part-time basis in a different capacity from § H553.201 Statutory provisions: section 7(k) clude: their regular employment. The performance Section 7(k) of the Act provides a partial (1) Building inspectors (other than those of such work does not affect the application of the § 7(k) exemption with respect to the overtime pay exemption for fire protection defined in Sec. H553.213(a)), regular employment. In addition, the hours and law enforcement personnel (including se- (2) Health inspectors, of work in the different capacity need not be curity personnel in correctional institutions) (3) Sanitarians, counted as hours worked for overtime pur- who are employed by public agencies on a (4) Civilian traffic employees who direct poses on the regular job, nor are such hours work period basis. This section of the Act vehicular and pedestrian traffic at specified counted in determining the 20 percent toler- formerly permitted public agencies to pay intersections or other control points, ance for nonexempt work discussed in para- overtime compensation to such employees in (5) Civilian parking checkers who patrol graph (a) of this section. work periods of 28 consecutive days only assigned areas for the purpose of discovering after 216 hours of work. As further set forth parking violations and issuing appropriate § H553.213 Public agency employees engaged in in § H553.230 of this part, the 216-hour stand- warnings or appearance notices, both fire protection and law enforcement ac- ard has been replaced, pursuant to the study (6) Wage and hour compliance officers, tivities mandated by the statute, by 212 hours for (7) Equal employment opportunity compli- (a) Some public agencies have employees fire protection employees and 171 hours for ance officers, and (often called ‘‘public safety officers’’) who law enforcement employees. In the case of (8) Building guards whose primary duty is engage in both fire protection and law en- such employees who have a work period of at to protect the lives and property of persons forcement activities, depending on the agen- least 7 but less than 28 consecutive days, within the limited area of the building. cy needs at the time. This dual assignment (e) The term ‘‘any employee in law en- overtime compensation is required when the would not defeat the section 7(k) exemption, forcement activities’’ also includes, by ex- ratio of the number of hours worked to the provided that each of the activities per- press reference, ‘‘security personnel in cor- number of days in the work period exceeds formed meets the appropriate tests set forth rectional institutions. Typically, such facili- the ratio of 212 (or 171) hours to 28 days. in Sec. H553.210 and H553.211. This is so re- ties may include precinct house lockups. gardless of how the employee’s time is di- § H553.202 Limitations Employees of correctional institutions who vided between the two activities. However, The application of § 7(k), by its terms, is qualify as security personnel for purposes of all time spent in nonexempt activities by limited to public agencies, and does not the section 7(k) exemption are those who public safety officers within the work period, apply to any private organization engaged in have responsibility for controlling and main- whether performed in connection with fire furnishing fire protection or law enforce- taining custody of inmates and of safe- protection or law enforcement functions, or ment services. This is so even if the services guarding them from other inmates or for su- with neither, must be combined for purposes are provided under contract with a public pervising such functions, regardless of of the 20 percent limitation on nonexempt agency. whether their duties are performed inside work discussed in Sec. H553.212.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00072 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S243 (b) As specified in Sec. H553.230, the max- ods include ‘‘shifts’’ assigned to employees Of course, the time spent in responding to imum hours standards under section 7(k) are often days in advance of the performance of such calls is compensable. different for employees engaged in fire pro- the work. Scheduled periods also include § H553.222 Sleep time tection and for employees engaged in law en- time spent in work outside the ‘‘shift’’ which (a) Where a public agency elects to pay forcement. For those employees who perform the public agency employer assigns. For ex- overtime compensation to firefighters and/or both fire protection and law enforcement ac- ample, a police officer may be assigned to law enforcement personnel in accordance tivities, the applicable standard is the one crowd control during a parade or other spe- with section 7(a)(1) of the Act, the public which applies to the activity in which the cial event outside of his or her shift. agency may exclude sleep time from hours employee spends the majority of work time (b) Unscheduled periods include time spent worked if all the conditions for the exclusion during the work period. in court by police officers, time spent han- of such time are met. dling emergency situations, and time spent § H553.214 Trainees (b) Where the employer has elected to use working after a shift to complete an assign- The attendance at a bona fide fire or police the section 7(k) exemption, sleep time can- ment. Such time must be included in the academy or other training facility, when re- not be excluded from the compensable hours compensable tour of duty even though the quired by the employing agency, constitutes of work where specific work performed may not have been engagement in activities under section 7(k) (1) The employee is on a tour of duty of assigned in advance. less than 24 hours, and only when the employee meets all the appli- (c) The tour of duty does not include time (2) Where the employee is on a tour of duty cable tests described in Sec. H553.210 or Sec. spent working for a separate and inde- H553.211 (except for the power of arrest for of exactly 24 hours. pendent employer in certain types of special (c) Sleep time can be excluded from com- law enforcement personnel), as the case may details as provided in Sec. H553.227. be. If the applicable tests are met, then basic pensable hours of work, however, in the case training or advanced training is considered § H553.221 Compensable hours of work of police officers or firefighters who are on a incidental to, and part of, the employee’s fire (a) The rules under the FLSA as applied by tour of duty of more than 24 hours, but only protection or law enforcement activities. the CAA on compensable hours of work are if there is an expressed or implied agreement § H553.215 Ambulance and rescue service em- applicable to employees for whom the sec- between the employer and the employees to ployees tion 7(k) exemption is claimed. Special rules exclude such time. In the absence of such an for sleep time (Sec. H553.222) apply to both agreement, the sleep time is compensable. In Ambulance and rescue service employees law enforcement and firefighting employees no event shall the time excluded as sleep of a public agency other than a fire protec- for whom the section 7(k) exemption is time exceed 8 hours in a 24-hour period. If tion or law enforcement agency may be claimed. Also, special rules for meal time the sleep time is interrupted by a call to treated as employees engaged in fire protec- apply in the case of firefighters (Sec. duty, the interruption must be counted as tion or law enforcement activities of the H553.223). hours worked. If the sleep period is inter- type contemplated by § 7(k) if their services (b) Compensable hours of work generally rupted to such an extent that the employee are substantially related to firefighting or include all of the time during which an em- cannot get a reasonable night’s sleep (which, law enforcement activities in that (1) the ployee is on duty on the employer’s premises for enforcement purposes means at least 5 ambulance and rescue service employees or at a prescribed workplace, as well as all hours), the entire time must be counted as have received training in the rescue of fire, other time during which the employee is suf- hours of work. crime, and accident victims or firefighters or fered or permitted to work for the employer. § H553.223 Meal time law enforcement personnel injured in the Such time includes all pre-shift and post- (a) If a public agency elects to pay over- performance of their respective, duties, and shift activities which are an integral part of time compensation to firefighters and law (2) the ambulance and rescue service employ- the employee’s principal activity or which enforcement personnel in accordance with ees are regularly dispatched to fires, crime are closely related to the performance of the section 7(a)(1) of the Act, the public agency scenes, riots, natural disasters and acci- principal activity, such as attending roll may exclude meal time from hours worked if dents. As provided in Sec. H553.213(b), where call, writing up and completing tickets or re- all the statutory tests for the exclusion of employees perform both fire protection and ports, and washing and re-racking fire hoses. such time are met. law enforcement activities, the applicable (c) Time spent away from the employer’s (b) If a public agency elects to use the sec- standard is the one which applies to the ac- premises under conditions that are so cir- tion 7(k) exemption, the public agency may, tivity in which the employee spends the ma- cumscribed that they restrict the employee in the case of law enforcement personnel, ex- jority of work time during the work period. from effectively using the time for personal clude meal time from hours worked on tours § H553.216 Other exemptions pursuits also constitutes compensable hours of duty of 24 hours or less, provided that the of work. For example, where a police station Although the 1974 Amendments to the employee is completely relieved from duty must be evacuated because of an electrical FLSA as applied by the CAA provide special during the meal period, and all the other failure and the employees are expected to re- exemptions for employees of public agencies statutory tests for the exclusion of such main in the vicinity and return to work after engaged in fire protection and law enforce- time are met. On the other hand, where law the emergency has passed, the entire time ment activities, such workers may also be enforcement personnel are required to re- spent away from the premises is compen- subject to other exemptions in the Act, and main on call in barracks or similar quarters, sable. The employees in this example cannot public agencies may claim such other appli- or are engaged in extended surveillance ac- use the time for their personal pursuits. cable exemptions in lieu of § 7(k). For exam- tivities (e.g., ‘‘stakeouts’’), they are not con- (d) An employee who is not required to re- ple, section 13(a)(1) as applied by the CAA sidered to be completely relieved from duty, main on the employer’s premises but is provides a complete minimum wage and and any such meal periods would be compen- merely required to leave word at home or overtime pay exemption for any employee sable. with company officials where he or she may employed in a bona fide executive, adminis- (c) With respect to firefighters employed be reached is not working while on call. trative, or professional capacity, as those under section 7(k), who are confined to a Time spent at home on call may or may not terms are defined and delimited in Part H541. duty station, the legislative history of the be compensable depending on whether the re- The section 13(a)(1) exemption can be Act indicates Congressional intent to man- strictions placed on the employee preclude claimed for any fire protection or law en- date a departure from the usual FLSA using the time for personal pursuits. Where, forcement employee who meets all of the ‘‘hours of work’’ rules and adoption of an for example, a firefighter has returned home tests specified in part H541 relating to du- overtime standard keyed to the unique con- after the shift, with the understanding that ties, responsibilities, and salary. Thus, high cept of ‘‘tour of duty’’ under which fire- he or she is expected to return to work in the ranking police officials who are engaged in fighters are employed. Where the public event of an emergency in the night, such law enforcement activities, may also, de- agency elects to use the section 7(k) exemp- time spent at home is normally not compen- pending on the facts, qualify for the section tion for firefighters, meal time cannot be ex- sable. On the other hand, where the condi- 13(a)(1) exemption as ‘‘executive’’ employees. cluded from the compensable hours of work tions placed on the employee’s activities are Similarly, certain criminal investigative where (1) the firefighter is on a tour of duty so restrictive that the employee cannot use agents may qualify as ‘‘administrative’’ em- of less than 24 hours, and (2) where the fire- the time effectively for personal pursuits, ployees under section 13(a)(1). fighter is on a tour of duty of exactly 24 such time spent on call is compensable. Tour of duty and compensable hours of work hours. (e) Normal home to work travel is not rules (d) In the case of police officers or fire- compensable, even where the employee is ex- fighters who are on a tour of duty of more § H553.220 ‘‘Tour of duty’’ defined pected to report to work at a location away than 24 hours, meal time may be excluded (a) The term ‘‘tour of duty’’ is a unique from the location of the employer’s prem- from compensable hours of work provided concept applicable only to employees for ises. that the statutory tests for exclusion of such whom the section 7(k) exemption is claimed. (f) A police officer, who has completed his hours are met. This term, as used in section 7(k), means the or her tour of duty and who is given a patrol period of time during which an employee is car to drive home and use on personal busi- § H553.224 ‘‘Work period’’ defined considered to be on duty for purposes of de- ness, is not working during the travel time (a) As used in section 7(k), the term ‘‘work termining compensable hours. It may be a even where the radio must be left on so that period’’ refers to any established and regu- scheduled or unscheduled period. Such peri- the officer can respond to emergency calls. larly recurring period of work which, under

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00073 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S244 CONGRESSIONAL RECORD — SENATE January 22, 1996 the terms of the Act and legislative history, bined with the hours worked for the primary (c) The ratio of 212 hours to 28 days for em- cannot be less than 7 consecutive days nor public agency employer for purposes of over- ployees engaged in fire protection activities more than 28 consecutive days. Except for time compensation. is 7.57 hours per day (rounded) and the ratio this limitation, the work period can be of (b) Section 7(p)(1) applies to such outside of 171 hours to 28 days for employees engaged any length, and it need not coincide with the employment provided (1) the special detail in law enforcement activities is 6.11 hours duty cycle or pay period or with a particular work is performed solely at the employee’s per day (rounded). Accordingly, overtime day of the week or hour of the day. Once the option, and (2) the two employers are in fact compensation (in premium pay or compen- beginning and ending time of an employee’s separate and independent. satory time) is required for all hours worked work period is established, however, it re- (c) Whether two employers are, in fact, in excess of the following maximum hours mains fixed regardless of how many hours separate and independent can only be deter- standards (rounded to the nearest whole are worked within the period. The beginning mined on a case-by-case basis. hour): and ending of the work period may be (d) The primary employer may facilitate changed, provided that the change is in- the employment or affect the conditions of MAXIMUM HOURS STANDARDS tended to be permanent and is not designed employment of such employees. For exam- to evade the overtime compensation require- ple, a police department may maintain a ros- Work period (days) Fire protec- Law en- ments of the Act. ter of officers who wish to perform such tion forcement (b) An employer may have one work period work. The department may also select the 28 ...... 212 171 applicable to all employees, or different officers for special details from a list of 27 ...... 204 165 those wishing to participate, negotiate their 26 ...... 197 159 work periods for different employees or 25 ...... 189 153 groups of employees. pay, and retain a fee for administrative ex- 24 ...... 182 147 § H553.225 Early relief penses. The department may require that the 23 ...... 174 141 separate and independent employer pay the 22 ...... 167 134 21 ...... 159 128 It is a common practice among employees fee for such services directly to the depart- engaged in fire protection activities to re- 20 ...... 151 122 ment, and establish procedures for the offi- 19 ...... 144 116 lieve employees on the previous shift prior to cers to receive their pay for the special de- 18 ...... 136 110 17 ...... 129 104 the scheduled starting time. Such early re- tails through the agency’s payroll system. lief time may occur pursuant to employee 16 ...... 121 98 Finally, the department may require that 15 ...... 114 92 agreement, either expressed or implied. This the officers observe their normal standards 14 ...... 106 86 13 ...... 98 79 practice will not have the effect of increas- of conduct during such details and take dis- ing the number of compensable hours of 12 ...... 91 73 ciplinary action against those who fail to do 11 ...... 83 67 work for employees employed under section so. 10 ...... 76 61 7(k) where it is voluntary on the part of the (e) Section 7(p)(1) applies to special details 9 ...... 68 55 employees and does not result, over a period 8 ...... 61 49 even where a State law or local ordinance re- 7 ...... 53 43 of time, in their failure to receive proper quires that such work be performed and that compensation for all hours actually worked. only law enforcement or fire protection em- § H553.231 Compensatory time off On the other hand, if the practice is required ployees of a public agency in the same juris- by the employer, the time involved must be (a) Law enforcement and fire protection diction perform the work. For example, a employees who are subject to the section added to the employee’s tour of duty and city ordinance may require the presence of treated as compensable hours of work. 7(k) exemption may receive compensatory city police officers at a convention center time off in lieu of overtime pay for hours § H553.226 Training time during concerts or sports events. If the offi- worked in excess of the maximum for their (a) The general rules for determining the cers perform such work at their own option, work period as set forth in Sec. H553.230. compensability of training time under the the hours of work need not be combined with (b) Section 7(k) permits public agencies to FLSA apply to employees engaged in law en- the hours of work for their primary em- balance the hours of work over an entire forcement or fire protection activities. ployer in computing overtime compensation. work period for law enforcement and fire (b) While time spent in attending training (f) The principles in paragraphs (d) and (e) protection employees. For example, if a fire- required by an employer is normally consid- of this section with respect to special details fighter’s work period is 28 consecutive days, ered compensable hours of work, following of public agency fire protection and law en- and he or she works 80 hours in each of the are situations where time spent by employ- forcement employees under section 7(p)(1) first two weeks, but only 52 hours in the ees in required training is considered to be are exceptions to the usual rules on joint third week, and does not work in the fourth noncompensable: employment set forth in part 791 of this week, no overtime compensation (in cash (1) Attendance outside of regular working title. wages or compensatory time) would be re- (g) Where an employee is directed by the hours at specialized or follow-up training, quired since the total hours worked do not public agency to perform work for a second which is required by law for certification of exceed 212 for the work period. If the same employer, section 7(p)(1) does not apply. public and private sector employees within a firefighter had a work period of only 14 days, Thus, assignments of police officers outside particular governmental jurisdiction (e.g., overtime compensation or compensatory of their normal work hours to perform crowd certification of public and private emergency time off would be due for 54 hours (160 minus control at a parade, where the assignments rescue workers), does not constitute compen- 106 hours) in the first 14 day work period. sable hours of work for public employees are not solely at the option of the officers, within that jurisdiction and subordinate ju- would not qualify as special details subject § H553.232 Overtime pay requirements risdictions. to this exception. This would be true even if If a public agency pays employees subject (2) Attendance outside of regular working the parade organizers reimburse the public to section 7(k) for overtime hours worked in hours at specialized or follow-up training, agency for providing such services. cash wages rather than compensatory time which is required for certification of employ- (h) Section 7(p)(1) does not prevent a public off, such wages must be paid at one and one- ees of a governmental jurisdiction by law of agency from prohibiting or restricting out- half times the employees’ regular rates of a higher level of government, does not con- side employment by its employees. pay. stitute compensable hours of work. OVERTIME COMPENSATION RULES § H553.233 ‘‘Regular rate’’ defined (3) Time spent in the training described in § H553.230 Maximum hours standards for work The statutory rules for computing an em- paragraphs (b) (1) or (2) of this section is not periods of 7 to 28 days—section 7(k) ployee’s ‘‘regular rate’’, for purposes of the compensable, even if all or part of the costs (a) For those employees engaged in fire Act’s overtime pay requirements are applica- of the training is borne by the employer. protection activities who have a work period ble to employees or whom the section 7(k) (c) Police officers or firefighters, who are of at least 7 but less than 28 consecutive exemption is claimed when overtime com- in attendance at a police or fire academy or days, no overtime compensation is required pensation is provided in cash wages. other training facility, are not considered to under section 7(k) until the number of hours be on duty during those times when they are Subpart D—Compensatory time-off for over- worked exceeds the number of hours which not in class or at a training session, if they time earned by employees whose work bears the same relationship to 212 as the are free to use such time for personal pur- schedule directly depends upon the sched- number of days in the work period bears to suits. Such free time is not compensable. ule of the House 28. § H553.227 Outside employment (b) For those employees engaged in law en- § H553.301 Definition of ‘‘directly depends’’ (a) Section 7(p)(1) makes special provision forcement activities (including security per- For the purposes of this Part, a covered for fire protection and law enforcement em- sonnel in correctional institutions) who have employee’s work schedule ‘‘directly de- ployees of public agencies who, at their own a work period of at least 7 but less than 28 pends’’ on the schedule of the House of Rep- option, perform special duty work in fire consecutive days, no overtime compensation resentatives only if the eligible employee protection, law enforcement or related ac- is required under section 7(k) until the num- performs work that directly supports the tivities for a separate and independent em- ber of hours worked exceeds the number of conduct of legislative or other business in ployer (public or private) during their off- hours which bears the same relationship to the chamber and works hours that regularly duty hours. The hours of work for the sepa- 171 as the number of days in the work period change in response to the schedule of the rate and independent employer are not com- bears to 28. House and the Senate.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00074 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S245 § H553.302 Overtime compensation and compen- LA 200, Library of Congress, Washington, guidance in various forms: that the Board satory time off for an employee whose work D.C. 20540–1999. Telephone: (202) 724–9250. change the Secretary’s regulations to clarify schedule directly depends upon the schedule I. Background and summary ambiguities; that the Board adopt the Sec- of the House retary’s interpretive bulletins; that the Supplementary Information: The Congres- Board issue the Secretary of Labor’s inter- No employing office shall be deemed to sional Accountability Act of 1995 (‘‘CAA’’), have violated section 203(a)(1) of the CAA, pretative bulletins as its own regulations; Pub. L. 104–1, 109 Stat. 3, was enacted on Jan- that the Board issue opinion letters consti- which applies the protections of section 7(a) uary 23, 1995. 2 U.S.C. §§ 1301 et seq. In gen- of the Fair Labor Standards Act (‘‘FLSA’’) tuting safe harbors from litigation; that the eral, the CAA applies the rights and protec- Board give its imprimatur, either formally to covered employees and employing office, tions of eleven federal labor and employment by employing any employee for a workweek or informally, to employee handbooks and law statutes to covered employees and em- other human resource activities of employ- in excess of the maximum workweek applica- ploying offices within the legislative branch. ble to such employee under section 7(a) of ing offices. Mindful that the Board’s first de- In addition, the statute establishes the Of- the FLSA where the employee’s work sched- cisions on these matters will have important fice of Compliance (‘‘Office’’) with a Board of ule directly depends on the schedule of the institutional and legal implications, the Directors (‘‘Board’’) as ‘‘an independent of- House of Representatives within the mean- Board has carefully considered these re- fice within the legislative branch of the Fed- ing of § H553.301, and: (a) the employee is quests, as well as the underlying concerns eral Government.’’ Section 203(a) of the CAA compensated at the rate of time-and-a-half they reflect. applies the rights and protections of sub- At the outset, the Board must decline the in pay for all hours in excess of 40 and up to sections a(1) and (d) of section 6, section 7, suggestion that it modify the Secretary’s 60 hours in a workweek, and (b) the employee and section 12(c) of the Fair Labor Standards regulations in order to remove the ambigu- is compensated at the rate of time-and-a-half Act of 1938 (‘‘FLSA’’) (29 U.S.C. 206(a)(1) and ities and resulting uncertainties that Con- in either pay or in time off for all hours in gressional offices will face in complying with excess of 60 hours in a workweek. (d), 207, and 212(c)) to covered employees and employing offices. 2 U.S.C. § 1313. Section the CAA once it takes effect. The Board’s au- § H553.303 Using compensatory time off 203(c)(2) of the CAA directs the Board to thority to modify the regulations of the Sec- An employee who has accrued compen- issue substantive regulations that ‘‘shall be retary is explicitly limited by the require- satory time off under § H553.302 upon his or the same as substantive regulations issued ment that the substantive regulations issued her request, shall be permitted by the em- by the Secretary of Labor . . . except insofar by the Secretary of Labor ‘‘shall be the same ploying office to use such time within a rea- as the Board may determine, for good cause as substantive regulations issued by the Sec- sonable period after making the request, un- shown . . . that a modification of such regu- retary of Labor . . . except insofar as the less the employing office makes a bona fide lations would be more effective for the im- Board may determine, for good cause shown determination that the needs of the oper- plementation of the rights and protections . . . that a modification of such regulations ations of the office do not allow the taking under’’ the CAA. 2 U.S.C. § 1313(c)(2). On Sep- would be more effective for the implementa- of compensatory time off at the time of the tember 28, 1995, the Board of the Office of tion of the rights and protections under’’ the request. An employee may renew the request Compliance issued an Advance Notice of Pro- CAA. As is true of many regulatory issues, at a subsequent time. An employing office posed Rulemaking (‘‘ANPR’’) soliciting com- ambiguity and uncertainty are part of the the FLSA regulatory regime that is pres- may also, upon reasonable notice, require an ments from interested parties in order to ob- ently imposed—with much criticism and pro- employee to use accrued compensatory time- tain participation and information early in test—on private sector and state and local off. the rulemaking process. 141 Cong. Rec. § H553.304 Payment of overtime compensation government employers. S14542 (daily ed., Sept. 28, 1995). The example of the executive, administra- for accrued compensatory time off as of ter- On November 28, 1995, the Board published mination of service tive and professional employee exemptions in the Congressional Record a Notice of Pro- illustrates this point. The Board specifically An employee who has accrued compen- posed Rulemaking (NPR) (141 Cong. Rec. highlighted this problem and asked for com- satory time authorized by this regulation S17603–27 (daily ed.)). In response to the NPR, ment in its ANPR (141 Cong. Rec. S14542, shall, upon termination of employment, be the Board received six written comments, S14543) on September 28, 1995. Although the paid for the unused compensatory time at three of which were from offices of the Con- Board received many comments on this issue the rate earned by the employee at the time gress and three of which were from organiza- and is sympathetic with the concerns of em- the employee receives such payment. tions associated with the business commu- ploying offices confronting such ambiguity OTHER EMPLOYING OFFICES OF nity and organized labor. The comments in- and uncertainty, the Board has neither been CONGRESS cluded requests that the Board should pro- given nor can find appropriate justification FAIR LABOR STANDARDS ACT, FINAL AND IN- vide additional guidance to employing of- for relieving employing offices of the compli- TERIM REGULATIONS RELATING TO THE EM- fices on complying with the CAA and compli- ance burdens that all employers face under PLOYING OFFICES OTHER THAN THOSE OF THE ance issues raised by the ambiguities in the the FLSA. The CAA was intended not only to SENATE AND THE HOUSE OF REPRESENTA- Secretary of Labor’s regulations. bring covered employees the benefits of the TIVES Parenthetically, it should also be noted FLSA and other incorporated laws, but also that, on October 11, 1995, the Board published to require Congress to experience the same a Notice of Proposed Rulemaking in the Con- compliance burdens faced by other employ- OFFICE OF COMPLIANCE—THE CONGRESSIONAL gressional Record (141 Cong. R. S15025 (daily ers so that it could more fairly legislate in ACCOUNTABILITY ACT OF 1995: EXTENSION OF ed., October 11, 1995) (‘‘NPR’’)), inviting com- this area. The Board cannot agree with sug- RIGHTS AND PROTECTIONS UNDER THE FAIR ments from interested parties on the pro- gestions that would rob the CAA of one of its LABOR STANDARDS ACT OF 1938 posed FLSA regulations which the CAA di- principal intended effects. NOTICE OF ADOPTION OF REGULATIONS AND SUB- rected the Board to issue on the definition of The Board must also decline the sugges- MISSION FOR APPROVAL AND ISSUANCE OF IN- ‘‘intern’’ and on ‘‘irregular work schedules.’’ tion that it adopt, as either formal regula- TERIM REGULATIONS Final regulations on those matters were sep- tions or as its own interpretive authority, Summary: The Board of Directors of the arately adopted by the Board on January 16, the interpretive bulletins found in Subpart B Office of Compliance, after considering com- 1996. However, because they are regulations of Part 541 and elsewhere in the Secretary of ments to its general Notice of Proposed implementing the rights and protections of Labor’s regulations. Section 203(c)(2) of the Rulemaking published on November 28, 1995 the FLSA made applicable by the CAA, the CAA requires the Board to promulgate regu- in the Congressional Record, has adopted, Board has incorporated those regulations lations that are the same as the substantive and is submitting for approval by the Con- into the body of final regulations being regulations promulgated by the Secretary. gress, final regulations to implement sec- adopted pursuant to this Notice. The defini- But, as explained in the NPR, the interpre- tions 203(a) and 203(c) (1) and (2) of the Con- tion of ‘‘intern’’ may be found in section [H tive bulletins set forth in Subpart B of Part gressional Accountability Act of 1995 or S]501.102(c) & (h), and the ‘‘irregular work 541 and elsewhere in the Secretary of Labor’s (‘‘CAA’’), which apply certain rights and pro- schedules’’ regulation may be found in sec- regulations are not substantive regulations tections of the Fair Labor Standards Act of tions [H or S or C]553.301–553.304. within the meaning of the law. Moreover, with respect to the concern expressed by 1938. The Board is also adopting and issuing II. Consideration of public comments; the some commenters that congressional em- such regulations as interim regulations for Board’s response and modifications to the ploying offices would be at a distinct dis- the House, the Senate and the employing of- NPR’s rules fices of the instrumentalities effective on advantage if the Board does not adopt the January 23, 1996 or on the dates upon which A. Requests that the Board provide addi- Secretary’s interpretative bulletins, the appropriate resolutions are passed, which- tional guidance, including interpretative Board again notes, as it did in the NPR, that ever is later. The interim regulations shall bulletins and opinion letters the Board need not adopt the Secretary’s in- expire on April 15, 1996 or on the dates on The Board first turns to the issue of wheth- terpretive bulletins in order for them to be which appropriate resolutions concerning er and in what circumstances the Board can available as guidance for employing offices. the Board’s final regulations are passed by and should give authoritative guidance to While the Board is not adopting these inter- the House and the Senate, respectively, employing offices about issues arising from pretive bulletins, the Board reiterates that, whichever is earlier. ambiguities in and uncertain applications of like the myriad judicial decisions under the For Further Information Contact: Execu- the Secretary’s regulations. Commenters FLSA that are available as guidance for em- tive Director, Office of Compliance, Room have formally and informally requested such ploying offices, the Secretary’s interpretive

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00075 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S246 CONGRESSIONAL RECORD — SENATE January 22, 1996 bulletins remain available as part of the cor- held in an almost identical context, the Por- hearing, board review and judicial review; re- pus of interpretive materials to which em- tal-to-Portal Act would not confer a defense quiring hearings to be conducted in accord- ploying offices may look in structuring their upon employing offices that might rely upon ance with 5 U.S.C. §§ 554–557); 29 U.S.C. §§ 554– FLSA-related compliance activities. Indeed, a pronouncement of the Board. See Berg v. 557. These legal safeguards and the institu- as the Board also noted in the NPR, since the Newman, 982 F.2d 500, 503–504 (Fed Cir. 1992) tional objectives they seek to promote—i.e., CAA may properly be interpreted as incor- (‘‘To apply the statute to a regulation issued the accuracy of the Board’s adjudicative de- porating the defenses and exemptions set by OPM, an agency not referred to in section cisions and the integrity of the Board’s proc- forth in the Portal-to-Portal Act, an employ- 259, would extend the section 259 exception esses—would be undermined if the Board ing office that relies in good faith on an ap- beyond its scope’’; ‘‘OPM’s absence from sec- were to attempt to prejudge ambiguous or plicable interpretive bulletin of the Sec- tion 259 prevents the Government from both disputed interpretive matters in advisory retary may in fact have a statutory defense adopting and shielding itself from liability opinions that were developed in non-adver- to an enforcement action brought by a cov- for faulty regulations.’’) The final regula- sarial, non-public proceedings. The Board ered employee. In short, contrary to the sug- tions so state. thus cannot acquiesce in requests for such gestion of these commenters, the Board need Second, contrary to the assumption of advisory opinions. not adopt the Secretary’s interpretive bul- these commenters, the Board has neither the Some commenters suggested that the letins in order to give employing offices the legal basis nor the practical ability to issue Board could properly issue such interpretive benefit of them. the kind of interpretive bulletins or advisory bulletins and advisory opinions under the ru- One commenter went so far as to suggest opinions being requested. While the Adminis- bric of the ‘‘education’’ and ‘‘information’’ that, by not adopting the Secretary’s inter- trator of the Wage and Hour Division enter- programs allowed and, indeed, mandated by pretive bulletins, the Board has somehow tains questions posed by employers about en- section 301(h) of the CAA. Of course, the Of- signaled its intent to engage in a wholesale forcement-related issues, the Administra- fice’s education and information programs reinterpretation of the FLSA and its imple- tor’s willingness and ability to respond to are not the subject of this notice and com- menting regulations. No such signal was such questions derives from and is con- ment and thus a discussion of ‘‘education’’ sent; no such signal was intended. Since the strained by her investigatory and enforcement and ‘‘information’’ programs is not nec- CAA does not require adoption of these in- responsibilities under the FLSA. As the Su- essary to this rulemaking effort. But, upon terpretive bulletins, and since they are inde- preme Court stated over 50 years ago in due consideration of matter, it appears that pendently available to employing offices, the Skidmore v. Swift & Co., 323 U.S. 134, 137-38 this suggestion is based upon a fundamental Board merely determined that it need not (1944) (citations omitted): ‘‘Congress did not misunderstanding of the institutional powers adopt the Secretary’s interpretative bul- utilize the services of an administrative and responsibilities conferred upon and with- letins as its own. Moreover, like the Admin- agency to find facts and to determine in the held from the Board and the Office by Con- istrator and the courts, the Board intends to first instance whether particular cases fall gress in the CAA. Thus, it is both fair and depart from the interpretive bulletins only within or without the Act. Instead, it put prudent to address the issue at this point. where their persuasive force is lacking or the these responsibilities on the courts. But it At the outset, the Board notes that Sec- law otherwise requires (just as courts or the did create the office of Administrator, im- tion 301(h)’s reference to ‘‘education’’ and Administrator would do). See Skidmore v. pose upon him a variety of duties, endow him ‘‘information’’ programs is not the broad Swift & Co., 323 U.S. 134, 137–38 (1944); Reich v. with powers to inform himself of conditions mandate that these comments suggest. In Interstate Brands Corp., 57 F.3d 574, 577 (7th in industries and employments subject to the contrast to other statutory schemes, section Cir. 1995) (‘‘[W]e give the Secretary’s bul- Act, and put on him the duties of bringing 301(h) does not authorize, much less compel, letins the respect their reasoning earns injunction actions to restrain violations. the development by the Board or the Office them.’’); Dalheim v. KDFW-TV, 918 F.2d 1220, Pursuit of his duties has accumulated a con- of ‘‘training’’ or ‘‘technical assistance’’ pro- 1228 (5th Cir. 1990) (‘‘the persuasive authority siderable experience in the problems of grams such as those that are included in the of a given interpretation obtains only so ascertaining working time in employments Americans with Disabilities Act, Title VII of long as all those factors which give it power involving periods of inactivity and a knowl- the Civil Rights Act of 1964, the Occupa- to persuade’ persist.’’) (quoting Skidmore). edge of the customs prevailing in reference tional Safety and Health Act of 1970, the Em- As an alternative to modifying the regula- to their solution. From these he is obliged to ployee Polygraph Protection Act of 1988, and tions and adopting the interpretive bulletins reach conclusions as to conduct without the the Age Discrimination in Employment Act of the Secretary, several commenters also law, so that he should seek injunctions to of 1967. Nor does the CAA authorize, much suggested that the Board clarify regulatory stop it, and that within the law, so that he less compel, the issuance of interpretive bul- ambiguities by issuing interpretive bulletins has no call to interfere. He has set forth his letins, advisory opinions or enforcement and advisory opinions of its own and thereby views of the application of the Act under dif- guidelines, as agencies with investigative confer a Portal-to-Portal Act defense on em- ferent circumstances in an interpretative and prosecutorial powers (and matching re- ploying offices that rely upon any such bul- bulletin and in informal rulings. They pro- sources) are sometimes allowed (although al- letins or advisory opinions of the Board. In- vide a practical guide to employers and em- most never compelled) to issue. Rather, sec- deed, at least one commenter suggested that ployees as to how the office representing the tion 301(h) directs the Office to carry out ‘‘a the Board should provide advisory opinions public interest in its enforcement will seek program of education for members of Con- and other counsel to employing offices that to apply it.’’ gress and other employing authorities of the pose questions to it concerning, for example, In contrast, the Board has no investigative legislative branch of the Federal Govern- the propriety of proposed model personnel power by which it can inform itself of condi- ment respecting the laws made applicable to practices, the exempt status of employees tions, circumstances and customs of employ- them’’; and ‘‘a program to inform individuals with specified job descriptions, the legality ment in the legislative branch; its resources of their rights under laws applicable to the of proposed handbooks, and the qualification for finding and considering such information legislative branch of the Federal Govern- of certain House and Senate programs (such are smaller by orders of substantial mag- ment.’’ 2 U.S.C. § 1381(h). Such admonitions as the Federal Thrift Savings Plan) for de- nitude; and, most importantly, the Board are, however, contained in almost all federal fenses or exemptions recognized in the FLSA has no cause to advise employees and em- employment laws; and those experienced in and the Secretary’s regulations. The Board ploying offices concerning how it will seek the field understand them to concern only has considered these suggestions and, al- to enforce the statute, since it has no en- programs that ensure general ‘‘awareness’’ of though empathizing with the concerns moti- forcement powers under the CAA. rights and responsibilities under the perti- vating these requests, finds these sugges- Indeed, on reflection, it seems unwise, if nent law. tions raise intractable legal and practical not legally improper, for the Board to set Section 301(h) must be read in the context problems. forth its views on interpretive ambiguities in of the powers granted to and withheld from To begin with, the Board upon further the regulations outside of the adjudicatory the Board in the statutory scheme created study has determined that, contrary to the context of individual cases. As noted above, by the CAA. The CAA authorizes the Board suggestion of the commenters, the Board the Board’s rulemaking authority is quite to engage in rulemaking, but requires the cannot confer a Portal-to-Portal Act defense restricted. Moreover, the Board has no en- Board to follow specified procedures in doing on employing offices for any reliance on pro- forcement authority and, in contrast to the so and, at least in the context of the FLSA, nouncements of the Board (as opposed to the FLSA scheme (where the Administrator has requires the Board to have ‘‘good cause’’ for Secretary). By its own terms, in the context no adjudicatory authority to find facts and departing from the Secretary of Labor’s sub- of the FLSA, the Portal-to-Portal Act ap- to determine in the first instance whether stantive regulations. Moreover, the CAA au- plies only to written administrative actions particular cases fall within or without the thorizes the Board to engage in adjudication, of the Wage and Hour Administrator of the statute), the CAA contemplates that the but only after a complaint is filed with the Department of Labor. See 29 U.S.C. § 259. The Board will adjudicate cases brought by cov- Office, a record is properly developed Portal-to-Portal Act does not mention the ered employees and that, in such adjudica- through an adversarial process governed by Board; and the Board’s authority to amend tions, the Board must be of independent and rules of law, and judicial review is assured. the Secretary’s regulations for ‘‘good cause’’ open mind, bound to and limited by a factual And the CAA rather pointedly declines to plainly does not extend to amending statutes record developed through an adversarial confer upon the Board the investigatory and such as the Portal-to-Portal Act. Thus, as process governed by rules of law, and subject prosecutorial authority that is necessary for the federal court of appeals which has juris- to judicial review of its decisions. See 2 sound decisionmaking and interpretation diction over such matters under the CAA has U.S.C. §§ 1405–1407 (procedure for complaint, outside of the regulatory and adjudicatory

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00076 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S247 contexts. Given this statutory scheme, sec- the CAA (including questions relating to B. Specific comments and Board action tion 301(h)’s ‘‘education and information’’ FLSA exemptions), and be available gen- 1. §§541.1,.2,.3—‘‘White collar’’ exemptions— mandate cannot reasonably be construed to erally to discuss compliance-related issues Use of job descriptions to determine ex- require (or even allow) the Board to engage when called upon by employing offices. But empt status in the kind of advisory counseling requested the Board itself will not and should not in The Board received several comments urg- here—i.e., authoritative opinions developed this education and information process issue in nonpublic, nonadversarial proceedings. ing the Board, on the basis of generic job de- authoritative opinions about such matters as Indeed, Congress appears effectively to scriptions, to give advice to employing of- have considered this issue in the CAA and to the exemption status of employees with fices on whether covered employees are ex- have rejected the kind of relationship be- specified job duties, the propriety of par- empt as bona fide executive, administrative, tween the Board and employing offices that ticular model handbooks and policies devel- or professional employees under FLSA is contemplated by this request. The legisla- oped by employing offices, and the qualifica- § 13(a)(1) as applied by the CAA. As noted tive history reflects a recognition that ‘‘the tion of certain House and Senate programs above, it would not be appropriate to at- office must, in appearance and reality, be (such as the Federal Thrift Savings Plan) for tempt to give such advice in the context of independent in order to gain and keep the particular defenses and exemptions that are this rulemaking. The Board would note, as a confidence of the employees and employers available under the regulations. Character- further point, that submission of such de- who will utilize the dispute resolution proc- izing such interpretive activity as ‘‘edu- scriptions which may describe functions of congressional employees would not, in any ess created by this act.’’ 141 Cong. Rec. at cational’’ or ‘‘informational’’ does not in any event, provide the detail necessary to deter- S627. The legislative history further reflects way address, much less satisfactorily re- a recognition that ‘‘laws cannot be enforced mine the exempt or nonexempt status of the solve, the serious legal and institutional con- in a fair and uniform manner—and employ- job. Job descriptions that utilize language or cerns that make it unwise, if not improper, ees and the public cannot be convinced that phraseology derived from the regulations the laws are being enforced in a fair and uni- for the Board to engage in such interpretive today adopted by the Board do not provide form manner—unless Congress establishes a activities outside of the adjudicative proc- the specificity of conclusions regarding ex- single enforcement mechanism that is inde- esses established by the CAA. empt or nonexempt status. The Secretary’s pendent of each House of Congress.’’ 141 The Board recognizes that, by declining to regulations, as adopted by the Board, speak Cong. Rec. at S444. The statute thus declares provide such authoritative advisory opin- for themselves. It would serve no purpose, that the Office of Compliance is an ‘‘inde- ions, the Board is forcing employing offices and provide no guidance, simply to repeat pendent office’’ in the legislative branch; to rely to a greater extent upon their own the statutory standards for exemption in a that the Office is governed by a Board of Di- job description without reference to the par- counsel and human resources officials and in rectors whose members were appointed on a ticular functions of a particular employee. a sense is frustrating the efforts of employ- bi-partisan basis for non-partisan reasons, The Fair Labor Standards Act is clear that who may be removed in only quite limited ing offices to obtain desirable safe-harbors. actual function, and not description or job circumstances, and whose incomes are large- The FLSA as currently applied to private title, govern the exempt status of an ly derived from work in the private sector; employers contains few such safe-harbors, employee. See, e.g., 29 C.F.R. § 541.201 and that the Board must follow formal pub- particularly in the area of exemptions. But (3)(b)(1),(2). lic comment and adjudicatory procedures in many knowledgeable labor lawyers and 2. § 541.5d—Special rule for ″white collar″ em- making any decisions with legal effect. 2 human resources officials are available to ployees of a public agency U.S.C. §§ 1381(a), (b), (e), (f), (g), 1384, 1405–6. provide employing offices with the kind of Under § 13(a)(1) of the FLSA, which is in- The call for issuing advisory opinions in the learned counsel and human resources advice corporated by reference under § 225(f)(1) of ‘‘education’’ and ‘‘information’’ process— that the employing offices are seeking from the CAA, a salaried employee who is a bona opinions that would be issued in non-public, the Board; indeed, the House and Senate non-adversarial proceedings without regard fide executive, administrative, or profes- have centralized administrations and com- sional employee need not be paid overtime to the statutorily-required public comment mittees that can provide this legal support and adjudicatory procedures—is in intoler- compensation for hours worked in excess of to employing offices. And employing offices able tension with the institutional independ- the statutory maximum. Sections 541.1, 541.2, have the benefit of the same legal safe-har- ence, inclusiveness and procedural regularity and 541.3, 29 C.F.R., of the Secretary of La- contemplated for the Board by the CAA. bors that the Secretary of Labor has made bor’s regulations respectively define the cri- In all events, the Board would in the exer- available to private sector and State and teria for each of these ‘‘white collar’’ exemp- cise of its considered judgment decline to local government employers. Under the CAA, tions. Since they are substantive regula- provide authoritative opinions to employing they are legally entitled to no more. tions, the Board in its NPR proposed to adopt them. offices as part of its ‘‘education’’ and ‘‘infor- Even more importantly, however, the Among the regulations not proposed for mation’’ programs. Without investigatorial Board finds that the long-term institutional adoption was § 541.5d. This regulation pro- and prosecutorial authority (and matching harm to the CAA scheme that would result resources), the Board has insufficient infor- vides that an employee shall not lose his or from the Board’s providing such advisory mation and thus is practicably unable to her ‘‘white collar’’ exemption where a ‘‘pub- opinions in non-public, non-adversarial pro- provide such authoritative opinions. With se- lic agency’’ employer reduces an exempt em- ceedings far outweighs whatever short-term verely restricted rulemaking authority, the ployee’s pay or places the employee on un- Board cannot properly provide regulatory legal or political benefits might result for paid leave in certain circumstances for par- clarifications for employing offices when employing offices. As noted above, provision tial-day absences. As explained in the Fed- those clarifications have not been provided by the Board of such opinions could impair eral Register Notice announcing its adop- by the Secretary to private sector and state confidence in the independence, impartiality tion, the Secretary of Labor issued § 541.5d in and local government employers. And, with and irreproachability of the Board’s deci- response to concerns that the application of its adjudicatory powers, the Board should sionmaking processes. Such a lack of con- the FLSA to State and local governments not resolve disputed interpretive matters in fidence could unfortunately induce employ- would undermine well-settled ‘‘policies of the absence of a specific factual controversy, ees to take their cases to court rather than public accountability’’ that require public a record developed through an adversarial bring them to the Board’s less costly, con- employees (including those who would other- process governed by rules of law, and an op- fidential and expedited alternative dispute wise be exempt) to incur a reduction in pay portunity for judicial review. To do other- resolution process. Even more seriously, if they absent themselves from work under wise would simply impair the independence, such a lack of confidence could cause the certain circumstances. 57 Fed. Reg. 37677 impartiality, and irreproachability of the public and other interested persons to ques- (Aug. 19, 1992). Board’s actions. In short, for much the same tion the Board’s commitment, and thus the The Board originally did not propose adop- reasons that federal courts do not issue advi- sincerity of the CAA’s promise, generally to tion of this regulation. However, one com- sory opinions or ex parte decisions, neither provide covered employees the same bene- menter pointed out that, by its terms, should the Board. See United States v. fits, and to subject the legislative branch to § 541.5d covers a ‘‘public agency,’’ which is a Freuhauf, 365 U.S. 146, 157 (1961) (Frankfurter, the same legal burdens, as exist with regard statutory term defined in § 3(x) of the FLSA J.) (discussing vices of advisory opinions). to private sector and State and local govern- to include ‘‘the government of the United To be sure, ‘‘education’’ and ‘‘information’’ ment employers that are subject to the States.’’ As a definitional provision, § 3(x) is programs are of central importance to the FLSA. We are confident that, like the bi-par- incorporated into the CAA by virtue of CAA scheme. Such programs are needed, in tisan Congressional leadership who ap- § 225(f)(1), and Congress is undeniably a part, to help employing offices in their ef- pointed us and who placed their trust in our branch of the ‘‘government of the United forts to understand and satisfy their compli- experience and judgment concerning how States.’’ ance obligations under the CAA. And the best to implement this statute, those in Con- The Board finds merit in the commenter’s Board reiterates its intention, stated in the gress who voted for the CAA or who would argument. Moreover, the adoption of this NPR, that the Office sponsor, and participate support it today would want us to prefer the regulation is well in keeping with the in, seminars on the obligations of employing long term viability, integrity, and efficacy of Board’s mandate to promulgate rules that offices, distribute a comprehensive manual this noble statutory enterprise over the are ‘‘the same as substantive regulations to address frequently arising questions under short-term demands of employing offices. promulgated by the Department of Labor to

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00077 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S248 CONGRESSIONAL RECORD — SENATE January 22, 1996 implement’’ those FLSA statutory provi- 4. § 570.35a—Work experience programs for mi- for overtime compensation purposes; and sions made applicable by the CAA. Accord- nors Part 551, which implements an overtime ex- ingly, § 541.5d will be adopted with a minor The CAA makes applicable to the legisla- emption for local delivery drivers and help- change that substitutes for the citation to tive branch FLSA § 12(c), which prohibits the ers. § 541.118 (an interpretative bulletin) the use of oppressive child labor, and FLSA § 3(l), The comments did identify several indi- phrase ‘‘being paid on a salary basis,’’ which which defines ‘‘oppressive child labor.’’ In its vidual regulations as to which there is not is derived directly from the substantive reg- NPR, the Board proposed adopting as part of good cause to not adopt. As explained else- ulations defining the ‘‘white collar’’ exemp- the CAA rules applicable to the Senate cer- where, those regulations are being included tions (i.e., 29 C.F.R. §§ 541.1,.2,.3). tain substantive regulations of Part 570, 29 in the final rules. However, in the main, the 3. Partial Overtime Exemption for Law En- C.F.R., implementing these statutory provi- comments did not dispute the inapplicability forcement Officers sions. This proposal was based on the Board’s of those Parts of 29 C.F.R. deemed legally ir- understanding that the Senate has a practice relevant. The Board did not propose to adopt any of appointing pages under 18 years of age. Accordingly, in keeping with its an- sections of 29 C.F.R. Part 553, which govern One commenter confirmed this under- nounced intent in the NPR, the Board is in- the application of the FLSA to employees of standing by reporting that the Senate Page cluding in its final rules a declaration to the State and local governments. Subparts A and Program does employ minors under the age effect that the Board has issued those regu- B of that Part address a variety of issues, in- of 16. Thus, under the proposed regulations, lations that, as both a legal and practical cluding certain exclusions pertaining to there are limitations on the periods and the matter, it is ‘‘required’’ to promulgate to im- elected legislative offices, the use of compen- conditions under which such minors can plement the statutory provisions of the satory time off, recordkeeping, and the em- work. Without disputing the applicability of FLSA that are made applicable to the legis- ployment of volunteers. Subpart C addresses this regulation, the commenter sought to lative branch by the CAA. the special provisions which Congress en- mitigate its impact by urging the adoption The Board has carefully reviewed the en- acted in § 7(k) in connection with fire protec- of an additional regulation found in 29 C.F.R. tire corpus of the Secretary’s regulations, tion and law enforcement employees of pub- Part 570, Subpart C, namely the rule that has sought comment on its proposal con- lic agencies. varies some of the provisions of Subpart C in cerning the regulations that it should (and Section 7(k) of the FLSA also provides a the context of school-supervised and school- should not adopt), and has considered those partial overtime exemption for fire protec- administered work-experience or career ex- comments in formulating its final rules. The tion and law enforcement employees of a ploration programs that have been individ- Board has acted based on this review and public agency. Based on tour-of-duty aver- ually approved by the Wage and Hour Ad- consideration and in order to prevent waste- ages that were determined by the Secretary ministrator. 29 C.F.R. § 570.35a. ful litigation about whether the omission of of Labor in 1975, an employer need not pay After carefully reviewing the provisions of a regulation from the Secretary in the overtime if, in a work period of 28 consecu- § 570.35a, the Board finds that it would not be Board’s regulations was intended or not. tive days, the employee receives a tour of appropriate to adopt this regulation. There 6. Recordkeeping and notice posting duty which in the aggregate does not exceed is no available ‘‘State Educational Agency’’ One comment essentially requested that 212 hours for fire protection activity or does in the context of the CAA; State law is not the Board revisit an issue which it resolved not exceed 171 hours for law enforcement ac- properly applicable here; and the Board is after receiving comments to its Advanced tivity. Thus, for law enforcement personnel, obviously not competent to set educational Notice of Proposed Rulemaking (ANPR) pub- work in excess of 171 hours during the 28-day standards. In short, there are legal and prac- lished on October 11, 1995. The ANPR had so- period triggers the requirement to pay over- tical reasons why this regulation is unwork- licited public comments on certain questions time compensation. For a work period of at able in the context of Federal legislative to assist the Board in drafting proposed least 7 but less than 28 consecutive days, branch employment, and the Board thus has FLSA regulations, including the question of overtime must be paid when the ratio of the ‘‘good cause’’ not to adopt it. whether the FLSA provisions regarding rec- number of hours worked to the number of 5. Board determination on regulations ‘‘re- ordkeeping and the notice posting were made days in the work period exceeds the 171- quired’’ to be issued in connection with applicable by the CAA. As explained in the hours-to-28-days ratio (rounded to the near- § 411 default provision NPR, after evaluating the comments and est whole hour). Section 411 of the CAA provides in perti- carefully reviewing the CAA, the Board con- Although the regulations by their terms nent part that ‘‘if the Board has not issued a cluded that ‘‘the CAA explicitly did not in- apply only to ‘‘public agencies’’ of State and regulation on a matter for which [the CAA] corporate the notice posting and record- local governments, one commenter observed requires a regulation to be issued the hear- keeping requirements of Section 11, 29 U.S.C. that the underlying statutory provisions are ing officer, Board, or court, as the case may § 211 of the FLSA.’’ The most recent com- not so limited but rather apply to any ‘‘pub- be, shall apply, to the extent necessary and ment offered no further statutory evidence lic agency,’’ which by definition includes the appropriate, the most relevant substantive to support a change in the Board’s original Federal government (See § 3(x) of the FLSA). executive agency regulation promulgated to conclusion. Accordingly, it was argued that the Board implement the statutory provision at issue.’’ should adopt those regulations imple- 7. Technical and nomenclature changes By its own terms, this provision comes into menting the § 7(k) partial overtime exemp- A commenter suggested a number of tech- play only where it is determined that the tion insofar as it would apply to the law en- nical and nomenclature changes to the pro- Board has not issued a regulation that is re- forcement work of the Capitol Police. posed regulations to make them more pre- quired by the CAA. Thus, before a Depart- For the reasons noted above that support cise in their application to the legislative ment of Labor regulation can be invoked, an branch. The Board has incorporated many of adoption of § 541.5d, the Board finds that the adjudicator must make a threshold deter- pertinent sections of Subpart C of Part 553 the suggested changes. However, by making mination that the regulation concerns a these changes, the Board does not intend a should also be adopted. Section 7(k) provides matter as to which the Board was obligated a direct textual basis for applying the rel- substantive difference in meaning of these under the CAA to issue a regulation. sections of the Board’s regulations and those evant regulations. Thus, under the regula- As noted in the NPR, it was apparent in re- of the Secretary from which the Board’s reg- tions, the Capitol Police as an employing of- viewing Chapter V of 29 C.F.R., which con- ulations are derived. fice of law enforcement personnel shall have tains all the regulations of the Secretary of two options: It may pay such personnel over- Labor issued to implement the FLSA gen- III. Adoption of proposed rules as final regula- time compensation on the basis of a 40-hour erally, many of those regulations were not tions under section 304(b)(3) and as interim workweek. Alternatively, it may claim the legally ‘‘required’’ to be issued as CAA regu- regulations section 7(k) exemption by establishing a lations because the underlying FLSA provi- Having considered the public comments to valid work period that follows the criteria sions were not made applicable under the the proposed rules, the Board pursuant to set forth in the regulations. CAA. And there are other regulations that section 304(b) (3) and (4) of the CAA is adopt- The Board is aware that Congress has en- the Board has ‘‘good cause’’ not to issue be- ing these final regulations and transmitting acted special provisions governing overtime cause, for example, they have no applica- them to the House and the Senate with rec- compensation and compensatory time off for bility to legislative branch employment. ommendations as to the method of approval Capitol Police officers. 40 U.S.C. § 206b (for None of the comments to the NPR quar- by each body under section 304(c). However, police on the House’s payroll) and § 206c (for relled with the Board’s conclusion not to the rapidly approaching effective date of the police on the Senate’s payroll). However, the adopt those regulations that have little prac- CAA’s implementation necessitates that the regulations being adopted here do not pur- tical application. Therefore, the Board is not Board take further action with respect to port to modify those statutory provisions; issuing regulations predicated upon the fol- these regulations. For the reasons explained and whether 40 U.S.C. §§ 206b-206c grant lowing Parts of 29 C.F.R.: Parts 519–528, below, the Board is also today adopting and rights and protections to law enforcement which authorize subminimum wages for full- issuing these rules as interim regulations employees that preclude the Capitol Police time students, student-learners, apprentices, that will be effective as of January 23, 1996 or from availing itself of § 7(k) of the FLSA is a learners, messengers, workers with disabil- the time upon which appropriate resolutions question that the Board does not address. ities, and student workers; Part 548, which of approval of these interim regulations are The regulations simply specify the rules for authorizes in the collective bargaining con- passed by the House and/or the Senate, overtime policies that conform to the FLSA. text the establishment of basic wage rates whichever is later. These interim regulations

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00078 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S249

will remain in effect until the earlier of Board’s regulations. The Board is of the view ADOPTED REGULATIONS—AS INTERIM AND AS April 15, 1996 or the dates upon which the that the essence of section 304(c)’s require- FINAL REGULATIONS House and Senate complete their respective ments are satisfied by making the effective- Subtitle C—Regulations relating to the em- consideration of the final regulations that ness of these interim regulations conditional ploying offices other than those of the Sen- the Board is herein adopting. on the passage of appropriate resolutions of ate and the House of Representatives—C The Board finds that it is necessary and approval by the House and/or the Senate. series appropriate to adopt such interim regula- Moreover, section 304(c) appears to be de- tions and that there is ‘‘good cause’’ for Chapter III—Regulations Relating to the signed primarily for (and applicable to) final making them effective as of the later of Jan- Rights and Protections Under the Fair regulations of the Board, which these in- uary 23, 1996, or the time upon which appro- Labor Standards Act of 1938 terim regulations are not. In short, section priate resolutions of approval of them are Part C501—General provisions 304(c)’s procedures should not be understood passed by the House and the Senate. In the Sec. to prevent the issuance of interim regula- absence of the issuance of such interim regu- C501.00 Corresponding section table of the lations, covered employees, employing of- tions that are necessary for the effective im- FLSA regulations of the Labor Depart- fices, and the Office of Compliance staff plementation of the CAA. ment and the CAA regulations of the Of- itself would be forced to operate in regu- Indeed, the promulgation of these interim fice of Compliance. latory uncertainty. While section 411 of the regulations clearly conforms to the spirit of C501.101 Purpose and scope. CAA provides that, ‘‘if the Board has not section 304(c) and, in fact promotes its prop- C501.102 Definitions. issued a regulation on a matter for which er operation. As noted above, the interim C501.103 Coverage. this Act requires a regulation to be issued, regulations shall become effective only upon C501.104 Administrative authority. the hearing officer, Board, or court, as the the passage of appropriate resolutions of ap- C501.105 Effect of Interpretations of the case may be, shall apply, to the extent nec- proval, which is what section 304(c) con- Labor Department. essary and appropriate, the most relevant templates. Moreover, these interim regula- C501.106 Application of the Portal-to-Portal substantive executive agency regulation pro- tions allow more considered deliberation by Act of 1947. mulgated to implement the statutory provi- C501.107 Duration of interim regulations. sion at issue in the proceeding,’’ covered em- the House and the Senate of the Board’s final § C501.00 Corresponding section table of the ployees, employing offices and the Office of regulations under section 304(c). FLSA regulations of the Labor Department Compliance staff might not know what regu- The House has in fact already signalled its and the CAA regulations of the Office of lation, if any, would be found applicable in approval of such interim regulations both for Compliance particular circumstances absent the proce- itself and for the instrumentalities. On De- dures suggested here. The resulting confu- cember 19, 1995, the House adopted H. Res. The following table lists the parts of the sion and uncertainty on the part of covered 311 and H. Con. Res. 123, which approve ‘‘on Secretary of Labor Regulations at Title 29 of the Code of Federal Regulations under the employees and employing offices would be a provisional basis’’ regulations ‘‘issued by FLSA with the corresponding parts of the contrary to the purposes and objectives of the Office of Compliance before January 23, Office of Compliance (OC) Regulations under the CAA, as well as to the interests of those 1996.’’ The Board believes these resolutions Section 203 of the CAA: whom it protects and regulates. Moreover, are sufficient to make these interim regula- since the House and the Senate will likely tions effective for the House on January 23, Secretary of Labor regu- OC regulations act on the Board’s final regulations within a 1996, though the House might want to pass lations short period of time, covered employees and Part 531 Wage payments new resolutions of approval in response to employing offices would have to devote con- under the Fair Labor this pronouncement of the Board. siderable attention and resources to learn- Standards Act of 1938 ..... Part C531 ing, understanding, and complying with a To the Board’s knowledge, the Senate has Part 541 Defining and de- whole set of default regulations that would not yet acted on H. Con. Res. 123, nor has it limiting the terms ‘‘bona then have no future application. These in- passed a counterpart to H. Res. 311 that fide executive,’’ ‘‘admin- terim regulations prevent such a waste of re- would cover employing offices and employees istrative,’’ and ‘‘profes- sources. of the Senate. As stated herein, it must do so sional’’ employees ...... Part C541 The Board’s authority to issue such in- if these interim regulations are to apply to Part 547 Requirements of a terim regulations derives from sections 411 the Senate and the other employing offices ‘‘Bona fide thrift or sav- and 304 of the CAA. Section 411 gives the of the instrumentalities (and to prevent the ings plan’’ ...... Part C547 Board authority to determine whether, in default rules of the executive branch from Part 553 Application of the the absence of the issuance of a final regula- applying as of January 23, 1996). FLSA to employees of tion by the Board, it is necessary and appro- public agencies ...... Part C553 priate to apply the substantive regulations IV. Method of approval Part 570 Child labor ...... Part C570 of the executive branch in implementing the Subpart A—Matters of general applicability provisions of the CAA. Section 304(a) of the The Board received no comments on the CAA in turn authorizes the Board to issue method of approval for these regulations. § C501.101 Purpose and scope substantive regulations to implement the Therefore, the Board continues to rec- (a) Section 203 of the Congressional Ac- Act. Moreover, section 304(b) of the CAA in- ommend that (1) the version of the regula- countability Act (CAA) provides that the structs that the Board shall adopt sub- tions that shall apply to the Senate and em- rights and protections of subsections (a)(1) stantive regulations ‘‘in accordance with the ployees of the Senate should be approved by and (d) of section 6, section 7, and section principles and procedures set forth in section the Senate by resolution; (2) the version of 12(c) of the Fair Labor Standards Act of 1938 553 of title 5, United States Code,’’ which the regulations that shall apply to the House (FLSA) (29 U.S.C. §§ 206(a)(1) & (d), 207, 212(c)) have in turn traditionally been construed by of Representatives and employees of the shall apply to covered employees of the leg- courts to allow an agency to issue ‘‘interim’’ House of Representatives should be approved islative branch of the Federal government. rules where the failure to have rules in place by the House of Representatives by resolu- Section 301 of the CAA creates the Office of in a timely manner would frustrate the effec- tion; and (3) the version of the regulations Compliance as an independent office in the tive operation of a federal statute. See, e.g., that shall apply to other covered employees legislative branch for enforcing the rights Philadelphia Citizens in Action v. Schweiker, and employing offices should be approved by and protections of the FLSA, as applied by 669 F.2d 877 (3d Cir. 1982). As noted above, in the Congress by concurrent resolution. the CAA. (b) The FLSA as applied by the CAA pro- the absence of the Board’s adoption and With respect to the interim version of issuance of these interim rules, such a frus- vides for minimum standards for both wages these regulations, the Board recommends and overtime entitlements, and delineates tration of the effective operation of the CAA that the Senate approve them by resolution would occur here. administrative procedures by which covered insofar as they apply to the Senate and em- In so interpreting its authority, the Board worktime must be compensated. Included recognizes that in section 304 of the CAA, ployees of the Senate. In addition, the Board also in the FLSA are provisions related to Congress specified certain procedures that recommends that the Senate approve them child labor, equal pay, and portal-to-portal the Board must follow in issuing substantive by concurrent resolution insofar as they activities. In addition, the FLSA exempts regulations. In section 304(b), Congress said apply to other covered employees and em- specified employees or groups of employees that, except as specified in section 304(e), the ploying offices. It is noted that the House from the application of certain of its provi- Board must follow certain notice and com- has expressed its approval of the regulations sions. ment and other procedures. The interim reg- insofar as they apply to the House and its (c) This chapter contains the substantive ulations in fact have been subject to such no- employees through its passage of H. Res. 311 regulations with respect to the FLSA that tice and comment and such other procedures on December 19, 1995. The House also ex- the Board of Directors of the Office of Com- of section 304(b). pressed its approval of the regulations inso- pliance has adopted pursuant to Sections In issuing these interim regulations, the far as they apply to other employing offices 203(c) and 304 of the CAA, which requires Board also recognizes that section 304(c) through passage of H. Con. Res. 123 on the that the Board promulgate regulations that specifies certain procedures that the House same date; this concurrent resolution is are ‘‘the same as substantive regulations and the Senate are to follow in approving the pending before the Senate. promulgated by the Secretary of Labor to

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00079 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S250 CONGRESSIONAL RECORD — SENATE January 22, 1996 implement the statutory provisions referred period not to exceed 12 months; provided that Section 203 of the CAA shall be ‘‘the same as to in subsection (a) [of § 203 of the CAA] ex- if an intern is appointed for a period shorter substantive regulations promulgated by the cept insofar as the Board may determine, for than 12 months, the intern may be re- Secretary of Labor’’ except where the Board good cause shown . . . that a modification of appointed for additional periods as long as finds, for good cause shown, that a modifica- such regulations would be more effective for the total length of the internship does not tion would more effectively implement the the implementation of the rights and protec- exceed 12 months; provided further that the rights and protections established by the tions under this section.’’ defintion of intern does not include volun- FLSA. Thus, the CAA by its terms does not (d) These regulations are issued by the teers, fellows or pages. mandate that the Board adopt the interpre- Board of Directors, Office of Compliance, § C501.103 Coverage tative statements of the Department of pursuant to sections 203(c) and 304 of the Labor or its Wage and Hour Division. The The coverage of Section 203 of the CAA ex- CAA, which directs the Board to promulgate Board is thus not adopting such statements tends to any covered employee of an employ- regulations implementing section 203 that as part of its substantive regulations. ing office without regard to whether the cov- are ‘‘the same as substantive regulations ered employee is engaged in commerce or the § C501.106 Application of the Portal-to-Portal promulgated by the Secretary of Labor to production of goods for interstate commerce Act of 1947 implement the statutory provisions referred and without regard to size, number of em- (a) Consistent with Section 225 of the CAA, to in subsection a [of section 203 of the CAA] ployees, amount of business transacted, or the Portal to Portal Act (PPA), 29 U.S.C. except insofar as the Board may determine, other measure. §§216 and 251 et seq., is applicable in defining for good cause shown . . . that a modification and delimiting the rights and protections of §C501.104 Administrative authority of such regulations would be more effective the FLSA that are prescribed by the CAA. for the implementation of the rights and pro- (a) The Office of Compliance is authorized Section 10 of the PPA, 29 U.S.C. § 259, pro- tections under this section.’’ The regulations to administer the provisions of Section 203 of vides in pertinent part: ‘‘[N]o employer shall issued by the Board herein are on all matters the Act with respect to any covered em- be subject to any liability or punishment for for which section 203 of the CAA requires a ployee or covered employer. or on account of the failure of the employer regulations to be issued. Specifically, it is (b) The Board is authorized to promulgate to pay minimum wages or overtime com- the Board’s considered judgment, based on substantive regulations in accordance with pensation under the Fair Labor Standards the information available to it at the time of the provisions of Sections 203(c) and 304 of Act of 1938, as amended, . . . if he pleads and the promulgation of these regulations, that, the CAA. proves that the act or omission complained with the exception of regulations adopted § C501.105 Effect of interpretations of the De- of was in good faith in conformity with and and set forth herein, there are no other ‘‘sub- partment of Labor reliance on any written administrative regu- stantive regulations promulgated by the Sec- (a) In administering the FLSA, the Wage lation, order, ruling, approval or interpreta- retary of Labor to implement the statutory and Hour Division of the Department of tion of [the Administrator of the Wage and provisions referred to in subsection (a) [of Labor has issued not only substantive regu- Hour Division of the Department of Labor] section 203 of the CAA].’’ lations but also interpretative bulletins. . . . or any administrative practice or en- (e) In promulgating these regulations, the Substantive regulations represent an exer- forcement policy of such agency with respect Board has made certain technical and no- cise of statutorily-delegated lawmaking au- to the class of employers to which he be- menclature changes to the regulations as thority from the legislative branch to an ad- longed. Such a defense, if established shall promulgated by the Secretary. Such changes ministrative agency. Generally, they are be a bar to the action or proceeding, not- are intended to make the provisions adopted proposed in accordance with the notice-and- withstanding that after such act or omis- accord more naturally to situations in the comment procedures of the Administrative sion, such administrative regulation, order, legislative branch. However, by making Procedure Act (APA), 5 U.S.C. § 553. Once ruling, approval, interpretation, practice or these changes, the Board does not intend a promulgated, such regulations are consid- enforcement policy is modified or rescinded substantive difference between these regula- ered to have the force and effect of law, un- or is determined by judicial authority to be tions and those of the Secretary from which less set aside upon judicial review as arbi- invalid or of no legal effect.’’ they are derived. Moreover, such changes, in trary, capricious, an abuse of discretion, or (b) In defending any action or proceeding and of themselves, are not intended to con- otherwise not in accordance with law. See based on any act or omission arising out of stitute an interpretation of the regulation or Batterton v. Francis, 432 U.S. 416, 425 n.9 section 203 of the CAA, an employing office of the statutory provisions of the CAA upon (1977). See also 29 C.F.R. § 790.17(b) (1994). Un- may satisfy the standards set forth in sub- which they are based. like substantive regulations, interpretative section (a) by pleading and proving good § C501.102 Definitions statements, including bulletins and other re- faith reliance upon any written administra- For purposes of this chapter: leases of the Wage and Hour Division, are tive regulation, order, ruling, approval or in- (a) CAA means the Congressional Account- not issued pursuant to the provisions of the terpretation, of the Administrator of the ability Act of 1995 (P.L. 104–1, 109 Stat. 3, 2 APA and may not have the force and effect Wage and Hour Division of the Department U.S.C. §§ 1301–1438). of law. Rather, they may only constitute of- of Labor: Provided, that such regulation, (b) FLSA or Act means the Fair Labor ficial interpretations of the Department of order, ruling approval or interpretation had Standards Act of 1938, as amended (29 U.S.C. Labor with respect to the meaning and appli- not been superseded at the time of reliance § 201 et seq.), as applied by section 203 of the cation of the minimum wage, maximum by any regulation, order, decision, or ruling CAA to covered employees and employing of- hour, and overtime pay requirements of the of the Board or the courts. fices. FLSA. See 29 C.F.R. § 790.17(c) (citing Final § C501.107 Duration of interim regulations (c) Covered employee means any employee, Report of the Attorney General’s Committee These interim regulations for the House, including an applicant for employment and a on Administrative Procedure, Senate Docu- the Senate and the employing offices of the former employee, of the (1) the Capitol Guide ment No.8, 77th Cong., 1st Sess., at p. 27 instrumentalities are effective on January Service; (2) the Capitol Police; (3) the Con- (1941)). The purpose of such statements is to 23, 1996 or on the dates upon which appro- gressional Budget Office; (4) the Office of the make available in one place the interpreta- priate resolutions are passed, whichever is Architect of the Capitol; (5) the Office of the tions of the FLSA which will guide the Sec- later. The interim regulations shall expire Attending Physician; (6) the Office of Com- retary of Labor and the Wage and Hour Ad- on April 15, 1996 or on the dates on which ap- pliance; or (7) the Office of Technology As- ministrator in the performance of their du- propriate resolutions concerning the Board’s sessment, but shall not include an intern. ties unless and until they are otherwise di- final regulations are passed by the House and (d)(1) Employee of the Office of the Architect rected by authoritative decisions of the the Senate, respectively, whichever is ear- of the Capitol includes any employee of the courts or conclude, upon reexamination of an lier. Architect of the Capitol, the Botanic Garden, interpretation, that it is incorrect. The Su- Part C531—Wage Payments Under the Fair or the Senate Restaurants; preme Court has observed: ‘‘[T]he rulings, in- Labor Standards Act of 1938 (2) Employee of the Capitol Police includes terpretations and opinions of the Adminis- Subpart A—Preliminary Matters any member or officer of the Capitol Police. trator under this Act, while not controlling (e) Employing office and employer mean (1) upon the courts by reason of their authority, Sec. the Capitol Guide Service; (2) the Capitol Po- do constitute a body of experience and in- C531.00 Corresponding section table of the lice; (3) the Congressional Budget Office; (4) formed judgment to which courts and liti- FLSA regulations of the Labor Depart- the Office of the Architect of the Capitol; (5) gants may properly resort for guidance. The ment and the CAA regulations of the Of- the Office of the Attending Physician; (6) the weight of such a judgment in a particular fice of Compliance. Office of Compliance; or (7) the Office of case will depend upon the thoroughness evi- C531.1 Definitions. Technology Assessment. dent in the consideration, the validity of its C531.2 Purpose and scope. (f) Board means the Board of Directors of reasoning, its consistency with earlier and Subpart B—Determinations of ‘‘reasonable the Office of Compliance. later pronouncements, and all those factors cost’’ and ‘‘fair value’’; effects of collective (g) Office means the Office of Compliance. which give it power to persuade, if lacking bargaining agreements (h) Intern is an individual who (a) is per- power to control.’’ Skidmore v. Swift, 323 U.S. C531.3 General determinations of ‘‘reason- forming services in an employing office as 134, 140 (1944). able cost’’. part of a demonstrated educational plan, and (b) Section 203(c) of the CAA provides that C531.6 Effects of collective bargaining agree- (b) is appointed on a temporary basis for a the substantive regulations implementing ments.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00080 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S251 A—Preliminary matters commodities or facilities offered for sale) Secretary of Labor Regu- OC Regulations § C531.00 Corresponding section table of the shall be the reasonable cost. The cost of op- lations FLSA regulations of the Labor Department eration and maintenance, the rate of depre- 541.5d Special provisions and the CAA regulations of the Office of ciation, and the depreciated amount of cap- applicable to employees Compliance ital invested by the employer shall be those of public agencies ...... C541.5d arrived at under good accounting practices. The following table lists the sections of the As used in this paragraph, the term good ac- § C541.01 Application of the exemptions of sec- Secretary of Labor Regulations at Title 29 of counting practices does not include account- tion 13 (a)(1) of the FLSA the Code of Federal Regulations under the ing practices which have been rejected by (a) Section 13(a)(1) of the FLSA, which pro- FLSA with the corresponding sections of the the Internal Revenue Service for tax pur- vides certain exemptions for employees em- Office of Compliance (OC) Regulations under poses, and the term depreciation includes ob- ployed in a bona fide executive, administra- Section 203 of the CAA: solescence. tive, or professional capacity (including any Secretary of Labor regu- OC regulations (d)(1) The cost of furnishing ‘facilities’ employee employed in the capacity of aca- lations found by the Administrator to be primarily demic administrative personnel or teacher in 531.1 Definitions ...... C531.1 for the benefit or convenience of the em- a secondary school), applies to covered em- 531.2 Purpose and scope ..... C531.2 ployer will not be recognized as reasonable ployees by virtue of Section 225(f)(1) of the 531.3 General determina- and may not therefore be included in com- CAA. tions of ‘‘reasonable puting wages. cost’’ ...... C531.3 (2) The following is a list of facilities found (b) The substantive regulations set forth in Effects of collective bar- by the Administrator to be primarily for the this part are promulgated under the author- gaining agreements ...... C531.6 benefit of convenience of the employer. The ity of sections 203(c)and 304 of the CAA, list is intended to be illustrative rather than which require that such regulations be the § C531.1 Definitions exclusive: (i) Tools of the trade and other same as the substantive regulations promul- (a) Administrator means the Administrator materials and services incidental to carrying gated by the Secretary of Labor except of the Wage and Hour Division or his author- on the employer’s business; (ii) the cost of where the Board determines for good cause ized representative. The Secretary of Labor any construction by and for the employer; shown that modifications would be more ef- has delegated to the Administrator the func- (iii) the cost of uniforms and of their laun- fective for the implementation of the rights tions vested in him under section 3(m) of the dering, where the nature of the business re- and protections under § 203. Act. quires the employee to wear a uniform. § C541.1 Executive (b) Act means the Fair Labor Standards § C531.6 Effects of collective bargaining agree- The term employee employed in a bona fide Act of 1938, as amended. ments § C531.2 Purpose and scope executive * * * capacity in section 13(a) (1) of (a) The cost of board, lodging, or other fa- the FLSA as applied by the CAA shall mean (a) Section 3(m) of the Act defines the term cilities shall not be included as part of the any employee: ’wage’ to include the ’reasonable cost’, as de- wage paid to any employee to the extent it (a) Whose primary duty consists of the termined by the Secretary of Labor, to an is excluded therefrom under the terms of a management of an employing office in which employer of furnishing any employee with bona fide collective bargaining agreement he is employed or of a customarily recog- board, lodging, or other facilities, if such applicable to the particular employee. nized department of subdivision thereof; and board, lodging, or other facilities are cus- (b) A collective bargaining agreement shall tomarily furnished by the employer to his be deemed to be ‘‘bona fide’’ when pursuant (b) Who customarily and regularly directs employees. In addition, section 3(m) gives to the provisions of section 7(b)(1) or 7(b)(2) the work of two or more other employees the Secretary authority to determine the of the FLSA it is made with the certified therein; and ‘fair value’ of such facilities on the basis of representative of the employees under the (c) Who has the authority to hire or fire average cost to the employer or to groups of provisions of the CAA. other employees or whose suggestions and employers similarly situated, on average Part C541—Defing and Delimiting the Terms recommendations as to the hiring or firing value to groups of employees, or other appro- ‘‘Bona Fide Executive,’’ ‘‘Administrative,’’ and as to the advancement and promotion or priate measures of ‘fair value.’ Whenever so or ‘‘Professional’’ Capacity (Including Any any other change of status of other employ- determined and when applicable and perti- Employee Employed in the Capacity of ees will be given particular weight; and nent, the ‘fair value’ of the facilities in- Academic Administrative Personnel or (d) Who customarily and regularly exer- volved shall be includable as part of ‘wages’ Teacher in Secondary School) cises discretionary powers; and instead of the actual measure of the costs of Subpart A—General regulations (e) Who does not devote more than 20 per- those facilities. The section provides, how- Sec. cent, or, in the case of an employee of a re- ever, that the cost of board, lodging, or other C541.00 Corresponding section table of the tail or service establishment who does not facilities shall not be included as part of FLSA regulations of the Labor Depart- devote as much as 40 percent, of his hours of ‘wages’ if excluded therefrom by a bona fide ment and the CAA regulations of the Of- work in the workweek to activities which collective bargaining agreement. Section fice of Compliance. are not directly and closely related to the 3(m) also provides a method for determining C541.01 Application of the exemptions of sec- performance of the work described in para- the wage of a tipped employee. tion 13(a)(1) of the FLSA. graphs (a) through (d) of this section: Pro- (b) This part 531 contains any determina- C541.1 Executive. vided, That this paragraph shall not apply in tions made as to the ‘reasonable cost’ and C541.2 Administrative. the case of an employee who is in sole charge ‘fair value’ of board, lodging, or other facili- C541.3 Professional. of an independent establishment or a phys- ties having general application. C541.5b Equal pay provisions of section 6(d) ically separated branch establishment; and Subpart B—Determinations of ‘‘reasonable of the FLSA as applied by the CAA ex- (f) Who is compensated for his services on cost’’ and ‘‘fair value’’; effects of collective tend to executive, administrative, and a salary basis at a rate of not less than $155 bargaining agreements professional employees. per week, exclusive of board, lodging or § C531.3 General determinations of ‘reasonable C541.5d Special provisions applicable to em- other facilities: Provided, That an employee cost’ ployees of public agencies. who is compensated on a salary basis at a (a) The term reasonable cost as used in sec- Subpart A—General regulations rate of not less than $250 per week, exclusive tion 3(m) of the Act is hereby determined to § C541.00 Corresponding section table of the of board, lodging or other facilities, and be not more than the actual cost to the em- FLSA regulations of the Labor Department whose primary duty consists of the manage- ployer of the board, lodging, or other facili- and the CAA regulations of the Office of ment of the employing office in which the ties customarily furnished by him to his em- Compliance employee is employed or of a customarily ployees. The following table lists the sections of the recognized department or subdivision there- (b) Reasonable cost does not include a prof- Secretary of Labor Regulations at Title 29 of of, and includes the customary and regular it to the employer or to any affiliated per- the Code of Federal Regulations under the direction of the work of two or more other son. FLSA with the corresponding sections of the employees therein, shall be deemed to meet (c) The reasonable cost to the employer of Office of Compliance (OC) Regulations under all the requirements of this section furnishing the employee with board, lodging, Section 203 of the CAA: § C541.2 Administrative or other facilities (including housing) is the Secretary of Labor Regu- OC Regulations cost of operation and maintenance including The term employee employed in a bona fide lations adequate depreciation plus a reasonable al- * * * administrative * * * capacity in section 541.1 Executive ...... C541.1 13(a)(1) of the FLSA as applied by the CAA lowance (not more than 51⁄2 percent) for in- 541.2 Administrative ...... C541.2 shall mean any employee: terest on the depreciated amount of capital 541.3 Professional ...... C541.3 invested by the employer: Provided, That if 541.5b Equal pay provisions (a) Whose primary duty consists of either: the total so computed is more than the fair of section 6(d) of the (1) The performance of office or nonmanual rental value (or the fair price of the com- FLSA apply to executive, work directly related to management poli- modities or facilities offered for sale), the administrative, and pro- cies or general operations of his employer or fair rental value (or the fair price of the fessional employees...... C541.5b his employer’s customers, or

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00081 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S252 CONGRESSIONAL RECORD — SENATE January 22, 1996 (2) The performance of functions in the ad- (b) Whose work requires the consistent ex- and sick leave and which requires the public ministration of a school system, or edu- ercise of discretion and judgment in its per- agency employee’s pay to be reduced or such cational establishment or institution, or of a formance; and employee to be placed on leave without pay department or subdivision thereof, in work (c) Whose work is predominantly intellec- for absences for personal reasons or because directly related to the academic instruction tual and varied in character (as opposed to of illness or injury of less than one work-day or training carried on therein; and routine mental, manual, mechanical, or when accrued leave is not used by an em- (b) Who customarily and regularly exer- physical work) and is of such character that ployee because—(1) permission for its use has cises discretion and independent judgment; the output produced or the result accom- not been sought or has been sought and de- and plished cannot be standardized in relation to nied; (2) accrued leave has been exhausted; or (c)(1) Who regularly and directly assists a given period of time; and (3) the employee chooses to use leave with- the head of an employing office, or an em- (d) Who does not devote more than 20 per- out pay. ployee employed in a bona fide executive or cent of his hours worked in the workweek to (b) Deductions from the pay of an em- administrative capacity (as such terms are activities which are not an essential part of ployee of a public agency for absences due to defined in the regulations of this subpart), or and necessarily incident to the work de- a budget-required furlough shall not dis- (2) Who performs under only general super- scribed in paragraphs (a) through (c) of this qualify the employee from being paid ‘on a vision work along specialized or technical section; and salary basis’ except in the workweek in lines requiring special training, experience, (e) Who is compensated for services on a which the furlough occurs and for which the or knowledge, or salary or fee basis at a rate of not less than employee’s pay is accordingly reduced. (3) Who executes under only general super- $170 per week, exclusive of board, lodging or Part C547—Requirements of a ‘‘Bona Fide vision special assignments and tasks; and other facilities: Provided, That this para- Thrift or Savings Plan (d) Who does not devote more than 20 per- graph shall not apply in the case of an em- cent, or, in the case of an employee of a re- ployee who is the holder of a valid license or Sec. tail or service establishment who does not certificate permitting the practice of law or C547.00 Corresponding section table of the devote as much as 40 percent, of his hours medicine or any of their branches and who is FLSA regulations of the Labor Depart- worked in the workweek to activities which actually engaged in the practice thereof, nor ment and the CAA regulations of the Of- are not directly and closely related to the in the case of an employee who is the holder fice of Compliance performance of the work described in para- of the requisite academic degree for the gen- C547.0 Scope and effect of part. graphs (a) through (c) of this section; and eral practice of medicine and is engaged in C547.1 Essential requirements of qualifica- (e)(1) Who is compensated for his services an internship or resident program pursuant tions. on a salary or fee basis at a rate of not less to the practice of medicine or any of its C547.2 Disqualifying provisions. than $155 per week, exclusive of board, lodg- branches, nor in the case of an employee em- § C547.00 Corresponding section table of the ing or other facilities, or ployed and engaged as a teacher as provided FLSA regulations of the Labor Department (2) Who, in the case of academic adminis- in paragraph (a)(3) of this section: Provided and the CAA regulations of the Office of trative personnel, is compensated for serv- further, That an employee who is com- Compliance. ices as required by paragraph (e)(1) of this pensated on a salary or fee basis at a rate of The following table lists the sections of the section, or on a salary basis which is at least not less than $250 per week, exclusive of Secretary of Labor Regulations under the equal to the entrance salary for teachers of board, lodging or other facilities, and whose FLSA with the corresponding sections of the in the school system, educational establish- primary duty consists of the performance ei- Office of Compliance (OC) Regulations under ment or institution by which employed: Pro- ther of work described in paragraph (a) (1), Section 203 of the CAA: vided, That an employee who is compensated (3), or (4) of this section, which includes Secretary of Labor regu- OC regulations on a salary or fee basis at a rate of not less work requiring the consistent exercise of dis- lations than $250 per week, exclusive of board, lodg- cretion and judgment, or of work requiring 547.0 Scope and effect of ing or other facilities, and whose primary invention, imagination, or talent in a recog- part ...... C547.0 duty consists of the performance of work de- nized field of artistic endeavor, shall be 547.1 Essential require- scribed in paragraph (a) of this section, deemed to meet all of the requirements of ments of qualifications .. C547.1 which includes work requiring the exercise this section: Provided further, That the salary 547.2 Disqualifying provi- of discretion and independent judgment, or fee requirements of this paragraph shall sions ...... C547.2 shall be deemed to meet all the requirements not apply to an employee engaged in com- § C547.0 Scope and effect of part of this section. puter-related work within the scope of para- (a) The regulations in this part set forth § C541.3 Professional graph (a)(4) of this section and who is com- the requirements of a ‘‘bona fide thrift or The term employee employed in a bona fide pensated on an hourly basis at a rate in ex- savings plan’’ under section 7(e)(3)(b) of the * * * professional capacity in section 13(a)(1) cess of 6 1/2 times the minimum wage pro- Fair Labor Standards Act of 1938, as amend- of the FLSA as applied by the CAA shall vided by section 6 of the FLSA as applied by ed (FLSA), as applied by the CAA. In deter- mean any employee: the CAA. mining the total remuneration for employ- (a) Whose primary duty consists of the per- § C541.5b Equal pay provisions of section 6(d) ment which section 7(e) of the FLSA requires formance of: of the FLSA as applied by the CAA extend to be included in the regular rate at which (1) Work requiring knowledge of an ad- to executive, administrative, and profes- an employee is employed, it is not necessary vance type in a field of science or learning sional employees to include any sums paid to or on behalf of customarily acquired by a prolonged course The FLSA, as amended and as applied by such employee, in recognition of services of specialized intellectual instruction and the CAA, includes within the protection of performed by him during a given period, study, as distinguished from a general aca- the equal pay provisions those employees ex- which are paid pursuant to a bona fide thrift demic education and from an apprenticeship, empt from the minimum wage and overtime or savings plan meeting the requirements set and from training in the performance of rou- pay provisions as bona fide executive, admin- forth herein. In the formulation of these reg- tine mental, manual, or physical processes, istrative, and professional employees (in- ulations due regard has been given to the or cluding any employee employed in the ca- (2) Work that is original and creative in factors and standards set forth in section pacity of academic administrative personnel character in a recognized field of artistic en- 7(e)(3)(b) of the Act. or teacher in elementary or secondary (b) Where a thrift or savings plan is com- deavor (as opposed to work which can be pro- schools) under section 13(a)(1) of the FLSA. bined in a single program (whether in one or duced by a person endowed with general Thus, for example, where an exempt adminis- more documents) with a plan or trust for manual or intellectual ability and training), trative employee and another employee of providing old age, retirement, life, accident and the result of which depends primarily on the employing office are performing substan- or health insurance or similar benefits for the invention, imagination, or talent of the tially ‘‘equal work,’’ the sex discrimination employees, contributions made by the em- employee, or (3) Teaching, tutoring, instructing, or lec- prohibitions of section 6(d) are applicable ployer pursuant to such thrift or savings turing in the activity of imparting knowl- with respect to any wage differential be- plan may be excluded from the regular rate edge and who is employed and engaged in tween those two employees. if the plan meets the requirements of the this activity as a teacher in school system, § C541.5d Special provisions applicable to em- regulation in this part and the contributions educational establishment or institution by ployees of public agencies made for the other purposes may be excluded which employed, or (a) An employee of a public agency who from the regular rate if they meet the tests (4) Work that requires theoretical and otherwise meets the requirement of being set forth in regulations. practical application of highly-specialized paid on a salary basis shall not be disquali- § C547.1 Essential requirements for qualifications knowledge in computer systems analysis, fied from exemption under Sec. C541.1, C541.2, (a) A ‘‘bona fide thrift or savings plan’’ for programming, and software engineering, and or C541.3 on the basis that such employee is the purpose of section 7(e)(3)(b) of the FLSA who is employed and engaged in these activi- paid according to a pay system established as applied by the CAA is required to meet all ties as a computer systems analyst, com- by statute, ordinance, or regulation, or by a the standards set forth in paragraphs (b) puter programmer, software engineer, or policy or practice established pursuant to through (f) of this section and must not con- other similarly skilled worker in the com- principles of public accountability, under tain the disqualifying provisions set forth in puter software field; and which the employee accrues personal leave § 547.2.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00082 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S253 (b) The thrift or savings plan constitutes a C553.214 Trainees. (c) Public agency means an employing of- definite program or arrangement in writing, C553.215 Ambulance and rescue service em- fice as the term is defined in § 501.102 of this adopted by the employer or by contract as a ployees. chapter, including the Capitol Police. result of collective bargaining and commu- C553.216 Other exemptions. (d) Section 7(k) means the provisions of nicated or made available to the employees, C553.220 ‘‘Tour of duty’’ defined. § 7(k) of the FLSA as applied to covered em- which is established and maintained, in good C553.221 Compensable hours of work. ployees and employing offices by § 203 of the faith, for the purpose of encouraging vol- C553.222 Sleep time. CAA. untary thrift or savings by employees by C553.223 Meal time. § C553.2 Purpose and scope C553.224 ‘‘Work period’’ defined. providing an incentive to employees to accu- The purpose of part C553 is to adopt with C553.225 Early relief. mulate regularly and retain cash savings for appropriate modifications the regulations of C553.226 Training time. a reasonable period of time or to save the Secretary of Labor to carry out those C553.227 Outside employment. through the regular purchase of public or provisions of the FLSA relating to public C553.230 Maximum hours standards for work private securities. agency employees as they are applied to cov- (c) The plan specifically shall set forth the periods of 7 to 28 days—section ered employees and employing offices of the category or categories of employees partici- 7(k). CAA. In particular, these regulations apply pating and the basis of their eligibility. Eli- C553.231 Compensatory time off. section 7(k) as it relates to fire protection gibility may not be based on such factors as C553.232 Overtime pay requirements. and law enforcement employees of public hours of work, production, or efficiency of C553.233 ‘‘Regular rate’’ defined. agencies. the employees: Provided, however, That hours Subpart D—Compensatory time-off for over- of work may be used to determine eligibility time earned by employees whose work Subpart C—Partial exemption for employees of part-time or casual employees. schedule directly depends upon the sched- engaged in law enforcement and fire pro- (d) The amount any employee may save ule of the House tection under the plan shall be specified in the plan C553.301 Definition of ‘‘directly de- § C553.201 Statutory provisions: section 7(k). or determined in accordance with a definite pends.’’ ...... Section 7(k) of the Act provides a partial formula specified in the plan, which formula C553.302 Overtime compensation and com- overtime pay exemption for fire protection may be based on one or more factors such as pensatory time off for an em- and law enforcement personnel (including se- the straight-time earnings or total earnings, ployee whose work schedule di- curity personnel in correctional institutions) base rate of pay, or length of service of the rectly depends upon the sched- who are employed by public agencies on a employee. ule of the House. work period basis. This section of the Act (e) The employer’s total contribution in C553.303 Using compensatory time off. formerly permitted public agencies to pay any year may not exceed 15 percent of the C553.304 Payment of overtime compensation overtime compensation to such employees in participating employees’ total earnings dur- for accrued compensatory time work periods of 28 consecutive days only ing that year. In addition, the employer’s off as of termination of service. after 216 hours of work. As further set forth total contribution in any year may not ex- Introduction in § C553.230 of this part, the 216-hour stand- ceed the total amount saved or invested by ard has been replaced, pursuant to the study § C553.00 Corresponding section table of the the participating employees during that mandated by the statute, by 212 hours for FLSA regulations of the Labor Department year. fire protection employees and 171 hours for and the CAA regulations of the Office of (f) The employer’s contributions shall be law enforcement employees. In the case of Compliance apportioned among the individual employees such employees who have a work period of at in accordance with a definite formula or The following table lists the sections of the least 7 but less than 28 consecutive days, method of calculation specified in the plan, Secretary of Labor Regulations under the overtime compensation is required when the which formula or method of calculation is FLSA with the corresponding sections of the ratio of the number of hours worked to the based on the amount saved or the length of Office of Compliance (OC) Regulations under number of days in the work period exceeds time the individual employee retains his sav- Section 203 of the CAA: the ratio of 212 (or 171) hours to 28 days. ings or investment in the plan: Provided, Secretary of Labor regu- OC regulations § C553.202 Limitations That no employee’s share determined in ac- lations The application of § 7(k), by its terms, is cordance with the plan may be diminished 553.1 Definitions ...... C553.1 limited to public agencies, and does not because of any other remuneration received 553.2 Purpose and scope ...... C553.2 apply to any private organization engaged in by him. 553.201 Statutory provi- furnishing fire protection or law enforce- § C547.2 Disqualifying provisions sions: section 7(k) ...... C553.201 ment services. This is so even if the services (a) No employee’s participation in the plan 553.202 Limitations ...... C553.202 553.211 Law enforcement are provided under contract with a public shall be on other than a voluntary basis. agency. (b) No employee’s wages or salary shall be activities ...... C553.211 dependent upon or influenced by the exist- 553.212 Twenty percent limitation Exemption requirements ence of such thrift or savings plan or the em- on nonexempt work ...... C553.212 § C553.211 Law enforcement activities ployer’s contributions thereto. 553.213 Public agency employees (a) As used in § 7(k) of the Act, the term (c) The amounts any employee may save engaged in both fire protection ‘any employee . . . in law enforcement ac- under the plan, or the amounts paid by the and law enforcement activities C553.213 tivities’ refers to any employee (1) who is a employer under the plan may not be based 553.214 Trainees ...... C553.214 uniformed or plainclothed member of a body upon the employee’s hours of work, produc- 553.215 Ambulance and rescue of officers and subordinates who are empow- tion or efficiency. service employees ...... C553.215 ered by law to enforce laws designed to 553.216 Other exemptions ...... C553.216 Part C553—Overtime Compensation: Partial maintain public peace and order and to pro- 553.220 ‘‘Tour of duty’’ defined ..... C553.220 Exemption for Employees Engaged in Law tect both life and property from accidental 553.221 Compensable hours of Enforcement and Fire Protection; Over- or willful injury, and to prevent and detect work ...... C553.221 time and Compensatory Time-Off for Em- crimes, (2) who has the power to arrest, and 553.222 Sleep time ...... C553.222 (3) who is presently undergoing or has under- ployees Whose Work Schedule Directly De- 553.223 Meal time ...... C553.223 gone or will undergo on-the-job training and/ pends Upon the Schedule of the House 553.224 ‘‘Work period’’ defined ..... C553.224 Introduction 553.225 Early relief ...... C553.225 or a course of instruction and study which typically includes physical training, self-de- Sec. 553.226 Training time ...... C553.226 fense, firearm proficiency, criminal and civil C553.00 Corresponding section table of the 553.227 Outside employment ...... C553.227 law principles, investigative and law enforce- FLSA regulations of the Labor Depart- 553.230 Maximum hours standards ment techniques, community relations, med- ment and the CAA regulations of the Of- for work periods of 7 to 28 ical aid and ethics. fice of Compliance. days—section 7(k) ...... C553.230 (b) Employees who meet these tests are C553.1 Definitions. 553.231 Compensatory time off ..... C553.231 considered to be engaged in law enforcement C553.2 Purpose and scope. 553.232 Overtime pay require- activities regardless of their rank, or of their Subpart C—Partial exemption for employees ments ...... C553.232 553.233 ‘‘Regular rate’’ defined .... C553.233 status as ‘trainee,’ ‘probationary,’ or ‘perma- engaged in law enforcement and fire pro- nent,’ and regardless of their assignment to Introduction tection duties incidental to the performance of their C553.201 Statutory provisions: section 7(k). § C553.1 Definitions law enforcement activities such as equip- C553.202 Limitations. (a) Act or FLSA means the Fair Labor ment maintenance, and lecturing, or to sup- C553.211 Law enforcement activities. Standards Act of 1938, as amended (52 Stat. port activities of the type described in para- C553.212 Twenty percent limitation on non- 1060, as amended; 29 U.S.C. 201–219), as ap- graph (g) of this section, whether or not such exempt work. plied by the CAA. assignment is for training or familiarization C553.213 Public agency employees engaged in (b) 1985 Amendments means the Fair Labor purposes, or for reasons of illness, injury or both fire protection and law enforcement Standards Amendments of 1985 (Pub. L. 99– infirmity. The term would also include res- activities. 150). cue and ambulance service personnel if such

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00083 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S254 CONGRESSIONAL RECORD — SENATE January 22, 1996 personnel form an integral part of the public some nonexempt work which is not per- law enforcement activities in that (1) the agency’s law enforcement activities. See formed as an incident to or in conjunction ambulance and rescue service employees Sec. C553.215. with their fire protection or law enforcement have received training in the rescue of fire, (c) Typically, employees engaged in law activities. For example, firefighters who crime, and accident victims or firefighters or enforcement activities include police who work for forest conservation agencies may, law enforcement personnel injured in the are regularly employed and paid as such. during slack times, plant trees and perform performance of their respective duties, and Other agency employees with duties not spe- other conservation activities unrelated to (2) the ambulance and rescue service employ- cifically mentioned may, depending upon the their firefighting duties. The performance of ees are regularly dispatched to fires, crime particular facts and pertinent statutory pro- such nonexempt work will not defeat the scenes, riots, natural disasters and acci- visions in that jurisdiction, meet the three § 7(k) exemption unless it exceeds 20 percent dents. As provided in Sec. C553.213(b), where tests described above. If so, they will also of the total hours worked by that employee employees perform both fire protection and qualify as law enforcement officers. Such during the workweek or applicable work pe- law enforcement activities, the applicable employees might include, for example, any riod. A person who spends more than 20 per- standard is the one which applies to the ac- law enforcement employee within the legis- cent of his/her working time in nonexempt tivity in which the employee spends the ma- lative branch concerned with keeping public activities is not considered to be an em- jority of work time during the work period. peace and order and protecting life and prop- ployee engaged in fire protection or law en- § C553.216 Other exemptions erty. forcement activities for purposes of this Although the 1974 Amendments to the (d) Employees who do not meet each of the part. FLSA as applied by the CAA provide special three tests described above are not engaged (b) Public agency fire protection and law exemptions for employees of public agencies in (law enforcement activities’ as that term enforcement personnel may, at their own op- engaged in fire protection and law enforce- is used in sections 7(k). Employees who nor- tion, undertake employment for the same ment activities, such workers may also be mally would not meet each of these tests in- employer on an occasional or sporadic and subject to other exemptions in the Act, and clude: part-time basis in a different capacity from public agencies may claim such other appli- (1) Building inspectors (other than those their regular employment. The performance cable exemptions in lieu of § 7(k). For exam- defined in Sec. C553.213(a)), of such work does not affect the application ple, section 13(a)(1) as applied by the CAA (2) Health inspectors, of the § 7(k) exemption with respect to the provides a complete minimum wage and (3) Sanitarians, regular employment. In addition, the hours overtime pay exemption for any employee (4) civilian traffic employees who direct ve- of work in the different capacity need not be employed in a bona fide executive, adminis- hicular and pedestrian traffic at specified counted as hours worked for overtime pur- trative, or professional capacity, as those intersections or other control points, poses on the regular job, nor are such hours terms are defined and delimited in Part C541. (5) Civilian parking checkers who patrol counted in determining the 20 percent toler- The section 13(a)(1) exemption can be assigned areas for the purpose of discovering ance for nonexempt work discussed in para- claimed for any fire protection or law en- parking violations and issuing appropriate graph (a) of this section. forcement employee who meets all of the warnings or appearance notices, § C553.213 Public agency employees engaged in tests specified in part C541 relating to duties, (6) Wage and hour compliance officers, both fire protection and law enforcement ac- responsibilities, and salary. Thus, high rank- (7) Equal employment opportunity compli- tivities ing police officials who are engaged in law ance officers, and enforcement activities, may also, depending (a) Some public agencies have employees (8) Building guards whose primary duty is on the facts, qualify for the section 13(a)(1) (often called ‘public safety officers’) who en- to protect the lives and property of persons exemption as ‘‘executive’’ employees. Simi- gage in both fire protection and law enforce- within the limited area of the building. larly, certain criminal investigative agents ment activities, depending on the agency (e) The term ‘any employee in law enforce- may qualify as ‘‘administrative’’ employees ment activities’ also includes, by express ref- needs at the time. This dual assignment under section 13(a)(1). would not defeat the section 7(k) exemption, erence, ‘security personnel in correctional Tour of duty and compensable hours of work institutions.’ Typically, such facilities may provided that each of the activities per- formed meets the appropriate tests set forth rules include precinct house lockups. Employees § C553.220 ‘‘Tour of duty’’ defined of correctional institutions who qualify as in Sec. C553.210 and C553.211. This is so re- (a) The term ‘‘tour of duty’’ is a unique security personnel for purposes of the sec- gardless of how the employee’s time is di- concept applicable only to employees for tion 7(k) exemption are those who have re- vided between the two activities. However, whom the section 7(k) exemption is claimed. sponsibility for controlling and maintaining all time spent in nonexempt activities by This term, as used in section 7(k), means the custody of inmates and of safeguarding them public safety officers within the work period, period of time during which an employee is from other inmates or for supervising such whether performed in connection with fire considered to be on duty for purposes of de- functions, regardless of whether their duties protection or law enforcement functions, or termining compensable hours. It may be a are performed inside the correctional insti- with neither, must be combined for purposes scheduled or unscheduled period. Such peri- tution or outside the institution. These em- of the 20 percent limitation on nonexempt ods include ‘‘shifts’’ assigned to employees ployees are considered to be engaged in law work discussed in Sec.C553.212. often days in advance of the performance of enforcement activities regardless of their (b) As specified in Sec.C553.230, the max- the work. Scheduled periods also include rank or of their status as ‘trainee,’ ‘proba- imum hours standards under section 7(k) are time spent in work outside the‘‘shift’’ which tionary,’ or ‘permanent,’ and regardless of different for employees engaged in fire pro- the public agency employer assigns. For ex- their assignment to duties incidental to the tection and for employees engaged in law en- ample, a police officer may be assigned to performance of their law enforcement activi- forcement. For those employees who perform crowd control during a parade or other spe- ties, or to support activities of the type de- both fire protection and law enforcement ac- tivities, the applicable standard is the one cial event outside of his or her shift. scribed in paragraph (f) of this section, (b) Unscheduled periods include time spent whether or not such assignment is for train- which applies to the activity in which the employee spends the majority of work time in court by police officers, time spent han- ing or familiarization purposes or for reasons dling emergency situations, and time spent of illness, injury or infirmity. during the work period. § C553.214 Trainees working after a shift to complete an assign- (f) Not included in the term ‘employee in ment. Such time must be included in the law enforcement activities’ are the so-called The attendance at a bona fide fire or police compensable tour of duty even though the ‘civilian’ employees of law enforcement academy or other training facility, when re- specific work performed may not have been agencies or correctional institutions who en- quired by the employing agency, constitutes assigned in advance. gage in such support activities as those per- engagement in activities under section 7(k) (c) The tour of duty does not include time formed by dispatcher, radio operators, appa- only when the employee meets all the appli- spent working for a separate and inde- ratus and equipment maintenance and repair cable tests described in Sec. C553.210 or Sec. pendent employer in certain types of special workers, janitors, clerks and stenographers. C553.211 (except for the power of arrest for details as provided in Sec. C553.227. Nor does the term include employees in cor- law enforcement personnel), as the case may § C553.221 Compensable hours of work rectional institutions who engage in building be. If the applicable tests are met, then basic (a) The rules under the FLSA as applied by repair and maintenance, culinary services, training or advanced training is considered the CAA on compensable hours of work are teaching, or in psychological, medical and incidental to, and part of, the employee’s fire applicable to employees for whom the sec- paramedical services. This is so even though protection or law enforcement activities. such employees may, when assigned to cor- tion 7(k) exemption is claimed. Special rules § C553.215 Ambulance and rescue service em- for sleep time (Sec. C553.222) apply to both rectional institutions, come into regular ployees contact with the inmates in the performance law enforcement and firefighting employees Ambulance and rescue service employees of their duties. for whom the section 7(k) exemption is of a public agency other than a fire protec- claimed. Also, special rules for meal time § C553.212 Twenty percent limitation on non- tion or law enforcement agency may be apply in the case of firefighters (Sec. exempt work treated as employees engaged in fire protec- C553.223). (a) Employees engaged in fire protection or tion or law enforcement activities of the (b) Compensable hours of work generally law enforcement activities as described in type contemplated by § 7(k) if their services include all of the time during which an em- Sec. C553.210 and C553.211, may also engage in are substantially related to firefighting or ployee is on duty on the employer’s premises

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00084 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S255 or at a prescribed workplace, as well as all hours), the entire time must be counted as by the employer, the time involved must be other time during which the employee is suf- hours of work. added to the employee’s tour of duty and fered or permitted to work for the employer. § C553.223 Meal time treated as compensable hours of work. Such time includes all pre-shift and post- (a) If a public agency elects to pay over- § C553.226 Training time shift activities which are an integral part of time compensation to firefighters and law (a) The general rules for determining the the employee’s principal activity or which enforcement personnel in accordance with compensability of training time under the are closely related to the performance of the section 7(a)(1) of the Act, the public agency FLSA apply to employees engaged in law en- principal activity, such as attending roll may exclude meal time from hours worked if forcement or fire protection activities. call, writing up and completing tickets or re- all the statutory tests for the exclusion of (b) While time spent in attending training ports, and washing and re-racking fire hoses. such time are met. required by an employer is normally consid- (c) Time spent away from the employer’s (b) If a public agency elects to use the sec- ered compensable hours of work, following premises under conditions that are so cir- tion 7(k) exemption, the public agency may, are situations where time spent by employ- cumscribed that they restrict the employee in the case of law enforcement personnel, ex- ees in required training is considered to be from effectively using the time for personal clude meal time from hours worked on tours noncompensable: pursuits also constitutes compensable hours (1) Attendance outside of regular working of duty of 24 hours or less, provided that the of work. For example, where a police station hours at specialized or follow-up training, employee is completely relieved from duty must be evacuated because of an electrical which is required by law for certification of during the meal period, and all the other failure and the employees are expected to re- public and private sector employees within a statutory tests for the exclusion of such main in the vicinity and return to work after particular governmental jurisdiction (e.g., time are met. On the other hand, where law the emergency has passed, the entire time certification of public and private emergency enforcement personnel are required to re- spent away from the premises is compen- rescue workers), does not constitute compen- main on call in barracks or similar quarters, sable. The employees in this example cannot sable hours of work for public employees or are engaged in extended surveillance ac- use the time for their personal pursuits. within that jurisdiction and subordinate ju- tivities (e.g., stakeouts’), they are not con- (d) An employee who is not required to re- risdictions. sidered to be completely relieved from duty, main on the employer’s premises but is (2) Attendance outside of regular working and any such meal periods would be compen- merely required to leave word at home or hours at specialized or follow-up training, sable. with company officials where he or she may which is required for certification of employ- (c) With respect to firefighters employed be reached is not working while on call. ees of a governmental jurisdiction by law of under section 7(k), who are confined to a Time spent at home on call may or may not a higher level of government, does not con- duty station, the legislative history of the be compensable depending on whether the re- stitute compensable hours of work. Act indicates Congressional intent to man- strictions placed on the employee preclude (3) Time spent in the training described in date a departure from the usual FLSA ‘hours using the time for personal pursuits. Where, paragraphs (b) (1) or (2) of this section is not of work’ rules and adoption of an overtime for example, a firefighter has returned home compensable, even if all or part of the costs standard keyed to the unique concept of after the shift, with the understanding that of the training is borne by the employer. ‘tour of duty’ under which firefighters are (c) Police officers or firefighters, who are he or she is expected to return to work in the employed. Where the public agency elects to in attendance at a police or fire academy or event of an emergency in the night, such use the section 7(k) exemption for fire- other training facility, are not considered to time spent at home is normally not compen- fighters, meal time cannot be excluded from be on duty during those times when they are sable. On the other hand, where the condi- the compensable hours of work where (1) the not in class or at a training session, if they tions placed on the employee’s activities are firefighter is on a tour of duty of less than 24 are free to use such time for personal pur- so restrictive that the employee cannot use hours, and (2) where the firefighter is on a suits. Such free time is not compensable. the time effectively for personal pursuits, tour of duty of exactly 24 hours. § C553.227 Outside employment such time spent on call is compensable. (d) In the case of police officers or fire- (e) Normal home to work travel is not (a) Section 7(p)(1) makes special provision fighters who are on a tour of duty of more compensable, even where the employee is ex- for fire protection and law enforcement em- than 24 hours, meal time may be excluded pected to report to work at a location away ployees of public agencies who, at their own from compensable hours of work provided from the location of the employer’s prem- option, perform special duty work in fire that the statutory tests for exclusion of such ises. protection, law enforcement or related ac- hours are met. (f) A police officer, who has completed his tivities for a separate and independent em- or her tour of duty and who is given a patrol § C553.224 ‘‘Work period’’ defined ployer (public or private) during their off- car to drive home and use on personal busi- (a) As used in section 7(k), the term ‘work duty hours. The hours of work for the sepa- ness, is not working during the travel time period’ refers to any established and regu- rate and independent employer are not com- even where the radio must be left on so that larly recurring period of work which, under bined with the hours worked for the primary the officer can respond to emergency calls. the terms of the Act and legislative history, public agency employer for purposes of over- Of course, the time spent in responding to cannot be less than 7 consecutive days nor time compensation. such calls is compensable. more than 28 consecutive days. Except for (b) Section 7(p)(1) applies to such outside employment provided (1) the special detail § C553.222 Sleep time this limitation, the work period can be of any length, and it need not coincide with the work is performed solely at the employee’s (a) Where a public agency elects to pay duty cycle or pay period or with a particular option, and (2) the two employers are in fact overtime compensation to firefighters and/or day of the week or hour of the day. Once the separate and independent. law enforcement personnel in accordance beginning and ending time of an employee’s (c) Whether two employers are, in fact, with section 7(a)(1) of the Act, the public work period is established, however, it re- separate and independent can only be deter- agency may exclude sleep time from hours mains fixed regardless of how many hours mined on a case-by-case basis. worked if all the conditions for the exclusion (d) The primary employer may facilitate are worked within the period. The beginning of such time are met. the employment or affect the conditions of and ending of the work period may be (b) Where the employer has elected to use employment of such employees. For exam- changed, provided that the change is in- the section 7(k) exemption, sleep time can- ple, a police department may maintain a ros- tended to be permanent and is not designed not be excluded from the compensable hours ter of officers who wish to perform such to evade the overtime compensation require- of work where work. The department may also select the ments of the Act. (1) The employee is on a tour of duty of officers for special details from a list of (b) An employer may have one work period less than 24 hours, and those wishing to participate, negotiate their applicable to all employees, or different (2) Where the employee is on a tour of duty pay, and retain a fee for administrative ex- work periods for different employees or of exactly 24 hours. penses. The department may require that the groups of employees. (c) Sleep time can be excluded from com- separate and independent employer pay the pensable hours of work, however, in the case § C553.225 Early relief fee for such services directly to the depart- of police officers or firefighters who are on a It is a common practice among employees ment, and establish procedures for the offi- tour of duty of more than 24 hours, but only engaged in fire protection activities to re- cers to receive their pay for the special de- if there is an expressed or implied agreement lieve employees on the previous shift prior to tails through the agency’s payroll system. between the employer and the employees to the scheduled starting time. Such early re- Finally, the department may require that exclude such time. In the absence of such an lief time may occur pursuant to employee the officers observe their normal standards agreement, the sleep time is compensable. In agreement, either expressed or implied. This of conduct during such details and take dis- no event shall the time excluded as sleep practice will not have the effect of increas- ciplinary action against those who fail to do time exceed 8 hours in a 24-hour period. If ing the number of compensable hours of so. the sleep time is interrupted by a call to work for employees employed under section (e) Section 7(p)(1) applies to special details duty, the interruption must be counted as 7(k) where it is voluntary on the part of the even where a State law or local ordinance re- hours worked. If the sleep period is inter- employees and does not result, over a period quires that such work be performed and that rupted to such an extent that the employee of time, in their failure to receive proper only law enforcement or fire protection em- cannot get a reasonable night’s sleep (which, compensation for all hours actually worked. ployees of a public agency in the same juris- for enforcement purposes means at least 5 On the other hand, if the practice is required diction perform the work. For example, a

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00085 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S256 CONGRESSIONAL RECORD — SENATE January 22, 1996 city ordinance may require the presence of 7(k) exemption may receive compensatory § C553.304 Payment of overtime compensation for city police officers at a convention center time off in lieu of overtime pay for hours accrued compensatory time off as of termi- during concerts or sports events. If the offi- worked in excess of the maximum for their nation of service cers perform such work at their own option, work period as set forth in Sec. C553.230. An employee who has accrued compen- (b) Section 7(k) permits public agencies to the hours of work need not be combined with satory time authorized by this regulation balance the hours of work over an entire the hours of work for their primary em- shall, upon termination of employment, be work period for law enforcement and fire ployer in computing overtime compensation. paid for the unused compensatory time at (f) The principles in paragraphs (d) and (e) protection employees. For example, if a fire- the rate earned by the employee at the time of this section with respect to special details fighter’s work period is 28 consecutive days, the employee receives such payment. of public agency fire protection and law en- and he or she works 80 hours in each of the forcement employees under section 7(p)(1) first two weeks, but only 52 hours in the Part C570—Child Labor Regulations are exceptions to the usual rules on joint third week, and does not work in the fourth Subpart A—General employment set forth in part 791 of this week, no overtime compensation (in cash Sec. title. wages or compensatory time) would be re- C570.00 Corresponding section table of the (g) Where an employee is directed by the quired since the total hours worked do not FLSA regulations of the Labor Depart- public agency to perform work for a second exceed 212 for the work period. If the same ment and the CAA regulations of the Of- employer, section 7(p)(1) does not apply. firefighter had a work period of only 14 days, fice of Compliance. Thus, assignments of police officers outside overtime compensation or compensatory C570.1 Definitions. of their normal work hours to perform crowd time off would be due for 54 hours (160 minus C570.2 Minimum age standards. control at a parade, where the assignments 106 hours) in the first 14 day work period. are not solely at the option of the officers, § C553.232 Overtime pay requirements Subpart C—Employment of minors between would not qualify as special details subject 14 and 16 years of age (child labor reg. 3) If a public agency pays employees subject to this exception. This would be true even if to section 7(k) for overtime hours worked in C570.31 Determination. the parade organizers reimburse the public cash wages rather than compensatory time C570.32 Effect of this subpart. agency for providing such services. off, such wages must be paid at one and one- C570.33 Occupations. (h) Section 7(p)(1) does not prevent a public half times the employees’ regular rates of C570.35 Periods and conditions of employ- agency from prohibiting or restricting out- pay. ment. side employment by its employees. § C553.233 ‘Regular rate’ defined Subpart E—Occupations particularly haz- Overtime compensation rules The statutory rules for computing an em- ardous for the employment of minors be- § C553.230 Maximum hours standards for work tween 16 and 18 years of age or detrimental periods of 7 to 28 days—section 7(k) ployee’s ‘regular rate’, for purposes of the Act’s overtime pay requirements are applica- to their health or well-being (a) For those employees engaged in fire ble to employees or whom the section 7(k) C570.50 General. protection activities who have a work period exemption is claimed when overtime com- C570.51 Occupations in or about plants or es- of at least 7 but less than 28 consecutive pensation is provided in cash wages. tablishments manufacturing or storing days, no overtime compensation is required Subpart D—Compensatory time-off for over- explosives or articles containing explo- under section 7(k) until the number of hours sive components (Order 1). worked exceeds the number of hours which time earned by employees whose work schedule directly depends upon the sched- C570.52 Occupations of motor-vehicle driver bears the same relationship to 212 as the and outside helper (Order 2). number of days in the work period bears to ule of the House and the Senate § C553.301 Definition of ‘‘directly depends’’ C570.55 Occupations involved in the oper- 28. ation of power-driven woodworking ma- (b) For those employees engaged in law en- For the purposes of this Part, a covered chines (Order 5). forcement activities (including security per- employee’s work schedule ‘‘directly de- C570.58 Occupations involved in the oper- sonnel in correctional institutions) who have pends’’ on the schedule of the House of Rep- ation of power-driven hoisting apparatus a work period of at least 7 but less than 28 resentatives and the Senate only if the eligi- (Order 7). consecutive days, no overtime compensation ble employee performs work that directly C570.59 Occupations involved in the oper- is required under section 7(k) until the num- supports the conduct of legislative or other ations of power-driven metal forming, ber of hours worked exceeds the number of business in the chamber and works hours punching, and shearing machines (Order hours which bears the same relationship to that regularly change in response to the 8). 171 as the number of days in the work period schedule of the House and the Senate. C570.62 Occupations involved in the oper- bears to 28. § C553.302 Overtime compensation and compen- ation of bakery machines (Order 11). (c) The ratio of 212 hours to 28 days for em- satory time off for an employee whose work C570.63 Occupations involved in the oper- ployees engaged in fire protection activities schedule directly depends upon the schedule ation of paper-products machines (Order is 7.57 hours per day (rounded) and the ratio of the House and Senate 12). of 171 hours to 28 days for employees engaged C570.65 Occupations involved in the oper- in law enforcement activities is 6.11 hours No employing office shall be deemed to ations of circular saws, band saws, and per day (rounded). Accordingly, overtime have violated section 203(a)(1) of the CAA, guillotine shears (Order 14). compensation (in premium pay or compen- which applies the protections of section 7(a) C570.66 Occupations involved in wrecking satory time) is required for all hours worked of the Fair Labor Standards Act (‘‘FLSA’’) and demolition operations (Order 15). in excess of the following maximum hours to covered employees and employing office, C570.67 Occupations in roofing operations standards (rounded to the nearest whole by employing any employee for a workweek (Order 16). hour): in excess of the maximum workweek applica- ble to such employee under section 7(a) of C570.68 Occupations in excavation operations MAXIMUM HOURS STANDARDS the FLSA where the employee’s work sched- (Order 17). ule directly depends on the schedule of the Subpart A—General Fire protec- Law en- House of Representatives or the Senate with- Work period (days) tion forcement in the meaning of § C553.301, and: (a) the em- § C570.00 Corresponding section table of the ployee is compensated at the rate of time- FLSA regulations of the Labor Department 28 ...... 212 171 and the CAA regulations of the Office of 27 ...... 204 165 and-a-half in pay for all hours in excess of 40 26 ...... 197 159 and up to 60 hours in a workweek, and (b) the Compliance 25 ...... 189 153 employee is compensated at the rate of time- 24 ...... 182 147 The following table lists the sections of the 23 ...... 174 141 and-a-half in either pay or in time off for all Secretary of Labor Regulations under the 22 ...... 167 134 hours in excess of 60 hours in a workweek. FLSA with the corresponding sections of the 21 ...... 159 128 20 ...... 151 122 § C553.303 Using compensatory time off Office of Compliance Regulations under Sec- 19 ...... 144 116 An employee who has accrued compen- tion 202 of the CAA: 18 ...... 136 110 Secretary of Labor regu- OC regulations 17 ...... 129 104 satory time off under § C553.302 upon his or 16 ...... 121 98 her request, shall be permitted by the em- lations 15 ...... 114 92 ploying office to use such time within a rea- 570.1 Definitions ...... C570.1 14 ...... 106 86 13 ...... 98 79 sonable period after making the request, un- 570.2 Minimum age stand- 12 ...... 91 73 less the employing office makes a bona fide ards ...... C570.2 11 ...... 83 67 determination that the needs of the oper- 570.31 Determinations ...... C570.31 10 ...... 76 61 ations of the office do not allow the taking 9 ...... 68 55 570.32 Effect of this sub- of compensatory time off at the time of the 8 ...... 61 49 part ...... C570.32 7 ...... 53 43 request. An employee may renew the request at a subsequent time. An employing office 570.33 Occupations ...... C570.33 § C553.231 Compensatory time off may also, upon reasonable notice, require an 570.35 Periods and condi- (a) Law enforcement and fire protection employee to use accrued compensatory time- tions of employment ...... C570.35 employees who are subject to the section off. 570.50 General ...... C570.50

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00086 Fmt 4624 Sfmt 0655 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S257 Secretary of Labor regu- OC regulations the ages of 14 and 16 years in occupations (1) Outside school hours; lations other than manufacturing and mining shall (2) Not more than 40 hours in any 1 week 570.51 Occupations in or not be deemed to constitute oppressive child when school is not in session; about plants or establish- labor, if and to the extent that the Secretary (3) Not more than 18 hours in any 1 week ments manufacturing or of Labor determines that such employment when school is in session; storing explosives or ar- is confined to periods which will not inter- (4) Not more than 8 hours in any 1 day ticles containing explo- fere with their schooling and to conditions when school is not in session; sive components (Order which will not interfere with their health (5) Not more than 3 hours in any 1 day 1) ...... C570.51 and well-being (see subpart C of this part); when school is in session; 570.52 Occupations of and motor-vehicle driver and (ii) The Act sets an 18-year minimum age (6) Between 7 a.m. and 7 p.m. in any 1 day, outside helper (Order 2) .. C570.52 with respect to employment in any occupa- except during the summer (June 1 through 570.55 Occupations in- tion found and declared by the Secretary of Labor Day) when the evening hour will be 9 volved in the operation Labor to be particularly hazardous for the p.m. of power-driven wood- employment of minors of such age or detri- SUBPART D [RESERVED] working machines (Order mental to their health or well-being. 5) ...... C570.55 (2) The Act exempts from its minimum age Subpart E—Occupations particularly haz- 570.58 Occupations in- requirements the employment by a parent of ardous for the employment of minors be- volved in the operation his own child, or by a person standing in tween 16 and 18 years of age or detrimental of power-driven hoisting place of a parent of a child in his custody, to their health or well-being apparatus (Order 7) ...... C570.58 except in occupations to which the 18-year § C570.50 General 570.59 Occupations in- age minimum applies and in manufacturing (a) Higher standards. Nothing in this sub- volved in the operations and mining occupations. part shall authorize non-compliance with of power-driven metal Subpart B [reserved] any Federal law or regulation establishing a forming, punching, and Subpart C—Employment of minors between higher standard. If more than one standard shearing machines (Order 14 and 16 years of age (child labor reg. 3) within this subpart applies to a single activ- 8) ...... C570.59 ity the higher standard shall be applicable. 570.62 Occupations in- § C570.31 Determination volved in the operation The employment of minors between 14 and (b) Apprentices. Some sections in this sub- of bakery machines 16 years of age in the occupations, for the pe- part contain an exemption for the employ- (Order 11) ...... C570.62 riods, and under the conditions hereafter ment of apprentices. Such an exemption 570.63 Occupations in- specified does not interfere with their shall apply only when: (1) The apprentice is volved in the operation schooling or with their health and well-being employed in a craft recognized as an of paper-products ma- and shall not be deemed to be oppressive apprenticeable trade; (2) the work of the ap- chines (Order 12) ...... C570.63 child labor. prentice in the occupations declared particu- larly hazardous is incidental to his training; 570.65 Occupations in- § C570.32 Effect of this subpart volved in the operations (3) such work is intermittent and for short In all occupations covered by this subpart periods of time and is under the direct and of circular saws, band the employment (including suffering or per- saws, and guillotine close supervision of a journeyman as a nec- mitting to work) by an employer of minor essary part of such apprentice training; and shears (Order 14) ...... C570.65 employees between 14 and 16 years of age for 570.66 Occupations in- (4) the apprentice is registered by the Execu- the periods and under the conditions speci- volved in wrecking and tive Director of the Office of Compliance as fied in § 570.35 shall not be deemed to be op- demolition operations employed in accordance with the standards pressive child labor within the meaning of (Order 15) ...... C570.66 established by the Bureau of Apprenticeship the Fair Labor Standards Act of 1938. 570.67 Occupations in roof- and Training of the United States Depart- ing operations (Order 16) C570.67 § C570.33 Occupations ment of Labor. 570.68 Occupations in exca- This subpart shall apply to all occupations (c) Student-learners. Some sections in this vation operations (Order other than the following: subpart contain an exemption for the em- 17) ...... C570.68 (a) Manufacturing, mining, or processing ployment of student-learners. Such an ex- occupations, including occupations requiring emption shall apply when: § C570.1 Definitions the performance of any duties in work rooms (1) The student-learner is enrolled in a As used in this part: or work places where goods are manufac- course of study and training in a cooperative (a) Act means the Fair Labor Standards tured, mined, or otherwise processed; vocational training program under a recog- Act of 1938, as amended (52 Stat. 1060, as (b) Occupations which involve the oper- nized State or local educational authority or amended; 29 U.S.C. 201–219). ation or tending of hoisting apparatus or of in a course of study in a substantially simi- (b) Oppressive child labor means employ- any power-driven machinery other than of- lar program conducted by a private school ment of a minor in an occupation for which fice machines; and; he does not meet the minimum age stand- (c) The operation of motor vehicles or serv- (2) Such student-learner is employed under ards of the Act, as set forth in Sec. 570.2 of ice as helpers on such vehicles; this subpart. (d) Public messenger service; a written agreement which provides: (c) Oppressive child labor age means an age (e) Occupations which the Secretary of (i) That the work of the student-learner in below the minimum age established under Labor may, pursuant to section 3(1) of the the occupations declared particularly haz- the Act for the occupation in which a minor Fair Labor Standards Act and Reorganiza- ardous shall be incidental to his training; is employed or in which his employment is tion Plan No. 2, issued pursuant to the Reor- (ii) That such work shall be intermittent contemplated. ganization Act of 1945, find and declare to be and for short periods of time, and under the (d) [Reserved] hazardous for the employment of minors be- direct and close supervision of a qualified (e) [Reserved] tween 16 and 18 years of age or detrimental and experienced person; (f) Secretary or Secretary of Labor means the to their health or well-being; (iii) That safety instructions shall be given Secretary of Labor, United States Depart- (f) Occupations in connection with: by the school and correlated by the employer ment of Labor, or his authorized representa- (1) Transportation of persons or property with on-the-job training; and tive. by rail, highway, air, water, pipeline, or (iv) That a schedule of organized and pro- (g) Wage and Hour Division means the Wage other means; gressive work processes to be performed on and Hour Division, Employment Standards (2) Warehousing and storage; the job shall have been prepared. Each such Administration, United States Department (3) Communications and public utilities; written agreement shall contain the name of of Labor. (4) Construction (including demolition and student-learner, and shall be signed by the (h) Administrator means the Administrator repair); except such office (including ticket employer and the school coordinator or prin- of the Wage and Hour Division or his author- office) work, or sales work, in connection cipal. Copies of each agreement shall be kept ized representative. with paragraphs (f)(1), (2), (3), and (4) of this on file by both the school and the employer. § C570.2 Minimum age standards section, as does not involve the performance This exemption for the employment of stu- (a) All occupations except in agriculture. of any duties on trains, motor vehicles, air- dent-learners may be revoked in any indi- (1) The Act, in section 3(1), sets a general 16- craft, vessels, or other media of transpor- vidual situation where it is found that rea- year minimum age which applies to all em- tation or at the actual site of construction sonable precautions have not been observed ployment subject to its child labor provi- operations. for the safety of minors employed there- sions in any occupation other than in agri- § C570.35 Periods and conditions of employment under. A high school graduate may be em- culture, with the following exceptions: (a) Except as provided in paragraph (b) of ployed in an occupation in which he has (i) The Act authorizes the Secretary of this section, employment in any of the occu- completed training as provided in this para- Labor to provide by regulation or by order pations to which this subpart is applicable graph as a student-learner, even though he is that the employment of employees between shall be confined to the following periods: not yet 18 years of age.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00087 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S258 CONGRESSIONAL RECORD — SENATE January 22, 1996 § C570.51 Occupations in or about plants or es- age within the area from entering any area facing, nailing, stapling, wire stitching, fas- tablishments manufacturing or storing ex- in or about the plant which does not meet tening, or otherwise assembling, pressing, or plosives or articles containing explosive criteria of paragraphs (b)(3) (i) through (iii) printing wood or veneer. components (Order 1) of this section. (2) The term off-bearing shall mean the re- (a) Finding and declaration of fact. The § C570.52 Occupations of motor-vehicle driver moval of material or refuse directly from a following occupations in or about plants or and outside helper (Order 2) saw table or from the point of operation. Op- establishments manufacturing or storing ex- (a) Findings and declaration of fact. Except erations not considered as off-bearing within plosives or articles containing explosive as provided in paragraph (b) of this section, the intent of this section include: (i) The re- components are particularly hazardous for the occupations of motor-vehicle driver and moval of material or refuse from a circular minors between 16 and 18 years of age or det- outside helper on any public road, highway, saw or guillotine-action veneer clipper where rimental to their health or well-being: in or about any mine (including open pit the material or refuse has been conveyed (1) All occupations in or about any plant or mine or quarry), place where logging or saw- away from the saw table or point of oper- establishment (other than retail establish- mill operations are in progress, or in any ex- ation by a gravity chute or by some mechan- ments or plants or establishments of the cavation of the type identified in § C570.68(a) ical means such as a moving belt or expul- type described in paragraph (a)(2) of this sec- are particularly hazardous for the employ- sion roller, and (ii) the following operations tion) manufacturing or storing explosives or ment of minors between 16 and 18 years of when they do not involve the removal of ma- articles containing explosive components ex- age. terial or refuse directly from a saw table or cept where the occupation is performed in a (b) Exemption—Incidental and occasional from the point of operation: The carrying, ’nonexplosives area’ as defined in paragraph driving. The findings and declaration in moving, or transporting of materials from (b)(3) of this section. paragraph (a) of this section shall not apply one machine to another or from one part of (2) The following occupations in or about to the operation of automobiles or trucks a plant to another; the piling, stacking, or any plant or establishment manufacturing or not exceeding 6,000 pounds gross vehicle arranging of materials for feeding into a ma- storing small-arms ammunition not exceed- weight if such driving is restricted to day- chine by another person; and the sorting, ing .60 caliber in size, shotgun shells, or light hours; provided, such operation is only tying, bundling, or loading of materials. blasting caps when manufactured or stored occasional and incidental to the minor’s em- (c) Exemptions. This section shall not in conjunction with the manufacture of ployment; that the minor holds a State li- apply to the employment of apprentices or small-arms ammunition: cense valid for the type of driving involved student-learners under the conditions pre- (i) All occupations involved in the manu- in the job performed and has completed a scribed in Sec. 570.50 (b) and (c). facturing, mixing, transporting, or handling State approved driver education course; and § C570.58 Occupations involved in the operation of explosive compounds in the manufacture provided further, that the vehicle is equipped of power-driven hoisting apparatus (Order of small-arms ammunition and all other oc- with a seat belt or similar restraining device 7) cupations requiring the performance of any for the driver and for each helper, and the (a) Finding and declaration of fact. The duties in the explosives area in which explo- employer has instructed each minor that following occupations involved in the oper- sive compounds are manufactured or mixed. such belts or other devices must be used. ation of power-driven hoisting apparatus are (ii) All occupations involved in the manu- This paragraph shall not be applicable to any particularly hazardous for minors between 16 facturing, transporting, or handling of prim- occupation of motor-vehicle driver which in- and 18 years of age: ers and all other occupations requiring the volves the towing of vehicles. (1) Work of operating an elevator, crane, performance of any duties in the same build- (c) Definitions. For the purpose of this sec- derrick, hoist, or high-lift truck, except op- ing in which primers are manufactured. tion: erating an unattended automatic operation (iii) All occupations involved in the (1) The term motor vehicle shall mean any passenger elevator or an electric or air-oper- priming of cartridges and all other occupa- automobile, truck, truck-tractor, trailer, ated hoist not exceeding one ton capacity. tions requiring the performance of any du- semitrailer, motorcycle, or similar vehicle (2) Work which involves riding on a manlift ties in the same workroom in which rim-fire propelled or drawn by mechanical power and or on a freight elevator, except a freight ele- cartridges are primed. designed for use as a means of transportation vator operated by an assigned operator. (iv) All occupations involved in the plate but shall not include any vehicle operated (3) Work of assisting in the operation of a loading of cartridges and in the operation of exclusively on rails. crane, derrick, or hoist performed by crane automatic loading machines. (2) The term driver shall mean any indi- (v) All occupations involved in the loading, hookers, crane chasers, hookers-on, riggers, vidual who, in the course of employment, inspecting, packing, shipping and storage of rigger helpers, and like occupations. drives a motor vehicle at any time. (b) Definitions. As used in this section: blasting caps. (3) The term outside helper shall mean any (b) Definitions. For the purpose of this sec- (1) The term elevator shall mean any power- individual, other than a driver, whose work tion: driven hoisting or lowering mechanism includes riding on a motor vehicle outside (1) The term plant or establishment manufac- equipped with a car or platform which moves the cab for the purpose of assisting in trans- turing or storing explosives or articles con- in guides in a substantially vertical direc- porting or delivering goods. taining explosive component means the land tion. The term shall include both passenger (4) The term gross vehicle weight includes with all the buildings and other structures and freight elevators (including portable ele- the truck chassis with lubricants, water and thereon used in connection with the manu- vators or tiering machines), but shall not in- a full tank or tanks of fuel, plus the weight facturing or processing or storing of explo- clude dumbwaiters. of the cab or driver’s compartment, body and sives or articles containing explosive compo- (2) The term crane shall mean a power-driv- special chassis and body equipment, and pay- nents. en machine for lifting and lowering a load load. (2) The terms explosives and articles con- and moving it horizontally, in which the taining explosive components mean and include § C570.55 Occupations involved in the operation hoisting mechanism is an integral part of ammunition, black powder, blasting caps, of power-driven woodworking machines the machine. The term shall include all fireworks, high explosives, primers, smoke- (Order 5) types of cranes, such as cantilever gantry, less powder, and all goods classified and de- (a) Finding and declaration of fact. The crawler, gantry, hammerhead, ingot-pouring, fined as explosives by the Interstate Com- following occupations involved in the oper- jib, locomotive, motor-truck, overhead trav- merce Commission in regulations for the ation of power-driven wood-working ma- eling, pillar jib, pintle, portal, semi-gantry, transportation of explosives and other dan- chines are particularly hazardous for minors semi-portal, storage bridge, tower, walking gerous substances by common carriers (49 between 16 and 18 years of age: jib, and wall cranes. CFR parts 71 to 78) issued pursuant to the (1) The occupation of operating power-driv- (3) The term derrick shall mean a power- Act of June 25, 1948 (62 Stat.739; 18 U.S.C. en woodworking machines, including super- driven apparatus consisting of a mast or 835). vising or controlling the operation of such equivalent members held at the top by guys (3) An area meeting all of the criteria in machines, feeding material into such ma- or braces, with or without a boom, for use paragraphs (b)(3) (i) through (iv) of this sec- chines, and helping the operator to feed ma- with an hoisting mechanism or operating tion shall be deemed a ‘‘nonexplosives area’’: terial into such machines but not including ropes. The term shall include all types of (i) None of the work performed in the area the placing of material on a moving chain or derricks, such as A-frame, breast, Chicago involves the handling or use of explosives; in a hopper or slide for automatic feeding. boom, gin-pole, guy and stiff-leg derrick. (ii) The area is separated from the explo- (2) The occupations of setting up, adjust- (4) The term hoist shall mean a power-driv- sives area by a distance not less than that ing, repairing, oiling, or cleaning power-driv- en apparatus for raising or lowering a load prescribed in the American Table of Dis- en woodworking machines. by the application of a pulling force that tances for the protection of inhabited build- (3) The occupations of off-bearing from cir- does not include a car or platform running in ings; cular saws and from guillotine-action veneer guides. The term shall include all types of (iii) The area is separated from the explo- clippers. hoists, such as base mounted electric, clevis sives area by a fence or is otherwise located (b) Definitions. As used in this section: suspension, hook suspension, monorail, over- so that it constitutes a definite designated (1) The term power-driven woodworking ma- head electric, simple drum and trolley sus- area; and chines shall mean all fixed or portable ma- pension hoists. (iv) Satisfactory controls have been estab- chines or tools driven by power and used or (5) The term high-lift truck shall mean a lished to prevent employees under 18 years of designed for cutting, shaping, forming, sur- power-driven industrial type of truck used

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00088 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S259 for lateral transportation that is equipped ing the area between the dies; power presses; stacking of materials by an employee in an with a power-operated lifting device usually and plate punches. area nearby or adjacent to the machine in the form of a fork or platform capable of (iii) All bending machines, such as apron where such employee does not place the ma- tiering loaded pallets or skids one above the brakes and press brakes. terials into the machine. other. Instead of a fork or platform, the lift- (iv) All hammering machines, such as drop (2) The term paper products machine shall ing device may consist of a ram, scoop, shov- hammers and power hammers. mean all power-driven machines used in: el, crane, revolving fork, or other attach- (v) All shearing machines, such as guillo- (i) The remanufacture or conversion of ments for handling specific loads. The term tine or squaring shears; alligator shears; and paper or pulp into a finished product, includ- shall mean and include highlift trucks rotary shears. ing the preparation of such materials for re- known under such names as fork lifts, fork (2) The occupations of setting up, adjust- cycling; or trucks, fork-lift trucks, tiering trucks, or ing, repairing, oiling, or cleaning these ma- (ii) The preparation of such materials for stacking trucks, but shall not mean low-lift chines including those with automatic feed disposal. The term applies to such machines trucks or low-lift platform trucks that are and ejection. whether they are used in establishments designed for the transportation of but not (b) Definitions. (1) The term operator shall that manufacture converted paper or pulp the tiering of material. mean a person who operates a machine cov- products, or in any other type of manufac- (6) The term manlift shall mean a device in- ered by this section by performing such func- turing or nonmanufacturing establishment. (c) Exemptions. This section shall not tended for the conveyance of persons which tions as starting or stopping the machine, apply to the employment of apprentices or consists of platforms or brackets mounted placing materials into or removing them student-learners under the conditions pre- on, or attached to, an endless belt, cable, from the machine, or any other functions di- scribed in § 570.50 (b) and (c). chain or similar method of suspension; such rectly involved in operation of the machine. belt, cable or chain operating in a substan- (2) The term helper shall mean a person § C570.65 Occupations involved in the operations tially vertical direction and being supported who assists in the operation of a machine of circular saws, band saws, and guillotine by and driven through pulleys, sheaves or covered by this section by helping place ma- shears (Order 14) sprockets at the top and bottom. terials into or remove them from the ma- (a) Findings and declaration of fact. The (c) Exception. (1) This section shall not chine. following occupations are particularly haz- prohibit the operation of an automatic ele- (3) The term forming, punching, and shear- ardous for the employment of minors be- vator and an automatic signal operation ele- ing machines shall mean power-driven metal- tween 16 and 18 years of age: vator provided that the exposed portion of working machines, other than machine (1) The occupations of operator of or helper the car interior (exclusive of vents and other tools, which change the shape of or cut on the following power-driven fixed or port- necessary small openings), the car door, and metal by means of tools, such as dies, rolls, able machines except machines equipped the hoistway doors are constructed of solid or knives which are mounted on rams, plung- with full automatic feed and ejection: (i) Circular saws. surfaces without any opening through which ers, or other moving parts. Types of forming, punching, and shearing machines enumer- (ii) Band saws. a part of the body may extend; all hoistway (iii) Guillotine shears. ated in this section are the machines to openings at floor level have doors which are (2) The occupations of setting-up, adjust- interlocked with the car door so as to pre- which the designation is by custom applied. ing, repairing, oiling, or cleaning circular (c) Exemptions. This section shall not vent the car from starting until all such saws, band saws, and guillotine shears. doors are closed and locked; the elevator apply to the employment of apprentices or (b) Definitions. (1) The term operator shall (other than hydraulic elevators) is equipped student-learners under the conditions pre- mean a person who operates a machine cov- with a device which will stop and hold the scribed in Sec. 570.50 (b) and (c). ered by this section by performing such func- car in case of overspeed or if the cable slack- § C570.62 Occupations involved in the operation tions as starting or stopping the machine, ens or breaks; and the elevator is equipped of bakery machines (Order 11) placing materials into or removing them with upper and lower travel limit devices (a) Finding and declaration of fact. The from the machine, or any other functions di- which will normally bring the car to rest at following occupations involved in the oper- rectly involved in operation of the machine. either terminal and a final limit switch ation of power-driven bakery machines are (2) The term helper shall mean a person which will prevent the movement in either particularly hazardous for the employment who assists in the operation of a machine direction and will open in case of excessive of minors between 16 and 18 years of age: covered by this section by helping place ma- over travel by the car. (1) The occupations of operating, assisting terials into or remove them from the ma- (2) For the purpose of this exception the to operate, or setting up, adjusting, repair- chine. term automatic elevator shall mean a pas- ing, oiling, or cleaning any horizontal or (3) The term machines equipped with full senger elevator, a freight elevator, or a com- vertical dough mixer; batter mixer; bread di- automatic feed and ejection shall mean ma- bination passenger-freight elevator, the op- viding, rounding, or molding machine; dough chines covered by this Order which are eration of which is controlled by push- brake; dough sheeter; combination bread equipped with devices for full automatic buttons in such a manner that the starting, slicing and wrapping machine; or cake cut- feeding and ejection and with a fixed barrier going to the landing selected, leveling and ting band saw. guard to prevent completely the operator or holding, and the opening and closing of the (2) The occupation of setting up or adjust- helper from placing any part of his body in car and hoistway doors are entirely auto- ing a cookie or cracker machine. the point-of-operation area. matic. (4) The term circular saw shall mean a ma- § C570.63 Occupations involved in the operation chine equipped with a thin steel disc having (3) For the purpose of this exception, the of paper-products machines (Order 12) term automatic signal operation elevator shall a continuous series of notches or teeth on mean an elevator which is started in re- (a) Findings and declaration of fact. The the periphery, mounted on shafting, and used sponse to the operation of a switch (such as following occupations are particularly haz- for sawing materials. (5) The term band saw shall mean a ma- a lever or pushbutton) in the car which when ardous for the employment of minors be- chine equipped with an endless steel band operated by the operator actuates a starting tween 16 and 18 years of age: (1) The occupations of operation or assist- having a continuous series of notches or device that automatically closes the car and ing to operate any of the following power- teeth, running over wheels or pulleys, and hoistway doors-from this point on, the move- driven paper products machines: used for sawing materials. ment of the car to the landing selected, lev- (i) Arm-type wire stitcher or stapler, cir- (6) The term guillotine shear shall mean a eling and holding when it gets there, and the cular or band saw, corner cutter or mitering machine equipped with a movable blade op- opening of the car and hoistway doors are machine, corrugating and single-or-double- erated vertically and used to shear mate- entirely automatic. facing machine, envelope die-cutting press, rials. The term shall not include other types § C570.59 Occupations involved in the operations guillotine paper cutter or shear, horizontal of shearing machines, using a different form of power-driven metal forming, punching, bar scorer, laminating or combining ma- of shearing action, such as alligator shears and shearing machines (Order 8) chine, sheeting machine, scrap-paper baler, or circular shears. (a) Finding and declaration of fact. The or vertical slotter. (c) Exemptions. This section shall not following occupations are particularly haz- (ii) Platen die-cutting press, platen print- apply to the employment of apprentices or ardous for the employment of minors be- ing press, or punch press which involves student-learners under the conditions pre- tween 16 and 18 years of age: hand feeding of the machine. scribed in § 570.50 (b) and (c). (1) The occupations of operator of or helper (2) The occupations of setting up, adjust- § C570.66 Occupations involved in wrecking and on the following power-driven metal form- ing, repairing, oiling, or cleaning these ma- demolition operations (Order 15) ing, punching, and shearing machines: chines including those which do not involve (a) Finding and declaration of fact. All oc- (i) All rolling machines, such as beading, hand feeding. cupations in wrecking and demolition oper- straightening, corrugating, flanging, or (b) Definitions. (1) The term operating or ations are particularly hazardous for the em- bending rolls; and hot or cold rolling mills. assisting to operate shall mean all work which ployment of minors between 16 and 18 years (ii) All pressing or punching machines, involves starting or stopping a machine cov- of age and detrimental to their health and such as punch presses except those provided ered by this section, placing or removing ma- well-being. with full automatic feed and ejection and terials into or from the machine, or any (b) Definition. The term wrecking and demo- with a fixed barrier guard to prevent the other work directly involved in operating lition operations shall mean all work, includ- hands or fingers of the operator from enter- the machine. The term does not include the ing clean-up and salvage work, performed at

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00089 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S260 CONGRESSIONAL RECORD — SENATE January 22, 1996 the site of the total or partial razing, demol- tions of approval are passed, whichever is ary 23, 1996 or on the dates upon which ap- ishing, or dismantling of a building, bridge, later. The interim regulations shall expire propriate resolutions of approval are passed, steeple, tower, chimney, other structure. on April 15, 1996 or on the dates on which ap- whichever is later. The interim regulations § C570.67 Occupations in roofing operations propriate resolutions concerning the Board’s shall expire on April 15, 1996 or on the dates (Order 16) final regulations are passed by the House of on which appropriate resolutions concerning the Board’s final regulations are passed by (a) Finding and declaration of fact. All oc- Representatives and the Senate, respec- the House of Representatives and the Senate, cupations in roofing operations are particu- tively, whichever is earlier. For Further Information Contact: Execu- respectively, whichever is earlier. larly hazardous for the employment of mi- tive Director, Office of Compliance, Room The regulations issued by the Board herein nors between 16 and 18 years of age or detri- LA 200, Library of Congress, Washington, are on all matters for which section 204(a)(3) mental to their health. D.C. 20540–1999. Telephone: (202) 724–9250. of the CAA requires a regulation to be (b) Definition of roofing operations. The issued. term roofing operations shall mean all work Background and Summary I. Summary and Consideration of Comments performed in connection with the applica- Supplementary Information: The Congres- tion of weatherproofing materials and sub- sional Accountability Act of 1995 (‘‘CAA’’), On September 28, 1995, the Board published stances (such as tar or pitch, asphalt pre- Pub. L. 104–1, 109 Stat. 3, was enacted on Jan- a Notice of Proposed Rulemaking in the Con- pared paper, tile, slate, metal, translucent uary 23, 1995. 2 U.S.C. §§ 1301 et seq. In gen- gressional Record, 141 Cong. Rec. S14544 materials, and shingles of asbestos, asphalt eral, the CAA applies the rights and protec- (daily ed., Sept. 28, 1995) (‘‘NPR’’), inviting or wood) to roofs of buildings or other struc- tions of eleven federal labor and employment comments from interested parties regarding tures. The term shall also include all work law statutes to covered employees and em- the proposed regulation. The Board received performed in connection with: (1) The instal- ploying offices within the legislative branch. three comments on the proposed regulation lation of roofs, including related metal work Section 204(a) of the CAA provides that no from interested parties within the House and such as flashing and (2) alterations, addi- employing office, irrespective of whether a the Senate. tions, maintenance, and repair, including covered employee works in that employing A. Summary of comments painting and coating, of existing roofs. The office, may require a covered employee to One commenter stated that the exclusion term shall not include gutter and downspout take a lie detector test where such a test with respect to Capitol Police officers is con- work; the construction of the sheathing or would be prohibited if required by an em- sistent with the intent of the CAA and the base of roofs; or the installation of television ployer under paragraphs (1), (2) or (3) of sec- application of the EPPA to other police de- antennas, air conditioners, exhaust and ven- tion 3 of the Employee Polygraph Protection partments. However, the commenter sug- tilating equipment, or similar appliances at- Act of 1988, 29 U.S.C. § 2002(1), (2) or (3) gested that the Board clarify whether the re- tached to roofs. (‘‘EPPA’’). 2 U.S.C. § 1314(a). Section 204(a) of strictions on the use of polygraphs contained (c) Exemptions. This section shall not the CAA also applies the waiver provision of in 29 U.S.C. § 2007 are applicable to the use of apply to the employment of apprentices or section 6(d) of the EPPA (29 U.S.C. § 2005(d)) lie detectors by the Capitol Police. The com- student-learners under the conditions pre- to covered employees. Id. Section 225(f) (1) menter further asked the Board to consider scribed in § 570.50 (b) and (c). provides that, ‘‘[e]xcept where inconsistent whether the exclusion should be applied to § C570.68 Occupations in excavation operations with definitions and exemptions provided in the civilian employees, including the secu- (Order 17) this Act, the definitions and exemptions in rity aides, of the Capitol Police. the [EPPA] shall apply under this Act.’’ 2 Another commenter asked that the Board (a) Finding and declaration of fact. The further explain the basis for its proposed reg- following occupations in excavation oper- U.S.C. § 1361(f)(1). Section 204(c) authorizes the Board of Di- ulation. Specifically, this commenter asked ations are particularly hazardous for the em- the Board to reconsider whether a total ex- ployment of persons between 16 and 18 years rectors of the Office of Compliance (‘‘Board’’) established under the CAA to issue regula- clusion for the Capitol Police, as proposed in of age: (1) Excavating, working in, or back- this regulation, is consistent with the CAA. filling (refilling) trenches, except (i) manu- tions implementing the section. 2 U.S.C. § 1314(c). Section 204(c)(2) further states that The commenter cited section 225(f)(1) of the ally excavating or manually backfilling CAA, which provides that, except where in- trenches that do not exceed four feet in such regulations ‘‘shall be the same as sub- stantive regulations promulgated by the Sec- consistent with the definitions and exemp- depth at any point, or (ii) working in trench- tions in the CAA, the definitions and exemp- es that do not exceed four feet in depth at retary of Labor to implement the statutory provisions referred to in subsections (a) and tions in the EPPA shall apply under the any point. CAA. The commenter stated that section 7(a) (2) Excavating for buildings or other struc- (b) except insofar as the Board may deter- mine, for good cause shown and stated to- of the EPPA, 29 U.S.C. § 2006(a) (exemption tures or working in such excavations, except: for the Federal Government and state and (i) Manually excavating to a depth not ex- gether with the regulation, that a modifica- tion of such regulations would be more effec- local governmental employers), ‘‘appears to ceeding four feet below any ground surface be at least partially inconsistent with the adjoining the excavation, or (ii) working in tive for the implementation of the rights and protections under this section.’’ Id. Section express purpose of the Accountability Act to an excavation not exceeding such depth, or apply the protections of the Polygraph Pro- (iii) working in an excavation where the side 204(a)(3) provides that nothing in this section shall preclude the Capitol Police from using tection Act to the legislative branch of the walls are shored or sloped to the angle of U.S. Government.’’ In contrast, the com- repose. lie detector tests in accordance with regula- tions issued under section 204(c) of the CAA. menter stated that section 7(e) of the EPPA, (3) Working within tunnels prior to the 29 U.S.C. § 2006(e), which exempts private sec- completion of all driving and shoring oper- Id. The provisions of section 204 are effective January 23, 1996, one year after the enact- tor employers providing security services, ations. does not appear to be inconsistent with the (4) Working within shafts prior to the com- ment date of the CAA. The Capitol Police is the primary law en- CAA. Therefore, the commenter asked the pletion of all sinking and shoring operations. Board to consider adopting for the Capitol (b) Exemptions. This section shall not forcement agency of the legislative branch. Police the Secretary’s regulations which the apply to the employment of apprentices or See 40 U.S.C. § 212a et seq. The final regula- commenter believes are most applicable, student-learners under the conditions pre- tion would provide the Capitol Police with namely, 29 U.S.C. § 801.14, which describes the scribed in Sec.C570.50 (b) and (c). specific authorization to use lie detector tests. The final regulation is derived from exemption for private sector employers pro- OFFICE OF COMPLIANCE—THE CONGRESSIONAL the Secretary of Labor’s regulation imple- viding security services. Finally, the com- ACCOUNTABILITY ACT OF 1995: EXTENSION OF menting the exclusion for public sector em- menter asked the Board to explain why it is RIGHTS AND PROTECTIONS UNDER THE EM- ployers under Section 7(a) of the EPPA, 29 recommending that the regulation be ap- PLOYEE POLYGRAPH PROTECTION ACT OF U.S.C. § 2006(a) (29 C.F.R. § 801.10(d)), which proved by concurrent resolution rather than 1988—EXCLUSION OF CAPITOL POLICE limits the exclusion to the entity’s own em- by joint resolution. NOTICE OF ADOPTION OF REGULATION AND SUB- ployees. A third commenter suggested that the reg- MISSION FOR APPROVAL AND ISSUANCE OF IN- To obtain input from interested persons on ulation make clear that it applies to pro- TERIM REGULATIONS the content of these regulations, the Board spective employees, as well as to employees Summary: The Board of Directors, Office published for comment a Notice of Proposed of the Capitol Police, in accordance with the of Compliance, after considering comments Rulemaking in the Congressional Record on language of EPPA, which refers to employees to its Notice of Proposed Rulemaking pub- September 28, 1995, 141 Cong. Rec. S14544 and prospective employees. lished September 28, 1995 in the Congres- (daily ed., Sept. 28, 1995). The Office has also B. Board’s consideration of comments sional Record, has adopted, and is submit- consulted with the Secretary of Labor under Pursuant to 40 U.S.C. §§ 212a et seq., the ting for approval by the Congress, a final section 304(g) of the CAA. Capitol Police is granted general law en- regulation authorizing the Capitol Police to After full consideration of the comments forcement authority within its prescribed ju- use lie detector tests under Section 204(a)(3) received in response to the proposed rule, the risdiction. Police activities are inherently and (c) of the Congressional Accountability Board has adopted and is submitting this and exclusively a Federal or state govern- Act of 1995 (‘‘CAA’’). The Board is also adopt- final regulation for approval by the Con- mental function, not a private one. In con- ing and issuing such regulations as interim gress. Moreover, pursuant to sections 304 and trast, private employers providing security regulations effective on January 23, 1996 or 411 of the CAA, the Board is adopting and services do not have general law enforce- on the dates upon which appropriate resolu- issuing such regulations effective on Janu- ment powers. Thus, in the Board’s view,

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00090 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S261 there is no similarly situated employing en- April 15, 1996 or the dates upon which the ness of these interim regulations conditional tity within the private sector to which the House and Senate complete their respective on the passage of appropriate resolutions of Capitol Police can properly be compared. consideration of the final regulations that approval by the House and/or the Senate. Rather, in the Board’s view, the Federal the Board is herein adopting. Moreover, section 304(c) appears to be de- Government and state and local govern- The Board finds that it is necessary and signed primarily for (and applicable to) final mental employer exemption under section 7 appropriate to adopt such interim regula- regulations of the Board, which these in- of the EPPA, 29 U.S.C. § 2006(a), and the Sec- tions and that there is ‘‘good cause’’ for terim regulations are not. In short, section retary’s regulations thereunder, are the making them effective as of the later of Jan- 304(c)’s procedures should not be understood most appropriate model for regulations gov- uary 23, 1996, or the time upon which appro- to prevent the issuance of interim regula- erning use of lie detector tests by the Capitol priate resolutions of approval of them are tions that are necessary for the effective im- Police. As stated in the NPR, the adopted passed by the House and the Senate. In the plementation of the CAA. regulation is modeled after the Secretary’s absence of the issuance of such interim regu- regulation implementing the exclusion for lations, covered employees, employing of- Indeed, the promulgation of these interim public sector employers, 29 C.F.R. § 801.10. fices, and the Office of Compliance staff regulations clearly conforms to the spirit of Because section 204(a)(3) of the CAA gives itself would be forced to operate in regu- section 304(c) and, in fact promotes its prop- the Board discretion to make exceptions to latory uncertainty. While section 411 of the er operation. As noted above, the interim the general command of uniform coverage of CAA provides that, ‘‘if the Board has not regulations shall become effective only upon the EPPA within the legislative branch with issued a regulation on a matter for which the passage of appropriate resolutions of ap- respect to the Capitol Police, use of regula- this Act requires a regulation to be issued, proval, which is what section 304(c) con- tions exempting the Federal Government or the hearing officer, Board, or court, as the templates. Moreover, these interim regula- state and local government employers pursu- case may be, shall apply, to the extent nec- tions allow more considered deliberation by ant to section 7(a) of the EPPA (29 U.S.C. essary and appropriate, the most relevant the House and the Senate of the Board’s final § 2006(a)) is not inconsistent with the defini- substantive executive agency regulation pro- regulations under section 304(c). tions and exemptions of section 204 of the mulgated to implement the statutory provi- The House has in fact already signaled its CAA. See Section 225(f). sion at issue in the proceeding,’’ covered em- approval of such interim regulations both for The adopted regulation, modeled after the ployees, employing offices and the Office of itself and for the instrumentalities. On De- Secretary’s regulation implementing the ex- Compliance staff might not know what regu- cember 19, 1995, the House adopted H. Res. clusion for public sector employers (29 C.F.R. lation, if any, would be found applicable in 311 and H. Con. Res. 123, which approve ‘‘on § 801.10), is an exclusion of all employees of particular circumstances absent the proce- a provisional basis’’ regulations ‘‘issued by the Capitol Police, including civilian em- dures suggested here. The resulting confu- the Office of Compliance before January 23, ployees. This treatment of Capitol Police sion and uncertainty on the part of covered 1996.’’ The Board believes these resolutions employees is consistent with the EPPA’s employees and employing offices would be are sufficient to make these interim regula- treatment of other law enforcement agencies contrary to the purposes and objectives of tions effective for the House on January 23, because such agencies are entirely excluded the CAA, as well as to the interests of those 1996, though the House might want to pass under either the Federal Government or whom it protects and regulates. Moreover, new resolutions of approval in response to state and local government exemptions of since the House and the Senate will likely this pronouncement of the Board. section 7(a) of the EPPA (29 U.S.C. § 2006). act on the Board’s final regulations within a The Board has not included in its final reg- short period of time, covered employees and To the Board’s knowledge, the Senate has ulations the restrictions on polygraph ex- employing offices would have to devote con- not yet acted on H. Con. Res. 123, nor has it aminations contained in 29 U.S.C. § 2007 (re- siderable attention and resources to learn- passed a counterpart to H. Res. 311 that stricting the use of polygraph examinations ing, understanding, and complying with a would cover employing offices and employees under the limited ongoing investigations, se- whole set of default regulations that would of the Senate. As stated herein, it must do so curity service and drug security exemp- then have no future application. These in- if these interim regulations are to apply to tions), as suggested by one commenter. The terim regulations prevent such a waste of re- the Senate and the other employing offices adopted regulation exempts all Capitol Po- sources. of the instrumentalities (and to prevent the lice employees with respect to the rights and The Board’s authority to issue such in- default rules of the executive branch from protections of section 204. Similarly, because terim regulations derives from sections 411 applying as of January 23, 1996). section 101(4) of the CAA, 2 U.S.C. § 1301(4), and 304 of the CAA. Section 411 gives the III. Method of Approval defines the term ‘‘covered employee’’ to in- Board authority to determine whether, in clude both applicants for employment as the absence of the issuance of a final regula- The Board continues to recommend that well as current and former employees, there tion by the Board, it is necessary and appro- the regulation be approved by concurrent is no need for the regulation to separately priate to apply the substantive regulations resolution, given the joint responsibility of refer to ‘‘applicants,’’ as suggested by one of the executive branch in implementing the the House and Senate for the Capitol Police. commenter. provisions of the CAA. Section 304(a) of the The regulation as adopted by the Board is The final regulation gives the Capitol Po- CAA in turn authorizes the Board to issue consistent with the language of the CAA and lice the same authority to use lie detector substantive regulations to implement the does not purport to deviate from otherwise tests as state and local police departments Act. Moreover, section 304(b) of the CAA in- applicable regulations of the Secretary of and law enforcement agencies within the structs that the Board shall adopt sub- Labor under the ‘‘good cause’’ provision of Federal Government have. The Capitol Po- stantive regulations ‘‘in accordance with the section 204(c). Therefore, the regulations, if lice currently uses lie detector tests as part principles and procedures set forth in section approved, would be within the regulatory au- of its internal investigations and other law 553 of title 5, United States Code,’’ which enforcement-related activities, and reserves thorization of section 304 of the CAA and have in turn traditionally been construed by should receive full deference from the courts. the right to use lie detector tests in other courts to allow an agency to issue ‘‘interim’’ circumstances with respect to so-called Approval by joint resolution is not nec- rules where the failure to have rules in place essary. ‘‘sworn’’ positions, i.e., employees with the in a timely manner would frustrate the effec- With respect to the interim version of power to make arrests. This use is consistent tive operation of a federal statute. See, e.g., these regulations, the Board recommends with the use of lie detector tests by other Philadelphia Citizens in Action v. Schweiker, that the Senate approve them by concurrent law enforcement agencies. 669 F.2d 877 (3d Cir. 1982). As noted above, in resolution. It is noted that the House has ex- II. Adoption of Proposed Rules as Final Reg- the absence of the Board’s adoption and ulations Under Section 304(b)(3) and as In- issuance of these interim rules, such a frus- pressed its approval of the regulations inso- terim Regulations tration of the effective operation of the CAA far as they apply to other employing offices Having considered the public comments to would occur here. through passage of H. Con. Res. 123 on the the proposed rules, the Board, pursuant to In so interpreting its authority, the Board same date; this concurrent resolution is section 304(b)(3) and (4) of the CAA, is adopt- recognizes that in section 304 of the CAA, pending before the Senate. ing these final regulations and transmitting Congress specified certain procedures that Accordingly, the Board of Directors of the them to the House and the Senate with rec- the Board must follow in issuing substantive Office of Compliance hereby adopts and sub- ommendations as to the method of approval regulations. In section 304(b), Congress said mits for approval by the Congress and issues by each body under section 304(c). However, that, except as specified in section 304(e), the on an interim basis the following regula- the rapidly approaching effective date of the Board must follow certain notice and com- tions: CAA’s implementation necessitates that the ment and other procedures. The interim reg- Board take further action with respect to ulations in fact have been subject to such no- ADOPTED REGULATIONS—AS INTERIM these regulations. For the reasons explained tice and comment and such other procedures REGULATIONS AND AS FINAL REGULATIONS below, the Board is also today adopting and of section 304(b). Exclusion for employees of the Capitol issuing these rules as interim regulations In issuing these interim regulations, the Police that will be effective as of January 23, 1996 or Board also recognizes that section 304(c) the time upon which appropriate resolutions specifies certain procedures that the House None of the limitations on the use of lie of approval of these interim regulations are and the Senate are to follow in approving the detector tests by employing offices set forth passed by the House and/or the Senate, Board’s regulations. The Board is of the view in Section 204 of the CAA apply to the Cap- whichever is later. These interim regulations that the essence of section 304(c)’s require- itol Police. This exclusion from the limita- will remain in effect until the earlier of ments are satisfied by making the effective- tions of Section 204 of the CAA applies only

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00091 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S262 CONGRESSIONAL RECORD — SENATE January 22, 1996 with respect to Capitol Police employees. ered employees. Id. Section 225(f) of the CAA ploying office has violated section 204 of the Except as otherwise provided by law or these provides that, ‘‘[e]xcept where inconsistent CAA merely by conveying information to regulations, this exclusion does not extend with definitions and exemptions provided in law enforcement authorities. Section 1.11 of to contractors or nongovernmental agents of this Act, the definitions and exemptions [of the regulation states that lie detector tests the Capitol Police; nor does it extend to the the EPPA] shall apply under this Act.’’ 2 performed by the Federal Government in the Capitol Police with respect to employees of a U.S.C. § 1361(f)(1). performance of any intelligence or counter- private employer or an otherwise covered Section 204(c) of the CAA requires the intelligence function are not within any of employing office with which the Capitol Po- Board of Directors of the Office of Compli- the prohibitions of section 204 of the CAA. lice has a contractual or other business rela- ance issue regulations implementing the sec- Thus, if the conditions of section 1.11 are tionship. tion. 2 U.S.C. § 1314(c). Section 204(c) further met, no employing office should be held lia- Duration of interim regulations states that such regulations ‘‘shall be the ble under section 204 of the CAA for indi- same as substantive regulations promulgated rectly causing the Executive Branch to per- These interim regulations for the House of by the Secretary of Labor to implement the form such tests by conveying a report to Representatives, the Senate and the employ- statutory provisions referred to in sub- Federal Government intelligence or counter- ing offices of the instrumentalities are effec- sections (a) and (b) except insofar as the intelligence officers. Moreover, section 1.4(b) tive on January 23, 1996 or on the dates upon Board may determine, for good cause shown of the regulations makes it clear that em- which appropriate resolutions are passed, and stated together with the regulation, that ploying offices will ordinarily not be liable whichever is later. The interim regulations a modification of such regulations would be under section 204 of the CAA for making re- shall expire on April 15, 1996 or on the dates more effective for the implementation of the ports to law enforcement authorities or for on which appropriate resolutions concerning rights and protections under this section.’’ cooperating in law enforcement investiga- the Board’s final regulations are passed by Id. tions. the House and the Senate, whichever is ear- To obtain input from interested persons on Nor is the Board inclined to modify the re- lier. the content of these regulations, the Board quirement in section 1.11(d) that any tests Scope of regulations published for comment a Notice of Proposed administered under the national security ex- These regulations are issued by the Board Rulemaking in the Congressional Record 141 emption be in accordance with applicable of Directors, Office of Compliance, pursuant Cong. Rec. S17656 (daily ed., Nov. 28, 1995) Department of Defense directives and regula- to sections 204(a)(3) and 304 of the CAA, (‘‘NPR’’), inviting comments from interested tions. That requirement is taken verbatim which authorize the Board to issue regula- parties regarding the proposed regulations. from the identical Executive Branch regula- tions governing the use of lie detector tests The Board received three comments on the tions that are applicable to private sector employers who also have no control over the by the Capitol Police. The regulations issued proposed regulations from interested parties. requirements of the Department of Defense by the Board herein are on all matters for Two of the comments, without elaboration, directives and regulations. The Board has which section 204(a)(3) of the CAA requires a supported the regulations as proposed. Only not been presented with any reason that regulation to be issued. one commenter took issue with certain sec- tions of the proposed regulations and the would constitute good cause to deviate from OFFICE OF COMPLIANCE—THE CONGRESSIONAL Board’s resolution of certain issues raised in these provisions. ACCOUNTABILITY ACT OF 1995: EXTENSION OF Finally, the Board was not provided with the NPR. In addition, the Office has sought RIGHTS AND PROTECTIONS UNDER THE EM- sufficient information to determine whether consultations with the Secretary of Labor PLOYEE POLYGRAPH PROTECTION ACT OF 1988 the portions of the Secretary’s regulation regarding the proposed regulations, pursuant implementing section 7(b) of the EPPA that NOTICE OF ADOPTION OF REGULATION AND SUB- to section 304(g) of the CAA. MISSION FOR APPROVAL AND ISSUANCE OF IN- After full consideration of the comments were not included in proposed section 1.11 are applicable to the legislative branch. TERIM REGULATIONS received in response to the proposed rule, the However, out of an abundance of caution, the Summary: The Board of Directors, Office Board has adopted and is submitting these Board’s final regulation shall include, with of Compliance, after considering comments final regulations for approval by the Con- appropriate modifications, the entirety of to its Notice of Proposed Rulemaking pub- gress. Moreover, pursuant to sections 411 and the implementing regulation, as suggested lished November 28, 1995 in the Congressional 304, the Board is also adopting and issuing by the commenter. Record, has adopted, and is submitting for such regulations as interim regulations for approval by the Congress, final regulations the House, the Senate and the employing of- B. Exemption for employees of the Capitol implementing Sections 204(a) and (b) of the fices of the instrumentalities effective on Police Congressional Accountability Act of 1995 January 23, 1996 or on the dates upon which The commenter also stated that section (‘‘CAA’’). The Board is also adopting and appropriate resolutions of approval are 1.4(e) of the regulations, which provides that issuing such regulations as interim regula- passed, whichever is later. The interim regu- the Capitol Police may administer lie detec- tions for the House of Representatives, the lations shall expire on April 15, 1996 or on the tor tests to non-Capitol Police employees Senate and the employing offices of the in- dates on which appropriate resolutions con- only during the course of an ‘‘ongoing inves- strumentalities effective on January 23, 1996 cerning the Board’s final regulations are tigation’’ by the Capitol Police, is not au- or on the dates upon which appropriate reso- passed by the House and the Senate, respec- thorized by the CAA. The Board disagrees. lutions of approval are passed, whichever is tively, whichever is earlier. Section 204(a)(3) gives the Board authority later. The interim regulations shall expire to adopt limitations on the nature and scope I. Summary of Comments and Board’s Final of lie detector use by the Capitol Police. This on April 15, 1996 or on the dates on which ap- Rules propriate resolutions concerning the Board’s is such a provision. A. Exemption for national defense and Contrary to the commenter’s suggestion, final regulations are passed by the House and security this regulation strikes an appropriate bal- the Senate, respectively, whichever is ear- ance between giving the Capitol Police au- lier. One commenter suggested that proposed thority to use lie detector tests for legiti- For Further Information Contact: Execu- section 1.11, implementing the national de- mate law enforcement purposes and pro- tive Director, Office of Compliance, Room fense and security exemption, be modified. The commenter suggested that, as proposed, tecting against overbroad and unreasonable LA 200, Library of Congress, Washington, use of lie detector tests by the Capitol Police D.C. 20540-1999. Telephone: (202) 724–9250. the regulatory exemption for national de- fense and security could be construed to per- with respect to covered employees not em- Background and Summary mit claims by employees that an employing ployed by it. Specifically, section 1.4(e) of Supplementary Information: The Congres- office violated section 204 of the CAA by con- the regulation makes it clear that the regu- sional Accountability Act of 1995 (‘‘CAA’’), veying information that ultimately led to a lation excluding the Capitol Police from sec- P.L. 104–1, 109 Stat. 3, was enacted on Janu- lie detector test, even though the subsequent tion 204 of the CAA with respect to its own ary 23, 1995. 2 U.S.C. §§ 1301-1438. In general, law enforcement investigation was outside of employees is not a total exemption of the the CAA applies the rights and protections of that employing office’s control. Moreover, Capitol Police from the prohibitions on the eleven federal labor and employment stat- the commenter argued that proposed section employment-related use of lie detector tests. utes to covered employees and employing of- 1.11(d), which states that the Executive It prohibits employing offices other than the fices within the legislative branch. Section Branch must administer the tests ‘‘in ac- Capitol Police from avoiding the prohibi- 204(a) of the CAA provides that no employing cordance with applicable Department of De- tions of section 204 of the CAA by admin- office may require any covered employee (in- fense directives and regulations,’’ should be istering lie detector tests on their covered cluding a covered employee who does not deleted since administration of such tests by employees indirectly through the Capitol work in that employing office) to take a lie the Executive Branch is outside of the con- Police under circumstances where such tests detector test where such test would be pro- trol of employing offices. Finally, this com- would not be warranted by legitimate law hibited if required by an employer under menter argued that proposed section 1.11 enforcement investigative considerations. paragraphs (1), (2) or (3) of section 3 of the should refer to all of the exemptions under C. Confidentiality provisions and notice to Employee Polygraph Protection Act of 1988, section 7(b) of the EPPA, not just to sub- examinees 29 U.S.C. § 2002(1), (2) or (3) (‘‘EPPA’’). 2 section (b)(2) of section 7 of the EPPA. A commenter argued that the Board lacks U.S.C. § 1314(a). Section 204(a) of the EPPA Contrary to the commenter’s concern, sec- authority to promulgate regulations imple- also applies the waiver provisions of section tion 1.11(d) cannot reasonably be construed menting the confidentiality and notice pro- 6(d) of the EPPA (29 U.S.C. § 2005(d)) to cov- to permit claims by employees that the em- visions of sections 9 and 10 of the EPPA. The

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00092 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S263 commenter rested its argument on the fact lations, covered employees, employing of- Indeed, the promulgation of these interim that sections 9 and 10 of the EPPA are not fices, and the Office of Compliance staff regulations clearly conforms to the spirit of textually incorporated into section 204 of the itself would be forced to operate in regu- section 304(c) and, in fact promotes its prop- CAA. latory uncertainty. While section 411 of the er operation. As noted above, the interim The Board reads the statute differently. CAA provides that, ‘‘if the Board has not regulations shall become effective only upon Section 204(a) provides that no employing of- issued a regulation on a matter for which the passage of appropriate resolutions of ap- fice may require a covered employee to take this Act requires a regulation to be issued, proval, which is what section 304(c) con- a lie detector test where an employer would the hearing officer, Board, or court, as the templates. Moreover, these interim regula- be prohibited from requiring such a test case may be, shall apply, to the extent nec- tions allow more considered deliberation by under paragraphs (1), (2) or (3) of section 3 of essary and appropriate, the most relevant the House and the Senate of the Board’s final the EPPA, 29 U.S.C. § 2002(1), (2) or (3). Sec- substantive executive agency regulation pro- regulations under section 304(c). tion 3 of the EPPA in turn provides that, ex- mulgated to implement the statutory provi- The House has in fact already signaled its cept as provided in sections 7 and 8 of the sion at issue in the proceeding,’’ covered em- approval of such interim regulations both for EPPA (29 U.S.C. §§ 2006 and 2007), it shall be ployees, employing offices and the Office of itself and for the instrumentalities. On De- unlawful for an employer to require a lie de- Compliance staff might not know what regu- cember 19, 1995, the House adopted H. Res. tector test under paragraphs (1), (2) or (3); lation, if any, would be found applicable in 311 and H. Con. Res. 123, which approve ‘‘on and the use of exemptions under section 7 of particular circumstances absent the proce- a provisional basis’’ regulations ‘‘issued by the EPPA are conditioned on employer com- dures suggested here. The resulting confu- the Office of Compliance before January 23, pliance with the confidentiality and notice sion and uncertainty on the part of covered 1996.’’ The Board believes these resolutions employees and employing offices would be provisions of sections 9 and 10 of the EPPA. are sufficient to make these interim regula- contrary to the purposes and objectives of Thus, those provisions are incorporated by tions effective for the House on January 23, the CAA, as well as to the interests of those reference into section 204 of the CAA. See 1996, though the House might want to pass whom it protects and regulates. Moreover, also section 225(f)(1) of the CAA (except new resolutions of approval in response to since the House and the Senate will likely where inconsistent with definitions and ex- act on the Board’s final regulations within a this pronouncement of the Board. To the Board’s knowledge, the Senate has emptions provided in the CAA, the defini- short period of time, covered employees and tions and exemptions under the laws made employing offices would have to devote con- not yet acted on H. Con. Res. 123, nor has it applicable by the CAA apply under the CAA). siderable attention and resources to learn- passed a counterpart to H. Res. 311 that D. Technical and nomenclature changes ing, understanding, and complying with a would cover employing offices and employees of the Senate. As stated herein, it must do so A commenter suggested a number of tech- whole set of default regulations that would if these interim regulations are to apply to nical and nomenclature changes to the pro- then have no future application. These in- the Senate and the other employing offices posed regulations. The Board has incor- terim regulations prevent such a waste of re- of the instrumentalities (and to prevent the porated many of the changes suggested by sources. default rules of the executive branch from the commenter. However, by making these The Board’s authority to issue such in- applying as of January 23, 1996). changes, the Board does not intend a sub- terim regulations derives from sections 411 stantive difference between the meaning of and 304 of the CAA. Section 411 gives the III. Method of Approval these sections of the regulations and the reg- Board authority to determine whether, in The Board received no comments on the ulations of the Secretary from which the the absence of the issuance of a final regula- method of approval for these regulations. Board’s regulations are derived. tion by the Board, it is necessary and appro- Therefore, the Board continues to rec- priate to apply the substantive regulations E. Scope of Regulations ommend that (1) the version of the regula- of the executive branch in implementing the tions that shall apply to the Senate and em- The regulations issued by the Board herein provisions of the CAA. Section 304(a) of the ployees of the Senate should be approved by are on all matters for which section 204 of CAA in turn authorizes the Board to issue the Senate by resolution; (2) the version of the CAA requires a regulation to be issued. substantive regulations to implement the the regulations that shall apply to the House Specifically, it is the Boards considered Act. Moreover, section 304(b) of the CAA in- of Representatives and employees of the judgment, based on the information avail- structs that the Board shall adopt sub- House of Representatives should be approved able to it at the time of promulgation of stantive regulations ‘‘in accordance with the by the House of Representatives by resolu- these regulations, that, with the exception of principles and procedures set forth in section tion; and (3) the version of the regulations the regulations adopted and set forth herein, 553 of title 5, United States Code,’’ which that shall apply to other covered employees there are no other ‘‘substantive regulations have in turn traditionally been construed by and employing offices should be approved by promulgated by the Secretary of Labor to courts to allow an agency to issue ‘‘interim’’ the Congress by concurrent resolution. implement the statutory provisions referred rules where the failure to have rules in place With respect to the interim version of to in subsections (a) and (b) [of section 204 of in a timely manner would frustrate the effec- these regulations, the Board recommends the CAA]. CAA Section 204(c). tive operation of a federal statute. See, e.g., that the Senate approve them by resolution Philadelphia Citizens in Action v. Schweiker, II. Adoption of Proposed Rules as Final Reg- insofar as they apply to the Senate and em- 669 F.2d 877 (3d Cir. 1982). As noted above, in ulations under Section 304(b)(3) and as In- ployees of the Senate. In addition, the Board terim Regulations the absence of the Board’s adoption and issuance of these interim rules, such a frus- recommends that the Senate approve them Having considered the public comments to tration of the effective operation of the CAA by concurrent resolution insofar as they the proposed rules, the Board pursuant to would occur here. apply to other covered employees and em- section 304(b)(3) and (4) of the CAA is adopt- In so interpreting its authority, the Board ploying offices. It is noted that the House ing these final regulations and transmitting recognizes that in section 304 of the CAA, has expressed its approval of the regulations them to the House and the Senate with rec- Congress specified certain procedures that insofar as they apply to the House and its ommendations as to the method of approval the Board must follow in issuing substantive employees through its passage of H. Res. 311 by each body under section 304(c). However, regulations. In section 304(b), Congress said on December 19, 1995. The House also ex- the rapidly approaching effective date of the that, except as specified in section 304(e), the pressed its approval of the regulations inso- CAA’s implementation necessitates that the Board must follow certain notice and com- far as they apply to other employing offices Board take further action with respect to ment and other procedures. The interim reg- through passage of H. Con. Res. 123 on the these regulations. For the reasons explained ulations in fact have been subject to such no- same date; this concurrent resolution is below, the Board is also today adopting and tice and comment and such other procedures pending before the Senate. issuing these rules as interim regulations of section 304(b). Accordingly, the Board of Directors of the that will be effective as of January 23, 1996 or In issuing these interim regulations, the Office of Compliance hereby adopts and sub- the time upon which appropriate resolutions Board also recognizes that section 304(c) mits for approval by the Congress and issues of approval of these interim regulations are specifies certain procedures that the House on an interim basis the following regula- passed by the House and/or the Senate, and the Senate are to follow in approving the tions: whichever is later. These interim regulations Board’s regulations. The Board is of the view ADOPTED REGULATIONS—AS INTERIM will remain in effect until the earlier of that the essence of section 304(c)’s require- REGULATIONS AND AS FINAL REGULATIONS April 15, 1996 or the dates upon which the ments are satisfied by making the effective- Application of Rights and Protections of the House and Senate complete their respective ness of these interim regulations conditional Employee Polygraph Protection Act of 1988 consideration of the final regulations that on the passage of appropriate resolutions of the Board is herein adopting. approval by the House and/or the Senate. Subpart A—General The Board finds that it is necessary and Moreover, section 304(c) appears to be de- Section appropriate to adopt such interim regula- signed primarily for (and applicable to) final 1.1 Purpose and scope. tions and that there is ‘‘good cause’’ for regulations of the Board, which these in- 1.2 Definitions. making them effective as of the later of Jan- terim regulations are not. In short, section 1.3 Coverage. uary 23, 1996, or the time upon which appro- 304(c)’s procedures should not be understood 1.4 Prohibitions on lie detector use. priate resolutions of approval of them are to prevent the issuance of interim regula- 1.5 Effect on other laws or agreements. passed by the House and the Senate. In the tions that are necessary for the effective im- 1.6 Notice of protection. absence of the issuance of such interim regu- plementation of the CAA. 1.7 Authority of the Board.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00093 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S264 CONGRESSIONAL RECORD — SENATE January 22, 1996 1.8 Employment relationship. (e) The term employee of the Office of the Ar- Sec. 1.3 Coverage Subpart B—Exemptions chitect of the Capitol includes any employee The coverage of Section 204 of the Act ex- of the Office of the Architect of the Capitol, 1.10 Exclusion for employees of the Capitol tends to any ‘‘covered employee’’ or ‘‘cov- the Botanic Gardens, or the Senate Res- Police. [Reserved] ered employing office’’ without regard to the taurants. 1.11 Exemption for national defense and se- number of employees or the employing of- curity. (f) The term employee of the Capitol Police fice’s effect on interstate commerce. 1.12 Exemption for employing offices con- includes any member or officer of the Cap- Sec. 1.4 Prohibitions on lie detector use ducting investigations of economic loss itol Police. (a) Section 204 of the CAA provides that, or injury. (g) The term employee of the House of Rep- subject to the exemptions of the EPPA in- 1.13 Exemption for employing offices au- resentatives includes an individual occupying corporated into the CAA under section 225(f) thorized to manufacture, distribute, or a position the pay for which is disbursed by of the CAA, as set forth in Sec. 1.10 through dispense controlled substances. the Clerk of the House of Representatives, or 1.12 of this Part, employing offices are pro- Subpart C—Restrictions on polygraph another official designated by the House of hibited from: usage under exemptions Representatives, or any employment posi- (1) Requiring, requesting, suggesting or 1.20 Adverse employment action under on- tion in an entity that is paid with funds de- causing, directly or indirectly, any covered going investigation exemption. rived from the clerk-hire allowance of the employee or prospective employee to take or 1.21 Adverse employment action under con- House of Representatives but not any such submit to a lie detector test; (2) Using, accepting, or inquiring about the trolled substance exemption. individual employed by any entity listed in results of a lie detector test of any covered 1.22 Rights of examinee—general. subparagraphs (3) through (8) of paragraph (c) above. employee or prospective employee; and 1.23 Rights of examinee—pretest phase. (3) Discharging, disciplining, discrimi- 1.24 Rights of examinee—actual testing (h) The term employee of the Senate includes any employee whose pay is disbursed by the nating against, denying employment or pro- phase. motion, or threatening any covered em- 1.25 Rights of examinee—post-test phase. Secretary of the Senate, but not any such in- dividual employed by any entity listed in ployee or prospective employee to take such 1.26 Qualifications of and requirements for action for refusal or failure to take or sub- examiners. subparagraphs (3) through (8) of paragraph (c) above. mit to such test, or on the basis of the re- Subpart D—Recordkeeping and disclosure (i) The term employing office means (1) the sults of a test. requirements The above prohibitions apply irrespective personal office of a Member of the House of of whether the covered employee referred to 1.30 Records to be preserved for 3 years. Representatives or of a Senator; (2) a com- in paragraphs (1), (2) or (3), above, works in 1.35 Disclosure of test information. mittee of the House of Representatives or that employing office. Subpart E—Duration of interim rules the Senate or a joint committee; (3) any (b) An employing office that reports a theft 1.40 Duration of Interim Rules. other office headed by a person with the final or other incident involving economic loss to Appendix A—Notice to Examinee authority to appoint, hire, discharge, and set police or other law enforcement authorities Authority: Pub. L. 104-1, 109 Stat. 3, 2 U.S.C. the terms, conditions, or privileges of the is not engaged in conduct subject to the pro- 1314(c) employment of an employee of the House of hibitions under paragraph (a) of this section Representatives or the Senate; or (4) the Subpart A—General if, during the normal course of a subsequent Capitol Guide Board, the Congressional Sec. 1.1 Purpose and scope. investigation, such authorities deem it nec- Budget Office, the Office of the Architect of essary to administer a polygraph test to a Enacted into law on January 23, 1995, the the Capitol, the Office of the Attending Phy- covered employee(s) suspected of involve- Congressional Accountability Act (‘‘CAA’’) sician, the Office of Compliance, and the Of- ment in the reported incident. Employing of- directly applies the rights and protections of fice of Technology Assessment. The term em- fices that cooperate with police authorities eleven federal labor and employment law ploying office includes any person acting di- during the course of their investigations into statutes to covered employees and employ- rectly or indirectly in the interest of an em- criminal misconduct are likewise not ing offices within the legislative branch. ploying office in relation to an employee or deemed engaged in prohibitive conduct pro- Section 204(a) of the CAA, 2 U.S.C. § 1314(a) prospective employee. A polygraph examiner vided that such cooperation is passive in na- provides that no employing office may re- either employed for or whose services are re- ture. For example, it is not uncommon for quire any covered employee (including a cov- tained for the sole purpose of administering police authorities to request employees sus- ered employee who does not work in that polygraph tests ordinarily would not be pected of theft or criminal activity to sub- employing office) to take a lie detector test deemed an employing office with respect to mit to a polygraph test during the employ- where such test would be prohibited if re- the examinees. Any reference to ‘‘employer’’ ee’s tour of duty since, as a general rule, sus- quired by an employer under paragraphs (1), in these regulations includes employing of- pect employees are often difficult to locate (2) or (3) of section 3 of the Employee Poly- fices. away from their place of employment. Al- graph Protection Act of 1988 (EPPA), 29 (j)(1) The term lie detector means a poly- lowing a test on the employing office’s prem- U.S.C. § 2002(1), (2) or (3). The purpose of this graph, deceptograph, voice stress analyzer, ises, releasing a covered employee during part is to set forth the regulations to carry psychological stress evaluator, or any other working hours to take a test at police head- out the provisions of Section 204 of the CAA. similar device (whether mechanical or elec- quarters, and other similar types of coopera- Subpart A contains the provisions gen- trical) that is used, or the results of which tion at the request of the police authorities erally applicable to covered employers, in- are used, for the purpose of rendering a diag- would not be construed as ‘‘requiring, re- cluding the requirements relating to the pro- nostic opinion regarding the honesty or dis- questing, suggesting, or causing, directly or hibitions on lie detector use. Subpart B sets honesty of an individual. Voice stress ana- indirectly, any covered employee * * * to forth rules regarding the statutory exemp- lyzers, or psychological stress evaluators, in- take or submit to a lie detector test.’’ Co- tions from application of section 204 of the clude any systems that utilize voice stress operation of this type must be distinguished CAA. Subpart C sets forth the restrictions on analysis, whether or not an opinion on hon- from actual participation in the testing of polygraph usage under such exemptions. esty or dishonesty is specifically rendered. employees suspected of wrongdoing, either Subpart D sets forth the rules on record- (2) The term lie detector does not include through the administration of a test by the keeping and the disclosure of polygraph test medical tests used to determine the presence employing office at the request or direction information. or absence of controlled substances or alco- of police authorities, or through reimburse- Sec. 1.2 Definitions. hol in bodily fluids. Also not included in the ment by the employing office of tests admin- For purposes of this part: definition of lie detector are written or oral istered by police authorities to employees. In (a) Act or CAA means the Congressional tests commonly referred to as ‘‘honesty’’ or some communities, it may be a practice of Accountability Act of 1995 (P.L. 104–1, 109 ‘‘paper and pencil’’ tests, machine-scored or police authorities to request testing by em- Stat. 3, 2 U.S.C. §§ 1301–1438). otherwise; and graphology tests commonly ploying offices of employees before a police (b) EPPA means the Employee Polygraph referred to as handwriting tests. investigation is initiated on a reported inci- Protection Act of 1988 (Pub. L. 100-347, 102 (k) The term polygraph means an instru- dent. In other communities, police exam- Stat. 646, 29 U.S.C. §§ 2001-2009) as applied to ment that— iners are available to covered employing of- covered employees and employing offices by (1) Records continuously, visually, perma- fices, on a cost reimbursement basis, to con- Section 204 of the CAA. nently, and simultaneously changes in car- duct tests on employees suspected by an em- (c) The term covered employee means any diovascular, respiratory, and electrodermal ploying office of wrongdoing. All such con- employee of (1) the House of Representatives; patterns as minimum instrumentation duct on the part of employing offices is (2) the Senate; (3) the Capitol Guide Service; standards; and deemed within the prohibitions of section 204 (4) the Congressional Budget Office; (5) the (2) Is used, or the results of which are used, of the CAA. Office of the Architect of the Capitol; (6) the for the purpose of rendering a diagnostic (c) The receipt by an employing office of Office of the Attending Physician; (7) the Of- opinion regarding the honesty or dishonesty information from a polygraph test adminis- fice of Compliance; or (8) the Office of Tech- of an individual. tered by police authorities pursuant to an in- nology Assessment. (l) Board means the Board of Directors of vestigation is prohibited by section 3(2) of (d) The term employee includes an appli- the Office of Compliance. the EPPA. (See paragraph (a)(2) of this sec- cant for employment and a former employee. (m) Office means the Office of Compliance. tion.)

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00094 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S265 (d) The simulated use of a polygraph in- these changes, the Board does not intend a eral Government, in the performance of any strument so as to lead an individual to be- substantive difference between these regula- intelligence or counterintelligence function, lieve that an actual test is being or may be tions and those of the Secretary from which to any covered employee whose duties in- performed (e.g., to elicit confessions or ad- they are derived. Moreover such changes, in volve access to information that has been missions of guilt) constitutes conduct pro- and of themselves, are not intended to con- classified at the level of top secret or des- hibited by paragraph (a) of this section. Such stitute an interpretation of the regulation or ignated as being within a special access pro- use includes the connection of a covered em- of the statutory provisions of the CAA upon gram under section 4.2 (a) of Executive Order ployee or prospective employee to the in- which they are based. 12356 (or a successor Executive Order). strument without any intention of a diag- Sec. 1.8 Employment relationship (c) Counterintelligence for purposes of the nostic purpose, the placement of the instru- above paragraphs means information gath- Subject to the exemptions incorporated ment in a room used for interrogation ered and activities conducted to protect into the CAA by section 225(f), section 204 ap- unconnected to the covered employee or pro- against espionage and other clandestine in- plies the prohibitions on the use of lie detec- spective employee, or the mere suggestion telligence activities, sabotage, terrorist ac- tors by employing offices with respect to that the instrument may be used during the tivities, or assassinations conducted for or covered employees irrespective of whether a course of the interview. on behalf of foreign governments, or foreign covered employee works in that employing (e) The Capitol Police may not require a or domestic organizations or persons. office. Sections 101 (3), (4) and 204 of the CAA covered employee not employed by the Cap- (d) Lie detector tests of persons described also apply EPPA prohibitions against dis- itol Police to take a lie detector test (on its in the above paragraphs will be administered crimination to applicants for employment own initiative or at the request of another in accordance with applicable Department of and former employees of a covered employ- employing office) except where the Capitol Defense directives and regulations, or other ing office. For example, an employee may Police administers such lie detector test as regulations and directives governing the use quit rather than take a lie detector test. The part of an ‘‘ongoing investigation’’ by the of such tests by the United States Govern- employing office cannot discriminate or Capitol Police. For the purpose of this sub- ment, as applicable. threaten to discriminate in any manner section, the definition of ‘‘ongoing investiga- against that person (such as by providing Sec. 1.12 Exemption for Employing Offices tion’’ contained section 1.12(b) shall apply. bad references in the future) because of that Conducting Investigations of Economic Loss Sec. 1.5 Effect on other laws or agreements person’s refusal to be tested. Similarly, an or Injury (a) Section 204 of the CAA does not pre- employing office cannot discriminate or (a) Section 7(d) of the EPPA, incorporated empt any otherwise applicable provision of threaten to discriminate in any manner into the CAA under section 225(f) of the CAA, federal law or any rule or regulation of the against that person because that person files provides a limited exemption from the gen- House or Senate or any negotiated collective a complaint, institutes a proceeding, testi- eral prohibition on lie detector use for em- bargaining agreement that prohibits lie de- fies in a proceeding, or exercises any right ployers conducting ongoing investigations of tector tests or is more restrictive with re- under section 204 of the CAA. (See section 207 economic loss or injury to the employer’s spect to the use of lie detector tests. of the CAA.) business. An employing office may request (b)(1) This provision applies to all aspects Subpart B—Exemptions an employee, subject to the conditions set of the use of lie detector tests, including pro- forth in sections 8 and 10 of the EPPA and cedural safeguards, the use of test results, Sec. 1.10 Exclusion for employees of the Capitol Secs. 1.20, 1.22, 1.23, 1.24, 1.25, 1.26 and 1.35 of the rights and remedies provided examinees, Police [Reserved] this part, to submit to a polygraph test, but and the rights, remedies, and responsibilities Sec. 1.11 Exemption for national defense and no other type of lie detector test, only if— of examiners and employing offices. security (1) The test is administered in connection (2) For example, a collective bargaining (a) The exemptions allowing for the admin- with an ongoing investigation involving eco- agreement that provides greater protection istration of lie detector tests in the fol- nomic loss or injury to the employing of- to an examinee would apply in addition to lowing paragraphs (b) through (e) of this sec- fice’s operations, such as theft, embezzle- the protection provided in section 204 of the tion apply only to the Federal Government; ment, misappropriation or an act of unlawful CAA. they do not allow covered employing offices industrial espionage or sabotage; Sec. 1.6 Notice of protection to administer such tests. For the purposes of (2) The employee had access to the prop- this section, the term ‘‘Federal Govern- erty that is the subject of the investigation; Pursuant to section 301(h) of the CAA, the ment’’ means any agency or entity within (3) The employing office has a reasonable Office shall prepare, in a manner suitable for the Federal Government authorized to ad- suspicion that the employee was involved in posting, a notice explaining the provisions of minister polygraph examinations which is the incident or activity under investigation; section 204 of the CAA. Copies of such notice otherwise exempt from coverage under sec- (4) The employing office provides the ex- may be obtained from the Office of Compli- tion 7(a) of the EPPA, 29 U.S.C. § 2006(a). aminee with a statement, in a language un- ance. (b) Section 7(b)(1) of the EPPA, incor- derstood by the examinee, prior to the test Sec. 1.7 Authority of the Board porated into the CAA under section 225(f) of which fully explains with particularity the Pursuant to sections 204 and 304 of the the CAA, provides that nothing in the EPPA specific incident or activity being inves- CAA, the Board is authorized to issue regula- shall be construed to prohibit the adminis- tigated and the basis for testing particular tions to implement the rights and protec- tration of any lie detector test by the Fed- employees and which contains, at a min- tions of the EPPA. Section 204(c) directs the eral Government, in the performance of any imum: Board to promulgate regulations imple- counterintelligence function, to any expert, (i) An identification with particularity of menting section 204 that are ‘‘the same as consultant or employee of any contractor the specific economic loss or injury to the substantive regulations promulgated by the under contract with the Department of De- operations of the employing office; Secretary of Labor to implement the statu- fense; or with the Department of Energy, in (ii) A description of the employee’s access tory provisions referred to in subsections (a) connection with the atomic energy defense to the property that is the subject of the in- and (b) [of section 204 of the CAA] except in- activities of such Department. vestigation; sofar as the Board may determine, for good (c) Section 7(b)(2)(A) of the EPPA, incor- (iii) A description in detail of the basis of cause shown . . . that a modification of such porated into the CAA under section 225(f) of the employing office’s reasonable suspicion regulations would be more effective for the the CAA, provides that nothing in the EPPA that the employee was involved in the inci- implementation of the rights and protections shall be construed to prohibit the adminis- dent or activity under investigation; and under this section.’’ The regulations issued tration of any lie detector test by the Fed- (iv) Signature of a person (other than a by the Board herein are on all matters for eral Government, in the performance of any polygraph examiner) authorized to legally which section 204 of the CAA requires a regu- intelligence or counterintelligence function bind the employing office; and lation to be issued. Specifically, it is the of the National Security Agency, the Defense (5) The employing office retains a copy of Board’s considered judgment, based on the Intelligence Agency, or the Central Intel- the statement and proof of service described information available to it at the time of ligence Agency, to any individual employed in paragraph (a)(4) of this section for at least promulgation of these regulations, that, by, assigned to, or detailed to any such agen- 3 years. with the exception of the regulations adopt- cy; or any expert or consultant under con- (b) For the exemption to apply, the condi- ed and set forth herein, there are no other tract to any such agency; or any employee of tion of an ‘‘ongoing investigation’’ must be ‘‘substantive regulations promulgated by the a contractor to such agency; or any indi- met. As used in section 7(d) of the EPPA, the Secretary of Labor to implement the statu- vidual applying for a position in any such ongoing investigation must be of a specific tory provisions referred to in subsections (a) agency; or any individual assigned to a space incident or activity. Thus, for example, an and (b) [of section 204 of the CAA].’’ where sensitive cryptologic information is employing office may not request that an In promulgating these regulations, the produced, processed, or stored for any such employee or employees submit to a poly- Board has made certain technical and no- agency. graph test in an effort to determine whether menclature changes to the regulations as (d) Section 7(b)(2)(B) of the EPPA, incor- or not any thefts have occurred. Such ran- promulgated by the Secretary. Such changes porated into the CAA under section 225(f) of dom testing by an employing office is pre- are intended to make the provisions adopted the CAA, provides that nothing in the EPPA cluded by the EPPA. Further, because the accord more naturally to situations in the shall be construed to prohibit the adminis- exemption is limited to a specific incident or legislative branch. However, by making tration of any lie detector test by the Fed- activity, an employing office is precluded

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00095 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S266 CONGRESSIONAL RECORD — SENATE January 22, 1996 from using the exemption in situations office has custody of, or management, or se- from a co-worker, or an employee’s behavior, where the so-called ‘‘ongoing investigation’’ curity responsibility for, the property of the demeanor, or conduct may be factors in the is continuous. For example, the fact that client that was lost or stolen or injured. For basis for reasonable suspicion. Likewise, in- items are frequently missing would not be a example, a cleaning contractor has no re- consistencies between facts, claims, or state- sufficient basis, standing alone, for admin- sponsibility for the money at a client bank. ments that surface during an investigation istering a polygraph test. Even if the em- If money is stolen from the bank by one of can serve as a sufficient basis for reasonable ploying office can establish that unusually the cleaning contractor’s employees, the suspicion. While access or opportunity, high amounts of property are missing in a cleaning contractor does not suffer an indi- standing alone, does not constitute a basis given month, this, in and of itself, would not rect loss or injury. for reasonable suspicion, the totality of cir- be a sufficient basis to meet the specific inci- (vi) Indirect loss or injury does not include cumstances surrounding the access or oppor- dent requirement. On the other hand, poly- loss or injury which is merely threatened or tunity (such as its unauthorized or unusual graph testing in response to missing prop- potential, e.g., a threatened or potential loss nature or the fact that access was limited to erty would be permitted where additional of an advantageous business relationship. a single individual) may constitute a factor evidence is obtained through subsequent in- (2) Economic losses or injuries which are in determining whether there is a reasonable vestigation of specific items missing through the result of unintentional or lawful conduct suspicion. intentional wrongdoing, and a reasonable would not serve as a basis for the adminis- (2) For example, in an investigation of a suspicion that the employee to be tration of a polygraph test. Thus, apparently theft of an expensive piece of jewelry, an em- polygraphed was involved in the incident unintentional losses or injuries stemming ployee authorized to open the establish- under investigation. Administering a poly- from truck, car, workplace, or other similar ment’s safe no earlier than 9 a.m., in order to graph test in circumstances where the miss- type accidents or routine inventory or cash place the jewelry in a window display case, is ing property is merely unspecified, statis- register shortages would not meet the eco- observed opening the safe at 7:30 a.m. In such tical shortages, without identification of a nomic loss or injury requirement. Any eco- a situation, the opening of the safe by the specific incident or activity that produced nomic loss incident to lawful union or em- employee one and one-half hours prior to the the missing property and a ‘‘reasonable sus- ployee activity also would not satisfy this specified time may serve as the basis for rea- picion that the employee was involved,’’ requirement. sonable suspicion. On the other hand, in the would amount to little more than a fishing (3) It is the operations of the employing of- example given, if the employee is asked to expedition and is prohibited by the EPPA as fice which must suffer the economic loss or bring the piece of jewelry to his or her office applied to covered employees and employing injury. Thus, a theft committed by one em- at 7:30 a.m., and the employee then opened offices by the CAA. ployee against another employee of the same the safe and reported the jewelry missing, (c)(1)(i) The terms economic loss or injury to employing office would not satisfy the re- such access, standing alone, would not con- the employing office’s operations include both quirement. stitute a basis for reasonable suspicion that direct and indirect economic loss or injury. (d) While nothing in the EPPA as applied the employee was involved in the incident (ii) Direct loss or injury includes losses or by the CAA prohibits the use of medical unless access to the safe was limited solely injuries resulting from theft, embezzlement, tests to determine the presence of controlled to the employee. If no one other than the misappropriation, espionage or sabotage. substances or alcohol in bodily fluids, the employee possessed the combination to the These examples, cited in the EPPA, are in- section 7(d) exemption of the EPPA does not safe, and all other possible explanations for tended to be illustrative and not exhaustive. permit the use of a polygraph test to learn the loss are ruled out, such as a break-in, a Another specific incident which would con- whether an employee has used drugs or alco- basis for reasonable suspicion may be formu- stitute direct economic loss or injury is the hol, even where such possible use may have lated based on sole access by one employee. misappropriation of confidential or trade se- contributed to an economic loss to the em- (3) The employing office has the burden of cret information. ploying office (e.g., an accident involving an establishing that the specific individual or (iii) Indirect loss or injury includes the use employing office’s vehicle). individuals to be tested are ‘‘reasonably sus- of an employing office’s operations to com- (e) Section 7(d)(2) of the EPPA provides pected’’ of involvement in the specific eco- mit a crime, such as check-kiting or money that, as a condition for the use of the exemp- nomic loss or injury for the requirement in laundering. In such cases, the ongoing inves- tion, the employee must have had access to section 7(d)(3) of the EPPA to be met. tigation must be limited to criminal activity the property that is the subject of the inves- (g)(1) As discussed in paragraph (a)(4) of that has already occurred, and to use of the tigation. this section, section 7(d)(4) of the EPPA sets employing office’s operations (and not sim- (1) The word access, as used in section forth what information, at a minimum, must ply the use of the premises) for such activ- 7(d)(2), refers to the opportunity which an be provided to an employee if the employing ity. For example, the use of an employing of- employee had to cause, or to aid or abet in office wishes to claim the exemption. fice’s vehicles, warehouses, computers or causing, the specific economic loss or injury (2) The statement required under para- equipment to smuggle or facilitate the im- under investigation. The term ‘‘access’’, graph (a)(4) of this section must be received porting of illegal substances constitutes an thus, includes more than direct or physical by the employee at least 48 hours, excluding indirect loss or injury to the employing of- contact during the course of employment. weekend days and holidays, prior to the time fice’s business operations. Conversely, the For example, as a general matter, all em- of the examination. The statement must set mere fact that an illegal act occurs on the ployees working in or with authority to forth the time and date of receipt by the em- employing office’s premises (such as a drug enter a property storage area have ‘‘access’’ ployee and be verified by the employee’s sig- transaction that takes place in the employ- to unsecured property in the area. All em- nature. This will provide the employee with ing office’s parking lot or rest room) does ployees with the combination to a safe have adequate pre-test notice of the specific inci- not constitute an indirect economic loss or ‘‘access’’ to the property in a locked safe. dent or activity being investigated and af- injury to the employing office. Employees also have ‘‘access’’ who have the ford the employee sufficient time prior to (iv) Indirect loss or injury also includes ability to divert possession or otherwise af- the test to obtain and consult with legal theft or injury to property of another for fect the disposition of the property that is counsel or an employee representative. which the employing office exercises fidu- the subject of investigation. For example, a (3) The statement to be provided to the em- ciary, managerial or security responsibility, bookkeeper in a jewelry store with access to ployee must set forth with particularity the or where the office has custody of the prop- inventory records may aid or abet a clerk specific incident or activity being inves- erty (but not property of other offices to who steals an expensive watch by removing tigated and the basis for testing particular which the employees have access by virtue of the watch from the employing office’s inven- employees. Section 7(d)(4)(A) of the EPPA the employment relationship). For example, tory records. In such a situation, it is clear requires specificity beyond the mere asser- if a maintenance employee of the manager of that the bookkeeper effectively has ‘‘access’’ tion of general statements regarding eco- an apartment building steals jewelry from a to the property that is the subject of the in- nomic loss, employee access, and reasonable tenant’s apartment, the theft results in an vestigation. suspicion. For example, an employing of- indirect economic loss or injury to the em- (2) As used in section 7(d)(2), property refers fice’s assertion that an expensive watch was ployer because of the manager’s manage- to specifically identifiable property, but also stolen, and that the employee had access to ment responsibility with respect to the ten- includes such things of value as security the watch and is therefore a suspect, would ant’s apartment. A messenger on a delivery codes and computer data, and proprietary, fi- not meet the ‘‘with particularity’’ criterion. of confidential business reports for a client nancial or technical information, such as If the basis for an employing office’s request- firm who steals the reports causes an indi- trade secrets, which by its availability to ing an employee (or employees) to take a rect economic loss or injury to the mes- competitors or others would cause economic polygraph test is not articulated with par- senger service because the messenger service harm to the employing office. ticularity, and reduced to writing, then the is custodian of the client firm’s reports, and (f)(1) As used in section 7(d)(3), the term standard is not met. The identity of a co- therefore is responsible for their security. reasonable suspicion refers to an observable, worker or other individual providing infor- Similarly, the theft of property protected by articulable basis in fact which indicates that mation used to establish reasonable sus- a security service employer is considered an a particular employee was involved in, or re- picion need not be revealed in the statement. economic loss or injury to that employer. sponsible for, an economic loss. Access in the (4) It is further required that the state- (v) A theft or injury to a client firm does sense of possible or potential opportunity, ment provided to the examinee be signed by not constitute an indirect loss or injury to standing alone, does not constitute a basis the employing office, or an employee or an employing office unless that employing for ‘‘reasonable suspicion.’’ Information other representative of the employing office

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00096 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S267 with authority to legally bind the employing employing office. Where a current employee stances would be as a part of the manufac- office. The person signing the statement is to be tested as a part of an ongoing inves- turing, dispensing or distribution process, must not be a polygraph examiner unless the tigation, section 7(f) requires that the em- while a current employee’s ‘‘access’’ to the examiner is acting solely in the capacity of ployee have ‘‘access’’ to the person or prop- controlled substances which are the subject an employing office with respect to his or erty that is the subject of the investigation. of the investigation need only be opportun- her own employees and does not conduct the (1) A prospective employee would have ‘‘di- istic. examination. The standard would not be rect access’’ if the position being applied for (d) The term prospective employee, for the met, and the exemption would not apply if has responsibilities which include contact purposes of this section, includes a current the person signing the statement is not au- with or which affect the disposition of a con- employee who presently holds a position thorized to legally bind the employing office. trolled substance, including participation in which does not entail direct access to con- (h) Polygraph tests administered pursuant the process of obtaining, dispensing, or oth- trolled substances, and therefore is outside to this exemption are subject to the limita- erwise distributing a controlled substance. the scope of the exemption’s provisions for tions set forth in sections 8 and 10 of the This includes contact or direct involvement preemployment polygraph testing, provided EPPA, as discussed in Secs. 1.20, 1.22, 1.23, in the manufacture, storage, testing, dis- the employee has applied for and is being 1.24, 1.25, 1.26, and 1.35 of this part. As pro- tribution, sale or dispensing of a controlled considered for transfer or promotion to an- vided in these sections, the exemption will substance and may include, for example, other position which entails such direct ac- apply only if certain requirements are met. packaging, repackaging, ordering, licensing, cess. For example, an office secretary may Failure to satisfy any of the specified re- shipping, receiving, taking inventory, pro- apply for promotion to a position in the quirements nullifies the statutory authority viding security, prescribing, and handling of vault or cage areas of a drug warehouse, for polygraph test administration and may a controlled substance. A prospective em- where controlled substances are kept. In subject the employing office to remedial ac- ployee would have ‘‘direct access’’ if the de- such a situation, the current employee would tions, as provided for in section 6(c) of the scribed job duties would give such person ac- be deemed a ‘‘prospective employee’’ for the EPPA. cess to the products in question, whether purposes of this exemption, and thus could such employee would be in physical prox- be subject to preemployment polygraph Sec. 1.13 Exemption of Employing Offices Au- imity to controlled substances or engaged in screening, prior to such a change in position. thorized to Manufacture, Distribute, or Dis- activity which would permit the employee to However, any adverse action which is based pense Controlled Substances divert such substances to his or her posses- in part on a polygraph test against a current (a) Section 7(f) of the EPPA, incorporated sion. employee who is considered a ‘‘prospective into the CAA by section 225(f) of the CAA, (2) A current employee would have ‘‘ac- employee’’ for purposes of this section may provides an exemption from the EPPA’s gen- cess’’ within the meaning of section 7(f) if be taken only with respect to the prospective eral prohibition regarding the use of poly- the employee had access to the specific per- position and may not affect the employee’s graph tests for employers authorized to man- son or property which is the subject of the employment in the current position. ufacture, distribute, or dispense a controlled on-going investigation, as discussed in Sec. (e) Section 7(f) of the EPPA, as applied by substance listed in schedule I, II, III, or IV of 1.12(e) of this part. Thus, to test a current the CAA, makes no specific reference to a re- section 202 of the Controlled Substances Act employee, the employee need not have had quirement that employing offices provide (21 U.S.C. § 812). This exemption permits the ‘‘direct’’ access to the controlled substance, current employees with a written statement administration of polygraph tests, subject to but may have had only infrequent, random, prior to polygraph testing. Thus, employing the conditions set forth in sections 8 and 10 or opportunistic access. Such access would offices to whom this exemption is available of the EPPA and Sec. 1.21, 1.22, 1.23, 1.24, 1.25, be sufficient to test the employee if the em- are not required to furnish a written state- 1.26, and 1.35 of this part, to: ployee could have caused, or could have ment such as that specified in section 7(d) of (1) A prospective employee who would have aided or abetted in causing, the loss of the the EPPA and Sec. 1.12(a)(4) of this part. direct access to the manufacture, storage, specific property which is the subject of the (f) For the section 7(f) exemption to apply, distribution, or sale of any such controlled investigation. For example, a maintenance the polygraph testing of current employees substance; or worker in a drug warehouse, whose job du- must be administered in connection with an (2) A current employee if the following ties include the cleaning of areas where the ongoing investigation of criminal or other conditions are met: controlled substances which are the subject misconduct involving, or potentially involv- (i) The test is administered in connection of the investigation were present, but whose ing, loss or injury to the manufacture, dis- with an ongoing investigation of criminal or job duties do not include the handling of con- tribution, or dispensing of any such con- other misconduct involving, or potentially trolled substances, would be deemed to have trolled substance by such employing office. involving, loss or injury to the manufacture, ‘‘access’’, but normally not ‘‘direct access’’, (1) Current employees may only be admin- distribution, or dispensing of any such con- to the controlled substances. On the other istered polygraph tests in connection with trolled substance by such employing office; hand, a drug warehouse truck loader, whose an ongoing investigation of criminal or other and job duties include the handling of outgoing misconduct, relating to a specific incident or (ii) The employee had access to the person shipment orders which contain controlled activity, or potential incident or activity. or property that is the subject of the inves- substances, would have ‘‘direct access’’ to Thus, an employing office is precluded from tigation. such controlled substances. A pharmacy de- using the exemption in connection with con- (b)(1) The terms manufacture, distribute, dis- partment in a supermarket is another com- tinuing investigations or on a random basis tribution, dispense, storage, and sale, for the mon situation which is useful in illustrating to determine if thefts are occurring. How- purposes of this exemption, are construed the distinction between ‘‘direct access’’ and ever, unlike the exemption in section 7(d) of within the meaning of the Controlled Sub- ‘‘access.’’ Store personnel receiving pharma- the EPPA for employing offices conducting stances Act (21 U.S.C. § 812 et seq.), as admin- ceutical orders, i.e., the pharmacist, phar- ongoing investigations of economic loss or istered by the Drug Enforcement Adminis- macy intern, and other such employees injury, the section 7(f) exemption includes tration (DEA), U.S. Department of Justice. working in the pharmacy department, would ongoing investigations of misconduct involv- (2) The exemption in section 7(f) of the ordinarily have ‘‘direct access’’ to controlled ing potential drug losses. Nor does the latter EPPA applies only to employing offices that substances. Other store personnel whose job exemption include the requirement for ‘‘rea- are authorized by DEA to manufacture, dis- duties and responsibilities do not include the sonable suspicion’’ contained in the section tribute, or dispense a controlled substance. handling of controlled substances but who 7(d) exemption. Thus, a drug store operator Section 202 of the Controlled Substances Act had occasion to enter the pharmacy depart- is permitted to polygraph all current em- (21 U.S.C. § 812) requires every person who ment where the controlled substances which ployees who have access to a controlled sub- manufactures, distributes, or dispenses any are the subject of the investigation were stance stolen from the inventory, or where controlled substance to register with the At- stored, such as maintenance personnel or there is evidence that such a theft is torney General (i.e., with DEA). Common or pharmacy cashiers, would have ‘‘access.’’ planned. Polygraph testing based on an in- contract carriers and warehouses whose pos- Certain other store personnel whose job du- ventory shortage of the drug during a par- session of the controlled substance is in the ties do not permit or require entrance into ticular accounting period would not be per- usual course of their business or employment the pharmacy department for any reason, mitted unless there is extrinsic evidence of are not required to register. Truck drivers such as produce or meat clerks, checkout misconduct. and warehouse employees of the persons or cashiers, or baggers, would not ordinarily (2) In addition, the test must be adminis- entities registered with DEA and authorized have ‘‘access.’’ However, any current em- tered in connection with loss or injury, or to manufacture, distribute, or dispense con- ployee, regardless of described job duties, potential loss or injury, to the manufacture, trolled substances, are within the scope of may be polygraphed if the employing office’s distribution, or dispensing of a controlled the exemption where they have direct access investigation of criminal or other mis- substance. or access to the controlled substances, as conduct discloses that such employee in fact (i) Retail drugstores and wholesale drug discussed below. took action to obtain ‘‘access’’ to the person warehouses typically carry inventory of so- (c) In order for a polygraph examination to or property that is the subject of the inves- called health and beauty aids, cosmetics, be performed, section 7(f) of the Act requires tigation—e.g., by actually entering the drug over-the-counter drugs, and a variety of that a prospective employee have ‘‘direct ac- storage area in violation of company rules. other similar products, in addition to their cess’’ to the controlled substance(s) manu- In the case of ‘‘direct access’’, the prospec- product lines of controlled drugs. The non- factured, dispensed, or distributed by the tive employee’s access to controlled sub- controlled products usually constitute

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00097 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S268 CONGRESSIONAL RECORD — SENATE January 22, 1996 the majority of such firms’ sales volumes. one basis for adverse employment actions of resentative before each phase of the test. An economic loss or injury related to such the type described in paragraph (a) of this Such notice shall be received by the exam- noncontrolled substances would not con- section, provided that the adverse action was inee at least forty-eight hours, excluding stitute a basis of applicability of the section also based on another bona fide reason, with weekend days and holidays, before the time 7(f) exemption. For example, an investiga- supporting evidence therefor. For example, of the examination, except that a prospec- tion into the theft of a gross of cosmetic traditional factors such as prior employment tive employee may, at the employee’s op- products could not be a basis for polygraph experience, education, job performance, etc. tion, give written consent to administration testing under section 7(f), but the theft of a may be used as a basis for employment deci- of a test anytime within 48 hours but no ear- container of valium could be. sions. Employment decisions based on ad- lier than 24 hours after receipt of the written (ii) Polygraph testing, with respect to an missions or statements made by an employee notice. The written notice or proof of service ongoing investigation concerning products or prospective employee before, during or must set forth the time and date of receipt other than controlled substances might be following a polygraph examination may, by the employee or prospective employee initiated under section 7(d) of the EPPA and likewise, serve as a basis for such decisions. and be verified by his or her signature. The Sec. 1.12 of this part. However, the exemp- (c) Analysis of a polygraph test chart or purpose of this requirement is to provide a tion in section 7(f) of the EPPA and this sec- the refusal to take a polygraph test may not sufficient opportunity prior to the examina- tion is limited solely to losses or injury asso- serve as a basis for adverse employment ac- tion for the examinee to consult with coun- ciated with controlled substances. tion, even with another legitimate basis for sel or an employee representative. Provision (g) Polygraph tests administered pursuant such action, unless the employing office ob- shall also be made for a convenient place on to this exemption are subject to the limita- serves all the requirements of section 7(f) of the premises where the examination will tions set forth in sections 8 and 10 of the the EPPA, as appropriate, and section 8(b) of take place at which the examinee may con- EPPA, as discussed in Secs. 1.21, 1.22, 1.23, the EPPA, as described in sections 1.13, 1.22, sult privately with an attorney or an em- 1.24, 1.25, 1.26, and 1.35 of this part. As pro- 1.23, 1.24 and 1.25 of this part. ployee representative before each phase of vided in these sections, the exemption will Sec. 1.22 Rights of examinee—general. the test. The attorney or representative may apply only if certain requirements are met. (a) Pursuant to section 8(b) of the EPPA, be excluded from the room where the exam- Failure to satisfy any of the specified re- the limited exemption in section 7(d) of the ination is administered during the actual quirements nullifies the statutory authority EPPA for ongoing investigations (described testing phase. for polygraph test administration and may in Secs. 1.12 and 1.13 of this part) shall not (2) Informed orally and in writing of the subject the employing office to the remedies apply unless all of the requirements set forth nature and characteristics of the polygraph authorized in section 204 of the CAA. The ad- in this section and Secs. 1.23 through 1.25 of instrument and examination, including an ministration of such tests is also subject to this part are met. explanation of the physical operation of the collective bargaining agreements, which (b) During all phases of the polygraph test- polygraph instrument and the procedure may either prohibit lie detector tests, or ing the person being examined has the fol- used during the examination. contain more restrictive provisions with re- lowing rights: (3) Provided with a written notice prior to spect to polygraph testing. (1) The examinee may terminate the test the testing phase, in a language understood Subpart C—Restrictions on polygraph usage at any time. by the examinee, which shall be read to and under exemptions (2) The examinee may not be asked any signed by the examinee. Use of Appendix A questions in a degrading or unnecessarily in- to this part, if properly completed, will con- Sec. 1.20 Adverse employment action under on- stitute compliance with the contents of the going investigation exemption. trusive manner. (3) The examinee may not be asked any notice requirement of this paragraph. If a (a) Section 8(a)(1) of the EPPA provides questions dealing with: format other than in Appendix A is used, it that the limited exemption in section 7(d) of (i) Religious beliefs or affiliations; must contain at least the following informa- the EPPA and Sec. 1.12 of this part for ongo- (ii) Beliefs or opinions regarding racial tion: ing investigations shall not apply if an em- matters; (i) Whether or not the polygraph examina- ploying office discharges, disciplines, denies (iii) Political beliefs or affiliations; tion area contains a two-way mirror, a cam- employment or promotion or otherwise dis- (iv) Sexual preferences or behavior; or era, or other device through which the exam- criminates in any manner against a current (v) Beliefs, affiliations, opinions, or lawful inee may be observed; employee based upon the analysis of a poly- activities concerning unions or labor organi- (ii) Whether or not any other device, such graph test chart or the refusal to take a zations. as those used in conversation or recording polygraph test, without additional sup- (4) The examinee may not be subjected to will be used during the examination; porting evidence. a test when there is sufficient written evi- (iii) That both the examinee and the em- (b) ‘‘Additional supporting evidence’’, for dence by a physician that the examinee is ploying office have the right, with the oth- purposes of section 8(a) of the EPPA, in- suffering from any medical or psychological er’s knowledge, to make a recording of the cludes, but is not limited to, the following: condition or undergoing any treatment that entire examination; (1)(i) Evidence indicating that the em- might cause abnormal responses during the (iv) That the examinee has the right to ter- ployee had access to the missing or damaged actual testing phase. ‘‘Sufficient written evi- minate the test at any time; property that is the subject of an ongoing in- dence’’ shall constitute, at a minimum, a (v) That the examinee has the right, and vestigation; and statement by a physician specifically de- will be given the opportunity, to review all (ii) Evidence leading to the employing of- scribing the examinee’s medical or psycho- questions to be asked during the test; fice’s reasonable suspicion that the employee logical condition or treatment and the basis (vi) That the examinee may not be asked was involved in the incident or activity for the physician’s opinion that the condi- questions in a manner which degrades, or under investigation; or tion or treatment might result in such ab- needlessly intrudes; (vii) That the examinee may not be asked (2) Admissions or statements made by an normal responses. any questions concerning religious beliefs or employee before, during or following a poly- (5) An employee or prospective employee opinions; beliefs regarding racial matters; graph examination. who exercises the right to terminate the political beliefs or affiliations; matters re- (c) Analysis of a polygraph test chart or re- test, or who for medical reasons with suffi- lating to sexual behavior; beliefs, affili- fusal to take a polygraph test may not serve cient supporting evidence is not adminis- ations, opinions, or lawful activities regard- as a basis for adverse employment action, tered the test, shall be subject to adverse ing unions or labor organizations; even with additional supporting evidence, employment action only on the same basis (viii) That the test may not be conducted unless the employing office observes all the as one who refuses to take a polygraph test, if there is sufficient written evidence by a requirements of sections 7(d) and 8(b) of the as described in Secs. 1.20 and 1.21 of this part. physician that the examinee is suffering EPPA, as applied by the CAA and described (c) Any polygraph examination shall con- from a medical or psychological condition or in Secs. 1.12, 1.22, 1.23, 1.24 and 1.25 of this sist of one or more pretest phases, actual undergoing treatment that might cause ab- part. testing phases, and post-test phases, which normal responses during the examination; must be conducted in accordance with the Sec. 1.21 Adverse employment action under con- (ix) That the test is not and cannot be re- rights of examinees described in Secs. 1.23 trolled substance exemption. quired as a condition of employment; through 1.25 of this part. (a) Section 8(a)(2) of the EPPA provides (x) That the employing office may not dis- that the controlled substance exemption in Sec. 1.23 Rights of examinee—pretest phase. charge, dismiss, discipline, deny employment section 7(f) of the EPPA and section 1.13 of (a) The pretest phase consists of the ques- or promotion, or otherwise discriminate this part shall not apply if an employing of- tioning and other preparation of the prospec- against the examinee based on the analysis fice discharges, disciplines, denies employ- tive examinee before the actual use of the of a polygraph test, or based on the ment or promotion, or otherwise discrimi- polygraph instrument. During the initial examinee’s refusal to take such a test, with- nates in any manner against a current em- pretest phase, the examinee must be: out additional evidence which would support ployee or prospective employee based solely (1) Provided with written notice, in a lan- such action; on the analysis of a polygraph test chart or guage understood by the examinee, as to (xi)(A) In connection with an ongoing in- the refusal to take a polygraph test. when and where the examination will take vestigation, that the additional evidence re- (b) Analysis of a polygraph test chart or place and that the examinee has the right to quired for the employing office to take ad- refusal to take a polygraph test may serve as consult with counsel or an employee rep- verse action against the examinee, including

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00098 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S269 termination, may be evidence that the exam- ments involved, as prescribed in section cordings of examinations, for at least three inee had access to the property that is the 8(b)(2)(B) of the EPPA and Sec. 1.23(a)(2) of years from the date of the administration of subject of the investigation, together with this part, and ends when the examiner com- the test. (See section 1.30 of this part for rec- evidence supporting the employing office’s pletes the review of the test results with the ordkeeping requirements.) reasonable suspicion that the examinee was examinee as provided in Sec. 1.25 of this part. Subpart D—Recordkeeping and disclosure involved in the incident or activity under in- The ninety-minute minimum duration shall requirements vestigation; not apply if the examinee voluntarily acts to Sec. 1.30 Records to be preserved for 3 years (B) That any statement made by the exam- terminate the test before the completion inee before or during the test may serve as thereof, in which event the examiner may (a) The following records shall be kept for additional supporting evidence for an ad- not render an opinion regarding the employ- a minimum period of three years from the verse employment action, as described in ee’s truthfulness. date the polygraph examination is conducted paragraph (a)(3)(x) of this section, and that (or from the date the examination is re- Sec. 1.25 Rights of examinee—post-test phase quested if no examination is conducted): any admission of criminal conduct by the ex- (a) The post-test phase refers to any ques- aminee may be transmitted to an appro- (1) Each employing office that requests an tioning or other communication with the ex- employee to submit to a polygraph examina- priate government law enforcement agency; aminee following the use of the polygraph in- (xii) That information acquired from a tion in connection with an ongoing inves- strument, including review of the results of polygraph test may be disclosed by the ex- tigation involving economic loss or injury the test with the examinee. Before any ad- aminer or by the employing office only: shall retain a copy of the statement that verse employment action, the employing of- (A) To the examinee or any other person sets forth the specific incident or activity fice must: under investigation and the basis for testing specifically designated in writing by the ex- (1) Further interview the examinee on the aminee to receive such information; that particular covered employee, as re- basis of the test results; and quired by section 7(d)(4) of the EPPA and de- (B) To the employing office that requested (2) Give to the examinee a written copy of the test; scribed in 1.12(a)(4) of this part. any opinions or conclusions rendered in re- (2) Each examiner retained to administer (C) To a court, governmental agency, arbi- sponse to the test, as well as the questions trator, or mediator pursuant to a court examinations pursuant to any of the exemp- asked during the test, with the cor- tions under section 7(d), (e) or (f) of the order; responding charted responses. The term (D) By the employing office, to an appro- EPPA (described in sections 1.12 and 1.13 of ‘‘corresponding charted responses’’ refers to priate governmental agency without a court this part) shall maintain all opinions, re- copies of the entire examination charts re- order where, and only insofar as, the infor- ports, charts, written questions, lists, and cording the employee’s physiological re- mation disclosed is an admission of criminal other records relating to polygraph tests of sponses, and not just the examiner’s written conduct; such persons. report which describes the examinee’s re- (xiii) That if any of the examinee’s rights Sec. 1.35 Disclosure of test information sponses to the questions as ‘‘charted’’ by the or protections under the law are violated, instrument. This section prohibits the unauthorized the examinee has the right to take action disclosure of any information obtained dur- against the employing office under sections Sec. 1.26 Qualifications of and requirements ing a polygraph test by any person, other 401-404 of the CAA. Employing offices that for examiners than the examinee, directly or indirectly, ex- violate this law are liable to the affected ex- (a) Section 8 (b) and (c) of the EPPA pro- cept as follows: aminee, who may recover such legal or equi- vides that the limited exemption in section (a) A polygraph examiner or an employing table relief as may be appropriate, including, 7(d) of the EPPA for ongoing investigations office (other than an employing office ex- but not limited to, employment, reinstate- shall not apply unless the person conducting empt under section 7 (a), or (b) of the EPPA ment, and promotion, payment of lost wages the polygraph examination meets specified (described in Secs. 1.10 and 1.11 of this part)) and benefits, and reasonable costs, including qualifications and requirements. may disclose information acquired from a attorney’s fees; (b) An examiner must meet the following polygraph test only to: (xiv) That the examinee has the right to qualifications: (1) The examinee or an individual specifi- obtain and consult with legal counsel or (1) Have a valid current license, if required cally designated in writing by the examinee other representative before each phase of the by the State in which the test is to be con- to receive such information; test, although the legal counsel or represent- ducted; and (2) The employing office that requested the ative may be excluded from the room where (2) Carry a minimum bond of $50,000 pro- polygraph test pursuant to the provisions of the test is administered during the actual vided by a surety incorporated under the the EPPA (including management personnel testing phase. laws of the United States or of any State, of the employing office where the disclosure (xv) That the employee’s rights under the which may under those laws guarantee the is relevant to the carrying out of their job CAA may not be waived, either voluntarily fidelity of persons holding positions of trust, responsibilities); or involuntarily, by contract or otherwise, or carry an equivalent amount of profes- (3) Any court, governmental agency, arbi- except as part of a written settlement to a sional liability coverage. trator, or mediator pursuant to an order pending action or complaint under the CAA, (c) An examiner must also, with respect to from a court of competent jurisdiction re- agreed to and signed by the parties. examinees identified by the employing office quiring the production of such information; (b) During the initial or any subsequent pursuant to Sec. 1.30(c) of this part: (b) An employing office may disclose infor- pretest phases, the examinee must be given (1) Observe all rights of examinees, as set mation from the polygraph test at any time the opportunity, prior to the actual testing out in Secs. 1.22, 1.23, 1.24, and 1.25 of this to an appropriate governmental agency with- phase, to review all questions in writing that part; out the need of a court order where, and only the examiner will ask during each testing (2) Administer no more than five polygraph insofar as, the information disclosed is an phase. Such questions may be presented at examinations in any one calendar day on admission of criminal conduct. any point in time prior to the testing phase. which a test or tests subject to the provi- (c) A polygraph examiner may disclose test sions of EPPA are administered, not count- charts, without identifying information (but Sec. 1.24 Rights of examinee—actual testing ing those instances where an examinee vol- phase not other examination materials and untarily terminates an examination prior to records), to another examiner(s) for exam- (a) The actual testing phase refers to that the actual testing phase; ination and analysis, provided that such dis- time during which the examiner administers (3) Administer no polygraph examination closure is for the sole purpose of consulta- the examination by using a polygraph in- subject to the provisions of the EPPA which tion and review of the initial examiner’s strument with respect to the examinee and is less than ninety minutes in duration, as opinion concerning the indications of truth- then analyzes the charts derived from the described in Sec. 1.24(b) of this part; and fulness or deception. Such action would not test. Throughout the actual testing phase, (4) Render any opinion or conclusion re- constitute disclosure under this part pro- the examiner shall not ask any question that garding truthfulness or deception in writing. vided that the other examiner has no direct was not presented in writing for review prior Such opinion or conclusion must be based or indirect interest in the matter. to the testing phase. An examiner may, how- solely on the polygraph test results. The Subpart E—Duration of Interim Regulations ever, recess the testing phase and return to written report shall not contain any infor- the pre-test phase to review additional rel- mation other than admissions, information, Sec. 1.40 Duration of Interim Regulations evant questions with the examinee. In the case facts, and interpretation of the charts These interim regulations for the House, case of an ongoing investigation, the exam- relevant to the stated purpose of the poly- the Senate and the employing offices of the iner shall ensure that all relevant questions graph test and shall not include any rec- instrumentalities are effective on January (as distinguished from technical baseline ommendation concerning the employment of 23, 1996 or on the dates upon which appro- questions) pertain to the investigation. the examinee. priate resolutions are passed, whichever is (b) No testing period subject to the provi- (5) Maintain all opinions, reports, charts, later. The interim regulations shall expire sions of the Act shall be less than ninety written questions, lists, and other records re- on April 15, 1996 or on the dates on which ap- minutes in length. Such ‘‘test period’’ begins lating to the test, including, statements propriate resolutions concerning the Board’s at the time that the examiner begins inform- signed by examinees advising them of rights final regulations are passed by the House of ing the examinee of the nature and charac- under the CAA (as described in section Representatives and the Senate, whichever is teristics of the examination and the instru- 1.23(a)(3) of this part) and any electronic re- earlier.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00099 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S270 CONGRESSIONAL RECORD — SENATE January 22, 1996 Appendix A to Part 801—Notice to Examinee far as, the information disclosed is an admis- of the CAA. 2 U.S.C. §§ 1315(c), 1384(a). Sec- Section 204 of the Congressional Account- sion of criminal conduct. tion 205(c) further states that such regula- ability Act, which applies the rights and pro- 5. If any of your rights or protections tions ‘‘shall be the same as substantive regu- tections of section 8(b) of the Employee under the law are violated, you have the lations promulgated by the Secretary of Polygraph Protection Act to covered em- right to take action against the employing Labor to implement the statutory provisions ployees and employing offices, and the regu- office by filing a request for counseling with referred to in subsection (a) except insofar as lations of the Board of Directors of the Office the Office of Compliance under section 402 of the Board may determine, for good cause of Compliance (Sections 1.22, 1.23, 1.24, and the Congressional Accountability Act. Em- shown and stated together with the regula- 1.25), require that you be given the following ploying offices that violate this law are lia- tion, that a modification of such regulations information before taking a polygraph exam- ble to the affected examinee, who may re- would be more effective for the implementa- ination: cover such legal or equitable relief as may be tion of the rights and protections under this 1. (a) The polygraph examination area appropriate, including, but not limited to, section.’’ 2 U.S.C. § 1315(c). [does] [does not] contain a two-way mirror, a employment, reinstatement, and promotion, To obtain input from interested persons on camera, or other device through which you payment of lost wages and benefits, and rea- the content of these regulations, the Board may be observed. sonable costs, including attorney’s fees. published for comment a Notice of Proposed (b) Another device, such as those used in 6. Your rights under the CAA may not be Rulemaking in the Congressional Record, 141 conversation or recording, [will] [will not] be waived, either voluntarily or involuntarily, Cong. Rec. S17652 (daily ed., Nov. 28, 1995), in- used during the examination. by contract or otherwise, except as part of a viting comments regarding the proposed reg- (c) Both you and the employing office have written settlement to a pending action or ulations. The Board received three com- the right, with the other’s knowledge, to complaint under the CAA, and agreed to and ments on the proposed regulations from in- record electronically the entire examination. signed by the parties. terested parties. Two of the comments, with- I acknowledge that I have received a copy 2. (a) You have the right to terminate the out elaboration, supported the regulations as of the above notice, and that it has been read test at any time. proposed. Only one commenter took issue to me. (b) You have the right, and will be given with sections of the proposed regulations and the opportunity, to review all questions to llllllllllllllllllll (Date) the Board’s resolution of certain issues be asked during the test. raised in the NPR. In addition, the Office has (c) You may not be asked questions in a llllllllllllllllllll (Signature) sought consultations with the Secretary of manner which degrades, or needlessly in- Labor regarding the proposed regulations, trudes. OFFICE OF COMPLIANCE—THE CONGRESSIONAL (d) You may not be asked any questions ACCOUNTABILITY ACT OF 1995: EXTENSION OF pursuant to section 304(g) of the CAA. concerning: Religious beliefs or opinions; be- RIGHTS AND PROTECTIONS UNDER THE WORK- After full consideration of the comments liefs regarding racial matters; political be- ER ADJUSTMENT AND RETRAINING NOTIFICA- received in response to the proposed rule, the liefs or affiliations; matters relating to sex- TION ACT OF 1988 Board has adopted and is submitting these ual preference or behavior; beliefs, affili- NOTICE OF ADOPTION OF REGULATION AND SUB- regulations for approval by the Congress. ations, opinions, or lawful activities regard- MISSION FOR APPROVAL AND ISSUANCE OF IN- Moreover, pursuant to sections 304 and 411, ing unions or labor organizations. TERIM REGULATIONS the Board is adopting and issuing such regu- (e) The test may not be conducted if there Summary: The Board of Directors, Office lations as interim regulations for the House, is sufficient written evidence by a physician of Compliance, after considering comments the Senate and the employing offices of the that you are suffering from a medical or psy- to its Notice of Proposed Rulemaking pub- instrumentalities effective on January 23, chological condition or undergoing treat- lished November 28, 1995 in the Congressional 1996 or on the dates upon which appropriate ment that might cause abnormal responses Record, has adopted, and is submitting for resolutions of approval are passed, whichever during the examination. approval by the Congress, final regulations is later. The interim regulations shall expire (f) You have the right to consult with legal implementing section 205 of the Congres- on April 15, 1996 or on the dates on which ap- counsel or other representative before each sional Accountability Act of 1995 (‘‘CAA’’). propriate resolutions concerning the Board’s phase of the test, although the legal counsel The Board is also adopting and issuing such final regulations are passed by the House and or other representative may be excluded regulations as interim regulations for the the Senate, respectively, whichever is ear- from the room where the test is adminis- House of Representatives, the Senate, and lier. tered during the actual testing phase. the employing offices of the instrumental- I. Summary of Comments and Board’s Final 3. (a) The test is not and cannot be re- ities effective on January 23, 1996 or on the Rules quired as a condition of employment. dates upon which appropriate resolutions of A. Employer coverage (b) The employing office may not dis- approval are passed, whichever is later. The charge, dismiss, discipline, deny employment interim regulations shall expire on April 15, One commenter suggested that, in pro- or promotion, or otherwise discriminate 1996 or on the dates on which appropriate posed section 639.3(a), the Board replace the against you based on the analysis of a poly- resolutions concerning the Board’s final reg- term ‘‘business enterprise’’ with ‘‘of the of- graph test, or based on your refusal to take ulations are passed by the House and the fices listed in section 101(9) of the CAA, 2 such a test without additional evidence Senate, respectively, whichever is earlier. U.S.C. § 1301(9).’’ Upon consideration of the which would support such action. For Further Information Contact: Execu- matter, the Board incorporates the com- (c)(1) In connection with an ongoing inves- tive Director, Office of Compliance, Room menter’s suggestion because the modifica- tigation, the additional evidence required for LA 200, Library of Congress, Washington, tion accurately and precisely states the cov- an employing office to take adverse action D.C. 20540–1999. Telephone: (202) 724–9250. erage of the provision. against you, including termination, may be Background and Summary B. Sale of business (A) evidence that you had access to the prop- erty that is the subject of the investigation, Supplementary Information: The Congres- A commenter suggested that the concept together with (B) the evidence supporting sional Accountability Act of 1995 (‘‘CAA’’), of a ‘‘sale of business’’ in proposed section the employing office’s reasonable suspicion P.L. 104–1, was enacted into law on January 639.4(c) of the regulations is inapplicable to that you were involved in the incident or ac- 23, 1995. 2 U.S.C. §§ 1301 et seq. In general, the this commenter’s specific operations. It sug- tivity under investigation. CAA applies the rights and protections of gests that the language of proposed section (2) Any statement made by you before or eleven federal labor and employment stat- 639.4(c) be changed from ‘‘sale of business’’ to during the test may serve as additional sup- utes to covered employees and employing of- ‘‘privatization.’’ porting evidence for an adverse employment fices within the legislative branch. Section The Board sees no substantive difference action, as described in 3(b) above, and any 205 of the CAA provides that no employing between the concept of ‘‘sale of business’’ admission of criminal conduct by you may office shall be closed or a mass layoff ordered and ‘‘privatization’’ for purposes of this sec- be transmitted to an appropriate govern- within the meaning of section 3 of the Work- tion. Therefore, the Board adds the nomen- ment law enforcement agency. er Adjustment Retraining and Notification clature suggested by the commenter to ac- 4. (a) Information acquired from a poly- Act of 1988, 29 U.S.C. § 2102 (‘‘WARN’’), until cord more naturally to situations within the graph test may be disclosed by the examiner the end of a 60-day period after the employ- legislative branch. However, by making this or by the employing office only: ing office serves written notice of such pro- change, the Board does not intend any sub- (1) To you or any other person specifically spective closing or layoff to representatives stantive difference between the meaning of designated in writing by you to receive such of covered employees or, if there are no rep- section 639.3(c) and the section of the Sec- information; resentatives, to covered employees. 2 U.S.C. retary’s regulations from which it is derived. (2) To the employing office that requested § 1315(a). Section 225(f) of the CAA provides C. Encouragement regarding notice the test; that, ‘‘[e]xcept where inconsistent with defi- (3) To a court, governmental agency, arbi- nitions and exemptions provided in this Act, A commenter suggested that proposed sec- trator, or mediator that obtains a court the definitions and exemptions in [WARN] tion 639.1(c), which encourages employing of- order. shall apply under this Act.’’ 2 U.S.C. § 1361(f). fices to give notice even where not required, (b) Information acquired from a polygraph Sections 205(c) and 304(a) of the CAA di- be deleted. The commenter suggested that test may be disclosed by the employing of- rects the Board of Directors of the Office of the deletion is justified because section 7 of fice to an appropriate governmental agency Compliance established under the CAA to WARN, which provides authority for this without a court order where, and only inso- issue regulations implementing section 205 regulation, is not incorporated into the CAA.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00100 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S271 On further consideration of the matter, the sion and uncertainty on the part of covered the Office of Compliance before January 23, Board will not include this section in its employees and employing offices would be 1996.’’ The Board believes these resolutions adopted regulation. The section does not im- contrary to the purposes and objectives of are sufficient to make these interim regula- plement any substantive requirement of the CAA, as well as to the interests of those tions effective for the House on January 23, WARN, as applied by the CAA, and thus its whom it protects and regulates. Moreover, 1996, though the House might want to pass inclusion in these regulations is not required since the House and the Senate will likely new resolutions of approval in response to by the CAA. act on the Board’s final regulations within a this pronouncement of the Board. D. Technical and nomenclature changes short period of time, covered employees and To the Board’s knowledge, the Senate has employing offices would have to devote con- not yet acted on H. Con. Res. 123, nor has it A commenter suggested a number of tech- siderable attention and resources to learn- passed a counterpart to H. Res. 311 that nical and nomenclature changes to the pro- ing, understanding, and complying with a would cover employing offices and employees posed regulations to make them more pre- whole set of default regulations that would of the Senate. As stated herein, it must do so cise in their application to the legislative then have no future application. These in- if these interim regulations are to apply to branch. The Board has incorporated many of terim regulations prevent such a waste of re- the Senate and the other employing offices the changes suggested by the commenter. sources. of the instrumentalities (and to prevent the However, by making these changes, the The Board’s authority to issue such in- default rules of the executive branch from Board does not intend a substantive dif- terim regulations derives from sections 411 applying as of January 23, 1996). ference in the meaning of these sections of and 304 of the CAA. Section 411 gives the III. Method of Approval the Board’s regulations and those of the Sec- Board authority to determine whether, in The Board received no comments on the retary from which the Board’s regulations the absence of the issuance of a final regula- are derived. method of approval for these regulations. tion by the Board, it is necessary and appro- Therefore, the Board continues to rec- E. Scope of regulations priate to apply the substantive regulations ommend that (1) the version of the regula- The regulations issued by the Board herein of the executive branch in implementing the tions that shall apply to the Senate and em- are on all matters for which section 205 of provisions of the CAA. Section 304(a) of the ployees of the Senate should be approved by the CAA requires a regulation to be issued. CAA in turn authorizes the Board to issue the Senate by resolution; (2) the version of Specifically, it is the Board’s considered substantive regulations to implement the the regulations that shall apply to the House judgment, based on the information avail- Act. Moreover, section 304(b) of the CAA in- of Representatives and employees of the able to it at the time of promulgation of structs that the Board shall adopt sub- House of Representatives should be approved these regulations, that, with the exception of stantive regulations ‘‘in accordance with the by the House of Representatives by resolu- regulations adopted and set forth herein, principles and procedures set forth in section tion; and (3) the version of the regulations there are no other ‘‘substantive regulations 553 of title 5, United States Code,’’ which that shall apply to other covered employees promulgated by the Secretary of Labor to have in turn traditionally been construed by and employing offices should be approved by implement the statutory provisions referred courts to allow an agency to issue ‘‘interim’’ the Congress by concurrent resolution. to in subsection (a) [of section 205 of the rules where the failure to have rules in place With respect to the interim version of CAA].’’ 2 U.S.C. § 1315(c). in a timely manner would frustrate the effec- these regulations, the Board recommends II. Adoption of Proposed Rules as Final Reg- tive operation of a federal statute. See, e.g., that the Senate approve them by resolution ulations under Section 304(b)(3) and as In- Philadelphia Citizens in Action v. Schweiker, insofar as they apply to the Senate and em- terim Regulations 669 F.2d 877 (3d Cir. 1982). As noted above, in ployees of the Senate. In addition, the Board the absence of the Board’s adoption and recommends that the Senate approve them Having considered the public comments to issuance of these interim rules, such a frus- by concurrent resolution insofar as they the proposed rules, the Board, pursuant to tration of the effective operation of the CAA apply to other covered employees and em- section 304(b)(3) and (4) of the CAA, is adopt- would occur here. ploying offices. It is noted that the House ing these final regulations and transmitting In so interpreting its authority, the Board has expressed its approval of the regulations them to the House and the Senate with rec- recognizes that in section 304 of the CAA, insofar as they apply to the House and its ommendations as to the method of approval Congress specified certain procedures that employees through its passage of H. Res. 311 by each body under section 304(c). However, the Board must follow in issuing substantive on December 19, 1995. The House also ex- the rapidly approaching effective date of the regulations. In section 304(b), Congress said pressed its approval of the regulations inso- CAA’s implementation necessitates that the that, except as specified in section 304(e), the far as they apply to other employing offices Board take further action with respect to Board must follow certain notice and com- through passage of H. Con. Res. 123 on the these regulations. For the reasons explained ment and other procedures. The interim reg- same date; this concurrent resolution is below, the Board is also today adopting and ulations in fact have been subject to such no- pending before the Senate. issuing these rules as interim regulations tice and comment and such other procedures Accordingly, the Board of Directors of the that will be effective as of January 23, 1996 or of section 304(b). Office of Compliance hereby adopts and sub- the time upon which appropriate resolutions In issuing these interim regulations, the mits for approval by the Congress and issues of approval of these interim regulations are Board also recognizes that section 304(c) on an interim basis the following regula- passed by the House and/or the Senate, specifies certain procedures that the House tions: whichever is later. These interim regulations and the Senate are to follow in approving the ADOPTED REGULATIONS—AS INTERIM will remain in effect until the earlier of Board’s regulations. The Board is of the view REGULATIONS AND AS FINAL REGULATIONS April 15, 1996 or the dates upon which the that the essence of section 304(c)’s require- Application of Rights and Protections of the House and Senate complete their respective ments are satisfied by making the effective- Worker Adjustment Retraining and Notifi- consideration of the final regulations that ness of these interim regulations conditional cation Act of 1988 (Implementing Section the Board is herein adopting. on the passage of appropriate resolutions of 204 of the CAA) The Board finds that it is necessary and approval by the House and/or the Senate. Sec. appropriate to adopt such interim regula- Moreover, section 304(c) appears to be de- 639.1 Purpose and scope. tions and that there is ‘‘good cause’’ for signed primarily for (and applicable to) final 639.2 What does WARN require? making them effective as of the later of Jan- regulations of the Board, which these in- 639.3 Definitions. uary 23, 1996, or the time upon which appro- terim regulations are not. In short, section 639.4 Who must give notice? priate resolutions of approval of them are 304(c)’s procedures should not be understood 639.5 When must notice be given? passed by the House and the Senate. In the to prevent the issuance of interim regula- 639.6 Who must receive notice? absence of the issuance of such interim regu- tions that are necessary for the effective im- 639.7 What must the notice contain? lations, covered employees, employing of- plementation of the CAA. fices, and the Office of Compliance staff Indeed, the promulgation of these interim 639.8 How is the notice served? itself would be forced to operate in regu- regulations clearly conforms to the spirit of 639.9 When may notice be given less than 60 latory uncertainty. While section 411 of the section 304(c) and, in fact promotes its prop- days in advance? CAA provides that, ‘‘if the Board has not er operation. As noted above, the interim 639.10 When may notice be extended? issued a regulation on a matter for which regulations shall become effective only upon 639.11 Duration of Interim Regulations this Act requires a regulation to be issued, the passage of appropriate resolutions of ap- § 639.1 Purpose and scope the hearing officer, Board, or court, as the proval, which is what section 304(c) con- (a) Purpose of WARN as applied by the CAA. case may be, shall apply, to the extent nec- templates. Moreover, these interim regula- Section 205 of the Congressional Account- essary and appropriate, the most relevant tions allow more considered deliberation by ability Act, P.L. 104–1 (‘‘CAA’’), provides pro- substantive executive agency regulation pro- the House and the Senate of the Board’s final tection to covered employees and their fami- mulgated to implement the statutory provi- regulations under section 304(c). lies by requiring employing offices to pro- sion at issue in the proceeding,’’ covered em- The House has in fact already signaled its vide notification 60 calendar days in advance ployees, employing offices and the Office of approval of such interim regulations both for of office closings and mass layoffs within the Compliance staff might not know what regu- itself and for the instrumentalities. On De- meaning of section 3 of the Worker Adjust- lation, if any, would be found applicable in cember 19, 1995, the House adopted H. Res. ment and Retraining Notification Act of particular circumstances absent the proce- 311 and H. Con. Res. 123, which approve ‘‘on 1988, 29 U.S.C. § 2102. Advance notice provides dures suggested here. The resulting confu- a provisional basis’’ regulations ‘‘issued by workers and their families some transition

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00101 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S272 CONGRESSIONAL RECORD — SENATE January 22, 1996 time to adjust to the prospective loss of em- vance notice, this provision is not intended (d) Representative. The term ‘‘representa- ployment, to seek and obtain alternative to discourage employing offices from volun- tive’’ means an exclusive representative of jobs and, if necessary, to enter skill training tarily providing longer periods of advance employees within the meaning of 5 U.S.C. or retraining that will allow these workers notice. Not all office closings and layoffs are §§ 7101 et seq., as applied to covered employees to successfully compete in the job market. subject to WARN, and certain employment and employing offices by section 220 of the As used in these regulations, WARN shall thresholds must be reached before WARN ap- CAA, 2 U.S.C. § 1351. refer to the provisions of WARN applied to plies. WARN sets out specific exemptions, (e) Affected employees. The term ‘‘affected covered employing offices by section 205 of and provides for a reduction in the notifica- employees’’ means employees who may rea- the CAA. tion period in particular circumstances. sonably be expected to experience an em- (b) Scope of these regulations. These regula- Remedies authorized under section 205 of the ployment loss as a consequence of a proposed tions are issued by the Board of Directors, CAA may be assessed against employing of- office closing or mass layoff by their employ- Office of Compliance, pursuant to sections fices that violate WARN requirements. ing office. This includes individually identi- 205(c) and 304 of the CAA, which directs the § 639.3 Definitions fiable employees who will likely lose their Board to promulgate regulations imple- (a) Employing office. (1) The term ‘‘employ- jobs because of bumping rights or other fac- menting section 205 that are ‘‘the same as ing office’’ means any of the entities listed tors, to the extent that such individual substantive regulations promulgated by the in section 101(9) of the CAA, 2 U.S.C. § 1301(9) workers reasonably can be identified at the Secretary of Labor to implement the statu- that employs— time notice is required to be given. The term tory provisions referred to in subsection (a) (i) 100 or more employees, excluding part- affected employees includes managerial and [of section 205 of the CAA] except insofar as time employees; or supervisory employees. Consultant or con- the Board may determine, for good cause (ii) employs 100 or more employees, includ- tract employees who have a separate em- shown . . . that a modification of such regu- ing part-time employees, who in the aggre- ployment relationship with another employ- lations would be more effective for the im- gate work at least 4,000 hours per week, ex- ing office or employer and are paid by that plementation of the rights and protections clusive of overtime. other employing office or employer, or who under this section.’’ The regulations issued Workers on temporary layoff or on leave who are self-employed, are not ‘‘affected employ- by the Board herein are on all matters for have a reasonable expectation of recall are ees’’ of the operations to which they are as- which section 205 of the CAA requires a regu- counted as employees. An employee has a signed. In addition, for purposes of deter- lation to be issued. Specifically, it is the ‘‘reasonable expectation of recall’’ when he/ mining whether coverage thresholds are met, Board’s considered judgment, based on the she understands, through notification or either incumbent workers in jobs being information available to it at the time of through common practice, that his/her em- eliminated or, if known 60 days in advance, promulgation of these regulations, that, ployment with the employing office has been the actual employees who suffer an employ- with the exception of regulations adopted temporarily interrupted and that he/she will ment loss may be counted. and set forth herein, there are no other ‘‘sub- be recalled to the same or to a similar job. (f) Employment loss. (1) The term employ- stantive regulations promulgated by the Sec- (2) Workers, other than part-time workers, ment loss means (i) an employment termi- retary of Labor to implement the statutory who are exempt from notice under section 4 nation, other than a discharge for cause, vol- provisions referred to in subsection (a) [of of WARN, are nonetheless counted as em- untary departure, or retirement, (ii) a layoff section 205 of the CAA].’’ ployees for purposes of determining coverage exceeding 6 months, or (iii) a reduction in In promulgating these regulations, the as an employing office. hours of work of individual employees of Board has made certain technical and no- (3) An employing office may have one or more than 50% during each month of any 6- menclature changes to the regulations as more sites of employment under common month period. promulgated by the Secretary. Such changes control. (b) Office closing. The term ‘‘office closing’’ (2) Where a termination or a layoff (see are intended to make the provisions adopted paragraphs (f)(1) (i) and (ii) of this section) is accord more naturally to situations in the means the permanent or temporary shut- down of a ‘‘single site of employment’’, or involved, an employment loss does not occur legislative branch. However, by making when an employee is reassigned or trans- these changes, the Board does not intend a one or more ‘‘facilities or operating units’’ within a single site of employment, if the ferred to employing office-sponsored pro- substantive difference between these sec- grams, such as retraining or job search ac- tions and those of the Secretary from which shutdown results in an ‘‘employment loss’’ during any 30-day period at the single site of tivities, as long as the reassignment does not they are derived. Moreover, such changes, in constitute a constructive discharge or other and of themselves, are not intended to con- employment for 50 or more employees, ex- cluding any part-time employees. An em- involuntary termination. stitute an interpretation of the regulation or (3) An employee is not considered to have of the statutory provisions of the CAA upon ployment action that results in the effective cessation of the work performed by a unit, experienced an employment loss if the clos- which they are based. ing or layoff is the result of the relocation or These regulations establish basic defini- even if a few employees remain, is a shut- down. A ‘‘temporary shutdown’’ triggers the consolidation of part or all of the employing tions and rules for giving notice, imple- office’s operations and, prior to the closing menting the provisions of WARN. The objec- notice requirement only if there are a suffi- cient number of terminations, layoffs ex- or layoff— tive of these regulations is to establish clear (i) The employing office offers to transfer principles and broad guidelines which can be ceeding 6 months, or reductions in hours of work as specified under the definition of the employee to a different site of employ- applied in specific circumstances. However, ment within a reasonable commuting dis- it is recognized that rulemaking cannot ad- ‘‘employment loss.’’ (c) Mass layoff. (1) The term ‘‘mass layoff’’ tance with no more than a 6-month break in dress the multitude of employing office-spe- means a reduction in force which first, is not employment, or cific situations in which advance notice will the result of an office closing, and second, re- (ii) The employing office offers to transfer be given. sults in an employment loss at the single the employee to any other site of employ- (c) Notice in ambiguous situations. It is site of employment during any 30-day period ment regardless of distance with no more civically desirable and it would appear to be for: than a 6-month break in employment, and good business practice for an employing of- (i) At least 33 percent of the active employ- the employee accepts within 30 days of the fice to provide advance notice, where reason- ees, excluding part-time employees, and offer or of the closing or layoff, whichever is ably possible, to its workers or unions when (ii) At least 50 employees, excluding part- later. terminating a significant number of employ- time employees. (4) A ‘‘relocation or consolidation’’ of part ees. The Office encourages employing offices Where 500 or more employees (excluding or all of an employing office’s operations, for to give notice in such circumstances. part-time employees) are affected, the 33% purposes of paragraph § 639.3(f)(3), means that (d) WARN not to supersede other laws and requirement does not apply, and notice is re- some definable operations are transferred to contracts. The provisions of WARN do not su- quired if the other criteria are met. Office a different site of employment and that persede any otherwise applicable laws or col- closings involve employment loss which re- transfer results in an office closing or mass lective bargaining agreements that provide sults from the shutdown of one or more dis- layoff. for additional notice or additional rights and tinct units within a single site or the entire (g) Part-time employee. The term ‘‘part- remedies. If such law or agreement provides site. A mass layoff involves employment time’’ employee means an employee who is for a longer notice period, WARN notice loss, regardless of whether one or more units employed for an average of fewer than 20 shall run concurrently with that additional are shut down at the site. hours per week or who has been employed for notice period. Collective bargaining agree- (2) Workers, other than part-time workers, fewer than 6 of the 12 months preceding the ments may be used to clarify or amplify the who are exempt from notice under section 4 date on which notice is required, including terms and conditions of WARN, but may not of WARN are nonetheless counted as employ- workers who work full-time. This term may reduce WARN rights. ees for purposes of determining coverage as include workers who would traditionally be § 639.2 What does WARN require? an office closing or mass layoff. For exam- understood as ‘‘seasonal’’ employees. The pe- WARN requires employing offices that are ple, if an employing office closes a tem- riod to be used for calculating whether a planning an office closing or a mass layoff to porary project on which 10 permanent and 40 worker has worked ‘‘an average of fewer give affected employees at least 60 days’ no- temporary workers are employed, a covered than 20 hours per week’’ is the shorter of the tice of such an employment action. While office closing has occurred although only 10 actual time the worker has been employed or the 60-day period is the minimum for ad- workers are entitled to notice. the most recent 90 days.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00102 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S273 (h) Single site of employment. (1) A single becomes reasonably foreseeable that the ex- or trough of an employment cycle or when site of employment can refer to either a sin- tension is required. A layoff extending be- large upward or downward shifts in the num- gle location or a group of contiguous loca- yond 6 months from the date the layoff com- ber of employees occur around the time no- tions. Separate facilities across the street menced for any other reason shall be treated tice is to be given. A more representative from one another may be considered a single as an employment loss from the date of its number may be an average number of em- site of employment. commencement. ployees over a recent period of time or the (2) There may be several single sites of em- (c) In the case of the privatization or sale number of employees on an alternative date ployment within a single building, such as of part or all of an employing office’s oper- which is more representative of normal em- an office building, if separate employing of- ations, the employing office is responsible ployment levels. Alternative methods cannot fices conduct activities within such a build- for providing notice of any office closing or be used to evade the purpose of WARN, and ing. For example, an office building housing mass layoff which takes place up to and in- should only be used in unusual cir- 50 different employing offices will contain 50 cluding the effective date (time) of the pri- cumstances. single sites of employment. The offices of vatization or sale, and the contractor or (b) Transfers. (1) Notice is not required in each employing office will be its single site buyer is responsible for providing any re- certain cases involving transfers, as de- of employment. quired notice of any office closing or mass scribed under the definition of ‘‘employment (3) Separate buildings or areas which are layoff that takes place thereafter. loss’’ at § 639.3(f) of this part. (2) An offer of reassignment to a different not directly connected or in immediate prox- (1) If the employing office is made aware of site of employment should not be deemed to imity may be considered a single site of em- any definite plans on the part of the buyer or be a ‘‘transfer’’ if the new job constitutes a contractor to carry out an office closing or ployment if they are in reasonable geo- constructive discharge. graphic proximity, used for the same pur- mass layoff within 60 days of purchase, the (3) The meaning of the term ‘‘reasonable pose, and share the same staff and equip- employing office may give notice to affected commuting distance’’ will vary with local ment. employees as an agent of the buyer or con- conditions. In determining what is a ‘‘rea- (4) Non-contiguous sites in the same geo- tractor, if so empowered. If the employing sonable commuting distance,’’ consideration graphic area which do not share the same office does not give notice, the buyer or con- should be given to the following factors: geo- staff or operational purpose should not be tractor is, nevertheless, responsible to give graphic accessibility of the place of work, considered a single site. notice. If the employing office gives notice the quality of the roads, customarily avail- (5) Contiguous buildings operated by the as the agent of the buyer or contractor, the able transportation, and the usual travel same employing office which have separate responsibility for notice still remains with time. management and have separate workforces the buyer or contractor. (4) In cases where the transfer is beyond are considered separate single sites of em- (2) It may be prudent for the buyer or con- reasonable commuting distance, the employ- ployment. tractor and employing office to determine ing office may become liable for failure to (6) For workers whose primary duties re- the impacts of the privatization or sale on give notice if an offer to transfer is not ac- quire travel from point to point, who are workers, and to arrange between them for cepted within 30 days of the offer or of the outstationed, or whose primary duties in- advance notice to be given to affected em- closing or layoff (whichever is later). De- volve work outside any of the employing of- ployees or their representative(s), if a mass pending upon when the offer of transfer was fice’s regular employment sites (e.g., rail- layoff or office closing is planned. made by the employing office, the normal 60- road workers, bus drivers, salespersons), the § 639.5 When must notice be given? day notice period may have expired and the single site of employment to which they are (a) General rule. (1) With certain exceptions office closing or mass layoff may have oc- assigned as their home base, from which discussed in paragraphs (b) and (c) of this curred. An employing office is, therefore, their work is assigned, or to which they re- well advised to provide 60-day advance notice section and in § 639.9 of this part, notice must port will be the single site in which they are as part of the transfer offer. be given at least 60 calendar days prior to covered for WARN purposes. (c) Temporary employment. (1) No notice is any planned office closing or mass layoff, as (7) Foreign sites of employment are not required if the closing is of a temporary fa- defined in these regulations. When all em- covered under WARN. U.S. workers at such cility, or if the closing or layoff is the result ployees are not terminated on the same date, sites are counted to determine whether an of the completion of a particular project or the date of the first individual termination employing office is covered as an employing undertaking, and the affected employees within the statutory 30-day or 90-day period office under § 639.3(a). were hired with the understanding that their triggers the 60-day notice requirement. A (8) The term ‘‘single site of employment’’ employment was limited to the duration of worker’s last day of employment is consid- may also apply to truly unusual organiza- the facility or the project or undertaking. ered the date of that worker’s layoff. The tional situations where the above criteria do (2) Employees must clearly understand at first and each subsequent group of terminees not reasonably apply. The application of this the time of hire that their employment is are entitled to a full 60 days’ notice. In order definition with the intent to evade the pur- temporary. When such understandings exist for an employing office to decide whether pose of WARN to provide notice is not ac- will be determined by reference to employ- issuing notice is required, the employing of- ceptable. ment contracts, collective bargaining agree- fice should— (i) Facility or operating unit. The term ‘‘fa- ments, or employment practices of other em- (i) Look ahead 30 days and behind 30 days cility’’ refers to a building or buildings. The ploying offices or a locality, but the burden to determine whether employment actions term ‘‘operating unit’’ refers to an organiza- of proof will lie with the employing office to both taken and planned will, in the aggre- tionally or operationally distinct product, show that the temporary nature of the gate for any 30-day period, reach the min- operation, or specific work function within project or facility was clearly communicated imum numbers for an office closing or a or across facilities at the single site. should questions arise regarding the tem- mass layoff and thus trigger the notice re- porary employment understandings. § 639.4 Who must give notice? quirement; and § 639.6 Who must receive notice? Section 205(a)(1) of the CAA states that (ii) Look ahead 90 days and behind 90 days Section 3(a) of WARN provides for notice ‘‘[n]o employing office shall be closed or a to determine whether employment actions to each representative of the affected em- mass layoff ordered within the meaning of both taken and planned each of which sepa- ployees as of the time notice is required to section 3 of [WARN] until the end of a 60-day rately is not of sufficient size to trigger be given or, if there is no such representative period after the employing office serves writ- WARN coverage will, in the aggregate for at that time, to each affected employee. ten notice of such prospective closing or lay- any 90-day period, reach the minimum num- (a) Representative(s) of affected employees. off. . .’’ Therefore, an employing office that bers for an office closing or a mass layoff and Written notice is to be served upon the chief is anticipating carrying out an office closing thus trigger the notice requirement. An em- elected officer of the exclusive representa- or mass layoff is required to give notice to ploying office is not, however, required under tive(s) or bargaining agent(s) of affected em- affected employees or their representa- section 3(d) to give notice if the employing ployees at the time of the notice. If this per- tive(s). (See definitions in § 639.3 of this office demonstrates that the separate em- son is not the same as the officer of the local part.). ployment losses are the result of separate union(s) representing affected employees, it (a) It is the responsibility of the employing and distinct actions and causes, and are not is recommended that a copy also be given to office to decide the most appropriate person an attempt to evade the requirements of the local union official(s). within the employing office’s organization to WARN. (b) Affected employees. Notice is required to prepare and deliver the notice to affected (2) The point in time at which the number be given to employees who may reasonably employees or their representative(s). In most of employees is to be measured for the pur- be expected to experience an employment instances, this may be the local site office pose of determining coverage is the date the loss. This includes employees who will likely manager, the local personnel director or a first notice is required to be given. If this lose their jobs because of bumping rights or labor relations officer. ‘‘snapshot’’ of the number of employees em- other factors, to the extent that such work- (b) An employing office that has previously ployed on that date is clearly unrepresenta- ers can be identified at the time notice is re- announced and carried out a short-term lay- tive of the ordinary or average employment quired to be given. If, at the time notice is off (6 months or less) which is being extended level, then a more representative number required to be given, the employing office beyond 6 months due to circumstances not can be used to determine coverage. Examples cannot identify the employee who may rea- reasonably foreseeable at the time of the ini- of unrepresentative employment levels in- sonably be expected to experience an em- tial layoff is required to give notice when it clude cases when the level is near the peak ployment loss due to the elimination of a

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00103 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S274 CONGRESSIONAL RECORD — SENATE January 22, 1996 particular position, the employing office formation on available dislocated worker as- ing or mass layoff is extended beyond the must provide notice to the incumbent in sistance, and, if the planned action is ex- date or the ending date of any 14-day period that position. While part-time employees are pected to be temporary, the estimated dura- announced in the original notice as follows: not counted in determining whether office tion, if known. (a) If the postponement is for less than 60 closing or mass layoff thresholds are § 639.8 How is the notice served? days, the additional notice should be given reached, such workers are due notice. Any reasonable method of delivery to the as soon as possible to the parties identified § 639.7 What must the notice contain? parties listed under § 639.6 of this part which in § 639.6 and should include reference to the (a) Notice must be specific. (1) All notice is designed to ensure receipt of notice of at earlier notice, the date (or 14-day period) to must be specific. least 60 days before separation is acceptable which the planned action is postponed, and (2) Where voluntary notice has been given (e.g., first class mail, personal delivery with the reasons for the postponement. The notice more than 60 days in advance, but does not optional signed receipt). In the case of notifi- should be given in a manner which will pro- contain all of the required elements set out cation directly to affected employees, inser- vide the information to all affected employ- in this section, the employing office must tion of notice into pay envelopes is another ees. ensure that all of the information required viable option. A ticketed notice, i.e., (b) If the postponement is for 60 days or by this section is provided in writing to the preprinted notice regularly included in each more, the additional notice should be treated parties listed in § 639.6 at least 60 days in ad- employee’s pay check or pay envelope, does as new notice subject to the provisions of vance of a covered employment action. not meet the requirements of WARN. §§ 639.5, 639.6 and 639.7 of this part. Rolling notice, in the sense of routine periodic no- (3) Notice may be given conditional upon § 639.9 When may notice be given less than 60 tice, given whether or not an office closing the occurrence or nonoccurrence of an event days in advance? only when the event is definite and the con- or mass layoff is impending, and with the in- Section 3(b) of WARN, as applied by sec- tent to evade the purpose of the Act rather sequences of its occurrence or nonoccurrence tion 205 of the CAA, sets forth two conditions will necessarily, in the normal course of op- than give specific notice as required by under which the notification period may be WARN, is not acceptable. erations, lead to a covered office closing or reduced to less than 60 days. The employing mass layoff less than 60 days after the event. office bears the burden of proof that condi- § 639.11 Duration of interim regulations The notice must contain each of the ele- tions for the exceptions have been met. If These interim regulations for the House, ments set out in this section. one of the exceptions is applicable, the em- the Senate and the employing offices of the (4) The information provided in the notice ploying office must give as much notice as is instrumentalities are effective on January shall be based on the best information avail- practicable to the union and non-represented 23, 1996 or on the dates upon which appro- able to the employing office at the time the employees and this may, in some cir- priate resolutions are passed, whichever is notice is served. It is not the intent of the cumstances, be notice after the fact. The em- later. The interim regulations shall expire regulations that errors in the information ploying office must, at the time notice actu- on April 15, 1996 or on the dates on which ap- provided in a notice that occur because ally is given, provide a brief statement of the propriate resolutions concerning the Board’s events subsequently change or that are reason for reducing the notice period, in ad- final regulations are passed by the House and minor, inadvertent errors are to be the basis dition to the other elements set out in § 639.7. the Senate, whichever is earlier. for finding a violation of WARN. (a) The ‘‘unforeseeable business cir- (b) As used in this section, the term ‘‘date’’ The PRESIDING OFFICER (Mr. cumstances’’ exception under section refers to a specific date or to a 14-day period THOMAS). Are there others who wish to 3(b)(2)(A) of WARN, as applied under the during which a separation or separations are speak? CAA, applies to office closings and mass lay- expected to occur. If separations are planned Mr. SIMPSON. Mr. President, I sug- offs caused by circumstances that were not according to a schedule, the schedule should reasonably foreseeable at the time that 60- gest the absence of a quorum. indicate the specific dates on which or the day notice would have been required. The PRESIDING OFFICER. The beginning date of each 14-day period during (1) An important indicator of a cir- clerk will call the roll. which any separations are expected to occur. cumstance that is not reasonably foreseeable The assistant legislative clerk pro- Where a 14-day period is used, notice must be is that the circumstance is caused by some given at least 60 days in advance of the first ceeded to call the roll. sudden, dramatic, and unexpected action or Mr. DOLE. Mr. President, I ask unan- day of the period. condition outside the employing office’s con- (c) Notice to each representative of af- imous consent that the order for the trol. fected employees is to contain: (2) The test for determining when cir- quorum call be rescinded. (1) The name and address of the employ- cumstances are not reasonably foreseeable The PRESIDING OFFICER. Without ment site where the office closing or mass focuses on an employing office’s business objection, it is so ordered. layoff will occur, and the name and tele- judgment. The employing office must exer- phone number of an employing office official f cise such reasonable business judgment as to contact for further information; would a similarly situated employing office (2) A statement as to whether the planned MESSAGES FROM THE PRESIDENT in predicting the demands of its operations. action is expected to be permanent or tem- Messages from the President of the The employing office is not required, how- porary and, if the entire office is to be ever, to accurately predict general economic United States were communicated to closed, a statement to that effect; conditions that also may affect its oper- the Senate by Mr. Thomas, one of his (3) The expected date of the first separa- secretaries. tion and the anticipated schedule for making ations. (b) The ‘‘natural disaster’’ exception in separations; EXECUTIVE MESSAGES REFERRED (4) The job titles of positions to be affected section 3(b)(2)(B) of WARN applies to office As in executive session the Presiding closings and mass layoffs due to any form of and the names of the workers currently hold- Officer laid before the Senate messages ing affected jobs. a natural disaster. (1) Floods, earthquakes, droughts, storms, from the President of the United The notice may include additional infor- States submitting sundry nominations mation useful to the employees such as in- tidal waves or tsunamis and similar effects formation on available dislocated worker as- of nature are natural disasters under this which were referred to the appropriate sistance, and, if the planned action is ex- provision. committees. (2) To qualify for this exception, an em- pected to be temporary, the estimated dura- (The nominations received today are ploying office must be able to demonstrate tion, if known. printed at the end of the Senate pro- that its office closing or mass layoff is a di- (d) Notice to each affected employee who rect result of a natural disaster. ceedings.) does not have a representative is to be writ- (3) While a disaster may preclude full or ten in language understandable to the em- f any advance notice, such notice as is prac- ployees and is to contain: ticable, containing as much of the informa- REPORT OF A BALANCED BUDGET (1) A statement as to whether the planned tion required in § 639.7 as is available in the PROPOSAL—MESSAGES FROM action is expected to be permanent or tem- circumstances of the disaster still must be porary and, if the entire office is to be THE PRESIDENT RECEIVED DUR- given, whether in advance or after the fact of closed, a statement to that effect; ING ADJOURNMENT OF THE SEN- (2) The expected date when the office clos- an employment loss caused by a natural dis- ATE—PM 109 ing or mass layoff will commence and the ex- aster. (4) Where an office closing or mass layoff Under the authority of the order of pected date when the individual employee occurs as an indirect result of a natural dis- will be separated; the Senate of January 4, 1995, the Sec- aster, the exception does not apply but the (3) An indication whether or not bumping retary of the Senate on January 6, 1996, ‘‘unforeseeable business circumstance’’ ex- rights exist; received a message from the President (4) The name and telephone number of an ception described in paragraph (a) of this of the United States, together with an section may be applicable. employing office official to contact for fur- accompanying report; which was re- ther information. § 639.10 When may notice be extended? ferred to the Committee on Finance: The notice may include additional infor- Additional notice is required when the date mation useful to the employees such as in- or schedule of dates of a planned office clos- To the Congress of the United States:

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00104 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S275 I hereby submit to the Congress a prohibited from engaging in trans- tigations begun in prior reporting peri- plan to achieve a balanced budget not actions with these entities unless the ods. Several other investigations from later than the fiscal year 2002 as cer- transactions are licensed by FAC. The prior reporting periods are continuing tified by the Congressional Budget Of- designations were made in consultation and new reports of violations are being fice of January 6, 1996. This plan has with the Department of State. pursued. been prepared by Senator Daschle and 3. During the current 6-month period, 5. The expenses incurred by the Fed- if passed in its current form by the FAC made numerous decisions with re- eral Government in the 6-month period Congress, I would sign it into law. spect to applications for licenses to en- from July 6, 1995, through January 5, WILLIAM J. CLINTON. gage in transactions under the Regula- 1996, that are directly attributable to THE WHITE HOUSE, January 6, 1996. tions, issuing 54 licensing determina- the exercise of powers and authorities tions—both approvals and denials. Con- conferred by the declaration of the Lib- f sistent with FAC’s ongoing scrutiny of yan national emergency are estimated REPORT CONCERNING THE NA- banking transactions, the largest cat- at approximately $990,000. Personnel TIONAL EMERGENCY WITH RE- egory of license approvals (20) con- costs were largely centered in the De- SPECT TO LIBYA—MESSAGE cerned requests by Libyan and non-Lib- partment of the Treasury (particularly FROM THE PRESIDENT—PM 110 yan persons or entities to unblock in the Office of Foreign Assets Control, the Office of the General Counsel, and The PRESIDING OFFICER laid be- transfers interdicted because of an ap- parent Government of Libya interest. the U.S. Customs Service), the Depart- fore the Senate the following message ment of State, and the Department of from the President of the United A license was also issued to a local tax- ing authority to foreclose on a prop- Commerce. States, together with an accompanying 6. The policies and actions of the report; which was referred to the Com- erty owned by the Government of Libya for failure to pay property tax Government of Libya continue to pose mittee on Banking, Housing, and an unusual and extraordinary threat to Urban Affairs: arrearages. 4. During the current 6-month period, the national security and foreign pol- To the Congress of the United States: FAC continued to emphasize to the icy of the United States. In adopting I hereby report to the Congress on international banking community in UNSCR 883 in November 1993, the Secu- the developments since my last report the United States the importance of rity Council determined that the con- tinued failure of the Government of of July 12, 1995, concerning the na- identifying and blocking payments Libya to demonstrate by concrete ac- tional emergency with respect to Libya made on or behalf of Libya. The Office tions its renunciation of terrorism, and that was declared in Executive Order worked closely with the banks to im- in particular its continued failure to No. 12543 of January 7, 1986. This report plement new interdiction software sys- respond fully and effectively to the re- is submitted pursuant to section 401(c) tems to identify such payments. As a of the National Emergencies Act, 50 quests and decisions of the Security result, during the reporting period, Council in Resolutions 731 and 548, con- U.S.C. 1641(c); section 204(c) of the more than 107 transactions potentially International Emergency Economic cerning the bombing of the Pan Am 103 involving Libya, totaling more than and UTA 772 flights, constituted a Powers Act (IEEPA), 50 U.S.C. 1703(c); $26.0 million, were interdicted. As of threat to international peace and secu- and section 505(c) of the International December 4, 23 of these transactions rity. The United States will continue Security and Development Cooperation had been authorized for release, leaving to coordinate its comprehensive sanc- Act of 1985, 22 U.S.C. 2349aa–9(c). a net amount of more than $24.6 mil- tions enforcement efforts with those of 1. On January 3, 1996, I renewed for lion blocked. other U.N. member states. We remain another year the national emergency Since my last report, FAC collected determined to ensure that the per- with respect to Libya pursuant to 27 civil monetary penalties totaling petrators of the terrorist acts against IEEPA. This renewal extended the cur- more than $119,500, for violations of the Pan Am 103 and UTA 772 are brought to rent comprehensive financial and trade U.S. sanctions against Libya. Fourteen justice. The families of the victims in embargo against Libya in effect since of the violations involved the failure of the murderous Lockerbie bombing and 1986. Under these sanctions, all trade banks or credit unions to block funds other acts of Libyan terrorism deserve with Libya is prohibited, and all assets transfers to Libyan-owned or -con- nothing less. I shall continue to exer- owned or controlled by the Libyan gov- trolled banks. Two other penalties cise the powers at my disposal to apply ernment in the United States or in the were received from corporations for ex- economic sanctions against Libya fully possession or control of U.S. persons port violations or violative payments and effectively, so long as those meas- are blocked. to Libya for unlicensed trademark ures are appropriate, and will continue 2. There has been one amendment to transactions. Eleven additional pen- to report periodically to the Congress the Libyan Sanctions Regulations, 31 alties were paid by U.S. citizens engag- on significant developments as re- C.F.R. Part 550 (the ‘‘Regulations’’), ing in Libyan oilfield-related trans- quired by law. administered by the Office of Foreign actions while another 40 cases involv- WILLIAM J. CLINTON. Assets Control (FAC) of the Depart- ing similar violations are in active THE WHITE HOUSE, January 22, 1996. ment of the Treasury, since my last re- penalty processing. f port on July 12, 1995. The amendment In November 1995, guilty verdicts MESSAGES FROM THE HOUSE (60 Fed. Reg. 37940–37941, July 25, 1995) were returned in two cases involving il- added three hotels in Malta to appen- legal exportation of U.S. goods to At 3:52 p.m., a message from the dix A, Organizations Determined to Be Libya. A jury in Denver, Colorado, House of Representatives, delivered by Within the Term ‘‘Government of found a Denver businessman guilty of Mr. Hays, one of its reading clerks, an- Libya’’ (Specially Designated Nation- violating the Regulations and IEEPA nounced that the House has agreed to als (SDNs) of Libya). A copy of the when he exported 50 trailers from the the following concurrent resolution: amendment is attached to this report. United States to Libya in 1991. A Hous- S. Con. Res. 39. Concurrent Resolution pro- Pursuant to section 550.304(a) of the ton, Texas, jury found three individ- viding for the ‘‘State of the Union’’ address by the President of the United States. Regulations, FAC has determined that uals and two companies guilty on these entities designated as SDNs are charges of conspiracy and violating the f owned or controlled by, or acting or Regulations and IEEPA for trans- EXECUTIVE AND OTHER purporting to act directly or indirectly actions relating to the 1992 shipment of COMMUNICATIONS on behalf of, the Government of Libya, oilfield equipment from the United The following communications were or are agencies, instrumentalities, or States to Libya. Also in November, a laid before the Senate, together with entities of that government. By virtue Portland, Oregon, lumber company en- accompanying papers, reports, and doc- of this determination, all property and tered a two-count felony information uments, which were referred as indi- interests in property of these entities plea agreement for two separate ship- cated: that are in the United States or in the ments of U.S.-origin lumber to Libya EC–1802. A communication from the Chair- possession or control of U.S. persons during 1993. These three actions were man of the Council of the District of Colum- are blocked. Further, U.S. persons are the result of lengthy criminal inves- bia, transmitting, pursuant to law, copies of

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00105 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S276 CONGRESSIONAL RECORD — SENATE January 22, 1996 D.C. Act 11–172 adopted by the Council on De- law, the semiannual report of the Office of pursuant to law, the report relative to local- cember 5, 1995; to the Committee on Govern- the Inspector General for the period April 1 ity-based comparability payments for Gen- mental Affairs. through September 30, 1995; to the Com- eral Schedule employees for calendar year EC–1803. A communication from the Chair- mittee on Governmental Affairs. 1996; to the Committee on Governmental Af- man of the Council of the District of Colum- EC–1818. A communication from the Sec- fairs. bia, transmitting, pursuant to law, copies of retary of Transportation, transmitting, pur- EC–1832. A communication from the Presi- D.C. Act 11–173 adopted by the Council on De- suant to law, the report on the internal con- dent of the National Endowment for Democ- cember 5, 1995; to the Committee on Govern- trols and financial systems in effect during racy, transmitting, pursuant to law, the re- mental Affairs. fiscal year 1995; to the Committee on Gov- port on the internal controls and financial EC–1804. A communication from the Chair- ernmental Affairs. systems in effect during fiscal year 1995; to man of the Council of the District of Colum- EC–1819. A communication from the Chair- the Committee on Governmental Affairs. bia, transmitting, pursuant to law, copies of man of the Defense Nuclear Facilities Safety EC–1833. A communication from the Com- D.C. Act 11–174 adopted by the Council on De- Board, transmitting, pursuant to law, the re- missioner of the Susquehanna River Basin cember 5, 1995; to the Committee on Govern- port on the internal controls and financial Commission, transmitting, a notice relative mental Affairs. systems in effect during fiscal year 1995; to to the absence of formal internal controls EC–1805. A communication from the Chair- the Committee on Governmental Affairs. and the Department of the Interior; to the man of the Council of the District of Colum- EC–1820. A communication from the Chair- Committee on Governmental Affairs. bia, transmitting, pursuant to law, copies of man of the Federal Trade Commission, EC–1834. A communication from the Com- D.C. Act 11–175 adopted by the Council on De- transmitting, pursuant to law, the report on missioner of the Delaware River Basin Com- cember 5, 1995; to the Committee on Govern- the internal controls and financial systems mission, transmitting, a notice relative to mental Affairs. in effect during fiscal year 1995; to the Com- the absence of formal internal controls and EC–1806. A communication from the Chair- mittee on Governmental Affairs. the Department of the Interior; to the Com- man of the Council of the District of Colum- EC–1821. A communication from the Acting mittee on Governmental Affairs. bia, transmitting, pursuant to law, copies of Archivist of the United States, transmitting, D.C. Act 11–176 adopted by the Council on De- pursuant to law, the report on the internal f cember 5, 1995; to the Committee on Govern- controls and financial systems in effect dur- REPORTS OF COMMITTEE mental Affairs. ing fiscal year 1995; to the Committee on EC–1807. A communication from the Chair- Governmental Affairs. The following report of committee man of the Council of the District of Colum- EC–1822. A communication from the Chair- was submitted: bia, transmitting, pursuant to law, copies of man of the National Credit Union Adminis- By Mr. D’AMATO, from the Special Com- D.C. Act 11–177 adopted by the Council on De- tration, transmitting, pursuant to law, the mittee To Investigate Whitewater Develop- cember 5, 1995; to the Committee on Govern- report on the internal controls and financial ment Corporation and Related Matters: mental Affairs. systems in effect during fiscal year 1995; to Special Report entitled ‘‘Progress of the EC–1808. A communication from the Chair- the Committee on Governmental Affairs. Investigation Into Whitewater Development man of the Council of the District of Colum- EC–1823. A communication from the Chair- Corporation and Related Matters and Rec- bia, transmitting, pursuant to law, copies of man of the Nuclear Regulatory Commission, ommendation for Future Finding’’ (Rept. No. D.C. Act 11–178 adopted by the Council on De- transmitting, pursuant to law, the report on 104–204). cember 5, 1995; to the Committee on Govern- the internal controls and financial systems mental Affairs. in effect during fiscal year 1995; to the Com- f EC–1809. A communication from the Chair- mittee on Governmental Affairs. man of the Council of the District of Colum- EC–1824. A communication from the Chair- INTRODUCTION OF BILLS AND bia, transmitting, pursuant to law, copies of man of the Nuclear Waste Technical Review JOINT RESOLUTIONS D.C. Act 11–179 adopted by the Council on De- Board, transmitting, pursuant to law, the re- The following bills and joint resolu- cember 5, 1995; to the Committee on Govern- port on the internal controls and financial tions were introduced, read the first mental Affairs. systems in effect during fiscal year 1995; to and second time by unanimous con- EC–1810. A communication from the Under the Committee on Governmental Affairs. Secretary of Defense (Acquisition and Tech- EC–1825. A communication from the Chair- sent, and referred as indicated: nology), transmitting, pursuant to law, a re- man of the Occupational Safety and Health By Mr. DOLE (for himself, Mr. GREGG, port relative to foreign entities and the sec- Review Commission, transmitting, pursuant Mr. HELMS, Mr. SHELBY, and Mr. ondary Arab boycott of Israel; to the Com- to law, the report on the internal controls COVERDELL): mittee on Armed Services. and financial systems in effect during fiscal S. 1519. A bill to prohibit United States EC–1811. A communication from the Archi- year 1995; to the Committee on Govern- voluntary and assessed contributions to the tect of the Capitol, transmitting, pursuant mental Affairs. United Nations if the United Nations im- to law, the report of expenditures for the pe- EC–1826. A communication from the Direc- poses any tax or fee on United States persons riod April 1, 1995 through September 30, 1995; tor of the Office of Personnel Management, or continues to develop or promote proposals to the Committee on Appropriations. transmitting, pursuant to law, the report on for such taxes or fees; to the Committee on EC–1812. A communication from the Under the internal controls and financial systems Foreign Relations. Secretary of Defense, transmitting, pursuant in effect during fiscal year 1995; to the Com- f to law, the report of a violation of the mittee on Governmental Affairs. Antideficiency Act, case number 94–18; to the EC–1827. A communication from the Chair- SUBMISSION OF CONCURRENT AND Committee on Appropriations. man, Labor and Management members of the SENATE RESOLUTIONS EC–1813. A communication from the Direc- Railroad Retirement Board, transmitting, tor of the Office of Management and Budget, pursuant to law, the report on the internal The following concurrent resolutions the Executive Office of the President, trans- controls and financial systems in effect dur- and Senate resolutions were read, and mitting, pursuant to law, the report on ap- ing fiscal year 1995; to the Committee on referred (or acted upon), as indicated: propriations legislation within five days of Governmental Affairs. By Mr. DOLE: enactment; to the Committee on the Budget. EC–1828. A communication from the Chair- S. Res. 209. A resolution to provide for the EC–1814. A communication from the Direc- man of the Securities and Exchange Com- approval of interim regulations applicable to tor of the Office of Management and Budget, mission, transmitting, pursuant to law, the the Senate and the employees of the Senate the Executive Office of the President, trans- report on the internal controls and financial and adopted by the Board of the Office of mitting, pursuant to law, the report on ap- systems in effect during fiscal year 1995; to Compliance before January 23, 1996, and for propriations legislation within five days of the Committee on Governmental Affairs. other purposes; considered and agreed to. EC–1829. A communication from the Direc- enactment; to the Committee on the Budget. S. Con. Res. 39. A concurrent resolution EC–1815. A communication from the Clerk tor of the Woodrow Wilson Center, transmit- providing for the ‘‘State of the Union’’ ad- of the United States Court of Federal ting, pursuant to law, the report on the in- dress by the President of the United States; Claims, transmitting, pursuant to law, the ternal controls and financial systems in ef- considered and agreed to. report of the Court for fiscal year 1995; to the fect during fiscal year 1995; to the Com- Committee on the Judiciary. mittee on Governmental Affairs. f EC–1816. A communication from the Sec- EC–1830. A communication from the Direc- retary of the Smithsonian Institution, trans- tor of the Office of Federal Housing Enter- STATEMENTS ON INTRODUCED mitting, pursuant to law, the annual pro- prise Oversight, transmitting, pursuant to BILLS AND JOINT RESOLUTIONS ceedings of the One Hundred and Fourth law, the report on the internal controls and By Mr. DOLE (for himself, Mr. Continental Congress of the National Soci- financial systems in effect during fiscal year GREGG, Mr. HELMS, Mr. SHELBY, ety of the Daughters of the American Revo- 1995; to the Committee on Governmental Af- lution; to the Committee on Rules and Ad- fairs. and Mr. COVERDELL): ministration. EC–1831. A communication from the Direc- S. 1519. A bill to prohibit United EC–1817. A communication from the Sec- tor of the Office of Personnel Management States voluntary and assessed con- retary of Defense, transmitting, pursuant to (The President’s Pay Agent), transmitting, tributions to the United Nations if the

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00106 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S277 United Nations imposes any tax or fee both of which have voting representa- Committee Chairman ROTH as well. I on United States persons or continues tives in the U.S. Congress. commend Senator GREGG and Senator to develop or promote proposals for The World Health Organization HELMS for their leadership on this issue such taxes or fees; to the Committee on [WHO] spends 75 percent of its $1 bil- as well as our other original cosponsor, Foreign Relations. lion budget on staff, and much of the Senator SHELBY. THE PROHIBITION ON U.N. TAXATION ACT rest on conferences, travel and print- The Clinton administration has Mr. DOLE. Mr. President, imagine a ing. Senior staff positions have in- begun to discuss the possibility of U.N. percentage of every international air- creased more than 60 percent since the reform. Many of my colleagues have line ticket, every letter mailed over- current director-general took office in been involved in the effort to bring se- seas, every international trade trans- 1988. When a U.N.-commissioned 50th rious change to the United Nations. action, and every exchange of foreign anniversary history discussed corrup- But as long as the United Nations currency being collected for the use of tion in the process of naming the cur- spends its time on global taxation and unelected unaccountable international rent WHO chief, U.N. censors deleted not on its severe shortcomings, real re- bureaucrats. Billions of dollars avail- the references. form will be impossible. And as long as able outside the control of any govern- In April, 1994, the U.N. office in So- Boutros Boutros-Ghali has visions of ment. Is this the paranoid fantasy in a malia lost $3.9 million kept in a cabi- becoming the tax collector for the U.N. science fiction thriller? No, it is the net with a poor lock. Despite repeated state, real reform will be impossible. real world plans of United Nations bu- warnings, U.N. officials took no action The out-of-control pursuit of power by reaucrats, led by the current U.N. Sec- to secure the funds. A month later, a the United Nations has made the Pro- retary General Boutros Boutros-Ghali U.N. military officer in Somalia lost hibition on United Nations Taxation to develop a network of global taxation $61,000 and another $76,000 was de- Act of 1996 necessary. I am confident it to fund the United Nations outside the stroyed in a flood in the drought- will be enacted this year. scrutiny of the United States or any plagued country. I ask that the editorial from today’s other country. The International Labor Organiza- Washington Times and the letter to For years, United Nations bureau- tion [ILO] will spend $30 million in GAO sent by Senator HELMS, Senator crats and their allies in special interest 1994–95 on conference organization and GREGG, and myself be printed in the groups and academia have dreamed printing for special events. RECORD. about funding the United Nations Mr. President, these are but a hand- Mr. President, I ask unanimous con- through global taxes and other rev- ful of examples of waste, fraud and sent that the text of the bill be printed enue-raising schemes. Taxes on air abuse at the United Nations. They in the RECORD. travel, military expenditures, postage, waste real money every day. Seriously I say to my colleagues that we cer- energy sources, currency transactions addressing the rampant corruption and tainly welcome additional cosponsors. could raise as much as $300 billion a inefficiency throughout the United Na- There being no objection, the mate- year—subject only to the whims of the tions system is the way to resolve U.N. rial was ordered to be printed in the bloated U.N. bureaucrats. Tax col- funding problems—not taxing Amer- RECORD, as follows: lecting would allow the United Nations ican citizens. S. 1519 to do as it pleases, not as its member As today’s Washington Times edi- Be it enacted by the Senate and House of Rep- states wanted. As Boutros Boutros- torial and article make clear, the U.N. resentatives of the United States of America in Ghali said earlier this month, such rev- tax idea is not an idle pursuit of some Congress assembled, enue power would mean ‘‘I will not be dreamers—it is a concept that U.N. em- SECTION 1. SHORT TITLE. under the daily financial control of the ployees spend time developing, pro- This Act may be cited as the ‘‘Prohibition on United Nations Taxation Act of 1996’’. member states.’’ moting and publicizing. It is time for While there has been tepid opposition Congress to act. It is time to say no SEC. 2. FINDINGS. taxation without representation in the The Congress finds that— to the taxation plans of Boutros (1) in 1948, the average United States fam- Boutros-Ghali from the Clinton admin- United Nations and it is time to shut ily with children paid only three percent of istration, it is far from certain even down U.N. organizations which spend its income in Federal taxes; strong U.S. opposition could halt these their time—and American taxpayers (2) in 1996, the average United States fam- U.N. schemes—the United States has dollars—scheming to get into Amer- ily with children paid more than 24 percent only 1 of 185 votes in the U.N. General ican wallets for even more money. of its income in Federal taxes; Assembly. It is not certain that any Today, with Senators GREGG, HELMS, (3) United Nations officials have made nu- merous and repeated proposals to provide fi- revenue raising initiative would be sub- and SHELBY, I am introducing S. 1519, ‘‘The Prohibition of United Nations nancing for the United Nations outside the ject to the U.S. veto in the U.N. Secu- scrutiny of Member States of the United Na- rity Council. Taxation Act of 1996.’’ The bill does tions, including borrowing from inter- It is true the United Nations is facing three things. First, it lays out congres- national financial institutions, assuming a serious shortfall of funds. And it is sional findings on U.N. taxation and control of bonds issued by Member States, true the United States owes a large concludes the United Nations has no and imposing taxes on an extensive range of part of this debt—in excess of $1 bil- legal authority to tax American citi- transactions, goods, and services; lion. The Republican Congress has been zens. Second, it prohibits U.S. pay- (4) the 1994 ‘‘Human Development Report’’ ments to the United Nations if it at- of the United Nations Development Program unwilling to provide funds to clear up stated that ‘‘[i]t is appropriate that the pro- this debt because of the absence of tempts to impose any of the taxation ceeds of an international tax be devoted to often promised and never delivered re- schemes. Third, the bill cuts off funds international purposes and be placed at the form. While Boutros Boutros-Ghali and for any United Nations organization disposal of international institutions.’’; his supporters consistently point to the which develop or advocates taxation (5) on January 14, 1996, United Nations multibillion shortfall, they ignore, schemes. Companion legislation will be General Secretary Boutros Boutros-Ghali cover up, and excuse outrageous abuses introduced in the House of Representa- stated that an international tax would mean occurring regularly throughout the tives today by Congressman GERALD that ‘‘[he would] not be under the daily fi- nancial will of the Member States.’’; SOLOMON and others. Congressman SOL- U.N. system. (6) American taxpayers have paid approxi- Let me give you a few examples. OMON has a long record of involvement mately $30,000,000,000 to the United Nations In 1994 and 1995, more than one-half in United Nations reform issues, and I since 1945; million dollars was spent on the special thank him for his leadership on this (7) the United Nations and its organiza- committee on the situation with re- issue. tions are replete with mismanagement, gard to the implementation on the I know both Chairman HELMS at the waste, corruption, and inefficiency which granting of independence to colonial Foreign Relations Committee and cost American taxpayers millions of dollars countries and territories. Long after Chairman GREGG at the Appropriations each year; (8) the power to tax is an attribute of sov- decolonization was over, the United Committee plan to hold Senate hear- ereignty; Nations was searching for ways to lib- ings on the taxation plans of the (9) the United Nations does not have the erate such territories as American United Nations. I expect to discuss the attributes of sovereignty and is not a sov- Samoa and the U.S. Virgin Islands— possibility of hearings with Finance ereign power; and

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00107 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S278 CONGRESSIONAL RECORD — SENATE January 22, 1996 (10) the United Nations has no legal au- How much revenue is raised by United Na- United States which currently owes $1.2 bil- thority to impose taxes on United States tions organizations through private con- lion in back dues. Mr. Boutros-Ghali also citizens. tributions or through commercial sales of suggested a levy on currency transactions SEC. 3. PROHIBITION OF IMPOSITION OF GLOBAL goods and services? and has previously proposed borrowing TAXATION OR MULTILATERAL BANK Which United Nations organizations cur- money from the World Bank to cover the or- BORROWING. rently have commercial or other borrowing ganization’s shortfall. All of which under- The United States may not pay any vol- authority? To what extent has borrowing oc- standably has set alarm bells ringing here in untary or assessed contribution to the curred and under what legal authority? Washington. United Nations or any of its specialized or What is the status of United Nations ef- In a letter to the editor printed nearby, affiliated agencies if the United Nations— forts to secure borrowing authority from the U.N. spokesman Joe Sills, writes that no (1) attempts to implement or impose any World Bank or other international financial commuter tax is currently under consider- taxation or fee on any United States persons; institutions? Is there legal authority for ation by the United Nations and that Mr. or such borrowing? Boutros-Ghali only spoke as someone head- (2) borrows funds from the International What is the status of the Secretary Gen- ing a large organization with difficulties Bank for Reconstruction and Development eral’s proposal concerning the issuance of making ends meet. Further, Mr. Sills writes, (commonly referred to as the ‘‘World bond or obligations made at the time of the the United Nations cannot raise or spend Bank’’), the International Monetary Fund, 1995 G–7 meeting in Halifax, Nova Scotia? money without the approval of its member or any other similar or regional inter- What tax or fee proposals have been made nations, which means that the United States national financial institution. by United Nations officials? By what offi- has the power to veto a U.N. commuter tax any day. Accordingly, there is no reason to cials and under what authority have these SEC. 4. PROHIBITION ON CONTINUED DEVELOP- get unduly exercised about Mr. Boutros- MENT AND PROMOTION OF GLOBAL proposals been made? What action has been TAXATION PROPOSALS. Ghali’s statements. taken on these proposals (including the so- But even if no such formal proposal has The United States may not pay any vol- called ‘‘Tobin tax’’ on currency transactions been brought to the floor of the General As- untary or assessed contribution to the endorsed by the United Nations Development sembly, Mr. Boutros-Ghali himself is obvi- United Nations or any of its specialized or Program)? ously considering it. Nor is Mr. Boutros- affiliated agencies (including the United Na- How much have United Nations organiza- Ghali just any old U.N. official. As secretary- tions Development Program) unless the tions spent developing, publishing and advo- general, he has a great deal to do with set- President certifies in writing to the Congress cating revenue-raising proposals? ting the organization’s agenda. Just look at 15 days in advance of such payment that the What impact would each of these revenue- the area of peacekeeping; it has grown mani- United Nations or such agency, as the case raising proposals have on U.S. obligations fold under his leadership, for better and may be, is not engaged in any effort to de- under any bilateral or multilateral agree- sometimes for worse. In the absence of firm velop, advocate, promote, or publicize any ments to which the U.S. is a party, including international leadership from the United proposal concerning taxation or fees on any trade agreements? States, Mr. Boutros-Ghali’s views have in United States persons in order to raise rev- What role have American citizens em- fact carried unusual weight. enue for the United Nations or any such ployed by the United Nations played in advo- The problem with a U.N. commuter tax— agency. cating taxation and other revenue-raising indeed reason why it so appeals to the sec- SEC. 5. STATUTORY CONSTRUCTION. proposals? Are there any circumstances retary-general—is precisely that it would Payments prohibited under this Act in- under which United Nations revenue-raising give the U.N. bureaucracy a measure of inde- clude disbursements to the United Nations proposals could be binding on United States pendence from its member governments. pursuant to any undertaking made by the citizens without an Act of Congress? Why such a scheme should never come to United States before the prohibition be- What is the process for approval of rev- fruition is clear. Most importantly, only sov- comes effective. enue-raising proposals by United Nations or- ereign governments can levy taxes and the ganizations, including the role of the Secu- United Nations is not a government, no mat- SEC. 6. DEFINITIONS. rity Council and General Assembly? Are ter the aspirations of its leaders and min- As used in this Act: there any circumstances under which United ions. Secondarily, an independent source of (1) The term ‘‘person’’ has the meaning Nations taxation proposals could be adopted revenue would alleviate the pressure on the given such term in section 7701(a)(1) of the over United States opposition? organization to reform itself, which is cur- Internal Revenue Code of 1986 (26 U.S.C. What is the status under United States do- rently being applied by the United States. In 7701(a)(1)). mestic law and relevant international law of principle, member states may have the last (2) The term ‘‘taxation or fees on United each of the United Nations revenue-raising word on how the money is spent, but so do States persons’’ includes any tax or fee as- proposals? they now, and the organization is still rid- sessed on United States persons on a per cap- What is United States government policy dled with corruption and waste as recorded ita basis or on a transaction or user basis, in- on each of the revenue-raising proposals, and meticulously by its new inspector general. cluding but not limited to any tax or fee on how effectively has it been carried out? Knowing all of this, Senate Majority leader international air travel, foreign exchange The issue of United Nations plans to raise Bob Dole, Senate Foreign Relations Com- transactions, the mails, or extraction or use revenue outside the scrutiny of Member mittee Chairman Jesse Helms and Judd of natural resources. states will be the focus of serious attention Gregg, chairman of the Senate appropria- by Congress in the coming weeks. We appre- tions subcommittee responsible for U.N. pay- U.S. SENATE, ciate your expeditious response to our re- ments, have announced their intention to in- OFFICE OF THE REPUBLICAN LEADER, quest. troduce legislation to prevent the Clinton Washington DC, January 17, 1996. Sincerely, administration from pursuing Mr. Boutros- Hon. CHARLES BOWSHER, Ghali’s train of thought any further. All BOB DOLE. U.S. Comptroller General, General Accounting three have written to Charles Bowsher, U.N. JESSIE HELMS. Office, 441 ‘‘G’’ Street Northwest, Wash- comptroller general, to determine the status JUDD GREGG. ington, DC. of proposals out there, such as U.N. commer- DEAR MR. BOWSHER: In recent months, cial and non-commercial borrowing, imposi- [From the Washington Times, Jan. 22, 1996] there has been increasing attention to var- tion of various fees, issuance of bonds, and ious proposals which would allow the United HOW NOT TO FUND THE U.N. commuter and international transaction Nations and its affiliated organizations to What do D.C. Control Board Chairman An- taxes. And Mr. Helms’ committee is planning independently raise revenue by taxing Amer- drew Brimmer and U.N. Secretary-General to hold hearings on the matter. ican citizens. United Nations revenue-raising Boutros Boutros-Ghali have in common? All of which seem like perfectly reasonable proposals under discussion include commer- Well, beyond trying to reform overgrown and precautions. Mr. Sills reassures us that the cial and non-commercial borrowing, imposi- ineffective bureaucracies, they both appar- United Nation’s is only an instrument of the tion of fees, issuance of bonds, and taxation ently have commuter taxes on their minds. will of its member nations. That’s fine, It of airline, postal, currency energy or other The same week Mr. Brimmer hauled out that should stay that way, which means that the transactions. deader than dead political rabbit out of his governments of its member nations must We are deeply concerned about the legal, chairman’s hat, Mr. Boutros-Ghali was mull- continue to hold the purse strings. financial and policy implications of inde- ing over the same subject in an interview Mr. HELMS. Mr. President, I can as- pendent revenue-raising authority available with the British Broadcasting Corp. It must sure the distinguished majority leader to the United Nations or its affiliated orga- be something in the air. that consideration of this will be rapid, nizations. Accordingly, we would appreciate As reported by The Washington Times’ and I think I can predict the outcome your answering the following questions con- Cathy Toups, Mr. Boutros-Ghali suggested of the Foreign Relations Committee’s cerning various United Nations proposals: that a $1.50 surcharge on international air- What funding sources are available to line tickets might help the United Nations action on it. United Nations organizations apart from solve its fiscal troubles. ‘‘We would not be It is an interesting thing about Mr. contributions from Member states? What au- under the daily financial will of member Boutros Boutros-Ghali. Dot Helms and thority does the United Nations have for states who are unwilling to pay up,’’ Mr. I had dinner with the Secretary Gen- each of these sources? Boutros-Ghali said, thinking no doubt of the eral, and his wife some weeks back, and

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00108 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S279 he discussed with me a number of prob- ings by the Senate Foreign Relations ards for coverage under the Act, and lems he was having with the United Committee for the purpose of inves- for other purposes. Nations, including financial problems. tigating this matter, and to make clear S. 1392 But he certainly did not mention any- that the United States must oppose At the request of Mr. BAUCUS, the thing about giving the U.N. authority any and all efforts to give the United name of the Senator from Washington to impose taxes upon the American Nations such unprecedented powers. [Mrs. MURRAY] was added as a cospon- people. I think that maybe the Sec- And, Mr. President, if the Secretary sor of S. 1392, a bill to impose tempo- retary General has overspoken himself General somehow succeeds securing ei- rarily a 25 percent duty on imports of in asserting his belief that the United ther the powers of direct taxation, or a certain Canadian wood and lumber Nations should be allowed to collect standing military, then the United products, to require the administering taxes directly from American citizens. States must withdraw immediately authority to initiate an investigation I was astonished, Mr. President, from the United Nations. under title VII of the Tariff Act of 1930 when in an interview with the BBC, I yield the floor. with respect to such products, and for U.N. Secretary General Boutros f Boutros-Ghali made the absurd sugges- other purposes. tion that the United Nations should be ADDITIONAL COSPONSORS f allowed to collect taxes directly from S. 607 SENATE CONCURRENT RESOLU- American citizens—and citizens of At the request of Mr. WARNER, the TION 39—PROVIDING FOR THE other sovereign nations—to finance the names of the Senator from California STATE OF THE UNION ADDRESS operation of the United Nations. His [Mrs. BOXER] and the Senator from BY THE PRESIDENT OF THE stated reason for creating such a U.N. Utah [Mr. BENNETT] were added as co- UNITED STATES tax, Mr. Boutros-Ghali said, would be sponsors of S. 607, a bill to amend the Mr. DOLE submitted the following so that the U.N. ‘‘would not be under Comprehensive Environmental Re- the daily financial will of member concurrent resolution; which was con- sponse, Compensation, and Liability sidered and agreed to: states.’’ Act of 1980 to clarify the liability of In the first place, the gentleman ob- certain recycling transactions, and for S. CON. RES. 39 viously has scant knowledge of the other purposes. Resolved by the Senate (the House of Rep- Constitution of the United States. I resentatives concurring), That the two Houses S. 837 have heard a lot of disturbing sugges- of Congress assemble in the Hall of the tions coming out of the United Nations At the request of Mr. WARNER, the House of Representatives on Tuesday, Janu- over the years, but this one—with all names of the Senator from Hawaii [Mr. ary 23, 1996, at 9 p.m., for the purpose of re- respect to the Secretary General—is INOUYE], the Senator from Vermont ceiving such communication as the Presi- [Mr. LEAHY], and the Senator from dent of the United States shall be pleased to among the most unacceptable yet. The make to them. United Nations will never be able to Pennsylvania [Mr. SPECTER] were tax the American citizens, certainly added as cosponsors of S. 837, a bill to f require the Secreatry of the Treasury not as long as Senator DOLE is in the SENATE RESOLUTION 209—TO PRO- to mint coins in commemoration of the Senate or elsewhere in the Govern- VIDE FOR THE APPROVAL OF IN- 250th anniversary of the birth of James ment, nor as long as I am here. And I TERIM REGULATIONS am happy to join Senator DOLE in of- Madison. Mr. DOLE submitted the following fering this legislation today, S. 1519, S. 881 resolution; which was considered and bearing the title of the Prohibition of At the request of Mr. PRYOR, the agreed to: United Nations Taxation Act, requiring name of the Senator from Iowa [Mr. the United States to cut off all funding HARKIN] was added as a cosponsor of S. S. RES. 209 to the United Nations if the United Na- 881, a bill to amend the Internal Rev- Resolved, tions does intend or attempt to impose enue Code of 1986 to clarify provisions SECTION 1. APPROVAL OF INTERIM REGULA- such a scheme. relating to church pension benefit TIONS. Despite what the U.N. Secretary Gen- plans, to modify certain provisions re- (a) IN GENERAL.—The interim regulations eral and the international bureaucrats lating to participants in such plans, to applicable to the Senate and the employees of the Senate that were adopted by the may want to believe, the United Na- reduce the complexity of and to bring Board of the Office of Compliance before tions is not a sovereign entity. It is not workable consistency to the applicable January 23, 1996, are hereby approved until a world government, and the Secretary rules, to promote retirement savings such time as final regulations applicable to General is not president of the world. and benefits, and for other purposes. the Senate and the employees of the Senate No Secretary General in the future S. 978 are approved in accordance with section should entertain or even express such At the request of Mrs. HUTCHISON, the 304(c) of the Congressional Accountability foolish notions. The United Nations is names of the Senator from Rhode Is- Act of 1995 (2 U.S.C. 1384(c)). (b) CONSTRUCTION.—Nothing in subsection purely a consultative body, made up of land [Mr. PELL] and the Senator from sovereign nations, who did not check (a) shall be construed to affect the authority New Hampshire [Mr. GREGG] were of the Senate under such section 304(c). their sovereignty at the U.N. door added as cosponsors of S. 978, a bill to f when they sent representatives to the facilitate contributions to charitable functions and deliberations of the organizations by codifying certain ex- NOTICES OF HEARINGS United Nations. emptions from the Federal securities SUBCOMMITTEE ON POST OFFICE AND CIVIL Furthermore, the American people laws, to clarify the inapplicability of absolutely would not stand for any SERVICE antitrust laws to charitable gift annu- Mr. STEVENS. Mr. President, I form of U.N. taxation; they are already ities, and for other purposes. paying more than 24 percent of their would like to announce that the Senate S. 1146 income to the U.S. Federal Govern- Subcommittee on Post Office and Civil ment. They do not need nor will they At the request of Mr. LEAHY, the Service, of the Committee on Govern- accept paying another dime to fund a name of the Senator from Kansas [Mr. mental Affairs, and the House Sub- world government in New York led by DOLE] was added as a cosponsor of S. committee on Postal Service, Com- a nonelected bureaucrat. 1146, a bill to amend the Internal Rev- mittee on Government Reform and The Secretary General has several enue Code of 1986 to clarify the excise Oversight, will hold a hearing on Janu- times advocated a standing U.N. mili- tax treatment of draft cider. ary 25, 1996, on USPS Reform—The tary. His idle sugestion giving the S. 1183 International Experience. United Nations the power of direct tax- At the request of Mr. HATFIELD, the The hearing is scheduled for 9:30 a.m. ation is a matter that invites a world- name of the Senator from New Jersey in room 342 of the Dirksen Senate Of- wide rejection and distrust of the [Mr. LAUTENBERG] was added as a co- fice Building. For further information, United Nations. sponsor of S. 1183, a bill to amend the please contact Pat Raymond, Senate Mr. President, I again assure the ma- Act of March 3, 1931 (known as the Staff Director, at 224–2254, or Dan jority leader that I will schedule hear- Davis-Bacon Act), to revise the stand- Blair, House Staff Director, at 225–3741.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00109 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S280 CONGRESSIONAL RECORD — SENATE January 22, 1996 SUBCOMMITTEE ON FORESTS AND PUBLIC LAND Nevertheless, Mr. President, that is statement about virtually any industry in MANAGEMENT precisely what those who advocate re- this country. And, in fact, the merchant sea- Mr. CRAIG. Mr. President, I would peal of the Jones Act would do, have farers of Sweden, Denmark, Norway, Holland like to announce for the public that a outsiders intrude in the family’s busi- and Japan all earn higher net wages than hearing has been scheduled before the ness. their American counterparts. Jones Act op- Subcommittee on Forests and Public The needless risk of permitting this ponents say that, by bringing foreign ships and foreign crews into our coastal and inter- Land Management to receive testi- was recently detailed by Stanley H. mony on the oversight of the manage- coastal trades we can lower wage operating Barer in his remarks before the Amer- costs by up to 50 percent. ment of the national forests. ican Association of Port Authorities. The hearing will take place Thurs- Mr. Barer is cochairman and CEO of Let’s look at those world wage rates. day, January 25, 1996, at 9:30 a.m. in Totem Resources Corp., a Jones Act Under the International Transport Federa- room SD–366 of the Dirksen Senate Of- tion standard, the average wage for the cap- operator which is headquartered in Se- tain of a tanker or large container ship is $12 fice Building in Washington, DC. attle, WA, and which runs high-speed, an hour, and the other officers are just Those wishing to testify or who wish roll-on, roll-off liner vessels between slightly above the U.S. minimum wage of to submit written statements should the lower 48 contiguous States and $5.25 an hour. The entire rest of a ship’s crew write to the Committee on Energy and Alaska. At one time, he was also the under the ITF guidelines would be paid less Natural Resources, U.S. Senate, Wash- Merchant Marine Counsel to the Sen- than the U.S. minimum wage. And the ITF ington, DC. 20510. For further informa- ate Committee on Commerce, Science, requires no payments for health, pension or tion, please call Mark Rey at (202) 224– and Transportation. So his consider- other benefits. Ultimately, I believe, the 6170. able knowledge and expertise have issue is not whether Jones Act maritime f been acquired in the real world of workers carrying our domestic cargo make ocean shipping and regulation. What more than the ‘‘world standard,’’ the real ADDITIONAL STATEMENTS issue is whether those workers are being paid Mr. Barer had to say to the AAPA is, in a fair American wage, with respect to the my view, very instructive and illu- other transportation modes. THE JONES ACT SHOULD NOT BE minating because it offers a realistic Each of our domestic transportation REPEALED view of the worth and importance of ∑ Mrs. MURRAY. Mr. President, there modes—water, rail, trucking and air cargo— the Jones Act to our economy and na- employs Americans at American wage levels are proposals afoot—generated by for- tional security. and none of them faces domestic competition eign-flag shipping interests and foreign Mr. President, I ask that Mr. Barer’s from foreigners. For example, a tanker cap- corporations—to repeal the Jones Act. remarks be inserted in the RECORD. tain earns about $80,000 a year, which is This 1920 Act, named for Senator Wes- REMARKS OF STANLEY H. BARER $30,000 less than a pilot flying a domestic ley Jones of my State, mandates the Thank you very much. It is a pleasure to cargo plane. A tugboat captain might earn use of U.S.-built, U.S.-crewed, U.S.- be here at this convention. I hope I can set $50,000, about the same as a railroad engi- flagged vessels for voyages between the record straight for you about the U.S. neer. A deck hand on a Jones Act ship makes two U.S. ports and on our Nation’s in- merchant marine and, in particular, the about the same pay as a domestic flight at- land waterways. Similar laws have Jones Act. tendant, about 25,000 to 30,000 a year. Com- The Jones Act requires that America’s do- pare that to a long-distance, line-haul truck been on the books since the 1790’s, and mestic waterborne trade must be reserved driver, who might make as much as $75,000 a nearly 50 nations have similar require- for carriers owned by Americans, aboard ves- year. ments for shipping in their own domes- sels that fly the U.S. flag and were built in And it is also important to keep in mind tic commerce. this country, and that are crewed by Amer- the hours worked by our merchant mariners. This law should not be repealed. ican citizens. Reserving U.S. water transport While the air cargo pilot averages 83 hours in Mr. President, the domestic water- for American companies and crews is what flight time, or about 20 hours a week, a tank- borne trades of the United States con- our cabotage system is all about. And it’s a er or tugboat captain works at least 12 hours tribute more than $15 billion to the pretty easy idea to understand. a day and is on duty 24 hours a day on the American economy, including more With its extraordinary land mass and di- versity, the United States is in substantial vessel. This goes on seven days a week, than $4 billion in direct wages to U.S. part bound together as one nation because of sometimes for weeks and sometimes for citizens. The economic impact of that our ability to travel from place to place, months. Our captains on our big roll-on, roll- income is multiplied by the thousands thus assuring that all parts and all people of off liner vessels to Alaska are on their ves- of additional jobs in cabotage-related our nation have access to the goods and serv- sels 24 hours a day, seven days a week for businesses, the Jones Act employers ices that give us the highest standard of liv- months at a time. They are away from their families, and their work is dangerous. and employees pay $1.4 billion in State ing in the world. We would be quite foolish, and Federal taxes. with a nation of our size, diversity and trans- Now, Jones Act opponents are arguing for The Jones Act is critical to the State portation requirements, to turn our domes- getting rid of our domestic maritime work- tic transportation over to the mercy of for- of Washington and other coastal and ers and bringing in foreign ships with foreign eign carriers. Let us never forget that when crews. Let’s think about what would happen inland waterways’ States, and indi- you talk about the Jones Act, you are talk- if that came true. rectly, it generates American jobs, tax ing about transportation services that take I assume that the truckers who compete revenues, and economic activity, in all place within the United States involving directly against water carriers would come only the movement of goods or people from 50 States. storming to Congress and say: ‘‘You have Unlike our international waterborne one part of the country to another. This national policy of self-sufficiency in upset the competitive balance between trades which are also the shipping water, rail, truck and air cargo. We can’t lanes of our trading partners, the Jones domestic transportation is also reflected in rail, trucking and aviation. It has been a compete against the water carriers with our Act trades are strictly a family trade— consistent policy of our nation and nearly high-priced U.S. truck drivers.’’ Truckers the commodities and the vessels move every other advanced nation on the face of will say, to keep the balance fair we need to exclusively between American ports. this earth. And, when you think about it, it bring in foreign, below-minimum-wage truck So our trading partners have no recip- is not unusual to have such a transportation drivers. And they would have a good argu- rocal economic interest at stake in policy. Under our immigration laws, work in ment—what would Congress say? And if you these trades. Indeed, our trading part- virtually every industry of our country is re- let the water carriers and truckers use for- ners understandably have no interest served for our own citizens. It is the rule, not eign labor, the railroads and then the air cargo carriers are going to demand the same in furthering the national interest ob- the exception, that nations reserve the job opportunities inside their own borders to ability. jectives which the Jones Act is in- their own citizens, so long as their own citi- tended to enhance—jobs for Americans At this point, we have thrown hundreds of zens have the capacity to do the work. thousands of Americans out of work. What and a fourth arm of defense in times of Thanks to this policy, today the U.S. has a would happen next? I have an idea. national emergency. Jones Act fleet of over 44,000 vessels, which It seems to me that it makes no more provides direct employment for 124,000 Amer- Companies outside domestic transpor- sense to invite foreign shipping inter- ican workers. And those workers earn more tation, companies that compete on a daily basis in the global economy, will demand the ests into our domestic trades, than it than $3.3 billion in wages a year. Opponents of the Jones Act point out that right to fire Americans and bring in low- does to invite a stranger to intervene U.S. labor costs on our ships, tugboats, cost, below-U.S.-minimum-wage foreign in a family matter. In either case, barges and shipyards run two to three times workers. After all, if we are going to do this there is no necessity for doing so, and the so-called ‘‘world labor rate.’’ This is for domestic transportation, which is cur- the results can be disastrous. true. Of course, you could make the same rently immune from foreign competition,

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00110 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S281 why shouldn’t we do this for those American represent—the taxpaying American victim’s funeral to pay condolence to the rel- companies who face foreign competition for citizens. If you do that, I think you atives and friends? At what point do those of their products and services every day in the will have no trouble telling the Jones us who have the power to prevent these marketplace? deaths forfeit the entitlement of mourners? I want to point out a few more things Act Reform Committee that they It is not as if we do not know what might about what Jones Act opponents are pro- should go out of business rather that have saved some of these children’s lives. We posing. telling my industry that we should go know that intervention programs work when Their draft legislation assumes that the out of business.∑ well-trained social workers have a lot of foreign workers brought into our maritime f time to dedicate to each and every child. We coastal trades will pay no federal or state in- know that crisis hot lines work best when come taxes, nor will the owners of those ves- SPARE US THE CHEAP GRACE half of their employees do not burn out and sels under foreign flag pay any U.S. taxes. ∑ Mr. SIMON. Mr. President, one of the quit each year, and that social workers do a And that would be the case. better job when records are computerized in- As I read the proposal, these companies people who has been most effective in stead of being piled up, lost and forgotten on under foreign flag and their crew members prodding our conscience is Jonathan the floor of a back room. We know that when are not only exempt from U.S. taxes and U.S. Kozol, author of several books, includ- a drug-addicted mother asks for help, as minimum wage laws, but also the National ing an important one on literacy, an- many mothers do, it is essential to provide Labor Relations Act, federal hours-of-service other on the sad plight of our schools, the help she needs without delay, not after a regulations, child labor laws, Coast Guard and more recently, ‘‘Amazing Grace: waiting period of six months to a year, as is safety regulations, the U.S. civil rights laws, The Lives of Children and the Con- common in poor urban neighborhoods. our national laws relating to health insur- All these remedies are expensive, and we ance, pensions and other benefits, and all science of a Nation.’’ would demand them if our own children’s other state and federal legal requirements. Unfortunately, as we balance the lives were at stake. And yet we don’t demand Jones Act opponents say these foreign ves- budget—which we should have done them for poor children. We wring our hands sels and crew members should meet ‘‘inter- long ago—we are horribly distorting about the tabloid stories. We castigate the national standards.’’ Does that mean that the priorities this Nation should have. mother. We condemn the social worker. We the navigation and safety crew members The use of the word ‘‘horribly’’ may churn out the familiar criticisms of ‘‘bu- must be able to speak English, so they can seem out of place, but for many of the reaucracy’’ but do not volunteer to use our communicate with environmental and rescue poor, our budget will result in horrors. cleverness to change it. Then the next time workers, or Coast Guard authorities? I guess an election comes, we vote against the taxes not. To say we want to balance the budg- that might make prevention programs pos- And nothing in the proposal talks about et, then start with a $245 billion tax cut sible, while favoring increased expenditures how our nation would deal with all those is like adopting a New Year’s resolu- for prisons to incarcerate the children who Americans left unemployed by the repeal of tion to diet, then having a huge des- survive the worst that we have done to them the Jones Act, or how we would compensate sert. and grow up to be dangerous adults. American vessel owners whose investment in Compounding that is the fact that What makes this moral contradiction pos- modern, U.S.-built ships would be destroyed. sible? Let me tell you a little about my own situ- the tax cut is largely for those of us Can it be, despite our frequent protesta- ation. I am management. I am an owner. I who are more fortunate, while those tions to the contrary, that our society does risked capital to be in this business. I have who will suffer will be the neediest in not particularly value the essential human negotiated with labor unions. My company our society. worth of certain groups of children? Vir- has more than 2,000 employees whose fathers Time magazine recently had an essay tually all the victims we are speaking of are and grandfathers and uncles have all worked by Jonathan Kozol titled ‘‘Spare Us the very poor black and Hispanic children. We for our tug and barge company over the 106 Cheap Grace,’’ which I ask to be print- have been told that our economy no longer years it has been in business. has much need for people of their caste and ed in the RECORD after my remarks. We don’t want to fire these people. Who color. Best-selling authors have, in recent wants us to do this? Is this what America is Among other things, Jonathan Kozol years, assured us of their limited intel- about? says, ‘‘What does it mean when those ligence and low degree of ‘‘civilizational de- If we can do this in the transportation sec- whom we elect to public office cut back velopment.’’ As a woman in Arizona said in tor, I guess we can do it anywhere—manufac- elemental services of life protection for regard to immigrant kids from Mexico, ‘‘I turing, communications, health care, edu- poor children and then show up at the didn’t breed them. I don’t want to feed cation, and I guess we could even fire all of victim’s funeral to pay condolence to them’’—a sentiment also heard in reference our government workers and bring in low- to black children on talk-radio stations in cost people to work in government and man the relatives and friends? At what point do those of us who have the New York and other cities. ‘‘Put them over our armed forces. I submit this is not a there,’’ a black teenager told me once, sound idea. power to prevent these deaths forfeit speaking of the way he felt that he and other I was very curious as to who was financing the entitlement of mourners?’’ The blacks were viewed by our society. ‘‘Pack these people who are calling for repeal of the piece follows: them tight. Don’t think about them. Keep Jones Act, and who was supporting them. I [From Time magazine, Dec. 11, 1995] your hands clean. Maybe they’ll kill each was pleased that not one of our customers in SPARE US THE CHEAP GRACE other off.’’ Alaska or the West Coast was among their I do not know how many people in our na- supporters. But I did find that over 90 per- (By Jonathan Kozol) tion would confess such contemplations, cent of those supporting him were trade as- It is hard to say what was more shocking which offend the elemental mandates of our sociations representing wheat or grain pro- about the death of Elisa Izquierdo—the end- cultural beliefs and our religions. No matter ducers. I would just like to note that, while less savagery inflicted on her body and mind, how severely some among us may condemn Jones Act carriers receive not a dollar in fed- or the stubborn inaction of the New York the parents of the poor, it has been an axiom eral subsidies or handouts, $5.5 billion in fed- City agencies that were repeatedly informed of faith in the U.S. that once a child is born, eral subsidies goes to wheat and feed-grain of her peril. But while the murder of Elisa by all condemnations are to be set aside. If we farmers each year. I am not here to argue her mother is appalling, it is hardly unex- now have chosen to betray this faith, what against the farm program but I think it pected. In the death zones of America’s consequences will this have for our collec- should be recognized that the people who postmodern ghetto, stripped of jobs and tive spirit, for our soul as a society? want to get rid of U.S. citizens in domestic human services and sanitation, plagued by There is an agreeable illusion, evidenced in transport are the same people who are tak- AIDS, tuberculosis, pediatric asthma and en- much of the commentary about Elisa, that ing $5.5 billion dollars a year for their own demic clinical depression, largely abandoned those of us who witness the abuse of inno- industry from the taxpayers, but they are by American physicians and devoid of the cence—so long as we are standing at a cer- not advocating that foreign grain companies psychiatric services familiar in most middle- tain distance—need not feel complicit in and foreign grain workers come in and take class communities, deaths like these are these tragedies. But this is the kind of eth- over their jobs and companies in the United part of a predictable scenario. ical exemption that Dietrich Bonhoeffer States. All these farm executives and their After the headlines of recrimination and called ‘‘cheap grace.’’ Knowledge carries corporate staffs and trade organizations and pretended shock wear off, we go back to our with it certain theological imperatives. The employees make good wages. I think that’s ordinary lives. Before long, we forget the vic- more we know, the harder it becomes to fine—I am not against that. I am not even tims’ names. They weren’t our children or grant ourselves exemption. ‘‘Evil exists,’’ a against the farm program. But I do have a the children of our neighbors. We do not need student in the South Bronx told me in the problem with that industry trying to destroy to mourn them for too long. But do we have course of a long conversation about ethics my industry without first getting their own the right to mourn at all? What does it mean and religion in the fall of 1993. ‘‘Somebody financial house in order. when those whom we elect to public office has power. Pretending that they don’t so So, please, in considering these pub- cut back elemental services of life protection they don’t need to use it to help people—that lic policy issues, think about those you for poor children and then show up at the is my idea of evil.’’

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00111 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S282 CONGRESSIONAL RECORD — SENATE January 22, 1996 Like most Americans, I do not tend to her whole life leaping over barriers Jordan will live on forever in the many think of a society that has been good to me with grace and dexterity. She broke Americans who have been touched and to my parents as ‘‘evil.’’ But when he records. deeply by her powerful words and ex- said that ‘‘somebody has power,’’ it was dif- In Texas in 1966 she became the first emplary life. I certainly have been.∑ ficult to disagree. It is possible that icy Africa-American State senator. She en- equanimity and self-pacifying form of moral f abdication by the powerful will take more tered that body with outright denun- ciations from some of her male col- ANNIVERSARY OF ROE VERSUS lives in the long run than any single drug-ad- WADE dicted and disordered parent. Elisa leagues, but when she left for Wash- Izquierdo’s mother killed only one child. The ington, DC, those same men endorsed a ∑ Mrs. MURRAY. Mr. President, today seemingly anesthetized behavior of the U.S. resolution commending her. marks the 23d anniversary of the mon- Congress may kill thousands. Now we are In 1972, Barbara Jordan and Andrew umental Supreme Court decision, Roe told we must ‘‘get tougher’’ with the poor. Young, of Georgia, became the first versus Wade, which legalized abortion How much tougher can we get with children black southerners in Congress since nationwide and affirmed the right of who already have so little? How cold is Reconstruction. all American women to choose safe, America prepared to be?∑ In the U.S. House of Representatives, legal abortion services. I join Ameri- f she quickly rose to prominence as a cans across the country in commemo- LIFE OF BARBARA JORDAN members of the House Judiciary Com- rating this important day in our his- mittee during Watergate. During the ∑ Mrs. BOXER. Mr. President, as the tory. crisis, Barbara Jordan became one of Yet this is a bittersweet celebration. Nation mourns the loss of Barbara Jor- our Constitution’s greatest champions. We are still fighting to safeguard our dan, I would like to take a few mo- ‘‘My faith in the Constitution is rights, and battles are being waged on ments to celebrate her life. whole,’’ she told her colleagues and the many fronts. Each year, antichoice Barbara Jordan became active in pol- American people. ‘‘It is complete. It is forces in Congress use the appropria- itics around the same time as I did. total. I am not going to sit here and be tions process to erode women’s abor- John Kennedy was running for Presi- an idle spectator to the diminution, tion rights every chance they get. In dent and the winds of change were the subversion, the destruction of the 1995, they were successful in denying sweeping across a nation and inspiring Constitution.’’ Federal workers abortion coverage in a young generation of new leaders. Whether it be freedom of speech, their health benefit packages. They It was different world for women freedom of choice or equal opportunity, will try again this year for more vic- then, one where the doors weren’t near- we in this Congress are also facing fun- tories. ly so open as they are today. And make damental questions about the integrity On this special anniversary, we must no mistake about it—the doors are of our Constitution. It is my hope that remember those who have suffered and open wider today for women and for our faith in that sacred document is as lost their lives because of their com- minorities because of the path cleared whole and as complete as Barbara Jor- mitment to protecting the health of by Barbara Jordan. dan’s. women in our country. Increasingly, Her start in politics was quite hum- After she left Congress, Barbara Jor- the radical minority in the anti- ble. She was a self described ‘‘stamper dan continued to give this Nation a abortion crusade has turned to violence and addresser’’—meaning literally that lifetime of service—teaching young to pursue their agenda, with blatant she volunteered on President Ken- people in preparation for careers in disregard for who is caught in their nedy’s campaign licking stamps, ad- public service. Her chairmanship of the crossfire. Over the last several years, I, dressing envelopes, and putting them independent U.S. Commission on Immi- like so many Americans, have been in the mail. So many women started gration Reform, which is referred to as greatly disturbed by images of clinics this way—behind the scenes doing the the Jordan Commission, took on the under siege by vandals and arsonists, mundane but essential labor of grass- very difficult issue of fair immigration and horrified by reports of doctors roots politics. policy. murdered because they perform abor- But Barbara Jordan was not under- And just as young Barbara Jordan tions—a legal procedure. We cannot let estimated for long. Her most enduring listened to the words of JFK and was our reproductive rights be taken away talents—the power of her voice and the ‘‘bit by the bug’’ of politics, so did she because of a threat of violence, nor can strength of her words—were quickly go on to inspire another generation of we allow the actions of radical fanatics discovered and no one tells that story young leaders when she took the po- to dictate our Nation’s public policy better than she did herself: dium at the 1992 Democratic Conven- tion. Speaking with an authority and decisions. Just as our clinics are under I had a law degree but no practice, so I voice that could only be Barbara Jor- attack, so too are our personal free- went down to Harris County Democratic doms. Headquarters [in Texas] and asked them dan’s, she issued a new challenge to what I could do. They put me to work lick- each and every one of us to reexamine Emboldened by their momentum, Mr. ing stamps and addressing envelopes. One our relationships with each other and President, antiabortion forces in both night we went out to a church to enlist vot- what we stand together for as a nation. Houses of Congress passed H.R. 1833, ers and the woman who was supposed to Above all else, she encouraged us to the so-called Partial Birth Abortion speak didn’t show up. I volunteered to speak put our principles into action where Ban Act of 1995. By their own admis- in her place and right after that they took help was needed most—in the hearts of sion, this is the first step in the me off licking and addressing. our great cities. antichoice movement’s strategy to They would have been foolish not to. She said, ‘‘We need to change the de- deny women their right to choose — If Barbara Jordan is remembered for caying inner cities to places where one procedure at a time. This legisla- just one thing, it will be the power of hope lives. Can we all get along? I say tion is an affront to the women of this her words. Her message united people we answer that question with a re- country, and an unprecedented intru- from vastly different walks of life, sounding ‘yes’.’’ sion into the autonomy of medical pro- bringing them together to stand as one Throughout her life Barbara Jordan fessionals to determine the best meth- and nod their heads in unison and say, was a voice for common ground, for the ods of care for their patients. I am re- ‘‘Yes, each one of us can make a dif- ties that bind. Hers were powerful, minded today of the frustration I felt ference, and together we can make this healing, uplifting words that chal- during debate of this bill, of the misin- nation stronger.’’ lenged and inspired women and minori- formation and divisive rhetoric infused Where her words traveled, legions fol- ties, indeed all Americans, to reach for in the conversation. lowed. And our Nation did change for something higher and to believe in The antichoice majorities in Con- the better as we began to offer oppor- themselves and their own ability to gress may have forgotten that most tunity to all our citizens. change the world and make it a better Americans feel abortion should be Barbara Jordan broke all kinds of place. legal. They may also have forgotten barriers throughout her life. If she Her life was a testament to that idea. about the days of back-alley abortions were an athlete, she would have been a A nation mourns a great loss, but it and women dying of infection from un- world-class hurdler because she spent is my hope that the spirit of Barbara sanitary procedures. Well, I haven’t

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00112 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S283 forgotten and I will do whatever I can has bullied the Philippines over contested is- power to a collection of reformers who them- to ensure the days of the back-alley lands in the South China Sea, twice con- selves squandered the chance for real change. abortion, a virtual death sentence for ducted missile tests in the waters off Tai- Today the LDP is back in a cynical misalli- women, remain a tragic thing of the wan, resumed irresponsible weapons trans- ance with its nemesis, the socialists, whom fers and imposed its own choice as the re- it hopes to shortly expel. past. Let today remind us that, for now incarnated Panchen Lama, the second most When does that leave us? With the Bur- at least, the law is on our side. important religious figure in Tibet. Mean- mese, or the Indonesian generals, or perhaps I urge President Clinton to join us while, as The Times’s Patrick Tyler reports, Thailand, where politicians are so corrupt today in commemorating this land- influential military commanders have begun they stay out of jail? mark anniversary. And I respectfully pushing for military action against Taiwan Reading the Mainland press, Taiwan’s re- request that he deliver on his promise and turned to confrontational rhetoric cent peaceful, multiparty elections never to veto H.R. 1833. The women of this against the United States. happened. No mention—the dog that didn’t country are counting on him to do Washington has minimized these provo- bark. A decade ago, the phrase ‘‘Taiwanese what is right. I know he will not let us cations, setting them in the larger perspec- democracy’’ would have been rightly dis- tive of China’s encouraging economic re- down.∑ missed as an oxymoron, though compared to forms and Washington’s hopes for political Mao’s mainland, the island republic was f liberalization. That was the same logic that widely seen as an economic miracle. led the Administration, early last year, to CHINA’S CHALLENGE TO Ironically, it is this economic strength abandon its efforts to link trade privileges today—$100 billion in hard currency reserves WASHINGTON for China to Beijing’s record on human and America’s ninth-largest trading part- ∑ Mr. SIMON. Mr. President, the New rights, arguing that anything that helped ner—that has obscured Taiwan’s political China’s booming economy would ultimately York Times had an excellent editorial evolution. The late Generalissimo Chiang titled ‘‘China’s Challenge to Wash- advance political freedom as well. It is working out that way. The 19 months Kai-shek’s Kuomingtang single-party rule, ington.’’ was replaced by his son and successor Chiang There is a reluctance to be forceful since that policy change have been marked by a serious deterioration in China’s respon- Ching-kuo, who created a supportive envi- with China on the issue of human siveness on human rights and other issues. ronment for democratic pluralism before he rights. Discouragingly, this seems to be happening died in 1988. Martial law was lifted, opposi- When I say ‘‘forceful,’’ I do not mean not simply because a new generation of lead- tion parties were legalized, press restrictions the use of force, but the willingness to ers is maneuvering to succeed the failing were eliminated and it was agreed that stand forthright for what this country Deng Xiaoping. Nationalist military officers Chiang’s successor would not be a member of are steadily gaining political influence, and the family or even a transplanted main- should stand for. lander. Instead President Lee Teng-hui is a We turn a cold shoulder to our the two top civilian leaders, President Jiang Zimen and Prime Minister Li Peng, seem native Taiwanese so far determined to fur- friends in Taiwan, where they have a ther reform by supporting younger, Taiwan- multiparty system, and seem to quake committed advocates of political repression. That suggests the newly belligerent policies born politicians as leaders of the KMT. every time China is unhappy with may not be just a transitional phase, or a something someone says or does. sign or insecurity in the leadership group, as In the last eight years, three legislative As the editorial suggests, we should some China scholars in the West have said. elections have been held, each time with ‘‘respond far more sharply to Wei The Clinton Administration, having done slowly shrinking KMT majorities. The old Jingsheng’s sentence.’’ all it reasonably could to smooth relations, National Assembly dominated by KMT geri- I am pleased to back this administra- including an October meeting between Presi- atrics has been mercifully stripped of its tion when they are right, as in Bosnia, dents Clinton and Jiang, now needs to recog- powers. Direct presidential elections will be but I also believe that we should be nize that a less indulgent policy is required held for the first time in Chinese history much stronger in setting forth our be- to encourage more responsible behavior by next March. China. The first step is to respond far more liefs as far as the abuses in China. I ask Literally nowhere in Asia, except Taiwan, sharply to Wei Jingsheng’s sentence, begin- has a ruling party allowed itself to be that the editorial from the New York ning with a concerted diplomatic drive to eclipsed. Nowhere has the attack on political Times be printed in the RECORD after condemn China before the United Nations corruption been so singleminded as it is in my remarks. Human Rights Commission next March. U.N. Taiwan. Vote fraud, unlike Thailand and Along the same line, Stefan Halper, condemnation would be an international em- Korea, has been almost eliminated. Vote host of NETE television’s ‘‘Worldwise’’ barrassment for China, one it desperately buying in the recent Dec. 2 poll has been re- and a former White House and State wants to avoid. duced to rural areas and to a level that Department official, recently had an Another step is to oppose non-humani- would boggle the minds of most Japanese op-ed piece in the Washington Times tarian World Bank loans to China, as already and Thai voters. provided for under United States law. Some At present, the KMT holds a six-seat ma- titled ‘‘Taiwan’s Unheralded Political Administration officials also want to con- Evolution,’’ which I ask to be printed jority in the legislature. Sessions will con- sider human rights issues in judging China’s tinue to be raucous, often undignified—not in the RECORD following my remarks application to join the new World Trade Or- unlike the 19th century U.S. Congress or for and after the New York Times edi- ganization, even though that is likely to that matter Congress today, recall the torial. bring objections from other W.T.O. members. Moran-Hunter fight a few weeks ago—but so The reality is democracy has grown The Administration still refuses to recon- what? The opposition has strengthened as and is thriving in Taiwan, and we sider the simpler, more obvious step of re- the exhausted Nationalists confront the re- should recognize that in our policies. storing a link between trade and human ality of an increasingly pluralist Taiwan. rights. In this critically important diplo- The material follows: Though Democratic politics is often a mat- matic game, the United States may no ter of shades of ugly, the alternatives in CHINA’S CHALLENGE TO WASHINGTON longer be able to deny itself the leverage Asia—both left and right—are vastly less at- If the United States intends to develop a that link could bring. tractive. Why the, despite Taiwan’s effort, relationship of mutual respect with China, it [From the Washington Times, Dec. 13, 1995] must defend its interests as vigorously as has it’s progress been ignored? Are American TAIWAN’S UNHERALDED POLITICAL EVOLUTION Beijing does. Now is the time, for China has interests served by recognizing and nur- shown a dangerous new bellicosity in mat- (By Stefan Halper) turing democratic growth—or has some ters from human rights to military threats. In an era that believes America’s future blend of security and mercantile priorities Last week Beijing again showed its con- lies in Asia, what is the Asian democratic cast our lot with the Mainland? The Clinton tempt for the rights of Chinese citizens by model? Singapore and Malaysia are single administration, still struggling with this convicting Wei Jingsheng of sedition and party states refreshed a bit by economic Wilson-Rossevelt policy cleavage, has said sentencing him to 14 years in prison. The ac- freedom. Hong Kong, still a colony, has late- nothing on the subject, even while embar- tivities the court cited included organizing ly been given a measure of self-government— rassing itself before and after Lee Teng-hui’s art exhibitions to benefit democracy and which Americans of 1770 would have summer address at Cornell, his alma mater. writing articles that advocated Tibet’s inde- scorned—only to be swallowed whole by the Yet in the hall of mirrors that passes for pendence. This heavy-handed muzzling of the not-so-democratic People’s Republic of Taiwan’s politics, the Nationalist Party- country’s leading dissenter is a measure of China in little more than 18 months. South KMT reflects its belief in ‘‘One China’’ while the Chinese belief that America and other Korea? It’s dominated by a government the opposition New Party, with 13.5 percent Western countries will not make them pay a party whose last president is now up on of the vote, is even more forceful on the sub- diplomatic or economic price for the abuse of charges of stealing $600 million—give or take ject. And as for the Democratic Progressive human rights. a couple of hundred million. Party (DPP), it is split on the issue with the Chinese behavior has been equally provoca- Japan, for 38 years, has been run by a cor- majority having muted the call for independ- tive in other fields. In recent months Beijing rupt single party (the LDP) only to cede ence. Maybe the mean Chinese uncle in

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00113 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S284 CONGRESSIONAL RECORD — SENATE January 22, 1996 Beijing, implacably opposed to the island-na- The special financial breaks that cer- ment and through private and nonprofit en- tion’s existence, succeeded with this mus- tain corporations get should not be a terprise financing to spur new industries. cular diplomacy—missile tests, mock land- barrier to an improved life for the citi- Young’s proposal would also, for the first ings and war games. After all, the stock mar- zens of Puerto Rico, and that is the re- time, subject island residents to federal tax- ket dipped and successionist politicians had ation. Combined with the $3 billion savings limited resonance during the election. ality today. from ending the 936 tax credit, this would So why are the mandarins in Beijing wor- The op-ed follows: mean that the U.S. Treasury would see no ried? Perhaps it is because on the heels of [From the Washington Post] diminution in revenues. Hong Kong’s democratic election that saw THE STATE OF PUERTO RICO Many statehood advocates balk at this the defeat of pro-Mainland candidates, Tai- (By Charles A. Rodriguez) ‘‘halfway’’ solution to securing first-class wan has emerged as the Asian democratic citizenship for Puerto Ricans. They maintain Two years ago, when Puerto Rico voted to model; and the first successful, full-blown that economic equality would weaken efforts remain a U.S. commonwealth—again reject- democracy in five millennia of Chinese his- to achieve political equality through a 51st ing statehood—many thought the issue was tory, underscores the difficulty of reunion star. In other words, total economic and po- settled for years to come. In fact, the plebi- with China. Or perhaps the mandarins in the litical equality or nothing. scite raised more questions than it resolved. Forbidden City realize that their options Other point to the absurdity of Puerto The vote exposed the undue influence of have narrowed; that the use of force against Ricans agreeing to pay more taxes while ev- discredited economic arrangements on the Taiwan would be a disaster for U.S.-China re- eryone else is looking to reduce theirs. But island’s political process and the myth of lations and U.S. credibility and, most of all, the fact is that we already have high tax commonwealth autonomy, both cornerstones would tear the web of Asian security and rates in Puerto Rico. They’re necessary to fi- of our second-class U.S. citizenship. Today economic relationships that have sustained nance activities typically provided elsewhere proponents of the status quo are on the de- China’s and the region’s growth. We shall by the federal government. It’s safe to as- fensive in both Puerto Rico and in Wash- see.∑ sume that as program costs are shifted to ington. Washington, Puerto Ricans will see little f The plebiscite was held as the Clinton ad- change in their tax burden. ministration sought repeal of Section 936 of SOUTHERN UNIVERSITY NATIONAL Nonetheless, revision of 936 might accel- the federal tax code, which exempts U.S. FOOTBALL CHAMPIONSHIP erate the movement to statehood: No longer companies’ Puerto Rican operations from would 936 companies have a vested interest ∑ Mr. BREAUX. Mr. President, I would federal taxation—a subsidy that has cost the in maintaining the status quo. like to take this opportunity to con- Treasury nearly $70 billion since 1973. Given today’s economic and political cli- Faced with immediate loss of their lucra- gratulate Southern University of mate, Puerto Rico may face the same hard tive tax break or eventual termination if is- Baton Rouge, LA, for winning this choice under option: cut programs or raise landers voted for statehood, companies spent year’s historically black college na- taxes. But as a colony deprived of Wash- millions of dollars fending off Congress while tional football championship. With ington representation we will have no say in cajoling workers to vote against statehood the discussions leading up to that fateful de- their victory in the Heritage Bowl on or else face job losses and plant relocations. December 29, 1995, the Jaguars of Meanwhile, status quo proponents cam- cision. Southern University won their sixth paigned for ‘‘enhanced commonwealth,’’ re- It’s no wonder that 2.5 million Puerto national football title and their first plete with promises of expanded political au- Ricans have left the island for the mainland tonomy and parity with the 50 states in the knowing that the political and economic since 1960. benefits of statehood far outweigh the bur- The Jaguars, who finished the season financing of federal programs—all this while preserving the immunity of Puerto Rico’s 3.7 dens of federal taxation. We share their am- with an 11–0 record, captured the na- bition to be full-fledged Americans here at tional title in a 30 to 25 victory over million U.S. citizens from federal taxation. Despite the cacophony of economic dema- home, just as we always have shared with all Florida A&M in the Georgia Dome in goguery and ‘‘something for nothing’’ hyper- U.S. citizens the duty to defend democracy ∑ Atlanta. bole, commonwealth failed for the first time abroad. I would like to especially congratu- in 40 years to get an outright majority. It f late Coach Pete Richardson, his staff, won with a plurality of 48.6 percent, against and an outstanding group of players for 46.3 percent for statehood and 5.1 percent for PROVIDING FOR PROVISIONAL AP- all the hard work and effort they put independence. Compare this narrow margin of victory with that of 1952 (68 percent) and PROVAL OF OFFICE OF COMPLI- into making this a championship sea- ANCE REGULATIONS son. Your undefeated record and na- that of 1967 (21 percent), and the tide against tional title are bright examples of the the status quo becomes unmistakable. The Mr. DOLE. Mr. President, I ask unan- false promise behind the alternative of ‘‘en- rewards of teamwork and determina- imous consent the Rules Committee be hanced commonwealth’’ will do nothing to discharged from further consideration tion. Thank you for bringing another stem it. For given its current budget-cutting national championship to Baton Rouge exercises, Congress is clearly in no mood to of House Concurrent Resolution 123 and for making Louisiana proud.∑ maintain even current levels of federal fund- and, further, that the Senate proceed to its immediate consideration. f ing for Puerto Rico programs, much less ante up the additional $3 billion to $4 billion The PRESIDING OFFICER. The THE STATE OF PUERTO RICO necessary to bring them up to par with the clerk will report. ∑ Mr. SIMON. Mr. President, Senator states. The legislative clerk read as follows: Meanwhile, a groundswell of public opinion Charles A. Rodriguez, the majority A concurrent resolution (H. Con. Res. 123) has arisen in Washington against preserving to provide for the provisional approval of leader of the Puerto Rico Senate, re- ‘‘corporate welfare.’’ That’s why Section 936 regulations applicable to certain covered em- cently had an op ed piece in the Wash- is again under review, as it should be: It has ploying offices and covered employees and to ington Post that speaks with candor made the island dependent on the whims of be issued by the Office of Compliance before about our fellow Americans from Puer- Congress and has stifled alternative eco- January 23rd, 1996. to Rico. We should be paying attention nomic development schemes. to his words, which I ask to be printed Worse, as now constituted, 936 has failed to The PRESIDING OFFICER. Is there in the RECORD. generate the jobs and capital investment objection to the immediate consider- The reality is that commonwealth that were its reasons for being. Witness our ation of the concurrent resolution? chronic unemployment rate, which is twice status—supported strongly by powerful There being no objection, the Senate the mainland’s, and our per capita income, proceeded to consider the concurrent American corporations who benefit half of Mississippi’s. from it financially—is simply another Revision of 936 could present Puerto Rico resolution. form of old-fashioned colonialism. with opportunities to attain significant new Mr. DOLE. I ask unanimous consent Puerto Ricans should have the rights economic and political objectives; full par- that the concurrent resolution be that Americans have in our 50 States. ticipation and parity in all federal programs, agreed to, the motion to reconsider be Eventually, Puerto Rico will either sustained economic growth and, eventually, laid upon the table, and any state- go independent or become a State. statehood. ments related to the concurrent resolu- From the viewpoint of our 50 States Rep. Don Young (R–Alaska), chairman of tion be placed at the appropriate place the House Resources Committee, has floated in the RECORD. and from the viewpoint of the people of one promising proposal toward these ends. In Puerto Rico, statehood makes much exchange for ending 936 he would phase in The PRESIDING OFFICER. Without more sense. full state-like programs for Puerto Rico and objection, it is so ordered. But that is a decision they have to encourage private-sector growth through The concurrent resolution (H. Con. make. capital grants for infrastructure develop- Res. 123) was agreed to.

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00114 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S285 PROVIDING FOR APPROVAL OF IN- leaders be reserved for their use later CORPORATION FOR NATIONAL AND COMMUNITY TERIM REGULATIONS ADOPTED in the day, and there then be a period SERVICE BY THE BOARD OF THE OFFICE for morning business until the hour of MARY BURRUS BABSON, OF ILLINOIS, TO BE A MEMBER OF THE BOARD OF DIRECTORS OF THE CORPORATION OF COMPLIANCE 3:30 p.m, with Senators permitted to FOR NATIONAL AND COMMUNITY SERVICE FOR A TERM Mr. DOLE. Mr. President, I ask unan- speak for up to 10 minutes each. OF 1 YEAR. (NEW POSITION) imous consent that the Senate proceed The PRESIDING OFFICER. Without NATIONAL FOUNDATION ON THE ARTS AND THE HUMANITIES to the immediate consideration of Sen- objection, it is so ordered. ate Resolution 209 submitted earlier Mr. DOLE. I ask unanimous consent LUIS VALDEZ, OF CALIFORNIA, TO BE A MEMBER OF that when the Senate completes its THE NATIONAL COUNCIL ON THE ARTS FOR A TERM EX- today by the Senator from Kansas. PIRING SEPTEMBER 3, 2000, VICE PETER DECOURCH HERO, The PRESIDING OFFICER. The business tomorrow it stand in recess TERM EXPIRED. clerk will report. until the hour of 8:40 p.m, on Tuesday, IN THE COAST GUARD The legislative clerk read as follows: at which time the Senate will proceed VICE ADMIRAL JAMES M. LOY, U.S. COAST GUARD, TO as a body to the Hall of the House of BE CHIEF OF STAFF, U.S. COAST GUARD, WITH THE A resolution (S. Res. 209) to provide for the GRADE OF VICE ADMIRAL WHILE SO SERVING. approval of interim resolutions applicable to Representatives to hear an address by VICE ADMIRAL RICHARD D. HERR, U.S. COAST GUARD, the President regarding the state of TO BE VICE COMMANDANT, U.S. COAST GUARD, WITH THE the Senate and the employees of the Senate GRADE OF ADMIRAL WHILE SO SERVING. and adopted by the Board of the Office of the Union. VICE ADMIRAL KENT H. WILLIAMS, U.S. COAST GUARD, Compliance before January 23, 1996, and for The PRESIDING OFFICER. Without TO BE COMMANDER, ATLANTIC AREA, U.S. COAST GUARD, WITH THE GRADE OF ADMIRAL WHILE SO SERVING. other purposes. objection, it is so ordered. REAR ADMIRAL ROGER T. RUFE, JR., U.S. COAST The PRESIDING OFFICER. Is there GUARD, TO BE COMMANDER, PACIFIC AREA, U.S. COAST f GUARD, WITH THE GRADE OF VICE ADMIRAL WHILE SO objection to the immediate consider- SERVING. ation of the resolution? PROGRAM THE FOLLOWING OFFICER OF THE U.S. COAST GUARD RESERVE FOR PROMOTION TO THE GRADE OF REAR AD- There being no objection, the Senate Mr. DOLE. During tomorrow’s ses- MIRAL: proceeded to consider the resolution. sion, the Senate may turn to any legis- RICHARD W. SCHNEIDER Mr. DOLE. I ask unanimous consent lative items that can be cleared by THE FOLLOWING OFFICER OF THE U.S. COAST GUARD that the resolution be agreed to, the unanimous consent. Rollcall votes are RESERVE FOR PROMOTION TO THE GRADE OF REAR AD- MIRAL (LOWER HALF): motion to reconsider be laid upon the not expected during Tuesday’s session. table, and that any statements relating However, if a vote is necessary, all JAN T. RIKER THE FOLLOWING OFFICER OF THE U.S. COAST GUARD to the resolution appear at the appro- Members will be given ample notifica- RESERVE FOR PROMOTION TO THE GRADE INDICATED: priate place in the RECORD. tion. As a reminder, all Senators To be captain The PRESIDING OFFICER. Without should gather in the Senate Chamber GEORGE J. SANTA CRUZ GREGORY E. SHAPLEY objection, it is so ordered. at 8:35 p.m. Tuesday evening, in order To be commander The resolution (S. Res. 209) was for the Senate to proceed as a body to JAMES E. LITSINGER MAURY A. WEEKS agreed to, as follows: the Hall of the House of Representa- DALE M. RAUSCH DONALD E. BUNN S. RES. 209 tives for the State of the Union Ad- To be lieutenant commander Resolved, dress. PINKEY J. CLARK KEVIN M. PRATT I indicate, as I did this morning, it is SECTION 1. APPROVAL OF INTERIM REGULA- IN THE MARINE CORPS TIONS. still our hope to make a continuing THE FOLLOWING-NAMED COLONELS OF THE U.S. MA- (a) IN GENERAL.—The interim regulations resolution before the close of business RINE CORPS FOR PROMOTION TO THE GRADE OF BRIGA- applicable to the Senate and the employees on Friday, maybe Thursday, maybe DIER GENERAL, UNDER THE PROVISIONS OF SECTION 624 of the Senate that were adopted by the even Wednesday depending on when it OF TITLE 10, UNITED STATES CODE: To be brigadier general Board of the Office of Compliance before is passed by the House. It is also our January 23, 1996, are hereby approved until hope we can pass the continuing reso- COL. ROBERT R. BLACKMAN, JR., 000–00–0000, USMC. such time as final regulations applicable to COL. WILLIAM G. BOWDON III, 000–00–0000, USMC. lution by consent, and that in the COL. JAMES T. CONWAY, 000–00–0000, USMC. the Senate and the employees of the Senate COL. KEITH T. HOLCOMB, 000–00–0000, USMC. are approved in accordance with section event the Defense Department author- COL. HAROLD MASHBURN, JR., 000–00–0000, USMC. 304(c) of the Congressional Accountability ization bill comes to us from the COL. GREGORY S. NEWBOLD, 000–00–0000, USMC. Act of 1995 (2 U.S.C. 1384(c)). House, we may proceed to that, which THE FOLLOWING-NAMED COLONEL OF THE U.S. MARINE (b) CONSTRUCTION.—Nothing in subsection if it requires a rollcall vote, then we CORP RESERVE FOR PROMOTION TO THE GRADE OF BRIGADIER GENERAL, UNDER THE PROVISIONS OF SEC- (a) shall be construed to affect the authority will not vote on it until we have given TION 5912 OF TITLE 10, UNITED STATES CODE: of the Senate under such section 304(c). all our colleagues ample notice. To be brigadier general f There is also some indication that COL. LEO V. WILLIAMS III, 000–00–0000, USMCR. JOINT SESSION OF THE TWO the administration may want us to IN THE NAVY proceed on the extension of the debt HOUSES TO HEAR AN ADDRESS THE FOLLOWING-NAMED OFFICER TO BE PLACED ON BY THE PRESIDENT OF THE limit, debt ceiling, and that may or THE RETIRED LIST OF THE U.S. NAVY IN THE GRADE IN- DICATED UNDER SECTION 1370 OF TITLE 10, U.S.C. UNITED STATES may not come before the Senate this week. To be vice admiral Mr. DOLE. Mr. President, I ask unan- f VICE ADM. DAVID B. ROBINSON, 000–00–0000. imous consent that the President of IN THE AIR FORCE the Senate be authorized to appoint a RECESS UNTIL 2:30 P.M. THE FOLLOWING-NAMED AIR NATIONAL GUARD OFFI- committee on the part of the Senate TOMORROW CERS FOR APPOINTMENT AS RESERVE OF THE AIR and join with a like committee on the FORCE IN THE GRADE INDICATED UNDER THE PROVI- Mr. DOLE. If there is no further busi- SIONS OF SECTIONS 12203 AND 12212, TITLE 10, UNITED part of the House of Representatives to ness to come before the Senate, I now STATES CODE, TO PERFORM DUTIES AS INDICATED. escort the President of the United ask unanimous consent that the Sen- To be lieutenant colonel States into the House Chamber for the ate stand in recess under the previous LINE joint session to be held at 9 p.m. Tues- order. JONATHAN S. FLAUGHER, 000–00–0000 day, January 23, 1996. There being no objection, the Senate, MEDICAL CORPS The PRESIDING OFFICER. Without at 4:55 p.m., recessed until Tuesday, To be lieutenant colonel objection, it is so ordered. January 23, 1996, at 2:30 p.m. WALTER L. BOGART III, 000–00–0000 f f THE FOLLOWING INDIVIDUALS FOR RESERVE OF THE ORDERS FOR TUESDAY, JANUARY AIR FORCE APPOINTMENT, IN THE GRADE INDICATED, NOMINATIONS UNDER THE PROVISIONS OF TITLE 10, UNITED STATES 23, 1996 CODE, SECTION 12203 WITH A VIEW TO DESIGNATION Executive nominations received by UNDER THE PROVISIONS OF TITLE 10, UNITED STATES Mr. DOLE. I ask unanimous consent CODE, SECTION 8067 TO PERFORM THE DUTIES INDI- the Senate January 22, 1996: that when the Senate completes its CATED. business today, it stand in recess until DEPARTMENT OF STATE MEDICAL CORPS the hour of 2:30 p.m. on Tuesday, Janu- RICHARD L. MORNINGSTAR, OF MASSACHUSETTS, FOR To be colonel THE RANK OF AMBASSADOR DURING HIS TENURE OF ary 23, 1996; that following the prayer, SERVICE AS SPECIAL ADVISOR TO THE PRESIDENT AND DONALD R. SMITH, 000–00–0000 the Journal of proceedings be deemed TO THE SECRETARY OF STATE ON ASSISTANCE TO THE To be lieutenant colonel NEW INDEPENDENT STATES (NIS) OF THE FORMER SO- approved to date, the time for the two VIET UNION AND COORDINATOR OF NIS ASSISTANCE. CARLOS W.M. BEDROSSIAN, 000–00–0000

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RICHARD R. ECKERT, 000–00–0000 FIRMED BY THE SENATE UNDER SECTION 12203 SHALL JAMES R. FELTS, 000–00–0000 HARRY F. FARMER, JR., 000–00–0000 BEAR AN EFFECTIVE DATE ESTABLISHED IN ACCORD- GARY L. JACOBSEN, 000–00–0000 FREDERICK L. GILKEY, 000–00–0000 ANCE WITH SECTION 8374, TITLE 10 OF THE UNITED WILLIAM J. OSSENFORT, 000–00–0000 MAECENAS B. HENDRIX, 000–00–0000 STATES CODE. BERNARD L. SIMONSON, 000–00–0000 CHARLES H. HUBBERT, 000–00–0000 BRUCE A. JOHNSON, 000–00–0000 LINE THE FOLLOWING-NAMED DISTINGUISHED NAVAL BRUCE M. MORSE, 000–00–0000 To be lieutenant colonel GRADUATES TO BE APPOINTED PERMANENT ENSIGN IN SAROJA L. RANPURA, 000–00–0000 THE LINE OF THE U.S. NAVY, PURSUANT TO TITLE 10, CHARLES E. ROSS, 000–00–0000 JOSEPH P. ANELLO, 000–00–0000 UNITED STATES CODE, SECTION 531: SADASIVA P. SETTY, 000–00–0000 PHILIP E. BRAY, 000–00–0000 KYLE D. BRADY, 000–00–0000 CHRISTINA M.K. ZIENO, 000–00–0000 DAVID N. BURTON, 000–00–0000 DAVID D. DECKER, 000–00–0000 JOSEPH E. CRITES, 000–00–0000 DENTAL CORPS EVAN L. MORRISON, 000–00–0000 WILLIAM S. CROMER, 000–00–0000 DALE PULCZINSKI, 000–00–0000 To be lieutenant colonel JAMES F. DAWSON, JR., 000–00–0000 ALAN WILCOX, 000–00–0000 MICHAEL G. GREEN, 000–00–0000 ROBERT W. DANIELS, 000–00–0000 CHARLES A. GRIMES, 000–00–0000 THE FOLLOWING-NAMED U.S. NAVAL OFFICERS TO BE GENE P. KAHN, 000–00–0000 KEVIN K. KINDSCHUH, 000–00–0000 APPOINTED PERMANENT LIEUTENANT IN THE JUDGE RODNEY D. PHOENIX, 000–00–0000 MICHAEL R. LEONE, 000–00–0000 ADVOCATE GENERAL CORPS OF THE U.S. NAVY, PURSU- JOHN A. MCALLISTER, 000–00–0000 ANT TO TITLE 10, UNITED STATES CODE, SECTION 531: BIOMEDICAL SCIENCES CORPS RICHARD R. OLIVAREZ, 000–00–0000 To be lieutenant colonel EDDY L. PAYNE, 000–00–0000 ERIN E. DAUGHERTY, 000–00–0000 CHARLES B. PORTIS, 000–00–0000 TARA M. LEE, 000–00–0000 DON C. BAGWELL, 000–00–0000 MARTHA T. RAINVILLE, 000–00–0000 ANTHONY J. MAZZEO, 000–00–0000 THOMAS A. FLYNN, 000–00–0000 DENISE O. SCHOFIELD, 000–00–0000 GARY E. SHARP, 000–00–0000 GERALD J. HENSLEY, 000–00–0000 WILLIAM F. SIMPSON, 000–00–0000 ROBERT A. WILLIAMS, 000–00–0000 KENT J. NEILSEN, 000–00–0000 DAVID K. TANAKA, 000–00–0000 THE FOLLOWING-NAMED FORMER U.S. NAVY OFFICER JAMES D. THOMPSON, 000–00–0000 NURSE CORPS TO BE APPOINTED PERMANENT CAPTAIN IN THE MED- JEFFREY T. WILLIAMS, 000–00–0000 ICAL CORPS OF THE U.S. NAVAL RESERVE, PURSUANT TO To be lieutenant colonel JUDGE ADVOCATE GENERALS DEPARTMENT TITLE 10, UNITED STATES CODE, SECTION 12203: NEDLA J. EWEN, 000–00–0000 To be lieutenant colonel DAVID L. GOODMAN, 000–00–0000 JUDGE ADVOCATE MICHAEL W. SANDERSON, 000–00–0000 THE FOLLOWING-NAMED U.S. NAVY OFFICERS TO BE FRANK H. SHAW, JR., 000–00–0000 APPOINTED PERMANENT COMMANDER IN THE MEDICAL To be lieutenant colonel CORPS OF THE U.S. NAVAL RESERVE, PURSUANT TO CHAPLAIN CORPS JOHN J. THRASHER III, 000–00–0000 TITLE 10, UNITED STATES CODE, SECTION 12203: WILLIAM K. UNDERWOOD, 000–00–0000 To be lieutenant colonel JOHN K. BURNS, 000–00–0000 PAUL J. JULIANO, 000–00–0000 THE FOLLOWING INDIVIDUALS FOR RESERVE OF THE NORMAN L. WILLIAMS, 000–00–0000 AIR FORCE APPOINTMENT IN THE GRADE INDICATED, MEDICAL CORPS THE FOLLOWING-NAMED MEDICAL COLLEGE GRAD- UNDER THE PROVISIONS OF TITLE 10, UNITED STATES UATE TO BE APPOINTED PERMANENT COMMANDER IN CODE, SECTION 12203. To be lieutenant colonel THE DENTAL CORPS OF THE U.S. NAVAL RESERVE, PUR- LINE SUANT TO TITLE 10, UNITED STATES CODE, SECTION JOHN D. ADAMS, 000–00–0000 12203: To be lieutenant colonel ARTHUR B. EISENBREY, 000–00–0000 THOMAS E. HARRIS, 000–00–0000 TIMOTHY E. SPENCER, 000–00–0000 MARTHA L. GARITO, 000–00–0000 STEWART J. HAZEL, 000–00–0000 CHARLES A.V. HOBB, 000–00–0000 JOHN PANKIEWICZ, JR., 000–00–0000 THE FOLLOWING U.S. NAVY OFFICER TO BE APPOINTED RICHARD C. HOLLOMAN, 000–00–0000 JAN M. VANHOOMISSEN, 000–00–0000 PERMANENT COMMANDER IN THE DENTAL CORPS OF THOMAS A. HUGHES, 000–00–0000 THE U.S. NAVAL RESERVE, PURSUANT TO TITLE 10, MICHAEL E. LEBIEDZ, 000–00–0000 NURSE CORPS UNITED STATES CODE, SECTION 12203: MARY K. LUKE, 000–00–0000 To be lieutenant colonel PAUL T. BROERE, 000–00–0000 LANNY B.MC NEELY, 000–00–0000 STEPHEN G. MOFFETT, 000–00–0000 BARBARA T. MARTIN, 000–00–0000 IN THE AIR FORCE JAMES L. O’NEAL, 000–00–0000 IN THE ARMY THE FOLLOWING-NAMED OFFICERS FOR PROMOTION IN THE FOLLOWING STUDENTS OF THE UNIFORMED SERV- THE AIR FORCE RESERVE, UNDER THE PROVISIONS OF ICES UNIVERSITY OF THE HEALTH SCIENCES CLASS OF THE FOLLOWING OFFICERS FOR APPOINTMENT AS SECTIONS 12203, 8362 AND 8371, TITLE 10, UNITED STATES 1996, FOR APPOINTMENT IN THE REGULAR AIR FORCE IN PERMANENT PROFESSORS AT THE U.S. MILITARY ACAD- CODE. THE GRADE OF CAPTAIN, EFFECTIVE UPON THEIR GRAD- EMY UNDER THE PROVISIONS OF TITLE 10, UNITED UATION UNDER THE PROVISIONS OF SECTION 2114, TITLE STATES CODE, SECTION 4333(B): LINE 10, U.S.C., IF OTHERWISE FOUND QUALIFIED, WITH DATE COL. WILLIAM G. HELD, 000–00–0000 To be colonel OF RANK TO BE DETERMINED BY THE SECRETARY OF LT. COL. PATRICIA B. GENUNG, 000–00–0000 THE AIR FORCE. EDWARD A. ASKINS, 000–00–0000 IN THE NAVY JOHN D. BAILEY, 000–00–0000 MEDICAL CORPS ROBERT E. BAILEY, JR, 000–00–0000 THE FOLLOWING-NAMED DISTINGUISHED NAVAL STEPHEN R. BARNES, 000–00–0000 BRADLEY S. ABELS, 000–00–0000 GRADUATES TO BE APPOINTED PERMANENT ENSIGN IN PER K. AMUNDSON, 000–00–0000 LAWRENCE N. BARTON, JR, 000–00–0000 THE LINE OR STAFF CORPS OF THE U.S. NAVY, PURSU- ARCHER B. BATTISTA, 000–00–0000 JONATHAN W. BRIGGS, 000–00–0000 ANT TO TITLE 10, UNITED STATES CODE, SECTION 531: ALESIA C. CARRIZALES, 000–00–0000 DONALD E. BEERS, 000–00–0000 SCOTT C. CARRIZALES, 000–00–0000 CHARLES ARMSTRONG, 000–00–0000 MAUREEN H. BERGENFELD, 000–00–0000 MATTHEW B. CARROLL, 000–00–0000 PHILLIP BLACK, 000–00–0000 WILLIAM A. BLUMBERG, 000–00–0000 PIERRE ALAIN L. DAUBY, 000–00–0000 BYRON BOENING, 000–00–0000 JAMES E. BROWN, 000–00–0000 KRISTEN A. FULTSGANEY, 000–00–0000 MATTHEW BURNS, 000–00–0000 JON A. BROWN, 000–00–0000 VINOD K. GIDVANIDIAZ, 000–00–0000 MICHAEL CAMDEN, 000–00–0000 WARREN E. BUCHER, 000–00–0000 STEPHEN A. GILL, 000–00–0000 DARRELL CANADY, 000–00–0000 JOHN B. BUCHHEISTER, 000–00–0000 PAUL D. GLEASON II, 000–00–0000 CHAD CICCI, 000–00–0000 JONATHAN F. BUSHNELL, JR, 000–00–0000 PATRICK M. GROGAN, 000–00–0000 JOSE CORDERO, 000–00–0000 RICHARD L. BUTEFISH, 000–00–0000 DUNCAN G. HUGHES, 000–00–0000 JOHN EDSON, 000–00–0000 JOSEPH C. BYNUM III, 000–00–0000 JOHN F. JAMES, 000–00–0000 MARK ELLINGSON, 000–00–0000 JONATHAN W. CAMPBELL, 000–00–0000 PAMELA D. JOHNSON, 000–00–0000 ANTHONY ERICKSON, 000–00–0000 LARRY J. CARNAHAN, 000–00–0000 GREGORY A. KENNEBECK, 000–00–0000 FRANCIS FRANKY, 000–00–0000 FRED F. CASTLE, JR, 000–00–0000 CHETAN U. KHAROD, 000–00–0000 TODD FREISCHLAG, 000–00–0000 RICHARD W. CHAMPION, 000–00–0000 TODD T. KOBAYASHI, 000–00–0000 JASON GOOGE, 000–00–0000 JOHN R. CHURCH, 000–00–0000 DARII AL LANE, 000–00–0000 ROBERT LAWRENCE, 000–00–0000 JOSEPH F. CIRRINCIONE, 000–00–0000 DONALD J. LANE, 000–00–0000 KYLE LEESE, 000–00–0000 ALAN B. CLUNE, 000–00–0000 RAYMOND J. LEGENZA, 000–00–0000 MALCOLM MARTIN, 000–00–0000 JOSEPH L. CORDINA, 000–00–0000 JAMES D. LOWE, 000–00–0000 TYLER MAW, 000–00–0000 ROBERT L. CORLEY, 000–00–0000 EVAN R. MEEKS, 000–00–0000 BRIAN PERKINS, 000–00–0000 HARLON D. CRIMM, 000–00–0000 JANICE L. MOSELEY, 000–00–0000 PETER RIES, 000–00–0000 CARL M. CRUG, 000–00–0000 CABOT S. MURDOCK, 000–00–0000 MICHAEL RUDZIENSKY, 000–00–0000 ROBERT G. CUTLIP, 000–00–0000 JEFFREY G. NALESNIK, 000–00–0000 BENJAMIN RYAN, 000–00–0000 CHARLES L. EARLY, JR, 000–00–0000 DOUGLAS A. NELSON, 000–00–0000 LUIS SANCHEZ, 000–00–0000 ROBERT T. EDWARDS, 000–00–0000 ELIZABETH M. NORRIS, 000–00–0000 DAVID SAUVE, 000–00–0000 JAMES J. EMMA, 000–00–0000 DONALD T. OSBORN, 000–00–0000 JAMES SHANE, 000–00–0000 FRANK R. FAULKNER, 000–00–0000 ROBERT G. PATTERSON, 000–00–0000 ANDRE SMOLENACK, 000–00–0000 JULIETTE C. FINKENAUER, 000–00–0000 CHRISTOPHER P. PAULSON, 000–00–0000 BENJAMIN SNELL, 000–00–0000 VADE G. FORRESTER, JR, 000–00–0000 BARAK PERAHIA, 000–00–0000 ROB STEVENSON, 000–00–0000 DAVID L. FROSTMAN, 000–00–0000 KENNY J. PETERSON, 000–00–0000 WILLIAM SUTTON, 000–00–0000 OWEN C. GADEKEN, 000–00–0000 JAMES A. PHALEN, 000–00–0000 JOHN TENCER, 000–00–0000 MARIAN F. GETZELMAN, 000–00–0000 KIMBERLY D. PIETSZAK, 000–00–0000 JEFFREY VICARIO, 000–00–0000 RICHARD H. GIBBS, 000–00–0000 JOSEPH A. POCREVA, 000–00–0000 WINCESLAS WEEMS, 000–00–0000 IRIS C. GILBERT, 000–00–0000 DAVID M. ROGERS, 000–00–0000 THOMAS M. GRAHAM, 000–00–0000 DANIEL A. SHOOR, 000–00–0000 THE FOLLOWING-NAMED NAVAL RESERVE OFFICERS HENRY L. GRAVES, JR, 000–00–0000 ROBERT E. THAXTON, 000–00–0000 TRAINING CORPS PROGRAM CANDIDATE TO BE AP- EDWIN B. GRIGGS, 000–00–0000 JAMES J. THOMAS, 000–00–0000 POINTED PERMANENT ENSIGN IN THE STAFF CORPS OF JOHN H. GRUESER, 000–00–0000 DANIEL R. TUCKEY, 000–00–0000 THE U.S. NAVY, PURSUANT TO TITLE 10, UNITED STATES STEVEN W. HARDEN, 000–00–0000 JOHANN S. WESTPHALL, 000–00–0000 CODE, SECTION 531: WALTER W. HARRINGTON, 000–00–0000 THOMAS H. HART, 000–00–0000 SALLY M. WONDERLY, 000–00–0000 CALEB POWELL, JR., 000–00–0000 CHARLES P. WOOD, 000–00–0000 MICHAEL P. HAYES, 000–00–0000 MARK A. YUSPA, 000–00–0000 THE FOLLOWING-NAMED NAVY ENLISTED COMMISSION MICHAEL J. HEIDINGSFIELD, 000–00–0000 PROGRAM CANDIDATES TO BE APPOINTED PERMANENT JEFFREY HOLSHOUSER, 000–00–0000 THE FOLLOWING AIR NATIONAL GUARD OF THE UNITED ENSIGN IN THE LINE OF THE U.S. NAVY, PURSUANT TO CHARLES L. HOLSWORTH, 000–00–0000 STATES OFFICERS FOR PROMOTION IN THE RESERVE OF TITLE 10, UNITED STATES CODE, SECTION 531: GEOFFRY S. HOWARD, 000–00–0000 THE AIR FORCE UNDER THE PROVISIONS OF SECTIONS DANIEL M. KETTER, 000–00–0000 12203 AND 8379, TITLE 10 OF THE UNITED STATES CODE. ANDRE D. BROWN, 000–00–0000 FRANCIS B. LANE, 000–00–0000 PROMOTIONS MADE UNDER SECTION 8379 AND CON- GARY G. ELVIK, 000–00–0000 WILLIAM C. LAWRENCE, 000–00–0000

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VALENTINE F. LYNCH, 000–00–0000 LOISANN M. HOPKIN, 000–00–0000 CINDY A. DAVIS, 000–00–0000 LINDELL W. MABUS, 000–00–0000 MARY M. MARTIN, 000–00–0000 RUTH DEPALANTINO, 000–00–0000 CHARLES G. MACDONALD, 000–00–0000 JANICE M. MC KIBBAN, 000–00–0000 STEPHEN R. DISTASIO, JR, 000–00–0000 WAYNE E. MAROTZ, 000–00–0000 PATRICIA M. MOSS, 000–00–0000 RUTH M. ECKERT, 000–00–0000 ELLEN C. MATZ, 000–00–0000 SUSAN J. QUINN, 000–00–0000 MARGARET T. ELGIN, 000–00–0000 DAVID J. MCCARTHY, 000–00–0000 KAREN S. RIORDAN, 000–00–0000 KATHLYN M. EYDENBERG, 000–00–0000 DIANNE R. MCILVOY, 000–00–0000 CLYDE A. ROKKE, 000–00–0000 MARIE E. FERRELL, 000–00–0000 RONALD V. MEILSTRUP, 000–00–0000 MARIAN B. SIDES, 000–00–0000 BLAKE W. FOLDEN, 000–00–0000 JAMES L. MELIN, 000–00–0000 RITA M. SOLANDER, 000–00–0000 RICHARD L. FORTNER, 000–00–0000 KEITH W. MEURLIN, 000–00–0000 BETTY J. TAPP, 000–00–0000 RENEE M. GREER, 000–00–0000 MARK K. MILLER, 000–00–0000 NANCY D. THOMPSON, 000–00–0000 CORNELIA A. GRIFFIN, 000–00–0000 GARY P. MIXON, 000–00–0000 ROSALIE A. WAHLSTROM, 000–00–0000 MARGARET A. GRIFFIN, 000–00–0000 LAURENCE P. MOLLOY, JR, 000–00–0000 KATHRYN R. HAMILTON, 000–00–0000 JOSEPH T. MOLYSON, JR, 000–00–0000 MEDICAL SERVICE CORPS TERRY L. HAMMOND, 000–00–0000 JERRY L. MONTGOMERY, 000–00–0000 To be colonel BETTY S. HARRIS, 000–00–0000 FRANCIS M. MUNGAVIN, 000–00–0000 J. WILLIAM HARTLEY, 000–00–0000 MICHAEL P. MURPHEY, 000–00–0000 GERALD L. ANDRICK, 000–00–0000 KARLA K. HERRES, 000–00–0000 JOSEPH NABOZNY, 000–00–0000 SEYMOUR WIENER, 000–00–0000 CONSTANCE D. HICKMAN, 000–00–0000 BRADFORD C. NEAL, 000–00–0000 RICHARD M. HOLT, 000–00–0000 GAIL H. NELSON, 000–00–0000 BIOMEDICAL SERVICE CORPS BARBARA A. HOSTETLER, 000–00–0000 MICHAEL T. OHALLORAN, 000–00–0000 To be colonel LORI K. IRWIN, 000–00–0000 LANCE S. OKIMOTO, 000–00–0000 VICKI D. JOHNSON, 000–00–0000 ROBERT D. OLSON, 000–00–0000 LAWRENCE R. BARRETT, 000–00–0000 LESLIE W. JOHNSTON, 000–00–0000 JOSEPH G. ONEILL, 000–00–0000 MARSHA L. CHEESEMAN, 000–00–0000 JOHN A. KENNEY, 000–00–0000 NELSON E. OUTTEN, 000–00–0000 JEANINE G. COLBURN, 000–00–0000 DENISE L. KLAPP, 000–00–0000 JOHN PELLEGRINO, 000–00–0000 CHARLES W. JONES, 000–00–0000 KATHLEEN M. KOLES, 000–00–0000 WILLIAM M. RAJCZAK, 000–00–0000 GEORGE W. SCHLOSSNAGLE, 000–00–0000 BETH M. KRISTENSON, 000–00–0000 MARK R. REPKO, 000–00–0000 JAMES L. SCOTT, 000–00–0000 SUSAN M. LAHAIE, 000–00–0000 DOUGLAS C. ROPER, 000–00–0000 THE FOLLOWING-NAMED OFFICERS FOR PROMOTION IN JAMES L. LANGLOIS, JR, 000–00–0000 JAMES T. RUBEOR, 000–00–0000 THE U.S. AIR FORCE, UNDER THE APPROPRIATE PROVI- STACY L. LANHAMLAHERA, 000–00–0000 HENDRICK W. RUCK, 000–00–0000 SIONS OF SECTION 624, TITLE 10, U.S.C., AS AMENDED, IRENE D. LARSON, 000–00–0000 ALLAN J. SARRAT, JR, 000–00–0000 WITH DATES OF RANK TO BE DETERMINED BY THE SEC- CHERYL A. MANEY, 000–00–0000 RICHARD R. SEVERSON, 000–00–0000 RETARY OF THE AIR FORCE, AND THOSE OFFICERS IDEN- MAURA S. MC AULIFFE, 000–00–0000 DOLORES K. SHERMAN, 000–00–0000 TIFIED BY AN ASTERISK FOR APPOINTMENT IN THE REG- PATRICIA J. MC CAFFREY, 000–00–0000 JAMES M. SMITH, 000–00–0000 ULAR AIR FORCE UNDER THE PROVISIONS OF SECTION MAUREEN A. MC HUGHCASTRO, 000–00–0000 JAMES W. SMOLKA, 000–00–0000 531, TITLE 10, U.S.C., WITH A. VIEW TO DESIGNATION LINDA F. MILLER, 000–00–0000 ERIC L. STEPHENS, 000–00–0000 UNDER THE PROVISIONS OF SECTION 8067, TITLE 10, MARC W. MURPHY, 000–00–0000 RICHARD W. STINE, 000–00–0000 U.S.C., TO PERFORM DUTIES INDICATED PROVIDED THAT BARBARA AG NEDERVELT, 000–00–0000 DONALD J. SWANINGER, 000–00–0000 IN NO CASE SHALL THE FOLLOWING OFFICERS BE AP- PATRICIA L. NESS, 000–00–0000 THOMAS V. TAMEZ, 000–00–0000 POINTED IN A GRADE HIGHER THAN INDICATED. CANDY J. NISTLER, 000–00–0000 THOMAS D. TAVERNEY, 000–00–0000 ANTHONY J. PINTO, 000–00–0000 ROBERT P. VITRIKAS, 000–00–0000 JUDGE ADVOCATE SYLVIA A. PRINGLE, 000–00–0000 EDWARD R. VOGLER, 000–00–0000 HARRIET A. QUESENBERRY, 000–00–0000 DANIEL A. WAKLEY, 000–00–0000 To be lieutenant colonel ELIZABETH S. ROBISON, 000–00–0000 PHILIP D. WEBB, 000–00–0000 ANDREA M. ANDERSEN, 000–00–0000 IRMGARD RONDEAU, 000–00–0000 ROBERT D. WELSH, 000–00–0000 JACK L. ANDERSON, 000–00–0000 CHARLES R. ROUNTREE, 000–00–0000 JAMES W. WHITAKER, 000–00–0000 HARRY J. BATEY, 000–00–0000 RONALD E. RYDGREN, 000–00–0000 DALE TIMOTHY WHITE, 000–00–0000 RALPH A. BAUER, 000–00–0000 SANDRA R. SCHMIDTBERRINGER, 000–00–0000 ROBERT L. WHITE, 000–00–0000 STEPHEN H. BLEWETT, 000–00–0000 MARY J. SNYDER, 000–00–0000 FLOYD C. WILLIAMS, 000–00–0000 WILLIAM E. BOYLE, 000–00–0000 JOEL P. SOLOMON, 000–00–0000 TIMOTHY J. WRIGHTON, 000–00–0000 DAVID F. BRASH, 000–00–0000 LEWIS A. STANLEY, 000–00–0000 BRIDGET S. STONUEY, 000–00–0000 CHAPLAIN CORPS CHRISTOPHER F. BURNE, 000–00–0000 JOHN S. CHAMBLEE, 000–00–0000 DONNA C. THERIOT, 000–00–0000 To be colonel LE ELLEN COACHER, 000–00–0000 GAIL M. THERRIEN, 000–00–0000 ROBERT E. COACHER, 000–00–0000 KEIKO L. TORGERSEN, 000–00–0000 ROGER L. BACON, 000–00–0000 PAUL J. COELUS, JR, 000–00–0000 CHARLES R. TUPPER, 000–00–0000 JOHN H. ELLEDGE, JR, 000–00–0000 ROBERT V. COMBS II, 000–00–0000 STEPHEN H. TURNER, 000–00–0000 DONALD W. MUSSER, 000–00–0000 PAUL M. DANKOVICH, 000–00–0000 CAROL L. VERMILLION, 000–00–0000 MARK J. SPENCE, 000–00–0000 MORRIS D. DAVIS, 000–00–0000 LANETTE A. WATSON, 000–00–0000 DENTAL CORPS ALLAN L. DETERT, 000–00–0000 JANICE S. WILMOT, 000–00–0000 NORBERT J. DIAZ, 000–00–0000 LILLIANJOYCE STUCKEY WILSON, 000–00–0000 To be colonel TERRENCE H. FARRELL, 000–00–0000 BIOMEDICAL SCIENCES CORPS DONALD E. BERWANGER, 000–00–0000 WILLIAM GAMPEL, 000–00–0000 DAVID D. CRICHTON III, 000–00–0000 GREGORY GIRARD, 000–00–0000 To be lieutenant colonel DAVID T. EARNEST, 000–00–0000 WILLIE A. GUNN, 000–00–0000 RICHARD D. HARMON, 000–00–0000 STEVEN A. HATFIELD, 000–00–0000 LORAINE H. ANDERSON, 000–00–0000 ROBERT B. JAMES, 000–00–0000 BART HILLYER, 000–00–0000 WILLIAM S. ASTLEY, 000–00–0000 ROBERT S. JOHNSON, 000–00–0000 CHARLES P. KIELKOPF, 000–00–0000 MARY K. BALLENGEE, 000–00–0000 BEVERLY B. KNOTT, 000–00–0000 NEAL BAUMGARTNER, 000–00–0000 JUDGE ADVOCATE JOHN H. KONGABLE, 000–00–0000 MARY A. BIGELOW, 000–00–0000 To be colonel MARIANNE O. LARIVEE, 000–00–0000 CHARLES D. CAULKINS, 000–00–0000 PATRICK W. LINDEMANN, 000–00–0000 JOHN V. CIVITELLO, JR, 000–00–0000 DONALD A. ANDERSON, 000–00–0000 JEFFREY C. LINDQUIST, 000–00–0000 BRIAN K. DECKERT, 000–00–0000 CARL R. BEHRENS, 000–00–0000 MARY J. LUDVIGSON, 000–00–0000 BRIAN W. DESANTIS, 000–00–0000 WILLIAM O. BRESNICK, 000–00–0000 MARGARET R. MC CORD, 000–00–0000 JACKSON R. DOBBINS, 000–00–0000 ALBERT C. DEPENBROCK, 000–00–0000 JAMES E. MOODY, 000–00–0000 ROY T. FRANKLIN, 000–00–0000 EDMUND G. FLYNN, 000–00–0000 ROGER W. OVERLAND, 000–00–0000 MARK F. GENTILMAN, 000–00–0000 DERRICK R. FRANCK, 000–00–0000 GREGORY B. PORTER, 000–00–0000 ALFRED S. GRAZIANO, JR, 000–00–0000 BRUCE E. HAWLEY, 000–00–0000 RAYMOND E. RISSLING, 000–00–0000 JO A. HAGA, 000–00–0000 JOHN N. KULAS, 000–00–0000 MARK R. RUPPERT, 000–00–0000 HELEN M. HORNKINGERY, 000–00–0000 GREGORY E. MICHAEL, 000–00–0000 DAWN E. B. SCHOLZ, 000–00–0000 WILLIAM B. HUFF, 000–00–0000 KENNETH M. MURCHISON, 000–00–0000 KURT D. SCHUMAN, 000–00–0000 EDWARD S. HUMPHREY, 000–00–0000 JOHN S. ODOM, JR, 000–00–0000 SCOTT W. SINGER, 000–00–0000 BONNIE C. JOHNSON, 000–00–0000 JOHN B. SOUTHARD, JR, 000–00–0000 WALTER J. SKIERSKI, JR, 000–00–0000 MICHAEL E. JOHNSON, 000–00–0000 RONALD R. STICKA, 000–00–0000 KEITH M. SORGE, 000–00–0000 BARBARA J. LARCOM, 000–00–0000 LAURENCE M. SOYBEL, 000–00–0000 BRIAN L. LESTRANGE, 000–00–0000 MEDICAL CORPS JOHN F. SPURLIN, 000–00–0000 FRANK B. LIEBHABER, JR, 000–00–0000 To be colonel HOLLY M. STONE, 000–00–0000 RUSSELL J. MEILING, 000–00–0000 JO ANN STRINGFIELD, 000–00–0000 HARMON MELDRIM, 000–00–0000 THOMAS L. ARNTSON, 000–00–0000 STEVEN N. TOMANELLI, 000–00–0000 MARION C. MOHRI, 000–00–0000 JAMES F. BLAKELY, 000–00–0000 JOSEPH V. TREANOR III, 000–00–0000 GEORGE NICOLAS, JR, 000–00–0000 WILLIAM M. CASKEY, 000–00–0000 DAVID R. VECERA, 000–00–0000 MICHAEL L. NORED, 000–00–0000 JOHN R. DIMAR II, 000–00–0000 ISRAEL B. WILLNER, 000–00–0000 MEADE PIMSLER, 000–00–0000 RICHARD O. DOLINAR, 000–00–0000 WAYNE WISNIEWSKI, 000–00–0000 STEPHEN G. REINHART, 000–00–0000 VAL D. DUNN, 000–00–0000 NURSE CORPS PAULA S. SIMON, 000–00–0000 WILLIAM J. DUNN, 000–00–0000 SCOTT A. SIMPSON, 000–00–0000 RODRIGO B. FLORO, 000–00–0000 To be lieutenant colonel STEPHEN M. SMICKER, 000–00–0000 DOUGLAS K. HOLMES, 000–00–0000 JOHN D. STEIN, 000–00–0000 STEVEN R. HORN, 000–00–0000 MARIANNE B. AIRHART, 000–00–0000 GORDON B. SWAYZE, 000–00–0000 BRUCE W. JENSEN, 000–00–0000 DALE E. ALLEN, 000–00–0000 MARK J. WELTER, 000–00–0000 MAURICE D. LEVY, 000–00–0000 RUTH M. ANDERSON, 000–00–0000 GREGORY Y. G. YOUNG, 000–00–0000 YASH P. MALHOTRA, 000–00–0000 VINCENT P. BERNOTAS, 000–00–0000 MICHAEL E. YOUNG, 000–00–0000 LOUIS PANG, 000–00–0000 TERRY K. BLUE, 000–00–0000 THOMAS M. ZAZECKIS, 000–00–0000 FRANK SPARANDERO, 000–00–0000 CECILLIA O. BOLAND, 000–00–0000 SEETHA G. SURYAPRASAD, 000–00–0000 THERESA M. BOSTWICK, 000–00–0000 THE FOLLOWING-NAMED OFFICERS FOR PROMOTION IN JAMES K. WRIGHT, 000–00–0000 MARCI S. BOSWELL, 000–00–0000 THE U.S. AIR FORCE, UNDER THE APPROPRIATE PROVI- ELIZABETH L. BOWERS, 000–00–0000 SIONS OF SECTION 624, TITLE 10, U.S.C., AS AMENDED, NURSE CORPS TYWANA F. C. BOWMAN, 000–00–0000 WITH DATES OF RANK TO BE DETERMINED BY THE SEC- To be colonel TERESA A. CAMPBELL, 000–00–0000 RETARY OF THE AIR FORCE, AND THOSE OFFICERS IDEN- CHERYL A. CARROLL, 000–00–0000 TIFIED BY AN ASTERISK FOR APPOINTMENT IN THE REG- PATRICIA R. BALLENTINE, 000–00–0000 MARYLOU CARSON, 000–00–0000 ULAR AIR FORCE UNDER THE PROVISIONS OF SECTION PENELOPE A. BURNS, 000–00–0000 NANCY L. CHENEVEY, 000–00–0000 531, TITLE 10, U.S.C., WITH A VIEW TO DESIGNATION LINDA L. CARNEAL, 000–00–0000 BRIAN L. CLAYTON, 000–00–0000 UNDER THE PROVISIONS OF SECTION 8067, TITLE 10, CAROL G. ELLIOTT, 000–00–0000 JOHNNIE M. COBWELL, 000–00–0000 U.S.C., TO PERFORM DUTIES INDICATED PROVIDED THAT SANDRA L. ERICKSON, 000–00–0000 JANE E. COZIER, 000–00–0000 IN NO CASE SHALL THE FOLLOWING OFFICERS BE AP- LORI A. FICHMAN, 000–00–0000 FLORENCE B. CRUZ, 000–00–0000 POINTED IN A GRADE HIGHER THAN INDICATED.

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JUDGE ADVOCATE THOMAS R SCHNEID, 000–00–0000 JAMES A. BOURGEOIS, 000–00–0000 ERIC S SCHUERMER, 000–00–0000 MARK W. BOWYER, 000–00–0000 To be major NATHAN W SCHWANDT, 000–00–0000 DEBORAH N. BURGESS, 000–00–0000 RONALD K SCOVILLE, 000–00–0000 EDWARD C. CALLAWAY, 000–00–0000 THOMAS M. AYZE, 000–00–0000 JAY C SMITH, 000–00–0000 DEAN W. CARLSON, 000–00–0000 DARYL L. BELL, 000–00–0000 MICHAEL W SMITH, 000–00–0000 JUNE A. CARRAHER, 000–00–0000 DAVID L. BELL, 000–00–0000 SUSAN J SMYTHE, 000–00–0000 DELOS D. CARRIER, 000–00–0000 JERRI G. BREWER, 000–00–0000 FAITH A THOMAS, 000–00–0000 DOUGLAS J. CHADBOURNE, 000–00–0000 LEONARD L. BROSEKER, 000–00–0000 GARY V VIGIL, 000–00–0000 CRAIGHTON CHIN, 000–00–0000 GARY D. BROWN, 000–00–0000 DERICK K WILCHER, 000–00–0000 JOHN T. CINCO, 000–00–0000 GERALD Q. BROWN, 000–00–0000 STEVEN C. COGSWELL, 000–00–0000 JAMES C. BUCKELS, 000–00–0000 MEDICAL CORPS DAVID L. CULL, 000–00–0000 JAMES V. CANNIZZO, 000–00–0000 To be colonel DAVID L. DAWSON, 000–00–0000 DONNA M. CLARK, 000–00–0000 RICHARD J. DELORENZO, JR., 000–00–0000 TIMOTHY J. COTHREL, 000–00–0000 JOSEPH ARGYLE, 000–00–0000 JEFFREY G. DEMAIN, 000–00–0000 DAVID J. DICENSO, 000–00–0000 HANS E ARVIDSON, 000–00–0000 THOMAS H. DOUGHERTY, 000–00–0000 MATTHEW L. DUFFIN, 000–00–0000 THOMAS E BALDWIN, 000–00–0000 PRESTON M. DUNNMON, 000–00–0000 KEVIN J. FLEMING, 000–00–0000 THOMAS N BEACH, 000–00–0000 EUGENE D. EDDLEMON, 000–00–0000 TRACI D. GUARINIELLO, 000–00–0000 FRANKLIN M BOYER, JR, 000–00–0000 ROBERT W. ELLIS, 000–00–0000 CLARENCE P. GUILLORY, JR., 000–00–0000 STEPHEN B CHRISMAN, 000–00–0000 ANN E. FARASH, 000–00–0000 TAMARA S. HOLDER, 000–00–0000 CRANDON F CLARK, JR, 000–00–0000 CHARLES R. FISHER, JR., 000–00–0000 SHARON A. HOMOLKA, 000–00–0000 GLENN C COCKERHAM, 000–00–0000 WYATT C. FOWLER, 000–00–0000 ROBERT S. HOWARD, 000–00–0000 KENNETH R DAVIS, 000–00–0000 DANIEL C. GARNER, 000–00–0000 CAROL L. HUBBARD, 000–00–0000 JEAN B DORVAL, 000–00–0000 THOMAS F. GEORGE, 000–00–0000 CHARLIE M. JOHNSONWRIGHT, 000–00–0000 RANDALL E FELLMAN, 000–00–0000 ANTHONY T. GHIM, 000–00–0000 STEVEN E. JONES, 000–00–0000 ALBERT P FISCHER, JR, 000–00–0000 KARA L. HAAS, 000–00–0000 ELIZABETH KELLY, 000–00–0000 JAMES C FUNDERBURG, 000–00–0000 DAN R. HANSEN, 000–00–0000 POLLY S. KENNY, 000–00–0000 SCHUYLER K GELLER, 000–00–0000 CRAIG D. HARTRANFT, 000–00–0000 KEVIN P. KOEHLER, 000–00–0000 TIMOTHY GEORGELAS, 000–00–0000 ANTHONY L. HATCHER, 000–00–0000 WILLIAM R. KRAUS, 000–00–0000 WILLIAM J GERMANN, 000–00–0000 AIMEE L. HAWLEY, 000–00–0000 WILLIAM A. KURLANDER, 000–00–0000 JOAN R GRIFFITH, 000–00–0000 JAMES H. HENDERSON II, 000–00–0000 ANDREW S. LADE, 000–00–0000 WILLIAM K HAMILTON, 000–00–0000 JAMES H. HERIOT, 000–00–0000 ROBERT P. MAGGARD, 000–00–0000 DAVID V HANSEN, 000–00–0000 TODD D. HESS, 000–00–0000 KAREN E. MAYBERRY, 000–00–0000 GARY K HARGROVE, 000–00–0000 BRUCE T. HEWETT, 000–00–0000 JOHN F. MC CUNE, 000–00–0000 CRAIG T HATTON, 000–00–0000 STEPHEN R. HOLT, 000–00–0000 JOHN S. MEADOR, 000–00–0000 CHRISTOPHER N HEINRICHS, 000–00–0000 JOHN S. HUNT, 000–00–0000 CRAIG G. MILLER, 000–00–0000 ROBERT B HULL, 000–00–0000 ROBERT R. IRELAND, 000–00–0000 ROBERT M. MITCHELL, 000–00–0000 FREDERICK W JONES, 000–00–0000 MARK A. JEFFRIES, 000–00–0000 DOUGLAS G. MURDOCK, 000–00–0000 HALIFAX C KING, 000–00–0000 DAVID M. JENKINS, 000–00–0000 NANCY J. PAUL, 000–00–0000 PETER S KROGH III, 000–00–0000 LARRY N. JOHNSON, 000–00–0000 RONALD R. RATTON, 000–00–0000 HARRY W KUBERG, 000–00–0000 VINCENT T. JONES, 000–00–0000 SHAUN T. RILEY, 000–00–0000 LEON W KUNDROTAS, 000–00–0000 KEVIN T. JORDAN, 000–00–0000 JOSEPH P. SCHMITZ, 000–00–0000 DAVID A LANTZ, 000–00–0000 LISA M. JUDGE, 000–00–0000 MICHAEL A. SCIALES, 000–00–0000 JAMES L LAUB, 000–00–0000 EVAN Z. KAPP, 000–00–0000 LANCE B. SIGMON, 000–00–0000 JOHN D LESSER II, 000–00–0000 HOWARD L. KATZ, 000–00–0000 STANLEY R. SMITH, 000–00–0000 MICHAEL W LISCHAK, 000–00–0000 WILLIAM B. KLEIN, 000–00–0000 RANDALL G. SNOW, 000–00–0000 LARRY G MADEN, 000–00–0000 CHRISTOPHER J. KNAPP, 000–00–0000 THOMAS R. SPARKS, 000–00–0000 MICHAEL R MAROHN, 000–00–0000 KATHY A. LACIVITA, 000–00–0000 DAVID C. STEWART, 000–00–0000 DONALD C MC CURNIN, 000–00–0000 TIMONTHY J. LADNER, 000–00–0000 SHARON K. SUGHRU, 000–00–0000 GARRISON V MORIN, 000–00–0000 TOMAS F. LICHAUCO, 000–00–0000 JOSE C. TAURO III, 000–00–0000 RICHARD C NIEMTZOW, 000–00–0000 CHRISTOPHER J. LISANTI, 000–00–0000 CHERYL H. THOMPSON, 000–00–0000 THOMAS J O’DONNELL, 000–00–0000 GAEL J. LONERGAN, 000–00–0000 STEVEN B. THOMPSON, 000–00–0000 MICHAEL D PARKINSON, 000–00–0000 ROBERT C. LOWE, 000–00–0000 MICHAELISA M. TOMASICLANDER, 000–00–0000 JEB S PICKARD, 000–00–0000 MATTHEW L. LUKENS, 000–00–0000 JAMES B. WAGER, JR., 000–00–0000 ROBERT W RECTENWALD, 000–00–0000 KAREN M. MATHEWS, 000–00–0000 ROBERT E. WATSON, 000–00–0000 GREGORY T REHE, 000–00–0000 DONALD K. MATTHEWS, 000–00–0000 BRYAN T. WHEELER, 000–00–0000 LONDE A RICHARDSON, 000–00–0000 KEVIN M. MC CABE, 000–00–0000 RUTH A ROBINSON, 000–00–0000 MARK D. MILLER, 000–00–0000 THE FOLLOWING-NAMED OFFICERS FOR PROMOTION IN RICHARD H ROWE, 000–00–0000 ELIZABETH A. MILUM, 000–00–0000 THE U.S. AIR FORCE, UNDER THE APPROPRIATE PROVI- SARLA K SAUJANI, 000–00–0000 PAUL S. MUELLER, 000–00–0000 SIONS OF SECTION 624, TITLE 10, U.S.C., AS AMENDED, KATHERINE E SCHEIRMAN, 000–00–0000 PETER M. MURRAY, 000–00–0000 WITH DATES OF RANK TO BE DETERMINED BY THE SEC- RASA S SILENAS, 000–00–0000 DAVID SYDNEY NIX, 000–00–0000 RETARY OF THE AIR FORCE, AND THOSE OFFICERS IDEN- DAVID H SUMMERS, 000–00–0000 KEVIN J. O’TOOLE 000–00–0000 TIFIED BY AN ASTERISK FOR APPOINTMENT IN THE REG- MARK G SWEDENBURG, 000–00–0000 MARTIN G. OTTOLINI, 000–00–0000 ULAR AIR FORCE UNDER THE PROVISIONS OF SECTION EDWARD TAXIN, 000–00–0000 ROBERT A. PANICO, 000–00–0000 531, TITLE 10, U.S.C., WITH A VIEW TO DESIGNATION GREGORY J TOUSSAINT, 000–00–0000 MICHAEL S. PARANKA, 000–00–0000 UNDER THE PROVISIONS OF SECTION 8067, TITLE 10, RODGER D VANDERBEEK, 000–00–0000 DENNIS PEARMAN, 000–00–0000 U.S.C., TO PERFORM DUTIES INDICATED PROVIDED THAT STEPHEN G WALLER, 000–00–0000 BRADLEY E. PERSONIUS, 000–00–0000 IN NO CASE SHALL THE FOLLOWING OFFICERS BE AP- CARL L WILLIAMS, 000–00–0000 DANGTUAN PHAM, 000–00–0000 POINTED IN A GRADE HIGHER THAN INDICATED. RICHARD S WILLIAMS, 000–00–0000 ARNYCE R. POCK, 000–00–0000 DENTAL CORPS BRADLEY A YODER, 000–00–0000 THOMAS M. POLIDORE, 000–00–0000 BUJUNG ZEN, 000–00–0000 STEVEN M. PRINCIOTTA, 000–00–0000 To be colonel ROBERT G ZERULL, 000–00–0000 MARK K. REED, 000–00–0000 MICHAEL J. REZNICEK, 000–00–0000 STEPHEN W. ANDREWS, 000–00–0000 DENTAL CORPS DAVID B. RHODES, 000–00–0000 DONALD M. BELLES, 000–00–0000 To be lieutenant colonel JOSE E. ROMAN, 000–00–0000 JOHN B. BRILEY, 000–00–0000 MICHAEL T. RYAN, 000–00–0000 JAMES C. BROOME, JR., 000–00–0000 THOMAS W BECKMAN, 000–00–0000 TERENCE D. RYAN II, 000–00–0000 MICHAEL R. BROWN, 000–00–0000 PAUL E BROWN, 000–00–0000 ROBERT M. SADD, 000–00–0000 MARK T. CARLSON, 000–00–0000 TIMOTHY S CLASEMAN, 000–00–0000 EDMUND S. SABANEGH, JR., 000–00–0000 DOUGLAS A. CLARKE, 000–00–0000 CORYDON L DOERR, 000–00–0000 TRACY L. SAMPLES, 000–00–0000 WALTER C. DANIELS, 000–00–0000 RANDALL C DUNCAN, 000–00–0000 VICENTE E. SANCHEZCASTRO, 000–00–0000 RICHARD D. DAVIS, 000–00–0000 DOUGLAS M ERICKSON, 000–00–0000 MICHAEL SCHAUBER, 000–00–0000 ALEX A. DEPERALTA, JR., 000–00–0000 JAMES M GAMBILL, 000–00–0000 ERIC R. SCHWARZ, 000–00–0000 HERMAN S. DICKERSON, 000–00–0000 MICHAEL C HALL, 000–00–0000 ERIC J. SIMKO, 000–00–0000 DOUGLAS B. EVANS, 000–00–0000 GRANT R HARTUP, 000–00–0000 CARL G. SIMPSON, 000–00–0000 KENNETH R. EYE, 000–00–0000 ROBERT G KARKER, 000–00–0000 GARY D. SWAIN, 000–00–0000 ROBERT M. GARRETT, 000–00–0000 JAMES E KING, JR, 000–00–0000 TERRY L. TOMLINSON, 000–00–0000 GEORGE J. GERDTS, 000–00–0000 JOHN C KRESIN, 000–00–0000 LAURA A. TORRESREYES, 000–00–0000 JAMES A. GLAESS, 000–00–0000 GARY C MARTIN, 000–00–0000 HENRY F. TRIPP, JR., 000–00–0000 JEFFREY C. HAMBLETON, 000–00–0000 MARY ELLEN MC LEAN, 000–00–0000 WILLIAM J. VALKO, 000–00–0000 JEANNE HANSENBAYLESS, 000–00–0000 ERIK J MEYERS, 000–00–0000 MARC A. VALLEY, 000–00–0000 JOHN S. HORNBURG, 000–00–0000 RICHARD R MILLER, 000–00–0000 DAVID F. VANDERBURGH, 000–00–0000 BRUCE A. KENNEDY, 000–00–0000 GARRY L MYERS, 000–00–0000 DENNIS D. WEAVER, 000–00–0000 WALTER C. KIRK, JR., 000–00–0000 ROBERT H POINDEXTER, 000–00–0000 CHRISTOPEHER S. WILLIAMS, 000–00–0000 ROBERT B. LARSEN, 000–00–0000 CHARLES A POWELL, 000–00–0000 DORIAN J. WILSON, 000–00–0000 KENNETH A. LEVIN, 000–00–0000 MARK S RASCH, 000–00–0000 ROBERT A. WILSON, 000–00–0000 MICHAEL W. MARTIN, 000–00–0000 HOWARD W ROBERTS, 000–00–0000 MYGLEETUS W. WRIGHT, 000–00–0000 WILLIAM S. MOORE, 000–00–0000 DAVID A STANCZYK, 000–00–0000 DONALD R. YOHO JR., 000–00–0000 DAVID F. MURCHISON, 000–00–0000 VINCENT J TAKACS, 000–00–0000 BRENT E. NELSEN, 000–00–0000 DOUGLAS C WILSON, 000–00–0000 DENTAL CORPS STEVEN J. NEVINS, 000–00–0000 To be major ALAN D. NEWTON, 000–00–0000 MEDICAL CORPS GLENDA E. S. NUCKOLS, 000–00–0000 To be lieutenant colonel THADDEUS M. CHAMBERLAIN, 000–00–0000 ROBERT A. OLSON, 000–00–0000 JAMES C. CHOI, 000–00–0000 JOHNIE D. OVERTON, 000–00–0000 MICHAEL J. AINSCOUGH, 000–00–0000 CHRISTOPHER CIAMBOTTI, 000–00–0000 THOMAS J. PLAMONDON, 000–00–0000 DENNA E. ALI, 000–00–0000 ANN M. COFFEY, 000–00–0000 RONALD L. PLEIS, 000–00–0000 RICHARD E. BACHMANN, JR., 000–00–0000 DOUGLAS B. CURRY, 000–00–0000 FORREST R. POINDEXTER, 000–00–0000 MARGARET L. BARNESRIVERA, 000–00–0000 JOHN A. DOLENZ, 000–00–0000 STEPHEN W. PORTER, 000–00–0000 STEVEN A. BARRINGTON, 000–00–0000 LONNIE, D. EASTER, 000–00–0000 MARIA A. RABBIO, 000–00–0000 WILLIAM H. BARTH, JR., 000–00–0000 BRUCE M. ERICKSON, 000–00–0000 WILLIAM H. RAINES, 000–00–0000 ALAN B. BERG, 000–00–0000 JAY E. FANDEL, 000–00–0000 REX T. RAPER, 000–00–0000 CATHERINE E. BIERSACK, 000–00–0000 RICHARD R. FRAZIER, 000–00–0000 JOHN J RICHTER III, 000–00–0000 JEFFREY M. BISHOP, 000–00–0000 ROGER J. GOLLON, 000–00–0000 STEVEN A RUFFIN, 000–00–0000 DOUGLAS F. BOLDA, 000–00–0000 GUY F. GRABIAK, 000–00–0000 KIRK D. SATROM, 000–00–0000 GEORGE T. BOLTON, 000–00–0000 DANIEL M. GREISING, 000–00–0000 STEPHEN A SCHMIDT, 000–00–0000 DEBORAH J. BOSTOCK, 000–00–0000 DANIEL HABERMAN, 000–00–0000

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00118 Fmt 4624 Sfmt 9801 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — SENATE S289

MARISA H. HERMAN, 000–00–0000 WILLIAM N DINENBERG, 000–00–0000 DANIEL L LOTT, 000–00–0000 TRACY A. HUTCHISON, 000–00–0000 JOSEPH A DINKINS, 000–00–0000 DOUGLAS A LOUGEE, 000–00–0000 GEORGE E. JOHNSON, 000–00–0000 FRANK G DITZ, 000–00–0000 LAURIE P LOVELY, 000–00–0000 RICHARD L. JOHNSON, 000–00–0000 ALDO J DOMENICHINI, 000–00–0000 MICHAEL E LYNCH, 000–00–0000 BRIAN T. KERNAN, 000–00–0000 ROBERT B DONEGAN, 000–00–0000 WILLIAM S. MAHER, 000–00–0000 ROBERT E. LANGSTEN, 000–00–0000 GEORGE R DULABON, 000–00–0000 PATTI W MANNING, 000–00–0000 ROBERT J. MALEK, 000–00–0000 BLACK RACHEL R DUNN, 000–00–0000 JEFFREY A MARCHESSAULT, 000–00–0000 MICHAEL J. MAUGER, 000–00–0000 THOMAS M DYE, 000–00–0000 ELIZABETH A MARKOWITZ, 000–00–0000 RANDALL J. MC DANIEL, 000–00–0000 BRUCE M EDWARDS, 000–00–0000 AREVALO DEANDRA L MARTIN, 000–00–0000 MICHAEL F. MORRIS, 000–00–0000 MARTIN G EDWARDS, 000–00–0000 EDWARD F MARTINEK, 000–00–0000 KEVIN J. MURPHY, 000–00–0000 PETER J ELLIOTT, 000–00–0000 JOHN C MATTEUCCI, 000–00–0000 DAVID W. MURRAY, 000–00–0000 KATHLEEN E EMPEN, 000–00–0000 DANIEL E MATTHEWS, 000–00–0000 MICHAEL D. MURRAY, 000–00–0000 IREL S EPPICH, 000–00–0000 MARION B MAZZOLA, 000–00–0000 SUSAN M. OSOVITZPETERS, 000–00–0000 MICHAEL J EPPINGER, 000–00–0000 COLLOM ANCE E MC,, 000–00–0000 DAVID F. PIERSON, 000–00–0000 JAMES S EVANS, 000–00–0000 FRANCIS M MC CABE, 000–00–0000 JOHN A. SAFAR, 000–00–0000 JAMES W FARN, 000–00–0000 DARYL M MC CLENDON, 000–00–0000 SCOTT R. SCHUBKEGEL, 000–00–0000 PHILIP J FEARAHN, 000–00–0000 THOMAS C MC FADDEN, JR, 000–00–0000 JAY S. TAYLOR, 000–00–0000 ERIC B FEINBERG, 000–00–0000 JOSEPH P MC GRAW, 000–00–0000 MAREN DENNIS M. VAN, 000–00–0000 EDWARD L FIEG, 000–00–0000 SCOTT E MC GUIRE, 000–00–0000 JANE S. WALLACE, 000–00–0000 THOMAS G FIELD, 000–00–0000 PAUL C MC LOONE, 000–00–0000 MARK H. WRIGHT, 000–00–0000 SCOTT P FIELDER, 000–00–0000 SHELLY MEWES MC NAIR, 000–00–0000 MICHAEL D FIELDS, 000–00–0000 JEFFRY P MENZNER, 000–00–0000 MEDICAL CORPS ERIC M FINLEY, 000–00–0000 CHERYL A MEYERS, 000–00–0000 To be major STEPHANIE A FLESHER, 000–00–0000 ERIC D MILLER, 000–00–0000 LESLIE R FLETCHER, JR, 000–00–0000 CYNTHIA A MOFFETT, 000–00–0000 MARTIN ABBINANTI, 000–00–0000 RODERICK J FLOWERS, 000–00–0000 DAVID C MOOTH, 000–00–0000 GAIL D. ABBOTT, 000–00–0000 DOUGLAS B FORSYTH, 000–00–0000 CHARLES E MORRIS, 000–00–0000 LISA M. ADE, 000–00–0000 PETER L FORT, 000–00–0000 WILLIAM B MORRISON, 000–00–0000 MELISSA A. AERTS, 000–00–0000 JOHN E FORTENBERRY, 000–00–0000 GREGORY J MORSE, 000–00–0000 BRIAN D. AFFLECK, 000–00–0000 DAVID R FOSS, 000–00–0000 MYRON E MORSE, 000–00–0000 EVAN C. ALLEN, 000–00–0000 INDRA N FRANK, 000–00–0000 LINDA K NAKANISHI, 000–00–0000 NIMIA J. ALSTON, 000–00–0000 KEVIN J FRANKLIN, 000–00–0000 ROBERT J. NARDINO, 000–00–0000 FREDERICK J. ANDERSON, JR., 000–00–0000 KURT E FRAUENPREIS, 000–00–0000 JEFFREY C NARY, 000–00–0000 VALISIA A. ANDREWS, 000–00–0000 STEVEN M FREED, 000–00–0000 KAY M NELSEN, 000–00–0000 BRYAN N. ANGLE, 000–00–0000 PAUL F FREITAS, 000–00–0000 ERIC A NELSON, 000–00–0000 JOHN L. ANTHONY, 000–00–0000 MICHAEL D FUGIT, 000–00–0000 PAUL B NELSON, 000–00–0000 EMILO A. ARISPE, 000–00–0000 JULIEMARIE GERICK, 000–00–0000 ANN A T NGUYEN, 000–00–0000 JAMES C ASHWORTH, 000–00–0000 PAUL M GIBBS, 000–00–0000 DUC C NGUYEN, 000–00–0000 CARLOS R BAEZ, 000–00–0000 JOSEPH A GIOVANNINI, 000–00–0000 STEVEN A NGUYEN, 000–00–0000 MARY E BANE, 000–00–0000 RICHARD S GIST, 000–00–0000 CAROL M NIBERT, 000–00–0000 DAVID R BARNARD, 000–00–0000 STEVEN P GOFF, 000–00–0000 MARQUIS J NUBY, 000–00–0000 DOUGLAS E BARNES, 000–00–0000 ROBIN S GOSSUM, 000–00–0000 CHRISTOPHER A NUSSER, 000–00–0000 GEORGE T BARRON, JR, 000–00–0000 CARON JO GRAY, 000–00–0000 LAWRENCE R NYCUM, 000–00–0000 CHARLES A BATEN, 000–00–0000 GREGORY S GROSE, 000–00–0000 JOHN W OBBINK, JR 000–00–0000 TIMOTHY N BEAMESDERFER, 000–00–0000 BRIAN A GUNTER, 000–00–0000 ERIC T ORTINAU, 000–00–0000 BRION J BEERLE, 000–00–0000 EVAN C GUZ, 000–00–0000 LAURA B OSTEZAN, 000–00–0000 DANIEL D BELLINGHAM, 000–00–0000 KENT L HAGGARD, 000–00–0000 RORY G OWEN, 000–00–0000 JOHN R BENNETT, 000–00–0000 RYAN T HAGINO, 000–00–0000 CHRISTOPHER G PALMER, 000–00–0000 BRAD Z BERGER, 000–00–0000 JEFFREY L HAMILTON, 000–00–0000 ANDREA L PANA, 000–00–0000 DANNY P BERK, 000–00–0000 CYNTHIA K HAMPSON, 000–00–0000 PATRICK M PANCOAST, 000–00–0000 MARTIN F BERTRAM, 000–00–0000 DENISE L HARKINS, 000–00–0000 DOMIAN PAONESSA, 000–00–0000 LEROY G BEYER, JR, 000–00–0000 F THOMAS HARKINS, 000–00–0000 MARK RANDALL PARSON, 000–00–0000 KIP A BIDWELL, 000–00–0000 STEVEN J HARLINE, 000–00–0000 ANJA A PATTON, 000–00–0000 WILLIAM A BIGGERS, JR, 000–00–0000 TYLER E HARRIS, 000–00–0000 RHONDA L PERRY, 000–00–0000 JAY T BISHOFF, 000–00–0000 HOWARD S HAYNES, 000–00–0000 MICHAEL J PHILLIPS, 000–00–0000 MATTHEW F BITNER, 000–00–0000 JAMES W HAYNES, 000–00–0000 THOMAS R PIAZZA, 000–00–0000 KAREN BLANKENBURG, 000–00–0000 TINA S HAYNES, 000–00–0000 JOSEPH J PIERCE III, 000–00–0000 ELIZABETH STROH BLOOM, 000–00–0000 MICHAEL J HEARD, 000–00–0000 EMILY W PIERCEFIELD, 000–00–0000 JEFFREY A BOCK, 000–00–0000 AUGUST S HEIN, 000–00–0000 LLOYD A PIERRE, JR, 000–00–0000 THOMAS S BOLAND, 000–00–0000 MARK B HEINONEN, 000–00–0000 JOHN A PILCHER, JR, 000–00–0000 WILLIAM T BOLEMAN, 000–00–0000 ROBIN R HEMPHILL, 000–00–0000 CHRISTOPHER D PITTS, 000–00–0000 JEFFREY R BORIS, 000–00–0000 CHARLES A HENDERSON, 000–00–0000 HELEN G POREMBA, 000–00–0000 MARC W BOSTICK, 000–00–0000 ALAN W HENLEY, 000–00–0000 JOHN A POREMBA, 000–00–0000 MARK A BRADSHAW, 000–00–0000 BARRY S HIGHBLOOM, 000–00–0000 DANA E POWELL, 000–00–0000 CYNTHIA L BRANDENBURG, 000–00–0000 BARBARA A HILGENBERG, 000–00–0000 GEORGE E POWELL, 000–00–0000 WERNER C BROOKS, 000–00–0000 PETER D HOLT, 000–00–0000 LEONARDO C PROFENNA, 000–00–0000 DIANA P BROOMFIELD, 000–00–0000 CHARLES HOPE II 000–00–0000 DAVID M RASMUSSEN, 000–00–0000 DAVID W BROUWER, 000–00–0000 JOSEPH A HOWARD, 000–00–0000 CYNTHIA L RAUH, 000–00–0000 ANGELA M BROWN, 000–00–0000 DANILO H HOYUMPA, 000–00–0000 MARVIN LEE RAY, 000–00–0000 MARKHAM J BROWN, 000–00–0000 TADD T C HSIE, 000–00–0000 DENNIS G REID, 000–00–0000 TONYA R BROWN, 000–00–0000 IDA E HUANG, 000–00–0000 RICHARD C RENO, 000–00–0000 VICTORY Y M BROWN, 000–00–0000 MARK E HUBNER, 000–00–0000 JENNIFER M RHODE, 000–00–0000 SCOTT M BROWNING, 000–00–0000 ROGER L HUMPHRIES, 000–00–0000 STEVEN G RICHARDSON, 000–00–0000 LENARD C BRUNSDALE, 000–00–0000 PAUL W HUSER, 000–00–0000 BRAD A RICHTER, 000–00–0000 ANNE P BURGESS, 000–00–0000 KIRK J HUTJENS, 000–00–0000 PHILLIP C RIDDLE, 000–00–0000 EDWIN K BURKETT, 000–00–0000 RICHARD G IHNAT, 000–00–0000 MONICA J RIECKHOFF, 000–00–0000 HUGH A BURT, 000–00–0000 TERRI ANN IMUNDO, 000–00–0000 EDWIN D RISENHOOVER, 000–00–0000 ONIE BUSSEY, 000–00–0000 LAURA O JACOBS, 000–00–0000 MEGAN A RITTER, 000–00–0000 JOSEPH A BUZOGANY, 000–00–0000 JULI G JEFFREY, 000–00–0000 ANTHONY S ROBBINS, 000–00–0000 DIANA R CAFARO, 000–00–0000 JEFFERY R JENKINS, 000–00–0000 KENNETH C ROBERTS, 000–00–0000 JAMES T CALLAGHAN III, 000–00–0000 LISA JOYCE JERVIS, 000–00–0000 DALE C ROBINSON, 000–00–0000 KEVIN J CALLERAME, 000–00–0000 OLIVER W JERVIS, JR, 000–00–0000 KATHLEEN M RODRIGUEZ, 000–00–0000 DANILO O CANLAS, 000–00–0000 JAMES W JOHN, 000–00–0000 JOHN D ROGERS, 000–00–0000 KEVIN R CARPENTER, 000–00–0000 CHARLES E JOHNSON, 000–00–0000 DANIEL N RONEL, 000–00–0000 FRANCISCO G CARPIO, 000–00–0000 DWIGHT C JOHNSON, 000–00–0000 MELANIE A ROSCOE, 000–00–0000 JOHN A CARRINO, 000–00–0000 MICHAEL A JOHNSON, 000–00–0000 PETER W ROSS, 000–00–0000 TODD E CARTER, 000–00–0000 KAY A JOHNSTON, 000–00–0000 DAVID M ROWLES, 000–00–0000 LANNIE J CATION, 000–00–0000 JOHN D JOSEPHS, 000–00–0000 BARBARA A RUGO, 000–00–0000 JONATHAN T CHAI, 000–00–0000 CAESAR A JUNKER, 000–00–0000 ROBERT E RUPP, 000–00–0000 THOMAS D CHALLMAN, 000–00–0000 HAROLD KAFTAN, 000–00–0000 STEVEN R SABO, 000–00–0000 BLAKE V CHAMBERLAIN, 000–00–0000 BRENT L KANE, 000–00–0000 JOHN D SALMON, 000–00–0000 BRYON CHAMBERLAIN, 000–00–0000 TIMOTHY J KAPPEL, 000–00–0000 LEE G SALTZGABER, 000–00–0000 GEORGE F CHIMENTO, 000–00–0000 TIMOTHY E. KEHN, 000–00–0000 TOM J SAUERWEIN, 000–00–0000 TODD E CHRISTENSEN, 000–00–0000 THOMAS E KEHN, 000–00–0000 KEVIN S L J SAWCHUK, 000–00–0000 ANDREW SUN WEN CHU, 000–00–0000 DANIEL KELETI, 000–00–0000 ROSS J SCALESE, 000–00–0000 MARILYN K CLARK, 000–00–0000 MARK J KELLEN, 000–00–0000 ERIC M SCHACKMUTH, 000–00–0000 STEVEN J CLARK, 000–00–0000 TONI C KILYK, 000–00–0000 WILLIAM G SCHAEFFER, 000–00–0000 MARCHEL W CLEMENTS, 000–00–0000 COLIN M KINGSTON, 000–00–0000 LENA C SCHAFFER, 000–00–0000 MICHAEL EDWARD COGHLAN, 000–00–0000 MARY K KLASSEN, 000–00–0000 ROBERT L SCHELONKA, 000–00–0000 RAMON E COLINA, 000–00–0000 ALEXANDER KLYASHTORNY, 000–00–0000 JOSEPH C SCHMIDT, 000–00–0000 DAVID R CONDIE, 000–00–0000 MARK A KOENIGER, 000–00–0000 RUSSELL D SCHROEDER, 000–00–0000 JACQUES S COUSINEAU, 000–00–0000 LINDA K KOLLROSS, 000–00–0000 DEAN A SCHULTZ, 000–00–0000 GEORGE B CREEL, 000–00–0000 KIM R KOSTER, 000–00–0000 JOHN R SCHULTZ, 000–00–0000 FRANK J CRIDDLE III, 000–00–0000 ANDREA S KRISTOFY, 000–00–0000 RANDALL H SCHUSTER, 000–00–0000 WENDELL C DANFORTH, 000–00–0000 TIMOTHY F KURT, 000–00–0000 JAY P SCHWARTZ, 000–00–0000 LYNDA DANIELUNDERWOOD, 000–00–0000 KRISTEN J LANCASTER, 000–00–0000 SCOTT M SELL, 000–00–0000 DEBORAH L DAUGHERTY, 000–00–0000 ROGER I LANE, 000–00–0000 MARK E SHAFFREY, 000–00–0000 JERRY E DAVIS, 000–00–0000 KEITH R LAYNE, 000–00–0000 STEVEN M SHARP, 000–00–0000 MARY P DEFRANK, 000–00–0000 KARI A LEIKERT, 000–00–0000 PAUL J SHAUGHNESSY, 000–00–0000 RONALD N DELANOIS, 000–00–0000 DANIEL J LENIHAN, 000–00–0000 MICHELE T SIBLEY, 000–00–0000 EUGENE F DELAUNE, 000–00–0000 MICHAEL W LENIHAN, 000–00–0000 CHUNG M SIEDLECKI, 000–00–0000 MARK A DEMOSS, 000–00–0000 WILLIAM F. LIGON, 000–00–0000 MARC ANTHONY SILBERBUSCH, 000–00–0000 SCOT M DEPUE, 000–00–0000 TIMOTHY W LINEBERRY, 000–00–0000 MARIO A SILVA, 000–00–0000 ANTHONY W DEUSTER, 000–00–0000 RICHARD J LOCICERO, 000–00–0000 THEODORE P SKAARUP, 000–00–0000 DAVID W DEXTER, 000–00–0000 KELLY T LOCKE, 000–00–0000 STEPHEN X SKAPEK, 000–00–0000 JAIME L DICKERSON, 000–00–0000 DON C LOOMER, 000–00–0000 SCOTT C SLATTERY, 000–00–0000 ROY J DILEO, 000–00–0000 PAUL T LORENTSEN, 000–00–0000 ANN E SNEIDERS, 000–00–0000

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MICHAEL D SOE, 000–00–0000 DENTAL CORPS PAUL M. BENSON, 000–00–0000 DAVID D SPAULDING, 000–00–0000 SAMUEL P. * BOEHM, 000–00–0000 RICHARD E STANDAERT, JR, 000–00–0000 To be colonel MICHAEL E. COATS, 000–00–0000 RICHARD T STEFFEN, 000–00–0000 LYDIA A. COFFMAN, 000–00–0000 LOREN D. ALVES, 000–00–0000 BRUCE E STERNKE, 000–00–0000 LIMONE C. * COLLINS, 000–00–0000 WILLIAM R. BACHAND, 000–00–0000 WILLIAM A STINNETTE, 000–00–0000 WILLIAM F. * DAVITT, 000–00–0000 MICHAEL K. BAISDEN, 000–00–0000 ERIC B STONE, 000–00–0000 NANCY A. DAWSON, 000–00–0000 JOHN H. BARKER, 000–00–0000 STEPHEN E STONEHOUSE, 000–00–0000 MARGRETTA M. * DIEMER, 000–00–0000 MICHAEL S. BARTELT, 000–00–0000 KEITH R STORTS, 000–00–0000 THOMAS A. * DILLARD, 000–00–0000 RICHARD A. BASS, 000–00–0000 PRAVEEN K SUCHDEV, 000–00–0000 DAVID P. * DOOLEY, 000–00–0000 MARK H. BEACH, 000–00–0000 JUDITH A SUTTER, 000–00–0000 MARSHALL V. * DRESSEL, 000–00–0000 SIDNEY A. BROOKS, 000–00–0000 STEVEN G SUTTON, 000–00–0000 EDWARD M. EITZEN, JR, 000–00–0000 SUSAN L SWARDCOMUNELLI, 000–00–0000 JOHN S. BROUSSEAU, 000–00–0000 PAUL J. BUCCIGROSS, 000–00–0000 ARN H. * ELIASSON, 000–00–0000 TODD C SWATHWOOD, 000–00–0000 NATHAN ERTESCHIK, 000–00–0000 JOHN N SWEENEY, 000–00–0000 MARY H. BURKE, 000–00–0000 JOHN M. CARUSO, 000–00–0000 DOUGLAS W. * FELLOWS, 000–00–0000 EDWARD J SZABO, 000–00–0000 CHARLES W. FOX, 000–00–0000 ROBERT F TAKACS, 000–00–0000 ANDREW J. CASSIDY, 000–00–0000 ANDREW D. CHANDLER, 000–00–0000 DEAN R. * GIULITTO, 000–00–0000 ERIC A TAYLOR, 000–00–0000 LARRY J. * GODFREY, 000–00–0000 NEAL R TAYLOR, 000–00–0000 HUNTER R. CLOUSE, 000–00–0000 JOHN M. DHANE, 000–00–0000 DANIEL GORDON, 000–00–0000 MICHAEL D TEAGUE, 000–00–0000 STEVEN F. GOUGE, 000–00–0000 DENISE J TEASLEY, 000–00–0000 EGGLESTON J. FAULK, 000–00–0000 CARLTON J. FLOYD, 000–00–0000 WILLIAM J. GRABSKI, 000–00–0000 ANGELA R THOMAS, 000–00–0000 ELDER GRANGER, 000–00–0000 JERRY R THOMAS II, 000–00–0000 JEFFREY G. FOERSTER, 000–00–0000 JAMES M. GERGELY, 000–00–0000 STEVEN A. GREENWELL, 000–00–0000 WILLIAM A. THOMAS, JR., 000–00–0000 MILO L. * HIBBERT, 000–00–0000 CHRISTOPHER M. THOMPSON, 000–00–0000 DAVID G. GILLON, 000–00–0000 BILL G. GOBLE, 000–00–0000 RALPH M. HINTON, 000–00–0000 TOMMY C. THOMPSON, 000–00–0000 KENNETH J. HOFFMAN, 000–00–0000 DOUGLAS S. TICE, 000–00–0000 JAMES N. HAMILTON, 000–00–0000 GWENDOLYN * HOLEMAN, 000–00–0000 CHRIST J. TOCORAS, 000–00–0000 WILLIAM S. JOHNSON, 000–00–0000 RAYMOND A. * HOWARD, 000–00–0000 ROGER L. TOLAR, JR, 000–00–0000 JOSEPH J. JURCAK, 000–00–0000 STEPHEN C. INSCORE, 000–00–0000 GEOFFREY Y. TOM, 000–00–0000 DAVID G. KERNS, 000–00–0000 JONATHAN H. JAFFIN, 000–00–0000 RAFAEL TORRES, 000–00–0000 VAL L. KUDRYK, 000–00–0000 KEVIN T. * JAMES, 000–00–0000 CHRISTINE M. TOTH, 000–00–0000 BYRON W. LINDSAY, 000–00–0000 JAMES E. JOHNSON, 000–00–0000 TERRENCE L. TRENTMAN, 000–00–0000 WILSON J. LUCIANO, 000–00–0000 DELBERT E. * JONES, 000–00–0000 LYNETTE K. TUN, 000–00–0000 PAUL A. 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PLUMMER, 000–00–0000 MARTHA MC COLLOUGH, 000–00–0000 JOHN W. WHELAN, JR, 000–00–0000 DIANE M. POLLICK, 000–00–0000 THOMAS C. * MICHELS, 000–00–0000 MICHAEL R. WILMINGTON, 000–00–0000 JOSEPH R. POTOKY, 000–00–0000 JAMES G. MILLER, 000–00–0000 SCOTT L. WILSON, 000–00–0000 THOMAS C. RAKER, 000–00–0000 OPHELIA * PATTERSON, 000–00–0000 TRACY J. WINTERS, 000–00–0000 DANIEL R. RAVEL, 000–00–0000 THOMAS * PENNINGTON, 000–00–0000 JOHN C. WITT, 000–00–0000 ROBERT B. REICHL, 000–00–0000 JAMES A. PFAFF, 000–00–0000 LINDA L. WOLBERS, 000–00–0000 ROBERT B. SCHANZER, 000–00–0000 THOMAS * QUARNSTROM, 000–00–0000 DANNY A. WOLFGRAM, 000–00–0000 MICHAEL H. SHAHAN, 000–00–0000 KRISTIN B. RAINES, 000–00–0000 RANDY J. WOODS, 000–00–0000 GURBHAJAN SINGH, 000–00–0000 KATY L. * REYNOLDS, 000–00–0000 LUN S. YAN, 000–00–0000 EDWARD A. SOUZA, 000–00–0000 PAUL B. * ROCK, 000–00–0000 LYNNE MILLER YANCEY, 000–00–0000 THOMAS A. SULLIVAN, 000–00–0000 JOSE L. SANCHEZ, 000–00–0000 EDWARD L. YANG, 000–00–0000 MC COMBS K. TILLMAN, 000–00–0000 WAYNE A. SCHIRNER, 000–00–0000 JESSICA R. YBANEZMORLAND, 000–00–0000 GARY J. VALIANT, 000–00–0000 GILBERTO * SOSTRE, 000–00–0000 CHI HWA YEH, 000–00–0000 MACK A. WARREN, 000–00–0000 LEONARD C. SPERLING, 000–00–0000 CHRISTOPHER T. YOUNG, 000–00–0000 MICHAEL E. WERNER, 000–00–0000 MERLE S. SPRAGUE, 000–00–0000 SCOTT ZAGER, 000–00–0000 EUGENE WEST, 000–00–0000 LAIRIE O. * STABLER, 000–00–0000 PAUL R. ZIMNIK, 000–00–0000 LESLEY A. WEST, 000–00–0000 ROGER W. STRICKLAND, 000–00–0000 RICHARD M. ZWIRKO, 000–00–0000 DAVID C. WILLIAMS, 000–00–0000 JOSEPH A. WINEMAN, 000–00–0000 RITA L. * SVEC, 000–00–0000 IN THE ARMY TERRY ZETTLEMOYER, 000–00–0000 GREGG W. TAYLOR, 000–00–0000 MARK S. * TAYLOR, 000–00–0000 THE FOLLOWING-NAMED OFFICERS, ON THE ACTIVE MEDICAL CORPS RAY U. TOMKINS, 000–00–0000 DUTY LIST, FOR PROMOTION TO THE GRADE INDICATED To be colonel RONALD P. * TURNICKY, 000–00–0000 IN THE U.S. ARMY IN ACCORDANCE WITH SECTION 624 OF PHILIP VOLPE, 000–00–0000 TITLE 10, U.S.C. THE OFFICERS MARKED BY AN ASTERISK ARNOLD A. ASP, 000–00–0000 WILLIAM O. WALKER, 000–00–0000 (*) ARE ALSO NOMINATED FOR REGULAR APPOINTMENT DONALD D. * BAILEY, 000–00–0000 HERBERT G. WHITLEY, 000–00–0000 IN ACCORDANCE WITH SECTION 531 OF TITLE 10, U.S.C. RICHARD * BEDNARCZYK, 000–00–0000 JOSEPH F. * YETTER, 000–00–0000

VerDate Aug 31 2005 04:22 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00120 Fmt 4624 Sfmt 9801 J:\ODA16\1996_F~1\S22JA6.REC S22JA6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS January 22, 1996 CONGRESSIONAL RECORD — Extensions of Remarks E 37 EXTENSIONS OF REMARKS

‘‘UNLEASHING AMERICA’S hearings and debate. We hope that it will long hours and hard work, save the tremen- POTENTIAL’’ also trigger conversations around kitchen dous reward of knowing their sacrifices tables, water coolers, and in town hall meet- would help shape American history. This is ings across the country. an extraordinary group of American citizens HON. NEWT GINGRICH We invite all those who read this report to who have demonstrated through untold OF GEORGIA write us with your thoughts on its rec- hours of hearings, deliberations, and study IN THE HOUSE OF REPRESENTATIVES ommendations and conclusions, and to share their dedication to chart a course that will with us other suggestions on how we can cre- lead to a better America for their children Monday, January 22, 1996 ate a tax system that promotes economic and grandchildren. We believe we have set Mr. GINGRICH. Mr. Speaker, on behalf of growth and opportunity for all Americans. that course. BOB DOLE, In 1941, in a famous essay for Life maga- Senate Majority Leader BOB DOLE and myself, Senate Leader. zine, Henry Luce anticipated that the 20th I would like to bring to my colleagues' atten- NEWT GINGRICH, century would be remembered as the Amer- tion the following report by the National Com- House Speaker. ican Century. The decades and events that mission on Economic Growth and Tax Reform A NEW LEVEL OF THINKING followed—the defeat of Nazi Germany, the entitled ``Unleashing America's Potential.'' collapse of Communism, the expansion of PREFACE LETTER TO THE COMMISSION American influence abroad—bore this pre- ‘‘They act like all that money is born in FOREWORD diction out. Today, many Americans fear Washington, D.C.’’ Perhaps no comment has they see that era of American preeminence To the Members of the National Commission on better summarized the problem with our na- slipping away. The optimism and boundless- Economic Growth and Tax Reform tion’s capital than this observation by Ed ness that have always defined America are ‘‘Taxation without representation is tyr- Zorinsky, the late Democratic Senator from seen by some as fond but faded relics to be anny.’’ Those are the words that helped to Nebraska. And nowhere is this governmental quietly folded away. ignite the American revolution over two cen- conceit expressed more destructively than in This report reflects the firm conviction turies ago. the workings and effects of our Internal Rev- that America can do better. None of the As we approach the 21st century, the cre- enue Code. members of this commission would have ac- scendo for tax reform continues to build, Many previous attempts at tax reform cepted this challenge if we did not believe in year after year, election after election. have been marred by the inside-the-beltway the possibility of real progress and real re- Americans have looked at a tax system con- assumption that the wealth of the nation be- form. stantly increasing in both rates and com- longs to its government. This position has Albert Einstein observed that ‘‘the prob- plexity, and concluded that taxation with perpetuated what could be called the ‘‘tin- lems of today cannot be solved at the same representation wasn’t so good either. cup syndrome’’—an environment in which level of thinking on which they were cre- The current system is indefensible. It is the political competition over scarce re- ated.’’ We have concluded that the complex overly complex, burdensome, and severely sources replaces the economic competition tax code of the 20th century is poorly suited limits economic opportunity for all Ameri- that produces growth, creates jobs, spurs in- for dealing with the complex world of the cans. novation and productivity. As a con- 21st. The vision outlined in the following We made clear on the very first day of the sequence, the tax code has over the years be- pages cannot be realized by simply rearrang- 104th Congress that our top priority would be come increasingly politicized, and is seen ing the deck chairs on the Titanic we call to change the status quo and to bring fun- less as a simple tool for raising revenue than our current tax code. A brand new tax code, damental change to America. And we agreed as an instrument for social and economic en- modeled on the principles and recommenda- that there is no status quo that needs more gineering. In turn, this has spawned a virtual tions proposed in this report, can chart the fundamental changing than our tax system. industry of tax specialists and special inter- economic waters ahead and launch our coun- We envision: est lobbyists, while exponentially increasing try on its voyage toward the next American A tax system that is fairer, flatter, and the complexity of the code. century. simpler. The National Commission on Economic EDWIN J. FEULNER, A tax system that promotes, rather than Growth and Tax Reform set out with a dif- Vice Chairman, punishes, job creation. ferent set of assumptions, beginning with the National Commission on Economic Growth A tax system that eliminates unnecessary belief that the purpose of the tax code is to and Tax Reform. paperwork burdens on America’s businesses. raise money while leaving citizens as free as SETTING THE EAGLE FREE A tax system that recognizes the fact that possible to pursue the American dream. Our our families are performing the most impor- charge from Senate Leader Dole and Speaker INTRODUCTION tant work of our society. Gingrich was clear: Listen first and learn ‘‘In short, it is a paradoxical truth that tax A tax system that provides incentives for from the American people. We listened to or- rates are too high today and tax revenues Americans who save for the future in order dinary taxpayers in hearings around the are too low, and the soundest way to raise to build a better life for themselves and their country. What we heard was a great deal of the revenues in the long run is to cut the families. frustration, concern, and yes, anger with the rates now . . . The purpose of cutting taxes A tax system that allows Americans, espe- current system. Our hope has been to chan- now is not to incur a budget deficit, but to cially the middle-class, to keep more of what nel those frustrations into a set of concrete achieve the more prosperous, expanding they earn, but that raises enough money to principles and recommendations that any economy which can bring a budget surplus.’’ fund a leaner, more efficient federal govern- new tax reform legislation must follow if it JOHN F. KENNEDY, ment. is to meet the needs and expectations of the Economic Club of New York, A tax system that allows Americans to American people. December 14, 1962. compute their taxes easily, without the need From June until September 1995, we heard These words of President Kennedy were a for a lawyer, an accountant—or both. from a cross-section of American taxpayers great inspiration to me as the tax reform To help make this vision a reality, we in Boston, Omaha, Charlotte, Palo Alto, movement was launched in the early 1980s named Jack Kemp, one of America’s most in- south-central Los Angeles, Harlem, Cleve- with the Kemp/Roth tax cut. Kennedy’s vi- novative thinkers on economic policy, to land, and Washington, D.C. We listened to sion and courage can serve as examples for head the National Commission on Economic and learned from family farmers and high- all Americans as we struggle to make this Growth and Tax Reform—a commission that tech entrepreneurs, small businessmen and nation better for our children and grand- included thirteen more outstanding Ameri- women, medium-sized and large manufactur- children. His remarks from the Economic cans. ers, governors and mayors, congressmen and Club of New York ring as true today as they The entire commission worked diligently senators, leading economists and local activ- did in 1962. for the past several months, holding public ists. At the first meeting of our commission hearings in eight cities, while constantly Unlike previous ‘‘reform’’ commissions, back in June, I held up a blank sheet of thinking about how to create a better tax our activities were financed without a dime paper and said, ‘‘This is what we start with.’’ system. from the American taxpayer. Expenses were That was our charge: Senate Majority Lead- Their final report is guaranteed to stimu- met through private contributions from er Bob Dole and House Speaker Newt Ging- late this important national dialogue. It will more than 1,500 donors. The fourteen com- rich appointed the National Commission on surely serve as a catalyst for congressional missioners received no compensation for the Economic Growth and Tax Reform to study

∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor. E 38 CONGRESSIONAL RECORD — Extensions of Remarks January 22, 1996 the current tax code, listen to the sugges- of hope and zest and imagination, and a sev- nothing can succeed.’’ We believe that any tions and ideas of people from around the ering of the bonds that normally hold in major legislative attempts to replace the country, and submit to Congress our rec- check the full release of human possibilities. current tax code will falter unless it is first ommendations for comprehensive reform. A A door is opened, and the caged eagle soars.’’ preceded by a national debate on what the very diverse and dedicated group of 14 peo- That eagle, the symbol of our nation, rep- new system should look like. ple, with the help of an invaluable, over- resents the creative spirit, talents, and aspi- Many previous attempts to reform public worked, and underpaid staff, set out to de- rations of the American people. The charge policy have failed to achieve their aims be- sign an entirely new tax system for Ameri- of this commission and the intent of our rec- cause they substituted closed meetings for ca’s 21st century; one which would promise a ommendations is to open the door and help democratic dialogue, focusing too much on booming economy, promote job creation, and set that eagle in all of us free. expert analysis and too little on citizens’ ensure the greatest possible opportunity for JACK KEMP, concerns. By including the public in the de- all Americans to work, save, invest, and Chairman, liberations over tax reform, this commission reach their potential. We operated under the National Commission on Economic Growth seeks to build broad-based consensus behind premise that an economic growth rate of and Tax Reform. a new tax system for America’s next millen- 2.5% is unacceptable to the American people. IMAGINE AN AMERICA nium. This commission was empowered not mere- It was with this spirit that the commission WITH A PRO-GROWTH, PRO-FAMILY TAX CODE ly to offer superficial reforms, to trim a rate held cross-country public hearings—from the here and close a loophole there, but to begin The National Commission on Economic historic home of the Boston tea-party to the with a tabula rasa and map out a totally new Growth and Tax Reform recommends to the heart of south-central L.A. At every hearing tax structure for America’s next century. We Congress and to the President of the United in every city, we asked people to tell us what also wanted to help inform the whole world, States that the current Internal Revenue they saw as the problems with the current particularly the emerging democracies, that Code be repealed in its entirety. system and the goals any reform plan should the goal of tax policy is raising revenue, not The present system is beyond repair—it is achieve. redistribution of wealth. impossibly complex, outrageously expensive, In Omaha, farmers pleaded for simpler fil- Our nation has arrived at a unique moment overly intrusive, economically destructive, ing and the freedom to pass family farms on in history. With the passing of the Cold War, and manifestly unfair. to their children without fear of federal we are standing at the edge of a new millen- It is time to replace this failed system confiscation. nium with extraordinary possibilities. Our with a new simplified tax system for the 21st In the Silicon Valley, high-tech entre- country is poised to help lead the world into century: a single low rate, taxing income preneurs told of the countless ideas con- a new era of economic growth fueled by an only once with a generous personal exemp- ceived but never born because of a scarcity information-age technological revolution tion and full deductibility of the payroll tax of investment capital. that can yield unparalleled expansion in for America’s working men and women. In south-central Los Angeles, small busi- jobs, productivity, innovation, and prosper- This system will reduce the tax burden on ness-owners voiced frustrations at not being ity. We must embrace this opportunity and middle-income people and will help remove able to expand or hire new workers because challenge. However, such an embrace will the barriers that keep low-income Ameri- of a tax bit that eats away their profits. prove difficult, perhaps impossible, if we re- cans from reaching their fullest potential. And in Harlem, inner-city entrepreneurs main saddled with our current tax code. The These changes, once in place, should be expressed both bitterness and bewilderment current system is indefensible: it is riddled sealed with a guarantee of long-term stabil- at a tax code which sucked revenues out of with special interest tax breaks, and it over- ity, requiring a two-thirds vote of the U.S. their neighborhoods while preventing invest- taxes both labor and capital. We must con- Congress to raise the rate. ment from flowing in. struct a tax system that reflects our highest This new system is predicted on a commit- In our nation’s capital, we heard from values and unleashes our greatest potential. ment to expanding growth and opportunity. elected officials in both the House and the The comments and concerns we heard from We believe the changes we propose will help Senate who have for many years been leaders the American people over the last several double the rate of economic growth. in tax reform. Because of their tireless pub- months, coupled with a systematic review of A stronger economy will create more jobs, lic service, tax reform is a priority issue on the current tax code, helped us establish cer- raise family incomes, expand ownership and the nation’s agenda. tain principles to guide us to our conclu- entrepreneurship, and ensure greater oppor- We also heard from many of the finest sions. Surely, a tax code which is simple and tunity for our children and grandchildren. It economists in the country who shared their fair must generate sufficient revenue so that will also produce additional revenues for bal- knowledge and research with us at every the federal government may carry out its le- ancing the budget and reducing the burden of hearing. gitimate tasks. Second, it must not place a national debt. After our hearings, we held a series of tax burden on those members of society least The principles and recommendations con- working sessions to analyze what we had able to bear one. And, perhaps most impor- tained in this report comprise the ‘‘Tax heard and to begin discussing our rec- tant of all, it must not restrict the innova- Test’’—the standard to which any new tax ommendations for change. During one of our tive and entrepreneurial capacities of Ameri- system must be held. We ask that Congress working sessions, the commissioners put cans upon which rising living standards and not pass nor the President sign any tax legis- aside the charts an graphs for a moment, our general prosperity so greatly depend. lation that fails to pass this test. And we en- stepped back, and tried to imagine what kind Our proposals are in keeping with these prin- courage the public to use the goals and of world they would like America’s next gen- ciples. guidelines we offer as a road map through eration to grow up in. We were asked to Wildly excessive and unjust taxes have the coming national debate on tax reform. think about how replacing the tax code locked away access to capital and credit nec- Our aim: to introduce a new system of tax- might help bring that world about: essary for lower-income Americans to launch ation that brings out the best in the Amer- Imagine an America enjoying a decade of the next generation of entrepreneurship. ican character, that plays to our strengths economic growth at nearly twice the present Today, sadly, we see the American people’s and not our weaknesses, that speaks to our rate—creating jobs, expanding opportunities, sense of dynamism and hope, their ability to hopes and not our fears. Our recommenda- and lifting living standards for all. strive and compete diminished by a tax code tions are based on a vision of America that Imagine an America in which more dreams which penalizes success, retards investment, places the individual—not the government— are in basements and garages grow into and sends capital fleeing overseas. The com- at the center of society: multi-million dollar businesses because mission is united in the belief that only a We believe that government does not cre- abundant capital seeks out good ideas, and pro-growth tax code can restore America’s ate opportunity; citizens do, if government entrepreneurs and investors are confident confidence at home and her greatness will get out of their way. that their risk-taking will be rewarded not abroad. We want a tax code and an overall We believe that government is not the en- punished. economy that will liberate the American tire of economic growth; it is, more fre- Imagine an America where it is easier to dream and remove the barriers to upward so- quently, the monkey wrench in the machine. get a job than to get on welfare, and where cial and economic mobility. The American We believe that taxpayers’ earnings and our inner cities share in America’s growth ethos of entrepreneurship and optimism savings—their property—are not assets on and prosperity. Imagine these neighborhoods made America great once before. We believe loan from the government. The government ringing out, not with sirens in the night, but these proposals will bolster that ethos again is power on loan from the people. with the sounds of new storefronts being and help restore integrity and honesty to our One of the most serious shortcomings of opened and new businesses being built. system. previous attempts at tax reform has been the Imagine an America where home owner- The author John Gardner has observed inability of average Americans to make ship and higher education are within the that there are many contributing factors to their voices heard above the chorus of spe- reach of every American so that each citizen the rise of civilization—accidents of re- cial interests. We have tried a radically dif- owns a stake in the system and shares a sources, geography, and military power. But ferent approach: Listening to the people common interest and responsibility for its whatever other ingredients comprise the first. future. greatness of nations, he writes, ‘‘There oc- In his first debate with Stephen Douglas, Imagine an America where young couples curs at breathtaking moments in history an Abraham Lincoln remarked that ‘‘with pub- aren’t asked to take a tax hit in order to ex- exhilarating burst of energy and motivation, lic sentiment, nothing can fail; without it change their marriage vows, and where January 22, 1996 CONGRESSIONAL RECORD — Extensions of Remarks E 39 young families can save for their future The time has passed for incremental re- Until World War II, the average tax rate without being punished for their thrift. form. The problems with the current system (that is, the total tax paid divided by in- Imagine an America where Americans have have grown too deeply entrenched to be come) on a family with a 1991 income of enough to give, not just to and through their solved with quick fixes and cosmetic repairs. $50,000 never rose above 4 percent. Since government, but to their churches, syna- We believe the current tax code cannot be World War II, it has never fallen below 14 gogues, mosques, their charities, and neigh- revised, should not be reinvented, and must percent. bors in need. not be retained. Therefore, the commission Marginal rates on the middle class have Imagine an America where the I.R.S. be- is unanimous: It is time to throw out the risen even more dramatically. Marginal comes the ‘‘TPA’’—a Taxpayer Protection seven-million-word mess of tax laws and reg- rates are the ‘‘tax bracket’’ rates that apply Agency—to ensure that no one pays more ulations and begin anew. to any extra dollar of income—such as than is owed. Imagine a customer-friendly Marc Negri of Santa Rosa, California, raises, overtime, bonuses, or a second family approach to raising revenue, based on a be- wrote to tell us that, ‘‘The current system is income. The marginal middle class tax rate lief in the basic honesty of the American so wrong and such a disincentive to the ev- never rose above 8 percent prior to World people, that treats them with dignity and re- eryday worker that it cannot be saved.’’ War II. Since then, it has never fallen below spect. Lawrence Madsen of Mills, Wyoming, pre- 22 percent, rising as high as 33 percent dur- We believe that replacing our tax system pares peoples’ taxes for a living, and yet ing the high-inflation, bracket creep years of with one that is simpler and fairer can help wrote: ‘‘I am so disgusted with the [system] the 1970s. to make these American dreams come true. that I must urge you to completely abolish Today, there are three principal defects of America was not founded on envy or re- the Internal Revenue Code and start over.’’ our income tax system that must be fixed sentment. The American idea was never to A couple from Astor, Florida, was even more immediately. keep everyone at the mean level, but to give blunt: ‘‘The current tax structure is way out Economically Destructive: Steeply grad- everyone the chance to rise as high as his or of date with the real world, too complicated uated tax rates on both labor and capital de- her effort, initiative and God-given talent would allow. It was a promise of equal oppor- with too many loopholes. We say dump it!’’ stroy jobs, penalize saving and investment, Americans’ eagerness for real change re- tunity, not of end results: the confidence and punish personal efforts to get ahead flects in part their frustration with a system that whatever you aspired to become—be it through hard work. that in the past forty years has seen 31 ‘‘sig- Impossibly Complex: The mind-boggling artist, inventor, or entrepreneur—you could nificant’’ reforms and an astounding 400 ad- complexity of the current tax code imposes make it happen here. As the country pursues this change, how ditional ‘‘revisions’’ through public laws. an unacceptable burden on taxpayers and a we transition from the existing bankrupt And yet the tax code is more complex, more huge cost on the economy. system to the new system will be important. costly, and more economically destructive Overly Intrusive: The vast enforcement Complicated issues will arise. Nonetheless, than ever. This is the story of how we got powers conferred on the I.R.S. are increas- we are confident that the Congress and the here. ingly seen as infringements of privacy and President will solve these transitions in THE ROAD TO TAX OPPRESSION personal freedom. order to bring about this new tax system. The New York Times, in a 1909 editorial ECONOMICALLY DESTRUCTIVE Dramatic change never is easy, and com- opposing the very first income tax, pre- In the famous Supreme Court case, plicated issues will arise in the transition. dicted: ‘‘When men get in the habit of help- McCulloch v. Maryland, Chief Justice Mar- But change we must, confident that, with ing themselves to the property of others, shall wrote: ‘‘The power to tax involves the the leadership of the Congress and the presi- they cannot easily be cured of it.’’ The his- power to destroy.’’ Some of the ways in dent, the American can-do spirit will prevail. tory of our tax code, in economic terms, mir- which the current tax code destroys our eco- A new tax system, as envisioned in the fol- rors the course of most addictions: advanc- nomic vitality include: lowing pages of this report, can take a first ing dependence, diminished returns, and de- High marginal tax rates that weaken the step toward renewing that sense of hope and teriorating health of the afflicted. link between effort and reward, depress pro- possibility by unleashing a cascade of bene- Supporters of the Sixteenth Amendment ductivity, and kill jobs. fits, beginning with greater economic touted the income tax as the rich man’s bur- Multiple layers of taxation on work, sav- growth, lower interest rates, and expanded den—forcing ‘‘the Carnegies, the ing, and investment that dry up new capital job opportunities for working Americans. Vanderbilts, the Morgans, and the Rocke- for investment. In this spirit, we invite the American peo- fellers’’ to pay while sparing the middle class Capital gains taxes that act as a barrier to ple and their elected leaders from, both po- from pain. Indeed, after the income tax was capital formation—preventing the flow of in- litical parties to use the Tax Test as a enacted in 1913, fewer than two percent of vestment to new enterprises and would-be checklist as they move forward in replacing American families were required to file a tax entrepreneurs. the current tax code. We urge the Congress return. Rates ranged from 1 to 7 percent— An ‘‘alternative minimum tax’’ that im- and the President to base any new legisla- with the highest rate applying only to Amer- poses immense compliance costs on busi- tion on the principles and recommendations icans who had the equivalent of $7.7 million nesses, sapping resources that could other- submitted in this report. Furthermore, we in income in today’s terms. wise be put to constructive use. urge President Clinton to appoint a presi- The rates did not stay that low for long. In Double-taxation of corporate income which dential task force or commission to bring 1916 the top rate doubled. A year later, on shrinks business investment and encourages the recommendations offered by this con- the eve of America’s entry into World War I, companies to take on extra debt. gressionally appointed commission to the it soared to 67 percent. With the Second Estate and gift taxes that force families to next level of public debate. World War, the rate was raised to 94 percent. sell their businesses or family farms. AT THE BOILING POINT In the 1950s the top rate remained at the sky A fundamental principle of economics is ‘‘My grandmother used to tell me the folk high level of more than 90 percent. President that the more you tax something, the less tale of the frog,’’ recounted Commissioner Kennedy initiated legislation that cut the you get of it. And if you tax success, you get Herman Cain of his childhood in Atlanta, top rate to 70 percent, but it was not until less success. The current confiscatory sys- Georgia. ‘‘If you put a frog in a pot of hot the Reagan growth years that the top rate tem begs the questions: Why work harder if water, he would jump right out. But if you was lowered dramatically to 28 percent. each extra dollar earns you less? Why save put him in a pot of cool water and gradually Under the current administration, the rate for tomorrow when spending today is cheap- turned up the heat, he wouldn’t notice the has resumed its ascent, with combined fed- er? Why dream bigger, when little dreams rising temperature and would eventually boil eral taxes pushing the top rate above 40 per- are less expensive? The disillusioned answer to death.’’ cent, including Medicare taxes and phase- of many Americans is simply: Why bother? The American taxpayer is in hot water. Es- outs. But the current system does not simply calating marginal tax rates, increasing com- With every attempt by politicians to ‘‘soak sap the initiative and aspirations of individ- plexity, and advancing intrusiveness have the rich,’’ the water mark has risen on the ual taxpayers, it undermines the economic created a system that has reached the boil- middle class. Author Frank Chodorov has strength of our nation as a whole. As Presi- ing point. Over the years, Americans have summed up the incremental march of en- dent Kennedy once observed: ‘‘An economy surrendered more and more of their freedom croaching taxation: ‘‘At first it was the in- hampered with high tax rates will never to higher taxes. The result has not been to comes of corporations, then of rich citizens, produce enough revenue to balance the budg- enhance economic security or to close the then of well-provided widows and opulent et, just as it will never produce enough out- gulf between rich and poor. Instead, it has workers, and finally the wealth of house- put and enough jobs.’’ led to fewer jobs, slow economic growth, di- maids and the tips of waitresses.’’ Congress High marginal tax rates combined with minished hope and opportunity, an erosion of expanded the income tax into the ranks of multiple taxation of work, saving, and in- trust and confidence in government, and an the middle class for the same reason Willie vestment act as a ‘‘double-barreled shotgun ebbing of the American spirit of enterprise. Sutton robbed banks: that’s where the aimed at the American economy,’’ account- It is a history that echoes James Madison’s money is. ant Ted Krauss told the commission during a warning that ‘‘there are more instances of This shift was mainly achieved by gradu- hearing in Washington. The price tag was es- the abridgment of the freedom of the people ally multiplying the number of taxpayers re- timated by Professor Dale Jorgenson of Har- by gradual and silent encroachments . . . quired to file income tax returns and by rais- vard University who told the commission than by violent and sudden usurpation.’’ ing average tax rates on ordinary citizens. that the income level in the United States E 40 CONGRESSIONAL RECORD — Extensions of Remarks January 22, 1996 could be 15 percent to 20 percent higher than embroiled in tax-related paperwork. That have difficulty understanding its com- today if these biases did not exist. means nearly three million people—more plicated and sometimes incomprehensible This translates to losses of as much as people than serve in the U.S. armed forces— provisions, it’s time for a change.’’ Of the $4,000 to $6,000 per year for typical middle-in- work full time all year just to comply with liens the I.R.S. filed in 1990, a General Ac- come families. The tremendous economic tax laws, at a cost of about $200 billion a counting Office study found 16,000 errors. drain caused by an anti-work, anti-saving, year, according to the Tax Foundation. In The error rate for penalty notices to employ- and anti-growth tax system does not even economic costs, this is like taking every new ers on tax deposits has stood as high as 44 take into account the enormous waste of re- car, van, and truck that General Motors percent. sources—the time, money, and brainpower— builds in a year and driving them off of a Even when the I.R.S. is not in error, many lost in trying to comply with the current cliff. of its practices make little sense. For exam- code. In a recent hearing before the House Ways ple, tax documents are not treated as ‘‘time- IMPOSSIBLY COMPLEX and Means Committee, William Dakin, sen- ly filed’’ if sent by Federal Express rather ior tax counsel of Mobil, brought with him a Today’s tax code is so complex that many than the U.S. Postal Service. The I.R.S. six foot high stack of bound papers, weighing Americans despair that only someone with charges taxpayers interest even when the 150 pounds. These were Mobil’s corporate tax an advanced degree in rocket science could taxpayer is due a refund. In another exam- forms for 1993. It cost Mobil an estimated $10 figure it out. They are wrong. Even a cer- ple, one particularly exasperated citizen million, and the equivalent of 57 people tified genius such as Albert Einstein needed wrote to the commission and enclosed a no- working full time for a year, just to figure help in figuring out his Form 1040. tice just received from the I.R.S. assessing a Consider this example from the Internal how much tax the company owed. This is the penalty against his company. For an Revenue Code’s rules on the Earned Income essence of a brutally complicated tax sys- underpayment of one cent on his tax returns, Tax Credit. Here’s how they describe the lit- tem. the company received a letter from the Jeff Renner, a real-estate developer from tle human creature we call a child: I.R.S. imposing a penalty of more than $150. Bellevue, Nebraska, voiced the concern of Others should be so lucky. Many who testi- (A) IN GENERAL.—The term ‘‘qualifying many witnesses about the costly burden of child’’ means with respect to any taxpayer fied before the commission told tales not compliance: ‘‘That time and effort and for any taxable year, an individual— just of tax penalties, but of thousands of dol- (i) who bears a relationship to the taxpayer money did not educate a single child, it lars in legal fees and countless hours with described in subparagraph (B), didn’t feed a single family, and it didn’t lawyers in efforts to rectify minor and un- (ii) except as provided in subparagraph produce a single tangible object to improve witting infractions, or clear their records of (B)((iii), who has the same principal place of the life of anyone.’’ And Roger McCarthy unjust charges. abode as the taxpayer for more than one-half who runs an engineering firm in Menlo Park, In Charlotte, businessowner Jean Hodges of such taxable year, California, complained of how the tax indus- recounted a tale of horror in which she was (iii) who meets the age requirements of try absorbs the high-tech talent that could forced to pay tens of thousands of dollars subparagraph (C), and be working in productive fields: ‘‘It is dis- and spend untold hours trying to correct an (iv) with respect to whom the taxpayer turbing that we are not competing with com- error made by her company’s bookkeeper. ‘‘I meets the identification requirements of panies like Intel and Hewlett-Packard for would like to see Congress pass legislation subparagraph (D). these top stars, but rather with Big Six ac- affording small businesses relief from oner- This may look like English to the experts, counting firms.’’ ous and intimidating I.R.S. regulations,’’ she but it is total gibberish to most other Ameri- OVERLY INTRUSIVE said. cans. If nothing is done to simplify the im- There is no simple way of administering a possible language of the current tax code, monstrously complex tax code, just as there The preceding pages illustrate what is every American will need a laptop just to is no fair way of enforcing an unfair system. wrong with the current tax system. But the figure it out. Former Treasury official Ernest S. Christian case for a 21st century tax system must be Professor James Eustice of NYU Law told the commission: ‘‘The present federal made by more than a mere indictment of the School once defined an ‘‘expert’’ as ‘‘a person income tax code is a national disgrace that status quo. To paraphrase Peter Drucker: who avoids small errors as he sweeps on to * * * has characteristics that would be con- You have to decide what’s right before you the grand fallacy.’’ The problem with the tax demned in any human personality. It is inex- decide what’s possible. The following chapter code, he says, ‘‘is that it has been written cusably class conscious, it is hypo-critical, it outlines principles upon which a better fu- and interpreted by so many ‘experts’ that it is meddlesome, it is overbearing, it is mean ture can be built. has lost sight of the fact that [real people] and hurtful, it is covetous, and above all, it WORKING PRINCIPLES have to function under this system.’’ The re- is downright foolish.’’ It is no wonder that FOR THE WAY AMERICA WORKS sult is a tax code so complex that even the the agency charged with enforcing such a When a group of architects sits down to de- ‘experts’ themselves can’t figure it out. This system has become the object of increasing sign a new building, they don’t start by pick- was illustrated by an annual survey of tax public ire. ing out the draperies and choosing the color experts conducted by Money Magazine. Each Perhaps the most troublesome consequence of the carpet. They begin by creating the year, the magazine would send a hypo- of our modern-day income tax system is the basic outlines for the structure to come. thetical tax return to 50 professional tax pre- enormous power that Congress has conferred Similarly, the charge and purpose of this parers, and every year it got back a startling on the Internal Revenue Service to force tax- commission is not to dictate the finishing range of responses, often encompassing 50 payers to comply with the tax code. Twice as touches of finalized legislation. Instead, it is different answers. Needless to say, if the ‘‘ex- big as the C.I.A. and five times the size of to establish the foundation upon which a perts’’ have trouble understanding the tax the F.B.I., the I.R.S. controls more informa- new system can be raised. system, the odds are stacked against the rest tion about individual Americans than any The commission’s six working principles of us. other agency. Without a search warrant, the for a 21st century tax system are not iso- Convoluted rules and regulations force I.R.S. has the right to search the property lated ideas, randomly grouped, but rather small businesses to hire expensive account- and financial documents of American citi- principles that link together to form a se- ants, forgo expansion or new opportunities, zens. Without a trial, the I.R.S. has the right quence—a chain of economic DNA—that can or in some cases avoid the entire mess by to seize property from Americans. What the renew the health of our economy and release going underground. Tim Sabus of Denver, I.R.S. calls its own ‘‘presumption of correct- the potential of the American people. Colorado, wrote to the commission: ‘‘As an ness’’ leaves many taxpayers feeling that Economic growth, the engine of oppor- entrepreneur, I experience first hand the hor- they are ‘‘guilty until proven innocent’’—a tunity and prosperity, can only be unleashed rors of our tax system. It has grown into a standard which turns norms of justice upside by a tax code that encourages initiative, monstrous predator that kills incentives, down. hard work, and saving. Such a system must swallows time, and chokes the hopes and Even those within the I.R.S. hierarchy be based on fairness, treating all citizens dreams of many. We have abandoned several concede the inquisitorial nature of the pow- equally. The system should achieve simplic- job-creating business concepts due to the tax ers granted the agency. Fred Goldberg, ity so that anyone can figure it out. A fair complexities that would arise.’’ former Commissioner of Internal Revenue, tax system also requires neutrality, because Another exasperated business owner, laments that ‘‘while it is unfair to the many the tax code should not pick winners or los- Frank Goodnight, told the commission at fine people who work there, the I.R.S. has ers, or tax saving more heavily than con- our Charlotte hearing that ‘‘during the re- become a symbol of the most intrusive, op- sumption. The new tax system also needs cession of 1992, our company paid our ac- pressive, and nondemocratic institution in visibility, so that everyone gets an honest counting firm more money than we paid in our democratic society.’’ accounting of government’s cost. A visible taxes.’’ He is not alone: in 1991, the Tax The code is so complicated that the I.R.S. tax system will have stability so that people Foundation reported that small corporations itself has trouble understanding it. ‘‘As a re- can plan for their futures. spent a minimum of $382 in compliance costs tired revenue agent, I feel qualified to attest for every $100 they paid in income taxes. to the monstrosity that the Internal Reve- ECONOMIC GROWTH According to 1995 I.R.S. estimates, busi- nue Code has become,’’ a citizen from Michi- Because expanding opportunity, prosper- nesses will spend about 3.4 billion hours and gan wrote to the commission. ‘‘When people ity, and social mobility form the foundation individuals will spend about 1.7 billion hours who are employed to enforce the tax laws of a free and healthy society. January 22, 1996 CONGRESSIONAL RECORD — Extensions of Remarks E 41 None of the myriad challenges confronting can afford to hire. By streamlining the cur- when he observed, half-jokingly, that ‘‘the our nation—be they poverty, crime, racial rent Rube Goldberg contraption of multiple Bible says we ought to tithe and give 10% to tension, welfare dependence, or the budget rates and rules, we can reduce the number of the Lord. I have a hard time with the con- deficit—can be solved without strong eco- moveable parts that are manipulated by cept of giving more to government than nomic growth. Therefore, any new tax sys- those who seek to take advantage of the sys- we’re asked to give to God.’’ tem must be predicated, first and foremost, tem. Clearly, under the current multiple- We suspect that more taxpayers have on a commitment to revitalizing the Amer- rate system, any tax ‘‘loopholes’’—deduc- reached their conviction that taxes are too ican economy and lifting barriers to oppor- tions, exemptions, and credits—are more val- high not by consulting their history books or tunity. uable to the wealthy than to those in lower the Scriptures, but simply by comparing No nation has ever taxes its way to pros- brackets, reinforcing the perception that the their weekly paychecks to their family budg- perity. Indeed, one of the world’s fastest rich do not pay their fair share. A single-rate ets and counting all the sacrifices they must growing economies over the past 20 years, system would level the playing field by make simply to pay the government. While Hong Kong, has one of the lowest marginal eliminating the current distortion in which any new tax code must raise sufficient reve- tax rate systems—15 percent or less—on tax breaks are worth more when a person’s nue to run the government, it must also be labor and capital. Throughout the ages, income is higher. mindful of the burdens these taxes place on higher taxes have been inversely related to Melvin Barlow of Las Cruces, New Mexico, America’s working families. One way to re- higher productivity and higher growth. Our argued this definition of fairness in a letter duce this burden would be to restrain gov- own history provides evidence of this axiom. to the commission: ‘‘It is not right that the ernment spending. By restoring the balance America has experienced three periods of harder a man works, the more he is taxed’’ of power between the federal government and very strong economic growth in this cen- because the government imposes a higher the citizens who pay its bills, we can restore tury: the 1920s, the 1960s, and the 1980s. Each rate on each additional dollar he earns. A basic faith in the system and keep the tax of these growth spurts coincided with a pe- single-rate system keeps pace with the tax- rate low. riod of reductions in marginal tax rates. In payer as he climbs the hill of economic op- SIMPLICITY the eight years following the Harding-Coo- portunity and does not weigh him down more . . . Because Life is too short and peace of lidge tax cuts, the American economy grew heavily with higher rates at every step he mind too precious to waste your time and lose by more than five percent per year. Follow- tries to take. your temper trying to figure out your taxes. ing the Kennedy tax cuts in the early 1960s, For taxable income above the personal ex- Filing tax returns will never be anyone’s the economy grew by nearly five percent per emption, if one taxpayer earns ten times as favorite pastime, but neither should it be year and real tax revenues rose by 29% from much as his neighbor, he should pay ten what it has become: one of life’s most nerve- 1962 to 1968 (after having remained flat for a times as much in taxes. Not twenty times as wracking, gut-wrenching, and mind-numbing decade). In the seven years following the 1981 much—as he would with multiple and confis- chores. With a simpler system, taxpayers Reagan tax cuts, the economy grew by near- catory tax rates. Not five times as much—as will be able to file their returns on a single ly four percent per year while real federal he might with special loopholes. Ten times piece of paper in less time it takes to finish revenues rose by 26 percent. as much income, ten times as much taxes. your morning crossword puzzle. Over the years, we have seen economic out- That’s the deal. As detailed earlier, the current tax code is put rise as tax rates fell (and fall as tax rates TRUE TAX PROGRESSIVITY exceedingly expensive to comply with, in- rose). But federal revenue raised as a per- Americans must first be able to feed, creasingly difficult to enforce, and nearly centage of national output has remained flat. clothe, and house their families before they impossible to understand. Ambiguities and As the accompanying chart indicates, the are asked to feed the federal spending ma- inconsistencies in the current tax code in- federal government historically collects chine. A generous personal exemption will crease the likelihood that taxpayers will about 19 percent of gross domestic product— allow those citizens at the bottom of the eco- make mistakes and fall victim to enforce- regardless of how high the tax rate has been nomic ladder to gain a foothold and begin ment techniques considered by many to be pushed. their climb before taxes take effect. infringements of personal liberties. High rates simply mean a smaller econ- Today, those who try to move from welfare Long ago the authors of the Federalist Pa- omy—and less income to tax. Clearly, 19 per- to work face the highest margin tax rates in pers warned, ‘‘It will be of little avail to the cent of a small economy brings in less reve- America when lost benefits are included— people that the laws are made by men of nue than 19 percent of a big economy. One facing effective tax rates that can actually their own choice if the laws be so volumi- more reason why economic growth should be exceed 100 percent. For example, if a single nous that they cannot be read, or so incoher- the goal of any new tax system. mother on welfare takes a job, she stands to ent that they cannot be understood.’’ A sim- FAIRNESS lose more than a dollar for every dollar she plified, fairer tax system will let Americans * * * Because democracy is based on the earns. Her first paycheck may be more than get a handle on their taxes, a grip on their principle of equality before the law. canceled-out by the economic hits she takes government, and a hold of their future. One of the main themes the commission when she loses Aid to Families with Depend- NEUTRALITY heard in hearings around the country is that ent Children, Medicaid, Food Stamps, and . . . Because the tax code should not pick taxpayers are willing to shoulder their share public housing allowances. In addition to los- winners or play favorites, but allow people free- of the burden, as long as others pull their ing benefits, she now also must pay Social ly to make decisions based on their own needs own weight as well. The current tax code— Security and Medicare taxes, federal and and dreams. with its confusion of proliferating rates, de- probably state income tax, while facing a The tax code should be used to raise reve- ductions, exemptions, and transfers of host of work related costs, including trans- nue to run the government while doing the wealth from one constituency to another— portation and child care. least possible damage to the economy. This contributes to the overwhelming conviction We need a tax system that expands oppor- means leaving individuals free to make deci- of many Americans that the present system tunity and furthers economic independence sions and to set priorities based on economic is unfair. by strengthening the link between effort and reality—not on the bureaucratic whims of The definition of fairness that emerged reward, not by slapping poverty-inducing tax Washington, D.C. from hours of testimony before the commis- rates on people as soon as they get their Taxes cannot help but raise the cost of ev- sion was clear and unambiguous: Any new heads above water. True progressivity can be erything they fall on. But at least they system must satisfy three simple goals: achieved by a single tax rate with a generous should fall on things neutrally without pe- Tax equally: Does it treat taxpayers equal- personal exemption. With an exemption, a nalizing one form of economic behavior and ly? ‘‘single rate’’ does not mean that everyone promoting another. As Senator Robert Ben- True progressivity: Is it compassionate to pays the same percentage of income in taxes. nett of Utah recently pointed out, ‘‘Neutral- those least able to pay? A generous personal exemption would re- ity means that the tax code should not be Lower tax rates: Does it keep the tax rate move the burden on those least able to pay; used to punish the bad guys and reward the low? as incomes rise, the average tax rate would good guys. We have other laws for that.’’ Un- TAX EQUALLY gradually rise up to the single rate. fortunately, the current code strives to act To most Americans, fairness means that LOWER TAX RATES as economic traffic cop—giving green lights the rules apply to everybody and everybody The consensus of the majority of witnesses to certain economic activities and red lights plays by the rules. Christine Perkowski of who wrote to the commission can be summed to others. Richboro, Pennsylvania, wrote to the com- up in two words: lower taxes. The result of the biases and distortions in mission: ‘‘I do not mind paying my fair share Historians may point to America’s begin- the current system is to make the market as long as everyone else does, but I feel that nings and a revolution deeply rooted in reac- less free, the system less fair, and families many, many people and companies are not tion to taxation of the original thirteen Brit- less financially secure. As Frank Hayes, a paying their fair share because they have the ish colonies. Others reference religious tradi- public accountant who testified before the money to hire smart accountants and law- tions, including Moses’ warning to Pharaoh commission in Omaha, remarked: ‘‘If there’s yers.’’ that he may tax up to one fifth and no a way to make things simpler and take the Under a simpler, fairer system, no one will more—before demanding that he ‘‘let my tax aspect out of making day-to-day deci- get out of paying their share—no matter how people go.’’ Indeed, Commissioner Dean sions, I think everybody would become pro- many ‘‘smart accountants and lawyers’’ they Kleckner of Iowa touched a chord with many ductive.’’ E 42 CONGRESSIONAL RECORD — Extensions of Remarks January 22, 1996 Perhaps the single most irrational and eco- businesses, to plan for their future with con- Visibility so that people know the cost of nomically damaging aspect of today’s code is fidence. This exacts a tremendous cost from government; and the layer upon layer of taxes on saving and those taxpayers and business owners who Stability so that people can plan for their investment. By hitting income saved and in- must struggle to keep up with ever-shifting future. vested harder and more frequently than in- rules and regulations. The retroactive tax in- The following pages explain the core rec- come consumed, the current system prompts creases passed in 1993 packed a double-wham- ommendations in light of these principles, taxpayers to spend today what they might my—changing the rules when the game was and explore some of the trade-offs involved otherwise save for tomorrow. This is particu- half over. A stable tax code must allow indi- in reaching a system that meets these goals. larly alarming considering the problems fac- viduals to start a business, buy a house, take This chapter also touches on a few of the ing public retirement programs and the need out a loan, put money into savings, or plan corollary points that flow from these main to strengthen private retirement saving. The for their children’s education without fear of recommendations. Staff discussion papers Bipartisan Commission on Entitlement and what might lurk behind the next election are provided for those who seek more detail Tax Reform offered analyses and proposals cycle. on the concepts involved. on this subject. RECOMMENDATIONS We know what works . . . Freedom works. VISIBILITY Single Tax Rate.—A single rate is a fair And only principles for tax reform that . . . Because those who pay the price of rate. One tax rate, coupled with a generous maximize freedom can yield the opportuni- government have a right to see the bill. personal exemption, together produce a pro- ties, economic growth, and untold possibili- The history of hidden taxes, rapidly rising gressive average tax rate. Low income tax- ties for human advancement that are its rates, and perpetual budget deficits proves payers would owe little or no tax. But every- fruits. In his last public address, Abraham that what you don’t know can hurt you. The one who earns enough to cross the threshold Lincoln declared that, ‘‘Important principles current system hides the cost of government of the exemption would face exactly the may and must be inflexible.’’ By laying down behind a chronic deficit and a maddening same tax rate on any additional income. these important principles, this commission multiplicity of taxes—many of which are vir- A single-rate system is not only fair, it hopes to help build a future of growing pros- tually invisible to the taxpayer who pays also can satisfy the principles of simplicity, perity for many generations to come. them. How much did we pay in payroll taxes visibility, and stability. A single rate is last year? What excise taxes were hidden in A NEW TAX SYSTEM FOR THE 21ST CENTURY clearly simple, and it is highly visible: one the prices of the products we bought? What RECOMMENDATIONS rate—as opposed to the current, confusing are the tax cost of exclusions, deductions, Among the hundreds of testimonies and mess—will stand out and be remembered by and corporate income taxes? Few of us know citizen letters reviewed by this commission, all. A simple, visible system also can be sta- the answers. one of the most compelling was that of Van ble; by keeping our eyes on the single rate, When it comes to these hidden levies, igno- Woods, owner of Sylvia’s Restaurant. Mr. we can keep politicians’ hands off it. rance is expensive bliss indeed. Woods and his family run a successful soul Nobel Prize-winning economist F.A. Hayek One of the biggest political fictions in food establishment in the heart of Harlem, a described economic redistribution through American history is the progressive taxation community with painfully high unemploy- multiple tax rates as ‘‘the chief source of ir- of ‘‘Mr. Nobody’’—the illusion that ‘‘pain- ment. In concluding his testimony to the responsibility’’ in politics and ‘‘the crucial less’’ taxes can be levied on businesses and commission, he said, ‘‘Opportunity is the issue on which the whole character of future on the goods and services they sell. But ability to look in the face of my son and say: society will depend.’’ A system of graduated goods and services do not pay taxes. People ‘I don’t know if you will succeed, but you marginal rates violates the principle of fair- do. While businesses collect taxes, the bur- can.’ ’’ ness—that if a law applies to citizen A, it den of paying the ‘‘business’’ taxes ulti- The objective of this commission, the aim must equally apply to citizen B. mately falls on each of one of us as inves- of its members, is to help make that promise Take for example, two wheat producers, tors, workers, or consumers. a reality—not just for Mr. Woods’ children, each farming the same-sized plot of land. Moreover, the invisibility of many taxes but for every child in every neighborhood in One of them produces 1,000 bushels of wheat; perpetuates the fantasy that government is America’s 21st century. the other through harder work and more free—even as its real costs shrink our pay- In submitting these recommendations, the careful land management, produces 1,200 checks, sap our savings, drain our economy, commission does not seek to toss yet an- bushels. To tax the income represented by and inflate the budget deficit to ominous other piece of legislation on the table. Nor the additional 200 bushels of wheat more proportions. Bob Genetski, an economist and was its goal to pick and choose among exist- heavily than the income represented by the author who testified at hearings in Omaha, ing plans, or worse, create a hodgepodge first 1,000 would be demonstrably unfair to told the commission: ‘‘The cost of govern- compromise from elements of existing alter- the more productive farmer. And yet, that is ment is not obvious to people. If you hide the natives. What we are offering to the Amer- the nature of a multi-rate tax system: it cost of government, people are going to de- ican people and their elected officials is a set takes more from people for their hard work, mand more government than they otherwise of standards—a quality control—that any creativity, and success. would.’’ By severing the connection between new plan must meet if it is to meet the bold The added output—and the resulting added government’s cost and its consumption, the objective of replacing the current tax code income—of one taxpayer doe not diminish current system deprives citizens of the infor- with a fair and simple system. The preceding his neighbor, and is not earned at his neigh- mation they need in order to make rational chapter provides one half of the check-list: bor’s expense. Indeed, it expands economic choices about what they want to buy from the principles that any new system should opportunity, increases the availability of Washington and how much they are willing embody. This chapter provides the other goods and services, and helps others be more to spend. half: key recommendations that any new productive as well. A visible system gives taxpayers an honest system should follow. True progressivity requires a low tax rate accounting of government’s expense and will The core recommendations of the National couple with a generous personal exemption. make it far more difficult for politicians to Commission on Economic Growth and Tax This would grant low-income Americans an tinker with the tax code without the demo- Reform are: ‘‘economic head-start’’—allowing them to cratic consent of those taxed. Adopt a single, low tax rate with a gener- begin their climb toward economic independ- The incurable cynic H. L. Mencken once ous personal exemption ence before they are asked to shoulder their said, ‘‘Conscience is the inner voice which Lower the tax burden on America’s work- share of government’s costs. The larger goal warns us somebody may be looking.’’ By ing families and remove it on those least is to move beyond merely maintaining low making taxes visible, we can ensure that able to pay income Americans at subsistence level liveli- End biases against work, saving, and in- someone always will be. hoods toward giving them an opportunity to vestment STABILITY permanently escape poverty. Allow full deductibility of the payroll tax Here, as elsewhere, there are trade-offs in- . . . Because taxpayers should be able to for working men and women plan for their future without the rules being Require a two-thirds super-majority vote volved. The goal of protecting those least changed in the middle of the game. in Congress to increase tax rates able to bear the burden of taxation conflicts Everyone has heard the old saw that there We believe that, with a pro-growth, pro- with the principle of visibility: those exempt are only two things in life that are certain: family tax system, we can achieve these from taxes don’t see the price of the govern- death and taxes. Given the constant changes goals within the context of budget equi- ment services we all pay for. to the tax code over the past few decades, librium. The commission believes that this The commission believes that the costs— the certainty of taxes has taken a perverse new tax system can satisfy our six working both economic and moral—of burdening low- twist. Like walking blindfolded down a ship’s principles: income people with taxes that can bar them gangplank, you know the end it out there— Economic growth through incentives to from reaching their fullest potential out- you just don’t know when it’ll arrive, how work, save, and invest; weigh competing concerns. By offering low- far you’ll fall, or how long you’ll be able to Fairness for all taxpayers; income Americans a window of economic op- keep your head above water. Simplicity so that anyone can figure it portunity, the personal exemption can help This uncertainty has a debilitating effect out; liberate those whom the public sector has on the economy, making it very difficult for Neutrality so that people and not govern- failed to help and the private sector has families and businesses, particularly small ment can make choices; failed to reach. January 22, 1996 CONGRESSIONAL RECORD — Extensions of Remarks E 43 Lower Tax Rates.—The commission rec- ranch, and business,’’ said Commissioner cism about the possibility of real, long-term ommends that the single rate be as low as Jack Faris. reform, while fueling frustration with Wash- possible. We encourage the adoption of such Unfortunately, family businesses often get ington. The initial optimism inspired by the a low rate within the framework of budget hit hardest because they can’t afford to hire low rates of the 1986 Tax Reform Act soured equilibrium. Furthermore, we strongly urge expensive lawyers and accountants. As Doug- into disillusionment and anger when taxes that the rate be lowered over time as a grow- las Darch of Wake Forest, North Carolina subsequently were hiked two times in less ing economy yields rising revenues. We rec- testified to the commission: ‘‘There is some- than seven years. The commission believes ommend that added revenues be considered, thing wrong with a tax system that results that a two-thirds super-majority vote of not as more Monopoly money for Washing- in the systematic dismantling of small busi- Congress will earn Americans’ confidence in ton, but as a ‘‘growth dividend’’ to be paid nesses to meet estate tax obligations.’’ the longevity, predictability, and stability of out to the American people. The tragedy is that while these taxes cause any new tax system. Eliminate biases against work, saving, and much suffering for taxpaying families, they The goal: A single low rate on income with investment.—The principles of fairness and generate a relatively small amount of reve- a generous personal exemption, a lower bur- neutrality require that all income be taxed nue. Estate and gift taxes appear to count den on working families, an end to biases in the same, whether it is used for consumption for less than 1% of federal revenues—but the tax code—all set in the stone of a con- or saving, whether it is produced in small even that low figure is exaggerated and mis- gressional super-majority. The recommenda- businesses or large corporations, and wheth- leading. Professor Douglas Bernheim of tions in this chapter form the core frame- er it is earned by employees or the self em- Stanford University testified before the com- work for a new 21st century tax system. ployed. mission that the estate tax may not really OTHER ISSUES Under the current system, income that is raise any revenue at all, because more in- Deductions and Exclusions used for consumption is taxed once, while in- come tax is lost from ‘‘estate planning’’ than Concerns about special provisions in the come that is saved is taxed again and again. is ultimately collected at death. For businesses, complex depreciation rules existing tax code have the potential to derail Full Deductibility of Payroll Taxes for all debate over the merits of a new tax system mean that income from investment in build- Working Americans. ings and equipment is overstated. This forces and the tremendous benefits it could bring to people to pay taxes before they have recov- The Commission recommends that federal the American economy. There are important ered the cost of their investment. payroll taxes be fully deductible—both for social and economic consequences of certain The box at left provides an example of the employers and employees. Many employers deductions and exclusions. The commission problem created by the current tax code. and employees pay more in payroll taxes believes they should be considered with an The biases result in less work, saving, and than they do in federal income taxes. Mak- eye to their impact on the tax rate, the costs investment, lower productivity and wages, ing these taxes deductible for both employ- to the Treasury, and the consequences of fewer jobs, less income to spend on housing ers and employees will reduce obstacles to change—and within the context of the values and education, and fewer assets to furnish hiring more workers and will fuel America’s of the American people. For example, the income in retirement than would otherwise job growth into the 21st century. home mortgage interest deduction has be the case. As the example at left dem- Under the current tax system, workers pay spurred home ownership in America; an im- onstrates, these biases affect every family income tax on their Social Security tax—a portant goal of our commission is to spread that is trying to save for the future. tax on a tax. Employers can deduct their ownership to give more people a stake in the In order to end these biases, the tax system half of the payroll tax, but employees can- system. And, at a time when America needs must either let savers deduct their saving or not. The combined burden of both income a renaissance of private giving and commit- exclude the returns on the saving from their and Social Security tax is particularly hard ment to overcome those social problems taxable income. It must end double-taxation on workers with incomes too high to be eligi- which government programs have either of businesses and their owners and permit ble for the Earned Income Tax Credit (rough- failed to improve or made worse—we need a expensing of investment outlays. It must ly $25,000), but too low to be below the system which encourages people to take also address the following issues: threshold where the Social Security tax more responsibility for communities and Capital Gains Taxes.—If a new tax system stops being taken out of paychecks (about neighbors in need. We welcome debate over is to eliminate biases against saving and in- $63,000). the best way to protect these institutions vestment, it also must abolish separate tax- When employer and employee payroll taxes and preserve the values they represent with- ation of capital gains. As commissioner Ted of 15.3% are taken into account, workers in in the context of the dynamic new tax sys- Forstmann said, ‘‘The biggest depressant on the 28% tax bracket actually face a brutal tem we envision. the rate of capital formation is now the risk marginal tax rate of more than 43% on any Simplify International Taxation: Congress of confiscation by the government.’’ The additional income they earn. A single low should consider a territorial tax system. The United States now imposes some of the high- tax rate would help relieve this demoralizing current system of taxing international busi- est tax rates on capital of any developed na- tax penalty on work and saving. But it still ness operations is one of the most com- tion—a 28 percent tax on long-term capital leaves a tax on a tax. plicated parts of the Internal Revenue Code. gains unindexed for inflation. Compare that Making the Social Security tax deductible It leads to enormous costs of compliance and with a 16 percent rate in France; a 1 percent would help reduce the combined marginal enforcement, raises little revenue, and dam- rate in Japan; and a zero tax on capital gains tax rates on middle-income taxpayers who ages the competitiveness of U.S. businesses in Hong Kong, Germany, South Korea, get hit by both taxes. A one-earner couple operating abroad. Further, it encourages Singapore, and Malaysia. with a $40,000 income currently pays tax as them to keep reinvesting profits abroad The result is to punish risk-taking, shrink though the couple really received the entire rather than bringing the money back home the pool of capital needed for investment, $40,000—even though they have already paid where it could be reinvested in America. and deprive would-be entrepreneurs of a over $3,000 as their share of the payroll tax, Whatever new tax system is chosen, there chance to climb the ladder of economic op- leaving less than $37,000 on which they could must be a clearer, simpler, and more certain portunity. ‘‘The tax on capital gains,’’ ar- possibly pay income taxes. By making the determination, relative to current practice, gued President Kennedy in 1963, ‘‘directly af- payroll tax deductible, income taxes would of what income is foreign or domestic or fects investment decisions, the mobility and be calculated on the basis of working fami- what international transaction is taxable. In the flow of risk capital . . . the ease or dif- lies’ real net incomes. addition, attention must be given to the ficulty experienced by new ventures in ob- This need for change was highlighted in a proper tax treatment of foreign source li- taining capital, and thereby the strength and citizen letter to the commission from Spen- cense fees, royalties, and other intangibles potential for growth in the economy.’’ cer Riedel of Flagstaff, Arizona, who de- so as not to discourage research and develop- By shrinking the supply of available seed scribed the Social Security payroll tax as ‘‘a ment in the United States. corn, the capital gains tax acts as a future huge heartache...Is there no way to stop this Strengthen Private Retirement Saving: tax on wealth to be realized, business to be ‘hidden’ tax?...If we could eliminate this un- The commission is particularly concerned built, and jobs to be created. Those hardest fair mandated tax, our business would hire that Americans are not saving enough for hit are not the wealthy—who by definition two more people.’’ their own retirement. A tax system that have their capital gains, their wealth, behind A Two-Thirds Majority Vote in Congress to eliminates the bias against saving is essen- them—but rather all those who have yet to Raise The Tax Rate. The Commission rec- tial to encourage people to accumulate more realize their capital gains; the poor, the ommends that the new system be guaranteed assets throughout their lives. There is, how- young, and minorities. both stability and longevity by requiring a ever, no guarantee that all individuals or ‘‘Death’’ Taxes. It makes little sense and is supermajority vote of both houses of Con- families will save enough to be secure and fi- patently unfair to impose extra taxes on peo- gress to raise the rate. nancially independent in their retirement, ple who choose to pass their assets on to In hearings across the country, one de- even under a new tax system. their children and grandchildren instead of pressing but all-too-familiar response from With the problems facing public retire- spending them lavishly on themselves. Fami- taxpayers could be bluntly paraphrased as: ment programs, it is essential that private lies faced with these confiscatory taxes often ‘‘Change, schmange. That’s what you guys retirement saving be strengthened. Without find themselves forced to sell off farms or said the last time you talked about tax re- sufficient retirement saving, many people businesses, destroying jobs in the process. form.’’ The roller-coaster ride of tax policy will become dependent upon the government ‘‘We must help to save the family farm, in the past few decades has fed citizens’ cyni- in their old age, necessitating either sharp E 44 CONGRESSIONAL RECORD — Extensions of Remarks January 22, 1996 increases in taxes on future generations or a of the unparalleled economic growth, the tortions of the current tax system are lifted significantly diminished standard of living. unimagined opportunities for human fulfill- from our economy, the explosion of new in- Providing strong encouragement for individ- ment and advancement that now lay trapped vestment, new businesses, and new jobs uals and families to take responsibility for within the cage of the current system, wait- would transform the economic and social their own retirement will go a long way to- ing for us to open the door. landscape of our country. A newly galvanized ward preventing uncontrolled growth of gov- CONCLUSION economy would create work for all those who wanted it, unleash unimagined innovations, ernment while ensuring a more comfortable, The recommendations outlined here can more secure, and more independent retire- act as a magnet for capital from all over the lay the groundwork for a pro-growth, pro- world, and boost wages and living standards ment. family tax code for America’s 21st century. Therefore, any tax system should encour- for America’s working families. As construction of the new system moves age people to save for their own retirement. We also believe that a new tax code can forward, there will be many decisions to be Further, the commission recommends that help replenish the well-springs of public met and made along the way. While we have Congress begin the process of policy changes trust—in our government, in each other, and tried to raise a number of those issues here, that will result in people taking more re- in ourselves. By treating citizens equally and and clarify others in the discussion papers, it sponsibility for their own retirement saving. with respect, a new tax code can restore is impossible to anticipate every question Other changes within the overall income and faith in the basic fairness of the system. A that will arise as we move toward a new sys- payroll tax systems also should be consid- simplified system will eliminate the fear tem. ered. that special advantages hide in complexity, We urge that the American people partici- while restoring citizens’ confidence in their MEASURING RESULTS pate in this debate at every step of the way. own ability to comply with the code. One of the chief objectives of adopting a This is all the more crucial given the critical This vision of the future is rooted in both new tax system is to promote economic nature of the transition issues involved as a realism about human nature and an ideal- growth. If we are successful, the added replacement of the current system gets un- ism about human potential. We recognize growth will provide the tax revenues to pay derway. Half a century ago, the economist that a new tax code, no matter how radical, for a portion of the change in the tax law. Joseph Schumpeter described capitalism as cannot solve all problems. It cannot make Failure to count these added revenues will inseparable from ‘‘the perennial gale of cre- fathers love mothers or guarantee children make it appear more difficult to make the ative destruction.’’ In the transition to a happy homes. Government reform, however necessary tax changes. fairer system and a freer market, the winds vast or vaunted, cannot change hearts. One couldn’t catch the blossoming of a role of change are bound to increase. Those who But it can lift hopes. At its best, it does in a split-second single-frame exposure, or have a stake in the status quo will not wel- this by seeking, as Lincoln did, ‘‘to elevate capture a speeding bullet with time-lapse come change; others may prefer the cramped the condition of men—to lift artificial photography. Similarly, the tools with which confines of the familiar present to the uncer- weights from all shoulders—to clear the we anticipate and examine changes in gov- tainty of a yet realized future. paths of laudable pursuit for all.’’ By freeing citizens from the costly encum- ernment policies, including tax policy, must If the taxpayer testimonies we listened to brances of the current tax code, by restoring mirror the way the economy actually and letters we received bear any evidence of changes as a result of these actions. the link between effort and reward, by allow- the broader mood of the country, we believe ing individuals to save and invest in their fu- When a bill is being debated before Con- that Americans are overwhelmingly eager to gress, members are required to produce esti- ture, and by unleashing the pent up power of make that change, ready for its challenges, our economy, this new system can lead to mates of the costs of the legislation. For and look forward to its opportunities. years, Congress has used what are called Lincoln’s ‘‘new birth of freedom,’’ and It has been a privilege for us to serve on launch us into the next American century. ‘‘static revenue estimates’’ to produce these this commission, and each of us has taken BIAS AGAINST SAVING AND INVESTMENT figures. Static revenue estimates attempt to the responsibility very seriously. We have predict future government revenues by ap- been educated and inspired by the many, Multiple taxation creates a huge bias plying the new law to today’s economy as many Americans we have talked with. While against saving and investment that must be though it would not be affected by the new the tax system is in serious disrepair, the eliminated in a new system. Consider, for ex- law. History has shown that these estimates American spirit and will for change are ample, the effect of the current system on a family in the 28 percent tax bracket that are limited in their ability to predict reve- stronger than ever. We thank Senate Major- nues. earns an extra $1,000. ity Leader Dole and Speaker Gingrich for Of that $1,000, they will pay $280 in federal We recommend that Congress instead use giving us this opportunity by delegating us estimates that measure the impact policy income tax and keep $720. If they spend that to do this important work. $720, say, taking the family to Disneyland, changes will have on people’s behavior and We quote in this report many of the citizen on future economic activity, and that there- they incur no further federal tax, no matter witnesses who wrote to us and who testified how many times they ride the Space Moun- fore more accurately predict implications for at our hearing. We thank them and the many future revenue collections. Use of this ‘‘dy- tain. expert witnesses who prepared testimony But suppose, instead, they decide to invest namic’’ scoring, of course, must be based and answered our many questions about the the income in stocks to create financial se- upon realistic assumptions regarding tax intricacies of tax reform. curity for their future. Bad move, says the rates, tax revenues, and economic activity. We are very much indebted to the law- current tax code. It is essential to avoid overly optimistic as makers who have spent years of their careers First, they already had to pay income well as overly pessimistic projections. (Fur- studying tax reform, inspiring serious debate taxes to have the $720 to invest. Second, the ther details are provided in the staff discus- on the flaws of the current system, and de- company in which they invest will generally sion papers.) veloping proposals for major tax reform. pay tax at a 35 percent rate on the returns on TRANSITION ISSUES Among them: House Majority Leader Dick the amount invested. Third, if the company The defenders of the status quo will say Armey, Ways and Means Chairman Bill Ar- pays dividends, the family will pay a 28 per- that our recommendations for a new tax sys- cher, Senate Budget Chairman Pete Domen- cent tax on the dividends they receive. Alter- tem will mean a tax increase on the middle ici, Senator Sam Nunn, Joint Economic natively, if the company retains the after class or cause a flood of red ink. Committee Chairman Connie Mack, Senator tax income for reinvestment or finds other We strongly disagree. The thinking behind Bob Bennett, and Congressman Dick Gep- ways to boost future earnings, the stock our current tax system is a model that does hardt. Others whose work has been invalu- price will rise. The future earnings will be not fit tomorrow’s world. Complainers fail to able to the process include Senator Richard taxed, and if the family sells the stock, it understand the new world that this new sys- Shelby, Senator Richard Lugar, Senator will pay a capital gains tax at a 28 percent tem will create. The tax reform we envision Arlen Specter, ranking Ways and Means rate (see below). Fourth, if they hold the pro- will create a different climate for economic Committee member Sam Gibbons, and many ceeds of the sale until death, they will be growth. It will lift incomes. It will reduce in- others. subject to an estate tax that can go as high terest rates. It will put people to work. It It has been said that every breakthrough as 55 percent. will reduce the use of tax shelters. It will re- in human understanding has come in the Both the investment in the stock market duce the need for social safety-net spending. form of a simplification. The complex, bu- and the investment in the family trip It will foster millions of new businesses and reaucratic tax code of the 20th century will produce returns—one yields warm memories jobs. In the process, the transition will help not enable us to keep pace with the complex of the past, the other provides real hope for to pay for itself. and rapidly changing world of the 21st cen- the future. The returns on the investment in That doesn’t mean there will not be dif- tury. A simplified tax code would have an in- the trip are not subject to tax; the returns ficult issues to address during the transition. stant impact on peoples’ lives—freeing up on the investment in the stock market are. In particular, policy makers must take care time, energy and resources currently wasted (Staff discussion papers contain further in- to protect existing savings, investments, and in costly compliance for productive endeav- formation on the tax code’s bias against sav- other assets. Whatever the challenges this ors. ing and investment.) change presents, we believe that none of the The impact on the economy would be im- BIOGRAPHIES issues is insurmountable. mediate and profound, putting the goal of a Chairman Jack Kemp is founder and cur- Whatever equivocations there may be to- doubled economic growth rate within our rent co-director of Empower America, a pub- ward the future, we must not let them rob us reach. The moment the dead weight and dis- lic policy and advocacy organization. Kemp January 22, 1996 CONGRESSIONAL RECORD — Extensions of Remarks E 45 served as Secretary of the U.S. Department matician, the Coca-Cola Company as a busi- Forstmann splits his time between running of Housing and Urban Development in the ness analyst, and was an executive with his firm, speaking out on behalf of economic Bush Administration, and represented the Burger King Corporation. opportunity and growth, and helping chil- Buffalo, N.Y., area for 18 years in the U.S. ‘‘One of America’s greatest strengths is its dren worldwide. He has poured his energies House of Representatives. He played profes- ability to change . . . our 82 year old tax and resources into leading relief efforts in sional football for 13 years as quarterback ‘mess’ is long overdue for dramatic, sensible Bosnia, sponsoring charities in South Africa, for the San Diego Chargers and Buffalo Bills. change.’’ and funding scholarships and teaching stu- His father was a small-businessman who Carroll Campbell served two, four-year dents in America’s inner cities. He is the helped start a small trucking company in terms as one of the most popular and innova- senior partner of Forstmann Little & Co. and around Los Angeles, CA. tive governors in South Carolina’s history. ‘‘The current tax system is ridiculously ‘‘If you tax something you get less of it. If His legacy as governor includes government complicated, economically destructive, and you subsidize something, you get more of it. reform, record job expansion, net tax cuts, morally corrosive. We desperately need a The problem in America today is that we are economic growth, and investment in his new tax code that puts the individual—not taxing work, savings, investment, and pro- state. Campbell launched his political career government—at the center of the equation.’’ ductivity; and we’re subsidizing debt, wel- in 1970, first serving in the state House and Dean Kleckner took over the rented family fare, consumption, leisure, and mediocrity.’’ Senate and later in the U.S. Congress, where farm in Iowa at the age of 18 when his father Vice Chairman Edwin J. Feulner, Jr. is he served on the Banking, Appropriations, died. Kleckner served in the Army and later president of the Heritage Foundation, a lead- and Ways and Means committees. He also returned to Iowa where he started on his own ing public policy group in Washington, D.C. served as chairman of the National Gov- with a dozen sows, a dozen cows and 300 He also serves as chairman of the Institute ernors’ Association, the Republican Gov- chickens. Today he owns a 350-acre corn, for European Defense and Strategic Studies ernors’ Association, and the Southern Gov- soybean, and hog farm, and serves as Presi- in London. Feulner, who has a Ph.D. from ernors’ Association, as well as Chairman of dent of the American Farm Bureau Federa- the University of Edinburgh, served as con- the Southern Growth Policies Board. Today tion, a post he has held since 1986. He also sultant for Domestic Policy to President he is president and CEO of the American serves on the U.S. Advisory Committee on Reagan, and was the Chairman of the U.S. Council of Life Insurance. Trade Policy, a post to which he was first ap- Advisory Commission on Public Diplomacy. ‘‘The tax system should encourage invest- pointed by President Reagan, and ‘‘Our tax code has become a complex web ment and job creation, foster long-term sav- reappointed by Presidents Bush and Clinton. of penalties, disincentives, loopholes, and ings, and increase the focus on individual ‘‘Our tax system must be simple and equi- preferences. No amount of tinkering at the and family economic responsibility. In short, table for all taxpayers, with no loopholes. It edges will save the system. The only answer tax policy should encourage long-term sav- has to let hard-working taxpayers keep more is to replace it with a new system that re- ings for retirement.’’ of the money they have earned.’’ wards work, saving and risk-taking.’’ Pete du Pont, during his tenure as gov- Shirley Peterson is president of Hood Col- Loretta H. Adams, started her professional ernor of Delaware from 1977–1985, imple- lege in Frederick, Maryland. Prior to assum- career as a management trainee at the Pan- mented a highly successful pro-growth tax ing the college presidency, she practiced tax ama City, Panama, Sears store on a $25-a- policy by dramatically lowering marginal law and also served as Commissioner of In- week salary. Ms. Adams later immigrated to tax rates, causing the state’s economy to ternal Revenue under President Bush and the United States and went on to become boom and overall tax collections to jump, Assistant Attorney General (Tax Division) at founder of the San Diego-based Market De- and enacting a constitutional amendment the U.S. Justice Department under President velopment, Inc., a consumer, marketing, and that limited both tax and state spending in- Bush. She was raised on a farm in Colorado. opinion research firm with nearly 100 em- creases. He also served as a state legislator ‘‘Citizens from around the country told us ployees. Since 1978, her company has serv- and Congressman and ran as a Republican that the current law is too complex: This iced Latin-American consumers in the Unit- candidate for President of the United States. complexity breeds disrespect for the law and ed States and Latin America and has become He currently serves as policy chairman of for our government. It is time to repeal the one of the top 100 research firms in the coun- the National Center for Policy Analysis, and Internal Revenue Code and start over.’’ try. writes a weekly column on public policy that John Snow worked his way through college ‘‘The conditions that produced the current is distributed to more than four hundred as a sports coach. Today he serves as chair- tax system no longer contribute positively newspapers across the nation. man, president, and CEO of CSX Corporation to a 21st century global economy. We now ‘‘The men and women who spoke to us re- in Richmond, Virginia, and has been with have the opportunity to create a tax system flected an American consensus: Our tax sys- the company since 1977. Snow, who has a that is more responsive to our times, situa- tem is destroying our opportunities. It’s Ph.D. in economics from the University of tion, and needs and, hopefully, we will grasp time to replace it.’’ Virginia and a law degree from George Wash- it fully.’’ Jack Faris started working at age 13 earn- ington University, also served as Deputy Un- J. Kenneth Blackwell lived in public hous- ing 50 cents an hour at his parent’s service dersecretary of the U.S. Department of ing for the first seven years of his life only station. Faris learned early in life the chal- Transportation, as a private attorney and a to later pioneer housing reforms as the Dep- lenges of running a small family business college professor. uty Undersecretary of the U.S. Department and the importance of hard work. After run- ‘‘The current tax system dims our pros- of Housing and Urban Development. Today, ning his own business in Nashville, Ten- pects for the future and must be replaced by he serves as Treasurer of the State of Ohio, nessee, he became president and CEO of the a new system for the 21st century which having previously held public office on the National Federation of Independent Business helps Americans to capitalize on opportuni- Cincinnati City Council before becoming (NFIB), the nation’s largest small business ties—not stifle economic growth and entre- mayor of Cincinnati. He is a member of the advocacy organization with more than preneurial activity.’’ Council on Foreign Relations in New York, 600,000 members. John Wieland always worked part-time and previously served as U.S. Ambassador to ‘‘Regulation and taxes are strangling small growing up, from working at a gas station to the United Nations Human Rights Commis- business on main street. Give us relief and delivering newspapers to stocking vending sion and as vice president of Xavier Univer- we will create the jobs and build America’s machines. Today, he is a president of John sity in Cincinnati. future for our children and grandchildren.’’ Wieland Homes, Inc., of Atlanta, employing ‘‘There is something fundamentally wrong Matt Fong serves as Treasurer of the State more than 700 full-time employees and thou- with a tax system that costs Americans $250 of California. Prior to his election, Fong sands of subcontractors. For Wieland, suc- billion to comply. A simpler tax system served as Vice Chairman of the State Board cess has meant the ability to give back to would help break the chains that currently of Equalization, California’s tax agency. his community by providing housing for the bind entrepreneurial spirit.’’ Fong streamlined the agency, cutting mil- working poor and working with Habitat for Herman Cain learned the value of hard lions of dollars of waste, reformed the state’s Humanity, formerly serving as a member of work from his father who concurrently tax code sponsoring changes to the unitary the International Board of Habitat. worked three jobs—one of which was as a tax, and made the agency more ‘‘taxpayer ‘‘The consensus of the American people de- janitor at The Pillsbury Company in At- friendly.’’ A graduate of the U.S. Air Force mands a completely new, simple, and fair tax lanta. At age 12, Herman went to work with Academy currently holding the rank of Lt. code. Increased prosperity for ALL will be his father at Pillsbury, helping him as ‘‘as- Col. USAFR, he earned an MBA and law de- the outcome. The time is now.’’ sistant janitor.’’ Twenty-two years later gree, started a small business, and worked THE TAX TEST Cain would become a Pillsbury vice presi- for Sheppard, Mullin, Richtor and Hampton SIX POINTS OF PRINCIPLE dent (computer systems) and later be se- as a transactional corporate attorney. (1) Economic growth through incentives to lected as president of the firm’s then-subsidi- ‘‘Too many Americans are sitting on the work, save, and invest ary company, Godfather’s Pizza, Inc. In 1988, economic sidelines. A progressive single rate (2) Fairness for all taxpayers he successfully led a group of Godfather’s flat tax will radically jump start job cre- (3) Simplicity so that anyone can figure it Pizza, Inc. senior management in purchasing ation, moving the unemployed off the side- out the chain from Pillsbury. He currently lines to jobs.’’ (4) Neutrality that lets people and not gov- serves as chairman and CEO of Godfather’s Theodore J. Forstmann is one of the most ernment make choices Pizza, Inc. Prior to his tenure at Godfather’s, admired entrepreneurs in America with an (5) Visibility to let people know the cost of Cain worked for the U.S. Navy as a mathe- unrivaled record of successful investments. government E 46 CONGRESSIONAL RECORD — Extensions of Remarks January 22, 1996 (6) Stability so people can plan for the fu- way to desert shrubs that can survive on less visory boards and organizations. Carl currently ture water, reducing food for grazing animals. serves as the state committee chair for the SIX POINTS OF POLICY Producers of coal and oil, as well as some consolidated farm services agency, and as a economists, say that we should learn to live (1) A single tax rate with these changes because doing so will be board member of the agricultural advisory (2) A generous personal exemption to re- far cheaper than reducing carbon dioxide board for the Pennsylvania Department of En- move the burden on those least able to pay vironmental Protection. In addition, Carl is (3) Lower tax rates for America’s families emissions enough to halt global warming. (4) Payroll tax deductibility for workers Leaving aside the fact that such conclu- president of the board of directors of the Agri- (5) Ending biases against work, saving, and sions ignore potential social and ecological cultural Awareness Foundation of Pennsylva- investment disruption that is difficult to put in mone- nia, and a member of the Pennsylvania Farm (6) Making the new tax system hard to tary terms, a growing body of research and Bureau's Board of Directors. He has also change experience indicates that reducing emissions served on the boards of the Pennsylvania sufficiently is not only possible but makes f economic sense. Although the challenge is Vegetable Marketing and Research Program, greater in rapidly developing countries the Pennsylvania Farm Bureau, and the Penn- TIME FOR ENVIRONMENTAL sylvania Master Corn Growers Association. TAXES where energy demands are rising most, in- dustrialized nations can lead the way in re- Locally, Carl was the president of the Colum- ducing dependence on fossil fuels. bia County Farmer's Bureau and the Columbia HON. FORTNEY PETE STARK The cost of solving environmental prob- County Crop Improvement Association. OF CALIFORNIA lems has routinely been overestimated. Take Mr. Speaker, Carl Shaffer is not only an ex- the ozone-destroying chlorofluorocarbons. IN THE HOUSE OF REPRESENTATIVES tremely involved activist on agricultural issues, Ten years ago, the chemical industry and Monday, January 22, 1996 other ‘‘experts’’ said that finding an eco- he is an outstanding member of his commu- nity. He is an active member of the Mifflinville Mr. STARK. Mr. Speaker, the Republicans nomic alternative to these substances would be impossible. Yet once the industry was Methodist Church and the 4H Horse and Pony are busy talking about flat taxes and sales forced to find substitutes for them, under Club. An ardent Democrat, Carl served on the taxes and reducing the tax on interest and international agreements beginning in 1987, Columbia County Democratic Committee Ex- dividends. What we should all be talking about it managed to phase them out completely in ecutive Board and as a member of the Penn- is lowering the tax on labor and job skills and two-thirds the time allowed for just a 50 per- Ag Democrats. increasing it on pollutants. cent cut, in many cases at a profit. Every year, Penn State University and Global warming is happening. Those who Or consider the shift in fuel economy standards. Before minimum standards were Pennsylvania Farmer Magazine join together lived through the snow storms of early Janu- to honor outstanding farmers and confer upon ary may want to laugh. Do not. The following established in 1975, the automobile industry claimed that doubling fuel efficiency, as re- them the degree of ``Master Farmer.'' The out- article from the January 10, 1996, New York quired, would force everyone to drive com- standing men and women who have been Times by two environmental experts points out pact cars. Ten years later, the standard had honored with this recognition have not only that the recent blizzards are what we should been achieved, while the average size of a car made significant contribution to the agricultural come to expect as the environment changes. had hardly changed. industry, but have also worked for the better- I have introduced legislation to remove tax Why were these estimates so far off? In ment of the society in which they live. Know- subsidies on the extraction of polluting fuels part, opponents of the new regulations want- ed to stimulate political opposition. But ing of the special qualities that one must pos- and minerals. I am preparing legislation to sess to be honored with this award, I believe move to the next step and gradually increase independent economists often made similar projections, apparently forgetting that polit- that Carl Shaffer is a perfect candidate for taxes on pollutants that contribute to global ical pressure spurs technological innovation. Master Farmer of the Year. warming and the degradation of the environ- For this reason, some economists believe I have known Carl for many years and I ment. The money raised from these taxes can that the costs of stemming global warming have had the pleasure to work with him on be used to fund lower taxes on wages and in- will continue to fall—but only if the pressure many occasions. His good stewardship ex- comes, so that the average citizen is not hurt to change exists. tends far beyond his farm. He has given of by these environmental taxes and so that our So far, the United States, with all its wealth and technology, has not made a seri- himself to his community and continues to whole economy can begin to work for the work for the welfare of his neighbors. Not only long-term health of the world environment. ous commitment to reduce emissions. Only if we unleash our ingenuity to find solutions is Carl a competent and aggressive problem- [From the New York Times, Jan. 10, 1996] can we expect poorer countries to follow solver, he is a warm and caring individual. BAD WEATHER? JUST WAIT suit. When I need well-thought-out advice on agri- (By John Harte and Daniel Lashof) f cultural issues, I call upon Carl for his astute As the Northeast bowed before an extraor- understanding of complex policy matters. dinary blizzard, southern Californians CARL SHAFFER HONORED Mr. Speaker, it is truly an honor for me to basked in record-breaking heat. Some specu- pay tribute to a man who has worked to pro- lated that this freakish weather was further HON. PAUL E. KANJORSKI vide so much to so many people. Carl Shaffer evidence of long-term global climate change. OF PENNSYLVANIA truly deserves this honor. I am confident that But focusing on individual events would be a IN THE HOUSE OF REPRESENTATIVES Carl will continue working on behalf of his fel- mistake. Unusual weather conditions have always been normal. Monday, January 22, 1996 low farmers and I warmly congratulate him on This does not mean that global climate being named ``Master Farmer of the Year.'' change is not occurring. A United Nations Mr. KANJORSKI. Mr. Speaker, I rise today f scientific panel recently concluded for the to bring to the attention of my colleagues an first time that global warming had begun honor that is being bestowed upon my close HEADWATERS FOREST and would intensify because of rising levels personal friend Mr. Carl T. Shaffer. Carl is a of heat-trapping gases emitted by burning farmer who resides in my congressional dis- HON. FORTNEY PETE STARK coal, oil and natural gas. The magnitude of trict who has been selected as ``Master Farm- OF CALIFORNIA the change is uncertain, but over the next er of the Year'' by Penn State University and IN THE HOUSE OF REPRESENTATIVES 100 years, the panel estimated, the planet’s Pennsylvania Farmer Magazine. average surface temperature is expected to Monday, January 22, 1996 rise by 1.4 to 6.3 degrees Fahrenheit. Carl Shaffer is the owner and operator of a The important news about this projected 1,000 acre vegetable farm in Columbia Coun- Mr. STARK. Mr. Speaker, the Headwaters rise is not going to break the way it does for ty, PA. The farm's average annual crop pro- Forest in Humbolt County, CA, is one of the dramatic weather. Continued warming is duction totals include 600 acres of corn, 20 world's largest stands of privately owned an- likely to result in a gradual parching of soil acres of oats, 60 acres of wheat, 30 acres of cient redwoods; however, this beautiful forest in many regions of the world, possibly lead- carrots, and 300 acres of snap beans. I have is in imminent danger of destruction. The Pa- ing to declining crop yields even as the glob- visited his farm on numerous occasions and cific Lumber Co., directed by Charles Hurwitz, al population rises. When does this trend be- have been greatly impressed by its yields, has already logged thousands of acres and come ‘‘news’’? Sea levels will also rise, slowly inundating which have been produced under approved has indicated a desire to log some of the for- Asian farmland, entire islands in the South conservation plans. est's last remaining 2,000-year-old giant red- Pacific and coastal cities and harbors I am proud to tell my colleagues that Carl's woods. throughout the world. Coral reefs will die in leadership is not confined to the boundaries of Presently, Mr. Hurwitz, is the subject of two the warmer oceans, and grasslands will give his farm, but extends to many agricultural ad- Federal lawsuits totaling approximately $650 January 22, 1996 CONGRESSIONAL RECORD — Extensions of Remarks E 47 million, resulting from the failure in the late nationwide averaged $5,730. The district’s achievements are reported to parents and 1980's of a Texas savings and loan. The best student-to-administrator ratio is 520:1—near- the community in the pages of the district’s chance to save the Headwaters Forest is ly twice the national average. And although publications. similarly sized districts (like those in Roch- The friendly, competitive culture at Clovis through a debt-for-nature swap in which the ester, New York, and Madison, Wisconsin), clearly has helped drive achievement. Be- Government would acquire the headwaters typically house 300 to 400 employees in their cause a school’s performance at a district- and in return would relieve all or part of Mr. central office, CUSD employs just 167. With wide choral competition or drama fair influ- Hurwit's outstanding debts. no teachers union or Parent Teachers Asso- ences its ratings, teachers, students, and ad- A debt-for-nature settlement negotiated with ciation (PTA), CUSD is a rarity among pub- ministrators work hard to give their the help of the Clinton administration would lic schools. routines the extra edge needed to push ahead allow the taxpayers to recover some of their In this case, less means more—more stu- of their colleagues. Schools borrow the win- dents performing above average across a ning strategies used elsewhere. Students at losses from the savings and loan scandal broad range of measures. The district’s aver- Clovis West High School, for example, often while preserving one of the true treasures of age score on the Scholastic Aptitude Test score better on SATs and AP exams than natureÐthe Headwaters Forest. (SAT) is 52 points higher than the state aver- those at Clovis High School, so Clovis High Less than 4 percent remain of the ancient, age and 42 points higher than the national has borrowed test-preparation tips from Clo- old-growth redwoods that once covered more average. CUSD’s mean composite score on vis West. Clovis High is also trying to im- than 2 million acres from Big Sur to the Or- the American College Test (ACT) stands re- prove discipline by looking at successful egon border. These majestic redwoods, such spectably at the 65th percentile. In 1995, with techniques employed at Buchanan High. Competition, however, would produce little an important part of our California and national a senior cohort of 1,606, CUSD students passed 720 Advanced Placement (AP) exams. without local decision-making. Anticipating heritage, need to be preserved for future gen- Perhaps one reason Clovis kids out perform trends that would revolutionize America’s erations. their peers is that they show up for class Fortune 500 companies, Buchanan made f more often: The district’s high-school at- flexible, decentralized, site-based manage- tendance rate is nearly 95 percent, and its ment a fundamental feature of the school FAMILY, COMMUNITY, AND OUR drop-out rate is only 4 percent. The district system in 1972. The district office has been PUBLIC SCHOOLS doesn’t skimp on its extracurricular offer- responsible for setting goals and establishing ings, either. More than 80 percent of Clovis guidelines, but schools have worked to meet students participate in one of the most suc- these goals in their own ways. ‘‘They give us HON. GEORGE P. RADANOVICH cessful programs in California. Last year, the what and we figure out the how,’’ says OF CALIFORNIA the district earned a championship at the Kevin Peterson, the principal of Tarpey Ele- IN THE HOUSE OF REPRESENTATIVES National Future Farmers of America Con- mentary School. Monday, January 22, 1996 vention and sent its state-champion Odyssey When officials at Pinedale Elementary of the Mind team to compete in the world School determined that parent participation Mr. RADANOVICH. Mr. Speaker, all too finals. there was lower than at other schools, for ex- often our public schools are dominated by a Many Clovis children are among the most ample, they realized that immigrant parents bloated bureaucracy unresponsive to the disadvantaged in the region. Nearly 40 per- felt locked out by language barriers. So they needs of families and local communities. The cent of the district’s students live in Fresno created ‘‘family nights’’ to help these par- ents take part in their children’s education. more we can return effective control over edu- City. Six of CUSD’s elementary schools en- roll enough AFDC children to qualify for di- With their children present, the parents are cation to localities, Mr. Speaker, the more we rect financial assistance from the federal taught games and devices they can use at can enhance the active involvement of parents government. And five schools have student home to help their children with their home- in our public schools, curb costs and bureauc- bodies with more than 50 percent minorities. work. The result: Immigrant parents now racy, and ensure that our children leave In 1989, the median household income of the participate more. school equipped with the adequate knowledge community surrounding Pinedale Elemen- Such innovation is easier in the absence of and skills to play their full part in American so- tary School was $10,000 below the national teacher unions. For example, the district de- ciety. median of $28,906. And yet Mexican-Ameri- ploys teachers weekly to the homes of about 100 recently arrived immigrants to provide The Clovis Unified School District [CUSD] in cans, who make up the district’s largest mi- nority (about 18 percent of all students), out- them English-language instruction and to my congressional district, makes a welcome perform their State and national counter- help them build a bridge to their rapidly as- contrast to this grim picture. Superintendent parts on the ACT by significant margins. similating children. Meredith Ekwall, a Walter Buster, building on the foundations laid Created in 1960 from the merger of seven first-grade teacher at Weldon Elementary by the CUSD's first superintendent, Floyd V. rural, low-income school districts, CUSD School, teaches English at night to the par- Buchanan, has demonstrated that public presented its first superintendent, Floyd V. ents of her ESL students to encourage Eng- schools can provide a good education without Buchanan, with a significant challenge: lish use in the home. In districts where col- inflated costs and with maximum parental in- Barely more than one in three of the dis- lective-bargaining agreements stipulate pre- trict’s 1,843 students performed at grade cisely how much time teachers spend teach- volvement. The CUSD works actively with its level. Buchanan wanted to push this figure ing, micromanage the amount of time teach- local community and is responsive to it. It to 90 percent—but how? ers can devote to activities outside of the therefore gives me great pleasure to present Put simply: competition, control, and con- classroom, and dictate what a district can the following article by Christopher Garcia, sequences. Buchanan reasoned that schools and cannot ask its teachers to do, such flexi- published in the latest issue of Policy Review: would not be spurred to meet the goals that bility and voluntarism is rare. The Journal of American Citizenship (January/ he and the central administration set for Along with teacher autonomy and greater February 1996). them unless they competed against one an- parent access, Clovis strives for accountabil- other in academic and extracurricular ity. All the teachers, without exception, are HUMBLE CLOVIS DEFIES THE EDUCATION achievement. He established goals for each expected to bring 90 percent of their students VISIGOTHS of the system’s 11 schools at the start of the up to grade level. If they do not, everyone In 507 A.D., at Vouille´ in present-day year, ranked them according to their per- knows about it. The district’s research and France, the King of the Franks led a band of formance at year’s end, and established a evaluation division notifies teachers, par- warriors against the Visigoths, the maraud- system of carrots and sticks (mostly car- ents, and administrators of school and stu- ing barbarians who had sacked Rome a cen- rots). dent performance. And with curriculum de- tury earlier. The king, named Clovis, de- Most importantly, administrators and velopment and teacher hiring and firing in feated the Visigoths and broke their hold on teachers were allowed to choose the teaching the schools’ hands, knowledge is power. The Europe. methods and curricula they felt suited their approach has ‘‘made every teacher account- Today, a modern namesake—the Clovis objectives. This formula, in place for dec- able,’’ says Redbank Elementary School Unified School District (CUSD), in Fresno, ades, has allowed the district—now with 30 Principal Susan VanDoren. ‘‘[I]t made me sit California—is successfully defying another schools and 28,000 students—to place between down and look at all those kids [needing ominous empire: the education establish- 70 and 90 percent of its students at grade help] and ask, ‘What can we do? ’’ ment. Despite serving a significant portion level. Parents seem more likely to ask that ques- of Fresno’s urban poor, Clovis is proving that Competition in the district exists at sev- tion in Clovis than in other school districts. public schools can deliver a good education eral levels. Earning a rating as a top school Parents and other community members (in- with a small budget and minimal bureauc- is its own reward, but the district recognizes cluding the clergy, senior citizens, and busi- racy. high achievement in other ways. The top nessmen) sit on advisory boards, where they Clovis has long ignored the prevailing cant schools on the elementary, intermediate, and review individual school performance and about the need for high spending and huge high-school levels are recognized at an an- formulate policy. Last year, some parents bureaucratic machinery to regulate public nual, districtwide award ceremony. The dis- were upset that children were required to education. During the 1993–94 school year, trict’s best teachers and administrators are read feminist author Maya Angelou’s I Know CUSD spent $3,892 per pupil; school districts honored at a dinner. And the school’s Why the Caged Bird Sings. Parents forged an E 48 CONGRESSIONAL RECORD — Extensions of Remarks January 22, 1996 agreement with the district that allows President Johnson is a long time resident of playing a strong sense of involvement at an them to review books assigned to their chil- the bay area. He received his bachelor's de- early age, they were active with the Denver dren and help develop alternatives. Other gree from Saint Mary's College in Moraga and Jewish Youth Council and were officers in boards recently voted to institute a vol- untary uniform and a fee-based home-to- then moved to Fresno to receive his teaching AZA and BBG. After graduating from the uni- school transportation program. Teams of credential. He returned to the bay area to re- versity of Denver, and getting married, the parents issue critiques of schools on the ceive his master's from Cal State Hayward couple resumed their involvement with the basis of data culled from parent surveys; and then moved back to Fresno to begin his local Jewish community. these reviews are posted in every staff room teaching career. Earl became vice president of the Jewish in the district. From 1958 to 1965, he was an instructor in Family and Children's Service, and chaired the These boards function the way PTAs are the Fresno Unified School District. He then Denver accountants/lawyers division. He was meant to, but without the stifling hand of teacher-union influence. ‘‘The reason for the served as executive director of the Trinity also an officer and member of executive com- success of Clovis,’’ says Superintendent Wal- Street Community Center for 2 years before mittee of their synagogue. At the same time, ter Buster, ‘‘is that these schools are truly becoming the deputy director of the Fresno Toba served on the board of the woman's divi- governed by elected lay people.’’ County Economics Opportunities Commission sion of the National Jewish Hospital, and as a Ultimately, it seems, success in CUSD is in 1967. In 1968, President Johnson returned member of the Jewish Family and Children's driven by community expectations. ‘‘There’s to the bay area where he became the dean of Service Adoption Committee. a corporate culture that has been established that requires more of people, expects of peo- men at Saint Mary's College. In 1970, he was In 1968, the couple moved to the San Fer- ple more, and gets of people more,’’ says H.P. promoted to dean of students at St. Mary and nando Valley, where they quickly resumed Spees, executive director of Fresno-Madeira in 1973, he moved to the College of Alemeda their involvement with the Jewish community. Youth for Christ and member of CUSD’s cler- where he became the coordinator of special Some of the highlights over the past 27 years gy advisory council. services and veterans affairs. In 1975, he be- include Toba becoming founder of the Valley This culture of expectation is impressed came the assistant dean of instruction and in Jewish Business Leaders Association; Earl upon teachers even before they pick up a 1979, he was promoted to dean of instruction. serving as president of the Valley Alliance of piece of chalk. A lengthy, multi-tiered inter- view process incorporates parents, teachers, In 1981, he went to Laney College where he the Greater Los Angeles Jewish Federation community leaders, principals, and adminis- served as president for the last 15 years. and both of them becoming active with the trators and signals to prospective teachers President Johnson has been a member of a University of Judaism. that the Clovis community demands much of number of community organizations including The parents of three children, and the its teachers. According to Ginger Thomas, the Cultural and Ethnic Affairs Guild of the grandparents of six, Toba and Earl have suc- the principal of Temprance-Kutner Elemen- Oakland Museum, the Oakland Public Library ceeded at balancing family, career, and com- tary School, some teacher candidates quit Association, the National Association of Black munity. I ask my colleagues to join me in sa- the interview process, saying ‘‘you guys work too hard.’’ Assistant superintendent Psychologists, and a member of the Cultural luting Toba and Earl Greinetz, who are a shin- Jon Sharpe contends that Clovis sustains ‘‘a Plan Steering Committee for the city of Oak- ing example for us all. work ethic in the public sector that’s almost land. He also served on the board of directors unsurpassed.’’ He may be right: In 1992, of a number of organizations including, Oak f CUSD, teachers even voted down their own Center Towers Senior Citizens' Housing, Oak- WHAT HAPPENS WHEN A MAN- pay raise to channel the money into books land Ensemble Theater, Oakland Youthworks, and supplies. AGED CARE COMPANY STARTS Patrons of the Arts and Humanities, West LOSING PROFITS? THEY WORK In an education system under assault for Oakland Health Center, San Francisco Bay its academic failures, Clovis has produced a HARDER NOT TO INSURE SICK winning formula. CUSD schools have won Area Youth Excellence Initiative Executive PEOPLE recognition by the state of California 15 Committee. times and earned national blue ribbons from He has won numerous awards over the the U.S. Department of Education 13 times. years including the Outstanding College Ad- HON. FORTNEY PETE STARK The prestigious Phi Delta Kappa Center for ministrator Award, which was presented by the OF CALIFORNIA Evaluation, Development, and Research has Associated Students of the College of Ala- IN THE HOUSE OF REPRESENTATIVES featured Clovis in two works, Clovis Califor- meda. He received the Urban Services Award Monday, January 22, 1996 nia Schools: A Measure of Excellence and Total for Outstanding Community Service, the Out- Quality Education. Even outspoken critics of Mr. STARK. Mr. Speaker, United Wisconsin public education recognize the district’s ac- standing Educator Award and the Basketball Player of the Century, and the Basketball Hall Services, Inc., describes itself as a ``leading complishments. ‘‘If we are going to limit provider of managed health care products and ourselves to the Prussian system of edu- of Fame honor from St. Mary's College. cation, Clovis is the best we are going to get Mr. Speaker, I ask you and my colleagues services'' offering HMOs, small group pre- in a tax-financed school,’’ says Marshall to join me in honoring President Odell John- ferred provider organizations, and specialty Fritz, the founder of the Fresno-based Sepa- son for his dedication and commitment to the managed care products. ration of School and State Alliance and the young people of the community for the last 22 For the latest 3 months ending September father of four Clovis students. 30, 1995, as reported in their 10±Q to the Awards aside, the real lesson of Clovis is years. He will be sorely missed. f SEC, profits were down from the previous that good education depends not on bloated year's quarter and for the first 9 months of the budgets but on creative and committed TRIBUTE TO TOBA AND EARL teachers and administrators held account- year compared to last year. On $267,921,000 able by engaged communities. Clovis’s suc- GREINETZ in revenues for the third quarter, United Wis- cess also suggests that quality in public edu- consin Services provided $202,233,000 in cation will not be the norm until resources HON. HOWARD L. BERMAN health servicesÐor 75.4 cents on the dollar of are channeled to classrooms rather than bu- OF CALIFORNIA premium went to health care. The rest went to reaucrats, and parents wrest control over IN THE HOUSE OF REPRESENTATIVES commissions, administrative expenses, taxes, education from teachers unions. and profits. f Monday, January 22, 1996 The 10±Q then lists a number of steps the IN HONOR OF LANEY COLLEGE Mr. BERMAN. Mr. Speaker, I am honored to company is taking to deal with the falling profit PRESIDENT ODELL JOHNSON pay tribute to Toba and Earl Greinetz, who levels. The steps include this year are being recognized by the Valley ``* * * a review of underwriting practices to Jewish Business Leaders Association for their improve risk identification * * *'' HON. FORTNEY PETE STARK extensive efforts on behalf of the Jewish com- That says it, Mr. Speaker. When the going OF CALIFORNIA munity of southern California. The honor is gets tough, the tough find new ways not to in- IN THE HOUSE OF REPRESENTATIVES well deserved: Toba and Earl give so much of sure sick people. Monday, January 22, 1996 their time to a variety of organizations, and in This is why we need national health insur- Mr. STARK. Mr. Speaker, I rise today to so many ways. By their selflessness and ance reform. As price competition intensifiesÐ congratulate President Odell Johnson. He is boundless energy, they are in example to us which it should and which is goodÐthe private retiring after 22 years of service with the all. sector will spend more and more time and en- Peralta Community College District, the last 15 Toba and Earl, who first met at the ages of ergy uninsuring people. We need guaranteed years as president of Laney College in Oak- 11 and 13 respectively, literally grew up in and issue, open enrollment everywhere for every- land, CA. around the Jewish community of Denver. Dis- one. January 22, 1996 CONGRESSIONAL RECORD — Extensions of Remarks E 49 HONORING LEE NAMEY ing together leaders of these two communities The NAWIC is an international association and officials of other neighboring communities of women employed in the construction indus- HON. PAUL E. KANJORSKI to develop a comprehensive strategy for busi- try. Its mission is to promote the construction OF PENNSYLVANIA ness growth and community enhancement. industry and support the advancement of IN THE HOUSE OF REPRESENTATIVES Under Mayor Namey's leadership, the corridor women within it. NAWIC does this by uniting project has yielded tangible benefits for women who are actively employed in the var- Monday, January 22, 1996 Wilkes-Barre, Kingston, and all the small ious phases of the construction industry, by Mr. KANJORSKI. Mr. Speaker, I am pleased towns which together comprise the Wyoming promoting cooperation, fellowship, and a bet- to rise today to honor a distinguished public Valley. ter understanding among members of the as- servant and good friend, Lee Namey, mayor of Mayor Namey worked to promote economic sociation, by encouraging women to pursue the city of Wilkes-Barre, PA. This month and community development in many other and establish careers in the construction in- Mayor Namey stepped down from his post ways. Through the riverfront parks project, he dustry, and by providing members with an after 8 years of outstanding leadership. I am united the small riverfront towns of the Wyo- awareness of the legislative process and legis- proud to pay tribute to Lee and to cite his ming Valley with the city of Wilkes-Barre to lation as it relates to the construction industry. many accomplishments before my colleagues create a strong leadership force capable of In 1953, 16 women organized Women In in Congress. promoting economic growth through the devel- Construction [WIC] in Forth Worth, TX, to sup- Lee Namey began his political career in opment of the Susquehanna River waterfront, port women who were employed in the con- 1975 when he won a seat on the Wilkes-Barre and the creation of parks, recreation areas, struction industry, a traditionally male-domi- City Council. He was reelected three times and properties ideal for business development. and twice served as the council chairman. In In the 8 years that Lee Namey served as nated field. In 1955, WIC gained its national 1987, Lee Namey was swept into the office of the mayor of Wilkes-Barre he has been a reli- charter and became NAWIC. Since its found- mayor by a three-to-one majority. able partner in projects requiring the coordina- ing, NAWIC has grown to a membership of A native of Wilkes-Barre, Lee had a tradi- tion of Federal and local governmental efforts. more than 200 chapters in 47 States and tional middle-class upbringing. His father, Elias I have been working with Mayor Namey on the three Canadian provinces. Leo Namey was a well-known labor leader Wyoming Valley levee raising project and the The NAWIC is made up of women who hold and president of the Teamsters Local 401. His Wyoming Valley inflatable dam project. To jobs in architecture, general construction, sub- mother Claire, was a nurse. Lee earned his each of these projects he has provided valu- contracting, material supplying, construction bachelor's degree in 1968 from Wilkes College able and strong leadership. Mayor Namey has engineering, construction news services, and and his master of fine arts degree from helped to identify the potential the inflatable construction trade associations. NAWIC is the Marywood College. Prior to serving as mayor, dam has for providing for the economic and organization that ties the women who work in Lee taught at the West Side Vocational-Tech- community development of Wilkes-Barre and all of these phases of the construction industry nical School. the surrounding region. together. NAWIC offers programs and semi- Lee has served and continues to serve the Most recently, I have been working with nars to its members to keep them up to date people of Wilkes-Barre by being active in Mayor Namey to renovate the dilapidated on issues of importance to the industry. They many public service organizations. He serves Stegmaier Brewery which has been an eye- share the latest industry trends and informa- on the board of directors of the Pennsylvania sore in the center of Wilkes-Barre for many tion through meetings, the monthly bulletin, League of Cities, the policy committee of the years now. Mayor Namey has been an invalu- roundtable discussions, and networking. They National League of Cities, and as a member able partner on this project, as he has been also provide a no-charge occupational referral of the U.S. Conference of Mayors where he on some many others. I sought Lee's support placement which places 30 to 40 people in served on the Community Development, for the project because I knew he was capable construction and construction-related jobs Housing, and Arts, and the Culture and Recre- of steering the project over the rough roads it each year and a clearinghouse for bidding and ation Committees. He is active with the F.M. would have to travel before its completion. employment information issued by other asso- Kirby Center, Osterhout Free Library, North- Mr. Speaker, my close personal friend, Lee ciations, public work agencies, and unions. eastern Pennsylvania Council of Boy Scouts, Namey has been an outstanding mayor for the NAWIC also has a strong commitment to and the United Way. Lee is also a member of city of Wilkes-Barre and I am sure that he will the community. In 1972, the NAWIC Education the Wilkes University Council, Greater Wilkes- continue to be a valuable community leader. I Foundation was established to educate the Barre Chamber of Commerce, Wilkes-Barre am pleased to pay tribute to Mayor Namey community about the importance of the con- Democratic Executive Committee, Luzerne and send him best wishes. struction industry. Each year, the foundation County Democratic Committee, and the Elks f sponsors competitions that are created to fos- Lodge. While Lee's involvement in these organiza- CONGRATULATIONS TO THE NA- ter and promote construction as a viable ca- tions reflects his personal commitment to im- TIONAL ASSOCIATION OF WOMEN reer choice among young adults. In 1963, prove the city of Wilkes-Barre and north- IN CONSTRUCTION NAWIC established its Founders Scholarship eastern Pennsylvania in general, his many ac- Foundation, and in the past 5 years alone, has complishments as mayor must be cited to truly HON. FORTNEY PETE STARK awarded more than $250,000 in scholarships define his successes as mayor. Mayor Namey to both male and female students pursuing OF CALIFORNIA construction-related studies. brought about great changes in Wilkes-Barre IN THE HOUSE OF REPRESENTATIVES during a time when economic growth did not In its nearly 40 years of service to its mem- come easily to northeastern Pennsylvania. Monday, January 22, 1996 bers, NAWIC has advanced the causes of all I have been deeply honored to have worked Mr. STARK. Mr. Speaker, I rise today to women in construction, women whose careers closely with Lee on numerous projects over congratulate the National Association of range from the skilled trades to architecture to the years, and I would like to mention specifi- Women in Construction [NAWIC]. NAWIC is business ownership. Mr. Speaker, I hope you cally just a few. In an effort to promote devel- celebrating its 35th anniversary this year and and my colleagues will join me in recognizing opment during slow growth years, Mayor the celebration will be hosted by the Greater the 35th anniversary of the National Associa- Namey worked closely with me to lead the Alameda County Chapter of NAWIC in Oak- tion of Women in Construction and congratu- Wilkes-Barre/Kingston Corridor Project, bring- land, CA. lating the membership on their achievements. E 50 CONGRESSIONAL RECORD — Extensions of Remarks January 22, 1996 SENATE COMMITTEE MEETINGS JANUARY 25 MARCH 5 9:30 a.m. 9:30 a.m. Title IV of Senate Resolution 4, Energy and Natural Resources Veterans’ Affairs agreed to by the Senate on February 4, Forests and Public Land Management Sub- To hold joint hearings with the House 1977, calls for establishment of a sys- committee Committee on Veterans’ Affairs to re- tem for a computerized schedule of all To hold oversight hearings on the man- view the legislative recommendations agement of the National Forests. meetings and hearings of Senate com- of the Veterans of Foreign Wars. SD–366 345 Cannon Building mittees, subcommittees, joint commit- Governmental Affairs tees, and committees of conference. Post Office and Civil Service Subcommit- MARCH 14 This title requires all such committees tee To hold joint hearings with the House 9:30 a.m. to notify the Office of the Senate Daily Committee on Government Reform and Veterans’ Affairs Digest—designated by the Rules Com- Oversight’s Subcommittee on Postal To hold joint hearings with the House mittee—of the time, place, and purpose Service to examine proposals to reform Committee on Veterans’ Affairs to re- of the meetings, when scheduled, and the United States Postal Service, fo- view the legislative recommendations cusing on international postal oper- of the Paralyzed Veterans of America, any cancellations or changes in the ations. the Jewish War Veterans, the Retired meetings as they occur. SD–342 Officers Association, the Association of As an additional procedure along 10:00 a.m. the U.S. Army, the Non-Commissioned Special Committee To Investigate with the computerization of this infor- Officers Association, and the Blinded Whitewater Development Corporation Veterans Association. mation, the Office of the Senate Daily and Related Matters 345 Cannon Building Digest will prepare this information for To resume hearings to examine certain printing in the Extensions of Remarks issues relative to the Whitewater De- MARCH 27 velopment Corporation. section of the CONGRESSIONAL RECORD SH–216 9:30 a.m. on Monday and Wednesday of each Veterans’ Affairs week. JANUARY 31 To hold joint hearings with the House Committee on Veterans’ Affairs to re- 10:00 a.m. Meetings scheduled for Tuesday, Jan- view the legislative recommendations Finance uary 23, 1996, may be found in the Daily To hold hearings to examine proposals to of the Veterans of World War I, Digest of today’s RECORD. restructure the tax system, focusing on AMVETS, the American Ex-Prisoners the National Commission on Economic of War, the Vietnam Veterans of Amer- ica, and the Military Order of the Pur- MEETINGS SCHEDULED Growth and Tax Reform’s report on tax reform. ple Heart. SD–215 345 Cannon Building JANUARY 24 2:00 p.m. FEBRUARY 28 SEPTEMBER 17 Select on Intelligence 9:30 a.m. 9:30 a.m. Closed business meeting, on pending in- Veterans’ Affairs Veterans’ Affairs telligence matters. To hold joint hearings with the House To hold joint hearings with the House SH–219 Committee on Veterans’ Affairs to re- Committee on Veterans’ Affairs to re- view the legislative recommendations view the legislative recommendations of the Disabled American Veterans. of the American Legion. 345 Cannon Building 335 Cannon Building Monday, January 22, 1996 Daily Digest Senate Committee on Banking, Housing, and Urban Affairs. Chamber Action (PM–110). Page S275 Routine Proceedings, pages S171–S290 Messages From the President: Pages S274±75 Measures Introduced: One bill and two resolutions were introduced, as follows: S. 1519, S. Res. 209, Messages From the House: Page S275 and S. Con. Res. 39. Page S276 Communications: Pages S275±76 Measures Reported: Reports were made as follows: Statements on Introduced Bills: Pages S276±79 Special Report on Progress of the Investigation into Additional Cosponsors: Page S279 Whitewater Development Corporation and Related Matters and Recommendation for Future Funding. Notices of Hearings: Pages S279±80 (S. Rept. No. 104–204) Page S276 Additional Statements: Pages S280±84 Measures Passed: Notice of Adoption of Regulations: State of the Union Address: Senate agreed to S. Pages S189±S274 Con. Res. 39, providing for the ‘‘State of the Union’’ Nominations: Pages S285±90 address by the President of the United States. Recess: Senate convened at 12 noon, and recessed at Pages S172, S279 4:55 p.m., until 2:30 p.m. on Tuesday, January 23, Regulations Issued by Office of Compliance: 1996. (For Senate’s program, see the remarks of the Committee on Rules and Administration was dis- Majority Leader in today’s Record on page S285.) charged from further consideration of H. Con. Res. 123, to provide for the provisional approval of regu- lations applicable to certain covered employing of- Committee Meetings fices and covered employees and to be issued by the Office of Compliance before January 23, 1996, and (Committees not listed did not meet) the resolution was then agreed to. Page S284 Interim Regulations: WHITEWATER Senate agreed to S. Res. 209, to provide for the Special Committee to Investigate the Whitewater Develop- approval of interim regulations applicable to the ment Corporation and Related Matters: On Tuesday, Senate and the employees of the Senate and adopted January 16, and Thursday, January 18, Committee by the Board of the Office of Compliance before Jan- resumed hearings to examine issues relative to the uary 23, 1996. Pages S279, S285 Whitewater Development Corporation, receiving tes- Messages From the President: Senate received the timony on Tuesday from Bruce Lindsey, Deputy following messages from the President of the United Counsel to the President; William Kennedy, Rose States: Law Firm, Little Rock, Arkansas, former Associate Received on January 6, 1996, during the adjourn- White House Counsel; and Neil Eggleston, Howrey ment of the Senate: & Simon, Washington, D.C., former Associate Coun- Transmitting, the report of a balanced budget sel to the President; and on Thursday from Carolyn proposal; to the Committee on Finance. (PM–109). Huber, Special Assistant to the President and Direc- Pages S274±75 tor of Personal Correspondence; and Ronald Clark, Received today: Rose Law Firm, Little Rock, Arkansas. Transmitting, the report concerning the national Committee will meet again on Tuesday, January emergency with respect to Libya; referred to the 23.

D 22 January 22, 1996 CONGRESSIONAL RECORD — DAILY DIGEST D 23 House of Representatives Chamber Action Committee Meetings Bills Introduced: 2 public bills, H.R. 2862 and 2863 were introduced. Page H737 WHITE HOUSE TRAVEL OFFICE Report Filed: One report was filed as follows: Con- Committee on Government Reform and Oversight: On Jan- ference report on S. 1124, to authorize appropria- uary 17, the Committee began hearings on the tions for fiscal year 1996 for military activities of the White House Travel Office. Testimony was heard Department of Defense, to prescribe personnel from David Watkins, former Assistant to the Presi- strengths for such fiscal year for the Armed Forces dent and Director, Office of Management and Ad- ministration, The White House. (H. Rept. 104–450). Pages H351±H736, H737 Hearings continue January 24. Late Report: House conferees received permission to have until midnight tonight to file a conference re- UNFUNDED MANDATES IN MEDICAID port on S. 1124, to authorize appropriations for fis- cal year 1996 military activities of the Department Committee on Government Reform and Oversight: On Jan- of Defense and to prescribe personnel strengths for uary 18, the Subcommittee on Human Resources and Intergovernmental Relations held a hearing on such fiscal year for the Armed Forces. Page H339 Unfunded Mandates in Medicaid. Testimony was Joint Session: House agreed to S. Con. Res. 39, heard from Bruce C. Vladeck, M.D., Administrator, providing that the two Houses of Congress assemble Health Care Financing Administration, Department to receive the State of the Union address by the of Health and Human Services; William J. Scanlon, President of the United States. Page H339 Associate Director, Health Financing Issues, GAO; Meeting Hour: Agreed to meet at 12:30 p.m. on Philip Dearborn, Director, Government Finance Re- Tuesday, January 23; and at noon on Wednesday, search, Advisory Commission on Intergovernmental January 24. Pages H341±42 Relations; John Petraborg, Deputy Commissioner, Department of Human Services, State of Minnesota; Calendar Wednesday: Agreed to dispense with Cal- David Parrella, Medicaid Director, Department of endar Wednesday business of January 24. Page H342 Social Services, State of Connecticut; and public wit- Presidential Veto Message: Read a message from nesses. the President wherein he announces his veto of H.R. f 4, to restore the American family, reduce illegit- imacy, control welfare spending and reduce welfare NEW PUBLIC LAWS dependence, and explains his reasons therefor—or- (For last listing of Public Laws, see DAILY DIGEST, p. D12) dered printed (H. Doc. 104–164). Page H342 H.R. 1358, to require the Secretary of Commerce Subsequently, agreed that the message and the bill to convey to the Commonwealth of Massachusetts be referred to the Committee on Ways and Means. the National Marine Fisheries Service Laboratory lo- Page H342 cated on Emerson Avenue in Gloucester, Massachu- Presidential Message—National Emergency with setts. Signed January 6, 1996. (P.L. 104–91) Respect to Libya: Read a message from the Presi- H.R. 1643, to authorize the extension of non- dent wherein he transmits his report concerning the discriminatory treatment (most-favored-nation treat- national emergency with respect to Libya—referred ment) to the products of Bulgaria. Signed January 6, to the Committee on International Relations and or- 1996. (P.L. 104–92) dered printed (H. Doc. 104–165). Pages H342±43 H.R. 1655, to authorize appropriations for fiscal Senate Messages: Message received from the Senate year 1996 for intelligence and intelligence-related today appears on page H339. activities of the United States Government, the Community Management Account, and the Central Quorum Calls—Votes: No quorum calls or votes Intelligence Agency Retirement and Disability Sys- developed during the proceedings of the House tem. Signed January 6, 1996. (P.L. 104–93) today. H.J. Res. 134, making further continuing appro- Adjournment: Met at 2 p.m. and adjourned at 3:30 priations for the fiscal year 1996. Signed January 6, p.m. 1996. (P.L. 104–94) D 24 CONGRESSIONAL RECORD — DAILY DIGEST January 22, 1996 H.R. 394, to amend title 4 of the United States Select Committee on Intelligence: January 24, closed busi- Code to limit State taxation of certain pension in- ness meeting, on pending intelligence matters, 2 p.m., come. Signed January 10, 1996. (P.L. 104–95) SH–219. H.R. 2627, to require the Secretary of the Treas- Special Committee To Investigate Whitewater Development Corporation and Related Matters: January 23 and 25, to re- ury to mint coins in commemoration of the sesqui- sume hearings to examine certain issues relative to the centennial of the founding of the Smithsonian Insti- Whitewater Development Corporation, Tuesday at 10:30 tution. Signed January 10, 1996. (P.L. 104–96) a.m. and Thursday at 10 a.m., SH–216. H.R. 2203, to reauthorize the tied aid credit pro- gram of the Export-Import Bank of the United NOTICE States, and to allow the Export-Import Bank to con- For a listing of Senate committee meetings sched- duct a demonstration project. Signed January 11, uled ahead, see page E50 in today’s Record. 1996. (P.L. 104–97) House Committees H.R. 1295, to amend the Trademark Act of 1946 to make certain revisions relating to the protection Committee on Commerce, January 24, Subcommittee on of famous marks. Signed January 16, 1996. (P.L. Commerce, Trade, and Hazardous Materials and the Sub- 104–98) committee on International Economic Policy and Trade of the Committee on International Relations, joint hearing BILLS VETOED on H.R. 2579, Travel and Tourism Partnership Act of H.R. 4, to enhance support and work opportuni- 1995, 1 p.m., 2172 Rayburn. January 25, Subcommittee on Health and Environ- ties for families with children, reduce welfare de- ment, hearing on Title VI of the Clean Air Act and the pendence, and control welfare spending. (Vetoed Jan- impact of the Seventh Meeting of the Parties to the Mon- uary 9, 1996.) treal Protocol, 10 a.m., 2123 Rayburn. f January 25, Subcommittee on Oversight and Investiga- tions, hearing on the Department of Energy: Travel Ex- CONGRESSIONAL PROGRAM AHEAD penditures and Use of Federal Funds, 9 a.m., 2322 Ray- Week of January 23 through 27, 1996 burn. January 26, Subcommittee on Health and Environ- Senate Chamber ment, oversight hearing on Priorities for Reauthorization of the Safe Drinking Water Act, 10 a.m., 2123 Rayburn. During the week, Senate may turn to consider- Committee on Government Reform and Oversight, January ation of any items cleared for action, including: 24, to continue hearings on the White House Travel Of- FY96 Continuing Resolution; fice, 11:30 a.m., 2154 Rayburn. FY96 DC Appropriations Conference Report; Committee on the Judiciary, January 25, Subcommittee on FY96 Interior Appropriations; Crime, hearing regarding the rise of international orga- FY96 DOD Authorizations Conference Report; nized crime, 9:30 a.m., 2237 Rayburn. and Committee on National Security, January 24, Subcommit- Consideration of regulations to bring the Senate tee on Research and Development and the Subcommittee into compliance with federal laws. on Military Procurement, joint hearing on the research and development response to the landmine threat in (Senate and House will meet in Joint Session on Tues- Bosnia, 2 p.m., 2118 Rayburn. day, January 23, 1996, at 9 p.m. to receive the Presi- January 25, Subcommittee on Military Research and dent’s State of the Union Address.) Development, the Subcommittee on Energy and Environ- Senate Committees ment of the Committee on Science and the Subcommittee on Fisheries, Wildlife and Oceans of the Committee on (Committee meetings are open unless otherwise indicated) Resources, joint hearing on leveraging national oceano- Committee on Energy and Natural Resources: January 25, graphic capabilities, 10 a.m., 2118 Rayburn. Subcommittee on Forests and Public Land Management, Committee on Rules, January 23, to consider the Con- to hold oversight hearings on the management of the Na- ference Report to accompany S. 1124, Department of De- tional Forests, 9:30 a.m., SD–366. fense Authorization Act for Fiscal Year 1996, 4 p.m., Committee on Governmental Affairs: January 25, Sub- H–313 Capitol. committee on Post Office and Civil Service, to hold joint Committee on Standards of Official Conduct, January 24 hearings with the House Committee on Government Re- and 25, executive, to consider pending business, 2 p.m., form and Oversight’s Subcommittee on Postal Service to on January 24 and 1 p.m., on January 25, HT–2M Cap- examine proposals to reform the United States Postal itol. Service, focusing on international postal operations, 9:30 a.m., SD–342. JOINT MEETINGS Committee on the Judiciary: January 23, to hold hearings Joint hearing: January 25, Senate Committee on Gov- to examine the future of the professional sports industry, ernmental Affairs’ Subcommittee on Post Office and Civil 9:30 a.m., SD–226. Service, to hold joint hearings with the House Committee January 22, 1996 CONGRESSIONAL RECORD — DAILY DIGEST D 25 on Government Reform and Oversight’s Subcommittee on States Postal Service, focusing on international postal op- Postal Service to examine proposals to reform the United erations, 9:30 a.m., SD–342. D 26 CONGRESSIONAL RECORD — DAILY DIGEST January 22, 1996

Next Meeting of the SENATE Next Meeting of the HOUSE OF REPRESENTATIVES 2:30 p.m., Tuesday, January 23 12:30 p.m., Tuesday, January 23

Senate Chamber House Chamber Program for Tuesday: After the transaction of any Program for Tuesday: Consideration of the following morning business (not to extend beyond 3:30 p.m.), Sen- Corrections Day measure: H.R. 2567, amending the Fed- ate may consider conference reports, if available, and any eral Water Pollution Control Act relating to constructed cleared legislative and executive business. water conveyances standards; and (Senate and House will hold a joint session at 9 p.m. to re- Consideration of three Suspensions: ceive the President’s State of the Union Address.) H.R. 2557, congressional gold medal to Ruth and Billy Graham; S. 1341, Saddleback Mountain-Arizona Settlement Act of 1995; and H.R. 2726, making technical corrections in laws relat- ing to Native Americans.

Extensions of Remarks, as inserted in this issue

HOUSE Gingrich, Newt, Ga., E37 Stark, Fortney Pete, Calif., E46, E48, E49 Kanjorski, Paul E., Pa., E46, E49 Berman, Howard L., Calif., E48 Radanovich, George P., Calif., E47

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