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S. 2943 — what changed

National Defense Authorization Act for Fiscal Year 2017

From Placed on Calendar Senate to Engrossed in Senate. 72 sections amended, 19 added, and 1 removed between Placed on Calendar Senate and Engrossed in Senate.

Sec. 121 Incremental funding for detail design and construction of LHA replacement ship designated LHA 8

(a)
changed Authority to To use incremental funding— The Secretary of the Navy may enter into and incrementally fund a contract for detail design and construction of the LHA Replacement ship designated LHA 8 and, subject to subsection (b), funds for payments under the contract may be provided from amounts authorized to be appropriated for the Department of Defense for Shipbuilding and Conversion, Navy, for fiscal years 2017 and 2018.
(b)
Condition for out-year contract payments— A contract entered into under subsection (a) shall provide that any obligation of the United States to make a payment under the contract for any subsequent fiscal year is subject to the availability of appropriations for that purpose for such subsequent fiscal year.

Sec. 122 Littoral Combat Ship

(a)
Report on littoral combat ship mission packages—
(1)
In general— The Secretary of the Navy shall include annually with the justification materials submitted with the budget of the President under section 1105(a) of title 31, United States Code, a report on Littoral Combat Ship mission packages.
(2)
Elements— The report required under paragraph (1) shall include for each mission package and increment therein the following elements:
(A)
A description of the current status of and plans for development, production, and sustainment, including—
(i)
currently projected versus originally estimated unit costs for each system composing the mission package;
(ii)
currently projected versus originally estimated development cost, procurement cost, and 20-year sustainment cost for each system composing the mission package;
(iii)
demonstrated versus required performance for each system composing the mission package and for the mission package as a whole; and
(iv)
realized and potential cost, schedule, or performance problems with such development, production, or sustainment and mitigation plans to address such problems.
(B)
A description, including dates, for each developmental test, operational test, integrated test, and follow-on test event completed in the preceding fiscal year and forecast in the current fiscal year and each of the next five fiscal years.
(C)
The planned initial operational capability (IOC) date and a description of the performance level criteria that must be demonstrated to declare IOC.
(D)
A description of systems that reached IOC in the preceding fiscal year and the performance level demonstrated versus the performance level required.
(E)
The acquisition inventory objective listed by system.
(F)
The current locations and quantities of delivered systems listed by city, State, and country.
(G)
The planned locations and quantities of systems listed city, State, and country in each of the next five fiscal years.
(b)
Certification of littoral combat ship mission package program of record—
(1)
In general— The Undersecretary of Defense for Acquisition, Technology, and Logistics shall include with the justification materials submitted with the budget of the President under section 1105(a) of title 31, United States Code, for fiscal year 2018 a certification on Littoral Combat Ship mission packages.
(2)
Certification— The certification required under paragraph (1) shall include the current program of record quantity for—
(A)
surface warfare (SUW) mission packages;
(B)
anti-submarine warfare (ASW) mission packages; and
(C)
mine countermeasures (MCM) mission packages.
(c)
changed Limitation on the use of funds to To revise or deviate from the Littoral Combat Ship acquisition strategy—
(1)
Limitation on revisions and deviations— Except as provided under paragraph (2), none of the funds authorized to be appropriated by this Act or otherwise made available for the Department of Defense for fiscal year 2017 may be used to revise or deviate from revision three of the Littoral Combat Ship acquisition strategy.
(2)
Waiver— The Secretary of Defense may waive the limitation required under paragraph (1) if the Secretary submits to the congressional defense committees a notification of such waiver. The waiver shall include—
(A)
the rationale of the Secretary for issuing such waiver to revise or deviate from revision three of the Littoral Combat Ship acquisition strategy;
(B)
a determination that a proposed revision to, or deviation from, revision three of the Littoral Combat Ship acquisition strategy is in the national security interest;
(C)
a description of the specific revisions or deviations to the Littoral Combat Ship acquisition strategy;
(D)
the Littoral Combat Ship acquisition strategy that is in effect following such revision or deviation; and
(E)
Independent Cost Estimates prepared by the Assistant Secretary of the Navy for Financial Management and Comptroller, as well as the Office of the Secretary of Defense, that compare the cost of such revision or deviation to revision three of the Littoral Combat Ship acquisition strategy.
(d)
Definitions— In this section:
(1)
Littoral Combat Ship mission package— The term Littoral Combat Ship mission package means a mission module combined with the crew detachment and support aircraft.
(2)
Mission module— The term mission module means the mission systems (such as vehicles, communications, sensors, weapons systems) combined with support equipment (such as support containers and standard interfaces) and software (including related to the mission package computing environment and multiple vehicle communications system).
(e)
Repeal of reporting requirements related to naval vessels and merchant marine— Section 126 of the National Defense Authorization Act for Fiscal Year 2013 (Public Law 112–239; 126 Stat. 1657) is amended by striking subsection (b).

Sec. 142 Limitation on availability of funds for destruction of A–10 aircraft in storage status

(a)
Limitation— None of the amounts authorized to be appropriated by this Act or otherwise made available for the Air Force may be obligated or expended to scrap, destroy, or otherwise dispose of any A–10 aircraft in any storage status in the Aerospace Maintenance and Regeneration Group (AMARG) that have serviceable wings or other components that could be used to prevent total active inventory A–10 aircraft from being permanently removed from flyable status due to unserviceable wings or other components until the F–35 initial operational test and evaluation is complete and the Secretary of the Air Force and Chief of Staff of the Air Force submit the report required under subsection (f)(2) of section 142 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 129 Stat. 755), as added by section 141 of this Act.
(b)
Notification requirement— The Deputy Chief of Staff of the Air Force for Logistics, Engineering and Force Protection shall notify the congressional defense committees at least 45 calendar days in advance of any action to scrap, destroy, or otherwise dispose of any A–10 aircraft in any storage status at AMARG. The notification shall include a certification that the A–10 aircraft does not possess serviceable wings or other components necessary to prevent the permanent removal from flyable status of total active inventory A–10 aircraft.
(c)
changed Plan to To prevent removal of total active inventory A–10 aircraft from flyable status— The Secretary of the Air Force shall submit with the budget for the Department of Defense for fiscal year 2018, as submitted to Congress pursuant to section 1105 of title 31, United States Code, and shall implement, a plan to prevent any total active inventory A–10 aircraft from being permanently removed from flyable status for unserviceable wings or any other required component over the course of the future years defense plan.

Sec. 305 Linear LED lamps

changed Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall amend section 2-4.1.1.2 2–4.1.1.2 of the Department of Defense's Unified Facilities Criteria 3-530-1 3–530–1 to provide that—

(1)
changed linear LED lamps with luminaire conversion kits may be UL Type B, receiving power on only one end of the lamp, 110-277VAC 110–277VAC compatible; and
(2)
for Army, Air Force, and Navy projects, linear LED lamps are allowed for light source retrofits.

Sec. 336 Mitigation of risks posed by certain window coverings with accessible cords in military housing units in which children reside

(a)
Removal of certain window coverings— The Secretary of Defense shall remove and replace window coverings with accessible cords exceeding 8 inches in length and window coverings with continuous loop/bead cord from military housing units in which children under the age of 9 reside.
(b)
changed Requirement for housing contractors to To phase out window coverings with accessible cords from military housing units— The Secretary of Defense shall require housing contractors to phase out window coverings with accessible cords exceeding 8 inches in length and window coverings with continuous loop/bead cords that do not contain a cord tension device that prohibits operation when not anchored to the wall from military housing units within one year of the date of the enactment of this Act.

Sec. 523 Rights and protections available to military technicians

Section 709(f) of title 32, United States Code, is amended—

(1)
in paragraph (4), by striking “; and” and inserting the following: “when the appeal concerns activity occurring while the member is in a military status, or concerns fitness for duty in the reserve components;”;
(2)
by redesignating paragraph (5) as paragraph (6); and
(3)
by inserting after paragraph (4) the following new paragraph (5):

changed “(5) with respect to an appeal concerning any activity not covered by paragraph (4), the provisions of section 717 of the Civil Rights Act of 1991 (42 U.S.C. 2000e-16) 2000e–16) shall apply; and”

Sec. 536A Treatment by discharge review boards of claims asserting post-traumatic stress disorder or traumatic brain injury in connection with combat or sexual trauma as a basis for review of discharge

added

added Section 1553(d) of title 10, United States Code, is amended by adding at the end the following new paragraph:

added “(3)

added “(A) In addition to the requirements of paragraph (1) and (2), in the case of a former member described in subparagraph (B), the Board shall—

added “(i) review medical evidence of the Secretary of Veterans Affairs or a civilian health care provider that is presented by the former member; and

added “(ii) review the case with liberal consideration to the former member that post-traumatic stress disorder or traumatic brain injury potentially contributed to the circumstances resulting in the discharge of a lesser characterization.

added “(B) A former member described in this subparagraph is a former member described in paragraph (1) or a former member whose application for relief is based in whole or in part on matters relating to post-traumatic stress disorder or traumatic brain injury as supporting rationale, or as justification for priority consideration, whose post-traumatic stress disorder or traumatic brain injury is related to combat or military sexual trauma, as determined by the Secretary concerned.”

Sec. 552 Expansion of authority to execute certain military instruments

(a)
changed Expansion of authority to To execute military testamentary instruments—
(1)
In general— Paragraph (2) of section 1044d(c) of title 10, United States Code, is amended to read as follows:

“(2) the execution of the instrument is notarized by—

“(A) a military legal assistance counsel;

“(B) a person who is authorized to act as a notary under section 1044a of this title who—

“(i) is not an attorney; and

“(ii) is supervised by a military legal assistance counsel; or

“(C) a State-licensed notary employed by a military department or the Coast Guard who is supervised by a military legal assistance counsel;”

(2)
Clarification— Paragraph (3) of such section is amended by striking “presiding attorney” and inserting “person notarizing the instrument in accordance with paragraph (2)”.
(b)
Expansion of authority To notarize documents to civilians serving in military legal assistance offices— Section 1044a(b) of such title is amended by adding at the end the following new paragraph:

“(6) All civilian paralegals serving at military legal assistance offices, supervised by a military legal assistance counsel (as defined in section 1044d(g) of this title).”

Sec. 554 Medical examination before administrative separation for members with post-traumatic stress disorder or traumatic brain injury in connection with sexual assault

added

added Section 1177(a)(1) of title 10, United States Code, is amended—

(1)
added by inserting “, or sexually assaulted,” after “deployed overseas in support of a contingency operation”; and
(2)
added by inserting “or based on such sexual assault,” after “while deployed,”.

Sec. 592 Senior Military Acquisition Advisors in the Defense Acquisition Corps

(a)
Positions—
(1)
In general— Subchapter II of chapter 87 of title 10, United States Code, is amended by adding at the end the following new section:

“1725. Senior Military Acquisition Advisors

“(a) Position

“(1) In general—The Secretary of Defense may establish in the Defense Acquisition Corps positions to be known as “Senior Military Acquisition Advisor”.

“(2) Appointment—A Senior Military Acquisition Advisor shall be appointed by the President, by and with the advice and consent of the Senate.

“(3) Scope of position—An officer who is appointed as a Senior Military Acquisition Advisor—

“(A) shall serve as an advisor to, and provide senior level acquisition expertise to, the Service Acquisition Executive of that officer’s military department in accordance with this section; and

“(B) shall be assigned as an adjunct professor at the Defense Acquisition University.

“(b) Continuation on active duty—An officer who is appointed as a Senior Military Acquisition Advisor may continue on active duty while serving in such position without regard to any mandatory retirement date that would otherwise be applicable to that officer by reason of years of service or age. An officer who is continued on active duty pursuant to this section is not eligible for consideration for selection for promotion.

“(c) Retired grade—Upon retirement, an officer who is a Senior Military Acquisition Advisor may, in the discretion of the President, be retired in the grade of brigadier general or rear admiral (lower half) if—

“(1) the officer has served as a Senior Military Acquisition Advisor for a period of not less than three years; and

“(2) the officer’s service as a Senior Military Acquisition Advisor has been distinguished.

“(d) Selection and tenure

“(1) In general—Selection of an officer for recommendation for appointment as a Senior Military Acquisition Advisor shall be made competitively, and shall be based upon demonstrated experience and expertise in acquisition.

“(2) Officers eligible—Officers shall be selected for recommendation for appointment as Senior Military Acquisition Advisors from among officers of the Defense Acquisition Corps who are serving in the grade of colonel or, in the case of the Navy, captain, and who have at least 12 years of acquisition experience. An officer selected for recommendation for appointment as a Senior Military Acquisition Advisor shall have at least 30 years of active commissioned service at the time of appointment.

changed “(3) Term—The apointment appointment of an officer as a Senior Military Acquisition Advisor shall be for a term of not longer than five years.

“(e) Limitation

“(1) Limitation on number and distribution—There may not be more than 15 Senior Military Acquisition Advisors at any time, of whom—

“(A) not more than five may be officers of the Army;

“(B) not more than five may be officers of the Navy and Marine Corps; and

“(C) not more than five may be officers of the Air Force.

“(2) Number in each military department—Subject to paragraph (1), the number of Senior Military Acquisition Advisors for each military department shall be as required and identified by the Service Acquisition Executive of such military department and approved by the Under Secretary of Defense for Acquisition, Technology, and Logistics.

“(f) Advice to Service Acquisition Executive—An officer who is a Senior Military Acquisition Advisor shall have as the officer’s primary duty providing strategic, technical, and programmatic advice to the Service Acquisition Executive of the officer’s military department on matters pertaining to the Defense Acquisition System, including matters pertaining to procurement, research and development, advanced technology, test and evaluation, production, program management, systems engineering, and lifecycle logistics.”

(2)
Clerical amendment— The table of sections at the beginning of subchapter II of chapter 87 of such title is amended by adding at the end the following new item:
(b)
Exclusion from officer grade-strength limitations— Section 523(b) of such title is amended by adding at the end the following new paragraph:

“(9) Officers who are Senior Military Acquisition Advisors under section 1725 of this title, but not to exceed 15.”

Sec. 597 Report on discharge by warrant officers of pilot and other flight officer positions in the Navy, Marine, Corps, and Air Force currently discharged by commissioned officers

added
(a)
added Report required— Not later than 180 days after the date of the enactment of this Act, the Secretary of the Navy and the Secretary of the Air Force shall each submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the feasibility and advisability of the discharge by warrant officers of pilot and other flight officer positions in the Armed Forces under the jurisdiction of such Secretary that are currently discharged by commissioned officers.
(b)
added Elements— Each report under subsection (a) shall set forth, for each Armed Force covered by such report, the following:
(1)
added An assessment of the feasibility and advisability of the discharge by warrant officers of pilot and other flight officer positions that are currently discharged by commissioned officers.
(2)
added An identification of each such position, if any, for which the discharge by warrant officers is assessed to be feasible and advisable.

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

(a)
Title 10 authorities— The following sections of title 10, United States Code, are amended by striking “December 31, 2016” and inserting “December 31, 2017”:
(1)
Section 2130a(a)(1), relating to nurse officer candidate accession program.
(2)
Section 16302(d), relating to repayment of education loans for certain health professionals who serve in the Selected Reserve.
(b)
Title 37 authorities— The following sections of title 37, United States Code, are amended by striking “December 31, 2016” and inserting “December 31, 2017”:
(1)
changed Section 302c-1(f), 302c–1(f), relating to accession and retention bonuses for psychologists.
(2)
Section 302d(a)(1), relating to accession bonus for registered nurses.
(3)
Section 302e(a)(1), relating to incentive special pay for nurse anesthetists.
(4)
Section 302g(e), relating to special pay for Selected Reserve health professionals in critically short wartime specialties.
(5)
Section 302h(a)(1), relating to accession bonus for dental officers.
(6)
Section 302j(a), relating to accession bonus for pharmacy officers.
(7)
Section 302k(f), relating to accession bonus for medical officers in critically short wartime specialties.
(8)
Section 302l(g), relating to accession bonus for dental specialist officers in critically short wartime specialties.

Sec. 661 Protection and enhancement of access to and savings at commissaries and exchanges

(a)
Optimization strategy— Section 2481(c) of title 10, United States Code, is amended by adding at the end the following paragraph:

“(3)

“(A) The Secretary of Defense shall develop and implement a comprehensive strategy to optimize management practices across the defense commissary system and the exchange system that reduce reliance of those systems on appropriated funding without reducing benefits to the patrons of those systems or the revenue generated by nonappropriated fund entities or instrumentalities of the Department of Defense for the morale, welfare, and recreation of members of the armed forces.

“(B) The Secretary shall ensure that savings generated due to such optimization practices are shared by the defense commissary system and the exchange system through contracts or agreements that appropriately reflect the participation of the systems in the development and implementation of such practices.”

(b)
Authority To supplement appropriations through business optimization— Section 2483(c) of such title is amended by adding at the end the following new sentence: “Such appropriated amounts may also be supplemented with additional funds derived from improved management practices implemented pursuant to sections 2481(c)(3) and 2487(c) of this title and the alternative pricing program implemented pursuant to section 2484(i) of this title.”.
(c)
Alternative pricing program— Section 2484 of such title is amended by adding at the end the following new subsections:

“(i) Alternative pricing program

changed “(1) The Secretary of Defense may establish and carry out, in accordance with the requirements of this subsection, an alternative pricing program pursuant to which prices may be established in response to market conditions and customer demand. Prices under the alternative pricing program shall reflect the uniform sales price surcharge applicable under subsection (d)(d).

“(2) Before establishing an alternative pricing program under this subsection, the Secretary shall establish the following:

“(A) Specific, measurable benchmarks for success in the provision of high quality grocery merchandise, discount savings to patrons, and levels of customer satisfaction while achieving savings for the Department of Defense.

“(B) A baseline of overall savings to patrons achieved by commissary stores before the initiation of the alternative pricing program, based on a comparison of prices charged by those stores on a regional basis with prices charged by relevant local competitors for a representative market basket of goods. In determining the savings baseline, the Secretary shall take into account the effect of the surcharges added under the pricing program by reason of subsection (d).

“(3) The Secretary shall ensure that the defense commissary system implements the alternative pricing program by conducting price comparisons using the methodology established for paragraph (2)(B) and adjusting pricing as necessary to ensure that pricing in the alternative pricing program achieves overall savings to patrons that are reasonably consistent with the baseline savings established for the relevant region pursuant to such paragraph.

“(j) Conversion to nonappropriated fund entity or instrumentality

“(1) If the Secretary of Defense determines that the alternative pricing program under subsection (i) has met the benchmarks for success established pursuant to subsection (i)(2)(A) and the savings requirements established pursuant to subsection (i)(3) over a period of at least six months, the Secretary may convert the defense commissary system to a nonappropriated fund entity or instrumentality, with operating expenses financed in whole or in part by receipts from the sale of products and the sale of services. Upon such conversion, appropriated funds shall be transferred to the defense commissary system only in accordance with paragraph (2) or section 2491 of this title. The requirements of section 2483 of this title shall not apply to the defense commissary system operating as a nonappropriated fund entity or instrumentality.

“(2) If the Secretary determines that the defense commissary system operating as a nonappropriated fund entity or instrumentality is not likely, in any fiscal year, to afford the level of patron savings required in subsection (i)(3), the Secretary may authorize a transfer of appropriated funds available for such purpose to the commissary system in an amount sufficient to offset the anticipated loss. Any funds so transferred shall be considered to be nonappropriated funds for such purpose.

“(3) The Secretary may identify positions of employees in the defense commissary system who are paid with appropriated funds whose status may be converted to the status of an employee of a nonappropriated fund entity or instrumentality. The status and conversion of such employees shall be addressed as provided in section 2491(c) of this title for employees in morale, welfare, and recreation programs. No individual who is an employee of the defense commissary system as of the date of the enactment of this subsection shall suffer any loss of or decrease in pay as a result of the conversion.”

(d)
Establishment of common business practices— Section 2487 of such title is amended—
(1)
by redesignating subsection (c) as subsection (d); and
(2)
by inserting after subsection (b) the following new subsection (c):

“(c) Common business practices

“(1) Notwithstanding subsections (a) and (b), the Secretary of Defense may establish common business processes, practices, and systems—

“(A) to exploit synergies between the operations of the defense commissary system and the exchange system; and

“(B) to optimize the operations of the defense retail systems as a whole and the benefits provided by the commissaries and exchanges.

“(2) The Secretary may authorize the defense commissary system and the exchange system to enter into contracts or other agreements for the following:

“(A) Products and services that are shared by the defense commissary system and the exchange system.

“(B) The acquisition of supplies, resale goods, and services on behalf of both the defense commissary system and the exchange system.

“(3) For the purpose of a contract or agreement authorized under paragraph (2), the Secretary may—

“(A) use funds appropriated pursuant to section 2483 of this title to reimburse a nonappropriated fund entity or instrumentality for the portion of the cost of a contract or agreement entered by the nonappropriated fund entity or instrumentality that is attributable to the defense commissary system; and

“(B) authorize the defense commissary system to accept reimbursement from a nonappropriated fund entity or instrumentality for the portion of the cost of a contract or agreement entered by the defense commissary system that is attributable to the nonappropriated fund entity or instrumentality.”

(e)
Clarification of references to “the exchange system”— Section 2481(a) of such title is amended by adding at the end the following new sentence: “Any reference in this chapter to “the exchange system” shall be treated as referring to each separate administrative entity within the Department of Defense through which the Secretary has implemented the requirement under this subsection for a world-wide system of exchange stores.”.
(f)
Operation of defense commissary system as a nonappropriated fund entity— In the event that the defense commissary system is converted to a nonappropriated fund entity or instrumentality as authorized by section 2484(j)(1) of title 10, United States Code, as added by subsection (c) of this section, the Secretary of Defense may—
(1)
provide for the transfer of commissary assets, including inventory and available funds, to the nonappropriated fund entity or instrumentality; and
(2)
ensure that revenues accruing to the defense commissary system are appropriately credited to the nonappropriated fund entity or instrumentality.
(g)
Conforming amendment— Section 2643(b) of title 10, United States Code, is amended by adding at the end the following new sentence: “Such appropriated funds may be supplemented with additional funds derived from improved management practices implemented pursuant to sections 2481(c)(3) and 2487(c) of this title.”.

Sec. 662 Pilot program on privatization of the Defense Commissary System

removed
(a)
removed Pilot program required— Commencing not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall conduct a pilot program to assess the feasibility and advisability of the privatization of the Defense Commissary System. The Secretary may carry out the pilot program without regard to any requirement or limitation otherwise applicable to commissaries of the Defense Commissary System under chapter 147 of title 10, United States Code.
(b)
removed Duration— The pilot program conducted under subsection (a) shall be for such period, not less than two years, as the Secretary considers appropriate for purposes of the pilot program.
(c)
removed Elements—
(1)
removed Participating commissaries— The pilot program conducted under subsection (a) shall be carried out at not more than five commissaries of the Defense Commissary System selected by the Secretary for participation in the pilot program.
(2)
removed Elements— The pilot program shall include such elements as the Secretary considers appropriate to assess the feasibility and advisability of the privatization of the Defense Commissary System.
(3)
removed Online component— The pilot program may include a component, in catchment areas of the commissaries selected for purposes of this paragraph, in which eligible beneficiaries may order and purchase goods and products through the Internet and receive those items through home delivery.
(d)
removed Benchmarks for evaluation—
(1)
removed Benchmarks required— In conducting the pilot program under subsection (a), the Secretary shall develop specific, measurable benchmarks for success in the provision of high quality grocery merchandise, discount savings to patrons, and levels of customer satisfaction at commissaries of the Defense Commissary System participating in the pilot program.
(2)
removed Scope of benchmark for maintaining savings— In developing a benchmark for success in maintaining discount savings to patrons, the Secretary shall establish a baseline of overall savings to patrons achieved by the commissary stores participating in the pilot program before the commencement of the pilot program, based on a comparison of the prices charged by such stores for a representative market basket of goods with the prices charged by relevant local competitors for such market basket of goods.
(e)
removed Report—
(1)
removed Report required— Not later than 180 days after the completion of the pilot program, the Secretary shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the pilot program.
(2)
removed Elements— The report under paragraph (1) shall include the following:
(A)
removed A complete description of the pilot program, including the location of the commissaries of the Defense Commissary System selected to participate in the pilot program.
(B)
removed A comparison of sales volumes at commissaries participating in the pilot program before and during the pilot program.
(C)
removed An assessment of the impact of the pilot program on patron savings and patron satisfaction at the commissaries participating in the pilot program.
(D)
removed A description of the cost savings achieved by the Department of Defense through the pilot program.
(E)
removed An assessment, in light of the pilot program, of the feasibility and advisability of privatizing the Defense Commissary System, and, if privatization is determined to be feasible and advisable, such recommendations as the Secretary considers appropriate for legislative and administration action to privatize the Defense Commissary System.

Sec. 721 Consolidation of the medical departments of the Army, Navy, and Air Force into the Defense Health Agency

(a)
In general— Not earlier than the date that is 60 days after the Committees on Armed Services of the Senate and the House of Representatives receive the consolidation plan submitted under subsection (d), the Secretary of Defense shall disestablish the medical departments of the Armed Forces and consolidate all activities of such departments into the Defense Health Agency in a manner that—
(1)
ensures continuity in the provision of health care services to members of the Armed Forces and other eligible beneficiaries; and
(2)
maintains the medical force readiness capabilities of the military health system.
(b)
Medical operations within Defense Health Agency—
(1)
In general— The consolidation required by this section shall, at a minimum, meet the requirements of this subsection.
(2)
Medical operations— All medical operations of the Department of Defense (including all military medical treatment facilities, training organizations, and medical research entities of the military departments) shall be discharged through a single agency established or organized within, and assigned to, the Defense Health Agency.
(3)
Director— The Director of the Defense Health Agency shall be an officer of the Armed Forces who, while so serving, holds the grade of lieutenant general or, in the case of the Navy, vice admiral. The Director shall be appointed from among officers of the Armed Services who are members of the medical corps, the dental corps, the medical service corps (including the biomedical service corps), or the nurse corps. An individual appointed as the Director shall serve a term of not fewer than four years.
(4)
Subordinate organizations—
(A)
In general— The Defense Health Agency shall have four subordinate organizations as follows:
(i)
An organization that includes all military medical treatment facilities, including facilities or elements that are combined or operating jointly with a medical facility of another department or agency of the Federal Government.
(ii)
An organization responsible for the following:
(I)
All medical professional recruitment and retention activities of the Department.
(II)
All medical training, education, research, and development activities of the Department
(III)
Any organizations designated as executive agents of the Department for medical operations or activities of the Department as of December 31, 2016.
(iii)
An organization responsible for the activities and duties of the Defense Health Agency as of December 31, 2016.
(iv)
An organization responsible for all activities and duties of the Department to improve and maintain medical force readiness capabilities and to ensure the combat casualty care and trauma readiness of military health care providers.
(B)
changed Heads of organizations— The head of each subordinate organization under this paragraph shall, while so serving, be an officer of the Armed Forces who holds the grade of major general or, in the case of the Navy, rear admiral, or a civilian of equivalent grade. The head of each subordinate organization, if an officer of the Armed Forces, shall be a member of the medical corps, the dental corps, the medical service corps (including the biomedical service corps), or the nurse corpscorps.
(5)
Authority of Director— The Director of the Defense Health Agency shall, subject to the supervision and control of the Assistant Secretary of Defense for Health Affairs, be responsible for and have the authority to conduct the following functions relating to the medical operations activities of the Department:
(A)
Development of programs and doctrine.
(B)
Preparation and submittal of program recommendations and budget proposals to the Secretary of Defense.
(C)
Exercise of authority, direction, and control over the expenditure of funds of the Defense Health Program.
(D)
Planning, budgeting, and expenditure of military construction funds within the Defense Health Program.
(E)
Training assigned medical forces and conducting specialized medical instruction for military personnel.
(F)
Validation, establishment, and prioritizing of requirements.
(G)
Ensuring interoperability of equipment and forces.
(H)
Monitoring promotions, assignments, retention, training, and professional military education of military health care providers.
(6)
Maintenance of unique medical capabilities and expertise of the Armed Forces— Notwithstanding a single agency structure for medical operations of the Department, the unique operational medical capabilities and expertise of health care professionals of each of the Armed Forces shall, to the extent practicable, be preserved and maintained.
(c)
Positions of Surgeon General in the Armed Forces—
(1)
Surgeon General of the Army— Section 3036 of title 10, United States Code, is amended—
(A)
in subsection (d), by striking “(1)”;
(B)
by redesignating subsection (e) as subsection (g);
(C)
by redesignating paragraphs (2) and (3) of subsection (d) as paragraphs (1) and (2), respectively, of a new subsection (e); and
(D)
by adding after subsection (e), as provided for by subparagraph (C), the following new subsection (f):

“(f)

“(1) The Surgeon General serves as the principal advisor to the Secretary of the Army and the Chief of Staff of the Army on all health and medical matters of the Army, including strategic planning and policy development relating to such matters.

“(2) The Surgeon General serves as the chief medical advisor of Army to the Defense Health Agency on matters pertaining to military health readiness requirements and safety of members of the Army.”

(2)
Surgeon General of the Navy—
(A)
In general— Section 5137 of title 10, United States Code, is amended to read as follows:

“5137. Surgeon General: appointment; duties

“(a) Appointment—The Surgeon General of the Navy shall be appointed by the President, by and with the advice and consent of the Senate.

“(b) Duties

“(1) The Surgeon General shall perform duties prescribed by the Secretary of the Navy and by law.

“(2) The Surgeon General serves as the principal advisor to the Secretary of the Navy and the Chief of Naval Operations on all health and medical matters of the Navy and the Marine Corps, including strategic planning and policy development relating to such matters.

“(3) The Surgeon General serves as the chief medical advisor of the Navy and the Marine Corps to the Defense Health Agency on matters pertaining to military health readiness requirements and safety of members of the Navy and the Marine Corps.”

(B)
Clerical amendment— The table of sections at the beginning of chapter 513 of such title is amended by striking the item relating to section 5137 and inserting the following new item:
(3)
Surgeon General of the Air Force—
(A)
In general— Section 8036 of title 10, United States Code, is amended to read as follows:

“8036. Surgeon General: appointment; duties

“(a) Appointment—The Surgeon General of the Air Force shall be appointed by the President, by and with the advice and consent of the Senate.

“(b) Duties

“(1) The Surgeon General shall perform duties prescribed by the Secretary of the Air Force and by law.

“(2) The Surgeon General serves as the principal advisor to the Secretary of the Air Force and the Chief of Staff of the Air Force on all health and medical matters of the Air Force, including strategic planning and policy development relating to such matters.

“(3) The Surgeon General serves as the chief medical advisor of the Air Force to the Defense Health Agency on matters pertaining to military health readiness requirements and safety of members of the Air Force.”

(B)
Clerical amendment— The table of sections at the beginning of chapter 805 of such title is amended by striking the item relating to section 8036 and inserting the following new item:
(d)
Consolidation plan—
(1)
In general— Before taking any action under subsection (a) to consolidate the activities of the medical departments of the Armed Forces, the Secretary of Defense shall submit to Committees on Armed Services of the Senate and the House of Representatives a plan to consolidate such activities.
(2)
Elements— The plan submitted under paragraph (1) with respect to the consolidation of the activities of the medical departments of the Armed Forces under subsection (a) shall include, at a minimum, the following:
(A)
A description of the organizational structure of the Defense Health Agency under such consolidation.
(B)
A description of the manning and management of all medical personnel under such consolidation.
(C)
A description of the command responsibilities of the Director of the Defense Health Agency, the head of each subordinate organization within the Defense Health Agency, and the Surgeons General of the Army, Navy, and Air Force under such consolidation.
(D)
A description of the authorities and responsibilities of each commander of an installation or military service under such consolidation.
(E)
A description of the activities carried out by all elements of the Defense Health Agency under such consolidation.
(F)
An assessment of the impact of such consolidation on—
(i)
health care provided by the Department of Defense, including the cost effectiveness of such care;
(ii)
the military readiness of members of the Armed Forces; and
(iii)
the ability of members of the Armed Forces to meet deployment requirements.
(G)
An assessment of the delineation of accountability across the military health system under such consolidation.
(3)
Comptroller General review— Not later than 180 days after the Secretary of Defense submits the plan under paragraph (1), the Comptroller General of the United States shall submit to the Committees on Armed Services of the Senate and the House of Representatives a review of such plan.
(e)
Report— Not later than January 1, 2017, the Secretary of the Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the consolidation required by this section.
(1)
The number of military, civilian, and contractor positions to be eliminated from headquarters staffs by the disestablishment of the medical departments of the Armed Forces and the consolidation of all activities of such departments into the Defense Health Agency.
(2)
The number of general and flag officer billets to be eliminated from each Armed Force by the disestablishment and consolidation.
(3)
The cost savings expected to be realized as a result of the disestablishment and consolidation.
(4)
The complete schedule for the disestablishment and consolidation.
(5)
A description of the additional legislative authorities, if any, required to fully carry out the disestablishment and consolidation.

Sec. 735 Adjustment of medical services, personnel authorized strengths, and infrastructure in military health system to maintain readiness and core competencies of health care providers

(a)
changed In general— Not Except as provided in subsection (c), not later than 180 90 days after submitting the report required by subsection (d), or one year after the date of the enactment of this Act, whichever occurs first, the Secretary of Defense shall implement measures to maintain the critical wartime medical readiness skills and core competencies of health care providers within the Armed Forces.
(b)
Measures To be implemented— The measures required to be implemented under subsection (a) shall include the following:
(1)
The Secretary shall ensure that each medical specialty required for the military medical force readiness of the Department of Defense is not substituted for any other medical specialty.
(2)
The Secretary shall modify the medical services provided through the military health system to ensure that the only medical services provided at military treatment facilities are those medical services that are directly required—
(A)
to maintain the critical wartime medical readiness skills and core competencies of health care providers within the Armed Forces; and
(B)
to ensure the medical readiness of the Armed Forces.
(3)
The Secretary shall reduce authorized strengths for military and civilian personnel throughout the military health system to the manning levels required—
(A)
to maintain the critical wartime medical readiness skills and core competencies of health care providers within the Armed Forces; and
(B)
to ensure the medical readiness of the Armed Forces.
(4)
The Secretary shall reduce or eliminate infrastructure in the military health system, including infrastructure of military treatment facilities, that—
(A)
does not maintain the critical wartime medical readiness skills and core competencies of health care providers within the Armed Forces; or
(B)
does not ensure the medical readiness of the Armed Forces.
(5)
changed The Secretary shall ensure that any covered beneficiaries (as that term is defined in beneficiary who may be affected by modifications, reductions, or eliminations implemented under this section 1072 of title 10, United States Code) unable will be able to receive health through the purchased care component of the TRICARE program any medical services that will not be available to such covered beneficiary at a military treatment facilities due to reductions in personnel and infrastructure in the military health system have access to primary and specialty health care services from the private sector.facility as a result of such modifications, reductions, or eliminations.
(c)
added Exception— The Secretary is not required to implement measures under subsection (a) with respect to overseas military health care facilities in a country if the Secretary determines that medical services in addition to the medical services described in subsection (b)(2) are necessary to ensure that covered beneficiaries located in that country have access to a similar level of care available to covered beneficiaries located in the United States.
(d)
added Report on modifications—
(1)
added In general— Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the modifications to medical services, military treatment facilities, and personnel in the military health system to be implemented pursuant to subsection (a).
(2)
added Elements— The report required by paragraph (1) shall include, at a minimum, the following:
(A)
added A description of the medical services and associated personnel capacities necessary for the military medical force readiness of the Department of Defense.
(B)
added A comprehensive plan to modify the personnel and infrastructure of the military health system to exclusively provide medical services necessary for the military medical force readiness of the Department of Defense, including the following:
(i)
added A description of the planned changes or reductions in medical services provided by the military health system.
(ii)
added A description of the planned changes or reductions in staffing of military personnel, civilian personnel, and contractor personnel within the military health system.
(iii)
added A description of the personnel management authorities through which changes or reductions described in clauses (i) and (ii) will be made.
(iv)
added A description of the planned changes to the infrastructure of the military health system.
(v)
added An estimated timeline for completion of the changes or reductions described in clauses (i), (ii), and (iv) and other key milestones for implementation of such changes or reductions.
(e)
added Comptroller General report—
(c)
removed Comptroller General report—
(1)
renumbered was (4)(2) In general— Not later than 18 months after the date of the enactment of this Act, the Comptroller General of the United States shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report assessing the implementation by the Secretary of Defense of measures to maintain the critical wartime medical readiness skills and core competencies of health care providers within the Armed Forces, as required under subsection (a).
(2)
renumbered was (4)(3) Elements— The report required by paragraph (1) shall include the following:
(A)
renumbered was (4)(3)(3) An assessment of whether the Department of Defense provides any medical services at military treatment facilities that are not services directly required—
(i)
renumbered was (4)(3)(3)(2) to maintain the critical wartime medical readiness skills and core competencies of health care providers within the Armed Forces; and
(ii)
renumbered was (4)(3)(3)(3) to ensure the medical readiness of the Armed Forces.
(B)
renumbered was (4)(3)(4) An assessment of whether the Department has maintained authorized strengths for military and civilian personnel throughout the military health system at manning levels that are higher than the levels required—
(i)
renumbered was (4)(3)(4)(2) to maintain the critical wartime medical readiness skills and core competencies of health care providers within the Armed Forces; and
(ii)
renumbered was (4)(3)(4)(3) to ensure the medical readiness of the Armed Forces.
(C)
renumbered was (4)(3)(5) An assessment of whether the Department has maintained infrastructure in the military health system, including infrastructure of military treatment facilities, that—
(i)
renumbered was (4)(3)(5)(2) does not maintain the critical wartime medical readiness skills and core competencies of health care providers within the Armed Forces; or
(ii)
renumbered was (4)(3)(5)(3) does not ensure the medical readiness of the Armed Forces.
(d)
renumbered was (5) Definitions— In this section:
(1)
renumbered was (5)(3) The term critical wartime medical readiness skills and core competencies means those essential medical capabilities, including clinical and logistical capabilities, that are—
(A)
renumbered was (5)(3)(2) necessary to be maintained by health care providers within the Armed Forces for national security purposes; and
(B)
renumbered was (5)(3)(3) vital to the provision of effective and timely health care during contingency operations.
(2)
renumbered was (5)(4) The term clinical and logistical capabilities means those capabilities relating to the provision of health care that are necessary to accomplish operational requirements, including—
(A)
renumbered was (5)(4)(2) combat casualty care;
(B)
renumbered was (5)(4)(3) medical response to and treatment of injuries sustained from chemical, biological, radiological, nuclear, or explosive incidents;
(C)
renumbered was (5)(4)(4) diagnosis and treatment of infectious diseases;
(D)
renumbered was (5)(4)(5) aerospace medicine;
(E)
renumbered was (5)(4)(6) undersea medicine;
(F)
renumbered was (5)(4)(7) diagnosis, treatment, and rehabilitation of specialized medical conditions;
(G)
renumbered was (5)(4)(8) diagnosis and treatment of diseases and injuries that are not related to battle; and
(H)
renumbered was (5)(4)(9) humanitarian assistance.
(3)
added The terms covered beneficiary and TRICARE program have the meanings given those terms in section 1072 of title 10, United States Code.

Sec. 760 Assessment of transition to TRICARE program by families of members of reserve components called to active duty and elimination of certain charges for such families

(a)
Assessment of transition to TRICARE program—
(1)
In general— Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall complete an assessment of the extent to which families of members of the reserve components of the Armed Forces serving on active duty pursuant to a call or order to active duty for a period of more than 30 days experience difficulties in transitioning from health care arrangements relied upon when the member is not in such an active duty status to health care benefits under the TRICARE program.
(2)
Elements— The assessment under paragraph (1) shall address the following:
(A)
The extent to which family members of members of the reserve components of the Armed Forces are required to change health care providers when they become eligible for health care benefits under the TRICARE program.
(B)
The extent to which health care providers in the private sector with whom such family members have established relationships when not covered under the TRICARE program are providers who—
(i)
are in a preferred provider network under the TRICARE program;
(ii)
are participating providers under the TRICARE program; or
(iii)
will agree to treat covered beneficiaries at a rate not to exceed 115 percent of the maximum allowable charge under the TRICARE program.
(C)
The extent to which such family members encounter difficulties associated with a change in health care claims administration, health care authorizations, or other administrative matters when transitioning to health care benefits under the TRICARE program.
(D)
Any particular reasons for, or circumstances that explain, the conditions described in subparagraphs (A), (B), and (C).
(E)
The effects of the conditions described in subparagraphs (A), (B), and (C) on such family members and the Department of Defense.
(F)
Recommendations for changes in policies and procedures under the TRICARE program, or other administrative action by the Secretary, to remedy or mitigate difficulties faced by such family members in transitioning to health care benefits under the TRICARE program.
(G)
Recommendations for legislative action to remedy or mitigate such difficulties.
(H)
Such other matters as the Secretary determines relevant to the assessment.
(3)
Report—
(A)
In general— Not later than 180 days after completing the assessment under paragraph (1), the Secretary shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report detailing the results of the assessment.
(B)
Analysis of recommendations— The report required by subparagraph (A) shall include an analysis of each recommendation for legislative action addressed under paragraph (2)(G), together with a cost estimate for implementing each such action.
(b)
changed Expansion of authority to To eliminate balance billing— Section 1079(h)(4)(C)(ii) of title 10, United States Code, is amended by striking “in support of a contingency operation under a provision of law referred to in section 101(a)(13)(B) of this title”.
(c)
Definitions— In this section, the terms covered beneficiary and TRICARE program have the meanings given those terms in section 1072 of title 10, United States Code.

Sec. 764 Treatment of certain provisions relating to limitations, transparency, and oversight regarding medical research conducted by the Department of Defense

added
(a)
added Medical research and development projects— Section 756, relating to a prohibition on funding and conduct of certain medical research and development projects by the Department of Defense, shall have no force or effect.
(b)
added Research, development, test, and evaluation efforts and procurement activities related to medical research— Section 898, relating to a limitation on authority of the Secretary of Defense to enter into contracts, grants, or cooperative agreements for congressional special interest medical research programs under the congressionally directed medical research program of the Department of Defense, shall have no force or effect.

Sec. 818 Comprehensive small business contracting plans

(a)
Authority—
(1)
In general— Chapter 137 of title 10, United States Code, is amended by adding at the end the following new section:

“2338. Comprehensive small business contracting plans

“(a) Authority—The Secretary of Defense may negotiate and administer comprehensive subcontracting plans for the purpose of reducing administrative burdens on contractors while enhancing opportunities provided under Department of Defense contracts for small business concerns and covered small business concerns.

“(b) Comprehensive small business subcontracting plan

“(1) The Secretary of a military department or head of a Defense Agency shall negotiate, monitor, and enforce compliance with a comprehensive subcontracting plan with a Department of Defense contractor described in paragraph (4).

“(2) The comprehensive subcontracting plan of a contractor—

“(A) shall apply to the entire business organization of the contractor or to one or more of the contractor's divisions or operating elements, as specified in the subcontracting plan; and

“(B) shall cover each Department of Defense contract that is entered into by the contractor and each subcontract that is entered into by the contractor as the subcontractor under a Department of Defense contract.

“(3) Each comprehensive subcontracting plan of a contractor shall require that the contractor report to the Secretary of Defense on a semi-annual basis the following information:

“(A) The amount of first-tier subcontract dollars awarded during the six-month period covered by the report to covered small business concerns, with the information set forth separately—

“(i) by North American Industrial Classification System code;

“(ii) by major defense acquisition program, as defined in section 2430(a) of this title, that meets the criteria of Acquisition Category 1;

“(iii) by contract, if the contract is for the maintenance, overhaul, repair, servicing, rehabilitation, salvage, modernization, or modification of supplies, systems, or equipment and the total value of the contract, including options, exceeds $250,000,000; and

“(iv) by military department.

“(B) The total number of subcontracts active under the test program during the six-month period covered by the report that would have otherwise required a subcontracting plan under paragraph (4) or (5) of section 8(d) of the Small Business Act (15 U.S.C. 637(d)).

“(C) Costs incurred in negotiating, complying with, and reporting on comprehensive subcontracting plans.

“(D) Costs avoided by adoption of a comprehensive subcontracting plan.

changed “(4) A Department of Defense contractor referred to in paragraph (1) is, with respect to a comprehensive subcontracting plan negotiated in any fiscal year, a business concern that, during the immediately preceding fiscal year, furnished the Department of Defense with supplies or services (including professional services, research and development services, and construction services) pursuant to at least three Department of Defense contracts having an aggregate value of at least $ 100,000,000.$100,000,000.

“(c) Waiver of certain Small Business Act subcontracting plan requirements—A Department of Defense contractor is not required to negotiate or submit a subcontracting plan under paragraph (4) or (5) of section 8(d) of the Small Business Act (15 U.S.C. 637(d)) with respect to a Department of Defense contract if—

“(1) the contractor has negotiated a comprehensive subcontracting plan under the test program that includes the matters specified in section 8(d)(6) of the Small Business Act (15 U.S.C. 637(d)(6));

“(2) such matters have been determined acceptable by the Secretary of the military department or head of a Defense Agency negotiating such comprehensive subcontracting plan; and

“(3) the comprehensive subcontracting plan applies to the contract.

changed “(d) Failure to To make a good faith effort to To comply with a comprehensive subcontracting plan

“(1) A contractor that has negotiated a comprehensive subcontracting plan under the test program shall be subject to section 8(d)(4)(F) of the Small Business Act (15 U.S.C. 637(d)(4)(F)) regarding the assessment of liquidated damages for failure to make a good faith effort to comply with its comprehensive subcontracting plan and the goals specified in that plan. In addition, any such failure shall be a factor considered as part of the evaluation of past performance of an offeror.

“(2) Effective in fiscal year 2017 and each fiscal year thereafter, the Secretary of Defense shall report to Congress on any negotiated comprehensive subcontracting plan that the Secretary determines did not meet the subcontracting goals negotiated in the plan for the prior fiscal year.

“(e) Definitions—In this section, the term covered small business concern includes each of the following:

“(1) A small business concern, as that term is defined under section 3(a) of the Small Business Act (15 U.S.C. 632(a)).

“(2) A small business concern owned and controlled by veterans, as that term is defined in section 3(q)(3) of such Act (15 U.S.C. 632(q)(3)).

“(3) A small business concern owned and controlled by service-disabled veterans, as that term is defined in section 3(q)(2) of such Act (15 U.S.C. 632(q)(2)).

“(4) A qualified HUBZone small business concern, as that term is defined under section 3(p)(5) of such Act (15 U.S.C. 632(p)(5)).

“(5) A small business concern owned and controlled by socially and economically disadvantaged individuals, as that term is defined in section 8(d)(3)(C) of such Act (15 U.S.C. 637(d)(3)(C)).

“(6) A small business concern owned and controlled by women, as that term is defined under section 3(n) of such Act (15 U.S.C. 632(n)).”

(2)
Clerical amendment— The table of sections at the beginning of such chapter is amended by adding at the end the following new item:
(b)
Repeal of obsolete authority— Section 834 of the National Defense Authorization Act for Fiscal Years 1990 and 1991 (15 U.S.C. 637 note) is hereby repealed.

Sec. 823 Treatment of side-by-side testing of certain equipment, munitions, and technologies manufactured and developed under cooperative research and development agreements as use of competitive procedures

changed Section 2350a(g) of title 10, Untied United States Code, is amended by inserting after paragraph (2) the following new paragraph:

“(3) The use of side-by-side testing under this subsection shall be considered to be the use of competitive procedures for purposes of chapter 137 of this title, when procuring items that have been successfully tested and found to satisfy United States military requirements or to correct operational deficiencies.”

Sec. 824 Defense Acquisition Challenge Program

(a)
changed Expansion of scope to To include alternatives to existing acquisition programs— Subsection (a)(2) of section 2359b of title 10, United States Code, is amended—
(1)
by inserting “, or an alternative approach to an existing Department of Defense acquisition program,” after “of an existing Department of Defense acquisition program”; and
(2)
by inserting “or function” after “capability of that acquisition program”.
(b)
Treatment of challenge proposal procedures as use of competitive procedures— Such section is further amended—
(1)
by redesignating subsections (j) and (k) as subsections (k) and (l), respectively; and
(2)
by inserting after subsection (i) the following new subsection:

“(j) Treatment of use of developed procedures as use of competitive procedures—The use of general solicitation competitive procedures developed pursuant to subsection (c)(3) shall be considered to be the use of competitive procedures for purposes of chapter 137 of this title.”

(c)
Extension of sunset for pilot program for programs other than major defense acquisition programs— Such section is further amended in paragraph (5) of subsection (l), as redesignated by subsection (b)(1) of this subsection, by striking “2016” and inserting “2021”.

Sec. 829A Share-in-savings contracts

(a)
removed Repeal of sunset— Section 2332 of title 10, United States Code, is amended by striking subsection (d).
(b)
removed Training— Such section, as amended by subsection (a), is further amended by adding at the end the following new subsection:

removed “(d) Training—Not later than 180 days after the date of the enactment of the National Defense Authorization Act for Fiscal Year 2017, the Defense Acquisition University shall develop and implement a training program for Department of Defense acquisition personnel on share-in-savings contracts.”

Sec. 829B Competitive procurement and phase out of rocket engines from the Russian Federation in the evolved expendable launch vehicle program for space launch of national security satellites

(a)
changed In general—Ineffectiveness of superseded requirements— Chapter 137 of title 10, United States Code, is amended by adding at the end Sections 1036 and 1037 shall have no force or effect, and the following new section:amendments proposed to be made by section 1037 shall not be made.

removed “2338. Special emergency procurement authority

removed “(a) Applicability—The authorities provided in subsections (b) and (c) apply with respect to a procurement of property or services by or for the Department of Defense that the Secretary of Defense determines are to be used—

removed “(1) in support of a contingency operation; or

removed “(2) to facilitate the defense against or recovery from cyber, nuclear, biological, chemical, or radiological attack against the United States.

removed “(b) Increased thresholds and limitation—For a procurement to which this section applies under subsection (a)—

removed “(1) the amount specified in subsections (a), (d), and (e) of section 1902 of title 41 shall be deemed to be—

removed “(A) $15,000 in the case of a contract to be awarded and performed, or purchase to be made, in the United States; and

removed “(B) $25,000 in the case of a contract to be awarded and performed, or purchase to be made, outside the United States;

removed “(2) the term simplified acquisition threshold means—

removed “(A) $750,000 in the case of a contract to be awarded and performed, or purchase to be made, in the United States; and

removed “(B) $1,500,000 in the case of a contract to be awarded and performed, or purchase to be made, outside the United States; and

removed “(3) the $5,000,000 limitation in section 1901(a)(2) of title 41 and sections 3305(a)(2) and 2304(g)(1)(B) of this title is deemed to be $10,000,000.

removed “(c) Authority to treat property or service as commercial item

removed “(1) In general—The Secretary of Defense, in carrying out a procurement of property or a service to which this section applies under subsection (a)(2), may treat the property or service as a commercial item for the purpose of carrying out the procurement.

removed “(2) Certain contracts not exempt from standards or requirements—A contract in an amount of more than $15,000,000 that is awarded on a sole source basis for an item or service treated as a commercial item under paragraph (1) is not exempt from—

removed “(A) cost accounting standards prescribed under section 1502 of title 41; or

removed “(B) cost or pricing data requirements (commonly referred to as truth in negotiating) under chapter 35 of title 41 and section 2306a of this title.”

(b)
changed Clerical amendment—In general— The table of sections at Any competition for a contract for the beginning provision of such chapter is amended by adding at the end launch services for the following new item:evolved expendable launch vehicle program shall be open for award to all certified providers of evolved expendable launch vehicle-class systems.
(c)
added Award of contracts— In awarding a contract under subsection (b), the Secretary of Defense—
(1)
added subject to paragraphs (2) and (3), and notwithstanding any other provision of law, may, during the period beginning on the date of the enactment of this Act and ending on December 31, 2022, award the contract to a provider of launch services that intends to use any certified launch vehicle in its inventory without regard to the country of origin of the rocket engine that will be used on that launch vehicle;
(2)
added may award contracts utilizing an engine designed or manufactured in the Russian Federation for only phase 1(a) and phase 2 evolved expendable launch vehicle procurements; and
(3)
added Limitation— The total number of rocket engines designed or manufactured in the Russian Federation and used on launch vehicles for the evolved expendable launch vehicle program shall not exceed 18.
added Section 2332 of title 10, United States Code, is amended by adding at the end the following new subsection:

added “(d) Training—Not later than 180 days after the date of the enactment of the National Defense Authorization Act for Fiscal Year 2017, the Defense Acquisition University shall develop and implement a training program for Department of Defense acquisition personnel on share-in-savings contracts.”

Sec. 829C Special emergency procurement authority to facilitate the defense against or recovery from a cyber, nuclear, biological, chemical, or radiological attack

(a)
changed Limitation—In general— Not later than 90 days after the date of the enactment Chapter 137 of this Act, title 10, United States Code, is amended by adding at the Defense Supplement to end the Federal Acquisition Regulation shall be amended—following new section:

added “2338. Special emergency procurement authority

added “(a) Applicability—The authorities provided in subsections (b) and (c) apply with respect to a procurement of property or services by or for the Department of Defense that the Secretary of Defense determines are to be used—

added “(1) in support of a contingency operation; or

added “(2) to facilitate the defense against or recovery from cyber, nuclear, biological, chemical, or radiological attack against the United States.

added “(b) Increased thresholds and limitation—For a procurement to which this section applies under subsection (a)—

added “(1) the amount specified in subsections (a), (d), and (e) of section 1902 of title 41 shall be deemed to be—

added “(A) $15,000 in the case of a contract to be awarded and performed, or purchase to be made, in the United States; and

added “(B) $25,000 in the case of a contract to be awarded and performed, or purchase to be made, outside the United States;

added “(2) the term simplified acquisition threshold means—

added “(A) $750,000 in the case of a contract to be awarded and performed, or purchase to be made, in the United States; and

added “(B) $1,500,000 in the case of a contract to be awarded and performed, or purchase to be made, outside the United States; and

added “(3) the $5,000,000 limitation in section 1901(a)(2) of title 41 and sections 3305(a)(2) and 2304(g)(1)(B) of this title is deemed to be $10,000,000.

added “(c) Authority To treat property or service as commercial item

added “(1) In general—The Secretary of Defense, in carrying out a procurement of property or a service to which this section applies under subsection (a)(2), may treat the property or service as a commercial item for the purpose of carrying out the procurement.

added “(2) Certain contracts not exempt from standards or requirements—A contract in an amount of more than $15,000,000 that is awarded on a sole source basis for an item or service treated as a commercial item under paragraph (1) is not exempt from—

added “(A) cost accounting standards prescribed under section 1502 of title 41; or

added “(B) cost or pricing data requirements (commonly referred to as truth in negotiating) under chapter 35 of title 41 and section 2306a of this title.”

(1)
removed to prohibit the use by the Department of Defense of reverse auction or lowest price technically acceptable contracting methods for the procurement of personal protective equipment where the level of quality or failure of the item could result in combat casualties; and
(2)
removed to establish a preference for the use of best value contracting methods for the procurement of such equipment.
(b)
changed Conforming Clerical amendment— Section 884 The table of sections at the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92) beginning of such chapter is hereby repealed.amended by adding at the end the following new item:

Sec. 829D Limitation on use of reverse auction and lowest price technically acceptable contracting methods

(a)
added Limitation— Not later than 90 days after the date of the enactment of this Act, the Defense Supplement to the Federal Acquisition Regulation shall be amended—
(1)
added to prohibit the use by the Department of Defense of reverse auction or lowest price technically acceptable contracting methods for the procurement of personal protective equipment where the level of quality or failure of the item could result in combat casualties; and
(2)
added to establish a preference for the use of best value contracting methods for the procurement of such equipment.
(b)
added Conforming amendment— Section 884 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92) is hereby repealed.

removed The Secretary of Defense shall ensure that competition in Department of Defense contracts is not limited through the use of specifying brand names or brand-name or equivalent descriptions, or proprietary specifications or interfaces, in solicitations unless a justification for such specification is provided and approved in accordance with section 2304(f) of title 10, United States Code.

Sec. 829E Avoidance of use of brand names or brand-name or equivalent descriptions in solicitations

added The Secretary of Defense shall ensure that competition in Department of Defense contracts is not limited through the use of specifying brand names or brand-name or equivalent descriptions, or proprietary specifications or interfaces, in solicitations unless a justification for such specification is provided and approved in accordance with section 2304(f) of title 10, United States Code.

(a)
removed Sunsets—
(1)
removed Plantations and farms: operation, maintenance, and improvement— Section 2421 of title 10, United States Code, is amended by adding at the end the following new subsection:

removed “(e) Sunset—This section shall terminate at the close of September 30, 2018.”

(2)
removed Obligations for contract services: reporting in budget object classes— Section 2212 of title 10, United States Code, is amended by adding at the end the following new subsection:

removed “(g) Sunset—This section shall terminate at the close of September 30, 2018.”

(3)
removed Requirement to establish cost, performance, and schedule goals for major defense acquisition programs and each phase of related acquisition cycles— Section 2220 of title 10, United States Code, is amended by adding at the end the following new subsection:

removed “(c) Sunset—This section shall terminate at the close of September 30, 2018.”

(4)
removed Government performance of certain acquisition functions— Section 1706 of title 10, United States Code, is amended by adding at the end the following new subsection:

removed “(d) Sunset—This section shall terminate at the close of September 30, 2019.”

(b)
removed Repeals—
(1)
removed Limitation on use of operation and maintenance funds for purchase of investment items—
(A)
removed In general— Section 2245a of title 10, United States Code, is repealed.
(B)
removed Clerical amendment— The table of sections at the beginning of subchapter I of chapter 134 of such title is amended by striking the item relating to section 2245a.
(C)
removed Conforming amendment— Section 166a(e)(1)(A) of such title is amended by striking “in effect under section 2245a of this title”.
(2)
removed Information technology purchases: tracking and management—
(A)
removed In general— Section 2225 of title 10, United States Code, is repealed.
(B)
removed Clerical amendment— The table of sections at the beginning of chapter 131 of such title is amended by striking the item relating to section 2225.
(C)
removed Conforming amendments—
(i)
removed Section 2330a of title 10, Untied States Code— Section 2330a(j) of such title is amended—
(I)
removed by striking paragraph (2);
(II)
removed by redesignating paragraphs (3), (4), and (5) as paragraphs (2), (3), and (4), respectively; and
(III)
removed by adding at the end the following new paragraphs:

removed “(5) Simplified acquisition threshold—The term simplified acquisition threshold has the meaning given the term in section 134 of title 41.

removed “(6) Small business concern—The term small business concern means a business concern that meets the applicable size standards prescribed pursuant to section 3(a) of the Small Business Act (15 U.S.C. 632(a)) of title 41.

removed “(7) Small business concern owned and controlled by socially and economically disadvantaged individuals—The term small business concern owned and controlled by socially and economically disadvantaged individuals has the meaning given that term in section 8(d)(3)(C) of the Small Business Act (15 U.S.C. 637(d)(3)(C)).

removed “(8) Small business concern owned and controlled by women—The term small business concern owned and controlled by women has the meaning given that term in section 8(d)(3)(D) of the Small Business Act (15 U.S.C. 637(d)(3)(D)).”

(ii)
removed Section 222 of the National Defense Authorization Act for Fiscal Year 2012— Section 222(d) of the National Defense Authorization Act for Fiscal Year 2012 (Public Law 112–81; 10 U.S.C. 2358 note) is amended by striking “as defined in section 2225(f)(3)” and inserting “as defined in section 2330a(j)”.
(3)
removed Procurement of copier paper containing specified percentages of post-consumer recycled content—
(A)
removed In general— Section 2378 of title 10, United States Code, is repealed.
(B)
removed Clerical amendment— The table of sections at the beginning of chapter 140 of such title is amended by striking the item relating to section 2378.
(4)
removed Limitation on procurement of table and kitchen equipment for officers' quarters—
(A)
removed In general— Section 2387 of title 10, United States Code, is repealed.
(B)
removed Clerical amendment— The table of sections at the beginning of chapter 141 of such title is amended by striking the item relating to section 2387.
(5)
removed Implementation of electronic commerce capability—
(A)
removed Repeal—
(i)
removed In general— Section 2302c of title 10, United States Code, is repealed.
(ii)
removed Exemption from general Federal procurement requirement— Section 2301 of title 41, United States Code, is amended by inserting “other than the Department of Defense” after “each executive agency” each place it appears.
(B)
removed Clerical amendment— The table of sections at the beginning of chapter 137 of such title is amended by striking the item relating to section 2302c.

Sec. 829F Sunset and repeal of certain contracting provisions

(a)
added Sunsets—
(1)
added Plantations and farms: operation, maintenance, and improvement— Section 2421 of title 10, United States Code, is amended by adding at the end the following new subsection:

added “(e) Sunset—This section shall terminate at the close of September 30, 2018.”

(2)
added Obligations for contract services: reporting in budget object classes— Section 2212 of title 10, United States Code, is amended by adding at the end the following new subsection:

added “(g) Sunset—This section shall terminate at the close of September 30, 2018.”

(3)
added Requirement to establish cost, performance, and schedule goals for major defense acquisition programs and each phase of related acquisition cycles— Section 2220 of title 10, United States Code, is amended by adding at the end the following new subsection:

added “(c) Sunset—This section shall terminate at the close of September 30, 2018.”

(4)
added Government performance of certain acquisition functions— Section 1706 of title 10, United States Code, is amended by adding at the end the following new subsection:

added “(d) Sunset—This section shall terminate at the close of September 30, 2019.”

(b)
added Repeals—
(1)
added Limitation on use of operation and maintenance funds for purchase of investment items—
(A)
added In general— Section 2245a of title 10, United States Code, is repealed.
(B)
added Clerical amendment— The table of sections at the beginning of subchapter I of chapter 134 of such title is amended by striking the item relating to section 2245a.
(C)
added Conforming amendment— Section 166a(e)(1)(A) of such title is amended by striking “in effect under section 2245a of this title”.
(2)
added Information technology purchases: tracking and management—
(A)
added In general— Section 2225 of title 10, United States Code, is repealed.
(B)
added Clerical amendment— The table of sections at the beginning of chapter 131 of such title is amended by striking the item relating to section 2225.
(C)
added Conforming amendments—
(i)
added Section 2330a of title 10, United States Code— Section 2330a(j) of such title is amended—
(I)
added by striking paragraph (2);
(II)
added by redesignating paragraphs (3), (4), and (5) as paragraphs (2), (3), and (4), respectively; and
(III)
added by adding at the end the following new paragraphs:

added “(5) Simplified acquisition threshold—The term simplified acquisition threshold has the meaning given the term in section 134 of title 41.

added “(6) Small business concern—The term small business concern means a business concern that meets the applicable size standards prescribed pursuant to section 3(a) of the Small Business Act (15 U.S.C. 632(a)) of title 41.

added “(7) Small business concern owned and controlled by socially and economically disadvantaged individuals—The term small business concern owned and controlled by socially and economically disadvantaged individuals has the meaning given that term in section 8(d)(3)(C) of the Small Business Act (15 U.S.C. 637(d)(3)(C)).

added “(8) Small business concern owned and controlled by women—The term small business concern owned and controlled by women has the meaning given that term in section 8(d)(3)(D) of the Small Business Act (15 U.S.C. 637(d)(3)(D)).”

(ii)
added Section 222 of the National Defense Authorization Act for Fiscal Year 2012— Section 222(d) of the National Defense Authorization Act for Fiscal Year 2012 (Public Law 112–81; 10 U.S.C. 2358 note) is amended by striking “as defined in section 2225(f)(3)” and inserting “as defined in section 2330a(j)”.
(3)
added Procurement of copier paper containing specified percentages of post-consumer recycled content—
(A)
added In general— Section 2378 of title 10, United States Code, is repealed.
(B)
added Clerical amendment— The table of sections at the beginning of chapter 140 of such title is amended by striking the item relating to section 2378.
(4)
added Limitation on procurement of table and kitchen equipment for officers' quarters—
(A)
added In general— Section 2387 of title 10, United States Code, is repealed.
(B)
added Clerical amendment— The table of sections at the beginning of chapter 141 of such title is amended by striking the item relating to section 2387.
(5)
added Implementation of electronic commerce capability—
(A)
added Repeal—
(i)
added In general— Section 2302c of title 10, United States Code, is repealed.
(ii)
added Exemption from general Federal procurement requirement— Section 2301 of title 41, United States Code, is amended by inserting “other than the Department of Defense” after “each executive agency” each place it appears.
(B)
added Clerical amendment— The table of sections at the beginning of chapter 137 of such title is amended by striking the item relating to section 2302c.
(a)
removed Establishment of award program— The Secretary of Defense shall create an award to recognize those acquisition programs and professionals that make the best use of the flexibilities and authorities granted by the Federal Acquisition Regulation and Department of Defense Instruction 5000.02 (Operation of the Defense Acquisition System).
(b)
removed Purpose of award— The award established under subsection (a) shall recognize outstanding performers whose approach to program management emphasizes innovation and local adaptation, including the use of—
(1)
removed simplified acquisition procedures;
(2)
removed inherent flexibilities within the Federal Acquisition Regulation;
(3)
removed commercial contracting approaches;
(4)
removed public-private partnership agreements and practices;
(5)
removed cost sharing arrangements;
(6)
removed innovative contractor incentive practices; and
(7)
removed other innovative implementations of acquisition flexibilities.
(c)
removed Benchmarks— The Secretary of Defense shall, for purposes of administering the award program established under this section, establish specific, measurable benchmarks for measuring successful application of Federal Acquisition Regulation flexibilities, both in terms of assessing the level of innovation being applied and in terms of program outcomes.

Sec. 829G Flexibility in contracting award program

(a)
added Establishment of award program— The Secretary of Defense shall create an award to recognize those acquisition programs and professionals that make the best use of the flexibilities and authorities granted by the Federal Acquisition Regulation and Department of Defense Instruction 5000.02 (Operation of the Defense Acquisition System).
(a)
removed Limitation on contracting with AbilityOne program—
(1)
removed In general— For purposes of procuring goods and services on the procurement list described in section 8503 of title 41, United States Code (in this section referred to as the “procurement list”) to be performed by other severely disabled, the Secretary of Defense shall not contract with the AbilityOne nonprofit agency or the AbilityOne Central Nonprofit Agency responsible for contracting with other severely disabled, or use the AbilityOne Central Nonprofit Agency responsible for contracting with other severely disabled to identify vendors who are other severely disabled, but shall contract directly with qualified nonprofit agencies for other severely disabled, until such time that the Inspector General for the Department of Defense certifies to Congress as follows:
(A)
removed The internal controls and financial management systems of the AbilityOne nonprofit agency and the AbilityOne Central Nonprofit Agency responsible for contracting with the other severely disabled are sufficient to protect the Department of Defense against waste, fraud, and abuse.
(B)
removed There are fair opportunities for qualified nonprofit agencies for other severely disabled to compete to provide goods and services to the Department of Defense under the procurement list.
(C)
removed Pass-through contracts to contractors who are not qualified nonprofit agencies for other severely disabled are limited to the maximum extent practicable to providing services and supplies necessary for qualified nonprofit agencies for other severely disabled to assemble a final product for use by the Department of Defense.
(D)
removed Department of Defense contracts for items on the procurement list to the maximum extent practicable create opportunities in the production of products and the provision of services by qualified nonprofit agencies for other severely disabled during the fiscal year that result in the employment of other severely disabled individuals for at least 75 percent of the hours of direct labor required for the production or provision of the products or services.
(E)
removed Opportunities for wounded and disabled veterans are maximized in qualified nonprofit agencies for other severely disabled when participating in Department of Defense contracts.
(F)
removed The Department of Defense is receiving fair and reasonable prices for items on the procurement list.
(2)
removed Recommendations by the Comptroller General of the United States— In conducting its review of the internal controls and financial management systems of the AbilityOne nonprofit agency and the AbilityOne Central Nonprofit Agency responsible for contracting with the other severely disabled, the Inspector General of the Department of Defense shall consider recommendations previously made by the Comptroller General of the United States pertaining to the AbilityOne program.
(b)
changed Purchasing criteria—Purpose of award— Contracting officers for the Department of Defense, when purchasing items off the procurement list The award established under subsection (a), (a) shall ensure that—recognize outstanding performers whose approach to program management emphasizes innovation and local adaptation, including the use of—
(1)
changed there are fair opportunities for qualified nonprofit agencies for other severely disabled to compete to provide goods and services to the Department of Defense under the procurement list;simplified acquisition procedures;
(2)
changed pass-through contracts to contractors that are not qualified nonprofit agencies for other severely disabled are limited to the maximum extent practicable to providing services and supplies necessary for qualified nonprofit agencies for other severely disabled to assemble a final product for use by inherent flexibilities within the Department of Defense;Federal Acquisition Regulation;
(3)
changed Department of Defense contracts for items on the procurement list to the maximum extent practicable create opportunities in the production of products and the provision of services by the qualified nonprofit agencies for other severely disabled during the fiscal year that result in the employment of other severely disabled individuals for at least 75 percent of the hours of direct labor required for the production or provision of the products or services;commercial contracting approaches;
(4)
changed opportunities for wounded public-private partnership agreements and disabled veterans are maximized in qualified nonprofit agencies for other severely disabled when participating in Department of Defense contracts; andpractices;
(5)
changed the Department of Defense is receiving fair and reasonable prices for items on the procurement list.cost sharing arrangements;
(6)
added innovative contractor incentive practices; and
(7)
added other innovative implementations of acquisition flexibilities.
(c)
changed Qualified nonprofit for other severely disabled—Benchmarks— In The Secretary of Defense shall, for purposes of administering the award program established under this section, the term qualified nonprofit establish specific, measurable benchmarks for other severely disabled has the meaning given measuring successful application of Federal Acquisition Regulation flexibilities, both in terms of assessing the term level of innovation being applied and in section 8501(6) terms of title 41, United States Code.program outcomes.

Sec. 829H Products and services purchased through contracting program for firms that hire the severely disabled

(a)
added Limitation on contracting with AbilityOne program—
(1)
added In general— For purposes of procuring goods and services on the procurement list described in section 8503 of title 41, United States Code (in this section referred to as the “procurement list”) to be performed by other severely disabled, the Secretary of Defense shall not contract with the AbilityOne nonprofit agency or the AbilityOne Central Nonprofit Agency responsible for contracting with other severely disabled, or use the AbilityOne Central Nonprofit Agency responsible for contracting with other severely disabled to identify vendors who are other severely disabled, but shall contract directly with qualified nonprofit agencies for other severely disabled, until such time that the Inspector General for the Department of Defense certifies to Congress as follows:
(A)
added The internal controls and financial management systems of the AbilityOne nonprofit agency and the AbilityOne Central Nonprofit Agency responsible for contracting with the other severely disabled are sufficient to protect the Department of Defense against waste, fraud, and abuse.
(B)
added There are fair opportunities for qualified nonprofit agencies for other severely disabled to compete to provide goods and services to the Department of Defense under the procurement list.
(C)
added Pass-through contracts to contractors who are not qualified nonprofit agencies for other severely disabled are limited to the maximum extent practicable to providing services and supplies necessary for qualified nonprofit agencies for other severely disabled to assemble a final product for use by the Department of Defense.
(D)
added Department of Defense contracts for items on the procurement list to the maximum extent practicable create opportunities in the production of products and the provision of services by qualified nonprofit agencies for other severely disabled during the fiscal year that result in the employment of other severely disabled individuals for at least 75 percent of the hours of direct labor required for the production or provision of the products or services.
(E)
added Opportunities for wounded and disabled veterans are maximized in qualified nonprofit agencies for other severely disabled when participating in Department of Defense contracts.
(F)
added The Department of Defense is receiving fair and reasonable prices for items on the procurement list.
(2)
added Recommendations by the Comptroller General of the United States— In conducting its review of the internal controls and financial management systems of the AbilityOne nonprofit agency and the AbilityOne Central Nonprofit Agency responsible for contracting with the other severely disabled, the Inspector General of the Department of Defense shall consider recommendations previously made by the Comptroller General of the United States pertaining to the AbilityOne program.
(a)
removed Limitation— The Secretary of Defense shall apply any acquisition regulations promulgated pursuant to Executive Order 13673 or any successor executive order only to contractors or subcontractors who have been suspended or debarred as a result of a Federal labor law violations covered by Executive Order 13673.
(b)
changed Compliance requirements—Purchasing criteria— The Secretary shall ensure that Contracting officers for the Department of Defense contractors or subcontractors who are not described Defense, when purchasing items off the procurement list under subsection (a) are not compelled or required to comply with the conditions for contracting eligibility as stated in any acquisition regulations promulgated to implement Executive Order 13673.(a), shall ensure that—
(1)
added there are fair opportunities for qualified nonprofit agencies for other severely disabled to compete to provide goods and services to the Department of Defense under the procurement list;
(2)
added pass-through contracts to contractors that are not qualified nonprofit agencies for other severely disabled are limited to the maximum extent practicable to providing services and supplies necessary for qualified nonprofit agencies for other severely disabled to assemble a final product for use by the Department of Defense;
(3)
added Department of Defense contracts for items on the procurement list to the maximum extent practicable create opportunities in the production of products and the provision of services by the qualified nonprofit agencies for other severely disabled during the fiscal year that result in the employment of other severely disabled individuals for at least 75 percent of the hours of direct labor required for the production or provision of the products or services;
(4)
added opportunities for wounded and disabled veterans are maximized in qualified nonprofit agencies for other severely disabled when participating in Department of Defense contracts; and
(5)
added the Department of Defense is receiving fair and reasonable prices for items on the procurement list.
(c)
added Qualified nonprofit for other severely disabled— In this section, the term qualified nonprofit for other severely disabled has the meaning given the term in section 8501(6) of title 41, United States Code.

Sec. 829I Applicability of Executive Order 13673 “Fair Pay and Safe Workplaces” to Department of Defense contractors

(a)
changed Authority—Limitation— The Secretary of Defense may close out a contract or group of contracts as described in subsection (b) through the issuance of one shall apply any acquisition regulations promulgated pursuant to Executive Order 13673 or more modifications any successor executive order only to existing Department of Defense contracts without completing a reconciliation audit contractors or other corrective action. To accomplish closeout subcontractors who have been suspended or debarred as a result of such contracts—a Federal labor law violations covered by Executive Order 13673.
(1)
removed remaining contract balances may be offset with balances in other contract line items within a contract regardless of the year or type of appropriation previously or currently obligated to fund each contract line item and regardless of whether the appropriation has closed; and
(2)
removed remaining contract balances may be offset with balances on other contracts regardless of the year or type of appropriation previously or currently obligated to fund each contract and regardless of whether the appropriation has closed.
(b)
changed Covered contracts—Compliance requirements— Contracts covered by this section are contracts or a group of contracts between the The Secretary shall ensure that Department of Defense and a defense contractor that—contractors or subcontractors who are not described under subsection (a) are not compelled or required to comply with the conditions for contracting eligibility as stated in any acquisition regulations promulgated to implement Executive Order 13673.
(1)
removed were entered into prior to fiscal year 2000;
(2)
removed have no further supplies or services deliverables due under their terms and conditions; and
(3)
removed are determined by the Secretary of Defense to be not otherwise reconcilable because—
(A)
removed the records have been destroyed or lost; or
(B)
removed the records are available but the Secretary of Defense has determined that the time or effort required to determine the exact amount owed to the United States Government or amount owed to the contractor is disproportionate to the amount at issue.
(c)
removed Negotiated settlement authority— Any contract or contracts covered by this section may be closed out through a negotiated settlement with the contractor.
(d)
removed Waiver authority— The Secretary of Defense is authorized to waive any provision of acquisition law or regulation to carry out the authority under subsection (a).
(e)
removed Adjustment of records— In any case where the authority under this section is exercised, the cognizant payment or accounting offices may adjust and close any open finance and accounting records.
(f)
removed No liability— No liability will attach to any accounting, certifying, or payment official or contracting officer for any adjustments or closeout made pursuant to the authority provided under this section.
(g)
removed Regulations— The Secretary of Defense shall prescribe regulations for the administration of the authority under this section.
(h)
removed Notification requirement— The Secretary of Defense shall notify the congressional defense committees not later than 10 days after exercising the authority under subsection (d). The notice shall include an identification of each provision of law or regulation waived.

Sec. 829J Contract closeout authority

(a)
changed Authority— The Secretary of the Navy Defense may close out a contract or group of contracts as described in subsection (b) through the issuance of one or more modifications to existing Department of the Navy Defense contracts without completing further a reconciliation audits audit or corrective actions other than those described in this section. corrective action. To accomplish closeout of such contracts—
(1)
changed remaining contract balances may be offset with balances in other contract line items within a contract regardless of the year or type of appropriation previously or currently obligated to fund each contract line item and regardless of whether either the appropriation has closed; and
(2)
changed remaining contract balances may be offset with balances on other contracts regardless of the year or type of appropriation previously or currently obligated to find fund each contract and regardless of whether either the appropriation has closed.
(b)
changed Covered contracts— The contracts Contracts covered by this section are contracts to design, construct, repair, or support a group of contracts between the construction or repair Department of Navy submarines Defense and a defense contractor that—
(1)
changed were entered into between prior to fiscal years 1974 and 1998;year 2000;
(2)
changed have no further supply supplies or services deliverables due under their terms and conditions;conditions; and
(3)
changed for which are determined by the Secretary of the Navy has established the total final contract value; andDefense to be not otherwise reconcilable because—
(4)
removed the final allowable cost for which the Secretary of the Navy has determined may have a negative or positive unliquidated obligation balance with respect to which it would be difficult to determine the year or type of appropriation because—
(A)
renumbered was (3)(6)(2) the records have been destroyed or lost; or
(B)
added the records are available but the Secretary of Defense has determined that the time or effort required to determine the exact amount owed to the United States Government or amount owed to the contractor is disproportionate to the amount at issue.
(B)
removed the records are available but the contracting officer in collaboration with the certifying official has determined that a discrepancy is of a de minimis value such that the time and effort required to determine the cause of an out-of-balance condition is disproportionate to the amount of the discrepancy.
(c)
changed Closeout terms—Negotiated settlement authority— The Any contract or contracts identified in subsection (b) covered by this section may be closed out—out through a negotiated settlement with the contractor.
(1)
removed upon receipt of $581,803 from the contractor to be deposited into the Treasury as miscellaneous receipts;
(2)
removed without seeking further amounts from the contractor; and
(3)
removed without payment to the contractor of any amounts that may be due under any such contracts.
(d)
changed Waiver authority— The Secretary of the Navy Defense is authorized to waive any provision of acquisition law or regulation to carry out the authority under subsection (a).
(e)
Adjustment of records— In any case where the authority under this section is exercised, the cognizant payment or accounting offices may adjust and close any open finance and accounting records.
(f)
No liability— No liability will attach to any accounting, certifying, or payment official or contracting officer for any adjustments or closeout made pursuant to the authority provided under this section.
(g)
changed Notification requirement—Regulations— The Secretary of the Navy Defense shall notify prescribe regulations for the congressional defense committees not later than 10 days after exercising administration of the authority under subsection (d). The notice shall include an identification of each provision of law or regulation waived.this section.
(h)
changed Expiration of waiver authority—Notification requirement— The Secretary of Defense shall notify the congressional defense committees not later than 10 days after exercising the authority under this section subsection (d). The notice shall expire upon receipt include an identification of the funds identified in subsection (c)(1).each provision of law or regulation waived.

Sec. 829K Closeout of old Navy contracts

added
(a)
added Authority— The Secretary of the Navy may close out contracts described in subsection (b) through the issuance of one or more modifications to existing Department of the Navy contracts without completing further reconciliation audits or corrective actions other than those described in this section. To accomplish closeout of such contracts—
(1)
added remaining contract balances may be offset with balances in other contract line items within a contract regardless of the year or type of appropriation previously or currently obligated to fund each contract line item and regardless of whether either appropriation has closed; and
(2)
added remaining contract balances may be offset with balances on other contracts regardless of the year or type of appropriation previously or currently obligated to find each contract and regardless of whether either appropriation has closed.
(b)
added Covered contracts— The contracts covered by this section are contracts to design, construct, repair, or support the construction or repair of Navy submarines that—
(1)
added were entered into between fiscal years 1974 and 1998;
(2)
added have no further supply or services deliverables due under their terms and conditions;
(3)
added for which the Secretary of the Navy has established the total final contract value; and
(4)
added the final allowable cost for which the Secretary of the Navy has determined may have a negative or positive unliquidated obligation balance with respect to which it would be difficult to determine the year or type of appropriation because—
(A)
added the records have been destroyed or lost; or
(B)
added the records are available but the contracting officer in collaboration with the certifying official has determined that a discrepancy is of a de minimis value such that the time and effort required to determine the cause of an out-of-balance condition is disproportionate to the amount of the discrepancy.
(c)
added Closeout terms— The contracts identified in subsection (b) may be closed out—
(1)
added upon receipt of $581,803 from the contractor to be deposited into the Treasury as miscellaneous receipts;
(2)
added without seeking further amounts from the contractor; and
(3)
added without payment to the contractor of any amounts that may be due under any such contracts.
(d)
added Waiver authority— The Secretary of the Navy is authorized to waive any provision of acquisition law or regulation to carry out the authority under subsection (a).
(e)
added Adjustment of records— In any case where the authority under this section is exercised, the cognizant payment or accounting offices may adjust and close any open finance and accounting records.
(f)
added No liability— No liability will attach to any accounting, certifying, or payment official or contracting officer for any adjustments or closeout made pursuant to the authority provided under this section.
(g)
added Notification requirement— The Secretary of the Navy shall notify the congressional defense committees not later than 10 days after exercising the authority under subsection (d). The notice shall include an identification of each provision of law or regulation waived.
(h)
added Expiration of waiver authority— The authority under this section shall expire upon receipt of the funds identified in subsection (c)(1).

Sec. 844 B–21 bomber development program baseline and cost control

(a)
Definitions— In this section:
(1)
B–21 bomber baseline developmental contract estimate— The term B–21 Bomber Baseline Developmental Contract Estimate, with respect to the engineering and manufacturing development (EMD) phase of the B–21 bomber program, is the agreed contract price as of October 27, 2015, with the selected prime contractor for the EMD phase of the program.
(2)
B–21 bomber baseline developmental estimate— The term B–21 Bomber Baseline Developmental Estimate with respect to the EMD phase of the B–21 bomber program is the agreed Independent Cost Estimate for the EMD phase of the program that received the concurrence of the Director of Cost Assessment and Program Evaluation under the procedures of the Weapon Systems Acquisition Reform Act of 2009 (Public Law 111–23).
(3)
B–21 bomber significant developmental cost growth threshold— The term B–21 bomber significant developmental cost growth threshold means a percentage increase in the B–21 Bomber Baseline Developmental Contract Estimate of at least 15 percent.
(4)
B–21 bomber critical developmental cost growth threshold— The term B–21 bomber critical developmental cost growth threshold means a percentage increase in the B–21 bomber Baseline Developmental Contract Estimate of at least 25 percent.
(b)
B–21 Bomber Significant Developmental Cost Growth Threshold Breach— If, based upon the joint determination of the Air Force Service Acquisition Executive and the Under Secretary of Defense for Acquisition, Technology, and Logistics, the B–21 Bomber Baseline Developmental Contract Estimate has increased by a percentage equal to or greater than the B–21 bomber significant developmental cost growth threshold, the Secretary of Defense shall immediately notify Congress in writing of such determination.
(c)
B–21 Bomber Critical Developmental Cost Growth Threshold Breach—
(1)
In general— If, based upon joint determination of the Air Force Service Acquisition Executive and the Under Secretary of Defense for Acquisition, Technology, and Logistics, the B–21 Bomber Baseline Developmental Contract Estimate has increased by a percentage equal to or greater than the B–21 bomber critical developmental cost growth threshold, the Secretary of Defense shall immediately halt the program and take the actions described in paragraphs (2) through (5).
(2)
Reassessment of program— The Secretary shall determine the root cause or causes of the critical developmental cost growth and, in consultation with the Director of Cost Assessment and Program Evaluation, carry out an assessment of—
(A)
the projected cost of completing the EMD phase if current requirements are not modified;
(B)
the projected cost of completing the EMD phase based on reasonable modification of such requirements;
(C)
the rough order of magnitude of the costs of any reasonable alternative system or capability; and
(D)
the need to reduce funding for other programs due to the growth in cost of the B–21 program.
(3)
Presumption of termination—
(A)
In general— After conducting the reassessment required under paragraph (2), the Secretary shall terminate the contract and program unless the Secretary submits to Congress a written certification that—
(i)
the continuation of the contract and program is essential to the national security;
(ii)
there are no alternatives to the current contract and program which will provide acceptable capability to meet the joint military requirement (as defined in section 181(g)(1) of title 10, United States Code, at less cost;
(iii)
the new estimates of the cost to complete the contract for the EMD phase of the program have been determined by the Director of Cost Assessment and Program Evaluation to be reasonable;
(iv)
the program is a higher priority than programs the funding of which must be reduced to accommodate the growth in cost of the program; and
(v)
the management structure for the program is adequate to manage and control program acquisition unit cost or procurement unit cost.
(B)
Supporting documentation— A written certification under paragraph (A) shall be accompanied by a report presenting the root cause analysis and assessment carried out pursuant to paragraph (2) and the basis for each determination made in accordance with clauses (i) through (v) of subparagraph (A), together with supporting documentation.
(4)
Actions if program not terminated—
(A)
If the Secretary elects not to terminate the B–21 bomber EMD contract and program pursuant to paragraph (3), the Secretary shall—
(i)
restructure the program in a manner that addresses the root cause or causes of the critical cost growth, as identified pursuant to paragraph (2), and ensures that the program has an appropriate management structure as set forth in the certification submitted pursuant to paragraph (3)(A);
(ii)
rescind the most recent milestone approval for the program and withdraw any associated certification under sections 2366a and 2366b of title 10, United States Code;
(iii)
require a new milestone approval for the program before taking any contract action to enter a new contract, exercise an option under an existing contract, or otherwise extend the scope of an existing contract under the program, except to the extent determined necessary by the Secretary of Defense, on a non-delegable basis, to ensure that the program can be restructured as intended by the Secretary without unnecessarily wasting resources;
(iv)
include in the report required under paragraph (3)(B) a description of all funding changes made as a result of the growth in cost of the program, including reductions made in funding for other programs to accommodate such cost growth; and
(v)
conduct regular reviews of the program in accordance with the requirements of section 205 of the Weapon Systems Acquisition Reform Act of 2009 (Public Law 111–23; 123 Stat. 1724).
(5)
Actions if program terminated— If the B–21 bomber program is terminated pursuant to paragraph (3), the Secretary shall submit to Congress a written report setting forth—
(A)
an explanation of the reasons for terminating the program;
(B)
the alternatives considered to address any problems in the program; and
(C)
changed the course the Department of Defense plans to pursue to meet any continuing joint military requirements otherwise intended to be met by the program.program, including the modernization investments required to ensure that B–1, B–2, or B–52 aircraft can carry out the full range of long-range bomber aircraft missions anticipated in operational plans of the Armed Forces.
(d)
B–21 bomber program cost and accountability—
(1)
In general— Commencing with the first quarter of fiscal year 2017, the Secretary of the Air Force shall submit to the Comptroller General of the United States, not later than the 15th day following the end of each calendar quarter, the matrices described in paragraph (2) relating to the B–21 bomber aircraft program updated with that quarter’s information. The Comptroller General shall review the matrices for accuracy, identify cost, schedule, and performance trends, and report on its assessment to the congressional defense committees not later than the 45th day following the end of each calendar quarter.
(2)
Matrices described— The matrices described in this paragraph are the following:
(A)
Funding profiles— A matrix expressing the total cost for the Air Force service cost position for the EMD phase and low initial rate of production lots of the B–21 bomber aircraft and a matrix expressing the total cost for the prime contractor spending plan for such EMD phase and production lots, both of which shall be subdivided according to the costs of the following:
(i)
Airframe.
(ii)
Propulsion.
(iii)
Mission systems.
(iv)
Vehicle systems, including armament and weapons delivery.
(v)
Air vehicle software.
(vi)
Systems engineering.
(vii)
Program management.
(viii)
System test and evaluation.
(ix)
Support and training systems.
(x)
Contractor fee.
(xi)
Engineering changes.
(xii)
Direct mission support.
(xiii)
Government testing.
(B)
Development progress goals— A matrix detailing progress in major development elements of the B–21 bomber program subdivided according to the following:
(i)
Technology readiness levels of major components.
(ii)
Design maturity.
(iii)
Software maturity.
(iv)
Manufacturing readiness levels of key manufacturing operations.
(v)
Manufacturing operations.
(vi)
Test and verification key target dates.
(vii)
Reliability.
(e)
Transfer of funds to rapid prototyping fund—
(1)
In general— For each fiscal year beginning with fiscal year 2017, the difference between funds budgeted for the B–21 Bomber Baseline Developmental Estimate and funds budgeted for the B–21 Bomber Baseline Developmental Contract Estimate, less other government costs to manage the B–21 bomber program and not otherwise authorized or appropriated, shall be transferred to the Rapid Prototyping Fund.
(2)
Timing— For each fiscal year after fiscal year 2017, the transfer shall occur in conjunction with that fiscal year's budget submission.
(3)
Re-transfer of funds to cover certain costs— Funds may be transferred from the Rapid Prototyping Fund back to the B–21 bomber program to cover unexpected cost increases for the engineering and manufacturing phase of the B–21 bomber program upon the determination of the Under Secretary of Defense for Acquisition, Technology, and Logistics, and notification of such transfers to the congressional defense committees. This notification shall include the detailed reasons why such a transfer is needed.

Sec. 876 Nontraditional and small disruptive innovation prototyping program

(a)
In general— The Secretary of Defense shall conduct a pilot program for nontraditional contractors and small business concerns to design, develop, and demonstrate innovative prototype military platforms of significant scope for the purpose of demonstrating new capabilities that could provide alternatives to existing acquisition programs and assets. The Secretary shall establish the pilot program within the Departments of the Army, Navy, and Air Force and within the United States Special Operations Command.
(b)
Funding— There is authorized to be made available $250,000,000 out of the Rapid Prototype Fund established under section 804(d) of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 10 U.S.C. 2302 note) to carry out the pilot program.
(c)
Plan—
(1)
In general— The Secretary of Defense shall submit to the congressional defense committees, concurrent with the budget for the Department of Defense for fiscal year 2018, as submitted to Congress pursuant to section 1105 of title 31, United States Code, a plan to fund and execute the pilot program in future years.
(2)
Elements— The plan submitted under paragraph (1) shall consider maximizing use of—
(A)
Broad Agency Announcements or other merit-based selection procedures;
(B)
the Department of Defense Acquisition Challenge Program authorized under section 2359b of title 10, United States Code;
(C)
the Foreign Comparative Test Program;
(D)
projects carried out under the Rapid Innovation Program and Phase III Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) projects; and
(E)
flexible acquisition authorities under procedures developed under sections 804 and 805 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92).
(d)
changed Programs to To be included— The Secretary of Defense shall allocate up to $50,000,000 on a fixed price contractual basis for fiscal year 2017 or pursuant to the plan submitted under subsection (c) for the demonstration pursuant to the pilot program of the following capabilities:
(1)
Swarming of multiple unmanned air vehicles.
(2)
Unmanned, modular fixed-wing aircraft that can be rapidly adapted to multiple missions and serve as a fifth generation weapons augmentation platform.
(3)
Vertical take off and landing tiltrotor aircraft.
(4)
Integration of a directed energy weapon on an air, sea, or ground platform.
(5)
Swarming of multiple unmanned underwater vehicles.
(6)
Commercial small synthetic aperture radar (SAR) satellites with on-board machine learning for automated, real-time feature extraction and predictive analytics.
(7)
Active protection system to defend against rocket-propelled grenades and anti-tank missiles.
(8)
Other systems as designated by the Secretary.
(e)
Definitions— In this section:
(1)
Nontraditional contractor— The term nontraditional contractor has the meaning given the term in section 2302(9) of title 10, United States Code.
(2)
Small business concern— The term small business concern has the meaning given the term in section 3 of the Small Business Act (15 U.S.C. 632).
(f)
Sunset— The authority under this section expires at the close of September 30, 2026.

Sec. 896 Modifications to pilot program for streamlining awards for innovative technology projects

Section 873 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 10 U.S.C. 2306a note) is amended—

(1)
in subsection (a)(2), by inserting “or Small Business Technology Transfer Program” after “Small Business Innovation Research Program”;
(2)
in subsection (b)—
(A)
by inserting “subparagraphs (A), (B), and (C) of section 2313(a)(2) of title 10, United States Code, and” before “subsection (b) of section 2313”; and
(B)
in paragraph (2), by inserting “, and if such performance audit is initiated within 18 months of the contract completion” before the period at the end;
(3)
by redesignating subsections (c), (d), and (e) as subsections (f), (g), and (h), respectively; and
(4)
by inserting after subsection (b) the following new subsections:

“(c) Treatment as competitive procedures—Use of a technical, merit-based selection procedure or the Small Business Innovation Research Program or Small Business Technology Transfer Program for the pilot program under this section shall be considered to be use of competitive procedures for purposes of chapter 137 of title 10, United States Code.

changed “(d) Discretion to To use non-certified accounting systems—In executing programs under this pilot program, the Secretary of Defense shall establish procedures under which a small business or nontraditional contractor may engage an independent certified public accountant for the review and certification of its accounting system for the purposes of any audits required by regulation, unless the head of the agency determines that this is not appropriate based on past performance of the specific small business or nontraditional defense contractor, or based on analysis of other information specific to the award.

“(e) Guidance and training—The Secretary of Defense shall ensure that acquisition officials are provided guidance and training on the flexible use and tailoring of authorities under the pilot program to maximize efficiency and effectiveness.”

Sec. 899A Rapid prototyping funds for the military services

Section 804(d) of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 10 U.S.C. 2302 note) is amended—

(1)
in the subsection heading, by striking “Fund” and inserting “Funds”;
(2)
by striking “In general.—The Secretary” and inserting the following: “Department of Defense Rapid Prototyping Fund.—

“(A) In general—The Secretary”

(3)
by redesignating paragraphs (2) and (3) as subparagraphs (B) and (C), respectively, and moving such subparagraphs, as so redesignated, two ems to the right;
(4)
changed in subparagraph (B), as redesignated by paragraph (3), by striking “this subsection”and subsection” and inserting “this paragraph”; and
(5)
by inserting after paragraph (1) the following new paragraph:

“(2) Rapid prototyping funds for the military services—The Secretary of the Army, Navy, and Air Force may each establish service specific funds (and, in the case of the Secretary of Navy, including the Marine Corps) to provide funds, in addition to other funds that may be available for acquisition programs under the rapid fielding and prototyping pathways established pursuant to this section. The service specific funds shall consist of amounts appropriated to the funds.”

Sec. 901 Under Secretary of Defense for Research and Engineering and related acquisition position in the Office of the Secretary of Defense

(a)
Under Secretary of Defense for Research and Engineering—
(1)
In general— Chapter 4 of title 10, United States Code, is amended by striking section 133 and inserting the following new section 133:

“133. Under Secretary of Defense for Research and Engineering

“(a) Under Secretary of Defense

“(1) In general—There is an Under Secretary of Defense for Research and Engineering, appointed from civilian life by the President, by and with the advice and consent of the Senate.

“(2) Individuals qualified for appointment—The Under Secretary shall be appointed from among persons who have an extensive management background and experience with managing complex or advanced technological programs.

“(3) Limitation on appointment—A person may not be appointed as Under Secretary of Defense for Research and Engineering within seven years after relief from active duty as a commissioned officer of a regular component of an armed force.

“(b) Duties and powers—Subject to the authority, direction, and control of the Secretary of Defense, the Under Secretary shall perform such duties and exercise such powers as the Secretary may prescribe, including by—

“(1) serving as the chief technology officer and the chief acquisition officer of the Department of Defense with the primary mission of defense technology innovation;

“(2) overseeing, and serving as principal advisor to the Secretary on, all defense research, development, prototyping, and experimentation activities and programs, and unifying the efforts of defense laboratories and the rapid capabilities offices of the military departments;

“(3) establishing policies, and serving as principal advisor to the Secretary, for all elements of the Department of Defense relating to acquisition and the oversight of, access to, and maintenance of the defense industrial base;

“(4) overseeing the modernization of nuclear forces and the development of capabilities to counter weapons of mass destruction, and serving as the chair of the Nuclear Weapons Council;

“(5) serving as the Defense Acquisition Executive for purposes of regulations and procedures of the Department of Defense providing for a Defense Acquisition Executive; and

“(6) exercising advisory authority over national security acquisition programs of the armed forces for which the Service Acquisition Executive is the Milestone Decision Authority.

“(c) Reporting—The following officials shall report directly to the Under Secretary:

“(1) The Assistant Secretary of Defense for Acquisition Policy and Oversight.

“(2) The Assistant Secretary of Defense for Nuclear, Chemical, and Biological Defense.

“(3) The Director of the Defense Advanced Research Projects Agency.

“(4) The Director of the Missile Defense Agency.

“(5) The Director of the Strategic Capabilities Office (or any successor organization).

“(6) The Director of the Defense Threat Reduction Agency.

“(7) The Director of the Defense Acquisition University.

“(8) The head of any office or agency of the Department of Defense with the primary mission of defense technology innovation that is specified by the Secretary of Defense for purposes of this subsection.

“(d) Precedence in Department of Defense

“(1) Precedence in matters of responsibility—With regard to all matters for which the Under Secretary has responsibility by the direction of the Secretary of Defense or by law, the Under Secretary takes precedence in the Department of Defense after the Secretary and the Deputy Secretary of Defense.

“(2) Precedence in other matters—With regard to all matters other than the matters for which the Under Secretary has responsibility by the direction of the Secretary or by law, the Under Secretary takes precedence in the Department of Defense after the Secretary, the Deputy Secretary, and the Secretaries of the military departments.”

(2)
Repeal or superseded pending amendment— Effective as of the date of the enactment of this Act, subparagraph (A) of section 901(j)(2) of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3462) is repealed, and the amendment otherwise to be made by such subparagraph shall not be made or go into effect.
(b)
Repeal and redesignation of certain director positions— Chapter 4 of title 10, United States Code, is further amended—
(1)
by striking sections 139b and 139c; and
(2)
by redesignating sections 139 and 139a as sections 139a and 139b, respectively.
(c)
Repeal of certain ASD positions and establishment of Assistant Secretary of Defense for Acquisition Policy and Oversight— Chapter 4 of title 10, United States Code, is further amended—
(1)
in section 138(b)—
(A)
by striking paragraphs (6), (7), (8), and (9);
(B)
by inserting after paragraph (5) the following new paragraph (6):

“(6) One of the Assistant Secretaries shall be the Assistant Secretary of Defense for Acquisition Policy and Oversight, as provided for in section 139 of this title.”

(C)
by redesignating paragraph (10) as paragraph (7); and
(2)
by inserting after section 138, as so amended, the following new section 139:

“139. Assistant Secretary of Defense for Acquisition Policy and Oversight

“(a) Assistant Secretary of Defense

“(1) In general—There is an Assistant Secretary of Defense for Acquisition Policy and Oversight, appointed as provided in section 138(a)(2) of this title.

“(2) Individuals qualified for appointment—The Assistant Secretary shall be appointed from among persons most highly qualified for the position by reason of background and experience, including persons with an extensive management background and experience in acquisition, industrial incentives, and contracting.

“(b) Reporting—The Assistant Secretary shall report to the Under Secretary of Defense for Research and Engineering.

“(c) Duties and powers—Subject to the authority, direction, and control of the Secretary of Defense and the Under Secretary of Defense for Research and Engineering, the Assistant Secretary shall perform such duties and exercise such powers relating to defense acquisition as the Secretary and the Under Secretary may prescribe, including—

“(1) overseeing, and advising the Secretary and the Under Secretary on, matters relating to the acquisition of Department of Defense national security capabilities;

“(2) establishing acquisition policy for the Department of Defense, including development, production, procurement, testing, logistics, maintenance, contracting support, and other life-cycle considerations for all acquisition activities of the Department;

“(3) establishing policies of the Department of Defense for overseeing, accessing, and maintaining the defense industrial base of the United States and its allies, including industrial restructuring, technology release and protection, and intellectual property matters;

“(4) exercising advisory authority on behalf of the Under Secretary over national security acquisition programs of the armed forces for which the Service Acquisition Executive is the Milestone Decision Authority;

“(5) serving as the senior procurement executive for the Department of Defense for the purposes of section 1702(c) of title 41; and

“(6) exercising overall supervision of all military and civilian personnel in the Office of the Secretary of Defense, unless otherwise provided by law, with regard to matters for which the Assistant Secretary has responsibility.

“(d) Deputy Assistant Secretary of Defense for Logistics and Sustainment

“(1) In general—There is a Deputy Assistant Secretary of Defense for Logistics and Sustainment. The Deputy Assistant Secretary shall be appointed by the Secretary of Defense from among individuals who have extensive experience in military logistics, maintenance, and sustainment support.

“(2) Duties—The Deputy Assistant Secretary shall assist the Assistant Secretary by overseeing logistics, maintenance, and sustainment support for elements of the Department, including the following:

“(A) Management and sustainment of weapon systems.

“(B) Readiness and sustainment support for the combatant commands.

“(C) Sustainment and readiness of the organic industrial base.

“(D) Development, management, integration, and innovation of and within the life cycle management and supply chain of weapon systems.

“(3) Discharge of duties—Subject to the authority, direction, and control of the Assistant Secretary, in carrying out such duties, the Deputy Assistant Secretary shall work closely with the following:

changed “(A) The Under Secretary of Defense for Management and Support and the Director of the Defense Logistics AgencyAgency.

“(B) Acquisition personnel of the armed forces, the Department of Defense, and the military departments.”

(d)
Matters relating to Under Secretary of Defense for Business Management and Information—
(1)
Redesignation as Under Secretary of Defense for Management and Support— Section 132a of title 10, United States Code, is amended by striking “Under Secretary of Defense for Business Management and Information” each place it appears and inserting “Under Secretary of Defense for Management and Support”.
(2)
Enhancement of authorities— Such section is further is amended—
(A)
in subsection (c), by adding at the end the following new paragraphs:

“(7) Overseeing, supervising, and directing the activities of Defense Agencies responsible for the execution of policies and practices relating to the purchase of consumable goods, spare parts, services, and utilities, the execution of audits, contract administration, real property and installation support, procurement on behalf of other nations, and logistics, maintenance, and sustainment support for elements of the Department of Defense.

“(8) Subject to subsection (e), ensuring that audit and oversight of contractor activities are coordinated and executed in a manner to prevent duplication by different elements of the Department of Defense, and providing for coordination of the annual plans developed by each such element for the conduct of audit and oversight functions within each contracting activity.”

(B)
by striking subsection (d) and insert the following new subsections:

“(d) Reporting—The following officials shall report directly to the Under Secretary:

“(1) The Director of the Defense Logistics Agency.

“(2) The Director of the Defense Contract Management Agency.

“(3) The Director of the Defense Contract Audit Agency.

“(4) The Administrator of the Defense Technical Information Center.

“(5) The Director of the Office of Economic Adjustment.

“(6) The Director of the Defense Commissary Agency.

“(7) The Director of the Defense Finance and Accounting Service.

“(8) The Director of Washington Headquarters Services.

“(9) The Director of the Pentagon Force Protection Agency.

“(10) The head of any agency of the Department of Defense with a business management mission that is specified by the Secretary of Defense for purposes of this subsection.

“(e) Auditing and oversight of contractor activities

“(1) Consultation—In carrying out subsection (c)(8), the Under Secretary shall consult with the Inspector General of the Department of Defense.

“(2) Construction with certain other authority—Nothing in this section shall affect the authority of the Inspector General of the Department of Defense to establish audit policy for the Department of Defense under the Inspector General Act of 1978 (5 U.S.C. App.) and otherwise to carry out the functions of the Inspector General under that Act.”

(3)
Conforming amendments— The following provisions of law are each amended by striking “Under Secretary of Defense for Business Management and Information” and inserting “Under Secretary of Defense for Management and Support”;
(A)
Section 134(c) of title 10, United States Code.
(B)
Section 2222 of title 10, United States Code.
(C)
Section 5313 of title 5, United States Code
(D)
Section 901(n)(1) of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015.
(4)
Clerical amendments—
(A)
Section heading— The heading of section 132a of title 10, United States Code, is amended to read as follows:

“132a. Under Secretary of Defense for Management and Support”

(B)
Table of sections— The table of sections at the beginning of chapter 4 of such title is amended by striking the item relating to section 132a and inserting the following new item:
(5)
Effective date— The amendments made by this subsection shall take effect on February 1, 2017, immediately after the coming into effect of the amendments made by subsection (a)(1), and related provisions, of section 901 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015, to which the amendments made by this subsection relate.
(e)
Office of the Secretary of Defense Organization—
(1)
Placement of USD for Research and Engineering— Subparagraph (A) of section 131(b)(2) of title 10, United States Code, is amended to read as follows:

“(A) The Under Secretary of Defense for Research and Engineering.”

(2)
Additional conforming amendment relating to placement of later established USD for Business Management and Support— Paragraph (2) of section 901(a) of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 is amended to read as follows:

“(2) Placement in the Office of the Secretary of Defense—Effective on the effective date specified in paragraph (1), section 131(b)(2) of such title is amended—

“(A) by redesignating subparagraphs (B) through (E) as subparagraphs (C) through (F), respectively; and

changed “(B) by inserting after subparagraph (A) by the following new subparagraph (B):(B):”

removed “‘(B) The Under Secretary of Defense for Management and Support.’”

(f)
Additional clerical amendments— The table of sections at the beginning of chapter 4 of title 10, United States Code, is amended—
(1)
by striking the item relating to section 133 and inserting the following new item:
(2)
by striking the items relating to sections 139, 139a, 139b, and 139c and inserting the following new items:
(g)
Executive Schedule Level II— Section 5313 of title 5, United States Code, is amended by striking the item relating to the Under Secretary of Defense for Acquisition, Technology, and Logistics and inserting the following new item:

“Under Secretary of Defense for Research and Engineering.”

(h)
Implementation—
(1)
Commencement— Except as otherwise provided in this section, the Secretary of Defense shall commence implementation of this section and the amendments made by this section on the date of the enactment of this Act.
(2)
Nominations— Any individual nominated by the President who takes office in 2017 to a position under section 133 or 139 of title 10, United States Code (as amended by this section), shall meet the qualifications and other requirements of such position as specified in such section.
(3)
Implementation plan— Not later than March 1, 2017, the Secretary of Defense shall submit to the congressional defense committees the following:
(A)
A plan for the full implementation of this section and the amendments made by this section.
(B)
A report that describes the concerns, if any, that the Secretary has with the requirements of this section and the amendments made by this section, and recommendations for such legislative action to address such concerns as the Secretary considers appropriate.
(4)
Completion— The Secretary shall complete the implementation of this section and the amendments made by this section not later than January 20, 2018.
(i)
Incumbents—
(1)
Retention of incumbents— The incumbent in each position under a provision of law repealed or superseded by a provision of this section as of the day before the date of the enactment of this Act may, at the election of the Secretary of Defense, remain in such position after the date of the enactment of this Act in accordance with the terms of the provision so repealed or superseded as in effect on the day before the date of the enactment of this Act.
(2)
Rate of pay— The rate of pay payable under title 5, United States Code, to an incumbent covered by paragraph (1) for service in the applicable position after the date of the enactment of this Act shall be the rate of pay payable for such position under chapter 53 of title 5, United States Code, as of the day before the date of the enactment of this Act.
(j)
References—
(1)
USD for ATL— Any reference to the Under Secretary of Defense for Acquisition, Technology, and Logistics in any law, regulation, map, document, record, or other paper of the United States shall be deemed to be a reference to the Under Secretary of Defense for Research and Engineering.
(2)
ASD for Acquisition— Any reference to the Assistant Secretary of Defense for Acquisition in any law, regulation, map, document, record, or other paper of the United States shall be deemed to be a reference to a position designated by the Assistant Secretary of Defense for Acquisition Policy and Oversight.
(3)
ASD for Logistics and Materiel Readiness— Any reference to the Assistant Secretary of Defense for Logistics and Materiel Readiness in any law, regulation, map, document, record, or other paper of the United States shall be deemed to be a reference to the position designated by the Secretary for purposes of this paragraph.
(4)
ASD for Research and Engineering— Any reference to the Assistant Secretary of Defense for Research and Engineering in any law, regulation, map, document, record, or other paper of the United States shall be deemed to be a reference to the Under Secretary of Defense for Research and Engineering.
(5)
ASD for Energy, Installations, and the Environment— Any reference to the Assistant Secretary of Defense for Energy, Installations, and the Environment in any law, regulation, map, document, record, or other paper of the United States shall be deemed to be a reference to the position designated by the Secretary for purposes of this paragraph.
(k)
Report on additional conforming and other amendments— Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report setting for comprehensive recommendations for such conforming and other amendments to law as the Secretary considers appropriate in light of this section and the amendments made by this section.

Sec. 941 Organizational strategy for the Department of Defense

(a)
Organizational strategy required—
(1)
In general— Not later than July 20, 2017, the Secretary of Defense shall formulate and issue to the Department of Defense an organizational strategy for the Department that—
(A)
identifies the most important missions and other organizational outputs for the Department, including the manner in which capabilities for such missions will be generated and objectives for such outputs will be achieved;
(B)
reforms the Office of the Secretary of Defense and the manner in which it operates to support the Secretary;
(C)
improves management of relationships and processes involving the Office of the Secretary of Defense, the Joint Chiefs of Staff, the combatant commands, the military departments, and the Defense Agencies;
(D)
improves and professionalizes the supervision of the Defense Agencies; and
(E)
improves support to the President and the National Security Council in interagency processes and deliberations.
(2)
Objectives— The objectives of the strategy shall be as follows:
(A)
To enable the Department to integrate the expertise and capacities of the components of the Department for effective and efficient achievement of the missions of the Department.
(B)
To enable the Department to focus on critical missions that span multiple functional issues, to frame competing and alternative courses of action, and to make clear and effective strategic choices in a timely manner to achieve such missions.
(C)
To clarify responsibility and accountability in the decision-making processes in the Department.
(D)
To enable the Department to anticipate, adapt, and innovate rapidly to changes in the threats facing the United States, and to exploit the opportunities to counter such threats offered by technological and organizational advances.
(E)
To improve the ability of the Department to work effectively in interagency processes in order to better serve the President and the National Security Council and to better contribute to national security missions.
(F)
To achieve an organizational structure with fewer layers of management and reduced levels of staffing that performs better than the current organizational structure of the Department.
(3)
Impediments to be addressed— The strategy shall address, and seek to overcome, the following:
(A)
Sequential, hierarchical planning and decision-making processes oriented around functional bureaucratic structures that are excessively parochial, duplicative, resistant to integration, and result in unclear, consensus-based outcomes that often constrain the ability of the Department to achieve core missions effectively and efficiently.
(B)
Layering of management structures and processes that result in decisions being made by higher levels of management where the authority for cross-functional integration exists but detailed substantive expertise is often lacking or being reduced to lowest common denominator recommendations to senior leaders that suppress rather than resolve disputes across functional organizations.
(C)
Weak leadership skills and culture in the Office of the Secretary of Defense.
(D)
Misaligned incentives and a culture that rewards bureaucratic parochialism and inertia, risk avoidance, and the deferral or delay of decisions.
(4)
Causes of impediments to be eliminated— In connection with the impediments specified in paragraph (3), the strategy shall address, and seek to eliminate, the following:
(A)
A noncollaborative culture within the Department that lacks shared purpose and values.
(B)
Risk aversion arising from fear of the consequences of real or perceived failure, or from the absence of positive or negative incentives to reduce such risk aversion.
(C)
Lack of viable alternative mechanisms for achieving the integration of the functional components of the Department and for aligning expertise and decision-making authority at the most efficient levels of management.
(5)
Solutions— In connection with the impediments specified in paragraph (3) and the causes of such impediments specified in paragraph (4), the strategy shall specify, and seek to achieve, the following:
(A)
Cross-functional teams to manage the major missions and other high-priority outputs of the Department that inherently cross functional boundaries (in this section referred to as “mission teams”).
(B)
A collaborative, team-oriented, results-driven, and innovative culture within the Department that fosters an open debate of ideas and alternative courses of action.
(C)
A simplified organizational structure for the Department with reduced layers of management and increased spans of control.
(D)
Streamlined processes designed to produce improved performance in less time.
(b)
Action in support of strategy— During the period between the date of the enactment of this Act and the appointment of the Secretary of Defense first appointed in 2017, the current Secretary of Defense shall take appropriate actions to assist the individual so appointed as Secretary of Defense in the development and issuance of the organizational strategy required by subsection (a).
(c)
Mission teams—
(1)
In general— Not later than April 20, 2017, the Secretary of Defense shall identify the missions, other high-priority outputs, and important activities of the Department of Defense for which mission teams and sub-teams shall be established in the Department.
(2)
Purposes— The purposes of each mission team established pursuant to this subsection shall be as follows:
(A)
To produce comprehensive and fully integrated policies, strategies, plans, resourcing, and oversight for the mission or other priority output such team is assigned to support, drawing upon the expertise and capacities of all relevant functional components of the Department.
(B)
changed To supervise the implementation of approved strategies with respect to such mission or other ouput.output.
(3)
Directive on teams— Not later than May 20, 2017, the Secretary shall issue a directive—
(A)
on the role, authorities, reporting relationships, resourcing, manning, and operations of mission teams established pursuant to this subsection, which directive shall specify that the mission teams are decision-making organizations rather than advisory bodies; and
(B)
that provides clear direction that the leaders of functional components of the Department that provide personnel to such mission teams—
(i)
may not interfere in the activities of the mission team;
(ii)
shall instruct personnel assigned to teams to faithfully represent the views and expertise of their functional components while contributing to the best of their ability to the success of the mission team concerned; and
(iii)
shall be assessed for performance review purposes according to their support to and cooperation with mission teams interacting with their components.
(4)
Establishment— The Secretary shall establish mission teams, and any applicable subteams, to be established pursuant to this subsection as follows:
(A)
The first three teams, by not later than July 20, 2017.
(B)
The second three teams, by not later than October 20, 2017.
(C)
Any remaining teams, by not later than January 20, 2018.
(5)
Functions considered— In establishing a mission team pursuant to this subsection, the Secretary shall consider representatives from the Office of the Secretary of Defense, the Joint Staff, the military departments, and the Defense Agencies in the functional areas of policy, strategy, intelligence, budget, research and engineering, procurement and services, manpower, logistics, cost assessment and program evaluation, test and evaluation, legislative affairs, public affairs, and any other functional area the Secretary considers appropriate.
(6)
Team personnel— For each team established pursuant to this subsection, the Secretary shall—
(A)
designate as leader of such team a qualified and experienced individual in a general or flag officer grade, or a member of the Senior Executive Service, who shall report directly to the Secretary regarding the activities of such team;
(B)
delegate to the team leader designated pursuant to subparagraph (A) authority to select members of such team from among civilian employees of the Department and members of the Armed Forces in any grade recommended for membership on such team by the head of a functional component of the Department within the Office of the Secretary of Defense, the Joint Staff, and the military departments, by the commander of a combatant command, or the director of a Defense Agency;
(C)
provide that the team leader has the authority to obtain full-time support from team members, and to co-locate all members of such team, as the team leader considers appropriate;
(D)
ensure that team members are properly trained in teamwork, collaboration, conflict resolution, and appropriately represent the views of their functional components without inappropriately pursuing the interests of their functional components; and
(E)
make the team leader available to the congressional defense committees to provide periodic updates on the progress of such mission team.
(7)
Team strategies and decision-making authority—
(A)
In general— Each mission team established pursuant to this subsection shall issue a charter and strategy for such team to achieve objectives of such team specified by the Secretary, for team training, to specify metrics for evaluation of the achievement of such objectives by such team, and to specify incentives for the team and its members for the achievement of such objectives by such team. The charter and strategy shall not go into effect until approved by the Secretary.
(B)
Delegation of authority— In approving the charter and strategy of a mission team, the Secretary shall delegate to the team such decision-making authority as the Secretary considers appropriate in order to permit the team to execute the strategy. The delegation shall also specify the decision-making authority with respect to the team and the strategy that shall be retained by the Secretary.
(C)
Scope of delegation— Within the delegation provided for pursuant to subparagraph (B), the leader of a mission team shall have authority to draw upon the resources of the functional components of the Department and make decisions affecting such functional components.
(D)
Review— The head of a functional component of the Department may seek the review and modification by the Secretary of any determination pursuant to subparagraph (C) considered by the head of the functional component to have, or have the potential to have, an adverse impact on missions or capabilities of the functional component.
(8)
Review of mission teams— Not later than 120 days after the date of the appointment of the Secretary of Defense first appointed in 2017, the Secretary of Defense shall complete an analysis, with support from external experts in organizational and management sciences, of successes and failures of mission teams and determine how to apply the lessons learned from that analysis.
(d)
Collaborative culture within OSD—
(1)
Directive on purposes, values, and principles— Not later than April 20, 2017, the Secretary of Defense shall issue a directive on shared purposes, values, and principles for the operation of the Office of the Secretary of Defense that sets forth a team-oriented, results-driven culture within the Office to support missions and objectives of the Department of Defense and cross-boundary collaboration within the Department.
(2)
Directive on collaborative behavior— Not later than May 20, 2017, the Secretary shall issue a directive specifying the collaborative behavior required of personnel of the Office of the Secretary of Defense, including the prevailing behaviors that the Secretary expects to be sustained and the behaviors that the Secretary seeks to eliminate.
(3)
Directive and other actions on collaboration— Not later than July 20, 2017, the Secretary shall—
(A)
issue a directive describing the methods and means to achieve a high degree of collaboration within and between the Office of the Secretary of Defense and the Joint Staff;
(B)
require that cross-boundary collaboration constitute 50 percent of the performance review criteria for each official in such leadership positions as the Secretary shall specify, including leaders of mission teams and heads of functional components of the Department within the Office of the Secretary of Defense that provide personnel or other support to the mission teams;
(C)
for purposes of this subsection, provide for a course of instruction in leadership, modern organizational practice, collaboration, and the functioning of mission teams described in subsection (c) for personnel in the Office of the Secretary of Defense who serve in positions in the Office pursuant to an appointment by and with the advice and consent of the Senate; and
(D)
issue policy requiring successful service as leader or a member of a mission team as a condition for promotion in the Senior Executive Service above such level as the Secretary shall specify in the directive.
(e)
Streamlining of organizational structure and processes of OSD—
(1)
In general— Not later than one year after the date of the appointment of the Secretary of Defense first appointed in 2017, the Secretary of Defense shall take such actions as the Secretary considers appropriate to streamline the organizational structure and processes of the Office of the Secretary of Defense in order to increase spans of control, achieve a reduction in layers of management, eliminate unnecessary duplication between the Office and the Joint Staff, and reduce the time required to complete standard processes and activities.
(2)
Consultation and support— In carrying out this subsection, the Secretary shall consult with the Defense Business Board, and shall enter into contracts with individuals and entities outside Government with expertise in cross-functional teams, organizational science, and private-sector best practices to obtain advice regarding collaboration across functional boundaries to achieve critical organizational objectives.
(3)
Report— Not later than the date on which the Secretary commences actions under this subsection, the Secretary shall submit to the Committee on Armed Services of the Senate and the House of Representatives a report setting forth a description of the actions the Secretary proposes to take under this subsection. If legislative action is required in connection with the taking of any such action, the report shall include recommendations for such legislative action.
(f)
Training for individuals nominated for appointment for OSD positions confirmed by Senate—
(1)
In general— An individual may not be nominated to a position in the Office of the Secretary of Defense appointable by and with the advice and consent of the Senate unless the individual has successfully completed a course of instruction in leadership, modern organizational practice, collaboration, and the operation of mission teams described in subsection (c).
(2)
Waiver— The President may waive the limitation in paragraph (1) with respect to an individual if the Secretary of Defense determines in writing that the individual possesses, through training and experience, the skill and knowledge otherwise to be provided through a course of instruction as described in that paragraph.
(g)
Comptroller General of the United States assessments—
(1)
Biannual report on assessments— Not later than six months after the date of the enactment of this Act, and every six months thereafter through December 31, 2019, the Comptroller General of the United States shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report setting forth a comprehensive assessment of the actions taken under this section during the six-month period ending on the date of such report and cumulatively since the date of the enactment of this Act.
(2)
Assessment team— The Comptroller General may establish within the Government Accountability Office a team of analysts to assist the Comptroller General in the performance assessments required by this subsection.

Sec. 949 Redesignation of Assistant Secretary of the Air Force for Acquisition as Assistant Secretary of the Air Force for Acquisition, Technology, and Logistics

added
(a)
added Redesignation— Section 8016(b)(4)(A) of title 10, United States Code, is amended—
(1)
added by striking “Assistant Secretary of the Air Force for Acquisition” and inserting “Assistant Secretary of the Air Force for Acquisition, Technology, and Logistics”; and
(2)
added by inserting “, technology, and logistics” after “acquisition”.
(b)
added References— Any reference to the Assistant Secretary of the Air Force for Acquisition in any law, regulation, map, document, record, or other paper of the United States shall be deemed to be a reference to the Assistant Secretary of the Air Force for Acquisition, Technology, and Logistics.

Sec. 973 Enhanced security programs for Department of Defense personnel and innovation initiatives

(a)
Enhancement of security programs generally—
(1)
Personnel background and security investigations required— The Secretary of Defense shall take such actions as may be necessary for the Defense Security Service to conduct, before October 1, 2017, background investigations for personnel of the Department of Defense whose investigations are adjudicated by the Consolidated Adjudication Facility of the Department.
(2)
Transfer of investigative personnel to Department of Defense— Not later than October 1, 2017, the Secretary and the Director of the Office of Personnel Management shall develop and carry out a plan to transfer Government investigative personnel and contracted resources to the Department in proportion to the background and security investigative workload to be assumed by the Department.
(3)
Report— Not later than August 15, 2016, the Secretary shall submit to the congressional defense committees a report on the number of full-time equivalent employees of the management headquarters of the Department that will be required by the Defense Security Service to carry out this section.
(4)
Collection, storage, and retention of information by insider threat programs— In order to enable detection and mitigation of potential insider threats, the Secretary shall ensure that insider threat programs of the Department of Defense collect, store, and retain information from the following:
(A)
Personnel security.
(B)
Physical security.
(C)
Information security.
(D)
Law enforcement.
(E)
Counterintelligence.
(F)
User activity monitoring.
(G)
Information assurance.
(H)
Such other data sources as the Secretary considers necessary and appropriate.
(b)
changed Establishment of enhanced security program to To support Department of Defense Innovation Initiative—
(1)
In general— Not later than 180 days after the date of the enactment of this Act, the Secretary shall establish a personnel security program, and take such other actions as the Secretary deems appropriate, to support the Innovation Initiative of the Department to better leverage commercial technology.
(2)
Policies and procedures— In establishing the program required by paragraph (1), the Secretary shall develop policies and procedures to rapidly and inexpensively investigate and adjudicate security clearances for personnel from commercial companies with innovative technologies and solutions to enable such companies to receive relevant threat reporting and to propose solutions for a broader set of Department requirements.
(3)
Access to classified information— The Secretary shall ensure that access to classified information under the program required by paragraph (1) is not contingent on a company already being under contract with the Department.
(4)
Award of security clearances— The Secretary may award secret clearances under the program required by paragraph (1) for limited purposes and periods relating to the acquisition or modification of capabilities and services.
(c)
Reciprocity for sensitive national security positions—
(1)
Reciprocity directive— Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall coordinate with the Security Executive Agent, in consultation with the Suitability Executive Agent, to issue an updated reciprocity directive that accounts for security policy changes associated with new position designation regulations under section 1400 of title 5, Code of Federal Regulations, new continuous evaluation policies, and new Federal investigative standards.
(2)
Implementation directives— The Secretary of Defense, working with the Security Executive Agent and the Suitability Executive Agent, shall jointly develop and issue directives on—
(A)
completing the implementation of the National Security Sensitive Position designations required by section 1400 of title 5, Code of Federal Regulations; and
(B)
aligning to the maximum practical extent the investigative and adjudicative standards and criteria for positions requiring access to classified information and national security sensitive positions not requiring access to classified information to ensure effective and efficient reciprocity and consistent designation of like-positions across the Federal Government.
(d)
Insider threat defined— In this section, the term insider threat means, with respect to the Department, a threat presented by a person who—
(1)
has, or once had, authorized access to information, a facility, a network, a person, or a resource of the Department; and
(2)
wittingly, or unwittingly, commits—
(A)
an act in contravention of law or policy that resulted in, or might result in, harm through the loss or degradation of government or company information, resources, or capabilities; or
(B)
a destructive act, which may include physical harm to another in the workplace.

Sec. 1006 Codification and modification of authority to provide support for counter-drug activities and activities to counter transnational organized crime of civilian law enforcement agencies

(a)
Codification and modification—
(1)
In general— Chapter 18 of title 10, United States Code, is amended by adding at the end the following new section:

“384. Support for counter-drug activities and activities to counter transnational organized crime

“(a) Support to other agencies—The Secretary of Defense may provide support for the counter-drug activities or activities to counter transnational organized crime of any other department or agency of the Federal Government or of any State, local, tribal, or foreign law enforcement agency for any of the purposes set forth in subsection (b) or (c), as applicable, if—

“(1) in the case of support described in subsection (b), such support is requested—

“(A) by the official who has responsibility for the counterdrug activities or activities to counter transnational organized crime of the department or agency of the Federal Government, in the case of support for other departments or agencies of the Federal Government; or

“(B) by the appropriate official of a State, local, or tribal government, in the case of support for State, local, or tribal law enforcement agencies; or

changed “(2) in the case of support described in subsection (c), such support is requested by an appropriate official of a department or agency of the Federal Government that has counter-drug responsibilities or responsibilities for countering transnational organized crimecrime.

“(b) Types of support for agencies of United States—The purposes for which the Secretary may provide support under subsection (a) for other departments or agencies of the Federal Government or a State, local, or tribal law enforcement agencies, are the following:

“(1) The maintenance and repair of equipment that has been made available to any department or agency of the Federal Government or to any State, local, or tribal government by the Department of Defense for the purposes of—

“(A) preserving the potential future utility of such equipment for the Department of Defense; and

“(B) upgrading such equipment to ensure compatibility of that equipment with other equipment used by the Department.

“(2) The maintenance, repair, or upgrading of equipment (including computer software), other than equipment referred to in paragraph (1) for the purpose of—

“(A) ensuring that the equipment being maintained or repaired is compatible with equipment used by the Department of Defense; and

“(B) upgrading such equipment to ensure the compatibility of that equipment with equipment used by the Department.

“(3) The transportation of personnel of the United States and foreign countries (including per diem expenses associated with such transportation), and the transportation of supplies and equipment, for the purpose of facilitating counter-drug activities or activities to counter transnational organized crime within or outside the United States.

“(4) The establishment (including an unspecified minor military construction project) and operation of bases of operations or training facilities for the purpose of facilitating counter-drug activities or activities to counter transnational organized crime of the Department of Defense or any Federal, State, local, or tribal law enforcement agency within or outside the United States.

“(5) Counter-drug or counter-transnational organized crime related training of law enforcement personnel of the Federal Government, of State, local, and tribal governments, including associated support expenses for trainees and the provision of materials necessary to carry out such training.

“(6) The detection, monitoring, and communication of the movement of—

“(A) air and sea traffic within 25 miles of and outside the geographic boundaries of the United States; and

“(B) surface traffic outside the geographic boundary of the United States and within the United States not to exceed 25 miles of the boundary if the initial detection occurred outside of the boundary.

“(7) Construction of roads and fences and installation of lighting to block drug smuggling corridors across international boundaries of the United States.

“(8) Establishment of command, control, communications, and computer networks for improved integration of law enforcement, active military, and National Guard activities.

“(9) The provision of linguist and intelligence analysis services.

“(10) Aerial and ground reconnaissance.

“(c) Types of support for foreign law enforcement agencies—The purposes for which the Secretary may provide support under subsection (a) for foreign law enforcement agencies are the following:

“(1) The transportation of personnel of the United States and foreign countries (including per diem expenses associated with such transportation), and the transportation of supplies and equipment, for the purpose of facilitating counter-drug activities or activities to counter transnational organized crime within or outside the United States.

“(2) The establishment (including an unspecified minor military construction project) and operation of bases of operations or training facilities for the purpose of facilitating counter-drug activities or activities to counter transnational organized crime of a foreign law enforcement agency outside the United States.

“(d) Limitation on counter-drug requirements—The Secretary may not limit the requirements for which support may be provided under subsection (a) only to critical, emergent, or unanticipated requirements.

“(e) Contract authority—In carrying out subsection (a), the Secretary may acquire services or equipment by contract for support provided under that subsection if the Department of Defense would normally acquire such services or equipment by contract for the purpose of conducting a similar activity for the Department.

“(f) Limited waiver of prohibition—Notwithstanding section 376 of this title, the Secretary may provide support pursuant to subsection (a) in any case in which the Secretary determines that the provision of such support would adversely affect the military preparedness of the United States in the short term if the Secretary determines that the importance of providing such support outweighs such short-term adverse effect.

changed “(g) Conduct of training or operation to To aid civilian agencies—In providing support pursuant to subsection (a), the Secretary may plan and execute otherwise valid military training or operations (including training exercises undertaken pursuant to section 1206(a) of the National Defense Authorization Act for Fiscal Years 1990 and 1991 (Public Law 101–189; 103 Stat. 1564) for the purpose of aiding civilian law enforcement agencies.

“(h) Relationship to other support authorities

“(1) Additional authority—The authority provided in this section for the support of counter-drug activities or activities to counter transnational organized crime by the Department of Defense is in addition to, and except as provided in paragraph (2), not subject to the other requirements of this chapter.

“(2) Exception—Support under this section shall be subject to the provisions of section 375 and, except as provided in subsection (e), section 376 of this title.

“(i) Congressional notification of facilities projects

“(1) In general—When a decision is made to carry out a military construction project described in paragraph (2), the Secretary shall submit to the congressional defense committees written notice of the decision, including the justification for the project and the estimated cost of the project. The project may be commenced only after the end of the 21-day period beginning on the date on which the written notice is received by Congress.

“(2) Covered projects—Paragraph (1) applies to an unspecified minor military construction project that—

“(A) is intended for the construction, modification, or repair of any facility for the purposes set forth in subsection (b)(4) or (c)(2); and

“(B) has an estimated cost of more than $250,000.

“(3) Construction of notice requirement—This subsection may not be construed as an authorization for the use of funds for any military construction project that would exceed the approved cost limitations of an unspecified minor military construction project under section 2805(a)(2) of this title.

“(j) Definitions—In this section:

“(1) The term Indian tribe means a Federally recognized Indian tribe.

“(2) The term tribal government means the governing body of an Indian tribe, the status of whose land is “Indian country” as defined in section 1151 of title 18 or held in trust by the United States for the benefit of the Indian tribe.

“(3) The term tribal law enforcement agency means the law enforcement agency of a tribal government.

“(4) The term transnational organized crime means self-perpetuating associations of individuals who operate transnationally for the purpose of obtaining power, influence, monetary, or commercial gains, wholly or in part by illegal means, while protecting their activities through a pattern of corruption or violence or through a transnational organization structure and the exploitation of transnational commerce or communication mechanisms.”

(2)
Clerical amendment— The table of sections at the beginning of chapter 18 of such title is amended by adding at the end the following new item:
(b)
Repeal of superseded authority— Section 1004 of the National Defense Authorization Act for Fiscal Year 1991 (10 U.S.C. 374 note) is repealed.

Sec. 1011 Availability of funds for retirement or inactivation of cruisers or dock landing ships

(a)
Limitation on availability of funds— Except as provided in subsections (b) through (g), none of the funds authorized to be appropriated by this Act or otherwise made available for fiscal year 2017 may be obligated or expended to retire, prepare to retire, or inactivate a TICONDEROGA–class cruiser, WHIDBEY ISLAND–class dock landing ship, or HARPERS FERRY–class dock landing ship.
(b)
Certification of requirement for operational cruisers and dock landing ships— The Chief of Naval Operations shall certify to the congressional defense committees the Navy requirement for operational cruisers and dock landing ships, as provided under subsection (d)(1), from fiscal year 2017 through fiscal year 2030. The certification shall also state the requirement for basic (BMD 3.X), intermediate (BMD 4.X), and advanced (BMD 5.X) ballistic missile defense capability on operational cruisers from fiscal year 2017 through fiscal year 2030.
(c)
changed Ship modernization, operations, and sustainment fund (smosf)—(SMOSF)— Funds within the Ship Modernization, Operations, and Sustainment Fund (SMOSF) shall only be used for 11 TICONDEROGA-class cruisers (CG–63 through CG–73) and 3 WHIDBEY ISLAND-class dock landing ships (LSD–41, LSD–42, and LSD–46).
(d)
Phased modernization— The Secretary of the Navy shall retain the current inventory of 22 TICONDEROGA-class cruisers and 12 WHIDBEY ISLAND- or HARPERS FERRY-class dock landing ships until the end of their service lives, as follows:
(1)
Operational forces— Through fiscal year 2030, the Navy shall maintain not less than the Chief of Naval Operations’ requirement for operational cruisers certified under subsection (b) or 11 operational cruisers, whichever is greater. The Navy shall maintain no less than the Chief of Naval Operations’ requirement for dock landing ships certified under subsection (b) or 9 operational dock landing ships, whichever is greater.
(2)
Phased modernization— The Navy is authorized to conduct phased modernization of not more than 11 cruisers and 3 dock landing ships. During the phased modernization period, the Navy may reduce manning on these ships to the minimal level necessary to ensure safety and security of the ship and to retain critical skills. Only the ships listed in subsection (c) may undergo phased modernization. Ships undergoing phased modernization shall comply with subsection (e).
(3)
Transition from phased modernization to operational forces— Each of the cruisers described under paragraph (1) may be decommissioned at the end of its service life concurrent with being replaced by a cruiser that completes phased modernization pursuant to paragraph (2). After being reintroduced into the operational fleet, each of the cruisers modernized pursuant to paragraph (2) may be decommissioned upon reaching its expected service life.
(4)
Availability for worldwide deployment— For purposes of this subsection, an operational cruiser or dock landing ship is available for worldwide deployment other than during routine or scheduled maintenance or repair.
(e)
Requirements and limitations on phased modernization—
(1)
In general— During the period of phased modernization authorized under subsection (d), the Secretary of the Navy shall—
(A)
continue to maintain the ships in a manner that will ensure the ability of the ships to re-enter the operational fleet in accordance with paragraph (3) of such subsection;
(B)
conduct planning activities to ensure scheduled and deferred maintenance and modernization work items are identified and included in maintenance availability work packages;
(C)
conduct hull, mechanical, and electrical (HM&E) and combat system modernization necessary to achieve a service life of 40 years;
(D)
conduct basic (BMD 3.X), intermediate (BMD 4.X), and advanced (BMD 5.X) ballistic missile defense capability upgrades to meet or exceed the Chief of Naval Operations’ requirement certified under subsection (b); and
(E)
complete maintenance and modernization of the cruisers, including required testing and crew training, to allow for a one-for-one replacement of operational cruisers in accordance with subsection (d)(3).
(2)
Restricted activities— During the period of phased modernization authorized under subsection (d), the Secretary of the Navy may not—
(A)
permit removal or cannibalization of equipment or systems, unless planned for full replacement or upgrade during phased modernization, other than equipment or systems explicitly identified as—
(i)
rotatable pool equipment; or
(ii)
necessary to support urgent operational requirements approved by the Secretary of Defense;
(B)
make any irreversible modifications that will prohibit the ship from re-entering the operational fleet;
(C)
through fiscal year 2030, reduce the quantity of operational cruisers below the number certified to be required by the Chief of Naval Operations under subsection (b) or 11 operational cruisers, whichever is greater;
(D)
through fiscal year 2030, reduce the quantity of operational dock landing ships below the number certified to be required by the Chief of Naval Operations under subsection (b) or 9 operational dock landing ships, whichever is greater; and
(E)
through fiscal year 2030, reduce the basic, intermediate, or advanced ballistic missile defense capability on operational cruisers below the quantities certified to be required by the Chief of Naval Operations under subsection (b).
(f)
Report required— The Secretary of the Navy shall submit to the congressional defense committees an annual report on the status of the phased modernization program. This report shall accompany the budget of the President submitted to Congress under section 1105(a) of title 31, United States Code. The report shall include, with respect to the ships undergoing phased modernization pursuant to subsection (d)(2), the following information:
(1)
The status of modernization efforts, by vessel, including availability schedules, equipment procurement schedules, and annual funding requirements from the fiscal year of induction into the phased modernization program through the fiscal year of planned re-entry into the operational fleet.
(2)
Each vessel’s current readiness, operational, and manning status.
(3)
An assessment of each vessel’s current materiel condition.
(4)
A list of rotatable pool equipment that is identified across the classes of cruisers and dock landing ships as necessary to support operations on a continuing basis.
(5)
A list of equipment, other than rotatable pool equipment, removed from each vessel, including a justification for the removal, the disposition of the equipment, and plan for restoration of the equipment.
(6)
A list of planned obligations and expenditures, by vessel, for the fiscal year of the budget of the President submitted to Congress.
(g)
Notification required— The Secretary of the Navy shall notify the congressional defense committees in writing 30 days prior to executing any deviations to the plans provided pursuant to paragraphs (1) and (6) of subsection (f) of the most recent report required under such subsection.

Sec. 1022A Prohibition on reprogramming requests for funds for transfer or release, or construction for transfer or release, of individuals detained at United States Naval Station, Guantanamo Bay, Cuba

added

added While the prohibitions in sections 1031 and 1032 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 129 Stat. 968) are in effect, the Department of Defense may not submit to Congress a reprogramming request for funds to carry out any action prohibited by either such section.

Sec. 1023 Designing and planning related to construction of certain facilities in the United States

(a)
changed Designing and planning authorized— Notwithstanding any provision of law limiting the use of funds for the construction or modification of facilities in the United States or its territories or possessions to house individuals detained at Guantanamo, the Secretary of Defense may use amounts authorized to be appropriated or otherwise made available for the Department of Defense for designing and planning related to the construction or modification of such facilitiesfacilities.
(b)
Individual detained at Guantanamo defined— In this section, the term individual detained at Guantanamo means an individual located at United States Naval Station, Guantanamo Bay, Cuba, as of October 1, 2009, who—
(1)
is not a national of the United States (as defined in section 101(a)(22) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(22)) or a member of the Armed Forces of the United States; and
(2)
is—
(A)
in the custody or under the control of the Department of Defense; or
(B)
otherwise detained at United States Naval Station, Guantanamo Bay.

Sec. 1025 Authority for article III judges to take certain actions relating to individuals detained at United States Naval Station, Guantanamo Bay, Cuba

(a)
Use of video teleconferencing— A judge of a United States District Court shall have jurisdiction to take any of the following actions by video teleconferencing with respect to an individual detained at Guantanamo:
(1)
Arraign the individual for a charge under the laws of the United States.
(2)
Accept a plea to a charge under the laws of the United States.
(3)
Enter a judgment of conviction and sentence the individual for a charge upon which the individual is convicted as a result of such a plea.
(b)
Venue— A judge of a United States District Court may act by video teleconferencing under subsection (a) only where such District Court maintains venue concerning the offense alleged.
(c)
changed Transfer to To serve sentence of imprisonment— The Attorney General may transfer to a foreign country an offender who is convicted of an offense by reason of a plea entered into as described in subsection (a) and who is under a sentence of imprisonment resulting from such conviction. Any such transfer shall be made for the purpose of the offender serving the sentence imposed on him, and shall be made under chapter 306 of title 18, United States Code, without regard to the provisions of section 4107 and subsections (a) and (b) of section 4100 of that title.
(d)
Definitions— In this section:
(1)
The term individual detained at Guantanamo means any individual located at United States Naval Station, Guantanamo Bay, Cuba, as of October 1, 2009, who—
(A)
is not a national of the United States (as defined in section 101(a)(22) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(22)) or a member of the Armed Forces of the United States; and
(B)
is—
(i)
in the custody or under the control of the Department of Defense; or
(ii)
otherwise under detention at United States Naval Station, Guantanamo Bay.
(2)
The terms imprisonment, offender, sentence, and transfer have the meanings given those terms in section 4101 of title 18, United States Code.

Sec. 1048 Modification of requirements relating to management of military technicians

(a)
changed Conversion of certain military technician (dual status) (Dual Status) positions— Subsection (a) of section 1053 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 129 Stat. 981; 10 U.S.C. 10216 note) is amended—
(1)
by striking paragraph (1) and inserting the following new paragraph (1):

“(1) In general—By not later than October 1, 2017, the Secretary of Defense shall convert not fewer than 20 percent of all military technician positions to positions filled by individuals who are employed under section 3101 of title 5, United States Code, or section 1601 of title 10, United States Code, or serving under section 328 of title 32, United States Code, and are not military technicians. The positions to be converted are described in paragraph (2).”

(2)
in paragraph (2), by striking “the report” and all that follows and inserting “by the Army Reserve, the Air Force Reserve, the National Guard Bureau, and the State adjutants general in the course of reviewing all military technician positions for purposes of implementing this section.”; and
(3)
in paragraph (3), by striking “may fill” and inserting “shall fill”.
(b)
Conversion of Army Reserve, Air Force Reserve, and National Guard Non-dual status positions— Subsection (e) of section 10217 of title 10, United States Code, is amended is amended to read as follows:

“(e) Conversion of positions

“(1) No individual may be newly hired or employed, or rehired or reemployed, as a non-dual status technician for purposes of this section after September 30, 2017.

“(2) On October 1, 2017, the Secretary of Defense shall convert all non-dual status technicians to positions filled by individuals who are employed under section 3101 of title 5 or section 1601 of this title and are not military technicians.

“(3) In the case of a position converted under paragraph (2) for which there is an incumbent employee on October 1, 2017, the Secretary shall fill that position, as converted, with the incumbent employee without regard to any requirement concerning competition or competitive hiring procedures.

“(4) Any individual newly hired or employed, or rehired or employed, to a position required to be filled by reason of paragraph (1) shall an individual employed in such position under section 3101 of title 5 or section 1601 of this title.”

(c)
Report on conversion of military technician positions to personnel performing active Guard and Reserve duty—
(1)
In general— Not later than March 1, 2017, the Secretary of Defense, shall in consultation with the Chief of the National Guard Bureau, submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the feasibility and advisability of converting any remaining military technicians (dual status) to personnel performing active Guard and Reserve duty under section 328 of title 32, United States Code, or other applicable provisions of law. The report shall include the following:
(A)
An analysis of the fully-burdened costs of the conversion taking into account the new modernized military retirement system.
(B)
changed An assessment of the ratio of members of the Armed Forces performing active Guard and Reserve duty and civilian employees of the Department of Defense under title 5, United States Code, required to best contribute to the readiness of the Reserves and of the National Guard for its Federalized and the Reserves.non-Federalized missions.
(2)
Active Guard and Reserve duty defined— In this subsection, the term active Guard and Reserve duty has the meaning given that term in section 101(d)(6) of title 10, United States Code.

Sec. 1053 Modification of authority to transfer Department of Defense property for law enforcement activities

(a)
Restatement and modification of current authority for transfer for State and local law enforcement activities— Section 2576a of title 10, United States Code, is amended by adding at the end the following new subsections:

“(g) Determination of eligible defense items

“(1) Controlled defense items eligible for treatment

“(A) In general—Subject to the provisions of this paragraph, the controlled defense items that may be treated as eligible defense items for purposes of this section shall include items that—

“(i) can be readily put to civilian use by State and local law enforcement agencies; and

“(ii) are suitable for transfer to State and local law enforcement agencies pursuant to this section.

changed “(B) Initial eligible defense items—The controlled defense items to be treated as eligible defense items for purposes of this section as of the date of the enactment of the National Defense Authorization Act for Fisacl Fiscal Year 2017 are the following:

“(i) Camouflage uniforms and clothing.

“(ii) Fixed wing manned aircraft.

“(iii) Rotary wing manned aircraft.

“(iv) Unmanned aerial vehicles.

“(v) Wheeled armored vehicles.

“(vi) Wheeled tactical vehicles.

“(vii) Specialized firearms and ammunition under .50-caliber.

“(viii) Explosives and pyrotechnics, including explosive breaching tools.

“(ix) Breathing apparatus.

“(x) Riot batons.

“(C) List of controlled defense items treatable as eligible defense items—The Secretary of Defense shall, acting through the Director of the Defense Logistics Agency and in consultation with the Working Group established by Executive Order 13688, maintain, and periodically update, a list of controlled defense items that are currently appropriate for treatment as eligible defense items for purposes of this section. The list shall be established and maintained in accordance with the regulations for purposes of this section under subsection (g).

“(2) Controlled defense items not eligible for treatment

“(A) In general—A controlled defense item may not be treated as an eligible defense item for purposes of this section if—

“(i) the item is made exclusively for the military; and

“(ii) the item, or a substantially similar item, cannot be purchased by State or local law enforcement agencies in the private sector even after the item is demilitarized.

“(B) Initial prohibited items—Unless and until determined otherwise by the Secretary for purposes of this section, the controlled defense items that may not be treated as eligible defense items for purposes of this section are the following:

“(i) Tracked armored vehicles.

“(ii) Weaponized aircraft, vessels, and vehicles of any kind.

“(iii) Firearms of .50-caliber or higher.

“(iv) Ammunition of .50-caliber or higher.

“(v) Grenades, flash bang grenades, grenade launchers, and grenade launcher attachments.

“(vi) Bayonets.

“(vii) Mine Resistant Ambush Protected (MRAP) vehicle.

“(viii) Tasers developed primarily for use by the military.

“(C) List of controlled items not treatable as eligible defense items—The Secretary shall, acting through the Director and in consultation with the Working Group referred to in paragraph (1)(C), maintain, and periodically update, a list of controlled defense items that are currently prohibited from treatment as eligible defense items for purposes of this section. The list shall be established and maintained in accordance with the regulations for purposes of this section under subsection (g).

“(3) Return of items not treated as eligible defense items not immediately required

“(A) Return of initial prohibited items not generally required—The regulations for purposes of this section shall provide that a law enforcement agency in possession on the date of the enactment of the National Defense Authorization Act for Fiscal Year 2017 of a controlled defense item that is not eligible for treatment as an eligible defense item pursuant to paragraph (2)(B) shall not be required to return such item to the Department pursuant to Executive Order 13688.

“(B) Return of items subsequently treated as not eligible not required—The regulations for purposes of this section shall provide that a law enforcement agency in possession of a controlled defense item that is no longer eligible for treatment as an eligible defense item pursuant to paragraph (2)(C) shall not be required to return such item to the Department pursuant to Executive Order 13688.

“(C) Construction—Nothing in this section shall be construed to require a law enforcement agency, pursuant to Executive Order 13688, to return to the Department equipment obtained from the Federal Government, or obtained using Federal funds, if such equipment was obtained by the agency in a manner consistent with all applicable laws and regulations.

“(D) No transfer of ownership—Nothing in this section shall be construed as a transfer of ownership of any equipment obtained from the Federal Government pursuant to this section.

“(h) Prohibition on requirement for timely use of transferred items—The regulations for purposes of this section may not require the use of an eligible defense item transferred under this section within one year of the receipt of the item by the State or local law enforcement agency concerned.

“(i) Notice on requests for transfers to State and local officials

“(1) In general—Except as provided in paragraph (2), a State or local law enforcement agency may not request transfer of an eligible defense item under this section, including pursuant to interagency transfer under subsection (t), unless the law enforcement agency has provided notice of the request to the head and legislative body of the State or political subdivision of a State of which the law enforcement agency is an agency.

“(2) Exception

“(A) Items for undercover operations—A State or local law enforcement agency requesting transfer of an eligible defense item is not required to comply with paragraph (1) if the item requested is for an active undercover operation.

“(B) Alternative notice requirement—A State or local law enforcement agency receiving an item under this section pursuant to a request covered by subparagraph (A) shall notify the head and legislative body of the State or political subdivision of a State of which the law enforcement agency is an agency of the request not later than 10 business days after the operation concerned becomes an open record.

“(j) Training requirements

“(1) Minimum training requirements for law enforcement officers

“(A) In general—On and after the date that is three years after the date of the enactment of the National Defense Authorization Act for Fiscal Year 2017, eligible defense items may not be transferred to a State or local law enforcement agency of a State under this section unless the Governor of the State (or the designee of the Governor) certifies to the Director of the Defense Logistics Agency that the State has in place minimum training requirements for all sworn law enforcement officers in the State, including—

“(i) a requirement that anyone that has decisionmaking authority on the deployment of a SWAT team attends the National Tactical Officers Association unit commanders course or an equivalent within one year of commencing the exercise of such authority;

“(ii) specialized leadership training requirements for unit commanders who have—

“(I) decisionmaking authority on the deployment of SWAT teams and tactical military vehicles; or

“(II) responsibility for drafting policies on the use of force and SWAT team deployment;

“(iii) annual specialized SWAT team training requirements for all SWAT team members, including in law enforcement tactics used in tactical operations;

“(iv) annual training requirements for all law enforcement officers that are members of specialized tactical units other than SWAT teams (including high-risk warrant service teams, hostage rescue teams, and drug enforcement task forces);

“(v) annual training on the general policing standards of the law enforcement agency on equipment such as eligible defense items;

“(vi) annual training on sensitivity, including training on ethnic and racial bias, cultural diversity, and police interaction with the disabled, mentally ill, and new immigrants;

“(vii) annual training in crowd control tactics for any officers that may be called upon to participate in crowd control efforts; and

“(viii) such other training as recommended by the evaluation conducted pursuant to section 1051(d) of the National Defense Authorization Act for Fiscal Year 2016.

“(B) Satisfaction by recent hirees—The requirements under subparagraph (A) shall provide for the first completion of the training concerned by an individual who becomes an officer in a law enforcement agency by not later than one year after the date on which the individual becomes an officer in the law enforcement agency.

“(C) Record-keeping—Each law enforcement agency to which eligible defense items are transferred pursuant to this section shall retain training records of each office authorized to use such items, either in the personnel file of the officer or by the training division or equivalent entity of the agency, for not less than three years after the date on which the training occurs, and shall provide a copy of such records to the Director upon request.

“(k) Suspension and termination

“(1) For lost or stolen items—In the event an offensive weapon or ordnance transferred to a State or local law enforcement agency under this section is lost, stolen, or misappropriated, the Director of the Defense Logistics Agency, after providing the law enforcement agency with notice and the opportunity to contest the allegation, shall suspend the law enforcement agency from eligibility for receipt of items under this section for a period of six months.

“(2) Intentional falsification of information—In the event a State or local law enforcement agency is determined by the Director (or the designee of the Director) to have intentionally falsified any information in requesting or applying for items under this section, the Director, after providing the law enforcement agency with notice and the opportunity to contest the determination, shall terminate the law enforcement agency from eligibility for receipt of items under this section until such time as the head of the law enforcement agency is replaced.

“(l) Construction with other DLA authority—Nothing in this section shall be construed to override, alter, or supersede the authority of the Director of the Defense Logistics Agency to dispose of property of the Department of Defense that is not a controlled defense item to law enforcement agencies under another provision of law.

“(m) Definitions—In this section:

“(1) The term bayonet means a large knife designed to be attached to the muzzle of a rifle, shotgun, or long gun for the purposes of hand-to-hand combat.

“(2) The term breaching apparatus means a tool designed to provide law enforcement rapid entry into a building or through a secured doorway, including battering rams or similar entry devices, ballistic devices, and explosive devices.

“(3) The term controlled defense item means property of the Department of Defense that is subject to the restriction of the United States Munitions List (22 Code of Federal Regulations Part 121) or the Commerce Control List (15 Code of Federal Regulations Part 774).

“(4) The term eligible defense item means a controlled defense item that is eligible for transfer to a law enforcement agency pursuant to this section.

“(5) The term fixed wing manned aircraft means a powered aircraft with a crew aboard, such as airplanes, that uses a fixed wing for lift.

“(6) The term grenade launcher means a firearm or firearm accessory designed to launch small explosive projectiles.

“(7) The term riot baton means a nonexpandable baton of greater length than service-issued types that are intended to protect its wielder during melees by providing distance from assailants. The term does not include a service-issued telescopic or fixed length straight baton.

“(8) The term specialized firearm and ammunition under .50 caliber means a weapon and corresponding ammunition for specialized operations or assignments. The term does not include service-issued handguns, rifles, or shotguns that are issued or approved by an agency to be used during the course of regularly assigned duties.

“(9) The term State Coordinator means an individual appointed by the Governor of a State—

“(A) to manage requests of State and local law enforcement agencies of the State for eligible defense items; and

“(B) to ensure the appropriate use of eligible defense items transferred under this section by such law enforcement agencies.

“(10) The term State or local law enforcement agency means a State or local agency or entity with law enforcement officers that have arrest and apprehension authority and whose primary function is to enforce the laws. The term includes a local educational agency with such officers. The term does not include a firefighting agency or entity.

“(11) The term SWAT team means a Special Weapons and Tactics team or other specialized tactical team composed of State or local sworn law enforcement officers.

“(12) The term tactical military vehicle means an armored vehicle having military characteristics resulting from military research and development processes that is designed primarily for use by forces in the field in direct connection with, or support of, combat or tactical operations.

“(13) The term tracked armored vehicle means a vehicle that provides ballistic protection to their occupants and utilizes a tracked system instead of wheels for forward motion.

“(14) The term unmanned aerial vehicle means a remotely piloted, powered aircraft without a crew aboard.

“(15) The term wheeled armored vehicle means any wheeled vehicle either purpose-built or modified to provide ballistic protection to its occupants, such as a Mine Resistant Ambush Protected (MRAP) vehicle of an Armored Personnel Carrier.

“(16) The term wheeled tactical vehicle means a vehicle purpose-built to operate onroad and offroad in support of military operations, such as a HMMWV (“Humvee”), 2.5ton truck, 5ton truck, or a vehicle with a breaching or entry apparatus attached.”

(b)
In general— Chapter 153 of title 10, United States Code, is amended by inserting after section 2576b the following new section:

“2576c. Excess property: priority in transfer to other Federal agencies of property also transferrable to State and local agencies

“(a) In general—In transferring excess property of the Department of Defense under authorities specified in subsection (b) that authorize the transfer of such property to both other Federal agencies and State and local agencies, the Secretary of Defense shall afford a priority to other Federal agencies in the transfer of any property that is not a controlled defense item.

“(b) Authorities—The authorities specified in this subsection are the following:

“(1) The authority to transfer personal property for law enforcement activities under section 2576a of this title.

“(2) The authority to transfer personal property to assist firefighting activities under section 2576b of this title.

“(3) The authority to transfer documents, artifacts, and other materiel under section 2572 of this title.

“(4) The authority to transfer nonlethal supplies for homeless and humanitarian relief under section 2557 of this title.

“(5) The authority to make foreign military sales under the Arms Export Control Act (22 U.S.C. 2751 et seq.).

“(6) The authority to transfer research equipment under section 11(i) of the Stevenson-Wydler Technology Innovation Act of 1980 (15 U.S.C. 3710(i)).

“(7) Such other authorities relating to transfer of property of the Department as the Secretary designates for purposes of this section.”

(c)
Clerical amendment— The table of sections at the beginning of chapter 153 of such title is amended by inserting after the item relating to section 2576b the following new item:

Sec. 1067 National Commission on Military, National, and Public Service

(a)
Establishment— There is established in the executive branch an independent commission to be known as the National Commission on Military, National, and Public Service (in this subtitle referred to as the “Commission”). The Commission shall be considered an independent establishment of the Federal Government as defined by section 104 of title 5, United States Code, and a temporary organization under section 3161 of such title.
(b)
Membership—
(1)
Number and appointment— The Commission shall be composed of 11 members appointed as follows:
(A)
The President shall appoint three members.
(B)
The Majority Leader of the Senate shall appoint one member.
(C)
The Minority Leader of the Senate shall appoint one member.
(D)
The Speaker of the House of Representatives shall appoint one member.
(E)
The Minority Leader of the House of Representatives shall appoint one member.
(F)
The Chairman of the Committee on Armed Services of the Senate shall appoint one member.
(G)
The Ranking Member of the Committee on Armed Services of the Senate shall appoint one member.
(H)
The Chairman of the Committee on Armed Services of the House of Representatives shall appoint one member.
(I)
The Ranking Member of the Committee on Armed Services of the House of Representatives shall appoint one member.
(2)
Deadline for appointment— Members shall be appointed to the Commission under paragraph (1) not later than 90 days after the Commission establishment date.
(3)
Effect of lack of appointment by appointment date— If one or more appointments under subparagraph (A) of paragraph (1) is not made by the appointment date specified in paragraph (2), the authority to make such appointment or appointments shall expire, and the number of members of the Commission shall be reduced by the number equal to the number of appointments so not made. If an appointment under subparagraph (B), (C), (D), (E), (F), (G), (H), or (I) of paragraph (1) is not made by the appointment date specified in paragraph (2), the authority to make an appointment under such subparagraph shall expire, and the number of members of the Commission shall be reduced by the number equal to the number otherwise appointable under such subparagraph.
(c)
Chair and Vice Chair— The Commission shall elect a Chair and Vice Chair from amount its members.
(d)
Terms— Members shall be appointed for the life of the Commission. A vacancy in the Commission shall not affect its powers, and shall be filled in the same manner as the original appointment was made.
(e)
Status as Federal employees— Notwithstanding the requirements of section 2105 of title 5, United States Code, including the required supervision under subsection (a)(3) of such section, the members of the Commission shall be deemed to be Federal employees.
(f)
Pay for members of the commission—
(1)
In general— Each member, other than the Chair, of the Commission shall be paid at a rate equal to the daily equivalent of the annual rate of basic pay payable for level IV of the Executive Schedule under section 5315 of title 5, United States Code, for each day (including travel time) during which the member is engaged in the actual performance of duties vested in the Commission.
(2)
Chair— The Chair of the Commission shall be paid at a rate equal to the daily equivalent of the annual rate of basic pay payable for level III of the Executive Schedule under section 5314, of title 5, United States Code, for each day (including travel time) during which the member is engaged in the actual performance of duties vested in the Commission.
(g)
Use of government information— The Commission may secure directly from any department or agency of the Federal Government such information as the Commission considers necessary to carry out its duties. Upon such request of the Chair of the Commission, the head of such department or agency shall furnish such information to the Commission.
(h)
Postal services— The Commission may use the United States mails in the same manner and under the same conditions as departments and agencies of the United States.
(i)
changed Authority to To accept gifts— The Commission may accept, use, and dispose of gifts or donations of services, goods, and property from non-Federal entities for the purposes of aiding and facilitating the work of the Commission. The authority in this subsection does not extend to gifts of money.
(j)
Personal services—
(1)
Authority to procure— The Commission may—
(A)
procure the services of experts or consultants (or of organizations of experts or consultants) in accordance with the provisions of section 3109 of title 5, United States Code; and
(B)
pay in connection with such services travel expenses of individuals, including transportation and per diem in lieu of subsistence, while such individuals are traveling from their homes or places of business to duty stations.
(2)
Limitation— The total number of experts or consultants procured pursuant to paragraph (1) may not exceed five experts or consultants.
(3)
Maximum daily pay rates— The daily rate paid an expert or consultant procured pursuant to paragraph (1) may not exceed the daily rate paid a person occupying a position at level IV of the Executive Schedule under section 5315 of title 5, United States Code.

Sec. 1076 Annual reports on unfunded priorities of the Armed Forces and the combatant commands

(a)
Annual reports required—
(1)
In general— Chapter 9 of title 10, United States Code, is amended by inserting after section 222 the following new section:

“222a. Unfunded priorities of the armed forces and combatant commands: annual report

“(a) Annual report—Not later than 25 days after the date on which the budget of the President for a fiscal year is submitted to Congress pursuant to section 1105 of title 31, each officer specified in subsection (b) shall submit to the Secretary of Defense and the Chairman of the Joint Chiefs of Staff, and to the congressional defense committees, a report on the current unfunded priorities of the armed force or forces or combatant command under the jurisdiction or command of such officer.

“(b) Officers—The officers specified in this subsection are the following:

“(1) The Chief of Staff of the Army.

“(2) The Chief of Naval Operations.

“(3) The Chief of Staff of the Air Force.

“(4) The Commandant of the Marine Corps.

“(5) The commanders of the geographic combatant commands and the commanders of the functional combatant commands.

“(c) Elements

“(1) In general—Each report under this subsection shall specify, for each unfunded priority covered by such report, the following:

“(A) A summary description of such priority, including the objectives to be achieved if such priority is funded (whether in whole or in part).

“(B) The additional funds required to fully fund such priority.

“(C) Account information with respect to such priority, including the following (as applicable):

“(i) Line Item Number (LIN) for applicable procurement accounts.

“(ii) Program Element (PE) number for applicable research, development, test, and evaluation accounts.

“(iii) Sub-activity group (SAG) for applicable operation and maintenance accounts.

“(2) Prioritization of priorities—Each report shall present the unfunded priorities covered by such report in order of urgency of priority.

changed “(d) Unfunded priority defined—in defined—In this section, the term unfunded priority, in the case of a fiscal year, means a program, activity, or mission requirement that—

“(1) is not funded in the budget of the President for the fiscal year as submitted to Congress pursuant to section 1105 of title 31;

“(2) is necessary to fulfill a requirement associated with an operational or contingency plan of a combatant command or other validated global force requirement; and

“(3) would have been recommended for funding through the budget referred to in paragraph (1) by the officer submitting the report required by subsection (a) in connection with the budget if—

“(A) additional resources been available for the budget to fund the program, activity, or mission requirement; or

“(B) the program, activity, or mission requirement had emerged before the budget was so submitted.”

(2)
Clerical amendment— The table of sections at the beginning of chapter 9 of such title is amended by inserting after the item relating to section 222 the following new item:
(b)
Repeal of superseded provision— Section 1003 of the National Defense Authorization Act for Fiscal Year 2013 (Public Law 113–239; 126 Stat. 1903) is repealed.

Sec. 1080 Reports on programs managed under alternative compensatory control measures in the Department of Defense

(a)
In general— Chapter 2 of title 10, United States Code, is amended by adding at the end the following new section:

“119a. Programs managed under alternative compensatory control measures: congressional oversight

changed “(a) Annual report on current programs under accmsAACMS

“(1) In general—Not later than March 1 each year, the Secretary of Defense shall submit to the congressional defense committees a report on the programs being managed under alternative compensatory control measures in the Department of Defense.

“(2) Elements—Each report under paragraph (1) shall set forth the following:

“(A) The total amount requested for programs being managed under alternative compensatory control measures in the Department in the budget of the President under section 1105 of title 31 for the fiscal year beginning in the fiscal year in which such report is submitted.

“(B) For each program in that budget that is a program being managed under alternative compensatory control measures in the Department—

“(i) a brief description of the program;

“(ii) a brief discussion of the major milestones established for the program;

“(iii) the actual cost of the program for each fiscal year during which the program has been conducted before the fiscal year during which that budget is submitted; and

“(iv) the estimated total cost of the program and the estimated cost of the program for—

“(I) the current fiscal year;

“(II) the fiscal year for which that budget is submitted; and

“(III) each of the four succeeding fiscal years during which the program is expected to be conducted.

“(3) Elements on programs covered by multiyear budgeting—In the case of a report under paragraph (1) submitted in a year during which the budget of the President for the fiscal year concerned does not, because of multiyear budgeting for the Department, include a full budget request for the Department, the report required by paragraph (1) shall set forth—

“(A) the total amount already appropriated for the next fiscal year for programs being managed under alternative compensatory control measures in the Department, and any additional amount requested in that budget for such programs for such fiscal year; and

“(B) for each program that is a program being managed under alternative compensatory control measures in the Department, the information specified in paragraph (2)(B).

changed “(b) Annual report on new programs under accmsAACMS

“(1) In general—Not later than February 1 each year, the Secretary shall submit to the congressional defense committees a report that, with respect to each new program being managed under alternative compensatory control measures in the Department, provides—

“(A) notice of the designation of the program as a program being managed under alternative compensatory control measures in the Department; and

“(B) a justification for such designation.

“(2) Additional elements—A report under paragraph (1) with respect to a program shall include—

“(A) the current estimate of the total program cost for the program; and

“(B) an identification of existing programs or technologies that are similar to the technology, or that have a mission similar to the mission, of the program that is the subject of the report.

“(3) New program being managed under alternative compensatory control measures defined—In this subsection, the term new program being managed under alternative compensatory control measures means a program in the Department that has not previously been covered by a report under this subsection.

“(c) Report on change in classification or declassification of programs

“(1) In general—Whenever a change in the classification of a program being managed under alternative compensatory control measures in the Department is planned to be made, or whenever classified information concerning a program being managed under alternative compensatory control measures in the Department is to be declassified and made public, the Secretary shall submit to the congressional defense committees a report containing a description of the proposed change, the reasons for the proposed change, and notice of any public announcement planned to be made with respect to the proposed change.

“(2) Deadline for report—Except as provided in paragraph (3), a report required by paragraph (1) shall be submitted not less than 14 days before the date on which the proposed change or public announcement concerned is to occur.

“(3) Exception—If the Secretary determines that because of exceptional circumstances the requirement in paragraph (2) cannot be met with respect to a proposed change or public announcement concerning a program covered by paragraph (1), the Secretary may submit the report required by that paragraph regarding the proposed change or public announcement at any time before the proposed change or public announcement is made, and shall include in the report an explanation of the exceptional circumstances.

“(d) Modification of criteria or policy for designating programs under accms—Whenever there is a modification or termination of the policy or criteria used for designating a program as a program being managed under alternative compensatory control measures in the Department, the Secretary shall promptly notify the congressional defense committees of such modification or termination. Any such notification shall contain the reasons for the modification or termination and, in the case of a modification, the provisions of the policy or criteria as modified.

“(e) Waiver

“(1) In general—The Secretary may waive any requirement in subsection (a), (b), or (c) that certain information be included in a report under such subsection if the Secretary determines that inclusion of that information in the report would adversely affect the national security. Any such waiver shall be made on a case-by-case basis.

“(2) Notice to Congress—If the Secretary exercises the authority in paragraph (1), the Secretary shall provide the information described in the applicable subsection with respect to the program concerned, and the justification for the waiver, jointly to the chairman and ranking minority member of each of the congressional defense committees.

“(f) Limitation on initiation of programs under accms

“(1) Notice and wait—Except as provided in paragraph (2), a program to be managed under alternative compensatory control measures in the Department may not be initiated until—

“(A) the congressional defense committees are notified of the program; and

“(B) a period of 30 days elapses after such notification is received.

“(2) Exception—If the Secretary determines that waiting for the regular notification process before initiating a program as described in paragraph (1) would cause exceptionally grave damage to the national security, the Secretary may begin a program to be managed under alternative compensatory control measures in the Department before such waiting period elapses. The Secretary shall notify the congressional defense committees within 10 days of initiating a program under this paragraph, including a justification for the determination of the Secretary that waiting for the regular notification process would cause exceptionally grave damage to the national security.”

(b)
Clerical amendment— The table of sections at the beginning of chapter 2 of such title is amended by adding at the end the following new item:

Sec. 1085 Report on priorities for bed downs, basing criteria, and special mission units for C–130J aircraft of the Air Force

added
(a)
added Sense of Senate— It is the sense of the Senate that—
(1)
added the Air Force Reserve Command contributes unique capabilities to the total force, including all the weather reconnaissance and aerial spray capabilities, and 25 percent of the Modular Airborne Firefighting System capabilities, of the Air Force; and
(2)
added special mission units of the Air Force Reserve Command currently operate aging aircraft, which jeopardizes future mission readiness and operational capabilities.
(b)
added Report on priorities for C–130J bed downs, basing criteria, and special mission units— Not later than February 1, 2017, the Secretary of the Air Force shall submit to the congressional defense committees a report on the following:
(1)
added The overall prioritization scheme of the Air Force for future C–130J aircraft unit bed downs.
(2)
added The strategic basing criteria of the Air Force for C–130J aircraft unit conversions.
(3)
added The unit conversion priorities for special mission units of the Air Force Reserve Command, the Air National Guard, and the regular Air Force, and the manner which considerations such as age of airframes factor into such priorities.
(4)
added Such other information relating to C–130J aircraft unit conversions and bed downs as the Secretary considers appropriate.

Sec. 1095 Sense of Congress regarding the OCONUS basing of the KC–46A aircraft

(a)
changed Finding— Congress finds that the Department of Defense is continuing its process of permanently stationing the KC-46A KC–46A aircraft at installations in the Continental United States (in this section referred to as “CONUS”) and forward-basing outside the Continental United States (in this section referred to as “OCONUS”).
(b)
Sense of Congress— It is the sense of Congress that the Secretary of the Air Force, as part of the strategic basing process for the KC–46A aircraft, should continue to place emphasis on and consider the benefits derived from outside the continental United States (OCONUS) locations that—
(1)
support day-to-day air refueling operations, combatant commander operations plans, and flexibility for contingency ops, and have—
(A)
a strategic location that is essential to the defense of the United States and its interests;
(B)
receivers for boom or probe-and-drogue training opportunities with joint and international partners; and
(C)
sufficient airfield and airspace availability and capacity to meet requirements; and
(2)
possess facilities that—
(A)
take full advantage of existing infrastructure to provide—
(i)
runway, hangars, and aircrew and maintenance operations; and
(ii)
sufficient fuels receipt, storage, and distribution for 5-day peacetime operating stock; and
(B)
minimize overall construction and operational costs.

Sec. 1097 Project management

added
(a)
added Deputy Director for Management—
(1)
added Additional functions— Section 503 of title 31, United States Code, is amended by adding at the end the following:

added “(c) Program and project management

added “(1) Requirement—Subject to the direction and approval of the Director, the Deputy Director for Management or a designee shall—

added “(A) adopt governmentwide standards, policies, and guidelines for program and project management for executive agencies;

added “(B) oversee implementation of program and project management for the standards, policies, and guidelines established under subparagraph (A);

added “(C) chair the Program Management Policy Council established under section 1126(b);

added “(D) establish standards and policies for executive agencies, consistent with widely accepted standards for program and project management planning and delivery;

added “(E) engage with the private sector to identify best practices in program and project management that would improve Federal program and project management;

added “(F) conduct portfolio reviews to address programs identified as high risk by the Government Accountability Office;

added “(G) not less than annually, conduct portfolio reviews of agency programs in coordination with Project Management Improvement Officers designated under section 1126(a)(1) to assess the quality and effectiveness of program management; and

added “(H) establish a 5-year strategic plan for program and project management.

added “(2) Application to Department of Defense—Paragraph (1) shall not apply to the Department of Defense to the extent that the provisions of that paragraph are substantially similar to or duplicative of the provisions of chapter 87 of title 10.”

(2)
added Deadline for standards, policies, and guidelines— Not later than 1 year after the date of enactment of this Act, the Deputy Director for Management of the Office of Management and Budget shall issue the standards, policies, and guidelines required under section 503(c) of title 31, United States Code, as added by paragraph (1).
(3)
added Regulations— Not later than 90 days after the date on which the standards, policies, and guidelines are issued under paragraph (2), the Deputy Director for Management of the Office of Management and Budget, in consultation with the Program Management Policy Council established under section 1126(b) of title 31, United States Code, as added by subsection (b)(1), and the Director of the Office of Management and Budget, shall issue any regulations as are necessary to implement the requirements of section 503(c) of title 31, United States Code, as added by paragraph (1).
(b)
added Program Management Improvement Officers and Program Management Policy Council—
(1)
added Amendment— Chapter 11 of title 31, United States Code, is amended by adding at the end the following:

added “1126. Program Management Improvement Officers and Program Management Policy Council

added “(a) Program Management Improvement Officers

added “(1) Designation—The head of each agency described in section 901(b) shall designate a senior executive of the agency as the Program Management Improvement Officer of the agency.

added “(2) Functions—The Program Management Improvement Officer of an agency designated under paragraph (1) shall—

added “(A) implement program management policies established by the agency under section 503(c); and

added “(B) develop a strategy for enhancing the role of program managers within the agency that includes the following:

added “(i) Enhanced training and educational opportunities for program managers that shall include—

added “(I) training in the relevant competencies encompassed with program and project manager within the private sector for program managers; and

added “(II) training that emphasizes cost containment for large projects and programs.

added “(ii) Mentoring of current and future program managers by experienced senior executives and program managers within the agency.

added “(iii) Improved career paths and career opportunities for program managers.

added “(iv) A plan to encourage the recruitment and retention of highly qualified individuals to serve as program managers.

added “(v) Improved means of collecting and disseminating best practices and lessons learned to enhance program management across the agency.

added “(vi) Common templates and tools to support improved data gathering and analysis for program management and oversight purposes.

added “(3) Application to Department of Defense—This subsection shall not apply to the Department of Defense to the extent that the provisions of this subsection are substantially similar to or duplicative of the provisions of chapter 87 of title 10.

added “(b) Program Management Policy Council

added “(1) Establishment—There is established in the Office of Management and Budget a council to be known as the “Program Management Policy Council” (in this subsection referred to as the “Council”).

added “(2) Purpose and Functions—The Council shall act as the principal interagency forum for improving agency practices related to program and project management. The Council shall—

added “(A) advise and assist the Deputy Director for Management of the Office of Management and Budget;

added “(B) review programs identified as high risk by the General Accountability Office and make recommendations for actions to be taken by the Deputy Director for Management of the Office of Management and Budget or a designee;

added “(C) discuss topics of importance to the workforce, including—

added “(i) career development and workforce development needs;

added “(ii) policy to support continuous improvement in program and project management; and

added “(iii) major challenges across agencies in managing programs;

added “(D) advise on the development and applicability of standards governmentwide for program management transparency; and

added “(E) review the information published on the website of the Office of Management and Budget pursuant to section 1122.

added “(3) Membership

added “(A) Composition—The Council shall be composed of the following members:

added “(i) Five members from the Office of Management and Budget as follows:

added “(I) The Deputy Director for Management.

added “(II) The Administrator of the Office of Electronic Government.

added “(III) The Administrator of Federal Procurement Policy.

added “(IV) The Controller of the Office of Federal Financial Management.

added “(V) The Director of the Office of Performance and Personnel Management.

added “(ii) The Program Management Improvement Officer from each agency described in section 901(b).

added “(iii) Other individuals as determined appropriate by the Chairperson.

added “(B) Chairperson and Vice Chairperson

added “(i) In General—The Deputy Director for Management of the Office of Management and Budget shall be the Chairperson of the Council. A Vice Chairperson shall be elected by the members and shall serve a term of not more than 1 year.

added “(ii) Duties—The Chairperson shall preside at the meetings of the Council, determine the agenda of the Council, direct the work of the Council, and establish and direct subgroups of the Council as appropriate.

added “(4) Meetings—The Council shall meet not less than twice per fiscal year and may meet at the call of the Chairperson or a majority of the members of the Council.

added “(5) Support—The head of each agency with a Project Management Improvement Officer serving on the Council shall provide administrative support to the Council, as appropriate, at the request of the Chairperson.

added “(6) Committee duration—Section 14(a)(2) of the Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to the Council.”

(2)
added Report required— Not later than 1 year after the date of enactment of this Act, the Director of the Office of Management and Budget, in consultation with each Program Management Improvement Officer designated under section 1126(a)(1) of title 31, United States Code, shall submit to Congress a report containing the strategy developed under section 1126(a)(2)(B) of such title, as added by paragraph (1).
(c)
added Program and project management personnel standards—
(1)
added Definition— In this subsection, the term agency means each agency described in section 901(b) of title 31, United States Code.
(2)
added Regulations required— Not later than 180 days after the date on which the standards, policies, and guidelines are issued under section 503(c) of title 31, United States Code, as added by subsection (a)(1), the Director of the Office of Personnel Management, in consultation with the Director of the Office of Management and Budget, shall issue regulations that—
(A)
added identify key skills and competencies needed for a program and project manager in an agency;
(B)
added establish a new job series, or update and improve an existing job series, for program and project management within an agency; and
(C)
added establish a new career path for program and project managers within an agency.
(d)
added GAO report on effectiveness of policies on program and project management— Not later than 3 years after the date of enactment of this Act, the Government Accountability Office shall issue, in conjunction with the High Risk list of the Government Accountability Office, a report examining the effectiveness of the following on improving Federal program and project management:
(1)
added The standards, policies, and guidelines for program and project management issued under section 503(c) of title 31, United States Code, as added by subsection (a)(1).
(2)
added The 5-year strategic plan established under section 503(c)(1)(H) of title 31, United States Code, as added by subsection (a)(1).
(3)
added Program Management Improvement Officers designated under section 1126(a)(1) of title 31, United States Code, as added by subsection (b)(1).
(4)
added The Program Management Policy Council established under section 1126(b)(1) of title 31, United States Code, as added by subsection (b)(1).

Sec. 1104 Personnel authorities related to the defense acquisition workforce

(a)
Replacement for acquisition demonstration program— Chapter 87 of title 10, United States Code, is amended by inserting after section 1762 the following new section.

“1763. Special system of personnel authorities related to the acquisition workforce

“(a) Authority—The Secretary of Defense may establish, and from time to time adjust, a special system of personnel programs under the authorities provided by this section for employees in the acquisition workforce of the Department of Defense and supporting personnel assigned to work directly with the acquisition workforce.

“(b) Covered employees

“(1) In general—The Secretary of Defense may determine which employees who meet the requirements in subparagraphs (A) and (B) of subsection (k)(1) are covered by system established under this section, subject to the requirements in subsection (i).

“(2) Notice and wait of coverage of categories of employees—A determination by the Secretary under paragraph (1) to cover a category of employees under a system established under this section may not take effect until—

“(A) a general notice of the proposed coverage is provided to affected employees; and

“(B) a period of 30 days has elapsed from the date of the notice, during which those employees (for their representatives) shall be provided an opportunity to provide comments.

“(c) Classification and rates of basic pay—The Secretary of Defense may determine classification and fix rates of basic pay for covered employees without regard to chapter 51 and subchapter III of chapter 53 of title 5, subject to the following requirements:

“(1) Broadband or classification levels under the system shall be linked to specific levels of the General Schedule and associated minimum and maximum rates of basic pay.

“(2) Rates of basic pay fixed under this subsection may not exceed the maximum rate of basic pay for a position at GS–15 of the General Schedule under section 5332 of title 5, except for a retained rate established under section 3594 or 5363 of such title.

“(3) Covered employees shall receive locality-based comparability payments under section 5304 of title 5 on the same basis as if they were in a General Schedule position, with rates of basic pay fixed under this subsection treated as scheduled rates of basic pay.

“(4) A covered employee shall be treated as if the covered employee is in a General Schedule position for the purposes of determining eligibility under the following provisions of title 5:

changed “(A) The pay retention provisions in sections 5363-5366.5363–5366.

“(B) Section 5545(d) (relating to eligibility for hazardous duty differentials).

changed “(C) Sections 5753-5755 5753–5755 (relating to recruitment, relocation, and retention bonuses, and supervisory differentials).

“(D) Section 5941 (relating to allowances based on living costs and environmental conditions for employees stationed in parts of the United States outside the continental United States or Alaska).

“(d) Performance management appraisals and adverse actions—In applying the provisions of chapter 43 (relating to performance appraisal), chapter 45 (relating to incentive awards), and chapter 75 (relating to adverse actions) of title 5 to a covered employee, the Secretary of Defense—

“(1) shall exclude from the provisions in chapters 43 and 75 dealing with a reduction in grade any reduction in broadband or classification level under the system established under this section, if such reduction in broadband or classification level is the result of a covered employee's rate of basic pay falling below the minimum rate of basic pay for the level to which the covered employee is assigned (because the covered employee did not receive the full amount of an increase in the rate of basic pay based on inadequate performance or contributions); and

“(2) may provide awards that are integrated within the system of providing performance-based or contribution-based salary adjustments without regard to the limitations on awards in subsections (a) and (b) of section 4502.

changed “(e) Authority to To waive certain provisions of law—In applying the provisions of chapter 31 (relating to employment), chapter 33 (relating to examination, selection, and placement, chapter 43 (relating to performance appraisals), chapter 71, and chapter 75 of title 5 to a covered employee, the Secretary of Defense may act without regard to the following provisions:

“(1) Section 3111 (relating to acceptance of volunteer service), to the extent necessary to allow volunteer service under the provisions of a voluntary emeritus program established by the Secretary for covered employees.

“(2) Section 3308 (relating to examination for the competitive service), to the extent necessary to accommodate the requirement for a college degree appointment as part of a scholastic achievement program established by the Secretary for covered employees.

“(3) Section 3317(a) (relating to competitive service registers) and section 3318(a) (relating to competitive service selection).

“(4) Subchapter I of chapter 33 (other than sections 3303 and 3328), to the extent necessary to structure streamlined external recruitment and appointment programs that afford the swiftest and best access to qualified candidates for direct appointment to positions covered by this chapter.

“(5) Section 3341(b) (relating to details within executive or military departments).

“(6) Section 4304(b) (relating to OPM review of agency performance appraisal systems).

“(7) Sections 7105(a)(2)(E), 7114, and 7116, to the extent those provisions are inconsistent with this section or would prohibit the Department or a labor organization from unilaterally terminating negotiations over whether the system will apply to employees represented by a labor organization or would allow for review of such a termination.

“(8) Section 7119 (relating to negotiation impasses and the Federal Service Impasses Panel), to the extent it gives the Federal Service Impasses Panel jurisdiction to resolve impasses referred to it by either party or both parties during or after implementation of the system.

“(9) Section 7512(4) (relating to adverse actions), to the extent necessary to exclude a conversion from a General Schedule position for which a special rate of pay is in effect under section 5305, or similar provision of law, to a rate of pay under the system that does not result in a reduction in the covered employee's total rate of pay.

“(f) Status of certain volunteers—A volunteer under a voluntary emeritus program established by the Secretary of Defense for covered employees shall be considered to be an employee of the Federal Government for the purposes specified in section 1588(d) of this title.

changed “(g) Authority to To waive certain opm regulations—The Secretary of Defense may waive application of regulations of the Office of Personnel Management to a system established under this section to the same extent that such regulations were waived for the demonstration project that applied to certain employees in the Department of Defense acquisition workforce under section 1762 of this title as of the day before the date of the enactment of this section.

“(h) Regulations—The Secretary of Defense shall prescribe regulations to carry out the system of personnel programs established under this section.

“(i) Labor organizations

“(1) In general—An employee within a unit with respect to which a labor organization is accorded exclusive recognition under chapter 71 of title 5 shall not be covered by a system established under this section unless the labor organization and the Department of Defense have entered into a written agreement covering participation in such system.

“(2) New units for labor organization representation—If a labor organization is accorded exclusive recognition for a newly recognized unit that includes employees who are designated as covered employees before being included in an appropriate unit under section 7112 of title 5, the labor organization has the right to determine that affected employees (including vacant positions) will be removed from such system and placed under the system that would otherwise apply, under applicable law and regulation. If a labor organization notifies the Secretary of Defense in writing of its determination to remove such an employee (or vacant position) from a system established under this section, the removal may not take effect earlier than 6 months after the date of the receipt by the Secretary of the written notification, unless there is an agreement by the labor organization and the Secretary for an earlier date.

“(3) Limitation on scope of negotiations—For purposes of section 7117(a)(1) of title 5, the duty to bargain in good faith with a labor organization regarding a matter arising under a system established under this section shall not extend to any matter relating to the establishment of rates of pay or any other matter which is the subject of any regulation of the Secretary regarding the system in the same manner as if the regulation were a Government-wide regulation.

“(4) Limitation on appeals—Section 7117(c) of title 5 does not apply to a determination by the Secretary that a matter is the subject of regulations prescribed under this section by the Secretary.

“(j) Status of employees moving out of system—An employee who, while continuously employed, moves from a position as a covered employee to a General Schedule position—

“(1) shall be treated as if the employee were in a General Schedule position immediately before such movement for the purpose of applying the promotion provision in section 5334(b) of such title; and

“(2) shall be converted to an equivalent level of the General Schedule and rate of basic pay immediately before such movement, under regulations prescribed by the Director of the Office of Personnel Management, for the purpose of applying paragraph (1).

“(k) Definitions—In this section:

“(1) The term covered employee means an employee who—

“(A) is—

“(i) in the acquisition workforce of the Department of Defense; or

“(ii) is a supporting employee assigned to work directly with the acquisition workforce;

“(B) would be in a General Schedule position, except for the exercise of the authority under this section; and

“(C) is designated by the Secretary of Defense to be covered under a system established under this section in accordance with subsection (b).

“(2) The term General Schedule position means a position to which subchapter III of chapter 53 of title 5 applies.”

(b)
Repeal of ACQDemo statue— Section 1762 of such title is repealed.
(c)
Clerical amendment— The table of sections at the beginning of subchapter V of chapter 87 of such title is amended by striking the item relating to section 1762 and inserting the following new item:
(d)
Transition provisions—
(1)
Continuity of ACQDemo system— The system established under the demonstration project authority under section 1762 of title 10, United States Code, as in effect on the day before the date of the enactment of this Act, shall be considered a system established under section 1763 of title 10, United States Code, as added by subsection (a).
(2)
Continuity of ACQDemo regulations— The demonstration project plan published in the Federal Register under section 1762 of title, United States Code, for the Department of Defense acquisition workforce, as in effect on the day before the date of the enactment of this Act, shall be considered to be a regulation prescribed by the Secretary of Defense under subsection (h) of section 1763 of title 10, United States Code, as so added. The provisions of such plan related to the conversion of employees back to the General Schedule pay system shall not apply, except as necessary to allow for possible application of the General Schedule promotion rule in section 5334(b) of title 5, United States Code, pending the issuance of regulation under subsection (j)(2) of section 1763, as so added.
(3)
Continuity of covered employees— The categories of employees covered on the day before the day of the enactment of this Act by the demonstration project referred to in paragraph (1) shall be covered by a system established by the Secretary under section 1763 of title 10, United States Code, as so added, without regard to subsection (b) of that section.
(e)
Effective date— This section and the amendments made by this section shall take effect on the first day of the first month beginning more than 60 days after the date of the enactment of this Act.

Sec. 1111 Pilot programs on career sabbaticals for Department of Defense civilian employees

(a)
Pilot programs authorized—
(1)
In general— Each Secretary of a military department may carry out one or more pilot programs under which civilian employees of the Department of Defense under the jurisdiction of such Secretary are permitted periods of recess of not more than one year from full-time employment by the Department in order to meet personal, familial, or professional needs and return to their full-time civilian employment by the Department at the end of such periods of recess without loss of civil service status or privilege.
(2)
Purpose— The purpose of the pilot programs is to assess whether permitting periods of recess from civilian employment for civilian employees of the Department provides an effective means of enhancing retention of civilian employees of the Department and the capacity of the Department to respond to the personal, familial, and professional needs of individual members of its civilian workforce.
(b)
Ineligible employees— A civilian employee of the Department is not eligible to participate in a pilot program under this section during any period of service required of the employee—
(1)
during the initial probationary period before the appointment of the employee in the competitive service becomes final; or
(2)
in connection with any recruitment, retention, or relocation bonus, incentive payment, or other additional payment for employment received by the employee pursuant to a provision of title 5 or 10, United States Code, or any other provision of law.
(c)
Participation—
(1)
In general— Civilian employees of a military department shall be selected for participation in pilot programs of the military department under this section by the Secretary of the military department in accordance with such procedures as the Secretary of Defense shall establish for purposes of the pilot programs.
(2)
Limitation on number of participants— Not more than 300 civilian employees of each military department may be selected during each of calendar years 2017 through 2022 to participate in pilot programs under this section.
(d)
Period of recess from civilian employment—
(1)
Period or recess— The period of recess from civilian employment by the Department under a pilot program under this section of an employee participating in the pilot program shall be such period as the Secretary of the military department concerned shall specify in the agreement of the employee under subsection (e), except that such period may not exceed one year.
(2)
Period not creditable toward retirement benefits— Any period of recess of a civilian employee of the Department under a pilot program shall not count as creditable service for purposes of chapter 83 or 84 of title 5, United States Code.
(3)
Continuation of enrollment in health benefits plans— A civilian employee of the Department who undertakes a period of recess from full-time employment under a pilot program shall, at the election of the employee, be treated as an employee in nonpay status during such period of recess for purposes of section 890.303(e) of title 5, Code of Federal Regulations (relating to continuation in enrollment in Federal health benefits plans), as such section is in effect on December 15, 2015, for purposes of the eligibility of the employee and any dependents of the employee for enrollment in a Federal health benefits plan.
(4)
Continuation of life insurance— A civilian employee of the Department who undertakes a period of recess from full-time employment under a pilot program shall be treated as an employee in nonpay status during such period of recess for purposes of continuation of life insurance under the Federal Employees' Group Life Insurance Program without requirement for employee premium payments under section 870.508(a) of title 5, Code of Federal Regulations, or agency premium payments under section 870.404(c) of title 5, Code of Federal Regulations, as such sections are in effect on December 31, 2015.
(e)
Agreement—
(1)
In general— Each civilian employee of the Department who participates in a pilot program under this section shall enter into a written agreement with the Secretary of the military department concerned under which agreement such employee shall agree as follows:
(A)
To undergo during each period of the recess of such employee from full-time employment by the Department under the pilot program such skills training as the Secretary shall require in order to ensure that such employee retains proficiency, at a level determined by the Secretary to be sufficient, in such employee’s professional qualifications and certifications.
(B)
Following completion of a period of the recess of such civilian employee under the pilot program, to serve two months as a civilian employee of the Department on a full-time basis for each month of such period of the recess of such employee under the pilot program.
(2)
Notice on obligated service— Each employee entering into an agreement under this subsection for purposes of a pilot program shall be notified at the time of entry into the agreement of the obligated service required of the employee as a result of a period of recess from full-time employment by the Department under the pilot program pursuant to paragraph (1)(B).
(f)
Terms and conditions of release for period of recess— A civilian employee of the Department who participates in a pilot program under this section shall be eligible for periods of release from full-time employment by the Department under the pilot program in accordance with such terms and conditions as are specified in the agreement of the employee under subsection (e). Such terms and conditions shall conform to guidelines issued by the Secretary of Defense for purposes of the pilot programs under this section.
(g)
Involuntary return to full-time employment—
(1)
In general— Under guidelines issued by the Secretary of the military department concerned for the purpose of pilots programs of such military department under this section, a civilian employee of the Department who is in a period of recess from full-time employment by the Department under a pilot program may, at the election of Secretary and without the consent of the employee, be required to return to full-time employment by the Department at any time during such period of recess.
(2)
Guidelines and procedures— The circumstances under which a civilian employee may be required to return to full-time employment pursuant to paragraph (1), and the procedures applicable to requiring such return, shall be specified in guidelines issued by the Secretary of Defense for purposes of the pilot programs.
(h)
Pay and allowances—
(1)
Prohibition on receipt of basic pay and allowances— While undertaking a period of recess from full-time employment by the Department under a pilot program under this section, a civilian employee of the Department is not entitled to any pay or allowances otherwise payable to the employee under title 5 or 10, United States Code.
(2)
Prohibition on receipt of special and incentive pays— While undertaking a period of recess from employment under a pilot program, an employee may not be paid any special or incentive pay or bonus to which the employee would otherwise entitled under an employment agreement under a provision of title 5 or 10, United States Code, or any other provision of law, that is in force when the employee commences such period of recess.
(3)
Revival of special pays upon return to full-time Department employment—
(A)
Revival required— Subject to subparagraph (B), upon the return of an employee to full-time employment by the Department after completion by the employee of a period of recess from employment under a pilot program—
(i)
any employment agreement entered into by the employee under a provision of law referred to in paragraph (2) for the payment of a special or incentive pay or bonus that was in force when the employee commenced such period of recess shall be revived, with the term of such agreement after revival being the period of the agreement remaining to run when the employee commenced such period of recess; and
(ii)
any special or incentive pay or bonus shall be payable to the employee in accordance with the terms of the agreement described in clause (i) for the term specified in that clause.
(B)
Limitations—
(i)
Limitations at time of return to full-time Department employment— Subparagraph (A) shall not apply to any special or incentive pay or bonus otherwise covered by that subparagraph with respect to an employee if, at the time of the return of the employee to full-time employment as described in that subparagraph—
(I)
such pay or bonus is no longer authorized by law; or
(II)
the employee does not satisfy eligibility criteria for such pay or bonus as in effect at the time of the return of the employee to full-time employment by the Department.
(ii)
Cessation during later service— Subparagraph (A) shall cease to apply to any special or incentive pay or bonus otherwise covered by that subparagraph with respect to an employee if, during the term of the revived agreement of the employee under subparagraph (A)(i), such pay or bonus ceases being authorized by law.
(C)
Repayment— An employee who is ineligible for payment of a special or incentive pay or bonus otherwise covered by this paragraph by reason of subparagraph (B)(i)(II) shall be subject to the requirements for repayment of such pay or bonus in accordance with the terms of the applicable employment agreement of the employee under a provision of law referred to in paragraph (2).
(D)
Construction of required service— Any service required of an employee under an agreement covered by this paragraph after the employee returns to full-time employment by the Department as described in subparagraph (A) shall be in addition to any service required of the employee under an agreement under subsection (e).
(i)
Reports—
(1)
Interim reports— Not later than June 1, 2018, each Secretary of a military department shall submit to the congressional defense committees a report on the implementation and current status of the pilot programs carried out by such Secretary under this section.
(2)
Final report— Not later than March 1, 2022, the Secretary of Defense shall submit to the congressional defense committees a report on the pilot programs carried out under this section.
(3)
Elements of report— The interim reports under paragraph (1) and the final report under paragraph (2) shall include the following:
(A)
A description of each pilot program covered by such report, including a description of the number of applicants for participation in such pilot program and the criteria used to select applicants for participation in such pilot program.
(B)
An assessment by the Secretary submitting such report of the pilot programs covered by such report, including an evaluation of the following:
(i)
Whether the authorities of this section provided an effective means of enhancing the retention of civilian employees of the Department possessing critical skills, talents, and leadership abilities.
(ii)
Whether the career progression in the Department of civilian employees who participated in the pilot programs has been or will be adversely affected.
(iii)
changed Whether the pilot programs were useful in responding to the personal, familial, and professional needs of individual civilian employees of the DepartmentDepartment.
(C)
Such recommendations for legislative or administrative action as the Secretary submitting such report considers appropriate for the modification or continuation of the pilot programs covered by such report.
(j)
Duration of authority—
(1)
Commencement— The authority to carry out a pilot program under this section shall commence on January 1, 2017.
(2)
Cessation— No civilian employee of the Department may be granted a period of recess from full-time employment by the Department under a pilot program under this section after December 31, 2022.

Sec. 1213 Prohibition on use of funds for certain programs and projects of the Department of Defense in Afghanistan that cannot be safely accessed by United States Government personnel

(a)
Prohibition—
(1)
In general— Amounts available to the Department of Defense may not be obligated or expended for a construction or other infrastructure project of the Department in Afghanistan if military or civilian personnel of the United States Government or their representatives with authority to conduct oversight of such program or project cannot safely access such program or project.
(2)
Applicability— Paragraph (1) shall apply only with respect to a program or project that is initiated on or after the date of the enactment of this Act.
(b)
Waiver—
(1)
In general— The prohibition in subsection (a) may be waived with respect to a program or project otherwise covered by that subsection if a determination described in paragraph (2) is made as follows:
(A)
In the case of a program or project with an estimated lifecycle cost of less than $1,000,000, by the contracting officer assigned to oversee the program or project.
(B)
In the case of a program or project with an estimated lifecycle cost of $1,000,000 or more, but less than $40,000,000, by the Commander of United States Forces-Afghanistan.
(C)
In the case of a program or project with an estimated lifecycle cost of $40,000,000 or more, by the Secretary of Defense.
(2)
Determination— A determination described in this paragraph with respect to a program or project is a determination of each of the following:
(A)
That the program or project clearly contributes to United States national interests or strategic objectives.
(B)
That the Government of Afghanistan has requested or expressed a need for the program or project.
(C)
That the program or project has been coordinated with the Government of Afghanistan, and with any other implementing agencies or international donors.
(D)
That security conditions permit effective implementation and oversight of the program or project.
(E)
That the program or project includes safeguards to detect, deter, and mitigate corruption and waste, fraud, and abuse of funds.
(F)
That adequate arrangements have been made for the sustainment of the program or project following its completion, including arrangements with respect to funding and technical capacity for sustainment.
(G)
changed That meaningful metrics have been established to measure the progress and effectiveness of the program or project in meeting its objectivesobjectives.
(3)
Notice on certain waivers— In the event a waiver is issued under paragraph (1) for a program or project described in subparagraph (C) of that paragraph, the Secretary of Defense shall notify Congress of the waiver not later than 15 days after the issuance of the waiver.

Sec. 1214 Reimbursement of Pakistan for security enhancement activities

(a)
Authority—
(1)
In general— The Secretary of Defense is authorized to reimburse Pakistan for certain activities meant to enhance the security situation in the northwest regions of Pakistan, including the Federally Administered Tribal Areas and Khyber Pakhtunkhwa.
(2)
Funds available— Reimbursement under the authority of this subsection may be provided from amounts available to the Department of Defense for the Security Cooperation Enhancement Fund under section 381 of title 10, United States Code (as added by subtitle G of this title).
(3)
Citation— This section may be referred to as the “Pakistan Security Enhancement Authorization”.
(b)
Activities— Reimbursement may be provided under the authority in subsection (a) for activities as follows:
(1)
Counterterrorism activities in the Federally Administered Tribal Areas and Khyber Pakhtunkhwa, including the following:
(A)
Eliminating infrastructure, training areas, and sanctuaries used by terrorist groups, and preventing the establishment of new or additional infrastructure, training areas, and sanctuaries.
(B)
Direct action against individuals that are involved in or supporting terrorist activities.
(C)
Any other activity recognized by the Secretary of Defense as a counterterrorism activity for purposes of this subsection.
(2)
Border security activities along the Afghanistan-Pakistan border, including the following:
(A)
Building and maintaining border outposts.
(B)
changed Strengthening cooperative efforts between the Pakistan military and the Afghan National Defense and Security Forces, including border security cooperation,cooperation.
(C)
Maintaining access to and securing key ground lines of communication.
(D)
Providing training and equipment for the Pakistan Frontier Corps Khyber Pakhtunkhwa.
(E)
Improving interoperability between the Pakistan military and the Pakistan Frontier Corps Khyber Pakhtunkhwa.
(c)
Limitations—
(1)
In general— Funds available under the authority in subsection (a) may not be used for reimbursement for any activities described in subsection (b) during any period of time when the ground lines of communication through Pakistan to Afghanistan were closed to the transshipment of equipment and supplies in support of United States military operations in Afghanistan and the retrograde of United States equipment out of Afghanistan.
(2)
Waiver— The Secretary may waive the limitation in paragraph (1) if the Secretary of Defense certifies to the congressional defense committees in writing that the waiver is in the national security interests of the United States and includes with such certification a justification for the waiver.
(3)
Amount— The total amount of reimbursements made under the authority in subsection (a) during fiscal year 2017 may not exceed $800,000,000.
(4)
Prohibition on contractual obligations to make payments— The Secretary may not enter into any contractual obligation to make a reimbursement under the authority in paragraph (1).
(d)
Additional limitation on reimbursement of Pakistan pending certification— Of the funds available under the authority in subsection (a), $300,000,000 shall not be available for use as reimbursement described in that subsection unless the Secretary of Defense certifies to the congressional defense committees that the Government of Pakistan is taking demonstrable actions—
(1)
to significantly disrupt the safe haven and freedom of movement of the Haqqani Network in Pakistan;
(2)
to prevent the Haqqani Network from using Pakistan territory as a safe haven; and
(3)
to actively coordinate with the Government of Afghanistan to restrict the movement of militants, such as the Haqqani Network, along the Afghanistan-Pakistan border.
(e)
Amounts of reimbursement— Reimbursement authorized by the authority in subsection (a) may be made in such amounts as the Secretary of Defense, with the concurrence of the Secretary of State and in consultation with the Director of the Office of Management and Budget, may determine, based on documentation determined by the Secretary of Defense to adequately account for the activities undertaken.
(f)
Report— Not later than December 31, 2017, the Secretary of Defense shall submit to the congressional defense committees a report on the expenditure of funds under the authority in subsection (a), including a description of the following:
(1)
The purpose for which such funds were expended.
(2)
Each organization on whose behalf such funds were expended, including the amount expended on such organization and the number of members of such organization supported by such amount.
(3)
Any limitation imposed on the expenditure of funds under subsection (a), including on any recipient of funds or any use of funds expended.
(g)
Notice to Congress—
(1)
In general— Except as provided in paragraph (2), the Secretary of Defense shall notify the congressional defense committees not later than 15 days before making any reimbursement under the authority in subsection (a).
(2)
Exception— The requirement to provide notice under paragraph (1) shall not apply with respect to reimbursement for access based on an international agreement.
(3)
Elements— Each notification under paragraph (1) shall include an itemized description of the activities conducted by the Government of Pakistan for which the United States will provide reimbursement.
(4)
Form— Each notification under paragraph (1) shall be submitted in unclassified form, but may include a classified annex.
(h)
Information on claims disallowed or deferred by the United States—
(1)
In general— The Secretary of Defense shall submit to the congressional defense committees, in the manner specified in paragraph (2), an itemized description of the costs claimed by the Government of Pakistan for activities specified in subsection (b) provided by Government of Pakistan to the United States for which the United States will disallow or defer reimbursement to the Government of Pakistan under the authority in subsection (a).
(2)
Manner of submittal—
(A)
In general— To the maximum extent practicable, the Secretary shall submit each itemized description of costs required by paragraph (1) not later than 180 days after the date on which a decision to disallow or defer reimbursement for the costs claimed is made.
(B)
Form— Each itemized description of costs under subparagraph (A) shall be submitted in an unclassified form, but may include a classified annex.

Sec. 1245 Sense of Senate on enhancement of the military relationship between the United States and Vietnam

It is the sense of the Senate that—

(1)
removing the prohibition on the sale of lethal military equipment to the Government of Vietnam at this time would further United States national security interests;
(2)
any future sale of arms by the United States Government to the Government of Vietnam should be monitored to ensure that—
(A)
the Government of Vietnam is continuing to make progress on human rights; and
(B)
the arms sold are not being used in ways that violate the human rights and freedoms of civilians in Vietnam; and
(3)
the United States Government should continue to expand the military-to-military relationship with the Government of Vietnam, including by—
(A)
increasing participation in bilateral and multilateral naval exercises;
(B)
increasing naval port visits by the United States, including at Cam Ranh Bay and Da Nang, Vietnam;
(C)
changed increasing International Military Education and Training (IMET) and Expanded-IMET (E-IMET) Expanded–IMET (E–IMET) programs for military officers of Vietnam;
(D)
establishing bilateral arrangements to support increased cooperation on humanitarian assistance and disaster relief and joint personnel accounting cooperative activities; and
(E)
seeking opportunities to promote military observation and participation by Vietnam in regional exercises such as the Rim of the Pacific (RIMPAC) exercise, the COBRA GOLD multinational exercises held in Thailand, and the BALIKITAN exercise of the United States and the Philippines.

Sec. 1247 Military-to-military exchanges with India

added

added To enhance military cooperation and encourage engagement in joint military operations between the United States and India, the Secretary of Defense may take appropriate actions to ensure that exchanges between senior military officers and senior civilian defense officials of the Government of India and the United States Government—

(1)
added are at a level appropriate to enhance engagement between the militaries of the two countries for developing threat analysis, military doctrine, force planning, logistical support, intelligence collection and analysis, tactics, techniques, and procedures, and humanitarian assistance and disaster relief;
(2)
added include exchanges of general and flag officers; and
(3)
added significantly enhance joint military operations, including maritime security, counter-piracy, counter-terror cooperation, and domain awareness in the Indo-Asia-Pacific region.

Sec. 1252 Enactment of new chapter for defense security cooperation

(a)
Statutory reorganization— Part I of subtitle A of title 10, United States Code, is amended—
(1)
by redesignating chapters 13, 15, 17, and 18 as chapters 12, 13, 14, and 15, respectively;
(2)
by redesignating sections 261, 311, 312, 331, 332, 333, 334, 335, 351, 371, 372, 373, 374, 375, 376, 377, 378, 379, 380, 381, 382, 383, and 384 (as added by section 1006 of this Act) as sections 241, 246, 247, 251, 252, 253, 254, 255, 261 271, 272, 273, 274, 275, 276, 277, 278, 279, 280, 281, 282, 283, and 284, respectively; and
(3)
by inserting after chapter 15, as redesignated by paragraph (1), the following new chapter:

“16 Security cooperation

“I General Matters

“301. Definitions

“In this chapter:

“(1) The terms appropriate congressional committees and appropriate committees of Congress mean—

“(A) the Committee on Armed Services, the Committee on Foreign Relations, and the Committee on Appropriations of the Senate; and

“(B) the Committee on Armed Services, the Committee on Foreign Affairs, and the Committee on Appropriations of the House of Representatives.

“(2) The term defense article means—

“(A) any weapon, weapon system, munition, aircraft, boat, or other implement of war;

“(B) any machinery, tool, material, supply, or other item necessary for the repair, servicing, operation, or use of any article listed in this paragraph; and

“(C) any component or part of any article listed in this paragraph.

“(3) The term defense service means any service, test, inspection, repair, training, publication, technical or other assistance related to a defense article.

“(4) The term incremental expenses, with respect to a foreign country—

“(A) means the reasonable and proper costs of rations, fuel, training ammunition, transportation, and other goods and services consumed by the country as a direct result of the country's participation in activities authorized by this chapter; and

“(B) does not include—

“(i) any form of lethal assistance (excluding training ammunition); or

“(ii) pay, allowances, and other normal costs of the personnel of the country.

“(5) The term security cooperation programs and activities of the Department of Defense means any program, activity (including an exercise), or interaction of the Department of Defense with the security establishment of a foreign country to achieve a purpose as follows:

“(A) To build relationships that promote specific United States security interests.

“(B) To build and develop allied and friendly security capabilities for self-defense and multinational operations.

“(C) To provide the armed forces with access to the foreign country during peacetime or a contingency operation.

“(6) The term small-scale construction means construction at a cost not to exceed $750,000 for any project.

“(7) The term training includes formal or informal instruction of foreign students in the United States or overseas by officers or employees of the United States, contract technicians, or contractors, or technical, educational, or information publications and media of all kinds, training aid, orientation, training exercise, and military advice to foreign military units and forces.

“II Military-to-Military Engagements

“III Training with Foreign Forces

“IV Support for Operations and Capacity Building

“V Educational and Training Activities

“VI Limitations on Use of Department of Defense Funds

“VII Administrative and Miscellaneous Matters”

(b)
Transfer of section 1051b— Section 1051b of title 10, United States Code, is transferred to chapter 16 of such title, as added by subsection (a)(3), inserted after the table of sections at the beginning of subchapter II of such chapter, and redesignated as section 313.
(c)
Codification of section 1081 of FY 2012 NDAA—
(1)
Codification— Chapter 16 of title 10, United States Code, as added by subsection (a)(3), is amended by inserting after the table of sections at the beginning of subchapter IV a new section 332 consisting of—
(A)
a heading as follows:

“332. Friendly foreign countries; international and regional organizations: defense institution capacity building”

(B)
a text consisting of the text of subsections (a) through (d) of section 1081 of the National Defense Authorization Act for Fiscal Year 2012 (10 U.S.C. 168 note).
(2)
Conforming repeal— Section 1081 of the National Defense Authorization Act for Fiscal Year 2012 is repealed.
(d)
changed Superseding authority to To train and equip foreign security forces—
(1)
Superseding authority— Chapter 16 of title 10, United States Code, as added by subsection (a)(3), is amended by inserting after section 332, as added by subsection (c), the following new section:

“333. Foreign security forces: authority to build capacity

“(a) Authority—The Secretary of Defense is authorized to conduct or support a program or programs to provide training and equipment to the national security forces of one or more foreign countries for the purpose of conducting one or more of the following:

“(1) Counterterrorism operations.

“(2) Counter-weapons of mass destruction operations.

“(3) Counter-illicit drug trafficking operations.

“(4) Counter-transnational organized crime operations.

“(5) Maritime and border security operations.

“(6) Military intelligence operations in support of lawful military operations.

“(7) Humanitarian and disaster assistance operations.

“(8) Operations or activities that contribute to an international coalition operation that is determined by the Secretary to be in the national interest of the United States.

“(9) National territorial defense of the foreign country concerned.

“(b) Concurrence and coordination with Secretary of State

“(1) Concurrence in conduct of programs—The concurrence of the Secretary of State is required to conduct any program authorized by subsection (a).

“(2) Coordination in preparation of certain notices—Any notice required by this section to be submitted to the appropriate committees of Congress shall be prepared in coordination with the Secretary of State.

“(c) Types of capacity building

“(1) Authorized elements—A program under subsection (a) may include the provision and sustainment of defense articles, training, defense services, supplies (including consumables), and small-scale construction.

“(2) Required elements—A program under subsection (a) shall include elements that promote the following:

“(A) Observance of and respect for the law of armed conflict, fundamental freedoms, and the rule of law.

“(B) Respect for civilian control of the military.

“(3) Human rights training—In order to meet the requirement in paragraph (2)(A) with respect to particular national security forces under a program under subsection (a), the Secretary of Defense shall certify, prior to the initiation of the program, that the Department of Defense is already undertaking, or will undertake as part of the program, human rights training that includes a comprehensive curriculum on human rights and the law of armed conflict to such national security forces.

“(4) Defense institution building—In order to meet the requirement in paragraph (2)(B) with respect to a particular foreign country under a program under subsection (a), the Secretary shall certify, prior to the initiation of the program, that the Department is already undertaking, or will undertake as part of the program, a program of defense institution building with appropriate defense institutions of such foreign country that is complementary to the program with respect to such foreign country under subsection (a). The purpose of the program of defense institution building shall be to enhance the capacity of such foreign country to exercise responsible civilian control of the national security forces of such foreign country.

“(d) Limitations

“(1) Assistance otherwise prohibited by law—The Secretary of Defense may not use the authority in subsection (a) to provide any type of assistance described in subsection (c) that is otherwise prohibited by any provision of law.

“(2) Prohibition on assistance to units that have committed gross violations of human rights—The provision of assistance pursuant to a program under subsection (a) shall be subject to the provisions of section 362 of this title.

“(3) Duration of sustainment support—Sustainment support may not be provided pursuant to a program under subsection (a), or for equipment previously provided by the Department of Defense under any authority available to the Secretary during fiscal year 205 or 2016, for a period in excess of five years unless the Secretary provides to the congressional defense committees a written justification that the provision of such support for a period in excess of five years will enhance the security interests of the United States.

“(e) Notice and wait on activities under programs—Not later than 15 days before initiating activities under a program under subsection (a), the Secretary of Defense shall submit to the appropriate committees of Congress a notice of the following:

“(1) The foreign country, and specific unit, whose capacity to engage in activities specified in subsection (a) will be built under the program.

“(2) The cost, implementation timeline and delivery schedule for assistance under the program.

“(3) A description of the arrangements, if any, for the sustainment of the program and the estimated cost and source of funds to support sustainment of the capabilities and performance outcomes achieved under the program beyond its completion date, if applicable.

“(4) Information, including the amount, type, and purpose, on the security assistance provided the foreign country during the three preceding fiscal years pursuant to authorities under this title, the Foreign Assistance Act of 1961, and any other train and equip authorities of the Department of Defense.

“(5) A description of the elements of the theater security cooperation plan of the geographic combatant command concerned that will be advanced by the program.

“(f) Quarterly monitoring reports—The Secretary of Defense shall, on a quarterly basis, submit to the appropriate committees of Congress a report setting forth, for the preceding calendar quarter, the following:

“(1) Information, by recipient country, of the delivery and execution status of all defense articles, training, defense services, and small-scale construction under programs under subsection (a).

“(2) Information on the timeliness of delivery of defense articles, defense services, and small-scale construction when compared with delivery schedules for such articles and construction previously provided to Congress.

“(3) Information, by recipient country, on the status of funds allocated for programs under subsection (a), including amounts of unobligated funds, unliquidated obligations, and disbursements.

“(g) Funding—Amounts for programs carried out pursuant to subsection (a) in a fiscal year, and for other purposes in connection with such programs as authorized by this section, shall be derived from amounts available for such programs and purposes for such fiscal year in the Security Cooperation Enhancement Fund under section 381 of this title or as otherwise provided by law.

“(h) National security forces defined—In this section, the term national security forces, in the case of a foreign country, means the national military and national-level security forces of the foreign country that have among their functional responsibilities the operations and activities specified in subsection (a).”

(2)
Funding for fiscal year 2017— Amounts shall be available for fiscal year 2017 for programs and other purposes described in subsection (g) of section 333 of title 10, United States Code, as added by paragraph (1), as follows:
(A)
Amounts authorized to be appropriated by section 301 for operation and maintenance, Defense-wide, and available for such programs and purposes as specified in the funding table in section 4301.
(B)
Amounts authorized to be appropriated by section 1504 for operation and maintenance, Defense-wide, for overseas contingency operations and available for such programs and purposes as specified in the funding table in section 4302.
(C)
Amounts authorized to be appropriated by section 1510 for the Counterterrorism Partnerships Fund and available for such programs and purposes as specified in the funding table in section 4502.
(3)
Limitation on availability of funds for fiscal year 2017— Of the amounts available for fiscal year 2017 pursuant to paragraph (2) for programs and other purposes described in subsection (g) of section 333 of title 10, United States Code, as so added, not more than 65 percent of such amounts may be used for such purposes under the guidance required by paragraph (4) is submitted to the congressional defense committees as required by paragraph (4).
(4)
Guidance— Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall prescribe, and submit to the congressional defense committees, policy guidance on roles, responsibilities, and processes in connection with programs and activities authorized by section 333 of title 10, United States Code, as so added.
(5)
Conforming amendments— Effective as of the date that is 180 days after the date of the enactment of this Act, section 1004 of the National Defense Authorization Act for Fiscal Year 1991 (10 U.S.C. 374 note) is amended—
(A)
in subsection (a)—
(i)
in the matter preceding paragraph (1), by striking “tribal, or foreign” and inserting “or tribal”;
(ii)
in paragraph (1), by adding “or” at the end;
(iii)
in paragraph (2), by striking “; or” and inserting a period; and
(iv)
by striking paragraph (3); and
(B)
in subsection (b)(4), by striking “or for the purpose” and all that follows and inserting a period.
(6)
Conforming repeals— Effective as of the date that is 180 days after the date of the enactment of this Act, the following provisions of law are repealed:
(A)
Section 2282 of title 10, United States Code.
(B)
The following provisions of the National Defense Authorization Act for Fiscal Year 2014 (Public Law 113–66):
(i)
Section 1203 (127 Stat. 894; 10 U.S.C. 2011 note).
(ii)
Section 1204 (127 Stat. 896; 10 U.S.C. 401 note).
(iii)
Section 1207 (127 Stat. 902; 22 U.S.C. 2151 note).
(C)
Section 1033 of the National Defense Authorization Act for Fiscal Year 1998 (Public Law 105–85; 111 Stat. 1881).
(7)
Clerical amendment— Effective as of the date that is 180 days after the date of the enactment of this Act, the table of sections at the beginning of chapter 136 of title 10, United States Code, is amended by striking the item relating to section 2282.
(e)
Transfer and modification of section 184 and codification of related provisions—
(1)
Transfer and redesignation— Section 184 of title 10, United States Code, is transferred to chapter 16 of such title as added by subsection (a)(3), inserted after the table of sections at the beginning of subchapter V of such chapter, and redesignated as section 342.
(2)
Modification of authorities and codification of reimbursement-related provisions— Section 342 of title 10, United States Code, as so transferred and redesignated, is amended—
(A)
in subsection (a), by striking “and exchange of ideas” and inserting “and training”;
(B)
in subsection (b)—
(i)
in paragraph (1)(B), by striking “and exchange of ideas” and inserting “and training”;
(ii)
in paragraph (2)—
(I)
in subparagraph (A), by striking “European”;
(II)
in subparagraph (B), by striking “Asia-Pacific”;
(III)
in subparagraph (C), by striking “Hemispheric Defense” and inserting “Security”; and
(IV)
by striking subparagraphs (D) and (E); and
(iii)
in paragraph (3), by striking “, except as specifically provided by law after October 17, 2006”;
(C)
in subsection (c), by adding at the end the following new sentence: “The regulations shall assign regional areas of focus to each Regional Center, and shall prioritize within their respective areas of focus the functional areas for engagement of territorial and maritime security, transnational and asymmetric threats, and defense sector governance.”; and
(D)
in subsection (f)—
(i)
in paragraph (3)—
(I)
by inserting “(A)” after “(3)”; and
(II)
in subparagraph (A), as so designated, by striking “civilian government officials” and inserting “personnel”; and
(III)
by adding at the end the following new subparagraph:

“(B)

“(i) The Secretary of Defense may, with the concurrence of the Secretary of State, waive reimbursement otherwise required under this subsection of the costs of activities of the Regional Centers for personnel of nongovernmental and international organizations who participate in activities of the Regional Centers that enhance cooperation of nongovernmental organizations and international organizations with United States forces if the Secretary of Defense determines that attendance of such personnel without reimbursement is in the national security interests of the United States.

“(ii) The amount of reimbursement that may be waived under clause (i) in any fiscal year may not exceed $1,000,000.”

(ii)
in paragraph (5), by striking “under the Latin American cooperation authority” and all that follows and inserting “under section 312 of this title are also available for the costs of the operation of the Regional Centers.”.
(3)
Codification of provisions relating to specific centers— Such section 342, as so transferred and redesignated, is further amended by adding at the end the following new subsections:

“(h) Authorities specific to Marshall Center

“(1) The Secretary of Defense may authorize participation by a European or Eurasian country in programs of the George C. Marshall Center for Security Studies (in this subsection referred to as the “Marshall Center”) if the Secretary determines, after consultation with the Secretary of State, that such participation is in the national interest of the United States.

“(2)

“(A) In the case of any person invited to serve without compensation on the Marshall Center Board of Visitors, the Secretary of Defense may waive any requirement for financial disclosure that would otherwise apply to that person solely by reason of service on such Board.

“(B) A member of the Marshall Center Board of Visitors may not be required to register as an agent of a foreign government solely by reason of service as a member of the Board.

“(C) Notwithstanding section 219 of title 18, a non-United States citizen may serve on the Marshall Center Board of Visitors even though registered as a foreign agent.

“(3)

“(A) The Secretary of Defense may waive reimbursement of the costs of conferences, seminars, courses of instruction, or similar educational activities of the Marshall Center for military officers and civilian officials from states located in Europe or the territory of the former Soviet Union if the Secretary determines that attendance by such personnel without reimbursement is in the national security interest of the United States.

“(B) Costs for which reimbursement is waived pursuant to subparagraph (A) shall be paid from appropriations available for the Center.

“(i) Authorities specific to Inouye Center

“(1) The Secretary of Defense may waive reimbursement of the cost of conferences, seminars, courses of instruction, or similar educational activities of the Daniel K. Inouye Center for Security Studies for military officers and civilian officials of foreign countries if the Secretary determines that attendance by such personnel, without reimbursement, is in the national security interest of the United States.

“(2) Costs for which reimbursement is waived pursuant to paragraph (1) shall be paid from appropriations available for the Center.”

(4)
Repeal of codified provisions— The following provisions of law are repealed:
(A)
Section 941(b) of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 (Public Law 110–417; 10 U.S.C. 184 note).
(B)
Section 1065 of the National Defense Authorization Act for Fiscal Year 1997 (Public Law 104–201; 10 U.S.C. 113 note).
(C)
Section 1306 of the National Defense Authorization Act for Fiscal Year 1995 (Public Law 103–337; 108 Stat. 2892).
(D)
changed Section 8073 of the Department of Defense Appropriations Act, 2003 Public Law 107–248 (10 U.S.C. prec. 2161 note)note).
(f)
Transfer of section 2166—
(1)
Transfer and redesignation— Section 2166 of title 10, United States Code, is transferred to chapter 16 of such title, as added by subsection (a)(3), inserted after section 342, as transferred and redesignated by subsection (e), and redesignated as section 343.
(2)
Conforming stylistic amendments— Such section 343, as so transferred and redesignated, is amended by striking “nations” each place it appears in subsections (b) and (c) and inserting “countries”.
(g)
Transfer of section 2350m— Section 2350m of title 10, United States Code, is transferred to chapter 16 of such title, as added by subsection (a)(3), inserted after section 343, as transferred and redesignated by subsection (f), and redesignated as section 344.
(h)
Transfer of section 2249d—
(1)
Transfer and redesignation— Section 2249d of title 10, United States Code, is transferred to chapter 16 of such title, as added by subsection (a)(3), inserted after section 344, as transferred and redesignated by subsection (g), and redesignated as section 346.
(2)
Conforming stylistic amendments— Such section 346, as so transferred and redesignated, is amended—
(A)
by striking “nations” in subsections (a) and (d) and inserting “countries”; and
(B)
by striking subsection (g).
(i)
Reenactment of chapter 905—
(1)
Consolidation of sections 9381, 9382, and 9383— Chapter 16 of title 10, United States Code, as added by subsection (a)(3), is amended by inserting after section 346, as transferred and redesignated by subsection (h), the following new section:

“348. Aviation Leadership Program

“(a) In general—Under regulations prescribed by the Secretary of Defense, the Secretary of the Air Force may carry out an Aviation Leadership Program to provide undergraduate pilot training and necessary related training to personnel of the air forces of friendly, developing foreign countries. Training under this section shall include language training and programs to promote better awareness and understanding of the democratic institutions and social framework of the United States.

“(b) Supplies and clothing

“(1) The Secretary of the Air Force may, under such conditions as the Secretary may prescribe, provide to a person receiving training under this section—

“(A) transportation incident to the training;

“(B) supplies and equipment to be used during the training;

“(C) flight clothing and other special clothing required for the training; and

“(D) billeting, food, and health services.

“(2) The Secretary may authorize such expenditures from the appropriations of the Air Force as the Secretary considers necessary for the efficient and effective maintenance of the Program in accordance with this section.

“(c) Allowances—The Secretary of the Air Force may pay to a person receiving training under this section a living allowance at a rate to be prescribed by the Secretary, taking into account the amount of living allowances authorized for a member of the armed forces under similar circumstances.”

(2)
Conforming repeal— Chapter 905 of such title is repealed.
(j)
Transfer of section 9415—
(1)
In general— Section 9415 of title 10, United States Code, is transferred to chapter 16 of such title, as added by subsection (a)(3), inserted after section 348, as added by subsection (i), and redesignated as section 349.
(2)
Conforming amendment for standardization with certain other Air Forces Academy authority— Such section 349, as so transferred and amended, is amended—
(A)
by redesignating subsection (b) as subsection (c); and
(B)
by inserting after subsection (a) the following new subsection (b):

“(b) Limitations

“(1) Concurrence of Secretary of State—Military personnel of a foreign country may be provided education and training under this section only with the concurrence of the Secretary of State.

“(2) Assistance otherwise prohibited by law—Education and training may not be provided under this section to the military personnel of any country that is otherwise prohibited from receiving such type of assistance under any other provision of law.”

(k)
Codification of section 1268 of FY 2015 NDAA—
(1)
Codification— Chapter 16 of title 10, United States Code, as added by subsection (a)(3), is amended by inserting after section 349, as transferred and redesignated by subsection (j), a new section 350 consisting of—
(A)
a heading as follows:

“350. Inter-European Air Forces Academy”

(B)
a text consisting of the text of subsections (a) through (g) of section 1268 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3585; 10 U.S.C. 9411 note).
(2)
Conforming repeal— Section 1268 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 is repealed.
(l)
Transfer of sections 2249a and 2249e—
(1)
Transfer and redesignation— Sections 2249a and 2249e of title 10, United States Code, are transferred to chapter 16 of such title, as added by subsection (a)(3), inserted after the table of sections at the beginning of subchapter VI of such chapter, and redesignated as sections 361 and 362, respectively.
(2)
Conforming repeal relating to superseded definition of congressional committees— Section 362 of title 10, United States Code, as transferred and redesignated by paragraph (1), is amended by striking subsection (f).
(m)
Administrative matters— Chapter 16 of title 10, United States Code, as added by subsection (a)(3), is amended by inserting after the table of sections at the beginning of subchapter VII the following new sections:

“382. Policy oversight and resource allocation; execution and administration of programs and activities

“(a) Policy oversight and resource allocation—The Secretary of Defense shall assign responsibility for the oversight of strategic policy and guidance and responsibility for overall resource allocation for security cooperation programs and activities of the Department of Defense to a single official and office in the Office of the Secretary of Defense at the level of Assistant Secretary of Defense or below.

“(b) Execution and administration of certain programs and activities

“(1) In general—The Director of the Defense Security Cooperation Agency shall be responsible for the execution and administration of all security cooperation programs and activities of the Department of Defense involving the provision of defense articles, military training, and other defense-related services by grant, loan, cash sale, or lease.

“(2) Designation of responsibility—The Director may designate an element of an armed force or a combatant command to execute and administer security cooperation programs and activities described in paragraph (1) if the Director determines that the designation will achieve maximum effectiveness, efficiency, and economy in the activities for which designated.

“383. Assessment, monitoring, and evaluation of programs and activities

“(a) Program required—The Secretary of Defense shall maintain a program of assessment, monitoring, and evaluation in support of the security cooperation programs and activities of the Department of Defense.

“(b) Program elements and requirements

“(1) Elements—The program under subsection (a) shall provide for the following:

“(A) Initial assessments of partner capability requirements, potential programmatic risks, baseline information, and indicators of efficacy for purposes of planning, monitoring, and evaluation of security cooperation programs and activities of the Department of Defense.

“(B) Monitoring of implementation of such programs and activities in order to measure progress in execution and, to the extent possible, achievement of desired outcomes.

“(C) Evaluation of the efficiency and effectiveness of such programs and activities in achieving desired outcomes.

“(D) Identification of lessons learned in carrying out such programs and activities, and development of recommendation for improving future security cooperation programs and activities of the Department of Defense.

“(2) Best practices—The program shall be conducted in accordance with international best practices, interagency standards, and, if applicable, the Government Performance and Results Act of 1993 (Public Law 103–62), and the amendments made by that Act, and the GPRA Modernization Act of 2010 (Public Law 111–352), and the amendments made by that Act.

“(c) Reports

“(1) Reports to Congress—The Secretary shall submit to the congressional defense committees each year a report on the program under subsection (a) during the previous year. Each report shall include, for the year covered by such report, the following:

“(A) A description of the activities under the program.

“(B) An assessment of the efficacy of the activities under the program.

“(2) Information for the public on evaluations—The Secretary shall make available to the public, on an Internet website of the Department of Defense available to the public, a summary of each evaluation conducted pursuant to subsection (b)(1)(C). In making a summary so available, the Secretary may redact or omit any information that the Secretary determines should not be disclosed to the public in order to protect the interests of the United States or the foreign country or countries covered by such evaluation.”

(n)
Clerical amendments— Title 10, United States Code, is amended as follows:
(1)
The tables of chapters at the beginning of subtitle A, and at the beginning of part I of subtitle A, are amended—
(A)
by revising the chapter references relating to chapters 13, 15, 17, and 18 (and the section references therein) to conform to the redesignations made by paragraphs (1) and (2) of subsection (a); and
(B)
by inserting after the item relating to chapter 15, as revised pursuant to subparagraph (A), the following new item:
(2)
The section references in the tables of sections at the beginning of chapters 12, 13, 14, and 15, as redesignated by paragraph (1) of subsection (a), are revised to conform to the redesignations made by paragraph (2) of such subsection.
(3)
The table of sections at the beginning of chapter 7 is amended by striking the item relating to section 184.
(4)
The table of sections at the beginning of chapter 53 is amended by striking the item relating to section 1051b.
(5)
The table of sections at the beginning of chapter 108 is amended by striking the item relating to section 2166.
(6)
The table of sections at the beginning of subchapter I of chapter 134 is amended by striking the items relating to sections 2249a, 2249d, and 2249e.
(7)
The table of sections at the beginning of subchapter II of chapter 138 is amended by striking the item relating to section 2350m.
(8)
The tables of chapters at the beginning of subtitle D, and at the beginning of part III of subtitle D, are amended by striking the item relating to chapter 905.
(9)
The table of sections at the beginning of chapter 907 is amended by striking the item relating to section 9415.

Sec. 1258 Modification of Regional Defense Combating Terrorism Fellowship Program

(a)
In general— Section 2249c of title 10, United States Code, is transferred to chapter 16 of such title, as added by section 1252(a)(3) of this Act, inserted after section 344, as transferred and redesignated by section 1252(g) of this Act, redesignated as section 345, and amended to read as follows:

“345. Defense Cooperation Fellowship Program

“(a) Authority

“(1) In general—The Secretary of Defense is authorized to carry out a program (to be known as the “Defense Cooperation Fellowship Program”) under which the Secretary may pay any costs associated with the education and training described in paragraph (2) of foreign military officers, ministry of defense officials, or national-level security officials of friendly foreign countries. Costs for which payment may be made under this section include the costs of transportation and travel and subsistence costs.

“(2) Education and training—Education and training described in this paragraph is defense cooperation education and training at a military or civilian educational institution of the United States Government, regional center, conference, seminar, or other training program that is conducted as part of the program under this section.

changed “(b) Regulations—The program authorized by subsection (a) shall be carried out under regulations prescribed by the Secretary of Defense. The regulations shall ensure that, to the maximum extent practicable, activities under the program do not duplicate or conflict with activities under International Military Education and Training (IMET). The Secretary shall submit a current copy of the regulations to the Committees on Armed Services of the Senate and the House of RepresentativesRepresentatives.

“(c) Availability of funds

“(1) Limitation—Except as provided in paragraph (2), the total amount of costs that may be paid under the program authorized by subsection (a) in any fiscal year may not exceed $35,000,000.

“(2) Availability for activities that cross fiscal years—Funds available under the authority in subsection (a) for a fiscal year may be used for activities that begin in such fiscal year but end in the next fiscal year.”

(b)
Clerical amendment— The table of sections at the beginning of subchapter I of chapter 134 of such title is amended by striking the item relating to section 2249c.

Sec. 1259 Consolidation of authorities for service academy international engagement

(a)
Consolidation of authorities— Chapter 16 of title 10, United States Code, as added by section 1252(a)(3) of this Act, is amended by inserting after section 346, as transferred and redesignated by section 1252(h) of this Act, the following new section:

“347. International engagement authorities for service academies

changed “(a) Selection of persons from foreign countries to To receive instruction at Service Academies

“(1) Attendance authorized

“(A) In general—The Secretary of each military department may permit persons from foreign countries to receive instruction at the Service Academy under the jurisdiction of the Secretary. Such persons shall be in addition to—

“(i) in the case of the United States Military Academy, the authorized strength of the Corps of the Cadets of the Academy under 4342 of this title;

“(ii) in the case of the United States Naval Academy, the authorized strength of the Brigade of Midshipmen of the Academy under section 6954 of this title; and

“(iii) in the case of the United States Air Force Academy, the authorized strength of the Cadet Wing of the Academy under 9342 of this title.

“(B) Limitation on number—The number of persons permitted to receive instruction at each Service Academy under this subsection may not be more than 60 at any one time.

“(2) Determination of foreign countries from which persons may be selection—The Secretary of a military department, upon approval by the Secretary of Defense, shall determine—

“(A) the countries from which persons may be selected for appointment under this subsection to the Service Academy under the jurisdiction of that Secretary; and

“(B) the number of persons that may be selected from each country.

“(3) Qualifications and selection—The Secretary of each military department—

“(A) may establish entrance qualifications and methods of competition for selection among individual applicants under this subsection; and

“(B) shall select those persons who will be permitted to receive instruction at the Service Academy under the jurisdiction of the Secretary under this subsection.

“(4) Selection priority to persons with national service obligation upon graduation—In selecting persons to receive instruction under this subsection from among applicants from the countries approved under paragraph (2), the Secretary of the military department concerned shall give a priority to persons who have a national service obligation to their countries upon graduation from the Service Academy concerned.

“(5) Pay, allowances, and emoluments of persons admitted—A person receiving instruction under this subsection is entitled to the pay, allowances, and emoluments of a cadet or midshipman appointed from the United States, and from the same appropriations.

“(6) Reimbursement of costs by foreign countries from which persons are admitted

“(A) Reimbursement required—Each foreign country from which a cadet or midshipmen is permitted to receive instruction at one of the Service Academies under this subsection shall reimburse the United States for the cost of providing such instruction, including the cost of pay, allowances, and emoluments provided under paragraph (5). The Secretaries of the military departments shall prescribe the rates for reimbursement under this paragraph, except that the reimbursement rates may not be less than the cost to the United States of providing such instruction, including pay, allowances, and emoluments, to a cadet or midshipmen appointed from the United States.

“(B) Waiver authority—The Secretary of Defense may waive, in whole or in part, the requirement for reimbursement of the cost of instruction for a cadet or midshipmen under subparagraph (A). In the case of a partial waiver, the Secretary of Defense shall establish the amount waived.

“(7) Applicability of academy regulations, etc.

“(A) In general—Except as the Secretary of the military department concerned determines, a person receiving instruction under this subsection at the Service Academy under the jurisdiction of that Secretary is subject to the same regulations governing admission, attendance, discipline, resignation, discharge, dismissal, and graduation as a cadet or midshipmen at that Academy appointed from the United States.

“(B) Classified information—The Secretary of the military department concerned may prescribe regulations with respect to access to classified information by a person receiving instruction under this subsection at the Service Academy under the jurisdiction of that Secretary that differ from the regulations that apply to a cadet or midshipmen at that Academy appointed from the United States.

“(8) Ineligibility for appointment in the United States armed forces—A person receiving instruction at a Service Academy under this subsection is not entitled to an appointment in an armed force of the United States by reason of graduation from the Academy.

“(9) Inapplicability of requirement for taking oath of admission—A person receiving instruction under this subsection is not subject to section 4346(d), 6958(d), or 9346(d) of this title, as the case may be.

“(b) Exchange programs with foreign military academies

“(1) Exchange programs authorized—The Secretary of a military department may permit a student enrolled at a military academy of a foreign country to receive instruction at the Service Academy under the jurisdiction of that Secretary in exchange for a cadet or midshipmen receiving instruction at that foreign military academy pursuant to an exchange agreement entered into between the Secretary and appropriate officials of the foreign country. A students receiving instruction at a Service Academy under the exchange program under this subsection shall be in addition to persons receiving instruction at the Academy under subsection (a).

“(2) Limitations on number and duration of exchanges—An exchange agreement under this subsection between the Secretary and a foreign country shall provide for the exchange of students on a one-for-one basis each fiscal year. Not more than 100 cadets or midshipmen from each Service Academy and a comparable number of students from foreign military academies participating in the exchange program may be exchanged during any fiscal year. The duration of an exchange may not exceed the equivalent of one academic semester at a Service Academy.

“(3) Costs and expenses

“(A) No pay and allowances—A student from a military academy of a foreign country is not entitled to the pay, allowances, and emoluments of a cadet or midshipmen by reason of attendance at a Service Academy under the exchange program, and the Department of Defense may not incur any cost of international travel required for transportation of such a student to and from the sponsoring foreign country.

“(B) Subsistence, transportation, etc. The Secretary of the military department concerned may provide a student from a foreign country under the exchange program, during the period of the exchange, with subsistence, transportation within the continental United States, clothing, health care, and other services to the same extent that the foreign country provides comparable support and services to the exchanged cadet or midshipmen in that foreign country.

“(C) Source of funds—A Service Academy shall bear all costs of the exchange program from funds appropriated for that Academy and such additional funds as may be available to that Academy from a source other than appropriated funds to support cultural immersion, regional awareness, or foreign language training activities in connection with the exchange program.

“(D) Limitation on expenditures—Expenditures in support of the exchange program from funds appropriated for each Academy may not exceed $1,000,000 during any fiscal year.

“(4) Application of other laws—Paragraphs (7), (8), and (9) of subsection (a) shall apply with respect to a student enrolled at a military academy of a foreign country while attending a Service Academy under the exchange program.

“(5) Regulations—The Secretary of the military department concerned shall prescribe regulations to implement this subsection. Such regulations may include qualification criteria and methods of selection for students of foreign military academies to participate in the exchange program.

“(c) Foreign and cultural exchange activities

“(1) Attendance authorized—The Secretary of a military department may authorize the Service Academy under the jurisdiction of that Secretary to permit students, officers, and other representatives of a foreign country to attend that Academy for periods of not more than four weeks if the Secretary determines that the attendance of such persons contributes significantly to the development of foreign language, cross cultural interactions and understanding, and cultural immersion of cadets or midshipmen, as the case may be.

“(2) Effect of attendance—Persons attending a Service Academy under paragraph (1) are not considered to be students enrolled at that Academy and are in addition to persons receiving instruction at that Academy under subsection (a) or (b).

“(3) Financial matters

“(A) Costs and expenses—The Secretary of a military department may pay the travel, subsistence, and similar personal expenses of persons incurred to attend the Service Academy under the jurisdiction of that Secretary under paragraph (1).

“(B) Source of funds—Each Service Academy shall bear the costs of the attendance of persons at that Academy under paragraph (1)—

“(i) from funds appropriated for that Academy; and

“(ii) from such additional funds as may be available to that Academy from a source, other than appropriated funds, to support cultural immersion, regional awareness, or foreign language training activities in connection with their attendance.

“(C) Limitation on expenditures—Expenditures from appropriated funds in support of activities under this subsection for any Service Academy may not exceed $40,000 during any fiscal year.

“(d) Service Academy defined—In this section, the term Service Academy means the following:

“(1) The United States Military Academy.

“(2) The United States Naval Academy.

“(3) The United States Air Force Academy.”

(b)
Conforming repeals—
(1)
Repeals— Sections 4344, 4345, 4345a, 6957, 6957a, 6957b, 9344, 9345, and 9345a of title 10, United States Code, are repealed.
(2)
Clerical amendments—
(A)
The table of sections at the beginning of chapter 403 of such title is amended by striking the items relating to sections 4344, 4345, and 4345a.
(B)
The table of sections at the beginning of chapter 603 of such title is amended by striking the items relating to sections 6957, 6957a, and 6957b.
(C)
The table of sections at the beginning of chapter 903 of such title is amended by striking the items relating to sections 9344, 9345, and 9345a.

Sec. 1260 Security Cooperation Enhancement Fund

(a)
In general— Chapter 16 of title 10, United States Code, as added by section 1252(a)(3) of this Act, is amended by inserting after the table of sections at the beginning of subchapter VII the following new section:

“381. Security Cooperation Enhancement Fund

“(a) Availability of funds—Amounts authorized to be appropriated for the Security Cooperation Enhancement Fund (in this section referred to as the “Fund”) shall be available for the purposes provided in subsections (b) and (c).

“(b) Purposes generally

“(1) Purposes—Subject to subsection (c), amounts in the Fund shall be available for security cooperation programs and activities of the Department of Defense.

“(2) Duration after obligation—Upon obligation, amounts in the Fund so obligated shall remain available until expended.

“(c) Availability for specific purposes—Of the amounts in the Fund for a fiscal year, up to four percent of such amounts may be used to carry out the following:

“(1) Execution and administration of security cooperation programs and activities of the Department of Defense pursuant to section 382 of this title.

“(2) Annual assessment, monitoring, and evaluation of security cooperation programs and activities of the Department of Defense pursuant to section 383 of this title.

“(3) Incremental expenses associated with the implementation of the Department of Defense Security Cooperation Workforce Development Program pursuant to section 1263 of the National Defense Authorization Act for Fiscal Year 2017.

“(d) Transfers from Fund

“(1) Transfers authorized—Amounts in the Fund may be transferred to any account of the Department of Defense for operation and maintenance for the purposes specified in subsection (b).

“(2) Effect on authorization amounts—The transfer of an amount to an account under the authority paragraph (1) shall be deemed to increase the amount authorized for such account by an amount equal to the amount transferred.

“(3) Transfers back to Fund—Upon a determination that all or part of the funds transferred from the Fund under paragraph (1) are not necessary for the purpose provided, such funds may be transferred back to the Fund.

“(e) Contributions

“(1) Authority to accept—The Secretary of Defense may accept and retain contributions to the Fund from any person, foreign government, or international organization.

“(2) Availability—An amount contributed to the Fund pursuant to this subsection shall remain available until expended for purposes of the Fund.

changed “(3) Notice on contributions—The Secretary shall notify the congressional defense committees, in writing , writing, upon the receipt. receipt, and upon the obligation, of any contribution to the Fund pursuant to this subsection, setting forth the source and amount of such contribution and the intended, and actual, use of such contribution.

“(e) Construction with other limitations—Nothing in this section may be construed to terminate, alter, or override any requirement or limitation applicable to activities funded with amounts in the Fund under the authority of the Department of Defense that authorizes such activities.

“(f) Quarterly reports—Not later than 30 days after each calendar quarter, the Secretary of Defense shall submit to the congressional defense committees a report on the obligation and expenditure of amounts in the Fund during the preceding calendar quarter.”

(b)
Discharge of certain activities under new security cooperation chapter—
(1)
In general— Not later than October 1, 2018, the Secretary of Defense shall provide for the discharge of all activities funded by accounts specified in paragraph (2) or funds specified in paragraph (3) under applicable authorities in chapter 16 of title 10, United States Code, as added by section 1252(a)(3) of this Act, rather than the provision of law or other authority under which such activities are carried out on the day before the date on which discharge in accordance with this paragraph commences.
(2)
Covered accounts— The accounts specified in this paragraph are the following:
(A)
The Afghanistan Security Forces Fund.
(B)
The Iraq Train and Equip Fund.
(C)
The Southeast Asia Maritime Security Initiative.
(3)
Other security cooperation funds— The funds specified in this paragraph are all unobligated balances as of the date of transfer provided for in subsection (c)(1) in any account or fund of the Department of Defense (other than an account specified in paragraph (2) of this subsection) of amounts for security cooperation programs and activities of the Department of Defense.
(4)
Report— Not later than October 1, 2017, the Secretary shall submit to the congressional defense committees a report setting forth a description of any gaps that exist between the authorities in chapter 16 of title 10, United States Code, as so added, and current law or other authorities under which activities covered by paragraph (1) are carried out. The report shall include the following:
(A)
A description of each discrete set of activities covered by paragraph (1) for which gaps exist between the authorities in chapter 16 of title 10, United States Code, as so added, and current law or other authorities under which such activities are carried out.
(B)
For each discrete set of activities covered by subparagraph (A), the following:
(i)
A description of the gaps described in subparagraph (A).
(ii)
Recommendations for legislative or administrative action to address such gaps.
(c)
Transfer to SCEF of funds in connection with activities discharged under new security cooperation chapter—
(1)
In general— Not later than October 1, 2017, the Secretary of Defense shall transfer all the unobligated balances that remain in the accounts specified in subsection (b)(2) as of the date of such transfer to the Security Cooperation Enhancement Fund under section 381 of title 10, United States Code, as added by subsection (a).
(2)
Other security cooperation funds— In addition to the transfer required by paragraph (1), the Secretary shall also transfer to the Security Cooperation Enhancement Fund on the date provided in that paragraph all unobligated balances as of such date in any other account or fund of the Department of Defense of amounts for security cooperation programs and activities of the Department of Defense.
(4)
Treatment of funds transferred— Amounts transferred to the Security Cooperation Enhancement Fund under this subsection shall be merged with amounts in the Fund, and shall be available for the same purposes, and subject to the same terms and conditions, as other amounts in the Fund.
(d)
Security cooperation programs and activities of the Department of Defense defined— In this section, the term security cooperation programs and activities of the Department of Defense has the meaning given that term in section 301(5) of title 10, United States Code, as added by section 1252(a)(3) of this Act.

Sec. 1261 Consolidation and standardization of reporting requirements relating to security cooperation authorities

(a)
Codification— Chapter 16 of title 10, United States Code, as added by section 1252(a)(3) of this Act, is amended by inserting after section 383, as added by section 1252(m) of this Act, a new section 384 consisting of—
(1)
a heading as follows:

“384. Annual report”

(2)
a text consisting of the text of subsections (a) through (e) of section 1211 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3544).
(b)
changed Revisions to To provide for permanent, annual report— Subsection (a) of section 384 of title 10, United States Code, as added by subsection (a), is amended—
(1)
by striking “Biennial” and all that follows through “the Secretary” and inserting “Annual report required.—Not later than January 31 each year, the Secretary”; and
(2)
by striking “the two fiscal years” and inserting “the fiscal year”.
(c)
Revision to covered authorities— Subsection (c) of such section is amended—
(1)
by striking paragraph (1) and inserting the following:

“(1) The following sections of this chapter: 332, 333, 344, 346, and 347.”

(2)
by striking paragraphs (3) through (7);
(3)
by redesignating paragraph (8) as paragraph (3) and in that paragraph by striking “Section” and inserting “Sections 401 and”;
(4)
by inserting after paragraph (3), as redesignated by paragraph (3) of this subsection, the following new paragraph:

“(4) Section 1206 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (10 U.S.C. 2282 note), relating to authority to conduct human rights training of security forces and associated security ministries of foreign countries.”

(5)
by redesignating paragraphs (9) and (10) as paragraphs (5) and (6), respectively;
(6)
by striking paragraph (11); and
(7)
by redesignating paragraphs (12) through (17) as paragraphs (7) through (12), respectively.
(d)
Annual report on workforce development— Such section is further amended—
(1)
by redesignating subsections (d) and (e) as subsections (e) and (f), respectively;
(2)
by inserting after subsection (c) the following new subsection (d):

“(d) Annual report on workforce development

“(1) In general—At the same time the reports required by subsection (a) are submitted pursuant to that subsection, the Secretary shall submit to the congressional defense committees a report on funding for the Department of Defense Security Cooperation Workforce Development Program under section 1263 of the National Defense Authorization Act for Fiscal Year 2017 and the security cooperation workforce during the fiscal year beginning in the year in which such report is submitted.

“(2) Elements—Each report under this subsection shall include, for the fiscal year covered by such report, the following:

“(A) The funds requested for the Program and for the security cooperation workforce.

“(B) A description of how the funds identified pursuant to subparagraph (A) will be implemented for the following:

changed “(i) To address any gaps in the skills and competencies of the current or anticipated security cooperation workforceworkforce.

“(ii) To provide incentives to retain qualified, experienced personnel in the security cooperation workforce.

“(iii) To provide incentives to attract and recruit new, high-quality personnel to the security cooperation workforce.”

(3)
in subsections (e) and (f), as redesignated by paragraph (1) of this section, by striking “subsection (a)” each place it appears and inserting “this section”.
(e)
Repeal of codified statute— Section 1211 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3544) is amended by striking subsections (a) through (e).
(f)
Repeal of other reporting requirements— The following provisions of law are repealed:
(1)
Section 401(d) of title 10, United States Code, requiring an annual report on humanitarian and civic assistance activities under that section.
(2)
Section 1534(g) of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113–291; 128 Stat. 3618), requiring semiannual reports on the Counterterrorism Partnerships Fund.
(3)
Section 1233(f) of the National Defense Authorization Act for Fiscal Year 2008 (Public Law 110–181; 122 Stat. 394), requiring a quarterly report on the use of authority to reimburse certain coalition nations for support provided to United States military operations.
(4)
Section 1234(e) of the National Defense Authorization Act for Fiscal Year 2008 (122 Stat. 394), requiring a quarterly report on the use of authorization for logistical support for coalition forces supporting certain United States military operations.

Sec. 1277 Sense of Congress on commitment to the Republic of Palau

added
(a)
added Findings— Congress makes the following findings:
(1)
added The Republic of Palau is comprised of 300 islands and covers roughly 177 square miles strategically located in the western Pacific Ocean between the Philippines and the United States territory of Guam.
(2)
added The United States and Palau have forged close security, economic and cultural ties since the United States defeated the armed forces of Imperial Japan in Palau in 1944.
(3)
added The United States administered Palau as a District of the United Nations Trust Territory of the Pacific Islands from 1947 to 1994.
(4)
added In 1994, the United States and Palau entered into a 50-year Compact of Free Association which provided for the independence of Palau and set forth the terms for close and mutually beneficial relations in security, economic, and governmental affairs.
(5)
added The security terms of the Compact grant the United States full authority and responsibility for the security and defense of Palau, including the exclusive right to deny any nation's military forces access to the territory of Palau except the United States, an important element of our Pacific strategy for defense of the United States homeland, and the right to establish and use defense sites in Palau.
(6)
added The Compact entitles any citizen of Palau to volunteer for service in the United States Armed Forces, and they do so at a rate that exceeds that of any of the 50 States.
(7)
added In 2009, and in accordance with section 432 of the Compact, the United States and Palau reviewed their overall relationship. In 2010, the two nations signed an agreement updating and extending several provisions of the Compact, including an extension of United States financial and program assistance to Palau, and establishing increased post-9/11 immigration protections. However, the United States has not yet approved this Agreement or provided the assistance as called for in the Agreement.
(8)
added Beginning in 2010 and most recently on February 22, 2016, the Department of the Interior, the Department of State, and the Department of Defense have sent letters to Speaker of the House of Representatives and the President Pro Tempore of the Senate transmitting the legislation to approve the 2010 United States Palau Agreement including an analysis of the budgetary impact of the legislation.
(9)
added The February 22, 2016, letter concluded, “Approving the results of the Agreement is important to the national security of the United States, stability in the Western Pacific region, our bilateral relationship with Palau and to the United States’ broader strategic interest in the Asia-Pacific region.”
(10)
added On May 20, 2016, the Department of Defense submitted a letter to the Chairmen and Ranking Members of the congressional defense committees in support of including legislation enacting the agreement in the fiscal year 2017 National Defense Authorization Act and concluded that its inclusion advances United States national security objectives in the region.
(b)
added Sense of Congress— It is the sense of Congress that—
(1)
added to fulfill the promise and commitment of the United States to its ally, the Republic of Palau, and reaffirm this special relationship and strengthen the ability of the United States to defend the homeland, Congress and the President should promptly enact the Compact Review Agreement signed by the United States and Palau in 2010; and
(2)
added Congress and the President should immediately seek a mutually acceptable solution to approving the Compact Review Agreement and ensuring adequate budgetary resources are allocated to meet United States obligations under the Compact through enacting legislation, including through this Act.

Sec. 1281 Short title

added

added This subtitle may be cited as the “Global Magnitsky Human Rights Accountability Act”.

Sec. 1282 Definitions

added

added In this subtitle:

(1)
added Foreign person— The term foreign person means a person that is not a United States person.
(2)
added Person— The term person means an individual or entity.
(3)
added United States person— The term United States person means—
(A)
added a United States citizen or an alien lawfully admitted for permanent residence to the United States; or
(B)
added an entity organized under the laws of the United States or of any jurisdiction within the United States, including a foreign branch of such an entity.

Sec. 1283 Authorization of imposition of sanctions

added
(a)
added In general— The President may impose the sanctions described in subsection (b) with respect to any foreign person the President determines, based on credible evidence—
(1)
added is responsible for extrajudicial killings, torture, or other gross violations of internationally recognized human rights committed against individuals in any foreign country who seek—
(A)
added to expose illegal activity carried out by government officials; or
(B)
added to obtain, exercise, defend, or promote internationally recognized human rights and freedoms, such as the freedoms of religion, expression, association, and assembly, and the rights to a fair trial and democratic elections;
(2)
added acted as an agent of or on behalf of a foreign person in a matter relating to an activity described in paragraph (1);
(3)
added is a government official, or a senior associate of such an official, that is responsible for, or complicit in, ordering, controlling, or otherwise directing, acts of significant corruption, including the expropriation of private or public assets for personal gain, corruption related to government contracts or the extraction of natural resources, bribery, or the facilitation or transfer of the proceeds of corruption to foreign jurisdictions; or
(4)
added has materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services in support of, an activity described in paragraph (3).
(b)
added Sanctions described— The sanctions described in this subsection are the following:
(1)
added Inadmissibility to United States— In the case of a foreign person who is an individual—
(A)
added ineligibility to receive a visa to enter the United States or to be admitted to the United States; or
(B)
added if the individual has been issued a visa or other documentation, revocation, in accordance with section 221(i) of the Immigration and Nationality Act (8 U.S.C. 1201(i)), of the visa or other documentation.
(2)
added Blocking of property—
(A)
added In general— The blocking, in accordance with the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), of all transactions in all property and interests in property of a foreign person if such property and interests in property are in the United States, come within the United States, or are or come within the possession or control of a United States person.
(B)
added Inapplicability of national emergency requirement— The requirements of section 202 of the International Emergency Economic Powers Act (50 U.S.C. 1701) shall not apply for purposes of this section.
(C)
added Exception relating to importation of goods—
(i)
added In general— The authority to block and prohibit all transactions in all property and interests in property under subparagraph (A) shall not include the authority to impose sanctions on the importation of goods.
(ii)
added Good— In this subparagraph, the term good has the meaning given that term in section 16 of the Export Administration Act of 1979 (50 U.S.C. 4618) (as continued in effect pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.)).
(c)
added Consideration of certain information in imposing sanctions— In determining whether to impose sanctions under subsection (a), the President shall consider—
(1)
added information provided by the chairperson and ranking member of each of the appropriate congressional committees; and
(2)
added credible information obtained by other countries and nongovernmental organizations that monitor violations of human rights.
(d)
added Requests by chairperson and ranking member of appropriate congressional committees— Not later than 120 days after receiving a written request from the chairperson and ranking member of one of the appropriate congressional committees with respect to whether a foreign person has engaged in an activity described in subsection (a), the President shall—
(1)
added determine if that person has engaged in such an activity; and
(2)
added submit a report to the chairperson and ranking member of that committee with respect to that determination that includes—
(A)
added a statement of whether or not the President imposed or intends to impose sanctions with respect to the person; and
(B)
added if the President imposed or intends to impose sanctions, a description of those sanctions.
(e)
added Exception To Comply With United Nations Headquarters Agreement and law enforcement objectives— Sanctions under subsection (b)(1) shall not apply to an individual if admitting the individual into the United States would further important law enforcement objectives or is necessary to permit the United States to comply with the Agreement regarding the Headquarters of the United Nations, signed at Lake Success June 26, 1947, and entered into force November 21, 1947, between the United Nations and the United States, or other applicable international obligations of the United States.
(f)
added Enforcement of blocking of property— A person that violates, attempts to violate, conspires to violate, or causes a violation of subsection (b)(2) or any regulation, license, or order issued to carry out subsection (b)(2) shall be subject to the penalties set forth in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705) to the same extent as a person that commits an unlawful act described in subsection (a) of that section.
(g)
added Termination of sanctions— The President may terminate the application of sanctions under this section with respect to a person if the President determines and reports to the appropriate congressional committees not later than 15 days before the termination of the sanctions that—
(1)
added credible information exists that the person did not engage in the activity for which sanctions were imposed;
(2)
added the person has been prosecuted appropriately for the activity for which sanctions were imposed;
(3)
added the person has credibly demonstrated a significant change in behavior, has paid an appropriate consequence for the activity for which sanctions were imposed, and has credibly committed to not engage in an activity described in subsection (a) in the future; or
(4)
added the termination of the sanctions is in the vital national security interests of the United States.
(h)
added Regulatory authority— The President shall issue such regulations, licenses, and orders as are necessary to carry out this section.
(i)
added Identification of sanctionable foreign persons— The Assistant Secretary of State for Democracy, Human Rights, and Labor, in consultation with the Assistant Secretary of State for Consular Affairs and other bureaus of the Department of State, as appropriate, is authorized to submit to the Secretary of State, for review and consideration, the names of foreign persons who may meet the criteria described in subsection (a).
(j)
added Appropriate congressional committees defined— In this section, the term appropriate congressional committees means—
(1)
added the Committee on Banking, Housing, and Urban Affairs and the Committee on Foreign Relations of the Senate; and
(2)
added the Committee on Financial Services and the Committee on Foreign Affairs of the House of Representatives.

Sec. 1284 Reports to Congress

added
(a)
added In general— The President shall submit to the appropriate congressional committees, in accordance with subsection (b), a report that includes—
(1)
added a list of each foreign person with respect to which the President imposed sanctions pursuant to section __03 during the year preceding the submission of the report;
(2)
added a description of the type of sanctions imposed with respect to each such person;
(3)
added the number of foreign persons with respect to which the President—
(A)
added imposed sanctions under section __03(a) during that year; and
(B)
added terminated sanctions under section __03(g) during that year;
(4)
added the dates on which such sanctions were imposed or terminated, as the case may be;
(5)
added the reasons for imposing or terminating such sanctions; and
(6)
added a description of the efforts of the President to encourage the governments of other countries to impose sanctions that are similar to the sanctions authorized by section __03.
(b)
added Dates for submission—
(1)
added Initial report— The President shall submit the initial report under subsection (a) not later than 120 days after the date of the enactment of this Act.
(2)
added Subsequent reports—
(A)
added In general— The President shall submit a subsequent report under subsection (a) on December 10, or the first day thereafter on which both Houses of Congress are in session, of—
(i)
added the calendar year in which the initial report is submitted if the initial report is submitted before December 10 of that calendar year; and
(ii)
added each calendar year thereafter.
(B)
added Congressional statement— Congress notes that December 10 of each calendar year has been recognized in the United States and internationally since 1950 as “Human Rights Day”.
(c)
added Form of report—
(1)
added In general— Each report required by subsection (a) shall be submitted in unclassified form, but may include a classified annex.
(2)
added Exception— The name of a foreign person to be included in the list required by subsection (a)(1) may be submitted in the classified annex authorized by paragraph (1) only if the President—
(A)
added determines that it is vital for the national security interests of the United States to do so;
(B)
added uses the annex in a manner consistent with congressional intent and the purposes of this subtitle; and
(C)
added not later than 15 days before submitting the name in a classified annex, provides to the appropriate congressional committees notice of, and a justification for, including the name in the classified annex despite any publicly available credible information indicating that the person engaged in an activity described in section __03(a).
(d)
added Public availability—
(1)
added In general— The unclassified portion of the report required by subsection (a) shall be made available to the public, including through publication in the Federal Register.
(2)
added Nonapplicability of confidentiality requirement with respect to visa records— The President shall publish the list required by subsection (a)(1) without regard to the requirements of section 222(f) of the Immigration and Nationality Act (8 U.S.C. 1202(f)) with respect to confidentiality of records pertaining to the issuance or refusal of visas or permits to enter the United States.
(e)
added Appropriate congressional committees defined— In this section, the term appropriate congressional committees means—
(1)
added the Committee on Appropriations, the Committee on Banking, Housing, and Urban Affairs, the Committee on Foreign Relations, and the Committee on the Judiciary of the Senate; and
(2)
added the Committee on Appropriations, the Committee on Financial Services, the Committee on Foreign Affairs, and the Committee on the Judiciary of the House of Representatives.

Sec. 1421 Authority to destroy certain specified World War II-era United States-origin chemical munitions located on San Jose Island, Republic of Panama

(a)
Authority—
(1)
In general— Subject to subsection (b), the Secretary of Defense may destroy the chemical munitions described in subsection (c).
(2)
Ex gratia action— The action authorized by this section is “ex gratia” on the part of the United States, as the term ex gratia is used in section 321 of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999 (10 U.S.C. 2701 note).
(3)
Consultation between Secretary of Defense and Secretary of State— The Secretary of Defense and the Secretary of State shall consult and develop any arrangements with the Republic of Panama with respect to this section.
(b)
Conditions— The Secretary of Defense may exercise the authority under subsection (a) only if the Republic of Panama has—
(1)
revised the declaration of the Republic of Panama under the Convention on the Prohibition of the Development, Production, Stockpiling and Use of Chemical Weapons and on Their Destruction to indicate that the chemical munitions described in subsection (c) are “old chemical weapons” rather than “abandoned chemical weapons”; and
(2)
affirmed, in writing, that it understands—
(A)
that the United States intends only to destroy the munitions described in subsections (c) and (d); and
(B)
that the United States is not legally obligated and does not intend to destroy any other munitions, munitions constituents, and associated debris that may be located on San Jose Island as a result of research, development, and testing activities conducted on San Jose Island during the period of 1943 through 1947.
(c)
Chemical munitions— The chemical munitions described in this subsection are the eight United States-origin chemical munitions located on San Jose Island, Republic of Panama, that were identified in the 2002 Final Inspection Report of the Technical Secretariat of the Organization for the Prohibition of Chemical Weapons.
(d)
changed Limited incidental authority to To destroy other munitions— In exercising the authority under subsection (a), the Secretary of Defense may destroy other munitions located on San Jose Island, Republic of Panama, but only to the extent essential and required to reach and destroy the chemical munitions described in subsection (c).
(e)
Funds— Of the amounts authorized to be appropriated for fiscal year 2017 for the Department of Defense for Chemical Agents and Munitions Destruction, Defense by section 1402, up to $30,000,000 may be used to carry out the authority in subsection (a).

Sec. 1422 National Academies of Sciences study on conventional munitions demilitarization alternative technologies

added
(a)
added In general— The Secretary of the Army shall enter into an arrangement with the Board on Army Science and Technology of the National Academies of Sciences, Engineering, and Medicine to conduct a study of the conventional munitions demilitarization program of the Department of Defense.
(b)
added Elements— The study required pursuant to subsection (a) shall include the following:
(1)
added A review of the current conventional munitions demilitarization stockpile, including types of munitions and types of materials contaminated with propellants or energetics, and the disposal technologies used.
(2)
added An analysis of disposal, treatment, and reuse technologies, including technologies currently used by the Department and emerging technologies used or being developed by private or other governmental agencies, including a comparison of cost, throughput capacity, personnel safety, and environmental impacts.
(3)
added An identification of munitions types for which alternatives to open burning, open detonation, or non-closed loop incineration/combustion are not used.
(4)
added An identification and evaluation of any barriers to full-scale deployment of alternatives to open burning, open detonation, or non-closed loop incineration/combustion, and recommendations to overcome such barriers.
(5)
added An evaluation whether the maturation and deployment of governmental or private technologies currently in research and development would enhance the conventional munitions demilitarization capabilities of the Department.
(c)
added Submittal to Congress— Not later than 18 months after the date of the enactment of this Act, the Secretary shall submit to the congressional defense committees the study conducted pursuant to subsection (a).

Sec. 1610 Limitation on availability of fiscal year 2017 funds for the Global Positioning System Next Generation Operational Control System

changed Amounts authorized to be appropriated for fiscal year 2017 by this Act and available for the Global Positioning System Next Generation Operational Control System (GPS-OCX) (GPS–OCX) may not be obligated or expended for the current product development contract for that System, or for any other purpose in connection with that System, until the Secretary of Defense submits to Congress the certification on the System required pursuant to section 2433a(c)(2) of title 10, United States Code, as a result of the determination not to terminate procurement of that System.

Sec. 1655 Expedited decision with respect to securing land-based missile fields

added

added To mitigate any risk posed to the nuclear forces of the United States by the failure to replace the UH–1N helicopter, the Secretary of Defense shall, in consultation with the Chairman of the Joint Chiefs of Staff—

(1)
added decide if the land-based missile fields using UH–1N helicopters meet security requirements and if there are any shortfalls or gaps in meeting such requirements;
(2)
added not later than 30 days after the date of the enactment of this Act, submit to Congress a report on the decision relating to a request for forces required by paragraph (1); and
(3)
added if the Chairman determines the implementation of the decision to be warranted to mitigate any risk posed to the nuclear forces of the United States—
(A)
added not later than 60 days after such date of enactment, implement that decision; or
(B)
added if the Secretary cannot implement that decision during the period specified in subparagraph (A), not later than 45 days after such date of enactment, submit to Congress a report that includes a proposal for the date by which the Secretary can implement that decision and a plan to carry out that proposal.

Sec. 1673 Cyber Center for Education and Innovation and National Cryptologic Museum

(a)
In general— Chapter 449 of title 10, United States Code, is amended by adding at the end the following new section:

“4781. Cyber Center for Education and Innovation and National Cryptologic Museum

“(a) Establishment authorized—The Secretary of Defense may establish at Fort George G. Meade, Maryland, a center to be known as the “Cyber Center for Education and Innovation and the National Cryptologic Museum” (in this section referred to as the “Center”). The Center may be used for the identification, curation, storage, and public viewing of materials relating to the activities of the National Security Agency and the Central Security Service, any predecessor or successor organizations, and the history of cryptology. The Center may contain meeting, conference, and classroom facilities that will be used to support such education, training, public outreach, and other purposes as the Secretary considers appropriate.

“(b) Design, construction, and operation—The Secretary may enter into an agreement with the National Cryptologic Museum Foundation (in this section referred to as the “Foundation”), a non-profit organization, for the design, construction, and operation of the Center.

“(c) Acceptance authority

“(1) Acceptance of facility—If the Foundation constructs the Center pursuant to an agreement under subsection (b), upon satisfactory completion of the Center’s construction or any phase thereof, as determined by the Secretary, and upon full satisfaction by the Foundation of any other obligations pursuant to such agreement, the Secretary may accept the Center or such phase from the Foundation, and all right, title, and interest in the Center or such phase shall vest in the United States.

“(2) Acceptance of services—Notwithstanding section 1342 of title 31, the Secretary may accept services from the Foundation. For purposes of this section and any other provision of law, employees or personnel of the Foundation may not be considered to be employees of the United States.

“(d) Use of certain gifts

“(1) Management of smaller gifts—Under regulations prescribed by the Secretary, the Director of the National Security Agency may, without regard to section 2601 of this title, accept, hold, administer, invest, and spend for the benefit of the Center any gift, devise, or bequest of personal property, or of money of a value of $500,000 or less, made for the benefit of the Center.

“(2) Payment of expenses—The Director may pay or authorize the payment of any reasonable and necessary expenses in connection with the conveyance or transfer of a gift, devise, or bequest under this subsection.

changed “(e) Authority to To assess fees and use of funds

“(1) Fees and user charges—Under regulations prescribed by the Secretary, the Director may assess fees and user charges for the use of Center facilities and property, including rental, user, conference, and concession fees.

“(2) Use of funds—Amounts received by the Secretary under paragraph (1) shall be used for the benefit of the Center.

“(f) Fund—If the Center is established pursuant to subsection (a), there shall be established on the books of the Treasury a fund to be known as the “Cyber Center for Education and Innovation and National Cryptologic Museum Fund”. Gifts of money under subsection (d), and fees and user charges received under subsection (e), shall be deposited in the fund and be available until expended for the benefit of the Center, including costs of operation and of the acquisition of books, manuscripts, works of art, historical artifacts, drawings, plans, models, and condemned or obsolete combat materiel.”

(b)
Clerical amendment— The table of sections at the beginning of chapter 449 is amended by adding at the end the following new item:

Sec. 2615 Report on replacement of security forces and communications training facility at Frances S. Gabreski Air National Guard Base, New York

added
(a)
added Findings— Congress makes the following findings:
(1)
added The 106th Rescue Wing at Francis S. Gabreski Air National Guard Base, New York, provides combat search and rescue coverage for United States and allied forces.
(2)
added The mission of 106th Rescue Wing is to provide worldwide Personnel Recovery, Combat Search and Rescue Capability, Expeditionary Combat Support, and Civil Search and Rescue Support to Federal and State entities.
(3)
added The current security forces and communications facility at Frances S. Gabreski Air National Guard Base, specifically building 250, has fire safety deficiencies and does not comply with anti-terrorism/force protection standards, creating hazardous conditions for members of the Armed Forces and requiring expeditious abatement.
(b)
added Report— Not later than 180 days after the date of the enactment of this Act, the Secretary of the Air Force shall submit to the congressional defense committees a report setting forth an assessment of the need to replace the security forces and communications training facility at Frances S. Gabreski Air National Guard Base.

Sec. 2824 Transfer of Fort Belvoir Mark Center Campus from the Secretary of the Army to the Secretary of Defense and applicability of certain provisions of law relating to the Pentagon Reservation

(a)
Inclusion of mark center campus under pentagon reservation authorities—
(1)
Definition of pentagon reservation— Paragraph (1) of subsection (f) of section 2674 of title 10, United States Code, is amended to read as follows:

“(1) The term Pentagon Reservation means the Pentagon, the Mark Center Campus, and the Raven Rock Mountain Complex.”

(2)
Other definitions— Such subsection is further amended by adding at the end the following new paragraphs:

“(3) The term Pentagon means that area of land (consisting of approximately 227 acres) and improvements thereon, including parking areas, located in Arlington County, Virginia, containing the Pentagon Office Building and its supporting facilities.

“(4) The term Mark Center Campus means that area of land (consisting of approximately 16 acres) and improvements thereon, including parking areas, located in Alexandria, Virginia, and known on the day before the date of the enactment of this paragraph as the Fort Belvoir Mark Center Campus.

“(5) The term Raven Rock Mountain Complex means that area of land (consisting of approximately 720 acres) and improvements thereon, including parking areas, at the Raven Rock Mountain Complex and its supporting facilities located in Maryland and Pennsylvania.”

(3)
Conforming amendment relating to law enforcement authority— Subsection (b)(1) of such section is amended by inserting “for the Pentagon Reservation and” after “law enforcement and security functions”.
(4)
Conforming amendment relating to definitions— Subsection (g) of such section is repealed.
(b)
Update to reference to secretary of defense authority— Subsection (a) of such section is amended—
(1)
by striking “Jurisdiction” and inserting “The Secretary of Defense has jurisdiction”; and
(2)
by striking “is transferred to the Secretary of Defense”.
(c)
Repeal of obsolete reporting requirement— Such subsection is further amended—
(1)
by striking “(1)” after “(a)”; and
(2)
by striking paragraphs (2) and (3).
(d)
Subsection captions— Such section is further amended—
(1)
in subsection (a), as amended by subsection (c) of this section, by inserting “Pentagon reservation.—” after “(a)”;
(2)
in subsection (b), by striking “(b)(1)” and inserting “(b) Law enforcement authorities and personnel.—(1)”;
(3)
in subsection (c), by striking “(c)(1)” and inserting “(c) Regulations and enforcement.—(1)”;
(4)
changed in subsection (d), by inserting “Authority to To charge for provision of certain services and facilities.—” after “(d)”;
(5)
in subsection (e), by striking “(e)(1)” and inserting “(e) Pentagon reservation maintenance revolving fund.—(1)”; and
(6)
in subsection (f), by inserting “Definitions.—” after “(f)”.

Sec. 2826 Lease, Joint Base Elmendorf-Richardson, Alaska

added
(a)
added Leases authorized—
(1)
added Lease to municipality of Anchorage— The Secretary of the Air Force may lease to the Municipality of Anchorage, Alaska, certain real property, to include improvements thereon, at Joint Base Elmendorf-Richardson (“JBER”), Alaska, as more particularly described in subsection (b) for the purpose of permitting the Municipality to use the leased property for recreational purposes.
(2)
added Lease to Mountain View Lions Club— The Secretary of the Air Force may lease to the Mountain View Lions Club certain real property, to include improvements thereon, at JBER, as more particularly described in subsection (b) for the purpose of the installation, operation, maintenance, protection, repair and removal of recreational equipment.
(b)
added Description of property—
(1)
added The real property to be leased under subsection (a)(1) consists of the real property described in Department of the Air Force Lease No. DACA85–1–99–14.
(2)
added The real property to be leased under subsection (a)(2) consists of real property described in Department of the Air Force Lease No. DACA85–1–97–36.
(c)
added Term and conditions of leases—
(1)
added Term of leases— The term of the leases authorized under subsection (a) shall not exceed 25 years.
(2)
added Other terms and conditions— Except as otherwise provided in this section—
(A)
added the remaining terms and conditions of the lease under subsection (a)(1) shall consist of the same terms and conditions described in Department of the Air Force Lease No. DACA85–1–99–14; and
(B)
added the remaining terms and conditions of the lease under subsection (a)(2) shall consist of the same terms and conditions described in Department of the Air Force Lease No. DACA85–1–97–36.
(d)
added Additional terms and conditions— The Secretary may require such additional terms and conditions in connection with the leases under this section as the Secretary considers appropriate to protect the interests of the United States.

Sec. 2842 Exchange of federal land and non-federal land

(a)
In general— If the State offers to convey to the United States title to the non-Federal land, the Secretary shall—
(1)
accept the offer; and
(2)
on receipt of all right, title, and interest in and to the non-Federal land, convey to the State (or a designee) all right, title, and interest of the United States in and to the Federal land.
(b)
Applicable law—
(1)
In general— The land exchange shall be subject to section 206 of the Federal Land Policy and Management Act of 1976 (43 U.S.C. 1716) and other applicable law.
(2)
Effect of study— The Secretary shall carry out the land exchange under this title notwithstanding section 2815(d) of the National Defense Authorization Act for Fiscal Year 2000 (Public Law 106–65; 113 Stat. 852).
(3)
Land use planning— The Secretary shall not be required to undertake any additional land use planning under section 202 of the Federal Land Policy and Management Act of 1976 (43 U.S.C. 1712) before the conveyance of the Federal land under this part.
(c)
Valid existing rights— The exchange authorized under subsection (a) shall be subject to valid existing rights.
(d)
Title approval— Title to the Federal land and non-Federal land to be exchanged under this part shall be in a format acceptable to the Secretary and the State.
(e)
Appraisals—
(1)
In general— The value of the Federal land and the non-Federal land to be exchanged under this part shall be determined by appraisals conducted by 1 or more independent and qualified appraisers.
(2)
State appraiser— The Secretary and the State may agree to use an independent and qualified appraiser retained by the State, with the consent of the Secretary.
(3)
Applicable law— The appraisals under paragraph (1) shall be conducted in accordance with nationally recognized appraisal standards, including, as appropriate, the Uniform Appraisal Standards for Federal Land Acquisitions and the Uniform Standards of Professional Appraisal Practice.
(4)
Minerals—
(A)
Mineral reports— The appraisals under paragraph (1) may take into account mineral and technical reports provided by the Secretary and the State in the evaluation of minerals in the Federal land and non-Federal land.
(B)
Mining claims— Federal land that is encumbered by a mining or millsite claim located under sections 2318 through 2352 of the Revised Statutes (commonly known as the “Mining Law of 1872”) (30 U.S.C. 21 et seq.) shall be appraised in accordance with standard appraisal practices, including, as appropriate, the Uniform Appraisal Standards for Federal Land Acquisition.
(C)
Validity examination— Nothing in this part requires the Secretary to conduct a mineral examination for any mining claim on the Federal land.
(5)
Approval— An appraisal conducted under paragraph (1) shall be submitted to the Secretary and the State for approval.
(6)
Duration— An appraisal conducted under paragraph (1) shall remain valid for 3 years after the date on which the appraisal is approved by the Secretary and the State.
(7)
Cost of appraisal—
(A)
In general— The cost of an appraisal conducted under paragraph (1) shall be paid equally by the Secretary and the State.
(B)
Reimbursement by Secretary— If the State retains an appraiser in accordance with paragraph (2), the Secretary shall reimburse the State in an amount equal to 50 percent of the costs incurred by the State.
(f)
Conveyance of title— It is the intent of Congress that the land exchange authorized under this part shall be completed not later than 1 year after the date of final approval by the Secretary and the State of the appraisals conducted under subsection (e).
(g)
Public inspection and notice—
(1)
Public inspection— At least 30 days before the date of conveyance of the Federal land and non-Federal land, all final appraisals and appraisal reviews for the Federal land and non-Federal land to be exchanged under this part shall be available for public review at the office of the State Director of the Bureau of Land Management in the State.
(2)
Notice— The Secretary or the State, as applicable, shall publish in a newspaper of general circulation in Salt Lake County, Utah, a notice that the appraisals conducted under subsection (e) are available for public inspection.
(h)
Consultation with indian tribes— The Secretary shall consult with any federally recognized Indian tribe in the vicinity of the Federal land and non-Federal land to be exchanged under this part before the completion of the land exchange.
(i)
Equal value exchange—
(1)
In general— The value of the Federal land and non-Federal land to be exchanged under this part—
(A)
shall be equal; or
(B)
shall be made equal in accordance with paragraph (2).
(2)
Equalization—
(A)
Surplus of federal land—
(i)
In general— If the value of the Federal land exceeds the value of the non-Federal land, the value of the Federal land and non-Federal land shall be equalized by the State conveying to the Secretary, as necessary to equalize the value of the Federal land and non-Federal land—
(I)
changed State trust land parcel 1, as described in the assessment entitled “Bureau of Land Management Environmental Assessment UT-100-06-EA”, UT–100–06–EA”, numbered UTU-82090, UTU–82090, and dated March 2008; or
(II)
State trust land located within any of the wilderness areas or national conservation areas in Washington County, Utah, established under subtitle O of title I of the Omnibus Public Land Management Act of 2009 (Public Law 111–11; 123 Stat. 1075).
(ii)
Order of conveyances— Any non-Federal land required to be conveyed to the Secretary under clause (i) shall be conveyed until the value of the Federal land and non-Federal land is equalized.
(B)
Surplus of non-federal land— If the value of the non-Federal land exceeds the value of the Federal land, the value of the Federal land and the non-Federal land shall be equalized—
(i)
by the Secretary making a cash equalization payment to the State, in accordance with section 206(b) of the Federal Land Policy and Management Act of 1976 (43 U.S.C. 1716(b)); or
(ii)
by removing non-Federal land from the exchange.
(j)
Grazing permits—
(1)
In general— If the Federal land or non-Federal land exchanged under this part is subject to a lease, permit, or contract for the grazing of domestic livestock in effect on the date of acquisition, the Secretary and the State shall allow the grazing to continue for the remainder of the term of the lease, permit, or contract, subject to the related terms and conditions of user agreements, including permitted stocking rates, grazing fee levels, access rights, and ownership and use of range improvements.
(2)
Renewal— To the extent allowed by Federal or State law, on expiration of any grazing lease, permit, or contract described in paragraph (1), the holder of the lease, permit, or contract shall be entitled to a preference right to renew the lease, permit, or contract.
(3)
Cancellation—
(A)
In general— Nothing in this part prevents the Secretary or the State from canceling or modifying a grazing permit, lease, or contract if the Federal land or non-Federal land subject to the permit, lease, or contract is sold, conveyed, transferred, or leased for non-grazing purposes by the Secretary or the State.
(B)
Limitation— Except to the extent reasonably necessary to accommodate surface operations in support of mineral development, the Secretary or the State shall not cancel or modify a grazing permit, lease, or contract because the land subject to the permit, lease, or contract has been leased for mineral development.
(4)
Base properties— If non-Federal land conveyed by the State under this part is used by a grazing permittee or lessee to meet the base property requirements for a Federal grazing permit or lease, the land shall continue to qualify as a base property for—
(A)
the remaining term of the lease or permit; and
(B)
the term of any renewal or extension of the lease or permit.
(k)
changed Withdrawal of federal land from mineral entry prior to To exchange— Subject to valid existing rights, the Federal land to be conveyed to the State under this part is withdrawn from mineral location, entry, and patent under the mining laws pending conveyance of the Federal land to the State.

Sec. 3113 Limitation on acceleration of dismantlement of retired nuclear weapons

(a)
changed Limitation— Except as provided in subsections (b) and (c), none of the funds authorized to be appropriated by this Act or otherwise made available for any of fiscal years 2017 through 2021 for the National Nuclear Security Administration may be obligated or expended to accelerate the dismantlement of the nuclear weapons of the United States to a rate faster than the rate mandated by the total projected dismantlement schedule included in table 2-7 2–7 of the annex to the stockpile stewardship and management plan for fiscal year 2016 submitted to Congress in March 2015 under section 4203 of the Atomic Energy Defense Act (50 U.S.C. 2523).
(b)
Exception for compliance with certain commitments—
(1)
Certification— The limitation under subsection (a) shall not apply with respect to a fiscal year if the President submits to the appropriate congressional committees a certification that the President has—
(A)
requested, in the budget of the President for that fiscal year submitted to Congress under section 1105(a) of title 31, United States Code, sufficient amounts to fulfill for that fiscal year all commitments related to nuclear modernization funding, capabilities, and schedules that the President made to the Senate during the consideration by the Senate of the resolution of advice and consent to ratification of the New START Treaty, as described in—
(i)
the document entitled, “Message from the President on the New START Treaty”, dated February 2, 2011; and
(ii)
the fiscal year 2012 update to the report required by section 1251 of the National Defense Authorization Act for Fiscal Year 2010 (Public Law 111–84; 123 Stat. 2549), submitted to Congress in February 2011; and
(B)
except as provided in paragraph (2), fulfilled all such commitments.
(2)
Exception— If, for any fiscal year covered by the limitation under subsection (a), an appropriations Act is enacted that appropriates amounts that are insufficient for the President to fulfill the commitments described in paragraph (1)(A), the President may certify under paragraph (1)(B) that the President has fulfilled such commitments to the extent possible with available funds.
(c)
Exception for certain stockpile management and life extension components— The limitation under subsection (a) shall not apply if the President submits to the appropriate congressional committees a written certification that the funds described in subsection (a) are required for activities necessary to obtain critical components that could not reasonably be acquired elsewhere for use in life extension, weapon alteration, or weapon modification programs as described in the stockpile stewardship and management plan for fiscal year 2016 submitted to Congress in March 2015 under section 4203 of the Atomic Energy Defense Act (50 U.S.C. 2523).
(d)
Definitions— In this section:
(1)
Appropriate congressional committees— The term appropriate congressional committees means—
(A)
the congressional defense committees;
(B)
the Committee on Foreign Relations and the Select Committee on Intelligence of the Senate; and
(C)
the Committee on Foreign Affairs and the Permanent Select Committee on Intelligence of the House of Representatives.
(2)
New START treaty— The term New START Treaty means the Treaty between the United States of America and the Russian Federation on Measures for the Further Reduction and Limitation of Strategic Offensive Arms, signed on April 8, 2010, and entered into force on February 5, 2011.

Sec. 3302 Medical certification of certain small aircraft pilots

(a)
In general— Not later than 180 days after the date of the enactment of this Act, the Administrator of the Federal Aviation Administration shall issue or revise regulations to ensure that an individual may operate as pilot in command of a covered aircraft if—
(1)
the individual possesses a valid driver's license issued by a State, territory, or possession of the United States and complies with all medical requirements or restrictions associated with that license;
(2)
the individual holds a medical certificate issued by the Federal Aviation Administration on the date of the enactment of this Act, held such a certificate at any point during the 10-year period preceding such date of the enactment, or obtains such a certificate after such date of enactment;
(3)
the most recent medical certificate issued by the Federal Aviation Administration to the individual—
(A)
indicates whether the certificate is first, second, or third class;
(B)
may include authorization for special issuance;
(C)
may be expired;
(D)
cannot have been revoked or suspended; and
(E)
cannot have been withdrawn;
(4)
the most recent application for airman medical certification submitted to the Federal Aviation Administration by the individual cannot have been completed and denied;
(5)
the individual has completed a medical education course described in subsection (c) during the 24 calendar months before acting as pilot in command of a covered aircraft and demonstrates proof of completion of the course;
(6)
the individual, when serving as a pilot in command, is under the care and treatment of a physician if the individual has been diagnosed with any medical condition that may impact the ability of the individual to fly;
(7)
the individual has received a comprehensive medical examination from a State-licensed physician during the previous 48 months and—
(A)
prior to the examination, the individual—
(i)
completed the individual's section of the checklist described in subsection (b); and
(ii)
provided the completed checklist to the physician performing the examination; and
(B)
the physician conducted the comprehensive medical examination in accordance with the checklist described in subsection (b), checking each item specified during the examination and addressing, as medically appropriate, every medical condition listed, and any medications the individual is taking; and
(8)
the individual is operating in accordance with the following conditions:
(A)
The covered aircraft is carrying not more than 5 passengers.
(B)
The individual is operating the covered aircraft under visual flight rules or instrument flight rules.
(C)
The flight, including each portion of that flight, is not carried out—
(i)
for compensation or hire, including that no passenger or property on the flight is being carried for compensation or hire;
(ii)
at an altitude that is more than 18,000 feet above mean sea level;
(iii)
outside the United States, unless authorized by the country in which the flight is conducted; or
(iv)
at an indicated air speed exceeding 250 knots.
(b)
Comprehensive medical examination—
(1)
In general— Not later than 180 days after the date of the enactment of this Act, the Administrator shall develop a checklist for an individual to complete and provide to the physician performing the comprehensive medical examination required in subsection (a)(7).
(2)
Requirements— The checklist shall contain—
(A)
a section, for the individual to complete that contains—
(i)
boxes 3 through 13 and boxes 16 through 19 of the Federal Aviation Administration Form 8500–8 (3–99);
(ii)
a signature line for the individual to affirm that—
(I)
the answers provided by the individual on that checklist, including the individual's answers regarding medical history, are true and complete;
(II)
the individual understands that he or she is prohibited under Federal Aviation Administration regulations from acting as pilot in command, or any other capacity as a required flight crew member, if he or she knows or has reason to know of any medical deficiency or medically disqualifying condition that would make the individual unable to operate the aircraft in a safe manner; and
(III)
the individual is aware of the regulations pertaining to the prohibition on operations during medical deficiency and has no medically disqualifying conditions in accordance with applicable law;
(B)
a section with instructions for the individual to provide the completed checklist to the physician performing the comprehensive medical examination required in subsection (a)(7); and
(C)
a section, for the physician to complete, that instructs the physician—
(i)
to perform a clinical examination of—
(I)
head, face, neck, and scalp;
(II)
nose, sinuses, mouth, and throat;
(III)
ears, general (internal and external canals), and eardrums (perforation);
(IV)
eyes (general), ophthalmoscopic, pupils (equality and reaction), and ocular motility (associated parallel movement, nystagmus);
(V)
lungs and chest (not including breast examination);
(VI)
heart (precordial activity, rhythm, sounds, and murmurs);
(VII)
vascular system (pulse, amplitude, and character, and arms, legs, and others);
(VIII)
abdomen and viscera (including hernia);
(IX)
anus (not including digital examination);
(X)
skin;
(XI)
G–U system (not including pelvic examination);
(XII)
upper and lower extremities (strength and range of motion);
(XIII)
spine and other musculoskeletal;
(XIV)
identifying body marks, scars, and tattoos (size and location);
(XV)
lymphatics;
(XVI)
neurologic (tendon reflexes, equilibrium, senses, cranial nerves, and coordination, etc.);
(XVII)
psychiatric (appearance, behavior, mood, communication, and memory);
(XVIII)
general systemic;
(XIX)
hearing;
(XX)
vision (distant, near, and intermediate vision, field of vision, color vision, and ocular alignment);
(XXI)
blood pressure and pulse; and
(XXII)
anything else the physician, in his or her medical judgment, considers necessary;
(ii)
to exercise medical discretion to address, as medically appropriate, any medical conditions identified, and to exercise medical discretion in determining whether any medical tests are warranted as part of the comprehensive medical examination;
(iii)
to discuss all drugs the individual reports taking (prescription and nonprescription) and their potential to interfere with the safe operation of an aircraft or motor vehicle;
(iv)
to sign the checklist, stating: “I certify that I discussed all items on this checklist with the individual during my examination, discussed any medications the individual is taking that could interfere with their ability to safely operate an aircraft or motor vehicle, and performed an examination that included all of the items on this checklist. I certify that I am not aware of any medical condition that, as presently treated, could interfere with the individual's ability to safely operate an aircraft.”; and
(v)
to provide the date the comprehensive medical examination was completed, and the physician's full name, address, telephone number, and State medical license number.
(3)
Logbook— The completed checklist shall be retained in the individual's logbook and made available on request.
(c)
Medical education course requirements— The medical education course described in this subsection shall—
(1)
be available on the Internet free of charge;
(2)
be developed and periodically updated in coordination with representatives of relevant nonprofit and not-for-profit general aviation stakeholder groups;
(3)
educate pilots on conducting medical self-assessments;
(4)
advise pilots on identifying warning signs of potential serious medical conditions;
(5)
identify risk mitigation strategies for medical conditions;
(6)
increase awareness of the impacts of potentially impairing over-the-counter and prescription drug medications;
(7)
encourage regular medical examinations and consultations with primary care physicians;
(8)
inform pilots of the regulations pertaining to the prohibition on operations during medical deficiency and medically disqualifying conditions;
(9)
provide the checklist developed by the Federal Aviation Administration in accordance with subsection (b); and
(10)
upon successful completion of the course, electronically provide to the individual and transmit to the Federal Aviation Administration—
(A)
a certification of completion of the medical education course, which shall be printed and retained in the individual's logbook and made available upon request, and shall contain the individual's name, address, and airman certificate number;
(B)
subject to subsection (d), a release authorizing the National Driver Register through a designated State Department of Motor Vehicles to furnish to the Federal Aviation Administration information pertaining to the individual's driving record;
(C)
a certification by the individual that the individual is under the care and treatment of a physician if the individual has been diagnosed with any medical condition that may impact the ability of the individual to fly, as required under (a)(6);
(D)
a form that includes—
(i)
the name, address, telephone number, and airman certificate number of the individual;
(ii)
the name, address, telephone number, and State medical license number of the physician performing the comprehensive medical examination required in subsection (a)(7);
(iii)
the date of the comprehensive medical examination required in subsection (a)(7); and
(iv)
a certification by the individual that the checklist described in subsection (b) was followed and signed by the physician in the comprehensive medical examination required in subsection (a)(7); and
(E)
a statement, which shall be printed, and signed by the individual certifying that the individual understands the existing prohibition on operations during medical deficiency by stating: “I understand that I cannot act as pilot in command, or any other capacity as a required flight crew member, if I know or have reason to know of any medical condition that would make me unable to operate the aircraft in a safe manner.”.
(d)
National driver register— The authorization under subsection (c)(10)(B) shall be an authorization for a single access to the information contained in the National Driver Register.
(e)
Special issuance process—
(1)
In general— An individual who has qualified for the third-class medical certificate exemption under subsection (a) and is seeking to serve as a pilot in command of a covered aircraft shall be required to have completed the process for obtaining an Authorization for Special Issuance of a Medical Certificate for each of the following:
(A)
A mental health disorder, limited to an established medical history or clinical diagnosis of—
(i)
personality disorder that is severe enough to have repeatedly manifested itself by overt acts;
(ii)
psychosis, defined as a case in which an individual—
(I)
has manifested delusions, hallucinations, grossly bizarre or disorganized behavior, or other commonly accepted symptoms of psychosis; or
(II)
may reasonably be expected to manifest delusions, hallucinations, grossly bizarre or disorganized behavior, or other commonly accepted symptoms of psychosis;
(iii)
bipolar disorder; or
(iv)
substance dependence within the previous 2 years, as defined in section 67.307(a)(4) of title 14, Code of Federal Regulations.
(B)
A neurological disorder, limited to an established medical history or clinical diagnosis of any of the following:
(i)
Epilepsy.
(ii)
Disturbance of consciousness without satisfactory medical explanation of the cause.
(iii)
A transient loss of control of nervous system functions without satisfactory medical explanation of the cause.
(C)
A cardiovascular condition, limited to a one-time special issuance for each diagnosis of the following:
(i)
Myocardial infraction.
(ii)
Coronary heart disease that has required treatment.
(iii)
Cardiac valve replacement.
(iv)
Heart replacement.
(2)
Special rule for cardiovascular conditions— In the case of an individual with a cardiovascular condition, the process for obtaining an Authorization for Special Issuance of a Medical Certificate shall be satisfied with the successful completion of an appropriate clinical evaluation without a mandatory wait period.
(3)
Special rule for mental health conditions—
(A)
In the case of an individual with a clinically diagnosed mental health condition, the third-class medical certificate exemption under subsection (a) shall not apply if—
(i)
in the judgment of the individual's State-licensed medical specialist, the condition—
(I)
renders the individual unable to safely perform the duties or exercise the airman privileges described in subsection (a)(8); or
(II)
may reasonably be expected to make the individual unable to perform the duties or exercise the privileges described in subsection (a)(8); or
(ii)
the individual's driver's license is revoked by the issuing agency as a result of a clinically diagnosed mental health condition.
(B)
Subject to subparagraph (A), an individual clinically diagnosed with a mental health condition shall certify every 2 years, in conjunction with the certification under subsection (c)(10)(C), that the individual is under the care of a State-licensed medical specialist for that mental health condition.
(4)
Special rule for neurological conditions—
(A)
In the case of an individual with a clinically diagnosed neurological condition, the third-class medical certificate exemption under subsection (a) shall not apply if—
(i)
in the judgment of the individual's State-licensed medical specialist, the condition—
(I)
renders the individual unable to safely perform the duties or exercise the airman privileges described in subsection (a)(8); or
(II)
may reasonably be expected to make the individual unable to perform the duties or exercise the privileges described in subsection (a)(8); or
(ii)
the individual's driver's license is revoked by the issuing agency as a result of a clinically diagnosed neurological condition.
(B)
Subject to subparagraph (A), an individual clinically diagnosed with a neurological condition shall certify every 2 years, in conjunction with the certification under subsection (c)(10)(C), that the individual is under the care of a State-licensed medical specialist for that neurological condition.
(f)
Identification of additional medical conditions for the CACI program—
(1)
In general— Not later than 180 days after the date of the enactment of this Act, the Administrator shall review and identify additional medical conditions that could be added to the program known as the Conditions AMEs Can Issue (CACI) program.
(2)
Consultations— In carrying out paragraph (1), the Administrator shall consult with aviation, medical, and union stakeholders.
(3)
Report required— Not later than 180 days after the date of the enactment of this Act, the Administrator shall submit to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report listing the medical conditions that have been added to the CACI program under paragraph (1).
(g)
Expedited authorization for special issuance of a medical certificate—
(1)
In general— The Administrator shall implement procedures to expedite the process for obtaining an Authorization for Special Issuance of a Medical Certificate under section 67.401 of title 14, Code of Federal Regulations.
(2)
Consultations— In carrying out paragraph (1), the Administrator shall consult with aviation, medical, and union stakeholders.
(3)
Report required— Not later than 1 year after the date of the enactment of this Act, the Administrator shall submit to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report describing how the procedures implemented under paragraph (1) will streamline the process for obtaining an Authorization for Special Issuance of a Medical Certificate and reduce the amount of time needed to review and decide special issuance cases.
(h)
Report required— Not later than 5 years after the date of the enactment of this Act, the Administrator, in coordination with the National Transportation Safety Board, shall submit to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report that describes the effect of the regulations issued or revised under subsection (a) and includes statistics with respect to changes in small aircraft activity and safety incidents.
(i)
Prohibition on enforcement actions— Beginning on the date that is 1 year after the date of the enactment of this Act, the Administrator may not take an enforcement action for not holding a valid third-class medical certificate against a pilot of a covered aircraft for a flight, through a good faith effort, if the pilot and the flight meet the applicable requirements under subsection (a), except paragraph (5) of that subsection, unless the Administrator has published final regulations in the Federal Register under that subsection.
(j)
Covered aircraft defined— In this section, the term covered aircraft means an aircraft that—
(1)
is authorized under Federal law to carry not more than 6 occupants; and
(2)
has a maximum certificated takeoff weight of not more than 6,000 pounds.
(k)
Operations covered— The provisions and requirements covered in this section do not apply to pilots who elect to operate under the medical requirements under subsection (b) or subsection (c) of section 61.23 of title 14, Code of Federal Regulations.
(l)
changed Authority to To require additional information—
(1)
In general— If the Administrator receives credible or urgent information, including from the National Driver Register or the Administrator's Safety Hotline, that reflects on an individual's ability to safely operate a covered aircraft under the third-class medical certificate exemption in subsection (a), the Administrator may require the individual to provide additional information or history so that the Administrator may determine whether the individual is safe to continue operating a covered aircraft.
(2)
Use of information— The Administrator may use credible or urgent information received under paragraph (1) to request an individual to provide additional information or to take actions under section 44709(b) of title 49, United States Code.

Sec. 4001 Authorization of amounts in funding tables

(a)
In general— Whenever a funding table in this division specifies a dollar amount authorized for a project, program, or activity, the obligation and expenditure of the specified dollar amount for the project, program, or activity is hereby authorized, subject to the availability of appropriations.
(b)
Merit-based decisions— A decision to commit, obligate, or expend funds with or to a specific entity on the basis of a dollar amount authorized pursuant to subsection (a) shall—
(1)
be based on merit-based selection procedures in accordance with the requirements of sections 2304(k) and 2374 of title 10, United States Code, or on competitive procedures; and
(2)
comply with other applicable provisions of law.
(c)
changed Relationship to To transfer and programming authority— An amount specified in the funding tables in this division may be transferred or reprogrammed under a transfer or reprogramming authority provided by another provision of this Act or by other law. The transfer or reprogramming of an amount specified in such funding tables shall not count against a ceiling on such transfers or reprogrammings under section 1001 or section 1522 of this Act or any other provision of law, unless such transfer or reprogramming would move funds between appropriation accounts.
(d)
changed Applicability to To classified annex— This section applies to any classified annex that accompanies this Act.
(e)
Oral written communications— No oral or written communication concerning any amount specified in the funding tables in this division shall supersede the requirements of this section.

Sec. 5202 Proceedings conducted before referral

Subchapter VI of chapter 47 of title 10, United States Code, is amended by inserting after section 830 (article 30 of the Uniform Code of Military Justice) the following new section (article):

“830a. Art. 30a. Proceedings conducted before referral

“(a) In general

“(1) The President shall prescribe regulations for proceedings conducted before referral of charges and specifications to court-martial for trial.

“(2) The regulations prescribed under paragraph (1) shall—

“(A) set forth the matters that a military judge may rule upon in such proceedings;

“(B) include procedures for the review of such rulings;

“(C) include appropriate limitations to ensure that proceedings under this section extend only to matters that would be subject to consideration by a military judge in a general or special court-martial; and

“(D) provide such limitations on the relief that may be ordered under this section as the President considers appropriate.

“(3) If any matter in a proceeding under paragraph (1) becomes a subject at issue with respect to charges that have been referred to a general or special court-martial, the matter shall be transferred to the military judge detailed to the court-martial.

“(b) Detail of military judge—The Secretary concerned shall prescribe regulations providing for the manner in which military judges are detailed to proceedings under subsection (a)(1).

changed “(c) Discretion to To designate magistrate to To preside—In accordance with regulations prescribed by the Secretary concerned, a military judge detailed to a proceeding under subsection (a)(1) may designate a military magistrate to preside over the proceeding.”

Sec. 5203 Preliminary hearing required before referral to general court-martial

(a)
In general— Section 832 of title 10, United States Code (article 32 of the Uniform Code of Military Justice), is amended by striking the section heading and subsections (a), (b), and (c) and inserting the following:

“832. Art. 32. Preliminary hearing required before referral to general court-martial

“(a) In general

“(1)

“(A) Except as provided in subparagraph (B), a preliminary hearing shall be held before referral of charges and specifications for trial by general court-martial. The preliminary hearing shall be conducted by an impartial hearing officer, detailed by the convening authority in accordance with subsection (b).

“(B) Under regulations prescribed by the President, a preliminary hearing need not be held if the accused submits a written waiver to the convening authority and the convening authority determines that a hearing is not required.

“(2) The issues for determination at a preliminary hearing are limited to the following:

“(A) Whether or not the specification alleges an offense under this chapter.

“(B) Whether or not there is probable cause to believe that the accused committed the offense charged.

“(C) Whether or not the convening authority has court-martial jurisdiction over the accused and over the offense.

“(b) Hearing officer

“(1) A preliminary hearing under this section shall be conducted by an impartial hearing officer, who—

“(A) whenever practicable, shall be a judge advocate who is certified under section 827(b)(2) of this title (article 27(b)(2)); or

“(B) when it is not practicable to appoint a judge advocate because of exceptional circumstances, is not a judge advocate so certified.

“(2) In the case of a hearing officer under paragraph (1)(B), a judge advocate who is certified under section 827(b)(2) of this title (article 27(b)(2)) shall be available to provide legal advice to the hearing officer.

“(3) Whenever practicable, the hearing officer shall be equal in grade or senior in grade to military counsel who are detailed to represent the accused or the Government at the preliminary hearing.

changed “(c) Report to To convening authority—After a preliminary hearing under this section, the hearing officer shall submit to the convening authority a written report (accompanied by a recording of the preliminary hearing under subsection (e)) that includes the following:

“(1) For each specification, a statement of the reasoning and conclusions of the hearing officer with respect to determinations under subsection (a)(2), including a summary of relevant witness testimony and documentary evidence presented at the hearing and any observations of the hearing officer concerning the testimony of witnesses and the availability and admissibility of evidence at trial.

“(2) Recommendations for any necessary modifications to the form of the charges or specifications.

“(3) An analysis of any additional information submitted after the hearing by the parties or by a victim of an offense, that, under such rules as the President may prescribe, is relevant to disposition under sections 830 and 834 of this title (articles 30 and 34).

“(4) A statement of action taken on evidence adduced with respect to uncharged offenses, as described in subsection (f).”

(b)
Sundry amendments— Subsection (d) of such section (article) is amended—
(1)
in paragraph (1), by striking “subsection (a)” in the first sentence and inserting “this section”;
(2)
in paragraph (2), by striking “in defense” and all that follows through the end and inserting “that is relevant to the issues for determination under subsection (a)(2).”;
(3)
in paragraph (3), by adding at the end the following new sentence: “A declination under this paragraph shall not serve as the sole basis for ordering a deposition under section 849 of this title (article 49).”; and
(4)
in paragraph (4), by striking “the limited purposes of the hearing, as provided in subsection (a)(2)” and inserting “determinations under subsection (a)(2)”.
(c)
Reference to MCM— Subsection (e) of such section (article) is amended by striking “as prescribed by the Manual for Courts-Martial” in the second sentence and inserting “under such rules as the President may prescribe”.
(d)
Effect of violation— Subsection (g) of such section (article) is amended by adding at the end the following new sentence: “A defect in a report under subsection (c) is not a basis for relief if the report is in substantial compliance with that subsection.”.
(e)
Conforming amendments— The following provisions are each amended by striking “investigating officer” and inserting “preliminary heating officer”:
(1)
Section 806b(a)(3) of title 10, United States Code (article 6b(a)(3) of the Uniform Code of Military Justice).
(2)
Section 825(d)(2) of such title (article 25(d)(2) of the Uniform Code of Military Justice).
(3)
Section 826(d) of such title (article 26(d) of the Uniform Code of Military Justice).

Sec. 5225 Statute of limitations

(a)
Increase in period for child abuse offenses— Subsection (b)(2)(A) of section 843 of title 10, United States Code (article 43 of the Uniform Code of Military Justice), is amended by striking “five years” and inserting “ten years”.
(b)
Increase in period for fraudulent enlistment or appointment offenses— Such section (article) is further amended by adding at the end the following new subsection:

“(h) Fraudulent enlistment or appointment—A person charged with fraudulent enlistment or fraudulent appointment under section 904a(1) of this title (article 104a(1)) may be tried by court-martial if the sworn charges and specifications are received by an officer exercising summary court-martial jurisdiction with respect to that person, as follows:

“(1) In the case of an enlisted member, during the period of the enlistment or five years, whichever provides a longer period.

“(2) In the case of an officer, during the period of the appointment or five years, whichever provides a longer period.”

(c)
DNA evidence— Such section (article), as amended by subsection (b) of this section, is further amended by adding at the end the following new subsection:

changed “(i) Dna DNA evidence—If DNA testing implicates an identified person in the commission of an offense punishable by confinement for more than one year, no statute of limitations that would otherwise preclude prosecution of the offense shall preclude such prosecution until a period of time following the implication of the person by DNA testing has elapsed that is equal to the otherwise applicable limitation period.”

(d)
Conforming amendments— Subsection (b)(2)(B) of such section (article) is amended by striking clauses (i) through (v) and inserting the following new clauses:

“(i) Any offense in violation of section 920, 920a, 920b, 920c, or 930 of this title (article 120, 120a, 120b, 120c, or 130), unless the offense is covered by subsection (a).

“(ii) Maiming in violation of section 928a of this title (article 128a).

“(iii) Aggravated assault, assault consummated by a battery, or assault with intent to commit specified offenses in violation of section 928 of this title (article 128).

“(iv) Kidnapping in violation of section 925 of this title (article 125).”

(e)
Subsection heading amendments for stylistic consistency— Such section (article) is further amended—
(1)
in subsection (a), by inserting “No limitation for certain offenses.—” after “(a)”;
(2)
in subsection (b), by inserting “Five-year limitation for trial by court-martial.—” after “(b)”;
(3)
in subsection (c), by inserting “Tolling for absence without leave or flight from justice.—” after “(c)”;
(4)
in subsection (d), by inserting “Tolling for absence from US or military jurisdiction.—” after “(d)”;
(5)
changed in subsection (e), by inserting “Extension for offenses in time of war detrimental to To prosecution of war.—” after “(e)”;
(6)
in subsection (f), by inserting “Extension for other offenses in time of war.—” after “(f)”; and
(7)
in subsection (g), by inserting “Defective or insufficient charges.—” after “(g)”.
(e)
Application— The amendments made by subsections (a), (b), (c), and (d) shall apply to the prosecution of any offense committed before, on, or after the date of the enactment of this subsection if the applicable limitation period has not yet expired.

Sec. 5261 Sentencing

(a)
In general— Section 856 of title 10, United States Code (article 56 of the Uniform Code of Military Justice), is amended to read as follows:

“856. Art. 56. Sentencing

“(a) Sentence maximums—The punishment which a court-martial may direct for an offense may not exceed such limits as the President may prescribe for that offense.

“(b) Sentence minimums for certain offenses

“(1) In general—Except as provided in section 853a(d) of this title (article 53a(d)), punishment for any offense specified in paragraph (2) shall include dismissal or dishonorable discharge, as applicable.

“(2) Offenses—The offenses referred to in paragraph (1) are as follows:

“(A) Rape under subsection (a) of section 920 of this title (article 120).

“(B) Sexual assault under subsection (b) of such section (article).

“(C) Rape of a child under subsection (a) of section 920b of this title (article 120b).

“(D) Sexual assault of a child under subsection (b) of such section (article).

“(E) An attempt to commit an offense specified in subparagraph (A), (B), (C), or (D) that is punishable under section 880 of this title (article 80).

“(c) Imposition of sentence

“(1) In general—In sentencing an accused under section 853 of this title (article 53), a court-martial shall impose punishment that is sufficient, but not greater than necessary, to promote justice and to maintain good order and discipline in the armed forces, taking into consideration—

“(A) the nature and circumstances of the offense and the history and characteristics of the accused;

“(B) the impact of the offense on—

“(i) the financial, social, psychological, or medical well-being of any victim of the offense; and

“(ii) the mission, discipline, or efficiency of the command of the accused and any victim of the offense;

“(C) the need for the sentence—

“(i) to reflect the seriousness of the offense;

“(ii) to promote respect for the law;

“(iii) to provide just punishment for the offense;

“(iv) to promote adequate deterrence of misconduct;

“(v) to protect others from further crimes by the accused;

“(vi) to rehabilitate the accused; and

“(vii) to provide, in appropriate cases, the opportunity for retraining and return to duty to meet the needs of the service;

“(D) the sentences available under this chapter; and

“(E) the applicable sentencing parameters or sentencing criteria prescribed under this section.

“(2) Application of sentencing parameters in general and special courts-martial

“(A) In general—Except as provided in subparagraph (B), in a general or special court-martial in which the accused is convicted of an offense with a sentencing parameter under subsection (d), the military judge shall sentence the accused for that offense within the applicable parameter.

“(B) Exception—The military judge may impose a sentence outside a sentencing parameter upon finding specific facts that warrant such a sentence. The military judge shall include in the record a written statement of the factual basis for any sentence under this subparagraph.

“(3) Use of sentencing criteria in general and special courts-martial—In a general or special court-martial in which the accused is convicted of an offense with sentencing criteria under subsection (d), the military judge shall consider the applicable sentencing criteria in determining the sentence for that offense.

“(4) Offense based sentencing in general and special courts-martial—In announcing the sentence under section 853 of this title (article 53) in a general or special court-martial, the military judge shall, with respect to each offense of which the accused is found guilty, specify the term of confinement, if any, and the amount of the fine, if any. If the accused is sentenced to confinement for more than one offense, the military judge shall specify whether the terms of confinement are to run consecutively or concurrently.

“(5) Nonapplicability to death penalty—Sentencing parameters and sentencing criteria are not applicable to the issue of whether an offense should be punished by death.

“(6) Sentence of confinement for life without eligibility for parole

“(A) In general—If an offense is subject to a sentence of confinement for life, a court-martial may impose a sentence of confinement for life without eligibility for parole.

“(B) Confinement—An accused who is sentenced to confinement for life without eligibility for parole shall be confined for the remainder of the accused’s life unless—

“(i) the sentence is set aside or otherwise modified as a result of—

“(I) action taken by the convening authority or the Secretary concerned; or

“(II) any other action taken during post-trial procedure and review under any other provision of subchapter IX of this chapter;

“(ii) the sentence is set aside or otherwise modified as a result of action taken by a Court of Criminal Appeals, the Court of Appeals for the Armed Forces, or the Supreme Court; or

“(iii) the accused is pardoned.

“(d) Establishment of sentencing parameters and sentencing criteria

“(1) In general—The President shall prescribe regulations establishing sentencing parameters and sentencing criteria in accordance with this subsection.

“(2) Sentencing parameters

“(A) In general—A sentencing parameter provides a delineated sentencing range for an offense that is appropriate for a typical violation of the offense, taking into consideration—

“(i) the severity of the offense;

“(ii) the guideline or offense category that would apply to the offense if the offense were tried in a United States district court;

“(iii) any military-specific sentencing factors; and

“(iv) the need for the sentencing parameter to be sufficiently broad to allow for individualized consideration of the offense and the accused.

“(B) Elements and scope—Sentencing parameters established under paragraph (1)—

“(i) shall include no fewer than seven and no more than twelve offense categories;

“(ii) other than for offenses identified under paragraph (5)(B), shall assign each offense under this chapter to an offense category;

“(iii) shall delineate the confinement range for each offense category by setting an upper confinement limit and a lower confinement limit; and

“(iv) shall be neutral as to the race, sex, national origin, creed, sexual orientation, and socioeconomic status of offenders.

“(3) Sentencing criteria—Sentencing criteria are factors concerning available punishments that may aid the military judge in determining an appropriate sentence when there is no applicable sentencing parameter for a specific offense.

“(4) Military sentencing parameters and criteria board

“(A) In general—There is established within the Department of Defense a board, to be known as the “Military Sentencing Parameters and Criteria Board” (in this subsection referred to as “Board”).

“(B) Voting members—The Board shall have five voting members, as follows:

“(i) The four chief trial judges designated under section 826(g) of this title (article 26(g)), except that, if the chief trial judge of the Coast Guard is not available, the Judge Advocate General of the Coast Guard may designate as a voting member a judge advocate of the Coast Guard with substantial military justice experience.

“(ii) A trial judge of the Navy, designated under regulations prescribed by the President, if the chief trial judges designated under section 826(g) of this title (article 26(g)) do not include a trial judge of the Navy.

“(iii) A trial judge of the Marine Corps, designated under regulations prescribed by the President, if the chief trial judges designated under section 826(g) of this title (article 26(g)) do not include a trial judge of the Marine Corps.

“(C) Nonvoting members—The Attorney General, the Chief Judge of the Court of Appeals for the Armed Forces, the Chairman of the Joint Chiefs of Staff, and the General Counsel of the Department of Defense shall each designate one nonvoting member of the Board.

“(D) Chair and vice-chair—The Secretary of Defense shall designate one voting member as chair of the Board and one voting member as vice-chair of the Board.

“(5) Duties of board

“(A) In general—As directed by the President, the Board shall submit to the President for approval—

“(i) sentencing parameters for all offenses under this chapter, other than offenses that are identified by the Board as unsuitable for sentencing parameters; and

“(ii) sentencing criteria to be used by military judges in determining appropriate sentences for offenses that are identified as unsuitable for sentencing parameters.

“(B) Offenses unsuitable for sentencing parameters—For purposes of this paragraph, an offense is unsuitable for sentencing parameters if—

“(i) the nature of the offense is indeterminate and unsuitable for categorization; and

“(ii) there is no similar criminal offense under the laws of the United States or the laws of the District of Columbia.

“(C) Scope of duties—The Board shall consider the appropriateness of sentencing parameters for punitive discharges, fines, reductions, forfeitures, and other punishments authorized under this chapter.

“(D) Regular review of parameters and criteria—The Board shall regularly review, and propose revision to, in consideration of comments and data coming to its attention, the sentencing parameters and sentencing criteria prescribed under subsection (d)(1).

“(E) Assessment of effectiveness—The Board shall develop means of measuring the degree to which applicable sentencing, penal, and correctional practices are effective with respect to the sentencing factors and policies set forth in this section.

“(F) Consultation—In fulfilling its duties and in exercising its powers, the Board shall consult authorities on, and individual and institutional representatives of, various aspects of the military criminal justice system. The Board shall establish separate advisory groups consisting of individuals with current or recent experience in command and in senior enlisted positions, individuals with experience in the trial of courts-martial, and such other groups as the Board deems appropriate.

“(G) Proposals for amendments to rules for courts-martial—The Board shall submit to the President proposed amendments to the rules for courts-martial with respect to sentencing proceedings and maximum punishments, together with statements explaining the basis for the proposed amendments.

“(H) Proposals for amendments to parameters and criteria—The Board shall submit to the President proposed amendments to the sentencing parameters and sentencing criteria, together with statements explaining the basis for the proposed amendments.

“(I) Nonbinding guidance—The Board may issue nonbinding policy statements to achieve the Board’s purposes and to guide military judges in fashioning appropriate sentences, including guidance on factors that may be relevant in determining where in a sentencing parameter a specification may fall, or whether a deviation outside of the sentencing range may be warranted.

“(J) Inapplicability of FACA—The Federal Advisory Committee Act shall not apply with respect to the Board or any advisory group established by the Board.

“(6) Voting requirement—An affirmative vote of at least three members is required for any action of the Board under this subsection.

“(e) Review of certain sentences

“(1) In general—The Judge Advocate General concerned may send a case to the Court of Criminal Appeals for review of the sentence on the grounds that—

“(A) the sentence violates the law;

“(B) in the case of a sentence for an offense with a sentencing parameter under this section, the sentence is a result of an incorrect application of the parameter; or

“(C) the sentence is plainly unreasonable.

“(2) Timeliness—A case submitted for review under this subsection must be filed within 60 days after the date on which the judgment of a court-martial is entered into the record under section 860c of this title (article 60c).”

(b)
Conforming repeal— Section 856a of title 10, United States Code (article 56a of the Uniform Code of Military Justice), is repealed.
(c)
Implementation of sentencing parameters and criteria—
(1)
changed Regulations— Not later than four years after the date of the enactment of this Act, the President shall prescribe the regulations for sentencing parameters and criteria required by subsection (d) of section 856 of title 10, United States Code (article 56 of the Uniform Code of Military Justice), as amended by subsection (a) of this sectionsection.
(2)
Interim guidance— Not later than two years after the date of the enactment of this Act, the President shall prescribe interim guidance for use in sentencing at courts-martial before the implementation of sentencing parameters and criteria pursuant to the regulations referred to in paragraph (1). Insofar as the President considers practicable, the interim guidance shall be consistent with the purposes and procedures set forth in subsections (c) and (d) of section 856 of title 10, United States Code (article 56 of the Uniform Code of Military Justice), as so amended, taking into account the interim nature of the guidance. For purposes of sentencing under chapter 47 of title 10, United States Code (the Uniform Code of Military Justice), the interim guidance shall be treated as sentencing parameters and criteria.
(3)
Effective dates— The President shall prescribe the effective dates of the regulations referred to in paragraph (1) and of the interim guidance referred to in paragraph (2).
(d)
Prospective repeal of sentence minimums for certain offenses— Upon the taking effect of the interim guidance prescribed under subsection (c)(2) for offenses specified in paragraph (2) of subsection (b) of section 856 of title 10, United States Code (article 56 of the Uniform Code of Military Justice), as in effect on the day after the date of the enactment of this Act—
(1)
section 856 of title 10, United States Code (article 56 of the Uniform Code of Military Justice), as amended by subsection (a) of this section, is further amended—
(A)
in subsection (a), by striking “(a) Sentence Maximums.—”; and
(B)
by striking subsection (b); and
(2)
section 853a of title 10, United States Code (article 53a of the Uniform Code of Military Justice), as added by section 5237 of this Act, is amended by striking subsections (c) and (d) and inserting the following new subsection:

“(c) Limitation on acceptance of plea agreements—The military judge shall reject a plea agreement that—

“(1) contains a provision that has not been accepted by both parties;

“(2) contains a provision that is not understood by the accused; or

“(3) is prohibited by law or by regulation prescribed by the President.”

(e)
Applicability of authority for review of certain sentences— A case may be sent to the Court of Criminal Appeals for review of the sentence in accordance with subsection (e) of section 856 of title 10, United States Code (article 56 of the Uniform Code of Military Justice), as amended by subsection (a), only if the sentence is adjudged on or after the effective date of the interim guidance prescribed under subsection (c)(2).

Sec. 5285 Waiver of right to appeal and withdrawal of appeal

Section 861 of title 10, United States Code (article 61 of the Uniform Code of Military Justice), is amended to read as follows:

“861. Art. 61. Waiver of right to appeal; withdrawal of appeal

changed “(a) Waiver of right to To appeal—After entry of judgment in a general or special court-martial, under procedures prescribed by the Secretary concerned, the accused may waive the right to appeal. Such a waiver shall be—

“(1) signed by the accused and by defense counsel; and

“(2) attached to the record of trial.

“(b) Withdrawal of appeal—In a general or special court-martial, the accused may withdraw an appeal at any time.

“(c) Death penalty case exception—Notwithstanding subsections (a) and (b), an accused may not waive the right to appeal or withdraw an appeal with respect to a judgment that includes a sentence of death.

“(d) Waiver or withdrawal as bar—A waiver or withdrawal under this section bars review under section 866 of this title (article 66).”

Sec. 5289 Transmittal and review of records

Section 865 of title 10, United States Code (article 65 of the Uniform Code of Military Justice), is amended to read as follows:

“865. Art. 65. Transmittal and review of records

“(a) Transmittal of records

“(1) Finding of guilty in general or special court-martial—If the judgment of a general or special court-martial entered under section 860c of this title (article 60c) includes a finding of guilty, the record shall be transmitted to the Judge Advocate General.

“(2) Other cases—In all other cases, records of trial by court-martial and related documents shall be transmitted and disposed of as the Secretary concerned may prescribe by regulation.

“(b) Cases eligible for direct appeal

“(1) Mandatory review—If the judgment includes a sentence of death, the Judge Advocate General shall forward the record of trial to the Court of Criminal Appeals for review under section 866(b)(3) of this title (article 66(b)(3)).

“(2) Cases eligible for direct appeal review

“(A) In general—If the case is eligible for direct review under section 866(b)(1) of this title (article 66(b)(1)), the Judge Advocate General shall—

“(i) forward a copy of the record of trial to an appellate defense counsel who shall be detailed to review the case and, upon request of the accused, to represent the accused before the Court of Criminal Appeals; and

“(ii) upon written request of the accused, forward a copy of the record of trial to civilian counsel provided by the accused.

“(B) Inapplicability—Subparagraph (A) shall not apply if the accused—

“(i) waives the right to appeal under section 861 of this title (article 61); or

“(ii) declines in writing the detailing of appellate defense counsel under subparagraph (A)(i).

changed “(c) Notice of right to To appeal

“(1) In general—The Judge Advocate General shall provide notice to the accused of the right to file an appeal under section 866(b)(1) of this title (article 66(b)(1)) by means of depositing in the United States mails for delivery by first class certified mail to the accused at an address provided by the accused or, if no such address has been provided by the accused, at the latest address listed for the accused in the official service record of the accused.

“(2) Inapplicability upon waiver of appeal—Paragraph (1) shall not apply if the accused waives the right to appeal under section 861 of this title (article 61).

“(d) Review by Judge Advocate General

“(1) By whom—A review conducted under this subsection may be conducted by an attorney within the Office of the Judge Advocate General or another attorney designated under regulations prescribed by the Secretary concerned.

“(2) Review of cases not eligible for direct appeal

“(A) In general—A review under subparagraph (B) shall be completed in each general and special court-martial that is not eligible for direct appeal under paragraph (1) or (3) of section 866(b) of this title (article 66(b)).

“(B) Scope of review—A review referred to in subparagraph (A) shall include a written decision providing each of the following:

“(i) A conclusion as to whether the court had jurisdiction over the accused and the offense.

“(ii) A conclusion as to whether the charge and specification stated an offense.

“(iii) A conclusion as to whether the sentence was within the limits prescribed as a matter of law.

“(iv) A response to each allegation of error made in writing by the accused.

“(3) Review when direct appeal is waived, withdrawn, or not filed

“(A) In general—A review under subparagraph (B) shall be completed in each general and special court-martial if—

“(i) the accused waives the right to appeal or withdraws appeal under section 861 of this title (article 61); or

“(ii) the accused does not file a timely appeal in a case eligible for direct appeal under subparagraph (A), (B), or (C) of section 866(b)(1) of this title (article 66(b)(1)).

“(B) Scope of review—A review referred to in subparagraph (A) shall include a written decision limited to providing conclusions on the matters specified in clauses (i), (ii), and (iii) of paragraph (2)(B).

“(e) Remedy

“(1) In general—If after a review of a record under subsection (d), the attorney conducting the review believes corrective action may be required, the record shall be forwarded to the Judge Advocate General, who may set aside the findings or sentence, in whole or in part.

“(2) Rehearing—In setting aside findings or sentence, the Judge Advocate General may order a rehearing, except that a rehearing may not be ordered in violation of section 844 of this title (article 44).

“(3) Remedy without rehearing

“(A) Dismissal when no rehearing ordered—If the Judge Advocate General sets aside findings and sentence and does not order a rehearing, the Judge Advocate General shall dismiss the charges.

“(B) Dismissal when rehearing impractical—If the Judge Advocate General sets aside findings and orders a rehearing and the convening authority determines that a rehearing would be impractical, the convening authority shall dismiss the charges.”

Sec. 5317 Impersonation offenses

Subchapter X of chapter 47 of title 10, United States Code, is amended by inserting after section 905a (article 105a of the Uniform Code of Military Justice), as added by section 5316 of this Act, the following new section (article):

“906. Art. 106. Impersonation of officer, noncommissioned or petty officer, or agent or official

“(a) In general—Any person subject to this chapter who, wrongfully and willfully, impersonates—

“(1) an officer, a noncommissioned officer, or a petty officer;

“(2) an agent of superior authority of one of the armed forces; or

“(3) an official of a government;

changed “(b) Impersonation with intent to To defraud—Any person subject to this chapter who, wrongfully, willfully, and with intent to defraud, impersonates any person referred to in paragraph (1), (2), or (3) of subsection (a) shall be punished as a court-martial may direct.

changed “(c) Impersonation of government official without intent to To defraud—Any person subject to this chapter who, wrongfully, willfully, and without intent to defraud, impersonates an official of a government by committing an act that exercises or asserts the authority of the office that the person claims to have shall be punished as a court-martial may direct.”

Sec. 5327 Communicating threats

Section 915 of title 10, United States Code (article 115 of the Uniform Code of Military Justice), is amended to read as follows:

“915. Art. 115. Communicating threats

“(a) Communicating threats generally—Any person subject to this chapter who wrongfully communicates a threat to injure the person, property, or reputation of another shall be punished as a court-martial may direct.

changed “(b) Communicating threat to To use explosive, etc—Any person subject to this chapter who wrongfully communicates a threat to injure the person or property of another by use of (1) an explosive, (2) a weapon of mass destruction, (3) a biological or chemical agent, substance, or weapon, or (4) a hazardous material, shall be punished as a court-martial may direct.

“(c) Communicating false threat concerning use of explosive, etc—Any person subject to this chapter who maliciously communicates a false threat concerning injury to the person or property of another by use of (1) an explosive, (2) a weapon of mass destruction, (3) a biological or chemical agent, substance, or weapon, or (4) a hazardous material, shall be punished as a court-martial may direct. As used in the preceding sentence, the term false threat means a threat that, at the time the threat is communicated, is known to be false by the person communicating the threat.”

Sec. 5330 Rape and sexual assault offenses

(a)
Offense of sexual assault— Subsection (b) of section 920 of title 10, United States Code (article 120 of the Uniform Code of Military Justice), is amended—
(1)
in paragraph (1)—
(A)
by striking subparagraph (B); and
(B)
by redesignating subparagraphs (C) and (D) as subparagraphs (B) and (C), respectively;
(2)
in paragraph (2)—
(A)
by striking “another person when” and inserting “another person—

“(B) when”

(B)
by inserting before subparagraph (B), as added by subparagraph (A) of this paragraph, the following new subparagraph:

“(A) without the consent of the other person; or”

(C)
in subparagraph (B), as so added, by striking “or” at the end; and
(3)
by inserting after paragraph (3) the following new paragraph:

“(4) commits a sexual act upon another person by wrongfully using position, rank, or authority to coerce the acquiescence of the other person in the sexual act;”

(b)
Definitions—
(1)
Sexual act— Paragraph (1) of subsection (g) of such section (article) is amended to read as follows:

“(1) Sexual act—The term sexual act means—

“(A) the penetration, however slight, of the penis into the vulva or anus or mouth;

“(B) contact between the mouth and the penis, vulva, scrotum, or anus; or

“(C) the penetration, however slight, of the vulva or penis or anus of another by any part of the body or any object, with an intent to abuse, humiliate, harass, or degrade any person or to arouse or gratify the sexual desire of any person.”

(2)
Sexual contact— Paragraph (2) of such subsection is amended to read as follows:

“(2) Sexual contact—The term sexual contact means touching, or causing another person to touch, either directly or through the clothing, the vulva, penis, scrotum, anus, groin, brest, inner thigh, or buttocks of any person, with an intent to abuse, humiliate, harass, or degrade any person or to arouse or gratify the sexual desire of any person. Touching may be accomplished by any part of the body or an object.”

(3)
Repeal of definition of bodily harm— Such subsection is further amended—
(A)
by striking paragraph (3); and
(B)
by redesignating paragraphs (4) through (8) as paragraphs (3) through (7), respectively.
(4)
Consent— Paragraph (7) of such subsection, as redesignated by paragraph (3)(B) of this subsection, is further amended—
(A)
in subparagraph (A)—
(i)
in the second sentence, by striking “or submission resulting from the use of force, threat of force, or placing another in fear”;
(ii)
changed by inserting after the second sentence, as amended by clause (i) of this subparagraph the following new sentence: “Submission resulting from the use of force , force, threat of force, or placing another person in fear also does not constitute consent.”; and
(iii)
in the last sentence, by striking “shall not” and inserting “does not”.
(B)
in subparagraph (B), by striking “subparagraph (B) or (D)” and inserting “subparagraph (B) or (C)”; and
(C)
in subparagraph (C)—
(i)
by striking the first sentence; and
(ii)
in the last sentence, by striking “, or whether” and all that follows and inserting a period.
(5)
Incapable of consenting— Such subsection is further amended by adding at the end the following new paragraph (8):

“(8) Incapable of consenting—The term incapable of consenting means the person is—

“(A) incapable of appraising the nature of the conduct at issue; or

“(B) physically incapable of declining participation in, or communicating unwillingess to engage in, the sexual act at issue.”

(c)
Rape and sexual assault of a child— Subsection (h)(1) of section 920b of title 10, United States Code (article 120b of the Uniform Code of Military Justice), is amended by inserting before the period at the end the following: “, except that the term sexual act also includes the intentional touching, not through the clothing, of the genitalia of another person who has not attained the age of 16 years with an intent to abuse, humiliate, harass, degrade, or arouse or gratify the sexual desire of any person”.

Sec. 5340 Arson; burning property with intent to defraud

Section 926 of title 10, United States Code (article 126 of the Uniform Code of Military Justice), is amended to read as follows:

“926. Art. 126. Arson; burning property with intent to defraud

“(a) Aggravated arson—Any person subject to this chapter who, willfully and maliciously, burns or sets on fire an inhabited dwelling, or any other structure, movable or immovable, wherein, to the knowledge of that person, there is at the time a human being, is guilty of aggravated arson and shall be punished as a court-martial may direct.

“(b) Simple arson—Any person subject to this chapter who, willfully and maliciously, burns or sets fire to the property of another is guilty of simple arson and shall be punished as a court-martial may direct.

changed “(c) Burning property with intent to To defraud—Any person subject to this chapter who, willfully, maliciously, and with intent to defraud, burns or sets fire to any property shall be punished as a court-martial may direct.”

Sec. 5341 Assault

Section 928 of title 10, United States Code (article 128 of the Uniform Code of Military Justice), is amended to read as follows:

“928. Art. 128. Assault

“(a) Assault—Any person subject to this chapter who, unlawfully and with force or violence—

“(1) attempts to do bodily harm to another person;

“(2) offers to do bodily harm to another person; or

“(3) does bodily harm to another person;

“(b) Aggravated assault—Any person subject to this chapter—

“(1) who, with the intent to do bodily harm, offers to do bodily harm with a dangerous weapon; or

“(2) who, in committing an assault, inflicts substantial bodily harm, or grievous bodily harm on another person;

changed “(c) Assault with intent to To commit specified offenses

“(1) In general—Any person subject to this chapter who commits assault with intent to commit an offense specified in paragraph (2) shall be punished as a court-martial may direct.

“(2) Offenses specified—The offenses referred to in paragraph (1) are murder, voluntary manslaughter, rape, sexual assault, rape of a child, sexual assault of a child, robbery, arson, burglary, and kidnapping.”