Index

                                     64 635                                 

                                       2000                                  

                          106 th Congress  2d Session                       

                            HOUSE OF REPRESENTATIVES                        

                                      Report                                 

                                      106 644                                 

                                                                             

                                                                         



                          DEPARTMENT OF DEFENSE                          

                        APPROPRIATIONS BILL, 2001                        


                                                                           


                                  REPORT                                 


                                  of the                                 


                       COMMITTEE ON APPROPRIATIONS                       


                              together with                              


                             ADDITIONAL VIEWS                            


                         [to accompany h.r. 4576]                        


[Graphic Image Not Available]

   June 1, 2000.--Committed to the Committee of the Whole House on the   
 State of the Union and ordered to be printed                            

                            C O N T E N T S                             
         Bill Totals                                                      1
         Committee Budget Review Process                                  3
         Committee Recommendations by Major Category                      3
            Active Military Personnel                                     3
            Guard and Reserve Personnel                                   3
            Operation and Maintenance                                     3
            Procurement                                                   3
            Research, Development, Test and Evaluation                    4
         Items of Special Committee Interest                              4
            Military Health Care and Medical Research Programs            4
            Information Assurance and Computer Network Security           5
            Ballistic Missile Defense Programs                            6
            Tactical Fighter Aviation Issues                              7
            Army Transformation                                           9
         Forces to be Supported                                           14
            Department of the Army                                        14
            Department of the Navy                                        15
            Department of the Air Force                                   16
          TITLE I. MILITARY PERSONNEL                                     19
            Programs and Activities Funded by Military Personnel Appropria19
            Summary of Military Personnel Recommendations for Fiscal Year 19
            Adjustments to Military Personnel Account                     21

   End Strength Adjustments                                                

        21                                                                      

   Unobligated/Unexpended Military Personnel Balances                      

        21                                                                      

   Unfunded Requirements                                                   

        21                                                                      

   Basic Allowance for Housing                                             

        22                                                                      

   Guard and Reserve Forces                                                

        22                                                                      

   Full-Time Support Strengths                                             

        22                                                                      

          Military Personnel, Army                                      

        23                                                                      

          Military Personnel, Navy                                      

        25                                                                      

   Active Navy Manning                                                     

        27                                                                      

          Military Personnel, Marine Corps                              

        27                                                                      

          Military Personnel, Air Force                                 

        29                                                                      

          Reserve Personnel, Army                                       

        31                                                                      

          Reserve Personnel, Navy                                       

        33                                                                      

          Reserve Personnel, Marine Corps                               

        35                                                                      

          Reserve Personnel, Air Force                                  

        37                                                                      

   Air Force Reserve Manning                                               

        39                                                                      

          National Guard Personnel, Army                                

        39                                                                      

   Weapons of Mass Destruction-Civil Support Teams                         

        41                                                                      

   Guard and Reserve Workyear Requirements                                 

        41                                                                      

          National Guard Personnel, Air Force                           

        41                                                                      

    TITLE II. OPERATION AND MAINTENANCE                                    

        45                                                                      

          Operation and Maintenance Overview                            

        48                                                                      

   Real Property Maintenance                                               

        48                                                                      

   Depot Maintenance                                                       

        49                                                                      

   Soldier Support Equipment                                               

        49                                                                      

   Junior ROTC                                                             

        49                                                                      

   Field Maintenance and Logistical Support                                

        50                                                                      

   War Reserve and Prepositioned Materiels                                 

        50                                                                      

   Headquarters and Administrative Expenses                                

        50                                                                      

   Acquisition Program Growth                                              

        51                                                                      

   DFAS Program Growth                                                     

        51                                                                      

   NATO and Overseas Staff Growth                                          

        51                                                                      

   Operation and Maintenance Budget Execution Data                         

        51                                                                      

   Operation and Maintenance Reprogrammings                                

        52                                                                      

   Public Transit Vouchers                                                 

        53                                                                      

   Recruiting and Advertising                                              

        53                                                                      

          Operation and Maintenance, Army                               

        53                                                                      

   Medium General Purpose Tents                                            

        57                                                                      

   Tactical Missile Maintenance                                            

        57                                                                      

   Military Ocean Terminal Bayonne (MOTBY)                                 

        58                                                                      

   Night Training Safety ``Light Sticks''                                  

        58                                                                      

   Distance Learning--CCCE                                                 

        58                                                                      

          Operation and Maintenance, Navy                               

        58                                                                      

   Navy Aviation Depot Maintenance Apprentice Program                      

        61                                                                      

   Man Overboard Indicator                                                 

        61                                                                      

   UNOLS                                                                   

        62                                                                      

   Naval Sea Cadet Program                                                 

        62                                                                      

   USNS Hayes Relocation                                                   

        62                                                                      

   Center for Civil-Military Relations                                     

        62                                                                      

          Operation and Maintenance, Marine Corps                       

        62                                                                      

   Modular Lightweight Load-Carrying Equipment (MOLLE)                     

        64                                                                      

   Civilian Personnel Separation                                           

        64                                                                      

          Operation and Maintenance, Air Force                          

        64                                                                      

   C 5 Spare Parts                                                         

        67                                                                      

   Air Force Cargo Distribution Hub                                        

        67                                                                      

   Displaying Retired Aircraft                                             

        68                                                                      

          Operation and Maintenance, Defense-Wide                       

        68                                                                      

   Beryllium Work-Related Illnesses                                        

        70                                                                      

   DoD Schools                                                             

        70                                                                      

   Family Advocacy                                                         

        71                                                                      

   Youth Development and Leadership Program                                

        71                                                                      

          Operation and Maintenance, Army Reserve                       

        71                                                                      

          Operation and Maintenance, Navy Reserve                       

        73                                                                      

   Fort Worth Naval Air Station                                            

        75                                                                      

          Operation and Maintenance, Marine Corps Reserve               

        75                                                                      

   NBC Defense Equipment                                                   

        77                                                                      

          Operation and Maintenance, Air Force Reserve                  

        77                                                                      

   March Air Reserve Base                                                  

        79                                                                      

          Operation and Maintenance, Army National Guard                

        79                                                                      

   National Emergency and Disaster Information Center                      

        81                                                                      

          Operation and Maintenance, Air National Guard                 

        81                                                                      

   C 130 Operations                                                        

        83                                                                      

          Overseas Contingency Operations Transfer Fund                 

        83                                                                      

   Budget Justification and Budget Execution Materials                     

        83                                                                      

          United States Court of Appeals for the Armed Forces           

        83                                                                      

          Environmental Restoration, Army                               

        84                                                                      

          Environmental Restoration, Navy                               

        84                                                                      

          Environmental Restoration, Air Force                          

        84                                                                      

          Environmental Restoration, Defense-Wide                       

        84                                                                      

          Environmental Restoration, Formerly Used Defense Sites        

        84                                                                      

   Nike Battery 55                                                         

        85                                                                      

   Santa Clarita                                                           

        85                                                                      

   Newmark                                                                 

        85                                                                      

   Depleted Uranium Environmental Restoration                              

        85                                                                      

          Overseas Humanitarian, Disaster, and Civic Aid                

        85                                                                      

          Former Soviet Union Threat Reduction                          

        86                                                                      

          Quality of Life Enhancements, Defense                         

        86                                                                      

    TITLE III. PROCUREMENT                                                 

        87                                                                      

          Estimates and Appropriations Summary                          

        87                                                                      

   Special Interest Items                                                  

        89                                                                      

   Classified Programs                                                     

        89                                                                      

   Communication Systems Upgrades                                          

        89                                                                      

   Ballistic Engineered Armored Response Vehicles                          

        89                                                                      

          Aircraft Procurement, Army                                    

        89                                                                      

   Kiowa Warrior Live-Fire Testing                                         

        90                                                                      

   Ground Proximity Warning System                                         

        90                                                                      

          Missile Procurement, Army                                     

        93                                                                      

   Short Range Air Defense Modernization                                   

        93                                                                      

   Javelin                                                                 

        93                                                                      

          Procurement of Weapons and Tracked Combat Vehicles, Army      

        96                                                                      

   Wolverine Heavy Assault Bridge                                          

        96                                                                      

          Procurement of Ammunition, Army                               

        98                                                                      

   Ammunition Management                                                   

        98                                                                      

   Sense and Destroy Armor Munition                                        

        99                                                                      

          Other Procurement, Army                                       

        101                                                                     

   Up-Armored High Mobility Multi-Purpose Wheeled Vehicles                 

        103                                                                     

          Aircraft Procurement, Navy                                    

        107                                                                     

   Advanced Tactical Airborne Reconnaissance System (ATARS)                

        107                                                                     

   EP 3 Modernization                                                      

        108                                                                     

          Weapons Procurement, Navy                                     

        110                                                                     

   Joint Stand-Off Weapon                                                  

        110                                                                     

          Procurement of Ammunition, Navy and Marine Corps              

        113                                                                     

          Shipbuilding and Conversion, Navy                             

        115                                                                     

          Other Procurement, Navy                                       

        117                                                                     

   Aviation Requirement for Joint Tactical Terminals                       

        118                                                                     

          Procurement, Marine Corps                                     

        122                                                                     

          Aircraft Procurement, Air Force                               

        125                                                                     

    15                                                                     

        126                                                                     

   C 17 Advance Procurement                                                

        126                                                                     

    15 Modifications                                                       

        126                                                                     

    16 Modifications                                                       

        127                                                                     

   Miscellaneous Production Charges                                        

        127                                                                     

          Missile Procurement, Air Force                                

        131                                                                     

          Procurement of Ammunition, Air Force                          

        133                                                                     

          Other Procurement, Air Force                                  

        135                                                                     

   Next Generation Small Loader                                            

        136                                                                     

          Procurement, Defense-Wide                                     

        139                                                                     

          National Guard and Reserve Equipment                          

        142                                                                     

          Defense Production Act Purchases                              

        142                                                                     

   Microwave Power Tubes                                                   

        142                                                                     

          Information Technology                                        

        142                                                                     

   Information Assurance and Computer Network Security                     

        143                                                                     

   Information Technology Oversight                                        

        144                                                                     

   Defense Joint Accounting System (DJAS)                                  

        144                                                                     

   Navy Marine Corps Intranet                                              

        144                                                                     

   Information Security Lessons Learned                                    

        145                                                                     

   Army High Performance Computing Research Center                         

        145                                                                     

   Information Technology Center                                           

        146                                                                     

   National Guard Bureau Fiber Optic Study                                 

        146                                                                     

   Global Infrastructure Data Capture Program                              

        146                                                                     

    TITLE IV. RESEARCH, DEVELOPMENT, TEST AND EVALUATION                   

        147                                                                     

          Estimates and Appropriation Summary                           

        147                                                                     

   Special Interest Items                                                  

        147                                                                     

   Classified Programs                                                     

        147                                                                     

   Anti-Armor Weapons Master Plan                                          

        147                                                                     

   Tactical Radios                                                         

        148                                                                     

   Networking of Intelligence, Surveillance, Reconnaissance Assets         

        148                                                                     

   Joint Ejection Seat Program                                             

        148                                                                     

   Discoverer II                                                           

        150                                                                     

      Use of Special Access-Like Security Measures to Protect Business     
   Sensitive Information                                                   
        150                                                                     

   Budgeting for Operational Test                                          

        151                                                                     

          Research, Development, Test and Evaluation, Army              

        151                                                                     

   Unmanned Aerial Vehicle (UAV)                                           

        156                                                                     

          RDT&E Management Support                                      

        156                                                                     

   Rand Arroyo Center                                                      

        156                                                                     

   Excalibur (XM 982)                                                      

        156                                                                     

          Research, Development, Test and Evaluation, Navy              

        161                                                                     

   DD 21 Next Generation Surface Combatant                                 

        165                                                                     

   Shared Reconnaissance Pod (SHARP)                                       

        167                                                                     

   Network Centric Warfare (NCW)                                           

        167                                                                     

   Navy, Marine Corps Imagery Processing Exploitation                      

        167                                                                     

   Unmanned Aerial Vehicles (UAV s)                                        

        168                                                                     

   Bone Marrow Registry                                                    

        168                                                                     

          Research, Development, Test and Evaluation, Air Force         

        173                                                                     

   Radiation Hardened Electronics                                          

        176                                                                     

   Air Traffic Control, Approach, and Landing System                       

        176                                                                     

   High Altitude Endurance Unmanned Aerial Vehicle (HAE UAV)-Global Hawk   

        177                                                                     

          Research, Development, Test and Evaluation, Defense-Wide      

        181                                                                     

   Arms Control Technology                                                 

        184                                                                     

   High Performance Computing Program                                      

        185                                                                     

   National Imagery and Mapping Agency (NIMA)                              

        185                                                                     

   Still-Image Compression Standard                                        

        185                                                                     

   Competitive Practices                                                   

        185                                                                     

          Developmental Test and Evaluation, Defense                    

        189                                                                     

          Operational Test and Evaluation, Defense                      

        189                                                                     

    TITLE V. REVOLVING AND MANAGEMENT FUNDS                                

        191                                                                     

          Defense Working Capital Funds                                 

        191                                                                     

          National Defense Sealift Fund                                 

        191                                                                     

   Ready Reserve Force                                                     

        191                                                                     

    TITLE VI. OTHER DEPARTMENT OF DEFENSE PROGRAMS                         

        193                                                                     

          Defense Health Program                                        

        193                                                                     

   Special Interest Items                                                  

        193                                                                     

   TRICARE Improvements                                                    

        194                                                                     

   Transfer of Defense Health Program Funds                                

        194                                                                     

   Anthrax Vaccine Program                                                 

        195                                                                     

   Chiropractic Demonstration Program                                      

        195                                                                     

          Chemical Agents and Munitions Destruction, Army               

        195                                                                     

          Drug Interdiction and Counter-Drug Activities, Defense        

        196                                                                     

   DoD Support to Plan Colombia                                            

        196                                                                     

   Tethered Aerostat Radar System                                          

        197                                                                     

          Office of the Inspector General                               

        197                                                                     

    TITLE VII. RELATED AGENCIES                                            

        199                                                                     

          National Foreign Intelligence Program                         

        199                                                                     

   Introduction                                                            

        199                                                                     

   Classified Annex                                                        

        199                                                                     

                    Central Intelligence Agency Retirement and          
          Disability System Fund                                        
        199                                                                     

          Intelligence Community Management Account                     

        200                                                                     

                    Payment to Kaho'olawe Island Conveyance,            
          Remediation, and Environmental Restoration Fund               
        200                                                                     

          National Security Education Trust Fund                        

        200                                                                     

    TITLE VIII. GENERAL PROVISIONS                                         

        203                                                                     

          Definition of Program, Project and Activity                   

        203                                                                     

   House of Representatives Reporting Requirements                         

        203                                                                     

          Changes in the Application of Existing Law                    

        204                                                                     

   Appropriations Language                                                 

        204                                                                     

   General Provisions                                                      

        206                                                                     

          Appropriations Not Authorized by Law                          

        208                                                                     

          Transfer of Funds                                             

        210                                                                     

          Rescissions                                                   

        211                                                                     

          Compliance With Clause 3 of Rule XIII (Ramseyer Rule)         

        211                                                                     

          Constitutional Authority                                      

        211                                                                     

          Comparison with the Budget Resolution                         

        212                                                                     

          Five-Year Outlay Projections                                  

        212                                                                     

          Financial Assistance to State and Local Governments           

        212                                                                     

          Full Committee Votes                                          

        212                                                                     

          Additional Views                                              

        224                                                                     


106 th Congress                                                         

Report                                                                  

                                                                            

                                                                             

HOUSE OF REPRESENTATIVES                                                

2d Session                                                              

106 644                                                                 

                                                                        



       DEPARTMENT OF DEFENSE APPROPRIATIONS BILL, 2001                         



                                                                         

  June 1, 2000.--Committed to the Committee of the Whole House on the    
 State of the Union and ordered to be printed                            
                                                                         

  Mr. Lewis of California, from the Committee on Appropriations,         
 submitted the following                                                 
 REPORT                                                                  

 together with                                                           

 ADDITIONAL VIEWS                                                        

 [To accompany H.R. 4576]                                                


      The Committee on Appropriations submits the following report in      
   explanation of the accompanying bill making appropriations for the      
   Department of Defense, and for other purposes, for the fiscal year      
   ending September 30, 2001.                                              
                                        BILL TOTALS                               

      Appropriations for most military functions of the Department of      
   Defense are provided for in the accompanying bill for the fiscal year   
   2001. This bill does not provide appropriations for military            
   construction, military family housing, civil defense, or nuclear        
   warheads, for which requirements are considered in connection with other
   appropriations bills.                                                   
      The President's fiscal year 2001 budget request for activities funded
   in the Department of Defense Appropriations Bill totals $284,520,572,000
   in new budget (obligational) authority. The amounts recommended by the  
   Committee in the accompanying bill total $288,512,800,000 in new budget 
   authority. This is $3,992,228,000 above the budget estimate and         
   $19,805,014,000 above the sums made available for the Department of     
   Defense for fiscal year 2000.                                           

[Graphic Image Not Available]

                              COMMITTEE BUDGET REVIEW PROCESS                     

      During its review of the fiscal year 2001 budget, the Subcommittee on
   Defense held a total of 13 hearings during the period of February 2000  
   to March 2000. Testimony received by the Subcommittee totaled 1,408     
   pages of transcript. Approximately half of the hearings were held in    
   open session. Executive (closed) sessions were held only when the       
   security classification of the material to be discussed presented no    
   alternative.                                                            
                        COMMITTEE RECOMMENDATIONS BY MAJOR CATEGORY               

                        Active Military Personnel                        

      The Committee recommends a total of $65,098,288,000 for active       
   military personnel, a net increase of $51,800,000 above the budget      
   request. The Committee supports the budget request which proposed a 3.7 
   percent pay raise for military personnel effective January 1, 2001. The 
   Committee also agrees with the authorized end strength as requested in  
   the President's budget, and has included $18,500,000 for additional Navy
   recruiters and Navy force structure manning.                            
                       Guard and Reserve Personnel                       

      The Committee recommends a total of $10,805,928,000, a net increase  
   of $50,750,000 above the budget request for Guard and Reserve personnel.
   The Committee agrees with the authorized end strength as requested in   
   the President's budget for the Selected Reserve, and has included       
   $37,500,000 to provide for additional full-time support personnel for   
   the Army Reserve, Marine Corps Reserve, Air Force Reserve, and Army     
   National Guard. The Committee has also included funds for the proposed  
   3.7 percent pay raise.                                                  
                        OPERATION AND MAINTENANCE                        

      The Operation and Maintenance appropriation provides for the         
   readiness of U.S. forces as well as the maintenance of facilities and   
   equipment, the infrastructure that supports combat forces, and the      
   quality of life of service members and their families.                  
      The Committee recommends $97,507,228,000, a net increase of          
   $1,227,115,000 above the fiscal year 2001 budget request. This increase 
   is driven primarily by the need to address shortfalls in funding for    
   infrastructure repairs and maintenance, depot level maintenance, basic  
   soldier support equipment, field level maintenance and logistical       
   support, and shortages of sustainment stocks. The Committee also        
   recommends reductions from the budget request as the result of fact of  
   life changes and management actions the Department of Defense should    
   undertake to streamline its operations.                                 
                               PROCUREMENT                               

      The Committee recommends $61,558,679,000 for programs funded in Title
   III of the Committee bill, Procurement, a net increase of $2,292,076,000
   to the fiscal year 2001 budget request. Included in these totals is     
   $2,452,551,000 for procurement of National Guard and Reserve equipment, 
   a net increase of $622,651,000 above the budget request.                
   Major programs funded in the bill include:                              

   $183,371,000 for 17 UH 60 Blackhawk helicopters.                        

   $709,454,000 for Apache Longbow modifications.                          

   $372,248,000 for 3,754 Javelin anti-tank missiles.                      

   $285,363,000 for 2,200 Hellfire missiles.                               

   $188,689,000 for 66 MLRS launcher systems.                              

   $440,689,000 for Bradley fighting vehicle industrial base sustainment.  

   $1,200,077,000 for the Medium armored vehicle family.                   

   $338,422,000 for the Abrams tank upgrade program.                       

   $2,818,533,000 for 42 F/A 18E/F fighter aircraft.                       

   $1,128,592,000 for 16 Marine Corps V 22 aircraft.                       

   $231,118,000 for 3 KC 130J aircraft.                                    

   $433,932,000 for 12 Trident II ballistic missiles.                      

   $4,053,653,000 for the CVN 77 aircraft carrier.                         

   $1,198,012,000 for 1 New Attack Submarine.                              

   $2,703,559,000 for 3 DDG 51 Destroyers.                                 

   $348,951,000 for 1 ADC(X) ship.                                         

   $2,149,882,000 for 10 F 22 fighter aircraft.                            

   $400,000,000 for 5 F 15 fighter aircraft.                               

   $2,185,823,000 for 12 C 17 airlift aircraft.                            

   $250,610,000 for 1 JSTARS aircraft.                                     

   $380,232,000 for C 135 modifications.                                   

   $219,848,000 for 9,098 JDAM munitions.                                  

   $2,357,943,000 for ammunition for all services.                         

   $433,962,000 for Ballistic Missile Defense Organization programs.       

                Research, Development, Test and Evaluation               

      The Committee recommends $40,170,230,000 for programs funded in Title
   IV of the Committee bill, Research, Development, Test and Evaluation, an
   increase of $2,307,829,000 to the fiscal year 2001 budget request. Major
   programs funded in the bill include:                                    
   $614,041,000 for the Comanche helicopter.                               

   $355,309,000 for the Crusader artillery program.                        

   $706,000,000 for the Joint Strike Fighter program.                      

   $257,274,000 for the DD 21 next generation destroyer.                   

   $1,411,786,000 for F 22 development.                                    

   $145,313,000 for B 2 development.                                       

   $569,188,000 for the Space Based Infrared System (SBIRS) High.          

   $332,952,000 for the Evolved Expendable Launch Vehicle program.         

   $4,111,408,000 for Ballistic Missile Defense Organization programs.     

                            ITEMS OF SPECIAL COMMITTEE INTEREST                   

            Military Health Care and Medical Research Programs           

      The Committee continues to emphasize support for and oversight of    
   defense health care and medical research programs. The Committee        
   recommends total funding for the Defense Health Program of              
   $12,143,029,000, an increase of $988,412,000 over the enacted fiscal    
   year 2000 level (a one year increase of nearly nine percent), and       
   $542,600,000 above the fiscal year 2001 budget request. In addition,    
   appropriations for other medical programs in this bill, funded in       
   accounts other than the Defense Health Program appropriation cited      
   above, are recommended to receive increases above the budget request    
   totaling nearly $400,000,000.                                           
      The funds provided above the budget request include $280,600,000 to  
   implement the health care enhancements recently approved by the House in
   the National Defense Authorization Act for fiscal year 2001 (H.R. 4205),
   which are targeted to achieve improved access to care for service       
   members, their dependents, and the retired military community. The      
   Committee bill also includes additions over the budget request totaling 
   $638,830,000 for medical research programs, including $175,000,000 for  
   the peer-reviewed breast cancer research program and $75,000,000 for the
   peer-reviewed prostate cancer research program (both managed by the     
   Department of the Army).                                                
      Consistent with findings resulting from its fiscal year 2001 budget  
   review hearings, the Committee also recommends general provisions       
   intended to give the Department greater flexibility in the execution of 
   its managed care contracts, as well as requirements that the Secretary  
   of Defense more fully monitor and report to Congress on issues          
   associated with the execution of those contracts, in particular cost    
   growth in the TRICARE system.                                           
           Information Assurance and Computer Network Security           

      The fiscal year 2001 budget request generally accelerates the efforts
   underway within the Department of Defense and the intelligence community
   to take advantage of rapid advances in information technology. The      
   Committee, as in years past, supports such efforts as the DoD's         
   ``Revolution in Military Affairs'' and ``Revolution in Business         
   Affairs'' which are largely premised on taking advantage of a growing   
   ability to move and process information.                                
      However, as in society at large, the national security community's   
   growing use of such technology poses great vulnerabilities as well.     
   Events of recent weeks have only served to highlight this problem, with 
   the news dominated by acts by individual hackers committing computer    
   vandalism. The threats posed by such seemingly random acts--in          
   themselves real--pale in comparison to the potential dangers posed by   
   those who seek to damage American interests. The range of possibilities 
   runs from those attempting to discreetly break into systems to steal    
   information, to more active measures intended to destroy or disable     
   information networks in order to damage U.S. military and intelligence  
   capabilities, perhaps in connection with a real world conflict.         
      The Committee believes that a concerted, focused effort is needed to 
   protect key information systems, not only by those within the national  
   security community but at all levels of government. The Committee       
   commends the DoD for the efforts it has already initiated in this       
   regard, which among other things includes taking advantage of lessons   
   learned from the Year 2000 computer problem. Nevertheless, it is the    
   Committee's belief that much more needs to be done in this arena.       
      The Committee is well aware that the complexity of this problem does 
   not lend itself to a ``silver bullet'' solution. A more appropriate     
   response is a broad approach intended to create a ``defense-in-depth'', 
   with multiple levels of protection and avoidance of any single point of 
   failure. Drawing on testimony from experts in the Department of Defense,
   the FBI, industry and academia, the Committee therefore recommends      
   increases over the budget request totaling $150,000,000, targeted at    
   addressing the most serious vulnerabilities in the Department's         
   information infrastructure.                                             
      These funds are directed towards specific objectives, including      
   increased monitoring of DoD networks; enhanced protection of military   
   communications; additional training for DoD personnel; and increasing   
   the Department's knowledge of its vulnerabilities. The funding          
   allocations include:                                                    
      $36,000,000 to purchase hardware and software applications to monitor
   computer networks for suspicious activity;                              
      $35,000,000 for new digital secure phones to replace the outdated    
   STU-III;                                                                
      $20,000,000 to ensure security capabilities are built into new cell  
   phones, rather than retrofitting them later at a significantly higher   
   cost;                                                                   
      $18,600,000 to accelerate the DoD's Public Key Infrastructure (PKI)  
   program;                                                                
   $15,000,000 for information security awareness, education and training; 

      $12,100,000 for an effects-based evaluation of a computer network    
   attack on information systems and processes;                            
      $10,300,000 for an assessment of the physical and cyber              
   vulnerabilities of militarily-critical DoD and commercial               
   infrastructures; and                                                    
      $3,000,000 for additional basic (6.1) research into information      
   assurance.                                                              
      Specific program details associated with this initiative are noted   
   throughout this report and are summarized in the Information Technology 
   section under Title III, Procurement. The Committee directs that those  
   information assurance program elements or projects receiving funds over 
   the budget request in the Committee report be designated as items of    
   congressional interest and shall be so noted on DD Form 1414 (this is to
   include amounts requested in the budget request and the additional      
   funding cited above).                                                   
      The Committee intends that this Information Assurance initiative be  
   the first step in a longer-term effort to increase programmed funding   
   for DoD's efforts towards securing its information systems and networks.
   Accordingly, the Committee directs the Secretary of Defense to submit a 
   report to the congressional defense committees with the fiscal year 2002
   budget submission which provides details on the planned obligation of   
   these funds, as well as the funding proposed in the fiscal year 2002    
   budget for information assurance programs.                              
                    Ballistic Missile Defense Programs                   

      In light of the growing threat posed to deployed U.S. military       
   forces, the citizens and territory of the United States, and our allies,
   the Committee recommends a total of $4,555,370,000 for programs under   
   the Ballistic Missile Defense Organization (BMDO). This is a net        
   increase of $168,245,000 over the budget request, and $738,824,000 above
   the amounts provided for fiscal year 2000.                              
      Within this amount, the Committee recommends specific funding        
   allocations for certain key programs as shown below:                    


    National Missile Defense:                                               



                                         $74,530,000



                                         $1,740,238,000



          Theater High-Altitude Air Defense (THAAD) RDT&E                $549,945,000



          Navy Theater-Wide RDT&E                $512,671,000



          Navy Area RDT&E                $274,234,000

    PAC-3:                                                                  



                                         $365,457,000



                                         $81,016,000



          International Cooperative Programs RDT&E                $116,992,000


                     Tactical Fighter Aviation Issues                    

      The Committee, as it noted in its report last year, remains concerned
   about the developmental challenges and overall costs associated with the
   current Department of Defense plans to modernize its tactical fighter   
   inventory. The Committee recognizes the need and justification for each 
   of the major ongoing tactical fighter modernization programs: the Navy's
   F/A 18 E/F fighter; the Air Force's F 22 fighter; and the Marine        
   Corps/Air Force/Navy Joint Strike Fighter. Nevertheless, given the      
   current expense of each of these programs, and the growing share of the 
   DoD budget they will consume as they move from development into low-rate
   and then full-scale production, the Committee believes it is absolutely 
   essential that the DoD insist on a rigorous testing and development     
   process as well as sound program and cost management for each program.  
   Absent such controls, the financial ``bow wave'' associated with        
   tactical fighter modernization, already immense, can only grow--which   
   could result in either reduced procurement objectives, putting even more
   pressure on existing, aging assets; or the diversion of funds from other
   critical defense needs.                                                 
      The Committee's fiscal year 2001 recommendations for each of these   
   programs are summarized below.                                          
       F/A 18 E/F: The Committee recommends $2,818,553,000 for procurement 
   of 42 aircraft, the number of aircraft requested in the budget;         
   $101,068,000 in advance procurement, and $248,093,000 for research,     
   development, test and evaluation (the budgeted amounts).                
       F 22: The Committee recommends funding the budgeted amounts for     
   procurement of 10 aircraft ($2,149,882,000), advance procurement        
   ($396,222,000), and research, development, test and evaluation          
   ($1,411,786,000).                                                       
      The Committee continues to believe it is essential the F 22 aircraft 
   receive adequate testing prior to a production decision. Unfortunately, 
   the F 22's flight test program continues to fall short of Air Force     
   projections. Between November 1999 and March 2000, the F 22 program lost
   an additional nine flight test months. The Committee is especially      
   concerned about slips in static and fatigue testing, which are now both 
   more than a year behind schedule. In a related matter, the Committee has
   become increasingly convinced that the congressionally-imposed F 22     
   development cost cap is forcing the Air Force to reduce or delay the    
   funding for, and planned scope of, testing in order to accommodate      
   continued cost growth on the F 22 development contract.                 
      Responding to these concerns, the Committee has included two general 
   provisions. The first (Section 8116 of the Committee bill) restates the 
   criteria established in Public Law 106 79 (the Department of Defense    
   Appropriations Act, 2000), which prohibits award of a low-rate          
   production contract for the F 22 until:                                 
   (1) first flight of an F 22 aircraft incorporating Block 3.0 software;  

      (2) certification by the Secretary of Defense that all Defense       
   Acquisition Board exit criteria for award of low-rate production has    
   been met; and                                                           
      (3) submission of a report by the Director of Operational Test and   
   Evaluation assessing the adequacy of the testing to date.               
      The Committee also proposes Section 8117, which replaces the         
   existing, individual statutory budget caps on F 22 development and      
   production with a single, overall cap for the entire program. This will 
   provide the Air Force greater flexibility to plan, budget, and execute a
   sound testing and development program than is currently the case under  
   existing law.                                                           
       Joint Strike Fighter (JSF): The Joint Strike Fighter is a critically
   important program for the Marine Corps, Air Force and Navy. As currently
   planned it will be the largest single defense acquisition program in the
   history of the DoD. The Committee fully understands the integral part   
   that this program plays in all three Services' tactical fighter         
   modernization plans. It also believes that the JSF, should it live up to
   its technological promise and cost goals, represents the best option for
   replacing aging Navy and Marine Corps F/A 18 and AV 8B fighters, as well
   as Air Force F 16s. In short, the Committee wants this program to       
   succeed.                                                                
      The fiscal year 2001 budget request for JSF was premised on          
   completion of the program's concept demonstration/validation phase by   
   March 2001. By this date, the program was expected to be ready for      
   transition into engineering and manufacturing development (EMD), to be  
   conducted by one of the two competing contractor teams following a      
   ``winner-take-all'' source selection decision. However delays in the    
   start of the JSF flight demonstration program, as well as technical     
   problems which may hinder demonstration of critical JSF design          
   characteristics, have made a March 2001 completion date for concept     
   demonstration increasingly unlikely.                                    
      Moreover, the Department of Defense has been actively assessing the  
   effects of the ``winner-take-all'' acquisition strategy on the defense  
   industrial base. It is possible that the Department may, in a matter of 
   weeks, announce a revised acquisition strategy involving some degree of 
   teaming or cooperation between what are currently two opposing          
   industrial teams, each with distinctly different design concepts,       
   hardware, subcontractors and vendor bases. Should such a revision to the
   acquisition strategy occur, logic dictates that the JSF development     
   program and budget plan will require adjustments, perhaps even major    
   changes, to those currently assumed in the fiscal year 2001 budget      
   submission and the existing Future Years Defense Plan.                  
      The Committee believes Congress must be in a position to carefully   
   consider, and respond if necessary, to any proposed revisions in the    
   JSF's acquisition strategy--especially in light of the potential        
   schedule and cost impacts. Additionally, the current JSF program        
   schedule and the fiscal year 2001 budget request both presume a source  
   selection and EMD contract award will be completed by March 2001. As    
   stated above, technical and schedule problems make it unlikely this     
   milestone will be met.                                                  
      The Committee also notes that this projected March 2001 date is just 
   two months into the beginning of a new Administration and Congress. The 
   Committee believes there must be sufficient time for the next           
   Administration to formulate its own plans for the JSF in the context of 
   its own overall defense program. In this regard, a March 2001 decision  
   point involving a program of this importance is clearly unrealistic.    
   Therefore, the Committee recommends the following actions:              

      (1) The Committee bill includes total fiscal year 2001 funding for   
   the Joint Strike Fighter of $706,606,000, a net decrease of $150,000,000
   from the budget request. Within this total the Committee has provided   
   $411,101,000 for concept demonstration, an increase of $150,000,000 over
   the budget request; and $295,502,000 for engineering and manufacturing  
   development (EMD), a decrease of $300,000,000 from the budget request.  
   These changes have been allocated to the appropriate program elements in
   the Navy and Air Force research, development, test and evaluation       
   accounts. The effect of these changes is to provide sufficient funding  
   to extend the concept demonstration/validation phase from March to June 
   2001; and to delay initiation of entry into the engineering and         
   manufacturing development phase of the JSF program by three months, from
   March to June 2001.                                                     
      (2) To ensure that Congress is kept apprised of the status of the JSF
   program, the Committee bill includes a general provision (Section 8118) 
   which requires that 60 days following enactment of the Department of    
   Defense Appropriations Act, 2001, the Secretary of Defense shall submit 
   a report to the congressional defense committees describing what, if any
   changes have been made to the JSF acquisition plan as a result of the   
   Secretary's review of the ``winner-take-all'' strategy. If applicable,  
   this report shall address any contemplated changes in the JSF           
   development schedule and funding profile resulting from a revised       
   acquisition strategy. The Secretary is also to report on a number of    
   issues regarding the technical progress made towards achieving planned  
   JSF performance characteristics.                                        
      (3) This provision also requires submission of a similar report from 
   the next Administration's Secretary of Defense by March 30, 2001, which 
   will provide Congress with updated information regarding the JSF        
   demonstration phase as well as a detailed explanation of the next       
   Administration's plans for this program. The provision also restricts   
   the obligation of funds for the EMD phase of the JSF program until June 
   1, 2001, and further conditions the release of funds on a certification 
   from the Secretary that the JSF EMD program has been fully funded by    
   each of the participating services in the Future Years Defense Plan.    

                           Army Transformation                           

      The fiscal year 2001 budget request for the Department of the Army   
   marks the first year of a 12- to 15-year, $70 billion effort to         
   transform its Cold War legacy force--designed for a different era and a 
   different enemy--into a force built on speed, lethality, versatility,   
   survivability, and sustainability. This ambitious and far-reaching plan,
   conceived less than a year ago, has become known as the ``Army          
   Transformation'' strategy.                                              
      Recent operations have clearly shown that, in the wake of a 40       
   percent reduction in personnel and a 37 percent reduction in buying     
   power over the last decade, and a weapons acquisition process which has 
   proven to be lacking in many respects, the Army cannot quickly deploy   
   its heavy forces, and is not optimally equipped or organized to meet the
   changing demands placed on it in the post-Cold War era. The Army Chief  
   of Staff has described this problem succinctly: ``... our heavy forces  
   are too heavy and our light forces lack staying power. ''               
      In light of the clearly demonstrated need for the Army to reconfigure
   itself, and the depth of the commitment to change exhibited by the Army 
   leadership, the Committee has made the issue of Army Transformation a   
   major focus of its deliberations in fashioning the fiscal year 2001     
   Defense Appropriations bill. The Committee took the following issues    
   into consideration.                                                     
       Past Restructuring Initiatives. The Committee notes that ``Army     
   transformation'' is not a new idea. Especially since the end of the Cold
   War, different Administrations and different Army leaders have          
   recognized the need for the Army to adapt to new and different threats. 
   Over the last decade, the Army has undertaken a variety of restructuring
   initiatives, large and small. They include such efforts as the advanced 
   warfighting experiment process, ``Force XXI'', digitization, the ``Army 
   of Excellence'', the ``Army After Next'', and most recently the Strike  
   Force headquarters concept. Many of these initiatives have shown some   
   promise, but have regrettably failed to generate sufficient impetus to  
   bring about transforming change to the Army. The reasons for this are   
   varied, including prolonged research and development efforts or extended
   and disjointed experimentation programs. Other efforts suffered from    
   lack of sufficient funding. None had sufficient momentum or budgetary   
   priority to be completed as originally envisioned.                      
      The consequence of the Army's having failed in these attempts to make
   significant changes were perhaps most pungently summed up by the        
   then-Deputy Secretary of Defense, John Hamre, who in August 1999 stated:
   ``If the Army only holds onto nostalgic versions of its grand past, it  
   is going to atrophy and die.''                                          
       The New ``Army Vision''. Within the past year, the Army has         
   responded to this challenge by devising a new strategy, intended to     
   provide in the near-term an enhanced capability to rapidly deploy combat
   power, while laying the foundation for the creation of an ``objective'' 
   force that is as lethal and survivable as its heavy forces but as       
   deployable, agile, and versatile as its light forces. The Army intends  
   to accomplish this through three major initiatives.                     
       ``Interim Force''. --The Army has initiated an aggressive program to
   convert a selected number of brigades into 4,000 person interim brigade 
   combat teams (IBCTs, also referred to as ``new medium brigades''),      
   intended to bridge the gap between traditional heavy and light Army     
   forces. The fiscal year 2001 budget contains funding to begin this      
   process for the first such IBCT. The primary focus of the ``interim     
   force'' is to make the Army's light combat formations more lethal,      
   survivable, and tactically mobile. The transition to interim force      
   elements will also convert some heavy brigades into lighter and more    
   agile forces.                                                           
      The IBCTs are specifically designed for employment as early entry    
   forces that can begin operations immediately upon departure from the    
   port of debarkation. The mobility goal is to deploy an entire interim   
   brigade by C 17 or C 130 aircraft to a theater twice as fast as a       
   mechanized brigade (approximately 96 hours with a dedicated airflow).   
   The Army intends this interim force to provide the National Command     
   Authority with a better-tailored and more effective capability for      
   smaller scale contingencies, such as past operations in Grenada,        
   Somalia, Haiti, or current operations in Kosovo. The Army also contends 
   that this force will improve American combat power for fighting major   
   theater wars (MTW), such as on the Korean peninsula, especially should  
   the Nation find itself confronted with a second MTW scenario.           
      The interim force concept, which is currently estimated to cost      
   around $600 to $900 million per brigade, centers on acquiring a family  
   of off-the-shelf, medium weight infantry carrier vehicles and a new     
   mobile armored gun system. Costs will be refined with the final         
   selection of interim armored vehicles later this summer.                
      The current Army budget funds an equipment acquisition profile of one
   interim brigade combat team per fiscal year over the Future Years       
   Defense Plan. In testimony before the Committee, the Army Chief of Staff
   made clear his view that it is preferable to implement the interim force
   transition at a rate of two brigades per year. This is in order to      
   reduce the risk to U.S. forces, which in all likelihood will continue to
   be ordered to undertake operations with equipment, organization, and    
   doctrine that is not optimized for many of the missions they will be    
   tasked with performing.                                                 
       ``Objective Force'' --While attempting to address immediate         
   operational needs through the rapid fielding of the interim brigades,   
   the fiscal year 2001 Army budget also proposes a major research and     
   development effort to support the design and eventual fielding of a new 
   medium weight ``objective force'', based on ``leap ahead'' technology,  
   and intended for deployment in the 2012 timeframe. This force will be   
   designed to deploy a combat-capable combined arms brigade anywhere in   
   the world in 96 hours, the remainder of the division 24 hours later, and
   five divisions anywhere in the world in 30 days. Even though it would be
   centered around a relatively lightweight (10 to 20 tons), advanced      
   technology Future Combat System vehicle, the Army believes the objective
   force can be shaped and equipped to have the versatility,               
   sustainability, and lethality to fight and win a full spectrum of       
   conflicts ranging from small stability and support operations to        
   full-scale major regional wars.                                         
       Heavy Force Recapitalization.-- The third major element of the Army 
   strategy calls for ``recapitalization'' of its legacy heavy forces, to  
   ensure that the Army will continue to have the ability to generate      
   overwhelming heavy combat power to fight and win the Nation's wars. This
   part of the plan is centered on further tank upgrades, revitalization of
   helicopter assets, artillery upgrades, and enhanced situation awareness 
   (digitization) capabilities. It calls for modernizing III Corps, the 3rd
   Infantry Division, selected Guard brigades, and other units not part of 
   the interim force. The Committee notes that even under the most         
   optimistic implementation timetables for the future ``objective force'',
   it will be necessary to maintain the Army's heavy formations for at     
   least another two decades.                                              
       Committee Observations and Concerns:-- The Committee commends the   
   present Army leadership for devising a program that not only attempts to
   learn lessons from past restructuring efforts, but also tries to        
   reevaluate and make fundamental changes to core organizational,         
   doctrinal, and institutional concepts. However, the Committee believes  
   that if this effort is to avoid the fate of previously well-intended    
   Army efforts, it will require a sustained level of commitment from the  
   Army, the Secretary of Defense, and Congress, a demonstrated dedication 
   to change and willingness to make tough choices, and a concerted effort 
   to make this a top Department of Defense priority.                      
       Internal Army Transformation Needed.-- While laudatory of the Army  
   leadership's aggressive efforts over the past year to make its          
   transformation vision a reality, the Committee believes that the Army   
   must undertake a serious self-examination of how it is internally       
   organized and resourced to manage a complex and expensive undertaking   
   such as Transformation. The Committee has not been impressed with the   
   slow and protracted way in which the Army has historically developed and
   acquired many of its major systems. For example, it will take 30 years  
   for the Army to develop and procure a new fleet of medium trucks, the   
   Comanche helicopter will be in development for nearly 20 years before it
   is procured, and hundreds of millions were spent to develop the medium  
   Armored Gun System only to see the Army recommend its cancellation      
   immediately prior to procurement. Other examples abound. The Committee  
   has observed how any number of Army research and development programs   
   have displayed a lack of focus and relevance over the years, while there
   have been a series of embarrassing design problems involving relatively 
   simple items such as trailer hitches and medium trucks.                 
       Budget Priorities Must Shift As Well.-- The Army must also come to  
   grips with the need to make the hard budgetary choices needed to reorder
   its internal priorities and to eliminate lower priority expenditures. It
   is not unreasonable to require the Army to contribute a significant     
   portion of the total cost of the transformation effort from savings     
   derived from other desirable but lower priority Army                    
   programs--especially those that after years of development have yet to  
   demonstrate success, are duplicative of existing capabilities, or       
   represent a ``Cold War'' mindset in terms of requirements and           
   operational utility.                                                    
      The Committee is also puzzled by the actions of the Office of the    
   Secretary of Defense (OSD). The Committee notes that after issuing what 
   amounts to an ultimatum to the Army to transform itself, OSD did not    
   follow up its challenge with the resources necessary to properly and    
   robustly implement the transformation plan. Even though Army            
   transformation is a centerpiece of the President's fiscal year 2001     
   defense budget, the Administration proposed larger program increases for
   both the Air Force and the Navy than for the Army. Indeed, the proposed 
   fiscal year 2001 budget cuts the Army's overall buying power by 1.5     
   percent.                                                                
      The Committee takes no issue with the legitimacy of the Air Force and
   Navy program increases, most of which meet valid needs and requirements.
   But the Committee also believes that if the DoD and the next            
   Administration does not accord Army transformation the budgetary        
   priority it deserves, it will languish and eventually be homogenized    
   into the traditional Army structure along with many past initiatives,   
   producing only marginal long term effect.                               
       Interim Force Implementation Issues.-- The Committee is concerned   
   about many aspects of the proposed ``off-the-shelf'' acquisition plan   
   the Army has initiated to equip the new interim brigades. But given Army
   immediate operational requirements, and the well-demonstrated inability 
   of the Army acquisition system to quickly develop and field equipment,  
   the Committee believes this unconventional acquisition initiative must  
   be given a chance to succeed. Even then, the interim brigade acquisition
   strategy cannot be allowed to become yet another drawn-out, overly      
   expensive program which collapses from its own weight.                  
      The Committee is aware that some have called for slowing down the    
   fielding of the interim force to allow for a period of experimentation, 
   detailed platform demonstrations, and operational analysis. The         
   Committee believes that the Army shall, and must, take the necessary    
   steps to ensure that the equipment and operational tactics for the      
   interim force meet the warfighting needs of those commanders who may be 
   called upon to use this capability, as well as providing for the safety 
   of those soldiers who may be called upon to fight on behalf of the      
   Nation. On balance, given the Army's needs the Committee finds itself   
   supportive of the Army Chief of Staff's crisply stated vision for the   
   interim force: ``We intend to stand it up, organize it, equip it, train 
   it, pick it up, and lift it and use it, as opposed to study it.''       
      The Committee cautions the Army that it should be prepared to        
   demonstrate that it has given full and careful consideration to vehicle 
   cost in awarding upcoming IBCT vehicle production contracts. In         
   particular, the Committee will review how the Army has weighed such     
   costs against the benefits and desire of achieving commonality among all
   medium combat vehicle types. The Committee expects the Army to follow a 
   ``best value'' concept when evaluating bids and awarding IBCT contracts.
           Committee Recommendations:                                              

      The Committee strongly supports the thrust of the Army leadership's  
   strategic vision to transform its Cold War legacy force to one that is  
   better tailored to conduct a full spectrum of operations with dominance,
   speed, agility, lethality, and sustainability.                          
      In addition, the Committee concurs with the Army leadership that the 
   greatly increased frequency of small-scale contingency operations over  
   the past decade, and the likely continuation of such missions in the    
   foreseeable future, justifies the need for establishing its interim     
   brigades more quickly than the ten-year timeframe currently proposed.   
   The Army believes that it can implement this force in half the time if  
   funds are available, and the Committee agrees that this is what should  
   be done. In addition, the Committee strongly supports the concept that  
   the interim force must not just be developed as a specialized force only
   for small contingency operations, but as a ``full spectrum force''      
   capable of effective combat at all levels of conflict.                  
      Therefore, after careful consideration, the Committee makes these    
   recommendations regarding the key aspects of the Army Transformation    
   strategy:                                                               
      The Committee recommends fully funding the budget request of         
   $105,000,000 for the cornerstone of the ``objective force'', the Future 
   Combat Vehicle, and also provides an additional $46,000,000 over the    
   request to accelerate this effort.                                      
      The Committee bill fully funds the budget request of $646,077,000 to 
   develop and field interim armored vehicles for the first interim brigade
   combat team--and provides additions above the budget request of         
   $150,000,000 for development costs, and $133,000,000 in procurement     
   accounts to completely test, equip and field the first IBCT.            
      In addition, the Committee provides an additional $800,000,000 in    
   procurement funding to equip a second IBCT, in accordance with the      
   Army's preferred rate of interim brigade implementation.                
      As stated above, the Committee believes that the Department of       
   Defense must increase the overall attention and priority it is giving to
   the interim brigade transformation concept. The Committee bill therefore
   contains a general provision (Section 8115) prohibiting the obligation  
   of any funds provided for the second IBCT, unless and until the         
   Secretary of Defense certifies to Congress that the fiscal year 2002    
   Department of Defense budget submission fully funds an additional two   
   IBCTs for fiscal year 2002, as well as in each of the succeeding years  
   of the Future Years Defense Plan until eight brigades are financed. The 
   Committee expects and directs the DoD to include adequate funding in    
   next year's budget request to meet the recommended pace of converting   
   two brigades per year.                                                  
      Finally, a key aspect of the Army transformation process must be an  
   internal transformation, to revitalize and modernize its processes for  
   developing and acquiring major systems in a timely, efficient, and cost 
   effective manner. The Committee therefore directs the Secretary of the  
   Army to commission an independent organization (as discussed in the     
   Research, Development, Test and Evaluation, Army portion of this report)
   to review and make necessary recommendations to improve the Army's      
   management structure, procedures, requirements development and resource 
   allocation levels for its research and development, major systems       
   acquisition, and budget/fiscal analysis functions. This review shall    
   expressly compare the manner in which these functions are organized and 
   resourced by the other military services, and shall solicit the views   
   and recommendations for improving these functions from cognizant        
   officials in the Office of the Secretary of Defense, Office of          
   Management and Budget, the Congress, and industry. This review shall be 
   completed no later than March 31, 2001, and a summary of the            
   recommendations and actions the Secretary plans to take in response to  
   those recommendations shall be transmitted to the congressional defense 
   committees by April 30, 2001.                                           
                                   FORCES TO BE SUPPORTED                         

                          Department of the Army                         

      The fiscal year 2001 budget is designed to support active Army forces
   of 10 divisions, 3 armored cavalry regiments, and reserve forces of 8   
   divisions, 3 separate brigades, and 15 enhanced National Guard brigades 
   (6 enhanced brigades will be aligned under 2 AC/ARNG integrated division
   headquarters). These forces provide the minimum force necessary to meet 
   enduring defense needs and execute the National Military Strategy.      
   A summary of the major forces follows:                                  


                                                                                 

                                                                   Fiscal year--        

                                                                1999     2000     2001  

Divisions:\1\                                                      1        1        1  
                                                             -------  -------  -------  
Total                                                             10       10       10  
                                                             =======  =======  =======  
   Non-division Combat units:                                         3        3        3  
                                                             -------  -------  -------  
Total                                                              3        3        4  
                                                             =======  =======  =======  
Active duty military personnel, end strength (Thousands)         480      480      480  

\1\Separate brigade is aligned to one of the light divisions.                                                                           
\2\Selected Divisions will have the Interim Brigade Combat Teams (2 brigades undergoing transformation at Ft. Lewis, WA) within them.   

                          DEPARTMENT OF THE NAVY                         

      The fiscal year 2001 budget support battle forces totaling 316 ships 
   at the end of fiscal year 2001, the same as in fiscal year 2000. Forces 
   in fiscal year 2001 include 18 strategic submarines, 12 aircraft        
   carriers, 246 other battle force ships, 1,835 Navy/Marine Corps         
   tactical/ASW aircraft, 619 Undergraduate Training aircraft, 517 Fleet   
   Air Training aircraft, 254 Fleet Air Support aircraft, 404 Reserve      
   aircraft, and 472 aircraft in the pipeline.                             
   A summary of the major forces follow:                                   


                                                                               

                                             Fiscal year--             

                                         1999        2000        2001  

Strategic Forces                           18          18          18  
                                   ----------  ----------  ----------  
SLBM Launchers                            432         432         432  
General Purpose                           256         257         258  
                                   ----------  ----------  ----------  
Support Forces                             25          25          25  
                                   ----------  ----------  ----------  
Mobilization Category A                    18          16          15  
                                   ----------  ----------  ----------  
                                   ----------  ----------  ----------  
Total Ships, Battle Force                 317         316         316  
Total Local Defense/Misc Force            162         165         155  
Auxiliaries/Sea Lift Forces               138         143         132  
Surface Combatant Ships                     1           0           0  
Coastal Defense                            13          13          13  
Mobilization Category B                    10           9          10  
Naval Aircraft:                         4,100       4,115       4,101  
                                   ----------  ----------  ----------  
   Naval Personnel:                                                       
 Active:                                                                
Navy                                  373,046     371,800     372,000  
Marine Corps                          172,641     172,518     172,600  
 Reserve:                                                               
Navy                                   89,172      89,134      88,900  
SELRES                                 73,297      74,124      74,251  
TARS                                   15,875      15,010      14,649  

                       DEPARTMENT OF THE AIR FORCE                       

      The fiscal year 2001 Air Force budget is designed to support a total 
   active inventory force structure of 78 fighter and attack squadrons, 4  
   Air National Guard air defense interceptor squadrons and 12 bomber      
   squadrons, including B 2s, B 52s, and B 1s. The Minuteman and           
   Peacekeeper ICBM forces will consist of 605 active launchers.           
   A summary of the major forces follows:                                  


                                                                               

                                                              Fiscal year--          

                                                           1999      2000      2001  

USAF fighter and attack (Active)                             83        81        78  
USAF fighter and attack (ANG and AFRC)                       45        45        45  
Air defense interceptor (ANG)                                 6         6         4  
Strategic bomber (Active)                                    10        11        12  
Strategic bomber (ANG and AFRC)                               3         3         3  
ICBM operational launch facilities/control centers          605       605       605  
ICBM operational missile boosters                           550       550       550  
                                                       ========  ========  ========  
   USAF Airlift Squadrons (Active):                             15        15        12  
                                                       --------  --------  --------  
Total Airlift                                                26        26        23  
                                                       ========  ========  ========  
Total Active Inventory                                    6,203     6,143     6,114  


                                                                               

                         FY 1999 (Actual)    FY 2000 Col/FY 2001 PB    FY 2001 PB  

Active Duty                       360,590                   357,900       357,000  
Reserve Component                 177,478                   180,386       182,300  
Air National Guard                105,715                   106,678       108,000  
Air Force Reserve                  71,772                    73,708        74,300  


                                           TITLE I                                

                                     MILITARY PERSONNEL                           

            PROGRAMS AND ACTIVITIES FUNDED BY MILITARY PERSONNEL APPROPRIATIONS   

      The President's fiscal year 2001 budget request continues to make    
   military personnel programs a high priority. The budget request proposed
   a 3.7 percent pay raise, effective January 1, 2001, included a          
   significant increase in funds for advertising and recruiting support,   
   expanded pays, bonuses and other retention incentives, recommended an   
   increase in the number of recruiters, and contained new initiatives to  
   improve the Services' ability to recruit and retain a quality force.    
      The Committee agrees with these personnel initiatives and recommends 
   increases over the budget for programs such as Basic Allowance for      
   Housing costs, Dislocation Allowance, enlistment and selective          
   reenlistment bonuses, recruiting and advertising, and additional        
   recruiters.                                                             
             SUMMARY OF MILITARY PERSONNEL RECOMMENDATIONS FOR FISCAL YEAR 2001   


                                                                               

                                                        

     Fiscal year 2000                       $73,894,693,000  
     Fiscal year 2001 budget request         75,801,666,000  
     Fiscal year 2001 recommendation         75,904,216,000  
     Change from budget request                +102,550,000  

      The Committee recommends an appropriation of $75,904,216,000 for the 
   Military Personnel accounts. The recommendation is an increase of       
   $2,009,523,000 above the $73,894,693,000 appropriated in fiscal year    
   2000. These military personnel budget total comparisons include         
   appropriations for the active, reserve, and National Guard accounts. The
   following tables include a summary of the recommendations by            
   appropriation account. Explanations of changes from the budget request  
   appear later in this section.                                           

  SUMMARY OF APPROPRIATION ACCOUNT OF THE FISCAL YEAR 2001 MILITARY PERSONNEL RECOMMENDATION  
                                   [In thousands of dollars]                                  

Account                                Budget     Recommendation     Change from  request  

Military Personnel:               $22,198,457        $22,242,457                 +$44,000  
                               --------------  -----------------  -----------------------  
Subtotal, Active                   65,046,488         65,098,288                  +51,800  
                               ==============  =================  =======================  
Reserve Personnel:                  2,433,880          2,463,320                  +29,440  
National Guard Personnel:           3,747,636          3,719,336                  -28,300  
                               --------------  -----------------  -----------------------  
Subtotal, Guard and Reserve        10,755,178         10,805,928                  +50,750  
                               ==============  =================  =======================  
Total, Title I                     75,801,666         75,904,216                 +102,550  

      The fiscal year 2001 budget request includes a slight decrease of 618
   end strength for the active forces and an increase of 1,556 end strength
   for the selected reserve over fiscal year 2000 authorized levels.       
      The Committee recommends the following personnel levels highlighted  
   in the tables below.                                                    
                       Overall Active End Strength                       


                                                                               

                                                                  

     Fiscal year 2000 estimate                              1,382,218  
     Fiscal year 2001 budget request                        1,381,600  
     Fiscal year 2001 recommendation                        1,382,242  
       Compared with Fiscal year 2000                             +24  
       Compared with Fiscal year 2001 budget request             +642  

                  Overall Selected Reserve End Strength                  


                                                                               

                                                                

     Fiscal year 2000 estimate                              864,144  
     Fiscal year 2001 budget request                        865,700  
     Fiscal year 2001 recommendation                        866,934  
       Compared with Fiscal year 2000                        +2,790  
       Compared with Fiscal year 2001 budget request         +1,234  


                                                                                                      

                                      FY 2000 estimate                        Fiscal year 2001                       

                                                           Budget request    Recommendation    Change from request  

Active Forces (end strength):                   480,000           480,000           480,000                         
                                      -----------------  ----------------  ----------------  ---------------------  
Total, Active Force                           1,382,218         1,381,600         1,382,242                   +642  
                                      =================  ================  ================  =====================  
Guard and Reserve (end strength):               205,000           205,000           205,300                   +300  
                                      -----------------  ----------------  ----------------  ---------------------  
Total, Guard and Reserve                        864,144           865,700           866,934                 +1,234  

                         ADJUSTMENTS TO MILITARY PERSONNEL ACCOUNT                

                                 Overview                                

                         End Strength Adjustments                        

      The Committee recommends a personnel understrength reduction of      
   $138,400,000 to the budget request, as a result of a General Accounting 
   Office review of the fiscal year 2000 military personnel end strength   
   levels. The General Accounting Office has been examining the costs for  
   military pay and allowances to determine if the fiscal year 2001        
   requirements are correct. It has concluded, based on March 2000 end     
   strength projections, that the active and Reserve components will begin 
   fiscal year 2001 with approximately 3,200 fewer military personnel      
   on-board than budgeted. In addition, actual data shows active military  
   personnel on-board, by grade mix, is different than was requested in    
   last year's budget request. This means the fiscal year 2001 pay and     
   allowances requirements for personnel are incorrect and the budgets are 
   overstated. The Committee will continue to monitor the Services' end    
   strength levels as more current data becomes available.                 
            Unobligated/Unexpended Military Personnel Balances           

      The Committee recommends a reduction of $96,000,000 to the budget    
   request, as a result of a General Accounting Office review of prior year
   unobligated military personnel account balances. Generally the Services'
   military personnel appropriations are obligated in the year of          
   appropriation, with the majority of the obligated balances being        
   disbursed within two years after being appropriated. However, all of the
   funds obligated are not always expended, and those unexpended balances  
   are then transferred to the foreign currency account. Since the         
   Services' account data have shown a pattern of not spending all of their
   appropriated funds, the Committee believes that the fiscal year 2001    
   military personnel budget request is overstated and can be reduced.     
      The Committee also believes the Services need to do a more           
   comprehensive job of reviewing their appropriations balances to ensure  
   that funds are properly obligated and expended, and if not, to adjust   
   their budget submissions accordingly.                                   
                          Unfunded Requirements                          

      The Committee recommends an increase over the budget request of      
   $250,550,000 for additional active duty and reserve component pays and  
   allowances to enhance enlisted recruiting, retention, and quality of    
   life initiatives for military personnel, as follows:                    

                                                                               
                             [Dollars in thousands]                            

                                                

     Enlistment Bonuses                    $130,400  
     Selective Reenlistment Bonuses          33,000  
     AGR Pilot Bonus                         12,400  
     College First Program                    5,000  
     Basic Allowance for Housing             63,750  
     Dislocation Allowance                    6,000  
                                   -----------  
        Total                              $250,550  

                       Basic Allowance for Housing                       

      The Committee recommends an increase over the budget request of      
   $63,750,000 for the Basic Allowance for Housing (BAH) program. The      
   budget recommended funds for a BAH initiative that will eliminate the   
   out-of-pocket housing costs being paid by military personnel. This      
   initiative will lower the average out-of-pocket costs for off-base      
   housing from the current 18.8 percent to 15 percent next year, and      
   eliminate them entirely by fiscal year 2005. The Committee recommends an
   additional $30,000,000, to further reduce out-of-pocket housing expenses
   for military personnel over the budget request.                         
      In addition, the Committee recommends $33,750,000 to maintain housing
   allowances at the 1999 levels during fiscal year 2001, in order to      
   protect service members from any further erosion of their housing       
   benefits in areas where the 2000 BAH rates had been decreased.          
                         Guard and Reserve Forces                        

      The Committee recognizes that Guard and Reserve forces are an        
   essential part of the total force having played an important role in    
   recent peacetime operations. Many of the skills needed for response to a
   crisis reside in the Reserve components, guaranteeing the increased use 
   of Reservists in military operations other than war. The Committee      
   continues its support of the Guard and Reserve and recommends an        
   increase of $320,150,000 over the budget request for the personnel and  
   operation and maintenance accounts as shown below.                      

                                                                               
                             [Dollars in thousands]                            

                                            

     Military Personnel                +$50,750  
     Operation and Maintenance         +269,400  
                              ------------  
        Total                         +$320,150  

                       Full-Time Support Strengths                       

      There are four categories of full-time support in the Guard and      
   Reserve components: civilian technicians, active Guard and Reserve      
   (AGR), non-technician civilians, and active component personnel.        
      Full-time support personnel organize, recruit, train, maintain and   
   administer the Reserve components. Civilian (military) technicians      
   directly support units, and are very important to help units maintain   
   readiness and meet the wartime mission of the Army and Air Force.       
      Full-time support end strength in all categories totaled 148,849 in  
   fiscal year 2000. The fiscal year 2001 budget request is 133,023 end    
   strength. The following table summarizes Guard and Reserve full-time    
   support end strengths:                                                  

                                GUARD AND RESERVE FULL-TIME END STRENGTHS                               

                             FY 2000  estimate      Budget  request      Recommendation    Change from  request  

Army Reserve:                           12,804               12,806              13,106                    +300  
Navy Reserve TAR                        15,010               14,649              14,649                          
Marine Corps Reserve                     2,272                2,203               2,261                     +58  
Air Force Reserve:                       1,134                1,278               1,336                     +58  
Army National Guard:                    22,430               22,448              23,154                    +706  
Air National Guard:                     11,157               11,148              11,148                          
Total:                                  64,807               64,532              65,654                  +1,122  


                                  MILITARY PERSONNEL, ARMY                        


                                                                               

                                                         

     Fiscal year 2000 appropriation          $22,006,361,000  
     Fiscal year 2001 budget request          22,198,457,000  
     Committee recommendation                 22,242,457,000  
     Change from budget request                  +44,000,000  

      The Committee recommends an appropriation of $22,242,457,000 for     
   Military Personnel, Army. The recommendation is an increase of          
   $236,096,000 above the $22,006,361,000 appropriated for fiscal year     
   2000.                                                                   
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Military Personnel, Army
   are shown below:                                                        

          [In thousands of dollars]                                               

   Budget Activity 2: Pay and Allowances of Enlisted Personnel:            



          1100 Special Pays/Enlistment Bonuses                71,000

   Budget Activity 6: Other Military Personnel Costs:                      



          2450 Unemployment Benefits                -2,100

   Other Adjustments:                                                      



          2770 Personnel Underexecution                -24,900



          2805 Basic Allowance for Housing                12,800



          2815 BAH Out-of-Pocket Costs                10,200



          2820 Dislocation Allowance                2,000



          2825 Unobligated/Unexpended Fund Balances                -25,000


                                  MILITARY PERSONNEL, NAVY                        


                            MILITARY PERSONNEL, NAVY                           

                                                         

     Fiscal year 2000 appropriation          $17,258,823,000  
     Fiscal year 2001 budget request          17,742,897,000  
     Committee recommendation                 17,799,297,000  
     Change from budget request                  +56,400,000  

      The Committee recommends an appropriation of $17,799,297,000 for     
   Military Personnel, Navy. The recommendation is an increase of          
   $540,474,000 above the $17,258,823,000 appropriated for fiscal year     
   2000.                                                                   
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Military Personnel, Navy
   are shown below:                                                        

          [In thousands of dollars]                                               

   Budget Activity 2: Pay and Allowances of Enlisted Personnel:            



          3900 Special Pays/Enlistment Bonuses                23,500

   Budget Activity 6: Other Military Personnel Costs:                      



          5250 Unemployment Benefits                -1,400

   Other Adjustments:                                                      



          5610 Basic Allowance for Housing                4,300



          5625 USS Houston manning                3,500



          5630 Additional Recruiter Manning                15,000



          5631 BAH Out-of-Pocket Housing Costs                9,500



          5632 Dislocation Allowance                2,000


                           Active Navy Manning                           

      The Committee recommends an increase of $18,500,000 over the         
   ``Military Personnel, Navy'' budget request to provide additional       
   manpower costs for the required end strength associated with the        
   decision not to implement the fiscal year 2001 decommissioning of the   
   USS Houston submarine, and to increase the Navy's recruiter manning     
   levels from 4,500 to 5,000 total strength level.                        
                              MILITARY PERSONNEL, MARINE CORPS                    


                                                                               

                                                      

     Fiscal year 2000 appropriation        $6,555,403,000  
     Fiscal year 2001 budget request        6,822,300,000  
     Committee recommendation               6,818,300,000  
     Change from budget request                -4,000,000  

      The Committee recommends an appropriation of $6,818,300,000 for      
   Military Personnel, Marine Corps. The recommendation is an increase of  
   $262,897,000 above the $6,555,403,000 appropriated for fiscal year 2000.
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Military Personnel,     
   Marine Corps are shown below:                                           

          [In thousands of dollars]                                               

   Budget Activity 2: Pay and Allowances of Enlisted Personnel:            



          6700 Special Pays/Enlistment Bonuses                4,000



          6700 Special Pays/Selective Reenlistment Bonuses                4,000

   Budget Activity 6: Other Military Personnel Costs:                      



          7900 Unemployment Benefits                -700

   Other Adjustments:                                                      



          8230 Personnel Underexecution                -8,100



          8255 Basic Allowance for Housing                1,500



          8260 Marine Corps Execution Repricing                -8,000



          8265 BAH Out-of-Pocket Housing Costs                2,800



          8270 Dislocation Allowance                500


                               MILITARY PERSONNEL, AIR FORCE                      


                                                                               

                                                        

     Fiscal year 2000 appropriation         $17,861,803,000  
     Fiscal year 2001 budget request         18,282,834,000  
     Committee recommendation                18,238,234,000  
     Change from budget request                 -44,600,000  

      The Committee recommends an appropriation of $18,238,234,000 for     
   Military Personnel, Air Force. The recommendation is an increase of     
   $376,431,000 above the $17,861,803,000 appropriated for fiscal year     
   2000.                                                                   
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Military Personnel, Air 
   Force are shown below:                                                  

          [In thousands of dollars]                                               

   Budget Activity 2: Pay and Allowances of Enlisted Personnel:            



           9350 Special Pays/Enlistment Bonuses                7,500



           9350 Special Pays/Selective Reenlistment Bonuses                29,000

   Budget Activity 6: Other Military Personnel Costs:                      



          10700 Unemployment Benefits                -600

   Other Adjustments:                                                      



          11020 Personnel Underexecution                -59,600



          11080 Basic Allowance for Housing                12,100



          11115 Unobligated/Unexpended Fund Balances                -42,000



          11120 BAH Out-of-Pocket Housing Costs                7,500



          11125 Dislocation Allowance                1,500


                                  RESERVE PERSONNEL, ARMY                         


                                                                               

                                                       

     Fiscal year 2000 appropriation         $2,289,996,000  
     Fiscal year 2001 budget request         2,433,880,000  
     Committee recommendation                2,463,320,000  
     Change from budget request                +29,440,000  

      The Committee recommends an appropriation of $2,463,320,000 for      
   Reserve Personnel, Army. The recommendation is an increase of           
   $173,324,000 above the $2,289,996,000 appropriated for fiscal year 2000.
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Reserve Personnel, Army 
   are shown below:                                                        

          [In thousands of dollars]                                               

   Budget Activity 2: Other Training and Support:                          



          11750 Administration and Support/Enlistment Bonuses                12,400

   Other Adjustments:                                                      



          12020 Full Time Support/AGRs                10,000



          12045 JROTC Program            1,300



          12055 College First Program                5,000



          12060 Basic Allowance for Housing                740


                                  RESERVE PERSONNEL, NAVY                         


                                                                               

                                                       

     Fiscal year 2000 appropriation         $1,473,388,000  
     Fiscal year 2001 budget request         1,528,385,000  
     Committee recommendation                1,566,095,000  
     Change from budget request                +37,710,000  

      The Committee recommends an appropriation of $1,566,095,000 for      
   Reserve Personnel, Navy. The recommendation is an increase of           
   $92,707,000 above the $1,473,388,000 appropriated for fiscal year 2000. 
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Reserve Personnel, Navy 
   are shown below:                                                        

          [In thousands of dollars]                                               

   Other Adjustments:                                                      



          12880 JROTC Program            600



          12895 Basic Allowance for Housing                310



          12900 CINC Active Duty for Training                13,400



          12910 Annual Training                23,400


                              RESERVE PERSONNEL, MARINE CORPS                     


                                                                               

                                                     

     Fiscal year 2000 appropriation         $412,650,000  
     Fiscal year 2001 budget request         436,386,000  
     Committee recommendation                440,886,000  
     Change from budget request               +4,500,000  

      The Committee recommends an appropriation of $440,886,000 for Reserve
   Personnel, Marine Corps. The recommendation is an increase of           
   $28,236,000 above the $412,650,000 appropriated for fiscal year 2000.   
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Reserve Personnel,      
   Marine Corps are shown below:                                           

          [In thousands of dollars]                                               

   Other Adjustments:                                                      



          13780 JROTC Program            300



          13795 Personnel Underexecution                -700



          13800 Active Duty for Special Work                3,000



          13805 Active Personnel Reserve Reassessment                1,900


                                RESERVE PERSONNEL, AIR FORCE                      


                                                                               

                                                     

     Fiscal year 2000 appropriation         $892,594,000  
     Fiscal year 2001 budget request         981,710,000  
     Committee recommendation                980,610,000  
     Change from budget request               -1,100,000  

      The Committee recommends an appropriation of $980,610,000 for Reserve
   Personnel, Air Force. The recommendation is an increase of $88,016,000  
   above the $892,594,000 appropriated for fiscal year 2000.               
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Reserve Personnel, Air  
   Force are shown below:                                                  

          [In thousands of dollars]                                               

   Other Adjustments:                                                      



          14610 Personnel Underexecution                -8,100



          14626 JROTC Program            1,200



          14640 AGR Pilot Bonus                3,700



          14645 RED HORSE Unit           400



          14650 Additional Recruiter Manning                1,700


                        AIR FORCE RESERVE MANNING                        

      The Committee recommends an increase over the request of $2,100,000  
   in ``Reserve Personnel, Air Force'' to provide additional personnel     
   costs required for the stand up of a new total force Rapid              
   Engineer-Deployable Heavy Operations-Repair Squadron Engineer (RED      
   HORSE) unit, and additional Reserve recruiter manning end strength.     

                               NATIONAL GUARD PERSONNEL, ARMY                     


                                                                               

                                                      

     Fiscal year 2000 appropriation        $3,610,479,000  
     Fiscal year 2001 budget request        3,747,636,000  
     Committee recommendation               3,719,336,000  
     Change from budget request               -28,300,000  

      The Committee recommends an appropriation of $3,719,336,000 for      
   National Guard Personnel, Army. The recommendation is an increase of    
   $108,857,000 above the $3,610,479,000 appropriated for fiscal year 2000.
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for National Guard          
   Personnel, Army are shown below:                                        

          [In thousands of dollars]                                               

   Budget Activity 2: Other Training and Support:                          



          15200 Administration and Support/Enlistment Bonuses                12,000

   Other Adjustments:                                                      



          15360 Personnel Underexecution                -36,100



          15390 Additional Full Time Support AGR                23,500



          15420 Basic Allowance for Housing                1,300



          15430 Unobligated/Unexpended Fund Balances                -29,000


             Weapons of Mass Destruction--Civil Support Teams            

      The Department of Defense has currently fielded 10 Weapons of Mass   
   Destruction Civil Support Teams. Last year, the Congress directed the   
   establishment and organization of an additional 17 teams, for a total of
   27 teams. The stationing of these additional teams has already been     
   determined by the Department. However, the Committee believes that      
   should additional WMD teams be established by the Congress or the       
   Department in the future, priority should be given to states in the     
   Southwestern United States, and other areas which are experiencing      
   significant population increases.                                       
                 Guard and Reserve Workyear Requirements                 

      For the past several years, the Committee has asked the General      
   Accounting Office (GAO) to review the Reserve military personnel budget 
   requests. In the course of their review, the GAO found that the Army    
   National Guard has overstated the average number of military personnel  
   workyears budgeted because the inactive duty training participation     
   rates used to estimate the budget were overstated. Last year, the       
   Committee also directed the Secretary of Defense to ensure the Army     
   National Guard's accounting procedures for determining annual training  
   and schools and special training costs were properly coded, and that the
   Army National Guard follow the Department's financial management        
   regulations. GAO has determined that the Army National Guard has not    
   corrected the accounting problems reported last year, and further found 
   that this accounting practice is also followed by the other Guard and   
   Reserve components. The Committee again directs the Secretary of Defense
   to report to the Committee, by February 1, 2001, on its efforts to      
   ensure that accurate accounting information is used in preparing the    
   Reserve components budget submissions.                                  
                            NATIONAL GUARD PERSONNEL, AIR FORCE                   


                                                                               

                                                      

     Fiscal year 2000 appropriation        $1,533,196,000  
     Fiscal year 2001 budget request        1,627,181,000  
     Committee recommendation               1,635,681,000  
     Change from budget request                +8,500,000  

      The Committee recommends an appropriation of $1,635,681,000 for      
   National Guard Personnel, Air Force. The recommendation is an increase  
   of $102,485,000 above the $1,533,196,000 appropriated for fiscal year   
   2000.                                                                   
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for National Guard          
   Personnel, Air Force are shown below:                                   

          [In thousands of dollars]                                               

   Other Adjustments:                                                      



          16120 Personnel Underexecution                -900



          16155 Basic Allowance for Housing                700



          16160 AGR Pilot Bonus                8,700


                                          TITLE II                                

                                  OPERATION AND MAINTENANCE                       

      The fiscal year 2001 budget request for Operation and Maintenance is 
   $96,280,113,000 in new budget authority, which is an increase of        
   $4,045,344,000 above the amount appropriated for fiscal year 2000. The  
   request also includes a $150,000,000 cash transfer from the National    
   Defense Stockpile Fund Transaction fund.                                
      The accompanying bill recommends $97,507,228,000 for fiscal year     
   2001, which is an increase of $1,227,115,000 above the budget request.  
   In addition, the Committee recommends that $150,000,000 be transferred  
   from the National Defense Stockpile Transaction fund, as proposed in the
   budget request.                                                         
      These appropriations finance the costs of operating and maintaining  
   the Armed Forces, including the reserve components and related support  
   activities of the Department of Defense (DoD), except military personnel
   costs. Included are pay for civilians, services for maintenance of      
   equipment and facilities, fuel, supplies, and spare parts for weapons   
   and equipment. Financial requirements are influenced by many factors,   
   including force levels such as the number of aircraft squadrons, Army   
   and Marine Corps divisions, installations, military personnel strength  
   and deployments, rates of operation activity, and the quantity and      
   complexity of equipment such as aircraft, ships missiles and tanks in   
   operation.                                                              
   The table below summarizes the Committee's recommendations.             


[Graphic Image Not Available]

[Graphic Image Not Available]

                             OPERATION AND MAINTENANCE OVERVIEW                   

      Despite increased funding proposed by the administration in the      
   fiscal year 2001 budget request, the Committee notes that there are     
   substantial unfunded requirements in the Operation and Maintenance      
   accounts that are critical to maintaining the readiness of U.S. armed   
   forces, enhancing the sustainability of such forces when they are       
   deployed, and improving the condition of the supporting infrastructure. 
   As in past years, the Committee requested that the Military Services    
   identify their top unfunded priorities for consideration during the     
   Committee's deliberations on the fiscal year 2001 Department of Defense 
   Appropriations bill. Once again, the Military Services have identified  
   significant shortfalls in the Operation and Maintenance accounts. In the
   Committee's view, these shortfalls pose a serious risk to the near term 
   readiness of U.S. forces as well as the ability of these forces to      
   sustain combat operations once deployed. These shortfalls are evident in
   a number of areas financed by the Operation and Maintenance accounts    
   including: maintenance of infrastructure; funding for depot-level       
   maintenance of weapons systems; field level equipment maintenance and   
   logistical support; recruiting, advertising and related programs; and   
   basic personnel support equipment such as cold weather gear, body armor,
   naval shipboard accommodations, and minor equipment items to support    
   soldiers in the field. To correct these deficiencies, the Committee     
   recommends increased funding above the budget request in a number of    
   areas including those cited above.                                      
      The Committee also notes that there are areas in the Operation and   
   Maintenance accounts where savings can be achieved to free up resources 
   both for the readiness needs discussed above, and to make resources     
   available for more robust modernization programs. Given the need to     
   correct deficiencies in the Operation and Maintenance accounts in order 
   to enhance near term readiness and sustainability as well as weapons    
   modernization, the Committee believes it is imperative for the          
   Department of Defense to use its Operation and Maintenance funding as   
   efficiently as possible. Therefore, the Committee recommends certain    
   reductions based on fact-of-life considerations, as well as management  
   actions that the Department should under take to streamline activities  
   funded in the Operation and Maintenance accounts.                       
                        REAL PROPERTY MAINTENANCE                        

      The Committee recommends an increase of $830,300,000 above the budget
   request to slow the growth in the backlog of real property maintenance. 
   The Committee notes that despite modest increases proposed by the       
   administration for real property maintenance, the level of funding in   
   the fiscal year 2001 budget request falls far short of arresting the    
   growth in the backlog of such work. The budget justification materials  
   indicate an increase in the backlog of real property maintenance        
   workload of almost $1,600,000,000 from 2000 to 2001, and a total backlog
   in 2001 of $27,200,000,000. Of this amount, the backlog for the Army is 
   over $16,000,000,000. To address this backlog, the Committee recommends 
   additional funding over the budget request to be distributed as follows.





          Army                           $555,800,000



          Navy                           70,000,000



          Marine Corps                   47,000,000



          Air Force                      70,000,000



          Defense-Wide                   10,500,000



          Army Reserve                   30,000,000



          Navy Reserve                   15,000,000



          Marine Corps Reserve           2,000,000



          Air Force Reserve              10,000,000



          Army National Guard            15,000,000



          Air National Guard             5,000,000


                            DEPOT MAINTENANCE                            

      The Committee recommends an increase of $343,202,000 above the budget
   request for depot-level maintenance of weapons systems. The Committee   
   notes with concern that the budget proposes reducing funding available  
   for depot maintenance by over $700,000,000 from fiscal year 2000 levels 
   while allowing the backlog of such maintenance to increase to nearly    
   $1,200,000,000. To stem the growth in the backlog of depot maintenance, 
   the Committee recommends additional funding over the budget request to  
   be distributed as follows.                                              




          Army                           $54,402,000



          Navy                           181,200,000



          Marine Corps                   22,000,000



          Air Force                      29,100,000



          Defense-Wide                   10,000,000



          Navy Reserve                   10,000,000



          Marine Corps Reserve           5,000,000



          Air Force Reserve              15,000,000



          Air National Guard             16,500,000


                        Soldier Support Equipment                        

      The Committee recommends an increase of $66,150,000 above the budget 
   request for soldier support equipment. The Committee notes that there   
   remains a substantial backlog of basic troop support equipment such as  
   minor equipment needed to support soldiers in the field, cold weather   
   clothing, body armor, and materials to support shipboard accommodations 
   for sailors. To address these deficiencies, the Committee recommends    
   additional funding over the budget request to be distributed as follows.




          Army                           $5,000,000



          Navy                           15,850,000



          Marine Corps                   21,300,000



          Army Reserve                   9,000,000



          Army National Guard            12,000,000



          Air National Guard             3,000,000


                               Junior ROTC                               

      The Committee recommends an increase of $12,100,000 above the budget 
   request for the Junior ROTC program. Of this amount, $3,400,000 is for  
   the Reserve Personnel accounts, and $8,700,000 is for the Operation and 
   Maintenance accounts. The Committee notes that the Department of Defense
   is nearly 800 units below authorized levels for the JROTC program, and  
   does not plan to reach the authorized levels until fiscal year 2006. In 
   order to accelerate this schedule, the Committee recommends additional  
   funding over the budget request to be distributed as follows.           




          Reserve Personnel, Army                $1,300,000



          Reserve Personnel, Navy                600,000



          Reserve Personnel, Marine Corps                300,000



          Reserve Personnel, Air Force                1,200,000




          Operation and Maintenance, Army                4,500,000



          Operation and Maintenance, Navy                1,700,000



          Operation and Maintenance, Marine Corps                700,000



          Operation and Maintenance, Air Force                1,800,000


                 Field Maintenance and Logistical Support                

      The Committee recommends an increase of $60,800,000 above the budget 
   request to address deficiencies associated with field level equipment   
   maintenance, field logistics, and other logistical support programs. The
   Committee notes that a number of these programs have routinely been     
   highlighted on the Services' unfunded lists and include programs such as
   corrosion control, system sustainment and technical support, and        
   reliability and maintainability programs. To fully fund these programs, 
   the Committee recommends additional funding over the budget request to  
   be distributed as follows.                                              




          Army                           $20,000,000



          Navy                           20,500,000



          Marine Corps                   15,000,000



          Air Force                      5,300,000


                 War Reserve and Prepositioned Materials                 

      The Committee recommends an increase of $60,000,000 above the budget 
   request to address deficiencies associated with war reserve and         
   pre-positioned materials stocks. The Committee notes that the Quarterly 
   Readiness Report to Congress has routinely highlighted vast shortfalls  
   in the stocks of such material which are critical to sustaining combat  
   operations. To address these shortfalls within the Marine Corps'        
   Maritime Prepositioning program and the Air Force readiness spares kits,
   the Committee recommends additional funding over the budget request to  
   be distributed as follows. In addition, the Committee directs the       
   Secretary of Defense to submit a report to the congressional defense    
   committees not later than January 31, 2001, in both classified and      
   unclassified form, which details specific shortfalls in war reserve     
   materials, prepositioned materials, and other stocks needed to sustain  
   combat operations as described in the Quarterly Readiness Report to the 
   Congress. This report shall include estimates for both the quantities   
   and types of material shortfalls, measures that DoD will take to        
   eliminate these shortfalls, and estimates of the cost to remedy these   
   shortfalls.                                                             




          Marine Corps                   $15,000,000



          Air Force                      45,000,000


                 Headquarters and Administrative Expenses                

      The Committee recommends a reduction of $143,630,000 below the budget
   request for headquarters and administrative activities. The Committee   
   supports the efforts of the Defense Authorization Committees to reduce  
   administrative expenses to the same degree that other elements of the   
   Armed Forces force structure have been reduced. In addition, the        
   Committee notes that the fiscal year 2001 budget justification materials
   reflect substantial growth in headquarters activities for each of the   
   Services including staffing, supplies and materials, and vehicle leases 
   which do not appear justified in light of unmet readiness and           
   modernization needs discussed elsewhere in this report. Accordingly, the
   Committee recommends the following reductions from the budget request.  




          Army                           $38,700,000



          Navy                           12,376,000



          Air Force                      75,000,000



          Defense-Wide                   17,554,000


                        Acquisition Program Growth                       

      The Committee recommends a reduction of $54,481,000 below the budget 
   request as a result of acquisition program growth. While the Committee  
   has expressed its support for programs needed to provide logistical     
   support to the operating forces, the Committee is concerned about the   
   level of acquisition staffing growth proposed in the budget request.    
   Accordingly, the Committee recommends the following reductions from the 
   budget request.                                                         




          Navy                           $45,681,000



          Air Force                      8,800,000


                           DFAS Program Growth                           

      The Committee recommends a reduction of $47,111,000 below the budget 
   request as a result of program growth for the Defense Finance and       
   Accounting Service as reflected in the Operation and Maintenance        
   accounts. The Committee notes that this growth is, in part, the result  
   of a proposal to establish a European site for DFAS in the fiscal 2001  
   budget. However, the budget materials are unclear as to the ultimate    
   costs and benefits of this action. Accordingly, the Committee recommends
   the following reductions from the budget request.                       




          Army                           $19,590,000



          Air Force                      27,521,000


                      NATO and Overseas Staff Growth                     

      The Committee recommends a reduction of $26,000,000 below the budget 
   request as a result of program growth for NATO and other European       
   headquarters elements. In light of readiness and modernization          
   shortfalls discussed elsewhere in this report, the Committee believes   
   that such growth is unwarranted, and recommends maintaining resource    
   levels for overseas headquarters elements at fiscal year 2000 levels.   
   Accordingly, the Committee recommends the following reductions from the 
   budget request.                                                         




          Army                           $18,700,000



          Navy                           6,200,000



          Air Force                      1,100,000


             Operation and Maintenance Budget Execution Data             

      The Committee directs the Department of Defense to continue to       
   provide the congressional defense committees with quarterly budget      
   execution data. Such data should be provided not later than forty-five  
   days past the close of each quarter of the fiscal year, and should be   
   provided for each O 1 budget activity, activity group, and subactivity  
   group for each of the active, defense-wide, reserve and National Guard  
   components. For each O 1 budget activity, activity group, and           
   subactivity group, these reports should include: the budget request and 
   actual obligations; the DoD distribution of unallocated congressional   
   adjustments to the budget request; all adjustments made by DoD during   
   the process of rebaselining the O&M accounts; all adjustments resulting 
   from below threshold reprogrammings; and all adjustments resulting from 
   prior approval reprogramming requests.                                  
      In addition, the Committee requires that the Department of Defense   
   provide semiannual written notifications to the congressional defense   
   committees which summarize Operation and Maintenance budget execution to
   include the effect of rebaselining procedures, other below threshold    
   reprogrammings, and prior approval reprogrammings. The Committee further
   directs that the Department of Defense provide the House and Senate     
   Committees on Appropriations written notification 30 days prior to      
   executing procedures to rebaseline the Operation and Maintenance        
   accounts.                                                               
                 Operation and Maintenance Reprogrammings                

      The Committee directs that proposed transfers of funds between O 1   
   budget activities in excess of $15,000,000 be subject to normal, prior  
   approval reprogramming procedures. Items for which funds have been      
   specifically provided in any appropriation in this report using phrases 
   ``only for'' and ``only to'' are Congressional interest items for the   
   purpose of the base for Reprogramming (DD form 1414). Each of these     
   items must be carried on the DD 1414 at the stated amount, or revised   
   amount if changed during conference or if otherwise specifically        
   addressed in the conference report. In addition, due to continuing      
   concerns about force readiness and the diversion of Operation and       
   Maintenance funds, the Committee directs the Department of Defense to   
   provide written notification to the congressional defense committees for
   the cumulative value of any and all transfers in excess of $15,000,000  
   from the following budget activities and subactivity group categories:  
           Operation and maintenance, Army                                         

      Land Forces: Divisions, Corps combat forces, Corps support forces,   
   Echelon above corps forces, Land forces operations support; Land Forces 
   Readiness: Land forces depot maintenance.                               
           Operation and maintenance, Navy                                         

      Air Operations: Mission and other flight operations, Fleet air       
   training, Aircraft depot maintenance; Ship Operations: Mission and other
   ship operations, Ship operational support and training, Intermediate    
   maintenance, Ship depot maintenance.                                    
           Operation and maintenance, Marine Corps                                 

   Expeditionary Forces: Operational forces, Depot maintenance.            

           Operation and maintenance, Air Force                                    

      Air Operations: Primary combat forces, Primary combat weapons, Air   
   operations training, Depot maintenance; Mobility Operations: Airlift    
   operations, Depot maintenance, Payments to the transportation business  
   area; Basic Skills and Advanced Training: Depot maintenance; Logistics  
   Operations: Depot maintenance.                                          
      Further, the Department should follow prior approval reprogramming   
   procedures for transfers in excess of $15,000,000 out of the following  
   budget subactivities.                                                   
           Operation and maintenance, Army                                         

    Depot maintenance.                                                     

           Operation and maintenance, Navy                                         

    Aircraft depot maintenance,                                            

    Ship depot maintenance.                                                

           Operation and maintenance, Marine Corps                                 

    Depot maintenance.                                                     

           Operation and maintenance, Air Force                                    

    Air Operations, Depot maintenance,                                     

    Mobility Operations, Depot maintenance,                                

    Basic Skills and Advanced Training, Depot maintenance, and             

    Logistics Operations, Depot maintenance.                               

                         Public Transit Vouchers                         

      The Committee is aware that executive order 13150, April 21, 2000,   
   establishes a public transportation fringe benefit for employees in the 
   National Capital Region (NCR). The Committee is interested in the       
   measures that the Secretary of Defense will take to implement this      
   benefit. Accordingly, the Committee directs the Secretary of Defense to 
   submit a report, no later than December 31, 2000, to the House and      
   Senate Committees on Appropriations which delineates the measures that  
   the Department of Defense will take to implement Executive Order 13150, 
   and an estimate of the funding required to support this Executive Order.
                        Recruiting and Advertising                       

      The Committee recommends an increase of $75,000,000 over the budget  
   request for active and reserve recruiting and advertising programs. The 
   Committee recognizes that the military services' recruiting efforts to  
   enlist high quality recruits is continuing to be difficult and provides 
   additional funds to help meet their recruiting goals. The Committee     
   further recommends that $2,000,000 of the funds provided are only for   
   the Joint Recruiting and Advertising Program for a pilot program aimed  
   at developing a partnership program involving DoD and athletic          
   associations at two sites to deliver recruitment messages to high school
   students.                                                               
                               OPERATION AND MAINTENANCE, ARMY                    


                                                                               

                                                        

     Fiscal year 2000 appropriation         $19,256,152,000  
     Fiscal year 2001 budget request         19,073,731,000  
     Committee recommendation                19,386,843,000  
     Change from budget request                +313,112,000  

      The Committee recommends an appropriation of $19,386,843,000 for     
   Operation and Maintenance, Army. The recommendation is an increase of   
   $130,691,000 above the amount appropriated for fiscal year 2000.        
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Army are shown below:                                      

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          250 M-Gator                    3,000



          550 JCS Exercises              -11,000



          550 Integrated Training Area Management                12,900



          550 Modern Burner Unit                5,000



          650 Depot Maintenance                50,000



          650 Depot Maintenance Apprenticeship Program                4,402



          750 NTC Airhead                2,000



          750 Security Improvements-NTC Heliport                1,900

   Budget Activity 2: Mobilization:                                        



          1300 Industrial Preparedness Growth                -20,100

   Budget Activity 3: Training and Recruiting:                             



          1850 Institutional Training-Specialized Skill Training                10,000



          1850 Military Police School/MCTFT Joint Training                2,000



          1850 Information Assurance: IT Training and Education                3,000



          1950 DLI Classroom and Office Furnishings                2,500



          1950 Defense Language Institute                2,000



          1950 Monterey Regional Education Initiative                2,000



          1950 Office Furnishings for DOIM Computer Center                1,500



          1950 Joint Multi-Dimensional Education & Analysis System (NDU)                3,000



          1950 Support to International Students                1,000



          2000 Institutional Training-Training Support                10,000



          2000 Distance Learning-CCCE                1,500



          2000 Armor Officers Distance Learning                1,500



          2200 Recruiting and Advertising                15,000



          2400 JROTC                     4,500

   Budget Activity 4: Administration and Servicewide Activities:           



          2800 Pulse Technology                5,000



          2850 System Technical Support                20,000



          2850 Supercomputing Work                6,000



          2850 Logistics and Technology Project                1,000



          3250 Claims Underexecution                -40,000



          3600 NATO Administrative Growth                -12,400



          3650 Administrative Cost Growth in Europe                -6,300

   Undistributed:                                                          



          3710 Classified Programs Undistributed                7,000



          3740 Memorial Events           700



          3750 Real Property Maintenance                273,300



          3780 Headquarters and Administration Growth                -38,700



          3825 DFAS Program Growth                -19,590



          3830 Chicago Military Academy                5,000



          3835 Repairs at Fort Baker                6,000



          3840 Clara Barton Center at Pine Bluff                1,500



          3845 Defense Joint Accounting System                -14,000



          3846 WMD-Distance Learning Network                4,000



          3847 WMD-Counter-Terrorism Training and Testing                7,000


                       MEDIUM GENERAL PURPOSE TENTS                      

      Of the funds made available in Operation and Maintenance, Army the   
   Committee directs that $14,000,000 be made available only for the       
   purpose of meeting prospective requirements for modular general purpose 
   tents (M.G.P.T.) associated with wartime and other mobilizations as     
   described in the report accompanying the House Department of Defense    
   Appropriations bill for fiscal year 2000.                               
                       TACTICAL MISSILE MAINTENANCE                      

      Of the amount recommended for Operation and Maintenance, Army,       
   specifically depot maintenance, the Army will be funded with $48,300,000
   to be applied to Army Tactical Missile Depot Maintenance requirements,  
   to include ground support equipment, at its organic public depots.      
                 military ocean terminal bayonne (motby)                 

      Of the funds provided in Operation and Maintenance, Army for real    
   property maintenance, $5,000,000 shall only be made available to the    
   Secretary of the Army, acting through the Chief of Engineers, only for  
   the stabilization of the South Berths at MOTBY.                         
                  night training safety ``light sticks''                 

      The Committee believes that the number of night training accidents   
   may be reduced if soldiers were provided with small, inexpensive, low   
   light emitting, emergency signaling devices. Although chemiluminescent  
   devices are available though the defense supply system, they are a      
   discretionary item and not provided to the Army on a scheduled basis.   
   Accordingly, the Committee directs the Army to study the feasibility of 
   providing low-light, chemiluminescent, emergency lighting devices to    
   individual soldiers involved in tactical training.                      
                         distance learning--ccce                         

      The Committee recommends $1,500,000 to enhance and expand the City   
   Colleges of Chicago Europe (CCCE) college degree and certificate program
   for U.S. military service members.                                      
                              OPERATION AND MAINTENANCE, NAVY                     


                                                                               

                                                        

     Fiscal year 2000 appropriation         $22,958,784,000  
     Fiscal year 2001 budget request         23,250,154,000  
     Committee recommendation                23,426,830,000  
     Change from budget request                +176,676,000  

      The Committee recommends an appropriation of $23,426,830,000 for     
   Operation and Maintenance, Navy. The recommendation is an increase of   
   $468,046,000 above the amount appropriated for fiscal year 2000.        
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Navy are shown below:                                      

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          4600 Aviation Depot Maintenance                20,000



          4650 Object Oriented Simulations/Reengineering Pilot Program                5,000



          5000 Ship Depot Maintenance                142,000



          5050 Berthing & Messing Barge                20,000



          5400 JCS Exercises             -1,000



          5500 Man Overboard Indicator                2,850



          5500 CINCUSNAVEUR Administrative Growth                -1,500



          5550 Reverse Osmosis Desalinators                1,000



          5550 Surface Ship Calibration Support                4,000



          5850 Arms Control              -200



          5950 CWIS Overhauls            4,000



          5950 Mk 45 Mod 1 Maintenance                10,000



          6220 Partnership for Rapid Innovation Pilot Project at Navy Region Northwest                10,000



          6220 Portal Crane Maintenance, Rota                3,500



          6220 NATO Administrative Cost Growth                -4,700

   Budget Activity 2: Mobilization:                                        



          6500 Ship Disposal Initiative                10,000



          6500 Nuclear Submarine Inactivations (PSNS)                46,700

   Budget Activity 3: Training and Recruiting:                             



          7200 Information Assurance: IT Training and Education                3,000



          7300 NPS-Center for Civil Military Relations                1,245



          7300 Joint Multi-Dimensional Education & Analysis System (Naval War College)                2,000



          7300 Support to International Students                500



          7300 Center for Non-Proliferation Studies, Monterey                4,000



          7350 CNET                      5,000



          7350 Distance Learning--CNET                4,000



          7700 JROTC                     1,700

   Budget Activity 4: Administration and Servicewide Activities:           



          8550 Acquisition Management                -8,318



          8600 Acquisition Management                -19,349



          8600 Information Technology Center                7,000



          8650 Acquisition Workforce                -13,614



          8650 Configuration Management Information System (to insert weapon systems     data into the CMIS database)                15,000



          8700 Acquisition Management                -4,400



          8700 Trident Sonar Manual Conversion                3,000

   Undistributed:                                                          



          9280 Classified Programs Undistributed                -15,144



          9320 Navy Environmental Leadership Program                5,000



          9360 Headquarters and Administration Growth                -12,376



          9380 Contract and Advisory Services                -14,061



          9405 Civilian Personnel Underexecution                -49,600



          9410 Improved Shipboard Mattresses                13,000



          9415 Defense Joint Accounting System                -7,000



          9420 Communications Program Growth                -15,557


            NAVY AVIATION DEPOT MAINTENANCE APPRENTICE PROGRAM           

      Of the funds available for Operation and Maintenance, Navy for       
   aviation depot maintenance, the Committee directs that $4,000,000 shall 
   be available only for apprentice programs to augment the civilian       
   workforce at the Navy's aviation maintenance depots.                    
                         MAN OVERBOARD INDICATOR                         

      The Committee has provided an additional $2,850,000 for the          
   procurement, installation, training and verification, and maintenance of
   a man overboard indicating system capable of active integration into a  
   shipboard Personnel Tracking and Monitoring System for two U.S. Navy    
   carrier battle groups as a field demonstration. This device should have 
   the capability for modification to include the PTMS characteristics as  
   discussed in the Secretary of the Navy's February 1999 Report to the    
   Congress.                                                               
                                  UNOLS                                  

      Of the funds made available in Operation and Maintenance, Navy, the  
   Committee directs that $3,000,000 shall be made available only for the  
   purpose of funding backlogs in oceanographic research.                  
                         NAVAL SEA CADET PROGRAM                         

      The Committee is aware that the U.S. Naval Sea Cadet Corps has       
   maintained a youth training program in close cooperation with the Navy  
   for over forty years. In the interest of possible expansion of this     
   program, the Committee directs that the Secretary of the Navy provide a 
   report to the congressional defense committees, not later than December 
   31, 2000, which lists the benefits of this program to the Navy, and     
   identifies the financial, material and manpower resources that the Navy 
   should make available to the Naval Sea Cadet Corps in order to expand   
   this program.                                                           
                          USNS HAYES RELOCATION                          

      The Committee is aware of plans by the Navy to relocate the research 
   vessel USNS Hayes. The Committee supports this initiative and urges the 
   Navy to expedite the relocation of this vessel.                         
                   CENTER FOR CIVIL-MILITARY RELATIONS                   

      The Committee recommends $1,245,000 for the Naval Postgraduate School
   to expand its Masters degree program to reach additional National Guard 
   officers by providing funds for student assistance, curriculum          
   development and distance learning support.                              
                          OPERATION AND MAINTENANCE, MARINE CORPS                 


                                                                               

                                                       

     Fiscal year 2000 appropriation         $2,808,354,000  
     Fiscal year 2001 budget request         2,705,658,000  
     Committee recommendation                2,813,091,000  
     Change from budget request               +107,433,000  

      The Committee recommends an appropriation of $2,813,091,000 for      
   Operation and Maintenance, Marine Corps. The recommendation is an       
   increase of $4,737,000 above the amount appropriated for fiscal year    
   2000.                                                                   
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Marine Corps are shown below:                              

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          10050 Initial Issue Gear                21,300



          10050 ULCANS                   10,000



          10050 Lightweight Maintenance Enclosures                3,000



          10050 Modular Command Post System                4,000



          10050 Joint Service NBC Defense Equipment Surveillance                3,700



          10100 Equipment Maintenance                8,500



          10100 Corrosion Control                6,500



          10150 Depot Maintenance                22,000



          10200 Urban Warfare Training-Former George AFB Lease                1,500

   Budget Activity 3: Training and Recruiting:                             



          10850 Information Assurance: IT Training and Education                3,000



          11200 Recruiting and Advertising                8,100



          11300 JROTC                    700

   Budget Activity 4: Administration and Servicewide Activities:           



          11700 Servicewide Transportation Underexecution                -2,000

   Undistributed:                                                          



          11990 MPS replenishment/replacement stocks                15,000



          12015 Contract and Advisory Services                -367



          12020 Civilian Personnel Separation                2,500


           modular lightweight load-carrying equipment (molle)           

      Of the funds provided in Operation and Maintenance, Marine Corps for 
   initial issue equipment, as discussed elsewhere in this report, the     
   Committee directs that $10,000,000 shall only be available for the      
   Modular Lightweight Load-Carrying equipment (MOLLE).                    
                      CIVILIAN PERSONNEL SEPARATION                      

      Of the funds provided in Operation and Maintenance, Marine Corps, the
   Committee directs that up to $2,500,000 shall be used only for civilian 
   separation pay and associated expenses at the Marine Corps Logistics    
   Base at Barstow, California.                                            
                            OPERATION AND MAINTENANCE, AIR FORCE                  


                                                                               

                                                        

     Fiscal year 2000 appropriation         $20,896,959,000  
     Fiscal year 2001 budget request         22,296,977,000  
     Committee recommendation                22,316,797,000  
     Change from budget request                 +19,820,000  

      The Committee recommends an appropriation of $22,316,797,000 for     
   Operation and Maintenance, Air Force. The recommendation is an increase 
   of $1,419,838,000 above the amount appropriated for fiscal year 2000.   
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Air Force are shown below:                                 

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          12650 Reverse Osmosis Desalinators                500



          12775 Depot Maintenance--Operating Forces                15,000



          12800 Air Force Battlelabs                4,000



          13000 Tethered Aerostat Radar System                8,500



          13100 TACCSF Theater Air Command and Control Simulation Facility                8,000



          13150 JCS Exercises            -12,200



          13450 Eastern Missile Range Launch Facility Enhancements                10,000

   Budget Activity 2: Mobilization:                                        



          13975 Depot Maintenance--Mobilization                14,100

   Budget Activity 3: Training and Recruiting:                             



          14600 Information Assurance: IT Training and Education                3,000



          14600 IT Workforce Re-Skilling--Aeronautical Systems Center                2,000



          14700 Joint Multi-Dimensional Education & Analysis System (Air War College)                2,000



          14700 Support to International Students                500



          14950 Recruiting and Advertising                8,200



          15150 JROTC                    1,800

   Budget Activity 4: Administration and Servicewide Activities:           



          15350 Acquisition Management                -8,800



          15350 Engine Reliability & Maintainability Program                4,300



          15900 Arms Control             -6,900



          15950 Manufacturing Technical Assistance Pilot Program                4,000



          16000 Personnel Support Programs Underexecution                -4,000



          16100 William Lehman Aviation Center                500



          16350 NATO & International Program Growth                -1,100

   Undistributed:                                                          



          16450 Classified Programs Undistributed                35,574



          16500 Readiness Spare Kits                45,000



          16580 Headquarters and Administration Growth                -75,000



          16600 Contract and Advisory Services                -4,633



          16655 DFAS Program Growth                -27,521



          16660 Defense Joint Accounting System                -7,000


                             C 5 SPARE PARTS                             

      The Committee continues to harbor concerns about the persistent      
   shortages of spare and repair parts needed to support Air Force         
   aircraft. Accordingly, the Committee directs the Secretary of the Air   
   Force to report to the congressional defense committees no later than   
   January 31, 2001, and again on September 30, 2001, on the overall status
   of the Air Force spare and repair parts program, with a specific        
   emphasis on the C 5 aircraft, to include whether the necessary resources
   are programmed to address future spare and repair parts requirements.   
                     AIR FORCE CARGO DISTRIBUTION HUB                    

      The Committee is aware of available capacity at the Youngstown-Warren
   Airport, home of the 910th Air Force Reserve Airlift Wing, that may be  
   employed by the Department of Defense for cargo shipments. Accordingly, 
   the Committee directs that the Commander of the Air Mobility Command    
   provide a report to the House Committee on Appropriations not later than
   December 31, 2000, which assesses the feasibility of using              
   Youngstown-Warren Airport as a hub for the distribution of Department of
   Defense cargo.                                                          
                       Displaying Retired Aircraft                       

      The Committee urges the Secretary of the Air Force to provide all    
   authorized assistance to defray the costs of demilitarization,          
   preparation, and transportation of a retired AT 38B aircraft for        
   purposes of putting the aircraft on public display at the Blue Grass    
   Airport in Lexington, Kentucky.                                         
                          OPERATION AND MAINTENANCE, DEFENSE-WIDE                 


                                                                               

                                                        

     Fiscal year 2000 appropriation         $11,489,483,000  
     Fiscal year 2001 budget request         11,920,069,000  
     Committee recommendation                11,803,743,000  
     Change from budget request                -116,326,000  

      The Committee recommends an appropriation of $11,803,743,000 for     
   Operation and Maintenance, Defense-Wide. The recommendation is an       
   increase of $314,260,000 from the amount appropriated in fiscal year    
   2000.                                                                   
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]


      The adjustments to the budget activities for Operation and           
   Maintenance, Defense-Wide are shown below:                              

          [In thousands of dollars]                                               

   Budget Activity 2: Mobilization:                                        



          17250 DLA--Generalized Emulation of Microcircuits                3,000

   Budget Activity 4: Administration and Servicewide Activities:           



          17775 Civil Military--Angel Gate Academy                4,200



          17775 Civil Military--Youth Development and Leadership Program                500



          17800 Classified and Intelligence                -2,322



          17900 DCAA--Pay rate Calculation                -2,000



          18000 DHRA--Joint Recruiting and Advertising Program                2,000



          18050 DISA--Information Assurance: IT Training and Education                3,000



          18200 DLA--Automated Document Conversion                20,000



          18200 DLA--Security Locks                15,000



          18500 DoDEA--Family Advocacy Program                4,000



          18500 DoDEA--Math Program Skill Set Kits                600



          18600 JCS--Headquarters Personnel Reduction                -522



          18650 OEA--Pico Rivera                2,000



          18650 OEA--NAS Cecil Field                3,000



          18700 OSD--Command Information Superiority Architectures (CISA) Program                5,000



          18700 OSD--Headquarters Personnel Reduction                -4,446



          18700 OSD--Information Assurance: JCOATS IO                1,600



          18700 OSD--Information Assurance: Critical Infrastructure Protection                10,300



          18700 OSD--Energy Savings Performance Contracts                4,000



          18700 OSD--CTMA: Depot Level Activities                10,000



          18700 OSD--CTMA: Wearable Computers                850



          18700 OSD--Special Subsistence Stipend                5,000



          18820 WHS--Low priority programs                -10,000



          18860 Special Programs                -200,000

   Undistributed:                                                          



          19020 Impact Aid Program                35,000



          19070 Defense Agencies Headquarters Personnel Reduction                -12,586



          19160 Defense Joint Accounting System                -13,500


                     BERYLLIUM WORK-RELATED ILLNESSES                    

      Beryllium is a metal that has long been an important component of    
   nuclear explosives, aircraft, missiles and other weapons due to its     
   lightness and strength. The Administration has proposed a package of    
   compensation for the employees of contractors and vendors to the        
   Department of Energy who are suffering from chronic beryllium disease   
   and other work-related illnesses associated with the manufacture of     
   nuclear weapons. The Committee believes it would be prudent to have an  
   understanding of whether the use of beryllium in non-nuclear            
   applications for the Department of Defense has resulted in a similar    
   situation for the Defense workforce. The Committee bill directs (in     
   Section 8111 of the General Provisions) that the Secretary of Defense   
   submit a report to the congressional defense committees on              
   beryllium-related illnesses, to include information on incidences of    
   beryllium-related illnesses, potential costs of compensation of Defense 
   workforce employees for such illnesses, and whether such compensation is
   justified or recommended by the Secretary of Defense.                   
                               DOD SCHOOLS                               

      The Committee commends everyone involved in the DoD school system for
   recent achievements that have placed it among the best performing       
   schools in our nation. The Secretary of Defense testified before the    
   Committee this year that the DoD school system is performing            
   ``magnificently''. Maintaining, and where needed, improving the         
   education system supporting our military families must continue to be a 
   high priority for the DoD and Congress.                                 
      The Committee is concerned that the compensation and allowance       
   structure for DoD school teachers has evolved over time to a point where
   there may be actual or perceived inequities for different personnel     
   stationed at the same location overseas. The Committee is also concerned
   that teachers stationed overseas have to pay high out-of-pocket medical 
   costs for themselves and their dependents that would not apply if they  
   taught in the United States, and this has become a major disincentive   
   for preventative and follow-up health care. Either of these issues could
   adversely impact the Department's ability to sustain its current level  
   of excellence in the military school system. The Committee, therefore,  
   directs that the Secretary of Defense submit a report to the            
   congressional defense committees by January 15, 2001 on DoD school      
   teacher compensation/allowances and fees for teacher/dependent medical  
   services. The report should include his recommendations and legislative 
   proposals, if appropriate, for improving the current compensation       
   system, removing inequities that may exist, and improving the access to 
   quality health care for military school teachers.                       
                             FAMILY ADVOCACY                             

      The Committee recommends $4,000,000 over the budget request in the   
   Department of Defense Dependents Education account, only for            
   enhancements to Family Advocacy programs for at-risk youth such as      
   KidsPeace National.                                                     
                 YOUTH DEVELOPMENT AND LEADERSHIP PROGRAM                

      The Committee recommends an increase of $500,000 over the budget     
   request for the Youth Developmental and Leadership program, only to     
   develop a safety net program to serve as the follow-up activity for the 
   program initiated under Public Law 105 174.                             

                          OPERATION AND MAINTENANCE, ARMY RESERVE                 


                                                                               

                                                        

     Fiscal year 2000 appropriation          $1,469,176,000  
     Fiscal year 2001 budget request          1,521,418,000  
     Committee recommendation                 1,596,418,000  
     Change from budget request                 +75,000,000  

      The Committee recommends an appropriation of $1,596,418,000 for      
   Operation and Maintenance, Army Reserve. The recommendation is an       
   increase of $127,242,000 above the $1,469,176,000 appropriated for      
   fiscal year 2000.                                                       
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Army Reserve are shown below:                              

                                  [IN THOUSANDS OF DOLLARS]                       

   Budget Activity 1: Operating Forces:                                    



          19640 Forces Readiness Operations Support/Integrated Training Area Management                700

   Budget Activity 4: Administration and Servicewide Activities:           



          20010 Recruiting and Advertising                12,000

   Other Adjustments:                                                      



          20110 Real Property Maintenance                30,000



          20140 CINC Overseas Deployment Training                2,800



          20145 Extended Cold Weather Clothing System                9,000



          20150 Additional Full Time Support Technicians                20,500


                          OPERATION AND MAINTENANCE, NAVY RESERVE                 


                                                                               

                                                     

     Fiscal year 2000 appropriation         $958,978,000  
     Fiscal year 2001 budget request         960,946,000  
     Committee recommendation                992,646,000  
     Change from budget request              +31,700,000  

      The Committee recommends an appropriation of $992,646,000 for        
   Operation and Maintenance, Navy Reserve. The recommendation is an       
   increase of $33,668,000 above the $958,978,000 appropriated for fiscal  
   year 2000.                                                              
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Navy Reserve are shown below:                              

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          21600 Ship Depot Maintenance                10,000

   Budget Activity 4: Administration and Servicewide Activities:           



          22300 Military Manpower and Personnel Management/Recruiting and Advertising                6,700

   Other Adjustments:                                                      



          22670 Real Property Maintenance                15,000


                       Fort Worth Naval Air Station                      

      The Committee has provided additional funds for Real Property        
   Maintenance for the Navy Reserve and directs that $1,250,000 be provided
   for demolition of selected buildings at the Fort Worth Naval Air        
   Station.                                                                
                      OPERATION AND MAINTENANCE, MARINE CORPS RESERVE             


                                                                               

                                                        

     Fiscal year 2000 appropriation            $138,911,000  
     Fiscal year 2001 budget request            133,959,000  
     Committee recommendation                   145,959,000  
     Change from budget request                 +12,000,000  

      The Committee recommends an appropriation of $145,959,000 for        
   Operation and Maintenance, Marine Corps Reserve. The recommendation is  
   an increase of $7,048,000 above the $138,911,000 appropriated for fiscal
   year 2000.                                                              
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Marine Corps Reserve are shown below:                      

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          23500 Operating Forces/Single Storage Site for NBC Equipment                1,800



          23600 Real Property Maintenance                2,000



          23650 Depot Maintenance                5,000

   Budget Activity 4: Administration and Servicewide Activities:           



          23850 Recruiting and Advertising                2,000

   Other Adjustments:                                                      



          24200 Increased Use of Guard and Reserve                1,200


                          NBC DEFENSE EQUIPMENT                          

      The Committee recommends $1,800,000 over the budget request, only to 
   support the single site storage facility program in consolidating the   
   storage and management of nuclear, biological, and chemical defense     
   equipment.                                                              
                        OPERATION AND MAINTENANCE, AIR FORCE RESERVE              


                                                                               

                                                       

     Fiscal year 2000 appropriation         $1,782,591,000  
     Fiscal year 2001 budget request         1,885,859,000  
     Committee recommendation                1,921,659,000  
     Change from budget request                +35,800,000  

      The Committee recommends an appropriation of $1,921,659,000 for      
   Operation and Maintenance, Air Force Reserve. The recommendation is an  
   increase of $139,068,000 above the $1,782,591,000 appropriated for      
   fiscal year 2000.                                                       
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Air Force Reserve are shown below:                         

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          24970 Depot Maintenance                15,000

   Budget Activity 4: Administration and Servicewide Activities:           



          25400 Recruiting and Advertising                4,000

   Other Adjustments:                                                      



          25600 Real Property Maintenance                10,000



          25640 RED HORSE Unit           1,800



          25645 Technician Pilot Retention Allowance                5,000


                          March Air Reserve Base                         

      The Committee has provided additional funds for Real Property        
   Maintenance for the Air Force Reserve and directs that $2,000,000 be    
   provided for required roof repairs for hangars and support buildings at 
   March Air Reserve Base (ARB), and for navigational aids upgrades at     
   March Inland Port.                                                      
                       OPERATION AND MAINTENANCE, ARMY NATIONAL GUARD             


                                                                               

                                                       

     Fiscal year 2000 appropriation         $3,161,378,000  
     Fiscal year 2001 budget request         3,182,335,000  
     Committee recommendation                3,263,235,000  
     Change from budget request                +80,900,000  

      The Committee recommends an appropriation of $3,263,235,000 for      
   Operation and Maintenance, Army National Guard. The recommendation is an
   increase of $101,857,000 above the $3,161,378,000 appropriated for      
   fiscal year 2000.                                                       
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            

[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Army National Guard are shown below:                       

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          26400 Base Operations/Integrated Training Area Management                2,400

   Budget Activity 4: Administration and Servicewide Activities:           



          26680 Information Management/NGB Nationwide Dedicated Fiber Optic Network                5,000



          26740 Recruiting and Advertising                12,000

   Other Adjustments:                                                      



          26810 Additional Full Time Support Technicians                30,500



          26870 Real Property Maintenance                15,000



          26890 Extended Cold Weather Clothing System                12,000



          26945 National Emergency and Disaster Information Center                1,000



          26946 R 2000 Engine Flush Systems                3,000


            NATIONAL EMERGENCY AND DISASTER INFORMATION CENTER           

      The Committee recommends $1,000,000 for the National Emergency and   
   Disaster Information Center to support the National Guard's mission as  
   first responder to emergencies and the Weapons of Mass Destruction (WMD)
   program. The Center would provide supporting functions in a number of   
   areas to include consequence management for WMD incidents, continuity of
   operations, critical asset and infrastructure assurance, and disaster   
   response. The Committee understands that the Center will have the       
   capability to identify, analyze, and maintain a database of best        
   practices and lessons learned associated with the activities performed  
   by Guard personnel, such as the WMD Civil Support Teams. The Center     
   should be managed by the Adjutant General of an eastern Division state, 
   as determined by the National Guard Bureau, who will coordinate and     
   consult with other federal, state and local government agencies to      
   ensure effective and efficient operation of the Center.                 
                        OPERATION AND MAINTENANCE, AIR NATIONAL GUARD             


                                                                               

                                                       

     Fiscal year 2000 appropriation         $3,241,138,000  
     Fiscal year 2001 budget request         3,446,375,000  
     Committee recommendation                3,480,375,000  
     Change from budget request                +34,000,000  

      The Committee recommends an appropriation of $3,480,375,000 for      
   Operation and Maintenance, Air National Guard. The recommendation is an 
   increase of $239,237,000 above the $3,241,138,000 appropriated for      
   fiscal year 2000.                                                       
                                    PROGRAM RECOMMENDED                           

      The total amount recommended in the bill will provide the following  
   program in fiscal year 2001:                                            


[Graphic Image Not Available]

      The adjustments to the budget activities for Operation and           
   Maintenance, Air National Guard are shown below:                        

          [In thousands of dollars]                                               

   Budget Activity 1: Operating Forces:                                    



          27800 Real Property Maintenance                5,000



          27850 Depot Maintenance                16,500

   Budget Activity 4: Administration and Servicewide Activities:           



          28100 Recruiting and Advertising                5,000

   Other Adjustments:                                                      



          28210 C 130 Operations                1,500



          28240 National Guard State Partnership Program                1,000



          28255 Extended Cold Weather Clothing System                3,000



          28260 Laser Leveling           2,000


                             C 130 Operations                            

      The Committee recommends a total of $1,500,000 over the budget       
   request for operation and maintenance costs to support operational      
   capabilities of the 125th Jacksonville, Florida C 130 unit.             
                        OVERSEAS CONTINGENCY OPERATIONS TRANSFER FUND             


                                                                               

                                                       

     Fiscal year 2000 appropriation         $1,722,600,000  
     Fiscal year 2001 budget request         4,100,577,000  
     Committee recommendation                4,100,577,000  
     Change from budget request                             

      The Committee recommends an appropriation of $4,100,575,000 for the  
   Overseas Contingency Operations transfer Fund. The recommendation is an 
   increase of $2,377,977,000 above the amount appropriated for fiscal year
   2000. The funding in this paragraph provides for ongoing DoD Operations 
   in Southwest Asia, Bosnia and Kosovo.                                   
           Budget Justification and Budget Execution Materials           

      The Committee notes the efforts of the Department of Defense to      
   comply with direction found in the fiscal year 2000 Department of       
   Defense Appropriations Act to establish justification books specifically
   to support the contingency operations budget request. However, to fully 
   justify the budget request, the Committee directs that DoD include in   
   the fiscal year 2002 budget request for the Overseas Contingency        
   Operations Transfer Fund a budget justification exhibit which indicates 
   the appropriation accounts which underlie the requirements for the funds
   requested in this account. This exhibit should indicate for each        
   appropriation account, for each service, and for each contingency the   
   amount of funds requested for this account.                             
                    UNITED STATES COURT OF APPEALS FOR THE ARMED FORCES           


                                                                               

                                                   

     Fiscal year 2000 appropriation         $7,621,000  
     Fiscal year 2001 budget request         8,574,000  
     Committee recommendation                8,574,000  
     Change from budget request                         

      The Committee recommends an appropriation of $8,574,000 for the      
   United States Court of Appeals for the Armed Forces. The recommendation 
   is an increase of $953,000 from the amount appropriated in fiscal year  
   2000.                                                                   
                              ENVIRONMENTAL RESTORATION, ARMY                     



                                                                               

                                                     

     Fiscal year 2000 appropriation         $378,170,000  
     Fiscal year 2001 budget request         389,932,000  
     Committee recommendation                389,932,000  
     Change from budget request                           

      The Committee recommends an appropriation of $389,932,000 for        
   Environmental Restoration, Army. The recommendation is an increase of   
   $11,762,000 from the amount appropriated in fiscal year 2000.           
                              ENVIRONMENTAL RESTORATION, NAVY                     


                                                                               

                                                     

     Fiscal year 2000 appropriation         $284,000,000  
     Fiscal year 2001 budget request         294,038,000  
     Committee recommendation                294,038,000  
     Change from budget request                           

      The Committee recommends an appropriation of $294,038,000 for        
   Environmental Restoration, Navy. The recommendation is an increase of   
   $10,038,000 from the amount appropriated in fiscal year 2000.           
                            ENVIRONMENTAL RESTORATION, AIR FORCE                  


                                                                               

                                                     

     Fiscal year 2000 appropriation         $376,800,000  
     Fiscal year 2001 budget request         376,300,000  
     Committee recommendation                376,300,000  
     Change from budget request                           

      The Committee recommends an appropriation of $376,300,000 for        
   Environmental Restoration, Air Force. The recommendation is a decrease  
   of $500,000 from the amount appropriated in fiscal year 2000.           

                          ENVIRONMENTAL RESTORATION, DEFENSE-WIDE                 


                                                                               

                                                    

     Fiscal year 2000 appropriation         $25,370,000  
     Fiscal year 2001 budget request         23,412,000  
     Committee recommendation                23,412,000  
     Change from budget request                          

      The Committee recommends an appropriation of $23,412,000 for         
   Environmental Restoration, Defense-Wide. The recommendation is a        
   decrease of $1,958,000 from the amount appropriated in fiscal year 2000.
                   ENVIRONMENTAL RESTORATION, FORMERLY USED DEFENSE SITES         


                                                                               

                                                     

     Fiscal year 2000 appropriation         $239,214,000  
     Fiscal year 2001 budget request         186,499,000  
     Committee recommendation                196,499,000  
     Change from budget request              +10,000,000  

      The Committee recommends an appropriation of $196,499,000 for        
   Environmental Restoration, Formerly Used Defense Sites. The             
   recommendation is a decrease of $42,715,000 from the amount appropriated
   in fiscal year 2000.                                                    
                             Nike Battery 55                             

      The Committee understands that the City of Rancho Palos Verdes has   
   discovered lead contamination on property that, prior to its transfer,  
   was used by the Department of the Army as a rifle range. Given that the 
   contamination has forced the local community to close the city's park,  
   interpretive center and whale watching site, the Committee encourages   
   the Army to address this problem as quickly and as completely as        
   possible.                                                               
                              Santa Clarita                              

      The Committee is concerned about the environmental contamination of  
   the Porta Bella site, a former munitions manufacturing and testing      
   facility in Santa Clarita, California. The Committee requests that the  
   Army examine this issue and, if appropriate, begin the necessary        
   remediation.                                                            
                                 Newmark                                 

      The Committee is concerned with the lack of progress the Army, the   
   Environmental Protection Agency, the Department of Justice, the City of 
   San Bernardino, and the State of California have made toward resolving  
   the litigation regarding groundwater contamination at the Newmark and   
   Muscoy Superfund site in California. The Committee encourages the       
   parties to continue their progress towards satisfactorily resolving the 
   litigation and to complete actions to fully characterize the groundwater
   contamination and identify potential sources in order to protect this   
   valuable water supply. The Committee is interested in providing the     
   encouragement necessary to bring this issue to closure.                 
                Depleted Uranium Environmental Restoration               

      The Committee understands that production of depleted uranium        
   penetrators at the Army's STARMET site ended in September 1999, yet     
   there is not an agreed-upon plan for environmental restoration of the   
   site as required by federal regulations and law. The Committee directs  
   the Under Secretary of the Army to submit a report to the congressional 
   defense committees no later than November 23, 2000 which defines the    
   Army's responsibilities for environmental restoration of the site, if   
   any, and how the Army plans to meet them. The report shall identify     
   funding requirements for the restoration and how the Army has financed  
   them, as well as a detailed schedule for completion of all work.        
                       OVERSEAS HUMANITARIAN, DISASTER, AND CIVIC AID             


                                                                               

                                                    

     Fiscal year 2000 appropriation         $55,800,000  
     Fiscal year 2001 budget request         64,900,000  
     Committee recommendation                56,900,000  
     Change from budget request              -8,000,000  

      The Committee recommends an appropriation of $56,900,000 for Overseas
   Humanitarian, Disaster, and Civic Aid. The recommendation is an increase
   of $1,100,000 from the amount appropriated in fiscal year 2000.         
                            FORMER SOVIET UNION THREAT REDUCTION                  


                                                                               

                                                     

     Fiscal year 2000 appropriation         $460,500,000  
     Fiscal year 2001 budget request         458,400,000  
     Committee recommendation                433,400,000  
     Change from budget request              -25,000,000  

      This appropriation funds the Former Soviet Union Threat Reduction    
   activities of the Department of Defense.                                
                                 COMMITTEE RECOMMENDATIONS                        


                                     EXPLANATION OF PROJECT LEVEL CHANGES                                    
                                          [In thousands of dollars]                                          

                                                         Budget request     Recommendation     Change from request  

Strategic Offensive Arms Elimination--Russia                    152,800            162,800                 +10,000  
Weapons Storage Security--Russia                                 89,700             89,700                          
Weapons Transportation Security--Russia                          14,000             14,000                          
Fissile Material Storage Facility--Russia                        57,400             57,400                          
Fissile Material Processing and Packaging--Russia                 9,300              9,300                          
Elimination of Weapons Grade Plutonium--Russia                   32,100             32,100                          
Strategic Nuclear Arms Elimination--Ukraine                      29,100             34,100                  +5,000  
BW Proliferation Prevention                                      12,000             12,000                          
Chemical Weapons Destruction--Russia                             35,000                  0                 -35,000  
Defense and Military Contacts                                    14,000              9,000                  -5,000  
Other Program Support                                            13,000             13,000                          

                   FORMER SOVIET UNION THREAT REDUCTION                  

      The Department recommended $458,400,000 for the Former Soviet Union  
   Threat Reduction programs. The Committee recommends $433,400,000, a net 
   decrease of $25,000,000. The Committee has recommended program changes  
   in accordance with the House-passed National Defense Authorization Act  
   (H.R. 4205).                                                            
                            QUALITY OF LIFE ENHANCEMENTS, DEFENSE                 


                                                                               

                                                     

     Fiscal year 2000 appropriation         $300,000,000  
     Fiscal year 2001 budget request                      
     Committee recommendation                480,000,000  
     Change from budget request              480,000,000  

      The Committee recommends an appropriation of $480,000,000 for the    
   Quality of Life Enhancements, Defense account. The recommendation is an 
   increase of $180,000,000 above the amount appropriated for fiscal year  
   2000.                                                                   
      The Committee notes that the administration has not requested funds  
   for this account despite the substantial backlogs of real property      
   maintenance as noted elsewhere in this report. To address this backlog, 
   the Committee recommends additional funding of $480,000,000 above the   
   budget request, to be distributed as follows:                           




          Army                           $282,500,000



          Navy                           70,000,000



          Marine Corps                   47,000,000



          Air Force                      70,000,000



          Defense-Wide                   10,500,000


                                          TITLE III                               

                                         PROCUREMENT                              

                            ESTIMATES AND APPROPRIATIONS SUMMARY                  

      The fiscal year 2001 Department of Defense procurement budget request
   totals $59,266,603,000. The accompanying bill recommends                
   $61,558,679,000. The total amount recommended is an increase of         
   $2,292,076,000 above the fiscal year 2001 budget estimate and is        
   $8,577,965,000 above the total provided in fiscal year 2000. The table  
   below summarizes the budget estimates and the Committee's               
   recommendations.                                                        

[Graphic Image Not Available]

                          SPECIAL INTEREST ITEMS                         

      Items for which additional funds have been provided as shown in the  
   project level tables or in paragraphs using the phrases ``only for'' or 
   ``only to'' in this report are congressional interest items for the     
   purpose of the Base for Reprogramming (DD Form 1414). Each of these     
   items must be carried on the DD Form 1414 at the stated amount, or a    
   revised amount if changed during conference or if otherwise specifically
   addressed in the conference report. These items remain special interest 
   items whether or not they are repeated in a subsequent conference       
   report.                                                                 
                           CLASSIFIED PROGRAMS                           

      Adjustments of the classified programs are addressed in a classified 
   annex accompanying this report.                                         
                      COMMUNICATION SYSTEMS UPGRADES                     

      Fielded military radios and communications equipment systems still   
   require upgrades and improvements, when cost effective, to improve      
   operational capability and dependability as well as reduce operations   
   and support costs. The Committee is aware of Military Standard 188 141A 
   which includes an approved miniaturized, multi-functional, digital      
   communications technology based on compressor and expander techniques   
   that dramatically improves quality of voice and data communications over
   both wired and wireless networks. The Committee directs the Department  
   of Defense to continue to use this technology, when cost effective, to  
   upgrade and improve current communications systems, such as SINCGARS,   
   JTRS, ARC 190 and PRC 104.                                              
              BALLISTIC ENGINEERED ARMORED RESPONSE VEHICLES             

      The Committee is aware of the development of a Ballistic Engineered  
   Armored Response vehicle that may be able to enhance rescue and combat  
   readiness by providing armored transportation to as many as 12 14 units 
   and also provide the capacity to rescue 20 to 30 people during a combat 
   and rescue mission. The Committee directs the Department of Defense to  
   consider the desirability, utility, and cost effectiveness of such      
   vehicles for the services.                                              

                                 AIRCRAFT PROCUREMENT, ARMY                       


                                                                               

                                                       

     Fiscal year 2000 appropriation         $1,451,688,000  
     Fiscal year 2001 budget request         1,323,262,000  
     Committee recommendation                1,547,082,000  
     Change from budget request               +223,820,000  

      This appropriation finances the acquisition of tactical and utility  
   airplanes and helicopters, including associated electronics, electronic 
   warfare, and communications equipment and armament, modification of     
   in-service aircraft, ground support equipment, components and parts such
   as spare engines, transmissions gear boxes, and sensor equipment. It    
   also funds related training devices such as combat flight simulators and
   production base support.                                                
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In Thousands of dollars]                                               


                                                                                                  

                                       Budget request     Committee recommended     Change from request  

UH 60 BLACKHAWK (MYP)                          64,651                   183,371                +118,720  
TH 67 TRAINING HELICOPTER                           0                    18,000                 +18,000  
AH 64 MODS                                     18,516                    52,616                 +34,100  
UH 60 MODS                                      3,021                    15,021                 +12,000  
AIRBORNE AVONICS                               60,042                    63,042                  +3,000  
AIRCRAFT SURVIVABILITY EQUIPMENT                    0                    14,000                 +14,000  
AVIONICS SUPPORT EQUIPMENT                          0                    14,000                 +14,000  
AIRBORNE COMMUNICATIONS                             0                    10,000                 +10,000  

                     KIOWA WARRIOR LIVE-FIRE TESTING                     

      Live-fire testing legislation (10 U.S.C 2366) requires realistic     
   live-fire testing of major Department of Defense weapon systems. The    
   intent of the legislation is to conduct tests early in the production of
   the weapon system in order to ensure adequacy of design and to allow    
   incorporation of design changes, if any, as a program moves into full   
   rate production. Since the waiver authority for this legislation is very
   narrow, the DoD has concluded that it must do live-fire testing on the  
   Kiowa Warrior helicopter for the cost of approximately $6 million. Kiowa
   Warrior entered production in 1992; the last production contract was    
   signed in fiscal year 1999 and deliveries will be completed this year.  
   Given that the Army does not plan on procuring additional Kiowa Warrior 
   aircraft and plans on retiring all of the Kiowa Warriors helicopters by 
   2013, the Committee strongly questions the need for conducting live fire
   tests on the platform. The Committee directs that no funds may be spent 
   on live fire testing on the Kiowa Warrior, until the Commander-in-Chief 
   of the Joint Forces Command certifies that such tests must be conducted 
   to fulfill operational requirements for the aircraft.                   
                     GROUND PROXIMITY WARNING SYSTEM                     

      The Committee is concerned about recent mishap rates in Army         
   aviation, particularly those that involve loss of life or aircraft, and 
   recognizes that many of these losses occurred as a result of controlled 
   flight into terrain (CFIT) caused by loss of situational awareness. The 
   Committee is aware that the FAA has mandated use of an electronic       
   warning device known as the Ground Proximity Warning System (GPWS) for  
   all passenger-carrying aircraft and that has resulted in a 93 percent   
   reduction in CFIT. The Committee is also aware that the Navy and the Air
   Force are now installing GPWS on all aircraft, but the Army continues to
   reject the use of this device. The Committee directs the Secretary of   
   the Army to report by April 1, 2001 on the viability of installing GPWS 
   on Army transport helicopters. The report shall include a cost analysis 
   of the latest generation of GPWS on a single circuit card and an        
   acquisition plan.                                                       
                                    PROGRAM RECOMMENDED                           

      The total program recommended in the bill will provide the following 
   in fiscal year 2001:                                                    

[Graphic Image Not Available]

                                  MISSILE PROCUREMENT, ARMY                       


                                                                               

                                                      

     Fiscal year 2000 appropriation        $1,322,305,000  
     Fiscal year 2001 budget request        1,295,728,000  
     Committee recommendation               1,240,347,000  
     Change from budget request               -55,381,000  

      This appropriation finances the acquisition of surface-to-air,       
   surface-to-surface, and anti-tank/assault missile systems. Also included
   are major components, modifications, targets, test equipment and        
   production base support.                                                
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In Thousands of Dollars]                                               


                                                                                                         

                                              Budget request     Committee recommended     Change from request  

ARMY TACTICAL MSL SYS (ATACMS)--SYS SUM               15,044                   102,044                 +87,000  
ATACMS BLKII SYSTEM SUMMARY                          230,334                    80,000                -150,334  
MULTI PURPOSE INDV MUN (AP CY)                         3,547                         0                  -3,547  
STINGER MODS                                          21,838                    33,338                 +11,500  

                  SHORT RANGE AIR DEFENSE MODERNIZATION                  

      The fiscal year 2001 budget terminates the Stinger Block II program. 
   The Committee understands that the Army's decision to terminate Stinger 
   Block II was based not on new threat analysis or a change in            
   requirements. Instead, the program was used as a ``bill payer'' for Army
   Transformation. The Committee is concerned because with the termination 
   of Stinger Block II, the Army budget includes no funds to modernize its 
   Army Short Range Air Defense (SHORAD) forces. The Committee does not    
   recommend funding for Stinger Block II, but has provided additional     
   funding for Stinger Block I to mitigate the risk to SHORAD forces in the
   near-term.                                                              
      Therefore, the Committee directs the Secretary of the Army to submit 
   no later than January 15, 2001 a comprehensive plan for the             
   modernization of the SHORAD force. The plan should include: an analysis 
   of the threat against the current, mid-term (Interim Brigade) and future
   threat (Objective) forces, the alternatives for meeting the current and 
   emerging threat, the cost of each alternative, and the Army's plan to   
   fund SHORAD modernization to ensure that it is synchronized with the    
   Army's Transformation plan.                                             
                                 JAVELIN                                 

      The Army requested $372,248,000 for Javelin missiles. The Committee  
   recommends the budget request; however, the Committee also recommends   
   rescinding $150,000,000 of the $347,677,000 appropriated in fiscal year 
   2000 for Javelin.                                                       
      Last year, the Army requested authorization to enter into a          
   multi-year contract for Javelin missiles. Since Javelin was experiencing
   technical problems, the statement of the managers accompanying the      
   conference report on the Department of Defense Appropriations Act, 2000,
   directed that the Army may only enter into a multi-year contract thirty 
   days after the Secretary of Defense certified that all outstanding      
   technical issues were resolved. Additionally, since the Anti-Armor      
   Weapons Master Plan did not sufficiently address congressional concerns,
   the conference agreement also directed that the Army could not enter    
   into a Javelin multi-year contract until thirty days after the Secretary
   of Defense certified that the planned procurement quantities for Javelin
   are correct.                                                            
      To date, the Secretary of Defense has not submitted the required     
   certification to proceed with a Javelin multi-year contract. As a       
   consequence, contract award has slipped by at least six months,         
   resulting in excess funding which the Committee proposes to rescind.    
                                    PROGRAM RECOMMENDED                           

      The total program recommended in the bill will provide the following 
   in fiscal year 2001:                                                    

[Graphic Image Not Available]


                  PROCUREMENT OF WEAPONS AND TRACKED COMBAT VEHICLES, ARMY        


                                                                               

                                                      

     Fiscal year 2000 appropriation        $1,586,490,000  
     Fiscal year 2001 budget request        1,874,638,000  
     Committee recommendation               2,634,786,000  
     Change from budget request              +760,148,000  

      This appropriation finances the acquisition of tanks; personnel and  
   cargo carriers; fighting vehicles; tracked recovery vehicles;           
   self-propelled and towed howitzers; machine guns; mortars; modification 
   of in-service equipment, initial spares; and production base support.   
                                 COMMITTEE RECOMMENDATIONS                        

            EXPLANATION OF PROJECT LEVEL CHANGES                                    

          [In Thousands of Dollars]                                               


                                                                                                              

                                                   Budget request     Committee recommended     Change from request  

BRADLEY BASE SUSTAINMENT                                  359,389                   440,689                 +81,300  
MEDIUM ARMORED VEHICLE FAMILY: MAVF                       537,077                   600,077                 +63,000  
IMPROVED RECOVERY VEHICLE (M88 MOD)                        68,385                    76,685                  +8,300  
AVLB SLEP                                                  15,252                         0                 -15,252  
ARMY TRANSFORMATION: MEDIUM ARMORED VEHICLE                     0                                          +600,000  
MACHINE GUN, 5.56MM (SAW)                                       0                                           +18,300  
GRENADE LAUNCHER, AUTO, 40MM, MK19 3                       11,835                    14,335                  +2,500  
5.56 CARBINE M4                                             5,190                     7,190                  +2,000  

                     wolverine--heavy assault bridge                     

      The Army requested no funds for the Wolverine heavy assault bridge.  
   The Committee understands that the Army's decision to terminate         
   Wolverine was not based on a change in requirements, but rather on the  
   need to realign resources to support Army Transformation. In addition,  
   although the Congress appropriated $82,000,000 for Wolverine in fiscal  
   year 2000, the Committee understands that the Army does not intend to   
   use the funds for the purpose for which they were appropriated. The     
   Committee has included a General Provision, Section 8114, that directs  
   the Army to use the fiscal year 2000 funds to procure Wolverine.        
   Additionally, Section 8114 transfers $15,000,000 of unobligated fiscal  
   year 2000 Research, Development, Test and Evaluation, Army funds        
   appropriated for the Grizzly minefield breacher program to the          
   Procurement of Weapons and Tracked Combat Vehicles, Army appropriations,
   only to procure additional Wolverine heavy assault bridges.             
                                    PROGRAM RECOMMENDED                           

      The total program recommended in the bill will provide the following 
   in fiscal year 2001:                                                    

[Graphic Image Not Available]

                              PROCUREMENT OF AMMUNITION, ARMY                     


                                                                               

                                                      

     Fiscal year 2000 appropriation        $1,204,120,000  
     Fiscal year 2001 budget request        1,131,323,000  
     Committee recommendation               1,227,386,000  
     Change from budget request               +96,063,000  

      This appropriation finances the acquisition of ammunition,           
   modification of in-service stock, and related production base support   
   including the maintenance, expansion, and modernization of industrial   
   facilities and equipment.                                               
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In Thousands of Dollars]                                               


                                                                                                        

                                             Budget request     Committee recommended     Change from request  

CTG .50 CAL. ALL TYPES                               10,646                    20,646                 +10,000  
CTG CAL .50 API MK211 MOD 0                           1,987                     3,987                  +2,000  
CTG 25MM, ALL TYPES                                  57,780                    66,380                  +8,600  
CTG 30 MM, ALL TYPES                                  9,517                    14,517                  +5,000  
NONLETHAL WEAPONS CAPABILITY SET                      8,397                    10,397                  +2,000  
60MM MORTAR, ALL TYPES                               28,673                    36,643                  +7,970  
CTG MORTAR 120MM ILLUM XM930 W/MTSQ FZ                    0                     5,600                  +5,600  
PROJ ARTY 155MM SADARM M898                          14,907                         0                 -14,907  
PROJ ARTY 155MM HE M107                              35,178                    45,178                 +10,000  
MODULAR ARTILLERY CHARGE SYSTEM (MACS)               27,432                    37,432                 +10,000  
MINE AT M87 (VOLCANO)                                     0                    20,000                 +20,000  
WIDE AREA MUNITIONS                                   7,284                    12,284                  +5,000  
BUNKER DEFEATING MUNITION (BDM)                           0                    10,000                 +10,000  
ROCKET, HYDRA 70, ALL TYPES                         152,767                   158,567                  +5,800  
DEMOLITION MUNITIONS, ALL TYPES                      16,603                    17,603                  +1,000  
GRENADES, ALL TYPES                                  20,260                    24,760                  +4,500  
PROVISION OF INDUSTRIAL FACILITIES                   47,748                    51,248                  +3,500  

                          AMMUNITION MANAGEMENT                          

      While the Committee is disappointed with the Army's decision to      
   implement a Triad structure for ammunition management instead of vesting
   responsibility in a single executive, the Committee directs the         
   Secretary of the Army to report back to the Committee within three      
   months of enactment, on the effectiveness of the Triad at managing      
   ammunition effectively and efficiently.                                 
      The Secretary should determine the effectiveness based on the        
   following metrics: percentage of procurement funds spent to purchase    
   hardware, especially precision munitions, compared to the amount spent  
   on administrative or overhead costs; a list of every decision made by   
   the Triad since its inception in September, 1998 including: date when an
   issue was first raised, and ultimately resolved; the cost of that       
   decision in both dollars and manpower hours, either in anticipated      
   savings or increased expenditures; the number of decisions brought to   
   the attention of the Triad, and how many were unresolved and forwarded  
   to the superior officer; examples showing whether the Triad is meeting  
   the objectives for efficient development and production of precision    
   munitions set forth in objectives 1, 5 and 7 on page 16 of the Pacific  
   Northwest National Laboratory (PNNL) Study.                             
      The report is also to include readiness measurements such as:        
   munition family life cycle time reductions; on-time delivery of quality 
   ammunition products to customers; reduction in backlog of delinquent    
   deliveries, and modernization of the production base. Performance       
   measurements such as: first time pass for first article product; first  
   time pass for lot acceptance testing; and first time pass for period    
   inspection. Warfighter and logistics support measurements such as:      
   horizontal technology insertion success; increased fill to Brigade      
   Combat Team munition requirements; and increased fill of war reserve    
   stockpile with precision munitions.                                     
                     SENSE AND DESTROY ARMOR MUNITION                    

      The Army requested $14,907,000 for Sense and Destroy Armor Munition  
   (SADARM). The Committee recommends no funds. The SADARM program, which  
   has been in development for almost twenty years and has cost almost two 
   billion dollars to date, has yet to pass an operational test.           
      The statement of the managers accompanying the conference report on  
   the Defense Appropriations Act, 2000 directed that none of the fiscal   
   year 2000 funds for SADARM may be obligated until Army's Operational    
   Test and Evaluation Command (now known as Army Test and Evaluation      
   Command) certified that SADARM had met its reliability requirement of 80
   percent. Preliminary results from the most recent test in May indicate  
   that the 80 percent reliability requirement for SADARM was not met.     
      More importantly, the current Army outyear budget plan does not fund 
   SADARM production after fiscal year 2001, and no funding is provided for
   the SADARM Product Improvement Program after fiscal year 2001. Since the
   Army budget plan terminates the program and the system has not met its  
   reliability requirement, the Committee recommends no funding for SADARM.
                                    PROGRAM RECOMMENDED                           

      The total program recommended in the bill will provide the following 
   in fiscal year 2001:                                                    

[Graphic Image Not Available]

                                  OTHER PROCUREMENT, ARMY                         


                                                                               

                                                      

     Fiscal year 2000 appropriation        $3,738,934,000  
     Fiscal year 2001 budget request        3,795,870,000  
     Committee recommendation               4,254,564,000  
     Change from budget request              +458,694,000  

      This appropriation finances the acquisition of: (a) tactical and     
   commercial vehicles, including trucks, semi-trailers, and trailers of   
   all types to provide mobility and utility support to field forces and   
   the worldwide logistical system; (b) communications and electronics     
   equipment of all types to provide fixed, semi-fixed, and mobile         
   strategic and tactical communication equipment; (c) other support       
   equipment such as chemical defensive equipment, floating and rail       
   equipment, generators and power units, material handling equipment,     
   medical support equipment, special equipment for user testing, and      
   non-system training devices. In each of these activities, funds are also
   included for the modification of in-service equipment, investment spares
   and repair parts, and production base support.                          
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In Thousands of Dollars]                                               


                                                                                                                 

                                                      Budget request     Committee recommended     Change from request  

SEMITRAILER FB BB/CONT TRANS 22 1/2 T                         12,135                     5,035                  -7,100  
HI MOB MULTI-PURP WHLD VEH (HMMWV)                           110,746                   125,046                 +14,300  
FAMILY OF MEDIUM TACTICAL VEH (FMTV)                         438,256                   475,556                 +37,300  
FIRETRUCKS & ASSOCIATED FIREFIGHTING EQUIPMENT                14,830                    16,030                  +1,200  
FAMILY OF HEAVY TACTICAL VEHICLES (FHTV)                     166,119                   191,119                 +25,000  
TRUCK, TRACTOR, LINE HAUL, M915/M916                          42,989                    44,589                  +1,600  
MODIFICATION OF IN SV EQUIP                                   28,910                    36,910                  +8,000  
ITEMS LESS THAN $5 MILLION (TAC VEH)                           1,853                     2,853                  +1,000  
COMBAT IDENTIFICATION PROGRAM                                 13,096                    18,096                  +5,000  
SHF TERM                                                      38,307                    14,307                 -24,000  
SAT TERM, EMUT (SPACE)                                         3,475                    13,475                 +10,000  
SMART-T (SPACE)                                               48,594                    32,094                 -16,500  
GLOBAL BRDCST SVC GBS                                          9,286                         0                  -9,286  
ARMY DATA DISTRIBUTION SYSTEM (DATA RADIO)                    32,675                    66,875                 +34,200  
SINCGARS FAMILY                                               18,340                    51,840                 +33,500  
CUS MOD PROGRAM (WIN T/T)                                    113,951                   122,951                  +9,000  
SOLDIER ENHANCEMENT PROGRAM COMM/ELECTRONICS                   4,374                    19,374                 +15,000  
INFORMATION SYSTEM SECURITY PROGRAM-ISSP                      54,374                    75,374                 +21,000  
PENTAGON INFORMATION MGT AND TELECOM                          65,412                    17,262                 -48,150  
PROPHET GROUND (TIARA)                                         9,571                    12,571                  +3,000  
TACTICAL EXPLOITATION OF NATIONAL CAPABILITIES                12,853                     8,353                  -4,500  
SHORTSTOP                                                          0                    20,000                 +20,000  
FAAD GBS                                                      24,188                    27,188                  +3,000  
NIGHT VISION DEVICES                                          34,146                    59,546                 +25,400  
MANEUVER CONTROL SYSTEM (MCS)                                 22,935                    31,025                  +8,090  
STAMIS TACTICAL COMPUTERS (STACOMP)                           40,015                    40,015                       0  
STANDARD INTEGRATED CMD POST SYSTEM                           35,971                    47,471                 +11,500  
AUTOMATED DATA PROCESSING EQUIP                              172,051                   181,051                  +9,000  
RESERVE COMPONENT AUTOMATION SYSTEM (RCAS)                    91,495                    99,495                  +8,000  
GEN SMK MECH:MTRZD DUAL PURP M56                              11,369                    15,369                  +4,000  
RIBBON BRIDGE                                                 15,669                    29,169                 +13,500  
KIT, STANDARD TELEOPERATING                                      688                    10,688                 +10,000  
LAUNDRIES, SHOWERS AND LATRINES                               12,580                    17,080                  +4,500  
DISTRIBUTION SYS, PET & WATER                                      0                     3,000                  +3,000  
COMBAT SUPPORT MEDICAL                                        31,567                    37,767                  +6,200  
ROLLER, VIBRATORY, SELF-PROPELLED (CCE)                        4,671                    11,671                  +7,000  
HYDRAULIC EXCAVATOR                                            8,282                    10,582                  +2,300  
DEPLOYABLE UNIVERSAL COMBAT EARTH MOVERS                      14,146                    24,346                 +10,200  
CONST EQUIP SLEP                                               1,986                    16,986                 +15,000  
ITEMS LESS THAN $5 MILLION (CONST EQUIP)                       2,635                     6,635                  +4,000  
SMALL TUG                                                          0                     9,000                  +9,000  
FLOATING CRANES                                                    0                    15,000                 +15,000  
GENERATORS AND ASSOCIATED EQUIP                               85,886                    90,886                  +5,000  
ITEMS LESS THAN $5 MILLION (MHE)                               1,231                     3,731                  +2,500  
CTC INSTRUMENTATION SUPPORT                                   81,845                    93,945                 +12,100  
TRAINING DEVICES, NONSYSTEM                                   91,937                   104,937                 +13,000  
CLOSE COMBAT TACTICAL TRAINER                                 81,160                         0                 -81,160  
MODIFICATION OF IN-SVC EQUIPMENT (OPA 3)                      28,008                    31,008                  +3,000  
PRODUCTION BASE SUPPORT (OTH)                                  2,367                     8,367                  +6,000  
ARMY TRANSFORMATION: OTHER SUPPORT EQUIP                           0                         0                +200,000  

         UP-ARMORED HIGH MOBILITY MULTI-PURPOSE WHEELED VEHICLES         

      The budget request includes no funds for Up-armored High Mobility    
   Multi-purpose Wheeled Vehicles (HMMWV). However, the Committee          
   understands that the Army has an unsatisfied requirement for Up-armored 
   HMMWV's. The Committee directs the Army to submit no later than July 10,
   2000, a report which outlines the Army's acquisition objective for      
   Up-armored HMMWV's and the current inventory levels. The report is also 
   to include the funding required to alleviate the shortfall.             
                                    PROGRAM RECOMMENDED                           

      The total program recommended in the bill will provide the following 
   in fiscal year 2001:                                                    

[Graphic Image Not Available]


[Graphic Image Not Available]


[Graphic Image Not Available]

                                 AIRCRAFT PROCUREMENT, NAVY                       


                                                                               

                                                       

     Fiscal year 2000 appropriation         $8,662,655,000  
     Fiscal year 2001 budget request         7,963,858,000  
     Committee recommendation                8,179,564,000  
     Change from budget request               +215,706,000  

      This appropriation provides funds for the procurement of aircraft and
   related support equipment and programs; flight simulators; equipment to 
   modify in-service aircraft to extend their service life, eliminate      
   safety hazards, and improve their operational effectiveness; and spare  
   parts and ground support equipment for all end items procured by this   
   appropriation.                                                          
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                            

                                Budget  request     Committee recommended     Change from request  

SH 60R                                  162,327                   152,327                 -10,000  
UC 35                                                              15,200                 +15,200  
KC 130J                                 154,818                   231,118                 +76,300  
 18 SERIES                              212,614                   200,214                 -12,400  
H 46 SERIES                              16,556                    21,556                  +5,000  
AH 1W SERIES                              9,758                    13,758                  +4,000  
H 53 SERIES                              19,919                    22,519                  +2,600  
SH 60 SERIES                             21,088                    39,088                 +18,000  
H 1 SERIES                                2,642                    16,642                 +14,000  
EP 3 SERIES                              25,833                    80,833                 +55,000  
P 3 SERIES                               60,710                    78,710                 +18,000  
S 3 SERIES                               79,050                    64,050                 -15,000  
 2 SERIES                                18,485                    57,485                 +39,000  
SPARES AND REPAIR PARTS                 941,553                   947,553                  +6,000  

         Advanced Tactical Airborne Reconnaissance System (ATARS)        

      The Committee recommends a $27,000,000 reduction in F/A 18           
   procurement funding, the amount included in the request for the Advanced
   Tactical Airborne Reconnaissance System (ATARS). ATARS did not have a   
   successful Operational Evaluation (OPEVAL) and was deemed ``not         
   operationally suitable'' due to reliability and availability shortfalls.
      This situation will cause the Navy and the Marine Corps to           
   re-evaluate the ATARS program approved by Congress in fiscal year 2000  
   and should also result in a revision to the program presented in the    
   fiscal year 2001 budget request. The Congress provided the ATARS budget 
   request in fiscal year 2000, but prohibited the expenditure of 50       
   percent of the funds until completion of the OPEVAL. Despite the fact   
   that the OPEVAL is complete, the Navy has wisely put the program on hold
   because it was not completely successful. This puts the Milestone III   
   decision in jeopardy and causes the Committee to believe that based on  
   the program presented in the fiscal year 2001 request, the requested    
   ATARS procurement funds are excess to the needs of the Navy.            
      The Committee recognizes that some may perceive this decision as     
   exacerbating the Marine Corps' un-met requirement for tactical          
   reconnaissance. However, faced with the lack of a clear approach to move
   forward to a Milestone III decision and an unknown cost associated with 
   potential ATARS modifications that would meet the OPEVAL criteria, the  
   Committee's action is prudent.                                          
      The Committee directs the Navy to provide a recommendation on what it
   will do to meet both the short-term and the long-term Marine Corps      
   requirement for tactical reconnaissance.                                
                            EP 3 Modernization                           

      The Committee has provided a total of $61,000,000 for the Navy to    
   modify one P 3 to an EP 3 configuration, which meets a Navy priority    
   requirement by moving the modification from the fiscal year 2002 budget 
   plan to a fiscal year 2001 appropriation. This asset has been the       
   workhorse of the Intelligence, Surveillance and Reconnaissance (ISR)    
   fleet and the Committee is pleased that the Navy has identified an      
   urgent need to increase its inventory of EP 3s. The urgency of course is
   also due to the operational loss of four aircraft for various sensor    
   upgrades, a protracted process due in part to poor management on the    
   part of the Navy.                                                       
      The Committee is concerned that the Navy is not adequately planning  
   or budgeting for a possible Service Life Extension Program (SLEP) for   
   the EP 3 to ensure the viability of the aircraft to 2025. Therefore, the
   Committee directs the Navy to submit a report by January 15, 2001, which
   identifies the outyear requirements for a SLEP of the EP 3, including   
   any requirement to replace sensors.                                     
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]


                                  WEAPONS PROCUREMENT, NAVY                       


                                                                               

                                                       

     Fiscal year 2000 appropriation         $1,383,413,000  
     Fiscal year 2001 budget request         1,434,250,000  
     Committee recommendation                1,372,112,000  
     Change from budget request                -62,138,000  

      This appropriation provides funds for the procurement of strategic   
   and tactical missiles, target drones, torpedoes, guns, associated       
   support equipment, and modification on in-service missiles, torpedoes,  
   and guns.                                                               
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                  

                                       Budget request     Committee recommended     Change from request  

DRONES AND DECOYS                                                        10,000                 +10,000  
FLEET SATELLITE COMM FOLLOW-ON                170,537                    95,500                 -75,037  
MK 48 TORPEDO ADCAP MODS                       38,926                    44,926                  +6,000  
ASW RANGE SUPPORT                              14,955                    18,955                  +4,000  
CIWS MODS                                         964                     5,964                  +5,000  
GUN MOUNT MODS                                  4,779                    14,779                 +10,000  

                          JOINT STAND-OFF WEAPON                         

      The Navy requested $171,624,000 for procurement of the Joint         
   Stand-Off Weapon (JSOW). The Committee recommends $149,523,000, a       
   decrease of $22,101,000.                                                
      Of the 636 JSOWs requested, the Navy plans to procure 150 of the     
   ``JSOW B'' anti-armor variant. The JSOW B uses the BLU 108 submunition, 
   the same submunition used in the Air Force Sensor Fuzed Weapon in       
   production for several years. For a number of reasons, the Committee    
   believes that it is premature to significantly ramp up production of the
   anti-armor variant. First, the Committee continues to be concerned that 
   DoD is acquiring too many anti-armor weapons and has failed to respond  
   adequately to Committee reporting requirements in this regard. The GAO  
   has observed that DoD is acquiring an anti-armor inventory that exceeds 
   levels achieved during the Cold War despite a vastly diminished threat. 
   Until DoD comes to grips with this mismatch between program and threat, 
   the Committee must make its own judgements in terms of reducing the     
   Department's anti-armor programs. Second, the JSOW B continues to suffer
   from targeting limitations that prevent efficient use of the weapon     
   system until technologies such as sensor-to-shooter, advanced           
   electronically scanned arrays, and an improved Harm Targeting System are
   available. In the meantime, the Navy and Air Force plan to use          
   exceedingly inefficient targeting ``work-arounds'' such as launching    
   weapons blindly into choke points hoping that moving armor happens to be
   transiting at the exact time of weapon impact. Third, the Committee     
   notes that the Navy now recognizes the limited application of this      
   weapon as reflected by a 50 percent reduction in the requirement for the
   JSOW B variant in its latest Non-Nuclear Ordnance Requirement (NNOR)    
   analysis completed after submission of the budget.                      
      Fourth, as mentioned, the Air Force already has in its inventory the 
   Sensor Fuzed Weapon that uses the same submunition as the JSOW. Sensor  
   Fuzed Weapon is not a stand-off munition and therefore avoids some of   
   the targeting issues associated with JSOW. Though available, this weapon
   was prohibited from use in Kosovo over fears of collateral damage.      
   Adding stand-off to this capability (i.e., JSOW) would only exacerbate  
   the potential for collateral damage. In summary, the Committee believes 
   it is premature to procure this weapon in large numbers until the issues
   of targeting and requirements are resolved. Given these considerations, 
   the Committee recommends a reduction of 120 of the budgeted 150         
   anti-armor JSOW B variants, a decrease of $42,240,000. The Committee    
   further recommends an increase of 120 baseline JSOW A variants for an   
   additional $20,139,000. The Committee notes that the JSOW A variant     
   performed well in recent operations in Iraq and Kosovo. The Committee   
   has made similar adjustments to the Air Force JSOW program.             
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    


[Graphic Image Not Available]

                      PROCUREMENT OF AMMUNITION, NAVY AND MARINE CORPS            


                                                                               

                                                    

     Fiscal year 2000 appropriation        $525,200,000  
     Fiscal year 2001 budget request        429,649,000  
     Committee recommendation               491,749,000  
     Change from Budget Request             +62,100,000  

      This appropriation finances the acquisition of ammunition, ammunition
   modernization, and ammunition related material for the Navy and Marine  
   Corps.                                                                  
                                  COMMITTEE RECOMMENDATION                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                 

                                      Budget request     Committee recommended     Change from request  

GENERAL PURPOSE BOMBS                         63,157                    73,157                 +10,000  
PRACTICE BOMBS                                50,600                    60,600                 +10,000  
AIR EXPENDABLE COUNTERMEASURES                39,293                    45,793                  +6,500  
5.56 MM, ALL TYPES                            23,456                    26,456                  +3,000  
7.62 MM, ALL TYPES                             2,039                     3,039                  +1,000  
LINEAR CHARGES, ALL TYPES                     40,945                    44,945                  +4,000  
.50 CALIBER                                    7,637                     8,637                  +1,000  
GRENADES, ALL TYPES                            8,358                    12,358                  +4,000  
ROCKETS, ALL TYPES                             1,592                     6,192                  +4,600  
ARTILLERY, ALL TYPES                             322                    18,322                 +18,000  

                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    


[Graphic Image Not Available]

                             SHIPBUILDING AND CONVERSION, NAVY                    


                                                                               

                                                      

     Fiscal year 2000 appropriation        $7,053,454,000  
     Fiscal year 2001 budget request       12,296,919,000  
     Committee recommendation              12,266,919,000  
     Change from budget request               -30,000,000  

      This appropriation provides funds for the construction of new ships  
   and the purchase and conversion of existing ships, including hull,      
   mechanical, and electrical equipment, electronics, guns, torpedo and    
   missile launching systems, and communication systems.                   
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                         

                              Budget request     Committee recommended     Change from request  

NEW SSN                            1,203,012                 1,198,012                  -5,000  
CVN REFUELING OVERHAULS              703,441                   698,441                  -5,000  
DDG 51 (MYP)                       2,713,559                 2,703,559                 -10,000  
LPD 17                             1,489,286                 1,479,286                 -10,000  
ADC(X)                               338,951                   348,951                 +10,000  
OUTFITTING                           301,077                   291,077                 -10,000  

                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

                                  OTHER PROCUREMENT, NAVY                         


                                                                               

                                                      

     Fiscal year 2000 appropriation        $4,320,238,000  
     Fiscal year 2001 budget request        3,334,611,000  
     Committee recommendation               3,433,063,000  
     Change from budget request               +98,452,000  

      This appropriation provides funds for the procurement of major       
   equipment and weapons other than ships, aircraft, missiles, and         
   torpedoes. Such equipment ranges from the latest electronic sensors for 
   updating naval forces to trucks, training equipment, and spare parts.   
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                      

                                           Budget request     Committee recommended     Change from request  

OTHER NAVIGATION EQUIPMENT                         33,425                    45,425                 +12,000  
STRATEGIC PLATFORM SUPPORT EQUIP                    6,206                    21,206                 +15,000  
LCAC                                                3,559                                            -3,559  
ITEMS LESS THAN $5 MILLION                         58,851                    60,851                  +2,000  
RADAR SUPPORT                                                                25,000                 +25,000  
SSN ACOUSTICS                                     106,647                   114,647                  +8,000  
UNDERSEA WARFARE SUPPORT EQUIPMENT                    847                     2,847                  +2,000  
SONAR SUPPORT EQUIPMENT                                                       5,000                  +5,000  
SHIPBOARD IW EXPLOIT                               61,524                    50,024                 -11,500  
NAVY TACTICAL DATA SYSTEM                                                    10,000                 +10,000  
COOPERATIVE ENGAGEMENT CAPABILITY                  15,853                    33,853                 +18,000  
SHALLOW WATER MCM                                  16,863                    16,363                    -500  
OTHER TRAINING EQUIPMENT                           21,390                    28,390                  +7,000  
SURFACE IDENTIFICATION SYSTEMS                                                4,000                  +4,000  
TADIX B                                                32                     6,032                  +6,000  
EMI CONTROL INSTRUMENTATION                         5,378                     8,378                  +3,000  
ITEMS LESS THAN $5 MILLION                          4,889                    11,889                  +7,000  
SATELLITE COMMUNICATIONS SYSTEMS                  252,695                   206,606                 -46,089  
JEDMICS                                                                      12,000                 +12,000  
INFO SYSTEMS SECURITY PROGRAM (ISSP)               46,563                    66,563                 +20,000  
WEAPONS RANGE SUPPORT EQUIPMENT                    15,125                    26,225                 +11,100  
AVIATION LIFE SUPPORT                              20,374                    16,674                  -3,700  
NATO SEASPARROW                                    21,716                    22,716                  +1,000  
RAM GMLS                                           37,309                    36,809                    -500  
AEGIS SUPPORT EQUIPMENT                            36,848                    36,848                          
SSN COMBAT CONTROL SYSTEMS                         20,896                    19,596                  -1,300  
CONSTRUCTION & MAINTENANCE EQUIP                    6,238                     8,238                  +2,000  
EDUCATION SUPPORT EQUIPMENT                         2,076                     5,076                  +3,000  
ENVIRONMENTAL SUPPORT EQUIPMENT                    22,247                    14,747                  -7,500  

            Aviation Requirement for Joint Tactical Terminals            

      The Committee directs the Navy to review, and report by March 15,    
   2001, its requirement for aviation joint tactical terminals.            
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

                                 PROCUREMENT, MARINE CORPS                        


                                                                               

                                                      

     Fiscal year 2000 appropriation        $1,300,920,000  
     Fiscal year 2001 budget request        1,171,935,000  
     Committee recommendation               1,229,605,000  
     Change from budget request               +57,670,000  

      This appropriation funds the procurement, delivery, and modification 
   of missiles, armament, communication equipment, tracked and wheeled     
   vehicles, and various support equipment.                                
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                     

                                          Budget request     Committee recommended     Change from request  

RAPID ACQUISITION PROGRAM                          4,930                         0                  -4,930  
INTELLIGENCE SUPPORT EQUIPMENT                    11,960                    17,960                  +6,000  
RADIO SYSTEMS                                      3,097                     9,097                  +6,000  
COMM & ELEC INFRASTRUCTURE SUPPORT                80,564                    82,564                  +2,000  
FIRE SUPPORT SYSTEM                               12,343                    17,343                  +5,000  
5/4T TRUCK HMMWV (MYP)                           124,448                   149,448                 +25,000  
POWER EQUIPMENT ASSORTED                           9,325                    10,825                  +1,500  
COMMAND SUPPORT EQUIPMENT                              0                     2,000                  +2,000  
MATERIAL HANDLING EQUIP                           36,311                    48,411                 +12,000  
TRAINING DEVICES                                       0                     3,000                  +3,000  

                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]

                              AIRCRAFT PROCUREMENT, AIR FORCE                     


                                                                               

                                                       

     Fiscal year 2000 appropriation         $8,228,630,000  
     Fiscal year 2001 budget request         9,539,602,000  
     Committee recommendation               10,064,032,000  
     Change from budget request               +524,430,000  

      This appropriation provides for the procurement of aircraft, and for 
   modification of in-service aircraft to improve safety and enhance       
   operational effectiveness. It also provides for initial spares and other
   support equipment to include aerospace ground equipment and industrial  
   facilities. In addition, funds are provided for the procurement of      
   flight training simulators to increase combat readiness and to provide  
   for more economical training.                                           
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                

                                   Budget request     Committee recommendation    Change from request  

C 17 (MYP)                              2,211,923                    2,185,823                -26,100  
C 130J                                    208,051                      208,051                      0  
 8C                                       260,610                      250,610                -10,000  
 8C (AP CY)                                     0                       40,000                +40,000  
PREDATOR UAV                               22,078                       32,078                +10,000  
B 2A                                       21,723                       24,723                 +3,000  
B 52                                        8,425                       20,425                +12,000  
A 10                                       33,891                       37,891                 +4,000  
T 3 (EFS) AIRCRAFT                          1,949                            0                 -1,949  
C 130                                      91,524                       94,524                 +3,000  
C 135                                     328,232                      380,232                +52,000  
DARP                                      165,540                      180,276                +14,736  
OTHER AIRCRAFT                             28,214                       38,214                +10,000  
 16 POST PRODUCTION SUPPORT                25,464                       37,464                +12,000  
WAR CONSUMABLES                            43,015                       53,015                +10,000  
DARP                                       98,410                      136,674                +38,264  



                                    15                                   

      The Air Force requested no funds for additional F 15 aircraft. The   
   Committee recommends $400,000,000 for 5 additional F 15E aircraft. The  
   Committee understands that there are a number of potential F 15 foreign 
   military sales cases pending. The Committee strongly encourages the Air 
   Force to take all necessary action to expeditiously negotiate these     
   potential agreements.                                                   
                         C 17 ADVANCE PROCUREMENT                        

      The Air Force requested $266,800,000 for advance procurement for 15  
   aircraft to be procured in fiscal year 2002. The Committee recommends   
   $207,800,000, a net decrease of $59,000,000. Subsequent to submission of
   the budget, the Air Force identified a budgeting error and requested the
   Committee increase C 17 advance procurement by $41,000,000 offset by a  
   like decrease to the C 17 full funding line-item, a ``net zero''        
   transfer. The Committee recommendation includes this transfer.          
      In addition, the Committee recommendation includes a reduction of    
   $100,000,000 based on revised Air Force advance procurement estimates.  
   The C 17 program is in the midst of a seven year multiyear contract.    
   Although the contract requires 15 aircraft be bought in fiscal year     
   2001, the Air Force budgeted for only 12 based on the assumption that   
   the British would acquire 3 aircraft. As the budget was submitted to    
   Congress, the British had not decided to acquire these aircraft, forcing
   the Air Force and contractor to evaluate options to minimize the impact 
   of lower quantities of aircraft on the multiyear contract. The Air Force
   and contractor found that by accelerating contract award dates and      
   manipulating payment schedules, the multiyear contract could be         
   maintained at the budgeted quantities. However, these actions also have 
   the effect of reducing the requirement for advance procurement. The     
   Committee recommendation adjusts the amount of advance procurement based
   on a detailed advance procurement analysis provided by the Air Force.   
                             15 modifications                            

      The Air Force requested $258,247,000 for F 15 modifications. The     
   Committee recommends $305,647,000, an increase of $47,400,000. Of this  
   amount, $26,400,000 is only for integration of BOL IR countermeasures on
   Air National Guard aircraft and $21,000,000 is only for additional      
   fighter datalink modifications. The F 15 fighter datalink is an example 
   of an information age modification that provides tremendous capability  
   at an inexpensive price. This $230,000 per aircraft modification to the 
   F 15C recently completed independent operational testing and was found  
   to make the F 15C four times better in air-to-air combat (in terms of   
   kill ratios) while providing a 30 percent increase in survivability--all
   this without the aid of stealth or supercruise. Despite this, the Air   
   Force continues to fail to fund this inexpensive upgrade for 75 combat  
   coded F 15s. Consequently, the Committee finds it must once again       
   provide additional funds to ensure all combat coded F 15s benefit from  
   this highly leveraging modification.                                    
                            F 16 MODIFICATIONS                           

      The Committee observes that the Senate defense appropriations report 
   on H.R. 2521 (S. Rept. 102 154) stated, ``the Committee directs that F  
   16 aircraft scheduled to be delivered to the Air Force during fiscal    
   year 1992 be turned over to those Air National Guard F 16 units which   
   served in Operational Desert Storm.'' The Committee further observes    
   that the statement of managers accompanying the appropriations          
   conference report on H.R. 2521 (H. Rept. 102 328) stated, ``The         
   Committee of Conference directs the Air Force to initiate, immediately  
   in the first quarter of fiscal year 1992, the modernization process for 
   those Air National Guard F 16 units that deployed to Operation Desert   
   Storm, in priority over any non-deploying unit, leading to equipping    
   these deploying units with updated F 16 aircraft. Units with the Close  
   Air Support (CAS) mission will be equipped with Block 30 aircraft.'' The
   Committee notes that the Air Force complied with the conference         
   direction by providing Block 30 aircraft to the 174th Fighter Wing.     
   Subsequently, however, the Air Force reversed this action by replacing  
   the Block 30 aircraft with less capable Block 25 aircraft.              
      The Committee directs the Secretary of the Air Force to provide F 16 
   Block 40 aircraft, or later model F 16 aircraft, to Air National Guard  
   units deployed to Operation Desert Storm no later than first quarter    
   fiscal 2002. Section 8110 of the Committee bill prohibits obligation of 
   funds for F 16 modifications pending submission of a report by the      
   Secretary of the Air Force detailing the plan to assign these aircraft  
   as discussed above.                                                     
                     MISCELLANEOUS PRODUCTION CHARGES                    

      The Air Force requested $398,474,000 for Miscellaneous Production    
   Charges. The Committee recommends $363,553,000, a reduction of          
   $34,921,000. Two years ago, the Navy initiated a next generation        
   infrared targeting pod program called ATFLIR and, according to the Air  
   Force, invited the Air Force to participate as a joint partner. The Air 
   Force declined at that time. Now, the Air Force plans to procure its own
   next generation targeting pod, a potential billion dollar program.      
   Though the Air Force's requirements for a next generation pod are       
   similar to the Navy's, the planned acquisition strategy could lead the  
   service to procure a completely different pod. The Committee is         
   disappointed that the Navy and Air Force cannot work more closely       
   together to develop joint solutions to meet similar requirements. Joint 
   programs reduce costs through higher production rates, greater          
   commonality in software development, stand-up of single vs. multiple    
   depots, and more efficient spares procurements and management as well as
   numerous other efficiencies. To ensure joint commonality in DoD's next  
   generation targeting pods, the Committee directs the Chairman of the    
   Joint Chiefs of Staff, the Undersecretary of Defense for Acquisition and
   Technology, and the Commander in Chief of the Joint Forces Command to   
   review the Department's plans to acquire next generation targeting pods 
   (including pods that would be procured by Guard and Reserve components) 
   to ensure the requirements and acquisition approach appropriately       
   promote joint commonality. The Committee directs the Chairman of the    
   Joint Chiefs of Staff, the Undersecretary of Defense for Acquisition and
   Technology, and the Commander in Chief of the Joint Forces Command to   
   report its findings and the steps taken to promote joint commonality to 
   the congressional defense committees no later than February 15, 2001.   
   The Committee fully supports Air Force acquisition of a next generation 
   targeting pod, but will not stand by and accept another lost opportunity
   for joint commonality. Accordingly, the Committee recommends no funds   
   for an Air Force Advanced Targeting Pod until these issues are resolved 
   and the report directed above is submitted.                             
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]


                               MISSILE PROCUREMENT, AIR FORCE                     


                                                                               

                                                       

     Fiscal year 2000 appropriation         $2,211,407,000  
     Fiscal year 2001 budget request         3,061,715,000  
     Committee recommendation                2,893,529,000  
     Change from budget request               -168,186,000  

      This appropriation provides for procurement, installation, and       
   checkout of strategic ballistic and other missiles, modification of     
   in-service missiles, and initial spares of missile systems. It also     
   provides for operational space systems, boosters, payloads, drones,     
   associated ground equipment, non-recurring maintenance of industrial    
   facilities, machine tool modernization, and special program support.    
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                         

                                            Budget request    Committee recommendation     Change from request  

MISSILE REPLACEMENT EQ BALLISTIC                    42,308                      11,508                 -30,800  
JOINT STANDOFF WEAPON                               90,828                      76,012                 -14,816  
MISSILE SPARES--REPAIR PARTS                        44,026                      42,354                  -1,672  
GLOBAL POSITIONING (SPACE)                         196,937                     162,596                 -34,341  
GLOBAL POSITIONING (SPACE) (AP CY)                  13,404                      17,404                  +4,000  
EVOLVED EXPENDABLE LAUNCH VEH (SPACE)              287,996                     275,996                 -12,000  
MEDIUM LAUNCH VEHICLE (SPACE)                       55,939                      43,081                 -12,858  

                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

                            PROCUREMENT OF AMMUNITION, AIR FORCE                  


                                                                               

                                                     

     Fiscal year 2000 appropriation         $442,537,000  
     Fiscal year 2001 budget request         638,808,000  
     Committee recommendation                638,808,000  
     Change from budget request                           

      This appropriation finances the acquisition of ammunition,           
   modifications, spares, weapons, and other ammunition-related items for  
   the Air Force.                                                          
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

                                OTHER PROCUREMENT, AIR FORCE                      


                                                                               

                                                       

     Fiscal year 2000 appropriation         $7,146,157,000  
     Fiscal year 2001 budget request         7,699,127,000  
     Committee recommendation                7,778,997,000  
     Change from budget request                +79,870,000  

      This appropriation provides for the procurement of weapon systems and
   equipment other than aircraft and missiles. Included are vehicles,      
   electronic and telecommunications systems for command and control of    
   operation forces, and ground support equipment for weapon systems and   
   supporting structure.                                                   
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                       

                                          Budget request    Committee recommendation     Change from request  

ITEMS LESS THAN $5 MILLION                         8,616                      18,616                 +10,000  
INTELLIGENCE COMM EQUIP                            5,530                      36,730                 +31,200  
AIR TRAFFIC CTRL/LAND SYS (ATCALS)                     0                       6,000                  +6,000  
NATIONAL AIRSPACE SYSTEM                          58,663                      52,663                  -6,000  
THEATER AIR CONTROL SYS IMPROVEMENT               15,431                      14,997                    -434  
WEATHER OBSERV/FORECAST                           33,515                      28,115                  -5,400  
AUTOMATIC DATA PROCESSING EQUIP                   74,771                      84,771                 +10,000  
COMBAT TRAINING RANGES                            26,003                      31,003                  +5,000  
NAVSTAR GPS SPACE                                  9,112                       2,212                  -6,900  
MILSATCOM SPACE                                   53,027                      35,127                 -17,900  
TACTICAL C E EQUIPMENT                           101,222                      98,722                  -2,500  
ITEMS LESS THAN $5 MILLION                         6,744                      10,744                  +4,000  
MECHANIZED MATERIAL HANDLING EQUIP                15,118                      25,118                 +10,000  
FLOODLIGHTS                                       10,718                      14,718                  +4,000  
BASE PROCURED EQUIPMENT                           15,171                      22,171                  +7,000  
DARP RC 135                                       12,785                      27,985                 +15,200  

                       NEXT GENERATION SMALL LOADER                      

      The Air Force requested $24,144,000 for procurement of next          
   generation small loaders. The Committee recommends $11,544,000, a       
   reduction of $12,600,000. Both competitors for the Next Generation Small
   Loader are foreign companies that have entered into licensing agreements
   with U.S. companies to produce the loaders. Low rate production begins  
   with 13 units in fiscal year 2000 followed by 34 units in fiscal year   
   2001. Should the selected U.S. company encounter difficulty in the      
   production transition between foreign contractor and a new production   
   line, production delays and potential technical problems with the       
   loaders could result. The Committee believes it is appropriate to allow 
   adequate time to validate a new production line and adequately test the 
   loaders before significantly ramping up production in fiscal year 2001. 
   Accordingly, the Committee recommends deferring 21 loaders to fiscal    
   year 2002 resulting in a decrease of $12,600,000 to the budget request. 
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]


                                 PROCUREMENT, DEFENSE-WIDE                        


                                                                               

                                                       

     Fiscal year 2000 appropriation         $2,249,566,000  
     Fiscal year 2001 budget request         2,275,308,000  
     Committee recommendation                2,303,136,000  
     Change from budget request                +27,828,000  

      This appropriation funds the Procurement, Defense-Wide activities of 
   the Department of Defense.                                              
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                              

                                            Budget  request     Recommended     Change from request  

MAJOR EQUIPMENT, OSD                                 64,872         116,672                 +51,800  
DEFENSE MESSAGE SYSTEM                               19,399          32,399                 +13,000  
DEFENSE SUPPORT ACTIVITIES                           82,863          87,863                  +5,000  
AUTOMATIC DOCUMENT CONVERSION SYSTEM                      0          20,000                 +20,000  
ADVANCED SEAL DELIVERY SYSTEM                        25,500          28,800                  +3,300  
SOF ORDNANCE ACQUISITION                             25,978          31,978                  +6,000  
SOF INTELLIGENCE SYSTEMS                             32,309          35,309                  +3,000  
SOF SMALL ARMS & WEAPONS                             11,829          33,449                 +21,620  
MISCELLANEOUS EQUIPMENT                              14,376          18,876                  +4,500  
INDIVIDUAL PROTECTION                               108,725         111,725                  +3,000  
DECONTAMINATION                                      12,195          13,195                  +1,000  
COLLECTIVE PROTECTION                                36,179          37,179                  +1,000  


                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]

                            NATIONAL GUARD AND RESERVE EQUIPMENT                  


                                                                               

                                                     

     Fiscal year 2000 appropriation         $150,000,000  
     Fiscal year 2001 budget request                      
     Committee recommendation                             
     Change from budget request                           

      This appropriation provides funds for the procurement of tactical    
   aircraft and other equipment for the National Guard and Reserve.        
                                 COMMITTEE RECOMMENDATIONS                        

      In all accounts throughout the bill, the Committee recommends a total
   of $2,452,551,000 for procurement of National Guard and Reserve         
   equipment, a net increase of $622,651,000 above the budget request.     
   Consistent with the budget request and the House-passed National Defense
   Authorization Act for fiscal year 2001 (H.R. 4205), the Committee       
   recommends no funding in the Procurement, National Guard and Reserve    
   Equipment account.                                                      
                              DEFENSE PRODUCTION ACT PURCHASES                    


                                                                               

                                                   

     Fiscal year 2000 appropriation         $3,000,000  
     Fiscal year 2001 budget request                    
     Committee recommendation                3,000,000  
     Change from budget request             +3,000,000  

      The Defense Production Act (50 U.S.C. App. 2061, et seq.) authorizes 
   the use of Federal funds to correct industrial resource shortfalls and  
   promote critical technology items which are essential to the national   
   defense.                                                                
                          Microwave Power Tubes                          

      The Committee recommends an increase of $3,000,000 only for microwave
   power tubes. Microwave power tubes generate and amplify microwave energy
   for applications in radar, electronic warfare, and telecommunications   
   systems. These devices are currently used in over 150 deployed weapon   
   systems. Microwave power tubes will be used in these and similar        
   applications for at least the next two to three decades since there are 
   no foreseeable replacement technologies. Therefore it is recommended    
   that the Department continue efforts to maintain and improve the        
   supplier base for microwave power tubes.                                

                                   INFORMATION TECHNOLOGY                         

      The Department requested $19,994,906,000 for Information Technology. 
   The Committee recommends $20,245,256,000, an increase of $250,350,000 as
   explained below:                                                        

          [In thousands of dollars]                                               

    Operation and Maintenance, Army:                                        



                                         3,000



                                         3,000



                                         1,500



                                         1,500



                                         6,000



                                         -14,000

    Operation and Maintenance, Navy:                                        



                                         3,000



                                         2,000



                                         7,000



                                         15,000



                                         3,000



                                         -7,000

    Operation and Maintenance, Marine Corps:                                



                                         3,000

    Operation and Maintenance, Air Force:                                   



                                         3,000



                                         2,000



                                         2,000



                                         -7,000

    Operation and Maintenance, Defense-Wide:                                



                                         3,000



                                         20,000



                                         1,600



                                         10,300



                                         -13,500

    Operation and Maintenance, Army National Guard:                         



                                         5,000

    Other Procurement, Army:                                                



                                         8,000



                                         13,000



                                         -48,150



                                         5,000



                                         4,000



                                         8,000



                                         12,000

    Other Procurement, Navy:                                                



                                         8,000



                                         12,000

    Procurement, Marine Corps:                                              



                                         2,000

    Other Procurement, Air Force:                                           



                                         8,000



                                         10,000



                                         10,000



                                         10,000

    Procurement, Defense-Wide:                                              



                                         800



                                         20,000

    Research, Development, Test and Evaluation, Army:                       



                                         2,000



                                         4,500

    Research, Development, Test and Evaluation, Navy:                       



                                         10,000



                                         8,000



                                         8,600

    Research, Development, Test and Evaluation, Air Force:                  



                                         5,500



                                         10,000



                                         2,000



                                         5,000

    Research, Development, Test and Evaluation, Defense-Wide:               



                                         3,000



                                         3,500



                                         1,500



                                         9,700



                                         21,000



                                         20,000

                                                                             

    Total                                                                   

 +250,350                                                                


           INFORMATION ASSURANCE AND COMPUTER NETWORK SECURITY           

      As discussed earlier in this report, the Committee recommends        
   providing an additional $150,000,000 over the budget request to address 
   the most critical information assurance and computer security           
   requirements identified by DoD. The Committee expects that the          
   Department will issue guidance to ensure that these funds are used in a 
   coordinated manner to support the Department's overall information      
   assurance strategy.                                                     
                     INFORMATION TECHNOLOGY OVERSIGHT                    

      Reports by the Department of Defense Inspector General (DoD IG) and  
   the General Accounting Office (GAO) confirm that the Department of      
   Defense continues to have difficulty managing its information technology
   programs. The Committee believes that the basic policies and procedures 
   necessary for sound oversight and program management are clearly        
   outlined in the Clinger-Cohen Act of 1996 and in supporting regulations.
   Last year, the Committee explained in detail its concerns with the      
   Department's oversight process and made clear that compliance with the  
   Clinger-Cohen Act would be a prerequisite for funding any information   
   technology initiative. It is in that light that the Committee raises the
   following two issues.                                                   
                  DEFENSE JOINT ACCOUNTING SYSTEM (DJAS)                 

      Last year, when DJAS was submitted for Milestone I approval, the DoD 
   IG and the Office of Program Analysis and Evaluation (PA&E) issued      
   warnings about the program's readiness for Milestone I approval and     
   about dramatic changes in its scope, cost and duration. In addition,    
   both the Air Force and the Navy withdrew from this ``joint'' program.   
   Despite these obvious warnings, the Department's Information Technology 
   oversight body (the IT OIPT) gave DJAS Milestone I and II approval,     
   without having a meeting to review the program.                         
      The Congress explicitly rejected this approval as inconsistent with  
   the intent of the Clinger-Cohen Act and directed the Department to      
   conduct a proper Milestone review to determine if this program should   
   continue. The Committee understands that the program has continued to   
   move forward without a proper Milestone review and that the program is  
   still not compliant with the Clinger-Cohen Act. The Committee has       
   therefore removed all funding for this program in fiscal year 2001 and  
   directs that this program be terminated.                                
                        NAVY MARINE CORPS INTRANET                       

      The Navy Marine Corps Intranet is a new initiative that involves     
   contracting out for the full range of the Department's information      
   technology services (such as lifecycle replacement of computers and     
   infrastructure, software updates and help desk support). At the cost of 
   several billion dollars over the next five years, it would be the       
   Department's single largest information technology initiative. However, 
   this proposal was not included in the Department's fiscal year 2001     
   budget.                                                                 
      The Committee has been supportive of efforts by the military services
   that seek innovative solutions, and it is out of a desire to encourage  
   such innovation that the Committee is willing to consider this program  
   outside the normal budget process.                                      
      As with all information technology initiatives, the Navy must        
   demonstrate that NMCI is compliant with the Clinger-Cohen Act and that  
   it has a sound business case for making this investment. This           
   information is currently unavailable. However, the Navy has agreed to   
   provide this and other relevant information, per a March 8, 2000        
   Memorandum of Agreement with the Office of the Assistant Secretary of   
   Defense for Command, Control, Communications and Intelligence. The      
   Committee is pleased that ASD(C3I) and the Navy have agreed to this     
   oversight procedure. The Committee will therefore withhold judgment     
   until that information is available and ASD(C3I) has conducted a proper 
   review. The Committee encourages the Navy and ASD(C3I) to work together 
   to ensure that the review process is both thorough and timely.          
                   INFORMATION SECURITY LESSONS LEARNED                  

      In its April 10th report to Congress the Department outlines the     
   ``lessons learned from the Year 2000 effort and their applicability to  
   information management and information security.'' Among the key lessons
   learned was the importance of functional end-to-end testing, CINC       
   operational evaluations, contingency plans, continuity of operation     
   plans, a centralized system database, performance measures and timely   
   audits. The report's bottom line is ``Senior leadership must remain     
   engaged in information technology management'' if these lessons learned 
   are to be effectively implemented.                                      
      The Committee requests that the Department of Defense provide a      
   report, no later that November 15, 2000, outlining its efforts in       
   implementing these lessons learned. In particular, this report should   
   address the following questions:                                        
      1) How will the Department ensure continued senior level management  
   involvement? In particular, what will be the management forum and who be
   the participants?                                                       
      2) What performance measures are being used to track a system or     
   service's preparedness for a cyber attack?                              
      3) How are cyber attacks being integrated into CINC operational      
   evaluations?                                                            
      4) What guidance has been issued to ensure that contingency plans and
   continuity of operation plans are maintained and updated for a cyber    
   attack?                                                                 
      5) What functional or end-to-end tests are planned to examine a      
   system's vulnerability to a cyber attack?                               
   6) How will information assurance audits be integrated into this effort?

             ARMY HIGH PERFORMANCE COMPUTING RESEARCH CENTER             

      The Committee recognizes the unique value of the Army High           
   Performance Computing Research Center (AHPCRC). The Center's high       
   performance computing systems are used heavily by DoD's science and     
   technology community. AHPCRC researchers have made significant          
   contributions to computational science and defense technology. In       
   addition, the Center's outreach and educational programs have proven    
   valuable to the Army.                                                   
      To ensure that the Center is adequately funded, the Committee has    
   added $9,750,000 to funds already budgeted for a total of $11,507,000   
   for the Center's activities. Of these funds, $6,000,000 is only for the 
   use, operation and maintenance of the Center's high performance         
   computing systems and networks; $1,500,000 is only for staff scientist  
   services to support Army research activities; $1,100,000 is only for    
   technology exchange programs with Army laboratories, outreach and       
   education programs, and management activities of the research program   
   and center, including publications, seminars and workshops; and         
   $2,907,000 is only for basic research at the Center's academic partner  
   institutions.                                                           
                      INFORMATION TECHNOLOGY CENTER                      

      The Committee recommends $7,000,000 in Operation and Maintenance,    
   Navy and $8,000,000 in Research, Development, Test and Evaluation, Navy 
   only for continuing the human resources enterprise strategy in          
   accordance with past Committee direction. These funds shall be provided 
   to the Navy's Program Executive Office for Information Technology       
   (PEO/IT) for its enterprise software development Information Technology 
   Center (ITC).                                                           
                 NATIONAL GUARD BUREAU FIBER OPTIC STUDY                 

      The Committee recommends $5,000,000 only to continue the feasibility 
   study and engineering design of a Nationwide Dedicated Fiber Optic      
   Network (NDFON) for the National Guard. The Committee directs ASD(C3I)  
   to ensure this network makes maximum use of DISA networks and is        
   consistent with the Department's information architecture and policies. 
                GLOBAL INFRASTRUCTURE DATA CAPTURE PROGRAM               

      The Committee recommends $21,000,000 for the Global Infrastructure   
   Data Capture Program (GIDC) under the ASD(C3I) for the acquisition and  
   digital conversion of critical engineering and infrastructure data,     
   including related systems and technical information.                    

                                          TITLE IV                                

                         RESEARCH, DEVELOPMENT, TEST AND EVALUATION               

                             ESTIMATES AND APPROPRIATION SUMMARY                  

      The fiscal year 2001 Department of Defense research, development,    
   test and evaluation budget request totals $37,862,401,000. The          
   accompanying bill recommends $40,170,230,000. The total amount          
   recommended is an increase of $2,307,829,000 above the fiscal year 2001 
   budget estimate and is $2,564,670,000 above the total provided in fiscal
   year 2000. The table below summarizes the budget estimate and the       
   Committee's recommendations.                                            

                                                                                                   
                                     [In thousands of dollars]                                     

                                         Budget request    Committee  recommended    Change from request  

   Recapitulation                                                                                            
RDTE, Army                                    5,260,346                 6,025,057               +764,711  
RDTE, Navy                                    8,476,677                 9,222,927               +746,250  
RDTE, Air Force                              13,685,576                13,760,689                +75,113  
RDTE, Defense-Wide                           10,238,242                10,918,997               +680,755  
Developmental Test and Evaluation                                                                         
Operational Test and Evaluation                 201,560                   242,560                +41,000  
                                       ----------------  ------------------------  ---------------------  
Grand total, RDTE                            37,862,401                40,170,230             +2,307,829  

                          SPECIAL INTEREST ITEMS                         

      Items for which additional funds have been provided as shown in the  
   project level tables or in paragraphs using the phrases ``only for'' or 
   ``only to'' in this report are congressional interest items for the     
   purpose of the Base for Reprogramming (DD Form 1414). Each of these     
   items must be carried on the DD Form 1414 at the stated amount, or a    
   revised amount if changed during conference or if otherwise specifically
   addressed in the conference report. These items remain special interest 
   items whether or not they are repeated in a subsequent conference       
   report.                                                                 
                           CLASSIFIED PROGRAMS                           

      Adjustments of the classified programs are addressed in a classified 
   annex accompanying this report.                                         
                      anti-armor weapons master plan                     

      In the statement of the managers accompanying the conference report  
   on the Department of Defense Appropriations Act, 1999, the DoD was      
   directed to provide an Anti-Armor Weapons Master Plan with the fiscal   
   year 2000 budget request. The plan, which was delivered five months     
   late, did not address the concerns outlined in the statement. Therefore,
   the fiscal year 2000 statement of the managers directed the Secretary of
   Defense provide an in-depth analysis of Anti-Armor weapons with the     
   fiscal year 2001 budget submission. Four months after the budget        
   submission, the Committee has still not received the analysis. The DoD  
   has not requested an extension or given an explanation for not          
   delivering the plan on time. As a result, the Committee has recommended 
   reductions to several anti-armor weapon systems.                        
                             TACTICAL RADIOS                             

      The Committee directs that no more than 25 percent of the funds      
   appropriated for research and development of any tactical radio program 
   may be obligated until the Assistant Secretary of Defense for Command,  
   Control, Communications, and Intelligence certifies in writing to the   
   congressional defense committees that the development program meet      
   interoperability requirements, is not duplicative of other developmental
   efforts and is fully funded in the budget.                              
     NETWORKING OF INTELLIGENCE, SURVEILLANCE, RECONNAISSANCE ASSETS     

      The Committee has heard a number of theoretical discussions about how
   to better exploit the unique capabilities of Intelligence, Surveillance,
   and Reconnaissance (ISR) and possibly national platforms, by            
   ``networking'' these assets to provide a more complete intelligence     
   picture for tactical commanders. While the Navy has provided some       
   discussion of its Network Centric Warfare concept, the Committee is     
   concerned that none of the Services have a strategy to achieve          
   ``networked'' intelligence from the various ISR and national platforms. 
   Furthermore, without a networked approach, it remains unclear to the    
   Committee if the intelligence currently gathered with these platforms   
   can be properly and timely exploited and disseminated to the tactical   
   commander, which calls into question the wisdom of simply buying more of
   the same ``un-networked'' assets. It is possible that funds could be    
   better spent procuring items that fulfill a requirement to tie together 
   what is already in the inventory in order to more effectively provide   
   the tactical commanders with critical information.                      
      Therefore, the Committee directs that each Service provide a report  
   no later than September 30, 2001, on its strategy to network ISR        
   platforms. The Committee is most interested in whether each Service has 
   a goal for such networking, a strategy to implement that goal, and a    
   specific plan for procuring or developing what is needed to execute the 
   strategy. Considering the necessity of multi-Service warfare, it would  
   be senseless to propose a networked ISR system which would not provide  
   the tactical commander with the ability to access all necessary         
   information. Therefore, coordination of these reports is essential and  
   required.                                                               
                       JOINT EJECTION SEAT PROGRAM                       

      The Office of the Secretary of Defense has done a poor job of        
   responding to the concerns in the Committee's fiscal year 2000 report   
   (House Report 106 244) and the direction contained in the conference    
   report accompanying the Department of Defense Appropriations Act, 2000. 
   The Committee understands that the Department agrees with the objectives
   of the joint ejection seat program initiated by this Committee last     
   year, and agrees that the program is essential to address serious safety
   concerns about military pilots and their ability to successfully survive
   emergency ejections from disabled aircraft. Yet, no funds were included 
   in the fiscal year 2001 budget to continue this initiative, no response 
   has been provided to the reporting requirements in last year's          
   conference report, and the Department still chose to budget a           
   stand-alone K 36 ejection seat program outside the framework of the     
   joint program (even though K 36 is one of the candidates being          
   considered for the joint program). The Committee further understands    
   that a memorandum of agreement between the Navy and the Air Force       
   concerning operation of the joint program has not been consummated, and 
   also, is concerned that the staffing and decision-making in the program 
   to date is not joint at all, but rather is being driven by a single     
   service. The Committee views the joint ejection seat initiative as vital
   to providing a safer and more cost-effective seat for the Joint Strike  
   Fighter, where about 3,000 new aircraft are envisioned, yet there is no 
   evidence that the Department has connected this program to the Joint    
   Strike Fighter in a meaningful way.                                     
      The Committee directs that no contract award for the joint ejection  
   seat program using funds provided in fiscal year 2000 be made until the 
   Secretary of Defense resolves all of the above issues and submits a     
   report to the congressional defense committees explaining how this was  
   done and submits a program plan for the Joint Ejection Seat Program as  
   required by last year's conference report. None of the funds in fiscal  
   years 2000 or 2001 may be obligated until the Secretaries of the Navy   
   and Air Force certify to the congressional defense committees that a    
   joint program office and supporting mechanism is in place to manage the 
   program in a manner which fairly meets both services' requirements. None
   of the funds provided in this Act for the Joint Strike Fighter, or in   
   technology base program elements which support tactical aircraft, may be
   used for development of an ejection seat other than those being         
   developed in the Joint Ejection Seat Program. The Committee has included
   bill language under the heading ``Research, Development, Test and       
   Evaluation, Air Force'' to prohibit the use of any seat other than one  
   developed under the joint ejection seat program for the Joint Strike    
   Fighter. The Committee directs that these limitations be included on DD 
   Form 1414 for fiscal year 2001.                                         
      The fiscal year 2001 budget requests a total of $12,689,000 for the K
   36 development program as a stand alone effort. The Committee           
   specifically denies this request with prejudice, which shall be noted on
   DD Form 1414 for fiscal year 2001. Instead, the Committee recommends a  
   total of $24,289,000 in the Navy and in the Air Force only for the Joint
   Ejection Seat Program which is the proper venue for competitive         
   consideration of the K 36 proposal. The Committee reiterates that the   
   objective of the Joint Ejection Seat Program is to completely qualify at
   least two modern and safe ejection seats for the Joint Strike Fighter   
   and other future tactical aircraft applications.                        
                              DISCOVERER II                              

      The Air Force, Defense Advanced Research Projects Agency, and the    
   National Reconnaissance Office collectively requested $130,000,000 for  
   the Discoverer II satellite technology demonstration program. The       
   Committee recommends no funding, a decrease of $130,000,000. The fiscal 
   year 2000 Defense Appropriations Act provided sufficient funding for the
   Discoverer II program to conclude the phase I studies and analysis      
   portion of the program along with related risk reduction efforts. With  
   phase I now funded to completion, the Committee recommends that the     
   Discoverer II program be terminated.                                    
      The Committee makes this recommendation for the following reasons:   
   (1) Discoverer II has no documented requirement or concept of           
   operations; (2) the cost of the engineering and manufacturing           
   development phase of the program, which the program office estimates at 
   $702 million and which will in all likelihood exceed $1 billion, is of a
   magnitude ordinarily associated with the development of fully           
   operational satellites and therefore unaffordable given the limited     
   operational benefits of a technology demonstration program; (3) the     
   Department has conducted no trade-off analysis between Discoverer II and
   other systems and processes that could deliver ground moving target     
   indication data to warfighters; and, (4) the Department has failed to   
   analyze the impact a Discoverer II constellation would have on an       
   already overtaxed imagery processing, exploitation and dissemination    
   system.                                                                 
      Even if successful, there is no guarantee the Air Force could ever   
   build, launch, operate and maintain a Discoverer II constellation       
   without a substantial top line increase to its budget. By some estimates
   the cost of a fully functional Discoverer II constellation could reach  
   $25 billion. In the face of other severe shortfalls in space and        
   aircraft modernization the Committee concludes that Discoverer II is of 
   low priority and recommends its termination.                            
      The Committee discusses its recommendation more fully in the         
   classified annex to this report.                                        
    USE OF SPECIAL ACCESS-LIKE SECURITY MEASURES TO PROTECT BUSINESS     
                         SENSITIVE INFORMATION                           
      The Committee continues to be concerned that DoD is using security   
   measures similar to those used for Special Access Programs (SAPs) to    
   protect information associated with non-SAPs. Although DoD has made     
   progress in this area with respect to non-SAP classified activities, the
   Committee notes that SAP-like security measures are being used to       
   protect contractor proprietary and competition sensitive information.   
   The Committee is especially concerned because it appears that SAP-like  
   security measures are applied inconsistently among programs with no     
   clear DoD-wide policy or procedures for sharing information with        
   Congress. In a number of instances, these security measures have        
   needlessly complicated congressional oversight and review of program    
   activities. The Committee notes that DoD's Office of Inspector General  
   has made similar observations with regard to the Air Force's Evolved    
   Expendable Launch Vehicle (EELV) (Report number D 2000 070, dated       
   December 30, 1999) and recommended that DoD form a working group to     
   develop guidance for security measures to protect business sensitive    
   information. The Committee directs the Undersecretary of Defense for    
   Acquisition and Technology to review DoD's guidance for using security  
   measures to protect business sensitive information, develop additional  
   guidance as necessary (including streamlined procedures for providing   
   information to Congress), and submit a report detailing the action taken
   to the congressional defense committees no later than November 1, 2000. 
                      BUDGETING FOR OPERATIONAL TEST                     

      The Committee is concerned that the Military Departments are not     
   adequately budgeting for operational testing. The Committee understands 
   that severely constrained operational test budgets are forcing the      
   Services' operational test communities to focus reporting only on the   
   highest profile programs with small and medium sized programs proceeding
   into production without formal reporting from the operational test      
   community. The Committee believes that this situation must be corrected 
   and fully expects the Military Departments to budget adequately to      
   ensure all programs benefit from an appropriate level of independent    
   operational testing.                                                    

                      RESEARCH, DEVELOPMENT, TEST AND EVALUATION, ARMY            


                                                                               

                                                      

     Fiscal year 2000 appropriation        $5,266,601,000  
     Fiscal year 2001 budget request        5,260,346,000  
     Committee recommendation               6,025,057,000  
     Change from budget request              +764,711,000  

      This appropriation finances the research, development, test and      
   evaluation activities for the Department of the Army.                   
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               



                                                                                                                                                                                                       

                                                                                                                                           Budget  request     Committee recommended     Change from request  

UNIVERSITY AND INDUSTRY RESEARCH CENTERS                                                                                                            54,365                    55,365                  +1,000  
MATERIALS TECHNOLOGY                                                                                                                                11,557                    15,557                  +4,000  
SENSORS AND ELECTRONIC SURVIVABILITY                                                                                                                20,722                    24,722                  +4,000  
MISSILE TECHNOLOGY                                                                                                                                  47,183                    69,183                 +22,000  
ADVANCED WEAPONS TECHNOLOGY                                                                                                                            993                     7,993                  +7,000  
MODELING AND SIMULATION TECHNOLOGY                                                                                                                  30,479                    32,479                  +2,000  
COMBAT VEHICLE AND AUTOMOTIVE TECHNOLOGY                                                                                                            63,589                    68,589                  +5,000  
 (Note: Only for the integration of the voice interactive device into the smart truck's voice activated central processing computer)                                                                   +3,000  
WEAPONS AND MUNITIONS TECHNOLOGY                                                                                                                    33,761                    48,761                 +15,000  
ELECTRONIC AND ELECTRONIC DEVICES                                                                                                                   23,869                    40,969                 +17,100  
NIGHT VISION TECHNOLOGY                                                                                                                             20,465                    25,465                  +5,000  
COUNTERMINE SYSTEMS                                                                                                                                 12,386                    17,786                  +5,400  
HUMAN FACTORS ENGINEERING TECHNOLOGY                                                                                                                15,786                    19,486                  +3,700  
ENVIRONMENTAL QUALITY TECHNOLOGY                                                                                                                    13,994                    54,494                 +40,500  
 (Note: To demonstrate domestically produced residential PEM fuel cells in military facilities)                                                                                                       +12,500  
MILITARY ENGINEERING TECHNOLOGY                                                                                                                     42,344                    47,344                  +5,000  
WARFIGHTER TECHNOLOGY                                                                                                                               24,659                    28,159                  +3,500  
MEDICAL TECHNOLOGY                                                                                                                                  75,729                    98,729                 +23,000  
WARFIGHTER ADVANCED TECHNOLOGY                                                                                                                      15,469                    17,469                  +2,000  
MEDICAL ADVANCED TECHNOLOGY                                                                                                                         16,512                   254,192                +237,680  
WEAPONS AND MUNITIONS ADVANCED TECHNOLOGY                                                                                                           29,738                    59,738                 +30,000  
COMBAT VEHICLE AND AUTOMOTIVE ADVANCED TECHNOLOGY                                                                                                  148,114                   162,114                 +14,000  
COMMAND, CONTROL, COMMUNICATIONS ADVANCED TECHNOLOGY                                                                                                21,505                    28,505                  +7,000  
MANPOWER, PERSONNEL AND TRAINING ADVANCED TECHNOLOGY                                                                                                 3,072                     6,072                  +3,000  
EW TECHNOLOGY                                                                                                                                       15,359                    20,359                  +5,000  
NIGHT VISION ADVANCED TECHNOLOGY                                                                                                                    33,341                    46,141                 +12,800  
ENVIRONMENTAL QUALITY TECHNOLOGY DEVELOPMENT                                                                                                         1,616                    11,116                  +9,500  
ARMY MISSILE DEFENSE SYSTEMS INTEGRATION (DEM/VAL)                                                                                                  12,573                    28,173                 +15,600  
TANK AND MEDIUM CALIBER AMMUNITION                                                                                                                  30,139                    50,139                 +20,000  
ADVANCED TANK ARMAMENT SYSTEM (ATAS)                                                                                                               118,139                   268,139                +150,000  
ENVIRONMENTAL QUALITY TECHNOLOGY DEM/VAL                                                                                                             4,897                    14,897                 +10,000  
WEAPONS AND MUNITIONS--ADV DEV                                                                                                                      28,679                    36,179                  +7,500  
MEDICAL SYSTEMS--ADV DEV                                                                                                                            15,259                    15,509                    +250  
TACTICAL UNMANNED GROUND VEHICLE (TUGV)                                                                                                                  0                       300                    +300  
TACTICAL EXPLOITATION OF NATIONAL CAPABILITIES--EMD                                                                                                 57,419                    43,419                 -14,000  
BRILLIANT ANTI-ARMOR SUBMUNITION (BAT)                                                                                                              96,102                   101,102                  +5,000  
JOINT SURVEILLANCE/TARGET ATTACK RADAR SYSTEM                                                                                                       17,898                    26,898                  +9,000  
AVIATION--ENG DEV                                                                                                                                    7,104                    12,104                  +5,000  
WEAPONS AND MUNITIONS--ENG DEV                                                                                                                      22,505                    30,505                  +8,000  
SENSE AND DESTROY ARMAMENT MISSILE--ENG DEV                                                                                                         52,848                         0                 -52,848  
ARMY TACTICAL COMMAND & CONTROL HARDWARE & SOFTWARE                                                                                                 33,420                    39,420                  +6,000  
THREAT SIMULATOR DEVELOPMENT                                                                                                                        13,901                    16,101                  +2,200  
CONCEPTS EXPERIMENTATION PROGRAM                                                                                                                    15,410                    15,410                       0  
ARMY TEST RANGES AND FACILITIES                                                                                                                    119,657                   129,657                 +10,000  
ARMY TECHNICAL TEST INSTRUMENTATION AND TARGETS                                                                                                     33,156                    37,256                  +4,100  
SURVIVABILITY/LETHALITY ANALYSIS                                                                                                                    27,248                    34,748                  +7,500  
DOD HIGH ENERGY LASER TEST FACILITY                                                                                                                 14,521                    35,521                  21,000  
TECHNICAL INFORMATION ACTIVITIES                                                                                                                    25,749                    30,499                  +3,750  
MUNITIONS STANDARDIZATION, EFFECTIVENESS AND SAEFTY                                                                                                 11,276                    14,776                  +3,500  
ENVIRONMENTAL COMPLIANCE                                                                                                                                 0                     3,000                  +3,000  
DOMESTIC PREPAREDNESS AGAINST WEAPONS OF MASS DESTRUCT                                                                                                   0                     3,000                  +3,000  
COMBAT VEHICLE IMPROVEMENT PROGRAMS                                                                                                                 99,423                   112,823                 +13,400  
AIRCRAFT MODIFICATIONS/PRODUCT IMPROVEMENT PROGRAMS                                                                                                 95,829                    97,829                  +2,000  
AIRCRAFT ENGINE COMPONENT IMPROVEMENT PROGRAM                                                                                                        2,929                     7.929                  +5,000  
DIGITIZATION                                                                                                                                        29,671                    31,671                  +2,000  
FORCE TWENTY-ONE (XXI), WARFIGHTING RAPID ACQUISITION                                                                                                6,021                         0                  -6,021  
INFORMATION SYSTEMS SECURITY PROGRAM                                                                                                                 8,140                    20,440                 +12,300  
END ITEM INDUSTRIAL PREPAREDNESS ACTIVITIES                                                                                                         57,906                    81,906                 +24,000  


                         UNMANNED AERIAL VEHICLES                        

      The Committee is concerned that the Army's current concept of        
   operations for its Tactical UAV (TUAV) appears shortsighted by not      
   addressing future UAV requirements. The Army has not adequately         
   addressed requirements for such things as longer range and more         
   versatile payload options. Therefore, the Committee directs the Army to 
   submit a report by June 15, 2001, which identifies UAV requirements not 
   met by the TUAV and its plan for meeting those requirements.            
                                  RDT&E MANAGEMENT SUPPORT                        

                            RAND ARROYO CENTER                           

      The Army requested $19,872,000 for the Rand Arroyo Center, the       
   Committee recommends the budget request. Of the budgeted amount,        
   $1,000,000 is only for the Center for Naval Analyses to conduct a study 
   of Army acquisition practices as discussed elsewhere in this report.    
                            EXCALIBUR (XM 982)                           

      The Army requested $31,805,000 for the development of the Excalibur  
   (XM 982) 155mm artillery round. The Committee recommends no funding. The
   Excalibur development program, which began in 1998, was to have cost    
   approximately $50 million and be completed in 45 months. Today, the Army
   estimates that Excalibur will spend 87 months, or seven years, in       
   development, and cost over $135 million dollars. Additionally, the      
   Committee believes that the Excalibur artillery round is not            
   synchronized with the Army plan for fielding the Interim Brigades. Given
   the excessive cost growth, schedule delay and the fact that the         
   Excalibur round fielding will not be in sync with the Interim Brigades, 
   the Committee recommends no funds.                                      
      Although the Committee terminates the Excalibur program, the         
   requirement for an improved artillery projectile still exists. The      
   Committee directs the Army to provide, no later than July 10, 2000, a   
   report that outlines alternatives for meeting the Army's 155mm improved 
   artillery projectile requirement. The report is to include capabilities,
   estimated development cost, production cost, and the schedule for each  
   alternative. The Committee directs that the Army consider the Trajectory
   Correctable Munition as one of the alternatives.                        
                                    PROGRAM RECOMMENDED                           

      The total program recommended in the bill will provide the following 
   in fiscal year 2001:                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

                      RESEARCH, DEVELOPMENT, TEST AND EVALUATION, NAVY            


                                                                               

                                                      

     Fiscal year 2000 appropriation        $9,110,326,000  
     Fiscal year 2001 budget request        8,476,677,000  
     Committee recommendation               9,222,927,000  
     Change from budget request              +746,250,000  

      This appropriation provides funds for the research, development, test
   and evaluation activities of the Department of the Navy and the Marine  
   Corps.                                                                  
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                                                                                                                             

                                                                                                                                                  Budget request     Committee recommended     Change from request  

AIR AND SURFACE LAUNCHED WEAPONS TECHNOLOGY                                                                                                               37,966                    52,966                 +15,000  
SHIP, SUBMARINE & LOGISTICS TECHNOLOGY                                                                                                                    44,563                    47,563                  +3,000  
COMMUNICATIONS, COMMAND AND CONTROL, INTELLIGENCE                                                                                                         79,905                    91,905                 +12,000  
HUMAN SYSTEM TECHNOLOGY                                                                                                                                   30,939                    38,139                  +7,200  
MATERIALS, ELECTRONICS AND COMPUTER TECHNOLOGY                                                                                                            68,076                    92,026                 +23,950  
UNDERSEA WARFARE SURVEILLANCE TECHNOLOGY                                                                                                                  52,488                    53,388                    +900  
OCEANOGRAPHIC AND ATMOSPHERIC TECHNOLOGY                                                                                                                  60,320                    68,070                  +7,750  
UNDERSEA WARFARE WEAPONRY TECHNOLOGY                                                                                                                      35,028                    37,028                  +2,000  
DUAL USE SCIENCE AND TECHNOLOGY PROGRAM                                                                                                                   10,067                    11,067                  +1,000  
AIR SYSTEMS AND WEAPONS ADVANCED TECHNOLOGY                                                                                                               39,667                    54,667                 +15,000  
SURFACE SHIP & SUBMARINE HM&E ADVANCED TECHNOLOGY                                                                                                         37,432                    68,232                 +30,800  
MARINE CORPS ADVANCED TECHNOLOGY DEMONSTRATION (ATD)                                                                                                      54,749                    61,249                  +6,500  
MEDICAL DEVELOPMENT                                                                                                                                       10,110                    94,110                 +84,000  
MANPOWER, PERSONNEL AND TRAINING ADV TECH DEV                                                                                                             26,988                    42,988                 +16,000  
ENVIRONMENTAL QUALITY AND LOGISTICS ADVANCED TECHNOLOGY                                                                                                   24,002                    39,002                 +15,000  
NAVY TECHNICAL INFORMATION PRESENTATION SYSTEM                                                                                                            49,506                    49,506                          
 [Note: Up to $2,000,000 is only for the continuation of the Center for Defense Technology and Education at the Naval post-graduate school.]                                                                         
UNDERSEA WARFARE ADVANCED TECHNOLOGY                                                                                                                      58,296                    62,296                  +4,000  
ADVANCED TECHNOLOGY TRANSITION                                                                                                                            76,333                    79,533                  +3,200  
C3 ADVANCED TECHNOLOGY                                                                                                                                    29,673                    35,673                  +6,000  
ASW SYSTEMS DEVELOPMENT                                                                                                                                   19,680                    24,680                  +5,000  
TACTICAL AIRBORNE RECONNAISSANCE                                                                                                                           1,956                     2,356                    +400  
SURFACE AND SHALLOW WATER MINE COUNTERMEASURES                                                                                                            97,929                    99,429                  +1,500  
SURFACE SHIP TORPEDO DEFENSE                                                                                                                                                        11,000                 +11,000  
CARRIER SYSTEMS DEVELOPMENT                                                                                                                              148,952                   152,952                  +4,000  
SHIPBOARD SYSTEM COMPONENT DEVELOPMENT                                                                                                                   244,437                   254,437                 +10,000  
ADVANCED SUBMARINE SYSTEM DEVELOPMENT                                                                                                                    113,269                   129,769                 +16,500  
SHIP CONCEPT ADVANCED DESIGN                                                                                                                                 162                     5,162                  +5,000  
COMBAT SYSTEM INTEGRATION                                                                                                                                 32,966                    65,966                 +33,000  
CONVENTIONAL MUNITIONS                                                                                                                                    28,619                    30,619                  +2,000  
MARINE CORPS ASSAULT VEHICLES                                                                                                                            137,981                   144,281                  +6,300  
MARINE CORPS GROUND COMBAT/SUPPORT SYSTEM                                                                                                                 23,216                    25,216                  +2,000  
JOINT SERVICE EXPLOSIVE ORDNANCE DEVELOPMENT                                                                                                              13,131                    14,681                  +1,550  
COOPERATIVE ENGAGEMENT                                                                                                                                   119,257                   179,257                 +60,000  
NAVY ENERGY PROGRAM                                                                                                                                        4,942                     7,942                  +3,000  
NAVY LOGISTIC PRODUCTIVITY                                                                                                                                                          11,000                 +11,000  
LAND ATTACK TECHNOLOGY                                                                                                                                   143,044                   146,044                  +3,000  
JOINT STRIKE FIGHTER (JSF)--DEM/VAL                                                                                                                      131,566                   206,566                 +75,000  
SPACE AND ELECTRONIC WARFARE (SEW) ARCHITECTURE/ENGINE                                                                                                    34,100                    38,100                  +4,000  
OTHER HELO DEVELOPMENT                                                                                                                                    24,393                    38,393                 +14,000  
STANDARDS DEVELOPMENT                                                                                                                                     95,814                   103,814                  +8,000  
MULTI-MISSION HELICOPTER UPGRADE DEVELOPMENT                                                                                                              69,946                    79,946                 +10,000  
P 3 MODERNIZATION PROGRAM                                                                                                                                  2,906                     8,906                  +6,000  
TACTICAL COMMAND SYSTEM                                                                                                                                   57,817                    60,817                  +3,000  
AIR CREW SYSTEMS DEVELOPMENT                                                                                                                              17,466                    34,466                 +17,000  
EW DEVELOPMENT                                                                                                                                            97,281                   133,781                 +36,500  
SC 21 TOTAL SHIP SYSTEM ENGINEERING                                                                                                                      305,274                   257,274                 -48,000  
AIRBORNE MCM                                                                                                                                              47,312                    50,312                  +3,000  
SSN 688 AND TRIDENT MODERNIZATION                                                                                                                         34,801                    62,801                 +28,000  
NEW DESIGN SSN                                                                                                                                           207,091                   212,091                  +5,000  
SUBMARINE TACTICAL WARFARE SYSTEM                                                                                                                         20,492                    26,492                  +6,000  
SHIP CONTRACT DESIGN/LIVE FIRE T&E                                                                                                                        62,204                    72,204                 +10,000  
NAVY TACTICAL COMPUTER RESOURCES                                                                                                                           3,291                    28,291                 +25,000  
JOINT DIRECT ATTACK MUNITION                                                                                                                              26,151                    29,151                  +3,000  
MEDICAL DEVELOPMENT                                                                                                                                        5,273                    27,273                 +22,000  
DISTRIBUTED SURVEILLANCE SYSTEM                                                                                                                           20,710                    35,710                 +15,000  
JOINT STRIKE FIGHTER (JSF)--EMD                                                                                                                          295,962                   145,962                -150,000  
INFORMATION TECHNOLOGY DEVELOPMENT                                                                                                                        15,259                    23,259                  +8,000  
MAJOR T&E INVESTMENT                                                                                                                                      40,707                    44,707                  +4,000  
STUDIES AND ANALYSIS SUPPORT--NAVY                                                                                                                         8,056                     6,056                  -2,000  
TECHNICAL INFORMATION SERVICES                                                                                                                               949                    10,949                 +10,000  
SEW SURVEILLANCE/RECONNAISSANCE SUPPORT                                                                                                                   12,694                     7,694                  -5,000  
MARINE CORPS PROGRAM WIDE SUPPORT                                                                                                                          8,091                    14,891                  +6,800  
STRATEGIC SUB & WEAPONS SYSTEM SUPPORT                                                                                                                    42,687                    54,687                 +12,000  
 2 SQUADRONS                                                                                                                                              18,698                    37,698                 +19,000  
INTEGRATED SURVEILLANCE SYSTEM                                                                                                                            16,928                    27,928                 +11,000  
CONSOLIDATED TRAINING SYSTEMS DEVELOPMENT                                                                                                                 27,059                    34,559                  +7,500  
HARM IMPROVEMENT                                                                                                                                          21,355                    46,355                 +25,000  
MARINE CORPS COMMUNICATIONS SYSTEMS                                                                                                                       96,153                   107,153                 +11,000  
MARINE CORPS GROUND COMBAT/SUPPORTING ARMS SYSTEMS                                                                                                        22,124                    39,424                 +17,300  
INFORMATION SYSTEMS SECURITY PROGRAM                                                                                                                      21,530                    30,130                  +8,600  
TACTICAL UNMANNED AERIAL VEHICLES                                                                                                                        113,052                   129,052                 +16,000  
AIRBORNE RECONNAISSANCE SYSTEM                                                                                                                             4,759                    15,759                 +11,000  
MANNED RECONNAISSANCE SYSTEMS                                                                                                                             27,479                    65,079                 +37,600  
MODELING AND SIMULATION SUPPORT                                                                                                                            9,106                    12,106                  +3,000  
INDUSTRIAL PREPAREDNESS                                                                                                                                   59,626                    69,626                 +10,000  

                 DD 21 Next Generation Surface Combatant                 

      The Navy requested $305,274,000 for continued ship systems           
   engineering for the DD 21 surface combatant program. The Committee      
   recommends $257,274,000, a decrease of $48,000,000. The Committee       
   remains supportive of this program but has substantial reservations     
   concerning the Navy's current acquisition strategy for the DD 21. In the
   name of innovation and in a departure from all previous new ship design 
   and development programs, the Navy has elected to give the industrial   
   teams competing for the DD 21 considerable latitude in determining the  
   ship's overall design and incorporation of subsystems--the theory being 
   that the contractors are free to propose ``best value'' solutions to the
   Navy's operational requirements as long as certain key performance      
   parameters are met. While this approach is commendable in many ways, it 
   leaves open several questions which have yet to be addressed in an      
   adequate manner by the Navy. The questions are as follows:              
       Applicability of other Navy technology programs to the DD 21        
   program.-- The Office of Naval Research maintains a robust program for  
   surface ship technologies which are being developed in the name of the  
   DD 21 program. By some estimates there are 26 technology demonstration  
   projects totaling over $600,000,000 in the fiscal year 2001 budget      
   request which claim relevance to the DD 21 program. There is no         
   guarantee, however, that any of these technologies will find their way  
   onto the DD 21 platform since the development teams are free to choose  
   any technologies they want without input or insight from the Navy. If   
   this is the case, then it raises the question of whether all these      
   technology demonstrations are truly necessary.                          
       Unique Integrated Logistics Support.-- The DD 21 will be the first  
   Navy ship to have a full service contractor. A full service contractor  
   has the opportunity to provide all maintenance and support services for 
   the ship class during its life cycle. The division of these support     
   services between the ultimate contractor and Navy support systems is an 
   issue to be proposed by the competing design teams as part of their     
   concept designs. The Committee is concerned that a full service         
   contractor may make decisions on logistics support of the DD 21 that    
   will limit the Navy's options when making ship operation and management 
   decisions. In the worst case the Navy may be forced to carry two        
   different shore infrastructures for integrated logistics support: a     
   traditional track for legacy ships and a separate track for the DD 21.  
   Additionally, this approach may create unintended conflicts between the 
   Navy's legacy supply organization and industry.                         
       Interoperability.-- The DD 21 must have the ability to interact,    
   coordinate, and share information with other ships and units in a joint 
   task force. Its primary mission of land attack requires it to work with 
   U.S. Marine Corps and Army ground forces as well as with Allied forces. 
   It will also be expected to operate as part of a carrier battle group.  
   It is the Committee's understanding that the fleet can never attain     
   total system integration if there is a divergence in the hardware and   
   software that contractors are installing on the DD 21 and what the Navy 
   is installing on other ships. The DD 21 program is proposing to use     
   commercial off the shelf equipment and components to a greater degree   
   than the Navy has on prior ships. Again, the Committee is concerned that
   due to the unique nature of the DD 21 acquisition strategy, the Navy is 
   not giving any direction or suggestions to the DD 21 design teams that  
   would reduce the risk of interoperability problems with the rest of the 
   fleet or other services.                                                
      Finally, the Committee's greatest concern is that the DD 21          
   acquisition strategy is precluding the use of innovative technologies   
   from small companies in the design of the ship. It is troublesome that  
   major design decisions for critical subsystems on the DD 21 are being   
   locked in without the benefit of an open consideration of the broadest  
   array of technologies possible. The Committee believes that in the name 
   of innovation, the Navy may actually be discouraging its practice.      
      The Committee therefore directs the Navy to prepare a report which   
   addresses these issues, as well as the following questions concerning   
   the DD 21 acquisition strategy:                                         
      (1) What is the proper role of the Navy in ensuring new technology   
   from the widest range of vendors is given fair consideration in the DD  
   21 source selection process?                                            
      (2) What mechanism or process is in place to introduce new technology
   that isn't developed directly by present DD 21 design team members?     
      (3) How does the Navy differentiate between technology that impacts  
   the ship's initial design and requires an early milestone decision, and 
   technology that can be incorporated in mid or late stages of design?    
      (4) What is the optimal method for instilling competition among      
   technical approaches without incurring unacceptable cost growth?        
      The report should be submitted to the congressional defense          
   committees no later than March 15, 2001.                                
                    Shared Reconnaissance Pod (SHARP)                    

      The Committee has provided a total of $17,000,000 for risk reduction 
   and P3I initiatives for the SHARP program. The risk reduction efforts   
   are financed with an additional $5,000,000 to develop/upgrade the sensor
   to an 18 inch lens and integrate an existing dual-band sensor into the  
   TARPS pod and $3,000,000 to develop an advanced focal plane array with  
   moving target indicator (MTI) for a smaller electo-optical framing      
   camera size. The Committee has also provided $9,000,000 for the         
   acquisition and evaluation of a small synthetic aperture radar (SAR)    
   within the TARPS CD program as a potential P3I for the SHARP program.   
   The Naval Research Lab is directed to continue funding other ongoing    
   projects in electro-optical framing at no less than the funding level of
   fiscal year 2000.                                                       
      The Committee has also provided $18,000,000 in additional funds for  
   the SHARP program to maintain its current and very aggressive deployment
   schedule. DD Form 1414 shall show this as a special congressional       
   interest item.                                                          
                      Network Centric Warfare (NCW)                      

      The Committee believes that existing and emerging technologies could 
   be used to enhance the dissemination of intelligence data through the   
   networking of various Intelligence, Surveillance and Reconnaissance     
   (ISR) and national platforms. The Committee directs the Navy to pursue a
   study of technologies that would benefit the goal of Network Centric    
   Warfare.                                                                
      Additionally, the Committee has provided a total of $9,000,000 for   
   NCW and a Naval Fires Network Demonstration. The Committee believes     
   these funds should be used in conjunction to develop the Naval Fires    
   Network Demonstrator, test the tactical dissemination of intelligence   
   for Time Critical Strike Capabilities on-board the E 2C, and refine the 
   NCW concept of operations.                                              
            Navy, Marine Corps Imagery Processing Exploitation           

      The Committee understands the need for close interoperability between
   the Navy and the Marine Corps in the area of precision targeting,       
   imagery exploitation and amphibious operations. The Committee recognizes
   that the schedules of related service intelligence programs present an  
   opportunity for greater coordination in this area, and recommends that  
   the Services consolidate their efforts into one coordinated plan to     
   ensure ground exploitation and precision targeting interoperability.    
                     Unmanned Aerial Vehicles (UAVs)                     

      The Committee is concerned that the Navy's current plans for use of  
   UAVs appear disjointed. Multiple organizations are developing multiple  
   plans and requirements with what appears to be little internal          
   communication about these plans and requirements. The Navy's recent UAV 
   studies contract, in conjunction with its recently announced contract   
   for a VTOL UAV, presents a confusing picture of the Navy's intentions.  
      Furthermore, despite obvious interest and continual questioning on   
   the part of the Committee, the Navy has not responded with information  
   which outlines its objectives or plans with respect to UAVs. While      
   recent risk reduction contracts for the ``multi-role endurance unmanned 
   aerial vehicle'' are for studies of how a UAV could potentially be      
   employed, this type of activity has not been clearly articulated to the 
   Committee. It is difficult for the Committee to help the Navy meet its  
   UAV requirements when they have not been presented.                     
      Therefore, the Committee directs the Navy to submit a report by      
   December 15, 2000, which addresses all of its plans for unmanned aerial 
   vehicles. At a minimum, the report should address: (1) all identified   
   requirements; (2) requirements that remain un-met with the current UAV  
   contracts, especially any requirement for support of deep-strike        
   operations; and, (3) a description of the roles and responsibilities of 
   the various organizations within the Navy which claim jurisdiction over 
   UAV programs. The Navy should consider more centralized management of   
   the various UAV programs to ensure a coordinated approach to meeting    
   requirements.                                                           
                           Bone Marrow Registry                          

      The Committee provides $34,000,000 to be administered by the C.W.    
   Bill Young Marrow Donor Recruitment and Research Program, also known,   
   and referred to, within the Naval Medical Research Center, as the Bone  
   Marrow Registry. This DoD donor center has recruited 230,000 DoD        
   volunteers, and provides more marrow donors per week than any other     
   donor center in the Nation. The Committee is aware of the continuing    
   success of this life saving program for military contingencies and      
   civilian patients, which now includes 4,000,000 potential volunteer     
   donors, and encourages agencies involved in contingency planning to     
   include the C.W. Bill Young Marrow Donor Recruitment and Research       
   Program in the development and testing of their contingency plans. DD   
   Form 1414 shall show this as a special congressional interest item, and 
   the Committee directs that all of the funds appropriated for this       
   purpose be released to the C.W. Bill Young Marrow Donor Recruitment and 
   Research Program within 60 days of enactment of the Fiscal Year 2001    
   Defense Appropriations Act.                                             
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]


                   RESEARCH, DEVELOPMENT, TEST AND EVALUATION, AIR FORCE          


                                                                               

                                                       

     Fiscal year 2000 appropriation        $13,674,537,000  
     Fiscal year 2001 budget request        13,685,576,000  
     Committee recommendation               13,760,689,000  
     Change from budget request                +75,113,000  

      This appropriation funds the Research, Development, Test and         
   Evaluation activities of the Department of the Air Force.               
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                                              

                                                              Budget  request     Committee  recommendation    Change from  request  

DEFENSE RESEARCH SCIENCES                                             206,149                       216,149                 +10,000  
MATERIALS                                                              72,815                        83,515                 +10,700  
AEROSPACE FLIGHT DYNAMICS                                              48,775                        52,315                  +3,540  
HUMAN EFFECTIVENESS APPLIED RESEARCH                                   62,619                        63,019                    +400  
AEROSPACE PROPULSION                                                  116,262                       118,262                  +2,000  
AEROSPACE SENSORS                                                      65,644                        69,644                  +4,000  
HYPERSONIC TECHNOLOGY PROGRAM                                               0                         5,000                  +5,000  
SPACE TECHNOLOGY                                                       57,687                        61,687                  +4,000  
COMMAND CONTROL AND COMMUNICATIONS                                     78,749                        90,549                 +11,800  
ADVANCED MATERIALS FOR WEAPON SYSTEMS                                  21,678                        48,928                 +27,250  
AEROSPACE PROPULSION SUBSYSTEMS INTEGRATION                            34,440                        35,440                  +1,000  
ADVANCED AEROSPACE SENSORS                                             28,311                        44,811                 +16,500  
FLIGHT VEHICLE TECHNOLOGY                                               2,445                         7,645                  +5,200  
AEROSPACE PROPULSION AND POWER TECHNOLOGY                              41,964                        45,464                  +3,500  
CREW SYSTEMS AND PERSONNEL PROTECTION TECHNOLOGY                       12,479                        19,479                  +7,000  
FLIGHT VEHICLE TECHNOLOGY INTEGRATION                                  13,184                        18,184                  +5,000  
ELECTRONIC COMBAT TECHNOLOGY                                           25,882                        27,882                  +2,000  
SPACE AND MISSILE ROCKET PROPULSION                                    24,283                        28,283                  +4,000  
BALLISTIC MISSILE TECHNOLOGY                                                0                        23,000                 +23,000  
ADVANCED SPACECRAFT TECHNOLOGY                                         97,327                        60,087                 -37,240  
ADVANCED WEAPONS TECHNOLOGY                                            33,371                        42,371                  +9,000  
SPACE-BASED LASER                                                      63,216                        35,000                 -28,216  
INFORMATION OPERATIONS TECHNOLOGY                                         991                             0                    -991  
JOINT STRIKE FIGHTER                                                  129,538                       204,538                 +75,000  
INTEGRATED BROADCAST SERVICE (DEM/VAL)                                 24,488                        15,788                  -8,700  
AIR FORCE/NATIONAL PROGRAM COOPERATION (AFNPC)                          3,370                         1,370                  -2,000  
INTEGRATED AVIONICS PLANNING AND DEVELOPMENT                              712                             0                    -712  
B 1B                                                                  168,122                       158,122                 -10,000  
B 2 ADVANCED TECHNOLOGY BOMBER                                         48,313                       145,313                 +97,000  
EW DEVELOPMENT                                                         58,198                        56,298                  -1,900  
MILSTAR LDR/MDR SATELLITE COMMUNICATIONS (SPACE)                      236,841                       241,841                  +5,000  
ARMAMENT/ORDNANCE DEVELOPMENT                                           8,876                        25,876                 +17,000  
AGILE COMBAT SUPPORT                                                      668                             0                    -668  
JOINT DIRECT ATTACK MUNITION                                            1,157                        26,157                 +25,000  
LIFE SUPPORT SYSTEMS                                                   14,758                        26,358                 +11,600  
COMBAT TRAINING RANGES                                                 12,559                        16,559                  +4,000  
INTEGRATED COMMAND & CONTROL APPLICATIONS (IC2A)                          214                             0                    -214  
JOINT STRIKE FIGHTER EMD                                              299,540                       149,540                -150,000  
RDT&E FOR AGING AIRCRAFT                                               14,204                        29,204                 +15,000  
TARGET SYSTEMS DEVELOPMENT                                                191                             0                    -191  
MAJOR T&E INVESTMENT                                                   54,057                        68,807                 +14,750  
INITIAL OPERATIONAL TEST & EVALUATION                                  28,238                        33,238                  +5,000  
 16 SQUADRONS                                                         124,903                       133,903                  +9,000  
 15E SQUADRONS                                                         61,260                        68,860                  +7,600  
AF TENCAP                                                               9,826                        16,826                  +7,000  
COMPASS CALL                                                            5,834                        25,834                 +20,000  
JOINT AIR-TO-SURFACE STANDOFF MISSILE (JASSM)                         120,281                       113,281                  -7,000  
JOINT SURVEILLANCE AND TARGET ATTACK RADAR SYSTEM                     144,118                       151,318                  +7,200  
USAF MODELING AND SIMULATION                                           17,624                        18,624                  +1,000  
WARGAMING AND SIMULATION CENTERS                                        3,874                         8,874                  +5,000  
INFORMATION WARFARE SUPPORT                                                 1                             0                      -1  
INFORMATION SYSTEMS SECURITY PROGRAM                                    7,212                        25,703                 +18,491  
NATIONAL AIRSPACE SYSTEM (NAS) PLAN                                       200                             0                    -200  
TACTICAL TERMINAL                                                         238                             0                    -238  
DEFENSE RECONNAISSANCE SUPPORT ACTIVITIES (SPACE)                      45,149                        38,049                  -7,100  
NAVSTAR GLOBAL POSITIONING SYSTEM (SPACE AND CONTROL)                 250,197                       261,097                 +10,900  
SPACELIFT RANGE SYSTEM (SPACE)                                         53,654                        85,154                 +31,500  
DRAGON U 2 (JMIP)                                                      27,546                        31,546                  +4,000  
ENDURANCE UNMANNED AERIAL VEHICLES                                    109,215                       128,215                 +19,000  
AIRBORNE RECONNAISSANCE SYSTEMS                                       136,913                       143,913                  +7,000  
DISTRIBUTED COMMON GROUND SYSTEMS                                      21,330                        25,830                  +4,500  
NUDET DETECTION SYSTEM (SPACE)                                         17,088                        12,088                  -5,000  
SPECIAL OPERATIONS FORCES                                               1,109                         2,109                  +1,000  
DEPOT MAINTENANCE (NON IF)                                              1,515                         4,515                  +3,000  
INDUSTRIAL PREPAREDNESS                                                53,082                        57,582                  +4,500  
SUPPORT SYSTEMS DEVELOPMENT                                            32,258                        42,258                 +10,000  
COMPUTER RESOURCES SUPPORT IMPROVEMENT PROGRAM (CRSIP)                  2,356                         7,356                  +5,000  


                      RADIATION HARDENED ELECTRONICS                     

      The Committee commends the Department of Defense for the             
   establishment of the Radiation Hardened Oversight Council and for the   
   initiatives recently taken to assure the availability of radiation      
   hardened microelectronics components. These components are essential to 
   meet the Department's unique requirements and are crucial to the success
   of current and future national security systems. The investment strategy
   directed by the Undersecretary of Defense for Acquisition, Technology   
   and Logistics will assure adequate funding to meet science & technology 
   and producibility needs from fiscal year 2000 through fiscal year 2005. 
   It is imperative that this strategy is executed with the full           
   cooperation and participation of the Services and Agencies involved.    
      Not later than April 1, 2001, and annually thereafter, the Secretary 
   of Defense shall submit to the Congress a report on the implementation  
   of the Radiation Hardened Electronics Investment Strategy as directed by
   the Under Secretary of Defense for Acquisition, Technology and          
   Logistics. The report will describe the degree of participation in the  
   strategy by the Services and Agencies involved and the impact of the    
   strategy on the availability of radiation hardened electronics          
   components needed to satisfy the Department's integrated and prioritized
   requirements for national security systems.                             
            AIR TRAFFIC CONTROL, APPROACH, AND LANDING SYSTEM            

      The Air Force budgeted $18,093,000 for the air traffic control,      
   approach, and landing system. The Committee recommends $58,093,000, an  
   increase of $40,000,000 only for development of the mobile air traffic  
   control system. The Air National Guard operates tactical deployable air 
   traffic control systems developed in the 1950s, which provide 65 percent
   of the total Air Force radar approach control capability for wartime and
   contingency support. These units are no longer supportable and require  
   cannibalization and extensive maintenance to keep wartime-tasked units  
   at least marginally operational. There are no fully operational radars  
   in the Air National Guard due to age of equipment and lack of parts. The
   Congress added funds in fiscal years 1999 and 2000 to address this      
   urgent requirement, but the Air Force did nothing with these funds. The 
   Air Force proposes a new development program for both active and Guard  
   mobile air traffic control systems, which unfortunately does not result 
   in fielding equipment to Guard units on a timely basis. The additional  
   $40,000,000 recommended by the Committee consists of $10,000,000 only to
   accelerate the development of the mobile air traffic control system and 
   $30,000,000 only to procure test asset/contingency mobile air traffic   
   control systems at no less than three Air National Guard locations      
   selected by the Director of the Air National Guard. The test assets are 
   intended to be the first three systems delivered to the government under
   the development program, and should be used by Guard units to assist in 
   further development of the objective system. The Committee directs that 
   none of the funds in this Act for development of mobile air traffic     
   control systems for the Air Force and the Air National Guard may be     
   obligated until the Assistant Secretary of Defense for Reserve Affairs  
   certifies to the congressional defense committees that the development  
   program meets schedule and performance requirements of Air National     
   Guard units and that the first three systems will be fielded only to    
   Guard units as test assets under the development program. The Committee 
   further directs that all funds provided for development of the mobile   
   air traffic control system are of special interest, and shall be so     
   designated on DD Form 1414. Reprogramming request FY 99 012PA is hereby 
   denied, and $8,000,000 in fiscal year 1999 and $2,000,000 in fiscal year
   2000 other procurement funds are proposed for rescission elsewhere in   
   the bill.                                                               
  HIGH ALTITUDE ENDURANCE UNMANNED AERIAL VEHICLE (HAE UAV)--GLOBAL HAWK 

      The Committee directs the Air Force to submit by March 15, 2001, a   
   report which addresses its plan for acquiring the Global Hawk UAV. The  
   report should address: (1) the cost of the program through the Future   
   Years Defense Plan (FYDP); (2) the schedule for development and         
   acquisition; (3) the total number of air vehicles scheduled for         
   acquisition; (4) the overall cost of the program; and, (5) the potential
   of the air vehicle to exceed the $10 million cost cap previously imposed
   by the Department.                                                      
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]


                  RESEARCH, DEVELOPMENT, TEST AND EVALUATION, DEFENSE-WIDE        


                                                                               

                                                      

     Fiscal year 2000 appropriation        $9,256,705,000  
     Fiscal year 2001 budget request       10,238,242,000  
     Committee recommendation              10,918,997,000  
     Change from budget request              +680,755,000  

      This appropriation funds the Research, Development, Test and         
   Evaluation, Defense-Wide activities of the Department of Defense.       
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                                                                                                                                        

                                                                                                                                                                      Budget  request    Recommended     Change from  request  

DEFENSE RESEARCH SCIENCES                                                                                                                                                      90,415        100,415                  +10,000  
UNIVERSITY RESEARCH INITIATIVES                                                                                                                                               253,627        289,627                  +36,000  
                                                                                                                                                                                                                          +4,000  
INFORMATION ASSURANCE                                                                                                                                                                                                  +3,000  
DEF EXPERIMENTAL PROGRAM TO STIMULATE COMPETITIVE RESEARCH                                                                                                                      9,859         19,859                  +10,000  
CHEMICAL AND BIOLOGICAL DEFENSE PROGRAM                                                                                                                                        33,197         40,197                   +7,000  
SUPPORT TECHNOLOGIES--APPLIED RESEARCH                                                                                                                                         37,747         50,247                  +12,500  
MEDICAL FREE ELECTRON LASER                                                                                                                                                    15,029         25,029                  +10,000  
HISPANIC SERVING INSTITUTIONS                                                                                                                                                                  5,000                   +5,000  
COMPUTING SYSTEMS AND COMMUNICATIONS TECHNOLOGY                                                                                                                               376,592        335,592                  -41,000  
EXTENSIBLE INFORMATION SYSTEMS                                                                                                                                                 69,282         49,282                  -20,000  
BIOLOGICAL WARFARE DEFENSE                                                                                                                                                    162,064        166,564                   +4,500  
CHEMICAL AND BIOLOGICAL DEFENSE PROGRAM                                                                                                                                        73,600         75,600                   +2,000  
INTEGRATED COMMAND AND CONTROL TECHNOLOGY                                                                                                                                      31,761         38,761                   +7,000  
MATERIALS AND ELECTRONICS TECHNOLOGY                                                                                                                                          249,812        259,312                   +9,500  
NUCLEAR SUSTAINMENT & COUNTERPROLIFERATION TECHNOLOGIES                                                                                                                       230,928        225,428                   -5,500  
EXPLOSIVES DEMILITARIZATION TECHNOLOGY                                                                                                                                          8,964         23,164                  +14,200  
COMBATING TERRORISM TECHNOLOGY SUPPORT                                                                                                                                         41,307         48,307                   +7,000  
SUPPORT TECHNOLOGIES--ADVANCED TECHNOLOGY DEVELOPMENT                                                                                                                          93,249        123,249                  +30,000  
SPACE BASED LASERS (SBL)                                                                                                                                                       74,537         58,000                  -16,537  
CHEMICAL AND BIOLOGICAL DEFENSE PROGRAM--ADVANCED DEV                                                                                                                          46,594         49,344                   +2,750  
SPECIAL TECHNICAL SUPPORT                                                                                                                                                      10,777         14,777                   +4,000  
ARMS CONTROL TECHNOLOGY                                                                                                                                                        52,930         69,930                  +17,000  
GENERIC LOGISTICS R&D TECHNOLOGY DEMONSTRATIONS                                                                                                                                23,082         47,382                  +24,300  
STRATEGIC ENVIRONMENTAL RESEARCH PROGRAM                                                                                                                                       51,357         57,357                   +6,000  
COOPERATIVE DOD/VA MEDICAL RESEARCH                                                                                                                                                 0          1,000                   +1,000  
ADVANCED ELECTRONICS TECHNOLOGIES                                                                                                                                             191,800        211,800                  +20,000  
ADVANCED CONCEPT TECHNOLOGY DEMONSTRATIONS                                                                                                                                    116,425        116,425                           
SENSOR AND GUIDANCE TECHNOLOGY                                                                                                                                                182,225        149,125                  -33,100  
PHYSICAL SECURITY EQUIPMENT                                                                                                                                                    35,108         26,107                   -9,001  
ADVANCED SENSOR APPLICATIONS PROGRAM                                                                                                                                           15,534         24,534                   +9,000  
NAVY THEATER WIDE MISSILE DEFENSE SYSTEM                                                                                                                                      382,671        512,671                 +130,000  
MEADS CONCEPTS--DEM/VAL                                                                                                                                                        63,175         53,475                   -9,700  
BMD TECHNICAL OPERATIONS                                                                                                                                                      270,718        292,718                  +22,000  
JOINT SERVICE EDUCATION AND TRAINING SYSTEMS DEVELOPMENT [Note: At the OSD Joint ADL co-laboratory.]                                                                                0          3,500                   +3,500  
JOINT ROBOTICS PROGRAM--EMD                                                                                                                                                    11,553         16,553                   +5,000  
INFORMATION TECHNOLOGY DEVELOPMENT                                                                                                                                             12,000         13,500                   +1,500  
GENERAL SUPPORT TO C3I                                                                                                                                                          3,769         34,469                  +30,700  
INFORMATION SYSTEMS SECURITY PROGRAM                                                                                                                                          290,771        322,771                  +32,000  
DEFENSE IMAGERY AND MAPPING PROGRAM                                                                                                                                            74,975        103,975                  +29,000  
INDUSTRIAL PREPAREDNESS                                                                                                                                                         7,090          9,090                   +2,000  
SPECIAL OPERATIONS TECHNOLOGY DEVELOPMENT                                                                                                                                       7,360         10,360                   +3,000  
SPECIAL OPERATIONS TACTICAL SYSTEMS DEVELOPMENT                                                                                                                               133,520        156,620                  +23,100  
SPECIAL OPERATIONS INTELLIGENCE SYSTEMS DEVELOPMENT                                                                                                                             3,022          9,022                   +6,000  
SOF OPERATIONAL ENHANCEMENTS                                                                                                                                                   87,071         95,071                   +8,000  
CCDOTT [Note: $15,000,000 is only for the Center for Commercial Deployment of Transportation Technologies from within funds available for RDT&E, Defense-Wide.]                                                      [15,000]  

                         ARMS CONTROL TECHNOLOGY                         

      The proliferation of nuclear weapons continues to be one of the most 
   serious threats facing the U.S. today. A cornerstone of a strong nuclear
   proliferation deterrent is an effective U.S. operational monitoring     
   capability. Developing such a capability requires a sustained and robust
   seismic research program. The Committee directs that $12,000,000 shall  
   be available only for peer-reviewed basic and applied seismic research  
   specifically to address validated Air Force operational nuclear test    
   monitoring requirements. Of this amount, $4,000,000 shall be available  
   only for peer-reviewed applied seismic research and $8,000,000 shall be 
   available only for peer-reviewed basic seismic research.                
      The Committee also directs the Department to vigorously pursue       
   transition of the research results into operations. The Committee       
   further directs the Department to segregate the basic and applied       
   research funds for this program into clearly identifiable projects      
   within the 6.1 and 6.2 budget categories; and to improve integration of 
   the basic and applied components of the program. Further, the Committee 
   directs the Department to provide by December 1, 2000, a detailed report
   to the Committee on the plan for obligating these funds.                
                    HIGH PERFORMANCE COMPUTING PROGRAM                   

      The Committee remains very concerned about the health of the DoD's   
   High-Performance Computing Modernization Program (HPCMP). This program  
   is essential to DoD efforts to develop technologically superior weapons,
   warfighting capabilities, and related systems. However, the program has 
   fallen behind in its primary mission to procure high performance        
   computing hardware for DoD production activities. Due to procurement    
   shortfalls, DoD lags behind industry, the Department of Energy, and the 
   National Science Foundation in supercomputing technology--eroding DoD's 
   ability to address its most technologically challenging projects. As a  
   step toward correcting this problem, the Committee has added $48,000,000
   only for the procurement of high performance computing hardware, and    
   strongly urges DoD to address the procurement shortfalls in the fiscal  
   year 2002 budget.                                                       
                         NATIONAL IMAGERY AND MAPPING AGENCY (NIMA)               

                     Still-Image Compression Standard                    

      The Committee directs NIMA to take the lead in developing an         
   integrated plan for transitioning imagery infrastructures to fully      
   exploit the opportunities provided by the soon to be ratified           
   Still-Image Compression Standard JPEG 2000.                             
                          Competitive Practices                          

      The Committee anticipates that NIMA will pursue all avenues of fair  
   and open competition for the acquisition of technology, goods and       
   services.                                                               

                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

                         DEVELOPMENTAL TEST AND EVALUATION, DEFENSE               


                                                                               

                                                     

     Fiscal year 2000 appropriation         $265,957,000  
     Fiscal year 2001 budget request                      
     Committee recommendation                             
     Change from budget request                           

      This appropriation funds the Developmental Test and Evaluation       
   activities of the Department of Defense.                                
                                 COMMITTEE RECOMMENDATIONS                        

   The Committee recommends no funds, as proposed in the budget.           

                          OPERATIONAL TEST AND EVALUATION, DEFENSE                


                                                                               

                                                    

     Fiscal year 2000 appropriation         $31,434,000  
     Fiscal year 2001 budget request        201,560,000  
     Committee recommendation               242,560,000  
     Change from budget request             +41,000,000  

      This appropriation funds the Operational Test and Evaluation         
   activities of the Department of Defense.                                
                                 COMMITTEE RECOMMENDATIONS                        

                   EXPLANATION OF PROJECT LEVEL CHANGES                  

          [In thousands of dollars]                                               


                                                                                                                 

                                                              Budget  request     Recommended     Change from  request  

CENTRAL TEST AND EVALUATION INVESTMENT DEVELOPMENT (CT)               121,401         147,401                  +26,000  
OPERATIONAL TEST AND EVALUATION                                        17,172          22,172                   +5,000  
LIVE FIRE TESTING                                                       9,712          19,712                  +10,000  


                 OPERATIONAL TEST AND EVALUATION, DEFENSE                

      The Department requested $201,560,000 for Operational Test and       
   Evaluation, Defense. The Committee recommends $242,560,000, an increase 
   of $41,000,000.                                                         
                                    PROGRAM RECOMMENDED                           

      The total recommended in the bill will provide the following program 
   in fiscal year 2001.                                                    

                                                  [In thousands of dollars]                                                  

                                                                 Budget  request    Committee  recommended    Change from  request  

   Operational Test & Eval, Defense--RDT&E Management Support:              121,401                   147,401                 +26,000  
                                                               -----------------  ------------------------  ----------------------  
Total, Operational Test & Eval, Defense                                  201,560                   242,560                 +41,000  


                                           TITLE V                                

                               REVOLVING AND MANAGEMENT FUNDS                     

                                DEFENSE WORKING CAPITAL FUNDS                     


                                                                               

                                                    

     Fiscal year 2000 appropriation         $90,344,000  
     Fiscal year 2001 budget request        916,276,000  
     Committee recommendation               916,276,000  
     Change from budget request                          

      The Committee recommends an appropriation of $916,276,000 for the    
   Defense Working Capital Funds, the amount proposed in the budget. The   
   recommendation is an increase of $825,932,000 above the amount          
   appropriated for fiscal year 2000. The Committee notes that the increase
   proposed in the budget realigns funding needed to support the Defense   
   Commissary system.                                                      
                                NATIONAL DEFENSE SEALIFT FUND                     


                                                                               

                                                     

     Fiscal year 2000 appropriation         $717,200,000  
     Fiscal year 2001 budget request         388,158,000  
     Committee recommendation                400,658,000  
     Change from budget request              +12,500,000  

      This appropriation provides funds for the lease, operation, and      
   supply of prepositioning ships; operation of the Ready Reserve Force;   
   and acquisition of ships for the Military Sealift Command, the Ready    
   Reserve Force, and the Marine Corps.                                    
                           Ready Reserve Force                           

      The Defense Department requested $258,000,000 for the Ready Reserve  
   Force. The Committee recommends $270,500,000, an increase of            
   $12,500,000. The additional funding provided by the Committee is only   
   for the Department of Defense to upgrade a ship for the Ready Reserve   
   Force that can also be used as a training ship for the Massachusetts    
   Maritime Academy cadets.                                                

                                          TITLE VI                                

                            OTHER DEPARTMENT OF DEFENSE PROGRAMS                  

                                   DEFENSE HEALTH PROGRAM                         


                                                                               

                                                        

     Fiscal year 2000 appropriation         $11,154,617,000  
     Fiscal year 2001 budget request         11,600,429,000  
     Committee recommendation                12,143,029,000  
     Change from budget request                +542,600,000  

      This appropriation funds the Defense Health Program of the Department
   of Defense.                                                             
                          SPECIAL INTEREST ITEMS                         

      Items for which additional funds have been provided as shown in the  
   project level tables or in paragraphs using the phrases ``only for'' or 
   ``only to'' in this report are congressional interest items for the     
   purpose of the Base for Reprogramming (DD Form 1414). Each of these     
   items must be carried on the DD Form 1414 at the stated amount, or a    
   revised amount if changed during conference or if otherwise specifically
   addressed in the conference report. These items remain special interest 
   items whether or not they are repeated in a subsequent conference       
   report.                                                                 
                                 COMMITTEE RECOMMENDATIONS                        


                       EXPLANATION OF PROJECT LEVEL CHANGES                       
                             [In thousands of dollars]                            

                                Budget request     Recommended      Change from request  

Operation and Maintenance           11,244,543      11,525,143                 +280,600  
                              ----------------  --------------  -----------------------  
                              ================  ==============  =======================  
Research and Development                65,880         327,880                 +262,000  
                              ----------------  --------------  -----------------------  
                              ================  ==============  =======================  
Procurement                            290,006         290,006                        0  
                              ================  ==============  =======================  
OPERATION AND MAINTENANCE           11,244,543      11,525,143                 +280,600  
RESEARCH AND DEVELOPMENT                65,880         327,880                 +262,000  
PROCUREMENT                            290,006         290,006                        0  
                              ----------------  --------------  -----------------------  
Total                               11,600,429      12,143,029                 +542,600  


                           TRICARE IMPROVEMENTS                          

      The Committee recommends increases over the budget request totaling  
   $280,600,000 to support several initiatives to improve the TRICARE      
   health care program. Consistent with action taken in the House-passed   
   National Defense Authorization Act for fiscal year 2001 (H.R. 4205),    
   these include additional funds to optimize the use of Military Treatment
   Facilities (MTF) and improve TRICARE business practices ($134,000,000); 
   funding for the TRICARE Senior Pharmacy program ($94,000,000); a        
   reduction in the catastrophic cap for retired TRICARE beneficiaries     
   ($32,000,000); reimbursement of certain travel payments for patients who
   have a referral more than 100 miles away from their primary health care 
   facility ($15,000,000); improved claims processing ($3,600,000); and an 
   in-depth study on health care options for Medicare-eligible military    
   retirees ($2,000,000).                                                  
      These initiatives should improve the TRICARE benefit for all military
   families by improving access and quality of care. In particular, the    
   funding to optimize MTF usage and business practices should lead to     
   improved access for both active duty and retired military families.     
   Within the $134,000,000 recommended for this initiative, the Committee  
   directs that $85,500,000 be used to provide additional support staff to 
   primary care providers in the military direct care system, in accordance
   with the House-passed authorization legislation.                        
      In addition to these initiatives, by funding the authorized TRICARE  
   Senior Pharmacy program, the Committee bill would provide all           
   Medicare-eligible military retirees with access to prescription drugs   
   through various access points, including the national mail order        
   pharmacy; network and out-of-network pharmacies; and military           
   pharmacies. As a consequence, this should alleviate the disparity in    
   benefit between those military retirees over the age of 65 who have     
   access to pharmaceuticals because they have access to a military        
   treatment facility (or one that was recently closed), and those who do  
   not.                                                                    
                 TRANSFER OF DEFENSE HEALTH PROGRAM FUNDS                

      The Committee directs that any funding made available for the Defense
   Health Program, as well as any other Department of Defense activity,    
   shall not be transferred to another agency pursuant to Section 109 of   
   Public Law 103 317 unless a prior approval reprogramming for any such   
   transfer has been submitted to and approved by the congressional defense
   committees.                                                             
                         ANTHRAX VACCINE PROGRAM                         

      The Committee concurs with the findings of the Institute of Medicine 
   interim report on the anthrax vaccine and directs the Secretary of      
   Defense to: immediately submit all relevant research on the safety and  
   efficacy of the anthrax vaccine to peer-reviewed scientific journals for
   publication; make this research available to the general public through 
   the AVIP website; and establish a statistically significant active      
   long-term monitoring program to document the relative safety of the     
   vaccine. The Committee is also concerned by continuing financial        
   difficulties and irregularities identified by the Inspector General and 
   the Defense Contract Audit Agency and directs the Department to         
   expeditiously implement adequate accounting measures.                   
      The Committee is concerned by reports that the Department may seek   
   additional extraordinary contractual relief, beyond the $24.1 million   
   granted in 1999. The risk exposure of the Government as the principal   
   creditor is already at a maximum level and the contractor already       
   pledged all of its property, plant and equipment as collateral when     
   contractual relief was granted. Therefore the Secretary is directed to  
   notify the Committees on Appropriations and the Committees on Armed     
   Services 30 days prior to seeking further extraordinary contractual     
   relief under P.L. 85 804.                                               
      The Committee supports the ongoing work by the US Army Medical       
   Research Institute of Infectious Diseases to develop a second generation
   anthrax vaccine that promises to be significantly more effective and    
   induce fewer adverse reactions. Accordingly, within available funds, the
   Committee directs that $1 million be made available only to accelerate  
   the development of this vaccine. The Department is directed to report to
   the Committee on Appropriations, by December 30, 2000, on its plans to  
   significantly accelerate the availability of this new vaccine as well as
   any additional unfunded requirement associated with this goal.          
                    CHIROPRACTIC DEMONSTRATION PROGRAM                   

      The Committee endorses the recently concluded Department study that  
   demonstrated that chiropractic care resulted in higher levels of patient
   satisfaction, superior outcomes, fewer hospital stays, and an increase  
   in readiness due to a large reduction in lost duty days. The Committee  
   accepts the cost analysis of the Oversight Advisory Committee, and      
   concludes that the integration of chiropractic care on a direct access  
   and full scope of services basis will increase readiness and retention  
   and produce a net dollar savings for the Department.                    

                       CHEMICAL AGENTS AND MUNITIONS DESTRUCTION, ARMY            


                                                                               

                                                       

     Fiscal year 2000 appropriation         $1,029,000,000  
     Fiscal year 2001 budget request         1,003,500,000  
     Committee recommendation                  927,100,000  
     Change from budget request                -76,400,000  

                                 COMMITTEE RECOMMENDATIONS                        

      The Army requested $1,003,500,000 for Chemical Agents and Munitions  
   Destruction, Army. The Committee recommends $927,100,000, a decrease of 
   $76,400,000. The Committee directs that none of the reduction may be    
   applied against the Assembled Chemical Weapons Assessment program.      
                                    PROGRAM RECOMMENDED                           

      The total program recommended in the bill will provide the following 
   in fiscal year 2001:                                                    

                                                                                                               
                                           [In Thousands of dollars]                                           

                                                      Budget request    Committee recommended    Change from request  

xlChem Agents & Munitions Destruction, Army:                 607,200                  607,200                      0  
                                                    ----------------  -----------------------  ---------------------  
Total, Chem Agents & Munitions Destruction, Army           1,003,500                  927,100                -76,400  

                   DRUG INTERDICTION AND COUNTER-DRUG ACTIVITIES, DEFENSE         


                                                                               

                                                    

     Fiscal year 2000 appropriation        $847,800,000  
     Fiscal year 2001 request               836,300,000  
     Committee recommendation               812,200,000  
     Change from the budget request         -24,100,000  

      This appropriation provides funds for Military Personnel; Operation  
   and Maintenance; Procurement; and Research, Development, Test and       
   Evaluation for drug interdiction and counter-drug activities of the     
   Department of Defense.                                                  
                                 COMMITTEE RECOMMENDATIONS                        

      The Department of Defense requested $836,300,000 for Drug            
   Interdiction and Counter-Drug Activities. The Committee recommends      
   $812,200,000, a reduction of $24,100,000.                               
            EXPLANATION OF PROJECT LEVEL CHANGES                                    


          [In thousands of dollars]                                               



          Caper Focus                    +6,000



          Puerto Rico ROTHR security                +1,200



          Southwest Border Fence                +6,000



          Southwest Border States Information System                +6,000



          Multi-Jurisdictional Counter-drug Task Force                +4,000



          Lake County HIDTA              +1,000



          Appalachian HIDTA              +3,600



          National Interagency Civil-Military Institute                +2,000



          Tethered Aerostat              +10,000



          National Counter-narcotics Training Center (Hammer)                +4,000



          Young Marines                  +1,500



          Air National Guard Fighter Operations                -5,000



          Special Operations Forces Patrol Coastal                -3,000



          GBEGO-Mexico                   -3,000



          Carribean support              -3,000



          T-AGOS Support                 -14,000



          DoD Support to Plan Colombia                -41,400


                       DOD SUPPORT TO PLAN COLOMBIA                      

      The budget request included $41,400,000 for Department of Defense    
   Support to Plan Colombia. The Committee supports the Department's       
   participation in Plan Colombia and recommended funding the fiscal year  
   2001 request in the Fiscal Year 2000 Emergency Supplemental             
   Appropriations bill (H.R. 3908) which passed the House on March 30,     
   2000.                                                                   
                      Tethered Aerostat Radar System                     

      The budget request included $32,089,000 to operate and modernize the 
   Tethered Aerostat Radar System (TARS). The Committee recommends         
   $42,089,000, an increase of $10,000,000. The Committee has also         
   recommended additional funding for TARS operations under Air Force      
   Operation and maintenance as discussed elsewhere in this report.        
      The US Customs Service, the North American Aerospace Defense Command,
   and the US Southern Command share the joint requirement for critical    
   low-altitude radar surveillance of the Caribbean, the Gulf coast and    
   Southwestern approaches into US High Intensity Drug Trafficking Areas.  
   The Committee is aware that the US Customs Service and the US Air Force 
   have differing views on the TARS operation and modernization program    
   which is the responsibility of the Air Force.                           
      The Committee, therefore, directs that DD Form 1414 designate the    
   total amount of funds in all Department of Defense appropriations for   
   the operation and upgrade of the Tethered Aerostat Radar System as an   
   item of special Congressional interest and restricts obligation of funds
   to no more that 50 percent of the amount provided in this act until the 
   following report and joint certification have been submitted.           
      The Committee directs the Secretary of Defense and the Secretary of  
   the Treasury to submit a report to the congressional defense committees 
   on the status of the Tethered Aerostat Radar System, and to jointly     
   certify that (1) the President's Budget for fiscal year 2002 and the    
   accompanying five year budget plan fully meet the operational and       
   modernization requirements of the US Customs Service, the US Southern   
   Command, and the North American Defense Command for counter-drug and    
   continental air defense missions and (2) the management responsibility  
   and corresponding funding have been allocated to the Department of      
   Defense and to the Department of the Treasury in a manner which best    
   facilitates the mission-effectiveness of the system.                    
                               OFFICE OF THE INSPECTOR GENERAL                    


                                                                               

                                                     

     Fiscal year 2000 appropriation         $137,544,000  
     Fiscal year 2001 budget request         147,545,000  
     Committee recommendation                147,545,000  
     Change from budget request                           

      The Committee recommends an appropriation of $147,545,000 for the    
   Office of the Inspector General, the amount proposed in the budget. The 
   recommendation is an increase of $10,001,000 above the amount           
   appropriated for fiscal year 2000.                                      

                                          TITLE VII                               

                                      RELATED AGENCIES                            

                           NATIONAL FOREIGN INTELLIGENCE PROGRAM                  

                                        INTRODUCTION                              

      The National Foreign Intelligence Program consists of those          
   intelligence activities of the government which provide the President,  
   other officers of the Executive Branch, and the Congress with national  
   foreign intelligence on broad strategic concerns bearing on U.S.        
   national security. These concerns are stated by the National Security   
   Council in the form of long-range and short-range requirements for the  
   principal users of intelligence.                                        
      The National Foreign Intelligence Program budget funded in the       
   Department of Defense Appropriations Act consists primarily of resources
   for the Central Intelligence Agency, Defense Intelligence Agency,       
   National Reconnaissance Office, National Security Agency, National      
   Imagery and Mapping Agency, intelligence services of the Departments of 
   the Army, Navy and Air Force, Intelligence Community Management Staff,  
   and the CIA Retirement and Disability System Fund.                      
                             Classified Annex                            

      Because of the highly sensitive nature of intelligence programs, the 
   results of the Committee's budget review are published in a separate,   
   detailed and comprehensive classified annex. The intelligence community,
   Department of Defense and other organizations are expected to fully     
   comply with the recommendations and directions in the classified annex  
   accompanying the fiscal year 2001 Defense Appropriations bill.          
              CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM FUND   


                                                                               

                                                      

     Fiscal year 2000 appropriation          $209,100,000  
     Fiscal year 2001 budget request          216,000,000  
     Committee recommendation                 216,000,000  
     Change from budget request            ..............  

      This appropriation provides payments of benefits to qualified        
   beneficiaries in accordance with the Central Intelligence Agency        
   Retirement Act of 1964 for Certain Employees (P.L. 88 643). This statute
   authorized the establishment of a CIA Retirement and Disability System  
   (CIARDS) for a limited number of CIA employees and authorized the       
   establishment and maintenance of a fund from which benefits would be    
   paid to those beneficiaries.                                            
                                 COMMITTEE RECOMMENDATIONS                        

      The Committee recommends $216,000,000 for the Central Intelligence   
   Agency Retirement and Disability Systems Fund (CIARDS). The             
   recommendation is the same as the budget request and $6,900,000 above   
   the amount appropriated in fiscal year 2000.                            
                          INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT               


                                                                               

                                                     

     Fiscal year 2000 appropriation         $158,015,000  
     Fiscal year 2001 budget request         137,631,000  
     Committee recommendation                224,181,000  
     Change from budget request              +86,550,000  

      This appropriation provides funds for the activities that support the
   Director of Central Intelligence (DCI) and the Intelligence Community.  
                                 COMMITTEE RECOMMENDATIONS                        

      The budget included a request of $137,631,000 for the Intelligence   
   Community Management Account. The Committee recommends $224,181,000, an 
   increase of $86,550,000 above the request and $66,166,000 above the     
   amount appropriated in fiscal year 2000. Of the amount appropriated     
   under this heading, $33,100,000 is for transfer to the Department of    
   Justice for operations at the National Drug Intelligence Center. Details
   of adjustments to this account are included in the classfied annex      
   accompanying this report.                                               
           PAYMENT TO KAHO'OLAWE ISLAND CONVEYANCE, REMEDIATION, AND ENVIRONMENTAL
                                RESTORATION FUND                                  

                                                                               

                                                    

     Fiscal year 2000 appropriation         $35,000,000  
     Fiscal year 2001 budget request         25,000,000  
     Committee recommendation                25,000,000  
     Change from budget request                          

      The Committee recommends an appropriation of $25,000,000 for the     
   Payment to Kaho'olawe Island Conveyance, Remediation, and Environmental 
   Restoration Fund, the amount proposed in the budget. The recommendation 
   is a decrease of $10,000,000 below the amount appropriated for fiscal   
   year 2000.                                                              
                           NATIONAL SECURITY EDUCATION TRUST FUND                 


                                                                               

                                                   

     Fiscal year 2000 appropriation         $8,000,000  
     Fiscal year 2001 budget request         6,950,000  
     Committee recommendation                6,950,000  
     Change from budget request                         

      The National Security Education Trust Fund was established to provide
   scholarships and fellowships to U.S. students to pursue higher education
   studies abroad and grants to U.S. institutions for programs of study in 
   foreign areas and languages.                                            
                                 COMMITTEE RECOMMENDATIONS                        

      The Committee recommends $6,950,000 for the National Security        
   Education Trust Fund. The recommendation is the same as the budget      
   request and $1,050,000 less than the amount appropriated in fiscal year 
   2000.                                                                   

                                         TITLE VIII                               

                                     GENERAL PROVISIONS                           

      The accompanying bill includes 118 general provisions. Most of these 
   provisions were included in the Department of Defense Appropriations Act
   for fiscal year 2000 and many have been included in the Defense         
   Appropriations Act for a number of years.                               
      Actions taken by the Committee to amend last year's provisions or new
   provisions recommended by the Committee are discussed below or in the   
   applicable section of the report.                                       
                        DEFINITION OF PROGRAM, PROJECT AND ACTIVITY               

      For purposes of the Balanced Budget and Emergency Deficit Control Act
   of 1985 (Public Law 99 177) as amended by the Balanced Budget and       
   Emergency Deficit Control Reaffirmation Act of 1987 (Public Law 100 119)
   and by the Budget Enforcement Act of 1990 (Public Law 101 508), the     
   following information provides the definitions of the term ``program,   
   project, and activity'' for appropriations contained in the Department  
   of Defense Appropriations Act. The term ``program, project, and         
   activity'' shall include the most specific level of budget items,       
   identified in the Department of Defense Appropriations Act, 2001, the   
   accompanying House and Senate Committee reports, the conference report  
   and the accompanying joint explanatory statement of the managers of the 
   Committee on Conference, the related classified reports, and the P 1 and
   R 1 budget justification documents as subsequently modified by          
   Congressional action.                                                   
      In carrying out any Presidential sequestration, the Department of    
   Defense and agencies shall conform to the definition for ``program,     
   project, and activity'' set forth above with the following exception:   
      For Military Personnel and Operation and Maintenance accounts the    
   term ``program, project, and activity'' is defined as the appropriations
   accounts contained in the Department of Defense Appropriations Act.     
      The Department and agencies should carry forth the Presidential      
   sequestration order in a manner that would not adversely affect or alter
   Congressional policies and priorities established for the Department of 
   Defense and the related agencies and no program, project, and activity  
   should be eliminated or be reduced to a level of funding which would    
   adversely affect the Department's ability to effectively continue any   
   program, project, and activity.                                         
                      HOUSE OF REPRESENTATIVES REPORTING REQUIREMENTS             

      The following items are included in accordance with various          
   requirements of the Rules of the House of Representatives:              
                         CHANGES IN THE APPLICATION OF EXISTING LAW               

      Pursuant to clause 3(f)(1) of rule XIII of the Rules of the House of 
   Representatives, the following statements are submitted describing the  
   effect of provisions in the accompanying bill which directly or         
   indirectly change the application of existing law.                      
      Language is included in various parts of the bill to continue        
   on-going activities which require annual authorization or additional    
   legislation, which to date has not been enacted.                        
      The bill includes a number of provisions which place limitations on  
   the use of funds in the bill or change existing limitations and which   
   might, under some circumstances, be construed as changing the           
   application of existing law.                                            
      The bill includes a number of provisions, which have been virtually  
   unchanged for many years, that are technically considered legislation.  
      The bill provides that appropriations shall remain available for more
   than one year for some programs for which the basic authorizing         
   legislation does not presently authorize each extended availability.    
      In various places in the bill, the Committee has earmarked funds     
   within appropriation accounts in order to fund specific programs and has
   adjusted some existing earmarking.                                      
      Those additional changes in the fiscal year 2001 bill, which might be
   interpreted as changing existing law, are as follows:                   
                         Appropriations Language                         

      Language has been amended in ``Operation and Maintenance, Army''     
   which changes the amount provided for emergency and extraordinary       
   expenses, and the amount provided for transfer to the National Park     
   Service for infrastructure repair improvements at Fort Baker. Language  
   has been deleted concerning recovery of costs associated with           
   environmental restoration at government-owned, contractor-operated      
   facilities; for demolition and removal of Military Traffic Management   
   Command facilities; and concerning the transfer of funds to the         
   Presidential Commission on Holocaust Assets.                            
      Language has been amended in ``Operation and Maintenance, Navy''     
   which changes the amount provided for emergency and extraordinary       
   expenses.                                                               
      Language has been amended in ``Operation and Maintenance, Air Force''
   which changes the amount provided for emergency and extraordinary       
   expenses; and which changes the amount earmarked for the William Lehman 
   Aviation Center.                                                        
      Language has been amended in ``Operation and Maintenance,            
   Defense-Wide'' which changes the amount available for emergency and     
   extraordinary expenses; changes the amount earmarked for security locks,
   and changes the amount that the Secretary of Defense may transfer to    
   other accounts in this bill for purposes of classified activities.      
   Language has also been deleted concerning funds for intelligence        
   activities.                                                             
      Language has been amended in ``Overseas Contingency Operations       
   Transfer Fund'' which allows for additional transfer authority to the   
   military personnel, procurement, and research, development, test and    
   evaluation accounts.                                                    
      Language has been deleted in ``Former Soviet Union Threat Reduction''
   which earmarked $25,000,000 for dismantling and disposal of nuclear     
   submarines.                                                             
      Language has been included in ``Aircraft Procurement, Army'' which   
   earmarks funds for Army Reserve UH 60 aircraft.                         
      Language has been amended in ``Other Procurement, Army'' which       
   changes the number of passenger motor vehicles for replacement, and the 
   number of vehicles required for physical security of personnel.         
      Language has been deleted in ``Shipbuilding and Conversion, Navy''   
   concerning specific program-level appropriations; and incremental       
   funding authority for the LHD 1 Amphibious Assault Ship.                
      Language has been amended in ``Other Procurement, Navy'' which       
   changes the number of passenger motor vehicles for replacement; adds    
   language for the procurement of a passenger vehicle required for        
   physical security of personnel, and limits the purchase cost of the     
   vehicle.                                                                
      Language has been amended in ``Procurement, Marine Corps'' which     
   changes the number of passenger motor vehicles for replacement.         
      Language has been amended in ``Other Procurement, Air Force'' which  
   changes the number of passenger motor vehicles for replacement; adds    
   language for the procurement of a passenger vehicle required for the    
   physical security of personnel, and limits the purchase cost of the     
   vehicle.                                                                
      Language has been amended in ``Procurement, Defense-Wide'' which     
   changes the number of passenger motor vehicles for replacement and the  
   number of passenger vehicles required for physical security of          
   personnel; and deletes language providing funds for electronic commerce 
   resource centers.                                                       
      The appropriations paragraph for the ``National Guard and Reserve    
   Equipment'' account has been deleted which provided funds for Guard and 
   Reserve equipment.                                                      
      Language has been deleted in ``Research, Development, Test and       
   Evaluation, Navy'' concerning Intercooled Recuperated Gas Turbine engine
   technology.                                                             
      Language has been amended in ``Research, Development, Test and       
   Evaluation, Air Force'' prohibiting the development of an ejection seat 
   for the Joint Strike Fighter other than that which is under development 
   in the Joint Ejection Seat Program.                                     
      Language has been deleted in ``Research, Development, Test and       
   Evaluation, Defense-Wide'' which earmarks funds for ballistic missile   
   defense programs.                                                       
      The appropriations paragraph for ``Developmental Test and Evaluation,
   Defense'' has been deleted which provided funds for the Director, Test  
   and Evaluation.                                                         
      Language has been included in ``Operational Test and Evaluation,     
   Defense'' which makes funds available for the Director of Operational   
   Test and Evaluation to develop policy guidance and conduct other        
   oversight functions.                                                    
      Language has been amended in ``Defense Working Capital Funds'' which 
   changes the number of passenger motor vehicles for replacement.         
      Language has been included in ``Defense Health Program'' which       
   earmarks $10,000,000 for HIV educational activities undertaken in       
   connection with U.S. military training conducted in African nations.    
      Language has been deleted in ``Drug Interdiction and Counter-Drug    
   Activities, Defense'' which earmarks funds for transfer to ``Military   
   Construction, Air Force'' in support of the U.S. Southern Command.      
      Language has been amended in ``Intelligence Community Management     
   Account'' which transfers $33,100,000 to the Department of Justice.     
                            General Provisions                           

      Section 8005 has been amended which increases the level of general   
   transfer authority for the Department of Defense.                       
      Section 8008 has been amended to delete language providing multi-year
   procurement authority for Longbow Apache, the Javelin missile, F/A 18   
   E/F, C 17 and F 16; and adds multi-year authority for Bradley fighting  
   vehicles, DDG 51 destroyers, UH 60 and CH 60 aircraft.                  
      Section 8017 has been amended with regard to applicability to persons
   with disabilities.                                                      
      Section 8031 has been amended to change the number of staff years    
   that may be funded for defense studies and analysis by Federally Funded 
   Research and Development Centers.                                       
      Section 8053 has been amended to delete language earmarking funds for
   a building demolition project.                                          
      Section 8054 has been amended to include language which rescinds     
   funds from the following programs:                                      


                                                                        

(Rescissions)                                                           

    Revised Economic Estimates:                                             

    2000 Appropriations:                                                    



          Aircraft Procurement, Army: Inflation Savings                $7,000,000



          Missile Procurement, Army: Inflation Savings                6,000,000



          Procurement of Weapons and Tracked Combat Vehicles, Army: Inflation Savings                7,000,000



          Procurement of Ammunition, Army: Inflation Savings                5,000,000



          Other Procurement, Army: Inflation Savings                16,000,000



          Aircraft Procurement, Air Force: Inflation Savings                32,700,000



          Missile Procurement, Air Force: Inflation Savings                5,500,000



          Other Procurement, Air Force: Inflation Savings                6,400,000



          Research, Development, Test and Evaluation, Army: Inflation Savings                19,000,000



          Research, Development, Test and Evaluation, Air Force: Inflation Savings                42,000,000



          Research, Development, Test and Evaluation, Defense-Wide: Inflation Savings                33,900,000

    Program-specific Reductions:                                            

    1998 Appropriations:                                                    



          Under the heading, Shipbuilding and Conversion, Navy: SSN 21 attack            submarine program                74,000,000

    1999 Appropriations:                                                    



          Other Procurement, Army: R2000 Engine Flush System                3,000,000



          Weapons Procurement, Navy: Tomahawk                22,000,000



          Aircraft Procurement, Air Force: JSTARS (Contract savings)                12,300,000



          Missile Procurement, Air Force: CALCM (Contract Savings)                20,000,000



          Other Procurement, Air Force: RAPCON (Restructuring program)                8,000,000

    2000 Appropriations:                                                    



          Missile Procurement, Army: Javelin (Schedule slip)                150,000,000



          Procurement of Weapons and Tracked Combat Vehicles, Army: Command and          Control Vehicle (Termination)                60,000,000



          Other Procurement, Army: SMART T (Schedule slip)                29,000,000



          Aircraft Procurement, Navy: F/A 18 E/F cost savings                6,500,000



          Missile Procurement, Air Force: AMRAAM (Budget error)                6,192,000

    Other Procurement, Air Force:                                           

     SMART T (Schedule slip)                                                 

 12,000,000                                                              

     RAPCON (Restructuring program)                                          

 2,000,000                                                               

     DCGS Communications Segment Upgrade                                     

 6,000,000                                                               

    Research, Development, Test and Evaluation, Army:                       

     WRAP (Unobligated balance)                                              

 10,000,000                                                              

     Breacher (Program terminated)                                           

 42,000,000                                                              



          Research, Development, Test and Evaluation, Air Force: C 130 (Schedule slip)                30,000,000



          Reserve Mobilization Income Insurance Fund: Unused Balance                17,000,000



      Section 8058 has been amended to substitute the phrase ``Combatant   
   Commands'' in place of ``Unified and Specified Commands'' concerning    
   reimbursement for Reserve Intelligence Personnel.                       
      Section 8060 has been amended to delete language concerning secure   
   secretarial offices, support facilities, and the subway entrance to the 
   Pentagon.                                                               
      Section 8085 has been included which reduces funds available for     
   several operation and maintenance accounts by $800,000,000 to reflect   
   working capital fund cash balance and rate stabilization adjustments.   
      Section 8087 has been amended to delete language concerning foreign  
   built cranes, and to add language modifying Buy American requirements.  
      Section 8089 has been amended to add language to reassess the        
   structure and content of the managed care support contract program.     
      Section 8092 has been amended which reduces funds available for      
   military personnel and operation and maintenance accounts by a total of 
   $537,600,000 due to favorable foreign currency fluctuations.            
      Section 8094 has been amended to revise the amounts earmarked to     
   maintain a total inventory of 94 B 52 aircraft.                         
      Section 8095 has been amended to delete language requiring a DOD     
   Inspector General report on funding for the maintenance of flag officer 
   quarters.                                                               
      Section 8096 has been amended to delete language which prohibited the
   obligation of funds for the Line-of-Sight Anti-Tank program, and deletes
   funds earmarked for the Air Directed Surface to Air Missile.            
      Section 8099 has been amended to revise the limitation on expenditure
   of funds for information technology systems and to make the provision   
   applicable to the current fiscal year.                                  
      Section 8104 has been amended to provide $5,000,000 to evaluate a    
   standards and performance based academic model at DoD schools.          
      Section 8106 has been amended which requires the Secretary of Defense
   to report by March 15, 2001 on health care contract liabilities.        
      Section 8107 has been included which supports civil requirements     
   associated with the Global Positioning System.                          
      Section 8108 has been included which makes $115,000,000 of the funds 
   available in ``Operation and Maintenance, Defense-Wide'' available until
   expended, and allows the Secretary of Defense to transfer such funds to 
   other federal activities.                                               
      Section 8109 has been included which reduces funds available for     
   military personnel and operation and maintenance accounts by a total of 
   $463,400,000 due to balances available in the ``Foreign Currency        
   Fluctuation, Defense'' account.                                         
      Section 8110 has been included which prohibits funds for aircraft    
   modifications until the Secretary of the Air Force submits a report on  
   Air National Guard F 16 aircraft.                                       
      Section 8111 has been included which requires a report on            
   work-related illnesses resulting from exposure to beryllium or beryllium
   alloys.                                                                 
      Section 8112 has been included which earmarks funds from ``Operation 
   and Maintenance, Army'' for security enhancements to the heliport which 
   supports the National Training Center.                                  
      Section 8113 has been included which extends the authority for an    
   equipment center demonstration program.                                 
      Section 8114 has been included, which transfers $15,000,000          
   appropriated in fiscal year 2000 under ``Research, Development, Test and
   Evaluation, Army'' for the Grizzly breacher mineclearing program to     
   ``Procurement of Weapons and Tracked Combat Vehicles, Army'' for        
   Wolverine heavy assault bridge program; and directs the Army to obligate
   $97,000,000 from within available fiscal year 2000 funds for            
   ``Procurement of Weapons and Tracked Combat Vehicles, Army'' for the    
   procurement of Wolverine heavy assault bridges.                         
      Section 8115 has been included which makes the obligation of fiscal  
   year 2001 appropriations for equipment for a second interim brigade     
   combat team contingent on certain Secretary of Defense and Director of  
   Operational Test and Evaluation certifications.                         
      Section 8116 has been included which requires completion of certain  
   testing of the F 22 aircraft prior to low-rate initial production.      
      Section 8117 has been included which amends existing cost caps for   
   the F 22 aircraft program.                                              
      Section 8118 has been included which requires certain reports on the 
   Joint Strike Fighter program, and places limitations on the obligation  
   of funds for the program.                                               
                            APPROPRIATIONS NOT AUTHORIZED BY LAW                  

      Pursuant to clause 3(f)(1) of rule XIII of the Rules of the House of 
   Representatives, the following table lists the appropriations in the    
   accompanying bill which are not authorized by law:                      
  Military Personnel, Army                                                

  Military Personnel, Navy                                                

  Military Personnel, Marine Corps                                        

  Military Personnel, Air Force                                           

  Reserve Personnel, Army                                                 

  Reserve Personnel, Navy                                                 

  Reserve Personnel, Marine Corps                                         

  Reserve Personnel, Air Force                                            

  National Guard Personnel, Army                                          

  National Guard Personnel, Air Force                                     

  Operation and Maintenance, Army                                         

  Operation and Maintenance, Navy                                         

  Operation and Maintenance, Marine Corps                                 

  Operation and Maintenance, Air Force                                    

  Operation and Maintenance, Defense-Wide                                 

  Operation and Maintenance, Army Reserve                                 

  Operation and Maintenance, Navy Reserve                                 

  Operation and Maintenance, Marine Corps Reserve                         

  Operation and Maintenance, Air Force Reserve                            

  Operation and Maintenance, Army National Guard                          

  Operation and Maintenance, Air National Guard                           

  Overseas Contingency Operations Transfer Fund                           

  United States Court of Appeals for the Armed Forces                     

  Environmental Restoration, Army                                         

  Environmental Restoration, Navy                                         

  Environmental Restoration, Air Force                                    

  Environmental Restoration, Defense-Wide                                 

  Environmental Restoration, Formerly Used Defense Sites                  

  Overseas Humanitarian, Disaster, and Civic Aid                          

  Former Soviet Union Threat Reduction                                    

  Quality of Life Enhancements, Defense                                   

  Aircraft Procurement, Army                                              

  Missile Procurement, Army                                               

  Procurement of Weapons and Tracked Combat Vehicles, Army                

  Procurement of Ammunition, Army                                         

  Other Procurement, Army                                                 

  Aircraft Procurement, Navy                                              

  Weapons Procurement, Navy                                               

  Procurement of Ammunition, Navy and Marine Corps                        

  Shipbuilding and Conversion, Navy                                       

  Other Procurement, Navy                                                 

  Procurement, Marine Corps                                               

  Aircraft Procurement, Air Force                                         

  Missile Procurement, Air Force                                          

  Procurement of Ammunition, Air Force                                    

  Other Procurement, Air Force                                            

  Procurement, Defense-Wide                                               

  Defense Production Act Purchases                                        

  Research, Development, Test and Evaluation, Army                        

  Research, Development, Test and Evaluation, Navy                        

  Research, Development, Test and Evaluation, Air Force                   

  Research, Development, Test and Evaluation, Defense-Wide                

  Operational Test and Evaluation, Defense                                

  Defense Working Capital Funds                                           

  National Defense Sealift Fund                                           

  Defense Health Program                                                  

  Chemical Agents and Munitions Destruction, Army                         

  Drug Interdiction and Counter-Drug Activities, Defense                  

  Office of the Inspector General                                         

  Central Intelligence Agency Retirement and Disability System Fund       

  Intelligence Community Management Account                               

    Payment to Kaho'olawe Island Conveyance, Remediation, and             
  Environmental Restoration Fund                                          
  National Security Education Trust Fund                                  

  Sec. 8104.                                                              

  Sec. 8022.                                                              

                                     TRANSFER OF FUNDS                            

      Pursuant to clause 3(f)(2) of rule XIII of the Rules of the House of 
   Representatives, the following is submitted describing the transfer of  
   funds provided in the accompanying bill.                                
   The following table shows the appropriation affected by the transfers:  


                                                                                                                               

Appropriations to which transfer is made              Amount  Appropriations from which transfer is made                      Amount  

Operation and maintenance, Army                  $50,000,000  National Defense Stockpile Transaction Fund               $150,000,000  
Operation and maintenance, Navy                   50,000,000                                                                          
Operation and maintenance, Air Force              50,000,000                                                                          
Intelligence Community Management Account         33,100,000  Dept. of Justice National Drug Intelligence Center          33,100,000  

                                Transfers                                

      Language has been included in ``Operation and Maintenance, Army'',   
   which provides for the transfer of $6,000,000 to the ``National Park    
   Service'' for improvements at Fort Baker.                               
      Language has been included in ``Operation and Maintenance,           
   Defense-Wide'', which provides for the transfer of $10,000,000 to       
   certain classified activities.                                          
      Language has been included in ``Overseas Contingency Operations      
   Transfer Fund'', which provides for the transfer of funds out of this   
   account to other appropriation accounts.                                
      Language has been included in ``Environmental Restoration, Army'',   
   which provides for the transfer of funds out of and into this account.  
      Language has been included in ``Environmental Restoration, Navy'',   
   which provides for the transfer of funds out of and into this account.  
      Language has been included in ``Environmental Restoration, Air       
   Force'', which provides for the transfer of funds out of and into this  
   account.                                                                
      Language has been included in ``Environmental Restoration,           
   Defense-Wide'', which provides for the transfer of funds out of and into
   this account.                                                           
      Language has been included in ``Environmental Restoration, Formerly  
   Used Defense Sites'', which provides for the transfer of funds out of   
   and into this account.                                                  
      Language has been included in ``Drug Interdiction and Counter-Drug   
   Activities, Defense'', which transfers funds to other appropriations    
   accounts of the Department of Defense.                                  
      Ten provisions (Sections 8005, 8006, 8015, 8037, 8040, 8060, 8062,   
   8075, 8108, and 8114) contain language which allows transfers of funds  
   between accounts.                                                       
                                        RESCISSIONS                               

      Pursuant to clause 3(f)(2) of rule XIII of the Rules of the House of 
   Representatives, the following table is submitted describing the        
   rescissions recommended in the accompanying bill:                       




          Under the heading, Shipbuilding and Conversion, Navy 1998/2002: SSN 21         attack submarine program                $74,000,000



          Other Procurement, Army 1999/2001                3,000,000



          Weapons Procurement, Navy 1999/2001                22,000,000



          Aircraft Procurement, Air Force 1999/2001                12,300,000



          Missile Procurement, Air Force 1999/2001                20,000,000



          Other Procurement, Air Force 1999/2001                8,000,000



          Aircraft Procurement, Army 2000/2002                7,000,000



          Missile Procurement, Army 2000/2002                156,000,000



          Procurement of Weapons and Tracked Combat Vehicles, Army 2000/2002                67,000,000



          Procurement of Ammunition, Army 2000/2002                5,000,000



          Other Procurement, Army 2000/2002                45,000,000



          Aircraft Procurement, Navy 2000/2002                6,500,000



          Aircraft Procurement, Air Force 2000/2002                32,700,000



          Missile Procurement, Air Force 2000/2002                11,692,000



          Other Procurement, Air Force 2000/2002                26,400,000



          Research, Development, Test and Evaluation, Army 2000/2001                71,000,000



          Research, Development, Test and Evaluation, Air Force 2000/2001                72,000,000



          Research, Development, Test and Evaluation, Defense-Wide 2000/2001                33,900,000



          Reserve Mobilization Income Insurance Fund                17,000,000


                   COMPLIANCE WITH CLAUSE 3 OF RULE XIII (RAMSEYER RULE)          

      In compliance with clause 3(e) of rule XIII of the rules of the House
   of Representatives, changes in existing law made by the bill, as        
   reported, are shown as follows (new matter is printed in italics and    
   existing law in which no change is proposed is shown in roman):         
    section 8093 of the department of defense appropriations act, 2000   

    Sec.  8093. (a) * * *                                                  

         * * * * * * *                                                           

      (d) None of the funds appropriated or otherwise provided for the     
   Department of Defense in this or any other Act for any fiscal year may  
   be obligated or expended for design, manufacture, or procurement of a   
   nuclear-capable shipyard crane from a foreign source. Subsection (a)    
   does not apply to the limitation in the preceding sentence.             
                                  CONSTITUTIONAL AUTHORITY                        

      Clause 3(d)(1) of rule XIII of the rules of the House of             
   Representatives states that:                                            

                     Each report of a committee on a bill or joint      
          resolution of a public character, shall include a statement   
          citing the specific powers granted to the Congress in the     
          Constitution to enact the law proposed by the bill or joint   
          resolution.                                                   

      The Committee on Appropriations bases its authority to report this   
   legislation from Clause 7 of Section 9 of Article I of the Constitution 
   of the United States of America which states:                           

                     No money shall be drawn from the Treasury but in   
          consequence of Appropriations made by law . . .               

      Appropriations contained in this Act are made pursuant to this       
   specific power granted by the Constitution.                             
                           COMPARISON WITH THE BUDGET RESOLUTION                  

      Clause 3(c)(2) of rule XIII of the Rules of the House of             
   Representatives requires an explanation of compliance with section      
   308(a)(1)(A) of the Congressional Budget and Impoundment Control Act of 
   1974 (Public Law 93 344), as amended, which requires that the report    
   accompanying a bill providing new budget authority contain a statement  
   detailing how that authority compares with the reports submitted under  
   section 302 of the Act for the most recently agreed to concurrent       
   resolution on the budget for the fiscal year from the Committee's       
   section 302(a) allocation.                                              

                                                                               
                            [In millions of dollars]                           

                        302(b)  allocation--                This bill--\*\           

                     Budget authority     Outlays     Budget authority    Outlays  

Discretionary                 288,414     279,025              288,297    277,094  
Mandatory                         216         216                  216        216  

\*\Excludes scoring of the  House-passed FY 2000 supplemental bill, which would increase budget authority by $113 million and increase outlays by $75 million.  

                                FIVE-YEAR OUTLAY PROJECTIONS                      

      In compliance with section 308(a)(1)(B) of the Congressional Budget  
   and Impoundment Control Act of 1974 (Public Law 93 344), as amended, the
   following table contains five-year projections associated with the      
   budget authority provided in the accompanying bill.                     

          [In millions of dollars]                                                



          Budget Authority in bill                288,513



          2001                           188,232



          2002                           59,380



          2003                           21,716



          2004                           9,045



          2005                           9,011


                    FINANCIAL ASSISTANCE TO STATE AND LOCAL GOVERNMENTS           

      In accordance with section 308(a)(1)(C) of the Congressional Budget  
   and Impoundment Control Act of 1974 (Public Law 93 344), as amended, no 
   new budget or outlays are provided by the accompanying bill for         
   financial assistance to State and local governments.                    
                                    FULL COMMITTEE VOTES                          

      Pursuant to the provisions of clause 3(b) of rule XIII of the Rules  
   of the House of Representatives, the results of each roll call vote on  
   an amendment or on the motion to report, together with the names of     
   those voting for and those voting against, are printed below:           
   There were no recorded votes.                                           


[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]

[Graphic Image Not Available]


                                      ADDITIONAL VIEWS                            

      Often of the job of this Committee is to ask questions and to        
   question assumptions. That is especially true in a world of limited     
   financial resources. Last year the Committee produced a provocative     
   Defense bill which challenged many assumptions underlying defense budget
   policy, particularly regarding tactical fighter aircraft and in         
   particular whether the F 22 aircraft was ready for production. This     
   year's bill is a disappointing return to a more business-as-usual       
   approach. In the context of the Congressional Republican leadership's   
   budget resolution, which proposes to increase defense but decimate the  
   operation of many other Federal agencies, this bill is not one that I   
   can support in its present form.                                        
                       UNREASONABLE FUNDING LEVELS                       

      The President's budget proposed a hefty increase of $15.8 billion, or
   5.9 percent, over the fiscal year 2000 appropriated level for the       
   Department of Defense. This was done to pay for the President's military
   pay raise and to meet his commitment of achieving a $60 billion annual  
   procurement level. But his budget balanced this hefty increase with     
   increases for education, national parks, law enforcement, health and    
   safety, environmental protection and other important non-Defense        
   programs. The Congressional leadership abandoned that balance in its    
   Budget Resolution by increasing the President's 5.9 percent increase for
   defense programs funded in this bill by another $4 billion, by giving   
   away $175 billion over five years in tax cuts, and by making it all     
   appear to add up by cutting non-defense discretionary programs by $125  
   million below inflation over the next five years. The folly of this     
   approach becomes more clear with the passage of each domestic           
   appropriations bill that conforms to the budget resolution. That is     
   demonstrated vividly in the Legislative Appropriations bill which       
   proposes to dramatically reduce the number of Capitol police--an        
   inappropriate response to the well-documented need or increased security
   to the public and for protection of the Capitol police force highlighted
   by the tragic and senseless murder of two American heroes last year. It 
   is also demonstrated by the fact that Presidential initiatives to       
   strengthen education, health care, worker training, and science are     
   being eviscerated.                                                      
      Adding $4 billion in the defense bill, beyond the hefty $15.8 billion
   increase proposed by the President, appears very much to be a case of   
   political one-upmanship.                                                

      The President's budget fully funded the President's military pay     
   raise and met his commitment to an annual procurement level of $60      
   billion. It proposes significant growth in the number of F/A 18E/F, F   
   22, V 22, E 2, and KC 130J aircraft, fully funds the New Attack         
   Submarine and an aircraft carrier, and increases many other smaller     
   procurement and research programs. While Committee increases in other   
   programs will have positive effects within the Department of Defense,   
   many of them will not result in a near-term improvement in combat       
   readiness or enhance the near-term performance of any troops during     
   combat. In the context of the Republican leadership's budget resolution,
   the Committee needs to take a more disciplined approach.                
                                  Reform                                 

      Last year, the Committee sent a strong message to the Pentagon in a  
   bipartisan and unanimous fashion that it is time to reorient its        
   spending priorities to meet a broader array of military budget          
   requirements in the 21st century. This means: (1) paying attention to   
   so-called ``asymmetrical'' threats like chemical and biological         
   terrorism, information warfare, smaller scale urban warfare, and cruise 
   missile defense and (2) bolstering conventional military capabilities   
   like airlift, sealift, electronic jamming, intelligence and             
   surveillance, and communications. Although the Committee includes a $150
   million initiative for hacker-defense of DOD computer systems in this   
   bill, it is the lone example of where the Committee made any            
   follow-through on the priorities it set last year.                      
      This Congress continues to dodge significant attempts at reform to   
   cut out wasteful military spending that everyone knows is widely        
   prevalent. The authorizing committees have again ignored the Secretary  
   of Defense's recommendation to conduct additional rounds of base        
   closures that ultimately could save the government over $20 billion. The
   Congress has apparently grown comfortable with the status quo--operating
   military bases that the Defense Department readily admits add little or 
   nothing to our national security.                                       
      Each year the General Accounting Office conducts studies which       
   indicate that many other opportunities exist for large military savings 
   through improved management. During the last year, the General          
   Accounting Office has reported that:                                    

                     Material financial management deficiencies         
          identified at DOD, taken together, represent the single       
          largest obstacle that must be effectively addressed to achieve
          an unqualified opinion on the U.S. government's consolidated  
          financial statements. DOD's vast operations (an estimated $1  
          trillion in assets, nearly $1 trillion in reported            
          liabilities, and a reported net cost of operations of $378    
          billion in fiscal year 1999) have a tremendous impact on the  
          government's consolidated reporting. To date, no major part of
          DOD has yet been able to pass the test of an independent      
          audit. The lack of key controls and information not only      
          hampers DOD's ability to produce credible financial           
          statements, but impairs efforts to improve the economy and    
          efficiency of its operations.                                 
                     For fiscal years 1996 1998, the Navy reported that 
          it had lost $3 billion of intransit inventory, including some 
          classified and sensitive items such as aircraft guided-missile
          launchers, military night vision devices, and communications  
          equipment.                                                    
                     In the five years between fiscal years 1994 and    
          1998, defense contractors returned about $4.6 billion in      
          overpayments from the Department of Defense.                  

      The Defense Department does not need an additional $4 billion above  
   the increase the President proposed. It could generate an equivalent    
   amount of buying power if it would simply reform some of its fundamental
   management systems. Unfortunately, there are no initiatives in the      
   Committee's bill to facilitate that objective, and we continue to throw 
   good money after bad.                                                   
                        Tactical Aviation Programs                       

      For too long, the Pentagon has resisted calls to restructure its     
   hyper-expensive tactical aircraft procurement plan to buy three separate
   types of tactical aircraft costing in excess of $300 billion, even      
   though the traditional Cold War threats for which they were designed    
   have dissipated and new non-conventional threats are emerging. Last     
   year, the Committee made this issue a priority in its deliberations and 
   recommendations. A key point the Committee raised is whether or not the 
   threat will emerge which justifies this level of investment and in      
   particular whether it warrants production of the F 22 aircraft.         
      This bill largely returns to business-as-usual by essentially        
   ``rubber-stamping'' the Pentagon's tactical aircraft program, and by    
   so-doing it ignores the key strategic policy question concerning the    
   future of defense tactical aircraft. The Committee's bill provides      
   growth in the Navy's F 18 program, allows the F 22 to enter production  
   even though it is not ready, and allows the Joint Strike Fighter to     
   enter a more advanced phase of                                          

                    development whose cost is estimated to be about $20 billion   
          despite warnings from the General Accounting Office that this is        
          premature. The combination of these actions results in a contractual    
          quagmire from which the Pentagon and Congress will not be able to       
          extricate themselves. No new information has been found which suggests  
          that the threat to American tactical aviation is more formidable or     
          credible than a year ago.                                               
                                   f 22                                  

      This bill approves the budget request of almost $4 billion for the F 
   22 program in fiscal year 2001, of which $1.4 billion is for continued  
   development and testing and $2.1 billion is for production of 10        
   aircraft. During the past year the Congress has discovered that: (1) F  
   22 flight testing has not been conducted to the extent planned or       
   required; (2) static and fatigue testing are more than a year behind    
   schedule; (3) the Office of the Secretary of Defense estimates that F 22
   production costs will be approximately $1 billion more than the Air     
   Force has budgeted per year ; and (4) the cost of the development       
   program continues to increase rather than stabilize.                    
      The cost of the F 22 development program has doubled since 1985 to   
   $24 billion, and only 15 percent of the testing program has been        
   accomplished since the engineering manufacturing development program    
   began in 1991. Nevertheless, the Committee has approved the request of  
   $2.1 billion for F 22 production--without question.                     
      The conference agreement last year on the F 22 aircraft prohibits a  
   production decision until the so-called ``block 3'' software is flight  
   rested in an actual F 22 aircraft (rather than in a surrogate test      
   aircraft). That testing is not scheduled to occur until the fall of next
   year, at the earliest. It should be noted that the Air Force has to only
   conduct a single flight test of the block 3 software to meet the        
   Congressional requirements and to allow the program to enter low rate   
   initial production. However, many flight test months are actually       
   required to determine with fidelity whether or not the software actually
   works. The taxpayer should have some reasonable confidence that the     
   aircraft and its software actually works , prior to entering into       
   billions of dollars of production contracts; in this regard, the program
   is no closer to being ready to enter into production than a year ago,   
   and may in fact be worse off. Three caution-flags have been raised on   
   this program that the Committee has chosen to ignore.                   
      (1) The Pentagon's Director of Operational Test and Evaluation       
   testified before Congress this year and provided strong warnings that   
   the program continues to be in trouble. He noted that the F 22 test     
   program is proceeding much more slowly than in previous aircraft        
   development programs, and even these lagging testing schedules continue 
   to slip over time. Over the past three years, the F 22 has lost 49      
   flight test months that could have been available for testing--a        
   reduction of 20 percent in the available flight test months from        
   original plans.                                                         
      To accommodate the loss of test time and to reduce test costs, the   
   Air Force has reduced flight test hours by 13 percent (580 flight test  
   hours). He testified in March:                                          

                     Basically, not enough of the test program has been 
          completed to know whether or not significant development      
          problems remain to be corrected.                              

      His testimony also revealed that the current test program does not   
   include any operational testing under adverse environmental conditions, 
   especially in rain and cold weather; the flight test aircraft cannot be 
   flown near thunderstorms to identify potential rain-induced problems or 
   to gather data on static discharge impact on the aircraft, a continuing 
   B 2 problem. Effective fire-suppression is mandatory to achieve a       
   survivable aircraft design, yet the Air Force now knows that the        
   aircraft's vulnerable area is 30 percent higher than the specification  
   calls for.                                                              
      (2) The Committee's own Surveys and Investigations staff reported in 
   March 2000 that the decision to enter production in December 2000 is    
   premature. Fatigue-life testing and avionics testing are the two highest
   risk areas in the program. Delaying the production decision would       
   significantly reduce the impact of those risks on the program while     
   concurrently providing more robust testing of the block 3 software. It  
   recommended to the Committee that the production decision not be made   
   until the third fatigue life test is completed, currently scheduled for 
   December 2001 (fiscal year 2002).                                       
      If the Committee had heeded these concerns, it would have eliminated 
   all F 22 production funds from this bill and saved $2.1 billion, while  
   also holding the Air Force's ``feet to the fire'' to ensure that it was 
   building aircraft that work.                                            
      (3) The General Accounting Office recently recommended that, in order
   to meet industrial base concerns, the F 22 low rate production should   
   begin at no more than 6 aircraft per year until development and initial 
   operational test and evaluation are complete. This would allow the      
   program to avoid significantly expanding production capacity until after
   operational                                                             

                    testing demonstrates the aircraft is suitable for its intended
          mission. The risks of doing otherwise are: buying systems that will     
          require significant and costly modifications to achieve satisfactory    
          performance; accepting less capable systems than planned; or deploying  
          substandard systems to combat forces.                                   
      Had the Committee followed this modest recommendation, it could have 
   eliminated 4 aircraft and saved $828 million in just this year alone.   
      It is highly troubling that the Committee would approve $2.1 billion 
   for production of 10 F 22 aircraft in fiscal year 2001 given the strong 
   and clear warnings from three separate and credible organizations that  
   prove the program is not ready to go into production. This might be     
   understandable if F 22 were an isolated and unique anomaly in the Air   
   Force acquisition system, or if the threat were compelling. We know this
   is not the case.                                                        
      The only major weapon system the Air Force has delivered below cost  
   and on time during the last 20 years was its then-highly touted B 1     
   bomber program. The Air Force rushed into production for political      
   reasons, and got a fleet of aircraft whose performance defects were so  
   severe that the aircraft now have limited utility in combat because they
   cannot adequately protect themselves.                                   
      The Air Force spent $4 billion on development of the Tri-Service     
   Standoff Attack Missile, which was subsequently terminated due to poor  
   cost, schedule, management, and performance issues.                     
      The C 17 was estimated to cost about $42 billion for 210 aircraft,   
   but is now estimated to cost about $45 billion for only 134 aircraft.   
      The B 2 development contract more than doubled from its initial      
   target value of $9.4 billion to $21.1 billion currently.                
      Given the fact that the F 22 is clearly not ready to enter into      
   production, in the context of the Air Force's very poor track record of 
   developing its major weapon systems at the times or costs promised, it  
   is disturbing that the Committee would put $2.1 billion at risk by      
   allowing F 22 production to go forward at this time. The nation would be
   better served by investing this $2.1 billion in education, law          
   enforcement, the environment, or other efforts to meet our international
   responsibilities and allowing the F 22 technology to mature before we   
   spend really big money on it.                                           
                           JOINT STRIKE FIGHTER                          

      The Joint Strike Fighter, if carried to fruition as currently        
   envisioned by the Department of Defense, will be the largest program in 
   the Pentagon's weapons-purchasing plan for the next 20 years and perhaps
   in history. The cost of developing and building almost 3,000 aircraft   
   could be over $200 billion.                                             
      In the early 1990s the Air Force testified that the cost goal for the
   F 22 in constant dollars of that era was $35 million each. We now know  
   that the current estimated unit cost for the F 22 in real taxpayer      
   dollars is $113 million, which still is based on very optimistic        
   assumptions. This is almost double what today's F 15 aircraft cost.     
      The Joint Strike Fighter is in the same position as the F 22 was a   
   decade ago, and the Department of Defense is selling the program to     
   Congress on the assumption that unit costs will be around between $28 to
   $38 million in constant dollars. The F 22 experience makes it hard to   
   believe such preliminary Joint Strike Fighter unit cost estimates. If   
   the unit costs are off, then the program could cost much more than $200 
   billion!                                                                
      The fiscal year 2001 budget for the Joint Strike Fighter was premised
   on ending the on-going $3 billion concept demonstration phase of the    
   program later this year and initiating the next phase of development    
   known as engineering manufacturing development on March 1, 2001 at a    
   currently estimated cost of about $20 billion. The Committee recommends 
   a three month delay (to June 1), but also allows engineering            
   manufacturing development to commence once certain reporting            
   requirements have been met.                                             
      The General Accounting Office issued a report on the Joint Strike    
   Fighter in May 200 which states:                                        

                     Once the development phase beings, a large, fixed  
          investment in the form of human capital, facilities, and      
          materials is sunk into the program and any significant changes
          will have a large, rippling effect on cost and schedule.      
          Beginning the engineering manufacturing development phase when
          critical technologies are at a low level of maturity serves to
          significantly increase program risk and the likelihood of     
          schedule delays, which in turn result in increased program    
          costs . . . When the competing contractors experienced design 
          problems and cost overruns, DOD restructured the program in a 
          manner that will provide less information than originally     
          planned prior to selecting between the two competing          
          contractors. Specifically, the program restructure moves away 
          from best commercial practices that were evident in the       
          original strategy, where technology was being developed ahead 
          of product. Instead, DOD's approach moves toward the          
          traditional practice of concurrently developing technologies  
          and products, which often raised cost-benefit issues as a     
          result of cost increases and schedule                         

                    delays as problems are encountered in technology development .
          . . We make a recommendation that the Joint Strike Fighter program      
          office adjust its currently planned engineering and manufacturing       
          decision date of March 2001 to allow adequate time to mature critical   
          technologies to acceptable maturity levels before awarding the          
          engineering and manufacturing development contract.                     

      The Committee is to be congratulated for a thoughtful recommendation 
   in this bill to delay engineering manufacturing development of the Joint
   Strike Fighter by three months. However, the fiscally prudent course    
   would be to eliminate the remaining $295 million in the bill for fiscal 
   year 2001 Joint Strike Fighter engineering manufacturing development,   
   and to demand that the Department of Defense demonstrate that it has a  
   good understanding of the results of the $3 billion concept             
   demonstration program that is about to conclude, ensure that the best   
   acquisition strategy is in place to ensure future competition within the
   aircraft industrial base, and respond to the common-sense concerns of   
   the General Accounting Office. Here again, the Committee has missed an  
   opportunity to save $295 million and apply these funds to more urgent   
   requirements at home and abroad.                                        
                         NATIONAL MISSILE DEFENSE                        

      The Committee's bill recommends $1.8 billion for national missile    
   defense. During the past few years the Congress had a very narrow focus 
   on only the technology issue: ``Does it work and how soon can we deploy 
   it?'' The Administration, in its upcoming negotiations with Russia, is  
   addressing national missile defense and the Anti-Ballistic Missile      
   treaty in a broader arms-control context aimed potentially at further   
   reductions to nuclear weapons.                                          
      In 1985, the Soviet Union had about 11,500 nuclear warheads--each of 
   which was estimated to have 20 to 30 times the power of the bomb dropped
   on Hiroshima. Today, Russia has about 5,000 such warheads. The Congress 
   should be encouraging further reductions in global nuclear weapons, and 
   also examining the need for and timing of national missile defense      
   within a global arms-control context.                                   
      It is disappointing that the Congress in general, and this Committee 
   in particular, has given the Administration $1.8 billion for national   
   missile defense--without question. And there are plenty of questions:   
     Do we have better national security through deploying a limited      
  national defense system or by globally reducing nuclear weapons?        
     If we deploy a limited national missile defense system, are we simply
  causing China to build more nuclear missiles aimed at our country?      
     If we deploy a national missile defense system, do we undermine our  
  ability to keep our allies like Britain, France, or Canada behind us on 
  other key security issues down the line?                                
     Do our proposed national missile defense interceptors have inherent  
  anti-satellite capability, and in ``fixing'' the missile defense problem
  are we inadvertently creating a global arms race for anti-satellite     
  weapons?                                                                
      The Committee should be commended for paying attention to and        
   providing leadership on tactical aviation issues. But I am wondering why
   we have done nothing but ``rubber stamp'' the budget request for        
   national missile defense? The arms-control issues related to national   
   missile defense must be adequately addressed eventually. It is my hope  
   that in the future the Committee and the Congress will focus on them in 
   a thoughtful way, and that we have a good understanding of the exact    
   consequences of what we are doing should the nation make the decision to
   introduce a new class of weapons--national missile defense              
   interceptors--into the global inventory of weapons.                     
                                 SUMMARY                                 

      There are many good things in the bill that I support, such as the   
   pay raise for the troops and improved health care benefits for both     
   active duty and retired personnel. The 7.4 percent increase to defense  
   spending proposed in this bill is excessive. If the Republican majority 
   were not insisting on slashing the President's future domestic requests 
   for strengthening education, health care, and science in order to       
   provide huge multiyear tax promises, an additional $4 billion would be  
   more defensible. But in this context, that is extremely difficult.      
   Unlike last year, the bill shows little evidence of making major choices
   as we did last year with the F 22.                                      
      It is politically and economically irresponsible to the people whom  
   we represent to lead them to believe that our non-defense programs can  
   sustain huge reductions without threatening public health and safety,   
   and the economic prosperity on which the future of American families    
   depends. Our population will continue to grow, our economy and social   
   structures will continue to evolve and become more complex, and our     
   responsibilities as the world's economic superpower will be great. That 
   will require a more balanced effort to address our domestic and         
   international responsibilities than the Congress has provided in the    
   Appropriations bills it has produced so far. That should be the priority
   for additional funding.                                                 

         Dave Obey.