House Armed Services Committee Press Release

For Immediate Release

Contact:

Harald Stavenas or Angela Sowa
(202) 225-2539

HOUSE ARMED SERVICES COMMITTEE APPROVES FISCAL YEAR 2005 DEFENSE AUTHORIZATION BILL

"Year of the Troops" Legislation Focuses on Force Protection and Personnel Benefits

Washington, DC - May 13, 2004 - House Armed Services Committee Chairman Duncan Hunter (R-CA) announced that H.R. 4200, the National Defense Authorization Act for Fiscal Year 2005, was reported out of committee last night with a unanimous 60-0 vote. The committee authorized $422.2 billion for the Department of Defense and the national security programs of the Department of Energy. Hunter's statement follows:

"This bill comes at a particularly crucial time for our nation's armed forces. In the last two weeks, we've been stunned by the abuses a handful of miscreants inflicted on prisoners at the Abu Ghraib prison. And, just yesterday, we were shocked by the filmed beheading of an American by Iraqi terrorists. While they differed in magnitude, both events should remind us that brutality is a very real and constant element in war.

"What matters is how we deal with that fact of life. In the United States, we reject it and we punish it. In the uncivilized parts of the world, some people celebrate it. They embrace it. They export it.

"We learned on September 11, 2001 that we will not be safe if we tolerate it. That's what we're fighting for in Iraq today: to determine whether brutality or civilization will prevail in the very land where civilization began.

"In the near term, the outcome of that struggle depends on the courage of our personnel on the front lines in the war on terror. In the long run, victory depends on how we face up to that challenge as a nation. Under the Constitution, Congress has an obligation to rise to the challenge. As a committee, we have an opportunity to do it right. This year's defense authorization bill is part of how we discharge our obligations and seize our opportunities.

"First and foremost, we fully funded the President's top-line request for the Department of Defense. Earlier this spring we worked long and hard to ensure that the budget resolution, which binds our legislation, did not cut defense spending in the middle of a war.

"Second, this bill authorizes $25 billion in additional supplemental funding to ensure that our troops get all the resources they need to prevail on the battlefield. It provides the resources along with specificity that Congress has not previously applied to supplemental funds. This approach improves congressional oversight and ensures that our view of what is a priority will guide the Department's actions.

"Further, it is clear that the Department will need more than $25 billion to get through the next fiscal year. But there is a valid point to the Administration's position that given the multiple variables involved, neither they nor us can accurately predict exactly what will be needed to get through the entire year.

"Thus, we propose a supplemental 'bridge' fund that provides the Department enough money to get through the first several months of the next fiscal year while ensuring no interruption in the flow of funds for critical force protection enhancements, additional end strength and other combat capability improvements.

"On this point, the committee's efforts have been guided by the belief that we must make this the 'Year of the Troops' in honor of our brave men and women in uniform deployed around the world. The legislation reflects this approach by adjusting spending priorities wherever possible away from areas of lesser priority to those programs and activities that directly enhance the combat and force protection capabilities of our soldiers.

"We have done this by prioritizing critical investments in force protection. In particular, we:

added $30 million for improvised explosive device jammers;
plussed-up unmanned aerial vehicle surveillance capabilities by $192 million;
increased funding to produce up-armor humvees by $704.7 million in order to sustain the needed production rate;
increased funding for Vehicle Add-On Armor Kits for the Army's truck fleet by $332.4million; and,
added $40 million to the Bradley fighting vehicle program to sustain modernization and maintain the vehicle's readiness.

"Further, this bill proposes new provisions to combat the spread of weapons of mass destruction. The legislation will tighten controls on advanced technology with military applications so that it does not fall into the hands of terrorist organizations or states of proliferation concern. It calls on the President to begin working on a more aggressive multilateral export control regime, and it contains measures that will assist countries around the world in tightening their export control practices. The House International Relations Committee has primary jurisdiction in these matters, but we've worked closely with Chairman Henry Hyde over the last few months to develop a proposal that will make a real difference.

"H.R. 4200 also keeps faith with our men and women in uniform. This year's bill would authorize a 3.5 percent across-the-board pay raise. It increases the limit on hardship duty pay from $300 to $750 per month. It makes permanent the increased rate for imminent danger pay from $150 to $225 per month and more than doubles the rate for the family separation allowance, from $100 to $250 per month. There also is $9.9 billion in the bill for military construction and housing.

"Finally, the mark proposes the largest increase in military end strength in decades by increasing the active duty Army by 30,000 and the Marine Corps by 9,000. The committee has carefully listened to the concerns expressed by the Secretary of Defense and Army Chief of Staff and proposes an approach that fully addresses the stated concerns over forcing additional end strength on the services without the additional resources to pay for it.

"I commend the President, the Secretary of Defense and our military leaders for continuing our strategy of taking the fight directly to those who would do us harm, before they can strike us here at home. We stand committed to provide the resources to ensure our continued success.

"I am grateful to Ranking Member Ike Skelton (D-MO), Subcommittee Chairmen Curt Weldon (R-PA), Joel Hefley (R-CO), Jim Saxton (R-NJ), John McHugh (R-NY), Terry Everett (R-AL), Roscoe Bartlett (R-MD), and all the members of the committee for their hard work in advancing this important legislation."

H.R. 4200 is expected to be considered on the House floor next week.

Summary of Major Provisions for H.R. 4200

National Defense Authorization Act for Fiscal Year 2005

Table of Contents

About H.R. 4200..............................	2
Rationale....................................	2
Emergency Contingency Operations Supplemental Funding...............	3
Overview of Major Committee Actions........................	5
Full Committee...... ............................	5
Tactical Air and Land Forces Subcommittee.....................	5
Readiness Subcommittee..............................	6
Terrorism, Unconventional Threats and Capabilities Subcommittee...........	6
Total Force Subcommittee...............................	6
Strategic Forces Subcommittee...........................	7
Projection Forces Subcommittee........................	8
Supporting America's Military Personnel.....................	9
Force Protection Initiatives ...........................	9
Improved Pay and Benefits...........................	15
Increasing Military Manpower...........................	20
Guard and Reserve Improvements........................	21
Other Personnel Initiatives.....................................	24
Defending America..............................................	26
Combating Terrorism and the Spread of Weapons of Mass Destruction.................................	26
Missile Defense..................................................	28
Major Weapons Programs..................................	30
Maintaining A Nuclear Deterrent ...........................	35
Other Committee Initiatives.............................	36
Table of Major Programs............................	38
Index....................................	39

About H.R. 4200

The National Defense Authorization Act for Fiscal Year 2005

Rationale

The annual National Defense Authorization Act sets policies, programs and funding levels for the nation's military. Informed by months of hearings with Department of Defense leadership, as well as meetings directly with commanders and troops deployed in combat, the House Armed Services Committee has crafted H.R. 4200, the National Defense Authorization Act for Fiscal Year 2005.

The legislation addresses the needs of a nation at war on multiple fronts. It contains $422.2 billion for the Department of Defense (DOD) and the national security programs of the Department of Energy (DOE). It also provides an additional $25 billion in emergency budget authority to partially cover the projected costs of continuing operations Iraq and Afghanistan.

After freeing 50 million people in Iraq and Afghanistan, U.S. forces are leading important multinational efforts to build stable democracies and viable economies in each nation. Neither country any longer serves as a home base for international terrorism.

The ongoing Iraq mission, Operation Enduring Freedom in Afghanistan, and the broader global war on terrorism demand immediate resources and capabilities that Congress must provide for. Additional security challenges elsewhere require planning and perseverance, including a continued commitment to the evolution of the U.S. armed forces.

The primary focus of this legislation is protecting our troops on the battlefield while supporting their needs at home. Nearly every member of the House Armed Services Committee has traveled to Iraq to directly engage with commanders and troops and assess ongoing operations. Committee members also have traveled to meet with U.S. military personnel at domestic installations and elsewhere overseas including Afghanistan, Kuwait, Bosnia, Korea, Qatar, and Uzbekistan.

H.R. 4200 provides critical force protection resources, including additional body armor, countermeasures for improvised explosive devices, armored Humvees and armor add-on kits for "thin-skinned" vehicles. Other security measures include improved surveillance and reconnaissance capabilities and the latest infantry equipment. These tangible improvements in force protection accompany equally important combat capability enhancements. H.R. 4200 will provide the American warfighter with much needed supplies and ammunition to continue the work of eradicating insurgents in Iraq and terrorist bases around the world.

On the homefront, this legislation tends to the needs of our military personnel with numerous quality of life programs. Among the many initiatives are a 3.5% across-the-board pay raise, special pays and bonuses, and improved housing - as well as the complete phase-out of out-of-pocket housing expenses.

H.R. 4200 contains hundreds of additional provisions designed to continue the evolution of the U.S. military into an ever more effective fighting force, while at the same time providing for the well-being of the men and women who defend our freedom.

Emergency Contingency Operations Supplemental Funding

H.R. 4200 contains an additional $25 billion to be appropriated for fiscal year 2005 to support the war on terror's operational costs, personnel expenses and the procurement of new equipment.

Since 1990, there have been more than 150 U.S. military deployments around the world. The old practice was to take funding to pay for these operations, especially in Bosnia, out of other military accounts. We have not fully recovered from those actions - to the detriment of our military personnel and their equipment. By authorizing additional appropriations, Congress and the Administration are taking the responsible approach in not raiding the defense budget.

The recent escalation in activity by insurgents and terrorists has increased the cost of stability operations in Iraq. This is a critical period as we near the June 2004 establishment of a sovereign Iraqi government.

It is essential to recognize the change in operational requirements and ensure funding is available to support U.S. troops and their needs in Iraq, as well as Afghanistan and elsewhere in the global war on terrorism.

Procurement

It is an important priority of the House Armed Services Committee that our troops have the equipment necessary to successfully accomplish their missions in Operation Iraqi Freedom (OIF), Operation Enduring Freedom (OEF) and other fronts in the global war on terrorism.

Procurement funding is focused on full support of force protection needs, the Rapid Fielding Initiative

(RFI), combat losses of essential equipment and essential combat related unfunded requirements of our

armed forces. The mission of the RFI is to respond quickly to individual equipment requirements and to provide with latest weapons, clothing and equipment. To achieve this, RFI is streamlining acquisition processes such as by working with existing contractors to refine equipment or purchasing, and adapting commercial, off-the-shelf items.

Specific procurement funding includes:

· Full funding for the Up Armor High Mobility Multipurpose Wheeled Vehicle (Humvees): $704.7 million

· Ballistic armor for other Humvees and trucks: $332.4 million

· Interceptor Body Armor including funding for add-on protection for the shoulder and side body areas: $421.0 million

· Unmanned Aerial Vehicles (UAVs): $277.0 million

· Combat Loss Equipment Replacement: $523.4 million

· Full funding for RFI (basic infantry equipment): $297.4 million plus $219.7 million in operations and maintenance for RFI.

The committee fully supports the Army's efforts to transform the structure of its divisions into smaller organizations and create additional combat relevant units. This reorganization known as "modularity" will contribute to the reduction of stress on our troops due to the high operational tempo of operations in Southwest Asia. H.R. 4200 authorizes $406.1 million for the initial equipment costs of modularity so that every infantry soldier has the equipment necessary to perform their mission.

Operations and Maintenance

Expenses for food, fuel, spare parts, maintenance, transportation and other costs have risen due to higher operating tempo. Without additional funding at the start of fiscal year 2005, the military departments will be forced to use third and fourth quarter operations and maintenance funds in the first quarter to pay for OIF and OEF costs.

Military Personnel

For many years, the committee has believed that military manpower is inadequate to meet and sustain the full range of capabilities required of and missions assigned to our armed forces. During the previous two years, the committee recommended overall increases of 10,350 and 6,240 respectively, above the budget requests.

The global war on terrorism, a significant commitment of U.S. military resources worldwide to eliminate terrorist threats and actively defend the U.S. homeland, has added new dimensions and missions, further stressing the manpower available to both the active and reserve forces.

Despite last year's active strength increase of 2,400 soldiers, as mandated by the National Defense Authorization Act for Fiscal Year 2004, the Army is particularly challenged to sustain the manpower requirements in Iraq and Afghanistan. Consequently, the Marine Corps has deployed combat forces to Afghanistan and will deploy 25,000 active and reserve personnel to Iraq for two seven-month rotations in 2004 and 2005. Additionally, the Air Force and Navy will deploy transportation and other military assets to Iraq to substitute for capabilities the Army is currently incapable of providing.

More than one-third of the Marine Corps' deployable forces are now committed worldwide, and there is no indication that this high level of deployment will decrease for the foreseeable future.

To support the Army's manpower needs, the committee recommends a temporary increase of 30,000 active soldiers (to an end strength of 512,400), in increments of 10,000 each in fiscal years 2005 through 2007.

To ensure the Marine Corps can continue to provide and sustain the force levels required of it by the national security strategy, the committee recommends a temporary increase of 9,000 active duty Marines (to an end strength of 184,000), in increments of 3,000 each in fiscal years 2005 through 2007.

OVERVIEW of Major Committee ACTIONS

Full Committee

The full committee worked to fund the President's top-line request for the Department of Defense, while also authorizing $25 billion in additional supplemental funding to ensure that our troops receive all the resources needed to prevail on the battlefield.

Other provisions include:

Defense Trade Reciprocity - based upon the principle of fair trade and reciprocity, the legislation would require the Secretary of Defense to ensure that the offset regulations or policies of a foreign country are reduced to the same level as the domestic content requirements of the United States before contracting for defense products from a foreign firm operating in that country.

Strengthening Controls on High Tech Exports - H.R. 4200 would strengthen existing export controls designed to prevent the spread of WMDs by eliminating a regulatory loophole through which certain defense articles and services are exempt from existing export license requirements as established in the Arms Export Control Act.

Tactical Air and Land Forces Subcommittee

Under the leadership of Chairman Curt Weldon, this subcommittee has jurisdiction over approximately 1,000 programs and projects in procurement and research, development, test and evaluation in the military services and defense agencies, totaling $50 billion in the fiscal year 2005 request.

The focus of the subcommittee was how best to support our military and civilian personnel serving in the global war on terrorism. Reflecting the priorities of the committee and the unfunded priorities of the DOD, the subcommittee recommends authorizing an additional $1.7 billion above the Administration's request to Congress. Added authorizations would include:

8 HH-60 helicopters;
$176 million for Predator Unmanned Aerial Vehicles (UAVs) for increased surveillance capability, particularly for countering the improvised explosive device threat;
Increased authorization of $184 million for ammunition and the ammunition industrial base;
$95 million for 114 remotely operated weapon systems and 52 optical surveillance systems;
$89 million for reconnaissance and advanced targeting pods;
$65 million for additional modernization and reactive armor for the Bradley Fighting Vehicle;
$42 million for Hellfire missiles;
$30 million for 52 IED jammers;
$16 million for Javelin missiles;
$16 million for Shadow UAV enhancements;
$14 million for the H-1 night targeting and infrared system; and
Increased authorization is also included for CH-47 helicopter crashworthy crew seats, personnel radios, night vision equipment, and light weight satellite terminals.

Other major initiatives include:

Legislation that would require the Secretary of Defense, in the allocation of equipment acquired using funds authorized for procurement, give priority to units that are deployed to, or preparing to deploy to OIF or OEF, regardless of the designation of those units as active, Guard, or reserve units; and
Multiyear procurement authorization for the Lightweight 155 Howitzer.

Readiness Subcommittee

Chairman Joel Hefley's subcommittee held hearings on the readiness of our military forces, joint training, logistics transformation, military construction and base closure. H.R. 4200 makes important recommendations in each area.

Among the most significant proposals is the suspension of the base realignment and closure (BRAC) process until 2007. The provision would require the Department of Defense to submit reports on a number of critical - but still unresolved - infrastructure-related issues, such as the Department's plans for global basing and transformation.

These reports are due between January 1^st and March 15, 2006. Pending DOD submission of these reports, the next BRAC round would commence in May 2007, allowing sufficient time for congressional review and DOD implementation of report findings into the BRAC decision-making process.

Also of note, on the important issue of military housing privatization, the committee recommends elimination of the statutory ceiling on the program as of October 1, 2005.

Terrorism, Unconventional Threats and Capabilities

The primary consideration of Chairman Jim Saxton and his subcommittee was determining how best to protect and aid our troops in the field. The subcommittee held eight hearings in preparation for mark-up, covering subjects from defense transformation to chemical weapons demilitarization to information technology.

The legislation reflects the belief that the best way to fight terrorism is to keep terrorists far from our shores. Among the primary tools in carrying out this conviction is the Special Operations Command, and H.R. 4200 bolsters the command's capabilities. Other major actions by the subcommittee include:

Ensuring the highest priority is placed on force protection research initiatives.
Expanding the subcommittee's successful fiscal year 2004 initiative to develop chemical and biological countermeasures.
Continued scrutiny of DOD's information technology programs.

Total Force Subcommittee

The Total Force Subcommittee presides over personnel policy and funding. Throughout the year, Chairman John McHugh used his hearings and visits to overseas locations, including Iraq and Afghanistan, to hear directly from our soldiers, sailors, airmen and Marines regarding their needs.

H.R. 4200 addresses the subcommittee's findings with provisions such as:

Elimination of the Social Security offset under the Survivor Benefit Plan.
A 3.5 percent increase in basic pay for members of the armed forces - reducing the gap between military and private sector pay from 5.5 to 5.1 percent.
Elimination of out-of-pocket housing expenses.
A broad range of initiatives to recognize the new realities of reserve service.
A 2.1 percent increase in the number of reservists on active duty in support of the reserves, and a 1.5 percent increase in the number of military technicians.
A package of measures that constitute the most significant reshaping of reserve enlistment and retention incentive bonuses and pay in years - including making reserve bonus and incentive authorities identical to the authorities used for active duty members.
Requiring the Secretary of Defense to pay reservists for lost civilian income.
Requiring the Secretary of Defense to expand the mission of the Task Force on Sexual Harassment and Violence at the Military Service Academies.
Provisions to improve and protect military commissaries.

Strategic Forces Subcommittee

Chairman Terry Everett's subcommittee recommended authorizing approximately $61.8 billion in programs within the Administration's budget request, including:

$19.0 billion for procurement,
$27.3 billion for research and development, and
$15.5 billion for Department of Energy national security programs.

The programs are primarily in the areas of ballistic missile defense, the military use of space, strategic weapon systems and platforms, and nuclear weapons.

The subcommittee worked to support soldiers deployed in the war on terrorism by redirecting funding from longer term efforts to those of more immediate benefit to our troops in the areas of armor, munitions and surveillance.

The subcommittee directed a net reduction of $177 million to the budget request for the Missile Defense Agency. This includes a $75 million reduction for the Kinetic Energy Interceptor program. It adds $130 million to Army missile defense activities, including $90 million to buy an additional 36 Patriot missiles.

In the area of military space, the subcommittee recommends a $100 million reduction for Transformational Satellite Communications, and a $100 million reduction for the Evolved Expendable Launch Vehicle program. The legislation provides adds of $35 million for Space Based Infrared System High, $25 million for the Operationally Responsive Satellite, and $35 million for Advanced Extremely High Frequency.

For nuclear defense programs, H.R. 4200 funds the National Nuclear Security Administration at the Administration's budget request and supports full funding for both the Advanced Concepts and Robust Nuclear Earth Penetrator programs.

Projection Forces Subcommittee

Chairman Roscoe Bartlett's subcommittee has jurisdiction over approximately 500 programs and projects in procurement, research and development, and test and evaluation. Together these total $28 billion in the Administration's fiscal year 2005 budget request.

Reflecting the priorities of the committee and the unfunded priorities of the Department of Defense, the committee recommends authorizing an additional $890 million above the Administration's request. All of these programs are critical to conduct military operations of the type concluded or still underway in Iraq, Afghanistan and elsewhere in the global war on terrorism. Initiatives include:

An additional $20 million to sustain a force structure of 77 B-1s (17 additional aircraft);
An increase of $49.7 million for Tomahawk missiles to restore production to fiscal year 2003 and 2004 levels and meet the Navy's long-term inventory goals;
An additional $23 million for Affordable Weapon System, a low-cost cruise missile;
An increase of $100 million to accelerate and expand the guided missile destroyer (DDG-51) modernization plan;
An additional $100 million to begin new bomber development; and
Increased authorization is also recommended for several procurement and research and development programs.

Supporting America's MILITARY PERSONNEL

H.R. 4200 reprioritizes funding from non-warfighting programs toward more immediate needs. The legislation provides funding to better protect troops engaged in conflict in Iraq and around the world, as well as to provide for improved pay and benefits for all military personnel.

Force Protection Initiatives

Our men and women in uniform depend on having the necessary systems and equipment to be successful in accomplishing their mission. H.R. 4200 focuses heavily on implementing provisions to help safeguard our military personnel as they engage enemies often found in difficult environments using asymmetric tactics.

H.R. 4200 adds more than $2 billion for force protection measures, including armor, munitions, communications and surveillance programs. The legislation contains provisions to eliminate procurement obstacles and field commercially available technology on an expedited basis.

Rapid Acquisition Authority to Respond to Combat Emergencies. A lesson learned from the global war on terrorism is that DOD's current acquisition system cannot respond in a timely manner to urgent requests for combat equipment by commanders in the battlefield. Rapid response to emergency combat situations would minimize combat fatalities when reacting to changes in an opponent's tactics.

The committee authorizes the Secretary of Defense to establish a streamlined acquisition process for use when combat casualties have occurred, the combatant commander has an urgent need of equipment, and delay would cause a continuation of combat fatalities. This process is to be used as a "quick start" bridge to the normal acquisition process.

The Secretary shall establish a process whereby the time from a combatant commander's request to contract award shall be no more than 15 days, as a goal. Further, when developing equipment that meets 100% of the commander's requirement would take a significant amount of time, an interim solution shall be fielded that minimizes combat fatalities and allows time to develop the 100% solution. This provision provides $100 million per year to initiate rapid procurement.

M1114 Up-Armor HMMWVs. The Up-Armor HMMWV is a multi-service, four-wheel drive utility vehicle that provides proven ballistic protection for soldiers from anti-personnel, armor piercing munitions and IEDs. The M1114 is the primary light tactical ground vehicle currently in use by forces in OIF and OEF. There is a critical need for increased force protection against the Iraqi insurgency. Despite efforts to fulfill requirements for the vehicle, the Army's current stated requirements have not yet been met. To meet the force protection needs of our troops, the committee recommends an increase of $704.7 million (over the Administration's request of $124.9 million) to increase and sustain production of the vehicles at the required rate of 450 per month.

Vehicle Add-On Armor. The Army is heavily dependent upon its truck fleet to provide logistics support for OIF and OEF. The Family of Medium Tactical Vehicles (FMTV): Heavy Expanded Mobility Tactical Trucks (HEMTT), Heavy Equipment Transport Trucks (HET) and Palletized Load Systems (PLS) are performing logistics support missions in theater and are subject to attack by Iraqi insurgents using IEDs. Vehicle Add-On Armor Kits provide critical protection to the vehicle driver and crew against anti-personnel projectiles and IEDs. There is an unfunded requirement of $132.4 million to procure armor for these trucks. Additionally, the committee recommends $200 million to fund emerging requirements from the theater. Keeping its commitment to give force protection the highest priority, the committee recommends $358.2 million, an increase of $332.4 million for Vehicle Add-On Armor Kits for the Army's truck fleet.

Family of Medium Tactical Vehicles (FMTV A2). The FMTV A2 will be the next generation of FMTVs; it is the Army's primary medium tactical vehicle and key logistics enabler for combat support forces. The committee recommends $12.6 million ($9.7 million more than the Administration's request) to develop new combat technologies for the medium tactical truck fleet, ensuring interoperability and maximizing the Army's future force capability.

Assault Breacher Vehicle (ABV). The ABV is a tracked, armored combat engineer vehicle designed to breach mine fields and complex obstacles. In addition, the ABV provides strong crew protection and improves the mobility of the Marines, both critical elements in protecting our troops. The committee recommends $16.6 million ($12 million more than the Administration's request) to accelerate by one year the fielding of ABVs. This also fulfills a Commandant of the Marine Corps fiscal year 2005 unfunded requirement.

Bradley Fighting Vehicle. The Bradley Fighting Vehicle's primary mission is to transport troops to the battlefield, provide fire cover to dismounted troops and to suppress enemy tanks and vehicles. The fully armored, fully tracked vehicle has demonstrated itself to be a critical component in protecting our troops. As such, the committee recommends $191.8 million ($65 million more than the Administration's request) for a sustainment and modernization program to maintain vehicle readiness.

M1A2 System Enhancement Package (SEP). The M1A2 Abrams tank is capable of engaging the enemy in all weather conditions and its heavy armor is an imperative component in protecting our troops. The committee recognizes the advantages of the M1A2 tank to soldiers in both combat and training and recommends $292.2 million to procure 67 M1A2 SEPs. The SEP is an upgrade that improves computer systems and night vision capabilities.

M777 Lightweight 155mm Howitzer (LW155). The lightweight 155mm towed Howitzer replaces the M198 Howitzer and has demonstrated itself to be a critical component in force protection by suppressing enemy positions and supporting the Army's Stryker Brigade Combat Teams. Therefore, the committee recommends $72.2 million ($35 million more than the Administration's request) for the procurement of 36 M777 artillery systems to fulfill the Army National Guard's unfunded requirement.

Movement Tracking System (MTS). The MTS is a combat proven, satellite-based communications system, providing troops with secure real-time GPS tracking and messaging between stationary base locations and vehicles. It will also enhance the ability of ground commanders to strategically position tactical vehicles, monitor and track re-supply items, and provide total asset visibility. As such, the committee recommends $34 million ($15 million more than the Administration's request) for procurement of 1,067 MTS, an unfunded requirement of the Chief of the Army Reserve and the Chief of the National Guard.

Munitions. Operation Iraqi Freedom demonstrated the dramatic technological capability of precision guided munitions to strike targets precisely while reducing the risk to military personnel and civilians. The committee recommends:

Tactical Tomahawk cruise missiles. $305.9 million ($49.7 million and 57 missiles more than the Administration's request) to procure 350 Tactical Tomahawk cruise missiles, a long-range, precision-strike weapon launched from surface ships or submarines. The increase sustains a production rate of 350 missiles per year and helps restore inventory levels expended during OIF. This is an unfunded priority of the Chief of Naval Operations.

Hellfire II missiles. $42 million (the Administration did not request any funds) to procure 500 Hellfire II missiles for the Navy. The Hellfire II missile is a laser-guided, anti-armor and anti-ship weapon used by the Marine Corps on the AH-1 helicopter and by the Navy on the SH60B helicopter, both the Chief of Naval Operations and the Commandant of the Marine Corps included procurement of the missiles among their unfunded priorities for fiscal year 2005.

Affordable Weapon System. An additional $23 million for the Affordable Weapon System (AWS). AWS is an advanced technology initiative to design, develop, and build a capable and affordable cruise missile at a fraction of the cost of other similar systems. AWS has significant potential as a weapon system that could fill the gap between shorter range weapons with smaller warheads and longer range weapons with larger warheads. The committee recommends $52 million ($23 million more than the Administration request) for AWS.

Predator A and Predator B UAVs. Intelligence, surveillance and reconnaissance are important elements of force protection and are critical to interdict, disrupt, and defeat insurgent and terrorist threats. The committee recommends $322.6 million ($176 million more than the Administration's request: $44 million more for Predator B and $132 million more for Predator A). The Predator B is a turbo prop variant of the Predator A that is faster and able to carry a larger payload.

Light Unmanned Aerial Vehicle. Light UAVs have historically been unable to carry weapons. The committee recommends $4 million (the Administration did not request any funds) for technology to weaponize lightweight UAVs. In addition, the committee recommends an increase of $3 million to develop systems to avert potential hazards to other aircraft and improve the safety of UAV operations.

Marine Corps Shadow Tactical UAV (TUAV). The Shadow TUAV is a key force protection component capable of providing tactical intelligence information for both the Army and Marine Corps. The TUAV is essential to the success of joint ground operations. The committee recommends $12 million (the Administration did not request any funds) for the Marine Corps Shadow TUAV system, as recommended by the Defense Science Board. The committee also recommends an increase of $3.5 million to complete required engineering and software improvements for the Army Shadow 200 systems.

Improved High Frequency Radio. The Administration's budget request contained $12.4 million to procure improved high frequency (HF) radios, including AN/PRC-150C HF radio systems. The AN/PRC-150C is an advanced HF radio that speeds long-range tactical communications. It provides embedded digital voice and data encryption, and overcomes the effects of interference and jamming. It is the Army's preferred replacement for legacy radio communications systems. The Army Chief of Staff has identified a $14.2 million unfunded requirement for fiscal year 2005 and the committee is concerned about critical shortfalls in the Army Reserve and Army National Guard. Accordingly, the committee recommends an increase of $14.2 million to accelerate acquisition of these critical force protection components.

M249 Squad Automatic Weapon (SAW). The M249 SAW is one of the infantry's critical weapons systems, and is used extensively in both OEF and OIF. It is a lightweight, machine gun capable of delivering a sustained volume of automatic, accurate, and highly lethal fire up to 800 meters. The Commandant of the Marine Corps has identified a $5.8 million unfunded requirement for fiscal year 2005. The committee recommends an increase of $5.8 million more than the Administration's request of $0.1 million to procure an additional 1,800 SAWs to meet current operational needs.

Night Vision Rifle Sight. The AN/PVS-17 is a lightweight, rifle mounted, image intensification night vision sight that replaces obsolete AN/PVS-4 sights. The AN/PEQ-2A is a lightweight, rifle mounted, self-contained, battery powered infrared aiming light target illuminator system designed to replace older systems. The committee continues to recognize the benefits of night vision technology provided by this equipment and recommends $49.0 million for night vision equipment. This represents an increase of $4.1 million for AN/PVS-17 miniature night vision sights and an increase of $13 million for AN/PEQ-2A IR aiming light/target illuminators. In addition, the committee recommends $5.8 million for the AN/PVS-14, which is a monocular night vision device with state-of-the-art image intensifier technology.

Night Vision Binoculars. A key force protection measure is providing special operations forces with the AN-PVS-15 binocular goggle system. The committee understands that this new system will substantially improve the ability of troops to conduct night operations by providing a wider field of view and better depth perception than the system currently in use. The committee recommends $20.2 million ($12 million more than the Administration's request) to procure night vision equipment, an unfunded priority of the Commander of Special Operations Command.

Force XXI Battle Command Brigade and Blue Force Tracking System. The committee applauds the Army's efforts to establish a hand-held intelligence collection and communications device for each soldier on the battlefield. This device, when mounted in vehicles during OEF and OIF, has proven to be an invaluable tool for our troops. Systems such as these will reduce friendly fire incidents and save lives.

Shortstop Electronic Protection System (SEPS). SEPS has proven itself as an important force protection measure in safeguarding our troops against mortar rounds, rockets and artillery shells. In line with the committee's desire to field advanced protective measures as quickly as possible, the legislation recommends $18.6 million (the Administration did not request any funds) to procure additional SEPS.

Advanced Mine Detector (AMD). The AMD is a lightweight, handheld, mine detector that, through new ground penetrating radar technology, ensures nearly 100 percent detection of all classes of mines. It has yielded excellent results in OEF and OIF as a countermine, IED counter measure. As the device has exceeded expectations, the committee supports accelerated procurement and recommends $17.2 million, an increase of $13.8 million, to expedite procurement of 270 AMDs.

Accelerating Advanced Technologies for Critical Operational Needs. The committee is deeply concerned about the pace at which new technology moves from the laboratory to the battlefield and the ability to respond to emerging, critical operational needs. There are a number of initiatives underway in the Department to capitalize on new discoveries in academia, small and large industry, and service and national laboratories to rapidly develop and transition new technologies to our troops. However, changes to acquisition and budgeting systems to provide the Department of Defense with greater flexibility to take advantage of rapidly developing technology are slow to be institutionalized. The committee is encouraged and commends the Department for many of the improvements in the rapid fielding of technology to support the war on terrorism through the quick reaction special projects program, service rapid fielding initiatives, and the counter terrorism technology support program, but recognizes that there is much to be done. Responding to the threat posed by terrorist use of improvised explosive devices and hit-and-run rocket and mortar attacks is of particular concern. The committee recommends an increase of $100 million for the DOD's Quick Reaction Special Projects program to accelerate the development and fielding of countermeasures to IEDs, providing real-time surveillance of suspected enemy activities, and countering the rocket and mortar threat.

Defense Science and Technology. The committee recommends $ 11.1 billion for the Department of Defense science and technology program, including all defense-wide and military service funding for basic research, applied research, and advanced technology development - an increase of $517.2 million to the budget request. The committee's recommendation includes $2.1 billion for the Army (an increase of $304.8 million), $1.8 billion for the Navy, an increase of $201.7 million for Navy science and technology), $2.0 billion for the Air Force (an increase of $114.0 million), and $5.2 billion for Defense Agency science and technology, an increase of $64.5 million (including $2.9 billion for DARPA, a decrease of $204.0 million). The committee also recommends transferring a total of $190.3 million for joint force experimentation from the Navy to a Defense-wide account. The committee commends the Department for the response of the Defense science and technology base to the emerging critical operational needs in support of the global war on terrorism and Operation Iraqi Freedom. However, despite the positive aspects of the Department's science and technology program, the committee is concerned about long-term projections for reductions in DOD science and technology as a percentage of total obligation authority, and in short-term trends in the science and technology accounts of some of the military departments and defense agencies. The committee cannot emphasize too strongly the need for the Department to maintain a strong and robustly funded science and technology program that will provide the advanced technologies needed to assure technical dominance of U.S. Armed Forces on any current or future battlefield.

Chemical and Biological Defense Program. Defending our troops and civilians from chemical and biological attacks is a primary objective of the committee. The Administration requested $560 million for chemical biological defense research and development, $638 million for chemical biological defense procurement, and $148 million for the Defense Advance Research Projects Agency's (DARPA) biological warfare defense program. The committee recommends an increase of $32.5 million above the administration's request for procurement of chemical and biological defense individual protection and decontamination equipment, an increase of $19 million for procurement of retrofit kits for improvement of the currently fielded chemical biological protective shelters, and an increase of $20 million for procurement of M22 automatic chemical agent alarms for the Army National Guard. The committee also recommends an increase to the Administration's request of $85.0 million for chemical and biological defense science and technology initiatives and an increase of $13.0 million for development of advanced chemical and biological detection systems. Finally, the committee also recommends an increase of $10 million to the DARPA request for research in asymmetric protocols that would provide broad spectrum protection against biological threats.

Medical Technology Applied Research Initiative. Operations in the global war on terrorism have placed a premium on the need for a range of medical technologies in such areas as infectious diseases and combat casualty care. Recognizing these needs and to sustain the development of advanced medical technology, the committee recommends an increase of $25 million to the Administration's request of $58.9 million to establish the medical technology applied research initiative.

Advanced Targeting Pod (ATP). The ATP will supplement and replace existing targeting pods while providing improved forward-looking infra-red technology, improved laser capability, a laser spot tracker, and enhanced combat identification. The committee notes that the Air Force Chief of Staff included accelerated ATP procurement as his second highest unfunded priority. In order to speed deployment of the system, the committee recommends $374.7 million for other production charges ($65 million more than the Administration's request) for increased ATP procurement.

Digital Soldier. In order to provide better protection for our troops, they must have communications equipment capable of receiving and reporting actionable intelligence information. The digital soldier project is a handheld device for immediate situation reporting via networked inputs. It ensures all personnel receive timely information that may affect their tactical situation. The committee recommends $8.9 million ($6 million more than the Administration's request).

Chemical Biological Defense for Aviation and Explosive Ordnance Disposal. The Navy's requirement for improvement of explosive ordnance disposal units for incidents involving IEDs and WMD is increasing. Improved commercial off-the-shelf robots and explosive detection systems are available that would significantly enhance the ability of military units to conduct remote reconnaissance and disruption operations against a range of explosive devices. Moreover, there are significant shortfalls for individual chemical, biological and radiological protection systems for Navy aircrews. Procurement of replacement respirators is essential for Navy and Marine aircrews until the Joint Service Aircrew Mask is fielded in fiscal year 2009. To address these critical force protection needs, the committee recommends an increase of $10.4 million above the Administration's request of $25.1 million for procurement of explosive detection systems, and an increase of $11 million above the Administration's request of $131.9 million for chemical biological defense individual protection equipment.

Improved Pay and Benefits

Every day, the men and women of our active, guard, and reserve forces make sacrifices to ensure success in the global war on terrorism. H.R. 4200 contains numerous quality of life improvements for our brave military personnel including a pay raise and many retention and recruitment incentives.

Improving Quality of Life

H.R. 4200 recognizes the sacrifices of our men and women in uniform, as well as their families:

Pay and Bonuses

· 3.5 percent across-the-board pay raise

· Increasing the maximum hardship duty pay from $300 to $750 per month

· Making permanent the increased rate for imminent danger pay from $150 to $225 per month,

· Making permanent the increased rate for family separation allowance from $100 to $250 per month

· Extending several special pays and bonuses for active duty members and reservists

· Elimination of out-of-pocket housing expenses

· Enlistment, reenlistment, and retention bonus equity for deployed reservists

· Up to $3,000 per month in income replacement payments for reservists

Living and Working Conditions

· $9.9 billion for military construction and housing, such as:

Troop housing: $1.1 billion for 40 new barracks and dormitories

Military family housing: $992.2 million for approximately 3,825 units

Medical facilities: $179.9 million for nine medical facilities

Schools for DOD dependants: $72.2 million for classrooms and educational facilities

Child development centers: $26 million for five child development centers

Healthcare

· TRICARE benefits for reservists and family members before active duty deployment

· Healthcare benefits for all personnel following separation from active duty

Eliminating the Reduction in Survivor Benefit Plan (SBP) Annuities. The committee is dedicated to protecting the financial security of the survivors of military retirees. To achieve this goal, the committee recommends eliminating the social security offset under the SBP by increasing the annuities paid to survivors of military retirees who are 62 or older from 35 percent of retired pay to the percentages indicated below.

(1) For months after September 2005 and before April 2006: 40 percent

(2) For months after March 2006 and before April 2007: 45 percent

(3) For months after March 2007 and before April 2008: 50 percent

(4) For months after March 2008: 55 percent

Military Housing Privatization. The military housing privatization initiative is a program that allows the Department of Defense to leverage private sector investments and business interests to build and revitalize family housing at domestic military bases. Since the inception of the housing privatization program, the military services have used the privatization authority to improve or replace nearly 90,000 family housing units. Despite the success of the program, a statutory ceiling on government obligations to housing privatization projects will force a halt to the housing privatization program in fiscal year 2005, jeopardizing privatization of approximately 50,000 units over the next two years, as well as efforts to eliminate inadequate family housing units by 2007. In support of continued military family housing privatization and the real improvements to quality of life for U.S. military personnel that result from the program, the committee recommends elimination of the statutory ceiling on the program as of October 1, 2005.

Basic Military Pay. The committee remains dedicated to increasing income levels for military personnel and recommends a 3.5 percent across-the-board pay raise for our men and women in uniform. The raise would continue Congress' commitment to enhanced pay for the armed forces and would reduce the gap between average military and private sector pay from 5.5 to 5.1 percent. This is the sixth consecutive year the committee has recommended a pay raise larger than the level of private sector pay raises.

Active Duty and Reserve Component Special Pay and Bonuses. The committee recommends extending several special pays and bonuses through December 31, 2005, including:

· reenlistment bonus for active and reserve members;

· enlistment bonus for active and reserve members;

· nurse officer candidate accession program;

· aviation officer retention bonus;

· accession bonus for registered nurses;

· incentive special pay for nurse anesthetists;

· accession bonus for dental officers;

· accession bonus for pharmacy officers;

· special pay for nuclear-qualified officers extending their period of service;

· nuclear career accession bonus;

· nuclear career annual incentive bonus;

· retention bonus for members with critical skills or other criteria; and

· accession or affiliation bonus for new officers in critical skills.

Hardship Duty Pay. To ensure that service members receive appropriate compensation regardless of where they are required to serve during the global war on terrorism, the committee recommends increasing the maximum amount of hardship duty pay from $300 to $750 per month.

Permanent Increases to Imminent Danger Pay and Family Separation Allowance. The committee continues to recognize the many sacrifices of our service members and their families. Accordingly, it recommends making permanent the increased rates for imminent danger pay, from $150 to $225 per month, and family separation allowance, from $100 to $250 per month.

Eliminating Out-of-Pocket Housing Expenses. Honoring its commitment to eliminate out-of-pocket housing expenses for services members, the committee recommends $367 million. This marks the final year of a five-year initiative to completely eliminate out-of-pocket expenses.

Housing Allowances. The committee recommends granting basic housing allowance to service members who elect to leave their families at their previous duty stations while they attend professional military education or training lasting 12 months or less.

Transportation of Family Members to Travel to Visit Seriously Injured Service Members. The committee believes that, especially during times of war, families should be able to visit seriously injured service personnel. Building on last year's improvements to travel provisions, the committee recommends expanding the number and categories of family members and other people that would be entitled to transportation at government expense to visit seriously ill or injured service members.

Repeal of the Requirement to Pay Subsistence Charges While Hospitalized. Last year, Congress took action to exempt service members injured on the battlefield from paying for their meals while they recuperate in military hospitals. Building on this enhancement, the committee recommends extending this exemption to all hospitalized military personnel, not just those present in connection with combat.

Combat-Related Special Compensation. The newly-expanded Combat-Related Special Compensation program has generated thousands of additional applicants, increasing demands on processing systems. The committee encourages the Secretary of Defense to examine the processing systems and consider methods, including creating a more efficient central processing organization with increased personnel and funds, for expediting the time required to review applications.

Donation of Air Travel. To help reunite deployed military members and their families in times of need, the committee recommends giving the Secretary of Defense the authority and flexibility to accept the donation of frequent flyer miles, credits and tickets to be used to facilitate travel for service members.

Providing Civilian Clothing to Service Members. There have been situations where seriously wounded and ill OIF and OEF military personnel have been medically evacuated from the battlefield without civilian clothes. This posed a dilemma when the soldiers recovered and wanted to leave the hospital in civilian clothes, as military officials lacked the authority to purchase the clothes for them. Last year, Congress acted to remedy this situation by temporarily authorizing the purchase of civilian clothing, at a cost not to exceed $250. The committee recommends making this authority permanent.

Accounting and Management of Reservists and National Guard Members on Active Duty. The committee recommends changing the accounting standard used to track and manage reservists on active duty in support of operational missions. Specifically, the committee proposes eliminating the current 180-day end strength accounting standard that requires all reservists on active duty beyond that limit to count against active component end strengths. In its place, the committee recommends permitting up to 37,000 reservists to serve voluntarily on active duty for up to three years, or a cumulative three years over a four-year period, before counting against active end strengths. The committee believes that the flexibility in this new authority will reduce the need for some involuntary mobilizations by permitting volunteers to support normal peacetime operations, as well as during times of national emergency.

Joint Advertising and Market Research. The Department of Defense plays an important role in complementing recruiting and advertising programs of the military services. DOD's joint advertising and market research effort can have a direct and positive long-term impact on the recruitment of quality personnel. This is especially critical now, when the military's recruiting efforts could face difficulties due to a range of factors. Accordingly, the committee recommends $10 million more than the Administration's request for this program.

Improving Living and Working Facilities

Military Construction. The committee recommends $9.9 billion ($450 million more than the Administration's request) for military construction and family housing, again demonstrating the committee's commitment to addressing inadequate DOD infrastructure and facilities. Highlights of the committee recommendations include:

Troop Housing. The committee recommends $1.1 billion ($24.4 million and five buildings more than the Administration's request) for the construction of 40 new barracks, dormitories and related facilities to support unaccompanied military personnel.

Military Family Housing. The committee recommends $992.2 million (matching the Administration's request) for construction of approximately 3,825 units.

Medical Facilities. The committee recommends $179.9 million ($6.7 million and one more than the Administration's request) for the construction of nine medical facilities.

Schools for DOD Dependant. The committee recommends $72.2 million (matching the Administration's request) for the construction and improvement of classrooms and education facilities.

Child Development Centers. The committee recommends $26 million ($15 million and three more centers than the Administration's request) for five child development centers.

Reserve Component Training and Readiness. The committee recommends $839.8 million ($219.9 million more than the Administration's request) for facilities enhancements to improve the training and readiness of the guard and reserves.

Increasing Military Manpower

Increase in Active Army and Marine Corps Troop Levels. To address the Army's manpower shortages, the committee recommends a total increase of 30,000 active personnel over three years. In sum, the committee would authorize increasing active Army end strengths from the present level of 482,400 to 512,400 in fiscal year 2007.

The committee also believes that an increase in manpower is essential to the Marine Corps' ability to provide and sustain the force levels required of it by our national security strategy. Accordingly, the committee recommends a total increase of 9,000 active Marine Corps personnel over three years. In sum, the committee would authorize an active Marine Corps increase from the present level of 175,000 to 184,000 in fiscal year 2007.

Reserve Component Full-time Support Strength. The committee is acutely aware of the new demands the global war on terrorism has placed on reservists and recognizes that adequate levels of full-time support personnel are critical to sustaining both the wartime effort while maintaining overall reserve component readiness. For that reason, the committee recommends increasing the number of reservists on active duty by 1,515 (or 2.1 percent) and the number of military technicians by 950 (or 1.5 percent) over 2004 levels.

Study of High Demand-Low Density Military Units and Personnel. Active and reserve components are undergoing transformation initiatives to provide lighter, more lethal forces to meet the national security challenges of the 21^st century. The global war on terrorism has forced the services to begin divesting structure and forces from the Cold War era and develop and establish forces that are more responsive to current requirements.

Personnel Facts

As of March 31, 2004, America's military personnel includes (approximately):

· 377,000 Active Duty Sailors

· 149,000 U.S. Navy Reserve

· 176,000 Marines

· 98,000 Marine Corps Reservists

· 379,000 Air Force Personnel

· 110,000 Air Force Reservist

· 107,000 Air National Guard

· 494,000 Army Soldiers

· 331,000 Army Reservists

· 347,000 members of the Army National Guard

In this new environment, the armed forces have found certain units and personnel are experiencing extraordinary levels of deployment and utilization. These "high demand-low density" units and personnel include military police, civil affairs, intelligence, psychological operations and linguists. The committee is concerned about the impact of extraordinary levels of deployment and utilization on such units and, therefore, directs the General Accounting Office to: (1) determine the extent of the reliance on these active and reserve high demand-low density units and personnel to meet new national security requirements; (2) identify the effectiveness of the armed forces' efforts to reduce or eliminate reliance on high demand-low density units and specialties; and, (3) assess whether additional units and resources beyond current levels are necessary to meet current and future demands.

Guard and Reserve Improvements

Extremely high deployment rates for members of the National Guard and Reserves have taken a toll on these personnel and their families. H.R. 4200 recognizes their sacrifice and supports their needs.

Purpose of Reserve Components. At present, the statutory purpose of the reserves focuses on their roles and functions as a result of planned mobilizations. To more accurately reflect the recent and future employment of reservists, the committee recommends a restatement of the statutory purpose of the reserves that reflects the requirement for them to provide trained units and qualified persons, not just as the result of involuntary mobilizations, but whenever more units and persons are needed than are in the active components.

Reserve Mobilization Process. The global war on terrorism has required the mobilization of hundreds of thousands of reservists using an inefficient Cold War-era system which imposes undue stress on reserve personnel and their families. Taking substantial steps toward reforming the mobilization process, the committee recommends repealing the current prohibition on mobilization for training. Repeal of the prohibition will increase the readiness of the reserves, shorten time between mobilization and deployment and provide for a more orderly, predictable and effective mobilization process that reduces stress on individuals, families and employers. To ensure this new authority does not lengthen the mobilization period, the committee recommendation requires the time spent during mobilizations for training to count against the statutory limits set for involuntary mobilizations. Those limits on involuntary mobilization periods are two years or 270 days, depending upon which authority is used to bring reservists to active duty.

Bonus Equity for Deployed Reserve Forces. Recognizing the inequities mobilized reserves encounter while serving alongside active duty forces in the war on terror, the committee recommends that reservists be paid bonuses using the same authority used to pay active duty members. Such bonuses include:

enlistment bonuses;
reenlistment bonuses; and
retention bonuses.

Income Replacement for Reservists. Some reserve personnel mobilized for active duty experience a reduction in their income while away from their civilian jobs. The committee recommends paying these reservists monthly income replacement payments after they complete 12 continuous months of service on active duty or 18 months on active duty during the previous 60 months, or for any month during a mobilization that occurs within six months of the member's previous active duty tour. Payments would be limited to a minimum of $50 each month and a maximum of $3,000 each month.

Reserve Healthcare

Medical and Dental Readiness. Unfortunately, a great number of reservists have been deployed to support the global war on terrorism with medical and dental conditions that could hinder their ability to serve. The committee believes that it is essential for medical personnel and operational commanders to strictly monitor the individual medical and dental readiness of these reservists. The committee directs the Secretary of Defense to ensure that the military departments have systematic processes for providing appropriate health examinations and assessments and a means for compiling health information. Further, the committee believes DOD should hold commanders accountable for enforcing and monitoring medical and dental requirements to ensure medical readiness.

TRICARE Coverage Demonstration Project. The committee is interested in determining whether medical readiness, recruiting and retention of reservists would be enhanced if non-activated reservists, who are ineligible for employer-sponsored health benefits, were permitted to receive TRICARE coverage. Accordingly, the committee recommends a three-year demonstration project to provide TRICARE to such reservists.

Improvements in Medical Services for Activated Members of the Reserves and Their Families. The committee recommends making permanent the now temporary eligibility of dependents of reservists to obtain TRICARE health care benefits up to 90 days before the date on which the member's period of active duty is to begin. The committee also recommends that service members would be allowed to receive the same benefits.

Deductibles Under the TRICARE Program. To mitigate financial hardships on activated reservists, the committee recommends waiving deductible payments required by TRICARE programs for dependents of reservists who are called to active duty for more than 30 days.

Health Care Payments for Dependents of Reserve Members. The committee recommends shielding dependents of reservists who are ordered to active duty for more than 30 days from paying a health care provider any amount above the TRICARE maximum allowable cost.

Extension of Transitional Health Care Benefits After Separation from Active Duty. The committee recommends making permanent the authority to provide Transitional Assistance Medical Program benefits to service members and their dependents for up to 180 days following separation from active duty.

Transition to New Resource Sharing Agreements Under TRICARE. To make certain that the transition to new TRICARE contracts does not disrupt beneficiary health care, the committee encourages the Secretary of Defense to consider the use of all existing authorities to guarantee a smooth transition, especially as the carved-out resource sharing programs evolve to new contractual agreements. The Secretary should also ensure that the new resource sharing contracts are as cost effective as current agreements, provide for similar staffing flexibility, and provide uninterrupted care for beneficiaries during the transition.

Commissaries and Exchanges

Commissary Benefit. The committee remains dedicated to improving and protecting the commissary benefit and has included: a clear definition of the commissary benefit and a requirement for the Secretary of Defense to operate a commissary system; new criteria for establishment of commissaries, determination of the size of commissaries, requiring determination as to whether the welfare of active and reserve patrons are considered in the same manner when assessing the potential closure of a commissary; a requirement for the Secretary to submit to Congress written notice of the reasons supporting the closure of a commissary and waiting 90 days before undertaking a closure; and an expansion of the categories of merchandize that may be sold in commissaries.

Commissary Funding. To preserve the commissary benefit for military members and their families, the committee urges the Secretary of Defense to ensure that funding made available as a result of the closure of a commissary be reallocated to the Defense Commissary Agency to support improved commissary operations at other locations.

Protecting the Military Exchange Benefit. Military exchanges are an important quality of life benefit and pivotal to the welfare of military communities around the world. The committee is concerned that the ongoing effort to evaluate the usefulness of consolidating the exchanges is ill-advised and could potentially erode the benefit. Accordingly, the committee insists that any proposal to consolidate military exchanges demonstrate the economic advantages of consolidation and resolve all concerns about the fiscal implications of consolidation.

Other Personnel Initiatives

Improving Prosecution of Sexual Offenses in the Military. The committee is deeply troubled by the problem of sexual assaults in the military and believes that an examination of how the offenses are treated under the Uniform Code of Military Justice (UCMJ) is warranted. Accordingly, the committee recommends requiring the Secretary of Defense to provide the House and Senate Armed Services Committees, by March 1, 2005, a proposal for changes regarding sexual offenses in the UCMJ and the rationale for the changes. To ensure appropriate penalties for sexual offenses, the committee strongly encourages DOD to closely align the UCMJ's language on sexual assault law with the appropriate section of the federal criminal code.

Preventing Sexual Assaults in the Military. Continuing its commitment to preventing sexual assaults in the military, the committee recommends expanding the mission of the Task Force on Sexual Harassment and Violence at the Military Service Academies. The expanded task force, under its new name, the "Defense Task Force on Sexual Assault in the Military Services," would examine sexual assaults in the military and report to Congress within 12 months of its initial meeting on its findings and recommendations. Within 90 days of receiving the task force report, the Secretary of Defense would be required to provide the report and his evaluation to the House and Senate Armed Services Committees. The Secretary of Defense would also be required to provide those committees an assessment of the effectives of the corrective actions being taken by DOD and the military services.

Advanced Amputee Treatment Program. Approximately 60 to 80 percent of all survivable combat injuries are to limbs, with 20 percent resulting in the need for amputation. The goal of this program is to ensure state-of-the-art treatment and to focus on research in prosthetics, and rehabilitation. The committee strongly supports the Army's initiative to establish an Amputee Patient Care Program and recommends $60.9 million ($10 million more than the Administration's request).

Federal Voting Assistance Program. The committee is very concerned that DOD is not fully committed to securing the right to vote for the men and women in uniform who are currently deployed around the world. Immediate attention is required at all levels to ensure that the Federal Voting Assistance Program (FVAP) is fully implemented in time to protect the voting rights of service members during the upcoming national election in November 2004. Accordingly, the committee directs the Secretary of Defense to report to the Senate and House Armed Services Committees by August 1, 2004 and October 1, 2004 on his actions to ensure that the FVAP and DOD's mail systems are operating effectively.

Separate Campaign Medals for Operation Enduring Freedom and Operation Iraqi Freedom. The committee agrees with many service members who believe that separate medals for service in OEF and OIF are necessary to properly recognize military personnel in Afghanistan and Iraq. The creation of separate campaign medals for OEF and OIF service is consistent with the award of campaign recognition for prior combat actions, to include the Southwest Asia Service Medal and the Kosovo Campaign Medal. Accordingly, the committee recommends establishing separate campaign medals to be awarded to service members who participate in OEF and OIF.

Recruiter Access Improvement. For the last several years, a growing number of colleges and universities have treated military recruiters in ways significantly different from the recruiters of other employers. As a result, military recruiters and the persons they seek to interview have been subjected to various degrees of harassment or ill treatment designed to make military recruiting difficult, or to frustrate its objectives. To remedy this situation, the committee recommends requiring colleges and universities give military recruiters access to campuses and students that is at least equal in quality and scope as that provided to any other employer.

Staffing the Defense Prisoner of War Missing Personnel Office (DPMO). DPMO performs a critical range of missions for the nation and the missing personnel of past and future wars. DOD does not appear committed to fully supporting DPMO with even the minimum level of manpower and funding mandated by law. Furthermore, DOD has consistently sought to reduce DPMO manning, in direct contravention of Congressional guidance not to do so. To counter DOD's efforts to reduce manning and resources in DPMO and ensure that DPMO is fully able to carry out its entire range of missions, the committee recommends establishing specific permanent minimum levels of military and civilians assigned to DPMO.

Moving Household Goods - Families First. DOD is the moving industry's single largest customer. It spends more than $1.7 billion per year for its personal property program, which provides household goods transportation and storage services for military families when they relocate. For a long time, DOD has experienced problems with its personal property program, including excessive loss or damage to property, high claims costs incurred by the government, and poor quality of service from moving companies. Additionally, the program's data management system is unreliable.

In November 2002, the Secretary of Defense proposed three initiatives to improve the program. The Secretary's initiatives would add 13 percent over the current program costs of $1.7 billion per year. The General Accounting Office (GAO) concluded that all three initiatives should be implemented, as they offer solutions to numerous long-standing problems. However, GAO raised concerns that the additional 13 percent increase may not be adequate to implement the initiatives. Therefore, the committee directs the Secretary of Defense to reevaluate his cost estimate, to quantify the risk or likelihood of achieving its goals within the 13 percent cost projection, and to develop the range of possible cost increases associated with the risk. The Secretary is required to complete the evaluation by December 1, 2004. The committee also directs GAO to report to the Senate and House Armed Services Committees by February 2, 2005 whether the Secretary has adequately performed this task.

Payment of Health Benefit Premiums for Mobilized Employees. The committee authorizes federal employees, who serve in the military reserves and are ordered into active duty and placed on leave without pay, to continue to receive coverage under the Federal Employee Health Benefit Program for two years. Further, H.R. 4200 also would authorize both the employee's and agency's share of the premiums to be covered for up to two years.

Foreign Language Proficiency Pay. This legislation would authorize the Secretary of Defense to offer special pay to any DOD employee who is certified to be proficient in a language deemed necessary for national security interests and whose duties require such proficiency.

DEFENDING AMERICA

H.R. 4200 funds programs to protect America and its allies from those who are developing weapons of mass destruction.

COMBATING TERRORISM AND THE SPREAD OF WEAPONS OF MASS DESTRUCTION

Combating Terrorism Technology Support Program. The program's projects play a critical role in our nation's efforts to combat terrorism and address DOD, interagency, and international requirements for advanced technologies and capabilities for combating terrorism. The committee highly commends the contributions made by the Technical Support Working Group in the development, demonstration, and fielding of advanced technologies for the fight against terrorism. The committee recommends an increase of $75 million to the Administration's request of $47 million for the combating terrorism technology support program. The committee also recommends an additional $25 million for establishing cooperative programs with the governments of the United Kingdom and Israel for the development of advanced technologies and prototype equipment for combating terrorism and directs the Secretary of Defense to give priority consideration to the experience of the governments of these nations in establishing such programs.

Chemical Agents and Munitions Destruction. The committee notes that more than 8,600 tons of lethal chemical agents and munitions, over 27 percent of the total U.S. stockpile, have been safely destroyed in four chemical munitions destruction facilities. However, although a total of six sites are expected to be operational in 2005, the committee is concerned that the Administration's budget request, which is $166.2 million lower than last year's request, could undermine continued progress in this area. The committee directs the Secretary of Defense to report by July 1, 2004, the plan and fiscal year 2005 funding required for construction of the Pueblo Army Depot destruction facility. The committee also directs that the Army provide for an independent review of the process for destroying the VX nerve agent stockpile at Newport, Indiana, and not proceed with that process until the review is completed, the findings are made available for public review, and required disposal permits have been granted. The committee also recommends a provision that would transfer oversight of the Assembled Chemical Weapons Alternative Program to the Secretary of the Army. The committee strongly believes that the U.S. must proceed as quickly as possible in destroying the stockpile to ensure the maximum safety of our citizens and meet international treaty commitments. To see that these important stockpile destruction programs continue to advance, the committee recommends $1.372 Billion, matching the Administration's request.

Joint Threat Work Station Ground Signals Intelligence Kits (JTWS SIGINT). The committee recommends $31 million ($14.5 million more than the Administration's request) for JTWS SIGINT kits to be integrated into the Special Operations Command. The work stations provide threat warning, force protection and intelligence capabilities for ground forces and serve as a force multiplier in the global war on terrorism. Additional funding will procure 45 new kits.

Defense Threat Reduction Agency. The mission of the Defense Threat Reduction Agency (DTRA) is to reduce the threat of weapons of mass destruction from being deployed against the U.S. and its allies. The committee supports DTRA's important work and recommends $326.9 million ($1.4 million more than the Administration's request) for fiscal year 2005 activities. The increase will strengthen and expand the existing federal effort to help foreign governments improve their export control performance through the use of an export control database.

Cooperative Threat Reduction (CTR). The committee supports the Administration's request for $409.2 million to dismantle, secure, and eliminate WMD and WMD facilities in the former Soviet Union through the CTR program. The committee notes the positive steps taken by the Department of Defense in oversight of the program, as directed by the committee in the fiscal year 2004 authorization, but continues to be alarmed by Russia's weak commitment to the goals of CTR. Reasons for concern include:

Russia's continued modernization of its strategic nuclear forces, including several new Intercontinental Ballistic Missile (ICBMs) (in contrast, the U.S. has not deployed a new ICBM in nearly 20 years);
Questions about the completeness and accuracy of Russia's declarations regarding the size of its chemical weapons stockpile; and
Russia's lack of a credible plan to destroy its nerve agent stockpile.

Wisconsin Project's International Export Control Center. The Wisconsin Project on Nuclear Arms Control began a public-private initiative to improve export controls in the former Soviet Union and Eastern Europe. This initiative was supported by the Department of Defense, the Department of State, and the U.S. Customs Service. The Wisconsin Project is the leading source of unclassified information on world entities suspected of building weapons of mass destruction. Its database lists the activities of more than 3,700 suspected individuals and organizations. The committee believes that the Project should expand its efforts to help foreign governments improve their export control mechanisms, and recommends an additional $1.3 million for the expansion of the International Export Control Center.

Satellite Communications for Learning Project (SCOLA). SCOLA is an important and unique broadcast network that provides news and programming from 65 countries in their native languages. Beyond being used by students of language and linguists world-wide, SCOLA is used by the Defense Language Institute Foreign Language Center (DLI/FLC). SCOLA plans to begin full implementation of video streaming of all channels with e-commerce capabilities, start the digital archiving of all recorded data for digital access, and establish its first regional teleport site to deliver time-sensitive programming to the DOD community. The committee believes that the Administration's budget contained inadequate funding for the SCOLA project and recommends an additional $3.6 million to fully fund the objectives for SCOLA at DLI/FLC.

missile defense

H.R. 4200 supports the Administration's commitment to ballistic missile defense programs.

The United States currently lacks a defense against ICBMs. Growing concerns over the spread of WMDs and their method of delivery calls for an increased emphasis on missile defense.

The Department of Defense reorganized and revitalized the missile defense research, development and testing program in recent years to reflect an effective multilayered network of defense. It is on track to begin deployment of our first ballistic missile defense system later this year.

Using complementary interceptors, sensors, and battle management command and control systems, the planned missile defense system will provide a limited capability against ballistic missile threats. Missile defense elements being developed and tested are primarily based on hit-to-kill technology. It has been described as hitting a bullet with a bullet - a capability that has been successfully demonstrated in test after test.

The Bush Administration has requested significant increases in funding for missile defense programs, as funding was cut under the previous administration. The Administration's request for fiscal year 2005 includes nearly $10.2 billion for ballistic missile defense programs, an increase of $1.2 billion over fiscal year 2004. The increase provides additional funds to support the fielding of an initial defensive capability of five ground-based interceptors at Ft. Greely, Alaska and three more at Vandenberg Air Force Base in California, by the end of calendar year 2004.

By December 2005, the shield should consist of up to 20 ground-based interceptors in Alaska and California, and up to 10 ship-based interceptors would be deployed on three U.S. cruisers.

The committee commends the Administration's continuing commitment to missile defense and recommends the following:

Ballistic Missile Defense. The committee recommends $9.023 billion for ballistic missile defense to focus on near-term missile defense capability development and testing.

Advanced Concepts, Evaluations and Systems. The Administration requested $256.2 million for Advanced Concepts, Evaluations and Systems; an increase of $106 million from the fiscal year 2005 projection in last year's budget request. The committee has reservations that the increase is justified or that it can be effectively executed. Accordingly, the committee recommends $206.2 million, a decrease of $50 million, and encourages DOD to focus their advanced concepts work on earlier block applications.

Boost Defense Segment. The committee recommends $492.6 million, matching the Administration's request, for directed energy boost phase intercept programs.

The committee also approves of DOD's restructuring of the ABL program in late 2003. The committee also recognizes that the future of the ABL program depends upon successful completion of the ground laser test and the flight test of the beam-control fire system. These milestones must be completed for the committee to further support the program after fiscal year 2005. Therefore, the committee directs the Secretary of Defense to submit a report to the Senate and House Armed Services Committees by February 1, 2005 on the status of these two major component tests and a recommendation for the future of the program.

Systems Core Segment. The Administration requested $479.8 million for system core activities. The committee notes that funding for the systems engineering and integration effort has increased significantly from fiscal year 2004. The committee recommends $449.8 million, a decrease of $30 million, and encourages the Director of the Missile Defense Agency (MDA) to focus the national team on the near-term block 2004 and 2006 efforts. Additionally, the development of wide bandwidth technology is critical for the MDA to transmit data over extensive distances to support the test and evaluation program. The committee is encouraged by the recent success of a feasibility demonstration of seamless collaboration using satellite communications. Within the funds available, the committee recommends $4 million for the development of wide bandwidth technology in support of the MDA test program.

Midcourse Defense Segment. The committee recommends $4.4 billion for the ballistic missile defense midcourse defense segment ($30 million more than the Administration's request for the development of a Solid State S-Band Radar to support Aegis ballistic missile defense system radar capability).

Sensors. The committee recommends $536 million ($56 million less than the Administration's request) for sensors. The reduction reflects the committee's concerns with the projected costs of the Forward Deployable Radar (FDR) since the FDR program uses radar technology already developed for the Terminal High Altitude Area Defense system.

System Interceptor. The BMD system interceptors program is intended to develop a family of ground, sea, and space-based interceptors. The committee recommends $436.3 million ($75 million less than the Administration's request) for BMD system interceptors. The committee is concerned about future work on the sea-based element and recommends authorizing no funding for sea-based options until 30 days after DOD has submitted a report to the Senate and House Armed Services Committees. The report must contain a Navy-approved plan for future force structure and existing and/or future ship design requirements to support operational deployment of the sea-based interceptors envisioned.

Terminal Defense Segment. The committee recommends, $984.7 million ($47 million more than the Administration's request) for the ballistic missile defense terminal defense segment. The committee notes that the Terminal High Altitude Area Defense (THAAD) program was negatively impacted by the boost motor propellant explosion in 2003. As a result of the explosion, a number of program activities were deferred. The committee is particularly concerned with the deferral of risk reduction activities and schedule delays. The committee, therefore, provides an additional $47 million to reduce program risks and to prevent schedule delays in the THAAD program.

Advanced Weapons Technology. There is a need to conduct research on systemic issues common to Terminal High Altitude Area Defense, the PAC-3/Medium Extended Air Defense System, Ground-based Midcourse Defense, and future systems in areas such as radar and radio frequency sensors, electronics and micro-fabrication, optical sensors, and composite material and structures. Moreover, the Army requires additional funding for solid-state technology laser research in support of directed energy weapons. To support these important research endeavors, the committee recommends $46.6 million ($30 million more than the Administration's request).

MAJOR WEAPONS PROGRAMS

H.R. 4200 includes initiatives to address shortfalls in important warfighting requirements. The legislation places a priority on programs critical to continuing successful military operations in Iraq, Afghanistan and elsewhere in the global war on terrorism.

Fixed Wing Aircraft

KC-767 Aerial Refueling Tanker Aircraft. The Air Force's refueling tanker fleet was utilized extensively over the past several years, and that pattern has continued during more recent operations. The fleet has demonstrated itself to be essential in projecting airpower to fight the war on terrorism. However, current operational demands have shortened the life of an already aging fleet of KC-135s. Last year, Congress took action to authorize the lease of 20 and the purchase of 80 new KC-767 aerial refueling tankers. This program would improve the Air Force's aerial refueling capabilities by providing a higher mission capability rate, a higher utilization rate, reduced maintenance down time, operations on shorter runways, flexibility for either boom or hose/drogue operations, and increased cargo-carrying capacity. The committee remains concerned that as the KC-135 aircraft fleet ages, the Air Force confronts a risk that the entire KC-135 fleet may be grounded. The prospect of grounding the KC-135 fleet puts the nation's long range strike and re-supply capabilities at risk at a time when U.S. forces are globally deployed in support of the war on terrorism. Consequently, the committee recommends an increase of $15.0 million for the advance procurement of KC-767 aerial refueling tankers, and an increase of $80.0 million for KC-767 development. The committee also recommends an operations and maintenance funding increase of $3.5 million to sustain the KC-767 system program office and for KC-767 training.

Additionally, late last year, the Deputy Secretary of Defense requested the DOD Inspector General (IG) to provide a reason as to why the Secretary of the Air Force shouldn't proceed with the tanker lease which was proposed for fiscal year 2004. While the DOD IG did not find a compelling reason why the Air Force could not execute the proposal as planned, the committee notes the DOD IG was critical of the Air Force's procurement strategy, acquisition procedures, and adherence to statutory requirements. To address concerns in the aerial refueling aircraft tanker contract, the committee recommends a provision that would require the Secretary of the Air Force to enter into a multiyear tanker aircraft contract, authorized under section 8169 of the Department of Defense Appropriations Act, 2002 (Public Law 107-117) as modified by section 135 of the National Defense Authorization Act for Fiscal Year 2004 (Public Law 108-136), which will be negotiated after June 1, 2004. The provision would also require the Secretary of Defense to assemble a panel of experts to review the negotiated contract to ensure that the Department of the Air Force would receive these aircraft at the best value.

B-1B Lancer. The long-range, precision bombing capabilities of the B-1B were crucial in delivering guided munitions against targets during OEF and OIF. The committee continues to believe that future conflicts could require an increased number of long-range bomber aircraft to deliver precision-guided munitions rather than shorter range aircraft. Although the Air Force planned to retire 32 of its 92 B-1Bs by the end of fiscal year 2004, the committee notes that 17 of these B-1Bs could be regenerated by upgrading the aircraft with modern capabilities, and that the Air Force only plans to regenerate an additional seven. Accordingly, the committee recommends $104.6 million ($95.8 million more than the Administration's request) for B-1B modifications to begin the regeneration process for an additional 10 B-1Bs.

B-2 Spirit. The B-2 is the U.S. military's most advanced bomber, providing important deep strike capabilities, especially given limited access to overseas bases. The committee recommends the Air Force continue to upgrade the existing B-2 fleet with extremely high frequency (EHF) satellite communications systems (SATCOM) and a global strike capabilities initiative (GSCI). The EHF SATCOM provides high bandwidth communications for nuclear and conventional B-2 missions. As such, the committee recommends $24 million more than the Administration's request for EHF SATCOM development. In addition, the committee recommends $74 million (the Administration did not request any funds) for a GSCI to upgrade a range of B-2 capabilities. Of this increase, $13 million is for the defensive management system, $51 million would develop an integrated avionics upgrade, and $10 million is for design concepts and planning to implement a small diameter bomb development and integration program. Overall, the committee recommends $343.0 million for B-2 system development ($98.0 million more than the Administration's request).

C-5 Galaxy. One of the largest aircraft in the world, the C-5 provides airlift support for oversized cargo and combat-ready troops, while having the ability to take-off and land in relatively short distances. The C-5 has proven itself to be a critical component in projecting our troops and their equipment around the world in the ongoing war on terrorism. The committee recommends $120.6 million ($21 million more than the Administration's request) for C-5 modifications. The increase includes funds for six avionics modernization program kits that replace unreliable and unsupportable engine flight instruments and flight system components.

C-130 Hercules. This aircraft is a four-engine turboprop capable of performing a variety of roles ranging from transporting troops and vehicles to serving as gunships and tankers. The committee recommends $117.6 million ($7.2 million more than the Administration's request) for upgrades to 20 C-130E T56-A-7 engines to the T-56-A-15 configurations.

F-15 Eagle. The F-15 is the Air Force's all-weather, supersonic, air superiority attack aircraft. The committee recommends $198.6 million ($17 million more than the Administration's request) for F-15 procurement modifications. This $17 million increase is for the ALQ-135 band 1.5 countermeasures system modification, a key force protection measure which provides pilots with a jamming capability against modern surface-to-air enemy missiles. In addition, the committee recommends $134.4 million ($17.2 million more than the Administration's request) for development of new radar capabilities for the F-15.

F-16 Falcon. The F-16 is a highly maneuverable, multi-role fighter aircraft. The committee recommends $346.3 million ($10 million more than the Administration's request) for procurement of new capabilities for the F-16. Included in the increase is $10 million for the AN/APX-113, an advanced identification friend-or-foe system used to identify both U.S. and allied aircraft at distances beyond visual ranges.

F/A-18 Hornet. The F/A-18 is the primary fighter and attack aircraft for both the Navy and the Marine Corps. The F/A-18E/F Superhornet began production six years ago and completed its first operational deployment at sea as part of Operation Iraqi Freedom. To provide the Navy with the improved capabilities of the Superhornet, the committee recommends $2.9 billion (matching the Administration's request) for procurement of 42 F/A-18E/Fs. The committee also recommends an increase of $24 million (the Administration did not request any funds) for procurement of shared reconnaissance pods (SHARPs), which are carried on the F/A-18F. The SHARP is capable of digital surveillance, day or night, over a wide area using real-time data links to both land and sea-based systems. This program is among the Chief of Naval Operations unfunded requirements for fiscal year 2005.

F-35 Joint Strike Fighter (JSF). The JSF will be a high technology, affordable, multi-role, combat aircraft based on a common airframe and components that will be used by the Air Force, Navy and Marine Corps. The committee supports the Administration's requests for $2.3 billion for Navy JSF development and $2.3 billion for Air Force JSF development. Additionally, the committee directs the JSF Joint Program Office, which is working with the contractor teams, to provide for interchangeable engines and common hardware for each service.

Joint Primary Air Training System (JPATS). JPATS, consisting of T-6A Navy aircraft and ground-based training systems enables safe and effective primary training for Navy and Air Force pilots. Although the Navy had not planned to procure additional JPATS until fiscal year 2007, purchasing JPATS units in fiscal year 2005 will reduce operations, maintenance and procurement costs. Therefore, the committee recommends $37.5 million ($35 million more than the Administration's request) for six additional aircraft and their ground-based training systems.

Next Generation Bomber. The Air Force currently plans to begin a new bomber program in approximately three years. However, the bulk of the Air Force bomber fleet consists of 94 B-52s, which will be well over 50 years old by the time that a new bomber would be deployed. The committee believes that this is inadequate to ensure a sufficient bomber force structure to meet future requirements for long-range strike in light of the prospect that future basing for shorter range aircraft may not be assured. Accordingly, the committee recommends $100 million (the Administration did not request any funds) in research and development funding for the next generation bomber program.

UH-1N Huey Modifications. The AN/AAQ-22 night thermal imaging system (NTIS) provides the Marine Corps' UH-1N fleet with the ability to operate in both day and night conditions, as well as in smoke, dust or hazy environments. Reports indicate the system is performing superbly during missions in Iraq and Afghanistan. The committee recommends $17.5 million ($14 million more than the Administration's request) for 17 additional AN/AAQ-22 NTIS night thermal imaging system (NTIS) product improvement upgrades. This increase fulfills an unfunded requirement for both the Chief of Naval Operations and the Commandant of the Marine Corps.

Helicopters

AN/ASR-6 Airborne Communications. Providing pilots with modern survival radios to replace older, less capable equipment for MH-60 and MH-47 helicopters will ensure increased security for our troops. The committee recognizes the urgent need to procure communication equipment for special operations forces who are expected to communicate with a wide variety of military personnel during search and rescue missions that involve older legacy radios. The Committee authorized $15.8 million ($6 million more than the Administration's request) for this purpose.

H-47 Chinook Modifications. The CH-47 Chinook's primary mission is to transport troops. The Administration's request was $703.4 million for CH-47 Chinook modifications. Due to certain hostile and non-hostile fire incidents in OIF, the committee recommends $710 million for CH-47 Chinook Modifications, of which $6.5 million more than the Administration's request is to install crashworthy crew seats. The additional funds will allow the Army to complete a modernization and safety enhancement effort. The seats will allow ease of movement for crewmembers to conduct mission functions without unfastening their harnesses. Rotating seats with extendable harnesses will also increase mobility while significantly reducing the risk of death or injury to crewmembers during a hard landing or controlled crash.

MH-47 Chinook Modifications. The MH-47 Chinook's primary mission is to transport joint special operations forces and their equipment on deep insertion and extraction missions in all weather conditions. The committee recommends $447.3 million (matching the Administration's request) for rotary wing upgrades and sustainment, in addition to procuring the infrared engine exhaust suppressors ($7 million more than the Administration's request). The committee understands that these heat suppressors are a critical force protection requirement for the Army's MH-47 special operations fleet now operating in hostile environments and is an unfunded requirement of the Special Operations Command Commander.

Surface Ships

Automatic Radar Periscope Detection. The automatic radar periscope detection and discrimination project will provide surface warships and aircraft with automated periscope detection, classification and tracking to identify periscopes and masts of submerged submarines. This capability is essential for Navy ship operations in coastal waters. The committee recommends $17.9 million ($15 million more than the Administration's request) to accelerate the development of the systems for introduction into the fleet.

Aviation Ship Integration Center The Aviation Ship Integration Center supports the identification, development, test and integration of advanced and transformational technologies in the CVN-21 aircraft carrier and other aviation capable ships, thereby permitting identification and resolution of potential problems early in the development cycle. The committee recommends an increase of $10 million for the Center, to meet this critical unfunded requirement of the Chief of Naval Operations. The additional funds will expand and complete several key initiatives by the shipbuilder.

DDG-51. The DDG-51 class of AEGIS destroyers provides improved radar, fleet defense, missile defense, and land attack capabilities for the Navy's surface fleet. The committee recommends matching the Administration's request for procurement of three Arleigh Burke-class destroyers. In addition, the committee recommends $100 million for the DDG-51 modernization program.

DD(X). DD(X) is a multi-mission surface combatant ship tailored for land attack in support of a ground campaign and maritime dominance. DD(X) will provide the technology and engineering baseline needed to meet future maritime requirements, and for development of a family of future ships, including the future cruiser CG(X) and the Littoral Combat Ship. The committee has strongly supported the DD(X) program since its inception; nevertheless, the committee is concerned about the maturity of the advanced technology systems that will be a part of DD(X) and beginning construction of the ship before several of these systems complete land-based testing. The committee believes that it would be prudent to delay beginning construction of the first ship until fiscal year 2006 and recommends a reduction of $221 million, the Administration's request for construction. The committee does, however, recommend full funding for the DD(X) research and development.

Littoral Combat Ship (LCS). The LCS will be a new class of Navy surface combatants and the smallest member in the DD(X) family of next generation surface combatant ships. LCS will be fast, agile, stealthy, affordable, and tailored for specific missions such as anti-submarine, anti-surface, or mine warfare in heavily contested littoral waters, and will use interchangeable mission modules tailored for specific missions. Although the committee has in the past fully funded the Navy's budget requests for LCS, the committee continues to have concerns about the lack of a rigorous analysis of alternatives, the justification for the number of ships sought by the Navy, and whether the program's acquisition strategy is necessary to meet an urgent operation need. The committee is concerned about the Navy's ability to resolve the design, development, and evaluation of the mission modules before committing to the design for the LCS and beginning construction of the first ship. Therefore the committee recommends delaying beginning construction of the first LSC until fiscal year 2006. The committee recommends $244.4 million ($107.7 million less than the Administration's request) to continue development of the LCS.

Project M. Project M technology reduces shock and vibrations experienced by the Navy SEALS Mark V patrol craft crew and passengers in high-speed special operations. The committee also notes the potential use of Project M technology in reducing the magnetic signature of electric propulsion motors and strongly recommends that the Navy consider the exploitation of the technology for magnetic signature reduction in new construction ships such as the DD(X) multi-mission destroyer and the Littoral Combat Ship. The committee recommends $4 million (the Administration did not request any funds) to continue the development and demonstration of Projection M technology.

Submarines

Common Submarine Radio Room. The radio room on many of today's ships use outdated technologies, which are labor intensive and require large numbers of highly skilled operators. As a part of the Virginia Class submarine program, the Navy developed the Common Submarine Radio Room, which will reduce the cost, training, and maintenance of submarine radio rooms and reduce the number of sailors required to stand watch. To standardize radio rooms across all submarine classes, the committee recommended an increase of $17.7 million for the Chief of Naval Operation's unfunded requirement.

Submarine Sonar Improvements. The committee has strongly supported the development of the acoustic rapid commercial-off-the-shelf insertion (A-RCI) program and use of advanced processor software builds (APB), which has assisted the Navy to regain a technological advantage over potential enemies. To fulfill an unfunded Navy requirement and ensure the availability of this technology on SSN-688 Los Angeles, SEAWOLF, and SSBN class submarines scheduled for deployment in fiscal year 2006, the committee recommends an increase of $20 million to the Administration's request for SN-688 and Trident submarine modernization.

Maintaining A Nuclear Deterrent

Nuclear programs are a cornerstone of U.S. national security posture. H.R. 4200 funds the testing and security of weapons as well as the clean-up of former weapons sites.

Advanced Concepts and Robust Nuclear Earth Penetrator. The committee strongly reaffirms the importance of the Advanced Concepts and Robust Nuclear Earth Penetrator (RNEP) initiatives. Among other important functions, the Advanced Concepts program will ensure that the U.S. strategic stockpile continues to remain a credible deterrent. The RNEP study will assist national leaders in assessing options for our future stockpile. Accordingly, the committee supports the Administration's budget request of $9 million for Advanced Concepts and $27.6 million for completion of the 6.2/2A Air Force-led study on RNEP.

The committee notes that the Administrator of the National Nuclear Security Administration (NNSA) testified before the committee that the RNEP study was being conducted at the request of the Department of Defense. A recent Defense Science Board Task Force Study on Future Strategic Strike Forces specifically recommended that research be initiated on nuclear weapons that produce much lower collateral damage than those weapons in the existing nuclear stockpile. The committee reminds the NNSA that any efforts beyond a study, such as production, of an RNEP may not be pursued without the approval of the President and authorized funding by Congress.

Ensuring Autonomy for the National Nuclear Security Administration (NNSA). In response to allegations that inadequate security at the Department of Energy (DOE) nuclear weapons laboratories contributed to the theft of nuclear secrets, Congress created the NNSA as a semi-autonomous agency within the DOE. NNSA's mission is to enhance national security through the military application of nuclear energy, reduce global danger from weapons of mass destruction and promote international nuclear safety. To protect NNSA's autonomy and to ensure responsive oversight, the committee directs NNSA's administrator to submit notifications and requests for reprogramming directly to the congressional defense committees, with the only role for the DOE Chief Financial Officer being to certify whether funds covered by the notice or request are available.

OTHER COMMITTEE INITIATIVES

Reforming the BRAC Process. The U.S. military is experiencing an extraordinary level of stress due to the war against terrorism and the efforts to rebuild Iraq and Afghanistan. DOD also is contemplating realignments of forces in Europe and Asia, as well as undertaking initiatives to transform its forces. The committee believes more time is needed before making irreversible decisions to close or realign military installations. As such, the committee recommends suspension of the next BRAC round until 2007.

Specifically, H.R. 4200 would suspend the BRAC process until DOD submits reports on a number of unresolved issues related to infrastructure, including:

Plans to change basing locations and rotational policies overseas;
Infrastructure requirements associated with force transformation, changes in the active- and reserve- force mix, and the Secretary of Defense's 10-30-30 objective (which states that U.S. forces shall be capable of deploying to a conflict within 10 days, winning that conflict within 30 days, and resetting for another conflict within 30 days after victory); and
Anticipated infrastructure needs to support the military's requirement to "surge" to meet future threats and conflicts.

DOD must provide these reports between January 1, 2006 and March 15, 2006. If DOD submits these reports, the next BRAC round would commence in 2007. The 14-month period between submission of the report and the start of the BRAC round will provide an opportunity for Congress to review, and DOD to implement into the BRAC decision making process, the findings of the reports before any base closure or realignment recommendations are made by the Secretary of Defense.

Expedited Review of Former Iraqi Regime Documents. The committee directs the Secretary of Defense to expedite, where practical, the review of documents seized from the former regime of Saddam Hussein. The Secretary is further directed to transfer those materials, as appropriate, to Iraqis involved in documenting the crimes and atrocities of the former regime, to serve as a reminder of the dangers of tolerating dictatorships. Analysts have found that such efforts in other post-dictatorial countries can contribute to the reconstruction and reconciliation process. The committee believes that the newly freed Iraq will benefit from a similar effort.

Defense Trade Reciprocity. The committee is concerned that the use of offsets in foreign export defense sales is done at the expense of U.S. subcontractor jobs and the loss of U.S. technology paid for by the U.S. taxpayer. Offsets are defined as compensation required as a condition of purchase in government-to-government or commercial sales of defense products or services.

Therefore, in order to sell defense products to many of our foreign security partners, the majority of the manufacturing jobs and technology must be transferred to the purchasing country. In many cases, the value of the offset compensation of U.S. manufacturing jobs or technology exceeds the value of the product sold. The U.S. has no offset requirements for its foreign trading partners.

The committee believes that defense trade policy must be based upon the principle of fair trade and reciprocity. H.R. 4200 would require the Secretary of Defense to ensure that the offset regulations or policies of a foreign country are reduced to the same level as the domestic content requirements of the United States before contracting for defense products from a foreign firm operating in that country.

Strengthening Controls on High Tech Exports. H.R. 4200 would strengthen existing export controls designed to prevent the spread of WMDs by eliminating a regulatory loophole through which certain defense articles and services are exempt from existing export license requirements as established in the Arms Export Control Act. The bill also would increase congressional insight into international cooperation on defense projects.

Control of High-Technology Exports to the People's Republic of China (PRC). The Committee shares the Administration's concerns regarding the proposal contemplated by the European Union to lift its weapons trade embargo on the PRC. Increased arms trade with China will accelerate Chinese military modernization and undermine stability in Asia and the Pacific Rim, especially in areas where the U.S. has security commitments. As such, the committee recommends a provision to seek to ensure that U.S. high-technology does not indirectly support the PRC's military modernization.

H.R. 4200 would require anyone seeking to export certain dual-use wares to any entity trading in those items with the military, intelligence, police or internal security services of the PRC, to first obtain a license and commit to not retransfer the goods.

Electromagnetic Gun. The Army, Navy, and Marines Corps are interested in developing electromagnetic propulsion for advanced gun systems. Last year, the committee recommended establishing a collaborative program among the Army, Navy and the Defense Advanced Research Projects Agency to develop advanced high velocity and long range gun systems. The committee believes that the development of this technology would have a potentially high payoff. Therefore, the committee recommends an increase of $9.5 million to accelerate the Administration's program for electromagnetic gun technology development.

Expansion of Firms Defined as a "Communist Chinese Military Company". The Department of Defense and other agencies are required to compile a list of entities who are Communist Chinese military companies operating directly or indirectly in the U.S. These entities are monitored and subject to the provisions of the International Emergency Powers Act, which grants the President authority to regulate foreign commercial and financial transactions in order to deal with a threat to U.S. national security, foreign policy or economy, if the President declares a national emergency.

Currently, these companies are defined as engaging in commercial services, manufacturing or exporting and being owned or controlled by the People's Liberation Army. H.R. 4200 would include Chinese firms owned or operated by a government ministry of the People's Republic of China (PRC) or an entity affiliated with the PRC's defense industrial base, such as the China State Shipbuilding Corporation or the China Overseas Shipping Corporation. This change recognizes a larger class of firms engaged in Chinese military modernization.

The PRC continues to seek civilian technology with military applications which are then used to improve its weapons-making capabilities. This technology could be used to increase China's ability to threaten U.S. troops stationed abroad and our allies.